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News / Northwest

Judge orders pay for Ore. laid off mill workers

The Columbian
Published: March 23, 2011, 12:00am

OREGON CITY, Ore. (AP) — A federal judge says workers laid off when the Blue Heron paper mill closed abruptly are due two months of pay and benefits.

The Oregon City mill closed in February, laying off 175 workers and ending a century of paper production at the site.

The company has been under bankruptcy protection for a year. The Oregonian newspaper reported it was unclear whether a law requiring employees get 60 days notice or pay applied.

U.S. Bankruptcy Court Judge Randall Dunn said it does. He ruled Tuesday the workers should be paid “sooner rather than later.”

Blue Heron manufactured newsprint, specialty paper and paper bags from recycled paper. It blamed foreign competitors for bidding up the cost of scrap paper.

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Information from: The Oregonian, http://www.oregonlive.com

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