CBH Resources reduced its workforce by 130 people at Endeavor Mine last week after the company announced a cut in production.
CBH Resources’ chief operating officer Visko Sulicich said the cut comes as a result of on-going cash losses through 2019 as the orebody comes towards the end of its current reserve.
“Production will be reduced to a minimum level of approximately 17,000t/month for the remainder of 2019 while at the same time partially completing infill drilling of the inferred Deep Zinc Lode Resource to better appraise its future viability,” Mr Sulicich said.
The current workforce of 161 full time CBH employees and 40 contractors will be reduced to just 71 people.
“This decision has not been taken lightly,” Mr Sulicich said.
Endeavor’s general manager Denver D’Angelo broke the news to mine employees at a meeting the Cobar Bowling & Golf Club last Wednesday morning.
He said the affected staff, along with those who would be retaining their jobs, were all notified of the outcome during a series of meetings from Thursday through until Sunday afternoon.
Mr D’Angelo said the company was offering redundant employees support in the form of counselling services, information on accessing outplacement and he said Centrelink staff will also be available for advice.
“Redeployment options will be considered in respect of the Rasp Mine in Broken Hill, training records will be made available as requested,” Mr D’Angelo said.
Redundant employees in company housing are to be given three months free rent.
Mr D’Angelo told The Cobar Weekly
he does not expect the company changes would affect the level of support that
Endeavor currently provides to the local community.