The Union of Northern Workers, which represents unionized workers at Dominion Diamond's Ekati mine, is accusing Dominion of wanting to lay off 150 workers.
Dominion has threatened to lay off the workers and replace them with contractors due to "unsustainable" absenteeism. The union says the mining company has not backed up the claims.
Dominion's CEO said that the proposed layoffs were a result of "high levels of absenteeism that have negatively impacted the costs of these operations."
Todd Parsons, the president of the union, said: "I don't think this is an employer that likes to work with a unionized workforce, it does put in place the requirements of a collective agreement. It certainly frustrates some of their decision-making as an employer," according to a CBC report. "Certainly the bottom line is what's driving a lot of their decisions."
Parsons blames "poor management" for the proposed layoffs. He also said the union will file a complaint with the Canada Industrial Relations Board about the proposal. "It is purely a cost-cutting mechanism to increase profitability for the private owner and nothing short of union-busting," the report added.
There was no comment from Dominion Diamond Corp.