TERRACE STANDARD DUSINESS .EVIEW HAROLD JANZEN works on clearing a blockage from a sand screening device in the yard of Nechako Northcoast Construction. Workers there have agreed to defer wage increases to reduce costs. Road workers take a wage deferral HIGHWAYS MAINTENANCE workers here are deferring wage increases for two years after their employer was ordered by the provincial government to cut casts. The freeze apreed to by B.C. Govern- ment and Service Employees Union (BCGEU) members is meant to cut up to $600,000 from the road maintenance bud- pet for this area. John Ryan, president of Nechako Northcoast Construction Services, the company which now has the contract for this area, said changes in shift scheduling and other methods were also used to trim costs. “We sat down with the union and the government had some parameters it wan- ted looked at and we made some changes,” said Ryan. He expects the changes to occur with- out the need for layoffs but there will be attrition in terms of the overall workforce. The $600,000 works out to about eight per cent of the current Nechako North- oat budget of $7.066 million a year. cuts being experienced by all government ministries, said transportation ministry of- ficial Shawn Robbins. “We asked the companies to look at ways of achieving savings that would be helpful,” he said. But Robbins said any cuts won't be at the expense of public safety when it comes (o areas such as snow clearing of highways in the winter. An immediate $1 million was clawed back this year from the road companies through reduced mowing and brush trim- ming along highway rights of way. BCGEU official Lloyd Glibbery said workers were ta receive 2.4 per cent in- creases this fall and the fall of 2003. “It’s a deferral, not a freeze,” he said. “We didn’t give up on any benefits.” “We also extended the life of the col- lective agreement by three years until 2006,” Glibbery said. Although Nechako’s contract with the province is up in April 2004, the union agreement éxtension means it will carry Other” cuts are belng brought in to mon even if Whe cotapany is Hot slecessray equal another two per cent, said Ryan. All told, the province wants ta cut $32 million a year from the $320 million in annual road maintenance contracts it has with various companies across B.C. The reductions are part of the general in renewing the contract. There’s also the possibility that hased on successful cost cutting agreements, the province will put a lifespan of up to 10 years on future contracts with road maintenance companies. 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