By MARTY SMITH

On July 16 of this year, right-to-work
contractor Bill Kerkhoff told the Van-
couver Sun: “I’m totally convinced that the
work can be done in B.C. by non-union
personnel. We don’t need those (union)
companies.” That bold assertion, made in
response to the question of whether J.C.
Kerkhoff and Sons Construction, in
alliance with Hyundai Construction of
Korea, could complete the Fraser River
ALRT crossing without relying on union
expertise, is now proving to be wrong.
Last week, Construction Labor Rela-
tions Association, together with Dillingham

Construction Supplies, made application to
the Labor Relations Board, asking that the
board rule that the unfair and hot declara-
tions placed on the site by the Building
Trades Council and the B.C. Federation of
Labor are contrary to the Labor Code and
therefore null and void. The purpose,

A dummy construction company with
apparent links to J.C. Kerkhoff and Sons
Construction has been accused of violating
federal fair wage provisions — and then
coercing workers into kicking back special
cheques issued to make up the deficiency
when a federal investigation uncovered the
violation. “

The Provincial Council of Carpenters is
taking a case to the federal labor depart-
ment on behalf of several carpenters hired
by J.C. Kerkhoff and Sons Construction
management personnel for work on the
contractor’s project at the Canadian Forces
Base in Chilliwack. Most were working
directly for Kerkhoff, although the pay-
cheques were issued by a separate company,
ALC Construction.

Although the project was covered by fed-
eral fair wage provisions, which specify that
carpenters be paid $15.25 an hour, most of
the men were receiving only $13. Com-
plaints filed by some workers prompted an
investigation by the federal labor depart-
ment in April, 1986.

But according to statements by carpen-
ters on the site, the company’s response to
the investigation was to call a meeting of
employees at which cheques to cover the
deficiency were handed out — and then
workers were asked to return them with the
back of the cheque endorsed.

“The carpenters’ statements tell us that
the project manager called a meeting of the
guys and told them that they should
endorse the cheques or the company would
“net look favorably on ‘their future
employmet,” Carpenters Provincial Coun-

Dec. 14.
_ He said that the union had received affi-
davits from former Kerkhoff* employees
who stated that they had been called to a
meeting May 7, 1986 in the Kerkhoff trailer
on the construction site at which Kerkhoff’s
project manager Vic Spenst put the com-
pany position to them.
_ According to one one affidavit: “Spenst
advised the assembled employees that in
order for the company to show on their
books that they had paid the federal fair
wages, he was issuing cheques which he
expected us to endorse on the back and
return to him at that time. He advised us
that he would not look favorably on any
employee who did not endorse the cheque
_ and return it to him.”
__ Another stated: “Mr. Spenst said words
to the effect that there was supposed to be a
_. federal fair wage paid on the job but they
had bid it at a lower rate and therefore could
not afford to pay that amount. He

Construction, Lafarge Cement and Ocean ,

cil secretary Colin Snell told the Tribune -

Analysis

apparently, is to clear the way for Building
Trades members to be compelled to work
on the ALRT crossing.

The unfair declaration was imposed on
the site by the Building Trades in the face of
the political manipulation by the Social
Credit government and B.C. Transit in
awarding the $28 million crossing project to
the anti-union Kerkhoff-Hyundai consor-
tium. The effect to date of the declaration,
which was subsequently reinforced by a hot
edict by the B.C. Fed, has been to deprive
Kerkhoff and Hyundai of the expertise and
equipment associated with the unionized
contractors.

A spokemen for B.C. Transit stated in
the Vancouver Sun Nov. 20 that the job was
on time with no problems. But union

Kerkhoff payroll firm
faces fair wage action

requested that we sign the cheques and turn
them back to him. He said that if we did not
do that we would be viewed in a different
light by the company.”

At least one worker wrote: “paid back to
ALC” on the back of the statement of earn-
ings that accompanied the cheque. He then
got Spenst to initial the statement.

Although the cheques were nominally
issued by ALC construction, the company
is not listed with the Registrar of Companies
in Victoria and appears to have no function
other than as a dummy company providing
payroll for Kerkhoff.

The carpenters’ affidavits “also noted a
second meeting with Spenst on May 23, at
which workers were again asked to turn
over their cheques to the company. One
worker who kept the cheque attempted to
cash it in August but it was returned NSF.

Even after the special cheques were
issued on the basis of the federal investiga-
tion, the companies continued to flout the
fair wage provisions for a further five

- months, Snell said.

In most cases, the amounts owing to car-
penters are in the neighborhood of $2,000,
he added.

Ironically, Kerkhoff is suing one of its
sub-contractors, on the Chilliwack site,
Twin Builders Ltd. for $114,865 — the
amount that the federal contractors,
Defence Construction (1953) Ltd. deducted
from Twin’s payment to Kerkhoff. Citing
violations of the fair wage provisions by
Twin Builders, Defence Construction held
the money back to cover any deficiency
payments to workers.

The lawsuit has been seen as a smokes-
creen to cover Kerkhoffs own apparent
involvement in violations of the fair wage
provisions on the site.

Earlier this year, Kerkhoff was one of 26
non-union companies found guilty of vio-
lating the fair wage provisions specifically in
construction contracts on the Expo 86 site.

As a result of efforts by the Carpenters
Union, some 250 employees of non-union
contractors were able to recover more than
$340,000..in back wages. The money
represented the difference between the
actual wages paid them by the contractors
and the fair wages rates stipulated in the
Expo contract. ‘

Snell said the Carpenters and the Build-
ing Trades would again be placing news-
paper ads in the Sun and the Province as
well as several Fraser Valley papers, offer-
ing union assistance to workers who have
been cheated out of fair wages by non-
union contractors working on federal pro-
jects. oe

TRIBUNE, DECEMBER 17, 1986 _

sources state that there are major problems
with the on-site work.

Most of those problems are associated
with the difficult marine work which
involves constructing coffer dams to create
“holes” in the river to allow for construction
of foundations and piers to support the
bridge towers. The work is subject to strict
deadlines dictated by the salmon run which
is only just over and the spring run-off.

Apparently, as a result of the problems,
Bill Kerkhoff may have realized that, for the
sake of successful completion of the project,
he may have to eat his claims that the work
could be done non-union.

With the prospect of more problems fac-
ing them, particularly on the coffer dam on
the north side of the river which must be
constructed in 90 feet of water, it would
appear that Kerkhoff or B.C. Transit has
decided to call in the large CLRA contrac-
tors to do the job. In his affidavit to the
LRB, the spokesman for Dillingham Con-
struction stated that he saw the possibility of
“other work associated with the bridge ...,
including dredging and rock protection ...
and any deficiency work associated with the
marine work including the coffer dams.”

The main obtacles to that are the unfair
declaration by the Building Trades Council
and the hot edict of the B.C. Federation of
Labor. The application by CLRA, Dil-
lingham, Lafarge and Ocean to have those
declarations ruled illegal is the beginning of
the process intended to remove those obsta-
cles.

Langley picket lines.

Undoubtedly, that will bring into sharp
focus the question of the labor movement’s
response. i

For the Building Trades, the successful
effect of the unfair declaration has been a_
watershed. A labor board ruling forcing the’
trades to work on the site would be a major |
step in the relentless drive by the contracto
and the government to de-unionize the con
struction industry. The significance of tha’
has been realized by the labor movement a
evidenced by the’ federation’s hot declara:
tion.

The recent attack of the Internationa
Woodworkers that was beaten back by the
united action of the labor movement wa:
but one skirmish in the major war shaping
up between labor and capital in this pro-
vince. The state is also honing its weapons
as demonstrated by the increasing involve-
ment of the courts in labor disputes and
heavy. fines levied against the Building
Trades as a result of the Pennyfarthing and

4

Labor’s main weapon is still the unity
and action that was demonstrated in the
determination of the B.C. Fed affiliates to
use escalating strike action — even in the
face of the LRB or court interference — te
protect the [WA against contracting-out
their jobs.

With the same problem that has co
fronted the Building Trades for some six
years now coming to a head around
ALRT crossing project, the main questi
on the agenda should be: is the defence
the unfair declaration on the project a dect-
sive issue for the Building Trades and the
whole labor movement? a

Marty Smith is a business agent for Local
452 of the Carpenters Union. a

Best Wishes and Peace for 1987 ; :

United Fishermen and
_ Allied Workers’ Union»
Steveston Shoreworkers

Local #8

Richard Nolan
Division President

TTT

Name

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Season’s Greetings from the Airline Division of CUPE.
On behalf of 7,000 Canadian flight attendants, we wish you all a bright —
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Thank you for your past support.

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