ALF V1

Reports of exploited foreign temps have grown as fast as the federal program.

First in a series.

They hand you a soothing cup of Tim Hortons, pack frozen beef in factories, pick blueberries and apples on Abbotsford farms, serve fast-food meals and wipe tables, excavate mines and drill for oil in Western Canada, and raise your kids as if they were their own. Typically paid far less than Canadians, unprotected by labour laws, and disposed of when their contracts end, these migrant labourers have become ubiquitous while remaining all but invisible.

Under the Conservative government, the pool of migrant labour has expanded rapidly with almost no public discussion or oversight -- yet who benefits, and at what cost?

There were 300,111 migrant workers in Canada in 2011-- a more than three-fold increase over the previous decade. Another 190,769 entered that year, creating a temporary foreign workforce of nearly half a million. In 2010, the government accepted one and a half times more migrant workers than permanent Canadian residents.

Migrant workers have been cycling in and out of Canada since 1972, when the Non-Immigrant Employment Authorization Program was introduced. In 2002 it expanded to become the Temporary Foreign Worker Program (TFWP) to service the oil and gas industries in Alberta.

Since the Conservative government of Stephen Harper came to power in 2006, the TFWP has expanded rapidly, becoming an unseen pillar of Canada's economic policy. That year, migrant workers admitted to Canada exceeded permanent residents for the first time. And for the first time, employers no longer had to advertise for a minimum of six weeks on a national job bank before being granted permission to hire a migrant, but could do so after just seven days. The shortened processing was a gift to employers, who were allowed to designate workers they needed under "Occupations Under Pressure."

So fast growing are such designations that between 2007 and 2011, the program created a total of almost 30 per cent of all new jobs -- this at a time when the government, grappling with the financial crisis, claimed that creating jobs for Canadians was a key priority. And in 2012, under a little-noted provision of the omnibus budget bill that managed to avoid public debate by sliding in with so much other legislation, the Conservatives introduced changes for high-skilled workers such as dropping application times from 12 weeks to 10 days and permitting employers to pay them 15 per cent less than the average Canadian salary for the same work.

Critics argue that such changes lower standards for all workers, and that it won't be long before the majority of migrant workers, who are considered "low-skilled" in fast-growing sectors such as construction, hospitality, caregiving and agriculture, can legally be paid less than Canadians -- a trend that is already happening, due to the lack of oversight. Many endure mistreatment that, in the most severe case to date, has cost lives.

On April 27, 2007, Canadians woke up to news that two Chinese migrant workers employed by Sinopec Shanghai Engineering Canada near Fort McMurray had been killed when a tank's structure fell on them. Charged with violating safety standards, Sinopec, a part owner of the pipeline transport company Enbridge, initially argued that the Chinese state-owned company "has no official presence" in Canada and therefore did not fall under Canadian jurisdiction. Only recently, on Oct. 10, 2012, did the company plead guilty to three safety violations.

Growing list of abuses

Reports of migrant workers being exploited by powerful corporations have increased almost as fast as the TFWP.

In Oct. 2008, migrant workers at Maple Leaf Foods in Edmonton went on strike with their Canadian counterparts for not receiving the $15 per hour promised in their contracts. Many relied on food banks during the strike as they couldn't survive on the strike wage of $230/week and could not, because of the nature of their work permits, work elsewhere.

On Christmas Eve of 2009, four migrant workers, whose names and the company they worked for were not disclosed, died when the scaffolding of the building they were constructing fell on them.

In May 2009, youth and multiculturalism critic and Liberal MP Ruby Dhalla was criticized for allegedly abusing her caregivers from the Philippines, by forcing them to do work outside their contract and underpaying them.

In Nov. 2010, the UN's International Labour Organization found Ontario, and Canada, guilty of violating the rights of 100,000 migrant and domestic farm workers in the province by banning farm unions. In May 2011 three Filipino temporary workers, dubbed "the Three Amigos," were deported when their permits became invalid after their employers in Alberta laid them off due to the recession. They worked at a Manitoba gas station for another employer who promised to change their permits, but never did.

Roof collapse

Storage tank roof collapsed in April 2007 killing two Chinese migrant workers employed by Sinopec Shanghai Engineering Canada near Fort McMurray. (CBC)

In May 2012, a union staged a blacklist tribunal in front of the Mexican consulate for all the farm workers who have allegedly been sent home for attempting to unionize. Later in June, the exotic dancer stream of the TFWP was cut after the immigration and the human resources departments deemed that there were risks of human trafficking and exploitation within the stream. And this fall the premier of B.C. was severely criticized for advertising a Chinese mining project as a way to bring jobs to Canadians, when up to 2,000 Chinese migrant workers will be recruited to work in mines -- rather than offering the jobs to locals, including the First Nations from those areas. The job ads also listed Mandarin as a language requirement, ruling out most Canadians from applying.

It was also discovered in an investigation by The Tyee that Chinese workers were being charged recruitment fees of more than $12,500 in exchange for work in the mine. Two unions have challenged the Chinese workers' entries, through a judicial review that was approved by the Federal Court. As the controversy grew, Human Resources and Skills Development Canada announced it was reviewing the entire program.

XL Foods, based in Alberta, also came under fire for laying off 2,000 workers, 800 of whom turned out to be migrant workers, after the massive beef recall in September 2012.

And earlier in November four Mexican migrant workers filed a human rights case against their employer at Tim Horton's in Dawson Creek, B.C., who they say gave them the "double-double" treatment, by doubling them up in bunk beds and charging them double in rent, as well as withholding their passports and calling them, according to reports, "Mexican idiots" -- charges their employer said were "made up."

Alberta's two-tier labour system

Alberta currently has the highest per capita use of migrant workers, largely due to the oil sands projects -- 22 times higher than the rest of the Canada -- and their situation reveals troubling rates of mistreatment. As a 2010 audit by the Alberta Ministry of Employment and Immigration discovered, 74 per cent of migrant workers were mistreated by their employers, who typically violated labour laws on overtime, holiday and vacation pay.

Gil McGowan, president of the Alberta Federation of Labour, sees the treatment of migrant workers as an issue that affects Canadians directly. "They are being used as pawns to drive down wages and conditions across the board, especially in the service sector but also in higher income sectors like construction."

McGowan thinks the growing reliance on temporary foreign labour is a move backwards for Canada: "The Harper government is changing that model in a profound way without any kind of public discussion: to replace the citizenship-based model with a model focused on creating underclassed ghettos of exploitable workers."

He foresees future labour tensions, such as those in Western Europe and the Middle East where "guest workers" perform work their citizens refuse to do. "It set off a powder keg of resentments and animosities between the guest workers and the citizens of the countries in which they are working," he says. The citizens felt that the guest workers "were being used to undermine their wages and conditions, which frankly, they are."

A pilot program that would fast-track the immigration process for trades workers began accepting applications Wednesday is a welcome change for the oilsands, says Oil Sands Developers Group Executive Director Ken Chapman.

However, Chapman says the program doesn't address challenges the natural resource sector has with immigration policies and as a result, the demand for blue-collar workers in Wood Buffalo and the oilsands will likely intensify in 2013.

The changes to the Temporary Foreign Workers program will reduce much of the red tape needed for trained foreign workers that specialize in 43 occupations. Some of these jobs include heavy-duty mechanics, ironworkers, millwrights, electrical work and welders — all jobs that are in short supply in Alberta.

Only 3,000 workers will be admitted through the program, a number Chapman says is problematic.

"That number alone is nowhere near to meeting the needs of Wood Buffalo or the oilsands, let alone other big projects in Canada," says Chapman. "We need skilled workers quickly and we're still competing with other markets with their own labour shortages."

While manufacturing has wavered in the last ten years, natural resources jobs have emerged as key industries for Canada's economic success.

British Columbia and Saskatchewan are both beginning to exploit their shale gas and oil deposits on a massive scale, while the territories, Ontario and Quebec have increased activities in their natural mineral and metal mining sector.

The program, titled the Federal Skilled Trades Program, gives preference to applicants with Canadian job offers and have a basic knowledge of English or French. At least two years of work experience in their trade is a bonus.

"Canadian employers have long been asking for ways to get the skilled tradespeople they need to meet demands in many industries across the country," said Immigration Minister Jason Kenney on Wednesday. "We've listened to their concerns and created this program in response."

In July, the Alberta Federation of Labour told Today they were skeptical of the program and were worried that it would allow fewer safeguards for foreign workers.

Nancy Furlong, secretary-treasurer of the AFL, pointed to a 2010 provincial report that found 74% of employers who used the Temporary Foreign Worker program had violated the Employment Standards Act regarding pay rates and record keeping.

"Canadians should get first crack at these jobs. But the Harper government is more interested in the bottom line of their friends in the non-union construction sector," she said. "The result is employers can use these workers in ways that Canadians might not tolerate,"

To meet the labour demands in northeastern Alberta, Chapman says more needs to be done to make the region more accommodating to the needs of foreign workers.

"The last census saw about 15% of the population here came from outside of Canada. That should be sufficient to have, at least on a visiting basis, immigration counselings so workers can deal with immigration issues here, not in Vancouver, Edmonton or Calgary," he said. "We need to give them more flexibility, make it easier to become citizens, easier for their families to come over if they're here long-term."

Chapman would also like to see language classes for promising skilled workers, rather than see them turned away due to a language barrier.

"If they're qualified and good on the tools but have problems in language, let's help them and not reject them," he said.

Fort McMurray Today, Wednesday, Jan. 2, 2013
Byline: Vincent McDermott

Hoping to quickly close Canada's growing labour gap of tradespeople, federal Immigration Minister Jason Kenney has unveiled a new plan that would quickly turn skilled foreign workers into permanent Canadian residents.

Kenney says the Skilled Trades Stream will help fill a serious labour shortage caused by Canada's growing natural resource economy, particularly in the oilsands and remote areas of the country. The program will only admit a maximum of 3,000 people to avoid backlogs. Applications will be accepted after Jan. 2, 2013.

"For too long, Canada's immigration system has not been open to these in-demand skilled workers," said Kenney. "These changes are long overdue and will help us move to a fast and flexible immigration system that works for Canada's economy."

Applicants will not have to meet the criteria of the points system that is already used for prospective immigrants or other skilled foreign workers.

Instead, the new program will consider applicants who have a job offer in Canada, have a basic proficiency in English or French, can prove they have experience in an in-demand trade. They must also show that their occupation qualifies as a trade under federal regulations.

The need for skilled tradespeople is most dire in Alberta, where the province estimates that it will need an additional 115,000 skilled tradesworkers over the next 10 years.

A spokesperson with the Alberta Federation of Labour said the program will help the province's economic growing pains. However, the AFL is still concerned about employment protection for low-skilled foreign workers already operating in Canada.

Fort McMurray Today, Tues Dec 11 2012

— Today staff

The Alberta Federation of Labour thinks the same people they say messed up the Temporary Foreign Worker program, can't be trusted to fix it.

Last week, the Harper government announced a review of the program. This after critics called foul on a BC mining firm for bringing in 200 Chinese workers to do jobs Canadians were qualified for.

AFL President Gil McGowan says the Harper Government "created a monster" when it relaxed requirements for companies to prove foreign workers were needed.

"They no longer have to keep records of Canadians that have applied." he says. "They no longer have to explain why the Canadians were not picked. All they have to do is post an on-line ad, and they don't have to demonstrate that Canadians have actually applied or not."

McGowan adds that the program has expanded to cover menial labour and other jobs.

And, he says, because workers are sent home after four years, the program has created an exploited, disposable workforce.

i880News, Tuesday, Dec. 11, 2012

EDMONTON - Labour group not convinced change on the way for Temporary Foreign Worker Program

The Alberta Federation of Labour thinks the same people they say messed up the Temporary Foreign Worker program, can't be trusted to fix it.

Last week, the Harper government announced a review of the program. This after critics called foul on a BC mining firm for bringing in 200 Chinese workers to do jobs Canadians were qualified for.

AFL President Gil McGowan says the Harper Government "created a monster" when it relaxed requirements for companies to prove foreign workers were needed.

"They no longer have to keep records of Canadians that have applied." he says. "They no longer have to explain why the Canadians were not picked. All they have to do is post an on-line ad, and they don't have to demonstrate that Canadians have actually applied or not."

McGowan adds that the program has expanded to cover menial labour and other jobs.

And, he says, because workers are sent home after four years, the program has created an exploited, disposable workforce. (ms)

iNews NOW, Sunday, November 11, 2012
Byline: Brenton Driedger

Alberta Federation of Labour skeptical of TFW program review
Tories created this monster, can’t be trusted to tame it

Edmonton - Canada’s Temporary Foreign Worker (TFW) Program is broken and despite their promise of a review the Federal Conservatives are unlikely to fix it, says the Alberta Federation of Labour.

On Thursday, Human Resources Minister Diane Finley announced that the program would be reviewed, due to criticism over the decision to grant permits to more than 200 Chinese nationals to work in a northeast B.C. coal project.

“If they want to find the source of the problems with the Temporary Foreign Worker Program, the Harper Conservatives just need to look in the mirror,” AFL president Gil McGowan said. “They created this monster by removing any checks and balances from the Temporary Foreign Worker Program, and by rubberstamping every application.”

Fuelled by exaggerated labour shortage claims, Alberta employers have made more aggressive use of the TFW program than employers in any other province. There are currently more than 60,000 Temporary Foreign Workers in Alberta, giving the province the biggest TFW population in Canada as a proportion of the labour force. More than 50,000 additional TFW applications from Alberta employers were approved in 2011.

In a letter to the Human Resources Minister, McGowan expressed skepticism about how the federal government intends to re-examine the TFW program. The last time the Tories held hearings about the program, the hearings were held behind closed doors and had no public consultation.

“Another set of secretive meetings with business leaders will not be sufficient. This review cannot be conducted in the same manner,” McGowan said. “They have spent the last five years creating this problem by whittling away at safeguards. I have no confidence in their ability to fix it.”

After the last set of hearings in April, the federal government removed safeguards that had been designed to prevent abuse of the TFW program. Under the Accelerated Labour Market Opinion (ALMO) process, which was introduced earlier this year, employers can bring in workers under the TFW program and pay them 15 per cent less than the prevailing wage rates in the region.

“Previously, employers would have needed to show that they had made an effort to recruit workers from within Canada. Not anymore,” McGowan said, noting that the changes had been made behind closed doors, with no input from the public or real labour unions. “We have a system where it’s cheap and easy for an employer to exploit this program. Is it any surprise there are problems?”

Alberta Federation of Labour president Gil McGowan will be available to media to speak about this issue outside of MP Laurie Hawn’s office at 1:30 p.m. today, Friday, Nov. 9.

-30-

MEDIA AVAILABILITY:  

Gil McGowan, Alberta Federation of Labour President
at 780-218-9888 (cell) or 780-483-3021 (office)
Friday, November 9, 2012 at 1:30 p.m.
Outside the constituency office of Laurie Hawn, MP (11156 – 142nd Street, Edmonton)

For Backgrounder click here.

Re: "Premiers must stand up to Ottawa's cheap-labour strategy; Harper Tories have launched stealth attack on middle class," by Gil McGowan and Lana Payne, Opinion, Aug. 3.

This opinion piece criticizing federal reforms misses the mark on several issues.

Pension reform is about fairness and sustaining future pensions for all Canadians. Decisions taken this year will ensure we have a viable Canada Pension Plan into the future. Consider what's happening in Europe.

Employment insurance should be run as an insurance program, not a social welfare program. Its aim is to provide a financial bridge to help able-bodied unemployed Canadians find jobs where their skills are needed.

If the Temporary Foreign Worker Program is all about exploitation, how can you say construction workers making $30 to $40 an hour are being exploited? The assertion that employers will automatically pay temporary foreign workers 15 per cent less than their Canadian workers is also wrong. While federal guidelines permit flexible wage scales, they stipulate that all rates must be comparable to what workers in the company are paid.

It is also wrong to say Bill C-377 will restrict unions from spending. Rather, the proposed legislation calls for unions to account for and disclose how mandatory union dues are spent, in the same way charities and native bands do. Recent surveys suggest unionized workers in Canada support this type of legislation.

While union leaders across Canada are banding together to oppose reforms that are relevant in the 21st century, there are others who believe the Harper government should be applauded.

Edmonton Journal, Tues Aug 7 2012
Letter by: Stephen Kushner, president, Merit Contractors Association, Edmonton

A labour shortage occurs when the demand for labour exceeds the supply of labour, right? Well, apparently not in Alberta.

The Alberta Federation of Labour took a long, hard look at the Government of Alberta's projections showing an astronomical labour shortage of 114,000 workers by 2021 and found them to be based on misleading methods.

Instead of a straightforward calculation of demand for labour minus supply of labour, with a shortage occurring when total demand exceeds total supply, Alberta used a strange formula that subtracts the annual change in demand from the annual change in supply.

The result: even though the Alberta government's projections show the supply of labour exceeding demand (a labour surplus, one would think) for every year through 2021, their strange method shows a labour shortage.

What's more, the government accumulated these phoney yearly labour shortages up to 2021 to show a "cumulative shortage" of 114,000 workers even though this supposed shortfall would be captured in the following year's demand. Put another way: one vacant job over 10 years is still one vacant job, not 10 as the Alberta government would have us believe.

The same day the AFL released its report, the Certified General Accountants Association of Canada released its own report with similar findings. Their findings include "Labour shortages are difficult to observe and measure directly" and "Where sufficient data exists, an assessment shows that labour shortages occurred rather sporadically and did not persist for more than one year at a time over the past ten years."

These bad numbers lead to bad public-policy decisions.

On July 16, Citizenship, Immigration and Multiculturalism Minister Jason Kenney used Alberta's "acute labour shortages" to justify an expansion of a Temporary Foreign Worker pilot program whereby employers won't have to consider hiring Canadians in certain occupations first before turning to offshore labour.

Originally, the pilot program allowed some Alberta employers to bring in Temporary Foreign Workers for steamfitter/pipefitter jobs without going through the Labour Market Opinion (LMO) process. The LMO process forces employers to show efforts to "recruit and/or train willing and available Canadian citizens/permanent residents." The expanded pilot process to include six more occupations, including welders, heavy duty equipment mechanics, ironworkers, millwrights and industrial mechanics, carpenters, and estimators.

Of course, the AFL acknowledges that there is a "tight labour market situations in select trades and skills" in the province, but those specific shortages in certain occupations are related to the provincial government's ineptitude for planning and pacing development in the oil sands.

Nevertheless, that fact hasn't stopped anti-union interests in the province from using the government's faulty labour shortage figures to call for radical changes to labour markets with the end goal of depressing wages in the oil sands.

This article was a guest post by the Alberta Federation of Labour's Tony Clark. It was first posted on the Progressive Economics Forum.

Rabble.ca, Tues Aug 7 2012
Byline: Tony Clark