Corner Brook Pulp and Paper Initiates Rightsizing Plan

Corner Brook Pulp and Paper, Corner Brook, Newfoundland and Labrador, a mill owned by Montreal, Que., Canada-based Kruger Inc, reports that it has started implementing a previously announced rightsizing plan as part of the company's strategy to improve its competitiveness. This past week, the company met with union executives to announce the immediate layoff of nine employees, as well as a gradual reduction of 33 additional positions and four vacancies that will not be filled.

This announcement is the first step in an ongoing process to reduce labor costs. For the mill to survive and be competitive, the company says, it must rank within the first quartile of the industry. To achieve this goal, it must reduce its workforce accordingly. Therefore, the company notes that it will reassess its manning needs in the coming weeks and months to make further labor force adjustments.

The company says it will make every effort to minimize the impact of its rightsizing process on employees and their families.

Founded in 1904, Kruger produces publication papers, tissue, lumber, and other wood products, corrugated cartons, green and renewable energy, and wines and spirits. In Canada, the company operates facilities in Quebec, Ontario, British Columbia, and Newfoundland and Labrador. It also has facilities in the U.S.

TAPPI
http://www.tappi.org/