Heilongjinag Longmay Mining Holding Group, the largest state-owned coal mining firm in Northeast China, will cut its roughly 240,000-person workforce by 100,000 over three months, Caixin reported, citing the company’s Chairman, Wang Zhikui. Longmay will also sell its non-coal businesses and work to collect debts it is owed by other firms in a bid to resolve its shortage of cash, Wang said. The firm was formed by merging four mines in 2004. It enjoyed great success in its first six years, but then began suffering substantial losses in 2012 when the price of coal began to fall due to the firm’s high labor costs and low efficiency.
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