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Trevor Collett | Dec, 04 2014 | 6 Comments

Toyota has announced it will close its Sydney operation and encourage 350 of its New South Wales staff to move to Melbourne.

The carmaker says it is ‘consolidating’ its operations in Australia in the lead up to 2017, when Toyota’s Altona plant in Melbourne will cease to build cars.

Between now and 2017, 2500 factory jobs will go when workers are no longer required to build the Camry and Aurion models.

Toyota announced a further 100 office positions will be deleted as part of the reshuffle, after which its Caringbah operation in Sydney will close.

The transition is expected to take two years, but it is unclear at this stage how many Sydney employees intend to take up Toyota’s offer and move south.

Once the Caringbah facility is gone, the Altona site will become Toyota’s only major headquarters in Australia.

The Altona site however will be more or less retained ‘as is’, with Toyota announcing a “Centre Of Excellence” to be housed within.

Toyota says the Centre will become a world-class training facility with “other commercial initiatives that will enhance the company’s business and the community”.

“The decision to consolidate our corporate operations to Melbourne supports our long-term vision and will assist us in improving business efficiency, increase collaboration and reduce operating costs,” Toyota Australia President, Dave Buttner, said.

“The intention is that the relocation will be aligned to the end of manufacturing and we will encourage our Sydney-based employees to move to Melbourne.”

Under the newly-announced arrangements, 1300 of the current 3900 staff will be retained by Toyota post 2017.

MORE: Senate Launches Inquiry Into Australian Auto Industry
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