The company is struggling to ship steel from Port Kembla as world economies groan under the pressure of the international financial crisis.

The company said it was committed to completing upgrades worth $500 million, but this has not allayed the fears of some, who worry the sinter plant component will be delayed.

BlueScope has rejected those fears, saying it was "always reviewing" its business "to search for opportunities for improvement, particularly during these testing times."

The company this week met employee representatives ahead of Monday's announcement.

Analysts will keep a close eye on a possible job cuts announcement on Monday, some speculating auxiliary positions may be at risk rather than core production and maintenance jobs.

The Illawarra Regional Information Service published figures in December showing steel production had dropped 1.6 per cent to 5.2 million tonnes, while exports decreased 41.1 per cent or 534,700 tonnes.

BlueScope has remained tight-lipped ahead of Monday's announcement and is not confirming any "speculation".

Employees will likely be asked to use up their holidays and annual leave, while the company attempts to ship its surplus steel supply.

Instead, subcontractors will likely feel the pinch as BlueScope pares back its non-core expenses.

Only two weeks ago Transfield Services, a major contractor for BlueScope, axed 43 positions after BlueScope ordered it to reduce costs by 10 per cent.

BlueScope is battling cheap, low-quality steel exports from Russia and has resorted at times to selling its steel at cost price, analysts claim.

If the situation remains unchanged by May some fear more job losses may be on the cards.

One unpalatable option open to BlueScope may be reducing its working week to five days, which could put a quarter of the workforce out of work.

ANZ head of commodities research Mark Pervan said steel jobs "are not immune" to job losses as the global downturn continues.

"I certainly wouldn't feel too comfortable operating or investing in steel at the moment," he said.