Falling commodities prices cost 6,000 people their jobs at Anglo-American

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REUTERS/Dado Ruvic

6,000 jobs to go at Anglo-American

Mining company Anglo-American will cut 6,000 jobs as part of a company-wide effort to save money.

It's a reaction to tanking commodity prices.

CEO Mark Cutifani said: " We are unrelenting in enforcing strict cost and capital discipline across Anglo American, building upon the unit cost reductions delivered to date. "

Cutifani said the job cuts will come from "overhead and other indirect roles," saving the company $300 million.

The company reported half-year profit before tax of $1.9 billion - a 36% fall - on revenues of $13.4 billion. It blamed falling iron ore prices, which wiped $2.9 billion off the value of its Minas Rio mine in Brazil.

Iron_Ore_ _Monthly_Price_ _Commodity_Prices_ _Price_Charts__Data__and_News_ _IndexMundi

The Steel Index

Iron ore collapses

Despite this, Anglo-America said will maintain its shareholder dividend of $0.32.

Cutifani said: "W e are ensuring that the business is sustainable through the commodity price cycles, as well as shorter-term price shocks, and offers investors attractive and differentiated exposure to the mining industry."

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