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ICBA 2016

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The Independent THE OFFICIAL PUBLICATION OF THE INDEPENDENT CONTRACTORS

AND BUSINESSES ASSOCIATION OF BC

Volume 3, 2016

PM 40063056

Growing the Economy Wage & Benefits Survey Fighting for Transparency


Morgan Creek Corporate Centre

Building ExcEllEncE SincE 1972 Proud MeMber of ICbA for over 25 yeArs

Pacific Academy Gordon McDonald Library

Township of Langley Civic Facility — VRCA Silver Award of Excellence Winner and LEED Silver for Commercial Interiors (1st in Canada)

University of the Fraser Valley Gymnasium

#406 - 13303 - 78th Avenue Surrey, British Columbia V3W 5B9 Tel: 604.590.3131 | Fax: 604.590.6523 Email: info@doublevconstruction.com www.doublevconstruction.com


////////////////////////////////////////////////////////////////////////////////////

Contents

Volume 3, 2016

PUBLISHER Dan Gnocato dang@mediaedge.ca Managing Editor Cheryl Mah Graphic Design Tang Creative Inc. CONTRIBUTING WRITERS Hon. Bill Bennett Robin Brunet Terrance Oakey Jean Sorensen B.C. SALES Dan Gnocato 604.549.4521 ext. 223

PUBLISHED BY

06

Features

PRESIDENT Kevin Brown vancouver office

2221 Hartley Ave. Coquitlam, BC V3K 6W9 Tel: 604.549.4521 Fax: 604.549.4522

Toronto office

1000-5255 Yonge St. Toronto, ON M2N 6P4 Tel: 416.512.8186 Fax: 416.512.8344

06 E CONOMY

Growing the Economy

09 P rojects

Site C: A Historic Project Supporting Responsible Development

12 S URVEY

Wage & Benefits

17 Merit Canada

Fighting for Transparency

Copyright 2016 Canada Post Canadian publications mail sales publication agreement no. 40063056 – ISSN 0834-3357 Return all undeliverable Canadian addresses to: Suite 1000 – 5255 Yonge Street, Toronto, Ontario, M2N 6P4

PRINTED IN CANADA

ICBA's The Independent Magazine is published once a year by MediaEDGE Communications Inc. REPRINTS: No part of this magazine may be reproduced in any form — print or electronic — without written permission from the publisher. Requests for permission to reprint any portion of this magazine should be sent to the publisher. For all subscription inquiries or address changes, please contact customerservice@mediaedge.ca or call 416.512.8186 ext. 259.

20 association focus Branching Out Enhancing Value for Members

Departments 04 chair Message 05 P resident Message

The Independent Magazine is the official magazine of the Independent Contractors and Businesses Association published once a year by MediaEdge Communications Inc. Opinions expressed in the magazine are those of the authors and not necessarily endorsed by ICBA or MediaEdge Communications. Editorial inquiries should be sent to the editor at: cherylm@mediaedge.ca


chair message //////////////////////////////////////////////////////////////////////////////////////////////////////////////////////////////////////

i cba board of directors

Build B.C. Strong

CHAIR Rick Boates Unitech Construction Management Ltd. VICE CHAIR Jim Bogusz Chief Operating Officer at Beedie Development Group

Meeting the needs of our members remains a priority.

PAST CHAIR Darcy Kray Durwest Construction Management Ltd. SECRETARY/TREASURER Steve Lux Brighter Mechanical Ltd. DIRECTORS Ivan Harmatny LMS Limited Partnership Dick Reid Kindred Construction Ryan Tones Peter Kiewit Infrastructure Rae Clarkson The Gisborne Group Ron Chambers Chambers Electric Corp Chris Gray Connelly Mechanical Laura Stanton All West Glass John Sharp Ventana Construction Ron Karras RMG Construction Mike Kask Burnco Colin Kaufmann WestShore Constuctors Jon Brandt Summit Brook Construction PRESIDENT Philip Hochstein

4

the independent | 2016

A

s the newly elected chair of the ICBA board of directors, I look forward to ensuring the association remains committed to supporting our members with the challenges and opportunities in the year ahead. Like the industry, the association expects steady and continued growth. Although several mega projects hold the promise of lots of work for the construction industry, optimism is tempered by potential delays or cancellation due to very organized and vocal anti-development protest groups. At ICBA we are committed to advancing responsible development through our bring projects to ‘Yes’ campaign and are working hard to inform residents of B.C. on how much responsible resource related projects mean to the health of our economy. We are certain that informed British Columbians will support responsible development and our members will be ready to Build BC strong. Read more about the campaign inside this issue. Other exciting news include the opening of our new Prince George office in late 2015. It will bring our industry leading advocacy, training and benefit services closer to our members in the central interior and the north. Also, through Construction Market Intelligence (in partnership with CMD Group), members will now have access to the largest database of Canadian projects,

making it easy for them to identify new projects and opportunities. ICBA will continue to expand our training offerings and expand our position as the single largest sponsor of apprentices in B.C. with more than 1,300 apprentices in our system that spans 30 trades and 160 employers. The association is also working on developing a database of skilled open shop workers and their qualifications to connect them with potential employers. Meeting the needs of our members remains a priority. Another strength of the association is our leading employee health benefits programs. Our member company’s employees will continue to be provided with the widest range of health, benefits, and retirement products, delivering the best possible coverage at the best possible price. As the leading voice of B.C.’s construction industry, ICBA will continue to speak out on issues that impact its members including labour and employment policies, fair tendering, WorksafeBC policies, regulation, taxation and infrastructure. We will collaborate with our government agencies to streamline their processes and reduce costly red tape and delays. We encourage you to get involved and make sure your voice is heard. With your help, ICBA is working to build a stronger and better B.C. Rick Boates Chair, ICBA


/////////////////////////////////////////////////////////////////////////////////////////////////////////////////////////////// president message

The New Fight Ahead

T

his past year we celebrated ICBA’s 40th anniversary. As an industry leader in the B.C. construction sector, ICBA and its members have shaped the landscape of B.C.’s construction sector. We were humbled to see many friends at our anniversary gala. Much of the labour stability and peace we enjoy today are a result of the hardships endured by ICBA’s founding members, who recognized an inequality the open shop sector faced in the 1970s. What began as a movement for an inclusive labour model has evolved ICBA into a growing and influential organization with more than 1,200 members in the province. We believe our success comes from the support of our growing membership and by staying true to the guiding principles that solidify an open and level playing-field in the construction industry. Today, we can all be proud of what we have accomplished. The open shop industry is larger than ever, involved in virtually all major projects and accounting for more than 85 per cent of the industry. In the last year, we grew our training efforts with the successful launch of the Construction Industry Training Network, a new subsidiary that aims to ensure that B.C.’s construction industry has a diverse, skilled workforce for the years to come. As we move forward into 2016 and beyond, we continue to offer new and improved services to our members that help them to build better, stronger businesses. Our newest program, Construction Market Intelligence, is the ultimate construction tool for project leads and documents in B.C. It’s the most powerful, most comprehensive, one­-of-­a-­kind search tool to discover and bid on all construction projects. We are thrilled to provide this new service exclusively to ICBA members. With that said, there must be projects to bid on, and our sector is under attack by a growing vocal minority with well-organized and well-funded backers. Despite the sensible and responsible proposals for new resource and infrastructure development, skilled workforce, leading-edge environmental management expertise, this group continues to shout ‘no’ at every turn. ICBA has set its sights on advancing responsible development and the fight for economic development in B.C. This is the new fight ahead and ICBA is on the frontlines, building a growing community of supporters who believe that responsible development helps city’s grow and thrive, creating jobs for us and our children while mitigating risks to the environment. There is a lot at stake for B.C. and with your support, we can encourage British Columbians to stand up and help bring projects to ‘yes.’ 2016 will be a pivotal year as the future of many major projects hangs by a thread. This is an opportunity for us to set the direction of the construction industry for the next 40 years and create a thriving and prosperous British Columbia.

ICBA has set its sights on advancing responsible development...

icba-Jan-2016.pdf

1

2016-01-21

12:15 PM

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CM

MY

CY

CMY

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Philip Hochstein President, ICBA

Design Build General Contracting Construction Management

For more information please call us at 604-638-1212 or visit our website at www.walesmclelland.com

2016 | the independent

5


economy ///////////////////////////////////////////////////////////////////////////////////////////////////////////////////////////////////////////// profile ///////////////////////////////////////////////////////////////////////////////////////////////////////////////////////////////////////////////

Growing the Economy ICBA will provide leadership, project information and urge public participation. By Jean Sorensen

Roberts Bank, Port Metro

T

he Independent Contractors and Businesses Associations of B.C.’s (ICBA) Growing the Economy campaign is aimed at identifying those who favour responsible resource development and taking a strong leadership role in raising the voice of the often silent majority, says Philip Hochstein, ICBA president. “We want to harness that support and encourage people to participate at public hearings (on resource and other project developments), write letters and generally show their support,” says Hochstein, adding an ICBA commissioned survey found that the majority of B.C. residents do support responsible resource development.

6

the independent | 2016

c ou r t esy of Por t Metro Vanc ouver

Vancouver


////////////////////////////////////////////////////////////////////////////////////////////////////////////////////////////////////////////////////////////// Pipeline projects

Hochstein says the reality is when support is provided, it is often scattered or sporadic, lending itself to be out-shouted by a better organized and vocal minority. “There has not been anyone there to bring this majority together. We are taking that leadership role.” Hochstein says that the ICBA campaign started with a modest social media campaign in late 2015, mainly through the ICBA website (www.icba.ca/Growing-TheEconomy) and smaller ads. The website provides information on the campaign while a pop-up box asks individuals to sign up and provide their email address to receive information on how to support projects. The initial support for the campaign has been stronger than expected, says Hochstein. “We are now ramping up the campaign.” The more aggressive campaign will feature harder-hitting ads and more publicity to increase public awareness of the need for supporters of B.C. resource development to sign up and voice their support for resource development in the province. “We do not want to be known as a province where you cannot get anything done,” says Hochstein, adding that B.C.’s reputation for stalling resource development does not fit with the NRG Research poll results. Of the 800 B.C. residents surveyed, 84 per cent supported responsible resource development. The survey found that of the 800, 67 per cent support the Site C Clean Energy project and only 18 per cent oppose

Mining projects

it; 68 per cent support expansion of our ports and 20 per cent oppose it; 62 per cent support mining and 25 per cent oppose it; and 58 per cent support LNG development and 28 per cent oppose it. Hochstein says there is the impression that the opposition comes from the political left but the NRG Research survey found the “no” vote was non-partisan. Research findings show that 82 per cent of NDP voters support responsible resource development. More specifically: 60 per cent support the Site C Clean Energy project and only 28 per cent oppose it; 62 per cent support expansion of our ports and only 28 per cent oppose it; 54 per cent support mining and only 35 per cent oppose it; and

43 per cent support LNG development and 45 per cent oppose it. Hochstein expects that the ICBA list of email address collected will run into the thousands and as the campaign unfolds the organization will be sending blast-email or targeted emails urging individuals to support project on a provincial or regional level. “We want to generate a list of supporters, help educate that list of supporters with information on projects as it becomes available, and ask supporters to voice ‘yes’ when appearing at the public hearing. We will provide information and background. What this is going to do is give those attending these hearings more confidence that they are part of the story and part of the outcome,” he says. 2016 | the independent

7


economy /////////////////////////////////////////////////////////////////////////////////////////////////////////////////////////////////////////////

OceanWEsT ConstruCtion

Building EnvElopE REmEdiation SpEcialiStS

# 1 1 3 – 1 0 8 3 E . Ke n t N o r t h , Va n c o u v e r, B . C . V5X 4V9

Congratulations ICBA on your continued success and support in the industry. We are proud to be members. G e n e r a l C o n t r a c t o r s Telephone: (604) 324-3531 Fax: (604)324-3532

Hochstein says there is the ability to link the ICBA campaign to other regional support groups such as local chambers of commerce or business associations that are in favour of responsible resource development and understand the immediate and downstream benefits accrued by having a project developed in their area. “We also hope that big business will come on board,” he says. However, these regional and larger organizations often lack “the boots on the ground” to rally support for projects. “We are trying to build an army,” Hochstein says. The opposition has successfully organized and rallied their own supporters in the past and the ICBA venture is intended to unite an even larger “army” of supporters, he says. “The thing that is important to remember is that these economic developments lead to other kinds of economy activity,” says Hochstein, giving the example of well-paid resource construction employees and resource employees impacting the economics of the towns in which they live.”These are the people likely to buy that new car, renovate their homes and spend dollars at commercial developments. These projects and the employment also generate the tax base that pays for our doctors, nurses, and teachers. It is matter of connecting the dots.” Hochstein is urging businesses and individuals to exercise their social license and participate in responsible resource development. “We have not done enough to educate the public to the many positive benefits of economic development while the other side has been actively pointing out the negative.” Project both proposed and underway that the ICBA is currently supporting include the TransMountain Pipeline Expansion, planned LNG projects, port expansion in the Greater Vancouver area to accommodate growth, copper and gold production at the Ajax mine, the Site C Clean Energy Project and residential construction. ICBA

Since 1981

Wilson M. Beck Insurance Services Inc. General Insurance & Contract Bond Brokers

~ Proud to be a member of ICBA ~

“Serving the construction industry since 1981” Burnaby 604-437-6200

Kelowna 250-763-3840

www.wmbeck.com 8

the independent | 2016

Calgary 403-229-2060


///////////////////////////////////////////////////////////////////////////////////////////////////////////////////////////////////////////// PROJECTS

SITE C: A HISTORIC PROJECT By Bill Bennett, Minister of Energy and Mines

S

ite C was identified decades ago as the best place for the next major hydro-electric facility in B.C. The project had been studied more than any other project in B.C. history. And now it is getting built, and of course opponents insist yet more study was required before a decision. I disagree. Government has an important obligation to consult with the public. Government has an obligation to listen to everyone and to respect those who will be impacted by proposed projects. But government ultimately has an obligation to govern and to make difficult decisions that are in the best interests of the majority of the people. Site C is that kind of decision. We will need Site C. B.C.’s economy is growing faster than any other province. Our population is increasing. New cleaner technologies such as electric cars will require

more electricity as will our industries. Only the NDP would suggest we will not need additional generation and of course, we wouldn’t need new generation if they were in government because our economy would not be growing. Site C will provide the least expensive electricity for over 100 years. British Columbians will benefit from clean, inexpensive electricity for generations. Site C’s 1,100 megawatts of capacity will also allow BC Hydro to take on more intermittent sources of electricity, like wind and solar. Site C will help us retain our competitive advantage of reasonable power prices in a North American context of rapidly rising prices, while allowing growth of alternate intermittent technologies. Under construction since July, 2015, significant site preparation work is taking place including local road work, clearing, access roads, a construction bridge, and a 1,600-person worker accommodation camp.

SINGLE LARGEST CONTRACT Peace River Hydro Partners was awarded the contract for the Site C main civil works,the largest single contract for the construction of the Site C project. Peace River Hydro Partners include ACCIONA Infrastructure Canada Inc., Petrowest Corporation and Samsung C&T Canada Ltd. The $1.75 billion main civil works contract includes the construction of an earthfill dam, two diversion tunnels and a roller-compactedconcrete foundation for the generating station and spillways. This work will create approximately 8,000 person-years of employment over the eight-year contract, along with business opportunities for local, regional and Aboriginal businesses. Approximately 1,500 people will be working on main civil works at the peak of construction.

2016 | the independent

9


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ALL HYDRO TRANSMISSION ELEMENTS

• Culverts and Endwall • Boat Launch Panels Utility Trenches • Modular Control Rooms

• Also the “COMPO-GIRDER™ • Tower Foundation Footings • Deadman Anchors

icba member since 1992


8190 AITKEN RD, CHILLIWACK, BC, V2R 4H5 EMAIL info@iotaconstruction.com | www.IOTAconstruction.com | PH. 604-702-0610

HIGHwAY AND MUNICIPAL BRIDGES

LOGGING AND MINING BRIDGES

HYDRO TRANSMISSION BRIDGES

PEDESTRIAN BRIDGES

ALL BRIDGE CONSTRUCTION ASPECTS: DESIGN • MANUFACTURE • INSTALLATION • PILING • BRIDGE CERTIFICATION

OVER 1,000 BRIDGES CONSTRUCTED OF ALL TYPES SINCE 1983: FORESTRY • MUNICIPAL • PEDESTRIAN • MINING • HIGHwAY • RESIDENTIAL

ICBA MEMBER SINCE 1992


survey ////////////////////////////////////////////////////////////////////////////////////////////////////////////////////////////////////////////////

2016 Wage & Benefits Survey 1-in-2 construction companies surveyed pay bonuses to their hourly employees.

50%

Bonuses Profit sharing

11%

Safety bonus

9% 41%

Upgrading / training allowance

4-in-10 provide upgrading or training allowances, while onequarter offer tools and clothing allowances.

Tools allowance

26%

Clothing allowance

24% 31%

Retirement programs BC Medical (MSP) — 100% company paid

16%

BC Medical (MSP) — employees share the cost

14%

Market Wage Range

30% provide at least some MSP coverage

Extended Health and Dental Plans for Hourly Employees

The actual range of wages paid to open shop construction trades has stepped up fairly consistently over the last three years. The chart below shows the range from the lowest to highest average wages across all trades, along with the average wage across all trades and levels.

10%

do not offer coverage

$40 $35

26% 63%

$30

cover the full cost

cover part of the cost

$25 $20

9-in-10 companies surveyed offer extended health and dental to their hourly employees.

$15 $10 2013

2014

2015

2016

2017

Wage Forecasts Companies expect wages for their tradespeople to increase about 3% per year. Average pay is forecasted to increase by 2.8% in 2016 and by 3.1% in 2017.

2013 12

the independent | 2016

2014

2015

2016

2017


///////////////////////////////////////////////////////////////////////////////////////////////////////////////////////////////////////////////////////////////

BC’s open shop construction companies are expecting business to continue growing in 2016.

Net Change (Increase — Decrease) +35%

+44%

+42%

41%

47%

48%

2014

48% are predicting an

increase in work volume, while another 46% are expecting the same volume as in 2015.

The growth anticipated by open shop construction companies in Northern BC over the last few years has cooled off. The majority of companies were expecting growth in 2014 and 2015. However, expectations are now evenly balanced, with just as many companies expecting a decline in business as expecting an increase. Northern BC Net Change (Increase — Decrease) +71%

+58%

+0% 22%

71%

58% 56%

29%

42%

22%

2014

2015

2016

Increase

Stay the same

Decrease

predicting an increase in business

53%

46%

50%

6%

6% 2014

2015

2016

2015

2016

North

71% 58% 22%

Lml/valley

44% 47% 52%

van island

30% 40% 57%

interior

38% 54% 52%

42%

number of employees

10%

7-in-10 companies conduct most of their work in the Lower Mainland and Fraser Valley.

employee hours

5% 8%

North Vancouver island

14% Interior 6%

2%

How companies plan to handle changes in business volume in 2016 4-in-10 companies are looking to hire new tradespeople in 2016 to deal with the increase in business. Some companies will also be increasing the hours of their existing employees. This trend has remained consistent for the past 3 years.

72%

lower mainland + fraser valley

Half of the companies surveyed are in Industrial, Commercial or Institutional construction, while 40% are in Residential construction. Construction is a small business industry as most contractors have fewer than 50 employees and revenues of less than $10 million. 2016 | the independent

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projects /////////////////////////////////////////////////////////////////////////////////////////////////////////////////////////////////////////////

Contracts have been let for the $470 million worker accommodation contract and most recently, the $1.75 billion main civil works contract. Next will come contracts for the turbines and generators, generating station and spillways, Highway 29 realignment, and substation and transmission lines. Over the life of the project, Site C will result in an increase of $3.2 billion to provincial gross domestic product (GDP). Of 600 workers on site this past fall, 450 — or 75 per cent of workers — were from B.C. BC Hydro has strategies in place to ensure regional workers and businesses have access to opportunities. Employment will increase steadily with an expected 10,000 jobs in all. As readers of this magazine know, Site C is being built on the basis of a managed open site approach — all workers and all contractors, union and non-union will have opportunity. Site C presents a major opportunity for ICBA members to participate and be part of building a historic project for this province. ICBA Bill Bennett is the B.C. Minister of Energy and Mines.

GML Mechanical Ltd. is a mid size full service Mechanical Construction Contractor that has been operating in the Lower Mainland since 1989. GML Mechanical has been involved in the construction and renovation aspect of the building industry providing services in: • Plumbing • Heating • Gas • Ventilation

• Air Conditioning • Controls • Fire Protection • Insulation

Unit 13 - 7335 72nd Street, Delta BC V4G 1L5 P 604.940.9686 | F 604.940.9687 | www.gmlmech.ca 14

the independent | 2016


////////////////////////////////////////////////////////////////////////////////////////////////////////////////////////////////////////////////////////////////

FIRST 100 DAYS OF CONSTRUCTION • More than 600 people working on the project and this number will continue to increase in the coming years. • More than 1,000 people and over 200 businesses participated in jobs fairs and business-to-business networking sessions in October in Tumbler Ridge, Chetwynd and Fort St. John. • 900 metres of public road improvements have been completed, with another 1.6 km of roadwork underway. • Another 15 km of construction access roads are under construction within the dam site area. • Over 530 hectares of land has been cleared as part of site preparation work. • Approximately 13,000 m3 of timber has been delivered to local mills for processing. • More than 1-million m3 of material has been excavated and relocated on the north bank of the dam site. • A temporary 300-person work camp has been set up on site to house workers while the 1,600-person lodge is constructed. • The first concrete pour took place for the worker accommodation lodge in October and the first dorms have been delivered to site.

Unitech partners with clients in the construction management of projects in many sectors including education, health, recreation, First Nations, public safety, hospitality and multi-family residential.

2016 | the independent

15


projects ////////////////////////////////////////////////////////////////////////////////////////////////////////////////////////////////////////////

Supporting Responsible Development The Trans Mountain Expansion Project will provide long term economic benefits.

T

he Trans Mountain Expansion Project (TMEP) presents British Columbia with an exceptional opportunity to balance economic, social and environmental interests while creating longterm prosperity for all Canadians. ICBA strongly advocates for responsible resource development to grow B.C.’s economy and the Trans Mountain Expansion Project is one that should be approved and moved forward. It is to the benefit of all Canadians, even the small minority who object, that shovels should be in the ground, and pipe set down, as soon as possible.

ICBA survey shows support There is exceptionally strong support for responsible resource development and that support for these projects crosses political boundaries, and that opponents, while vocal, represent a very small minority in British Columbia. The poll found 84 per cent of residents support responsible resource development. British Columbians understand that a resource-based economy creates jobs not only in construction but in almost every other sector of the economy. The high paying jobs created by the pipeline lead to more spending at hotels and restaurants, at auto dealers, on after-school activities and recreation.

Protecting the Environment The environmental measures outlined in the project echo the construction industry’s own commitment to responsible and sustainable development. They reflect Canada’s strong regulatory structure, industry best practices and voluntary standards. B.C. has the skilled workforce and the regulatory environment to lead the world by example on how to build, operate and maintain pipelines. Trans Mountain’s application goes into great detail to explain how the company and its construction partners, strengthened by the NEB’s conditions for going ahead, will meet Canada’s high standards for responsible resource development. As Trans Mountain has stated, there must be management oversight, on-site environmental inspections, environmental training for all onsite personnel as well as the opportunity to consult with environmental decision makers such as wildlife biologists and water quality monitors once work is under way. For the long term, there are emergency preparedness measures, state-of-the-art pipeline spill prevention and protection technology, pipeline integrity monitoring, seismic risk mitigation and incident command systems in place for land spill response. These are all very expensive conditions but it’s the kind of approach that shows Canada can build and maintain this infrastructure correctly.

Economic Benefits A modern, federally regulated oil pipeline expansion project aligns with Canada’s short and long term economic and social interests. According to a report by the Conference Board of Canada, the 16

the independent | 2016

expansion project will generate almost $1 billion in economic activity and nearly 34,000 jobs a year. The employment and fiscal benefits of the project to the Canadian economy extend well beyond the construction and operations of the pipeline. Three key findings are: • The vast majority of the economic and fiscal impacts for Canada and its regions occur after the project is built. • Most of the economic benefits of Trans Mountain Expansion Project are generated because producers would obtain world oil prices, the benefits of which would circulate through the economy into higher employment and tax revenues. • Alberta obtains the largest share of employment and fiscal benefits; however, B.C. also experiences significant benefits including 24 per cent of the employment impacts and 12 per cent of the fiscal impacts. When all the impacts are added together, the TMEP is expected to support 802,000 person-years of employment and $46.7 billion in government revenues between 2012 and 2038. ICBA The project is awaiting approval from the National Energy Board, which expects to make a recommendation to the federal government by May 2016. If approved by the federal government, the expansion project would twin the 60-year-old pipeline, which runs 1,150-kilometre from the Alberta oilsands to a marine terminal in Burnaby.


////////////////////////////////////////////////////////////////////////////////////////////////////////////////////////////////////// merit Canada

fighting for transparency By Terrance Oakey

W

ith the result of the October federal election Merit Canada has had to shift focus from achieving additional gains on behalf of the open shop sector to protecting what we have achieved over the past four years. We have approached the new Liberal government in Ottawa with an open mind and a willingness to work on shared priorities like infrastructure investments, good jobs for the middle class, ensuring Canada’s labour market meets the needs of the economy and protecting workers’ rights through the principles of openness and transparency that were at the heart of the Liberal election platform. But before Merit Canada had an opportunity to meet with the new government — and before most ministers even had staff — on December 21 the Revenue Minister announced that labour organizations will not have to abide by Bill C-377, which imposed new financial reporting requirements on unions and took effect on January 1. With the stroke of a pen, the Minister erased four

years of work to pass this legislation and did so before even putting a bill to repeal it before Parliament. As a result, Canada’s unions will continue to spend the $4 billion collected in mandatory dues each year with no accountability or transparency to their members or the general public. Ironically, this announcement came just days before the final report of Australia’s Royal Commission into Trade Union Governance and Corruption that found multiple examples of bribery, extortion, blackmail, insufficient record keeping and misspending, with 79 recommendations to address the problems, including making unions more transparent and accountable to their members. Merit Canada plans to use the Australian report to demonstrate that Canada is moving in the opposite direction from the rest of the world when it comes to union financial transparency when the Liberals get around to introducing legislation to formally repeal Bill C-377. We will also highlight the Canadian examples that show the need for transparency, such as the debacle of the Ontario

Provincial Police Association in which three top executives of the union representing provincial police officers — themselves senior police officers — are under investigation for theft, breach of trust, fraud and laundering the proceeds of crime. And that will be just one fight in 2016. During the election the Liberals also promised to repeal Bill C-525, which guarantees a secret ballot vote for union certification in federally regulated sectors. Merit Canada believes a secret ballot vote is a fundamental principle of any democratic system and will be working with like-minded allies to defeat any legislation to repeal this right. In both cases, legislation to repeal these bills will have to pass through both the House and the Senate, and Merit Canada will ensure that Parliamentarians have a full understanding of the implications of this anti-worker action. Furthermore, in a direct assault on the open shop sector, the Liberal platform promised to “reinstate a modernized and inclusive fair wages policy for federal procurement,” thereby negating yet another legislative victory for the open shop sector (and taxpayers). 2016 | the independent

17


////////////////////////////////////////////////////////////////////////////////////////////////////////////////////////////////////// MERIT CANADA profile /////////////////////////////////////////////////////////////////////////////////////////////////////////////////////////////////////////////// Repealing the old Fair Wages Act was one of the most important measures to enhance competition, increase efficiency and reduce costs on federally funded projects. There is no justification for restoring such a policy as it has its origins in 1930s working conditions when there were few — if any — laws and regulations at the provincial or federal level protecting the legitimate interests of construction workers. The Liberals have promised to avoid introducing omnibus bills in which bundles of unrelated issues are dealt with in a single piece of legislation. Assuming they stick to that commitment and introduce a bill specifically on a fair wage policy, it will allow the open shop sector an opportunity to force a detailed review of any such legislation to ensure Parliamentarians understand the economic and fiscal implications. On the positive side, the Liberals have committed to double Canada’s planned spending on infrastructure, with investments slated to go from $60 billion to $120 billion over the next decade. The Liberal plan calls for $20 billion for public transit; $20 billion for social infrastructure, which includes affordable

housing, seniors’ facilities, early learning and child care, and cultural and recreational infrastructure; $20 billion for “green” infrastructure, such as local water and wastewater facilities, clean energy, climate resistant infrastructure and infrastructure to protect against changing weather; and $60 billion for more traditional infrastructure like roads, bridges, transportation corridors, ports and border gateways.

Merit Canada will continue to make the case that closed tendering on projects involving federal funds is unjust... This is good news for the constructions sector, but would be better if it came with a guarantee of open tendering for any projects funded with federal dollars. Merit Canada will continue to make the case that closed tendering on projects involving federal funds is unjust, as the money used to pay

for these projects comes from all Canadians and therefore all Canadians should have the opportunity to work on them. Recent actions by the new government suggest there is not a lot of cause for optimism when it comes to open tendering. However, as with the other issues listed here, Merit Canada will ensure Parliamentarians understand the fiscal implications of their policies — and with skyrocketing deficits at the federal and provincial levels, the efficiencies offered with open tendering have never been more salient. None of this will be easy, which should not come as a surprise since achieving these legislative gains was not easy in the first place. However, Merit Canada will make sure that the government recognizes that repealing these important initiatives comes with a cost — to taxpayers, to the principles of openness and transparency and ultimately to the very foundations of our democratic system. We did not ask for these fights in 2016, but we will be ready for them. ICBA Terrance Oakey is president of Merit Canada, the national body representing open shop construction contractors.

Phone: 604.520.7300 Fax: 604.522.0425 www.gisborne.com

Thank you for your continued loyalty to Pacific Vocational College...we treasure your patronage and never take it for granted. Pacific Vocational College (PVC) is a proud long time member of the ICBA and we claim the title THE OPEN SHOP TRAINER FOR THE OPEN SHOP CONTRACTOR Thank you for your continued loyalty to Pacific Vocational College… we treasure your patronage and never Youithave our commitment that we will work relentlessly to continue take for granted.

improving the quality of our training programs delivery.

Pacific Vocational College (PVC) is a proud long time member of the ICBA and we claim the title

I am so very proud of my instructors and staff for their dedication “THE OPEN SHOP TRAINER FOR and professionalism. Our lifeblood is the apprentice and the open shop contractor, on this factOPEN we are all perfectly clear. THE SHOP CONTRACTOR” You have our commitment that we will work relentlessly to continue improving the quality of our training Again, to all the contractors that have supported PVC over the past programs delivery.

25 years, we thank you.

I am so very proud of my instructors and staff for their dedication and professionalism. Our life blood is the apprentice and the open shop contractor… on this fact we are all perfectly Our new training shedule for 2016/2017 is available now atclear.

pvc.training Again, to all the contractors that have supported PVC over the past 23 years, we thank you.

Our new training schedule for 2014- 2015 is available now at www.pacificvocationalcollege.ca

We look forward to a continued partnership.

We look forward to a continued partnership.

Respectfully, Respectfully, Pacific Vocational College Ltd. Pacific Vocational College Ltd.

Robert Bradbury MEd

Robert Bradbury MEd. President President

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the independent | 2016

Gisborne is a multi disciplined construction company specializinG in the followinG work: MECHANICAL | CONCRETE | STRUCTURAL ERECTION FIRE PROTECTION | PIPING CONTINUOUS IMPROVEMENT ~ INTEGRITY ~ RESPECT ~ CLIENT FOCUSED


The ICBA ADVANTAGE helps you build a better business Construction Market Intelligence Health & Retirement Plans Training & Apprenticeship Support Advocacy & Research Networking

JOIN US AT ICBA.CA Independent Contractors and Businesses Association of BC Head Office: 211 – 3823 Henning Drive, Burnaby, BC, V5C 6P3 E: info@icba.ca T: 604-298-7795 Regional Office: 203 – 2666 Queensway, Prince George, BC, V2L 1N2 E: info@icba.ca T: 250-596-8118


ASSOCIATION FOCUS ////////////////////////////////////////////////////////////////////////////////////////////////////////////////////////////////

Branching Out

ICBA’s new Prince George office will engage and inform the region about economic growth opportunities.

By Robin Brunet

20

the independent | 2016

What prompted the opening of a new location, after so many years of productive status quo? ICBA Benefit Services Ltd. president Gordon Stewart says, “It comes when our growth is strong and our membership is at the 1,200 mark. We decided it was time to branch out, and Prince George is an important city within B.C.” Indeed, as the northern capital of the province, Prince George is widely regarded as a gateway for a host of resource development that, despite the current slump, will push B.C. to outperform other provinces in economic growth well into the future. The nascent LNG industry is the most highly anticipated facet of this development, followed closely by megaprojects such as Site C Dam and port expansion. All of this activity means an avalanche of contracting opportunities, which in turn will require a huge recruitment and training of new talent. “Our new office is partly the outcome of the regional diversification strategy endorsed by our board last year, so

The Fairview Container Terminal at the Port of Prince Rupert expansion is scheduled for completion in 2017.

we’ve been planning this for a while now,” says Stewart, who is assisting in the opening of the office. Plus, with Prince George just a one-hour airplane ride away, training staff can easily shuttle back and forth between the city and ICBA’s Greater Vancouver headquarters. Still, one of ICBA’s strengths has been its propensity to evolve with the times; so why, in this age of teleconferencing and other technology that renders travel optional instead of imperative, make a brick and mortar investment? “In theory we could have continued delivering our training and other programs exclusively in Greater Vancouver,” says Stewart. “But at the end of the day, there’s nothing like face-to-face communication to deliver information and build relationships. Our apprenticeship programs are handson, and ICBA staff members recruit people

Photo: Prin ce Ru per t Por t Au thority

F

or many organizations, growth means geographical expansion; but up until recently, the reverse was true of the Independent Contractors and Businesses Association (ICBA). Originally, the ICBA was widespread across the province, having been founded by numerous regional groups. But to improve efficiencies, services became centralized. So it’s somewhat ironic that 2016 sees the ICBA heavily involved in the opening of its first office outside of Greater Vancouver, in Prince George. Located close to that city’s downtown core, the office shares the same building as the BC Forestry Council and contains a boardroom, classroom, member lounge, and staff rooms. In January, long time Prince George resident Mike Davis could be found settling into his new role as vice president, regional initiatives, and Zoe Nunes was close by presiding over membership services.


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We are proud to be members of ICBA

Allwestelectric.com #2-169 Golden Drive Coquitlam, BC V3K 6T1

Zoe Nunez (left), member services coordinator and Mike Davis, vice president, regional initiatives in Fort St.John, BC Hydro B2B Sessions.

by going to jobsites. And then there’s the all-important issue of advocacy, which is aided immeasurably by in-person contact.” Considering how some groups create controversy over resource development, the Prince George office can act as a regional `go-to’ contact for media and politicians. “There’s no question the antidevelopment factions are adept at getting their message out, and as the north continues to develop so too will they,” says Stewart. “Our intent is to promote responsible resource development, engage northerners in this discussion, and create a positive industry profile that sends a clear message to policy makers.” In this regard, the ICBA already has considerable backing. Last November, it released a study showing that overall, 84 per cent of British Columbians support responsible resource development. Further, of the 800 people surveyed, the poll revealed that 67 per cent support the Site C Clean Energy and only 18 per cent oppose it; 68 per cent support expansion of ports and 20 per cent oppose it; 62 per cent support mining and 25 per cent oppose it; and 58 per cent support LNG and 28 per cent oppose it. Choosing the right people to run the new office was as important an element of the ICBA expanding north as the facility itself, and Mike Davis was selected partly due to his expertise in marketing and communication (in fact, his prior employment was as manager of marketing and communications for the Canada Games in Prince George). “And he’s also a local resident,” says Stewart. “He’s very well connected and respected throughout the region, which will make it easier to build trust. We really lucked out in getting Mike before someone else snapped him up.” As of late January, the ICBA was spreading the word about the office, and there’s a consensus among members that Prince George may well become a template for other new locations in the future. “We have no idea where the next office will be or when because we’re too busy getting this one up and running for a March grand opening,” says Stewart. “However, in our ongoing efforts to serve members and advocate responsible resource development, we have every reason to believe there will be more openings. This is an exciting time for us.” ICBA

Ph: [604] 464-6200 Fx: [604] 464-6209

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E-mail: info@skillsourcebc.ca

www.skillsourcebc.ca

2016 | the independent

21


ASSOCIATION FOCUS ////////////////////////////////////////////////////////////////////////////////////////////////////////////////////////////////

Enhancing Value for Members

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inding the next job or opportunity is critical to success in the construction industry. Understanding strategies to increase competitiveness also often makes the difference between whether a company thrives or not. For ICBA members, securing more leads and winning more bids just became easier through Construction Market Intelligence, a new digital plan room that relays updated project opportunities, detailed documents and project blueprints, and industry contact information. The digital service was created in a partnership between ICBA and CMD Group Canada, an unprecedented strategic alliance to enhance the value to ICBA members leveraging CMD’s powerful Insight platform. The service provides bid and post-bid project leads; electronic plans and specs; detailed insights on firms including owners, design professionals, engineers and contractors; optional access to pre-bid leads, material and labour estimates on projects; and industry forecast and analytical data. Construction Market Intelligence’s cross-platform functionality allows account access through a computer, smartphone or tablet. It will allow members to:

• View archived or new project plans with detailed specifications • Create and save custom searches • View project plans and specs by location • Have updates and notifications sent directly to an inbox The alliance also aligns the two partners for sourcing additional B.C. content including public and private sector projects “ICBA Market Intelligence delivers to our members timely project leads, bid documents, analysis and company insights, all within a very impressive online experience,” says Philip Hochstein, ICBA president. “CMD was able to expeditiously provide an electronic plan room and superior lead service which connects very well with our members’ needs and various sizes.” The new service is able to adapt its user experience, content and supplementary data based on member firm size at attractive price points after the complimentary period. ICBA’s Construction Market Intelligence is powered by CMD’s Insight platform, a leading North American digital lead service and electronic plan room. “We have a strong partner with ICBA, it’s a good fit, and we are thrilled to support its members through actionable construction data and informative content,” says Mark Casaletto, vice president and general manager, CMD Group Canada. ICBA

...securing more leads and winning more bids just became easier...

22

the independent | 2016


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