Mining contractor, Downing EDI Mining, today confirmed that 106 jobs have been cut at the Idemitsu Boggabri Coal mine.
Workers were told of the redundancies on Friday, with 87 employees and 19 contractors losing their jobs.
The remaining workforce at the mine stands at 244.
The decision was made following a reduction in production targets at the Boggabri mine site.
It comes following discussions between the CFMEU and the company which began on April 8.
CFMEU District President Peter Jordan said the decision is a major setback for the local region, and raised concerns that some contractors may have kept their jobs while full time employees were made redundant.
“It’s a horrific blow to the community, particularly if local employees are losing their jobs that have families and live in the community and contractors from outside the place are keeping their jobs,” Mr Jordan said.
“We simply won’t accept that.
“We’ll defend the employees to the best of our ability and with the resources the union has got.”
Earlier this month, Idemitsu Chief Operating Officer, Rod Bridges, said Downer EDI would undertake a shift restructure as an interim measure to meet current business circumstances surrounding the mine.
He also said the recent coal chain capacity constraints contributed to the need for the restructure.
Today’s news comes after Whitehaven Coal axed 40 jobs, including 30 permanent positions and 10 contractor roles, at its Tarrawonga and Rocglen mine sites last month.
The Boggabri workers are expected to finish work on May 17.