Atlas Iron Slashes 80 Jobs

Atlas Iron will cut 80 jobs as the embattled iron ore miner slashes costs amid weak iron ore prices.

The job losses account for more than 11 per cent of the company’s 700 strong workforce in the Pilbara.

Chief executive Ken Brinsden said the job losses were an inevitable result of the sharp falls in the iron ore price, which is down 50 per cent for the year to around $US70 per tonne.

The company’s break-even price is understood to be around US$80 per tonne.

“It’s imperative Atlas maintains a competitive cost base in light of current market conditions,” he said.

“We regret to see many good people leave our business.

“However these changes are necessary and will help ensure our longer term sustainability.”

The job cuts would not affect Atlas Iron’s current or future production levels, nor its 2015 full year production guidance, it said.

Atlas is aiming to achieve annual savings of between $65 million and $90 million by June, and recently reduced the size of its board and cut pay for the remaining directors.

Two board members resigned and the remaining six were offered to reduce their pay by 15 per cent.


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