A deal has been reached to save the pensions of hundreds of current and retired Twin Rivers Paper Mill workers in northwestern New Brunswick.

The formerly named Fraser Mill went bankrupt in 2009, putting employment and pensions in serious jeopardy.

Some retirees have already seen big cuts to their pensions. The new restructuring deal should stave off future reductions.

Clyde Winchester worked for Fraser Mill for almost four decades before retiring in 2006.

Winchester says he’s lost more than $1,000 a month since 2010.

“They thought maybe with this deal we'd go back up to 100 per cent. That 100 per cent is gone. Bankruptcy took that money so we're stuck at 64.6 per cent,” says retiree, Clyde Winchester.

The province is increasing the amount of wood the mill can take from crown land, in part as an incentive to reaching the pension deal.

“This was a decision of the company and employees. This was not a decision of government. We're certainly pleased to be able to support it,” says Premier David Alward.

Politicians will meet for a rare, one day sitting of the legislature tomorrow to table the changes.

With files from CTV Atlantic's Andy Campbell