AUGUSTA (AP) – The Maine Labor Department stands to receive a $10.6 million national emergency grant to aid workers affected by the Great Northern Paper mill shutdowns, congressional officials said Wednesday.
The grant is expected to enable state officials to provide a variety of services to displaced workers, including basic skills training, recruitment, counseling and job placement.
The money is to be used for employees of the mills and other workers laid off as an indirect effect of the plant closings.
A recent bankruptcy petition by the Great Northern Paper Company has resulted in the closure of both the Millinocket and East Millinocket mills.
“The president and I are committed to working with Senator (Susan) Collins and Senator (Olympia) Snowe to help Great Northern Paper’s displaced workers have access to the job and skills training they need to find new re-employment,” U.S. Labor Secretary Elaine L. Chao said in a statement released by the Maine senators.
“The announcement of over $10.5 million in National Emergency Grant funding to help Great Northern Paper Company workers is tremendous news for the entire Katahdin region,” Rep. Michael Michaud said in a statement.
In a joint statement, Collins and Snowe said the federal money “will help speed readjustment and retraining assistance for workers laid off over the past few months, and those who will be indirectly impacted by job losses.”
The grant will serve a total of 2,420 workers directly and indirectly impacted, should the mills stay closed indefinitely, according to Michaud’s office.
Great Northern, which employed 1,130 workers, filed for protection from creditors in U.S. Bankruptcy Court in January. A sale is in the works.
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