Tony Van Alphen is a business reporter with the Toronto Star, which has the largest circulation in Canada. The paper has an enormous impact on Canada’s federal and provincial politics as well as shaping public opinion. This article was originally published March 27, 2010.
Mark Cutifani runs a gold mining company in South Africa now, long gone from Vale Inco in Canada where he had begun engaging workers and changing an adversarial climate that had defined labour relations for more than half a century.
That adversarial climate is back in a big way at the mining giant in Sudbury and Port Colborne, where more than 3,100 employees have remained off the job in an increasingly bitter 8 1/2-month strike.
The classic labour-management struggle threatens to set back labour relations for years and undermine the value of one of the richest mineral deposits in the world.
The United Steelworkers union says a clash of cultures is at the root of the dispute. It argues that Inco’s Brazilian owners want to instill a foreign brand of subservient labour relations here; run roughshod over existing workers’ rights and cut bonus pay at a time when the company is profitable. Vale Inco says the union’s statements smack of racism and the company rejects the idea that cultural differences have anything to do with the strike. Read the rest of this entry »
Tony Van Alphen is a business reporter with the Toronto Star, which has the largest circulation in Canada. The paper has an enormous impact on Canada’s federal and provincial politics as well as shaping public opinion. This article was originally published May 18, 2008.
SUDBURY– Jack (Coco) Simons could retire today with a good pension. But he’s having too much fun making a whole lot of money underground.
Riding the boom of all booms here, Simons collected about $152,000 in gross pay last year as a top-notch production miner at Vale Inco’s Coleman Mine in the northwest end of the city.
This year, Simons says he could crack the $165,000 mark with a little more overtime. “It would be foolish for me to quit now,” says the fit, 53-year-old Simons, relaxing on his couch after a 12-hour shift. “I love this. The money is just too good. It’s motivational. Why not go for it.”
Sudbury miners are making more money than ever because of soaring nickel prices and worldwide demand for the mineral, a key element in stainless steel and other alloys. Simons receives a base rate of $27.81 an hour but earns a great deal more because he’s a member of one of numerous elite crews that each extract thousands of tons of ore every week. Read the rest of this entry »
Tony Van Alphen is a business reporter with the Toronto Star, which has the largest circulation in Canada. The paper has an enormous impact on Canada’s federal and provincial politics as well as shaping public opinion. This article was originally published May 18, 2008.
“And everybody’s tickled, for it’s Saturday tonight”
– Stompin’ Tom Connors, “Sudbury Saturday Night”
GREATER SUDBURY – It feels like Christmas here every day. Everybody is in a rush. And everybody seems to have money to spend. Newcomer Rick Chessel got that holiday buzz when he tried to elbow his way from shop to shop at the New Sudbury Centre on a recent Saturday.
“It was just like the day before Christmas,” says the 51-year-old machinist. “It was shoulder to shoulder everywhere.”
Diners are spending more at the Tommy’s Not Here restaurant in the south end. At the SRO nightclub downtown, where the Eaton’s store once stood, the acronym really fits because it’s standing room only many nights.
“Everybody’s happy,” says miner Jack (Coco) Simons. “It’s been a long time since we’ve seen this.” The “nickel capital of the world” hasn’t had a boom like this since Stompin’ Tom Connors began banging his feet and singing “Sudbury Saturday Night” at the Coulson Hotel in the 1960s. Read the rest of this entry »
The Toronto Star, which is the largest circulation newspaper in the country, has an enormous impact on Canada’s federal and provincial politics as well as shaping public opinion.
Martin Goldfarb is principal at Goldfarb Intelligence Marketing and was official Liberal party pollster from 1972 to 1984.
Inco is an example worth remembering. At one point Inco was
a global leader, dominating a mining category. It was the soul
of the city of Sudbury and added stature to Ontario. It produced
intellectual property in the mining industry that was second to
none and respected globally. It provided work to miners, engineers, lawyers, bankers and others. So much of this was lost. The intellectual property and pride that Inco brought to Canada,
Ontario and Sudbury are all but gone. What happened? Management ceased to lead. In so doing it became vulnerable to takeover. (Martin Goldfarb-April 18, 2011)
Australia said No to Singapore. Australia decided its stock exchange is not for sale. Now we in Canada are thinking about whether or not the Toronto Stock Exchange (TSX) should be taken over by the London Stock Exchange (LSE).
A country is more than a business. There are totems in our country that define our personality, help create our character and engender pride, independence and a sense of our own charisma. Some arise from our geography (the Rockies, the Arctic), some from our natural resources (oil, water, lumber, maple syrup) and some from government (national health care). All help give us a sense of who we are.
But there are other totems in Canada that are not a function of our geography, our geology or our government. These are institutions created by the citizens of our country in business and academia — our universities and our internationally recognized businesses, such as RIM today, and in the past, Inco and Falconbridge. Inco and Falconbridge have disappeared but should never have been allowed to do so. A dose of economic nationalism is good for our soul. In some circumstances, profit should be second to the national interest. National interests help define who we are. Read the rest of this entry »
Kim Morris won third place in the 2011 Arthur W. Page Society and Institute for Public Relations case study competition – business school category.
Her case study entry was on the Vale Sudbury year long strike – A War of Words or a War of Worlds: Brazilian Vale versus North American USWA. She is a senior adviser of communications and public affairs at the North East Community Care Access Centre.
Discussion
Reputation
Public perception of Vale has changed dramatically since 2006. There is mistrust and suspicion surrounding the company’s motives and future plans for the Sudbury operations. Actions and decisions made during the 11 month strike have tarnished Vale’s reputation not only in the Sudbury area, but province-wide, and possibly internationally. Unions from across the world weighed in on the labor dispute. In January 2010, the trade magazine Metal Bulletin described Vale’s hard line as an attempt to break the union.
Reputation matters. Reputation impacts a wide variety of areas: consumer purchasing decisions, employee recruitment and retention, investment decisions, even how media covers your news [40]. From an outsider’s point of view, Vale does not seem very concerned with its reputation, choosing to place profits ahead of its people.
USWA Local 6500 also needs to rebuild and revamp its reputation. Given the lack of community support received during the strike, the actions of certain members, and the harsh and hateful words spoken during the dispute, the union has a long road ahead of it if it is to restore its reputation to where it was prior to the strike. Read the rest of this entry »
Kim Morris won third place in the 2011 Arthur W. Page Society and Institute for Public Relations case study competition – business school category.
Her case study entry was on the Vale Sudbury year long strike – A War of Words or a War of Worlds: Brazilian Vale versus North American USWA. She is a senior adviser of communications and public affairs at the North East Community Care Access Centre.
USWA Local 6500
The executive of USWA Local 6500 anticipated difficult negotiations from the start. This was a new company and the negotiating team did not know what to expect. The only thing that was clear was that there would be no concessions on the part of the union.
Talks collapsed mere weeks after they began and the gloves came off shortly thereafter with both sides blaming the other for the impasse [23]. It was at this time that the USWA Local 6500 first alleged that the root cause of the problem was a lack of understanding by Vale’s Brazilian owners as to North American culture, along with a desire to trample workers’ rights and reduce their compensation package [23].
As the months wore on, the USWA Local 6500 web page featured alleged replacement workers, providing names and addresses as well as photos of the individuals. Anonymous members posted that there should be retaliation toward these so-called “scabs”. This resulted in a flurry of threats, assaults and damage to property throughout the community. In May 2010, Vale fired nine strikers for purported violations of its code of conduct on the picket line. There were also criminal charges laid against some of the nine strikers for other offences related to the strike. The matter is still before the Ontario Labor Relations Board and the courts. Read the rest of this entry »
Kim Morris won third place in the 2011 Arthur W. Page Society and Institute for Public Relations case study competition – business school category.
Her case study entry was on the Vale Sudbury year long strike – A War of Words or a War of Worlds: Brazilian Vale versus North American USWA. She is a senior adviser of communications and public affairs at the North East Community Care Access Centre.
Final Case Study
Abstract
In July 2009, USWA Local 6500, the union representing the employees of Vale’s Sudbury operations went on strike. This was to become the longest and most acrimonious strike in Sudbury mining history. Both sides in the dispute were responsible for less than flattering behavior, including leaking of documents, bullying, making racist comments, and even criminal activity. The final result of this strike is a community that has lost respect for both organizations.
This case study offers an opportunity to study how actions taken during a strike impact on the reputation of both parties. It also highlights the communication breakdown between not only both parties but also with their key stakeholders.
Overview
“We are very happy with the results of the ratification vote. The agreement establishes a newworking relationship with our employees and the union and allows us to move forward with our long-term, sustainable growth plans. We look forward to returning to normal production andbuilding the future together with employees.”
Tito Martins, Vale’s Executive Director for Base Metals
Vale news release, July 9, 2010 [1] Read the rest of this entry »
The principal author, Dr. Sam Marcuson ( Sam.Marcuson@valeinco.com ) is vice-president, business improvement for Vale Inco Limited, Mississauga, ON, Canada. This article was adapted from a plenary speech made at the CIM Conference of Metallurgists held August 2009 in Sudbury, Ontario. The full paper is available from the author or the conference proceedings.
Looking at the industry’s past and present with a view to projecting into the future can be a valuable exercise for executing and maintaining sustainable development
The first eight years of this century saw rapid growth in the consumption and production of nickel and related commodities. In response to growth in the BRIC countries, but especially China, new projects, many in under-developed countries, were initiated. Nickel pig iron, produced in aging Chinese blast furnaces, unexpectedly emerged. Simultaneously, scientists concluded that global warming is “unequivocal” and human activity is the main driver, “very likely” (>90%) causing most of the rise in temperatures since 1950[1]. These factors point to a future in which sustainable development becomes of paramount interest to the mining and metallurgy industry.
To the practicing metallurgist and operator, “sustainability” may appear as keeping employees safe, meeting prevailing environmental regulations and contributing to social programs contractually agreed to, while maintaining a low-cost operation that meets production and financial targets. But this is a highly simplified view that ignores many of the sustainability concepts. Read the rest of this entry »
Stan Sudol is a Toronto-based communications consultant who writes extensively on mining issues. stan.sudol@republicofmining.com
The Royal Canadian Mint last spring introduced the Victory Anniversary Nickel to commemorate the sacrifices and achievements of our fighting forces in the Second World War. In Sudbury and Port Colborne, Ont., that victory coin has many additional memories, especially for Inco Ltd and its work force.
During the war years, International Nickel Company of Canada, as it was known back then, and its employees in Sudbury and Port Colborne, supplied 95% of all Allied demands for nickel — a vital raw material critical for our final victory.
In fact, for much of the past century the leading source of this essential metal was the legendary Sudbury Basin; the South Pacific island of New Caledonia came a distant second. Until the mid-seventies, Sudbury supplied up to 90% of world demand during some periods. Read the rest of this entry »
This article was originally published in the Thompson Citizen which was established in June 1960. The Citizen covers the City of Thompson and Nickel Belt Region of Northern Manitoba. The city has a population of about 13,500 residents while the regional population is more than 40,000.
“Today, Vale ripped the heart out of Thompson.” Ashton said: “Good job standing up for us Niki…” Byer writes on Facebook
In a public posting on Facebook Nov. 19 to NDP Churchill riding MP Niki Ashton’s “wall,” Penny Byer, co-ordinator of corporate affairs for Vale’s Manitoba Operations, writes, ” Good job standing up for us Niki…”
Byer is also a rookie Thompson city councillor, garnering 1,913 votes for second place in the Oct. 27 municipal election, finishing only behind veteran Coun. Stella Locker.
Byer is a former CBC Radio journalist, who spent time in Churchill, and a long-time veteran of the corporate affairs, or public and government affairs department, as it has been also called in recent years, at Vale’s Manitoba Operations here in Thompson.
She was in charge of the four-page employee newsletter EXTRA, which Vale killed off with its Dec. 19, 2008 issue, and its successor the four-page NickeLinks, which began publishing in April 2009. Read the rest of this entry »
This article was originally published in the Thompson Citizen which was established in June 1960. The Citizen covers the City of Thompson and Nickel Belt Region of Northern Manitoba. The city has a population of about 13,500 residents while the regional population is more than 40,000.
Thompson Citizen Editorial – November 24, 2010
In terms of dark days for Thompson, Wednesday, Nov. 17 ranks right up there near the top. Brazilian mining giant Vale announced plans to phase out its smelting and refinery fully integrated surface operations at Manitoba Operations by 2015, eliminating 500 jobs or 40 per cent of its local workforce, and focus on “developing new sources of ore as it transitions its operations to mining and milling….”
The estimated payroll hit to Thompson for job losses of that magnitude is at least $50 million annually, money which will no longer be circulating in the local economy as some of the city’s highest paid jobs vanish.
Tito Martins, chief executive officer of Vale Canada and executive director of base metals for the international parent company, said two key issues underpin the operating changes. “Mineral reserves in Thompson have not been sufficient to operate the smelter and refinery at full capacity for some time. To account for this shortfall, Vale has been importing as much as 45 per cent of the nickel processed in Thompson from sources outside Manitoba. This external feed is no longer available after 2013. Read the rest of this entry »
This article was originally published in the Thompson Citizen which was established in June 1960. The Citizen covers the City of Thompson and Nickel Belt Region of Northern Manitoba. The city has a population of about 13,500 residents while the regional population is more than 40,000.
Provincial Innovation, Energy and Mines Minister Dave Chomiak was in Thompson last week, where he updated the Thompson Chamber of Commerce on efforts to reverse Vale’s decision to close its smelter and refinery in Thompson by the end of 2015.
“We will not consider the closing of the refinery and the smelter as an only solution,” he told the crowd of approximately 75 community leaders, businesspeople, and politicians. “We will not accept that. We’ll only consider options if Thompson and Manitoba, and the people that work here, have a value-added option.”
“Before the end of the month, we’re going to be providing options,” said Chomiak. “We want Vale to look at those options seriously. We think that their decision – even though they say that they canvassed a number of options – was made by only one party, in a complex business and social development that requires the input of many people, not the least of which are the people of Manitoba who own the mineral rights.” Read the rest of this entry »
This article was originally published in the Thompson Citizen which was established in June 1960. The Citizen covers the City of Thompson and Nickel Belt Region of Northern Manitoba. The city has a population of about 13,500 residents while the regional population is more than 40,000.
Video or blog entries related to Vale, Thompson and USW
It’s all the buzz. Churchill riding NDP MP Niki Ashton said Feb. 1 that “award-winning documentarian Michael Moore agreed to a request” by her to “help share her message about the devastating decision by Vale to close the Vale smelter and refinery in Thompson.”
Said Ashton: “Moore’s team expressed great interest in Vale’s decision and the devastating impact it would have on Ashton’s home community of Thompson. Moore’s team plans to post Ashton’s YouTube video on his website as well as post a series of blog entries by Ashton and the people who are losing their jobs … Moore and his team pointed to the parallels between the Thompson story and the story of Flint, Michigan as told in Moore’s film Roger and Me.”
Ashton went on to say Tuesday, “The story of Thompson parallels what the people of Flint, Michigan faced. Our community is the latest victim. Our goal was to get our message spread globally. We are fighting back. We are happy to have Michael Moore help us get our message to the world.” Read the rest of this entry »
Niki Ashton, is the New Democratic Member of Parliament for the electoral district of Churchill in Manitoba, Canada. She was first elected in the 2008 federal election. A resident of Thompson, Manitoba, she is the daughter of Manitoba provincial NDP cabinet minister Steve Ashton. (Wiki)
Renowned filmmaker to spread the community’s message
Tue 1 Feb 2011
OTTAWA–Award-winning documentarian Michael Moore agreed to a request by New Democrat MP Niki Ashton (Churchill) to help share her message about the devastating decision by Vale to close the Vale smelter and refinery in Thompson, MB.
Moore’s team expressed great interest in Vale’s decision and the devastating impact it would have on Ashton’s home community of Thompson. Moore’s team plans to post Ashton’s YouTube video on his website as well as post a series of blog entries by Ashton and the people who are losing their jobs.
“Our message is that this is about our jobs and our community,” said Ashton. “It is time our government stopped supporting profitable corporations like Vale, and started standing up for us.”
Vale, A Brazilian company, bought out Inco in a foreign takeover that was approved by Canada’s federal government in 2007. In the fall of 2010 Vale also received a $1Billion loan from Canada’s federal government. Despite promises to increase employment, Vale announced the closure of the smelter and refinery, eliminating all the value added mining jobs in Thompson by 2015. Read the rest of this entry »
31 January 2011-Goose Bay, NL: Unionized workers at the Voisey’s Bay nickel mine in Labrador have ratified a five-year collective agreement, ending a bitter, 18-month strike against Brazilian mining giant Vale.
Members of United Steelworkers Local 9508 voted 88% in favour of a tentative deal reached by their negotiating team and Vale representatives. Vote results were released today, following balloting in a number of communities over the last several days.
“Our members are returning to work with their heads held high,” said Steelworkers staff representative Boyd Bussey. “They stood up for their families and their communities and fought for what they believed in.”
“This labour dispute was unnecessarily provoked and prolonged by a giant multinational corporation,” said Wayne Fraser, Steelworkers District Director for Atlantic Canada and Ontario.
“Our members deserve to be proud for standing up to this foreign corporation and for finally achieving a fair deal,” Fraser said. Read the rest of this entry »
