Hamilton’s Stelco plant has been a staple in the city since 1910, and soon, the Canadian steel maker could have a new American owner.
In 2007, U.S. Steel acquired Stelco, but it bankrupted its Canadian division in 2017.
However, when word broke that a new prospective owner was looking to take over, some were hesitant to get their hopes up.
On Monday, Stelco shareholders voted in favour of a takeover by Cleveland-Cliffs Inc. for $3.8 billion.
“I guess the term is we are optimistically cautious,” Ron Wells, the president of the local steel workers union says. “They told us they don’t plan to lay anyone off, and they did tell us they are planning to increase their coke production, and they need coke in their plants.”
The president and CEO of Cleveland-Cliffs Inc. said in a press release that the merger would make his company and “stronger and better North American-based steel producer,” which would benefit both Canada and the United States.
Wells’ focus is on his workers, past and present. “I just want to ensure all the pensioners out there that this sale will not impact their pensions or their benefits. They will keep getting the same pension, and their benefits with Green Shield won’t be affected at all by this sale.”
The Competition Bureau of Canada needs to approve the takeover before it happens, but no timeline is set in stone yet.
“It is difficult to say how long this particular review will take,” Sarah Brown, a spokesperson for the Bureau, told CHCH News.
“As the Bureau evaluates the steps that need to be taken on a case-by-case basis. Nonetheless, we work to complete our reviews as expeditiously as possible.”