Closures

When it comes to job loss and mill closures, Ontario has the dubious distinction as the leading province in Canada. (CIBC World Markets report on pulp and paper sector)

Since 2002, the forest industry has shed 10,000 direct jobs and as many as 40,000 direct and indirect jobs.

Without the appropriate public policy in place, the loss of jobs and economic prosperity is likely to continue:

SAWMILL CLOSURES (TEMPORARY AND PERMANENT)

 

1.         Tembec - Kapuskasing Sawmill 120 temporary lay-off 15-Jan-05 to 01-Feb-05. As announced by Tembec, the 120 laid off employees resumed work on Feb. 1, 2005.

 

2.         Tembec - Excel Forest Products - Opasatika sawmill, 78 permanent jobs lost March 4, 2005 .

 

3.         Temagami Forest Products -- 30 permanent jobs lost 09-Apr-05 to16-May-05 as the mill is operating on only 1 shift. Due to wood supply problems mill is now closed and in receivership/restructuring.

 

4.         Devlin Timber - Kenora Sawmill 30 jobs lost 01-Apr-05 as a result of poor operating environment including high energy costs)

 

5.        Tembec - Kirkland Lake Sawmill 43 jobs lost 04-Mar-06. Mill

will be transformed to produce finger-jointed lumber. As part of the Tembec - Domtar restructuring mill closed permanently in June 2005.

 

6.         Elk Lake Planing Mill - Elk Lake Sawmill 15 jobs lost 17-Mar-05 to17-Sept-05 as the planing operations moved to the recently closed Domtar Chapleau sawmill. Fire destroyed the planing portion of the mill.

 

7.         Domtar - Chapleau Sawmill 37 jobs lost 06-Mar-05 to11-Apr-05 as 30 of the 67 permanently laid-off employees return for 6 months. Due to the destruction by fire of the Elk Lake facility's planing mill, the Chapleau planing mill will close at the end of 2005.

 

8.         Thunder Bay Sawmill -- 55 permanent jobs lost as the mill has reduced full time permanent level by 55 jobs since 2002.

 

9.         Great West Timber - Thunder Bay Sawmill --   115 affected 01-Apr-05 to 13-Jun-05 Log delivery problems - back on Monday June 13, 2005. A 16' line is shut down due to lack of logs.

 

10.       Northern Sawmills - Thunder Bay Sawmill 200 temporarily laid off 07-Apr-05 to 30-May-05   200. Lay-off for 7 weeks as half load restrictions have impacted log hauling activities.

 

11.       McKenzie Forest Products - Hudson Sawmill 340 temporarily laid off 31-May-05 to 03-Jun-05. Lay-offs lasted for 4 days. Mill reopened when a sufficient quantity of logs could be delivered to the mill.

 

Specialty mills

 

12.       Uniboard - Temiskaming Shores Particleboard Plant 55 jobs lost indefinitely 30-Jun-05.

 

Pulp and Paper Mills

 

13.       Domtar - Cornwall Pulp and Paper mill 390 jobs lost indefinitely 08-Mar-05     .

 

14.       Neenah Papers Inc.(formerly Kimberly-Clark) - Terrace Bay Pulp mill 130 jobs lost 01-Mar-05 with closure of its smaller No. 1 Pulp mill as operating costs are too high and the facility is too small to invest in upgrades.  (RESTART UNDER BUCHANAN WOOD PRODUCTS SEPTEMBER/06)

 

Since June 2005

 

15.      Temporary shutdowns Columbia Forest products July 4 to 25

 

16.       Temporary Bowater June 2005 for two weeks, due to high energy costs

 

17.       Temporary lay-offs Nakina July 5 for two weeks

 

18.       Temporary Smooth Rock falls for two weeks

 

Since June 2005 permanent closures or operational curtailments have been announced:

 

19.       Cascades in Thunder Bay: 150 jobs lost, partially blamed on skyrocketing energy costs.

 

20.       Norampac's Red Rock operations: up to 175 jobs lost as one paper machine closed due to high operating costs.

 

21.       Abitibi Consolidated in Kenora: 360 workers permanently laid off with another jobs at risk due to high operating costs.

 

22.       Tembec's Mattawa operation: 120 employs reduced to a four day work week.

 

23.       Temagami Forest Products closed: with remaining 20 of 55 workers laid off due in part to escalating energy costs.

 

24.       Columbia Forest Products: 63 jobs lost at Rutherglen facility near North Bay. Market conditions, aggressive off shore competition and delivered wood costs are blamed.

 

25.       Weyerhaeuser: 35 jobs permanently lost November 15 due to closure of round wood processing plant in Dryden. High energy costs and high delivered wood costs cited as the reason for closure.

 

26.       Marathon Pulp and Paper: Wood room being contracted out. Final job loss numbers undetermined but at least 20 workers are in transition.

 

27.       Cascades: Thunder Bay: Announced closure for January 21, 2006 with the loss of approximately 375 jobs in addition to 150 jobs eliminated earlier this year. Reduced demand for their products, increased costs of raw material and energy cited among reasons for closure.

 

28.       Domtar: Announced for closure in Ottawa 185 jobs with two paper machines shut down. Uncompetitive market conditions blamed.

 

29.       Domtar: Announced January 2006 closure in Cornwall 900 jobs lost (including 390 lay-offs announced in March/05) with full closure of pulp and paper mill. Uncompetitive market conditions blamed.

 

30.       Dubreuil Forest Products, 45 jobs lost at Chapleau. Lay-offs blamed in part on the softwood lumber dispute.

 

31.       Weyerhaeuser, Dryden. About 80 jobs lost through the idling of one paper machine. Shut down as a result of uncompetitive wood and energy costs combined with declining product demand and weak prices.

 

32.       Bowater Thunder Bay. Between 260-280 jobs lost following announced May 1, 2006 closure of Kraft ďAĒ mill due to high energy and wood delivery costs.

 

33.      Tembec, Smooth Rock Falls. 230 jobs lost in closure due to take effect July 31.

 

33.       Hearst particle board mill indefinitely closed Feb. 10/05 affecting 75 employees with another 25 facing lay-off at a later date.

 

34.       Kruger Inc. said it will let go 350 people who work at its Longlac-based plywood and waferboard operation starting Oct. 1.

 

35.       Buchanan Northern Hardwoods sawmill on Vibert Road is shutting down indefinitely on Sept. 15, 2006, putting 225 people out of work. Buchanan Forest Products vice-president Hartley Multamaki said the 180 unionized sawmill workers and 45 other staff. Buchanan announced the indefinite closure of a birch pallet sawmill at the same site, which affected 50 jobs.

 

36.       Abitibi lays off 90 woodlands workers in Thunder Bay (July 30).

 

37.       Buchanan terminates Woodlands workers supplying former Neenah operation in Terrace Bay (approx. 200)  workers affected.

 

38.       Tembec, Timmins -- Indefinite closure (part of temporary

shutdowns announced across Ontario and Quebec affecting 1500 workers).

 

39.       Red Rock (Norampac) Second paper machine closed Sept. 2006 total job loss from two paper machines shut down is 350 employees.

 

40.       Bowater Inc. Thunder Bay shutdown of newsprint operations for minimum of 15 days. 300 people on temporary lay-off.

 

41.       Grant Forest Products, Timmins Mill, indefinite lay-off 140 to 160 employees Sept. 11/o6 due to ongoing labor dispute combined with high production costs.

 

42.       Domtar, Nairn Centre employs about 140 workers, will close on October 13, 2006. Higher procurement and processing costs combined with declining demand is blamed for the closure.

43.       Dubreuil Forest Products announced suspension of part of itís sawmill and planning operation effective October 19, 2006, temporarily putting an additional 120 employees out of work.  This is in addition to the current 65 employees on lay off. The current condition of the lumber market, high energy, raw material and production costs were cited as the rationale for closure. 

44.       Tembec announced November 22, 2006, an 8 week restart of its Timmins sawmill to process remaining inventory before permanently closing the operation and eliminating 100 jobs. Poor market conditions were cites cited as the primary rationale for closure. Closure of the Tembec sales office in Timmins was also announced.

 

45.       Bowater announced indefinite closure of its Ignace sawmill and reduced production at its Thunder Bay plant. Citing the reduced quotas imposed under the Canada-US SLA, 49 sawmill jobs will be lost as well as 16 jobs in Thunder Bay.

 

46.       Domtar, White River sawmill began wind down operations January 12, 2007 with full closure upon reduction of log inventory. Totol job loss is expected to be in the 236 range with market conditions and operating costs listed as the main reasons for closure.

 

47.       Abitibi closes its Fort Mill indefinitely, blaming high cost operating environment and declining markets for the closure and lay-off of approx. 350 mill and woodlands employees

 

48.       Domtar announces the October 2007 closure of its Gatineau mill and Ottawa converting center that together employ approximately 250 people.