Saskatchewan Wheat Pool cut 150 jobs last week and will lay off 200 seasonal workers this fall as part of the company’s ongoing effort to keep costs in line.
The cuts put the pool’s permanent full-time workforce at about 2,900, down 750 since restructuring began in March 2000.
Len Posyniak, the pool’s vice-president of human resources and communications, said the latest cuts were split between country operations and the Regina head office.
They include management, in-scope and out-of-scope jobs.
“Our country consolidation program is reaching its conclusion and that’s going to affect the amount of support staff required in head office,” Posyniak said.
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The layoffs are due mainly to the drought this year. Grain volumes are down and Posyniak said the pool wants to develop a more flexible workforce that can deal with such situations.
“If the overall grain harvest is down, it would make sense for the company to reduce its workforce,” he said.
Posyniak couldn’t say how this layoff compares to other years, but he agreed it is more people than usual.
The job cuts will save the pool $2 million this fiscal year, after severance costs, and $5 million annually each year after. This is in addition to the $31 million the company says it has already saved from earlier restructuring.
The Grain Services Union, which represents pool workers, said last week’s announcement has squashed morale.
General secretary Hugh Wagner said workers are already having trouble taking vacation days off because facilities are operating with minimal staff.
He said the company recently announced improved financial results from grain handling yet eliminated more jobs.
“You can cut, cut, cut until you cease to exist altogether,” he said.
Wagner said 128 unionized jobs are being eliminated, but due to reorganization another 26 are being created, resulting in a net loss of 102.
The GSU itself has had to adjust to the changes. Wagner said two positions have gone unfilled as a direct result of pool restructuring.
“The irony is there is more work and things to take care of,” Wagner said.
Posyniak said the pool has seen an increase in voluntary staff turnover.
“That’s understandable in these circumstances.”
At the same time, he said the company is finding it easier to recruit staff because people recognize the pool is becoming stronger.
The pool also reorganized within its grain and transportation groups last week.
Fran Malecha becomes vice-president of merchandising and transportation, while Richard Wansbutter becomes vice-president of commercial relations in Winnipeg. Wansbutter will act as the pool’s representative in discussions with groups like the Canadian Wheat Board and Western Grain Elevators Association.
