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Hamilton reacts to Maple Leaf Foods closure

Mayor Ian Hamilton was getting used to hearing positive news about construction and grand openings lately. He was just coming off another good news announcement - the move of Grit Industries Inc.
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Mayor Ian Hamilton was getting used to hearing positive news about construction and grand openings lately.

He was just coming off another good news announcement - the move of Grit Industries Inc. to North Battleford with over 70 new jobs - when word came mid-week that Maple Leaf Foods was closing its plant in the city.

"The reaction is one of disappointment initially that the company has made this decision with respect to the plant in North Battleford," said Hamilton, who expressed his concern and regrets for the 330 employees at the plant who have been given notice of their job loss.

Hamilton and City Manager Jim Toye were given the bad news by Maple Leaf Foods of the decision Oct. 18. The company made the news public the next day, citing economies of scale and the competitiveness of the marketplace as the reason for the closure. In all, 1,550 jobs are going to be lost.

Six plants are being shut down as Maple Leaf Foods consolidates operations at four locations across the country in Hamilton and Brampton, Ont. Winnipeg, Man. and Sasktoon. The company says production of the product produced at the North Battleford plant - bacon - will be consolidated in Winnipeg.

The North Battleford closure is slated for the first half of 2013, according to the company.

"It was a corporate decision to consolidate operations and streamline them on a national basis," said Hamilton.

"We're accepting the decision of the company, and wish it was otherwise," he said. "I do understand they're tough decisions for them."

As for what the City will do with the soon-to-be-vacant Maple Leaf facility on Canola Avenue, the City still has to sit down with Maple Leaf and at next step.

"We haven't initiated those discussions yet but Maple Leaf has offered to identify alternative uses for the facility," said Hamilton.

Also, they will call on the expertise of the provincial and federal government.

"But to be honest with you, we're still catching out breath," said the.

He adds that at least "it wasn't an announcement that we are closing the doors today."

Hamilton also plans to contact the other five communities impacted by the closures to find out what they are planning to do. Some of those communities have been particularly hard-hit by the closures; the plant in Kitchener, Ont. has 1,200 employees.

He also plans for the City to do whatever they can to assist the displaced workers, although those plans are still to be determined.

"They're our citizens and we want to help any way we can."

The bad news follows a string of good news about projects moving forward in the Battlefords, such as the recent announcement to replace Saskatchewan Hospital, the building of the Northland Power plant and the construction of all four components of the Credit Union CUPlex, among others.

"You take the bad with the good," said Hamilton.

"We've had a good run, and it will continue because I'm very confident we'll be successful in attracting another employer to the community that will alleviate the pain of today"