Local 1-357 takes action to save jobs 2Uy WA 1-357 SUPPORTS © New Westminster Local 1-357 first vice-president Joe Leclair addresses angry mill- workers during downtown Vancouver protest against finance company. It took some strong action from IWA members to help save their jobs and reopen a New Westminster saw- mill. In late October the Local 1-357 members joined with union officials to derail the potential permanent clo- sure of Norvik Timber Inc’s. hard- wood manufacturing plant, as one of the mills 12 secured creditors was pre- pared to pull out of the mill’s re- financing. Under pressure from the IWA, the Canadian Maple Leaf Fund (CMLF) creditor agreed not to scuttle the debt restructuring of Norvik’s operation thereby saving 80 union jobs. Prior to the Union’s involvement the CMLF was willing to pull the plug on Slavik’s facility which had over $13 million dollars in debt. é “We find it incredible that this had to happen,” said [WA-CANADA Local 1 1-357 first vice-president Joe Leclair. “We had 11 of 12 secured creditors, some of who know the sawmilling industry very well, saying yes to the financial restructuring, and yet the Maple Leaf Fund was saying no toit.” Included in the list of secured credi- tors, which had supported Norvik’s mill rebuilding, are MacMillan Bloedel, Fletcher Challenge Canada, Japanese investors, the Federal and Provincial governments, Royal Trust, and Advent International, a venture capi- tal company from Boston. “With all the effort that has gone into working with Norvik and the creditors, we were quite upset that he CMLF took the position that it id.” In 1989 Slavik Timber Inc. took over Fletcher Challenge’s Tilbury Sawmill division, seeking creditors to help the company convert the soft- wood mill to an alder (hardwood) manufacturing mill. According to IWA sub-local com- mittee member Barry Hemingway, the mill limped along in search of new investment dollars. In 1989 the mill finished running through softwood lumber for Fletcher Challenge and then began converting to the hardwood milling process. In 1990 the crew worked about half a year and then was laid off in Febru- ary of this year. Since then Norvik has only kept on a skeleton crew. Brother Hemingway says that stud- ies have shown a modernized hard- wood facility will definitely be a money-maker. From the abundant alder, Norvik will be able to sell clear lumber to Japanese customers while the knotty portions will go to U.S. furniture manufacturers. Even the wood chips can be used for high quality computer papers. Among other items, the mill needs to have money spent on kiln drying system, planer retooling and conveyor systems. Millworker Margaret Spencer, who has worked on the site for 15 years, The workers at the Norvik timber mill will be making a new line of alder products says the workers are anxious to get back to work and prove that the plant is viable. Sister Spencer was one of 30 IWA member picketing the CMLF office headquarter on October 21 in an effort to publicize the financial company’s unwillingness to cooperate. But two days later, in a meeting between IWA officials, the owner of Norvik, the IWA Community Credit Union, and reps from the CMLF a mew agreement was reached to hold the CMLF in as a creditor and to go ahead with plan to modernize. “All we wanted was a fair shake, says Brother Leclair. “We wanted to tell Maple Leaf Fund to be respon- sible and let the workers make the operation viable.” Local 1-85 searches Jor plan at Somass PORT ALBERNI, B.C. — Since the closure of MacMillan Bloedel’s Somass ‘A’ mill in mid-August and the subse- quent permanent layoff of 110 work- ers, IWA-CANADA Local 1-85 has been diligently searching for some alterna- tives to save jobs. During 1991 MB has caused about 700 permanent IWA job losses in the Alberni and the company has made no concrete efforts to create new jobs despite holding on to all its timber in Tree Farm License 44. Local 1-85 has been hard hit by the April closure of the 350-man plywood plant, Somass closure, and logging operation down- sizings. Since the rash of job losses have taken place, the union is looking for Canadian or B.C. investment partners to form a consortium to take over MB’s solid wood operations in the Alberni. Despite the mill closures, the B.C. government is allowing MB to ship over 430,000 cubic meters of timber out of the Alberni valley this year. Local 1-85 has publicly called for the removal of MB's timber as a result and is now in the process of seeking alternative ways of saving and creat- ing jobs. That process should take some time as getting a consortium together with workers and outside investors is no easy task, and getting together a new management team to market wood products is no easy task either. In the meantime the B.C. Minister ETT eee 6/LUMBERWORKER/NOVEMBER, 1991 Triemsyra. of Forests has appointed an auditor to examine MB’s Tree Farm License. Auditor Bob Wood will be now doing an assessment on TFL 44’s timber inventory and is examining the spe- cies and grades of old growth timber remaining. He will also look at what. types of logs are being shipped out of the Alberni’s. Brother Foxcroft is sceptical as to what will come out of the study since Wood will be relying on company data and unreliable data from the Forest Service. © On the greenchain at Somass “A” mill before the August shutdown were Local 1-85 members (I. to r.): Jarnail Badesha, John Churchill, Gurinder Mann, Leon Turgeon, Jerry Fevens, Ken Manson, Urvain Cyr, Bob Jakubowsky, Rickard Eberhardt, and Harry MB doesn’t believe that it can oper- ate Somass ‘A’ mill on a profitable basis but the local union disagrees. “We don’t think MB is exploring all of the options there are for value- added wood products,” says Foxcroft. Prior to the Somass closure, [WA members joined with MB officials in order to seek new marketing strate- gies for the mills cedar products. How- ever a marketing task force was unable to influence MB at all and the company has not moved to save any jobs. Foxcroft says times have changed for the marketing of cedar products and MB hasn’t adjusted. “Through the 1970’s and 80's most majors didn’t worry about markets, there were lots of opportunities and the majors like MB just sat back. We're saying that has to change.” The local union's attempts to find partners for a consortium are ongoing. Local 1-85 has repeatedly accused MB of mismanaging the public’s tim- ber. TFL 44 has over 450,000 hectares of forest lands.