(North Cowichan, BC) – North Cowichan is actively supporting the more than 350 workers affected by the permanent closure of the Crofton pulp mill, while exploring opportunities to redevelop the site for new industrial uses. A new Mill Closure Response Working Group will guide the municipality’s response and recovery efforts going forward.
“I am encouraged by the response from local agencies and provincial and federal partners as they work to support impacted mill employees,” said Mayor Rob Douglas. “While the challenges ahead are significant and no easy solution exists, these coordinated efforts are an important step toward providing assistance and longer-term recovery. This is why we have struck a working group that will respond to the challenges and identify ways to move forward.”
Recent updates and actions:
Jobs fair
- Domtar will host a jobs fair at the Crofton Community Centre on Thursday, January 15 from 2:00 to 7:00 p.m.
- Participating employers actively recruiting include Seaspan, Nanaimo Forest Products (Harmac), the Department of National Defence, Island Health, BC Ferries, the Municipality of North Cowichan, and the Cowichan Valley Regional District.
Worker supports
- Last week, the Community Transition Table met at North Cowichan Municipal Hall to identify additional actions to support impacted workers ahead of the first round of layoffs on February 2, which will affect approximately 250 employees.
- A second information session for affected workers and their families is scheduled for Tuesday, January 27, from 2:00 to 7:00 p.m. at the Crofton Community Centre.
- The session will include representatives from WorkBC, Service Canada, Vancouver Island University, the Northern Innovation Network, and the Construction Foundation of BC. The representatives will assist with resume writing, identifying job opportunities, exploring retraining options, and applying for employment insurance. Child care is being planned to support people attending the event.
- The session is intended not only for impacted workers but also for their spouses who may wish to explore employment and training opportunities.
- WorkBC’s Duncan office has expanded their service hours to evenings and weekends through to mid-January to support impacted mill workers and have a dedicated phone line for workers (778-731-2374).
Federal government engagement
- Mayor Douglas wrote to Jeff Kibble, Member of Parliament for Cowichan–Malahat–Langford, outlining the urgent federal supports required for affected workers and the North Cowichan community.
- These requests include the timely transfer of previously announced federal labour market development funding to British Columbia to support upskilling, reskilling, and income assistance for impacted forestry workers; transition funding to help the municipality address the sudden loss of tax revenue; and access to federal infrastructure funding to support economic diversification.
- Mayor Douglas also wrote to the federal Minister of Jobs and Families and the local Member of Parliament requesting an extension of temporary Employment Insurance (EI) measures that are currently set to expire on April 11, 2026.
- Last year, the federal government introduced temporary EI measures in response to major economic disruptions, including waiving the one-week waiting period, suspending the allocation of separation earnings, and extending benefit duration to up to 65 weeks for long-tenured workers.
- These measures are scheduled to expire just three days before approximately 60 Crofton mill workers receive layoff notices. As a result, affected workers would be excluded from enhanced EI protections solely due to timing.
Economic development actions
- Since Domtar announced the mill closure in early December, Mayor Douglas and senior staff have met with several investors interested in potentially acquiring the Crofton mill site for continued forestry-related operations or alternative industrial uses.
- The Municipality of North Cowichan is facilitating connections between interested parties, Domtar, and the provincial government where appropriate, and remains hopeful that any future use of the site will generate employment opportunities and a stable tax base for the community.
Mill Closure Response Working Group
- In response to the Crofton mill closure and the ongoing temporary curtailment of the Chemainus sawmill, North Cowichan has established the Mill Closure Response Working Group. The advisory group will provide guidance to the Mayor and Council on municipal, intergovernmental, and community responses to disruptions in the local forest industry.
- The working group will focus on supporting affected workers and families, identifying and mitigating risks to the municipal tax base, and strengthening community resilience in the event of further mill closures. It will also advise on potential policy reforms to support long-term employment stability and economic diversification.
- Membership will include representatives from industry, labour, and federal and provincial government representatives.
Background
In December 2025, Domtar announced the permanent closure of the Crofton pulp mill and the elimination of more than 350 jobs. The Crofton mill is currently North Cowichan’s largest taxpayer, contributing approximately $5 million in property taxes annually. Its closure will affect municipal revenues and local businesses that are directly or indirectly impacted by the closure. North Cowichan is committed to maintaining essential services and supporting economic recovery.
For updates and resources for affected workers and businesses, visit northcowichan.ca/croftonmill
