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Mining sector to get help in next federal budget
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Date Published | Dec. 22, 2008 |
Sudbury Northern Life Reporter Bill Bradley
Mining is going to get some federal help, say local Conservatives. But NDP politicians counter that immediate help is needed for laid-off workers.
The mining industry is being lumped in with the forestry and auto sectors when it comes to stimulus actions in the upcoming federal budget on Jan. 27, said Parry Sound MP and federal Industry Minister Tony Clement on CTV’s Question Period recently.
Claude Gravelle, Nickel Belt MP, said support is needed now, not later.
“The mining industry requires loan guarantees so that it can access credit during the recession. We need an industry-specific strategy to keep workers employed in the north,” said Gravelle.
He cited smaller companies like FNX, which recently cut hundreds of workers.
FNX Mining announced in late October that it is suspending commercial nickel production at its Levack Mine and adjoining McCreedy West mine, due to low nickel prices.
As a result, 307 employees — 59 staff and 248 hourly employees — were to be laid off.
Gravelle said what FNX needs are loan guarantees that can be paid off when metal prices improve.
“There needs to be increased funding for infrastructure so we can improve our roads, bridges and public buildings across the country. These projects will help stimulate the nickel market and go a long way in getting our mines, like the FNX operations, back into production mode.”
Meanwhile, workers who have been laid off need help, he said.
He introduced a Private Members Bill to eliminate the two week waiting period for laid-off workers to apply for Employment Insurance benefits.
“Working families in northern Ontario cannot wait two weeks in order to receive E.I. benefits. It’s clear that if we are going to get through this economic crisis we need reforms to E.I. now.”
Gravelle said there is another problem for laid-off workers.
“My constituency office has been getting calls from laid-off workers who are being turned down for E.I., even though they qualify.”
In one case, a worker who had accumulated 20 hours more than the minimum required (700) was turned down, said Gravelle.
“We are appealing this case. Every day I get calls like this.”
Gravelle said it is key for companies to support laid-off workers too.
“Companies will be looking for workers when the upturn comes. If we do not help them, they will leave the area.”
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