3 Jan 2020

Union rejects restructure of nickel company in New Caledonia

9:31 am on 3 January 2020
Vale's nickel plant in New Caledonia

Vale's nickel plant in New Caledonia Photo: AFP

A New Caledonian union has rejected the planned restructure of the Brazilian-owned Vale nickel company.

Solidarity NC is urging the authorities to reject redundancy plans submitted by Vale, which has announced the closure of its nickel refinery.

Vale also wants to be allowed to sell nickel ore to be processed abroad while current arrangements call for it to be used in New Caledonia.

Solidarity NC said it was inconceivable for the government to approve ore exports while jobs are eliminated.

Solidarity NC also said Vale wanted to use the restructure to rid itself of hundreds of New Caledonian employees and then hire new people.

Vale has been incurring losses with its New Caledonian plant and put its 95 percent stake up for sale.

No bidders are officially known but there is speculation that Chinese companies are interested in acquiring the assets.

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