Mill workers in The Pas approve pension deal, mayor remains hopeful

Mill employees in The Pas have voted in favour of allowing potential buyersof the town'skraftpapermill a break from pension solvency payments.

The Manitoba government offeredthe mill's prospective buyer,American Industrial Acquisition Corporation, a three-year break from the payments lastmonth, which are used to top up pension funds.

• Manitoba steps in to assist sale ofTolkomill, deal still not complete

Now employees, who will receive the pensions, have given the deal the OK.

The Pas Mayor Jim Scott said the deal is the first good news for the town in months.

"It's just a remarkably great, great thing," Scott said.

In August,TolkoIndustries, the company that owns the paper mill, announced it was closing leaving 300 people out of work.

The news came shortly after some 80 railway workers in The Pas found out there were being laid off after the Port of Churchill announced it was closing.

• The Pas braces for job losses as Port of Churchill closure looms, mayor says

The Pasfaced another blowwhen a casino in the town announced it was looking to pull out of the community.

The town had also had more bad news last month when anIGA said it would close leaving 47 people out of workand a community with one less grocery store.

"Ever since the middle of July it's almost like they've been putting out a 'This town is closed sign,'" Scott said.

"It was just unbelievable what was going on.... Our efforts are really, really focused on trying to turn this ship around."

Scott said the town still needs to wait for an official announcement from American Industrial Acquisition Corporation, but he is hopeful the deal will go through.

"All of the checkmarks are in all the boxes," Scott said.