Approximately 170 people at the Evraz steel mill in Regina have been laid off since the beginning of May, and around 50 to 75 additional people could be out of work in the coming months, according to Evraz North America.
The company said it had to regretfully lay off employees because of economical reasons.
“Due to market conditions, Evraz North America made the decision to idle its large diameter pipe fabrication in Regina,” reads a statement from the company to Global News.
The statement goes on to read that although overall business is strong, including demand for its other steel products, the large diameter pipe market has been “soft.”
The company said it has been able to offer some employment opportunities at their Calgary mill for individuals impacted by the lay offs.
Michael Yeats, the Canada Business Unit SVP for Evraz North America said 15 employees were able to secure permanent positions at the Calgary mill and that they are working on filling a couple more openings.
Despite the job opportunities there may currently be at the Calgary mill, the company will only be able to help a fraction of those laid off keep a job with Evraz for the time being.
Evraz said because the large diameter pipe business is “highly cyclical in nature,” it has been prioritizing investments in research and development to better plan for and position their operations for the future.
Yeats said the company is involved in ongoing talks with entities within the clean energy sector and it hopes to secure contracts in order to bring in future job opportunities down the line.
“With a focus on state-of-the-art products that support a clean energy transition, we are hopeful new markets will offer a more consistent landscape for our LD pipe fabrication operations and the jobs it supports,” reads the statement.
Global News has reached out to the president of United Steelworkers Local 5890 for comment — the union represents steel workers at the Evraz mill in Regina — but the president was not available to speak before publication of this article.
More to come..