Peak cuts 22 jobs after copper drops

Peak Gold Mines has announced 22 workers are expected to be made redundant this week, citing low commodity prices for the decision.

The company announced last Wednesday that low copper prices had resulted in a reduction of the number of tonnes planned to be mined in 2016 “in order to focus on mining the higher grade, more profitable ore”.

“With less tonnes being mined in 2016 a restructuring of the mining department will be carried out and a number of positions will be affected,” Peak said in a statement.

A total of 36 positions are planned to be made redundant including 14 roles which are currently vacant.

Peak Gold Mines currently employs approximately 350 people.

The company has also refused to rule out further redundancies in the future, but said it could not confirm any plans for more job cuts.

PGM’s general manager Greg Bowkett said he recognises the news is “difficult for affected employees and their families”.

“Like other companies in our industry, the decline in commodity prices has required us to make some challenging decisions.

“While we did not make this decision lightly, I am confident that the changes to Peak’s operating plan will facilitate the ongoing success of the mine,” Mr Bowkett said. 

“Peak Gold Mines takes pride in being a safe, values-based business that is a proactive member of the Cobar community.

“The Donations Board and our employees are always looking for ways to do more within the community with less reliance on financial spend.”