Union, locals relieved NewPage deal accepted

Unionized workers at the idle NewPage paper mill have voted for a new deal, though leaders recognize it's a "sad time" because of job losses.

Members of Communications, Energy and Paperworkers Union Local 972 voted more than 85 per cent in favour of the deal with Pacific West Commercial Corp., the parent company of buyer Stern Group.

"I hope that people realize that the union workers here in Port Hawkesbury are not a greedy bunch of people," said Steve MacDougall, a union spokesman. "We are taking this responsibility very seriously."

MacDougall said the workers were under a lot of pressure, knowing that rejecting the deal would likely mean the end of the mill.

The union had recommended that its members accept the offer.

Archie MacLachlan, another union representative, said 85 per cent is a "good endorsement," but he acknowledged that not everyone will be heading back to the plant.

The company's offer reduces the number of unionized employees from about 600 to 229.

"It's a sad time for a lot of people as well because they know there's only one machine starting up," MacLachlan said.

Some people in the Port Hawkesbury area said they are relieved, even though there will be fewer jobs and fewer benefits for those still working at the mill.

"The businesses are definitely hurting because of [the closure]," said Elaine Jellow, outside a local grocery store. "It's a small town."

Marc Dube, a spokesman for Pacific West Commercial Corp. is pleased with the vote, but said there are other hurdles to overcome before the mill reopens.

This includes working out a deal with Nova Scotia Power on energy costs, finalizing funding from the province, and a deal with the government for a wood source.

"We've been working on them and we're going to continue and now this will be the catalyst that gets us to completion," Dube said.

The financially troubled mill closed last September. To date, the province has spent $27.3 million to keep the mill running, waiting for a new owner.