Mosaic to Permanently Lay Off 46 Workers at Potash Mine in Colonsay, Saskatchewan

CBC News reported that Mosaic Co (NYSE:MOS) is permanently laying off 46 workers at its mine in Colonsay, Saskatchewan effective December 14.
As quoted in the market news:

“We’re extremely disappointed about this announcement considering the company is still massively profitable,” said Mike Pulak, staff representative for the Steelworkers’ union which represents the workers.

Mosaic’s stock price hit a five-year low at the beginning of the month at $30.14 US a share. It closed Thursday at $35.17.

“Right now the supply chain pipeline is extremely full and it is an increasingly competitive market,” Sarah Fedorchuk, an official from Mosaic, said Thursday. “We have expansions coming online, we have new entrants into the market and so we are having to make some tough decisions.”
Mosaic offered early retirement packages to 90 employees, in an effort to avoid layoffs. After 22 workers accepted the incentive, the company moved to layoffs. Mosaic’s stock price has been on a steady decline over recent years. The stock was worth $88.11 per share in February of 2011.
Saskatchewan’s Minister of the Economy, Bill Boyd, recently met with Mosaic officials and said he feels confident saying potash is going to bounce back.

Click here to read the full CBC News report.