Ontario Workers Demand Equity Amid Sawmill Closures

In response to recent sawmill closures in Ontario, local leaders are advocating for increased worker involvement in the forestry industry. Union leaders and members of the Ontario New Democrats (NDP) argue that establishing worker equity is essential for the long-term sustainability of mills in locations such as Ear Falls and Ignace.

Luke Hildebrand, president of the NDP’s Kenora–Rainy River constituency association, emphasized the importance of community investment in these operations. He stated, “The bottom line is that when things are run on the corporate bottom lines only, communities get left behind, workers lose jobs, profits go out and the problems stay in the community.” Hildebrand’s comments came during an interview with Newswatch this week, where he expressed concern about the future of local employment.

An online petition urging both provincial and federal governments to take immediate action has attracted approximately 300 signatures. The petition calls for the reopening of the Ear Falls sawmill and halting the shutdown of the Ignace sawmill. It also seeks the creation of a “forestry job protection task force” and a unified approach to ensure that Canadian lumber is utilized in domestic construction.

An open letter, signed by two northern NDP Members of Provincial Parliament (MPPs) and two union leaders, has also called for urgent measures to prevent the closure of the Ignace sawmill and to reopen the Ear Falls sawmill and the Terrace Bay pulp mill. The letter specifically requests that any financial support provided to forestry companies should be contingent on workers receiving an equity stake in their workplaces. “Worker ownership ensures that those who create value share in the rewards and have a real voice in decision-making,” the letter states, with signatories including Lise Vaugeois, MPP for Thunder Bay–Superior North.

The Interfor lumber sawmill in Ear Falls was shut down indefinitely in October 2023, resulting in over 150 job losses. Mayor Kevin Kahoot of Ear Falls acknowledged the petition as a positive sign of public support, but underscored its limitations: “1,000 signatures doesn’t pay the bills for Interfor.” He pointed out that the company’s decision was based on current market conditions, stating, “If a company’s not making money, it’s really hard to keep any doors open.”

The situation remains critical as Domtar’s sawmill in Ignace is set to cease operations indefinitely on March 12, 2024. Meanwhile, the AV Terrace Bay pulp mill has been closed since January 2024, and Thunder Bay Pulp and Paper Mill announced the closure of its newsprint division recently.

In light of these developments, Kevin Holland, MPP for Thunder Bay–Atikokan and associate minister of forestry in Premier Doug Ford’s government, commented on the issue of worker equity. He stated that it is primarily a matter for companies and labor representatives to negotiate, indicating that while the government may consider involvement, they see it as a business decision rather than a political one.

As the forestry industry grapples with these challenges, the push for worker equity continues to grow, highlighting the importance of community engagement and sustainable practices within the sector. Local leaders remain committed to advocating for solutions that prioritize both economic viability and worker participation in Ontario’s forestry industry.