Newmont Plans Cost Cuts; Thousands of Jobs at Risk

Newmont is preparing a sweeping cost-reduction plan that could result in thousands of job cuts, Bloomberg reported. The company is targeting a reduction of up to US$300/oz in its all-in sustaining costs (AISC), a drop of about 20%, which would help close the gap with its lowest-cost peers.

Newmont’s production costs have risen more than 50% over the past five years, driven by higher energy, labor, and material expenses. The pressure deepened after the company’s US$15 billion acquisition of Newcrest in 2023, which expanded its portfolio to around 20 operations, including copper mines. Among them, the Lihir mine in Papua New Guinea and the Cadia operation in Australia continue to face cost overruns and underperformance.

In 2Q25, Newmont reported an AISC of US$1,593/oz, nearly 25% higher than Agnico Eagle Mines, According to Bloomberg, Newmont has already begun informing staff of redundancies, with executives and division heads holding calls to outline potential workforce reductions and other structural changes. Beyond layoffs, the miner is considering cuts to long-term incentives as part of the restructuring.

At the end of 2024, Newmont employed 22,200 workers and had 20,400 contractors. While the company has not disclosed the number of jobs at risk, insiders said the cuts could affect “thousands” of employees. Boston Consulting Group has been hired to advise on the plan, though final decisions have not been made.