Fraser Papers lays off 78 mill workers in Edmundston

New Brunswick's forestry sector was dealt another blow this week after Fraser Papers confirmed it is laying off 78 permanent employees at its mill in Edmundston.

Robert Dufresne, the manager of the Edmundston paper mill, said on Wednesday that the layoffs will take place over the next 2 years. The first round of layoffs will begin in July when 56 people lose their jobs.

Dufresne said company officials met with union leaders Tuesday morning to talk about a restructuring plan to keep the mill in northwestern New Brunswick viable in the medium term.

He said investments are being made in equipment to automate various parts of the process.

Dufresne said many people are eligible for retirement, and they will try to maximize jobs that are eliminated through attrition.

Doris Lavoie, a mill employee, said the layoff notice is like a "cold shower."

Lavoie said there have been several workforce reductions in the northwestern mill but the employees did not see this batch of layoffs coming.

"If you look at the pulp and paper [industry] in the rest of Canada, it is not good, but we thought in Edmundston we were good because of the cuts we already had," Lavoie said.

Employees have been told they will be informed what positions will be eliminated next Monday. Lavoie said about 40 people are eligible to retire this year.