Updated June 10, 2018 07:57:20 A $1 billion industry that makes up the bulk of the Australian steel industry is facing a potentially catastrophic drop in production as producers grapple with low production volumes.
The industry’s woes are caused by two factors, according to the chief executive of a steel producer.
One is a lack of investment in the sector, as the industry struggles to produce sufficient volumes of steel to meet demand.
The other is a shortage of workers, as many of the steel mills have closed.
The Australian Industry Group says its iron ore mine in Victoria has lost 40 per cent of its production over the past two years.
“There’s been a huge amount of cuts to the iron ore industry over the last couple of years,” said Steve Burtch, chief executive officer of the AIG.
We’ve been looking for people to help us with that, but they’re not being recruited.” “
In Victoria, the number of workers that are employed there is down by 25 per cent, and there’s been some sort of cutback to the steel mill in Victoria.”
We’ve been looking for people to help us with that, but they’re not being recruited.
“Mr Burtcher said he was aware of a proposal by the Australian Industry Association to bring back some of the job losses that the steel industry suffered during the mining boom, and was “very interested in hearing about what other companies are doing”.
Iron ore producer Victoria Steel is one of a number of iron ore mines that have lost 40 to 50 per cent production over two years, and are struggling to find enough skilled workers to take over those jobs. “
The industry is a very diverse industry,” he said.
Iron ore producer Victoria Steel is one of a number of iron ore mines that have lost 40 to 50 per cent production over two years, and are struggling to find enough skilled workers to take over those jobs.
Victoria Steel is also a major iron ore producer in New South Wales and Queensland, but has also been struggling to fill its existing capacity in the WA area.
It said it had lost 400 to 500 workers since the mining and steel boom started.
Mr Foye said Victoria Steel’s decision to make the change was based on the need to keep the iron and coal mines operating.
However, the state’s unemployment rate was 6.5 per cent last year, well above the national average of 3.3 per cent.
The iron ore boom in WA, Victoria and Queensland saw production grow by 25 to 30 per cent between 2008 and 2014, but the industry has now contracted by 30 per of those years.
Iron ore is currently the third largest ore ore in the world, behind only natural gas and coal.
In Victoria and NSW, steel production has increased by around 20 per cent each year since 2009.
The iron ore market is expected to grow by around 10 per cent this year.
At the moment, Victoria Steel does not have any plans to bring in new workers to fill those jobs, despite a proposed change in its employment policy.
Topics:mining-industry,mining-environmental-issues,business-economics-and-finance,jobs,business,industry-and/or-federal-government,australia,vicSource: ABC News