Zero-based labor review saving $29M for a global mining company
- Location
- Manitoba, Canada
- Year
- 2020
- Engagement
- Profitability Improvement: Labour Optimization
Global Nickel Producer with underground mine losing over $300,000 per day. Initiatives to increase production were underway but struggling to produce estimated results quickly. Immediate reductions to fixed costs were needed to drive near-term profitability.
Our team identified proper staffing requirements based on analysis of operating practices, workloads by role, and comparative benchmarks. We guided client HR team through personnel reduction sequence, including day-of activities. We developed and provided tools to manage change process before and after reductions.
Measurable impact
$29M
CAD $29m annualized savings across operations, maintenance, and site support functions
Mining
Measurable impact
50%
Over 50% of savings were achieved through closing open positions, reassignments and incentivizing early retirement
Mining
Case snapshot
Client requested additional scope with other facilities within 3 months
Mining