Forestry workers laid off early by Abitibi
Last Updated: Thursday, February 5, 2009 | 12:34 PM ET
CBC News
Related
The trucks that bring logs to the AbitibiBowater mill in Grand Falls-Windsor were ominously silent Thursday, as 235 forestry workers were told Wednesday they are officially out of work.
The workers will receive paycheques until the end of March, when the mill is scheduled to close, putting another 450 employees out of work.
After that, they will likely get nothing because they don't have severance packages included in their collective agreement.
"It makes it harder. But what can you say? What can you do?" said Clayton Young, who's been driving through the woods of central Newfoundland for 27 years.
"They told us there earlier we could get another four to six weeks. But [Wednesday] morning, I heard this was our last day," Young said.
When Abitibi-Consolidated closed the mill in Stephenville, N.L., in 2005, it gave loggers a severance package even though it wasn't legally obliged to do so.
However, AbitibiBowater is not likely to do that because it's struggling financially.
Rick Fudge, who speaks for the unionized forestry workers, thinks it's an issue that should be brought up during any talks between the government and the company.
"We believe there's an opportunity there for the government and the company, once they've resolved their differences, to consider the fact that these workers should be paid severance," Fudge said
The Newfoundland and Labrador government, with the support of opposition members of the house of assembly, passed legislation last December to expropriate all Abitibi Bowater assets in the province, except the mill in Grand Falls-Windsor.
In a statement to the legislature, Premier Danny Williams said the government will expropriate all hydroelectricity rights from the generating station at Star Lake, as well as all timber rights to forests on Crown land. The assets will be run by Nalcor, the provincially owned energy company.
The company has threatened legal action to fight the expropriation.
Share Tools
Top News Headlines
- Canadian Pacific strikers face back-to-work legislation
- Labour Minister Lisa Raitt is prepared to end the Canadian Pacific Railway strike if necessary, after both CP and the union rejected a proposal for voluntary arbitration by the government-appointed negotiator on Sunday. Raitt says she is "extremely disappointed." more »
- Syrian regime denies role in Houla massacre
- The UN Security Council condemned the Syrian regime at an emergency meeting Sunday, holding president Bashar al-Assad's military responsible for the massacre of more than 100 people, dozens of whom were children younger than 10 years old. more »
- Ryder Hesjedal wins prestigious Giro d'Italia
- Victoria native Ryder Hesjedal has become the first Canadian to win one of the cycling world's three Grand Tour events, wrapping up the 2012 Giro d'Italia with an excellent performance in the final stage in Milan. more »
- Neighbour may have helped find missing kids in Mexico
- Two Winnipeg children who had been missing for nearly four years were found in Mexico after a man raised concerns about his neighbour, according to a private investigator. more »
Latest Business Headlines
- Bankia asks Spain for €19B
- The board of directors of Spain's troubled bank, Bankia, has asked the Spanish government for €19 billion ($24.5 billion Cdn) in financial support. more »
- EI reforms aim to boost employment, Flaherty says
- Finance Minister Jim Flaherty defended his government's proposals to change employment insurance, saying the aim is to remove "disincentives to employment." more »
- Employment Insurance review boards to be scrapped
- The federal government is scrapping two review boards used by people appealing decisions made about their employment insurance. more »
- Ottawa moves to limit foreign investment reviews
- The federal government is raising to $1 billion the amount of foreign money that can go into a Canadian company before the investment is reviewed. The review has been used in the past to block foreign takeovers of MDA and Potash Corp. more »
Lang & O'Leary Exchange
Markets
| Index | Last Trade | Change |
|---|---|---|
| TSX COMPOSITE | 11576.47 | 0 |
| DOW | 12454.83 | 0 |
| NASDAQ | 2837.53 | 0 |
| SP 500 | 1317.82 | 0 |
| NYSE COMPOSITE | 7534.32 | 0 |
| AMEX | 2227.37 | 0 |
| TSX-VENTURE | 1309.27 | 0 |
The data on this site is informational only and may be delayed; it is not intended as trading or investment advice and you should not rely on it as such.
Business Features
- Seniors float above Montreal's Quartier Latin
- Accused in blast that killed Alberta mom handled her funds
- Remains found in bag on Cape Breton river ID'd
- Neighbour may have helped find missing kids in Mexico
- Quebec students and province to resume talks
- Lip-dub marriage proposal an internet hit
- Syrian regime denies role in Houla massacre
- B.C. NDP calls for unity in fighting coast guard closure
- Canadian Pacific strikers face back-to-work legislation

