The Provincial Government will provide employment adjustment measures for displaced workers at the recently closed fish processing facility in Port aux Basques. This decision was made today by the Ministerial Committee on Fisheries, chaired by the Honourable Tom Rideout, Minister of Fisheries and Aquaculture. The plant closure was announced by the owner on July 19.

"Immediately upon hearing about the closure of the plant, four government departments very quickly came together to provide a timely response to the displaced workers and community. Senior government officials and I met with representatives from the Town of Port aux Basques and UFCW on July 31. At that time, I agreed to take the matter to the ministerial committee to review whether or not this situation actually qualifies as a permanent closure and would therefore be eligible for support. The committee met today and quickly agreed that this group qualifies for benefits under the Fish Plant Workers Employment Support Program that was announced last year. I am also please to announce that government has just approved the first employment project brought forward by the community, which is record time to begin implementation of such a program," said Minister Rideout.

Under the program, displaced workers and the community will qualify for the following services:

"Additionally, these transition support services and job creation activities will help plant workers better prepare for re-training opportunities that can be funded through the existing co-managed Canada-Newfoundland and Labrador Labour Market Development Agreement which is administered under the Department of Human Resources, Labour and Employment," said the minister.

The Fish Plant Workers Employment Support Program was part of a framework of adjustment measures announced in 2006 to assist plant workers and regions impacted by fish plant closures. It is intended to provide one-time transitional employment assistance and offers participants access to transitional counseling services to ensure full consideration is given to longer term transition options. All eligible individuals will be entitled to a maximum of up to one 14-week rotation under the program at a wage rate of $8.75 per hour. The number of workers that may require assistance is uncertain at this time.

Government has provided $2,550,000 over three years for fishing industry workforce adjustment.

"Our government is certainly sympathetic to the plight of displaced workers. The Department of Municipal Affairs is working with the union and municipal leadership to develop projects to respond to the needs of those whose Employment Insurance benefits have expired or will be expiring soon," said Minister Rideout.

"While it is unfortunate that this plant had to close, we are pleased to be able to offer transitional support to the workers and community. This is a multi-departmental initiative and we will continue to work with the community to find the best solutions possible during this difficult time. Through the Department of Innovation, Trade and Rural Development, government will begin immediately work with the town and other community groups to explore long term economic diversification for the region. This is indicative of our commitment to support rural areas of the province that are dependent on the fishery."

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Media contact:
Lori Lee Oates
Director of Communications
Department of Fisheries and Aquaculture
(709) 729-3733, 690-8403
oatesll@gov.nl.ca

2007 08 01                                                     4:15 p.m.