Towage provider Svitzer Australia has advised customers that it has announced to employees that it is consulting on a proposal to exit the ports of Jackson (Sydney Harbour) and Geelong following “significant financial losses” in both ports.
Svitzer Australia advised customers that it will continue to provide towage services in both ports until the conclusion of the consultation process and the decision is implemented. The proposed exit date is currently 21 December 2020 but that date is subject to the outcome of consultation with employees and the union.
“Our employees are our priority at this stage,” Svitzer Australia said in its customer advisory.
“We have not come to this decision lightly, and it is a result of changed market factors and our inability to respond effectively to those changes. Over the last two years, we have been operating at a significant financial loss in the ports, which is no longer sustainable,” the towage provider added.
Svitzer Australia concluded that it will continue to service vessels under the contract terms and that the proposal to exit Geelong and Jackson does not affect its services in other ports around Australia.
