Former salaried employees at the Powell River paper mill have launched legal action involving health benefits.
Five members of the MacMillan Bloedel Weyerhaeuser Retired Salaried Employees Club are suing Weyerhaeuser Company, which acquired MacMillan Bloedel in 1999. The retirees, former employees of MacMillan Bloedel, were covered by a fully paid company medical insurance plan that remained in effect when they retired. Weyerhaeuser changed the plan in 2009.
Bob DeClark, president of the club, was the manager of human resources in Powell River from 1982 to 1994. He said in 2009, Weyerhaeuser informed retirees that the company was going to charge them 50 per cent of the cost of their MSP and extended health coverage. However, the retirees had a contractual commitment that they would have the benefits and the premiums would be paid for life for themselves and their spouses.
Club members decided five people would launch legal action, DeClark said. “They basically represent the types of employees we’re talking about,” he said.
There are over 1,000 paid-up members of the club, said DeClark, with about 200 members living in Powell River. However, there are about 2,000 people who have pensions from the company.
After 16 months of preparation, the trial began at the Vancouver Law Courts on Monday, February 14.