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When a small town loses its biggest employer, the blow lands hard. Imagine an interior community of about 11,000 people whose economy has turned for generations on a single sawmill. This winter the owners of that mill, Timberline Forest Products in the British Columbia town of Fairmont Creek, brought in automated cutting lines and trimmed their workforce from 720 to 320. The 400 workers losing their shifts were each given three choices: a transfer, an early pension, or a lump-sum payout. About 90 agreed to move to the company's larger mill farther north. Another 150, mostly veteran hands with enough years behind them, are leaning toward the early pension. The rest were offered a payout worth roughly nine months' wages, though many find it hard to get excited about once they learn the government will take back close to 40 percent. The remainder have yet to make up their minds. Worried about the town's future, the local council has opened a retraining centre.

Colette Fournier does not mince words. She and her husband had banked on another few solid years at the saw line, and, certain their jobs were safe, had spent freely rather than tucking money away. Moving is out of the question, she says: housing near the company's other mill costs far more, so the family would only slide back into debt. "They call it three choices," she says, "but at our stage of life not one of them really works."

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1Workers who leave the company may take a payment known as a
Asingle cash sum
Btransfer
Cearly pension
Dretraining grant
2Although the newcomers come from similar circumstances, they differ mainly in their
Awages
Boutlooks
Csavings
Dbackgrounds
3Marco Bianchi's reason for staying is that
Athe mill may soon reopen.
Brelocating would leave him in debt.
Cliving there is remarkably cheap.
Dthe pension is unusually large.
4Some workers chose a transfer, meaning they
Aplanted a garden somewhere else.
Bno longer felt at home in the town.
Cearned higher wages out east.
Dmoved to the company's larger mill.
5Marco Bianchi believes that
Ahe is glad to stay and settle in for good.
Bthe pension alone will fund a comfortable retirement.
Cpeople must go where the work is.
Dnewcomers struggle to find work.
6The workers who drove east were mainly seeking
Anearly 40 percent of their pay
Bongoing pension payments
Chelp with their moving costs
Dwork in the oil fields
7People who take the payout must still
Akeep paying into their pension
Bhand close to 40 percent to the government
Ccover their own moving costs
Ddraw down their savings
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