Southern Colliery Maintenance situated at Braemar will be shutting its operations.
It comes after South 32 put the business on notice that it would be terminating its long-standing contract at Appin colliery within weeks.
As a result SCM have told their 126 employees the business will be closing.
CFMEU District Vice President Bob Timbs says many of the workers will have to re - apply for their jobs with another company called WorkPac.
Image credit: Bluedawe / CC BY-SA (https://creativecommons.org/licenses/by-sa/3.0)