EDITORIAL:

MULRONEY TRADE DEA

CORPORATE

CONCENTRATION

The fallout from last Novem-
ber’s federal election is about to hit
those in the forest industry. Since
the election we are witnessing the
reaction of corporate mergers in a
wide range of industries.

Stone Container Corp.’s $2.6 bil-
lion buy-out of Consolidated Bath-
urst from Paul Demarais’ Power
Corporation signals the first post-
election forest sell-out. It also
brings Canadian workers Roger
Stone, the Chicago-based corpora-
tion boss, who is regarded by
American trade unionists as mili-
tantly anti-labour.

Will huge American industrial
corporations attempt to put our
forest industry in their back pock-

ets? It is a possible and likely
scenario. No doubt the forest
industry will reshape after this
anticipated shopping spree.
Even if the Mulroney-Reagan
trade deal is cancelled by a succes-

sive government, the upcoming
damage to organized labour through
plant closures, layoffs and disloca-
tion may seem irreparable. One
effective weapon that labour has
against the future upheaval may
be a well organized plan of national
and international boycotts.

Brewery workers, airline em-
ployees, and pulp and paper work-
ers are some of the first victims of
the trade deal. The terms “globali-
zation” and “rationalization” will
be filling the airwaves in the next
few years. They are terms to
explain the marriage of corporate
and political interests at the
expense of the public and its
resources.

No, the Mulroney trade deal is
not bringing a new era of freedom
in competition as was promised,
it’s only bringing us the conse-
quences of corporate concentra-
lon.

ROYAL COMMISSION OF INQUIRY
NEEDED IMMEDIATELY

Now that B.C. Forests Minister
Dave Parker and his colleagues
from the Ministry are finished
their charade of providing eight
“information sessions” on the pro-
posed establishment of new Tree
Farm Licences, it would be diffi-
cult for any rational person attend-
ing the sessions to believe that a
Royal Commission of Inquiry into
the B.C. forest industry is not
immediately required.

During each day of Parker's tour
his Ministry’s policies were pound-
ed by a wide range of British
Columbians. The B.C. Association
of Professional Foresters, the
Truck Loggers Association, as

well as numerous community, envi-
ronmental and native groups joined
with labour to reveal forest lands
mismanagement by current tree
farm licence holders.

To deny the request for an
inquiry would be a great injustice
to the people of B.C. Whether or
not the Social Credit government
of the day can withstand corpo-
rate pressure and influence to
grant additional TFLs without an
inquiry remains to be seen.

The government should realize
its decision will be crucial in deter-
mining the economic future of the
province.

LUI

MAGROMUNROD op. ees...
GERRY STONEY ... °
NEIL MENARD...
FERNIE VIALA .
BILL POINTON .
ROGER STANYER.
SEM SSMU fs. vs... se

ERWWORKER

Official publication of [WA-CANADA
NORMAN GARCIA, Editor
5th Floor, 1285 West Pender Street
Vancouver, B.C. V6E 4B2

- ta dia Gee President

Peete tes. Secretary-Treasurer

- 1st Vice-President
. 2nd Vice-President
.... 38rd Vice-President
... .4th Vice-President
....5th Vice-President

LETTER TO PM CALLS FOR CUTS
TO CORPORATE “WELFARE BUMS”

A March 6 letter to Prime Minister
Brian Mulroney from B.C. Federation
of Labour President Ken Georgetti
has requested that the Tory leader
have the will to stand up to “corporate
welfare bums”.

The letter cites statistics released
by: the federal government which
reveal that big business received more
money, in the last fiscal year, in the
form of forgivable subsidies and capi-
tal grants than it paid in taxes.

Corporate taxes during the first
eight months of that year were only
$5.5 billion. During the whole year the
Tories committed $9.7 billion to cor-
porate handouts.

“The Canadian business establish-
ment appears to have complete con-
trol of your government’s economic
agenda. In fact, it is widely known
that the Business Council on National
Issues, of which the Canadian Manu-
facturers Association is a member,
has controlled federal government eco-
nomic policies since it began its work
in 1982, including such policies as the
implementation of public sector wage
controls, scrapping the National
Energy Program, scuttling job cre-
ation and, ultimately, the implemen-
tation of the Free Trade Agreement
itself.

Virtually every time the council
makes a submission to your cabinet,

its recommendations are immediately
acted on.”

The letter expresses concern that
the Business Council has an agenda
to cut social programs. Georgetti
states that the council has no right to
have input in plans for deficit reduc-
tion, especially when corporations
cause a net increase in government
deficits every year.

In 1988 corporate profits increased
59 percent from the previous year
while taxes in the same period dropped.
by 9 percent. Meanwhile, the letter
states, personal income taxes have
risen to the point where they account
for six times greater revenue than
do corporate taxes.

“You must ensure that these prac-
tices of corporate mergers, globaliza-
tion of business, plant closures, or
any other euphemism for maximiza-
tion of profits at the expense of jobs
must stop. You must take steps to
ensure that corporations contribute
their fair share to the quality of life in
our country.”

The letter says that organized lab-
our will use its collective strength at
the bargaining table, at the plant
gate, in the boardroom and in the
marketplace to ensure Canadians do
not suffer because of the Prime Minis-
ter’s lack of will.

LUMBERWORKER/MARCH, 1989/5