AV Group to Temporarily Shutdown Nackawic Pulp Mill, Affecting about 350 Workers

AV Group will temporarily shut down operations at its Nackawic pulp mill at the end of October, leaving approximately 350 employees out of work.

The company said the decision follows an assessment of ongoing challenges from prevailing market conditions and broader macroeconomic factors. AV Group said it will continue to monitor market and business conditions.

The announcement follows the mill’s decision to stop purchasing wood in August, which the company described at the time as an “inventory adjustment.”

Jennifer Murray, regional director of Unifor in Atlantic Canada, said workers are nervous about the shutdown. Unifor represents 228 of the approximately 350 employees at the mill.

“Four years ago we started this conversation with the employer on the need for investment in this workplace and here we are today,” Murray said. She added that the union has been exploring potential solutions, including the possibility of another party purchasing the asset.

Murray said Unifor is also looking for other employment opportunities for its members, while acknowledging the challenge of absorbing 228 workers in the small community.

New Brunswick Natural Resources Minister John Herron said he was disappointed and saddened by the announcement. He said the provincial government would work with affected parties to address the long-term impacts.

A response plan involving the Department of Natural Resources, the Department of Post-Secondary Education, Training and Labour, and Opportunities New Brunswick is expected to be shared in the coming days.

Premier Susan Holt also pledged support for affected workers, families and the wider community.

Local MLA Richard Ames described the shutdown as devastating, citing the impact on workers’ livelihoods and their ability to pay bills.

AV Group said its other New Brunswick pulp mill in Atholville is not affected by the temporary shutdown in Nackawic.