|
| |
|
|
|
Mackenzie left in shock |
|
|
Written by GORDON HOEKSTRA
Citizen staff
|
|
Wednesday, 11 June 2008 |
Related Items
RICK BERRYEAST FRASER FIBER
The layoff of 200 Canfor sawmill workers brings the total job loss from mill closures -- some permanent -- to more than 1,200.
That's more than 90 per cent of the forest manufacturing jobs in the community, but doesn't include the impact on loggers, truckers and suppliers, estimated at another 300.
More than half of the community's workforce is now estimated to be unemployed in the town of 4,700.
"It's unbelievable," said Alf Wilkins, an already laid-off sawmill worker and one of the organizers of a rally last month to bring attention to the plight of the forest-based community
"It couldn't get much worse, could it?," observed Wilkins, a 28-year veteran millworker who lost his job in January when AbitibiBowater shut its two sawmills.
He said residents are continuing an effort to get federal unemployment benefits extended -- a push that came out of the rally. Mackenzie residents are also talking with their counterparts in nearby Fort St. James, another hard-hit forest-based community, joining with an organization called Stand up for the North. A key issue is to ensure, even with these mill closures, that timber remains in the communities where it is harvested, said Wilkins.
Glenn Ball, president of Pulp, Paper and Woodworkers of Canada Local 18, called the Canfor mill closure a "devastating blow" to the unionized mill workers.
He noted they had recently taken a two-per-cent wage rollback to help keep the mill running.
"The members were not given any advance notice so they could get their priorities and lives in order," said Bell. "With this being an indefinite shutdown, the company avoids the immediate payment of severance. That hurts the employees because they have no money to move to jobs throughout the country," added Bell.
Mackenzie resident Tammy Perron, whose husband was one of the remaining 200 working at Canfor's sawmill, reacted angrily on Wednesday. She said Canfor was a big company that doesn't care. "It's shitty, it's really shitty," said Perron.
She is concerned that the closure of the sawmill will jeopardize the potential sale of the Pope and Talbot pulp mill. Perron -- who is also adamant that timber is tied to the community -- wondered if Canfor was playing politics in the timing of its mill closure decision.
The sawmill is set to shut down today, and the planer mill in another two weeks.
Bids for the pulp mill closed on Tuesday, and an important bankruptcy court date is set for Friday on Canfor's wood chip supply agreement with the pulp mill. Canfor has been trying to end the agreement.
Veteran Pope and Talbot pulp mill worker Rick Berry said the mood has been positive that a pulp mill sale was imminent, perhaps with an announcement as early as Friday. Berry is among a handful of workers still on the job, keeping the pulp mill warm for a quick sale, and he estimated a new owner could have the plant up and running within three weeks. Pulp is profitable at current pricing levels and the community is hoping a sale of the pulp mill could see it restart soon. That would put 260 workers back on the job.
However, Berry is also concerned that Canfor's shutdown could put a hitch in plans to sell the pulp mill. He said he believes the Canfor sawmill workers are being used as pawns in a game of hardball tactics. "Not too long ago this community was among the richest in the province, now everyone is out of work," said Berry.
Residents are also concerned about what the indefinite label means.
Canfor's shutdown of its first mill last summer is now permanent and components of the mill have already been dismantled and sent to another company mill in Fort St. John.
Canfor spokesman Lee Coonfer said the indefinite closure gives the company the flexibility to reassess the mill's status if there is a prolonged improvement in market conditions. The consensus among forest industry analysts, however, is the lumber market will not turnaround until 2010. Prices have plummeted because of an unprecedented collapse in the U.S. housing market. That impact has been exacerbated by a high Canadian dollar and a 15-per-cent export tax on shipments to the U.S.
Coonfer said the company's logging contractors have been informed to wind down as well.
He acknowledged that the company's staff and workers had put in a lot of work to get the mill's costs down. But despite the efforts of the province, municipality and workforce, the Mackenzie mill was still it's highest cost operation, said Coonfer. "In these market conditions, it doesn't make sense to keep a mill running, sustaining those type of losses," he said.
Asked what happens to Canfor's wood chip agreement with the Pope and Talbot pulp mill, Coonfer said that will be up to the courts to decide. "The way we see it at this point in time is that the mill is not running, so obviously there is no requirement to provide chips," he said.
--------
Job loss tally in Mackenzie
Canfor -- Shuts one of two sawmills last summer permanently, 130 jobs cut. Before new year, another 75 jobs cut when third shift at second sawmill eliminated.
Another 200 jobs cut this week with shut down of remaining sawmill.
AbitibiBowater -- Shuts down its two sawmills indefinitely in January, and a newsprint mill month later, which is not expected to restart -- job loss is 550.
Pope and Talbot -- Pulp mill goes down as part of bankruptcy proceedings -- 260 jobs lost.
East Fraser Fiber -- Dropped a shift before Christmas, down 40 jobs.
Manufacturing job losses: 1,255
Estimated another 300 logging and trucking jobs lost.
Total: 1,555
 |
|
Last Updated ( Wednesday, 08 October 2008 )
|
|
|
Who's Online
We have 31 guests and 1 member online
|
Subscribe to this comment's feed
