Advertisement

Coronavirus: More than 1,000 layoffs at Resolute Forest Products

Cedar planks are stacked at a lumber yard in Montreal, Tuesday, April 25, 2017. Resolute Forest Products Inc. says it's laying off more than 1,000 people.
Cedar planks are stacked at a lumber yard in Montreal, Tuesday, April 25, 2017. Resolute Forest Products Inc. says it's laying off more than 1,000 people. THE CANADIAN PRESS/Paul Chiasson

MONTREAL — Resolute Forest Products Inc. is temporarily laying off more than 1,000 workers mainly in Quebec because of the COVID-19 pandemic.

Some of the layoffs could be extended if economic turbulence and lower demand persist in some of the company’s divisions.

READ MORE: Bank of Canada stimulus actions should reach average Canadian: Stephen Poloz

CEO Yves Laflamme says the cuts will mainly affect wood products, newsprint and specialized pulp, along with head office employees in Montreal.

Resolute employs about 7,500 people in Canada and the United States with the vast majority located in Quebec.

The company also says it lost US$1 million during the first quarter, down from a profit of US$42 million a year earlier.

Story continues below advertisement

Revenues declined 13 per cent to US$689 million.

Coronavirus outbreak: Quebec premier says Montreal won’t reopen on target dates unless specific goals for COVID-19 containment are met
Coronavirus outbreak: Quebec premier says Montreal won’t reopen on target dates unless specific goals for COVID-19 containment are met

Results were positive in the forest products, tissue and specialty papers sectors, but the newsprint and commercial pulp divisions posted operating losses.