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La Ronge to feel ‘economic impact’ of layoffs

Dec 10, 2013 | 11:03 AM

The community of La Ronge is preparing for the effects of recent layoffs at Golden Band.

Mayor Thomas Sierzycki said it’s concerning that more 100 Golden Band employees will be out of job come January.

“We know that [Golden Band] has been struggling, but anytime there is a layoff of 120 people it is quite depressing and fairly frustrating, so our hope is that people that did get laid off to get the support from their province and of course from their community,” Sierzycki said.

Unfortunately, this will leave La Ronge bearing the brunt of the impact of that decision.

“A lot of [workers] are from the region and La Ronge is that catch basin for the region, so of course we will feel the economic impacts for that. However, that being said we’re very resilient and the people of the North are strong, but it still doesn’t take away from the frustrations and the issues with losing your job,” he said.

The province has already recognized the need this will present in the community and is sending a Canada-Saskatchewan (Can-Sask) Rapid Response Team. This service offers individualized solutions for employers and workers dealing with production slow-downs and layoffs.

“Can-Sask will have their officials in the La Ronge at the end of the week and working with families to makes sure that if there are other employment opportunities that they’re set up, and employment insurance and things like that,” he said. “So the province is helping out and of course, we as a community will make sure that we’re able to help out the people that need help as well.”

Golden Band Resources announced on Monday that it would be shutting down its operations in the La Ronge area.

The company cited falling gold prices and ore quality which is lower than anticipated from the Roy Lloyd and Golden Heart mines in its decision. Those factors “hindered” its ability to become profitable again, Golden Band said in a statement.

This affects operations at the Roy Lloyd and Golden Heart mines, as well as the Jolu mill.

sstone@panow.com

On Twitter: @sarahstone84