VideoEnergy & Economy
Stelco recalls all 175 Hamilton workers after Ottawa sets forced sale deadline
All 175 Hamilton workers are set to return December 1, but Ottawa's competition review and a 2029 jobs promise keep the stakes high.
Summary
On Friday, Industry Minister Melanie Joly set an end-of-day deadline for Cleveland-Cliffs, the Ohio company that owns Stelco. If it did not answer, she said, Ottawa would ask a court to order the sale of the Hamilton steel plant. Hours later, Stelco said it had reached agreement with enough customers to restart the Hamilton finishing lines and recall all 175 laid-off workers on December 1.
The fight began on September 28, when Stelco idled the finishing lines at Hamilton Works and 175 workers were laid off. Ottawa argued the layoffs broke binding undertakings from the 2024 sale, including a promise to keep unionized employment at 2024 levels through 2029. The 15-day Investment Canada Act deadline expired on November 6 without a lawsuit, so Joly asked the competition watchdog to examine the 2024 purchase.
The channel's reading is that the back pay turns the autumn into a paid pause, leaving a gap a court might have weighed against the 2029 promise. Stelco's statement also blamed federal tariff gaps and cheap galvanized steel imports, a complaint the video says deserves a fair hearing. Set beside Ottawa's $313 million for Honda's Alliston plant, the video argues Canada is making public money conditional on foreign owners keeping their promises.
Key points
- Stelco idled the finishing lines at Hamilton Works on September 28.
- 175 workers were laid off in Hamilton; the company had warned up to 500 positions could be hit.
- Cleveland-Cliffs bought Stelco in 2024 with 34 binding undertakings, including unionized employment at 2024 levels through 2029.
- Ottawa's 15-day Investment Canada Act deadline expired on November 6 with no lawsuit filed.
- All 175 workers are being recalled on December 1, with back pay for every lost week.
- Ottawa announced $313 million from the Strategic Response Fund for Honda's Alliston plant, expected to keep more than 4,000 jobs.
Questions answered
Why were 175 Stelco workers laid off in Hamilton?
Stelco idled the finishing lines at Hamilton Works on September 28, the lines that cold roll and coat steel. Staff had been warned that up to 500 positions in Hamilton and at Lake Erie Works might be hit, but 175 people were laid off, all in Hamilton.
What promise did Ottawa say Cleveland-Cliffs broke at Stelco?
When Cleveland-Cliffs bought Stelco in 2024, it signed 34 binding undertakings. One includes keeping unionized employment at 2024 levels through 2029. Ottawa argued the layoffs broke that promise, while the company said in October it was in full compliance with all 34.
Will Stelco's Hamilton workers get back pay when they return?
Stelco says all 175 laid-off Hamilton workers will be recalled on December 1. Every affected worker will be made whole retroactively for the standard wages they would have earned while laid off, including October and November. The company says the lines need several weeks before producing steel again.
What is the Investment Canada Act forced sale threat against Stelco?
Joly said Ottawa could ask a judge to order the sale of Stelco because the company was in breach of the Investment Canada Act. Ottawa's 15-day deadline expired on November 6 with no lawsuit filed. On Friday she set an end-of-day deadline for a response, and Stelco's statement came hours later.
Prepared by the CanadaNext Editor with AI assistance from public reporting and CanadaNext's own videos. Sources are linked. How we work