Mass Layoffs at Tahmoor Coal Mine: 238 Jobs Cut by Friday, Support Hubs Established for Affected Workers

Urgent Workforce Reduction at Tahmoor Coal Mine

Up to 238 jobs will be made redundant at the Tahmoor coal mine by Friday, following the appointment of liquidators by the Supreme Court last Friday. This decision impacts a significant portion of the mine's 328 employees, with liquidators McGrathNichol moving swiftly after their appointment.

Timeline and Worker Decisions

Workers have only until Friday to decide on their futures, with mass meetings scheduled in Tahmoor involving union representatives. Many employees face a critical choice: take a period of leave without pay to preserve accrued entitlements, hoping the mine is sold and reopened, or accept redundancy.

Liquidators Shaun Fraser and Jonathan Henry stated, "Following an urgent assessment of Tahmoor's current business and operations since their appointment, the liquidators have made the difficult decision to reduce the workforce." They acknowledged the significant impact on employees, families, and the local community.

Union and Government Support

Mining and Energy Union (MEU) district president Bob Timbs emphasized the difficulty of the situation, welcoming the unpaid leave option to potentially remain employed until the mine reopens. The union will closely support members to ensure they are informed about options and receive entitlements.

Federal government support hubs are being set up in Tahmoor and Wollongong this Thursday, Friday, and Tuesday, March 17. Located at the Tahmoor District Sporting Complex and the MEU base in Kembla Grange, these hubs will provide advice on job opportunities, retraining options, and financial assistance from 9:30 AM to 3:00 PM each day.

Background and Future Prospects

The Tahmoor mine, once highly profitable, faced financial troubles under British industrialist Sanjeev Gupta's ownership, leading to administration in February and liquidation last Friday. Suppliers stopped services due to unpaid debts, halting operations, though workers continued to be paid until liquidation.

An urgent sale process for Tahmoor Coal's assets is underway, with "several credible parties" involved. Liquidators are consulting with management, staff, and unions, and remaining workers will undertake care and maintenance at the mine.

For long-serving miners with significant entitlements, the leave option could preserve employment continuity if the mine is sold and reopened quickly. Liquidators noted, "Employees facing redundancy have been offered the opportunity to take a limited period of leave without pay, which could provide employees the option of preserving their accrued entitlements."