XL Foods will not reopen its beef plant in Moose Jaw, Sask., on Sept. 28 as originally planned.
On Sept. 18, the company locked out the approximately 200 workers laid off in April.
Employees received letters saying that the recall date in their layoff notices had been superseded by an immediate lockout because the union had not accepted a contract offer.
“Specifically, the plant will not be resuming operations on Sept. 28, 2009, but will remain closed and we will not continue to employ employees as of that date,” said the letter posted on a Moose Jaw website.
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“Due to the union’s refusal to accept XL’s best and final offer or even to present it to the members of the bargaining unit for a ratification vote, the company feels it has no reasonable alternative but to lock out the employees.”
A union meeting was held Sept. 21 to discuss options available to the employees. Results were not available at press time.
Norm Neault, president of United Food and Commercial Workers Local 1400, was trying to get more information from the company about why it took this action.
“We’re pretty surprised,” he said.
Neault said the union was struggling with how to conduct a proper vote and wanted to hold it once the employees were back at work.
Employees who have no intention of returning to work could also skew the vote by rejecting the offer, he said.
In a statement released Sept. 21, XL co-chief executive officer Brian Nilsson said the company is prepared to reopen the plant but needs “a union contract that will allow us to be competitive in the marketplace.”
The company said it has made an offer to the union and is waiting for its response.
“We regret that this lockout has to impact our other employees and suppliers and hope that they will stand by with us until we are able to continue operations in Moose Jaw,” Nilsson said.
XL continues to buy cull and fed cattle for its plants in Alberta and the U.S.
