A DISPUTE between Muswellbrook Shire Council and coalmining giant Xstrata over apprenticeships has erupted into a war of words during National Skills Week.
Muswellbrook mayor Martin Rush slammed Xstrata's commitment to apprenticeships for young school leavers as "pitiful" after revealing that the company vetoed a council plan to finance two apprenticeships in perpetuity.
The news came after Xstrata advised on September 13 that it could not find any "suitable" young local candidates for six apprenticeships at its Mangoola mine.
While other mining companies were employing area apprentices under a council plan for more than 60 young people a year in mine and power station-related jobs, Xstrata could not find any who were "job-ready".
Xstrata's veto of the "in perpetuity" fund followed negotiations over how $300,000 of Xstrata's money, payable to the council as part of its 2004 Mangoola mine approval, would be spent.
The council had earlier vetoed Xstrata's proposal that the money be allocated towards the company's apprentice training costs.
The two have agreed to spend $80,000 on a TAFE program to remove "barriers to entry", such as reading difficulties, for young people seeking mine work.
Xstrata said this week the council had spent "not a cent" of the $300,000, or of another $800,000 for community and environmental projects.
"Someone needs to ask why the council has chosen not to spend the community support funds," Xstrata spokesman James Rickards said.
Cr Rush strongly denied the claim and said every dollar under its agreement with Xstrata had been accounted for. The council had asked the Department of Planning to intervene over Xstrata's veto over use of part of the $800,000, he said.
Xstrata amended a statement giving the impression it had 82 apprentices at its Muswellbrook mine, or in the Hunter Region. The figure was for all its NSW operations, Mr Rickards said.
Hunter Valley Training Company chief executive Robert Fuller said Xstrata had not asked for help to find six apprentices for Mangoola, although HVTC trained apprentices for Xstrata. He said the council's plan to employ local apprentices was "laudable" and "We would be more than happy to help Xstrata".