Catalyst Paper's plan to reopen mill hits snag with union local

Catalyst Paper's plan to reopen the Elk Fall's mill has been rejected by one of the mill's union locals. The other local is expected to respond to the proposal within the next few weeks.

"Overall, the membership is quite unhappy with the proposal," CEP Local 1123 president Ian Simpson said. "It's just a whole list of concessions that the company wants. They say it's only a 20% wage cut that they're looking for but the reality is if you add up all the concessions it's closer to 40 to 45% that they're looking for."

Catalyst's proposal calls for:

• Wages to be frozen until April 30, 2014 at a 20% reduction from the May 1st, 2009 contract rates.


• The base labour rate to be reduced to $20.50 per hour.


• An employee bonus plan to be developed tied to the profitability of the company.


• Reduced staffing levels and changes to operating practices contemplated during the mill's "$80/ton discussions" to be put into effect.


• Vacations, pension contributions and benefits would be reduced.


• A host of services including waste management and recycling, lawn, garden and brushing, janitorial, street sweeping, sign making, sheet metal, sandblasting, painting and others, to be reviewed to find the lowest total cost alternative.

The company said the changes would reduce the average wages and benefits paid on behalf of employees and retirees to approximately $82,000 per year.

Read more:

Mill re-start hits snags (Courier-Islander)