—The Barker Power of forest giants growing While woodworkers throughout British Columbia are preparing themselves for what are ex- pected to be some pretty tough bargaining talks, the corporate giants in the forest industry already have an apparatus for ‘ensuring themselves a fabulous income and at the same time hiding the actual income from the general public — as research from the IWA points out. In last weekend’s coast wage and contract conference, IWA researchers presented material that shows that although profits for the forest companies have been escalating furiously, the various deferments and allowances conceded the com- panies by various governments enable profits to be shown as growing far, far more slowly ~ than is really the case. The result is expressed in several ways '— and all of them to the detriment of working peo- ple. “The profits of a corporation alone are not enough to indicate how well the company is doing or the magnitude of its economic power,’’ emphasizes the IWA. In addition to net profits after taxes, corporations have huge amounts of money available for what are known as “‘depreciation allowances”’ ‘and ‘‘depletion allowances’. The funds are available for updating old equip-. ment, purchasing more plant facilities and-as compensation for using up a resource — that, in the case of the forests belongs to the people. These allowances are, in most cases, bigger than the figure cited as net profit. And the com- pany gains two ways. First, because vast amounts are set aside in the depreciation and depletion category cor- porations are able to avoid sizeable amounts of income tax. The IWA states that, for -every two dollars put into allowances, one dollar in taxes is saved. As’ well, corporations are able to mask the actual profit picture. — In many cases, corporations also get “deferred taxes’ — often deferred forever — that enable them to avoid paying even the full amount of corporate in- come tax to the government. Taken together, net profit plus depreciation and depletion allowances plus deferred taxes, yields what is known as ‘‘cash flows’. And jt is by these cash flows that corporations measure and achieve their own growth. Since the money is used to buy out other plants and expand, the economic power of the company is enhanced. And since these cash flows are under the control of top managment, their power also grows. UBC policy University of B.C. english department head Robert Jordan - was criticized by Carleton professor Robin Matthews this week for having conducted inter- views for UBC job openings in Chicago before the positions were advertised in a Canadian academic journal. Matthews, along. with a fellow professor from Carleton, had written to UBC administration president Walter Gage and education minister Eileen Dailly asking whether or not senate policy of fairly advertising UBC job openings in Canada in order to give employment oppor- tunities to Canadians was being enforced. ’ “Gage turned the matter over to the ‘arts dean Doug Kenny who admitted that Jordan had held questioned the interviews but argued that they were to find ‘‘potential Tecruits’. He also said that an advertisement had been sent to a Canadian academic - magazine before the interviews but for. some reason it had not been printed. The issue has been a conten- tious one for some years now and Jordan, himself an American, has been widely criticized in the past for his bias against Cana- dian literature programs and against employment policies favoring Canadians. Although the job finally did go to a Canadian, Matthews also pointed out that employed teachers do not have the oppor- tunity to apply for positions as they are not advertised outside the universities. PACIFIC TRIBUNE—FRIDAY, FEBRUARY.8, 1974 PAGE 12 Prospects open for expansion — of Canadian trade with Cuba — HAVANA — Seven Canadian parliamentarians, led by Gerald Laniel (Lib., Beauharnois- Salaberry), have just completed a seven-day visit to Cuba at the invitation of the Cuban govern- ment. An important facet of their visit, which included tours of Cuban plants, cooperative farms,. schools and_ hospitals, was a discussion with Marcello Fernandez, Cuba’s minister of foreign trade, about future com- ‘mercial ties between the two countries. ‘expires June 14. IWA DEMANDS Cont'd. from pg. 1 be in addition to general annual wage increases and never a sub- stitute.” The IWA meeting left no doubt that coast woodworkers are prepared to fight for a substan- tial wage increase PLUS a cost- of-living escalator clause to give - them some protection against in- flation and rising prices. An economic study presented to the conference pointed out that the corporate giants in the forest industry have enjoyed huge profits in 1972 and 1973. It points out that in the first nine months of 1973, B.C. -Forest Products reported a profit in- crease of 168 percent. MacMillan-Bloedel was not far behind with 166 percent and Crown Zellerbach Canada with 162 percent. The unions proposal for a cost- of-living escalator clause would add to each workers hourly pay one cent for every .3 rise in the cost of living based on the con- sumer price index. It was emphasized that had this clause been in the previous contract, IWA members would have received an additional 43¢ an hour. Another major demand adopted by the parley was for a reduction in the 8-hour day and the 40-hour week for all workers in the forest industry, with no reduction in take-home pay. The demands also call for stiffening up overtime penalties by im- posing overtime rates for all hours worked on Saturday and/or Sunday and double rates for all overtime worked. Also included was a demand for a new section in the agree- ment giving the union the right to strike over technological change during the term of the contract. A comprehensive portable den- tal plan fully paid for by the employer, as well as increased contributions to the Pension Plan and improvement in the health and welfare clause providing a long term disability clause and provision for layoff coverage. The IWA is also asking that the. hourly rate revision for some categories of tradesmen be in- creased by 50¢, as well as an hour shift differential of 50¢. Other demands included im- proved vacations, elimination of the $2.50-a-day room and board levy in logging camps, improved ~ travel time and rest periods, provision of safety equipment at no cost to employees, and overhauling of union security provisions. The IWA demands are to be placed before the employers after February 15, after which. time negotiations may start at any time. The present contract Sof 8.4 Sa Although still modest, Cuban . purchases from Canada have shown a steady upward climb —. from $28-million in 1970 to $57- million in 1972 to an estiamted $80-million in 1973. And accor- ding to Mr. Fernandez, purchases will take another jump in 1974. Mr. Fernandez emphasized to the delegation the fact that Canada buys only $15-million worth of goods from Cuba, main- ly cigars, rum and shellfish, and that a more balanced trade relationship would have to be looked to if commercial relations continue to grow. The imbalance could be rec- tified, he said, if Canada could increase its purchase of Cuba’s main export item, sugar. At present, in spite of numerous. demands by the United Nations, world labor and other international organizations that commercial relations with South Africa be scaled down or boycotted completely, Canada has a preferential tariff for South African sugar which almos!) nullifies the entry of Cuban sug into the Canadian market. The odiousness of the agreé ment with South Africal notwithstanding, Cuban sugd” would cost Canadians much le were tariffs equalized, or atb the trade agreement with S$ Africa cancelled altogether preferential tariffs given Cuba. It is obvious that the CO of transporting sugar from Cu? to Canada is much less than Wl of transporting South Africa sugar to Canada, yet our govel™ ment still persists in We preferential treatment given South Africa. ; Dr. Maurice Foster, anotht Liberal on the tour, expres% the view that it was time Canale looked. more carefully into & excessive barriers on Cuba sugar, saying that if opp® ‘tunities were taken for Cue trade now, preferential tre@” ment would be given when C0! petition becomes stiffer. Canada could improve its trade relations with Cuba which buys more from us than we buy from them, if it purchased world-fa Cuban sugar such as produced in Camaguey Province (above). Inst Canada has a shameful preferential treaty with South Africa, con to world and-UN opinion, which allows South African sugar to Canada at low cost, keeping Cuban sugar completely out of the dian market.