Rio Tinto Will Cut Up To 800 Jobs After Signing A $100 Million Outsourcing Deal With IBM

The Spanish river, Rio Tinto / Wikimedia Commons

Miner Rio Tinto is outsourcing 700-800 HR, finance, IT and procurement roles to IBM in a deal that will span up to 10 years and cost it up to $100 million.

Paul Smith of the AFR reports that contracts were signed “a couple of months ago”, with English-language work to move to IBM’s team in India and other tasks to go to eastern Europe and South America.

A company spokesperson told the Fin that the deal was part of Rio’s ongoing effort to cut costs and improve productivity. The outsourced roles were not part of the miner’s “core business”, he said.

Fewer than half the job cuts were expected to come from Australia.

There’s more on the Fin.

Now read: Here’s What HR Actually Does

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