Negotiations involving representatives looking to purchase the former Essar Steel Algoma, and the union representing the company's workers are at a standstill, however, there is plenty happening behind closed doors.
The company, now using just the name “Algoma,” has been going through restructuring via the creditor protection process since late 2015. Recently, it filed motions claiming the union is refusing to discuss monetary issues.
Talks around a new collective agreement have hit a snag and the union says it’s concerning health and safety.
"The workplace health and safety is not working. Our people have to ask permission to get our health and safety reps off. We don't get informed of the information, we don't get informed of health and safety concerns until after the fact, and that's a huge issue. Not addressing the issues that are important to the union is going to get the result that's there now." said Mike Da Prat, President of United Steelworks Local 2251.
The union has filed documents in court opposing a motion from the potential purchasers.
Da Prat says he believes the company is in a hurry to close the deal because it has deals in place with the current provincial government, and there's an election coming in June.
"I've been involved in a pile of CCAA's and in each and every one of those, management and the union went together to improve things, and conditions in the workplace always became better as a result of it. In this case it's the exact opposite. They're aware the election is there. So they’re simply hammering the table and saying we need something done before the election.” said Da Prat.
Algoma officials declined to do an interview saying they are legally obligated to not discuss negotiations publicly. However, recent court filings state the company is no longer seeking 10 per cent concessions from the union on wages, health benefits or vacation bonuses.
The two sides are due in court later this month.
