Aussie Icon Nylex in administration

By: Chris Smith


Iconic Australian manufacturer Nylex has gone into administration, jeopardising the jobs of up to 180 workers at its Victorian plants.

Iconic Australian manufacturer Nylex has gone into administration, jeopardising the jobs of up to 180 workers at its Victorian plants.

A diversified Australian manufacturer with over 60 years of history, Nylex produces hose and garden fittings, water tanks, Ajax fasteners and the iconic "Esky’ coolers, a wide range of automotive plastic and fabric components from interior panels to fuel tanks, as well as construction and building products.

The National Union of Workers has 150 members involved in production and storage and distribution for Nylex across sites in Somerton, Pakenham, Sale and Seaford.

Victorian Secretary of the National Union of Workers (NUW), Antony Thow says the announcement is another crushing blow for Australian manufacturing.

"There would hardly be a household in Australia without a Nylex product of some sort," he says.

"Yet even a company with the history and brand recognition of Nylex is struggling in this very tough economic environment."

Nylex shares had been placed in a trading halt, pending further announcement following discussion with its lenders and financial advisers about future operations of the company.

"We are also concerned that Nylex may have been another victim of ‘uncontracted cost write-downs’ by the automotive producers," Thow says.

He says the Union believes this practice of car producers demanding cheaper prices mid-way through a contract is placing enormous financial pressure on the Australian automotive component manufacturing sector.

"The Federal Government must act now to save our auto components producers by prohibiting this practice."

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