Northern Benefits Summary
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Benefits from Northern Mining 2018 Summary Agreements in effect The owners of these 12 operations entered into two agreements with the province for each site for the life of the operation. These are the mineral surface lease agreement and the human resource development agreement. The Ministries of Environment and Government Relations each administer sections of the mineral surface lease agreements. The main purpose of these agreements is long-term rental of Crown land for mining in Northern Saskatchewan. The surface lease agreements also contain commitments for environmental protection, occupational health and safety, and socio-economic Northern Saskatchewan Environmental Quality Committee members touring mine site reclamation near Uranium City. benefits for residents of Saskatchewan’s North. Each lease also requires the mining operator to have Mining in Northern a human resource development agreement, administered by the Ministry of Immigration and Saskatchewan Career Training. These focus on opportunities for The northern half of Saskatchewan is a land of lakes, northern training, employment, and job forests, mineral resources, and natural beauty. It is advancement. home to about 40,000 people. The predominant cultures in the region are Cree, Dené, and Métis. The mining workforce in the north totaled about Saskatchewan uses the mineral 1,600 jobs in 2018, compared to about 3,900 at its surface lease agreement to help peak in 2012. Despite layoffs over the past two residents of Saskatchewan’s North years, mining continues to be the largest private- benefit from mining operations in sector employer in the north. Three facilities are in their region. After 30 years, the full production: Cigar Lake uranium mine with milling at McClean Lake mill, and Seabee gold outcomes are: an increase in local mine/mill. Uranium operations in care and skilled workers; competitive local maintenance include: McArthur River mine/Key Lake suppliers; and better-informed mill and Rabbit Lake mine/mill. communities. Six more operations no longer have employees: Midwest Project, La Ronge Gold Project, Cluff Lake, Beaverlodge, Konuto, and Parks Lake. Each year, the mining operations report to the province on their efforts in meeting their socio- economic commitments under these agreements. This is a summary of their reports for 2018. saskatchewan.ca Partners’ commitments employees, and considered transfers to other sites as opportunities arose. The parties to each mineral surface lease agreement • Gave preferential consideration in all job make commitments for socio-economic benefits for openings to northerners, particularly those Saskatchewan’s North. The province commits to a from 17 priority recruitment communities spirit of cooperation with industry and to use best located nearest to the mine/mill sites. efforts in providing literacy and basic education. • Focused on contracting with service The mining companies commit to their best efforts suppliers who employed northerners. in maximizing opportunities in four areas: • Maintained four offices and satellite offices employment, training, business, and compensation in the northern communities of La Ronge, to previous permit or leaseholders. Black Lake, Hatchet Lake, and Fond du Lac. • Employed three liaison staff in the Uranium mining companies make four additional Athabasca Basin to assist the seven commitments for employee services, education Athabasca communities in recruitment, promotion, community vitality monitoring, and training, community investment, and public involvement. engagement. • Provided air transportation for workers to Northern Saskatchewan Administration District mine sites from 10 northern communities Camsell Portage Uranium City as well as Prince Albert and Saskatoon. Beaverlodge Lorado Fond-du-Lac Gunnar Stony Rapids N • Advertised jobs broadly on company Black Lake websites, social media, radio stations, Cluff Lake Mine Midwest Deposit provincial papers, northern publications, McClean Lake Mine Points North Landing Rabbit Lake Mine and community channel television scrolls. Cigar Lake Mine Wollaston Lake Parks McArthur River Mine Lake Mine • Assisted northern employees and other site workers with applications and interviews Descharme Key Lake Mine Kinoosao Lake for internal career opportunities to help La Loche Turnor Lake them advance their careers. Southend Garson Lake Bear Creek Brabant Lake Michel Patuanak La Ronge • Maintained union agreements that give Dillon Gold Mine Village Buffalo Seabee St. George's Narrows Sandy Missinipe Mine Hill Grand- Bay preference to northern and Indigenous Pinehouse Contact Lake mother's Bay Ile a la Crosse Nemeiben River Stanley Mission Pelican workers in jobs, apprenticeships, recalls, Canoe Narrows Hall Lake Narrows Cole Bay Beauval La Ronge Jans Air Ronge Creighton Bay Deschambault and retention during workforce reductions. Dore Lake Lake Konuto Flin Flon Denare Beach Sled Lake Weyakwin Green Lake Sturgeon Landing n NAD Timber Bay a Cumberland House Montreal Lake Definition of a “Resident of Saskatchewan’s w e h c North” t a Meadow Uranium k Nipawin s Lake Operating/Care and Maintenance For recruitment purposes, a “Resident of a Prince Former mine S Albert Precious & Base Metals Saskatchewan’s North” (RSN) is defined as: Regina Operating/Care & Maintenance Former Mine • A person who has resided in Twelve mineral surface lease agreements are in effect for Saskatchewan's North for a period of 10 mine/mill operations in Northern Saskatchewan years or one-half his or her age, whichever Administration District. is less. A person retains “northern status” if he or she: 1) Employment commitment o needed to relocate outside of All mining operations commit to work with the Saskatchewan’s North for education; province, other mining operators, and other o resided outside of Saskatchewan’s agencies to use their best efforts to maximize North for less than five years; or northern employment. Uranium companies make an o moved back to the North. additional commitment to work towards a long-term Or goal of 67 per cent northern participation in their • A northerner who is transferred to another northern labour force. In 2018, the mining industry northern mine, or re-employed by a mine in Northern Saskatchewan: within the year and met the above criteria • Supplemented Employment Insurance up to at the time of recruitment. 75 per cent of regular pay for laid-off direct 2018 Summary 2 Benefits from Northern Mining Employment statistics higher skill categories like supervisory, The chart below shows the “boom and bust” nature technical, trades, and professional jobs. of the mining sector. The northern mining sector • Reported 68 per cent of northern workers peaked in 2012 and has since declined by about continue to reside in the northern region. 2,300 total jobs. The decline is the result of See the chart below for where they live. completion of construction projects and, since 2016, layoffs in response to weak demand and prices for Where were the 747 northern mine uranium worldwide. Market demand and prices are employees and contract workers hired from? largely outside the control of any company. North Sites in care and maintenance include Key Lake and Central, McArthur River. These sites initially laid off workers 271, 36% Other Areas for 10 months in 2018. During this time, the 31, 4% Athabasca operator supplemented Employment Insurance up 190, 26% Northwest to 75 per cent of regular pay for its direct 193, 26% employees. In late 2018, the layoffs were made indefinite and about 850 workers were let go. About 250 workers remain to provide care and Northeast, 62, 8% maintenance. Rabbit Lake mine, closed since 2016, continues in care and maintenance with a small And where do they live now as of Dec. 31, workforce. 2018? North What is the long-term employment trend Central, at mines in Northern Saskatchewan? 206, 28% Other Athabasca Areas, Other Contract Employees 120, 16% 241, 32% 4000 Other Mine Employees 3500 Northern Contractors Northwest Northern Mine Employees 3000 Northeast 143, 19% 2500 37, 5% 2000 1500 1000 Job forecast for 2019 500 Cigar Lake, McClean Lake, and Seabee operations 0 plan to maintain their production and employment levels during 2019. 1992 1994 1996 1998 2000 2002 2004 2006 2008 2010 2012 2014 2016 2018 As of December 31, 2018, the industry: There are no plans yet to restart the sites that are in • Employed 1,583 people at mine sites in care and maintenance. As a result, employment direct and contract jobs. This is a reduction opportunities will be limited. Companies anticipate of 840 positions from a year ago. hiring about 110 workers, mostly to replace turnover. In addition, about 40 summer/student jobs • Maintained a high rate of northern will be available. employment – 47 per cent. Of the 747 northerners, 565 were employed by the Job Recruitment Forecast for 2019 mining operators and 182 by long-term contractors (in catering, janitorial, security, Operations Technical/Professional construction, and underground mining). Miner, equipment Environmental and • Achieved an Indigenous participation rate operator, mill operator geological technician, of 39 per cent - one of the highest rates of engineer, geologist, nurse Indigenous employment in Canada in the Entry Level Trades industrial sector. Mill utility person, Power engineer, welder, labourer, kitchen and plumber, carpenter, • Employed 256 females – they made up 16 housekeeping worker industrial mechanic, heavy per cent of the workforce. Half worked in duty mechanic 2018 Summary