Labor productivity doubles since 1981

The Mining Association of Canada (mac) has released results of a study which show that labor productivity in the country’s metal mining industry has doubled since 1981.

George Miller, president of mac, says this “startling” conclusion emerged from an analysis of quantity produced per employee in the mining industries, based on data from Energy, Mines and Resources Canada.

For metal mining alone, Dr Miller says, the quantity produced per employee increased in 1987 by 21% over 1986, and was 106% above 1981, the base year for the series.

Non-metallic minerals output per worker reached a level 6% above 1986 and 51% above that of 1981. Productivity in structural minerals, however, appears to have fallen slightly in 1987, and was only marginally above the 1981 figure.

The study shows that total mining productivity, heavily influenced by metals (representing more than half the mining sector), moved up by 16% in 1987 to a level some 78% above that of 1981.

Concerning individual sectors, the study shows that since 1981 output per employee has increased 73% in gold mining, 70% in iron ore, 48% in coal, 44% in asbestos, and 20% in potash.

Nickel miners Inco Ltd. and Falconbridge Ltd. are notable examples of individual companies which have succeeded in improving productivity considerably.

In terms of pounds of nickel/ copper produced per man shift, for instance, Inco’s productivity has improved by almost 70% since 1980, a spokesman for the company tells The Northern Miner. Unit nickel production costs have been reduced by about 33% since 1982.

Falconbridge, putting it another way but to a similar effect, says its productivity since 1982 has been maintained at the same level at Sudbury, but with only about half the staff — some 2,000 today (total staff), compared with 4,000 in 1982.

Miller says “these remarkable achievements in productivity (in the over-all industry) have allowed Canada to remain a world leader in mining, and have significantly improved our competitive position internationally.”

He adds it’s more important than ever for Canadian mining to continue improving productivity, if it is to compete efficiently in world markets. George Miller