Stelco Holdings recently laid off 85 workers, as confirmed by union representative Ron Wells. This came after the company issued 90 layoff notices the previous week.
The U.S.-based steelmaker attributes the workforce reductions in Hamilton and Nanticoke, Ont., to temporary effects of the Canada-U.S. trade conflict, alongside advancements in technology and evolving demand patterns. Statistics from Canada show a decline in direct employment within the primary steel manufacturing sector, dropping from nearly 29,000 employees in 2003 to approximately 14,000 in July of the current year.
United Steelworkers Local 1005 President Wells, who has been with Stelco for 47 years, noted the significant decrease in the workforce size from around 14,000 when he started. He mentioned the efficiency improvements in steel production, requiring fewer personnel.
Cleveland-Cliffs, the owner of Stelco and North America’s largest flat-rolled steel producer, reduced its workforce from about 30,000 to roughly 25,000 employees between the end of 2024 and 2025. This downsizing included layoffs in Dearborn, Mich., and Minnesota due to soft demand from automakers.
Stelco faced layoffs following the imposition of tariffs on Canadian steel and aluminum imports by U.S. President Trump. This led to a dispute between the company and the Canadian government regarding employment obligations under the Investment Canada Act.
Apart from Stelco, other steelworkers in Ontario are also experiencing job uncertainties. Algoma Steel issued layoff notices to around 1,000 workers, attributing the decision to U.S. tariffs and a shift towards greener production methods. Additionally, ArcelorMittal Long Products Canada closed its wire-drawing facility in Hamilton in 2025 due to economic challenges and market conditions.
Efforts to address the influx of cheaper foreign steel imports have been highlighted, with calls for increased tariff-rate quotas to safeguard Canadian producers. The industry is navigating challenges, with a forecast indicating contrasting fortunes between the U.S. and Canadian steel sectors.
Wells remains hopeful for the return of laid-off workers amid ongoing negotiations and uncertainties in the steel industry. He anticipates a resolution to the trade situation, leading to the reinstatement of affected employees.