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Downsizing deals - Rio announces job cuts in Hunter Valley mines
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Friday, 03 Apr 2009
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ABC reported that mining giant Rio Tinto has wielded the axe at several of its Hunter Valley mines, announcing dozens of jobs will go as part of its global plans to reduce mounting debt.

Recently Rio Tinto announced that it would slash 14,000 jobs worldwide, but its Hunter Valley subsidiary Coal and Allied has delayed announcing what local positions would go.

It announced that 35 jobs will be lost from its Hunter Valley Operations, the Mount Thorley Warkworth super-pit and the Bengalla mine.

Mr Peter Jordon spokesman of Miners Union said that the workers are facing nervous times.

Mr Jordon said that "What needs to be understood about that is that the company's not guaranteeing redeployment. They're saying that if you will be made redundant from the coal handling plants then what you will have to do is apply for a job in the mine, you'll be interviewed you have to undergo medicals and if you're not accepted you'll be made redundant."

Mr Jordan said that it is disappointing news when the company announced a record profit of USD 804 millions for the Mount Thorley mine last year.

He said that "They'll probably produce in 2009 more than their budgeted tonne so employees are being told we're shedding jobs but we're not shedding production. So less people will produce more coal and the company wants to save more dollars when they made a massive profit in 2009."

(Sourced from ABC Online)

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