ns ; eke The ——— August 41982 | “published ‘every weekday ‘at “3010. Kalum dae - _perrace, OS by” Starling - Publishers - tds oo! te “Registration Rabvartiaing Sales: : a - Terrace— David Hamilton : . staff Writers-Phatographers: . 7 : Mike Howlett. “Sports; | . " -“Reception-Classified: . Carotyn'Gibson. 7 Circulation: . a - 6 _- Maria Taylor . NOTICE OF COPYRIGHT : The Herald retains full, complete and sole copyright _ in dny advertisernent produced and-or any editortal or photographic content published ‘In the Herald. Reproduction Is not permitted without the written permission of the Publisher. " / : BCGEU — effects begun VANCOUVER (CP) -— A threatened strike beginning as early a8 Thursday by the B.C. Government Employees Union is already having an effect .even though it hasn’t begun. . Talks over a new: ‘contract broke down Monday: night between the 40,000-member union and ‘the Government Employee Relations Bureau, the government's bargaining - . arm-and mediator Dalton Lawson booked out Tuesday, clearing legal obstacles to a strike Thursday morning. ~Meanwhile, hoteis and’ motels ‘in-_ tourist-dependent Victoria have already reported cancellations because ofa possibie shutdown of.the ferry system linking Vancouver Island with the mainland. . “The threat of a.strike has already begun to cause can- cellations,” said., all, » Ananagers} of Victoria’ ] Chamber of- clintiverte heeds Serene ae “Pve just “had ‘three cails from small motels saying \hey’ve had people phone to say they aren’t coming. We've had some fram a couple of the larger hotels as well.” Along with the cancellations are people checking aut early. To stem the exodus, the ferry corporation said it will apply to the Labor Relations Board today for an injunction . limiting picketing to designated areas at the four major. terminals and at Langdale. If the application is successful, the corporation said, the ferries could operate normally, Although the ferries are run by B .C. Ferries Corp.; a Crown corporation separate from the government, some” employees at the terminals are still employees ‘of the provincial highways ministry. “Union general secretary: John Fryer said Tuesday that his union does not consider the ferries an essentlal service that need be. maintained In the. event of a strike. The only circumstance in which the union would agree the. service was essential was if lt became necessaty to take food or medical ‘supplies to any of the islands eerved by the ferries, he said, On ‘a larger. scale, the northeast, coal ‘development and construction’ at B.C. Place, a reésidential-commercial Den mn Schatior ; ‘and Cénadtans will be driven: further “0 if government “of Prime Minister’ ‘power. for another year gr two, Oppoat der “Clark said ‘today. . a - -the moral authority needed to lead the country, Clark said onhis way. into Progiessive Conservative ‘caucus eeting. do, he ‘added, - : ‘ programs to cope with economic difficulties, ‘Conservative lead among decided voters widened in + budget, . The Conservatives were backed by 47 per cent of . decided voters in the Suly 1-5 poll of 1,034 Canadians. - That's the party’ highest level since Clark became .. leader in 1976, ' The’ Liberals dropped to 20 from 32 per cent — “steady” 4t 23 per cent. were undecided, which means the actual figures were if rr cr i i il i eepe ‘The latest, Gallup poll shows the Liberals have ® lon "4 They should. resign, and call 8 federal election to give ome other party a chance to show: what it could . a "- with trends in publle opinion: ‘ ‘Liberal spokesmen : ‘brushed off the ‘suggestion, -. Baying governments traditionally Jose popularity in ; mid-term, particularly when carrying out unpopular The Gallup poll published today suggests the | "the immediate Aftermath of the June 28 federal equalling their record. low during the bitter con-> ' - seription crisis of 1943. The New Democrats: -held ’ Thirty per cent of those interviewed in i their homes 39 per cent for the Tories, 19 per cent for the Liberals " i prt ore HD eo ptm ine ner “Davey and 1d Mlticuldurelisns ‘Shicloter sia Fleming both said thera is generally a lag before alls catch up "They feel Canadians are more supportive now v than: ‘a month ago whien this pol) was taken’ becawe they understand better the bydget and the new wage and price restraint program.” ‘ yp “He hopes the Liberals will present anew economic ‘program when Parliament resumes sitting Oct, 27 - aiter a 12-week break. a - Liberal caucus chairman Gilbert Pareat said, however, the results are’ no reason “to ‘throw: our’. hands up in the air,” “T hope the economic policy we have in place will - ‘tevive the country and the party's fortunes,” the = 'f-: Welland, Ont., MP added. The Liberals are running a county: nat ‘a popularity contest, Parent anid. a “There are tough decisions to make - and we're taking our Fesponsitiiy. for making those . decisions, ". iG - Parliamentarians are held up _OTTAWA (CP) — In what seems a strange twist of fate, parliamentarians’ summer vacations are being held-up by - the July i. holiday. . Whether Parliament closes. its doors for 12 weeks tonight | or Thursday depends on how ‘long angry senators oppose legislation changing ihe name of. the July 1 holiday to Canada Day from from Dominion Day. No one knows when the debate will end as the bill is op- posed by both Liberals and Progressive Conservatives, although a vote is expected tonight. The Commons will sit"tintit the Senate has finished with ' the Canada Day legistation and can deal with the govern: | ment's wage restraint bill.” “Under an all-party agreement Tuesday, MPs will head. home until Oct. 27 as soon as the restraint package is ap- - proved by the Senate. and receives royal assent. That could be as early as tonight, if the Canada Day bill is approved in time for the wage restraint bill to also be passed and receive royal assent by 10 p.m. If thet’ doesn’ t happen, | Parliament will continue 7 Thur- sday, The Commons was to hold its final vote on the restraint bill at 6 p.m. today. : Final Comnions debate on the legislation was to continue : “teday, following Ppcpval,.of two -amendments-Puesday - a val ppv, 0: Ww cht a} alnsingbal had Iepage eihiry night... inbyuen The bill now willl “silow Wage increases given MPs’ staff benefits within the six-and five -per-cent restraint, limits _ during the next {wo years. This session, already a record 394 days, will resume for a few more days i in October to clean. up. odds and ends before being prorogued, ‘That decision took a pressure off MPs this week because all lealsfation not given royal assent dies when a session : ends.” A new session ‘will startin late October or Y early November with the government outlining Its - future legislative“plans in a speech from the throne. . Earlier Tuesday, the government won support for ‘its _ inflation- ‘fighting -program from the. _ housing . industry following talks with federal officials. - ; : “We have offered our total sup- ~ port,” Cyril Morgan, president of the Housing and Urban Development Association of Canada. . About two dozen representatives from six major industry. groups met for three hours with six cabinet members, in-- cluding Finance Minister Allan MacEachen and Housing Minister Paul Cosgrove.” : Morgan’ said the groups will encourage - their’ ‘member firms to keep wage increases and housing prices within the limits, assuming there are no unforeseen increases in the costs of things such as building materials. And firms involved with rental properties will {ry to.keep profits — but not necessarily rents — within. the guides, Rents haye to reflect operating costs for items such.as heat and utilities that may be beyond the control of lan- diords, Morgan explained. , - The industry has been going through hard times for the years,” ang he conc that many builders; dy been tole the the on wages; ‘prices: ‘And ~tapt . profits sirngly because of economic realities. . April1to berolled back to six per cent from 11 per cent and _. will give unions the right to bargain on wages and fringe - He said the promises made Tuesday will take on more “significance once the industry starts coming out of its | . current tailspin. ~ ° MacEachen and Cosgrove both said they are pleased by -the support. The meeting was the latest ina series held with business, . labor, municipal and provincial leaders to try lo win - voluntary compliance, with the anti-inflation strategy. , Elderly prevented from trips | OTTAWA (CP) — Inadequate, costly and unsafe. means of . public transportation are preventing many F elderly persons from using ‘medical, social and recreational ‘services ° , created, for them, says a Bovernment report released . ‘Tuesday. ~All the best social and health services i in the wortd are of ~ no use to the aged if they are unable to get io them or the development on Vancouver's False Créek, will be prime. targets if a full-scale ste ie called. But. both projects are: already In lineto be closet as {B,C/s. 17 building trade . unions are also set to strike drsday. hous - ‘The strike threat has also ‘meant Hrisk trade at govern- ment liquor stores. The shelves that have béen emptied. by” panic buyers, however, will be rebtoe ed today, a liquor beard spokesman. said. . Other areas expected to be shut down by a strike courts, ° land registry and companies offices, the Rentalsman’s office, the Provincial Museum in Victoria and the, Motor . . Vehicles Branch, As well, traffic on the mass bridges and tunnel into the city may. be. e- picketed, Te Tm A ‘Provinces divided ~ OTTAWA (CP) — The provinces are divided on how lo foster long-term economic growth but they agree ° on the’ devastating effects of the recession, the Conference Board of Canada said today. J In a study of provincial taxing and spending plans as presented in their lalest budgets, board economist Marie. Burrows- said’ that - -during this peried of economic weakness some provinces ralsed taxes to bolster revenue while others tried to ‘avoid tax hikes, Planned spending waa checked by some provincial - governments while others are prepared ‘to, spend _ Freely’ and.as a result, their borrowing needs - vary Breally. Le, The. combined budgetary ‘spending deticit of the. _ Brovinces is expected to increase nearly 30 per cent — - “during the 1962-83 fiscal year to §7.5'billion. _ -. Post-budget changes by “Alberta to its financial plan” * could raise that deficit.to. more than $9.billion. ‘Revenue is expected to grow. by: nearly’ 12 per: cent although new federal-provincial fiscal arrangements: ‘ will hald the line on increases in federal revenue that . _ 80 to the-provinces-to les than five per cent. . ‘charges aré expected to increase 20 per cent "because ~of high interest’ rates-and large debt loads, The provinces a8 a'group will:have to borrow-¢9. 3, billion during the year and that could rise to $ii ° bidlion beriuse of the change | in Alberta’ Fy plans. Total spending wil! grow 13.4‘per.cent:and debt J services cannot be delivered where they live,” says the 168- - page study entitled the Canadian Governmental Report on Aging. ~~ The report, prepared by the federal, provincial and territorial governments, was done for the United Nations - World. Asseinbly on Aging being held i in Vienna duly 26 to _ Aug. 6. A lack of adequate, affordable public transit was ainong. - several topies researched for the.report, which shows.both - the successes and failures of Canada’ 5 attempt to deal with “a rapidly aging population. ~~" yeach ‘the nearest bus atop.” Municipal transit. services are ‘‘at best,. minimal” and “The transportation difficulties of the rural aged are in’ some ways even more acute than their urban counterparts. ‘“They are more isolated, less politically visible and may ok be ys got aw “EManaiye US. goverament ai an idprivate-seal ‘pose a threat to economic recovery in both the inited States Canada, Canadian. Jmperial. Bank | of| Commerce : “4 ~ geoomisia say in their Jatest survey of business conditions; - —.'Qanada’s economic pros restrictive monetary policy is probable, interest: rates “in thi country are likely.lo remain appreciably higher thai US. rates, given Canada’s higher ‘inflation, - federal, . financing needs and the vulnerable dollar. The survey also predicts unemployment rates in the ‘ito ‘ 12-per-cent range by year end — it stood at 10.9 per cent‘ in June — and inflation this year at Ii percent, compared wlth Hf bd per cent ‘last year.- , . angther development, Finance. Department officials relused y to confirm or deny reports the government plans ‘to bolster its defences against another run on the: -doliar by increasing its line of credit with foreign banks to $5 billion U.S. from $3 billion. : - The extra eredit would then be available to inerense the country’s holdiigs of ale reserves should they be needed to defend the value Canadian currency,” - “The Canadian government has said: nothing adiiing* about ‘any increase in its’ line of credit, one Finance Department official said, The official also noted that ibecause of the dollar’s recent _ strength, July reserve figures being released today should . -show Ottawa has reduced some of its outstanding loans on lines of credit-with foreign and Canadian banks. ~~’ * At the end of June, the government had $1.5: billion out: - standing on its $3-billion line of credit with foreign banks and $900 million on its $3.5-biJlion line of credit ‘with Canadian chartered banks. The. dollar has gained strength against its U.S. ‘coun. terpart in the lat month after falling to.a record low of 76.66 - cents U.S, iv-late June, On Tuesday, it dropped 3-20 of- a cent bo close at 79.81 U.S, In other business news Tuesday: ; ” — Canada must help fight the riging tide of. ‘trade - protectionism. by relaxitig the rules on foreign investment and liberalizing the national energy program, said. Weat German. Economics Minister Otto. ambsdorff, _ The - Foreign Investment Review Agency had - discouraged German investment, while the Canadianization of the oil and gas industry ignored Canada's. international ‘obligations, he said in a speech in Edmonton. — A controversial. taxpayer-subsidized . contract . for Bombardier Inc, of Montreal to sell 825 subway cars to New York City threatens U.S. industry’ and should be in- “vestigated further, the U.S, International Trade Com- mission ruled Tuesday. The ruling raises the possibility: that ‘penalizing duties could be:imposed against the im- ported cars. © _ | = Share prices on the Toronto stock market posted strong . gains Tuesday as investors reacted positively to news about lower U.S, interes es. The. TSE 300 composite index — closed up 11.76 ee i vouume: of of 3.5 “million shares. - Subsidies help "EDMONTON. (CP) — Federal subsidies on shipments of . Alberta crude to the Maritimes have helped bring - provincial production to near capacity, bul more help is ‘needed, says Energy Minister Merv Leiteh, ¢ ta, Leitch sald Tuesday that the subsidies are not ‘enough to assure long-term production and he wili continue pressing - federal counterpar! Marc Lalonde for other steps to bolster sales. Lalonde introduced ‘the subsidies as part of recent’ . changes to the controversial national energy, program. Oltawa now pays the cost of moving Alberta oil by tanker “have lower Incomes although their living costs are usually.__from Montreal to three refiners in the Atlantic provinces. less. Generally speaking, the rural aged have no public transit available to them." . Olher points raised in. the report: include: . — Canada’s economic growth could be harmed’ by the rapidly aging population and-the resulting demand for social-and medical services; Statistics Canada estimates — . there will be one pensioner for every two workers in 2033; compared with one pensioner for every, fi five workers now. ‘ == Poverty Isreimpaut among aged women, “especially the .. single, divorced ‘or widowed. More than 64 per cent of : single, elderly women hadi incomes of less than $5, 0000 year . _in’ 1979, , ; — The demand f for housing for the elderly is.expected to - grow more rapidly than thelr increase in numbers because. often too costly, despite the existence of special fares, say8—- of a decline in the number of aged persons living with the report. “Suburban elderly. dwellers often. have.to take a taxi to - ; Then, the elderly often have’ to “cross. busy, ‘icy in- terséctions, wade through snowdrifts and stand exposed to rain and snow waiting for a bus to arrive. . “Aged persons make up a “disproportionate number of: a pedestrian fatalities, ‘ “They are often harmed at crossings, where turning c on a red light is legal, because many auto drivers pay no at- tention to the pedestrians’ rights with the green light. " Getting on and off buses can bea. problem and a lack: of. seats and grab-bars on buses: and subway cars pose safety . hazards, oe . ., a _ REGINA (CP) —_ The Saskatchewan government's purge . of the provincial elyil service continued Tuesday with the firing of five: more” senior Crown corporation executives, - The latest dismissals bring td ore than 100 civil servants - at all levels fired by Premler Grant Devine’s Progressive, ; ” Conservative administration. - bo Pal ° Rousseau, minister. responsible for’ the . "Crown | “Investments. Corp.; said the’ government “was simply . résponding to voters’. ‘wishes. “They have sald to us.'Look, there are some people there to support the socialist philosophy (of the former NDP. administration," he said. '\"We (the voters) don't feel that -~ they should remain’. and we agree. : “We are saying we want people who belleve in our philosophy who will help In the direction of this government in the province of Saskatchewan and, that’s. exactly ‘what happened.” ao relatives. - ; ce _ - Elderly indians, who i in. the pait lived with and helped - care for thelr grandchildren, are increasingly living alone. The report said this breakdown of the traditional extended _ family contributes to child abuse, violence, desertion and’ _other frustrations” among native families. . mA “seriously disquieting” rate of suicide among newly- retired menis believed tobe caused by a failure.to adjust to _Tetirement. The suicide rate for men ‘aged 65 to 69 was 30 _per cent higher than for men aged 60 to 65 in 1977, . — The elderly are expected to become a more important’ ‘political force, lobbying for their own demands or joining forces with other, unrelated groups. Saskatchewan purge continues Rousseau said he. had: ‘some sympathy for those fired, “However, that’s polities. It- happens in every. govern: . ‘ment in Canada and: the® world,’ Whenever a ‘change of . government takes place, somé people ‘will be rémoved.” - The five dismissed Tuesday wera: Gary -Beatty, chief executive offi¢er of the Crown: Investments. Corp.; John. Sadler, - president af SaskOil; Don;Keith, chief executive _ officer. of the Saskatchewan Development Fund; Bryce © Lundeen, chief executive’ officer of Sask. Comp, the province's computer .company;. and: ‘Murray’: 'Wallace, _ President of Saskatchewan. Government. Insurance. Beattht had been the second-highest paid public servantin. - Saskatchewan, “at $95,000-a :year.-The, highest-paid, at $140,000 a year, had been David Dombowsky, president of ” the Potash Corp. of Saskatchewan, fired-last week-along with Sask Power t president Bob Moncur. aa oer ar The $2.50-a-barrel © subsidies -will bring © Alberta’s production of conventional ofl — as opposed (o synthetic pil from oil sands plants — to its capacity of about a million barrels a day if the eastern refiners take all they have said _ they will need ; The current wellhead price for a barrel of oil is 723, 50, compared to $40 on the world market, but consumers pay . ae Sila barrel when the variqus federal levies are ad- led ‘ * The National Energy Board and “Alberta's Every . Resources Conservation Board forecast that full production will likely continue into the fall. Except for brief respites, sales have’been slow since March, 1981, leaving potential production shut. in below ground, Leitch also said changes in the board's export rules have" ‘also helped boost exports to the United States. "The marketing of Western Canadidn production into the - Atlantic provinces is certainly a help," he said. “But we haven't yet, in my_ view, solved the shut-in problem and there’ may have to ‘be. some additional changes.” - He gave no details of what those changes might: be. “We're arguing and Meeting and discussing with the federal government any ‘changes. that. we,..think . are " ultimately going to resolve the shut-in problem.” The Alberta Petroleum Marketing Commission, which has been predicting slow markets in. 1983 and 1984, : ‘wants to. . sign refiners to. firm, one-year contracts ag.a ‘way of © assuring sales, ; toa Refiners normally iy Hhaicate & iii how much crude they “expect: to need, but ' are ot ‘committed 19 take any.. Leitch has brevipusly. syatem oféom . between: tha-price -of. demestic.oil--and-more expensive ‘foreign grude which assurés all: Canadians of more-or-less “eal may prices. x ... He has said thé imethodiot payme: ales refinerd.to use brnolundpt payments i Ultramar, a refinery near Quebec.City, has:4 ‘that itthas found it more economic: ba use imports uldar the . compensation system. But’ jaf Ultram purchases of Alberta crude if it can-negotiate. the same ‘shippinig ‘subsidies: that: Atlanttc: refiners.recelve, 7 * Leltch-eaid Alberta’ olf producers’ ¢antinue - to face -probles a despite the recent sales improvément. He blarned high interest rates, doubts oh. future world oil prices: ‘@nd “general: frarket Conditions as continuing to atfect industry, | _ investrrignt, vedere “But 1 think: we! re movi Hforw | _- Marketing problem," he said) |. ‘orrowing : ” ts over the next t8 months | -@epend heavily on the performance ofthe U.8, economy and — ee cepa mates,” says the.auryey, released Tuesday, Hi - “adda that’ heavy borrowing in.the ; ‘United Statés could © *; Congest ‘Ainerican financial, markets and fend a renewed: escalation of US.- -interest rates, 320 fe L. “MSudh! a development would not only | ‘out - the US. - J. "recovery short, with detrimental effects on our exports; bul. would directly dampen any .Canadian - upturn through . higher Canadian interest rates,” the survey saya, : ‘The bank, economists say that while some: cosing: ‘of f the dollar by: buying” the emandéd that Oltawa change its. . ite Ba 1erh refiners for the difference peaper for sallined. r said jt may:resume