GRIFFIN Coal started cutting back on its workforce yesterday, announcing 17 redundancies.
The company said the redundancies were part of a restructuring program.
Employee and industrial relations general manager Chris Godfrey said the cut back, which was four per cent of the total workforce, was across all areas, including corporate.
"It is a result of a restructure, we are looking at maximising efficiencies," he said.
All 17 employees had been offered redundancies, he said.
"We are still looking to grow the business but we need to maximise efficiencies before moving forward. It is probably the worst thing you have to do as a HR (human resources) professional," he said.
"It is a last resort but I recognise the need to control our labour budget.
"This is never a good thing, the people are good employees, it is not like we are doing it because they are not performing."
Collie-Preston MLA Mick Murray the job losses and restructuring program was disappointing news.
"One would like to think that if jobs come up in the future that they (the 17 workers) would be the first ones put back on," he said.
"Even 17 jobs will have an impact on the community, both socially and financially."