Re­port con­firms jobs hit

Kalgoorlie Miner - - NEWS - Jar­rod Lu­cas

The high level of cor­po­rate ac­tiv­ity in the WA gold scene is pro­vid­ing a “sense of op­ti­mism” but over­all sen­ti­ment in the min­ing in­dus­try re­mains “lousy”.

The view was con­tained in a new re­port by DFP Re­cruit­ment, which con­trols Kal­go­or­lie-based firm Strud­wick HR.

DFP’s monthly Min­ing and Re­sources Job In­dex, which mea­sures the level of job ad­ver­tise­ments across Aus­tralia, suf­fered a dra­matic fall of 8.6 per cent in July to 47.87.

The in­dex has lost 17.54 points since Fe­bru­ary, down from a base rate of 100 points when DFP com­mis­sioned the re­search in June 2013.

July was the sec­ond-big­gest monthly fall, eclipsed only by an 8.9 per cent fall in Fe­bru­ary 2014.

The DFP re­port noted there were fur­ther job cuts in July, in­clud­ing Yan­coal with 225, BHP Bil­li­ton con­tin­u­ing with its “forced re­dun­dancy pro­gram” and losses in Kam­balda with Panoramic Re­sources.

“For those in em­ploy­ment, there also re­mains down­ward pres­sure on salaries and con­tract rates as em­ploy­ers seek to lower pro­duc­tion and over­head costs,” the re­port stated.

The re­port showed the num­ber of va­can­cies ad­ver­tised has fallen 34.9 per cent in the last 12 months.

WA is fac­ing con­sid­er­able chal­lenges, with va­can­cies down 6.5 per cent in July and 15.1 per cent over the last quar­ter.

The bright spark has been pro­vided by merger and ac­qui­si­tion ac­tiv­ity by WA gold min­ers Met­als X, Evo­lu­tion Min­ing, La Man­cha Aus­tralia, Phoenix Gold and Regis Re­sources, who were all en­gaged on var­i­ous fronts in July.

“This may well cre­ate some op­ti­mism in the em­ploy­ment front with cap­i­tal com­ing into new or pre­vi­ously shelved projects,” the DFP re­port stated.

The re­port added this month’s Dig­gers and Deal­ers Min­ing Fo­rum, where 1700 del­e­gates de­scended on Kal­go­or­lie-Boul­der, high­lighted that “sen­ti­ment in the in­dus­try was gen­er­ally lousy”.

De­mand for oc­cu­pa­tional health and safety pro­fes­sion­als took a sub­stan­tial hit, fall­ing 15.2 per cent in July and has now col­lapsed 34.2 per cent in six months.

Tech­ni­cal ser­vices and main­te­nance man­age­ment sec­tors shed 17.2 per cent in July.

Pro­duc­tion and pro­ject man­age­ment spe­cial­ists, along with ge­ol­o­gists and other sciences, re­mains the weak­est two man­age­ment cat­e­gories.

The min­ing ser­vices sec­tor fell 13.3 per cent in July and 31.1 per cent over the last six months, a clear con­se­quence of the con­trac­tion in new min­ing in­vest­ment.

“As new pro­ject de­vel­op­ment dwin­dles and pric­ing pres­sure in­ten­si­fies, the min­ing ser­vices and sup­pli­ers sec­tor has been one of the worst hit sec­tors and is brac­ing for more down­turn,” the re­port stated.

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