Over 200 employees at Catalyst Paper tiskwat mill in Powell River will be permanently laid off on Jan. 31 but there is optimism that the site can be transitioned to another industry, creating new jobs.
According to its parent company, Paper Excellence, the pulp and paper mill on the Sunshine Coast began operations in 1912, making it "the first newsprint mill in western Canada. At one point, one in every 25 newspapers worldwide was printed on paper manufactured there."
The facility withstood many changes of ownership—most recently it was acquired by Paper Excellence Canada in 2019.
In early 2020, a malware attack coincided with the global effects of COVID-19, and the mill was temporarily shut down, according to a Business Intelligence for BC (BIV) article. Of the 410 workers, approximately 200 were invited back in May 2021, with the hope that full operations would eventually resume. Instead, Paper Excellence announced an indefinite curtailment of the mill on Dec. 1, due to “the ongoing contraction of global paper markets and paper prices, particularly in Asia, creating significant on-going financial losses at the mill.”
The City of Powell River Mayor Dave Formosa told CKTZ News that Renewable Hydrogen Canada is in negotiations to take over the site.
Brodie D’Angio, manager of Work BC Powell River, said they are preparing to help with the transition as several hundred mill workers face losing their jobs.
Listen to the full CKTZ News update below: