November 29, 2013

No. 14

Six-Month Lockout of Richmond Ikea Workers

Rally Demands Ikea Settle Dispute
Without Concessions


Six-Month Lockout of Richmond Ikea Workers
Rally Demands Ikea Settle Dispute Without Concessions 

Day of Action Against Enbridge and Kinder Morgan Pipelines
Rally in Vancouver Draws 5,500 -- Energy Monopolies Watch Out!
Demonstration and Rally in Prince George

Increased Monopolization of Canadian Food Sales
Threat to Food Security - Brian Sproule



Six-Month Lockout of Richmond Ikea Workers

Rally Demands Ikea Settle Dispute
Without Concessions

More than 400 workers joined a demonstration outside the Coquitlam Ikea store on November 23 to support the 350 Richmond Ikea employees locked out since May 13.

Dorothy Tomkins, a 20-year veteran, said Ikea employees rejected the company's demands for concession on three occasions. Each time, Ikea attempted to impose two-tier salaries which discriminate against the youth, eliminate hours of work and cut existing pay rates and benefits. The Richmond Ikea workers, members of Teamsters Local 213, reject this refusal to negotiate. The company locked them out for defending their rights and rejecting the company dictate.

Since May 13, the Ikea workers and their allies have persistently kept up their pickets during store hours at the Richmond location. The company in turn has erected a plastic wall separating the picket tent from the driveway so that customers coming to the store are prevented from interacting with the locked-out workers and engaging in discussion.

At the Coquitlam rally, worker Agnes Gaglewski read a poem called "The Picket Line":

We talk we walk
We yearn inside
For an answer we can't find
Why did the company we care for and admire
Put us on the curb for six months and for hire?
Why won't they see us with their hearts and their minds
Instead they turn the tables to rewind
We grow closer as friends and breach the boundaries of industry standard
For what we have is unity and no fence can divide that.
We walk and we talk about interests and hopes
We gain tolerant of the weather as we battle our foes
In the spotlight that some seem to shame with much haste
Relentless we stand up for what's right in the end
I thank you my friends for six months of pure care
I could not be prouder of the bonds that we share
In solidarity I write as I thank each of you
For your dedication to both what's most real and most true.

Anita Dawson, Business Representative/Secretary Treasurer of Teamsters Local 213, recounted Ikea's attacks against workers around the world. She spoke of how Ikea waged an ugly conflict against Turkish workers trying to organize a union. Two senior managers of Ikea were arrested for bribing the Turkish police and spying on workers. In Danville, Virginia, the Machinists organized the Ikea workers when Ikea rolled back their $9 an hour wage to $8. The company was fined for violating safety regulations and carried out attacks on the workers including racial abuse. At the lockout in Richmond, Dawson pointed to the company's 24-hour surveillance guards and the separation wall.

Dawson emphasized the gains workers have won through uniting into unions and fighting for their rights such as unified pay rates without discrimination based on gender or age. "We want to send a message to Sweden," she said. A delegation is going there to tell Ikea on its home turf to "tear down the wall. Negotiate with us a fair agreement so the workers can be back on the job by Christmas."

President Jim Sinclair of the BC Federation of Labour said Ikea threatened to sue the BC Fed and Teamsters for organizing the rally. But we are here because we have a right to be here, he said. He thanked all the unions for participating as this struggle is for all workers. The International Longshore and Warehouse Union Local 502 (New Westminster), which along with other delegations proudly displayed its banner was one of the largest at the rally.


Members of the BC Teachers' Federation picket with locked out Ikea workers in Richmond, October 4, 2013. (BCTF)

Sinclair emphasized the importance of the Ikea workers' struggle against concessions and retrogression. Amongst other concessions, they are resisting the unjust imposition of a two-tier wage scale for the same job, he said, adding that this highlights the need for workers to stand together as one workforce. He said the company from Sweden, once perceived as social-democratic has become a scab herding outfit trying to entice workers to break their solidarity and cross the picket line. He appealed to those workers who have broken ranks with their class brothers and sisters to think hard about the damage they are causing to themselves and their workmates and "fix their mistake" by standing as one for workers' rights to help bring an end to the lockout.

Sinclair concluded by calling on all workers in the Lower Mainland to make Ikea "off limits" during the Christmas shopping period. "We're getting tired of trying to justify decent wages. Ikea made $4 billion last year, and no way should the workers take any concessions," he said.

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Day of Action Against Enbridge and Kinder Morgan Pipelines

Rally in Vancouver Draws 5,500 --
Energy Monopolies Watch Out!


More than 5,500 people of all ages and from all walks of life rallied at Science World by False Creek in a spirited demonstration on November 16. It was the largest of more than 130 actions across Canada called by Defend Our Climate, Defend Our Communities, to oppose the Enbridge Northern Gateway pipeline and Kinder Morgan's tripling of oil exports from the Chevron terminal on Burrard Inlet in Burnaby.

Indigenous nations from across the province played a leading role in setting the tone and political direction of the Vancouver action. Art Sterritt, Executive Director at Coastal First Nations/Great Bear Initiative, said 30,000 inhabitants in the communities living in the Great Bear forest where the pipeline is planned to pass through have concluded they will inevitably lose their livelihoods because oil spills would despoil the land and water. Even the energy giants acknowledge that they do not have the technology to prevent spills or properly clean them up. He said Enbridge has an average of seven spills and leaks every day from its pipelines.

The overwhelming sentiment of the people is to seize the initiative in this struggle and uphold the right to having a say and exercising control and decision-making power over those issues that affect their lives. The First Nations have every right to a say and to control and decide what developments take place on their territories. Otherwise, the concept of self-government is rendered meaningless.

Sterritt said democracy itself is on trial. "Will we allow Stephen Harper to bully his way into our province?" A loud "No!" rang out. He called on everyone to unite to defeat the 21 Conservative Party MPs in BC in the 2015 election. He asked the crowd to yell back, "I will" when he called out, "Who will stop Harper," and the crowd responded with enthusiasm.

Vancouver City Councillor Andrea Reimer brought greetings from Mayor Gregor Robertson and the entire Council, which opposes both Enbridge and the Kinder Morgan line expansion. She said the city declared 2013 a year of reconciliation with Indigenous nations. "We cannot rewrite the tragic past," she said, "but we can rewrite our future together. There must be no expansion of pipelines to our coast." She called on the people to stop the Enbridge pipeline, which she said would allow a 30 per cent increase in tar sands bitumen production. Calling on the people to decide the issue she declared, "Corporations have too much control over government."

Nathan Cullen, MP for Skeena-Bulkley Valley and Official Opposition House Leader denounced the Enbridge project as an attack against First Nations, the environment and democracy. He praised the Tahltan people, who despite poverty and marginalization, united to prevent Shell from drilling for gas on the sacred headwaters of the Stikine, Nass and Skeena Rivers. He said, "You [energy monopolies] have the money and the lies, but the truth with the people reigns supreme."

Tzeporah Berman, a professional environmentalist, told the crowd that during a debate with an oil executive, she was told the oil companies will "make a killing" in the tar sands. Berman replied that making a killing is not what we want; we want to make a living in clean, safe jobs in our communities. She said, "It's not OK that workers from Vancouver Island to Newfoundland fly from their families to work in toxic oil sands projects where rare cancers are increasingly frequent." The crowd chanted back, "It's not OK, it's not OK."

Berman said energy policies must be made by courageous political leaders in Ottawa, not by self-serving energy monopolies in the "oil patch." She spoke against the criminalization of dissent and erosion of democracy saying, "We together will build the Canada we want." She called on the people to sign up to knock on doors from now until 2015 to defeat Harper. "We're only as good as we organize," she said calling on unions, First Nations and communities to create a movement to build a new economy. "This is a tipping point in history," she said, "This is our moment .... We know who holds the future; it is us!"

Melanie Matining, a young Filipina-Canadian activist described how the "madness" of unfettered oil and gas development had ruined the economy of many islands in the Philippines. She said immigrants like her family came to Canada to seek a secure future, but to ensure that future, the people have to organize to stop the same "unfettered madness" here.

Sam Harrison, a 17-year old grade twelve student from Vancouver, made an impassioned speech saying his generation of British Columbians are determined to stop Enbridge. "We see this as a major turning point for this province," he said, adding that his generation wants to be part of the solution, not the problem.

Ben West, an organizer for ForestEthics and co-chair of the rally said, "Politicians might give the permits, but the people give the permission. And the people are saying 'No!' to the Enbridge Gateway pipeline and other projects like that."

An indigenous woman organizer from the Save the Fraser Declaration, which unites First Nations around the province against Enbridge, thanked all those who attended saying it was this kind of unity that will lead to success.

Throughout the rally, various First Nations performed songs and dances. The crowd made their own contribution chanting slogans, clapping, yelling, booing Harper and generally keeping up a lively atmosphere. A large number of homemade signs, placards and banners articulated people's many objections to the imposition of monopoly dictate on their lives and opposition to governments that serve private interests.




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Demonstration and Rally in Prince George

On November 16, more than 150 people in Prince George participated in a rally and march against the proposed Enbridge Northern Gateway Pipeline. Spearheaded by the Carrier Sekani Tribal Council and the Sea to Sands Conservation Society, the event was held as part of the "Defend Our Climate, Defend Our Communities" National Day of Action.

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Increased Monopolization of Canadian Food Sales

Threat to Food Security

Sobeys' Purchase of Canada Safeway

Sobeys purchased Canada Safeway in June 2013. Included in the purchase are 223 Safeway grocery stores, mainly in Vancouver, Calgary, Edmonton and Winnipeg; 199 in-store pharmacies; 62 gas stations; 10 liquor stores; four distribution centres; and 12 manufacturing facilities. An analyst suggests that Sobeys moved to purchase Canada Safeway because of pressure from U.S. retail giants Target, Walmart and Costco, as well as Texas-based Whole Foods Market's recent move into Canada.

Sobeys was founded in Stellarton, Nova Scotia in 1907 by John Sobey. The company is completely owned by the Sobey family through its holding company, Empire Co. Ltd. In 1998, Sobeys became the second largest Canadian retail grocer after purchasing the Oshawa Group, which owned IGA franchises across the country except in BC where Market Place IGA stores are owned by HY Louie.[1] In 2007, Sobeys purchased BC-based Thrifty Foods for $260 million. In 2011, Sobeys' wholesale division signed a long term distribution agreement with U.S. retailer Target to supply food and grocery products to its Canadian stores. Sobeys operates more than 1,300 stores in all 10 provinces, has more than 85,000 employees, $14 billion in annual gross sales and $226 million in declared annual equity profit.

The same analyst predicts that Save-On-Foods, part of the Jim Pattison Group, will be the next takeover target. The Jim Pattison Group's food division is western Canada's largest food distributor and owns several wholesale companies that operate across the country and internationally. One of Pattison's companies, Overwaitea, was founded in New Westminster in 1915 and purchased by Pattison in 1968. Today Overwaitea is mainly a holding company for Save-On-Foods, Price Smart, Coopers and the high-end Urban Fare, which features items such as rattlesnake, ostrich meat and hundred dollars per loaf bread flown in daily from Paris. An Urban Fare store recently opened in Kelowna (replacing a Coopers store), the first Urban Fare store outside Vancouver.

Pattison's retail food stores are mostly in BC with several in Alberta. Pattison also owns Buy-Low Foods, Canadian Fishing Company (Gold Seal brand), Ocean Brands (seafood) and has a controlling interest in SunRype. SunRype was originally established as a co-operative venture by Okanagan tree fruit farmers to process otherwise unmarketable fruit into juice, pie filling, apple sauce, dried fruit snacks, etc. Today, SunRype's head office is still in Kelowna but the company has opened up production facilities in Ontario and Washington State. SunRype labels do not indicate the source of the product or where it was processed.

Loblaws Takeover of Shoppers Drug Mart

Loblaws is a subsidiary of George Weston Ltd. (Weston's), founded in Toronto in 1882. Current family patriarch Galen Weston is executive chairman of Weston's, which is a major food distributor and manufacturer in its own right apart from Loblaws.

Loblaws is the largest food retailer in Canada with over 135,000 employees. It operates 1,400 supermarkets across the country under various names such as Loblaws, Real Canadian Superstore, No Frills, Maxi, SuperValu, Extra Foods, "Your Independent Grocer," TNT Markets, etc. Loblaws also operates gas bars, pharmacies and a financial enterprise (President's Choice Financial) and has considerable real-estate holdings.

Early in the year, indications had appeared that Loblaws' prime takeover target was Overwaitea/Save-On-Foods. However, on July 15, the executive chairman of Loblaws Galen Weston Jr. announced that Loblaws had reached an agreement in principle to purchase Shoppers Drug Mart for $12.4 billion.

Shoppers Drug Mart was founded in 1962 by pharmacist Murray Koffler and presently has about 1,300 stores across the country. With the purchase of Shoppers Drug Mart, Loblaws becomes Canada's biggest retailer with more than $42 billion in gross sales annually. The combined pharmacy operations of Loblaws and Shoppers are expected to fill 125 million prescriptions annually, 25 per cent of the Canadian market.

Most Shoppers Drug Mart stores have food departments. When announcing Loblaws' purchase of Shoppers, Galen Weston Jr., the executive chairman of Loblaws said the company would likely phase out its discount brand "No Name" in favour of Shoppers' house brand "Life." Shoppers Drug Mart stores are expected to carry Loblaws' labels such as "Exact" and "President's Choice."

Canadian food monopolies such as Loblaws are moving into the high end, natural and organic market to head off Whole Foods Market, the largest food chain in the United States marketing products under a natural-organic label. Whole Foods Market currently operates nine stores in BC and Ontario. The U.S. company says it wants to open 40 more Canadian stores including a store in Montreal, if it can prevent the workers from organizing themselves into a union. None of the Whole Foods stores in the U.S. is unionized with an independent workers' defence collective. The natural, organic and Asian food market is growing and the Canadian food monopolies are scrambling to capture as much of it as they can.

While the food monopolies are in competition with each other for markets, they also collude when it suits their interests. Sobeys' owned Thrifty stores carry Weston's bakery products. Pattison's competitors carry his seafood and SunRype products. Sobeys supplies food and grocery items to Target etc. They also merge to seize a larger share of a market, wipe out smaller competitors, force suppliers to meet their demands and position themselves to control both wholesale and retail prices to their narrow advantage.

Increased monopolization can result in lower food prices to establish a store or stores, eliminate competition and then introduce higher prices. Last year, Loblaws closed its downtown Vancouver low-end discount SuperValu store and replaced it with a higher-priced high-end "Your Independent Grocer" store. The push to establish more high-end stores, where the return on investment at this time is higher, is being accompanied by the closure of low-end discount stores.

The food monopolies, especially Walmart, Target and Whole Foods are viciously anti-union and anti-worker. Workers are called "associates" in an attempt to mask the relations of production between owners of capital and workers. The monopolies have closed stores to bust unions or stop workers from organizing, in some cases re-opening stores under different names. Even where unions do exist, working conditions are brutal and the monopolies never stop trying to extract concessions to further impoverish the workers and deprive them of any dignity and Canadian-standard of living. The big retail grocery stores employ many part-time and casual workers who often have irregular work schedules and are kept "on call." At Walmart's only unionized Canadian store, located in Weyburn, Saskatchewan, the U.S. monopoly refused to engage in collective bargaining and threatened to close the store unless the workers decertified the union, which they did.

Canadian food security, farmers' livelihoods and workers' rights have long been threatened by food retail monopolies such as Sobeys and Loblaws and their unbridled power. One example is the practice of dumping onto the Canadian market relatively low priced (compared with Canadian local production and in some cases subsidized) U.S. fruit and vegetables. U.S. produce is often ready for harvesting earlier than Canadian produce because of Canada's more northern location. It is not unusual even during summer months to see Canadian supermarkets stocked with U.S. produce while Canadian produce is rarely seen.

Another example is the sudden closure of the Heinz vegetable processing plant in Leamington, Ontario. Finance capital made this decision to close an important production facility crucial to Canada's food security leaving Canadians furious. At this time, Canadians lack the political power and control necessary to deprive finance capital from taking these decisions that endanger our existence. History has charged the people to take up the political problem of the power to deprive and solve it in their favour.

The threatened Trans Pacific Partnership neo-liberal free trade agreement is partly aimed at Canada's dairy, poultry and egg industries. Those sectors are the last remaining ones that are to some degree regulated with restrictions on the international movement of commodity capital. Finance capital, as a bloc of reaction, which includes Canada's food retail monopolies, is fiercely opposed to any restrictions on its movement of capital, both money and commodity capital. Monopolies only object to the movement of capital when it affects their narrow private interests. They have no concern for the general public interest and nation-building that is served by weakening the power of monopolies with restrictions on their right to move capital both within the country and internationally.

Canada needs a new direction for the economy. Food security must be guaranteed and farmers' constant insecurity ended with restrictions on monopoly right, which must be curbed in favour of public right. The practical politics of restricting monopoly right in the food sector begin with the defence of the existing marketing boards, establishing public control over the food wholesale market and placing limits and regulations on ownership of any aspect of food production and distribution. The aim is to have a sustainable and secure Canadian food industry that trades internationally for mutual benefit.

An important aspect of food security is the security of those working in all divisions of the sector. Without equilibrium in the food sector based on recognition of the rights of the hundreds of thousands of food workers, food security is a sham and illusion with dangerous implications for the future. A fundamental right of workers is the right to organize collectively to defend their independent interests and negotiate with employers their terms of employment, including wages, benefits and working conditions. No company with over 10 workers should be allowed to operate in any food sector without an independent worker collective dedicated to the defence of workers' rights.

Note

1. HY Louie, Vancouver's oldest business, started out in 1903 as a small grocery store/restaurant supply company and is now the second largest privately owned company in BC after the Jim Pattison Group. The company is now a $4 billion empire with 8,000 employees working in four divisions -- food wholesaling, an import/export business, Market Place IGA (38 stores) and London Drugs. HY Louie purchased London Drugs in 1976. Now, 76 London Drugs stores operate in the four western provinces, including 49 in BC and 21 in Alberta. London Drugs stores have food departments. The current head of HY Louie, Brandt Louie, is said to have a personal fortune worth $1.2 billion. HY Louie has resisted repeated attempts by Sobeys to purchase Market Place IGA stores. Prior to purchasing Canada Safeway, Sobeys terminated its agreement that allowed Market Place IGA to sell products bearing Sobeys' private label, "Compliments."

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