Stora sets lockout deadline
A time for 'soul searching': union
POINT TUPPER - A senior CEP local 972 union official described Tuesday's news that Stora Enso had set a June 24 deadline for the lockout to end as "no surprise".
Stora's board of directors met to discuss the mill crisis in Halifax on Tuesday. The company issued a press release mid-afternoon announcing that the June 24 deadline was necessary because Stora needs to make a submission to the Nova Scotia Utility and Review Board (UARB) by June 30 in a bid to secure cheaper power rates.
"We are focused on the two outstanding issues that must be resolved to build a business case for the mill in Port Hawkesbury," Stora Enso Port Hawkesbury president Tor Suther was quoted as saying.
"A new collective agreement is the next essential step. Finding ways to reduce costs and uncertainty in the amount the company pays for electricity is also a necessity."
Stora's finance director Rick Cecchetto told The Journal late on Tuesday afternoon that he was "fearful" going into the board meeting and had been genuinely concerned the board would decide to close the mill immediately.
Cecchetto added that the June 24 deadline "is a very serious deadline" and that the mill will shut down if a ratified agreement with the union is not reached by that date.
Cecchetto said the Stora board had extended an offer to union leaders late Tuesday afternoon to meet with them and discuss the board meeting as soon as possible.
He wasn't sure whether the union would accept the offer.
Meanwhile, Stora's communications manager Patricia Dietz described the board's announcement as a "relief".
"It's a good sign that it's not closure...it's somewhat of a relief. We all know now where we stand and what we have to do to get this mill operating again," Dietz said.
For once, a Stora company official and a union leader were in agreement.
CEP local 972's recording and correspondence secretary Tom McNamara also told The Journal that both sides were well aware of what was required for a deal to be reached.
"I'm kind of disappointed they had to put a deadline on it. We're going back to negotiations next week and we'll be looking for a deal for our membership. That's our priority," McNamara said.
He rejected the suggestion that the deadline might put more pressure on the workers to reach a deal.
"Not really…both sides know what they've got to do to get a deal. There's going to be soul searching for both sides," McNamara said.
He said Stora's comments about its application to the UARB indicated that the company wanted to reach a "three-to-five year" power rate agreement.
McNamara said the union members were "still looking (the Stora press release) over on the line right now" when The Journal called. "But it's not a surprise to them, they've been through it before," he added.
Talks between the union and Stora are scheduled to resume on the morning of Wednesday, June 7 and are scheduled to run for four days.
McNamara hoped the company would be more willing to negotiate when talks resumed. A recent meeting between the groups broke down after just a few hours.
"There was a reason for that (breakdown)," he said. "The company wasn't willing to negotiate. It was 'take it or leave it'. Hopefully they'll come back with a different attitude this time."
