Fortescue Metals Group is looking to cut up to 1,000 jobs across its back office and clean energy unit as part of a cost-cutting exercise, The Australian reported on Thursday, less than a week before Fortescue reports half-yearly results.
The cuts will be across Fortescue Future Industries, a clean energy subsidiary focused on producing hydrogen using renewable energy, and head office functions like finance and IT, the Australian reported, citing unnamed sources. A spokesperson for the world’s No. 4 iron ore miner said any significant changes to the number of its employees require board approval, which has not been received.
“We are always looking for opportunities for continuous business improvement,” the spokesperson said in a statement on Thursday. The company is preparing to cut costs despite a more than a three-month rally in iron ore prices as traders bid up the metal in anticipation of China’s economy reopening from pandemic restrictions.