The future of 300 coal jobs are in doubt after a mining contractor sent its workforce home over unpaid bills for the fourth time.
Carna Civil Mining ordered its workforce to leave Griffin Coal mine, about 200 kms south of Perth, and removed all its machinery from site.
The move comes after months of missed payments by Griffin Coal’s owner Lanco Infratech.
Carna Civil and Mining has stood down staff at the mine three previous times over Lanco’s failure to pay an outstanding debt of several million dollars.
However CFMEU secretary Gary Wood said this may be the last straw, ABC reported.
"I think that it's coming to a head on both sides," CFMEU secretary Wood said.
"I think both the company Lanco and Carna have to position themselves to accept in one way, shape or form their responsibilities for the mining of coal."
The mine supplies coal to the first privately-owned power station in WA, the Bluewaters Power Station, a critical supply of power in the region.
Bluewater says it is watching the situation closely.