PACIFIC GROUP

ortunately, much of the information and research that British Columbians have available
‘comes: from right-wing organizations such as the infamous Fraser Institute. The Pacific
for Policy Alternatives has been formed to challenge these biased views and to present
ive economic and social policies for the ordinary citizen of British Columbia.
Group has been incorporated as a provincially chartered non-profit society and the
will be funded through memberships, sale of publications and contributions from
s. Some of the issues that will be researched include:
ological change and unemployment
The role of the labour movement
omen’s issues
lealth care and education
vil rights
e is a need for an independent body to research and present alternative policy to the
tive propaganda of the right-wing think tanks. If you would like to play a part in
that trade unions, minority groups, the disadvantaged and the ordinary person has
to research and information that challenges biased conservative views, fill out the
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ancouver V5P 3W8.
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“THE UNIONS WERE RIGHT”

The following is from the column of Frank Phillips in “The Nanaimo Daily Free Press”.

It was last August that the raging controversy involving AMCA International, the
Tronworkers’ Union Local 712 and a possible Duke Point site for the fabrication of oil processing
modules blew up a B.C. storm.

At that time, it was announced that the Ironworkers’ executive in Vancouver had struck a
wages deal with prospective module fabrication firm AMCA. That deal involved cut-price wage
rates of between $12.85 and $14.24 an hour for the top dollar trades and rates of $6.90 to $9.85 an
hour for the less skilled trades. The Dominion Bridge fabrication company, with an existing
plant in Vancouver, would ostensibly carry out the role of main contractor for module
fabrication at Duke Point. Oil giant ARCO was to be the company placing that order for

processing modules. 5 s :
But in stepped the B.C. Federation of Labour and in a bloody union battle which raged for

some weeks, the cut-price deal was voted out of existence by the general membership of the
Tronworkers. It did not help matters, that the first union vote involved only 165 of the local’s

2,000 members. :
A second vote was held. The result was the same, with a larger turn-out of union members,

though still not a sizeable majority of the union’s strength.

But the AMCA deal was dead.
“Sold down the river,” was just one of the rhetorical phrases used in comdemnation of the

successful bid by the labor federation and the B.C. Building and Construction Trades Council to

scotch the deal. :
At stake were as many as 1,500 new industry jobs at Duke Point, to manufacture those modules

- for barging to the Alaska North Slope oil extraction fields in the Beaufort Sea area.
That’s the background in brief.
The ‘Great AMCA Myth’ has been blown.

But it took a flying visit last week to the blossoming deepsea port facility at Everett, Wash., to
it.

aeow IT HAS TO BE SAID CLEARLY AND UNEQUIVOCALLY THAT THE UNIONS

WERE RIGHT WHEN THEY SLAMMED THE AMCA INTERNATIONAL DEAL LAST

‘SUMMER AS A CUT-PRICE WAGES RIP-OFF OF THE B.C. LABOR MARKET.

A background to that AMCA controversy published above, briefly portrays the far from pretty
i painted last August and September.

Now the Daily Free Press has uncovered the real world of précessing module fabrication.
Last week, during a visit to Everett and the Fluor Constructor’s site, where 32 processing
modules are in an advanced stage of fabrication, the wages truth was learned.

"The visit came as a result of an earlier business trip by logging contractor Jim Kemp, of Long
E Helicopters. Kemp was so enthused over what he saw at the Fluor site, a return trip was
rr: , along with Mayor Graeme Roberts and myself, as Daily Free Press managing editor,

‘see just what the module site operation meant to the economy of the area.

‘The aim was to indicate to Nanaimo that such projects can give a major impetus to the
economy of this area and the viability of Duke Point.
Not one of those making the trip expected to learn some stark facts on wages, which blow that

_ AMCA deal right out of the water.

‘CORPORATE CHESS’

The conclusion to be drawn is that,
although many in this area acted in good
faith, believing there really was a workable
deal, it may never have been designed to bea
successful project bid. In short, the labor
market in B.C. and the determination of
many of us to get jobs for our unemployed,
was exploited in a game of ‘corporate chess.’

Fluor is producing those 32 modules for
Conoco Inc., also from Houston — the same
city from which AMCA International
emerged. It’s a 9-month contract. There may
not be a repeat, although Conoco has a one
year option for 1986.

At Everett, Clyde Hance, the on-site
project manager for Conoco, made it clear
that there had been some hard bargaining
with the various trades in the Seattle-
Everett area. “The labor agreement had to
contain clauses which prevented strikes,
work disruptions and also payment for
travel time. In addition, there could be no
general overtime, until the latter stages of
fabrication of the modules, when overtime
might be crucial to meeting the completion
target date.”

Hance,.a silver-bearded veteran oil man,
pointed out that the project requires two
8-hour shifts five days a week, and involves |
seven union groups.

Then came the punch line.

EXISTING LEVELS

-Conoco-Fluor reached a wages and con-
tract agreement with all seven unions,
based on existing area wages levels for
those unions. |

It means that, depending upon the skills |
involved, Fluor site workers earn wage rates |
of from around $14 to just over $20 an hour.

It’s a far cry from the high of $14.25 and
low of $6.90 bandied around by AMCA and
the Ironworkers last summer, for a Duke
Point project.

Said Fluor site boss Jerry Wilkinson, who
hails from Missouri originally, “it’s really
standard practice that we endeavor to meet
existing wage agreements wherever such
projects are set up.”

Kim Kemp, Mayor Roberts and I were all
stunned at the wages revelation.

Said Kemp, “we were all screaming about
the unions and what they had done to
Nanaimo. It was an unfortunate experience
for the city. But now we have to turn that
negative situation into a positive indicator
for the future.”

Roberts, after getting over the initial
surprise, echoed Kemp’s view.

“T guess, really, we’re looking for a strong
base which will include secondary industry.
But that base has to be a durable and
ongoing one, not based on snap decisions to
bring industry that’s going to use us for our
site and our resources, then abandon us.

“We realize that there are economic cycles
which we cannot always predict and that
there are industries which cannot survive
for generations. But we must exercise care
as responsible people to ensure that those
who live and earn their livelihood in this
area get an opportunity for a cycle of secure
employment.

“My view is that if a package deal would
bring an industry to Nanaimo area and if it
meets all the requirements, whether it is
long-term or short-term, we must entertain
it.

“What has happened in the past is water
under the bridge. It was a learning expe-
rience. We have to benefit from it. Our hopes
were raised falsely, but the damage is far
from irreparable.”

SEGERTY’S APPOINTMENT

Reaction to the appointment of Terry
Segerty as Minister of Labor:

“What all the wise men promised has not
happened, and what the damned fools said
has come to pass.”

Melbourne, commenting on the
“Trish Question”, about 1850.

r

FRIEDMAN LIKES BENNETT

e Right-wing guru, Milton Friedman,
says that Bill Bennett did the right thing by
not revealing his plans before the last
election.

—From: Pacific Alternatives

Lumber Worker/April, 1985/7