Alpine Resorts Victoria (ARV) has announced its intention to attempt to lease Lake Mountain and Mount Baw Baw to a private operator. Such a lease could last for as long as 99 years, effectively privatising the operation.
Neither ARV nor the Victorian Government have consulted with the Australian Workers' Union (AWU) regarding this matter.
AWU members have expressed to the AWU feeling uncertain about their future after this announcement.
This announcement comes after redundancies have already been made at both Lake Mountain and Mount Baw Baw. The AWU's message to interested private operators is that it is impossible to achieve profitability at these resorts by cutting jobs.
Recent experience at these resorts has shown that when their attractions are invested into, visitorship grows – when investment is withdrawn, visitorship declines. Everyone knows you have to spend money to make money, and that is the only pathway forward for Lake Mountain and Mount Baw Baw.
AWU Organiser James Newbold says it's time for the Victorian Government to consider all options.
"If no private operator steps up to run these resorts, then the Victorian Government needs to read the writing on the wall and stump up investment to secure the resorts more affordable power supplies and expand their winter and non-winter attractions," Mr Newbold says.
"The Victorian Government must cut to the chase and consider investing in these resorts now."
These investments can be funded by amending Schedule 1 of the Alpine Resorts (Management) Regulations 2020 to give ARV more flexibility in determining entry fees to the resorts during the declared snow season. Consideration should be given to permitting ARV to discount entry fees on weekdays and increase entry fees on weekends to increase visitation and revenue.
In response to public commentary about the unusual timing of this announcement, the AWU notes that after a year of negotiations the AWU recently reached Agreement In Principle on a new Enterprise Agreement with ARV, to set new wages and working conditions for public servants across all Victorian resorts. This may have been a factor in delaying ARV's announcement, due to the associated wages costs of the Enterprise Agreement needing to be factored into the tender.
This attempt to lease Lake Mountain and Mount Baw Baw follows the Victorian Government outsourcing the jobs of AWU members in sectors such as road maintenance over the last several years.
"Prospective private operators are put on notice that AWU members will defend their local communities interests, as well as their hard-won wages and conditions, in the event a private operator attempts to put profits before people." Mr Newbold said.
Mr Newbold reaffirmed the Union's commitment to the region.
"The AWU is ready to work with any private operator who will support local communities and invest in growing Lake Mountain and Mount Baw Baw," he says.
