From the Desk of the Business Manager
By Keith Wright
Writing a newsletter can sometimes be challenging in the best of conditions. But writing one in the face of a daily onslaught of bad news makes it even harder. This recession/depression has lasted long enough now that we have grown accustomed to bad news. The thought of hearing one more “expert” expound on their prediction of where we are headed with jobs and this economy is enough to send you out the door and away from it all. At this point, I think that anyone’s opinion about how this will play out, is just as valid as any “expert” opinion; maybe even more so. There is a saying that goes, “The man that is swimming against the stream knows the strength of it.” I like old sayings because they have stood the test of time, and they are usually spot-on with their message. The strength of this economic stream varies greatly for different people. That may account for what seems like a lack of incentive on the part of Legislators to get a jobs bill passed that actually gets people back to work. Bricklayers Local 1 may have had one or two projects attributable to the Stimulus Bill in the last year and a half, but that’s about all. We are still waiting for that train to pull into the station.
But, I didn’t sit down to put ink to paper just to talk about more bad news. There has been good news, but at times it’s just a little harder to spot. We obviously, have had a reduction in hours, but there are still jobs ongoing and hours being worked. Public works projects dominate the work landscape, with rumors of several sizeable private projects on the horizon. The main stumbling block for private works is the lack of access to loans. Despite what Government efforts have taken place to free up money, bank lending is still tight. Construction has always been held hostage by access to lending and the interest rates of the times. In the 1980’s it was interest rates in the high teens that stifled construction. Recent increases to our Industry Advancement Program have helped our contractors be competitive, and kept a large amount of our members working. The wisdom to start programs before you need them really comes into focus at times like these. Local 1 started our Industry Advancement Program in 1995. Another goal is to start a Labor Management Compliance Trust in conjunction with our Contractor Association. This jointly trusted Trust Fund would be used to further the Masonry Industry through enforcing compliance of public contracting laws, reducing the scope of product liability lawsuits or any other issue that the Trustees agreed were important to further our industry. I have come to the conclusion that no State Agency is going to look out for our best interests like we can. If we are going to stay competitive into the future, we need to do the heavy lifting now, to ensure that we are positioned to deal with the next downturn.
Our Apprenticeship Program continues to be a source of pride and importance. We are still training apprentices and currently have 32 indentured. The reduced number of apprentices is due to a slower replacement rate of the apprentices as they journey out. It is important that we continue to train new mechanics through these times, and to encourage our contractors to utilize apprentices to help build our future. This slowdown won’t last forever and we need to have new journeymen on the rebound side of this.
On May 8th we held our Pin Awards Dinner at the Red Lion on the River at Jantzen Beach. It was another nice event and we had several special guests. From our International Union we had our General President Jim Boland speak with us. We also had I.U. Secretary-Treasurer Henry Kramer, and West Region Director Dave Sheppard present. Our special guest speaker was Governor John Kitzhaber who was able to spend about 45 minutes speaking to our group and meeting some of our members and guests. Governor Kitzhaber’s appearance was just days prior to the Primary Election and was a very busy time for the Governor. I appreciate the Governor’s openness and his sincere recognition of the importance that our members have in Oregon. Oregon Building Trades Council, Executive Secretary, Bob Shiprack was also present and he gave his jobs outlook report for Oregon.
We recently split up the last raise of our four-year contract agreement. The members present at the May Union meeting voted to put $0.55 towards the Defined Contribution Pension and $0.60 towards our Industry Advancement Fund. The remaining $0.35 of the $1.50 raise was required to keep pace with cost increases to our Health & Welfare Fund. We will be bargaining a new contract in 2011. I expect bargaining to be spirited, but we have demonstrated to our Contractor Association that we are here to work together for equitable increases, and that we are committed to improving our industry. Given the reasonable outcomes of other West Coast Locals that were bargaining this year, I expect we should not be any different.
At the May meeting we also addressed the issues facing the NW Bricklayers Pension, with the adoption of a Rehabilitation Plan we filed with the Federal Government. The Trustees have done their due diligence with diversification and complying with Federal regulations. Now it’s a matter of waiting for the stock market to return to normal investment returns to build our way out of the funding deficiency.
In closing, I said I would try not to talk about bad news, but at the same time I need to be practical. Over the last decade or so, we have put on a Local 1 Picnic. That was until last year when I cancelled it for financial reasons. One of my main duties as Financial Secretary of this Local is to be watchful and protect the treasury of Local 1. We funded a Pin Awards Dinner this year because I think it important to honor our loyal members for their service. If I had to choose between the Pin Awards Dinner and the Picnic, I would have to choose the Pin Awards Dinner. The Picnic is fun and I know it’s a popular event, but like any family watching a budget, some things need to be put on hold. So, once again I have cancelled our 2010 Picnic until next year and maybe then, we will have a clear financial picture. I will make our reservation again at Blue Lake Park for 2011 in anticipation that we can hold a Picnic event then. I thank you for your understanding, and I apologize that this communication got so lengthy. I hope that the summer weather is finally here now, and I wish you and your family a happy and safe summertime.