Some of my Readers may be aware that I have had my share of encounters with Organized Labour in my construction years as well as once in my time as President of a registered charity. I resisted documenting these experiences as I did not think that there would be any purpose for doing so.
In my recent discussions with my oldest daughter Nona, and my son-in-law Rick, I was encouraged to write about those and post them in my blog for my family and friends who may choose to read about them.
I will not identify names of people except the incidents from initiation to result.
The first time that I became directly involved with organized labour was when upon graduation, I accepted my first position as Project Engineer with Columbia Cellulose Co. Ltd. (CCCL), in Prince Rupert, B.C. I was aware that, because large projects and operations involved many workers and usually with large corporations that employed them; it was necessary for labour to organize itself to deal with management in order to have their voices and concerns heard. So I accepted this as fact and had no issue with the system as it was established.
Incident #1:
My first assignment at the Sulfite Pulp Mill was to survey the chip piles and measure the volume of chips in those piles. My Engineering boss wanted to keep me busy while he organized my permanent job description.
Although my training included surveying, Engineers are not legal surveyors but have a clear understanding of this function, in their general needs as a Civil Engineer.
Armed with a Theodolite, Rod and Tape, I was provided with another Junior Engineer (who had just arrived from Alberta) and off we went to the chip piles behind the Power House. All was going well until the arbitrary survey line that I had established encountered a tree. Surveying straight lines was much easier that traversing around objects as the calculations were not warranted here in our opinion.
“Let’s get a chain saw and cut that ‘runty’ tree down” was the unanimous decision by the totally inexperienced Engineers to the working climate of that operation. I walked over to the Wood Room (obviously they would have a chain saw) and found the Wood Room Superintendent. He looked surprised that an Engineer would want a chainsaw but he reached under his desk and produced same.
We made short work of the tree but failed to notice a worker sitting in his Front End Loader, studying what was going on. Shortly, he drove off and we carried on with our survey work.
On completion of the Field Work, we returned to the Engineering Office to meet our boss who called us into his office and said “it did not take you guys long to cause problems on this site” as he smiled and then explained: “Union regulations do not permit Engineers to use equipment such as chainsaws and so a Grievance has been filed against you by the Yard Department.”
“What happens now?” we both sat there concerned. “Well you now know how things operate here and it is unlikely you will handle tools from now on. You obviously are problem solvers but the most economic option may not work too well here at our mill. I handled it by explaining you guys were new at the job and were on an orientation exercise.”
Incident #2:
My previous experience in construction provided the reasoning that I was given the responsibility to represent the Company on the upgrading of the Pulp Mill which started with the construction of a major addition to the Power House including a Boiler.
The contracts were let by H.A. Simons Engineering (HASE), Consultant to CCCL. My immediate assignment was to establish a construction camp as Prince Rupert was 11 miles away and hotel accommodation was not practical.
I located a site that was out of view of the Plant but within walking distance of the work site. The camp purchase was negotiated by HASE and my responsibility was to supervise the erection and locate services.
Everything was fine for the first three weeks after set up but there was a sudden cold snap that caused the following situation:
- I arrived at the gate one morning to witness Taxis moving, one after another through the gate and leaving the Plant. The Guards advised me that all the Workers were leaving the Camp
- I went to my Construction Office and found three or four Workers who advised me that they needed to meet with me immediately
- These Workers identified themselves as Representatives of the Ironworkers, Mechanical and Electrical Unions on site. They were equipped with grievances in addition to the fact that the water line froze and they were unable to use the Camp Washrooms. According to their Union Agreements, first class accommodation was necessary and that would be the Crest Motel in Prince Rupert and so they abandoned the Camp.
- I agreed to conduct suitable repairs so that freezing did not happen (not normal for Prince Rupert) again but they produced a list of other deficiencies in the camp which included: cots 2″ short, dinging room tables 2″ narrow and 1″ short of the 30″ width per Worker requirements. I said that I would engage carpenters to make adjustments immediately and order the regulation cots
- Following the repairs, etc., the complaint was that the meals were inadequate. I agreed to go to eat a meal of their choice to witness this. They stood by my office to ensure that I did not warn the cook and then we proceeded directly to the cook shack. The dining room had about 6 tables suited for 6 workers at each. T-Bone steaks were served on a patter that had about 10 steaks for each table.
- I watched as one worker loaded three on his plate and carved out the fleshy part and then proceeded to throw the rest out the exit door muttering “hamburger”. This followed by heaving the coffee pot out and muttering “slop”. I just drank from that pot and I found it satisfactory. I left after dinner
- The next morning the Representatives arrived at my door to ask me how dinner went and my response was that “I did not eat that way at my house and I want that Worker on the first plane out for total abuse of food.”
- Then I asked to them “what is the real reason why you are complaining inordinately?”
- They explained that it was awkward to bring liquor past the guards and this was the problem. I responded that I would immediately get a bus to leave at 6:00 and 8:00 P.M. each night and return from Prince Rupert at 7:30 and 9:30 each day. The Liquor Store closed at 9:00 every day
- The problem was resolved and no more grievances
Incident #3
The project later, required that the men work 6 – 12 hour shifts with Sunday and Sunday 8 hours each. There were areas in the Plant that could only be accessed by personnel with available gas masks (safety wear for all employees) and no one was to linger there any longer than absolutely necessary due to possible leaking Chlorine Gas.
I was making my periodic inspections of work (Sunday morning) when I noticed a man lying by some piping adjacent to the Elevator. I rushed over expecting the worst when I noted a heavy smell of alcohol. I tried to rouse the Worker but he was in a drunken state.
I went to the Contractor’s office to report the man to his Superintendent. We went up and confirmed that the man was sleeping off a heavy hangover from the night before on double time. The Superintendent fired the man on the spot.
The matter came back as a grievance as the method of firing was inconsistent with union regulations. The foreman of the five man crew, the general foreman for all crews and a crew member must witness the event in order to qualify the event for firing.
It seemed very inconsistent with safety as the worker could have been easily consumed with Chlorine fumes which were common in this environment. So a grievance meeting eventually provided the approval of the action taken by the Superintendent.
I am not sure if subsequent union agreements superseded those of the mid 1960s but I sure hope they have.
Incident #4
My general function was to inspect construction of which various parts of the upgrading project was scattered throughout the Pulp Mill and so I was asked to keep my eyes and ears open to see what else may need attention. I got to know the tug boat crews at the pond that used tugboats to direct logs up the Jack Ladder, into the Peelers and Chippers located in the Wood Room. The Jack ladder had sharpened lugs that picked up logs up to 8 feet in diameter butts, as that was the size of logs that came in by floats from logging sites North of Prince Rupert.
There were many logs in the pond but I noticed one that was obviously a drift log with the roots still intact on the 6 foot diameter log (huge root system rendered the outside area to be about 12 feet in diameter. On one of my visits with the crew I enquired as to what was to be done with the log. “We are waiting for the right time and it will come in handy”, was the response with laughter.
It was a short time later that a freak snow storm was experienced and the rumour spread that the Jack Ladder had been jammed with a log stuck into the Wood Room superstructure where the ladder exited into the building. The Jack ladder chain was broken and the Wood Room was shut down as a result.
I found my way to the pond and sure enough, the crew was busy playing poker and I commented “now I know what the log with the roots was destined for”. The guffaws and mirth was sickening to me as these workers had no sympathy for the company and the unscheduled shut down of the Mill as well as the costs associated with repairs and loss of profits.
Incidents #5 (taking place at the Pulp Mill and noted here for further personal background)
There were many more incidents at the Pulp Mill where I worked from May 1963 through to April 30, 1965 . I will note the significant ones briefly:
- I walked into the Bleach Plant one morning to find it full of foam. On questioning, I was advised that the Operator’s function was to start a pump as soon as the vessel was full with a console light flashing that required it to be emptied. He apparently fell asleep and the vessel overflowed. The Operator’s job was to start the pump four times a shift. A follow up meeting with the Operating Union, suggested that the job was too boring and the warning light was not a suitable indicator. Action was agreed to install a probe two inches higher in the tank so that when the first warning was passed that a bell would ring. The vessel overflowed again for the same reason. Further action was to install a siren activated by a probe 2 inches higher than the bell probe. The vessel overflowed again. At this point the union agreed that the Operator was incompetent and he was let go. An automatic starter was installed by the company much to the complaint by the Union because of a loss of a job.
- My fellow Engineer was supervising installation of a screen in the Bleach Plant. One day the Trades were noted, standing around and not working. He was told that Vise Grips were not an issue by the Tool Crib and that they could not do their job as a result. He went to the Tool Crib and was told that the Company’s position was that Vice Grips were part of a Tradesman’s normal tools. So my colleague drove to Prince Rupert and purchased four vice grips and gave them to the Tradesmen. The men would not accept them as they were not Company issue. Ridiculous! I am not sure how this was resolved.
- One day the jumbo rolls, that were the first step of the finish line for high grade Acetate Pulp, suddenly showed black spots. The Lab Technicians tried to analyze these spots to no avail and samples were sent to a Lab in Vancouver. Meanwhile, the Jumbo Rolls were being stacked as they could not be packaged until the “black spot” problem was resolved. This essentially shut down the entire Mill. Finally it was determined, that the spots were poppy seeds, obviously sprinkled in the Bleach Plant by a Worker that planned a shut down for Christmas holidays. Does this sound ridiculous? Unfortunately it happened at the Prince Rupert Pulp Mill and perhaps may have contributed to its eventual closure as it just could not become profitable.
- These are just some of the experiences that I witnessed, that had a profound effect on my understanding of Labour / Management relationships that needed to be revamped if investment and labour were to become compatible in my opinion.
This was the background that prepared me for the time when I would have my own employees. When I moved to Castlegar in 1965 and started a construction and Millwork Plant with my two brothers, I wanted to change things so that my employees would feel part of a solution and not contribute the problem and the challenges that companies experience. The next series of incidents are with my own companies and employees.
Incident #6
I convinced my brothers that we should have a fringe package for our employees that included: a Life Insurance policy, Dental and Medical services, two pairs of Work Boots and two sets of Uniform that included pants, shirt and jacket to be issued each year. All safety equipment to be company supplied. This was interesting as construction companies at that time who supplied part of such a packages, were unionized.
Some initial comments from my crew at that time of establishing the package:
- “Why are you paying for a life insurance policy and not just pay additional wages? I do not want to pay for the betterment and enjoyment of a future partner for my wife………”
- “I only wear out one pair of boots every two years, can I get the balance of the boots budget issued as wages?………”
- “We do not wear hard hats in the millwork plant, so can we get that money directly?…….”
This of course surprised me but was understandable as my competition was not doing this and some of my crew could not quite fathom such privileges would be voluntarily provided by a company. The majority were very happy with this benefit.
Later our company established a profit sharing package which would serve as a pension at some time.
The wives of the crew were very happy and that reflected on the crew performance and continued permanent employees which was the company intent.
Incident #7
Building Construction in the 1970s followed actions by the political majority in government philosophy and supporting construction unions favoured union only construction of all government funded projects. The schools and hospitals in the Kootenays were being tendered and awarded contracts to unionized contractors. It was logical that the trades being used by those contractors were best served by unionized trade contractors. The Verigin Millwork Plant was of a capacity to accommodate this need.
I approached the Carpenter’s Union and discussed how Verigin could incorporate a company to provide union products to those union contractors and their projects. This was amicably discussed and a company was incorporated forthwith.
Shortly thereafter the Business Agent called to advise that he had changed his mind and that all Verigin companies must be unionized as no work can be separated and individually operated.
I explained that the Verigin Group had three (3) brothers and growing sons who all work on projects. The separation of employee from employer was not practical; however, those Verigins that worked on union projects would be members of the carpenter’s union. So it followed that my brother Russel joined the union as did one of our employees. A unionized carpenter was already under the employ of Verigin.
This disagreement continued and became acute when a millwork contract was being installed on a local school and the general contractor was in negotiation with the carpenter’s union as a provincial bargaining unit, causing a work stoppage to be in effect. Since Verigin was not part of that negotiation, Verigin continued to install the Millwork which had become a critical schedule event on the project.
The union immediately declared the Millwork “hot” and directed Verigin to stop installation. When we explained that it would be costly for us to do so, the Business Agent told us that we are now declared ‘Blacklisted” by every union automatically. There was to be a hearing at the next union meeting to discuss whether brother Russel’s action were sufficient to expel him from the union. That subsequently took place and Russel was permanently expelled from the Carpenters Union.
Sometime later, the Business Agent came to the Verigin Office to offer an opportunity for the Verigin companies to be taken off the “Black List” if both Verigin companies agreed to hire union only and have all the employees joined the union.
That was the beginning of the struggle for Verigin to survive as a business. Philosophically, we could not force our employees into a union and Verigin could not survive as a company if all the Verigins could not work on projects. Only employees, by definition of the union, could work on projects. So the offer was rejected.
By this time Verigin was well known and most clients had no opinion as unionization but we did lose two major projects: a school and a BC Housing Project sponsored by a Rotary Club. Otherwise, Verigin prospered with sufficient work.
Incident #8
In the early 1970s the government of the day in British Columbia passed a “Public Works Faire Employment Act” which officially dictated that only those Contractors who employed members of the B.C. / Yukon Trades Council could tender and successfully construct projects financed by the B.C. Government.
I met many “open shop” contractors and we felt that the legislation had literally turned the competitive pendulum in favour of unionized workers and their Employers only.
At that time there were 100,000 workers in the Province that carried a “Red Seal” Interprovincial Trades Certificate; however, only, 33,000 were members of a union. So only those Contractors who employed the 33,000 Tradesmen were permitted to tender any project financed by the Province.
This was effectively legislated by the passage of the Public Works Fair Employment Act in 1973
Something did not seem right to all my colleagues!
A Committee of five (5) Contractors from the Kootenays, requested and were granted a meeting with the Labor Minister of the day. He gave us an 1 1/2 hour audience and sympathized with our information which he admitted he was not aware to that time. He suggested that we organize into an association to represent the “Open Shop” Construction Industry. The result was the incorporation of the Independent Contractors and Businesses of British Columbia (ICBA). I served as founding President for two years and as Director for about six (6) years after.
The initial membership of ICBA was about 300 firms which today has risen to about 2,000 firms. At present, there are about 240,000 Journeymen in the Construction Trades with about 85% employed in the Open Shop Sector and 15% in the Union Sector. There are about 28,000 Apprentices of which about 82% are indentured with the ICBA which offers these Apprentices to all the Open Shop Contractors along with a portable fringe benefit package. A very strong incentive for both employee and employer. This is what the Founders of ICBA struggled for and were successful in implementing.
How was ICBA beneficial to Verigin and other members of ICBA, I can only write what I witnessed at Verigin in the next few Incidents.
Incident #9
Verigin was developing a Design / Build Project that included a Shopping Center and Hotel at Elkford, B.C. Just as we moved on site, the Mining Company requested that we construct a thirty (30) suite Apartment to reduce the housing pressure of the their employees.
All our employees of the day were engaged and it was obvious an additional ten (10) or more Carpenters were necessary to expedite the project with the onslaught of winter.
I called Manpower in Trail and the following conversation took place:
“We do not have suitable employees for you”, I was advised.
“Are there unemployed Carpenters registered with you,” I enquired.
“Yes, but they are unionized,” was the response.
“Our company does not discriminate as we operate an Open Shop policy,” I explained.
“We are aware of that but we cannot send unionized Carpenters to your jobsite,” the Federal Government Employee countered.
“Will these Workers continue to receive unemployment benefits even though, a job is being offered that they will not accept?” I continued.
“Well then I will need to report this to the local paper and contact the Federal Minister of Labour,” I suggested. I never did!
Silence for a few minutes……….”well I do have two (2) non-union Carpenters that live up the Valley, if you would like their names”, he offered.
“Great,” I accepted the contact information.
There was a major project (the Kootenay Canal) underway near where the two contacts lived. Once I called them, I received the same information: “we are trying to get on the Canal and as soon as we do, we need to changed employer at that time.”
“I appreciate your honesty,” I then offered ‘”I am interested in some permanence as I will need about three (3) month commitment.”
I realized that the local Carpenter Business Agent had done his homework and was determined to place in a desperate position for workers after the Canada Manpower information.
My sense of humour caused me to call both non-union Workers with this suggestion: “go to the Bar in Castlegar and sit near the center table with one or two friends. Talk loudly and brag about getting a job with Verigin at Elkford so that the centre table can surely hear. I suggest that you will be approached very quickly and be offered a job on the Kootenay Canal by the Business Agent.”
I was called later by both men and they excitedly told me “that was exactly what took place. We were accepted into the union and we are now on the Project. What do we owe you?”
“You have already paid me,” I responded. “Have a wonderful time!”
I then placed an advertisement in the Lethbridge paper and within one week had fifteen (15) Carpenters respond. I was able to select ten (10) and they turned out to be excellent Workers and very compatible with my existing crew.
The projects were completed on time and on budget without any labour disputes.
Incident #10
Verigin promoted a Design / Build / Market 98 unit Townhouse Project in Trail, B.C. We were able to solicit enough Carpenters by word of mouth and the Project was being initiated.
A person came to me and suggested that there would be a picket line that would stop the Concrete Supplier. At this time the local unions had organized together to move business from the ICBA member firms and I was well aware of that.
I responded with, “well, it will be an information picket line which will advertise that I am building an “affordable housing project”. I will offer them donuts and coffee in the morning and afternoon as I already know they will not work for me, but I feel obligated to reward them for the advertising.”
The man looked at me and issued a warning, “danger could befall you and you should be made aware of that.”
“Really,” I spoke bluntly, “you mean that someone could shoot me? My concern is that not always is the marksman accurate and an innocent man like you could get hurt.”
Two years later the project was all completed and successfully marketed with no union hassle. The head of a large local union dis buy one of these townhouses and when I asked him why, his answer, “simply it was the best deal”
Incident #11
One day Canada Mortgage and Housing Corporation (CMHC) called me and invited me to meet with a Church Group in Castlegar that was having a difficult time in initiating a Low Cost Housing Project with the grant that they had received. The short story is that I was able to establish budgets within the grant and tendering resulted in the project ready to begin.
An information picket line was established on the street with two Picketers from revolving unions, changing every two hours. The Concrete Supplier was issued a letter from the Teamsters that the project was blacklisted and that his unionized personnel could not cross the picket line. The supplier provided a copy of the letter to me.
The ICBA was made aware by a retired Judge, that “Watching a besetting a private site along with preventing normal business to be transacted is a violation of the Criminal Code of Canada” and were provided a copy of the section of the Code.
I immediately requested assistance from an ICBA member who began arranging a cement silo and a concrete mixing truck to move onto the Castlegar site. I already had a subcontractor who had equipment onsite that could provide lifting as well as supply aggregate for an alternate concrete supply.
To test out the advice provided to ICBA, I decided to approach the Picketers (some of which were familiar to me) and along with a witness asked these questions:
- “Who do you represent?”
- “What is your name?”
- “Where do you live?”
- “What is your purpose here?”
The answer from both Picketers was the same, “we do not have to answer that!”
I would respond with, “so I have it correct, you do not know who you represent, you do not know your name nor where you live and lastly, you do not know why you are here, correct?”
I interviewed about 6 sets of Picketers and different unions each time as I knew the people with the same results.
I then went to the local RCMP in Castlegar and asked to meet the Staff Sargent (SS) to advise him that according to section ___ of the Criminal Code of Canada (CCoC), my site was being violated and showed him the letter from the Concrete Supplier where he was directed not to supply concrete, to prove same.
The SS advised me that It was a labor matter and that he could not get involved.
I then called the Regional Office of the RCMP and asked to speak with the Commanding Officer. I quoted the section of the CCoC and that the situation on my site was being violated by people unidentifiable. He shouted at me that I should never quote sections of the CCoC as that was the job of the RCMP. I responded politely “that is why I am calling you!”
“Go to the Castlegar RCMP Detachment with your issue!” he was not polite at this time.
“I just came from there,” I replied.
“I am directing you to go there right now'” he shouted and was still being impolite.
So I did go back to see the SS at the Castlegar detachment and he took me to a private office with the precaution that he had unionized staff at work. “I cannot do anything as you have a labour dispute that is outside the boundaries of the RCMP,” he confided.
“But, I must advise you, sir, that all my employees are on the other side of the information picket and as I already indicated to you, those on the picket do not identify themselves and so I am being ‘watched and beset, on my place of business and I am not able to get some supplies'”, I responded.
Nothing happened.
So that was the crux of the matter, I was able to obtain concrete, successfully construct the project, on time and on budget thanks to ICBA support.
The picket line disappeared after a few days…….
Incident #12
Expo ’86 was in the planning stages and the ICBA was asked to comment on the International Unions recommendation that construction be ‘union only’. The suggestion was that the Open Shop could not supply the required skilled labour for such a massive project. The question to ICBA was ‘could the open shop sector provide the bonding capacity for a project just under $400 million. The response was affirmative and tat up to just under twice that amount was readily available.
Although I was part of the discussion, I discounted the possibility of being involved as Verigin was satisfied with the market on the East side of the Okanagan.
It was a surprise when I had a call from another ICBA firm that there seemed to be a lack of response from Open Shop Contractors to the initial tendering call and that we needed to add strength in that area. The invitation was to join forces and tender on the Erection of the International Pavilions.
The decision had to be made immediately as the closing time for tenders was within two weeks. Verigin decided to undertake the challenge as suitable work did not seem to be forthcoming in the Kootenays.
I will skip the details of company formation, tendering and consideration for award to the second from low which was our tender, and go the organized labour reaction. Simply stated, the union firms already on site would have their workers walk off the Expo ’86 site upon entry of an Open Shop competitor.
I had several interviews with TV Stations who were poised for a union confrontation which was obvious that they were well informed.
Expo ’86 took the position to send out letter to the Union Contractors advising them that any such walk out would result in calling in the Performance Bonds and the projects being retendered.
And so it was we moved in on site in the afternoon, the unions crews walked off but were back at work the next day when their Contractors advised them of the consequences.
Again, the short story was that we have an obligation to perform and this we did completing on time and budget.
Incident #13
We were invited to tender the Overwightea Five Acre Warehouse at Langley. Everything went well until a 250 Ton Crane was required to erect the concrete wall panels constructed on site. Cranes of this size are not readily available and so a unionized contractor brought his 250 Ton crane on site. This immediately was responded by over 200 unionized workers forming a picket line preventing the Crane Operator for performing his duties.
Action taken was to order an Open Shop Crane from Edmonton to replace the Union Crane.
The picket line would be best removed and a ‘Cease and Desist’ order was issued by the Supreme Court. This order was urinated upon when delivered to the picket line which caused the Supreme Court Judge to react. Two bus loads of RCMP showed up on site and marched to the picket line and requested that the line break as ordered by the Supreme Court.
Resistance was met with repercussion as the RCMP started finger printing the nearby Picketers. The picket line broke and dispersed.
I was personally disappointed that this incident had to happen on my project; however, there seemed no reasonable other method to resolve the impasse.
The project got completed.
Incident #14
I left the active General Contracting business in 1993 and thought all this organized labour matters would also cease and I concentrated on offering my talents to not for profit charitable societies and began developing a 204 acre site at Whatshan Lake near Edgewood, B.C., to facilitate, in part, drug and alcohol treatment. Those interested may visit http://www.whatshan.com to understand more about what takes place on that site.
The idea arose that construction could continue with donations and volunteers but that we would encourage schools to offer apprenticeship as part of the final year curriculum. With a great deal of effort on the part of the J. Lloyd Crowe High School in Trail, The ICBA and the Whatshan Lake Retreat, fifteen (15) Carpentry Apprentices prefabricated one (1) cabin at the school and then came to the site to erect same and construct four (4) more. This included a Shower and Washroom building.
The Society provided two (2) retired Union Carpenters and one Open Shop Carpenter to provide on site supervision and instruction. The Apprentices were paid the required pay scale and Contractors came on site to interview and hire these Apprentices after eight (8) weeks on site.
I received a call from CKNW Reporter who alleged that a Business Agent accused me of not paying the Apprentices nor providing and meaningful carpentry instruction. My reaction was that I was not aware of any such complaint and that I had no comment.
The ICBA called me shortly after and took issue with the fact that their founding President was accused of such depredations notwithstanding the insult to the Union Superintendents that provided instruction ion site.
The result was that the Union was sued for damages with the result that they needed to pay me $5,000 in damages and announce publicly an apology.
Upon receipt of the $5,000, I instructed the Treasurer to deposit same in the General Account and issue a letter of thanks a charitable tax receipt to the Union.
Completed an unedited version February 05, 2020, 1500 hours by EWV
This blog is intended only for the reading pleasure of my Blog Users. Any reference to any company or individual is coincidental. In the opinion of the Writer, the above is all true and I have no detrimental feelings to any firm nor person.
This blog requires editing (EWV)
Elmer Verigin 