10

B.C. LUMBER WORKER

2nd Issue, June

From Page 1

Majority Report = Nothing

of this problem. Most pertinent
was the fact that Fallers and
Buckers average $32 per day and
that individuals earn as much as
$50 or $60 daily. This situation
poses problems for both the Em-
ployers and the Union. Responsi-
bility for it lies with (1) the in-
crease in productivity brought
about by improvements in power
saws, (2) the minimum rate per
M set in 1954 on the basis of the
1953 rates, and (3) the increase in
daily rate added to the piece-work
rate,

“The Board recognizes that
these piece-work Employees who
have shared directly in productiv-
ity increases within their own
specialized field have also shared
in the average daily increase for
hourly-rated Employees, This has
aggravated an already difficult
situation,

“On the basis of the facts pre-
sented, the Board does not feel
competent to offer a solution. It
recomends, instead, that a Com-
mittee, representative of the Em-
ployers and the Union, be estab-
lished to investigate the problem
thoroughly and seek an equitable
solution acceptable to both Par-
ties.

ARTICLE VI—WAGES

Section 4 problem stems from Sub-contrac-
to read: tors who show disregard for wages
“The Ability

“The wage scale attached |and conditions provided for in the

hereto, Supplement No. 1, is
approved by both Parties and
may, subject to the mutual con-
sent of both Parties, be revised
once annually, but not for the
purpose of obtaining an indus -
try-wide revision.”

ARTICLE IX—VACATIONS
WITH PAY

Section 4
(c) to read:

“Any other absence duly ap-
proved by the Employer in writ-
ing shall be credited towards
entitlement for annual vacation,
but time spent on such leaves
of absence shall not be counted
for vacation pay.”

ARTICLE X—CALL TIME

“The Board recommends that
one or both Parties request a rul-
ing from the Board of Industrial
Relations in respect of the mean-
ing of ‘employee's regular rate’ as
it appears in Male and Female
Minimum Wage Order No. 1
(1955) and as it may apply to
piece-work Employees for whom
a daily rate, an hourly rate, or a
standby-time rate, as well as a
piece-work rate exists.
ARTICLE XIII—BOARD AND
LODGING

“The Board recognizes that the
charge made for Board and Lodg-
ing has fallen far behind the actual
cost and that some solution must
soon be found. Even since 1949,
costs appear to have risen by about

5 cents per man per day whereas
the charge made has increased
only 25 cents; the present loss per
man per day approximates $1.50
or more. The Board is of the opin-
ion, however, that because of its
recommendations respecting
wages, this problem should be left
to a more propitious time for
equitable settlement.

ARTICLE XIV—SENIORITY

Section 2

“The Board is of the opinion
that, since plant seniority governs
layoffs, the intent of the second
sentence is to suspend seniority

period of up to five working days.
In the interests of clarification,
the Board recommends that the
word ‘plant’ be eliminated from
the clause governing emergency
conditions.

ARTICLE V—HOURS OF
WORK

Section 1

(d) to read:

“The following are exceptions to
Clause (a), namely: Cookhouse
and Bunkhouse Employees in un-
organized territory, Fire-fighters,
Watchmen, and Employees on
Tugboats as defined in Wage
Order No, 1 (1955).”

ARTICLE XIV—SENIORITY
Section 3

(b) to read:

“Employees with one (1) or
more years’. service shall retain
their seniority for one (1) year
plus one (1) additional month for
each year’s service with the Em-
ployer, up to an additional six (6)
months.”

UNION PROPOSAL RE
CONTRACTORS AND
SUB-CONTRACTORS

“The Union states that a serious

ing no better and probably less
favorable than they were a year
ago, the Board has no alterna-
tive than to recommend no
change.

“The evidence presented to, the
Board showed conclusively that
price to the mills, or ‘net realiza-
tion value’, has dropped steadily
over the past two years. These
are the prices to which the Union
referred when it said that it could
agree if the Employers could show
that prices, exclusive of the differ-
ential that existed in freight rates,
were down.

“Similarly, the Union inferred
that it would agree could the Em-
ployers show that labour costs are
up; even if thé Union’s claim that
increased productivity has absorb-
ed all of last year’s increase could
be accepted, decreased net returns
mean that labour costs as a per-
centage of selling price or of net
realization value are up.

“Although considerable argu-
ment centred on the U.K. market,
the Board can only conclude that
the situation is quite uncertain.

“Considerable ‘discussion centred
on the competitive position of the
B.C. Coast mills in the market
east of the Rockies, The fact is
that Coast shipments have gradu-
ally declined from about 1948 in
spite of the Industry’s extension

and sales efforts.

“To forecast a definite change
in either direction would consti-
tute a rash presumption on the
part of the Board, — one that
could do irreparable harm to the
Industry and to the Province,

“The very fact that the forest
industry is such a vital part of
British Columbia's economy is
argument for particular caution
and not for reckless guesswork.
The Board can but agree with the

American section of the Union
that the important thing now is
to ‘keep as many of our people
working as possible and give our
[industry the opportunity to con-
centrate on meeting the prevail-
ing market conditions.’

“All of which is respectfully
submitted.”

George S. Allen, Chairman.
C. George Robson, Member.

Rising Output,
Fewer Workers

By H. G.

HOWITH

OTTAWA (CPA) — The final report of the Gordon
Royal Commission on Canada’s economic future doesn’t in-
clude a separate chapter on automation. References, some
veiled, some open, recur throughout the report’s 20 chapters.
But it is in the chapter on “Productivity and Output” that

the most thorough discussion

“‘Automation’ in industry,”
the report states (page 320) “will
unquestionably bring changes in
equipment and technique that will
improve productivity.”

The report isn’t solely con-
cerned with balance-sheets or
productivity graphs, however.
“It is at the level of the individ-

is presented.

And computers — those “elec-
tronic brains” which a few years
ago were just so much science
fiction — are also described as
“invaluable aids to business oper-
ation and planning.”

Government Computer
For example, the report tells of

Of The Industry To P

Y

Is The Over-riding Consideration”
— ALLEN AND ROBSON

Agreement signed by the Em-
ployer, and whose status under the
Labour Relations Act is not clear
to the Union.

“The Labour Relations Act pro-
vides that in all cases where a
business or a portion of a busi-
ness is sold, leased, or transferred,
the purchaser, lessee, or trans-
feree shall be bound by all the
proceedings under the Act before
the date of the transaction, and
the proceedings shall continue as
if no change had occurred.

“If a collective agreement was
in force, the agreement shall con-
"tinue to bind the purchaser, lessee,
or transferee to the same extent
as if it had been signed by him.

“It is suggested that one or both
Parties request a ruling respecting
the status of the Contractor or
Sub-contractor under Section 12,
sub-section 11, of the Labour Re-
lations Act.

ARTICLE VI—WAGES

“The Board recommends that
the present wage scale remain
in effect for the contract year
1958-1959.

“This is without question the
key item of the dispute. Because
of this, the principal reasons for
the majority recommendation
are given,

“The Union’s case was built
upon four points, namely, — the
increase in the cost of living
that has taken place during the
Past year, — the increase in
Productivity that has occurred
during the same period, — the
other recent wage settlements
within the Province, — and the
ability of the Industry to pay a
wage increase,

“Of the four major points dis-
cussed, the fourth is the over-
riding one in the Board’s opinion
and the one that received most
attention during the hearings.
Other things being favorable,
the Board would agree that cost
of living, productivity, and other
settlements have validity as cri-
teria. Economic conditions be-

Bass

“The current picture is that the
prices of the Coast's most compe-
titive items — large timbers and
upper grades — have declined by
as much as 27-1 per cent (fir tim-
bers) during the past year. The
Board is of the opinion that no
material change in the situation
can be expected in 1958.

“As far as exports in general
are concerned, the evidence indi-
cated that prices are down in prac-
tically all cases from a year ago
and this is, in turn, confirmed by
the lower net realization prices re-
ceived by the mills.

“Evidence in respect of the U.S.
market did not provide any basis
for optimism. The fact that west-
ern U.S. production and sales are
down means that a slack exists
that will be taken up if U.S. hous-
ing starts increase materially; it
does not follow that the B.C.
Coast will benefit substantially if
U.S. housing attains the forecast
1.1 million starts in 1958.

“The Union presented produc-
tivity figures which it acknow-
Iedged to be not good but about
all that were available. The need
for more adequate statistics is
realized since productivity increase
appears to be a factor that should
be taken into account in wage

negotiations, However, even if
the Union productivity figures
were accepted as approximations,
it can be shown that there has
been a decline over the past year
in the value of productivity of
about 3.3 per cent. If the figure
used by the Union were too high,
then the decline in the value of
productivity would be still greater.

“In view of the evidence submit-
ted, all of which was carefully
studied by the Board, the Board
has no alternative but to recom-
mend against a wage increase at
this time. It believes the Industry
to be in a precarious position that
could quickly improve or deterior-
ate.

ual worker, firm or industry that

automation has already begun
and will continue to transform
and revolutionize existing prac-
tices.

It is here that the human
problems of displacement and
dislocation arise.

“They must be recognized.”
What are the gains — and the
problems — which the Commis-
sion forsees? Do any of the Com-
mission’s recommendations paral-
lel those presented by the former
TLC and CCL in their joint brief
to the body?

Survey Needed

The labor submission recom-
mended a comprehensive study of
the possible effects of automation
on Canadian industry; adoption
of a full employment policy; tak-
ing industry to the workers rather
than workers to the industry;
higher wage demands by labor to
keep purchasing power up; tax
concession to firms staying or lo-
cating in certain areas, plus chan-
neling of government purchases,
subsidizations through special
freight rates, and assistance to
special areas through the location
of atomic and other power plants;
and as a general principle, the tak-
ing into account of “all the econ-
omic factors, not just those that
concern private firms directly.”

The Gordon report notes that
“those who say there is nothing
new (about automation) but the
name itself are reassuring: auto-
mation is a part of industrial evo-
lution and there is nothing in the
history of that evolution to justify
apprehension for the future.

Revolutionary Change

“Conversely, those opinions
which rest upon automation’s new
qualities see in it the potential for
revolutionary change, holding out
the promise of great strides in the
raising of our productivity levels
but harboring the threat of serious
adjustment problems.”

As an example of the “spectacu-
lar accomplishments” of automa-
tion, the report cites new oil re-
fining techniques and the produc-

the National Health and Welfare
Department's computer, which
“makes possible the preparation,
signing and checking of some
three million family allowance
cheques in the equivalent of less
than 300 man-days where, by old
methods, 16,000 man-days would
be required.”

Automation in the future, the
Commission feels, has its limita-
tions. Automated techniques are
best applied to “continuous flow”
processes — (gases, liquids, elec-
trical energy) — or to big-volume
Production of standardized items
(auto engines, electrical cir-
cuits).

Articles requiring periodic
style changes — (clothing, auto
bodies) — aren’t as adaptable.
And industries like forestry,
fishing, construction, transpor-
tation, personal services, etc.,
won't become automated to any
great degree, the report says.

Lack of trained personnel, too,
will tend to slow down the process
of automizing our economy, the
Commission feels.

“In all, we expect these various
factors to litnit and retard auto-
mation. Thus we do not look for
a sharp break from the develop-
ment trends which innovations
have given us in the past.”

The Human Factor

The problem now, the report
states, is the human factor — the
question of “displacement and dis-
location.”

“A general raising of living
standards is a sound objective but
it carries with it social responsi-
bilities to minimize and alleviate
the costs that will inevitably fall
on some. a

“Governments share part of
this responsibility: the displaced
worker has a vastly greater chance
of obtaining employment in a
healthy, growing economy than in
a faltering one, and government
policies must be directed toward
this end.”

In other words, the Commission
has endorsed labor’s recommenda-

tion of polyethelene.

Cake Saati

tion for a full-employment policy.
PCr a ee ers