
Gov. Mark Dayton renewed his call Tuesday for a special legislative session to provide jobless benefits to laid-off Iron Range steelworkers, and picked up a crucial legislative ally in the effort.
Senate Majority Leader Tom Bakk on Tuesday endorsed Dayton's proposal, saying in a letter to the governor that he is "receptive to negotiating the parameters" to aid several hundred steelworkers who are expected to exhaust their unemployment benefits before lawmakers convene in March.
Dayton said in a news conference that "it's a very severe situation up there," and warned that without legislative action, several hundred steelworkers will "be subjected to that additional financial hardship, in addition to the emotional distress of not being employed."
House Speaker Kurt Daudt, R-Crown, has remained silent on the issue for a week since Dayton made the initial request. A spokeswoman for Daudt said he is still discussing the issue with members of the House GOP caucus.
The Democratic governor is seeking the benefits for workers in a traditional DFL stronghold. It is an area of the state where Republicans have long hoped to make inroads, but Daudt must weigh that against the wishes of GOP legislators reluctant to spend tax money to solve problems.
More than 1,000 steelworkers have been laid off since last spring as steel industry conditions remained stressed worldwide. Steel producers have idled workers as prices for taconite, or iron ore pellets, remain historically low. Countries such as China and Korea also have been accused of underpricing, or dumping, steel imports on the U.S.
Further worsening the economic pain for Iron Rangers was news Tuesday that 540 more workers will be laid off by the end of the month when Cliffs Natural Resources, an iron ore producer, idles its Northshore Mining taconite operation in Silver Bay.
"The economy in northeastern Minnesota would be significantly impacted without action by the Legislature before the next session," Bakk, DFL-Cook, said in his letter.