Layoff pains at Wabush Mines could be softened: minister

Newfoundland and Labrador's natural resources minister says government is prepared to take action to extend the life of a mine that is poised to lay off scores of workers.

Kathy Dunderdale met Thursday with officials of Cliffs Mining Co., operator and part owner of Wabush Mines.

The iron ore mine plans to lay off 160 workers in February in response to a deep global slump in demand for steel.

Dunderdale said the pending layoffs, involving about a third of the mine's employees, are her immediate concern.

She said she wanted to learn whether "there's any way those numbers can be reduced, and if those numbers can be mitigated by things like early retirements, and they have committed to do both."

Dunderdale said officials told her they are preparing to be ready when markets rebound.

She also said the government is willing to help the company learn whether the long-term viability of the mine can be extended.

"What I'll look at now is to see if we can't do some kind of independent assessment on what's happening at Wabush Mines, particularly around the whole issue of high grading and manganese reduction," she said.

Such moves have long been goals of the Steelworkers Union, which represents the workforce.

Dunderdale said she mentioned the proposal to Cliffs Mining Co., and said she wants to have the union involved in such a process. She said company officials were agreeable to the idea.