Latest Canfor restructuring affects more than 500 workers in northern B.C.

0
1953

THE CANADIAN PRESS

Canfor Corporation says as many as 157 employees face layoffs in one northern B.C. town, but the company says itโ€™s too early to estimate job losses in a second community as the forest products firm restructures its B.C. operations.

Canfor announced Wednesday it is permanently closing its sawmill and pellet plant in Chetwynd, west of Dawson Creek, and shuttering its sawmill in the Bulkley Valley town of Houston for an unspecified period while it builds a new facility there.

The Chetwynd closure is expected in April or May, and the announcement came just two days after the mill reopened following a holiday curtailment, but a company statement says Canfor is โ€œcommitted to supporting displaced employees,โ€ and where possible, it says they will top the list for hiring at other mills.

The statement says โ€œit is too early in the redevelopment planning process to fully understandโ€ how many of the 333 employees in Houston could be laid off as Canfor designs what it describes as a โ€œglobally competitive manufacturing facilityโ€ producing โ€œhigh-value products.โ€

Canfor president Don Kayne has said the company is making โ€œdifficult but necessary decisions to create a more sustainable operating footprintโ€ in B.C., and an email sent late Wednesday says the company will โ€œexplore creative optionsโ€ to retain as many employees as possible.

Opposition Liberal forestry critic Mike Bernier, whose riding encompasses Chetwynd, said in a social media post that he is โ€œdevastatedโ€ by the closure of the Chetwynd mill, which comes about a week after Canfor confirmed it would close the pulp line at its Prince George operation, costing 300 jobs by the end of this year.

A lack of available fibre for the mills is one reason for the restructuring and the company estimates the Chetwynd and Houston shutdowns will remove approximately 750 million board feet of annual production capacity, or the equivalent of enough lumber to build nearly 46,000 houses.

โ€œOur goal is to match our mill capacity with the economically available fibre for harvest,โ€ Kayne said in his statement released Wednesday. โ€œThis is what will ultimately create greater stability for our employees and communities.โ€

Forests Minister Bruce Ralston issued a statement responding to the Canfor restructuring and saying the B.C. governmentโ€™s immediate priority is to assist affected workers and provide community support teams.

The statement says the government welcomes Canforโ€™s decision to build a new mill in Houston, producing higher-value products from a wood supply that has declined by more than 25% since 2008, in part due to wildfires and the end of the harvest of beetle-killed timber.

LEAVE A REPLY

Please enter your comment!
Please enter your name here

I accept the Privacy Policy