Holden set to axe 500 jobs from Melbourne plant

Car maker Holden has confirmed plans to end production of four cylinder engines at its Melbourne operations.

The company said today it now had a timescale for the ending of production of its Family II four cylinder engine.

"Family II is the older of the two engine types currently built at Holden's engine operations at Fishermans Bend," the company said in a news alert.

Holden also builds V6 engines in a new A$400 million ($500 million) facility opened in 2003.

The company said full details of the Family II announcement would be made at a media conference at its Melbourne headquarters later today.

There was no immediate word on job cuts, although the Australian Manufacturing Workers' Union said 500 jobs could go.

- AAP