From the 70s, the Fletcher Jones Company had been a leader in their field through the adoption of new technologies to improve efficiencies. During the 1980s, the government started to dismantle the protectionist tariff system & local manufacturing in Australia began to decline rapidly. By the late 1980's and early 90's thousands of textile, clothing and footwear industry workers lost their jobs, companies shut down and reduced working hours became common as tariff cuts hit.
Fletcher Jones, despite, their best attempts to continue to improve efficiencies, could not compete with cheaper imports from China where the cost of labour was far less. In June 1989, 75 Warrnambool staff were retrenched. In February 1991, another 17 were retrenched while other staff accepted a four day week as the company struggled with slow sales.
By 1991, the Hawke-Keating government had completely scrapped the protective tariffs and FJs closed their local manufacturing operations and shifted to offshore sourcing.
See Fabric of a Dream movie excerpt below.
