Anglo American is set to reduce corporate office positions in numerous locations, while unions reported that its South African iron-ore division intends to lay off a large number of employees at its headquarters.
The global mining giant began reorganising its operations in May.
"We expect a potential reduction in corporate office roles across several countries," an unnamed spokesperson was quoted as saying by Reuters.
South Africa’s National Union of Mineworkers spokesperson, Livhuwani Mammburu, previously told Reuters that Anglo's Kumba Iron Ore wants to cut 183 jobs, primarily at its head office, due to difficulties in transporting adequate tonnage to ports due to rail bottlenecks in South Africa.
If the reorganisation proposal is successful, the number of job losses might reach about 141, Mammburu said, adding that the labour union rejected the move.
Frequent disruptions, often due to locust swarms, have significantly hampered the export of iron ore by the miner. Cable thefts and derailments have recently made these disruptions on the rail line, which Transnet manages, worse.
As a result, Kumba is stockpiling extra iron ore at its mines.
In the six months leading up to June, Kumba's profit decreased by 17% due to rail problems and lower prices.
Mathew Nyaungwa, Editor in Chief of the African Bureau, Rough&Polished
