Pacific National Coal said 108 workers, including 61 from the Illawarra, will be stood down indefinitely without pay due to ongoing strikes at the Port Kembla Coal Terminal.
The workers will be stood down without pay from 7am on Wednesday morning. Forty-seven will be from its Lithgow.
The company said its operations continue to be significantly impacted by the CFMEU members taking ongoing protected industrial action.
"Since the 31 January, Pacific National Coal has been subjected to 306 hours of protected industrial action with a further 50 hours scheduled this week," Pacific National Coal said in a statement.
"During this time, the company has been unable to unload its coal trains at the Port Kembla Coal Terminal, which has significantly impacted its ability to service its customers and provide work to its employees."
Employees were notified about the decision on Tuesday morning along with the Rail Tram and Bus Union.
Pacific National Coal Director David Irwin said the strikes have meant the company has been unable to continue its coal haulage operations with effectiveness or efficiency.
"We have little option but to stand down our employees," he said.
"It is our intent to get our employees back to work as soon as is practical, however this timing will be driven by any further ongoing protected industrial action by the CFMEU."During this time, we will continue to work with our employees to discuss alternatives including rostering for any limited work that is available, or taking annual leave."