EDITORIA Labour in for a major battle against Mac Blo e in the labour movement know that we are in a big fight with MacMillan Bloedel. There are no ifs ands or buts about it. MB is out to bust the / union movement under the guise of becoming more competitive. There’s nothing wrong with MB's e bottom line other than it is making too much money in Canada and not ploughing enough back into this country where it has built its corporation. The NexGen paper mill site in Port Alberni is the first major production facility that MB has created in Canada in over a decade. Over the past 15 years MB has been in- vesting all over the world while paying little attention to its Canadian operations. It ran its Port Alberni plywood plant into the ground with antique equipment until it finally had to shut down, eliminating over 350 jobs in 1991. We told MB to keep the plant open; now plywood prices are very high but the plant is gone. MB didn’t listen. A few months later MB shut down an entire mill at Somass division in Port Alberni while it increased ship- ments of cedar logs out of the Alberni Valley. We told it not to. It didn’t listen. Those closures caused IWA-CANADA Local 1-85 to call for the withdrawal of MB’s timber. The union want- ed MB out of the valley. The city of Port Alberni called the company’s loyalty into question. During 1991 negotiations, MB threatened to pull out of Alberni if it didn’t get the concessions that it wanted. It was going to pull out and “leave the keys in the drive- way.” Then and now it was and is a giant corporation with- out respect for its loyal workers. Today MB is becoming as despised a company as Fletcher Challenge was less that six years ago. That is something that it should be concerned about. What MacMillan Bloedel is doing, however, should not be seperated from what the agenda of multinational corporations really is. What MB is promoting is a cheap labour strategy pure and simple. It is using Port Alberni as a testing ground for its open shop and promotion of company unions and non-union labour. Pure, straight and simple. Look where MB has just invested. A particle board, sawmill and planer in Durango, Mexico. Despite advis- ing their employees that the North American Free Trade Agreement was nothing to worry about, MB is leading the way into Mexico where it can get even cheaper labour than exists in company unions in this country. When one of MB's officials returned from “negotiat- ing” a contract with Mexican workers he told one of our members that it only took MB four hours to get an agreement paying Mexican workers $25.00 a day with a few food stamps thrown in. MB is proud of what it has accomplished in Mexico. And at a time when it is making record profits in Canada, MB is out to gut organized labour by introduc- ing company unions and non-union labour into tradi- tionally unionized work sites. MB’s audacity knows no limits nor bounds. MB has clearly stated that company unions and non- union workers will be used in their future projects all over North America. In the new age of NAFTA, MB is out to get rid of organized labour. It doesn’t care about what it does to the community of Port Alberni or any other community for that matter. Better watch out MB. Workers are going to tell you to get out of Canada. But the trees stay. And you can leave the keys in the driveway. LUINBERUORKER Official publication of WA-CANADA RMAN GERRY STONEY . . President No Edi eae NEIL MENARD . . Ist Vice-President FRED MIRON . . 2nd Vice-President WARREN ULLEY . . 3rd Vice-President 5th Floor, HARVEY ARCAND . . 4th Vice-President 1285 W. Pender Street ‘TERRY SMITH. . Secretary-Treasurer Vancouver, B.C. V6E 4B2 BROADWAY @ PRINTERS LTD. sa2Nd WagWNT Sib0ad warawnd Hh AS YOu CAN SEE, WE'RE S NOT DOING NEAR AS WELL AS WoutD BE ees a ‘ a INGRIO ECE FOR THE LUMBER WoreKER MAC BLO REFUTES CHARGES OF GREED America’s free trade agreement follows NAFTA as Liberal feds become champion of free markets The Liberal Party of Cana- da is not at all the party it was when it opposed the Canada- U.S. Free Trade Agreement during the 1988 federal elec- tion campaign. From from be- ing an opponent of free trade, the Chretien government is now a leading proponet of in- creasing free trade. Prime Minister Chretien is sounding more and more like Brian Mulroney all the time. At a recent Miami summit of 34 countries in the western hemisphere, from Canada to Argentina, it was announced that Chile will soon join the North American Free Trade Agreement with Canada, the US., and Mexico. With the leaders of the oth- er countries present, Chretien said: “For one year now we have been the three amigos, starting today we will become the four amigos.” At the end of the hemi- spheric summit Canada joined other countries in sign- ing a declaration which calls for a hemispheric trade agree- ment within 10 years. That agreement has been dubbed the Americas Free Trade Agreement (AFTA). The declaration called for the removal of tariff barriers between countries and the protection of intellectual property. As for labour, the accord called for “the obser- vance and promotion of workers’ rights.” That was it. So within the next 10 years we will be dealing with AFTA. Chile will be part of the NAFTA by January 1996. By including Chile in the deal, multinational mining corporations will now be more readily able to exploit cheap Chilean labour and low environmental standards. Without NAFTA, Canadian mining corporations have in- vested over $4 billion over the last four years in Chile. Greeting the entrance of Chile, Chretien joked that “Now we (Canada, Mexico and Chile) will be three to watch the elephant (the Unit- ed States).” That all being said, Canada still counts on the U.S. for 80% of its exports. In the soft- wood lumber industry last year we exported about $6.4 billion worth to the U.S. which supplies about 35% of that country’s ever-growing lumber needs. And after being hammered with countervailing duties by the U.S. over the past decade and having won each dispute fair and square (the most re- The U.S. will continue to probe into our timber pricing practices at the same time there is no clear definition of a subsidy cent being a free trade panel victory is August) the long arm of the United States in reaching deeper into Canadi- an jurisdiction. In exchange for returning some $800 million to Canadi- an lumber producers the U.S. has asked for and got a new bi-national industry and gov- ernment group where it will be able to more thoroughly in- vestigate Canadian provincial timber pricing practices and regulations, such as log ex- port restrictions. In addition, the Coalition for Fair Lumber Prices, the lobby which drove the coun- tervailing attacks against Canada, says it will still insist that Canadian producers will pay more for their own logs. All of this will continue to occur at the same time that it has been clearly proven that Canadian lumber exports to the U.S. do not harm domes- tic American lumber produc- ers. In fact the U.S. does not have sufficient timber re- sources to meet its own de- mand, either for quantity or for quality of lumber produc- tion. And the U.S. will continue to probe into our timber pric- ing practices at the same time that there are no clear rules spelling out what constitutes a subsidy in the industry. Those rules were already sup- posed to be in place but the USS. has refused to sit down, as part of the FTA or NAFTA agreements, and define with its trading partners, what con- stitutes a subsidy. The U.S. prefers to make the rules of the game up as it goes along. On December 1, the U.S. Congress passed legislation which gave American ap- proval to join the World Trade Organization (WTO), which will be an international trade regulation body replacing the General Agreement of Trade and Tariffs. Congressional Re- publican support for Bill Clin- ton was based on the fact that, if a WTO decision goes against U.S. interests, then the supremecy of U.S. trade Jaw will prevail. The elephant will prevail, as long as those mice around it remain timid. Less than a week after passing legislation to join the WTO, the U.S. announced its intent to unilaterally impose huge tariffs against Canadian sugar products. The Canadian sugar indus- try estimates that over 2,800 direct jobs will be lost in this country. Those are jobs that we cannot afford to lose. At the same time the U.S. will continue to heavily subsidize its own sugar industry. LUMBERWORKER/DECEMBER, 1994/5