736 Former Newcrest Workers in North Maluku Yet to Receive Severance Pay
Hundreds of former employees of PT Newcrest Mining Limited, an Australian gold mining company operating in North Halmahera, North Maluku, are demanding the settlement of workers’ rights that have yet to be paid by the company since the mass layoffs in 2020. The former workers are asking the company to fulfil its obligations following the court ruling.
“Currently, there are 735 employees whose severance has not been paid. The value exceeds Rp 100 billion,” said Rusli Gailea, Chairman of the SPSI Labour Union of PT Nusa Halmahera Mineral (NHM), to Tempo on Tuesday, 29 April 2026.
Rusli stated that the former Newcrest workers who have not received severance are on average employees who have worked for more than 20 years in the operational circle of Nusa Halmahera Minerals (NHM). They were laid off in 2020 and have not been paid their severance to date.
However, the issue has already been brought to court and has a legal ruling. The Supreme Court even ordered Newcrest to pay the workers’ severance arising from the 2020 work agreement and ordered the seizure of assets in the form of money amounting to US$35 million.
“But the workers’ severance still has not been paid. We have taken various efforts, up to the cassation ruling, but Newcrest remains adamant in refusing to pay the former workers’ severance,” said Rusli.
According to Rudi Pareta, Chairman of the F-GSBM Union of PT NHM, for the workers, the severance being fought for is their last hope to continue their lives after no longer working at the mining company. The payment of severance is greatly hoped for as it can become a source of family income.
“So we hope that Newcrest can settle the payment of severance which is the right of NHM workers. We have never demanded what is not the workers’ right,” said Rudi.
Rudi revealed that the severance issue for hundreds of former Newcrest workers originated from the company’s layoff policy in 2020. At that time, Newcrest carried out layoffs in the midst of a share transition without paying the former employees’ severance rights.
“All efforts to demand the former Newcrest workers’ severance rights have actually been made. Even the former NHM workers have won the cassation at the Supreme Court, but until 2026, Newcrest still refuses to pay,” revealed Rudi.
Marwan Polisiri, Head of the Manpower and Transmigration Office of North Maluku Province, said that the North Maluku Provincial Government basically always encourages the company to settle the payment of workers’ severance rights if layoffs occur. The government even always urges companies to comply with the work agreements signed with workers.
“Workers’ severance rights should indeed be paid. Especially if there is already a court ruling, the company has no reason not to pay,” said Marwan.
Until this news was uploaded, Media Communication Global Newmont, Shannon Brushe, has not responded to several questions from Tempo. Messages sent by Tempo via WhatsApp and email were not answered.
Newcrest Mining Limited was previously the majority shareholder through a joint venture in PT Nusa Halmahera Mineral. Newcrest managed the Gosowong gold mine in North Halmahera, North Maluku, with 75 percent share ownership together with PT Aneka Tambang (Persero) Tbk or Antam at 25 percent. Newcrest’s involvement in Halmahera began with investments in 1990.
This Australian company participated in the gold mining investment project in the Halmahera region. Newcrest became more involved in the gold mining project after PT Nusa Halmahera Minerals (NHM) signed a Generation VI Contract of Work (KK) with the Indonesian Government on 28 April 1997.
Currently, Newcrest Mining Limited itself has been acquired by the world’s gold giant Newmont Corporation in 2023. The transaction value reached around US$17 billion or equivalent to Rp 290 trillion, making it one of the largest consolidations in the history of the global gold mining industry.