Toronto: Leading Canadian steelmaker Stelco has initiated mass layoffs at its Hamilton plant in Ontario. The president of United Steelworkers (USW) Local 1005 announced that around 350 workers will lose their jobs in phases over the coming weeks. Including contract workers, the total impact could affect up to 500 people.
The company’s sudden decision was driven by steep U.S. tariffs on Canadian steel products, declining market prices, and cheap foreign imports. The direct impact on employees stems from the temporary suspension of operations in the Cold Mill and Coating divisions at the Hamilton facility.
When U.S.-based Cleveland-Cliffs acquired Stelco in 2024, it had signed a five-year agreement with the Canadian government promising not to reduce its workforce in Canada. The current layoffs represent a direct breach of this agreement.
The Canadian government has warned of severe legal action against the company if it fails to comply with the terms of the deal. Meanwhile, labor unions are working to secure necessary support and benefits for the affected workers.A
