Financial concerns at Tara Mines sees CEO announces major cutbacks

Termination of contractors, cut backs in drilling and moratoriums in overtime have been put in place with immediate effect at Tara Mines as the financial situation at the mine deteriorates.

It comes on the back of a circular issued by Tara Mines CEO Gunnar Nystrom to the staff of the mine last week.

In the circular, seen by the Meath Chronicle, Mr Nystrom sets out what he calls "our deteriorating financial situation."

As a result of this Mr Nystrom states that "it is decided to put in place some tight control measures which will take effect immediately."

Mr Nystrom last week called an urgent meeting with Heads of Section and Section co-ordinators to discuss the financial situation and communicate their feelings to staff.

This was then shared with the staff with the warning that management "will continue to monitor the situation very closely" and that staff "all need to work on this together."

The measures being taken by the CEO include:

Recruitment freeze

Moratorium on overtime unless approved by CEO in advance

Non-business critical contractor work to terminate immediately

Discretionary spend to stop immediately

Training and education assistance stop immediately

Non-business critical travel to stop immediately

Reduce LoMP drilling program with 50%

Reduce Mine Geology R&R drilling with 50%

Merit increases deferred until further notice

Local Senator Shane Cassells has called for immediate intervention by the Ministers Simon Coveney and Eamon Ryan to assist the mine, which employs close to 700 people and supports 3,000 jobs in the region and intends to raise the matter in the Seanad this week.

Senator Cassells said the measures being taken by Tara Mines are a reflection of the challenges faced by businesses who have large energy costs.

However, he also stated that many businesses had been assisted across the country and that as one of the largest employers in Co Meath that the Minister needed to look at how government could help them.

"We had a situation where there was an undue delay by the Minister for Environment in signing off on the latest renewal exploration licence recently and what this mine needs is assistance and not roadblocks," remarked Senator Cassells.

"There are many ways in which the government could be of assistance to Tara Mines and I am seeking that the Minister would assess the review of operational challenges faced by the company.

"Many contractors are going to be let go in this round of cuts and that is a huge blow to them and their families at a time of a cost of living crisis.

"The mine has provided excellent employment to generations of families in Navan and Meath and hopefully with the new finds of ore that will continue for years to come.

"However, these actions are worrying and that is why I am seeking the intervention of the Minister."