The sale of Stelco Inc. to Bedrock Industries Group LLC can proceed, Ontario Superior Court Justice Herman Wilton-Siegel ruled this morning in Toronto.
At the hearing, U.S. Steel, salaried employees, the province and the court-appointed monitor supported the new plan.
“You can’t always get what you want, but it’s good enough,” said James Harnum, counsel for Stelco’s salaried workers.
Read: Stelco’s long battle on the pension precipice
United Steelworkers locals 1005 and 8782 didn’t oppose it.
“We are supporting the sanction but for court purposes, we are making it conditional,” based on agreements related to pensions and other post-employment benefits agreements, said Ken Rosenberg, counsel for Local 8782, which represents workers in Nanticoke, Ont.
U.S. Steel reminded the court its support for the sale expires on June 30 at 5 p.m. and noted it hopes all details will be in place by then.
“These are difficult matters. No one ever gets what they like, or anything close to it, during a restructuring,” said Wilton-Siegel, suggesting the restructuring plan and stakeholders should continue co-operating with one another until and after the sale closes.
“I hope we’re commencing a new and more promising chapter at Stelco,” he said.
Read: Stelco sale nearing potential resolution as workers vote on collective agreements
Earlier this week, Hamilton employees voted 64 per cent in favour of the sale. And last week, Nanticoke employees, who work across two plans, voted 86 per cent and 89 per cent in favour of the sale.
The stronger show of support in Nanticoke is likely because Bedrock offered those employees a more favourable collective agreement. While employees in both locations will receive pay increases, the plan is to fully reinstate Nanticoke retirees’ health benefits, while those in Hamilton will seem them restored only to 70 per cent.
Read: Stelco employees vote in favour of new collective agreements
Following the court ruling, Ontario Finance Minister Charles Sousa issued a statement hailing the latest developments. “This plan means that Stelco operations at the Hamilton and Lake Erie facilities would continue, saving approximately 2,200 well-paying jobs. It would protect retirees by allowing pensions to continue without interruptions or reductions and provides greater certainty that retirees will receive other post-employment benefits, such as dental benefits, prescriptions, and life insurance.”