8,000 WORKERS OFF THE JOB IN FOREST INDUSTRY High interest rates combined with a slump in the housing industry and disparity in the stumpage rates charged to small forestry firms has meant layoffs for about 8,000 forestry workers in B.C. Bill King, NDP MLA says the disparity in stumpage rates applied to small forestry firms in B.C. is partly to blame for the recent layoffs in the industry. He said one foreign company operating on Vancouver Island is paying stumpage rates that are, in some cases, only half as much as what small companies are paying. The stumpage rate is the royalty charged by the province for every tree that is cut on Crown land. The discrepancies arise between rates charged on the coast and those charged in the interior. Large integrated forestry corporations on the coast often privately own timber lands while smaller firms in the interior usually operate on crown lands, leaving room for disparities between stumpage rate pay- ments. As well, smaller firms are often hit by a stumpage rate that does not reflect the true value of the log since there is often a three month delay between cutting and government billings. Interior rates are also based on the price of the end product. In addition the large integrated corpora- tios are protected by the method used to determine the coastal rates. Those rates are based on prices set by Vancouver Log Market which has been characterized as uncompetitive because the large corpora- tions control it. “There is discrimination in the forest industry today, which is propogated by the government against B.C. businessmen, and in favour of the monopolies that control the majority of the forest industries in this province,” King said. “They are an integrated foreign corpora- tion and they sell to an internal market, while the poor little struggling B.C. firms have to sell on the competitive world market.” King noted that small operators have been asking for stumpage relief for some time and the NDP, while in government, had embarked upon a study of the stumpage rates. The stumpage rate report released in 1975 recommended the coastal rates and the Vancouver Log Market be opened up in order to rectify the discrepancies in the forest industry. King said that most of the larger forestry firms which have been forced to layoff workers are being hurt by the slump in the foreign market but the provincial govern- ment could do a great deal to stabilize employment in the forest industry — by introducing a realistic stumpage appraisal system. Meanwhile, the Council of Forest Industries recently predicted the number of forest workers without jobs could soon reach more than 12,000 because of high interest rates and the drop in housing starts in the U.S. According to U.S. federal housing department officials U.S. housing starts were down 22 percent in March following a 6 percent decline in February. Although about 70 percent of the B.C. lumber market is in the U.S. the IWA is urging the federal government to subsidize high mortgage interest rates 1n Canada in order to help the ailing forest industry. As well the union has been pressuring the Soered provincial government to revise the stumpage rates system so that it 1s more equitable and reflects the true value of the log. Finally, on plywood drop plywood mark Currently, about is sold domestica the union would like to see tariffs ped in order to open the B.C. et up to competition. 80 percent of B.C. plywood lly. The union contends that the market could be expanded to include the U.S. market if the tariffs were dropped. Any expansion of the plywood industry would create more jobs since it is labour intensive. NEW STAFF APPOINTMENT Joan De’Ath, former administrator of the Northern and Southern IWA Pension Plans, has joined the Regional Council where she will act as assistant to Jack Washburn, Regional director of pensions. She will assume his duties at the end of the year when Washburn retires. At the moment the two of them are setting up a system to provide the Local Union offices with up-to-date information relating to the benefits offered under the IWA Health & Welfare and Pension Plans. Emphasis will be placed on the proce- dures, amounts and timing of claims for Canada Pension, Old Age Security and other federal and provincial government benefits that may be payable to members or their survivors in the event of death, retire- ment or permanent disability. Efforts will also be made in the near future to extend to the Local Unions, a programme to assist members in planning for their retirement years. LOCAL 1-405 ANNUAL MEETING Local 1-405 IWA Cranbrook made history at its 21ist Annual Delegated Meeting April 19th by electing the first women to hold office as financial secretary in the Regional Council. Edith Beninger, who was appointed act- ing financial secretary when the Local’s financial secretary Lyle Kristiansen was elected Member of Parliament for Kootenay West, was elected by acclamation during the nomination of officers. Also elected by acclamation were Wayne Nowlin, president; John Paluck, first vice- president; Jorma Puupponen, recording secretary; Dennis Bannert, warden; Ralph Gerrard, conductor. Contesting the other offices and whose names will go out on a referendum ballot are, Maurice Eggie and Klaus Offermann for second vice-president; Donald Sharp and Alonzo Stuart for third vice-president; Dennis Gall and Tony Ferreira for six-year trustee. Wayne Nowlin was elected Regional Board Member by acclamation and John Paluck alternate Board Member. Keynote speaker at the meeting was Regional president Jack Munro who spoke on a wide range of subjects. His first topic was the bleak unemployment picture in the forest industry. This would likely worsen in the next while, he suggested, unless interest rates were to drop. He pointed out that the U.S. was the biggest market for B.C. lumber and because of the high interest rates housing starts had dropped drastically to the point that very little of our lumber was being sold. He stated, however, the economists were of the firm opinion that the present reces- sion would be of short duration and condi- tions in the industry would gradually improve. He attacked the throne speech of the federal government for doing little to aleviate the problems of the country. He pointed out that no mention was made in it to the forest industry even though it’s the government’s greatest source of revenue. He concluded by congratulating the dele- gates for their work in helping to elect Lyle Kristiansen as an NDP Member of Parlia- ment and stated that only through political action will working men and women improve their working and living condi- tions. Other speakers addressing the meeting included Jim Kinnaird, B.C. Federation of Labour president; Fernie Viala, IWA Inter- national first vice-president; Bob Blan- chard, Regional first vice-president; Neil Menard, Regional second vice-president and Syd Thompson, Local 1-217 former president. The resolutions discussed by the delegates as well as the extensive Officers’ Report, covered not only subjects of importance to IWA members but also to the general public. These included demands for the protec- tion of our natural resources, an expanded reforestation programme, public opposition to an oil tanker route on the B.C. Coast, a government study of hydrogen as an alter- nate energy source, and a two-price energy system. . A good deal of discussion was also given over to political action and once again the delegates voted to reaffirm the Local Union’s affiliation to the NDP. Following are the names of the delegates elected to the various conventions; REGIONAL CONVENTION: Edith Beninger John Paluck Alonzo Stuart Donald Sharp Dennis Bannert Ralph Gerrard John Bennett Tony Ferreira Doedy Ryan Klaus Offermann Arnold Benty Lionel Degrazio Joe Diotte - lst Alternate Blaine butler-Henderson - 2nd Alternate Annette Mohan - 3rd Alternate REGIONAL SAFETY & HEALTH CONFERENCE: Tony Ferreira Doedy Ryan Bill Clark Annette Mohan - 1st Alternate Ken Williams - 2nd Alternate B.C. FEDERATION OF LABOUR CONVENTION: Wayne Nowlin John Paluck Gary McCandlish Stan McMaster Tony Ferreira Paul Henrich Doedy Ryan Craig Bailey Annette Mohan Craig Bailey - 1st Alternate Annette Mohan - 2nd Alternate Len Romano - 3rd Alternate LABOUR WINS BOARD VACANCIES Four labour representatives and one supporter of labour have been elected to fill vacancies on the board of directors of the Children’s Aid Society (CAS) of Sault Ste. Marie and District of Algoma. Employees of the CAS, members of CUPE Local 1880, initiated a drive to get more labour supporters to join the society after their seven-month strike that ended in February. The strike was a bitter one in which the Ontario government was guilty of strikebreaking by hiring scabs to work for the society. The CUPE drive has raised the member- ship of the CAS from 60 to 400. The board of directors has 19 members, including four appointed by the city. Each serves a three- year term. Lumber Worker/May, 1980/17