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After the Smelter

The Reminder is making its archives back to 2003 available on our website. Please note that, due to technical limitations, archive articles are presented without the usual formatting.

The Reminder is making its archives back to 2003 available on our website. Please note that, due to technical limitations, archive articles are presented without the usual formatting.

In more optimistic times, many of us wouldnÕt take seriously the announcement that the HBMS copper smelter is on the verge of exhaling its last puff of sulphur. ThatÕs not surprising. Flin Flonners have feared mass job losses before only to (often) see things turn out just fine in the end. ItÕs gotten to the point where any suggestion that our major employer was about to cut back was met with a shrug: ÒWeÕll believe it when we see it.Ó But itÕs become increasingly clear that the smelter situation is as serious as a heart attack. It had been hoped that HBMS could hang onto the facility at least until 2015, when its hand would be forced by tough new air pollution limits put in place by the federal government. Parent company HudBay Minerals Inc. now says Ð and acts like Ð the end may come much earlier as the smelter struggles financially. The writing seems on the wall as market analysts, the type who accurately foretold the demise of HudBayÕs zinc mine in New York State earlier this year, predict that the dreaded smelter proclamation will come before 2008 is over. But just when the closure will occur is only the second most important question. The first is, what will be the impact on the community? We know a smelter closure will mean 200 to 300 fewer jobs, but not necessarily 200 to 300 fewer workers, at least not right away. In a perfect world, HudBay would offer early-retirement incentives to employees already on the verge of ending their careers. These retirees would then hopefully remain in our area, thus limiting any population drop and allowing younger employees to keep their jobs. But even this best-case scenario has its failings. For one, it merely delays the population loss. At the end of the day, there are still fewer jobs and thus fewer means of keeping people in Flin Flon and area. The other problem is that HudBay would have to dig pretty deep into its coffers (though those coffers are plentiful) to convince workers to leave early when they have earned such substantial profit-sharing cheques in recent years. In any event, such decisions, however justified they may seem from the outside looking in, rest solely with HudBay management and shareholders. CEO Allen Palmiere has pledged to ÒminimizeÓ the workforce reduction stemming from the smelter closure, mentioning retraining and transfers as possibilities. But in the same breath he acknowledged itÕs ÒunlikelyÓ that the company could accommodate all impacted workers. How many extra jobs can the company find for those left out of work? The answer, as vital as it is to our communityÕs future, is unknown at this time, at least publicly. At one point, speculation was that those laid off by way of the smelter closure would simply shift over to Snow Lake, where a zinc mine at Lalor Lake seems inevitable. Of course that was before zinc prices went into the toilet and it looked like the smelter had more time than it probably does. Now itÕs quite probable that there will be a considerable time gap between the smelter expiration and the Lalor Lake opening. And even if Lalor opens tomorrow, thereÕs no guarantee it would be a boon for Flin Flon. Snow Lake is over 200 kilometres away and has all of the necessities. Sure, Flin Flonners might be willing to commute every week, two weeks or whatever the case may be. But one wonders how many of them, particularly those starting families, would endure so much time away from home when they could simply relocate to what is by many accounts an equally charming town. However, that is a debate for another time. The bottom line at this moment is that Flin Flon faces considerable uncertainty. While we all hope the closure impact is minimal, our municipal councils, provincial and federal representatives, school boards and economic development agencies must plan for the best-case scenario as well as the worst. Local Angle runs Fridays.

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