(North Cowichan, BC) – North Cowichan is taking immediate steps to support workers, families, and businesses affected by Domtar’s December 2 announcement to permanently close the Crofton mill. The closure will impact 350 employees and will have significant economic effects on our community.
“This is devastating news for local workers and their families,” said Mayor Rob Douglas. “The mill has been a cornerstone of our local economy for generations. We are committed to doing everything possible to help people through this difficult time and find a way forward.”
Actions underway:
- Community Transition Table
We are working with the Ministry of Jobs and Economic Growth and the Public and Private Workers of Canada (PPWC) union leadership to convene a Community Transition Table. This group will begin meeting next week and will coordinate supports for affected workers and businesses. - Provincial engagement
Mayor Rob Douglas had an emergency meeting with Premier David Eby, Forests Minister Ravi Parmar, Labour Minister Jennifer Whiteside, Social Development and Poverty Reduction Minister Sheila Malcolmson, and Cowichan Valley MLA Debra Toporowski on December 3 to discuss the closure, secure provincial assistance and resources, and future options for the mill’s ownership or site use. - Worker supports
We are advocating for income support, retraining programs, and mental health services for impacted workers and their families. The province has committed to providing supports for impacted workers, however details on this are still to come. - Transitional support for lost tax revenue
The province has also committed to exploring transition funding for North Cowichan, in order to address the tax revenue shortfall. In 2026, the mill will have a lower property assessment value following Domtar’s application for a Closure Allowance with BC Assessment. - Economic diversification
North Cowichan is working with the province to attract new investment and create opportunities in sectors beyond forestry including extending servicing to other industrial lands to unlock their development potential. The municipality is also considering other potential uses or industries that capitalize on the waterfront industrial site and access to highly trained workers.
The Crofton mill has been North Cowichan’s largest taxpayer, contributing approximately $5 million in property taxes annually. Its closure will affect municipal revenues as well as local businesses that are directly or indirectly impacted by the closure. We are committed to maintaining essential services and supporting economic recovery.
For updates and resources for affected workers and businesses, visit northcowichan.ca/croftonmill