Post by NewsHound on Dec 6, 2005 14:33:25 GMT -4
Seeing as how the Government and it's various agencies are willing to forgive loans and throw financial support behind companies such as Stream, Michelin, and Sobey's, should they provide financial support for the Glace Bay Fisheries in order to help save the 150+ jobs it creates?
Here is the article about the closure from the Cape Breton Post:
An owner of Glace Bay Fisheries has vowed to see the business reopen after the fish place was closed Monday and 150 people lost their jobs.
“I started working on the wharf when I was 13, I am now 48 and am not giving up now, but we need help — help to get these 150 people back to work,” said John Wilcox.
Wilcox, who owns the business with partner Len McNeil, described Monday as a “very sad day.”
“The locks were changed on the doors today.”
Wilcox said the fish plant has had a bad year and has run out of money. The owners have voluntarily placed the company in bankruptcy.
He said half of the business was processing crab and the company lost a third of its crab buy.
“The more crab we bought, we received little or no margins on it in the marketplace.”
Wilcox went from his first job on the wharf to a management position with H.P. Nickerson at age 18 and continued with the business when National Sea Products took over.
In 1992, he opened Glace Bay Fisheries and grew the company from a quarter of a million dollar business with 12-16 employees to a $30-$40 million business and 150 employees and never received any government funding.
“After running into trouble this year I went to the traditional banks, ECBC (Enterprise Cape Breton Corp.), ACOA (Atlantic Canada Opportunities Agency), (Cape Breton) Growth Fund, the province, and everyone turned me down. I was not looking for a handout, I wanted a loan with interest.”
He said everything he had went into the business.
“I mortgaged my house for the business and then re-mortgaged it. I even owned crab licences at one time and sold them to keep the business going.”
Wilcox said his employees want to know why the federal government can spend $10 million in 10 days and can invest in manufacturers, yet cannot help out a company with product and employees.
Gordon Butts, 48, of Glace Bay has worked at Glace Bay Fisheries for eight years. He has done every job from cutting fish to driving the forklift.
Employees had been hearing rumours but it wasn’t until Friday that they were told the plant was closing.
`“They said they were in financial trouble and had to put the lock on the door until they figured out what to do,” said Butts, who has two daughters and three grandchildren.
Butts said many of the employees are older workers who have been doing this type of work for most of their lives.
“We have the fish, we have the people, we have the building and the setup. All we need is the financial help to get the plant back on its feet.”
Butts said the government hands out money to people coming in the country setting up businesses, yet are ignoring a local man who has worked hard building a business.
“Here you have a man who has been running the plant from his own pocket for I don’t know how many years, now he needs some help and they are going to turn their backs on him?”
Cape Breton Regional Municipality Coun. Kevin Saccary is making a plea to the provincial government to step in.
“Someone has to step in here to save these jobs. This is a devastating blow, especially at Christmas time.”
Saccary was contacted by employees of Glace Bay Fisheries Friday and asked to attend a meeting Saturday at the Bayplex.
“They were concerned about the industry and their future. They wanted to see if there is any political will out there and I believe there is.”
Glace Bay MLA Dave Wilson and Cape Breton-Canso MP Rodger Cuzner also attended Saturday’s meeting and later the three met with the plant owners.
Saccary said the company doesn’t want a handout, only a loan guarantee from a financial institution.
Wilson says it’s up to the provincial government to do whatever is necessary to ensure the closure is not permanent.
“This plant is a vital part of our economy here in Glace Bay and its closure is completely unacceptable.”
Wilson plans to bring the issue to the legislature which is expected to open later this week.
“One cannot take this many jobs out of the Glace Bay economy and not hurt it bad.”
He has sent off letters to Premier John Hamm, Economic Development Minister Ernie f*ge and Fisheries Minister Chris d’Entremont, demanding they use whatever resources possible to stop the closure.
“If this was the pork, blueberry or call centre industry there would be help provided, but because it is the fisheries industry they won’t support it,” said Wilson.
Here is the article about the closure from the Cape Breton Post:
An owner of Glace Bay Fisheries has vowed to see the business reopen after the fish place was closed Monday and 150 people lost their jobs.
“I started working on the wharf when I was 13, I am now 48 and am not giving up now, but we need help — help to get these 150 people back to work,” said John Wilcox.
Wilcox, who owns the business with partner Len McNeil, described Monday as a “very sad day.”
“The locks were changed on the doors today.”
Wilcox said the fish plant has had a bad year and has run out of money. The owners have voluntarily placed the company in bankruptcy.
He said half of the business was processing crab and the company lost a third of its crab buy.
“The more crab we bought, we received little or no margins on it in the marketplace.”
Wilcox went from his first job on the wharf to a management position with H.P. Nickerson at age 18 and continued with the business when National Sea Products took over.
In 1992, he opened Glace Bay Fisheries and grew the company from a quarter of a million dollar business with 12-16 employees to a $30-$40 million business and 150 employees and never received any government funding.
“After running into trouble this year I went to the traditional banks, ECBC (Enterprise Cape Breton Corp.), ACOA (Atlantic Canada Opportunities Agency), (Cape Breton) Growth Fund, the province, and everyone turned me down. I was not looking for a handout, I wanted a loan with interest.”
He said everything he had went into the business.
“I mortgaged my house for the business and then re-mortgaged it. I even owned crab licences at one time and sold them to keep the business going.”
Wilcox said his employees want to know why the federal government can spend $10 million in 10 days and can invest in manufacturers, yet cannot help out a company with product and employees.
Gordon Butts, 48, of Glace Bay has worked at Glace Bay Fisheries for eight years. He has done every job from cutting fish to driving the forklift.
Employees had been hearing rumours but it wasn’t until Friday that they were told the plant was closing.
`“They said they were in financial trouble and had to put the lock on the door until they figured out what to do,” said Butts, who has two daughters and three grandchildren.
Butts said many of the employees are older workers who have been doing this type of work for most of their lives.
“We have the fish, we have the people, we have the building and the setup. All we need is the financial help to get the plant back on its feet.”
Butts said the government hands out money to people coming in the country setting up businesses, yet are ignoring a local man who has worked hard building a business.
“Here you have a man who has been running the plant from his own pocket for I don’t know how many years, now he needs some help and they are going to turn their backs on him?”
Cape Breton Regional Municipality Coun. Kevin Saccary is making a plea to the provincial government to step in.
“Someone has to step in here to save these jobs. This is a devastating blow, especially at Christmas time.”
Saccary was contacted by employees of Glace Bay Fisheries Friday and asked to attend a meeting Saturday at the Bayplex.
“They were concerned about the industry and their future. They wanted to see if there is any political will out there and I believe there is.”
Glace Bay MLA Dave Wilson and Cape Breton-Canso MP Rodger Cuzner also attended Saturday’s meeting and later the three met with the plant owners.
Saccary said the company doesn’t want a handout, only a loan guarantee from a financial institution.
Wilson says it’s up to the provincial government to do whatever is necessary to ensure the closure is not permanent.
“This plant is a vital part of our economy here in Glace Bay and its closure is completely unacceptable.”
Wilson plans to bring the issue to the legislature which is expected to open later this week.
“One cannot take this many jobs out of the Glace Bay economy and not hurt it bad.”
He has sent off letters to Premier John Hamm, Economic Development Minister Ernie f*ge and Fisheries Minister Chris d’Entremont, demanding they use whatever resources possible to stop the closure.
“If this was the pork, blueberry or call centre industry there would be help provided, but because it is the fisheries industry they won’t support it,” said Wilson.
