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 Orange transport firm victim of high fuel costs 

Orange transport firm victim of high fuel costs

23/10/2008 7:51:00 AM
ONE of the city’s iconic transport firms has become the first high profile company to fall victim to the high cost of petrol in Orange.

In a disturbing sign of things to come, soaring petrol prices have shifted from an issue of annoyance to a cause of utter devastation to the 30 employees of Whites Westran, who will all lose their jobs when the business shuts down tomorrow.

The collapse of the company, just two months from Christmas, is a devastating blow to the employees, some long-term, and their families.

The 30 staff members are understood to be shocked by the closure as they prepare to search for jobs in an increasingly bleak economic climate.

“A few are taking it fairly hard and yes, it’s a bit of a kick in the guts,” Whites Westran general manager Matthew Lobsey said yesterday.

“The cost of fuel was the major factor in what’s happened as well as compliance pressures and our rates, which we tried to keep low to keep our clients, but those rates were just too low considering the rising costs we have endured.”

Mr Lobsey yesterday said while Whites had entered into administration on September 29 due to skyrocketing petrol prices, the uncertainty circling the future of the company was revealed last week, with the company’s biggest client pulling its business and switching to another carrier.

That client was responsible for 48 per cent of all business for the company, Mr Lobsey said.

Member for Orange Russell Turner, who yesterday admitted he had all but given up on pushing for prices to be reduced, agreed high prices in the electorate had moved into disturbing new territory where people were now losing their jobs because of them.

“Talking to different people it’s not only petrol prices behind what went wrong but they were certainly a factor,” Mr Turner said.

“The good news is the employees will all get a job tomorrow because there is a desperate shortage of truck drivers in the area and I’m assured everyone will be re-employed somewhere in Orange or, at worst, Bathurst.”

Have your say - What impact has rising petrol prices had on your business? Email bevan.shields@ruralpress.com with your story.

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RUNNING ON EMPTY: White’s Westran will close its doors tomorrow, putting 30 employees out of work.
RUNNING ON EMPTY: White’s Westran will close its doors tomorrow, putting 30 employees out of work.

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