Saskatchewan

Layoffs at Evraz facility in Regina become political both provincially and federally

Layoffs at an Evraz production facility in Regina sparked conversation at the provincial and federal levels of government on Thursday.

Sask. government, Conservatives lay blame on anti-pipeline sentiments, federal policy

A man in safety equipment walks past rolled-up coils of steel.
Hundreds of layoffs at Evraz in Regina are becoming a political matter, as Opposition parties in the provincial legislature and federal House of Commons raised the issue during question period on Thursday. (Mark Blinch/Reuters)

Layoffs at Evraz in Regina are becoming a political matter provincially and federally.

Last week Evraz announced 50 layoffs and the company said hundreds more would be coming in the new year. On Wednesday  Evraz formalized nearly 600 more layoffs.

On Thursday, the leaders of both of Saskatchewan's major political parties went tit-for-tat on the matter in question period. 

Opposition Leader Ryan Meili mentioned the layoffs to start question period. He said the announcement, just prior to Christmas, was devastating to Saskatchewan families and asked the premier for an update.

Moe said the government was concerned about the layoffs and that the provincial rapid response team was deployed to see where they could help in the matter.

Moe laid the blame on economic challenges.

"We have a company here that builds pipe, predominantly for the energy industry and we're going to continue to work to ensure that this government supports the energy industry," Moe said.

Meili asked if Moe was advocating for energy projects to use steel pipe milled and manufactured in Regina. Moe said he did and continues to do.

Meili then asked if the premier was working to encourage SaskEnergy to procure provincially-made pipe for an upcoming project in Alberta. Moe countered by saying Evraz doesn't manufacture the pipe SaskEnergy needs for the northern Alberta project. 

Meili doubled down on his stance that the product could be made by Evraz and suggested Moe was already working to "bypass" locally made steel. He asked Moe why he "got nowhere for his workers" in his lobbying efforts. Moe outlined recent acquisitions the province made and Crown corporation contracts that were awarded to Evraz as ways he supported the company. 

Moe continued his counter by saying every member of his party supported workers in the energy industry and asked Meili if he could say the same.

"Every member on this side of the house supports those workers at Evraz and would work hard — unlike this premier — we'd actually stand up and get something done," Meili said. 

Meili then asked why the province left money from the federal government on the table, which he argued could be used to support healthcare workers on the frontlines of the COVID-19 pandemic. 

Government house leader Jeremy Harrison pivoted to again discuss how the government would respond to the announced layoffs at Evraz.

"We directed, early this morning, a rapid response team, to reach out to Evraz, which they have already done, to be working with Evraz and with the employees impacted," Harrison said. 

"Make no mistake about what the challenge is here, Mr. Speaker. The challenge is, is that we can't get pipelines built in this country."

Harrison said significant political opposition made it so pipelines won't be built in Canada and said it comes from the NDP at the federal level.

He also cited a 2018 Facebook post from the NDP's Meara Conway, which criticized Kinder Morgan's Trans Mountain pipeline expansion project, as an example of the opposition the government faces at the provincial level.

Asked after question period about Conway's post and whether or not it makes his messaging hypocritical, Meili said every member on his side supported oil and gas workers and employees laid off at Evraz.

When asked if he supports pipelines, Meili simply said he did. 

Federal Conservatives raise layoffs

During federal question period Thursday, MP for Regina-Lewvan Warren Steinley mentioned the layoffs and brought up how Prime Minister Justin Trudeau stopped at Evraz during the previous federal election. He asked what Trudeau was going to do to support the laid off employees.

In response, Minister of Labour Filomeena Tassi outlined measures the federal government had taken to support workers. 

Steinley pushed back and said the affected employees don't want to take CERB, they want a job. He laid the blame at the feet of the federal government and cited "anti-energy policies" brought about by the Liberal government. 

"These layoffs are not an unintended consequence, they are a desired outcome," Steinley said. 

"The Prime Minister promised to phase out our energy sector and apparently that is the one promise he intends to keep." 

Minister of Natural Resources Seamus O'Regan said thousands of families in the energy sector had benefited from government programming through the pandemic and that the fall economic statement showed the government would expand and maintain programming. 

The Conservatives continued to push, with Chilliwack-Hope MP Mark Strahl insisting the government was insulting the laid off Evraz employees by telling them to collect EI or CERB. 

O'Regan reiterated the federal government's support to oil and gas workers affected during the pandemic. 

"The wage subsidy covered the wages of roughly half the employees in the oil and gas industry for untold months," he said. 

"It is one of the most important industries in this country, it must be treated as such."

Corrections

  • A previous version of this story said Meili had asked about SaskPower procuring pipe. In fact, he asked about SaskEnergy.
    Dec 04, 2020 9:22 AM CT