# Canada Gives Cleveland-Cliffs 15 Days to Reverse Stelco Layoffs By Riza Dagoc Canonical URL: https://www.tokenpost.com/news/regulation/39172 Published: 2026-10-23T17:46:28.000Z Updated: 2026-10-23T17:46:28.000Z Section: Regulation > The planned cuts could affect up to 500 workers at Stelco facilities in Hamilton and Lake Erie. Canadian Industry Minister Mélanie Joly gave Cleveland-Cliffs 15 days on Oct. 22 to reverse planned Stelco layoffs, escalating a dispute over employment commitments tied to Canada’s approval of the steelmaker’s acquisition. Joly’s demand letter alleges Cleveland-Cliffs violated six binding commitments. Canada approved the acquisition in October 2024 subject to five-year employment undertakings. Stelco’s September plan to idle its Hamilton finishing operations could affect as many as 500 workers across its Hamilton and Lake Erie facilities. Stelco cited trade disruption and weaker markets. The demand formalizes an [earlier government ultimatum over the same cuts](). Stelco President and General Counsel Paul Simon disputed the government’s interpretation in an Oct. 9 response, writing that the undertakings “do not stipulate a commitment to avoid layoffs.” Cleveland-Cliffs Chairman and CEO Lourenco Goncalves said Oct. 19 that affected employees would return “as soon as the current situation improves.” If the company does not comply, Section 40 of the Investment Canada Act allows a superior court, after a hearing, to order compliance or divestment if it finds the minister’s demand was justified and Cleveland-Cliffs failed to comply. The court may also impose a penalty of up to C$10,000 for each day of an Act contravention. ## Links in this article - [earlier government ultimatum over the same cuts](https://www.tokenpost.com/news/business/29622)