P.S.A. fears for mine jobs

Press, 20 February 1987, Page 1

P.S.A. fears for mine jobs

PA Wellington The Public Service Association is seeking an urgent meeting with the Cabinet committee on State-owned enterprises to discuss uncertainty surrounding the future of mineworkers. The association’s president, Mr Colin Hicks, said last evening that P.S.A. representatives could meet the committee on Wednesday or at least have its submissions on that date. The association wants the Government to clarify immediately the issue of

contracts for supply between the Coal Corporation and two big customers, the Electricity Corporation and New Zealand Steel, because of the April 1 establishment date for most new State porations. The Ministry of Energy last year reached an agreement with State Coal Mines and the Electricity Division which would have guaranteed the jobs of more than 800 workers at Huntly coalmine. Under corporatisation, this is no longer certain. NZ Steel and the Electric-

ity Corporation have indicated that they will seek alternative fuel sources if they are not given satis- ; factory prices. The association says it expects the Coal Corporation to announce soon its new staffing structure, which could include redundancies. ’ Mr Hicks said there was “a considerable degree of nervousness” among Huntly mineworkers. Any Electricity Corporation establishment board decision to reduce Huntly coal production jeopardised the mine’s

viability. “Without Huntly being a viable and profitable mining complex, the other coalmines throughout the country won’t provide enough viable assets for the new corporation,” Mr Hicks said. “That means there is a danger the Coal Corporation could fall flat bn its face,” he said. Such a move would have a disastrous effect not only on the Huntly community but on thousands of jobs in the State coalmining industry, he said.