Pulp and Paper Canada

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Dollar catches up with Domtar


December 10, 2004
By Pulp & Paper Canada

Domtar has been forced to take measures to contend with the rising Canadian dollar. The company announced plans to…

Domtar has been forced to take measures to contend with the rising Canadian dollar. The company announced plans to close indefinitely part of its operations at its Cornwall mill. As of March 8th, 2005, the pulp mill, a paper machine and a sheeter will all be shut down at this facility. This will see the curtailment of 150,000 tons of pulp and 85,000 tons of paper. Roughly 390 jobs will be lost. The company has also confirmed that an additional 400 jobs will be slashed across its operations in Canada and the United States, including management and staff functions by the end of 2005.

"The Cornwall situation is indicative of the overall job crisis which has hit forest industries in recent years. For all that time, CEP has said that our governments, industry, communities and unions must come up with some pro-active measures to help keep these good paying jobs here in Ontario," said Cecil Makowski of the Communications, Energy and Paperworkers Union of Canada. CEP plans to meet with Domtar company officials in the near future to discuss possible options to lessen the negative impact of the shutdown.

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