Construction, Forestry, Mining and Energy Union general secretary Andrew Vickers also blamed BHP’s strategy of cost-cutting and increasing production for contributing towards to the coal glut that has collapsed prices.
“BHP is spearheading the drive by the multinational coal producers to increase production at lower prices – they are driving the oversupply we are seeing on global markets,” he said.
“BHP must be held to account for the fallout from this damaging corporate strategy and ‘review’ of operations.
“Seven hundred job cuts will devastate central Queensland. We will not tolerate BHP cutting permanent jobs in favour of precarious arrangements like labour hire and contracting.”
The union official said the falling Australian dollar over the past three months would have immensely benefited BHP’s bottom line and should have paused the company’s plan to cut jobs.
The CFMEU is also trying to figure out how many of the 700 jobs are from the permanent workforce and how many are from the thousands of contractors and labour hire workers that BMA employs.
At this stage the union believes 562 of the 700 jobs to go are in production.
“BHP is demonstrating a horrifying disregard for jobs and for the future of central Queensland with today’s announcement,” Vickers said.
“BHP has profited enormously from central Queensland resources over many years but today they are showing their true colours as a ruthless multinational corporation.”
Press reports indicate that some miners have already been retrenched from BMA’s Blackwater open cut coal mine.
The 50:50 BHP and Mitsubishi owned company, which has a workforce of more than 10,000, said its consultation with affected employees, contractors and union officials would occur in the coming weeks.
BMA asset president Lucas Dow said the cuts were necessary to ensure the long-term viability of the business.
BHP was not fazed by the comments made by the CFMEU and Vickers.
“We’re not going to respond to these specifically – please refer to the statement [on the job cuts] for the rationale,” a BHP spokesperson said.
BMA’s mines are Goonyella Riverside, Broadmeadow, Peak Downs, Saraji, Crinum, Blackwater and the 100% fly-in, fly-out Daunia and Caval Ridge operations.
