Union calls Stelco layoff rationale ‘disingenuous and contradictory’
The union representing Stelco Holdings Inc. workers says the steelmaker’s U.S. parent company is being “disingenuous and contradictory” by blaming the planned layoff of up to 500 workers on the trade war.
The United Steelworkers Locals 1005 and 8782, representing Stelco Holdings Inc. workers at the Hamilton and Nanticoke, Ontario steel plants, have criticized Stelco's parent company Cleveland-Cliffs for its alleged "disingenuous and contradictory" reasoning behind plans to lay off up to 500 workers. The union argues that Cleveland-Cliffs CEO Lourenco Goncalves, who has publicly backed U.S. tariffs on Canadian steel, is attempting to shift responsibility for the layoffs onto the trade dispute and market conditions.
Cleveland-Cliffs made legally binding job promises under the Investment Canada Act when it acquired Stelco in 2024, promising to maintain at least the same number of unionized workers for five years. However, the union contends that this exception does not apply to the planned job cuts, as Goncalves' support for U.S. tariffs and his claim of influencing the 50% tariff rate demonstrate his role in creating the crisis.
Stelco has cited weak demand and continued pressure from steel imports as reasons for idling finishing operations at its Hamilton plant, while stating that overall steel tonnage will not decrease and that many affected Hamilton employees will be reassigned to its Lake Erie plant in Nanticoke.
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- Union calls Stelco layoff rationale ‘disingenuous and contradictory’ winnipegfreepress.com
