SAULT STE. MARIE -- Algoma Steel is responding to the impact COVID-19 has had on the markets, by temporarily laying off 70 full-time employees.
The company announced the layoffs on Thursday, citing a slow and unstable market as the main reason behind the decision.
"We have taken this difficult decision to prudently sustain our financial strength during this ongoing period of broad economic and market instability," said Michael McQuade, Algoma Steel CEO in a media release.
"As a steel producer, we are an essential service and we do not take that responsibility lightly."
The company says it anticipates the market won't rebound in the near-future and is making this decision in order to continue operating.
"Algoma Steel will continue to monitor market conditions closely and may make further adjustments as the business may require," said McQuade.
The union representing steelworkers at the facility say the decision was not a surprise.
"The union is sorry to hear of the reductions and certainly empathizes with our members without a job at this time," said Mike DaPrat, USW Local 2251 President in a written statement.
"We are all attempting to survive the pandemic, which has taken lives, made people ill and negatively affected the economy."
Algoma Steel adds that anywhere between 80-90 employees will help fill in for those lost positions in the meantime.
