Some Communities destined to die?
As most people in N.B. are aware, it has been a tough past year for New Brunswick's forestry sector. Mill closures seems to be the order of the day.
Now as covered on CBC ,Don Roberts, who watches the industry for CIBC, warns people to brace for more closures and job losses. This is not news really, if you've been paying attention.
The three main reasons given??
The high Canadian dollar, lower demand, and competition from China.
So, the industry is going to look for concessions and wage cuts from it's employees. Things are going to get tougher without a doubt.
From the article:
Roberts says those decisions will be difficult, and some mill towns may pay the ultimate price. "I think at the end of the day, we're going to see some communities die."
Sad to see these small Mill towns suffering. Also, make no mistake, it trickles down to even larger communities. Look at the St.Anne Mill closure. It had a huge impact on Saint John and the Port. Not to mention the businesses who provide goods and/or services to these mills. I'm wondering if even wage concessions will be enough to ultimately save the majority in this sector of the New Brunswick economy. I fear not, however, i'd truely love to be wrong.
As with so many other industries in North America, how do we compete with China's lower wages, etc, and still hope to keep our high standard of living??? Doesn't really bode well does it?
Now as covered on CBC ,Don Roberts, who watches the industry for CIBC, warns people to brace for more closures and job losses. This is not news really, if you've been paying attention.
The three main reasons given??
The high Canadian dollar, lower demand, and competition from China.
So, the industry is going to look for concessions and wage cuts from it's employees. Things are going to get tougher without a doubt.
From the article:
Roberts says those decisions will be difficult, and some mill towns may pay the ultimate price. "I think at the end of the day, we're going to see some communities die."
Sad to see these small Mill towns suffering. Also, make no mistake, it trickles down to even larger communities. Look at the St.Anne Mill closure. It had a huge impact on Saint John and the Port. Not to mention the businesses who provide goods and/or services to these mills. I'm wondering if even wage concessions will be enough to ultimately save the majority in this sector of the New Brunswick economy. I fear not, however, i'd truely love to be wrong.
As with so many other industries in North America, how do we compete with China's lower wages, etc, and still hope to keep our high standard of living??? Doesn't really bode well does it?
