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| Last updated at 10:24 AM on 12/01/09 |
For the record 
MY PERSPECTIVE
ROGER PIKE 
Advertiser
We've all been there. We have all made public comments on issues that impact our lives. Sometimes we speak without thinking and sometimes we carefully craft the message we deliver to others. The comments are on the public record for all to read and hear but more importantly to be understood.
As I reel from the sadness and shock surrounding the loss of our paper mill I can't help but reflect on why and how this all came to be. Looking back, I couldn't help but gather from newspaper archives and Internet postings some of the critical comments of those newsmakers involved in the process and of course those who have had a vested interest in the business of papermaking. If nothing else, their comments will serve as the permanent record of how they helped shape this crisis and the future of our community.
For the record, here is what they said last year;
Jean-Philippe Cote, AbitibiBowater: "Through a strong renewal plan we were convinced that we could not only give this mill a competitive advantage that it once had, but even make it profitable again. The only way you can achieve that through the renewal plan is through addressing cost and labor issues."
"We do have power assets in Grand Falls and in Newfoundland. We spent $120 million to build those power assets. We are very grateful that we are able to use the natural resources of Newfoundland to have those power assets which we have invested in. The problem is that we lose more money with the mill than we are making with the power assets. In the last two years we have gained $10.5 million from the assets but we have lost $15 million. We are not making, we are losing."
Brad Pelley, mill manager: "I have been brought in to reduce the cost of getting paper to the marketplace. We are one of two mills at the wrong end of the cost curve in this company, when you look at it historically inside this industry it is not a good position to be in and still expect to be around for a long time."
David Coles, national president, Communications, Energy and Paperworkers' Union: "Every worker at the AbitibiBowater paper mill who voted against the company's final restructuring offer understood they were voting to close the mill and lose their jobs. They had to have known because we had staff there that knew the situation. The reason I was in Grand Falls the first time was I convinced the company to delay the closure notice so they could get on with the bargaining. I met with all the union executives and it would be almost incomprehensible that people wouldn't have known the seriousness."
Gary Healey, national union representative, CEP: "When we rejected the document, we knew the outcome. Whether we accepted the document or not, the document would have resulted in a significant number of layoffs. So either way there would have been a transition for a significant number of people. We explained it to our workers. We've had many meetings over the last six or eight months. There's nobody who works in that mill who doesn't understand those documents very, very well. I don't personally have any regrets.
"If they wanted to keep the mill open why don't they say something. Oh, by the way, we're willing to sit down with the union anytime until March 28 to see if we can resolve the situation, What's wrong with saying that."
Ray Hunter, MHA: "This province is noted for fighting for the great cause of its people and I got to say to everybody in the unions this is the time when we all must work together, stick together, stay together and if need be, go down together."
Kathy Dunderdale, Natural Resources Minister: "The average salary at the mill was around $70,000 a year and most I suspect lived closely to the edge of that envelope. There is certainly not anything available in training or make work projects that would offer anything close to those kinds of wages, so we need the federal government to step up here in terms of a stimulus package.
"The union leaders are very rounded in reality. They knew very clearly what they are doing, they understand very clearly the consequences for them and their families and the region. They are not taking any of this lightly."
Rex Barnes, mayor of Grand Falls-Windsor: "I think it's important for people to realize that it's not going to be an easy process when the mill closes. People's lives are going to be in turmoil but there has to be a realistic approach from government in what they are doing. Minister Skinner is right on. There is no quick fix and when it comes down, MHA Susan Sullivan is working with the mill unions, same with the task force, and they got a list drawn up of all employees."
Paul Quinn, analyst, RBC Capital Markets: "For AbitibiBowater the magnitude of the demand decline has begun to cast doubt on its ability to accomplish the monthly price increase it has sought. While the company has pushed through increases so far this year we believe it will have to announce additional closures in the near term to maintain pricing momentum."
David Paterson, president, AbitibiBowater: "The province's expropriation entitles AbitibiBowater to full reparation for its loss, including restitution of the expropriated assets or compensation at their fair market value, plus payment of any additional damages suffered as the result of the provinces actions. Failing an agreed resolution or full and timely compensation AbitibiBowater is determined to pursue its rights against the government of Newfoundland and Labrador to the fullest extent available in connection with the serious and unlawful infringement of its rights."
Premier Danny Williams: "I don't think there is going to be a court battle. If they get good legal opinions, those legal opinions, are going to tell them this legislation has a right to do this. The law, once this bill is passed will, in fact, be that we in fact own those assets. So the only issue which would be in question is the question of compensation."
George MacDonald, president, CEP Local 63: "This is one of the proudest days in Newfoundland and Labrador - a government that stood up. It's an unreal feeling. I thought Santa Claus was going to come."
Susan Sullivan, MHA: "What has happened has happened - the mill is closed and they're moving on. So should we."
David Kerr, former mill manager: "You know what's so sad about all of this? A nanosecond after CEO David Paterson was told about the legislated expropriation, let alone what he thinks of the Newfoundland government, he totally wrote off the mill - lock, stock and barrel. That's the way these guys think. If any door was ajar for negotiations to restart the mill (and it always is no matter what anyone says) it's now slammed shut, bolted and bricked up for good. I don't know who's advising Premier Williams on this but they have to give their head a shake and go back to timing school. Timing is everything in this business and the time to expropriate was not now - good heavens while the mill is running give negotiations a chance. Expropriate on the last day a roll is dispatched on number three winder, not a second before.
"Also the union is insane. They are going around lauding Premier Williams for doing this great thing while at the same time trying to send a veiled olive branch to the company about getting back to the table. What are they smoking? The company reads newspapers, too. I bet Abitibi pulls the plug before March 28.
"Who in their wildest dreams thought this was the right thing to do now? This is a little like peeing in your pants in a snow storm. It feels good when you do it but wait a while and see."
So that's basically some of the comments that were made last year in relation to the closing of our paper mill. Maybe you can make sense of it all.
(Roger Pike writes from Grand Falls-Windsor. He can be contacted at roger.pike@nf.sympatico.ca)
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12/01/09
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Andrew Baird from Nova Scotia writes: Roger
Interesting to read all of the comments in your article. In my opinion, somebody wasn't thinking too clearly to allow everyone to lose their jobs and then cheer about it. As long as the mill was open there was hope for a chance of a renewal sometime in the future but once you lose something it is normally gone for good.
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| Posted 12/01/2009 at 9:52 PM | Alert an Editor | Link to comment |
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Doug from NL writes: Always interesting to read past comments. It blows me away how a union leader was so happy with the premier for the expropiation when over 300 members were going to lose their jobs. I enjoy your columns Roger , keep up the good work.
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| Posted 13/01/2009 at 11:31 AM | Alert an Editor | Link to comment |
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Richard Newhook from NL writes: Having been one of the multi-generational families in the employ of this company (myself included), the actions of the union is entirely not surprising. Abitibi (or whatever the name of it is this week) has always had a reputation for being abusive to its employees and trying to take them for all they were worth. For the past 30+ years it was like clockwork, they would threaten to close the mill if they did not get what they wanted.
Abitibi has never been (and never will be) a pillar of the newfoundland communities. It was a large employer that made absolutely sure it wrung every pound of flesh out of its employees. It neither inspired nor deserved loyalty from its employees, because even the employees knew that without their union, they'd have been even worse off.
I am for one very proud of the union in my hometown. They've not only protected the interests of the employees far better than Abitibi cared to, they inspired a brotherhood that was willing to go down together than cave to ultimately what was an abusive employer.
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| Posted 13/01/2009 at 12:22 PM | Alert an Editor | Link to comment |
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Andrew Baird from Nova Scotia writes: Richard, I guess you will have to explain what the term abuse means in this instance. If the average salary per employee was close to 70,000 a year as indicated in the article plus other benefits, then I know a lot of people who would love to be doing so poorly. The economy is in a shambales right across the country with layoffs in every province. In my opinion, it was a poor time to call their bluff. It would have been better to have 350 employed than 0.
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| Posted 13/01/2009 at 5:12 PM | Alert an Editor | Link to comment |
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Jim Smith from ns writes: Hey Richard, do you think Tim Hortons is a pillar of NF communities? You're about to find out, cause that's where you'll be working next. Then you'll discover the meaning of the term 'wringing the flesh out of it's employees'. rotflmfao
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| Posted 15/01/2009 at 9:47 AM | Alert an Editor | Link to comment |
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