More than 1,500 to be laid off from Morenci mine

By Diane Saunders
Staff Writer

Freeport-McMoRan Copper & Gold Inc. will curtail production and lay off at least 1,550 Morenci mine employees, according to an announcement from the mining company Friday.

As of Friday, about 3,300 people are employed at Morenci. The anticipated layoff will cut that workforce by nearly half.

"Detailed plans for the curtailment are currently in development," Freeport spokesman Richard Peterson said in an e-mail message to the Courier.

According to Peterson, the date of the first layoffs is expected to be in the 14-day period beginning March 16 and ending March 29. The majority of affected employees will be placed on a paid leave of absence starting Feb. 2.

"A limited number of affected employees may be asked to continue to work, as may be necessary in support of the operations, until their scheduled layoff date," Peterson said. "Local leaders and government officials are being notified. We deeply regret the hardship this causes our employees and the community."

The action is for Morenci only — no other mines are affected, according to Freeport.

Cutting costs in Safford

In another cost-cutting effort, Freeport is terminating leases on two offices in Safford — at 625 Main St., Safford, and at 1124 W. Thatcher Blvd. The latter is at the Windsong Building.

Freeport owns several other buildings in Graham County that will remain open. These include the Occupational Training Center on Highway 70 in Thatcher; the Central Analytical Service Center on East Highway 70 in Safford; the former Stockmen's Bank building on Main Street in Safford, and offices at its Dos Pobres mine north of Safford and the Morenci mine in Greenlee County.

The layoffs at Morenci and the canceled leases are the latest cost-cutting efforts initiated by Freeport in response to declining copper prices. There were layoffs in late 2008 of mine and contract employees and curtailment of mine exploration at several Arizona sites.

Freeport also halted the construction of a sulphur plant at the Dos Pobres mine.