NEWS RELEASE

                                                                                       Office of the Official Opposition

December 10, 2008
For Immediate Release

Government should bring forward mitigation plan for Labrador West

With further downturns in the mineral sector affecting western Labrador, Opposition Leader Yvonne Jones is calling on government to extend their ministerial task force and develop a mitigation plan to help displaced workers affected at IOC and Wabush Mines. Jones raised the issue earlier today in the House of Assembly.

“Last week, I questioned Natural Resources Minister Kathy Dunderdale on the future of mining operations in Labrador West,” said Ms. Jones. “She acknowledged on December 2nd that IOC’s Phase One and Phase Two expansion plans were delayed and she was in constant contact with the company getting updates. With today’s unexpected news of potential layoffs and further cutbacks, the minister is again being reactive to bad news without any plans in place to help either the workers, or the region.”

Jones noted that a ministerial task force has been developed to deal with the economic fallout from the closure of the Abitibi-Bowater mill in Grand Falls-Windsor. While the task force does not have any immediate mitigation plans in place to help the region, Minister Dunderdale says they are working to find options for displaced workers.

“It certainly doesn’t appear government was prepared to deal with the economic fallout being faced in our resource sectors. When asked if she was willing to develop a task force to help Labrador City and Wabush, she simply stated that nobody in the region has asked her for such a measure. The minister should not be passive and have to be asked to help deal with such negative economic consequences, her participation should be automatic.

“I encourage government to reconsider their inaction in Labrador West and put together a mitigation plan for the region and the establishment of a task force to look for options. A good first step would be moving forward with infrastructure investments that have been delayed, such as the hospital and college, to generate some much-needed work and investment in the area.”

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Media Contact: 
Darrell Mercer
Director of Communications
Office of the Official Opposition
Tel: (709) 729-6151 or (709) 687-0477