The operator of South Australia’s Whyalla Steelworks has brought forward 350 contractor job cuts in a shock move that has blindsided workers and brought the relationship with the state government to a new low.
The mining operation at Iron Knob was due to wind up soon, but yesterday GFG Alliance suddenly scrapped the contract to supply the Whyalla Steelworks, leaving 350 contractors out of work sooner than they expected.
“My thoughts were that there were more hematite resources to be removed… for whatever reason the GFG board has made a decision to end that contract,” Energy and Mining Minister Tom Koutsantonis said.
The move has brought the growing distrust between the government and GFG out into the open.
“We are in a scenario now where we are …