[SteelTown]

Dofasco cutting salaried hours

Majority of 1,900 losing a day a week
December 05, 2008
Naomi Powell
ArcelorMittal Dofasco will move the majority of its 1,900 salaried staff to a shortened work week as it contends with a “very depressed” economic environment.

Beginning January 5, employees will work four days a week instead of five, the firm’s CEO wrote in a letter to employees this morning.

“In these difficult market conditions, it is critical that we do everything possible to maintain the stability of our operations,” wrote CEO Jeurgen Schachler.

Employees will use one day of vacation time each week. They will collect employment insurance once their vacation time runs out.

The average ArcelorMittal Dofasco worker has 24.4 years of service and six weeks of vacation time.

“By taking this extraordinary step we are doing everything within our power to adhere to our principle of providing stable employment for permanent employees. We want to avoid the drastic measures that you have seen being implemented at other companies in similar situations.”

ArcelorMittal Dofasco will shut down for two weeks at Christmas, sending 5,000 workers home.