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Refinery closure won’t affect truckies, Caltex says

Caltex says drivers won't lose their jobs once the company closes its Kurnell oil refinery in mid 2014

Ruza Zivkusic-Aftasi | July 30, 2012

Caltex has pledged no truck drivers will be forced to look for new work when the petroleum firm closes its Sydney refinery in less than two years’ time.

Caltex last week announced the Kurnell refinery would be closed before being turned into an import facility. The decision is expected to cost at least 330 people their jobs.

A spokesman for the company, Sam Collyer, says no truck drivers will lose their jobs. The closure will not affect the cost of fuel either, he adds.

“Where we get our fuel from in terms of whether we find it locally or get it from suppliers overseas does not have any impact on the customer because we’re still sourcing the same quality products at an internationally benchmarked price and we’re still the same retailer,” Collyer says.

“This is a decision that only has the effect on the earlier part of the supply chain – which is where we source the fuel from.”

Caltex CEO and Managing Director Julian Segal blamed tough trading conditions and a strong Australian dollar for the decision to close the refinery. The company also struggled to compete with the more cost-effective Asian refineries.

Kurnell has been operating for 57 years and its closure will cut Caltex’s workforce in New South Wales from 1,650 to 1,320. The company says its Lytton refinery in Brisbane will stay open.

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