Tyre yard general manager Joel Knibbs said the decision had to be made after a lack of funding from government departments.

“We have done everything we can to date to adhere to Environment Protection Agency and Country Fire Authority requirements, but no help from government departments has led to this,” he said.

“We are focusing on stage two of the recycling project which is processing the pyrolysis plant.”

Sacked worker Reece Collins said there was no indication the termination of employment was imminent.

“We were told last week that our jobs would be terminated because of zero help from the government,” he said.

“I was fortunate to start a new job but my other colleagues do not have somewhere to go and will have to go on a job hunt.”

The redundancies came after Used Tyre Recycling Corporation chief executive Dr Matthew Starr said the tyre stockpile could employ up to 50 retrenched workers from the Stawell Gold Mines early this year.

Mr Knibbs said that was now dependent on government intervention.

“We would love to be able to employ Gold Mines workers but we need help from the government to get this project up and running and off the ground,” he said.

Mr Collins said progress was slow at the huge rubber stockpile.

“The same amount of shredded tyres are still sitting there and it is disappointing because the company had good intentions,” he said.

“DELWP also came to the tyre yard asking why a re-vegetation permit had not been paid.”

The Stawell Times-News has contacted the Department of Environment, Land, Water and Planning for comment. A department spokesman said government agencies had not placed limitations on the tyre shredding.