UNIONS are urging Xstrata to offer voluntary redundancy packages to employees who will lose their jobs as the demand for coking coal continues to plummet.
Xstrata will sack up to 230 workers from its Oaky Creek Coal Mine near Rockhampton in central Queensland following continued decline in the demand for coal.
According to Xstrata, the cutbacks come in response to “reduced market demand and sales for hard coking coal from the continued economic crisis and downturn in steel and manufacturing industries”.
The Construction, Forestry, Mining and Energy Union (CFMEU) is pushing the troubled miner to offer voluntary redundancy packages to sacked workers so employees can apply for redundancy rather than being forced to leave the company.
The CFMEU is also urging Xstrata to release details about its financial situation to gauge the extent of its 2009 contracts and gather information regarding the marketing situation.
CFMEU Vice President, Stuart Vacceneo, says the union is “very hopeful the miner will see some ‘sense’ and allow people to apply for a voluntary redundancy rather than forcing anybody to go”.
The company has not committed to any agreements as yet.
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