Breaking News

Tolko reaches agreement with union on Creekside mill closure

 

Following an extensive operational review of mills in the Williams Lake area, Tolko Industries Ltd. announced today, Nov. 16  that it does not foresee a reasonable opportunity to reopen its Creekside mill.
Operations at the Lakeview and Soda Creek mills will not be affected, the release says.

“The decision not to reopen the mill was not an easy one to make,” said Mike Harkies, Vice President of Solid Wood. “When we curtailed operations at the mill indefinitely in 2009, we had expected that lumber markets would rebound within a year or two.

However, US housing starts are still less than half of what they were before the recession and, while demand from China has helped to keep our other mills open and US housing starts are slowly improving, lumber demand has still not recovered to a point that will enable all mills to operate viably.”

“These factors, combined with increasing wood costs and deteriorating quality of timber as a result of the Mountain Pine Beetle epidemic, has led us to conclude that reopening the Creekside mill is not viable,” said Harkies.

Following constructive negotiations, Tolko and the United Steelworkers Local 1-425 have reached a tentative agreement around issues raised by the announcement, including payment of severance to affected employees.

With the Creekside decision finalized, Tolko Industries Ltd. will now turn its focus to making the Lakeview and Soda Creek mills commercially competitive over the long run.

Tolko Industries Ltd. is a private, Canadian-owned forest products company based in Vernon, British Columbia with approximately 3,000 employees. Tolko is a major producer and marketer of lumber, veneer, plywood, oriented strand board, and kraft papers, with manufacturing operations across Western Canada. The Company’s Woodlands operations have received third-party certification of their sustainable forest management systems.

 

 

We encourage an open exchange of ideas on this story's topic, but we ask you to follow our guidelines for respecting community standards. Personal attacks, inappropriate language, and off-topic comments may be removed, and comment privileges revoked, per our Terms of Use. Please see our FAQ if you have questions or concerns about using Facebook to comment.

You might like ...

First-ever chess tournament a checkmate
 
(VIDEO) B.C. boys Reinhart, Virtanen ranked in Top 10 for 2014 NHL Draft
 
Security stepped up in B.C. after attacks in Ottawa
B.C. government plans a 3.5 per cent LNG tax
 
Family of B.C. man shot by police slams RCMP
 
Nelson author taps into the wisdom of kids
MISSING: 22-year-old Bryan Seaton from Castlegar
 
Straight From DeHart: Towne Centre mall welcomes new lingerie shop
 
Transportation Minister revs up B.C. speed limit reform debate

Community Events, October 2014

Add an Event

Read the latest eEdition

Browse the print edition page by page, including stories and ads.

Oct 22 edition online now. Browse the archives.