One of Queensland’s main rail companies will ditch hundreds of workers in an effort to save $130 million.

Aurizon said its cost-cutting drive will see the closure of maintenance facilities and job cuts for around 480 staff.

The company has now lodged an application with the Fair Work Commission to terminate all 14 of its Queensland-based enterprise agreements.

The Rail, Tram and Bus Union says the move is unprecedented.

Aurizon says there has been too little progress toward a new agreement, but the union says it keeps trying to strip away conditions and reduce incomes.

The rail company currently has 450 employees at Redbank, near Brisbane, and 115 at their north Queensland office in Townsville.

In a statement to the ASX, Aurizon said it realises the closures and mass-sackings will have a “significant impact” on the local communities.

“Aurizon is committed to working sensitively with employees during this consultation period,” the statement said.

Aurizon was originally a state-owned body, but changed its name from Queensland Rail to QR National when it was privatised in 2010.

The company will cease maintenance work on passenger trains at the workshop in Townsville at the end of June, the Redbank site is set to close its doors a year after that.

Aurizon says it is cutting capacity because it exceeds forecasts for future needs and demand. It will now centralise heavy maintenance and component overhaul work at its remaining Rockhampton site, which is closer to the majority of its services.

The Rail, Tram and Bus Union has called an urgent meeting, as union-members say staff are stunned and angered by the decision.

Union spokesman Les Moffitt says it will hurt workers in the north particularly.

“Over the past decade we've jumped through a lot of hoops over there,” he said.

“Because we realised there was a lot of pressure on Townsville with our location, we became the most productive actual workshop that the company has state-wide.

“For them now to come and drop this bombshell it’s just a real kick in the guts for the guys on the job.”

Queensland Premier Campbell Newman says a $16 billion Galilee Basin coal mine fast-tracked by the State Government may help fill the gap.

“That will see 2500 jobs created during construction and 3900 operational jobs created,” he said.

“I believe people who will sadly see their jobs go are prime candidates to be picked up for this project.”