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Cameco mine closure sparks debate

John Cairns’ Leg Watch
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The Saskatchewan Legislature was rocked last Thursday by the news of layoffs at Cameco.

A total of 845 jobs were lost as Cameco announced the 10-month closures of their McArthur River and Key Lake operations in the north of the province.

That sparked debate between opposition leader Nicole Sarauer and Premier Brad Wall during Question Period.

We pick up the debate from Thursday morning as recorded in Hansard.

Ms. Sarauer: —Mr. Speaker, when the Sask Party were first elected, they inherited an economy that was on the rise. Commodity prices were high and getting higher all the time. Jobs were growing, and times were good. All they had to do was take the credit and spend the wealth. Now that times are tough, we see a tired government that has nothing but excuses. They hide from questions about their scandals and arrogantly deny their flagrant mismanagement and waste.

Meanwhile, every month more Saskatchewan people are losing their jobs. Some are a direct result of their cuts — thousands thrown out of working in our schools, hospitals, and seniors’ homes. And some are lost because the Sask Party has done nothing to save them — thousands of jobs lost in agriculture, oil, gas, and mining. These were the cornerstones of our economy. But despite their rhetoric, we’re losing family farms, losing control of our mines, and they haven’t built an inch of pipeline to tidewater.

Mr. Speaker, 845 more people in northern Saskatchewan learned they lost their job last night. What is the government doing to help get these people get back to work?

The Speaker: — I recognize the Premier.

Hon. Mr. Wall: — First of all, Mr. Speaker, there’s much that is wrong about the Hon. Leader of the Opposition’s preamble. In fact the economic record of the province, notwithstanding three years of low resource prices, I think would say otherwise. I would offer though this to the hon. member, that I think that preamble politicizes a very serious issue for many, many families in northern Saskatchewan today as a result of layoffs.

Mr. Speaker, I would point out as well that I’ve been in contact with the CEO of the company, and so have officials, the ministers on this side, because this is very, very serious. It is a temporary layoff so we’re hopeful that after the 10-month period, as Cameco has said, folks will get back to work. I’m grateful for the fact that Cameco is talking about topping up some benefits. They’d like to keep those people available for the production when it resumes.

As for our part, Mr. Speaker, rapid response resources with the Ministry of the Economy will be deployed to assist workers in the event that there is transition issues that they’re wanting to pursue. And finally, Mr. Speaker, I will say this: our government has worked very hard for 10 years to open up new markets for our uranium in China and India. We have made uranium a priority on our trade missions, Mr. Speaker. We will continue to do that. The long-term solution here is demand for uranium around the world. That’s been our priority, Mr. Speaker, and it’ll continue to be our priority going forward.

The Speaker: — I recognize the Leader of the Opposition.

Ms. Sarauer: — Thank you, Mr. Speaker. I do appreciate those words from the Premier and that he’s taking this issue very seriously. We can’t do anything overnight to solve all of the problems, but that’s why we’ve been calling on the Sask Party to stop cutting and start investing in diversifying our economy, attracting new investment, and nurturing local ideas.

Mr. Speaker, they say they want 50 per cent renewable energy by 2030, but the clock is ticking, and they’ve barely even started. Mr. Speaker, they’ve built a bypass that doesn’t work for farm equipment, in Saskatchewan; a football stadium that can’t handle snow, in Saskatchewan. And now they’re going to disturbing lengths to push an imaginary megamall at the GTH [Global Transportation Hub] that, even if it becomes a reality, may never create a single job for anyone in Saskatchewan.

Mr. Speaker, why has the Sask Party put so much emphasis in supporting a conglomerate from France and a megamall for Chinese businesses, but so little effort into making sure that Saskatchewan people can find and keep a family-supporting, mortgage-paying job?

The Speaker: — I recognize the Premier.

Hon. Mr. Wall: — Mr. Speaker, once again, there’s so much wrong with that preamble, especially in a very serious debate in the wake of an announcement from Cameco that’ll affect 800-plus families in the province, contractors and direct employees. Mr. Speaker, her characterization of the bypass and its accommodation of agricultural equipment is wrong. Her characterization of a megamall at the GTH is fundamentally wrong and incorrect.

Mr. Speaker, they’ve done this with issues like the bypass, the largest infrastructure . . . She’s asking, why wouldn’t the government be directly involved in the economy? Well the largest infrastructure project in the history of this province is that bypass. They characterize it as a project that’s gone from 400 million to over a billion dollars, Mr. Speaker, without mentioning to anybody that it’s because the scope has changed, that it is now a true bypass, Mr. Speaker, and that it’s coming in on time and on budget, that I think it’s up to 90 per cent of contractors involved in the construction are from this province…

Buckley Belanger, MLA for Athabaska, joined the debate.

Mr. Belanger: — Mr. Speaker, let me repeat for this House: 845 workers got notice that they lost their jobs yesterday. These are Saskatchewan people who had good, family-supporting jobs in the North. These job losses will have a devastating effect on the economy of our whole province, but especially in the North, where this government has forgotten…

Mr. Speaker, this is a crisis. Besides this government’s supposed rapid response team, I want to know what concrete efforts is the Sask Party going to take? What is it going to do to help Cameco get these workers back on the job sooner than in 10 months?

The Speaker: — I recognize the Premier.

Hon. Mr. Wall: — I want to thank the member for his question. Mr. Speaker, there’s no question about it. This particular industry has a great track record ensuring that First Nations, Métis, that northerners are employed in good jobs, in very good-paying jobs. And that’s a credit to the companies that are there. I think that 48 per cent number is specific in fact to Cameco.

Mr. Speaker, the problem that we face now is that we have a price that is lower for longer. We’ve seen these kind of temporary layoffs in the potash industry in the past as well, and the good news is that they’ve been, for the most part, temporary. Mr. Speaker, I’m going to take the word of the CEO of the company and Cameco officials when they say this is a temporary measure, and that they’re going to work to be there for their employees in the meantime because they want them back.

Mr. Speaker, I think the other thing governments can do in addition to offering any rapid response for those seeking a transition, which we’ll do, governments can be unequivocal in their support for uranium and for the use of nuclear energy around the world, even if it doesn’t make economic sense in our province, because when nuclear energy is used around the world it obviously creates a demand for our product, for what we mine. I would also point out to my hon. friend and to all members of the House that our government has worked very hard to open up new markets.

Prior to our trade mission initiatives with the Harper government, we weren’t selling any uranium into India. I had the pleasure of being at the presentation with Prime Minister Modi of India when that changed, when Saskatchewan uranium moved into the market. It’s true in China as well. We now are seeing Saskatchewan uranium move into China, which was not available to us as a part of our engagement.

So that’s the direct answer to my hon. friend. We’ll continue to support employees now, but we’ll also, in the long term, work to ensure open markets, more markets for uranium. And one final point — I hope he has another question — we’re going to continue to make sure our royalty structure is competitive. And I look forward to a discussion of that as well, Mr. Speaker.

The Speaker: — I recognize the member from Athabasca.

Mr. Belanger: — Mr. Speaker, the Premier and the Saskatchewan Party have known for quite some time with the low uranium prices that there was a definite threat to our mining sector in northern Saskatchewan, and they sat on their hands, Mr. Speaker. Instead of developing and diversifying our northern economy, Mr. Speaker, they cut valuable programs like NORTEP [northern teacher education program]. They shut down the Buffalo Narrows Correctional Centre. There’s no new housing construction in the North. They totally ignored the northern highways challenges, Mr. Speaker, and the list goes on.

And now we have 845 more people joining the 2,200 workers in Prince Albert and northern Saskatchewan that are out of work year to year. This is devastating, Mr. Speaker, and the number will only get worse…

Again, Mr. Speaker, what is the government doing to get these workers back on the job as soon as possible?

The Speaker: — I recognize the Premier.

Hon. Mr. Wall: — Mr. Speaker, the Deputy Leader of the NDP wants to, I guess, take some political shots related to this particular . . . He just said yes, he does. Mr. Speaker, well one thing we can do in this Assembly as political parties, as legislators, is be unequivocal in our support of uranium mining . . . [inaudible interjection] . . . Mr. Speaker, the Deputy Leader of the party just said, the Deputy Leader of the party just said, and we have.

Mr. Speaker, the leader, the would-be premier of the province, the member from Meewasin who is running for the leadership has not been unequivocal in his support of nuclear energy. He has not. We’ve got the quotes here. I mean if they want to be political about this, you have not, and we need to be in this Assembly. Fifteen per cent of the world’s uranium comes from our province. I would say to that member through you, Mr. Speaker, that we do need to be unequivocal of our support for nuclear energy around the world.

Have there been candidates from the NDP, even in the last election, who said we shouldn’t even mine uranium, Mr. Speaker? So while the member says, what are we going to do, we will continue to work with the workers in terms of rapid response. We have increased any number of supports and investments in northern Saskatchewan. We will continue to be supportive of northern Saskatchewan, Mr. Speaker. And more to the point, we will be unequivocal in our support for uranium mining and for the nuclear energy industry around the world that creates a demand for that uranium industry. And we will continue to open up markets and keep royalties competitive, something members didn’t vote for either, something they opposed as well, Mr. Speaker.

Cumberland MLA Doyle Vermette joined in and his question got a response from the government relations minister, Cut Knife-Turtleford MLA Larry Doke.

Mr. Vermette: — … We need the government to stop ignoring the North. They don’t do enough on our health care. They don’t do enough with mental health. They cut NORTEP. They cut education. They cut jobs. And they cut off the rest of us, and they cut us off from the rest of the province by cutting STC [Saskatchewan Transportation Company].

Mr. Speaker, when will the Sask Party stop making excuses and start investing in the northern economy and start supporting northern people?

The Speaker: — I recognize the Minister of Government Relations.

Hon. Mr. Doke: — Thank you, Mr. Speaker, and thank you to the member for the questions. I guess I would just highlight a few things that we are doing in the North, and one under Social Services, community living service delivery funds, a total of 26 community-based organizations that serve northern communities. This year we’re providing 28.3 million to northern disability community-based organizations. Funding to Social Services northern disability community-based organizations has more than doubled since 2007, with an overall increase of 16.1 million.

Mr. Speaker, a community mental health nurse and suicide prevention community wellness worker has been hired to provide mental health and addictions services in La Loche. Northern medical services provide funding support for monthly visiting psychiatry services in La Loche and other northern communities. Services are also available by Telehealth.

Mr. Speaker, we’re doing lots in the North.