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Union ‘devastated’ by B.C. mill closures, says Canfor should lose tenures

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BURNABY, B.C. – The United Steelworkers union is calling Canfor Corp.’s decision to shutter two northern British Columbia sawmills a “kick in the gut” for workers who will lose their jobs, calling for the company to lose its forest tenure rights in the province.

The union’s local chapter in Prince George, B.C., says in a statement that about 325 of the 500 workers at the Plateau mill in Vanderhoof and Canfor’s Fort St. John operation belong to United Steelworkers.

The statement says the union membership was “devastated” to hear Canfor’s announcement on Wednesday that the mills would close by the end of this year, removing 670 million board feet of annual production capacity.

The company blamed the closures on the challenge of accessing economically viable timber, as well as ongoing financial losses and weak lumber markets, but said the final blow was the big increase last month in U.S. tariffs that Canfor called “punitive.”

Brian O’Rourke, president of the USW local in Prince George, says in the union’s statement that while the union will fight for “every benefit and right afforded to members by the collective agreement,” the province must stand up for the beleaguered sector and rural communities.

He asks when “tenure and timber rights held by Canfor” will be taken away “if they can’t mill that timber in those communities.”

“There used to be accountability and a social contract for the forest industry to provide good-paying jobs to these communities in exchange for the right to harvest the timber. When is the government going to stand up for the public’s resource and the communities it supports?”

According to the USW release, Canfor has closed 10 mills in the province since November 2011, including nine in northern B.C.

“If Canfor wants out of B.C., and it sure looks like it does, then we need to find someone who will provide high-paying, community-supporting jobs for the right to harvest the timber,” says Scott Lunny, the union’s director for Western Canada.

B.C. Forests Minister Bruce Ralston said in a statement the province would fight against “unfair duties and stand up for forestry workers” and agreed with Canfor that the U.S. Department of Commerce’s decision to increase softwood lumber duties on top of low prices for lumber was hurting forestry communities.

Ralston said the forest sector was a “foundational part” of the province and the government would work to support local jobs.

He said the province was focused on supporting the workers impacted by the closures, and is also working to increase access to fibre and support made-in-B.C. wood manufacturing.

In a written statement, B.C. Council of Forest Industries president Linda Coady said while “global market challenges persist,” the province must do more to mitigate those impacts such as “setting a target for a consistently available level of harvest.”

Coady said in her statement that there was a “need for immediate government action to address the root causes” of the threat facing B.C.’s forestry sector, with predictable access to fibre being the most pressing.

“Urgent action is required to defend B.C. producers, workers, and communities from the disruptive impacts of these unfair and unwarranted tariffs,” Coady said.

“Without decisive intervention, the viability of this foundational industry is at risk.”

This report by The Canadian Press was first published Sept. 5, 2024.

The Canadian Press. All rights reserved.



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RCMP investigating after three found dead in Lloydminster, Sask.

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LLOYDMINSTER, SASK. – RCMP are investigating the deaths of three people in Lloydminster, Sask.

They said in a news release Thursday that there is no risk to the public.

On Wednesday evening, they said there was a heavy police presence around 50th Street and 47th Avenue as officers investigated an “unfolding incident.”

Mounties have not said how the people died, their ages or their genders.

Multiple media reports from the scene show yellow police tape blocking off a home, as well as an adjacent road and alleyway.

The city of Lloydminster straddles the Alberta-Saskatchewan border.

Mounties said the three people were found on the Saskatchewan side of the city, but that the Alberta RCMP are investigating.

This report by The Canadian Press was first published on Sept. 12, 2024.

Note to readers: This is a corrected story; An earlier version said the three deceased were found on the Alberta side of Lloydminster.

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Three injured in Kingston, Ont., assault, police negotiating suspect’s surrender

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KINGSTON, Ont. – Police in Kingston, Ont., say three people have been sent to hospital with life-threatening injuries after a violent daytime assault.

Kingston police say officers have surrounded a suspect and were trying to negotiate his surrender as of 1 p.m.

Spokesperson Const. Anthony Colangeli says police received reports that the suspect may have been wielding an edged or blunt weapon, possibly both.

Colangeli says officers were called to the Integrated Care Hub around 10:40 a.m. after a report of a serious assault.

He says the three victims were all assaulted “in the vicinity,” of the drop-in health centre, not inside.

Police have closed Montreal Street between Railway Street and Hickson Avenue.

This report by The Canadian Press was first published Sept. 12, 2024.

The Canadian Press. All rights reserved.



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Government intervention in Air Canada talks a threat to competition: Transat CEO

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Demands for government intervention in Air Canada labour talks could negatively affect airline competition in Canada, the CEO of travel company Transat AT Inc. said.

“The extension of such an extraordinary intervention to Air Canada would be an undeniable competitive advantage to the detriment of other Canadian airlines,” Annick Guérard told analysts on an earnings conference call on Thursday.

“The time and urgency is now. It is time to restore healthy competition in Canada,” she added.

Air Canada has asked the federal government to be ready to intervene and request arbitration as early as this weekend to avoid disruptions.

Comments on the potential Air Canada pilot strike or lock out came as Transat reported third-quarter financial results.

Guérard recalled Transat’s labour negotiations with its flight attendants earlier this year, which the company said it handled without asking for government intervention.

The airline’s 2,100 flight attendants voted 99 per cent in favour of a strike mandate and twice rejected tentative deals before approving a new collective agreement in late February.

As the collective agreement for Air Transat pilots ends in June next year, Guérard anticipates similar pressure to increase overall wages as seen in Air Canada’s negotiations, but reckons it will come out “as a win, win, win deal.”

“The pilots are preparing on their side, we are preparing on our side and we’re confident that we’re going to come up with a reasonable deal,” she told analysts when asked about the upcoming negotiations.

The parent company of Air Transat reported it lost $39.9 million or $1.03 per diluted share in its quarter ended July 31. The result compared with a profit of $57.3 million or $1.49 per diluted share a year earlier.

Revenue totalled $736.2 million, down from $746.3 million in the same quarter last year.

On an adjusted basis, Transat says it lost $1.10 per share in its latest quarter compared with an adjusted profit of $1.10 per share a year earlier.

It attributed reduced revenues to lower airline unit revenues, competition, industry-wide overcapacity and economic uncertainty.

Air Transat is also among the airlines facing challenges related to the recall of Pratt & Whitney turbofan jet engines for inspection and repair.

The recall has so far grounded six aircraft, Guérard said on the call.

“We have agreed to financial compensation for grounded aircraft during the 2023-2024 period,” she said. “Alongside this financial compensation, Pratt & Whitney will provide us with two additional spare engines, which we intend to monetize through a sell and lease back transaction.”

Looking ahead, the CEO said she expects consumer demand to remain somewhat uncertain amid high interest rates.

“We are currently seeing ongoing pricing pressure extending into the winter season,” she added. Air Transat is not planning on adding additional aircraft next year but anticipates stability.

“(2025) for us will be much more stable than 2024 in terms of fleet movements and operation, and this will definitely have a positive effect on cost and customer satisfaction as well,” the CEO told analysts.

“We are more and more moving away from all the disruption that we had to go through early in 2024,” she added.

This report by The Canadian Press was first published Sept. 12, 2024.

Companies in this story: (TSX:TRZ)

The Canadian Press. All rights reserved.



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