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UNIONS VS.

DEMOCRACY: The struggle to reclaim our political landscape

Volume 23 Issue 1 Spring 2015

A FORUM ON OPEN SHOP CONSTRUCTION

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Contents
Volume 23 Issue 1 Spring 2015

36

22
10 The Future of
Construction: 2015-2035

6
ON THE COVER
6 Balance Beam
With a deficit in skilled workers and the
baby boomers ready to retire, Albertas
construction industry engages its new
torchbearers high school students
By Robbie Jeffrey
Photography by Bookstrucker

14

The next 20 years will host an array of


technological changes in construction.
If youre not looking ahead, youre
already behind
By Kirk Alter

36 The Contractor of the


Year Awards

14 State of Disunion

Meet the innovative and exceptional talent


in Albertas construction industry

Unions exert tremendous influence


on our political landscape. What impact
will this have on the construction
industrys future?
By Line Porfon

19 Merit Has Changed the


Construction Industry

43 Open for Business


An update from Merit Canada on its
triumphant 2014
By Terrance Oakey

46 By the Numbers
The data behind the decisions

The recent past president of Merit


Alberta looks back on the last 28
years in the industry
By Stephen Kushner

22 A Workforce that Works


So you need a TFW? Theres a grant for that
By Peter Pilarski

26 A Natural Alliance
ABC and Merit Canada join forces to
tackle common problems and share
best practices
By Joanna Masterson

32 Aging with Grace


The aging workforces impact on health
and safety
By Gary Clevenger and Brian Roberts

32
OPENMIND SPRING 2015

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VPS91168

Presidents Column

The Future is Wide Open


Volume 23 Issue 1 Spring 2015
Publisher

Ruth Kelly

Executive Editor

Malcolm D. Kirkland

Associate Editor

Suzanne Pescod

Director of Custom Content

Mifi Purvis

Assistant Editor

Robbie Jeffrey

Production Manager

Betty Feniak Smith

Production Technicians

Brent Felzien
Brandon Hoover

Circulation Manager

Karen Reilly

Vice-President Sales

Anita McGillis

Advertising Representatives

Kathy Kelley
Alison DeGroot

Sales Assistants

Julia Ehli
Ashley Martin

Art Director

Charles Burke

Associate Art Director

Andrea deBoer

Assistant Art Director

Ben Rude

Contributing Writers
Joanna Masterson, Terrance Oakey, Stephen Kushner,
Peter Pilarski, Gary Clevenger, Brian Roberts, Kirk Alter,
Line Porfon, Robbie Jeffrey
Contributing Illustrators and Photographers
Bookstrucker, Michael Byers, Isabel Cardinal,
David Moore, Heff OReilly, Ben Rude
Open Mind is published two times per year by Venture
Publishing Inc. for Merit Contractors Association.
Venture Publishing Inc.
10259-105 Street,
Edmonton, Alberta T5J 1E3
Tel.: (780) 990-0839
Fax: (780) 425-4921
admin@venturepublishing.ca
www.venturepublishing.ca
Merit Contractors Association
103-13025 St. Albert Trail,
Edmonton, Alberta T5L 4H5
Tel.: (780) 455-5999 or 1-888-816-9991
Fax: (780) 455-2109
meritedm@meritalberta.com
www.meritalberta.com
Merit Contractors Association is a non-profit
organization that offers human resource services
to the open shop construction industry.
Printed in Canada by Transcontinental LGM Graphics
The opinions conveyed by contributors to
Open Mind magazine may not be indicative
of the views of Venture Publishing Inc. or
Merit Contractors Association. While every
effort is made to ensure accuracy, neither
Venture Publishing Inc. nor Merit Contractors
Association assume any responsibility or
liability for errors or omissions.

On behalf of Merit Contractors Association,

welcome to the 23rd edition of Open Mind


magazine.
The past year has been full of change
for Merit Alberta as Stephen Kushner has
retired and I have taken over the role of
president at Merit Contractors Association.
As the construction landscape continues to
shift with changing economies and a diverse
scope of people working in the trades, this
edition of Open Mind aims to tackle some of the future challenges and
opportunities of the industry.
As an organization, Merit is dedicated to positioning the trades as
a desirable career path for Albertans. In the story Balance Beam we
highlight the ways schools and industry are working together to provide
trades opportunities to high school students.
Technology, workforce development, and productivity will all be
important factors in the next 20 years. Respected and knowledgeable
industry insider, professor Kirk Alter of Purdue University, gives us a look at
the future of construction in The Future of Construction: 2015-2035.
Canadas shifting policies both federally and provincially have significant
impacts on the construction workforce of Alberta, and the issues
surrounding those policies and their implementation are explored in
A Workforce that Works. And Terrance Oakey, president of Merit Canada,
provides an update on activities at the federal level of government and how
Merit Canada is working for the open shop movement in the article Open
for Business.
Along with an update from Merit Canada, A Natural Alliance is the
announcement of a new partnership between Merit and the Associated
Builders and Contractors organization in the United States, with input
from both parties on the newly formed relationship.
The fifth annual Contractor of the Year Awards showcases the amazing
work and projects happening in our province, and the winners of the 2015
awards are profiled in this edition of Open Mind.
Thank you for your interest in this magazine we hope it leaves you
with some insight into the most important issues facing our industry today.
If you have any suggestions for future topics, please let us know.
We wish you a successful 2015!

Canadian Publications Mail Product Agreement


#40020055
Copyright 2015 by Merit Contractors Association
No part of this publication should be reproduced without
express permission of Merit Contractors Association.

Malcolm D. Kirkland
PRESIDENT
MERIT CONTRACTORS ASSOCIATION

OPENMIND SPRING 2015

Balance

BEAM

With a deficit in skilled workers and the baby boomers


ready to retire, Albertas construction industry engages its
new torchbearers high school students

PHOTOS: BOOKSTRUCKER

BY ROBBIE JEFFREY

OPEN SHOP: Students are engaged and working


hard in one of SAITs dual credit programs.

OPENMIND SPRING 2015

he Alberta economy is a balancing act on a grand


scale. In periods of prosperity, we invest for the inevitable
slowdown. When the iron is hot, we approach cautiously
before striking. With this sense of delicacy, Albertas construction industry tries to tackle its labour shortage a major concern for
a province with billions of dollars in new projects planned, and for an
industry in which so many senior employees are poised to retire.
Albertas population is both growing and aging a precarious
combination, given that the provincial government predicts a
shortage of 96,000 workers over the next decade. Most of that void
will affect the trades and oil and gas. Employers have looked for
workers from elsewhere in Canada and abroad, but this is a stopgap measure. For the demand to align with the availability of skilled
labour, the province will need a solution thats closer to home and
sustainable. And sustainability is Peter Pilarskis main objective.
OPENMIND SPRING 2015

Benefit Boom
Balance
Beam

As vice-president, southern Alberta, of


Merit Contractors Association, Pilarski is
heavily involved in dual credit programs,
partnerships between school boards and
industry that allow students to work
towards apprenticeships while completing their high school education. The key to
a sustainable future for the industry is to
engage the provinces up-and-coming workforce to persuade high school kids into a
career in construction, he believes. From
Merits perspective, our number-one priority for any initiative is that it needs to be sustainable, he says.

dropout rate decreases modestly most years,


its 2013 dropout rate was higher than it was
in 2011, and its still one of the highest in
Canada. And First Nations, Inuit and Mtis
in Alberta have dropout rates that more than
double the provincial average.
At the same time, industry and government leaders across the province are bringing attention to the fact that our educational
mandate is at odds with the realities of
our economy. In January 2014, Thomas
Lukaszuk, then minister of Jobs, Skills,
Training and Labour, said that efforts to
align post-secondary education programs

These programs provide real-world


opportunities, Debbie Vance says. They
transform kids, schools and communities.
Pilarskis projection of the labour shortage is much grimmer than the provincial
governments: he says a safe estimate for
how many workers the construction industry alone will require in the next 10 years is
100,000. And despite the current slump in
oil prices, he says, We have a lot of people
retiring over the next 10 to 20 years. In an
environment where were already short,
its a crunch.
Yet the construction industrys labour
shortage is symptomatic of larger issues
both within the province and the education
system at large. While Albertas high school
8

OPENMIND SPRING 2015

and the demands of the economy were paying off, but he still warned of drastic shortages. And Ken Gibson, executive director of
the Alberta Construction Association, told
the Calgary Herald that despite the millions
of dollars put into scholarships, tuition
refunds, and other programming and training around recruitment of an Alberta workforce, the demographics and the changing
nature of the work means were still going to
have to supplement the local workforce that
were growing.
Part of the challenge in Alberta, says
Pilarski, is that the education system steers

kids more forcefully toward university,


away from the trades. There are many kids
who would like to use their hands and their
creative minds a bit more, he says. We need
to provide opportunities to those kids who
could flourish in a more hands-on career.
Debbie Vance, a dual credit administrator
with the College of Alberta School Superintendents (CASS), is in the business of
marrying education and local career opportunities. She too sees construction as a vehicle for teaching kids more of what they want
to learn, and for relieving other problems
within the education system as well.
Dual credit programs allow students to
gain credits for graduation at their high
school, but also to receive a post-secondary
transcript dual enrollment, in effect. Vance
talks unreservedly about the budding partnerships between schools and industry, and
is clearly inspired by what she sees at her job.
Ive worked in this world for 15 years, she
says. Dual credit is becoming more and
more important.
In 2013, the Alberta Government pledged
$11 million for dual credit programs.
CASS manages the grant process. As Vance
explains, the programs have four main goals:
to help high school students complete high
school; to increase post-secondary completion and registration; to help students
connect more with the labour market and
understand workforce development; and
to form partnerships. And while dual credit
programs cover a growing number of disciplines, the trades feature prominently. Vance
says that when CASS had its first round of
applicants, almost everybody applied for
the trades.
But she admits that the province is missing out on an opportunity. Like Pilarski, she
points to Albertas dropout rate. Theyre
not engaged, she says of students. Theyre
quite bright, but they dont see the relevance
of what theyre learning. She believes that
a transformation in how students learn
about construction could engage the potential dropouts and sate the need for skilled
labour. Were not providing the right educational opportunities for the construction
industry, she says.
The issues of labour shortage and
Albertas dropout rate, and the disconnect between the economy and the workforce, means Alberta faces a number of

workforce-related obstacles. But Vance and


Pilarski hope they can solve them in tandem, and to mutual benefit.
Kids used to learn about construction
in their schools construction labs. Some
15 to 20 years ago, the federal government
funded these labs, but over time they gave
way to less expensive programming like
drama classes. The labs that still exist are
mostly outdated and inadequate. In parallel,
the number of teachers with construction
experience has dwindled. There are programs that will help teachers learn a trade,
or will help a tradesperson get an education
degree, but a two-year or longer commitment is an unrealistic hurdle to expect either
side to clear.
Merit is working to create partnerships
with Edmonton, Calgary, rural Alberta and
First Nations groups, and hoping to expand
on a dual credit program in Calgary. It has
also discussed possibilities with SAIT and
the Calgary Board of Education. Pilarski says
that to make a dual credit program work, it
needs to have multiple partners involved
preferably two school boards in the region,
a post-secondary institution, and as many
industry partners as possible. And the recent
successes across the province show that
cooperation should come easily.
Pilarski makes the case that the more
kids learn about the construction industry,
the more theyll consider it a viable career,

about being a manual labourer, he says.


Thats a large part of the industrys appeal
gone are the stereotypes of construction
workers as academic underachievers; todays
industry requires creative and technical
talent across all fields. Engagement in the
field should be used to motivate kids to do
well in school, Pilarski says. Construction
offers hands-on, tangible examples of
complex, theoretical math and science
principles, the likes of which a student
might see on a jobsite before they see it
in a classroom. It seems odd to propose
that experience in construction can help
high school students with algebra, but the
experience goes farther than that.
In school, there are a lot of students asking, Why am I learning this? Pilarski says.
The dual credit programs give kids the
answer to that why. And once they figure
out the why, the how becomes intriguing.
But teaching kids about construction is not
necessarily the point; the goal is to teach
them about the world with construction, using
construction. Its not hard to get kids excited
about it, but too often, whats holding them
back is the pressure to ignore the trades and
go to university.
Gary Gies is the executive director of the
Red Deer Construction Association (RDCA),
and is also an active champion of the industry. He wants to demonstrate ideas to classrooms using real-world examples. He names
the non-profit Careers: Next Generation as a

In school, students are asking, Why am I


learning this? Peter Pilarski says. The dual
credit programs give kids the answer.
and a number of programs have borne this
out: He cites an example of a partnership
in Red Deer where every morning, for five
days a week, about a dozen students join
a builder on site, to help build a house.
And in southern Alberta, the Junior
Achievement program works with industry
stakeholders to develop a program that
has kids build a mock business in the
construction industry. Both programs
are going over well with students, parents
and educators. The excitement of these
programs is that it allows both kids and
parents to see that construction isnt just

model for a work experience program, and


is working on improving a Try-A-Trade program for the Central Alberta Career and Job
Fair this year. But perhaps most radically,
he wants to see construction in the school
curriculum. He wants teachers to identify points in the syllabus where construction principles could highlight otherwise
abstract ideas. Maybe a concrete company
could come into the school to illustrate a lesson on angles, he suggests.
Gies says that in 2014, the board of the
RDCA made it a priority to reorganize its
committee structure. It now has a dedicated

education committee, consisting of many


board members. He has organized hands-on
presentations for schools a sheet metal
group once had the students build whistles.
Like Junior Achievement, his presentations
are popular, and he attributes their success
to their practical applications, as Pilarski
does. And the education committee features
leaders from industries and practices across
the spectrum, from lawyers to plumbers.
We work with blueprints and were doing
calculations all the stuff theyre doing
in school, but were relating it to the real
world, Gies says. Were trying to give them
that perspective. Theres a reason why theyre
learning these things, and once they get out
into the real world, a lot of it applies. The
ultimate goal is for the students to want to
learn more about it and to get some work
experience in the field. By the time theyre in
their early 20s, Gies says, they can be well on
their way to a good career. And the construction industry will be well on its way to a balanced, sustainable workforce.
Pilarski thinks that theres more
enthusiasm for dual credit programs today
than there was before the recent slump.
Low oil prices mean the labour market has a
chance to recalibrate; employers in construction will still be looking for employees, just
less frantically.
But it also means that people are getting
creative. Partnerships abound. Optimism is
at an all-time high. Out-of-the-box things
are happening were getting away from
the need for bricks and mortar. We can give
kids opportunities away from high school,
he says. Gies is also enthusiastic about
bringing the next generation into his industry. By being in schools, in front of teachers, I think some people will be amazed at
some of the things that happen within our
industry, he says.
Debbie Vance shares in the optimism too,
of course. She says that Gary Gies is doing
great work and that Merit has been an ally in
her promotion of dual credit programs. And
shes firm in her belief that the construction
industry can help remedy problems of the
education system at large, that it can help
lower dropout rates and further professional
satisfaction. These programs provide realworld opportunities, she says. They transform kids, schools and communities.
OPENMIND SPRING 2015

10

OPENMIND SPRING 2015

ILLUSTRATION BY: DAVID MOORE

The

of
Future
Construction:
2015-2035

The next 20 years will host unprecedented


technological changes in the construction
industry. If youre not looking ahead,
BY KIRK ALTER
youre already behind

he confluence of computer modelling, mobile devices, and new building


materials has put us at the beginning of a new era for construction, says Darren
Conlee, construction executive, M.A. Mortenson Company.
A new era indeed! Construction has entered into its next iteration and the
successful contractor will learn to embrace change and prepare for its future by
gaining the skills, tools, technologies, mindset and culture required to fully engage and profit
in this paradigm shift.
All change is marked by this typical adoption-innovation cycle: Innovators and early adopters
embrace technological and systemic change in response to a small group of forward-looking customers who want technology and performance, while the rest of the industry lags behind in adopting new processes, techniques, tools and ideas. Eventally, pragmatists see the shift in the industry
and move to catch up. Finally all but the laggards see the light and come to change, whether by
choice or by force. The laggards and skeptics are the Luddites, and they hold on to the past
until it kills them.
This is an exciting time to be in the construction industry. Everything is changing rapidly. Yes,
we still face significant challenges with skilled labour as the biggest but the future is extraordinarily bright, and contractors must determine their roadmap for success for the next 10 to 20 years.
There is much to learn and much to do to catapult the contractor of today to success. To be successful youre going to have to address your capabilities and skills in at least the following areas:
computer modeling and BIM; mobile devices; new building materials; modularization; robotics
and automation in construction; 3-D printing; labour productivity and the human/machine

OPENMIND SPRING 2015

11

The Future of Construction: 2015-2035


interface; wearable technology; superintendents and technology; the future of
estimating, planning and managing the
project; workforce recruitment; supply
chain relationships and division of labour;
greater transparency; and the rethinking
of how you add value and what your firm
actually does.
The intent of this article is to simply
introduce some of the ideas, and provide
some suggestions for action plans for the
successful contractor. Proficiency comes
with more investigation, asking questions,
research, practise and experimentation.
One way of thinking about the future
and your firm is to decide what changes
you want to act on now, which ones can be
acted on in the near term, and which ones
will take time to capitalize on.
What to do NOW if you arent already
doing these things, then youre a late
majority conservative, and on your
way to being a laggard.

1. All field supervisory personnel and project managers must be using contemporary technology to do their jobs effectively.
The use of mobile devices to perform data
capture and analysis, communication and
coordination tasks is the minimum expectation today.
If your field supervisors are not using
tablets or iPads in the field, then you are
definitely behind the times. Ive heard
all the excuses: We have laptopsI gave
them a smart phonewhats wrong with
good old papermy supers are older guys
and they wont use the technology. All
of that is simply rubbish. There is no better way for the field supervisors and project managers to manage, document,
evaluate, coordinate and communicate
than using a tablet or an iPad. All of their
drawings and specifications should be
immediately accessible to them. They
should be able to provide inputs into the
company systems in real time and get
real-time feedback. There are multitudes
of online sources to help if you are not up
to speed.

2. Your project planning and execution


must be informed by the ability to use data
and modeling in an effective way. Computer modeling and BIM may be optional
12

OPENMIND SPRING 2015

now for you and your firm, but it will not


be that way for long. Your ability to accurately and quickly represent your plan for
the project and how you and your systems
interface with all other building systems
is rapidly becoming a minimum requirement. If, when you are talking about BIM,
youre still talking about collision detection you are behind the times. Collision
detection is old news, and frankly something weve done for a long time. Where
is your level of expertise and added value
when talking about using BIM? How about
taking your knowledge and expertise of
BIM here:

3. If you are still performing your field


layout functions the old-fashioned way,
then you are behind the curve. Electronic
layout is faster and more accurate and
enhances field productivity and coordination. Laser scanning to perform rapid,
accurate, non-disruptive or non-destructive field measurement of existing conditions is far superior to field measuring, and
provides a superior method to documenting as-built conditions. The excuses that
construction firm owners and managers
make that the technology is too expensive are poor rationalizations. The tools
required to perform electronic layout and
scanning cost about what a typical pickup
truck costs. Most pickup trucks that construction companies own provide little
in ROI as most are used for nothing more
than hauling one employee around from
home to jobsites. Electronic layout and
scanning tools provide a significant ROI.
At DPR today, robots are laying out walls
50 to 100 per cent faster than humans.

4. Yes, as an industry we have a problem


attracting young people. In a large part, the
reason for this is that our industry acts like
a dinosaur. Were late to adopt technologies; we refuse to envision what we do as
highly sophisticated manufacturing that
would benefit from the use of robotics and
technology; and, unless youre already built
that way, it seems dirty and not much fun.
Technology resonates with young people.
They are gamers. The successful contractor of the future will realize that project
management in construction will be very
much like a video game. Parts, components, robots and human craftspersons will
be tracked in real time as the game progresses. Simulations will occur in advance
of actual construction, and you will be able
to analyze alternative results. This isnt science fiction; we can do this now but most
companies arent there yet. The quicker you
gain the capabilities, the quicker you will
attract new entrants.
The near term: Were already past
the innovator phase and are into the
early adopter phase, but if you dont
get a move on, youre going to miss
the party.

5. Stick-built construction is on its way to


being dead. Watch the videos of massive
high-rise buildings built in 15 days. Watch
major contractors like M.A. Mortenson use
modular construction in contemporary
health care construction. If you are not
thinking about how to modularize your
construction specialty then you are in trouble. We are moving from a time where each
individual specialty contractor added value
by limiting their scope and their planning
to a specific trade and a limited part of the
building system. Now systems thinking is
the driver, and modularization is shifting
the industry from having separate drywall,
electrical, and mechanical contractors to
having large off-site fabrication facilities
where building systems are preassembled
and then installed in the job as large building components. The contemporary job
site will include the wall techs and the floor
and ceiling techs where small crews are
simply making the interconnections. That
will continue until we can figure out how
robotic assemblers can do the same function faster.

6. Its time you figure out which parts of holographic measures to examine the
your construction activities can be automated. None you say? Think again. Go
online and check out the YouTube videos
of automated bricklaying, automated road
building, and automated crane operations.
No more bemoaning that fact that good
masons are hard to find buy the machine!
No more having to hire an operating engineer to sit in a tower crane, as a computer
can do it more efficiently, safer and at a
lower cost. Do these things take away work
from craftspersons? No, but they help us
solve our labour shortage problems, they
automate our processes, and help us to do a
better job at satisfying our customers.

proposed project in detail, and respond to


changes quickly without spending expensive labour resources.

9. All human crafts workers will be enabled


with machine interfaces to assist in communication, documentation, and optimizing
field labour productivity. We already have
the technologies GPS, RFID, and on-board
instrumentation (OBI) and the like, to more
effectively manage our most expensive
resources. The use of tracking devices, wearable technologies and body/hard-hat cameras will become de rigueur.
In the long term: If youre not here yet,

7. The use of drones and other small-scale youre still okay, but 10 years from now
robotics will enable us to better survey
the progress on jobs, provide visual documentation, monitor safety and identify
bottlenecks on jobs more quickly. Are you
envisioning how to use small scale robotics
to enhance your management capabilities?
Your competition sure is.

8. The notion of having estimators will


die out within the next 10 years. The use of
on-screen takeoff and the subsequent generations of software will make the need to
have anyone in your firm taking off drawings will seem antiquated. What you will
need are analysts, not estimators. Your analysts will be experts not at simply identifying planned costs from a set of documents
pre-bid; instead they will be experts at using
electronic measures to analyze, examine
what-if scenarios, pre-plan projects using

you wont be.

10. The materials revolution will be upon


us. Already early innovators are reaping
profits from thinking about dramatic
changes in materials and applications.
As with all innovators and early adopters,
those who get to the party first reap the
most benefits. Some examples of the materials revolution include:
Thin-film solar cells that can be
applied to glazing or other building
materials. Building Integrated PhotoVoltaics (BIPV) are not new. Whats new is
that the technology is rapidly approaching
affordability, and the business opportunity
should be obvious. The energy challenges
are not going away.
Bioreactive facades double-glazed
panels filled with a mixture of water
and unicellular algae that grow in direct
response to sunlight. The algae is harvested and processed to produce methane
gas that is either stored locally or used to
fuel the building. The system also provides
shading as the glass becomes cloudy, blocking direct sunlight. How are you thinking
about growing building components?
Smartwalls and modularization.
Intelligent wall systems are manufactured
in a factory and delivered to the job site
in a finished state, incorporating cables
and ductwork plus external drywall, then
simply dropped into position by a crane,
simultaneous with the superstructure.
The system is pretreated for weathering,
and also avoids the large amount of noise,
dust and waste typically generated. Were

already doing this when will you be?


3-D-printed cladding. Skanska commissioned industrial 3-D-printing firm
Quickparts to produce cladding for eight
complex interfaces at the tops of steel columns supporting the polymer ETFE roof
over a garden at the Bevis Marks office project in London. Quickparts used a selective
laser sintering machine that fuses layers of
powdered Nylon PA 12 to build up the complex shapes based on the architects original
CAD file. The process was faster and cheaper
than alternative spliced steel-plate options.
Do you know what sintering is? Did you
know that there are already companies
that specialize in large scale 3-D printing in
construction? Have you begun to conceive
of how buildings that youre working on
will have significant components that are
printed with large-scale 3-D printing?
Conclusions and a way forward
Construction has entered its next phase.
The shift from the tired but comfortable
low-margin job approach to building
is finally heading out to pasture.
The winners and the most satisfied
participants in the construction game
of the next 20 years will embrace at least
the 10 items addressed above. There are
many, many more opportunities and
technologies to address, and much more
detail that can be achieved outside of the
parameters of this brief article. The intent
is to whet your appetite, challenge your
current way of business and spur you to
action. The only way to get there is to go.
The culture of change must be embraced
the rest is simply learning.
OPENMIND SPRING 2015

13

14

OPENMIND SPRING 2015

ILLUSTRATION BY: MICHAEL BYERS

STATE
DISUNION
OF

Unions exert tremendous influence on our political


landscape. What does this mean for the future?
BY LINE PORFON

he recent past has shown that unions are increasingly using

mandated union dues to influence political outcomes that dont


align with the voting preferences of their members. Take for
example the 2014 provincial election in Ontario. Unions spent over
$10 million in third-party advertising on a campaign targeting
candidate Tim Hudak. The workers rights campaign, similar to a
political lobbyist or party, operated a war room, with people working on
the ground and advisers creating strategies. In an unprecedented move,
for the first time in its 60-year existence, the Ontario Provincial Police
Association launched its own attack ads. The public questioned whether
the police remained non-partisan, an essential component of civil liberty
and due process. Members of the OPP tried to distance themselves from
the ads, stating that the union was speaking on its own behalf, not for
members. But you have to ask yourself, how can a publicly subsidized
mandated organization colour its objectivism through actions that
contradict the wishes of its membership? The answer is that this is
acceptable only in a world where union leaders are not accountable to
anyone not their members, nor the Canadian public.

OPENMIND SPRING 2015

15

State of Disunion

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Union organizations, like the Canadian Labour Congress,


have publicly threatened to bring down Stephen Harper with
an Ontario-like campaign in the next federal election in 2015.
They recently elected a new radical leader, who has promised
to resource a ground war to supplement their air war. The
CLC and other union representatives point to government
taking away workers rights, but what they really mean is that
progressive governments have recognized that competition is
the highest predictor of economic growth and opportunity,
and are therefore changing legislation that take away organized labours ability to enlist workers to their cause, support
businesses crippling strikes and collect union dues for questionable purposes.
Canadians agree. Although three million Canadians have
entered the private sector workforce since 1997, unions have
only increased by 100,000 to 1.9 million workers, fewer than
18 per cent of Canadas workforce. And the trajectory continues to point down. Most of the union power base is found
in the public sector, with a 74 per cent unionization rate.
And this too is at risk with anticipated austerity measures in
Ontario and even Alberta.
Unions defend their ability to use union dues for political
purposes as a democratic right in Canada, but what they fail
to admit is that Canada is the only Western economy that fails
to both mandate union dues and the use of those dues to fund
political and social activities. In the United States, workers can
opt out of paying union dues that are used for anything other
than bargaining purposes in other words, activities related
to political and social causes. In the United Kingdom, workers
can opt in or out of a union, and are not forced to join in order
to attain employment.
In European countries like France, Italy and Germany,
unions are prohibited from using dues for political contributions. And finally, Australia is a combination of the above,
where workers can opt of a union or opt out of paying dues
that would contribute to political activities. To ensure compliance with these restrictions, unions in all of these countries
must disclose financial information on major expenditures.
Unfortunately for workers in Canada, none of these restrictions apply. And to add to this injustice, union dues that are
used for political purposes are tax deductable in essence,
partly subsidized by all Canadian taxpayers. Given the closed
financial books of unions, not only are Canadians unable to
see where their subsidies are going, but many union members
cannot access financial information that would prove where
their hard-earned dollars are going and what political activities are being funded.
The federal government has launched a legislative framework through Bill C-377 that would require unions to publicly disclose finances, creating a culture of accountability in
organizations where workers have no choice but to join and
fund. Currently, workers who have to join a union as a condition of employment have to pay dues whether or not the
union leadership wastes their money on political activities
they may not agree with and likely have little direct benefit.
Bill C-377 would establish a new reporting structure, which

will include the time and funds spent on


political and social causes. This way, workers can know what is spent, and decide
whether they want to join a union that
supports political parties that they dont
support, or fund initiatives and attacks that
directly undermine their
own interests. Examples
of these attacks are union
support for anti-nuclear environmental
groups by CAW, who
represent many nuclear
plant workers, and lobbying against pipeline
projects, even though
the industrial sector in
northern Alberta has
approximately a 50 per
cent unionization rate.
In these cases, the political ideology of union leaders trumps the
employment interests of those they purport to represent.
Unions argue that they should not be
forced to disclose their finances or their
activities, citing that the legislation is discriminatory, invades the privacy of individuals, steps into provincial jurisdiction
and is unconstitutional. Unions also ask
why this type of legislation should apply
only to unions and not to associations.
The reality is that paying dues in some

sectors and provinces is mandatory if


you want to work in that sector. Saying
that a worker can simply leave a position
or look for work elsewhere is contrary to
basic human rights, and public opinion

financial information, fully 77 per cent


of respondents said yes; for disclosure
of union money spent on political parties, advocacy groups and charities, the
response was even more overwhelming
84 per cent of Albertans say yes,
63 per cent of them strongly so.
And on the topic of whether or
not members should have the
ability to opt out of the portion
of their mandatory dues that
fund these extra-curricular
activities, 69 per cent of Albertans responded yes.
On other union issues,
Albertans were equally explicit
in their view that unions
should be more transparent
and accountable. It doesnt
matter if you belong to a union
or not, or which political
party you support: Canadian
polls repeatedly come up with the same
results in 2002, 2003, 2008, 2011 and
again in 2014.
Union leadership voices continue to
stridently trumpet their version of worker
rights. But they should not replace an
individuals right to select their choice of
political support, nor should they presume
to use mandated union dues for activities
that do not directly impact their members
working opportunities or conditions. And
Canadians agree.

Albertans are explicit in their


view that unions should be more
transparent and accountable. It
doesnt matter if you belong to
a union or not, or which political
party you support: Canadian
polls repeatedly come up with
the same results.
has continually increased to support
these rights. The federal government
has not only focused on unions it has
taken a strong approach on accountability and transparency for charities, publicly owned corporations, governments,
political parties and, most recently, First
Nation groups.
Recent polling that shows that Albertans and Canadians overwhelmingly
support union transparency: regarding public disclosure of detailed union

LIEN ON US.
For advice on the Alberta Builders Lien Act
you can trust.
Lien legislation is different in every province.
To resolve your construction disputes, talk to us
about any area of Alberta construction law.

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MERIT
Has Changed
the
Construction
Industry

A message from past president of Merit Alberta


BY STEPHEN KUSHNER
OPENMIND SPRING 2015

19

Merit Has Changed the Construction Industry

plan, a Group Retirement Savings


Program, Job Placement Services and
Foreman Training Programs.
Merits board of directors undertook
the challenge of developing effective
services. It structured committees of
contractors, hired staff and engaged
outside providers. Today, more than
65,000 people have their benefits through
one of Canadas largest private sector
benefit plans run by Merit. Membership
in Merit Alberta has expanded from
the original 15 to some 1,400 firms and
with growth of 10 to 12 new firms every
month. Merit was able to step in and fill
the void in provision of human resource
services to small and large firms, and not
just in Alberta. Today, Merit Associations
exist in all provinces except Quebec and
P.E.I., with more than 3,500 member
firms across the country. Merit Alberta
was very active in taking the concept
across the country.
While Merit is best known inside
the industry for its services it has had a
considerable impact in the area of public
policy. Key changes Merit influenced in
Alberta include:

ore than 28 years ago, 15 general contractors gathered in


Alberta and agreed that the construction industry needed to
move in a new direction. The industry was struggling to adjust
to the new realities of significantly less construction work
after the collapse of the energy industry in the early 1980s.
This collapse meant many construction firms were fighting for
their survival as project volumes were down. Fifty per cent margins were skinny,
wages had significantly declined and unemployment in the trades was in the
double digits. Out of this crisis environment, Merit was formed to bring about a
new direction for the construction industry.
In the 1960s and 1970s, Building
Trade unions and their contractors in
Alberta were completing 80 per cent or
more of construction work, but by the
mid 1980s the percentage of union work
had declined to 20 per cent, as the union
model was simply not viable and firms had
to re-orient or wither away.
Merit was formed to bring about a
new orientation in human resource

20

OPENMIND SPRING 2015

management and provide a catalyst


for effective human resource practices.
By 1987, hundreds of construction
owners and managers attended seminars
on how to operate a non-union company,
how to treat employees properly, hire
effectively, reward performance, coach
new hires, mentor apprentices and provide
safe work sites. Merit as an organisation
developed a portable hour-bank benefit

1) The introduction of the secret-ballot


vote on union certifications (1988)
2) Changes to apprenticeship ratios so
that one journeyman can supervise
two apprentices. Some trades in the
1980s were three or four journeyman
for each apprentice
3) Changes to the Labour Code to make
it more difficult for unions to salt
construction companies through
unethical organising practices (2008)
4) Prohibitions against unethical subsidy
practices in the union sector, or
MERFs (2008)
Merit is widely recognised by the
construction industry as an organisation
that has a strong voice, and its perspectives
are highly valued on topics like temporary
foreign workers, youth engagement in our
school system, employment standards,
infrastructure spending, and alcohol and
drug testing.
Further, Merit Alberta was instrumental

in forming Merit Canada and


bringing together the eight
Merit provincial associations
under one national banner.
Merit Canada has lobbied
to repeal antiquated wage
schedules for federal projects,
eliminated union control over
the Construction Sector Council (now called Build Force)
and has been instrumental in
helping advance two federal private member bills (Bill C-377,
concerning the requirement of unions to disclose
how they spend union dues;
and Bill C-525 ensuring
federal sector workers, including construction workers
in the Territories, have the
right to a secret-ballot vote on

union certifications). Merit has achieved


all these results since the formation
of Merit Canada in 2008. Anyone

MERIT HAS ACHIEVED


BIG CHANGES IN ITS
HISTORY TO DATE AND
TRULY HAS FULFILLED
ITS PRIME OBJECTIVE OF
BEING A CATALYST FOR
ENLIGHTENED HUMAN
RESOURCE PRACTICES.
following changes in the federal arena
knows how significant and difficult it
is to achieve these kinds of results in a

few short years.


Merit has achieved big changes in
its history to date and truly has
fulfilled its prime objective of being
a catalyst for enlightened human
resource practices. The industry
would have embraced new ways of
managing its workforce but through
Merit changes happened more quickly
and more effectively.
I have stepped down in my role as
president of Merit a position I have held
since 1988. I look back with much pride
at what has been accomplished by the
many directors who have served on the
Merit Boards across the country and the
very dedicated staff, many who finished
off their careers taking our industry
to a new level. Merit has made its
mark, yet there is still much work to
be done, and the future looks promising.

A Workforce
C

So you need a TFW? Theres a grant for that

hanges in both federal and provincial governments

ILLUSTRATION BY: ISABELLE CARDINAL

attitudes towards workforce issues and the resulting


shifts in policy will significantly impact employers
in the years ahead. While these policy changes have
already created significant short-term pain, they also provide a
unique opportunity for governments, educators and employers
to work together towards more impactful structural improvements to immigration, K-12 education and corporate training
programs. Governments are trying to put employers at the
forefront of a more formal investment in human capital, and they
are looking for businesses to step up to lead the charge.

22

OPENMIND SPRING 2015

The most controversial shift in government policy occurred


at the federal level when then-Minister of Employment and
Social Development Canada, Jason Kenney, announced a
series of changes to the Temporary Foreign Worker Program
(TFWP), making it much more difficult and costly to access
for high-wage employers and virtually impossible to access for
low-wage employers.
While the ministers changes have been frustrating to
employers and will no doubt make recruiting more difficult
for Albertas construction industry, the federal government is
hopeful that their new Express Entry Program will be one of

that Works
BY PETER PILARSKI

the solutions. Express Entry was launched in January 2015


and is designed to help employers recruit foreign workers
more quickly on a permanent basis. If this program works as
planned, it will provide employers with an excellent source of
permanent foreign labour, which is far better than dealing with
all of the issues associated with the recruitment and employment of temporary workers.
The TFWP changes were dramatic and significant. But the
federal governments changing attitude may have a more important and enduring impact on the Canadian employment landscape. Open shop contractors will need to take a leadership

role to ensure that the needs of our industry are at the forefront
during this time of structural and cultural change.
At the federal level, this change begins with the governments new Canada Jobs Grant Program. Minister Kenney
had spoken publically countless times about the paradox of
too many Canadians without jobs and too many jobs without workers, and this training grant program is one solution
that he has proposed to encourage more investment in human
capital. The Canada Job Grant Program provides employers with grant funding for two-thirds of the cost of training
programs which subject to government approval are at

OPENMIND SPRING 2015

23

A Workforce that Works

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open shop contractors to take advantage of this grant
funding, and has confirmed that several Merit College of
Construction programs qualify.
The federal government has countless other programs
designed to help address the issue of people without jobs and
jobs without people, including the Apprenticeship Grants
Program, the Canadian Apprentice Loan Program, the
Aboriginal Skills and Employment Training Strategy, Skills
and Partnership fund and many more. For more information
about how to access these programs, contact Merit Alberta.
At the provincial government level in Alberta, the changes
occurring in the K-12 education system are more significant,
and have the potential to drastically improve the construction sectors ability to recruit students into our industry.
Unfortunately, these changes are not well understood several years of heavy lifting by governments, educators and
industry professionals are needed to ensure the successful
implementation of well-designed strategies.

It is a transformative time in
Alberta and Canada with respect
to immigration, training, and
workforce development and now
more than ever, employers are
being asked to play a bigger part in
the investment and development
of their human capital.

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A major change at the high school level is the introduction of the Provincial Dual Credit Strategy, a partnership
between the Alberta Government, educational institutions,
businesses and industry groups to provide high school
students with opportunities to explore future career interests and to prepare them for transition from high school to
post-secondary. Importantly, the Dual Credit Strategy allows
high school students to earn post secondary credits while
also earning high school credits allowing the student to concurrently explore potential career interests. With dual credit,
a high school student can now graduate with their first-year
trade certification complete this strategy has the potential
to transform the experience for many students and could lead
to improved completion rates and more available workers for
the construction industry.
More high schools in Alberta are embracing the Dual
Credit Strategy and the key to the programs success is
the development of partnerships with industry that will
create meaningful career exploration opportunities for

students. Several impressive partnerships exist, and Merit


Albertas Board of Directors has set aside funding to contribute towards the development of more programs. Merit
Alberta is currently exploring dual credit partnership opportunities, as well as other workforce development programs
aimed at the high school level with school boards throughout the province, and we need employers to play an active role
as these strategies and programs are rolled out in order for
them to be successful.
Another significant policy is Alberta Educations Curriculum Development Prototyping, which is the education
systems attempt to use a collaborative approach to developing a new curriculum for kindergarten to grade 12 students. The prototyping strategy is getting input from a broad
range of stakeholders, including business and industry,
and this work will completely change the way education is
delivered in this province construction employers should
make their voices heard in this exercise before the opportunity disappears. The impact of this work is too important
for employers to ignore. To this end, Merit Alberta will create opportunities for employers to learn more and to provide
a contribution.
It is a transformative time in Alberta and Canada with
respect to immigration, training, and workforce development, and now more than ever, employers should play a bigger part in the investment and development of their human
capital. The open shop construction sector has an opportunity to take a leadership role in these new approaches to
ensure that the workforce development needs of our industry are met to the greatest extent possible. Merit Alberta
encourages all of its members to consider how you can
best become involved to shape the future of our province
and country.

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Natural
Alliance
ABC and Merit Canada join forces to
tackle common problems and share
best practices
BY JOANNA MASTERSON

26

OPENMIND SPRING 2015

he predicted shortage of skilled craft professionals is not unique to the United

States. In addition to the roughly two million workers needed stateside by 2017,
Canada will need at least 300,000 more during the next decade.
Can Canada and the U.S. solve this workforce crisis? Thats part of the
mission of the CAN-AM Merit Alliance, formally established in February 2014
with the signing of a joint resolution by Associated Builders and Contractors (ABC)
and Merit Canada. In March, the groups bolstered the alliance with the addition of two
ambassadors: Tim Walton, director of external affairs and public policy for Maine-based
Cianbro, and Ron Yoneda, corporate human resources manager for Alberta-based SITE.
Both associations are rooted in the
merit shop philosophy and share a passion
for supporting free enterprise. Ultimately,
the alliance formalizes an already strong
relationship, with goals to:
help contractors provide rewarding
long-term careers for their employees;
encourage and promote the safety
and welfare of all employees;
support government policies that
facilitate the awarding of contracts
without regard to protectionism;
increase international business
opportunities for firms and reduce
barriers to the employment of workers outside their native countries;

provide services to the American and


Canadian construction industries; and
facilitate more effective service delivery to both associations members.
Working together on this initiative
provides for the free flow of information
and sharing of resources that are beneficial
to both organizations members, says
ABC president and CEO Mike Bellaman.
The hope is that this alliance can become
somewhat of a template for similar relationships with likeminded organizations
in other countries across the globe.

Eric Regelin, 2013 ABC National


C h a i r m a n , w a s e s s e nt i a l t o t he
genesis of the alliance. There are
people around the world who believe
the same things that we believe: that
everyone should have an opportunity to
participate and thrive in the construction industry without artificial barriers
being placed in their way, he says.
These people may not know the term
merit shop yet, but I think its in the
best interest of ABC to reach out and
form alliances for mutual benefit.
I could think of no better place to
start than with our Canadian friends,
Regelin says.
Merit Canada was established in
2007 when eight provincial associations came together to form a united
voice for the open shop construction
industry. The Merit associations across
Canada have about 3,800 member
contractors (employing roughly 60,000
people) that build more than 70 per cent

OPENMIND SPRING 2015

27

A Natural Alliance

of the industrial, commercial, insti- of concentration for the CAN-AM


tutional and residential construction Merit Alliance.
There are several opportunities
projects across Canada. As of 2011, the
Canadian construction sector employed for member companies to provide
1.26 million people, with 900,000 services across the border that have
working in the open shop sector been hampered by regulations
representing almost 8.6 per cent of the currently in place, Bellaman
says. By working together
nations total labour force.
Weve always thought about doing through the alliance, we can present
something like this because were a united front and a consistent message
likeminded in our philosophy and face a lot when speaking with government leaders
of the same challenges, says Merit Canada on both sides of the border.
For example, industrial shutdowns workers, I have to advertise the position
president Terrance Oakey. When we
brought the idea to our membership and in the Gulf Coast tend to take place from and then wait up to six months to get a
ABC did the same, we got a good response. September to April. In Canada, they positive approval. By that time, the project
It made sense to formalize these strong typically occur from May to September. is over. Its hard to pinpoint exact timing
connections and put it into a framework That means expert workers are sitting idle and the number of employees needed for a
that can flourish, adds Stephen Kushner, rather than potentially working 10 months construction project. If we could streamline
that process of getting people across the
past president of Merit Alberta the largest a year in both countries.
border, I could provide a lot of
provincial association within
jobs in the off-season.
Merit Canada, with about 1,400
Another goal of the alliance
contractors employing 40,000 to
WE FACE COMMON ISSUES, ESPECIALLY
is to offer members of both
50,000 people. We function on a
ON THE TRAINING AND ADVOCACY SIDE.
associations access to each
similar model of tools, technology
others education and safety
and materials. There is a border,
WHEN VICTORIES ARE HAD OR TACTICS
training programs. This could
but there isnt a border.
ARE DISCOVERED, ITS IMPORTANT THAT
be the start to opening the
dialogue with governing bodies
Shared Challenges and
WE SHARE THEM SO WE CAN LEARN
to eventually recognize the
Opportunities
FROM THE WORK THAT ALL OF US DO.
safety and training credentials
When the recession took
of people doing cross-border
hold in 2008, Canada wasnt
Terrance Oakey, Merit Canada president
work, Bellaman says.
as deeply hurt as the United
Other issues on the alliances
States. According to Kushner,
radar include exchanging
the Canadian economy took a
little dip in 2009, but was largely back to
Immigration is a major issue, Oakey information on legislative initiatives
normal in 2010. Activity in the oil sands confirms. Were looking at what the related to open tendering and project
market is particularly strong, with pipeline irritants are for members trying to bring labour agreements, job targeting, and
and other projects in the $10-billion workers to and from Canada and the fair labour laws and policies. The group
also hopes to expand affinity programs
to $12-billion range drawing workers United States.
and their families to Alberta causing
For SITE, which provides environ- and services to both organizations
increased demand for hospitals, schools mental, infrastructure and access services memberships. Additionally, preliminary
and housing developments.
for oil, gas and resource development discussions are under way regarding the
Weve been dealing with labour companies, skilled trade jobs are the possibility of organizing international peer
shortages this whole time; manpower most difficult to fill, especially pipefitters groups and an international conference for
is very tight, Kushner says. Some of and welders. There are good people out open shop advocates around the world.
We face common issues, especially on
our contractors have to turn down work there; we just dont have enough of them,
because they dont have the workers to Yoneda says. Apprenticeship program the training and advocacy side, Oakey
perform the projects. Were focusing numbers arent where they need to be to says. When victories are had or tactics are
heavily on trying to bring young people sustain the amount of construction going discovered, its important that we share
them so we can learn from the work that all
into the industry, as well as focusing on on in the province.
leadership development and succession
B u t c u r r e n t l y , c r o s s - b o r d e r of us do.
planning.
employment is too frustrating to be
Its a familiar predicament for effective. Theres a lot of government red JOANNA MASTERSON IS EDITOR OF CONSTRUCTION
FOR MORE INFORMATION, EMAIL MASTERSON@
American construction businesses. As tape to qualify someone to go back and EXECUTIVE.
ABC.ORG, VISIT WWW.CONSTRUCTIONEXEC.COM OR FOLsuch, cross-border mobility is a key area forth, Yoneda says. To import American LOW @CONSTRUCTIONMAG.
28

OPENMIND SPRING 2015

MEET THE AMBASSADORS

Tim Walton

Tim Walton
Director of External Affairs and Public Policy
Cianbro, Pittsfield, Maine
How he got involved in the construction industry: I spent time early in my
career managing a variety of campaigns
and then worked in Congress. On one campaign visit with the Maine Chapter, I told
then-Representative Jim Longley that if a
job ever opened at Associated Builders and
Contractors (ABC), I would apply because
the organization shares my values 100 per
cent. About five years later, the Maine chapter president position became available and
I was hired. I did that until January 2005
when Cianbro, which was heavily involved
with ABC, hired me to be external affairs
director covering government affairs,
public affairs, charitable giving, etc.
What Cianbro specializes in:
Cianbro self-performs civil, structural,
mechanical, electrical, instrumentation,
fabrication and coating work in
the power generation and energy,
modular manufacturing, refining and
petrochemical, industrial, marine, fuel
transmission and distribution, commercial
and institutional markets, through its
workforce of more than 4,000 employees.
The company offers construction services
from the conceptual stages of design
through implementation, to start-up,
commissioning and turn-key operations.

His role in the alliance: Too often


we put self-constraints on when it comes
to the economy. We only think about the
national economy, yet we know there are
likeminded contractors and construction
groups around the world. I appreciate
2013 ABC national chairman Eric Regelins foresight to create the alliance and the
ABC executive committees support for it.
Now, my job as ambassador is to promote
the alliances programs, events and public
policy initiatives, and to consider any services that can be offered to our respective
memberships.
Why he was chosen to be ABCs
ambassador: As a former ABC executive
committee member, Tim understands the
long-term goals of the association and the
needs of the industry. This, coupled with
the fact that he is well respected, made
him a great candidate to help develop
a relationship between ABC and Merit
Canada, says Mike Bellaman, president
and CEO of ABC National.

Ron Yoneda
Corporate Human Resources Manager
SITE, Sherwood Park, Alberta
How he got involved in the construction industry: Ive run several businesses
and worked as a construction labour provider supplying temporary workers to construction companies. I then got into the
recruitment business, specializing in construction and engineering. The construction industry was starting to take off in
Alberta, so it was a good opportunity to get
involved. In 2010, when SITE was founded,
I was brought on as a consultant to help

Ron Yoneda

with recruitment efforts. It rolled into a


full-time HR position because, as a start-up
company, we had to develop job descriptions and formal policies and procedures.
What SITE specializes in: The
company initially stemmed from the
merger of two heavy civil firms with about
200 employees. It has been acquiring
additional firms for the last four years,
with the most recent acquisition located
in North Dakota. Today, the firm employs
1,200 to 1,500 people depending on the
season. SITE positions itself as a remote
access company specializing in oil services:
clearing, seismic work, surveying, pipeline,
mechanical and earthwork (i.e., everything
prior to actual plant construction).
His big-picture view of the alliance:
Longer term, were looking at ways to

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so that we can deliver on time and on budget, every time.

A Natural Alliance
bring people in from Europe, South America and Asia so we
can turn this into something we can all be really proud of and
help represent the open shop construction industry. Theres a
lot we can learn from international groups. From a Canadian
perspective, a lot of international companies are getting
involved in the oil sands. If we can start to share and develop
ideas and work toward common goals, it will be good for the
industry as a whole.

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With the companys core values
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Why he was chosen to be Merit Canadas ambassador:


Rons company is active in the United States and Canada;
its important to have someone with an appreciation for
the challenges of working in both countries. He also has a
strong HR background, which encompasses some of the
alliances top concerns, says Stephen Kushner, president of
Merit Alberta.
The CAN-AM Merit Alliance is interested in meaningful
dialogue with members of Associated Builders and Contractors
(ABC) and Merit Canada who can offer fresh perspectives on
market trends and performing work in the United States and
Canada, as well as offer suggestions on where the alliance can be
replicated in other countries.
Companies that can provide experiences as to how current
regulations have hindered their ability to win work or do work
across the border are especially helpful, says ABC president
and CEO Mike Bellaman. Their insight will allow the alliance
to write the narrative and better explain the issues with the
current system.
Ultimately, all members of ABC and Merit Canada are part
of the alliance through the involvement of their associations.
Its important to keep talking and sharing ideas and to
get the word out that this alliance exists, says Ron Yoneda. If
enough people know about it, we can make a difference.
TO LEARN MORE OR GET INVOLVED, EMAIL ABC CHAPTER DEVELOPMENT MANAGER
STEPHEN LEWIS AT SLEWIS@ABC.ORG.

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COGNITIVE
ABILITY

VISION

ILLUSTRATION BY: HEFF OREILLEY

STRENGTH

32

OPENMIND SPRING 2015

LIGHT

The aging workforces impact


on health and safety
BY GARY CLEVENGER AND BRIAN ROBERTS

ith 31.9 million workers over the age of 55 estimated

to be in the U.S. labour force by 2025, its important


to examine the physical, psychosocial and cognitive
issues related to aging. Construction companies cannot
continue to run their businesses as usual and expect older
workers to remain safe.
A major impact on workers compensation is that aging generates
co-morbidities (i.e., multiple illnesses or injuries that lead to increased
recovery time). A 55-year-old worker suffering from a back injury caused
by cumulative trauma also may suffer from disc degeneration found in
almost all men and women over the age of 40. While older workers have
low absenteeism, turnover and accident rates, they take longer to return
to work after injuries and illnesses because they are likely to heal slower
and have pre-existing health problems.

REPRINTED WITH PERMISSION FROM CONSTRUCTION EXECUTIVE,


MARCH 2014, A PUBLICATION OF ASSOCIATED BUILDERS AND
CONTRACTORS SERVICES CORP. COPYRIGHT 2014. ALL RIGHTS
RESERVED.

OPENMIND SPRING 2015

33

Aging with Grace


STRENGTH
Loss of strength stems from decreased
muscle mass. Muscles take longer to
respond to action and fatigue as people
age. The number and size of muscle fibers
also decreases.
Heavy lifting and lowering, awkward
positions and static postures are all risk
factors for workplace injuries. Tasks
requiring grip force and exertion, as well
as repetitive tasks, are more difficult
with decreased strength and endurance.
Reduced grip strength goes along with
reduced muscle and soft tissue capabilities. Hand grip strength decreases, making
it more difficult to accomplish routine
activities such as turning a valve or lifting,
pulling and opening materials.
To assist aging workers, reduce the
time spent performing these tasks or
provide mechanical assists. For example,
choose hand tools and handheld devices
that are appropriately sized to compensate
for reduced grip strength. To prevent soft
tissue injuries, identify the jobs that carry
the greatest physical risks to the various
soft tissue groups through a systematic,
quantifiable process. Prioritize the jobs
that will keep employees working longer,
as well as those that could be used for
return-to-work duties. Some of the ways
to help employees include:
reduce work with static muscle
effort (i.e., sustained, fixed postures);
increase use of mechanized
equipment;
keep work in a neutral zone (i.e., remove materials from the floor); and
reduce or eliminate twisting of the
upper torso.

VISION
Vision is by far a workers most important
sensory channel. Approximately 90 per cent
of most of the information learned in a lifetime enters through the eyes.
Normal age-related changes in vision
include impaired ability to adapt to
changes in light levels (a 60-year-old
requires two to three times the amount of
light as a 20-year-old), extreme sensitivity
to glare, reduced visual acuity (ability to
discern detail), and restricted field of vision
and depth perception. Impaired depth perception may cause a person to perceive a
shadow on the floor as a step or a hole, and
visual misinterpretation based on visual
misinformation can severely impair an
individuals ability to function safely.

LIGHT
The single largest missing ingredient
in workplace facilities to assist aging
workers is light. Using more taskspecific lighting and indirect lighting,
especially with computers, creates a better working environment. Use soft, white
lights rather than bright, clear lights,
which create glare.
Pools of light can distort perception
of height and depth, causing stumbling
or tripping. Uneven brightness patterns can produce shadows or create the
illusion of steps or edges where light and
shadow meet. Provide gradual changes
in light levels.
Reducing glare contributes to
comfort and helps minimize falls and
maximize attention span. Appropriate
task lighting increases a workers level
of performance. Very few managers correlate productivity and efficiency to the
correct light levels.
High contrast is very effective in
enhancing visual function. For example,
an edge band of contrasting colour can
help a worker see a desk or countertop
more easily. The aging eye is best able
to discriminate saturated colours at the
warm end of the spectrum, and colours
with a high degree of brightness, such
as yellow, are particularly visible. Distinguishing between blue and green and
blue and violet hues can be difficult.

COGNITIVE ABILITY
Mental processing and reaction time
become slower with age. In fact, it starts
in young adulthood (late 20s) and by the
time people are 60 or older they generally take longer to perform mental tasks.
Some experts contend older adults do
not lose mental competence; it simply
takes them longer to process the necessary
information. In addition to cognitive
decline, slower processing speed has been
linked to a decline in motor function.
Therefore, older adults may have less dexterity and coordination than when they
were younger.
Certain training methods work well for
older adults. Their best method for learning is direct, hands-on experience so they
can use what they learn right away. It is
important for older workers to be involved
in planning and training. Relating new
learning to past experiences, accommodating for vision and hearing loss, and
establishing an acceptable pace for learning new information are critical elements
to retaining new information.
It is important to understand cognitive changes are not universal. The degree
of decline can be small and likely will not
interfere with day-to-day functioning. It
may take older employees longer to learn
something new, but they can still learn.
The following are factors impacting a
persons cognitive function.
Exercise. Regular exercise helps
maintain blood flow to brain cells.
Diet and nutrition. Maintain
proper weight, minimize the
consumption of animal fats, and eat
more fruit and grains to maintain
good brain function.
Emotional health. Stress, depression and other psychiatric conditions can negatively affect memory.
Pain. Physical pain interferes with
the ability to pay attention to information, which hinders learning.
Medication. The side effects of and
interactions among medications
may interfere with memory.
Research indicates the nations 79 million baby boomers want to continue to
work either full or part time. To ensure
a healthy work life, employers need to
address the relationship between the functional capacities of younger and older

employees. Assessing the capabilities and


limitations of older workers and working
within these parameters will positively
affect productivity, efficiency and safety
among all age groups.

Gary Clevenger is national risk control


director-construction for CNA and
Brian Roberts is CNAs director of
workers compensation and ergonomics
for risk control. For more information,
email gary.clevenger@cna.com or visit
cna.com/riskcontrol.

This Years
KEY Players
The 2015 Contractor of the Year Awards recognize construction
professionals who are building a better tomorrow
BY ALBERTA VENTURE STAFF
erit Contractors
Association, Alberta
R oa d bu i lder s a nd
Heavy Construction
Association (ARHCA)
and Alberta Venture magazine present this years Contractor of the Year
Awards. The finalists include those
compa n ie s a nd i nd iv idu a l s who
strive for efficiency, innovation and
practicality. Their successes reflect best
practices in the industry. We celebrate
their leadership.
Public and private companies that
have a regional office in Alberta are eligible to enter these awards. The organizations sell construction services,
employ tradespeople, and/or contract
out labour supply in the industrial,
commercial, institutional, residential,
civil, road building or oilfield construction sectors.
The six award categories include:
General Contractor Under $50 Million,
General Contractor Over $250 Million,
Trade Contractor Under $15 Million,
Trade Contractor Over $15 Million,
Heavy Civil, and Construction Person
of the Year.
Keep reading to find out which companies were chosen by this years adjudication panel and why.
36

OPENMIND SPRING 2015

General ContraCtor Under $50 Million


WINNER: Kemway Contractors
CEO Terry Kemp, Edmonton
A family company, Kemway has
been growing steadily, weathering
a changeable economy over its
25 years. In the last five years, the
company has made a substantial
effort to grow, hiring new talent
and developing from within its
own ranks.
Kemway Contractors
CEO Terr y Kemp attr ibutes
K e mw ay s g r ow t h t o it s f i ve
core values: commitment to people, teamwork and collaboration, excellence and
professionalism, integrity, and a focus on results. We live our corporate lives by those
values, he explains.
And we were one of the first smaller companies to get a core safety program, Kemp
says. Kemways entrenched safety culture and its core values have helped it navigate the
challenges of projects such as the various warehouses and offices built in extreme cold
and requiring several major changes over the course of the work, or a wholesale facility in
Leduc, which required constant correspondence with decision-makers in Europe.
Kemway focuses on growing the skills of its workers. Kemp describes the companys
growth as organic, because many of its employees started young and inexperienced,
growing their skills over the course of their careers with the company.
Kemway has focused on delivering reliably good results for clients; Kemp believes this
consistency has earned the company recognition. What Im most proud of, he says, is
we havent changed our focus or our quality.
FINALIST: Pemco Construction
General Manager Kevin Lapes
A strong reputation in and around Edmonton has helped entrench Pemco as a reputable
company in the citys construction industry. With solid employee retention, open
communication and a record of building and maintaining important infrastructure
within Edmonton, Pemco is a leader in the sector.

FINALIST: Maverick Oilfield Services


CEO Christopher Challis
Maverick has been a growing force in the oil and gas industry
for over 36 years. In its time its never sacrificed the standards it
upholds in safety, employee development and the quality of the
work it does. This dedication is evident in the variety of jobs it has
taken on, including oil and gas extraction facilities and pipelines
throughout Western Canada.
PCL Construction

General contractor over $250 million


WINNER: PCL Construction
CEO Paul Douglas, Edmonton
Best known for larger projects such as the Rogers Place in
downtown Edmonton, and the Phillip J. Currie Dinosaur
Museum in Grande Prairie PCL Construction has a presence
across Canada and beyond.
President and chief operating off icer of Canadian and
Australian operations Dave Filipchuk says the keys to PCLs
success are planning and risk mitigation. The company has
a reputation for navigating each job by involving project
management and supervision in the bidding process. Ideally, the
people who do the estimate do the job, Filipchuk says.
PCL is responsible for work on many of Albertas important
civil and private buildings and structures. These include
Edmontons High Level Bridge and Calgarys Bonnybrook Sewage
Treatment Plant. As managing partner, PCL undertook the
construction of the Airport Trail Tunnel in Calgary, a passage to accommodate six lanes of traffic plus LRT, contending
with a tight deadline and adverse soil conditions and electrical
complications.
The employee-owned company straddles commercial and
industrial construction, working across Canada and in the
U.S., the Caribbean and Australia. When one location goes
into a slump, anothers often booming, Filipchuk says. We
have employees that are willing to move. Filipchuk credits the
workforce for its adaptability. We have long-time stable staff, he
says, so the people executing the work are not hired on a job-byjob basis.
FINALIST: Stuart Olson
CEO David LeMay
Working in general and trade contracting since 1911, Stuart
Olson has completed integral projects like the restoration of the

Shaw Court and headquarters in Calgary after an electrical fire


and flood in 2012. With a guiding corporate social responsibility
program, and development programs for its employees in skill
upgrading, apprenticeship, and management, theres room for
workers to grow and prosper.
FINALIST: JV Driver
CEO Bill Elkington
JV Driver is a company that works in almost every sector, having
completed projects of various sizes in oil and gas, petrochemical,
energy, forest and mining environments. Prioritizing safety and
innovation, the company encourages teamwork among its employees, building great client and employee relationships and standout,
multimillion-dollar projects.
FINALIST: Chandos Construction
President Tom Redl
Chandos collaborates with all its clients on their ideas, and takes an
environmentally conscious approach to construction, specializing
in green buildings and energy retrofitting. The firm has turned a
profit every year of its operation so far, and prides itself on a human
approach to contracting. Being an employee-owned company,
Chandos strives to improve operations by encouraging feedback,
from both within and outside the company.
EverLine Coatings and Services

trade contractor Under $15 million


WINNER: EverLine Coatings and Services
CEO John Evans, Calgary
When John Evans started EverLine Coatings out of his Calgary
backyard in 2012, his main goal was to revitalize the industry
and do what bigger companies did but more efficiently and on a
smaller scale.
Starting out painting streets and parking lots, Evans stays a
step ahead of other businesses by innovating new technology and
techniques to create better value for clients. One such innovation
is the provision of more durable paints, designed to last much longer than what the competition can offer. What we did was produce efficiently and prove ourselves in the city, Evans says. Were
proud to be recognized by the City of Calgary, and have prime contractor status with them, as they move to install material for their
crosswalks and bike lanes.
Evans says its been an exciting time, as the company has taken
on multiple high-profile projects such as the renumbering of the
OPENMIND SPRING 2015

37

This Years Key Players

Calgary International Airport, the restriping of the Bow Towers


six-level parkade, and the rehabilitation of the Calgary Stampede
after the 2013 flood.
Evans looks forward to making EverLine a full franchise, opening a branch in Edmonton, and building upon policies and technology in place to continue growth.
FINALIST: Action Electrical
CEO Don Bunting
With departments that are individually managed and specifically trained to specialize in the many technical aspects of a
project, Action Electrical has all its bases covered. The company
has a strong dedication to safety, particularly through its testing
department. Those things, along with a tradition of employee
retention, have helped it adapt to a gamut of specific demands in
its sector.
FINALIST: B&B Demolition
CEO Bill Knight
Starting in 1999 with four trucks and four team members, B&B
has seen tremendous growth, offering disaster recovery, abatement and waste diversion. In its growth, it has acquired significant
technology to expand and provide cost-effective services. The company pays specific attention to the needs of customers, employees,
and the community, listening to input and offering valued service.

service contracting business. Over a period of six months, the


company developed a list of best practices to streamline work,
figure out which business risks were worth taking, and improve
workflow. We also asked ourselves, Why do we exist? Muth says.
The answer we came up with was to empower the future. We want
to build an enduring organization.
The company develops its own employees with internal mentorship and external training. Over the past year, it promoted five of
its workers to upper management positions, building careers and
solidifying its team.
When solving tough problems, Muth emphasizes the importance of the company making decisions together.
Contracting is the riskiest business you can do, Muth says.
Whatever decision we make, whatever we do, we want it to take
one step more than whats traditionally done.
FINALIST: AltaPro Electric
CEO Hubert DeBruin
Innovation, collaboration, cost optimization, a focus on safety
and technology embracement have helped AltaPro make a
name for itself. These factors come together in the planning
stages, when A lta Pro models projects from dra fting to
completion using Building Information Modeling, a system
that allows employees on all levels to collaborate effectively. A
strong technical training regimen equips AltaPros employees to
fully use the technology at their disposal in order to create the
best product possible.
FINALIST: Arnett and Burgess Pipeliners
CEO Tom Arnett
Arnett and Burgess has weathered eight economic cycles over five
decades in the oil and gas industry. Between 2012 and 2014, the
company has seen unprecedented growth, with record revenues in
2014 and 226 projects done on time and on budget. With entire
families spanning generations working as employees and high
quality and safety standards, the company excels in the setup,
maintenance, repair, and even shutdown of pipelines.

Muth Electrical Management

Trade ConTraCTor over $15 Million


WINNER: Muth Electrical Management
Founder and president Don Muth, Edmonton
Muth Electrical is focused on building and maintaining a strong
team that works together at all levels to create top-quality results.
Founder and president Don Muth says the companys teamwork
and urge to do the right thing give it a competitive edge.
Muth Electricals culture extends back to its beginnings in
Muths basement in 1997, when he and his wife started a full38

OPENMIND SPRING 2015

Taurus Projects Group

Heavy Civil
WINNER: Taurus Projects Group
Owner/president Fab Loranger, Fort Saskatchewan
You can do things the same way theyve been done for 20 years,
or you can think outside the box, says Taurus Projects Groups
owner and president Fab Loranger.
Adding to innovative thinking, Loranger leads Taurus with a
policy of transparency. If were not going to meet a deadline, we
let them know why, he says. We discuss the impact. The attitude
has won the company two major extensions to the provinces
power grid, the Eastern and Western Alberta Transmission Lines.

The transmission lines were a new challenge. In the western


line, multiple landowners meant the company had to bounce
around, rather than build in a linear fashion. The eastern line
was an opportunity to shine in materials handling, working with
ATCO. Loranger says it was a watershed moment: Taurus was
invited to be part of the bidding process by Bechtel, the largest
construction and civil engineering company in the U.S.
Taurus recently undertook work in Sturgeon County on the
first Canadian refinery in 30 years, providing site clearing and
earthworks to equipment rental and handling. Loranger wants to
win the refinery maintenance contract. Who better to maintain
the plant, he says, than the ones who built it?

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e-mail: don@edmontonevictionservices.com
cell: 780.974.8427 fax: 780.997.9387

CALL NOW - DELAYING INCREASES COSTS!

2015

On behalf of Alberta Venture, our program partner Merit


Contractors Association and sponsors Amour Jewellers,
Canadian Western Bank, Electrical Contractors Association
of Alberta, Insight Insurance and Supply Chain Management
Association Alberta, thank you to everyone who attended the
Contractor of the Year Awards Gala!

AWARDS

Alberta Venture would also like to thank its sponsors for


their generous support in making this years program such a
success! Your contributions make it possible for us to recognize
and celebrate the achievements of Alberta's top contractors.

TULATIO
CONGRA

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DESSERT SPONSOR

OFFICIAL JEWELLER

This Years Key Players

ConstruCtion Person of the Year: Brent Fillmore, president, Fillmore Construction


2014 REVENUE: $100 million EMPLOYEES: 48 in the office and shop, 100-200 in the field

DOING THE
RIGHT THING
Brent Fillmore is a stickler for details.
It doesnt always make things easy

W he n Bre nt Fi l l more t a l k s a bout con st r u c t ion


which hell do anytime, anywhere, for as long as youd like hes
like a kid in the candy aisle. His face brightens, his arms start
waving and the words flow forth. I love building, he says when
asked why he the president of a company with annual revenue
in the $100-million range is acting as project manager on a
small apartment building in Wabasca. Im getting the building
I want, he says, getting it perfect.
Im an ideas guy, he says a little while later, discussing
changes to an architects drawings. Ive been doing it for 37 years
and Ive seen it all, and I have a lot of ideas about how to do things.
When I go to a site, I walk around for two hours and look at how
things are connected, how they go together.
His son (and company vice-president) Chris describes him
as a perfectionist. Many contractors will just build what the
drawings say, regardless of whether its the right thing or not, he
says. Dad works with the consultant and the owner to build the
best building possible. Sometimes that adds a lot of work to the
job, but he wants the building to be the best possible.
That word perfectionist can raise red flags. Is it really code
for pushy, demanding and unwilling to compromise? Sharon
Downs, a health care consultant who worked with Fillmore on a
new elder-care home in Fort Chipewyan, has seen his drive firsthand. We had an interesting time, she says. We didnt always
see eye to eye.

40

OPENMIND SPRING 2015

PHOTO BY: BLUEFISH STUDIOS

BY PETER BURROWS

Fillmore grew up in tiny Sackville, New Brunswick. His mother


dealt in antiques and his father ran the bigger of the two grocery
stores in town. It was an absolute dump, he says. He gave credit
to everyone and never collected. Everyone loved him and he made
enough money to keep the lights on and keep us fed, but not much
more. When I was in Grade 12, I said, I want to be in business, but
not in the grocery business.
Through his mother, Fillmore had met a couple of engineers who
ran businesses, one a window manufacturer and the other selling
steel pipe. They werent practicing engineering, but they had the
degree and they started doing something. So I said Im going to be
an engineer.
But he says he didnt want to go to the local university, Mount
Allison, and be known as the grocers kid. So he headed down the
road to Fredericton and the University of New Brunswick. He paid
his way through an engineering degree by working in construction
in the evenings, on weekends and during the summers. He also
started his first business, a lawn-mowing company. He met his wife,
Terry, while in school, and proposed to her during his final year, but
it was conditional on one thing, he says. We had to live at least
1,000 miles away from my mother. I said, Our marriage will not
last my mother, because if were living in Halifax and want to go to
St. Stephen well have to stop and take my mother to the yard sales
before we can go. And when were coming back well have to pick up
something in Fredericton on the way, and thats an hour out of our
way, to bring home to her. It wont work.
Soon after graduating, Fillmore applied to do his MBA at the
University of Alberta. The school offered him $5,000 to do some
tutoring, so the young couple headed west in 1977. After his first year,
he got a summer job with construction giant Stuart Olson. I loved
it and wanted to keep working, he says. I did a few more part-time
courses, but ultimately wanted to work. So with 13 of the required
19 MBA courses completed, he joined Stuart Olson full time.
Fillmore rose to be vice-president of business development at the
company over the following 13 years, but developed the itch to be his
own boss. So in 1991, he founded Fillmore Construction.
Led by Fillmores drive and hard-work ethic, the company has
grown steadily over the years. Hes now helped by his two sons, Chris,
also an engineer, and Jeff, who holds a bachelor of commerce degree.
Theyre aggressive and want to grow the company, Fillmore says.
Before, I looked after everything but I could only do so much.
Fillmore Construction is active all over the northern half of the
province, and has developed a particularly strong relationship with
the remote community of Fort Chipewyan, on the shores of Lake
Athabasca. Over the past few years the company put an addition on
the town rink for an ice plant, built canopies for the fire hall, rebuilt
part of a mixed-use facility and renovated the community centre.

Were on our eighth project there, Fillmore says. Our latest contract is $3.5 million in town beautification. Were building walkways
and fancy planters and landscaping.
When Fillmore won the job to build a new elder care centre in Fort
Chipewyan, in December 2012, he first met Sharon Downs. Shes a
former hospital CEO and now a consultant on health care matters,
including the building of new facilities. Brent is very hands on,
she says. Hes involved in the details of the project, unlike anything
Ive ever seen in my many years. She says there were times when he
wasnt happy with some aspect of the construction, and he would
pull his guys aside and tell them to do it over again. Getting things
right is important to Brent.
Fillmore concedes that there was some conflict between himself,
Downs and others working on the job, but he says he was just living
up to his conviction that things should be done right, and done right
the first time. The mechanical systems were not designed very well,
so we were trying to fix them, he says. Sharon thought I was trying
to cheapen it, build it easier. I said thats not how I operate. Im all
about quality, and I dont want to build it wrong.
Downs tells the story of the buildings front door, which in the
design was to be made of wood. But Fillmore felt the cold and
extreme temperature f luctuations in Fort Chipewyan would
cause it to shrink. That was argued about at the site meetings for
months, she says. I ultimately did my own research and he was
right. It would have shrunk and we would have had problems down
the road. She says his passion helped the project become the pride
of the community. He is a perfectionist, and I am a bit as well, and
thats probably why we had our battles to begin with, she says. But
the mark of having a good contractor is that I wouldnt hesitate to
use him again.

Limited Downtime
Brent Fillmore, 60, is not much for hobbies. I dont golf.
I dont fish. I dont hunt, he says. I should run but I dont
it would kill me. I should be more fit, but Im not. Im probably
working 75-80 hours per week. His son and company
vice-president, Chris, says he gardens sometimes, but its far
from his passion. One of his favourite things to do in life is
to go to the auction and buy equipment, he says.
And Fillmore and his wife, Terry, like to travel. In recent
years, their travel time has increased to three months a year,
usually in two-week bursts. We go to see places, to see
cities, he says. Last winter we went through the Baltic
states Latvia and Lithuania and to Copenhagen, Oslo
and St. Petersburg.

Merit and Alberta Venture magazine thank the adjudication panel for assisting with the Contractor of the Year Awards.
This years judges include Bruce Moisey, former partner of Alberco Construction and a past chairman of the ARHCA,
Carl Knowler, Canadian Western Bank, and Aminah Robinson, University of Alberta.
OPENMIND SPRING 2015

41

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BY TERRANCE OAKEY

2014 WAS ANOTHER


BANNER YEAR
FOR OPEN SHOP
CONSTRUCTION
IN CANADA

This last year was an exciting and

productive time for Merit Canada, and


weve made significant progress on most
of our key issues. Thanks to our collective
efforts, there is now a guaranteed secretballot vote for union certification by
employees of contractors who are in
federally regulated sectors, and job
targeting funds are being investigated
by the Competition Bureau. Bill C-377,
regarding union financial disclosure,
is back on the national agenda. Merit
Canada also had its most successful lobby
day to date in 2014.

OPENMIND SPRING 2015

43

Open for Business

Merit Canada president


Terrance Oakey with the
Honourable Candice Bergen,
and the Honourable KerryLynne D. Findlay during our
2014 Lobby Day reception

LOBBY DAY

On May 13, 2014, Merit Canada hosted


another successful Hill day at Parliament
Hill in Ottawa. We had more than 40
meetings with political figures throughout
the day including with the Prime
Ministers Office; Jason Kenney, minister
of employment and social development;
a nd Ch r i s A le x a nder, m i n i ster of
immigration. We truly appreciate all the
time they devoted to their discussions with
Merit Canada.
Some other notable meetings include
discussions with the office of the minister
of finance, the office of the minister
of infrastructure, communities and
intergovernmental affairs and the Treasury
Board. After the meetings, approximately
300 people gathered at the Metropolitan
Brasserie for the evening reception.
Attend ing the reception was the
Honourable Jason Kenney, the Honourable
Candice Bergen, the Honourable KerryLy n ne D. Find lay, the Honourable
Kellie Leitch, the Honourable Senator
Carigan, and the Honourable Senator
Runciman, among many other members
of parliament.
Our focus this year was job targeting
funds, open tendering, Bill C-525 (regarding
the secret-ballot vote) and Bill C-377, which
deals with union financial disclosure.
UNION SECRET-BALLOT BILL
PASSES PARLIAMENT

One of Merit Canadas key lobby efforts


throughout 2014 was to remove card
44

OPENMIND SPRING 2015

check from the federal labour code.


Merit Canada welcomed the passage of
Bill C-525 in early December, 2014. The
Employees Voting Rights Act brings
basic standards of democracy to the
union certification process in federally
regulated sectors, including secret-ballot
voting. A persons decision on whether or
not to support a union drive is a deeply
personal one that should be free of any
possible intimidation or impropriety
from employer and union organizers. The
best way to guarantee that is through a
secret-ballot vote.
Under current practice, a workplace
can be unionized if a union provides
the Labour Board with cards that it
claims have been signed by employees
representing 50 per cent plus one of the
target marketplace. Merit Canada believes
this system is ripe for intimidation and
manipulation. Bill C-525 will require
organizers to get expressions of support
from 40 per cent of workers in federally
regulated sectors in order to force a vote on
union certification. That vote would then
be held by secret ballot. If a majority of
those who vote support joining the union,
then certification proceeds.
Merit Canada wishes to thank those
MPs and senators who have supported
this legislation since its introduction in
June 2013, and particularly its sponsor,
M P Bla i ne Ca l k i ns. Secret ba l lots
are fundamental to our democratic
process and need to be applied to union
certification votes.

JOB TARGETING FUNDS

Another area of focus for Merit Canada


in 2014 was to educate both the public
and government officials on the harmful
impact that job targeting funds, MERFs
a nd ot her a nt i- compet it ive f u nd s
used to harm open shop contractors.
Merit Canada representatives met with
officials from the Competition Bureau
this year a nd they have launched a
preliminary investigation into these
funds. We are hopeful that this will lead
the elimination of these funds to ensure
a level playing field between open and
closed shop companies.
These funds are used by unions and
unionized employers to undermine the
competitive bid process on potential
projects as they are paid out to other
unionized employers who apply for a
wage subsidy in order to be able to win
a bid to work on a particular project
usually in cases where that employer is
bidding against a unionized competitor.
I n ef fec t , t hese f u nd s a re u sed to
cross-subsidize workers on jobs where
unionized employers have to compete
against non-unionized employers for
work. This is unfair, and we hope the
Competition Bureau will end this practice
once and for all.
UNION FINANCIAL DISCLOSURE
ACT (C-377)

Merit Canada has led the fight to bring


union financial disclosure to Canada,
and despite some setbacks, the legislation

The Hon. Jason Kenney


(then-minister of employment)

is back before the Senate, with


committee hearings likely in early
2015. National media outlets are
noticing our collective lobbying
efforts as well and this will continue
until the legislation is implemented.
Bi l l C -37 7 wou ld re qu i re
labour organizations to report the
following information annually:
their financial statements, salaries
paid to officers and employees,
c e r t a i n i n fo r m a t io n a b o u t
expenditures over $5,000, and

the percentage of time spent on


lobbying and political activities.
The reporting requirements under
Bill C-377 are not onerous and will
be easy to implement with even the
most basic accounting practices. If
you work in a unionized workplace
or profession, you are obliged to
pay union dues even if you choose
not to become a union member.
These funds are funneled into
a wide range of causes, many of
which have nothing to do with

collective bargaining. This right to


tax comes with a basic requirement
of transparency. Without it, one
of the fundamental pillars of our
democracy is undermined.
THANK YOU, MEMBERS

The board of directors of Merit


C a n a d a w i shes to t ha n k it s
members from all across Canada
for ma k ing 2014 successf u l,
and looks forward to an equally
triumphant 2015.

Senator Runciman (chair of


the Legal and Constitutional
Affairs Committee),
Honourable Kellie Leitch
(minister of labour), the
Honourable Senator
Michael MacDonald, and
Gord Brown, MP.

OPENMIND SPRING 2015

45

BY THE

NUMBERS
New housing
price index

Construction price index

($ thousands)

for apartment buildings:

Calgary

Edmonton

Calgary

Edmonton

% change Calgary

% change Edmonton

2013

102.2

91.1

2013

169.2

164.3

1.7

1.2

2014

109.4

91.2

2014

171.6

167.12

1.4

1.8

Yearly value of all


building permits

Housing starts in Alberta


2012
33,396

in Alberta ($ millions)

2013
36,011

2014
40,590

2013

17,358.0

2014

18,256.3

Value of building permits in Alberta (in $ millions)

Residential:
Non-residential:

(SOURCE: Merit Contractors Association)

Alberta total:

Total person hours worked


under the Merit Hour

Bank Benefit Plan:


2013
2014

Jan. 2014

Jan. 2015

1,183

915

554

354

1,737

1,268

Average number of employees covered under the

Merit Hour Bank Benefit Plan:

103,774,392
113, 277, 126

2013

2014

51,169

59, 597

Wholesale merchants sales by industry unadjusted ($ millions) across Canada


2013
83,110.5

91,126.2

Electrical, plumbing, heating and air-conditioning equipment and supplies

25,794.0

28,762.2

Metal service centres

18,259.5

20,284.1

Lumber, millwork, hardware and other building supplies

39,056.9

42,079.9

127,567.4

133,062.7

Machinery and equipment


46

2014

Building material and supplies

OPENMIND SPRING 2015

(SOURCE: Statistics Canada)

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passionate about building the best projects and the best careers.
We share your vision of success and work with you to make it happen.

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