Layoffs are in progress at Stelco’s steel plant in Hamilton and are anticipated to occur over a three-week period. Ron Wells, the president of United Steelworkers Local 1005 representing Stelco workers in Hamilton, mentioned that while not all employees have received formal notices, many are aware of the possibility of losing their jobs.
According to Wells, the layoff process will involve a series of job cuts over the next few weeks. Jordan Williams, a worker at Stelco, disclosed that he was notified of his layoff on Wednesday, effective the following Sunday. Wells projected that around 300 to 350 employees in Hamilton could face layoffs, with additional impacts at Stelco’s Lake Erie Works in Nanticoke under a different union local.
Due to recent changes in Ontario’s Employment Standards Act, companies are not required to give advance notice for temporary layoffs lasting less than 35 weeks. Therefore, affected employees may receive their notices and be laid off on the same day. Wells mentioned that if the layoffs become permanent after 35 weeks, any severance pay owing would include the additional 12 weeks. He assured that the affected workers would maintain their medical benefits for the time being.
Expressing concerns about the layoffs, Wells stated that many workers are anxious about their financial futures and are primarily feeling angry about the situation. He suggested that Stelco’s owner, Cleveland-Cliffs, might be using the layoffs to showcase the success of tariffs supported by CEO Lourenco Goncalves and U.S. President Donald Trump ahead of the U.S. midterm elections.
Trade Minister Mélanie Joly issued a warning to Stelco, giving them a deadline to present a plan to retain jobs; otherwise, legal action would be pursued under the Investment Canada Act. Goncalves defended the decision to idle production, emphasizing that the acquisition of Stelco was based on the ability to sell to the United States, which has now become challenging due to trade disputes.
In response to the layoffs, local tradespeople are concerned about the broader impact on various trades and businesses beyond Stelco employees. Bernard Tompkins, a boilermaker and council candidate, mentioned efforts to create internship opportunities for laid-off workers in trades experiencing high demand.
Furthermore, government initiatives have been announced to provide job retraining for 75 steel and manufacturing workers affected by the layoffs. This program aims to assist workers in transitioning to in-demand careers through skills assessments, training plans, digital skills upgrading, and support accessing certifications.
Hamilton Mayor Andrea Horwath proposed a tariff-response plan to support laid-off Stelco workers by implementing measures such as keeping property tax increases below inflation and offering emergency tax deferrals for those facing financial difficulties. She emphasized the need for immediate relief funding for impacted workers and families in light of the challenging circumstances.
Overall, the community is rallying to support those affected by the Stelco layoffs, with a focus on providing assistance, retraining opportunities, and advocating for worker rights and benefits during this challenging period.
