Up to 500 Hamilton Steel Jobs Are Being Cut as Stelco Disputes Ottawa

Up to 500 jobs are being cut at Stelco’s Hamilton, Ontario, steel plant while the company disputes Ottawa’s claim that the cuts break a legal job promise. Global News reported the layoffs on October 12 and updated the account on October 13. Stelco is owned by Cleveland-Cliffs of the United States.

Global News said a letter from Stelco president and general counsel Paul Simon, supplied by an unnamed source, calls the breach accusation false. The letter says Stelco remains in compliance and that its 2024 Investment Canada Act undertakings do not forbid layoffs. Cleveland-Cliffs told Global News it sent Industry Minister Melanie Joly a response on October 9. Joly said on October 10 that the employment commitments remain binding when market conditions change and that all options remain open.

Stelco blames a steep drop in U.S. sales on 50% American tariffs on Canadian steel. That is the company’s account of the shock. No U.S. steel-price increase was shown. The demonstrated loss is pay for as many as 500 Hamilton workers.

Have the Hamilton layoffs been shown to raise U.S. steel prices? No. No U.S. price increase has been established. The confirmed local fact is that layoffs of up to 500 workers are proceeding while the job-commitment dispute remains unsettled.