The Ontario government was told about upcoming layoffs at Stelco’s Hamilton plant days before more than 350 workers learned their jobs were being cut, provincial officials have confirmed.
Stelco, owned by U.S.-based Cleveland-Cliffs Inc., informed employees this week that it would indefinitely idle production at its Hamilton facility in the coming weeks. The company said it would offer laid-off workers positions at its steel mill in nearby Nanticoke, Ont.
Ontario’s Minister of Economic Development, Vic Fedeli, told Global News the government received advance notice of the layoffs “within days” of the public announcement, though he said nothing was confirmed until the union and employees were formally told.
A Pattern of Advance Notice
Fedeli said the province regularly hears from companies facing large-scale job cuts before the public does, noting Ontario has ongoing relationships with steel, copper, aluminum and lumber producers to review provincial support programs. Stelco marks the third instance this year in which the Ford government was told of tariff-related layoffs ahead of workers and the public.
In summer 2025, Crown Royal maker Diageo gave the premier’s office a heads-up one day before announcing it would close its bottling facility in Amherstburg, Ont. Later in the year, Algoma Steel similarly notified the government in advance of plans to cut roughly 1,000 positions due to the ongoing tariff dispute.
In those two earlier cases, the government attempted to intervene. Premier Doug Ford personally contacted the head of Diageo Canada to discuss keeping the plant operating in Canada, while Algoma Steel received a $100-million taxpayer-funded loan intended to soften the impact of its staff reductions.
Details on Stelco Talks Remain Private
Fedeli declined to say what, if anything, the province offered Stelco to try to avert the layoffs, or whether the company had applied for a temporary government funding program. He said such offers are extended to all companies dealing with the effects of tariffs but that the government does not disclose specifics of individual discussions unless a deal is publicly announced.
Asked why Stelco appeared uninterested in pursuing additional government funding to keep the Hamilton mill running, Fedeli said the province does not comment on discussions with “individual prospects.”
Union Points to Tariffs and Import Shifts
United Steelworkers Local 1005, which represents workers at the Hamilton plant, said the company told them the layoffs stemmed from U.S. tariffs on steel combined with a drop in steel imports from other countries. Local president Ron Wells described the news as “extremely devastating” for affected workers.
The layoffs add to a string of job losses across Ontario’s manufacturing sector this year tied to the broader trade dispute with the United States, following similar cuts at Algoma Steel and the plant closure announced by Diageo.
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