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Pike River Aftermath: Layoffs, Lawyers and Long Investigations

13 December, 2010

In the 19 days since 29 miners were pronounced dead in New Zealand’s worst mine disaster in 114 years, recovery of the remains of those that perished is still far off, and Pike River Coal Ltd. has given redundancy notices to 90 full-time workers.

That happened on 8 December.

Pike River has already severed its relationship with 70 contract workers at the coking coal mine near Atarua on the west coast of the South Island.

Meanwhile, police and Labour Ministry interviews of Pike River workers over mine safety became contentious when the company insisted on having its lawyers sit in on the interviews. The Engineering, Printing, and Manufacturing Union (EPMU) objected to that, saying it might inhibit the investigation into criminal liability.

“We have objected – it’s a clear conflict of interest,” said EPMU National Secretary Andrew Little. “Police are looking for criminal liability among workers or management – or both. It’s improper for the company to be represented by lawyers in those interviews.”

EPMU National Secretary Andrew Little

Pike River issued the mandatory four-week layoff notices to its permanent staff last week, meaning that 90 miners will not get paid beyond mid-January. Pike River Coal Ltd. has already launched a commercial feasibility study assessing whether or not it will continue mining the rich Brunner coal seam, but investors say it will take NZ$200 million to re-start the mine.

But it’s estimated that it could still take several weeks – or months – before the remains of the dead miners are recovered. A local coroner has visited relatives of the deceased to get DNA samples, indicating the difficulty that lies ahead to identify the 29.

The initial 19 November methane gas blast at the Paparoa Range mine most likely killed all 29 miners. Following a subsequent explosion on 24 November, the miners were declared dead. In the days that followed, two further explosions occurred, with coal-stoked fires raging deep in the horizontal shafts of the mine until the middle of last week.

On 29 November, New Zealand Prime Minister John Key announced formation of a three-member Royal Commission of Inquiry to determine causes of the tragedy. That Commission, headed by High Court Justice Graham Panckhurst, with two international mine safety experts on it, will be given broad latitude and it could take up to two years to assemble findings. In the meantime, area police, the Labour Ministry, and the EPMU will conduct separate investigations.

NZ Congress of Trade Unions President Helen Kelly with Ian Murray and Tim Whyte, CFMEU Australia at the 2 December Memorial Service

Police ended supervision of the mine-site last week and turned recovery procedures back to the company. A Polish-designed Górbniczy Agregat Gaśniczy (GAG) jet engine inertisation unit was brought in from the Queensland, Australia, Mine Rescue Unit and on 2 December began to suppress the fires and neutralize combustible gases with inert gases, such as nitrogen.

While this continued over this weekend, a metal cap was placed over the main shaft to allow back pressure in the mine and to further inert deadly gases inside the mine. Early speculation to the cause of the initial explosion was a power outage to a ventilation fan that was some 100 metres into the mine. Methane quickly built-up, followed by a massive explosion.

When an electrician went inside to check the outage during the fateful afternoon of 19 November, the explosion deeper in the mine blew him off his feet. He did manage to rescue an equipment operator who was thrown from a machine, and the two escaped 108 metres up a ladder in a ventilation shaft. Whether or not the giant ventilation fan had been topside, making it easier to re-start, will surely be one of the many issues in upcoming investigations, including the Royal Commission Inquiry.

Several disaster relief funds have been established, and the ICEM is recommending donation be sent to EPMU’s “Pike River Miners’ Family Support Trust.” The ICEM’s New Zealand affiliate said half of everything contributed will go to the Grey District Labour Council community fund, with the other half used to establish a dedicated fund for the education of the children of those miners killed.

Bank transfers can be made to Kiwibank in New Zealand. Account number 38-9011-0165987-00, with checks written to: EPMU Pike River Miners’ Family Support Trust, c/o PO Box 14-277, Kilbirnie, Wellington, NZ 6241.

Several labour organisations across the globe have already contributed, including A$100,000 by the Australian Construction, Forestry, Mining, and Construction Union (CFMEU) and C$10,000 by the Canadian Auto Workers (CAW) Union.