Industry Minister Joly demands job-restoration plan from Cleveland-Cliffs before meeting
Canada's industry minister said Cleveland-Cliffs must present a timeline to restore Stelco jobs as a precondition for a scheduled meeting, amid concerns the firm may have breached its acquisition commitments.
Industry Minister Mélanie Joly told reporters in Ottawa that she will meet with Cleveland-Cliffs Inc. only after the company provides a concrete plan and timeline to bring back the 175 workers laid off at Stelco’s Hamilton plant. The minister said the request was a “first condition” for any discussion with the U.S. steelmaker.
Cleveland-Cliffs, which acquired Stelco in 2024, said in a Monday statement that it had asked for a meeting on Oct. 23 to “discuss a path toward resuming full employment” of the Hamilton workforce. The company maintains that it is meeting the employment thresholds set by the Canadian government, citing average annual figures that exceed the required levels for both unionized and salaried staff.
Stelco announced on Sept. 28 that up to 500 workers in Hamilton and Nanticoke would be laid off, though not all cuts have taken effect. Cleveland-Cliffs CEO Lourenço Gonçalves told BNN Bloomberg that the firm will report its annual employment numbers to Ottawa in November and expects to be in compliance with its obligations.
Joly reiterated that the government believes Cleveland-Cliffs is violating its legally-binding undertakings, including promises to support free-trade access for Canadian steel to the United States. She cited instances where Gonçalves reportedly praised U.S. President Donald Trump’s steel tariffs, which she said run counter to the company’s earlier commitments.
The minister warned that the company could face legal action and possible divestiture of Stelco if it does not meet the agreed-upon job commitments. Conservative MP Michael Guglielmin called for stronger measures, saying the government should move beyond “warnings” and take legal steps.
Cleveland-Cliffs has described the layoffs as temporary and said a new U.S. trade deal that reduces or eliminates steel tariffs could allow the company to recall workers.