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21 March, 2001Australian workers show their concern over possible repercussions on jobs following merger.
AUSTRALIA: The announcement on March 19 that the mining company BHP Ltd will merge with the London-based metals multinational Billiton PLC has set off a round of strikes by steelworkers and coal miners in eastern Australia. The unions and workers are greatly concerned that the proposed A$57 billion (US$28 billion) deal will result in large-scale job losses.
Although BHP claims the contrary, the national secretary of the IMF-affiliated Australian Manufacturing Workers' Union, Doug Cameron, said: "I've never seen a takeover or a merger yet without job losses or insecurity. The government should review its industry policy and call on major resource companies to maximise Australian input to benefit the metal manufacturing sector."
BHP has said that in order to better concentrate its activities on minerals and petroleum, it would spin off its steel business, with a workforce of 12,000, by the end of 2002, thus ending its 86-year association with steel-making.
The merger will bring together the leading producer of iron ore and coal mining - BHP - with Billiton's dominant role in aluminium and chrome production and create the world's second-largest mining group.
Although BHP claims the contrary, the national secretary of the IMF-affiliated Australian Manufacturing Workers' Union, Doug Cameron, said: "I've never seen a takeover or a merger yet without job losses or insecurity. The government should review its industry policy and call on major resource companies to maximise Australian input to benefit the metal manufacturing sector."
BHP has said that in order to better concentrate its activities on minerals and petroleum, it would spin off its steel business, with a workforce of 12,000, by the end of 2002, thus ending its 86-year association with steel-making.
The merger will bring together the leading producer of iron ore and coal mining - BHP - with Billiton's dominant role in aluminium and chrome production and create the world's second-largest mining group.