From boom to bust: is mining employment drying up?

by Stephanie Zillman10 Oct 2012

From boom to bust: is mining employment drying up?BHP Billiton has today announced it will be cutting jobs from its iron ore division, and while it has yet to confirm just how many jobs are on the chopping block, approximately 200 jobs are reportedly set to go.

A spokesperson for the mining heavyweight told ABC that most of the job losses will be Perth-based and will be in the company's iron ore division, and it will not know how many will go until it determines how many can be redeployed elsewhere. The redundancies are part of a broader effort across the organisation to rein in costs amid sliding commodity prices, the spokesperson also said. “Against a backdrop of increasing costs and falling commodity prices, we continue to focus on reducing our overheads and operating costs,” BHP confirmed. The move follows another recent announcement that the company will close one of its Queensland coal mines – several hundred employees will potentially be made redundant.

Today also brought a wave of redundancies at a major manufacturer of materials for heavy engineering projects – the four companies in the RPG Group went into voluntary administration last week, and confirmed it is terminating 154 roles. The main business of the group is the construction of large steel structures, such as towers for wind farms, pilings for wharves and bridges, pipes, and other steel structures used principally in the mining and renewable energy sectors.

The announcements come just one week after the Reserve Bank (RBA) governor Glenn Stevens cautioned the end of the resources boom is nigh. “The peak in resource investment is likely to occur next year, and may be at a lower level than earlier expected,” Stevens said in his post-meeting statement.


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  • by Michelle Dowding 10/10/2012 3:49:55 PM

    The smarter business people in the 'wider business world' have already moved on, ie non-renewable means just that. The future is renewable, sustainable business that shows foresight about future generational needs while looking after their own.

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