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Report to IMPACT & Ironworkers Union on Campaign to Protect Our Steel Fabrication Industry & Jobs

From Bill TielemanWest Star Communications

In the summer of 2014 West Star Communications was retained by IMPACT to assist in undertaking a national campaign to protect Canadas $5 billion steel fabrication industry and 40,000 direct and indirect jobs from the threat of offshore foreign steel imports.

That foreign steel, primarily from China, is unfair competition because it is produced with government subsidies while lacking labour and human rights and environmental standards. Since last year the following actions have been taken in the campaign:

Research

National polling on steel fabrication industry issues was conducted for IMPACT by Insights West, a leading public opinion research firm. It showed very strong support for our campaign across Canada. These results are critical to informing our efforts and showing politicians and staff the public is behind our position.

An overwhelming 88% of respondents said they support the Canadian federal, provincial and municipal governments taking steps to ensure the steel fabrication industry in Canada is not subject to unfair competition from foreign companies to supply steel in this country.

And 51% of the 1,554 respondents in the poll agreed strongly with that position. Only 6% opposed protecting the industry.

The poll also found 85% said that when major projects receive substantial funding from Canadian taxpayers, governments should insist that local, provincial and national suppliers of goods and services be given preference over foreign suppliers. Of all respondents, 52% were strongly in favour.

Flagship Solutions, a government relations firm based in Ottawa and Toronto recommended by West Star Communications, researched and wrote a short report on how governments can legally support local and national procurement policies with the framework of existing international agreements such as World Trade Organization [WTO] rules and the Canada-European Union Comprehensive Economic and Trade Agreement [CETA].

Government Relations

Ironworkers Union General Organizer for Western Canada Eric Bohne and West Star Communications Bill Tieleman met with Victoria, BC Mayor Lisa Helps to discuss how municipal procurement policies can be strengthened to favour local and national steel fabrication firms. Victorias Johnson Street Bridge project is using Chinese fabricated steel that has been found defective, leading to costs rising from $63 million to $98 million and still climbing, while completion of the new bridge will be two years late. Mayor Helps strongly supports our campaign and has seen the sad results of using offshore foreign steel.

Bohne also had an opinion-editorial article published in both The Province newspaper British Columbias second largest and The Georgia Straight weekly newspaper calling for protection of the steel fabrication industry and detailing the problems of the Johnson Street Bridge in Victoria and the Bay Bridge in San Francisco, which had a cost overrun of $5 billion and huge delays again due to defective Chinese steel.

Bohne and Tieleman will meet shortly with Vancouver BC City Councilor Geoff Meggs and later with Vancouver Mayor Gregor Robertson to discuss strengthening Vancouvers existing procurement policies, which already feature labour and environmental components.

Bohne and key steel fabrication industry representatives have requested a meeting with Shirley Bond, BC Minister of Jobs, to discuss government procurement policies and the threat of offshore steel products. Ironworkers Local 97 Business Manager James Leland and Ironworkers Executive Director of Canadian Affairs Darrell LaBoucan recently met with Bond, Premier Christy Clark and other government members on the issue of Chinese rebar imports to Canada and also raised steel fabrication issues in their discussions

Flagship Solutions organized an important series of meetings on procurement policies in Toronto between steel industry firms, Ironworkers Ontario Local representatives and provincial politicians from all parties, including Liberal Environment Minister Glen Murray and senior government staff, New Democratic and Progressive Conservative Members of the Provincial Parliament. Ontario has announced a $130 billion 10-year infrastructure program with many projects that will require fabricated steel. All parties were very receptive to the union-industry delegation and potential changes to protect Canadian steel fabricators from unfair offshore competition.

West Star Communications and Eric Bohne are approaching staff for Edmonton Mayor Don Iveson for a meeting with the Mayor, along with Ironworkers Local 720, on procurement policies for that city. Edmontons Walterdale Bridge project has experienced significant delays and a $20 million higher cost due to problems with South Korean fabricated steel.

The surprising majority government victory of the Alberta New Democrats under new Premier Rachel Notley has opened up many opportunities for changes in government procurement policies. The Ironworkers and steel fabrication industry are well placed to influence positive improvements in that province.

There are other significant opportunities in other provinces as well, with Saskatchewan bringing in a SaskBuilds procurement policy that will demand best value versus lowest cost a welcome development. Manitoba will go to a provincial election in April 16 and all parties will be eager to highlight policies that benefit Manitoba workers. And Atlantic provinces have always been interested in protecting jobs.

In conclusion, there has been significant progress from:

Using research to determine the level of public support for protecting the steel fabrication and the economic growth and jobs it creates from unfair competition; Raising public awareness of the importance of the steel fabrication industry; Literally building bridges with several key politicians and staff; and Laying the foundations for changing government procurement policies to restrict use of offshore foreign fabricated steel.

More remains to be done but this campaign is well underway.