CONTENTdm
[The Labor Statesman]
BC Historical Newspapers
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H> THE LABOUR STATESMAN R E C«E 1 V ED I ■ LI _ ■ t . 1969 11 Vol. 45, No. 2 VANCOUVER, B.C. FEBRUARY, 1969. 15 Cents The Federation and Bill 33 The policy of the B.C. Federation of Labour with respect to Bill 33 and the Mediation Commission is that all unions refuse, to participate In proceedings under the Act beyond the voluntary mediation officer stage as long as the compulsory arbitration and other objectionable features remain in the legislation. This policy was arrived at after thorough discussion and consideration over a lengthy period of time. The policy resolution submitted to the convention had the unanimous approval of the Federation's 16-man Executive Council and was subsequently referred to the Federation's annual convention in November, where it was unanimously adopted by the 500 delegates in attendance. The reasoning behind the Federation's policy of refusing to go before the Mediation Commission is that nothing must be done which would sanctify the Commission and Its compulsory arbitration features. It is obvious that, If unions were to go before the Commission, such appearances would add credence and stature to the Commission, something it has failed to achieve on its own. The question of appearing before the Commission was considered, but was discarded as it is clear that such an approach is fraught wtih danger. It is probable, particularly In light of the politics that have thus far been used by the Commission, that the first few Commission decisions would be arrived at so as to be acceptable to the unions and their membership. It is also quite possible that, if the employer rejected the decision or award, the union involved and labour generally would be tempted to criticize the employer for his actions. Such a situation would place the labour movement in an embarrassing, if not intolerable, position. It would be Impossible for labour to complain or rally support when the situation reversed itself and the union members ected an award. •Ftwet-atlcfn policy, If adhered to, will unite all of labour in its attack on the legislation and the threat of compulsory arbitration. On the other hand, if a union were to go before the Commission and reject an award, such action would tend to divide labour rather than unite it. The union Involved could well find Itself isolated while the rest of the labour movement argued the merits of the "award" — some arguing that the union was wrong in rejecting this particular offer at this particular time. The Federation's strategy has been to expose the whole setup of the 3-man Commission as biased and incompetent and has allowed the labour movement to be critical of every anti- labour move the Commission makes. The appointment of a judge as chairman, the abrupt resignation of the employers' representative, the appointment of trade unionists condemned as turncoats, have had an extremely damaging effect on the Commission's credibility and stature. The Federation recognized that to appear before the Commission even under protest would be to recognize it, thereby weakening labour's strategy of rendering the Commission ineffective. At this point, any hope of forcing the government to review its position would be lost. >■ It is not the Intention of the Federation's policy to deprive any union or its members of their right to decide their own destiny. The Federation's policy is intended, however, to provide the kind of leadership that will encourage the elected representatives and their members to fight compulsory arbitration. It would allow the membership to decide the issue on the principle of opposition to "compulsory arbitration" and not on the merit or lack of merit of the award itself. The Federation policy, If adhered to, ensures that compulsory arbitration will not be introduced, in B.C. even, through the back door. r-r] *p> *■■■ ■ &%\ 7_K Citizenship Ca...|jciign: Carter Tax Reforms Needed in Canada Now Citizenship Month this year deals with a subject of concern to everyone. Taxation is the subject and, throughout February the Canadian Labour Congress and its affiliates will be conducting a program of action and education on Canada's taxation laws and some of the necessary revisions. CARTER REPORT The main focus of attention * will be on the recommendations of the Carter Royal Commission which called for a complete overhaul of our tax structure, calling it "unjust" and "inefficient." Through a greater understanding of the importance of the Carter recommendations, it is hoped that public pressure will increase on the Federal Government to take action in line with the recommendations to reform our tax structure. VARIED PROGRAM A varied program has been planned, involving federations, labour councils and local unions. Leaflets and other educational material have been produced, rosters of speakers arranged. Briefs to Government and Members of Parliament will outline labour's reasons for wanting action to implement Carter's recommendations. THE COMMISSION After a four and one-half year study and work by a six member commission, aided by a research staff which at one time numbered 150 lawyers, accountants and economists and at a cost of over $3,500,000, the Carter Commission produced a report contained in six volumes of 2,600 pages with hundreds of conclusions and recommendations. CANADA'S PRESENT TAX SYSTEM The Commission levelled these criticisms against Canada's existing tax system: 1. It does not afford fair treatment for all Canadians. People in essentially similar circumstances do not pay the same taxes. People in essentially different circumstances do not bear appropriately different tax burdens. B.C. Tomorrow1 A Great Series A visit to Delano. Rev. Robert Christie reports on the factfinding visit to Delano by Fr. Michael Ryan and himself on pages 6 and 7. One of the most successful .end exciting series of panel discussions in years is currently underway sponsored by the B.C. New Democratic Party. Entitled B. C. Tomorrow, the series of eight weekly programs is being held on Monday evenings in the Unitarian Church, 49th and Oak in Vancouver. More than 150 persons attended the first of the series on January 13. Howard Paish of tbe B.C. Wildlife Federation. MLA Bob Williams, and Hugh Clifford of the West Vancouver Rod and Gun Club were the panelists discussing Tomorrow's Environment On January 20 former School Trustee Betsy McDonald, Charles Ovans, Secretary of the B.C. Teachers' Federation; James Carter, principal of Point Grey Secondary School, and MLA Eileen Dailly led nearly 200 people in a discussion Education Without End. Forthcoming programs include Culture in B.C., Is Anyone Listening, Social Democracy—Hindrance to Social Change, World Order or National Autonomy and The Challenge of Asia. Outstanding speakers are featured on each panel. Tickets and further Information can be obtained from the New Democratic Party, 879-4684. 2. Canadians are less well off than they could be because there are fewer goods and services available than could be achieved with the more efficient use of labour, capital and natural resources. The present tax system has contributed to this situation. 3. Compliance and collection costs have been needlessly raised by duplication in federal, and provincial administrations. Federal tax administration is not sufficiently shielded from politi- Another blow to Social Credit Jim Lorimer, 45 year old lawyer, more than doubled the Socred vote in winning the Burn- aby-Willingdon by-election. A strong organization, headed by Michael Lewis, enabled the NDP to capitalize on declining Socred support cal Influence, and is too centralized for efficiency and convenience. 4. The fiscal system has not been used as effectively as it could have been used to maintain full employment, contain inflation, and encourage Canadian ownership and control of Canadian industry. COMMISSION'S RECOMMENDATIONS • The Commission stated: "We therefore recommend many fundamental changes which, If' adopted, would produce a complete transformation and, we believe, result in greater equity and efficiency." Some of the Commission's proposals In brief: —The ability-to-pay principle would be reflected In a new "comprehensive tax base" that would Include, for tax purposes, all net gains in purchasing power, including capital gains and windfalls and many other forms of real Income that are now tax-exempt. —Rates of personal income tax would be greatly reduced. Instead of today's easily avoided eighty per cent the top rate would be fifty per cent. However, as many persons have substantial income which now Is untaxed, they would pay higher taxes despite the .lower rates. ' But those who rely mainly on wages and salaries would pay" less. A number of existing deductions would be replaced, by tax credits, more valuable for low income families. All told, (Continued on page 2) Profits Not Wages Causing It could be "profit-push" and not "wage-push," says Wall Street Journal columnist Alfred L. Malabre Jr., discussing the current Inflation. He notes, "Any attempt to fix blame for today's inflation shouldn't be limited simply to a consideration of labour costs. A major culprit may be corporate profits." In the past 20 years there have been three distinct periods in which factory prices climbed substantially over a prolonged period, he notes. "In each instance, labour costs per unit of factory output were DECLINING when the price climb began — and these costs continued to decline for a considerable period after the price rise was under way. In each case corporate profits began to Increase sharply well BEFORE the price climb started." Peter L. Bernstein, president of Bernstein-Macaulay Inc., a leading Investment counselling service, said: "Instead of labour costs pushing prices up, what we see instead is a sort of profit- push. Profits are already well on their way up before prices begin to rise, and prices are well on their way up before wages begin to rise faster than output." Malabre said: "Some analysts say the postwar economic record suggests a chain of events that runs something like this: Profits begin to climb, first through the Impact of better machinery and work methods on unit labour costs, and then through higher prices; the rising profits finally prompt labour to attempt to 'catch up' by seeking sharply higher pay; ultimately, unit labour costs begin to rise, too, giving inflation a further push." Figures show these tendencies in the three periods noted above — during the Korean War, later In 1955-57, and In the present substantial uplift of factory prices. He notes that lack of competition and basic monopoly characteristics of the economy tend to push up prices regardless of the trend in unit labour costs. As many economists have "admitted, there is very little price competition in some industries. So monopoly prices prevail regardless of the rise or fall of unit labour costs. i> X '-Z . —LABOUR RESEARCH A THE LABOUR STATESMAN February, 19*9 Welfare: No Easy Answer THELMA CARTWRIGHT (CPA) The Federal Government has begun to study a task force report on welfare programs. The report, it is believed, suggests some sweeping changes in existing welfare schemes—family allowances, old age pensions and so on. Among the suggestions being put forward are fhe abolition of the baby bonus in favour of a negative income tax and the replacing of other welfare payments by a guaranteed income. ^ What the Federal Government is after is better' value for its welfare dollar. In spite of the existing programs we have still made little impact on the problem of poverty in Canada. No one would argue that we shouldn't examine the assumptions on which our present welfare programs are based. And no one would argue that we have done enough for the poor and underprivileged in Canada. Far from it. CONSIDER CAREFULLY However, before we abandon scliemes that have provided at least minimal relief for many people, we should consider very carefully what we are getting into in the way of new proposals, and what the new rules of the game are going to be. Let's take the proposal for a guaranteed minimum income. I have never been impressed with this scheme. Apart from the many technical problems it will pose, (such as how and when and on what terms payments would be made) it also raises in my mind the spectre of the old "means test" with its attendant Indignities and red tape. MILLIONAIRES BENEFIT Those who argue "unified" welfare, argue that money is thrown away by governments when they make transfer payments to people with adequate Incomes. Millionaires benefit from the baby bonus and old age. pensions as much as the poor. This is true, of course, except that the income tax is there to take the money back again. The alternative to general welfare pavments Is selective welfare and we all know what that means. I, personally, know of one person who never collected the old age pension (though in need of it) during the time It required a means test because of the indignities it involved. We want no return to this kind of "selective" welfare. HUMAN CONSEQUENCES I am willing to be convinced by a guaranteed income scheme but I will remain skeptical until - the details are presented and can be analyzed for their "human" Consequences. I am not Interested in the Federal Government's bookkeeping problems. Perhaps what the Federal Government should examine, before It begins to "rationalize" its present programs, are the Inadequacies of the present welfare set-up in Canada. We are still a long way from having a satisfactory medicare plan In this country. We are still a long way from providing free education for all our citizens. We are still a long way from providing adequate housing for lower income groups, or for middle income groups for that matter. OVERALL PROGRAM Perhaps when we have solved some of these problems we can begin to look at the mechanics of our overall program. We should beware of glib formulas for solving our problems. There is no' magic shibboleth that will vanquish our economic * and social ills. If we are ever to achieve the "just society" in Canada it will be because we are determined to get It and because we are absolutely sincere in wanting it We will have to attack our problems with all the sophistication and earnestness that their complexities warrant. It requires nothing less than a massive redistribution of wealth In all Its forms, and the complete redirection of bur social and economic objectives. Citizenship Campaign Carter Reccomendations (Continued from page 1) an estimated forty-six per cent of the country's 7,000,000 taxpayers would get income cuts of more than fifteen per cent under the new system. — ... The present excise taxes on some so-called luxury goods would be eliminated. The net result-would be an average drop of about ten per cent in federal sales tax paid by families withj ncomes of below $10,0QQr^ —Inefficient concession to industry would be abolished. This would mean the end of the present three-year income tax exemption for new mines, and of depletion allowances now granted to both the mining and petroleum industries. While the smaller companies would be little affected, the taxes collected from a few large companies would Increase sharply. —An employee's expenses in earning his income would be recognized for tax purposes, just as business expenses are. He would be able to claim actual expenses (but not those for com- muting), or could claim an-optional standard deduction of three per cent of his income up to a limit of $500. Special tax credits would-fag given to working mothers. RESULTS OF CHANGES Based on the 1964 income tax '•.rate, these would have been,the changes: Corporation income tax would have been increased by $532,- 000,000. Personal income tax would have been reduced by $42,000,000. Gift and estate taxes would have been reduced by $143,000,000. Sales tax would have been reduced by $125,000,000. Showing a net gain In general revenue of $222,000,000. The Commission believes that taxe-, to be equitable, should be allocated according to the -bility to pay. This requires that individuals and families pay taxes that are proportionate to, their discretionary economic power. And this in turn is defined as the power to command goods and services for personal use after meeting personal and f; niily obligations and responsibilities. "If a man obtains increased command over goods and services for his personal satisfaction we do not believe it matters, -from the point of view of taxation, whether he earned it through working, made it by selling property or was given It by a relative." The adoption of the comprehensive tax base can be looked upon as part of the price paid for a general reduction In tax rates. Most employees already are taxed on a base that Is even broader than the comprehensive tax base as the Commission would define it. The most contentious addition to the tax base would be realized capital gains. "A dollar gained through the sale of a share, bond, or piece of real estate bestows exactly the same economic power as a dollar gained through employment or operating a business . . . The equity principles we hold dictate that both should be taxed in exactly the same way. To tax the gain on the disposal of property more lightly than other kinds of gains or not at all would be grossly unfair" CANADIAN LABOUR CONGRESS The Canadian Labour Congress in its representations to the government on. October 31st, 1967 has made -it clear that while it strongly endorses the basic principles advanced in the Carter Report, there are some points on which it holds reservations. ... ** But the reservations which the Canadian Labour Congress holds are definitely secondary to the fundamental principle of support for the Commission's recommendations. IF YOU ARE AN ORDINARY WAGE OR SALARY EARNER THEN THE CARTER REPORT IS FOR YOU. IVIaA--VI_ & 9_l*lt>s Meet your ideal date or mate! Become a menfber and receive our superior personalized dating service. Send one dollar for your lifetime enrollment, complete details and interesting offers. Don't delay — write today. ___ North America's largest and most respected computerized "*• people-matching service. Meet - a - Match Program Tom Deugau, Director 3639 West 2nd Avenue Vancouver 8, B.C. BROADWAY PRINTERS LIMITED printers and lithographers since 1911 IIS EAST 8th AVENUE VANCOUVER 10, B.C. Telephone 876-2101 Gentle On My Mind — A Planner's Lament (with apologies to John Hartford and Glen Campbell) It's knowing that the Master Plan's for guidance can always be amended, That keeps each hungry agent's sleeping bag rolled up and stashed by Council's door. And it's knowing I'm not shackled by some blue backed zoning by-law, that somebody wrote because the thought he ought to. That keeps the Planner moving on the backroads of my memory, vaguely lucid, ever gentle on my mind. Though the front yards and the rear yards and side yards and the junk yards come between us, And some Alderman sits crying 'cos he turned around and found his high-rise gone; And Its knowing that two one-way streets are merging into chaos at some half-forgotten two-lane intersection, That keeps the Planner talking to his beagle, In rhubarb, never constant, Ever gentle on my mind. There's renewal, F.P. Housing, and the Paint-Up, and the Fix-Up need approval; While some City Father's tried and whipped in effigy for working with clean feet; It's just knowing that there's telephones, and flowers, and the' soap suds and some Hippies In the fountain on the square, That keeps the Planner, humming crazy folk songs in the shadows, seldom sober, Ever gentle on my mind. from Community Planning in B.C. •¥ Guaranteed Annual Wage Principle Established MONTREAL (CPA) — The establishment of the principle of the guaranteed annual wage for mill workers in Eastern Canada was a major highlight of a successful year^for the union, according to L. H. Lorrain, Canadian Director, International Brotherhood of Pulp, Sulphite and Paper Mill Workers. Mr. Lorrain stressed that what the union accomplished was only a beginning toward what should eventually work out to be a fullscale guaranteed annual wage for the men and women In the industry. The start towards a guaranteed wage has come in the form L. H. LORRAIN of company contributions to a new fund which will be administered jointly by the union and management. Payments will be made from the fund to augment the sickness and accident benefits of workers, thus ensuring that they will not lose wages. The plan was negotiated in all major contracts In Quebec and the Atlantic provinces this year and Mr. Lorrain said he expects similar plans will be negotiated in the next round of talks in Ontario and British Columbia. Most of the new labor agreements provide for wage increases over two years amounting to 35 cents per hour or about $14 per week on a weekly salary basis. This amounts to an annual gain of approximately seven per cent. In addition there were significant improvements in pension benefits, indemnity benefits, holidays and vacation plans. Another important step forward for the union was a very significant development In the new structure of the International. A report by the special Canadian Identity Committee of the International was adopted in its entirety at the union's 1968 convention. The report formally assigns responsibility for administration of the union's affairs in Canada to the Canadian Director. i INSURANCE Extra benefits Fast claims service CO-OPERATIVE INSURANCE 8ERVICE8 co-oh.mi-i lift ixsun.net com. tar • ca .rta.ti.i mm t c.simir commit YOUR COOP INSURANCE REPRESENTATIVE B.C. BRANCH, 96 E. BROADWAY, VANCOUVER, TR. 2-7464. OTHER OFFICES: VICTORIA, DUNCAN, NANAIMO. PORT ALBERNI, PARKSVILLE. CAMPBELL RIVER, LAN<_LEY, MISSION, CHILLIWACK, WILLIAMS LAKE, PRINCE GEORGE, DAWSON CREEK, PORT ST. JOHN, TERRACE and PRINCE RUPERT. ■ February, 1969 •$*&. S, THE LABOUR STATESMAN Massive Education Campaign Needed ED FINN (Last of three articles) Let's go to the central theme of this conference. "A Socialist Perspective for Canada—Tactics and Strategy", as applied to the labour movement and to the prospects for NDP activity within the unions. , It should be obvious from my rather bleak assessment of the prevailing mood within the labour movement that a tremendous revltalizatlon of social unionism Is urgently needed. I do think that there is a meaningful role the NDP could play in such a rejuvenation, but I will not delude you Into thinking it would be easy or that quick results would be assured. EDUCATIONAL CAMPAIGN At the risk of repeating what has been said many times before, what is needed, basically, is an educational campaign. The reason most workers today insist that their unions concentrate exclusively on their bargaining and servicing function Is because nobody has succeeded In showing them the connection between the legislative and the economic facts of life. ED FINN They fail to see that political decisions affect their standard of living as much as decisions made in wage negotiations. The connection may seem self-evident to us, but it is not appar- rent to the majority of working people. WILL RESPOND When the effect of political acts on their welfare is demonstrated to them, they will respond favourably. The most graphic recent example was provided in the last provincial election In Ontario. Prior to that election, the excessive use of court injunctions in labour disputes had been an explosive issue, culminating in the imposition of jail sentences on several union officials. The NDP, with massive assistance from organized labour, seized upon this issue to build strong support for our candidates in the idustrlalized areas of Ontario; and many observers credit the Injunction campaign as the main contributing factor to the two NDP victories In Windsor, and those in Hamilton, Oshawa, Brantford and Peterborough. JAILED LEADER Indeed, one of the jailed union leaders, Clifford Pilkey, was one of the successful NDP candidates. Granted, this was an easily dramatized issue, complete with a number of labour martyrs. The adverse effect of injunctions in limiting picketing and thus imperilling the success of a strike is perhaps more obvious to the average worker than the effect of some of the more indirect political decisions on his welfare. Nevertheless, the use of the Injunction issue to educate workers politically and win their active support for the NDP is proof that it can be done, if less easily, on a wider range of Issues. DEVISE METHODS I leave it to you to devise specific methods. I would suggest seeking the co-operation of the district labour councils in reaching young workers personally or with appropriate literature. Perhaps some unions would allow you to Insert educational and promotional material In their journals, and even give you mailing lists of their members under 30 years of age. My only advice to you, insofar as your literature is concerned, is that it start out simply, at the most elementary level, and that it avoid excessively agitational or pejorative terminology. GRADUALIST APPROACH A gradualist approach, I am convinced, is essential, even though It promises no immediate spectacular breakthroughs. This does not preclude, of course, sharp and hard-hitting exploitation of specific Issues that may arise from time to time, along the lines of the injunction issue in the Ontario election. As a secondary objective, you might try to do something about the dearth of trade union education in the high schools. This may seem unnconnected with your role as NDYers, but I think there's a Connection. High school graduates who enter the labour force with some knowledge of union history and accomplishments will be more inclined to the militant stance and more receptive to NDY overtures. JOIN WORKERS One of the questions I was asked by Ken Novakowski was whether NDYers shoujd join workers on the picket lines during strikes. I think this., would be a big help in winning the confidence of union members, of establishing a greater rapport with them. The students in Quebec are doing this on a large scale, and my Impression is that it has been instrumental in forging very close ties between the younger workers In that province and the student activists. I don't see why similar results couldn't be obtained through • NDY participation in strikes In English Canada. ADMIRE YOUTH _ .-,-- £ Let me say, in closing, that, unlike many others of my generation, I admire today's youth in general, and NDYers in particular. I admire your refusal to accept unquestionlngly the traditions and shibboleths of a bygone era, and your determination to fashion new attitudes, new policies, new methods more suited to a rapidly changing world. If Canada is ever to become the kind of country we would like it to be, you are the people who will make it so. If, in the process, you can help to revitalize the labour movement as well, so much ihe better. Just remember that time is on your side, and don't expect to work wonders overnight. You have my best wishes, and any assistance I can give you,, in the very worthwhile task you have set yourselves. I Cover the Labour Front MARK EMARY More than 1,200,000 members of USWA (14,000 In B.C.") will be asked on February 11th to vote for one of two candidates for international president. Incumbent I. W. Abel (initials IWA) is being challenged by Emil Narick, a lawyer on the International headquarters staff. Narick is charging Abel with not sticking closely enough to home and taking on too many outside appointments to the detriment of the Steelworkers' membership. Abel has been active in the whole broad area of labour's social programme, but, as often happens, in so doing leaves an opening for aspiring candidates to zero In on. Ironically, it was Abel who, in the last election (elections are held every four years), defeated David J. MacDonald for the presidency. The Canadian vote was instrumental in deciding the outcome of that close contest. * * * A recent consumer co-op meeting held to discuss ways of improving the store's food service were on the subject of how to solve the tricky problem of ensuring that fresh meat was always available for the customer. The chairman of the meeting inadvertently stated, "Now you've opened up a real can of worms." * * • Al Fotheringham, who Is presently writing in the spot vacated by Denny Boyd and before him Jack Wasserman, can be real hard-hitting. His comments on Campbell and other local politicians have been real tirades. So much so that he has been referred to as "Frothing Ham" at city hall. Regardless, we're glad someone gets angry about the antics at city hall. * • • Justifying Bill 33 and compulsory arbitration has not been easy for the government and management types. In the meeting between Federation officers and Labour Minister Peterson and Deputy Minister Sands, the situation was no different. Mr. Peterson cited a hypothetical situation where a hospital had burned down and, with construction now under way, a strike of construction workers was evident. "What about the public inteerst?" asked the Minister. "What kind of legislation were you thinking of to prevent the fire?" replied the* Federation. • • • No wonder the Socreds don't want a provincial Hansard. Ottawa's Hansard was recently very illuminating. An opposition member looking at the expenditures of the Department of National Defence asked, "How is it possible to explain 57 million for ammunition and bombs?" "We dump them in the Atlantic and Pacific Oceans," was the gist of: the reply. Some wise guy says it's not the ammunition and bombs we dump; it's the taxpayers' money. [ • • '-* The recent "Economic. Outlook Conference" sponsored by the Social Credit government heard speakers from management, university and the Department of Trade and Industry on the future of B.C.'s economy. As the 2-day conference was about to end, B.C. Federation of Labour Secretary- Treasurer Ray Haynes asked for the floor. He pointed out that for two days 30 speakers had dealt with various aspects of B.C.'s economic future, with no one presenting labour's viewpoint. "This is an unfortunate omission. It is possible that labour and maangement in this province are heading on a collision course. That could change some of the forecasts made here about our prospects. In any case labour is too important a factor to be left out of discussions of this kind," he said. He was loudly applauded, much to the embarrassment of the Minister of Trade and Industry Waldo Skillings who was heading up the conference. ■ •' % * Highlight of the NDP's Burnaby-Willingdon election night victory celebration was the appearance of "Berger" buttons on. the lapels of the majority of the crowd present? • * * Quote Of the month: "The Social Credit Government is like a ship* at sea — it toots loudest when it's in a fog." C.L.C. Conference Looks at Human Rights in Canada Denis Coupland, C.L.C. Assistant Research Director, George Blackburn, Director of the Fair Employment Practices Branch of the federal Department of Labour, Professor John Humphreys, Chairman of the Canadian Commission on Human Rights, Bert Hepworth, C.L.C. Director of International Affairs and Alan BorOvoy were featured speakers at the C.L.C. Conference on Human Rights Legislation in Canada. The speakers covered existing civil rights legislation in Canada, the need for stronger legislation, the significance of the U.N. Declaration of Human Rights and the role of the International Confederation of Free Trade Unions. The plight of Native Indians and Eskimos, the existence of discriminatory practices and the denial, of trade unionists rights were stressed by various speakers. The need for more vigorous enforcement of existing legislation was the subject of frequent comment. Chairman of the conference was Gerard Rancourt, Executive Vice-President of the C.L.C. Attending as a delegate from the B.C. Federation of Labour was Bill Giesbrecht, a long-time ''member of the Federation's Human Rights Committee. ..give yourself a LUCKY break ^_Ki:u©if* This advertisement is not published or displayed by the Liquor Control Board or by tha Government of British Columbia. THE LABOUR STATESMAN February, 1969 THE LABOUR STATESMAN Published monthly by the B.C. FEDERATION OF LABOUR, ant) distributed throughout British Columbia to members of more than 200 affiliated unions by computerized Mailing List. Editorial Board: E. T. Staley J. Moore G. Johnston I. Guy D. Crabbe D. Dunphy R. C. Haynes Editor-. Clive Lytle Enauiriet and circulation: Write to The labour Statesman, 5)7 Eatt Broadway, . Vancouver 10, B.C. (879-3568) Advertising; Elizabeth Spencer Associates Authorized aa second data mail, Post Offlce Dept., Ottawa, and for payment of postage in cash. THIS PRINTING: 66,000 COPIES, attested by Publiaher'a sworn statement lodged with "CANADIAN ADVERTISING" Mergers and Unity For several years B.C. Federation of Labour conventions have repeatedly supported two particular policies. On the one hand delegates have called for rationalization of trade union structure in Canada. Mergers of unions into larger and more powerful units have been urged. Those mergers which have occurred have been hailed as significant advances in strengthening the Canadian trade union movement. On the other hand, we have repeatedly adopted resolutions calling for efforts to be made to bring those unions outside the Canadian Labour Congress and the Federation into affiliation. Again our principal reason has been to strengthen the labour movement so that we are better able to represent the Interests of Canadian workers. Because of the importance of both of these objectives, it is important that both are pursued without one offsetting the other. For this reason we favour the policy of the Canadian Labour Congress which provides that major unions outside the Congress and the Federation, such as the United Fishermen and Allied Workers Union, should enter the Congress and Federation through a merger with a union affiliated to these bodies. In this way we can be sure that we are building a larger and stronger union, rather than simply adding to the excessive number of fractionalized units. For some time a possible merger of the United Packinghouse Workers and the Fishermen's Union has been under discussion. In the meantime the Packinghouse Workers and the Meat Cutters have merged. Addition of the UFAWU would create a very large and strong union. It is to be hoped that the Fishermen's Union, the CLC and other Unions in related fields will actively pursue that possibility of a merger which would bring the members of the UFAWU into the Congress in this positive fashion at the earliest possible date. It's Your Story The Federation's appointment of a Director of Public Relations is a recognition of the fact that we must, in this age of mass communication, get Labour's story across to the public. Nobody else will do it lor us. Neither mass media nor non- labour organizations will go out of their way to make sure the public understands what we are doing and why we are doing it. To ensure that we have a properly informed public requires the co-operation of every local union, every officer and every member. If we believe our cause is just, if X believe we are doing work that is worthwhile, then we must make the effort to make sure that pur case is heard. In other words we must all contribute to better public relations for the trade union movement. How? Well every local union obtains collective agreements which provide improved working conditions, every local union wins justice for individual members through grievance procedures, every local union through Its members contributes to various community activities, every local union has members who achieve distinction for special efforts or talents of various kinds. Let's make sure the public hears about these things as well as hearing about strikes and disputes. By making sure that at least some of your officers learn, through Federation or CLC schools, the fundamentals of public relations and by making use of the Federation's assistance, you can contribute to creating a better public understanding of our goals and our day by day efforts. Take time to tell your storv. Troubled Campuses Our universities in British Columbia, as elsewhere in Canada, are undergoing a time of great difficulty. Since our tax dollars contribute substantially to the maintenance of our universities and since the performance of our universities is vitally important to Canada's future, it is essential that the labour movement concern itself with our troubled campuses. The latest chapter in the continuing crisis was the resignation of Dr. Kenneth Hare as President of the University of British Columbia. It is important to note that Dr. Hare, in expressing tbe frustration which led to his resignation, went out of his way to emphasize that student unrest was not a contributing factor. It is perhaps unfair to read between the tines of Dr. Hare's statement; however, it appears that tbe principal cause of frustration was the failure of the Provincial Government to ensure that the University obtained necessary finances and the failure of the public to demand action in this regard. Financial problems are just one of the causes of student, faculty and administrative dissatisfaction with our universities. The inability of our monster campuses to provide an opportunity for young people to learn to think has been a major cause of dissatisfaction. Degree factories are not good enough. One important step in dealing with the problems of our universities is to recognize that they are a concern of the entire community and, therefore, to ensure that the Boards of Governors are representative of the entire community, including labour, management, students, faculty, and other interested groups. Until this step is taken, we doubt if we will see much progress toward solving the problems of our troubled campuses. Proposed shape for Paris Conference Table Graysn_i.li in tbe San Francisco Chronicle Horace Smerch Strikes Again An Imaginary Look at an Unbelievable Government PHYLLIS YOUNG Horace P. Smerch, the provincial government's top trouble-shooter, had been seconded to the Department of Mines which had found itself deep In the glue over the Kaiser Coal strip-mining operation. Smerch was considered the best man for the job due to his expertise in mining matters. As a mining stock promoter he had sold millions of dollars of moose pasture to gullible Americans until the Security Exchange Commission terminated his career abruptly. "Charlie," Smerch said to his aide, "We've got to find some way to beat down this public uproar over the coal deal. The P.M. is really worried over this one." Charlie sat up straight in his chair, "Trudeau?" "No, you nit. OUR PJM." "Oh yeh, I forgot." Charlie slouched down in his chair again and watched his boss pacing the mahogany-paneled office. Smerch continued, "We've got to get the people convinced that this is the best thing that's happened to the province since the Columbia River Treaty." "Chief," Charlie inched up a bit, "I don't think that comparison is too hot. They're still pretty miffed about it. All the benefits seem to go downstream and the electricity rates seem to go up, upstream." "Well, maybe you're right. But you know what I mean. We've got to give them a real snow job." "Chief, I think you mean a public education program." "Public Education, public relations, propaganda, call it anything you like. But you know and I know it's a snow job." "Yes sir," Charlie slid further Into the chair. Smerch strod around, the room, mumbling to himself. "What did you say, Chief?" Charlie asked. "I said, that idiot from Kaiser Coal certainly didn't help matters much when he got on TV and announced that the company was starting a PR campaign in favour of strip mining. The least he could have doen was to go ahead and keep quiet about it. He's blown the whole campaign before it's even gotten off the launch-pad. "Yeah, end how do you live down that crack by Ashby, the president of Kaiser Coal? 'Don't stir up the Indians.' Boy, people are really sore about that one, Indians and non-Indians alike." Smerch stopped his pacing and drew up his chest. "Charlie, we've got to stop being negative about this problem. We've got to be positive. Now, what have we got going for ourselves?" Smerch answered his own question. "We've got a special .committee of completely non-partisan people who have drawn up some recommendations for surfae. mining legislation. Why, I'll bet there's notT a Socred In the bunch. They're either Liberals or Conservatives. In fact, I'll bet that Yankee is even a Richard Nixon Republican. How can anyone accuse us of favoritism?" "Chief," said Charlie ruefully, "on that committee, one guy from Kaiser Coal, one is tho chiof counsel of Cominco, and you know they're planning to strip mine too, another one is the secretary of the B.C. Mining Association, one is the chief inspector of mines, one is the deputy minister of mines, and Chief, only one is a non-mining type, Dr. Hatter of the Fisheries & Wildlife section of the Dept of Conservation." "How in hell did he get on there?" "Somebody goofed, I guess." "I'll say. What does he know about mining?" "Well, I suppose maybe they were thinking that he might allay the fears of the conservationists and fishing interests. Pollution and all that." "Those pollution nuts are driving me up the wall!" Smerch began his pacing again. "Why, a little pollution never hurt anyone. It's the price you pay for progress." "Yes sir." Charlies instinctively scratched the itch he had gotten from swimming in Okanagan Lake last summer. "Anyway," continued Smerch, "the Special Committee has made an excellent recommendation. They think surface mining reclamation should be tailored to each Individual operation. Most sensible." "Funny thing, Chief, The B.C. Mining Association came out wtih the exact same idea just 4 days before the committee reported to the government." "Coincidence, lad, mere coincidence. Also, It shows bow sensible it is." "Yeah, but won't there be a lot of pressure by the companies on the government to mak° 0>e regulations as easy as possible in each one of the operations?" "That danger can never occur among honest men," Smerch said solemnly. "Yes sir," replied a chastened Charlie. Smerch paced some more and then he stopped. His eyes grew meditative and he gazed into the future. Suddenly, he slapped his hand on the desk. 'Tve got it!" he cried. "We'll use those conservationist nuts' own tool against them. They're always yelling for multiple use for land. How's this for multiple use? You know that we're filling up_a lot of valleys wtih water behind the dams W.A.C. is building. Well, we're creating some new valleys. By strip-mining!" He slapped Charlie's knee. "How's that grab you?" Charlie blinked his wonderment at his boss' ingenuity. Smerch was really swinging now. "In fact, we can create the greatest tourist attraction in North America. Another Grand Canyon! When Jftey get done ripping that coal out of that seam we'll have a gouge 8 miles long and % of a mile wide. That ought to draw 'em like files!" "Chief, I've said it before, but I'll say it again. You're a genius!" February, 1969 THE LABOUR STATESMAN Page 5 NDP Leadership... Candidates Speak Reaching For The Top TOM BERGER, MLA I believe that -the time has come for the NDP to assume the reins of power in B.C. We in the NDP have been a party of protest Our role has always been to challenge the power structure ,and the economic priorities that dominate our lives. And our protest has brought some change, because we have wrung concessions from reluctant governments. But I believe we should have the opportunity to govern, because" only in that way can we transform our society. So long as we remain in opposition, the Bennett government will keep on passing restrictive labour legislation. It was Bill 33 last- year, next year it'll be some other measure designed to limit labour's freedoms. So long as we remain in opposition, the huge corporations that dominate our economy will have it all their own way. These corporations are part of the North American industrial system. .We 'have been, throughout the History of this province, and during the Bennett years, a storehouse of energy and resources for the North American industrial machine. But the trouble with the system is that it has no place for thousands of people In this province: the old age pensioners, the unemployed, the people on welfare, the people in low wage industries and occupations, the native Indian people, all of these live outside the Industrial system. The system, doesn't require them as workers, and It doesn't require them as consumers. The Bennett government believes that private expenditure must come before public expenditure, and that private choices must come before public choices. That is why there Isn't enough housing, because governments do not believe that decent accommodation is as important as obeisance to long established priorities. We still do not provide adequate health services for those who need them most, the old, the sick and the poor. We have a dropout rate of 50% in our public school system, and a crisis In post- secondary education. The disparities In Income that exist between those wbo are educated and those who are uneducated, are bound to get worse. That is why priority must be given to public initiative and public expenditure in such fields as housing, hospitals and education. But the NDP can't be just another'Big Daddy, playing Santa Claus with the people's money. Any one who looks around the province knows that more is required than the expenditure of money. The problems of B.C. lie deeper than that, for they are the problems of affluence, of alienation and of poverty. There is resentment and disillusion among our young people, apathy among our old people, and a search for material satisfaction among countless others. It will be necessary to say that socialist priorities must replace corporate priorities. We In the NDP have to convince the electorate that our program is really going to change their lives, by opening the gates of social and economic opportunity. We can't do that except by getting around the province, by taking the message of the NDP to every part of the province. The leader of the party should be Into every city and town, into every rural community, Into every Indian village in the province. His task should be to take the NDP's message to the dispossessed and the unemployed, tbe clerk and the professional, as well as the working man. If we lay the goals of a socialist administration clearly before, the people of the province, I believe that a majority will support those goals. The trade unions have a big ' job to do. They can mobilize their membership for political action. And what is more important, with an NDP government In office, they can get on with the job of organizing the unorganized workers in B.C. The unorganized workers are still in tbe majority In this province. They are working for substandard wages and under substandard working conditions. They are, in effect, subsidizing inefficient employers. The Bennett government has placed every conceivable barrier In the way of the trade unions, when it comes to organizing the unorganized. I believe an NDP gov- • eminent should not only remove these barriers but should encourage the trade unions to organize the unorganized. This Is the historic mission of the trade unions. We in the NDP must be ready with policies for the 1970s. We must be ready to govern the province throughout the 1970s, and our task will be to make democracy work in the 1970s. But we cannot sit tight and wait for the Bennett government to crumble. We cannot simply wait upon events, we must all of us become involved in bringing about the victory of socialism here in B.C. DAVE BARRETT, MLA My reasons for standing for leadership In the B.C. section of the New Democratic Party are manifold. My decision to enter the leadership race was influenced heavily by the support and encouragement I received from caucus members and a large number of party members and activists. I am a socialist who believes that leadership in our party should derive from consultative accord. Policy direction must come from an active Involved membership with elected representatives who are charged with responsibility to effect the goals outlined by party conventions. Modern socialism must in-, volve people In choosing their goals. It must liberate the individual from conforming economic and social structures to enable each person to develop his life and give it meaning and purpose consistent with the true nature of man. The conditions of happiness under a sane government which would enable people to develop their maximum potential must Include equality of opportunity, economic security, a full education, good health care, adequate housing, and an unpolluted environment. These goals .are technologically obtainable, and a society to achieve them must concentrate on today's problems with an immediate passion. My priority of action rests therefore through a well-organized and stimulated party, which can and should be a living, moving example of cooperative effort My approach to party leadership is that the membership should be intensely involved at every level of party activity. Members should be constantly challenged and stimulated to feel their commitment to group and Individual action and activity. Leadership should be shared in a meaningful way with the utmost delegation of responsibility and authority. Ultimately this kind of participation and activity would allow people to arrive at a decisionmaking process both personally and politically, that is not based on the lesser of evils, but the greater good. The Labour Statesman invited NDP leadership candidates Tom Berger and Dave Barrett to submit statements for this issue. A third candidate, Bob Williams, was similarly invited when he subsequently entered the race. With only a few days available, however, Mr. Williams did not have time to prepare a statement. A fourth candidate, John Conway, entered the race just as this issue went to press. WORKBOOTS BY DAYTON MADE IN B.C AND JOB-TESTED TO OUTWEAR ALL OTHER WORKBOOTS ON THE MARKET. FAMOUS FOR FOOT- HUGGING COMFORT IN MINE, MILL OR CAMP. ASK FOR THEM BY NAME AT YOUJR COMMISSARY OR lOCAl RETAILER . . . AND REMEMBER - UNION-MADE JbtuftodL the name, tit Workbook DAYTON SHOE MANUFACTURING CO. (B.t) LTD. 2249-50 EAST HASTINGS STREET, VANCOUVER 6. B.C. ■ •■.-: , .-■-■. ■ .■ ."-■.„■■■ Page6 THE LABOUR STATESMAN February, 1989 Eye-witness Report On Grape Strike Ministers Visit Delano REV. ROBERT CHRISTIE The night of Sunday, December 15, 1968, was one of high winds and lashing rain as the Rev. Fr. Michael Ryan and I drove In a U Drive car from the San Francisco airport 265 miles south and east to Delano, California—site of the 39 month old strike of farm woi/kers called by the United Farm Workers Organizing Committee, headed up by Mr. Cesar Chavez. As we fin-llv pulled into town close to midnight and sought out our temporary lodging (provided by a resident clergyman) the bols- terousness of the elements around us spoke symbolically of long pent up emotions rocking this little town of approximately 14,000 souls. Three solid days and nights of union and civil rights organizers, resident clergymen, town official and Its chief law enforcement officer, a leading merchant and banker, the general manager of the local community paper, a school principal, and officials of the South Central Farmers Committee made it very clear to us that no one was Immune from the emotional stress and economic pressure brought about by strike and counter strike —and more recently, the business disruption and loss caused by the boycott of table grapes throughout the U.S.A. and Canada. THREE YEARS' CONFLICT After more than three years of often-times bitter contention that frequently bordered on (if not actually becoming) physical violence, and after a constant stream of outside investigators (official and unofficial) invading BEAT BILL 33 Make your contribution NOW To the B C Federation i.f Labour Beat Bill 33 Fund their privacy and probing for answers, _ Father Ryan and I were amazed at the people of Delano's kindly reception and generous response to our pointed enquiries pertaining to the farm workers' strike and their relationship and reaction to it. Added to this was the willingness of representatives of both sides of the dispute to travel with us in our rented car some 190 miles over highways and byways to farms and adjacent communities to see, at first hand, the vineyards and environment (including housing) in which the farm labourers spent their working and off-duty hours. WORKERS ABSENT Of real regret to us was the fact of the absence of the workers themselves from the vineyard—due to the In-between season of the year (the grape harvest having just been completed) and the inclement weather, which was delaying the pruning and tying operations on the vines. What we learned of what the field workers think of the UFWOC was derived, therefore, from others, rather than from themselves. This fact, then, must be taken into account in whatever assessment follows. COMMUNITY IN CONFLICT Our first visit was to the headquarters of the UFWOC in Delano. Much as we would have liked to have seen and talked to Cesar Chavez in person, that we were unable to do, since he was under doctor's care for a spinal disability. But we did see and talk to his lieutenants and office and legal assistants, and received from them every courtesy and co-operation. We visited the "40 acres" where their new headquarters is being erected and service center and medical clinic located. We saw the evidence of many peoples' concern and generosity in the stockpiled gifts of food and clothing, among other necessities, which had been given to them for the use of their strikers. Twice we sat down, on invitation, at the makeshift tables set up In the Filipino Hall, where the families on strike eat their meals in communal style. For most of the first afternoon we drove around the countryside and to adjacent towns, accompanied by the union's vice-president, and saw farms where strikes had taken place and "labour camps" where the workers 1 i v e d — especially during the peak harvest season. On return to Delano we visited the "office" of the union's bimonthly journal "El MaleriadO" ('The Voice of the Farm Worker") and talked to Its editorial staff. BACKGROUND 1) Starting in September 1965 there had been a series of strikes against two or more of the principal vineyard owners, carried out as a protest and pressure technique against all growers for their refusal to acknowledge and bargain collectively with the UFWOC representatives of the vineyard workers. 2) Whereas a number of the growers of wine and raisin grapes had ultimately received them and entered into union contracts, the table grape growers had unanimously rejected the UFWOC's approaches and moved to set up a series of counter ("freedom or right-to- work" organizations which they claimed more truly represented their workers. 3) The overall effect of the more than three years effort of the UFWOC had been to definitely improve the lot of the workers on the twelve or so organized farms, as well as (though to a lesser extent) those on the still unorganized, non- unionized ones. This improvement applied to wages, living conditions, general health care, and stability and security of employment. 4) Ihe strike weapon proved ineffective In most cases because of. the size of the struck farms, the use of strikebreakers by tbe growers, and the economic Inability of the UFWOC to care for large numbers of workers over an extended period of months, running into more than three years! 5) The final resort to widespread consumer co-operation through voluntary boycott of the (table grape) product In the U.S.A. and Canada. This gave rise fo cries of "illegality of this secondary boycott"—though the farm workers were not covered or protected by the National Labour Relations Act, under which such action is disallowed. Thus It became purely a voluntary consumer action, which is perfectly legal. CATERERS featuring ■*" 4 CATERING SALONS 25 TO 500 GUESTS Complete Facilities tor . . . * BUSINESS MEETINGS * DINNER DANCES PARKING FOR 150 CARS CALL 434-9171 for Complimentary Red File Folder outlining •k FACILITIES * MENUS * UNION ORCHESTRA • BAR ARRANGEMENTS Sperling & Kingsway < Burnaby 1, B.C. 6) Farm worker (single and family) housing provided by town and country authorities, or private growers on their own farms, was seen by us to be all the way from reasonably good to extremely poor. In the recent past there had been more of the latter than .the former — though action has been or Is being taken now In several areas to condemn and tear down old dilapitated row shelters and replace them with new, concrete, more serviceable and comfortable units, incorporating dining- assembly halls and washing- bathing and laundry facilities of a better type. On the average, though, the arrangements for family groups are less than ideal, and allow for little or no privacy. It is wisdom, therefore, that guides all parties to the dispute to encourage the workers (the more permanent residents among them, at least) to seek out or erect (largely under self-help schemes) their own housing accommodation. To quite some extent this is now being done—one such development project we were pleased to visit in a neighboring community to Delano. In Delano itself a goodly number of form workers live in their own (owned [?] or rented) houses which, though quite modest in size and appearance, were certainly not slum-like or woefully neglected. holds out little hope "or future for his children. 8) Household economic pres- - sure forces the children (especially the older ones) to seek employment in the fields whenever possible, alongside their parents—sometin.es to the detriment of the continuing education. Some have to serve as "baby sitters" for the younger members so as to free mother to work with father in the fields. The unseasonable time of our visit to Delano ruled -out our ability to say whether this was the rule, or the exception. We were made aware of the fact, however, that many of the workers' children were in attendance in Delano's primary, secondary and high schools (which, bv the way, are of a very advanced ___tdl well-equipped order)—and make out very well therein indeed, including attention to their bilingual problems. 9) Basic to all labour's quarrel with the table grape growers was their refusal to allow free elections among their workers to correctly and finally determine whom they want to represent them in contract negotiations. This denial of the right of working people to self determination and democratic freedom is declared by the UFWOC to be intolerable and destructive to human dignity and ground for self-betterment. 7) Wages in themselves were NOT the real issue, since the average hourly wage paid to farm workers in California — augmented frequently by incentive bonuses of so much per package or row—was considerably better than In most of the other states In the U.S.A. The real economic problem was the overall average yearly income of both single and married farm workers (especially the married ones with large families of young, add growing children). Like all other citizens, the farm worker lives by the year's returns, not just the hour. With no provision for State or Federal Unemployment Insurance benefits to alleviate the distress, such income falls almost universally below the subsistence (poverty) level, and makes the workers and their families dependent on Social Assistance for periods of each year when there Is no field work available to them. This does not contribute to a person's sense of worth or dignity, and GROWERS GUESTS A more gracious reception than that which Fr. Ryan and I received from some of the principal table grape growers in the area would be hard to conceive of! Both in their hospitality and their time placed at our disposal were they generous indeed. One youthful grower spent fully half a day with us, and took us out to his father's farm and to the former Digiorgio holdings and vacated storage plant—some of which land and all of the packing-storage facility his family group had recently purchased from the Digiorgio Corporation for their own use. To us it was abundantly apparent that these were highly capable, hard working and extremely enterprising men, whose parents and grandparents before them had hewn an empire out of the wilderness and (with generous Government support in terms of irrigation and crop subsidies) had virtually caused the "desert to bloom" fruit! 'Let's close ranks! Get the Union message across to your friends in unorganized operations!" HOTEL AND RESTAURANT EMPLOYEES UNION Local 835, 7726 Edmonds St., New Westminster, B.C. Telephone 5224894 % __. February, 1969 THE LABOUR STATESMAN Page 7 CONSTANT STRUGGLE Their daring involved not only ' a struggle with the elements (the lot of all farmers the world over!) but the reinvestment, in large part, of acquired profits from produce sold, combined with sizeable short or longer term loans from local banks (i.e. I heard that one of the local banks alone had $9,000,000 Invested In loans to Ideal grape farmers) to immediately finance their large-scale operations. Though the impression they gave me was certainly not that of heartless or ruthless tycoons, neither was It of people who were willing to. trust their workers to have a direct share in and control over their own destiny, wherever that might affect the conduct of the farming operations themselves. Though these brethren openly declared that they were not opposed to unions per se (since the packing, storing, transporting and marketing arms of their operations are unionized) they soundly rejected the move to organize their field workers by the UFWOC. TOO MUOH .•*-■* Here the idea of a renewable "contract" with the workers, periodic negotiations for improved terms and fringe benefits, and especially the ever- present and consequent threat of strike at highly vulnerable periods In the growing and harvesting cycle of the table grapes (a highly perishable crop) was just too much for them to contemplate or agree to! They'd gotten along without that sort of thing for a generation or more, and they had no intention of changing the terms of employment now, if they could avoid It by concerted grower action against the threat of the labor organizing intruders — whose authenticity and motives they sincerely questioned! Their universal claim was that their workers had no use for Chavez and his UFWOC, and actually "wished to be protected from such harassment. To "turn them over to Chavez," they said, "would be a betrayal of the "workers, on their part — which they had no intention of doing!" ALLEGED ABUSE They told of the abuse which UFWOC forces hurled at their workers laboring peacefully in the fields, and of personal and family persecution which was directed against these unfortunate people in and around their own homes. They spoke of humiliation, insults, nervewrack- ing noise day and night, burnt out buses, slashed and punctured tires on private cars, threats to womenfolk — and the like. They soundly denied the organizers' charge that they were Importing or employing illegal Immigrants aa strikebreakers (though the Immigration patrols In the San Joaquin Valley arrested no less than 5,169 such people and deported them over the six months prior and up to August — 2,022 of whom were In Kern County alone, where these farms are located). Rather, they claimed that up to 80+% of their farmworkers at any time were semi, if not fully permanent residents of Delano and district who had worked regularly for them for years past! These .were the people whom U)ey emphatically stated did not want a union — especially Chavez's kind of union! And yet they consistently refuse to allow the workers or | their farms to participate in a ■ free, carefully and neutrally supervised election to determine once and for all whether they do or do not want to belong to the UFWOC. S ECONOMIC RUIN To them, it seems, union activity is synonymous with economic ruin and loss of private control — and they want no part of it! They speak of the move abroad to "sell the land," "uproot and replace the vineyards with other more mechanically harvested crops," and "the accelerated effort to mechanize and automate their current operations, as this becomes increasingly feasible and possible" — all of which would tend to make the individual farmer less dependent on the field worker's manual labor and answerable to duly elected labor union personnel. In all of this they (knowingly or unknowingly) persist in looking through their blind eye at history (past and present) — for the more skilled the worker has become the stronger and more essential the position of organized labor In society has become likewise! FRUITLESS FIGHT Though the organization of his workers would unquestionably cost the grower more than he is presently paying them, his fight to resist tliis union activity is a fruitless ■ and costly move also, and will continue to be increasingly so as the battle ', spreads farther' and farther afield throughout the U.S.A. and its northern neighbor, Canada. What's happening in Delano looks for the world like the early 30's — and even much earlier than that in "good old England." But It's the near 1970's now, and it appears to me this good,' hard working group of citizens will have to wake up to it, and act accordingly. CITIZEN'S DILEMMA What of the community-at- large? Where does it stand in this soon-to-be historic conflict? By and large, it stands with the growers more than with the union organizers, and echoes In essence their inconsistent and often contradictory arguments. Nor is this being done maliciously or with knowing or intentional deceit. Personally T have no Send for sample copy and subscription rates of . .. WESTERN SOCIAUST SOCIAUST STANDARD to Socialist Party of Canada P.O. Box 237 Victoria, B.C. INTERNATIONAL MOTORISTS CO-OPERATIVE ASSN. 42 E. Broadway, Vancouver 10 Telephone 8724401 Road Service, travel Information, personal Insurance, legal advice. Best value in auto clubs. Be a shareholder for $1; s yearly fee $11 Federation Leads Fight Against Postal Increase At a meeting held January 23 under the sponsorship of the B.C. Federation of Labour, representatives of trade union, cooperative and business publications, as well as both management and union representatives In the printing industry discussed the effects of forthcoming postal rate Increases. A number of publications, the meeting was told, will have to discontinue operations If their rates increase from one cent to five cents per copy. In addition to the increase in the second class rate from one to three cents, exclusion of many publications such as trade union, church and professional association publications from second class privilegs would result in the five cent rate. Spokesmen from the printing industry estimated that $1,000,- 000 per year in printing business would be lost in B.C. alone, with a resulting loss of over 100 jobs. Much of this would be simply lost, the remainder would be transferred to the United States for publication in order to avoid the postal rate Increase. The meeting established a committee consisting of representatives of trade union, business and other publication, as well as labour and management representatives from the printing industry to contact Members of Parliament to ask them to raise the issue in Parliament. Secretary - Treasurer Ray Haynes of the B.C. Federation of Labour commented: "These changes interfere with freedom of the press, go contrary to the recommendations of the O'Leary Royal Commission, favour Anierican publications, adversely affect the Canadian economy and eliminate Canadian jobs. At the same time, they still permit such publications as Time and Reader's Digest to be subsidized by Canadian taxpayers. The logic behind such a policy escapes me. We hope that Members of Parliament will cause a second look to be taken at the proposed changes. The matter Is urgent." reason whatsoever to doubt the earnestness or sincerity of those more-or-less disinterested citizens to whom we spoke, and N who faithfully reported to us "what they had seen and/or heard," or felt deep down in their hearts. Only one or two (whom In fairness I won't name as to office or position held) even hinted that the U.F.W.O.C. had a "cause to defend" ether than its own self-aggrimdlze- ment! The majority looked on its personnel as disturbers of the peace, intruders >wititj axes of their own to grind, frauds, formenters of trouble and interracial strife previously unknown in the community — and, at best, misguided individuals generously sprinkled with, or supported by chronic liars, some of whom "dared to carry the designation of ordained clergy, and desecrate their high calling thereby." THE ANSWER — AS I SEE IT 1) The field workers, by and large, are on strike against the table grape growers and farm owners — and the sooner they recognize it the better for all concerned! The workers have on several occasions, in a free, supervised vote, voted in favour ot the U.F.W.O.C. as their representative at the bargaining table — and would do so almost., universally, if given the chance. 2) To get that chance, and to avoid the possibility of social- revolution and violence, legal steps should be taken without further delay to include farm workers under the N.L.RA. This can and should be accomplished by the enactment of bills designed for that purpose how before the U.S. Congress and its House of Representatives. Such action Is more than 30 years overdue! It, more than anything else, can eradicate this remnant of feudalism in our post-mid-20th Century stfeiety — and have a beneficial repercussion In Canada also. 3) The farm worker must soon be included under a workable scheme of State or Nation-., al Unemployment Insurance — as are practically all other workers both In the U.S.A. and Canada — and the farmers and growers compelled to contribute their share to it The growers — or local communities — cannot bear the whole load of the field workers' off-season unemployment; nor should they be expected to. 4) In the meantime, the strike weapon' having proven unsatisfactory — for reasons aforementioned .the U.W.O.W.C. has no option but to continue and greatly extend ifs, boycott of Caltfor.. nia table grapes to all segments of U.S. and Canadian society; and we, as concerned and involved citizens, support it voluntarily to the full until consent of the growers to bargain collectively brings such unhappy action rapidly to a halt Economically and socially no one profits from a strike or boycott: but when an irresistable force meets an immovable object only sacrifice and suffering, all the way down to simple self-denial on the public's part, is the essential ingredient of change. AFTERWARDS As we drove back over the freeways to San Francisco some 72 hours later my colleague, Fr. Ryan, for all but the first few miles of the journey, lay stretched out on his back on the rear seat of the U-Drive sorely distressed in his tummy and looking for all the world like death warmed over. Could it have been that the pressure of events of the past days and nights had been too much for him — or was it a short term sickness from which he'd soon recover and be restored to sound health and strength? .And could it be that after 39 months of conflict Delano is ill — quite ill: but the hope of Its recovery Is real and not afar off? SOME WORKBOOTS FEEL LIKE THIS ... & NEEDN'T! PARIS is famous for its INDUSTRIAL FOOTWEAR — Logging Boots and Work Boots made in our own workshops. What is less well-known is the fact that PARIS PROFESSIONALLY-TRAINED SHOE-FITTERS are available at no extra cost than finding your way downtown to B.C.'s Unique Family Shoe Store. There is no reason why a work boot shouldn't be fitted with the same care as a dress shoe. At PARIS it is! And the difference it makes .to comfort and safety is as important to our 60-year reputation as it is to your foot-health and foot-ease. Remember: it costs no more to deal with Paris. Our fitters come free with the boots! And what a difference! WHOLE FAMILIES ARE GETTING THE PARIS HABIT, THANKFULLY x PIERRE PARIS &SONS 51 W. Hastings, in the heart of Downtown Vancouver (Right next to Woodward's; «r _ PageS TIC LABOUR STATESMAN February, 1969 Some Myths Exploded: A Realistic Look at Strikes and our Economy JOHN FRYER.C.t.C. Director of Research (First of two parts) When first asked to discuss the whole question of strikes and the public interest, as well as the economic backdrop against which they take place, my immediate reaction was, "Why ask me?" Subsequent Investigations have failed to elicit an adequate answer to this question but nevertheless I am very glad to JOHN FRYER be with you today and I say this realizing only too well that the subject matter before us is truly enormous. In an attempt to prime my task to more or less manageable size I should like, at the outset, to briefly outline what it is I plan to do in my brief opening remarks to you this morning. THREE STEPS First of all it is my intention to sketch out some descriptive background information on the present national economic situation especially as it relates to the industrial relations climate. In this latter regard I hope to mention some of the facts concerning strikes as well as the publicity surrounding them. Secondly, I should then like to examine whether or not it is possible to devise a set of, criteria for determining w#ge levels , that could legitimately supersede the traditional collective bargaining process—In this regard I plan to spend a few moments dealing with the matter of productivity. Thirdly, I will make some brief mention of the right to strike; why It Is an integral and fundamental part of the collective bargaining process and why if you deny the right to strike to somebody you must give them an acceptable alternative method of resolving their differences. So that you may be forewarned, it is my personal view that at the moment no such acceptable alternative exists and until such time as It does I rather believe that It Is a little premature for anyone to talk of further restricting the" right to strike. However, one could suggest that a very useful exercise for both the NDP and the trade union movement might be a major effort to search for an acceptable alternative or alternatives, to the right to strike, realizing, of course, that workers don't enjoy striking but they enjoy Injustice even less. Which all suggests that the only real alternative to strikes, In the long run, will be found only if we can devise a method for eliminating the reasons for strikes. And that, I would humbly submit, is a pretty tall order. ECONOMIC BACKGROUND In order to* try and establish some sort of perspective for the discussions that presumably will follow, let's look for a moment at what has been happening to the economy In recent times. In doing so I intend to keep firmly in mind my father's oft-repeated admonition that "Common sense is an excellent thing provided it isn't too common.'* There seems to be a fairly widely held belief, especially amongst the mass media and certain politicians, that in the last two or three years, and es-. penally this year, wages have been going up at a rapid rate; that these wage hikes have been directly responsible for rapidly escalating price levels and that the particular phenomenon used to secure higher wages has very frequently been the strike. ECONOMIC GIBBERISH To a great many people I guess that this no-nonsense approach to the subject of economics and industrial relations Is a comforting one. It has the beauty of being simple and there is the added attraction that It requires only a fleeting glance at the facts to demonstrate its superficial correctness. Unfortunately, and I really do hate to Inject this dlsquietening note into our discussion, such explanations of what has been happening In Canada on the economic and Industrial relations fronts In recent years are noth- AN INCOME TAX PROBLEM? You havB until February 28th to make deposits fo a plan tor added income tax advantages for 1968. GUARANTEED PLAN —Principal «jnd interest guaranteed. —Minimum/rate — 6% for 5 years. "*- FIXED INCOME PLAN —Investments offering maximum earnings with minimum risk. —Current yield in excess of 7%. EQUITY PLAN * —Blue chip investments for long term growth and a' hedge against inflation. For complete particulars on each ot these plans and application forms coqghc)-: A '• it COOPERATIVE TRUST COMPANY OF-CANADA 16 East Broadway Vancouver 10, British Columbia Telephone 872-7844 ing but sheer and utter economic gibberish. MYTHS EXPLODED Let me, if I may, explode a couple of commonly held economic myths. First of all I have no doubt that everyone here today is very familiar with the argument that "higher wages mean higher prices." Indeed, this cliche is now so well worn that even a few people within the ranks of our movement appear to believe It In fact, by itself the statement that "higher wages mean higher prices" is just plain nonsense. Nevertheless, in that rarlfied atmosphere where some' Canadian Journalists dwell practicing their "Read-, er's Digest" brand of economics, the wage issue is the inflation j issue; as far as they are con- [ cerned higher wages mean ' higher prices which is the same as inflation and that's bad. ERRONEOUS CONCLUSIONS • This quaint but irrelevant view of the manner in which the Canadian economy operates leads Inevitably to a number of erroneous conclusions. One of the most frequent and silliest errors made by large sectors of the business community, some members of the press and other commentators, Is the belief that any increase in wages will automatically have the same effect upon the cost of production and thus upon prices. This of course is only true if there has been no increase in productivity or output per man hour. In order to assess the impact that any given wage increase will have on costs, changes in productivity must be taken into account—to fall to do so is to make an analysis that is worse than useless. PRODUCTIVITY FACTOR ' The relevant figure then becomes not the size of the Increase in wages but rather the impact Qf that increase on labour costs after changes in productivity have been fully accounted for. The concept we use to measure this relationship between labour costs and productivity is usually called the labour cost per unit of output It is only by examining productivity and measuring changes in labour cost per unit of output that we can arrive at a meaningful assessment of the impact of wages on cost levels and thus on prices. If productivity rises sufficiently it is possible for wages to rise very substantially without resulting in any increase whatever in the labour cost per unit of output; Indeed, If productivity rises faster than payments to labour, labour cost per unit of output will decline. COSTS STABLE Wages may have gone up but becatise increases in output per nun per hour, or productivity, rose at an even faster pace the actual cost per unit of production to the employer has fallen. I realize that all this sounds < very theoretical but it describes . what has in fact been happening. ' Over the long haul in Canada labour costs per unit of output have been very stable and those who think that when pointing the finger at wages they have found the cause for higher prices had therefore better think again. (To be continued next month) The B.C. Federation of Labour regrets the untimely death of Clay Walls, assistant international director of organization for the I.W.A. Brother Walls, whose headquarters were in Kelowna, was a dedicated and knowledgable trade unionist It will not be just the I.W.A. but the whole labour movement who will miss his services. Shulman Blasts Car Insurance Ontario's scrapping ex-coroner, Dr. Morton Shulman, has blasted the province's government for failing to introduce a system of public car accident compensation which will protect car accident victims without the necessity of first establishing driver fault through the courts. He charged that the almost one-third of every dollar paid by drivers now goes for operating expenses, such as commissions, advertising, private detectives, adjustors and legal fees. "Where It doesn't go," Shulman pointed) out, "is to the wife of the deceased bread-winner, the driver of an automobile who depends upon his vehicle as a source of livelihood and is unable to have his automobile repaired because of lack of funds. It doesn't go to the driver who through a minor error in judgment is found negligent despite the fact that in 1968, the concept of negligence, other than gross negligence, is no longer a valid test." ONLY INSURANCE COMPANIES BENEFIT Basing his proposals on results of a survey of accident victim experiences which he solicited through press advertisements, Shulman charged that the only winners under the present system are the private insurance companies and the legal profession. Shulman claimed that, under the present system, insuring concerns often pay more than necessary on small claims to avoid court cases but, when large amounts are Involved, accident victims and the Insured drivers must wait in sickness and penury for months while the case Is argued to the last possible cent in a lengthy court battle. Victims frequently settle for less than is due them in sheer desperation. DRIVER AT MERCY OF COMPANY He also charged that the insurance industry ,by means of a HARRON BROS. UrVMTED FUNERAL - , DIRECTORS* "British Columbia's Finest Funeral Service" CHAPEL OF CHIMES 55 E. 10th Ave. TR. 6-8877 Vancouver* ROYAL OAK CHAPEL 5152 Kingsway, Burnaby HE. 1-5677 facility pool arrangement, can arbitrarily increase drivers' premiums by as much as 300 per cent on an unproven agreement between companies that a particular driver is a bad risk. There is no appeal possible to such a move. Furthermore, drivers' premiums can be arbitrarily increased in the event of the smallest accident claim, regardless of guilt. Shulman claimed that a system of compensation, similar to Workmen's Compensation for industrial accidents, could mean speedy protection for accident victims. He said it would be financed by an extra two-cent per gallon gasoline tax plus an.automatic $10.00 charge when purchasing or renewing car licenses. He would add a surcharge of $25.00 on' anyone Involved in an accident as a result of which criminal charges were successfully laid. "The proper response to drivers whose driving record is so bad as to constitute a danger to public safety is to take away their licence—not, as is done now, have the insurance companies tax them into .submission," advised the ex-coroner. —FROM STEEL LABOUR The tybuth That Roars Mr. Thatcher issued a strong warning to labor unions not to try to cripple the Industry with exorbitant demands. If strikes could not be settled by proper negotiations, the Legislature would enact laws to end them., "We hope that the trade unions will secure for their members the top wages, but they must be related to the economic facts," he said. "We are not prepared to watch the International Woodworkers of America, or any other union, wreck our Industries. "If there are repeated strikes which tie up these Industries, we shall be obliged to change our labor legislation. And if anyone thinks we are afraid — test us." —The Western Producer February, 1969 THE LABOU.. STATESMAN Page 9 Drug Price Scandal Their Voices will be Heard (Ti. H. Puller ton is an economic consultant in Ottawa and chairman of tbe Cape Breton Development Corp.) By D. H. FULLERTON Recently the special U.S. task force on prescription drugs brought out a second report. If the language used is restrained —perhaps as befitting an interim report—the analysis and recommendations add to the growing tide of criticism throughout the world about the drug industry. In brief, the report calls for drastic overhaul of the entire existing system whereby drugs are merchandised, prescribed and dispensed. The 110-page report cannot be summarized easily, and we limit ourselves to excerpts that effectively rebut some widely disseminated Industry propaganda. Consider research; the manufacturers say that their high prices are needed to finance the vast amounts they spend on the search for new drugs. * • • The report comments: "... We have noted the serious and Increasing concern expressed by practising physicians, medical educators, pharmacologists, and economists — and even some industry leaders — at the number of molecular modifications of older drugs introduced each year. Some of these modifications undoubtedly represent significant advances, but most appear to be so-called "me-too" drugs — substances ;which are not significantly different from other drugs, nor significantly better, and represent little or no Improvement to therapy, but which are sufficiently manipulated in chemical structure to win a patient." "... Since important new chemical entities represent only a fraction — perhaps 10 to 20 per cent — of all new products introduced each year, and the remainder consists merely of minor modifications or combination products, then much of the industry's research and development activities would appear to provide only minor contributions to medical progress ... To the extent the industry directs a share of its research program to duplicative, non-contributory products, there is a waste of skilled research manpower and research facilities, a waste of clinical facilities needed to test the products, a further confusing proliferation of drug products which are promoted to physicians, and a further burden on the patient or taxpayer who, In the long run, must pay the costs." Or the industry view that their large profits are necessary either because of the risks they run, or excessive government regulation: ". . . We find, therefore, that the exceptionally high rate of profit which generally marks the drug industry is not accompanied by any peculiar degree of risk, or by any unique difficulties in obtaining growth capital, and that industry profits have not been significantly reduced by new governmental regulations concerning drug safety, drug efficacy, or drug advertising." • • * The task force punctures the industry's allegation that drug prices have actually been decreasing. . The U.S. Consumer Index does show a drop since 1958, but it measures a fixed and unrepresentative basket of drugs. The Industry Is skilled at introducing new and costly products to replace cheap ones. The true test is the overall cost Of drug treatment, and as the o report noes: "In most countries for which statistical data are available, it is evident that there has been a steady increase in the average number of prescriptions per year, in the average prescription cost, and In the cost of the entire program." One reference to drug prices is of particular interest to Canadians: ". . . Except in Canada, the prices of specific drug products and of average prescriptions are generally lower than those In the United States; these differences appear to reflect lower labor costs, lower purchasing power, and similar factors, and also more intense price competition among drug manufacturers." • • * Anyone who has taken the trouble to study the reams of evidence submitted before countless Canadian drug Inquiries can understand the truth of that statement. All the figures support the consensus that Canadian drug prices are the highest in the world. Finally, the report zeroes in on an acute aspect of the problem: "We find, therefore, that the requirements for appropriate prescription therapy by the elderly are very great — far greater, in fact, than those of any other group — and that many elderly men and women are now unable to meet these needs withtbelr limited incomes, say-figs or present Insurance coverage. Their Inability to afford the drugs they require may well be reflected In needless sickness and disability, un- employabllity, and costly hospitalization which could have been prevented by adequate out-of-hospital treatment" LABOUR FORUM CKWX-10:20 SUNDAY The Officers of the Federation, Len Guy, George Johnston, Don Crabbe, Al Staley, Ray Haynes (shown above), Don Dunphy and Jack McKenzie will present the annual brief to the Provincial Government on February 4. This year the presentation will concentrate on Bill 33 and labour legislation in general, with supplementary briefs submitted to individuals Ministers. Beverage Dispensers Award After hearings held on December 4, 5 and 6, the British Columbia Department of Labour awarded six members of Local 835 of the Reverage Dispensers and Culinary Workers Union a total of $2,619.20 in lost wages and ordered them to be reinstated In their employment After certification had been applied for, the Terra Nova Motor Inn, of Trail, R.C, wrongfully discharged or laid off six members of the staff. Later, at the hearings held by the department of labour, the Hotel also challenged the certification, as some of the members had paid less than the regular initiation fee. \ On December 9; 1968, the Labour Board upheld the certification as applied for and issued the following orders; all members to be reinstated in their employment and paid lost wages In the following amount'.; Cat liken Hansen $145.00; David Yerex $720.00; Melba Douglas $334.88; Dino Santarosa $138.72 and Ben Connelly $752.00 and Wlnnlfred Klrby $528.00. The case was processed through the hearings by Secty. Ed O. Carlson and business .agent John Philips. Labour Round-up TERRACE—The Kitimat-Terrace & District Labour Council has asked delegates to note that the co-op store in Terrace is the only non-union food store in Terrace.- At the same meeting, the Council voted to spend $50.00 in helping to publicize the grape boycott * * * VICTORIA—Delegates to the Victoria Labour Council approved a strongly worded resolution condemning the provincial government for its laxity in allowing the ravaging Of the countryside around * Fernie by mining interests. The Council also voted to ask the' Federation to take up the battle with the provincial government. * • • PRINCE GEORGE — The Prince George & District Labour Council is in the process of arranging a weekend seminar for trade unionists on February 22nd and 23rd. The Council also voted to write the Minister of Lands and Forests protesting the type of open pit mining taking place in B.C. * * * 4 PORT ALBERNI —Delegates ■ attending the Port Alberni & District Labour Council meeting have voted to ask the B.C. gov ernment to take over the B.C. Telephone Co. CAMPBELL RIVER — The Campbell River, Courtenay & District Labour Council has set March 15th and 16th as the dates for their weekend educational seminar. • • * 7 NELSON—The Nelson, Trail U District Labour Council has arranged for representatives from the CLC and the B.C. Federation of Labour to be in attendance at their annual meeting to be held in February. The Council is one of the fastest growing in the province. l * * * NEW WESTMINSTER—Delegates attending the New Westminster & District Labour Council voted unanimously in support of a hard-hitting statement condemning the provincial government for its failure to provide its civil servants with the right of free collective bargaining. The statement said, "While the* provincial government stresses its desire to have peaceful relationships between -Management and labour ... it Is about time they demonstrated ... it by proper practices , . . with their own employees." throughout the world This advertisement is not published or displayed by the Liquor Control Board or by the Government of British Columbia. —^^ Page 10 THE LABOUR STATESMAN February, 1989 Reports on Funds Misleading The Corporations and Labour Unions Returns Act came into force In 1963. It was designed to determine the effects of non-resident ownership and control of corporations and to chart the flow of funds between the Canadian and U.S. sections of international unions. However, because of the incomplete nature of the financial data relating to international unions, the annual reports under the act have generated as much controversy as light. The most recent report, for 1966, showed international unions collecting $30,987,000 from Canad- dian members and spending $21,358,000 on their behalf, for an apparent net outflow of $9,629,000 — about $1.5-million more than in the previous year. But the problem In attempting to place a meaningful interpretation on^-these figures is underlined by the commentary in the report itself. The financial statements required show only selected expenditures on behalf of Canadian members. These include salaries, wages and other remuneration of officers and employees in Canada; strike payments and pension and welfare payments. But what is ignored is the cost to the internationals of the headquarters operation, prorated to the Canadian membership, and a variety of other costs, including publications, research services and other assistance. This, of course, varies from union to union. In some cases prorating headquarters costs would be justified; in others there may be little benefit derived from the international structure. That is why it is difficult to determine how much of the paper outflow of more than $9-million represents a valid statistic. But it is apparent that the figures cannot be meaningful without a more precise basis for reporting on the flow of money between the two countries. (In most major international unions all the dues collected in Canada on behalf of the international union are kept in this country by the union in a Canadian bank account so that there is no physical transfer of funds across the border.) This week, Mike Rygus, Canadian vice-president of the International Association of Machinists, which has more than 45,000 members in Canada, called for either full disclosure of all figures or scrapping of the act Mr. Rygus was* presenting a detailed financial picture of the union's Canadian operations to a staff conference of his union. "We have nothing to hide. All our finances are an open book and that should be the case under the Act." The report on the 1976 returns concedes that financial and general statistical data and analysis must be supplemented if judgments are to be formulated regarding the economic impact of International unions and the economic effects of trade union activity In general. "The administration plans to conduct research in the coming years into methods of sharpening the concept of international union relationships, which, in combination with corporation links, so profoundly influence the climate in which Canada industry operates," the report states. The Machinists' financial statement shows an operating surplus of about $158,000 in the fiscal year ending June 30, 1968. This is after prorating about $207,000 of the headquarters operating expenses on behalf of the Canadian membership, all of which is paid in U.S. funds. Below is an example of how the Machinists prorated costs of the headquarters operation to Canada in the six month period ending June 30, 1968: Legal fees and expenses, $2,281; education, $2,516; public relations, $9,321; clerical administrative staff, $32^16; Insurance, $1,063; the Machinists newspaper, $29,613; electronic data processing, $5,837; research, $6,311; general expenses, $19,442. The total is $103,323. If the act required a similar breakdown, the outflow figure in the report would be much less. But then, of course, there would be arguments about how much of a prorated cost is justified. There Goes the Judge B.C. Mediation Commission chairman John Parker has no monopoly on the hope he expressed to the Vancpuver Board of Trade before Christmas that the commission will bring industrial tranquility to this province. Although the bureaucracy of organized labor has responded to Bill 33 and its mechanism with an instinctive, negative reflex, it is not implausible that much of labor's rank-and-file is as sick and tired of clumsy and costly worker-management strife as anybody is. Anyhow, this seems to be the case in Britain, where polls show the labor rank-and-file generally responsive to Barbara Castle's proposals for streamlining labor-management procedures even as their leaders are digging their heels in. It would be a pity, however, if Mr. Parker, the former Yukon territorial judge who got off on a shaky foot by demanding the best of btoh worlds, contributes to his own undoing. His judicial experience taught him, surely, to guard against showing prejudice for one side or another. Vancouver Sun, January 9, 1969. Yet the most detached observer must wonder what led Mr. Parker to think that the Board of Trade, any board of trade for that matter, constitutes the sort of neutral ground on which a mediation commission chairman would be wise to tread. He must woqder, too, what got into Mr. Parker when he compared his around- the-clock strike-busting availability to management to, and we quote The Sun's story of December 14, "a judge receiving a habeas corpus application." If belated, the press release from Ray Haynes, the secretary-treasurer of the B.C. Federation of Labor, is nonetheless pertinent when it calls this "an incredible statement," and more. Even if Mr. Parker hustled to the nearest labor temple to advise unions how to reach him on the hot line should manage-, ment pull sneak lockouts, the damage has been done. He has given the impression of taking sides and, really, he should know better. * It wfll be no service to British Columbia if Mr. Parker should talk himself into the role of the Spiro Agnew of B.C. labor- management relations. * Employees Must Have Voice in Pension Plans Patronize Statesman Advertisers TORONTO (CPA) — Nothing will be done to overcome mismanagement of private pension funds until employees have more say In the direction of pension funds. This is the opinion of financial columnist O. H. Fullerton, writing In the Toronto Star January 13th. He was referring to charges by both Toronto and Montreal policemen that their pension funds have earned far less than they should have by being too heavily invested in bonds. In addition, their records have been hidden from the public. "Bad management thus is able to conceal its mistakes, hindering corrective action." Mr. Fullerton urges unions and employees to adopt a much more militant approach to their pension plans. They should not only have representation oil the plans' boards of trustees, but should also use outside professionals, help. The objective must be fo combine higher benefits for retired employees with improved investment performance. The companies themselves should not be allowed to siphon off the benefits of the improvement. All this Is even more important for government employees than for employees In private corporations. In federal superannuation . schemes, "they have no chance at all of seeing a good investment performance — let alone sharing in it." Vulliamy fir Brownell CHARTERED ACCOUNTANTS Phone RE. 8-3233 2205 Fir Street Vancouver, B.C. ?'L4DiinANCE rJR_0fJ_TW(D_R Gronvill. at Smith- MU 31511 -R II CT_ Italians <•- .VIRNALISI FranQais?.. ? Le Nouveau Parti Democra- tlque estime que ce sont les Canadlens qui doivent orlenter l'avenir du Canada et voir au development de ses vastes res- sources. II affirme que les Canadlens doivent aussi prendre une part plus active dans les affaires de leur pays. Dans ce but, le Noveau Parti Democratique _ fonde, pour les gens de langue francaise, mem- bres de leur parti, ou non, et aussi pour les personnes de langue anglaise Interessees h ce mouvement, une section francaise. GERRY GIRARD. Aux assemblies quie auront lieu, les orateurs invites a adresser la parole le feront en- tierement en francaise. Ce sera la premiere fols depuis l'entree de la Colomble Brltannlque dans la Confederation que les Cana- diens-frangalse pourront s'expri- mer et se falre entendre dans leur langue au point de vie politique. Le succes de cette innovation depend largement des citoyens de bonne volonte qui veulent mettre en pratique les recommendations de la Commission B. et B. Ceux qui sont Interests et qui deslrent de plus amples renseignements k ce sujet, sont pries de communiquer avec Mr. Gerry Girard, en telephonant _t 581-9222, 5844969 ou de lui ecrire au numero 11228-135eme rue, North Surrey. La assemblee prendras place a le centre de recreation de Maillardville, 630 Poirer, Coquitlam, le 13 feurier __ 8:00 p.m. L'orateur principal sera monsieur John Harney. Ne au Quebec, ce monsieur est le secretaire provincial du parti N.D.P. de l'Ontario. II a ete candidat du Nouveau Parti Democrate au cours des deux dernieres elections federates. II est reconnu comme etant un partisan con- vaincu des recommandations de la Commission sur le Bilinguis- me et le Biculturalisme. Nous vous invitons de parti- clper a ce nouveau club. A meeting has been called of persons Interested in forming a French-speaking NDP club In British Columbia. Ontario Provincial NDP Secretary John Harney will be guest speaker (in French) in the Coquitlam recreation centre at 8:00 p.m. on February 13. Organizer Gerry Girard can provide further information at 584-5969 or 581-9222. "Mr. Peebles fell into the Xerox machine." THE KLM GUIDE to wish-you-were-here country CONFESS . . . Aren't you Just ■ little tired of being on tht receiving and ot pott cards from Europe? Isn't It your turn to tend t tow? Right now? Alter all, you probably haven't had a real holiday tor years—just tha two of you. And that's why we at KLM say: -> We with you ware hare. In Europe. Enjoying Ufa. KLM hat gone all out to make It easier than ever tor you to be In Europe this fall and winter. Apart from anything else, It's less crowded, but the welcome It at warm at summer ever waa. It't ill there . . . unforgettable . .' . and very affordable. Because every KLM vacation package it selected with a definite budget In mind. A budget like your*. SO, NOW THAT WE'VE GOT YOU THINKING EUROPE See Your Travel"Agent AND ASK FOR KLMs 1968 VACATION GUIDE <j Vancouver 612-4606 KLM ROYAL DU TCI. AIRLINES February, 1969 THE LABOUR STATESMAN Page 11 Socialism in the 70's By CHARLES TAYLOR Charles Taylor is Professor of Philosophy at McGill University. A Federal Vice-President of the NDP, he is considered to be one of the partes main policy innovators and. is often mentioned as a possible successor to Tommy Douglas. (First of two parts) Socialism as a political aspiration has always been made up of three connected things: a program, a critical analysis of present society, and an idea of what the political means or "vehicle" in for changing society and realizing the program. Any attempt to define socialism for the 1970's must define it at all three levels. With just a program socialism remains only a moral plea for a better society, while on the other hand it is all too easy for working class parties to forget the program and define themselves exclusively in terms of the third element, so that their raison d'etre is to be a party of workers without any idea where they want to go. As far as the program is concerned, looking back once more to get our bearings, we can discern three broad goals: (1) re-organizing production so that it would benefit human welfare as against profit. (2) equality: the goal of giving everyone roughly equal treatment (3) democratic control. ANALYZING PRESENT SOCIETY What has become of these goals and these Ideas today? The best way to discuss this is to start with a discussion of the second element, the analysis of present society. What has happened to the original socialist model? In the post-war period, there was a substantial "revision" of social democratic ideas among all the parties of the western world. The basis of the new approach to socialism was the picture of the modern corporation. As against the classical model of capitalist enterprise, this was held to have split ownership from control, so that the corporation was run not by capitalists but by managerial bureaucrats. These had no longer the direct interest in exploitation that the classical entrepreneur was supposed to have, for whom an increase in worker's wages meant a drop in income. The goals of socialism were therefore mainly the securing of equality, through further welfare measures, or measures to reduce inequality and secondly, to some .degree, tne Introduction of planning In the Interest of certain goals, like full employment, or the development of poor areas. in fact It was too earlv to declare peace between socialist aspirations and contemporary capitalism, but the revisionists were right in their analysis of the corporation as far as it went NEW CORPORATE POWER It could be said of the modern corporation that It had gone a long way towards solving the "contradictions'' of traditional capitalism. For it was big enough not to be vulnerable to the uncontrolled forces of the market It managed its prices, and planned Its Investment for years ahead. It had no cause to fight wage rises tooth and nail, for they could be passed on to the customer in price rises. But the corporation's very success in surmounting these traditional "contradictions" raises new problems about its power. The classical form faced a market which it couldn't control, and found the bulk of the 'funds it needed for development on the Investment market. In contrast, the modern corporation manages "its prices in collaboration with a few competitors, and can tareet its earnings so that it can find the bulk of the funds needed for expansion from retained profits. The modern corporation can be seen as mechanisms whereby funds are canalized into investment; these funds are found in the pockets of the consumers who buy the products and they are invested in the projects of the corporation. In Canada at the mbment the ratio of savings found In this way, relative to savings made by Individuals, is approaching 7:3. In a very real sense we can say, therefore, that the modern corporation has within certain limits the power to tax. For it sets prices with the goal in mind of finding resources for expansion. In the prices of many of the products we buy, we are paying in a sense a development tax; but the .level and proceeds are entirely determined by the corporations; neither government nor anyone else has a word to say In this, . This immediately raises the "problem of how much taxation there Should be without representation; and the third major goal of traditional socialism, democratic control, becomes relevant here. But before taking this up, I'd like to discuss the relevance of corporate power to the first goal, that concerned with the goals and priorities of production. Does the fact of corporate power introduce a distortion in our priorities as a society? TWISTED PRIORITIES The fact is that it does, and this is the most direct conflict between modern-day capitalism and socialist goals. This is the joint product of two Important features of corporations. The first is that in the absence of government action, their market is ultimately made up of Individual consumers. It is natural, therefore, that the corporate system tends to channel immense resources into the development and production of goods which can be sold as It were over the counter to Individuals, and to the creation of demand for such goods. The second fact is that they generally resist government spending of the kind which creates an alternative market for goods and services which the community buys as a whole. The resistance to government action is part of a general pattern of corporate behaviour which is designed to defend their autonomy. The modern corporation attaches as much importance to autonomy from government interference as the old- style entrepreneur. There is great resistance to government in pricing policy, investment policy, buying policy, and it goes without saying, aversion to higher taxes. Government is only allowed to "interfere" by offering extra incentives (tax- holidays, faster write-offs, etc.) to encourage certain goals, like more research, or regional development 7 The joint result of corporate autonomy, and the resistance to government spending Is that a great part of our resources are channeled towards the production of goods that can sell to Individuals, and to the creation of that demand. There is,.a corresponding squeeze on those goods and services that we provide collectively, like schools, hospitals, urban renewal, all forms of social security, etc. This leads to an absurd Imbalance in our priorities, whereby we are lavish in the production of things which add little to welfare, Including things which add nothing, but are just the by-product of oligopolistic competition, like prestige office- buildings, second supermarkets in the same centre, third and fourth gas stations on the same —< corner, most advertising, tool changes in the automobile industry to produce a new (and basically unimproved) model, the floating of a new brand of soap which washes whiter than brand X, etc.; whilKat the same ■-J time we are'very circumspect about increasing the education budget, or building more low- cost housing, or increasing health services, etc. These absurdities are the natural consequence of accepting corporate power and corporate autonomy as we do today. It is partly a direct consequence, In that the corporation is allowed to "tax" freely, and in this way channels a high proportion of savings into its own reserves and hence basically into investment designed to in- ' crease production for individual consumers. But the ground rules of corporate autonomy also work as limits on government's counter-cyclical policy in order to squeeze public spending. And this in two ways, both of which are well exemplified ■___• our present predicament.. We are now cutting back expenditure and increasing taxes to balance tHe budget, where (a) we shouldn't be damping down the economy In this way so soon, since we still have about 5% unemployed, and (b) we shouldn't be taking it all out on the public sector. VANCOUVER CITY SAVINGS CREDIT UNION FOUR OFFICES TO SERVE YOU 96 East Broadway 679-6241 5606 Victoria Drive 327-8301 ' 2626 East Hastings 3295 West Broadway 255-4381 736-7451 CONVENTION CENTRE FOR THE LOWER MAINLAND OF B.C. 100 UNION HOUSE Famous for Banquet Facilities &-■■-■' The Red Garter Room ' ' ■ '• •*__-! ' * f +*- '-—— ' *"' '"' " ftogal f o-ucra JRtAn $ntel Royal Avenue & Sixth Street New Westminster, B.C. y\. Contact CEC COUTTS LA,4-3777 Director of Sales X •'- ft*. -S335S53 BBB-a* . mm tyyz" Page 12 THE LABOUR STATESMAN February, 1969 z**. Wall Street Journal Weak Unions—Prices Up Letters fORONTO (CPA)—The WaU Street Journal of October 22nd carried an amazing headline for a publication which is considered to be a spokesman for Big Business. It said simply—"Inflation Paradox — Analysts Say Prices Rise Fastest in Fields Lacking Strong Unions." The subhead said—"Gains In Productivity Offset Higher Factory Pay; Bills for Insurance, Nurses Soar." The WSJ admits that the public generally believes that' "union demands for ever higher wages" are the chief cause of inflation. UNIONS NOT CAUSE But, it quickly adds, "many economic analysts say that the biggest price increases are com- ' ing where unions are weak and where labor costs are not even a major consideration." Pointing to the highly-unionized auto industry, the WSJ article says that even with the higher prices of the new models, the government's consumer price index puts new car prices, on the average, at about the same level as a decade ago. "On the other hand, few fields are so little unionized as medicine. But physicians' fees, on the average, have jumped almost 40% In the past 10 years." GOVERNMENT ECONOMIST WSJ quotes an economist with the National Bureau of Economic Research as stating, "The stereotype of big unions commanding big pay increases and causing, ultimately, big price boosts, just doesn't jibe with the facts." The record shows that the biggest price increases are coming in areas where highly skilled professionals are needed to meet sharply rising demand, or where it is difficult to offset wage rates with automated equipment, or where factors are involved that have little at all to do with labour costs. LEAST INFLATION In the last decade the United States has had the least Inflation of any country in the world — just about 20%. But some consumer prices have Jumped much higher, for example, daily hospital service 101%; movie ad-missions 70%; auto insurance rates 44%, property insurance rates 36%. In the insurance business, only about two percent of employees are in unions. In service like maids, medical personnel, movie house attendants and barbers about 10% are unionized. PRICES DOWN But in highly unionized industries, some prices have actually gone down In the last 10 years, for example, radios down 23%, TV sets 20%, vacuum cleaners 20%, refrigerators 7% and new autos 2%. In these figures allowance has been made for improvements In quality. About 70% of workers In transportation equipment manufacture, 50% in appliance production and about a third in drugs and chemicals are In unions. But only about 24% of the total U.S. labour force Is organized in unions. Here are the wage boosts of certain categories of U.S. workers in the last 10 years: registered nurses 75%; auto workers 65%; drug industry workers 49%; appliance workers 45%; Insurance employees 29%. AUTOMATION FACTOR Mechanization and automation have had a great deal to do with offsetting sharply hiPher pay in some industries. While auto pay has climbed sharply, so has hourly output of the ■autoworker due to increasing plant efficiency, a On the whole, says ine Journal, output per ■tan hour In manufacturing has increased more than one-third in 10 years. The items that have added sharply to the cost of living are mortgage rates, property taxes, auto registration and golf green fees. "In each Instance the Influence of labour costs is at best indirect." The boost in housing costs is due largely to land costs, and not to construction costs. Average land costs have soared 70% since 1958. Average increase in wages of construction workers who build homes has been 50% —but the Journal neglects to add that productivity In construction has Increased very substantially. GNP, Wages Up (CPA) — Canada's gross na tional product will hit $67 billion in 1968, about eight percent more than in 1967. Wage in creases in 1968 should also aver age around eight percent. Here are some comparative figures: e «j O __ i 1 I Ji > to .£« til _.<__■ i_ m 5 8 ■o c 1 E g | ii £ *■* -max CO 1967 8.7 9.2 159.0 1957 6.7 1958 . 4.0 1959 4.2 1960 4.6 1961 3.5 1962 3.7 1963 3.3 63 133.0 1964 ..„..;. .,4.9 1985 5.7 8.8 135.4 11.7 138.7 1966 83 13.3 143.9 1968 — —, 157.5* •—November 1. The Editor, The Labour Statesman: ... the Labour Statesman is too dedicated to the "cause." I would recommend that the first two pages be devoted to almost anything else on earth but Unionism in order to make it more appealing to those who shrink from deep reading. I would rely heavily on pictures, art and cartoons to thin out the text; because, let's face it a goodly percentage of our members read very little. That's why you'll notice the way~I break up the thoughts in Das Bugle; to* keep their interest. Another thing: encourage reader-participation. Solicit articles from the various locals— perhaps accounts of certain cases; of employee activities. Many of our members are talented artists, cooks, seamstresses, etc. Why not ask for recipes, hoimart contests, have a novelty corner? Have Recording Secretaries submit lists of birthdays and anniversaries to you. When your subscribers kno wthat their names are going to be appearing in print, they'll damned soon dig up the cash ... Fraternally, ALAN WESLEY, Local Chairman, / Local -T75, CBRT/ Sir: .,..;'■ "7 No one can deny that Premier Bennett has conferred some benefits on the people of the Province. On the other hand, he has perpetrated some great injustices. The latest, and perhaps the greatest instance of this, is his recent investment of the whole huge surplus of 150 million dollars in-Hthe Hydro Electric which, tt-itwas In need of money, could have Issued bonds which would have-had a ready sale. Mr. Bennett has ignored the fact that Provincial revenues are raised in order that the essential needs of all classes of citizens are provided, and not. even the most rabid supporters of the Government' would contend that the Bennett Government has done this. There is no justification for acquiring a surplus until these essential needs have been met ■ In the realm of education, all. those responsible for conducting our educational Institutions are unanimous in their opinion that the Government never provides adequate funds for their needs, and a glaring example of this is the recent ruling by the Minister of Education that no gymnasiums are to be built This will inflict a great injustice on the children in these schools,' as the pupils in schools already built all have gymnasulms. This cheese-paring in the light of the huge surplus is simply fantastic Another area in which the Government has been actually dishonest is in hospitalization. We pay a tax of two per cent for the right to be hospitalized when necessary, but there are thousands of people who have to wait for months for admittance. When we pay for services, we are entitled to get them. However, the government has done nothing to ensure we get ' what we pay for. , Municipalities both urban and rural are kept chronically short of revenue to meet their needs. The Government will not assume any responsibility for housing as some other provinces have done. This neglect has created a ti-aglc situation, and if the Government were to grapple with this problem, it would take a large bite out of even the huge surplus. To sum up, Mr. Bennett has neglected essential services in order to build up his huge surplus and this is a misuse of revenue. GEO. F. EDWARDS CANADA NEEDS TOMMY DOUGLAS © The Tommy Douglas-- • who leads the fight for full employment and decent wages; • who leads the fight for fair taxes to give the average family a break; • who leads the fight for a better deal in housing and social services; • who leads the fight for a better life for all Canadians--that's social justice; • who leads Parliament to get the government off its hands and into action! Parliament now needs a man whose knowledge and skill and social concern serve Canadians! , >■ SUPPORT TOMMY DM!AS '" *-*' fUMHw IfH/rllfw February 10th is Voting Day T.C. DOUGLAS (Nanaimo-Cowichan-The Islands) To Nanaimo By-Election Fund, • 301 Metcalfe Street, Ottawa 4, Ontario ■■-.'—- Enclosed Find * •.. to Help Elect Tommy Douglas. NAME ..„ ' ADDRESS NDPN IM-L*mzilf***.**' f/W
Title changes in chronological order: The Labor Statesman (1924-04-25 to 1965-03), The Labour Statesman (1965-05 to 1969-09). From 1924-04-25 to 1965-03 The Labour Statesman was owned and published by the Vancouver and District Labour Council. From 1965-05 to 1967-07 it was published jointly by the B.C. Federation of Labour and the Vancouver and District Labour Council. From 1967-08 to 1969-09 it was published by the B.C. Federation of Labour.
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