Archive, Industry News

63 jobs to go as Sandvik Mining takes a hit

Sandvik Mining is to lay off 63 staff as it closes its Wollongong, NSW, site and downgrades its Kalgoorlie, WA, operation as a result of a continuing decline in the mining sector.

The company, which supplies equipment and tools, service and technical solutions to the mining industry, will now service the Illawarra and South Coast regions of New South Wales with a dedicated field service division. In Western Australia’s Eastern Goldfields region, its Kalgoorlie site will now primarily operate as a field service division, warehouse and rock drills rebuild facility.

“Sandvik Mining in Australia continues to operate under very challenging market conditions, with the continued reduction in commodity prices and subsequent decline in the mining business,” Sandvik Australia country manager Rowan Melrose says. “As a result Sandvik Mining has undertaken a further review of the business and adjusted our Australian operations accordingly.”

Melrose says Sandvik will now carry out pre-deliveries and machine rebuilds and repairs for the company’s Wollongong and Kalgoorlie customers from its Heatherbrae and Perth productivity centres. It also operates productivity centres in Orange, NSW, and Mackay in Queensland.

“We have substantially upgraded these four facilities, with streamlined and improved work practices and processes to better service our customer’s needs and set new standards for quality, safety and environmental performance, service efficiency and turnaround times,” Melrose said.

Referring to the redundancies, which will take place in Sandvik Mining’s service and corporate services divisions and reduce the overall Sandvik workforce in the region by about 4.5 percent, Melrose says: “Unfortunately, these redundancies are necessary as a result of the continuing decline in market conditions.

“Sandvik is not alone in having to make these difficult decisions, with other suppliers of equipment and services, along with mining companies, announcing employment reductions and facing the same situation.”

“We deeply regret the local impact these decisions will have on the individuals concerned, their families and the community,” he says, adding that affected employees will be offered career transitioning services and access to the company’s Employee Assistance Program.


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