By Mike D’Amour News Leader Pictorial Aug 29 2007
More than 20 Crofton mill managers received pink slips in a restructuring move the company promises will be the last.
An emotional Don McKendrick, vice-president of Catalyst’s Crofton division, said telling the workers they no longer had jobs was one of the worst things he’s had to do.
“This has been one of the hardest days in my career,” he told the News Leader Pictorial Monday.
“It’s not a good day … I had to say goodbye to some friends today.”
McKendrick wouldn’t say how many people had been let go, but put the number at more than 20, but less than 30.
“I’m not trying to be cute, but there are a couple of people we have
not been able to speak to because they’re out of town,” he said.
“We’ve been speaking to a number of staff people who’ve been working
diligently and hard for us and we had to make difficult and emotional
decisions, but we’re looking forward to the future to restructure and
streamline our organization to be more competitive and viable.”
But Monday’s layoffs and buyouts were the last employee reductions the local mill expects to do, McKendrick said.
“This is it, as far as Crofton is concerned we’ve done it.”
“There’ll be some changes in job duties and reporting relationships,
but as far as restructuring and people being given the proverbial
package, this is it.
“This is our restructuring — we’re not holding the spectre of uncertainty over anybody beyond this date.”
This downsizing of 85 employees — the bulk of which came from the
Crofton and Elk Falls mills — done largely through early retirement
packages is expected to save its Vancouver-based parent company,
Catalyst Paper, $13 million annually after the one-time severance costs
of $16 million.
“Competitive indicators for staffing levels in the industry show this
restructuring step will bring us within reach of best quartile
benchmarks,” said Richard Garneau, Catalyst’s president and chief
executive officer in a written statement.
“Market pressures are not easing up and it is essential we continue to
take prudent and timely steps to restore profitability while
strengthening our position in key product segments.”
Fraser McQuarrie president of Local 1132 of the Communications, Energy
and Paperworkers union that represents about 150 Crofton workers, said
his members are upset about the layoffs.
“When you have a whole local that’s lashing back on the floor over a manager leaving, that’s a telling story,” he said.
“Some good people — some excellent people — who helped us with better job security are now gone.”
True, said McKendrick , but the Crofton managers were treated fairly, respectfully and with dignity.
“And we support them, not only with the packages they received
(rumoured to be equal to two years of wages), more importantly we
provide support on the emotional side.
“On the pragmatic side we support them with financial and job search advice, if they so choose,” he said.
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