Alex de Vos
Alcoa plans to sack 98 staff at its Point Henry and Anglesea plants, according to Australian Workers Union.
Organiser Gavin Penn said the aluminum giant confirmed the job cuts during crisis talks with union officials on Wednesday afternoon.
He said the redundancies cut 14 per cent of Alcoa’s workforce including “some staff people, 30 to 35 operators and 28 contractors”.
Alcoa would sack 78 workers at its Point Henry smelter and 20 at the company’s Anglesea power station.
“We find it absolutely appalling, especially considering the price of aluminum per tonne has increased from $1450 to $1650,” Mr Penn said.
“That alone puts millions of dollars in Alcoa’s pockets.”
Mr Penn said Alcoa would also cut workers’ hours and change shift rosters as part of its plan to slash $26 million off the organisation’s budget.
“We’re certainly not agreeing with this at this point in time,” he said.
“They haven’t provided any protection at all.”
Mr Penn said the union also expected further jobs cuts at Alcoa’s Portland plant.
“It’s not looking promising,” he said.
Alcoa spokesperson Brendan Foran told the Independent the company had “no confirmed redundancies”.
Wednesday’s meeting followed reports last week that Alcoa had warned Federal Government that its proposed emissions trading scheme could force the company to close its Point Henry rolling mill, costing 350 jobs.
An Alcoa submission to the Government said the mill would close if it failed to qualify for assistance under the proposed carbon tax.
Earlier this year, the Independent reported that 1100 Alcoa Geelong jobs could be at risk under the proposed carbon emissions trading scheme.
Mr Foran said in the report that Alcoa was a commodity business, so it would be unable to pass on costs of the trading scheme to customers.
Alcoa employs about 1200 people at Point Henry and Anglesea.
The rolling mill and smelter operate separately under the Alcoa banner at Point Henry.