Horganomics. Labour monopolies in B.C.

[Leifer]

A great article in the province explaining why labour monopolies won't work in B.C.

Horganomics and payback the NDP owe the unions who contributed so heavily to their failed election campaign.

https://theprovince.com/opinion/op-ed/horganomics-why-labour-monopolies-wont-work/wcm/b0f0090a-1c55-4681-aa86-895d6869e8fc

An example to illustrate the problem with the NDPs new policy.

Imagine, in the face of a severe car shortage, a government stepped in and said the best approach to deal with the shortage is to oust all but one carmaker, and then proceeds to retain a carmaker that generously supports the governing party but holds only 15-per-cent market share. This approach, as outrageous as it may seem, is Horganomics 101.

[savvybusinessman]

I'm not seeing a problem. Only old grumpy people have a problem with unions and job protection.

[Urbane]

I'm not seeing a problem. Only old grumpy people have a problem with unions and job protection.

Here's the problem (from the linked article):

The BTU and NDP have been touting the potential upside of community benefit agreements (CBAs), which, when properly executed, could present tangible dividends for local communities.

Unfortunately the government has saddled the deal with a restrictive labour model.

The justification? That by restricting these projects to the chosen unions it will increase the pool of available workers. It’s not economics, but it’s definitely Horganomics. The school of Horganomics rejects the fundamentals of the market. Instead, it suggests the complex challenges faced by the B.C. construction industry are best dealt with by the creation of a labour monopoly enjoyed by — wait for it — the unions that donated the most money to the NDP party. It’s a shocking strategy for both its blatant favouritism as well as its bold rejection of the basic truths of real economics.

[fluffy]

Wayne Prins is executive director of the CLAC, an independent, all-Canadian labour union that represents more than 10,000 construction members.

CLAC is a sham union, a union in name only, notorious for representing employers rather than employees. Anything its executive director says in support of unions should be taken with a grain of salt. A lot of grains of salt.

[hobbyguy]

Wayne Prins is executive director of the CLAC, an independent, all-Canadian labour union that represents more than 10,000 construction members.

CLAC is a sham union, a union in name only, notorious for representing employers rather than employees. Anything its executive director says in support of unions should be taken with a grain of salt. A lot of grains of salt.

Ummm... the data that I have seen says otherwise. I checked out the contract for CLAC workers at site C, and the wage levels, benefits, and general terms of the contract appeared within the normal ranges.

I don't have any personal experience with the CLAC, but that's when I found when I checked when others made such claims.

The old dinosaur unions that have been in decline, largely because they are stuck in a failed model and approach, don't like the CLAC because the CLAC is growing, and attracting more members, as they take an entirely different approach than the old style "Jack Munroe" thuggery.

At least that's what a real analysis I found appears to show: https://macsphere.mcmaster.ca/bitstream/11375/11282/1/fulltext.pdf

"What makes CLAC a focal point for many mainstream unions is that there is strong evidence that CLAC’s alternative approach to labour relations seems to be contributing to strong membership growth just as membership at many other unions in Canada remains stagnant or is in decline. Hence, the key objective of this paper is to analyze CLAC’s competitiveness by squaring its alternative approach to labour relations with its strong growth relative to other unions.
It is my hope that this analysis of CLAC’s success may provide some important insights that could potentially contribute to the ongoing dialogue on strategies for union renewal."

You bet, old time dinosaur unions that have done a lousy job for the majority of Canadian workers don't want to hear about real competition in their field. I have said for a long time that unions have failed Canadian workers by refusing to make themselves relevant in a modern context - they are stuck in a 1930's model.

It would be a great benefit to many, many Canadian workers to have an alternate model of bargaining strength working in their favor. It is not the CLAC's fault that other unions have failed to adapt to modern circumstances - it is the fault of ossified die hard old school unionists.

Some unions have made some progress. I was able to negotiate a contract with one union that dramatically cut the number of classifications, paid people for what they know how to do, and converted a company pension plan to a locked in RRSP plan - in each worker's name. The workers wound up getting paid more, the company made more profits because productivity went up, and the worker's retirement savings were removed from the possibility of hedge fund style jiggery pokery theft - No company plan for the hedge fund guys to raid, no union plan for shady loans and misuse, straightforward it's your money, the company contributes "x" and more if you contribute more. It was a win-win. The workers did better and were happier, and the company made more money.

I broached that model with another union I dealt with - and they flat out refused to even discuss the possibilities.

In order to deal with the income inequality issues in this country we need a better voice for workers. You don't get that by a goof like Horgan setting up a monopoly by handing control to failing dinosaur union. You actually get that by alternative models cropping up and competing for workers - whoever does the best job will attract the workers. The old "closed shop" 1930's Marxist nonsense provides no answers to 21st century issues.

[madmudder]

Not much different when the Liberals gave government contracts to their biggest construction donors. Even with huge cost over runs. It was payback time.

[Urbane]

Not much different when the Liberals gave government contracts to their biggest construction donors. Even with huge cost over runs. It was payback time.

How the goal posts have been moved. During the last campaign, when some of us pointed out how strong our provincial economy was, we were told that the Liberals were corrupt and that the NDP would clean things up. Now the argument is that since the Liberals were corrupt it's somehow okay for the NDP to be corrupt. Funny how that logic works. All this and they didn't even win the election.

[madmudder]

Not much different when the Liberals gave government contracts to their biggest construction donors. Even with huge cost over runs. It was payback time.

How the goal posts have been moved. During the last campaign, when some of us pointed out how strong our provincial economy was, we were told that the Liberals were corrupt and that the NDP would clean things up. Now the argument is that since the Liberals were corrupt it's somehow okay for the NDP to be corrupt. Funny how that logic works. All this and they didn't even win the election.

I know its the same logic we heard for eleven years.

[Snman]

I know its the same logic we heard for eleven years.

Surely you must be mad.

[flamingfingers]

With the decision Horgan made for union contracts, there are also clear obligations put on the unions. We have had a labor shortage of qualified workers for years, and years... Now with this decision, Horgan makes certain that labor contracts provide training for apprentices at wages to attract young men and women to consider trades training.

I'm quite happy to invest my tax dollars in an endeavor that advances trades training which will elevate the younger generation into a career that rises above barrista and flipping burgers.

Better wages = more taxes paid by workers and some left over to buy local and not sent overseas.

[mikest2]

With the decision Horgan made for union contracts, there are also clear obligations put on the unions. We have had a labor shortage of qualified workers for years, and years... Now with this decision, Horgan makes certain that labor contracts provide training for apprentices at wages to attract young men and women to consider trades training.

I'm quite happy to invest my tax dollars in an endeavor that advances trades training which will elevate the younger generation into a career that rises above barrista and flipping burgers.

Better wages = more taxes paid by workers and some left over to buy local and not sent overseas.

You forget that non union firms provide apprenticeships as well, the obligations should be on the employer, not the union. The union are only an agent for the workers, and quite frankly.......the workers could do a lot better. We talk about fat wages and pensions for politicians, they could take lessons from the union executives.

[flamingfingers]

You forget that non union firms provide apprenticeships as well,

Yeah? Then why do we have a labor shortage of QUALIFIED workers. Apprenticeships cost an employer $$$ that cuts into their bottom line. Something that CLAC and ICBA (an employer's union) don't like. Lip service IMO.

[mikest2]

Yeah? Then why do we have a labor shortage of QUALIFIED workers. Apprenticeships cost an employer $$$ that cuts into their bottom line. Something that CLAC and ICBA (an employer's union) don't like. Lip service IMO.

My non union crew and I are currently indenturing six apprentices, how many you got going ? Your people are your most important resource. Nice lips you got there !

[flamingfingers]

How many apprentices has your non union crew groomed to Journeyman status?

[The Green Barbarian]

How many apprentices has your non union crew groomed to Journeyman status?

groomed to be communists? Zero.