Evraz has announced it’s laying off 40 to 50 workers at its Regina steel plant.
Word of the layoffs comes after the company announced a $200 million expansion in March that it said would create 40 new jobs.
The company says demand for steel is down due to substantially lower oil drilling activity.
“We are constantly monitoring the oil market and will bring these employees back to work as soon as possible,” Evraz said in a statement Friday.
“In addition, the laid off employees are considered for open positions across the Regina operations.”
The steel giant says the planned expansion will still go ahead, as demand for large-diameter pipe used for oil and gas distribution remains strong.
