Gujarat cuts 90 jobs

After suffering weeks without pay, Gujarat NRE employees have been served another blow, being told the company will cut 20 per cent of its workforce by January.

Company chairman Jasbir Singh announced a "workforce restructure" on Wednesday, saying about 90 job losses would come mostly from voluntary redundancies.

Singh blamed poor market conditions for the cuts and said the company would "make every effort to keep forced redundancies to an absolute minimum".

"Coming on top of the recent turmoil with employees' wages and the fight to keep the mines operational, this is a bitter blow but one that is necessary for the sustainability of the mining operations into the future," he said.

Employees will have until December 23 to put their hand up for voluntary redundancies, with payouts due to be finalised on January 10.

Redundant workers will finish up at the mine on January 17.

In November Jindal Steel increased its stake in Gujarat NRE after investing a further $58 million into the company, adding a further 726 million shares its portfolio.

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