Hamilton Mayor Andrea Horwath has sharply criticized Stelco Holdings Inc. after the steelmaker moved to lay off as many as 350 workers at its Hamilton plant, calling the decision devastating for the community.
Speaking on CTV’s Your Morning, Horwath said she was furious over the layoffs, linking them to the 50 per cent U.S. tariff on Canadian steel that took effect on Aug. 22. United Steelworkers Local 1005, the union representing employees at the plant, confirmed the layoffs to CTV News.
A spokesperson for Stelco, which is owned by American steel manufacturer Cleveland-Cliffs, said the company is idling finishing operations at the Hamilton facility while shifting production to its Lake Erie Works site. The spokesperson said total steel tonnage produced would not change, though the product mix would shift toward a higher concentration of hot-rolled steel. The company said job opportunities at Lake Erie Works would be offered to affected Hamilton employees and that it expects a significant number of them to be absorbed there.
Union Disputes Scope of Job Offers
Horwath said she doubts the number of positions being offered to Hamilton workers will amount to much. Ron Wells, president of United Steelworkers Local 1005, told CTV News that only 40 to 50 positions are currently available at the Lake Erie site — far fewer than the number of workers being laid off in Hamilton.
Horwath also questioned how the layoffs could proceed at all, pointing to conditions attached to Cleveland-Cliffs’ $3.4-billion acquisition of Stelco Holdings in 2024. That deal included a five-year undertaking to maintain the same number of unionized employees. She said the question of how the layoffs align with that commitment should be directed at the federal government, adding that she intends to press Ottawa for an answer.
Government Response
A spokesperson for Ontario’s Minister of Economic Development, Job Creation, and Trade, Vic Fedeli, said in a written statement to CTV News Toronto that the provincial government will use every tool available to help affected workers.
Prime Minister Mark Carney said his thoughts are with the workers and families affected, saying they had been betrayed by Stelco. He said federal funding is available and that the company had made representations and has legal obligations tied to employment, adding that the government intends to pursue the matter to the full extent of the law. Carney also said the situation stems from U.S. tariffs, noting that Cleveland-Cliffs’ leadership had applauded President Trump for imposing them.
Stelco Layoffs by the Numbers
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