Westray Workers to Receive Severance

Former workers of the Westray coal mine will soon be receiving severance cheques from the province, Premier Russell MacLellan announced today.

"This is about doing what is fair and right," said Premier MacLellan. "This has been a long time coming for workers and their families. These people deserve fair severance, and we have found a way to make it happen before the assets are sold."

Cabinet today approved the appropriation of funds and authorized the release of cheques for this purpose. Government has earmarked funds within the budget of the Department of Labour to pay the workers. The department is now in the process of following up with individuals to process paperwork and provide payments.

Severance will be provided to both unionized and non-unionized workers who lost their jobs as a result of the fatal explosion at the Westray mine on May 9, 1992. About 150 workers will receive severance payments.

Previously, government had announced its intention to pay workers after the sale of assets was completed.

"We have found a better, quicker way to get these workers the money they deserve," said the premier. "We recognized that this process was taking longer than originally anticipated. We looked at our rules and had discussions with other levels of government and found a workable solution."

Workers are entitled to up to 12 weeks of severance pay under the province's Labour Standards Code. In total, severance payments are estimated to cost $1.8 million.

The province will continue its efforts to sell the assets of the Westray mine in order to recoup this money.

"We are working to maximize the money we get from the sale of the Westray assets," said Labour Minister Russell MacKinnon. "We are hopeful that the sale of assets will cover the cost of all claims."