More jobs gloom as engineering firm collapses
Mark Hawthorne
May 28, 2012


MORE than 2000 jobs will be axed after embattled engineering company Hastie collapsed under an estimated $500 million of debt.   :(

In a major blow to the Gillard government, most of the job losses will come in the economically troubled states of New South Wales and Victoria.

BusinessDay believes up to 1300 Hastie Group staff in the two states will be told today they no longer have work.


The south-eastern states have borne the brunt of recent job losses in Australia, with Qantas last week axing 500 engineering jobs from its heavy maintenance division, the majority at Tullamarine. News Limited is also days away from announcing major job cuts as it restructures its largely print-based publishing business, with up to 400 editorial jobs set to go, while Caltex has flagged it might shut down its two Australian oil refineries in the next year.    :(

News of the collapse of Hastie Group - the nation's biggest provider of airconditioning and refrigeration systems for office towers, apartment blocks and hospitals - comes on the eve of a Labor caucus meeting in Canberra at which jobs will be high on the agenda.

On Friday, Hastie Group non-executive directors Lindsay Phillips and Harry Boon quit after a $20 million ''accounting irregularity'' emerged in the books of one of the company's Queensland divisions. That came as Hastie was in negotiations with its banks over a refinancing deal.

All four of Australia's major banks form part of an international syndicate that has lent $500 million to Hastie. ANZ is believed to have the biggest exposure, and is owed an estimated $150 million.   :(

At the weekend, Hastie Group executives met advisers from corporate reconstruction specialist PPB, but last-ditch

attempts to revive the recapitalisation failed. Early yesterday, the board decided to appoint PPB as administrator and McGrathNicol as receiver of the company. Both firms will be officially appointed today.

After announcing a $150 million December-half loss, Hastie Group's ASX market value plunged to just $21 million before the company was put in a trading halt on April 13 and suspended from trading four days later. That was the result of a dispute over alleged unfair payment of ''performance bonds'' to a builder in the Middle East.

The company has reported the $20 million accounting discrepancy to the Australian Securities and Investments Commission.

Hastie is a conglomeration of more than 50 business units across Australia, New Zealand and Britain. Some of its profitable units will continue to operate, as will crucial business units that provide maintenance services to hospitals and apartment blocks.


Read more: http://www.theage.com.au/business/more-jobs-gloom-as-engineering-firm-collapses-20120527-1zd6h.html#ixzz1w6dy6ibL

Why are we suddenly hearing about all the job losses? Job losses happen all the time.They have ALWAYS happens all the time. Why are we being told about each and every one now?

SOB

Could it be perhaps because there seems to be so many.  Yes job loses happen all the time, but so many.  2000 here, 500 there, 600 elsewhere.  Then they turn around and say, we have low unemployment.  Does it not seem very strange?.   :-?

wrote on May 28^th, 2012 at 7:34am:

Could it be perhaps because there seems to be so many.  Yes job loses happen all the time, but so many.  2000 here, 500 there, 600 elsewhere.  Then they turn around and say, we have low unemployment.  Does it not seem very strange?.   :-?

It's extremely strange when you add to that all the small businesses that are closing down, especially retail.

wrote on May 28^th, 2012 at 7:34am:

Could it be perhaps because there seems to be so many.  Yes job loses happen all the time, but so many.  2000 here, 500 there, 600 elsewhere.  Then they turn around and say, we have low unemployment.  Does it not seem very strange?.   :-?

you wait, the ABS will give us the great news of lower unemployment and the pollies will be singing the praise of the most enviable economy in the world :D LOL

Sir Spot of Borg wrote on May 28^th, 2012 at 7:22am:

Why are we suddenly hearing about all the job losses? Job losses happen all the time.They have ALWAYS happens all the time. Why are we being told about each and every one now? SOB

you are hearing about it now because big companies are retrenching lots of people. Small businesses laying off a few here and there is not news worthy :(

Good thing Swan has them covered with all the jobs he is creating.

Verge wrote on May 28^th, 2012 at 12:33pm:

Good thing Swan has them covered with all the jobs he is creating.

don't worry, your good mate Abort has plans for all of the unemployed in the green corps :D LOL

Yes nail, and Mr Abbott said that all unemployed under 50, will have to do work for the dole rubbish.   :(

wrote on May 28^th, 2012 at 12:50pm:

Yes nail, and Mr Abbott said that all unemployed under 50, will have to do work for the dole rubbish.   :(

Work?
Work?
What on earth is that nonsense eh Imcrook?

Johnny Howard said small business is the backbone of our nation. If that's the case, our back is broken because small business has been suffering badly over the last couple of years.

wrote on May 28^th, 2012 at 7:34am:

Could it be perhaps because there seems to be so many.  Yes job loses happen all the time, but so many.  2000 here, 500 there, 600 elsewhere.  Then they turn around and say, we have low unemployment.  Does it not seem very strange?.   :-?

No. It doesnt. It happens when companies close down. Companies close down all the time. Its just not always on the news. It seems like its new because the media is pushing it.

SOB

Sir Spot of Borg wrote on May 28^th, 2012 at 7:22am:

Why are we suddenly hearing about all the job losses? Job losses happen all the time.They have ALWAYS happens all the time. Why are we being told about each and every one now? SOB

Well nobody else answered it so I guess I have to. The reason is that because the current government is pushing "jobs" and basing their policies around creating "jobs" and its their advertising strategy then the opposition (libs + media) need to focus on it too. However they focus on any job loss anywhere to make it seem like the govt is "failing".

SOB

If the government are creating jobs, it's not evident on the Australian Job Search site. What are they and where are they? I've seen lots of government jobs fold, but none created. I haven't heard of anyone rushing to take up a newly created job.

Ex Dame Pansi wrote on May 28^th, 2012 at 2:52pm:

If the government are creating jobs, it's not evident on the Australian Job Search site. What are they and where are they? I've seen lots of government jobs fold, but none created. I haven't heard of anyone rushing to take up a newly created job.

I didnt say they were creating jobs. I said they are saying they are creating jobs. Apparently they are taking credit for the 8k jobs @ ginas place and i heard the number 17k somewhere too for some mining sector jobs thing too. Thats it. Nobody else. Just miners who prolly went from 1 job straight to another anyway.

Im no gillard fan. I just dont like any of this crap thats going on ATM. Its all a war of friggin kindergarten. We are just the playing pieces.

SOB

What I'm saying is there is always plenty of rhetoric about jobs being created, but they never seem to actually appear.

Like Anna and her 10,000 jobs for Gladstone last year. Much hype, but it might not even go ahead now with the world heritage people looking at the possible damage to the Great Barrier Reef.

It's all talk to make them look like they are doing something about unemployment.

<<MORE than 2000 jobs will be axed after embattled engineering company Hastie collapsed >>
...............................................................

There's the skills shortage fixed for the engineering sector. They'll all rush out to the mines and we'll never hear about this skills shortage crap again.

Can someone tell me why Pansi and Lastnail get a kick from people losing their jobs.

And Pansi there are MANY types of engineers.

How the heck are you interpreting that as "getting a kick"? WTH?

SOB

angeleyes wrote on May 28^th, 2012 at 5:30pm:

Can someone tell me why Pansi and Lastnail get a kick from people losing their jobs. And Pansi there are MANY types of engineers.

Discussing a social issue and getting a kick out of it are two completely different things. Comprehendo?

Ex Dame Pansi wrote on May 28^th, 2012 at 6:01pm:

angeleyes wrote on May 28th, 2012 at 5:30pm: Can someone tell me why Pansi and Lastnail get a kick from people losing their jobs. And Pansi there are MANY types of engineers. Discussing a social issue and getting a kick out of it are two completely different things. Comprehendo?

Best you do some deep thinking Pansi.

Heyday sheds 500 jobs in wake of Hastie collapse
Brian Robins
May 28, 2012

As many as 500 employees of NSW electrical contractor, the Heyday Group, are believed to be out of work following the collapse at the weekend of parent Hastie Group, making it the latest in a spreading round of corporate failures in the construction industry.   :(

Union officials said the employees were told they were out of a job when they turned up for work today.

Heyday group is one of the largest data and electrical contractors in NSW and the ACT, with offices also in Wollongong and Newcastle.


"Employees were told they didn't have jobs when they turned up for work this morning," one union official said.

"This has been on the cards for many months, following the company's exposure to questionable dealings in the Middle East."

Hastie Group, the parent of Heyday group, disclosed on Friday $20 million of losses following the discovery of accounting irregularities. The disclosure came amid lengthy negotiations with the company's financiers which were aimed at recapitalising the company following heavy losses.

The losses at Heyday group follow as many as 400 jobs which are expected to be lost with the planned closure of the Kurri Kurri aluminium smelter in the Hunter Valley announced last week. In addition, as many as 800 jobs are exposed to the anticipated shutdown of the Kurnell oil refinery, with a decision here due mid-year.    :(

Sites 'occupied'

Heyday employees were notified by letter today informing them they would not be paid this week following the Hastie Group's collapse at the weekend.

"They've occupied all construction sites and they're waiting to see what happens," Electrical Trades Union NSW branch organiser Mick Doust said.

"Keeping their jobs is the main thing, because they're so scarce at the moment," he said. "They're involved in big jobs, and they want to ensure continuity of employment."

Large construction projects Heyday group tradesmen are working on now include the Grocon project at 167 Castlereagh Street in central Sydney, which will become the new ANZ Bank CBD site. Also under construction are the Equinox project in the city's inner west Alexandria, and also the new ASIO building project in Canberra.

The union has 600 members caught up in the collapse across NSW and the ACT, with another 400 Heyday employees in Queensland and Victoria, Mr Doust said.   :-?

Read more: http://www.theage.com.au/business/heyday-sheds-500-jobs-in-wake-of-hastie-collapse-20120528-1ze6f.html#ixzz1w9NYtwbu

200 Queensland jobs at risk in Hastie fallout.    :(
May 28, 2012

The jobs of around 200 plumbers at five southeast Queensland sites are in doubt after engineering group Hastie appointed administrators.   :(

Plumbers Union Queensland (PUQ) secretary Brad O'Carroll says his members only learnt that the company had called in the administrators when they arrived at work on Monday.

He said he believed workers employed by Hastie Air Conditioning and Bevis & Bartels in Queensland would be directly affected.


Among the job sites they work on are the Enoggera Army Barracks, Gold Coast Hospital, the restoration of Brisbane's City Hall, Carindale Shopping Centre and Primo Smallgoods' plant at Wacol, west of Brisbane.

Mr O'Carroll sayed he would visit the sites and do all he could to keep the plumbers informed.

He said he was angry that a $20 million accounting irregularity by a few employees had led to the company's collapse.

"The actions of a couple have triggered a domino effect and now we are seeing 200 Queensland plumbers in work limbo," he said.   :(

Administrator PPB Advisory will take control of Hastie's mechanical, electrical and plumbing businesses in Australia, which employ 2,700 people.

They will suspend operations while they assess the financial position of each company.    :(

AAP

Read more: http://www.theage.com.au/business/200-queensland-jobs-at-risk-in-hastie-fallout-20120528-1ze7g.html#ixzz1w9PKGhDY

Re: Hastie's collapse and $20 million 'accounting irregularities'

http://www.paperlinx-sux.com/

A very absorbing and informative mine of information

angeleyes wrote on May 28^th, 2012 at 6:14pm:

Ex Dame Pansi wrote on May 28th, 2012 at 6:01pm: angeleyes wrote on May 28th, 2012 at 5:30pm: Can someone tell me why Pansi and Lastnail get a kick from people losing their jobs. And Pansi there are MANY types of engineers. Discussing a social issue and getting a kick out of it are two completely different things. Comprehendo? Best you do some deep thinking Pansi.

You might notice that I discussed 'amputees' too. I don't really want all or any young men to lose their limbs.

Bit scratchy about the unemployment situation, aren't you? I wonder why.