Rio Tinto will cut several hundred jobs in the coming years as it accelerates the long-planned automation of its iron ore mines and railways in Western Australia, The Australian reported June 8, citing an internal company briefing.
According to the document, about 600 full-time jobs would be affected as the company increases its driverless truck fleet from 77 to 325 over four years from 2017. During that period, about 100 jobs will also be affected by the growth of its autonomous drill rigs, with about 140 jobs cut due to the AutoHaul autonomous train operations.
Previously, a report by The West Australian in March said up to 200 jobs are projected to be cut at the Brockman 4 and Marandoo iron ore mines in Western Australia's Pilbara region by early 2019, as the company's automated truck fleets come online.
In a draft version of the document, an estimated A$65 billion increase to annual mining value will be added by 2031, if the automation opportunity is fully grasped, The Australian report noted.
A Rio Tinto spokesperson, however, clarified that the briefing numbers were indicative at the time and had changed with the company's knowledge of automation.
According to the report, the miner's 12,000 iron ore workforce in Western Australia is forecast to remain steady amid the drive for automation, with projects, including Koodaideri, expected to offset the job losses in the wake of its automation initiatives.
In December 2017, the miner had planned to seek board approval in 2018 to develop a US$2.2 billion "intelligent" iron ore mine at its preproduction-stage Koodaideri project, part of the Hamersley Consolidated operation. The mine will use technology such as robotics and driverless trains and trucks.
The mining giant completed its first fully-autonomous rail journey In October 2017, in which it subsequently secured approval from Australia's Office of the National Rail Safety Regulator in May.
In addition, Rio Tinto will have 20 autonomous drilling rigs at its Western Australian iron ore projects by the end of the year, with four drills, retrofitted with autonomous drilling system technology, already deployed at Yandicoogina and seven already at West Angelas.
