DITORIAL

New MacBlo honcho
shakes up the troops

acMillan Bloedel Ltd. has a new
president and chief executive offi-
cer in the name of a right-wing
Republican named Tom Stephens.
He’s an American who has taken
over the B.C. based multinational.
Stephens, who has taken over from
retired CEO Bob Findlay, is shak-
ing up MB staff and union members by making such
memorable comments as: “We’re worth more dead
than alive”; “I want to see the fire in your eyes”; and
“Let the strongest survive.” Gives us some more
pearls of survivalism, Tom.

Under his first couple of months of leadership the
new swashbuckling CEO has put employees into
focus groups to impart his wisdom and new corporate
culture. We’re not making this stuff up. His quotes
appear in this month’s MB Journal.

In the Journal, Stephens vowed job cuts and “deci-
sions that will likely mean closing or selling under-
performing assets.”

“Collectively we're seen as losers...” he said. A great
morale booster.

The new CEO has taken MB on a three month
review of operations and a new overall plan for the
corporation will be announced in February of next
year. Just how many I.W.A. jobs the new MB plan
will try to put on the chopping block remains to be
seen.

MB is an expert company in downsizing and laying
off workers. What they try to do during a down cycle
in the lumber market could be ruthless for union log-
gers and millworkers.

Stephens said he will “minimize the pain by down-
sizing professionally and quickly...” with severance
packages.

I.W.A. members in MacBlo operations everywhere
should keep their eyes and ears open.

Some of the issues that MB’s focus groups claim are
“outside our direct control that keep us from our
goals” are government and labour.

According to the employee newsletter, the “focus
groups” identified “non-flexibility in labour contracts”
and high costs as some of the company’s “most impor-
tant issues.”

In October, Stephens began to throw the first
stones at the B.C. government. During a conference
call with industry analyists reported in the Vancouver
Sun, he said the company plans to attack the govern-
ment’s forest and labour policies.

He also appeared to be backing away from MacBlo’s
committement to the Jobs and Timber Accord.

B.C. Forests Minister Zirnhelt soon replied, defend-
ing government regulation of the industry. He told
Stephens that the days of huge profits in B.C. are
over and that “this isn’t Alabama.”

That’s part of our same message to the new CEO.
We would like to say that we expect MacMillan
Bloedel to work with its unions and not against them.

Our position is that MB’s committment to the Jobs
and Timber Accord, which includes creating more
internal jobs and channeling quality lumber to
remanufacturing operations, be real. If MB does not
comply, we believe that the B.C. goverment should
retaliate with strong measures.

MacMillan Bloedel must work with the I.W.A. on
issues of flexibility and not think that it will ever
impose it own versions by threating downsizing and
closures.

Get used to doing things the Canadian way,
through cooperation and mutual respect, Mr.
Stephens. You're not in the deep South.

Official publication of I.W.A. CANADA

IRMAN GARCIA DAVE HAGGARD . . President
Nel Editor NEIL MENARD . . 1st Vice-President
FRED MIRON . . 2nd Vice-President
DAVID TONES . . 3rd Vice-President
5th Floor, HARVEY ARCAND . . 4th Vice-President
1285 W. Pender Street TERRY SMITH . . Secretary-Treasurer

Vancouver, B.C,
V6E 4B2

BROADWAY zy PRINTERS LTD.

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CHRETIEN ON HUMAN RIGHTS

DOING BUSINESS

INGRID RICE FOR THE LUMDERWORKER,

MAI steams towards 1998 deadline

During the recent Asian
Pacific Economic Cooperation
(APEC) conference held in
Vancouver in late November
there was barely a word spo-
ken about the upcoming Mul-
tilateral Agreement on
Investment (MAI). Liberal
Prime Minister Jean Chre-
tien wined and dined dicta-
tors, military leaders and
despots with $48 million
worth of Canadian taxpayer
money and the corporate
media sat dead silent.

Many of the same 18 APEC
nations are now in Paris con-
tinuing to negotiate what the
Organization of Economic
Cooperation’s (OECD) Direc-
tor General called the “con-
stitution of a single global
economy.” It make us wonder
what's going on.

In the second week of Octo-
ber over 100 executives of
multinational corporations
met privately at a meeting
which was at least partially
funded by the taxpayers of
Canada. They were assem-
bled at an old boy’s club on
Toronto’s Bay Street to hear
more about MAI negotiations
from top federal government
brass. The University of
Toronto’s Centre for Interna-
tional Studies organized the
event, but it was held off cam-
pus with the participation of
Industry Canada and federal
government officials.

Once again there was little
media coverage and talk of
the MAI was kept behind
close doors. What the hell is
happening here?

There are new global trade
rules being made, Canada is
in Paris too and yet almost
nobody knows what’s going
on. The MAI will give multi-
national corporations extra
powers and unfettered rights
to carry out their businesses
and move their capital with-
out obstacles set up by gov-
ernments.

Before the last federal elec-
tion, the Liberals flagrantly
denied that they were taking
part in the MAI. These days
the Department of Foreign
Affairs and Trade circulates
information that states the
“Government of Canada is
consulting extensively with
provincial governments, the

private sector and other orga-
nizations on negotiations for
a Multilateral Agreement on
Investment.”

But the same department’s
own information states that
only provincial bureaucrats
and the private sector (multi-
national corporations) were
consulted in early 1995 and
from September 1995 to April
1996.

Consultations with the pri-
vate sector continue to this
day, as the MAI negotiators
steam roll to a May, 1998
deadline.

Non-governmental agen-
cies like the Council of Cana-
dians, champions in the fight
back campaigns against the
Canada - U.S. Free Trade
Agreement and the North
American Free Trade Agree-
ment, have tried to stall the
MAI process and put up road-
blocks so the Liberal govern-
ment will consult and hold
hearings with the Canadian
people.

The federal New Democ-
rats are circulating a petition
across the country which
demands that the House of
Commons consider the enor-
mous implications to Canada
by the signing of the MAI and
put the issue before Cana-
dians in a national referen-
dum.

Opponents to the MAI, like
Public Citizen’s Global Trade
Watch in the United States
and the Council of Canadians,
have outlined some of the
major points that would hap-
pen if the current text of the
MAI goes through.

The MAI would give pri-
vate companies and foreign
investors the legal ability to
sue governments through an
MAI tribunal, if they felt their
rights were violated. Those
tribunals would be able to
levy fines against govern-
ments on behalf of the multi-
nationals.

Tax incentive schemes to
stimulate home-grown busi-
nesses, which create local
jobs, could be ruled as a vio-
lation of the MAT if they dis-
criminate against foreign
investors. Investors and cor-
porations from other MAI
countries would be treated
like any other Canadian citi-

zen. The MAI treaty would
make that binding for at least
20 years.

Those investors and multi-
national corporations would
be protected from financial
losses by direct or indirect
expropriation or measures
“tantamount to” expropria-
tion. Expropriation could be
widely determined.

The American Ethyl Cor-
poration is now suing the

Canadian government for
$251 million over its prohibi-
tion of the use of the toxic
gasoline additive MMT which
is already banned by the Envi-
ronmental Protection Agency
in the U.S. The Ethyl Corpo-
ration is saying the Cana-
dian law banning MMT is
“tantamount to expropria-
tion” under the NAFTA.

The MAI would be global
extension of the NAFTA to
OECD member countries
which are the world’s 29
wealthiest nations. Canada
is involved in an agenda that
is being driven by the United
States even though there is
no evidence to indicate that
our country has to give up its
democratic sovereignty to
attract more foreign capital.

There’s also not much proof
that Canadians are having a
tough time investing in coun-
tries like the United States,
Great Britain, France, Italy
or Japan. Why then get
involved in the MAI?

The behavior of multina-
tional corporations in an MAI
world, with respect to labour
standards and the environ-
ment would be voluntary or
non-existent. Even the cur-
rent OECD members do not
live up to their own volun-
tary codes.

The corporations would be
able to come and go freely.
They could open up shop in
Canada or pull out when they
want. But the obligations of
democratically elected gov-
ernments to multinational
corporations would be set in
legislation.

That’s the real agenda. The
agenda is to entrench corpo-
rate rights while tying the
pandsot nation state to do
anything contrary to the cor-
porate rule of the MAT.

LUMBERWORKER/DECEMBER 1997/5