SIPTU members shocked at announcement of lay-offs at Tara Mines

SIPTU Divisional Organiser, Adrian Kane, has said that workers at Tara mines are shocked and disappointed following the announcement by the company that it is to halt production and lay-off 650 employees in the coming weeks.

He said: “SIPTU members at Tara Mines are deeply disappointed at the news that 650 workers are to be laid off within the next few weeks and the manner by which it was communicated to them this evening.

“Our members are also concerned that they were not informed in advance of this announcement of temporary lay-offs, without pay, by the company.

“Tara Mines is a critical part of both the local and national economy and we will be engaging with management to discuss how the effects of these lay-offs can be mitigated.”

In a statement issued this evening, Boliden said that "due to a combination of factors, the Tara mine in Ireland will be placed under care and maintenance."

The decision means that production and exploration is to cease.

"The Tara zinc mine in Ireland is a high-cost mine with approximately 650 employees," the statement continued.

"Boliden is working actively to extend the life of the mine in parallel with ensuring its competitiveness.

In a letter to staff, General Manager Gunnar Nystrom said:

Dear colleagues,

We are writing to let you know that the board of Boliden Tara Mines met earlier this evening and has made a decision to temporarily suspend operations at Navan.

This means that the mine will enter a ‘care and maintenance’ period within the next four weeks.

This decision has been taken to safeguard the long-term future of the operation at Navan, in response to significant and unsustainable losses that the business here is currently experiencing. The directors of Boliden Tara Mines believe that this situation is temporary.

Regrettably, it means that up to 650 Tara Mines employees will be temporarily laid off. For those impacted, a temporary lay-off means that you will continue to be an employee of Tara Mines, but your wages will cease during this period.

We are acutely aware of the difficulty and disruption that this decision will cause for our employees. We are also aware that it will come as a shock. We will remain in continuous dialogue with you and your representatives to keep you updated and informed about the situation.

The decision has been made this evening 13 June 2023. The management team will review further supports available to employees during the temporary layoff and will update employees accordingly.

We will also work with the local social welfare authorities and other relevant state agencies to assist employees in availing of the supports that are available to you.

The losses being experienced have been brought about by a combination of factors that have made this decision unavoidable. These factors include operational challenges, a decline in the price of zinc, high energy prices, and general cost inflation.

We did not foresee a combination of events like this coming, but we simply have to stem the unsustainable cash outflow that we are currently experiencing, in order to safeguard the long-term future of the mine.

We cannot be definitive about how long the period will last, but will keep you updated frequently."

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