Global miner BHP Billiton is continuing to slash costs in a subdued environment as it meets with workers in Perth this week about likely job cuts.
AAP understands about 200 workers in its iron ore division are set to be made redundant, mostly in Perth.
Redundancies in iron ore would appear to have been inevitable since the global mining giant recently scrapped plans for a $20 billion-plus Port Hedland outer harbour expansion, delaying growth beyond what was already committed.
The latest move follows the loss of thousands of jobs in Australia's resources industry, amid China-driven price falls in commodities such as iron ore and coal with Fortescue Metals particularly hard hit.
BHP spokesman Antonios Papaspiropoulos said no specific numbers on job cuts had been decided but the company had completed a review of its current organisational structure to ensure it was aligned to design principles and correctly sized for the market.
"We are now sharing the outcome of this review with our people," he told AAP.
"For most people there will be little change other than position title and reporting line changes. For some people there will be greater impact.
"A person will only be made redundant where a suitable role cannot be found or they choose to take a redundancy package."
There were about 900 "open roles" available across the iron ore business, he said.
Mr Papaspiropoulos said BHP had a strong belief in the longer term attractiveness of the iron ore market.
OptionsXpress market analyst Ben Le Brun said it was interesting that while executives at Australia's biggest iron ore producers in BHP, Rio Tinto and Fortescue were talking up the prices of iron ore they were actually pulling back on capital expenditure.
"Now you are getting job layoffs in that area of the market so you are hearing one thing and seeing another," he told AAP.
"They are battening down the hatches but I think it's probably a good thing in the current market conditions with a lot of uncertainty around the short term and medium term iron ore price."
For prices to recover there needs to be monetary stimulus action from China's central bank, he said, which investors hope will occur once the political leadership is decided on at next month's Communist Party congress.
The spot price for iron ore had recovered to above $US110 a tonne on Tuesday from $US104, well above the recent lows but down on the historical highs of $US180 a year ago.
Iron ore producers would be far more circumspect about their rate of growth next time, Mr Le Brun said.
The moves are consistent with the company's announcement in August that it would review capital spending.
Back then it shelved the massive estimated $US30 billion ($A29.57 billion) Olympic Dam expansion, which along with Port Hedland will cost potentially thousands of mining services jobs in areas such as engineering.
BHP have already cut about 2000 coal mining jobs this year, closing its Gregory and Norwich Park coal mines in Queensland, while also shelving building the multi-billion dollar Red Hill coal mine and cutting jobs in nickel mining.