USW members at Galloway Sawmill deprived of severance payments for closure

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CRANBROOK, British Columbia, June 06, 2025 (GLOBE NEWSWIRE) -- Frustrated by the violation of their collective agreement rights and being deprived of severance payments, United Steelworkers union (USW) members at Galloway Sawmill are going public.

The workers, members of USW Local 1-405, are demanding severance payments from Peak Renewables and Galloway Sawmill owner Brian Fehr.

"Workers left at the Galloway Sawmill are entitled to, and deserve, their severance from Peak Renewables and owner Brian Fehr at Galloway Sawmill,” said USW Local 1-405 President Grant Farquhar.

"The company is reneging on a negotiated closure agreement and the workers are the only ones that get hurt. That site was closed officially by the employer in December of 2024. Five months later and two months after the commitment was made by the employer to pay the severance, the members still haven't received it,” Farquhar said.

Brian Fehr, owner of Peak Renewables, bought the Galloway Sawmill from Bud Nelson in 2017. The sawmill hadn't run since December of 2022. The mill, which once supported over 50 jobs, laid off the last 20 workers 2½ years ago.

"Peak Renewables continues to log the forestry tenure that came with the mill sale,” said Farquhar. "They continue to harvest and sell the timber, and make revenue, but are not paying the severance to the workers.”

"The employer is saying that they're waiting on approval of a loan to pay the approximate amount of $1.2 million in severance owing,” said Jeff Bromley, USW Wood Council Chair.

"The sale of the Galloway as a real estate deal closed at the end of February. What happened to that money? It didn't go to the members, that's for sure,” added Bromley. "They closed the Galloway Sawmill but continue to log and earn money. They should pay the severance that they agreed to.”

USW Local 1-405 is a diverse union representing over 1,300 workers in sawmills, credit unions, insurance services, ski resorts and municipal services in the East and West Kootenays.

About the United Steelworkers union

The USW represents 225,000 members in nearly every economic sector across Canada and is the largest private-sector union in North America, with 850,000 members in Canada, the United States and the Caribbean.

Each year, thousands of workers choose to join the USW because of the union's strong track record in creating healthier, safer and more respectful workplaces and negotiating better working conditions and fairer compensation - including good wages, benefits and pensions.

For more information, contact:

Grant Farquhar, President USW Local 1-405, 250-489-8995, [email protected]

Jeff Bromley, USW Wood Council Chair, 250-426-9870, [email protected]