Glencore Xstrata, Peabody to Cut About 500 Coal Jobs

Reuters reported that as a result of a worldwide coal supply glut, Peabody Energy Corp. (NYSE:BTU) and Glencore Xtrata plc (LSE:GLEN) will together cut about 500 jobs in Australia. Peabody will cut around 450 contracting jobs while Glenstrata will eliminate 46 jobs at its Ravensworth coal mine.

As quoted in the market news:

‘(Contractors have) traditionally been an area of high spend for the company and as a result we will be reducing approximately 450 contractor positions at our mines over the coming weeks,’ Peabody president Charles Meintjes was quoted as saying by industry publication Australian Mining.

A Peabody spokeswoman was not available for comment.

Peabody said the cuts would take place across its operations in the coal-rich eastern Australian states of Queensland and New South Wales, where it produces both coking and thermal coal.

Click here to read the full Reuters report.