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Essar Steel Algoma announces layoffs

Between 70 and 85 employees of Essar Steel Algoma in Sault Ste. Marie received layoff notices from the mill just prior to the Labour Day long weekend, SooToday.com reported.
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Between 70 and 85 employees of Essar Steel Algoma in Sault Ste. Marie received layoff notices from the mill just prior to the Labour Day long weekend, SooToday.com reported.

Between 70 and 85 employees of Essar Steel Algoma in Sault Ste. Marie received layoff notices from the mill just prior to the Labour Day long weekend, SooToday.com reported.

"Current market conditions have prompted a reduction in production levels and the company has had to adjust staffing levels accordingly," Brenda Stenta, the company's spokeswoman, told the media outlet.

"The plate market has experienced a significant drop driven by low demand in consuming markets, including those on the energy side along with rail-car and agricultural markets." 

"This, combined with a continued presence and threat of low-priced and dumped imports has pushed plate prices below hot-rolled coil, a highly unusual turn of events."

"We regret the impact this will have on our employees, their families and the community. In the event there is a recovery in market conditions and staffing needs increase, consideration will be given to those individuals impacted as a result of shortage of work."

The Sault Ste. Marie steel sheet and plate maker has been operating under creditor protection since last fall with a court process underway to determine a new buyer.




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