The Fortescue Metals Group Limited (ASX: FMG) share price is steady in early trade.
The S&P/ASX 200 Index (ASX: XJO) iron ore miner closed yesterday trading for $22.52 per share. Thirty minutes after the opening bell, shares are changing hands for $22.52. (We'll let you do the maths there.)
This comes as rumours of a potential big round of pending layoffs are making the rounds in the financial media.
Image source: Getty Images
What's this about redundancies?
The Fortescue share price is steady in morning trade as ASX 200 investors mull over the implications of the job cuts.
According to sources cited by The Australian, the miner is eyeing cutting 1,000 jobs or more.
Employees facing the axe include those at environmentally-focused Fortescue Future Industries (FFI).
The cited sources indicated Fortescue has been considering a significant round of layoffs since last year. Some said that up to 500 FFI employees may lose their jobs, out of a total of just over 1,100 employed at the green energy company.
Reductions may also take place among the Fortescue's head office, finance and IT staff.
Fortescue releases its half-year financial results (1H FY23) on 15 February. It was reported that the board, including chair Andrew Forrest, will debate the merits of the job cuts before then.
The miner has not yet released any statements clarifying its intentions, however, a spokeswoman stated, "People and performance are always our focus."
"We are always looking for opportunities for continuous business improvement," she added. "That is how we retain our status as the lowest cost producer in the world."
At the end of FY22, Fortescue directly employed 11,693 people.
Fortescue share price snapshot
The Fortescue share price, as you can see in the chart below, is up 1% over the past 12 months.
2023 has offered some strong tailwinds for the miner, with shares up 10% year to date.
