Husky Energy Issues Contractor Layoffs as Sunrise Project Begins Production Phase
Husky Energy recently issued 1,000 contractor layoffs as the Sunrise project started the production phase, and many contractors were caught by surprise when they received a layoff notice. All of the contractors involved were througj Saipem, an Italian contracting company. Many expected to continue on the project until summer, and felt they were blindsided by the company. Husky Energy spokesperson Mel Duvall sent an email that read in part “Construction at the Sunrise Energy Project is now largely complete and today we started production. Husky and its contractors will continue to oversee and manage the remaining commissioning work. Saipem’s scope has been wrapped up.The drop in oil had no impact. This is a function of construction. We announced first steam in December and said we expected first oil by end of March, so we’re tracking to that schedule.”
When Husky Energy was contacted about the contractor layoffs there was no response to a few questions that the media had about the layoffs. Husky Energy was asked whether the contractors were warned that the layoffs were coming, either by Saipem or by Husky, and which entity was responsible to provide the layoff warnings and notices. No response was provided for either question before the story hit the news. What is known is that Saipem did have some foreign workers on the Sunrise project who were among the contractors who were laid off. In 2013 there was also controversy over the Sunrise project, and almost 300 Canadian workers were let go while temporary foreign workers were brought in to take over.