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Shermag's Bedard plant back at work

Michael J. Knell -- Furniture Today, July 19, 2004

Workers at Shermag's Bédard casual dining plant here are back at work after accepting a new labor agreement.

Shermag President and CEO Jeff Casselman said the new agreement will give the company more production flexibility. "Instead of making 100 of one item, we'll make one or two or three, depending on demand," he said.

The deal also means there no longer will be a two- or three-week summer shutdown at Bédard.

Workers at Shermag's HPL division plant in Victoriaville, Quebec, and the Scotstown facility in Disraeli, Quebec, are still on strike. Negotiations with workers at the Nadeau plant in Saint-François-de-Madawaska, New Brunswick, are continuing.

"We are hopeful the leadership shown by our workers in Granby in accepting a new model of flexibility will provide an example for their colleagues who remain off the job," Casselman said.

When the labor disputes began in early May, Shermag said it was "seeking more flexibility in job assignments with workers at its various facilities as the company attempts to better complete with Asian-based manufacturers and the challenges presented by the (stronger) Canadian dollar."

Casselman said inventory at the Victoriaville plant had been used up, but furniture produced there and in Disraeli is being made at other Shermag facilities, so product flow to retailers has seen only minor disruptions.

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