Catalyst Paper wants to reduce their labour costs by 25% - 30%

Catalyst Paper wants to roll back the labour costs at their four coastal pulp and paper mills by 25% - 30%.

Richard Garneau, Catalyst Paper's president, said if the mills are to stay open, wages need to reflect “the competitive reality of the new marketplace.”

The company wants to target all their labour costs to an average of $40/hour, including benefits and vacations, for its 1,000 unionized employees at all B.C. operations. The average labour cost right now is around $62 to $65 per hour.

Recently Catalyst Paper walked away from a meeting with the Communications, Energy, and Paperworkers Union (CEP), who represent about 680 of Catalyst's employees. The workers were voluntarily willing to drop their wages by 10%, and forgo two expected wage increases specified in their existing contract, for a total savings of 15.5%. Catalyst Paper said that amount was not enough.

Read more:

Catalyst Paper seeks deep cuts in workers’ wages and benefits - Labour costs must fall to $40 an hour, firm says (Vancouver Sun)