- Tree Island Steel (TSL) has received a 72-hour strike notice from Vancouver-based labour association Teamsters Local Union No. 213
- The strike is in relation to operations at its facility in Richmond, British Columbia, and follows the expiration of a previous agreement that occurred in June
- This previous agreement covered the working rights of approximately 240 employees that work at the Richmond facility
- The union said the strike will not commence if a new agreement is accepted at a proposed meeting on October 14
- Tree Island Steel (TSL) is currently down 6.82 per cent and is trading at C$2.05 per share.
Tree Island Steel (TSL) has received a 72-hour strike notice from Vancouver-based labour association Teamsters Local Union No. 213.
The notice applies to operations at the company’s facility in Richmond, British Columbia, and comes after ongoing negotiations between the two parties that date back to May this year.
It began after a prior collective agreement expire in June, 2020, which covered the rights of roughly 240 of Tree Island Steel’s workers at the Richmond plant.
Tree Island Steel and Teamsters Local Union No. 213 previously signed a collective five-year agreement in July 2015, which was said to establish a foundation for continued sales growth, increased stability for customers and further investment into the Richmond operations.
Remy Stachowiak, President and Chief Operating Officer of Tree Island Steel, said he is disappointed that the Union had elected to issue the strike notice.
“We remain committed to negotiating a mutually beneficial agreement with the Union that creates certainty for our employees, customers and other stakeholders while ensuring we remain globally competitive,” he added.
Teamsters Local Union No. 213 is expected to vote on Tree Island Steel’s latest collective agreement offer until October 14, 2020.
While the Union said that no strike is expected to take place until after voting has occurred, if the offer is rejected then the Union may initiate the strike as of October 14.
The strike notice comes off the back of a C$2.2 million drop in revenue during the second quarter of this year, which Tree Island Steel attributed to lower volumes shipped in its Commercial and Residential Construction segments as COVID-19 drove sweeping stay-at-home orders.
Tree Island Steel (TSL) is currently down 6.82 per cent to C$2.05 per share at 12:23pm EDT.