A Message to Retail From One Warehouse Guy
For several weeks now, a dedicated core of workers from Lomans warehouse in Langley BC have been fighting impending job loss and raising public awareness of their desparate situation, mostly on their own steam. The workers are represented by UFCW Local 1518 which 10 years ago, signed a decade-long collective agreement with Loman Distribution, a business that handles warehousing for grocery chain operator Overwaitea Food Group. With the 10-year deal about to expire, OFG announced earlier this year that it is taking its business to another distribution company, a move that will leave about 250 workers out in the cold later this fall.
The workers have been raising the alarm about OFG's decision and its impact on them. They claim the company's decision is motivated by greed. They are asking how much profit is enough and what must workers sacrifice to make the rich richer.
Their union has been somewhat reluctant to take up their fight. Union officials initially encouraged the workers to wait for the outcome of proceedings before the BC Labour Relations Board but the workers were not keen on putting all their faith in the government agency which has already let them down on two separate issues. They pressed for a more aggressive stance by their union. Some openly advocated direct action.
After some prodding, Local 1518 invited a steward from the warehouse to speak at the bargaining conference and undertook a limited involvement in a leafletting campaign of OFG's Save-On food stores. The workers, however, are disappointed with the extent of the union's communication about their situation with the public and even among other members of Local 1518. The large Vancouver-based local represents thousands of grocery industry workers, including those at Save-On stores that are currently being leafletted. While leafleting the grocery stores, warehouse workers were surprised to learn that many of their brothers and sisters in Local 1518's retail sector know nothing of what they are doing and why or how OFG's business strategies may affect them, given that their collective agreement is due for renewal next year.
Darryl Gehlen, a worker at the warehouse, recently wrote this letter to Local 1518's retail sector members. Entitled A Message to Retail From One Warehouse Guy, Gehlen's letter tells about the issues at the warehouse, the union's lack of enthusiasm for taking up their cause (something Gehlen describes as the "UFCW Econo-Fight") and, very importantly, the genesis of the current assault on the long-serving warehouse workers: The creation in 1989 of UFCW Local 777, a "special local" set up - if this Loblaws Vice President is to be believed - to give one grocery industry employer a competitive advantage over others in the market.
Why do I go on about the 777 deals? Firstly, it created the water you swim in. Secondly, if you don't understand the dynamics it created then you may find it difficult to understand why the warehousing guys are outside your store and how these dynamics may further impact your life.
It did not take long for the attack to begin. The break-up of the Langley Distribution Center followed shortly thereafter at the cost of who knows how many millions of dollars. Take a distribution center that receives, stores, picks, and loads everything under one roof and what have you got? Prior to the 777 deal it was the most efficient warehouse in the business. After 777 we are slated for extinction.
Local 777's collective agreement with its lower rates of pay and greater operating flexibility set up a race for the bottom. A frenzy on the part of the other companies to level the competitive playing field by cutting wages, hours and jobs began a decade ago and continues to this day.
These new Collective Agreements were fabulous for a retailer just starting out in the marketplace for the obvious reason: everyone was a new-hire. The established retailers quickly abandoned the "maximizing human capital" rhetoric for the "race to the bottom" rhetoric. Those who had helped build this company from a bit-player to a dominant retailer were instantly transformed into a "fiscal liability", an affront to profit and progress.
But notwithstanding how it all came to be and how bleak the situation appears, Gehlen tells Local 1518 retail members that he and his brothers at the warehouse have only just begun to fight and asks retail workers to join in their leafleting campaign.
If the quality of your Collective Agreement is to provide stable jobs that are worth having, I hope you understand that our fight is your fight. It is just the opening round...At the very least I want you to know that we never wanted to cost anyone hours. We all have other things we would rather be doing than leafleting the stores. We have been left with little choice by OFG. After working for the same company for 25 years I will not go quietly and I believe you would not either. If you would like to get involved in taking a stand on getting more from the employer than working poverty please contact us at 604-882-9693 and ask for the leaflet coordinators. You will be glad you did next spring.
The workers at Lomans warehouse are taking a courageous stand against corporate greed. Many have put their own resources into the effort, despite the fact that they are only two months away from being laid off. We encourage everyone in the community to do what they can to show support.
The full text.
Here's an excerpt from a memo from Sundin to Schirra, Sec. treasurer, BC Federation of Labour:
quote:
July 26, 2002
Re: Overwaitea-Loman Warehouse Dispute
The decision has been made to once again escalate Local 1518's leafletting campaign against OFG's stores. Our members employed at the warehouse have begun leafletting the customers of OFG's Save-On-Foods stores in a systematic effort to bring pressure upon the employer. Moreover, as of the week of July 29, 2002, Loocal 1518 members employed in OFG's retail food stores, as well as our Union members from Safeway, will join the warehouse members in further expanding our leafletting campaign.
That was July 26th. This is Aug 06th. The only information posted on our union board about the warehouse workers, is a memo stating the machine had filed with the LRB. It's outdated, it's hanging crooked on the board dwarfed by the many many ufcw computer course offers, the much coveted Kmart award notice 
and other misc. outdated memos.
Given that not one memo to retail workers advising them has surfaced anywhere in the stores, would you say the information forwarded to the BC Fed is rhetoric and/or horsepucky disguised as committment?
All I can add is the extreme frustration we feel about the union's failure to adequately inform members of this and other unions regarding the bizarre events of the Loman/OFG "shell game". We have been paying all these years into an organization that should by now have cried long and loud about this dubious corporate manouvering.
It may be just another sad and dreary story in a sea of many, but it stands out as a story about the sorry state of unionism. For those that built it, for those that pay for it, and most especially for those that allowed it.
quote:
Don't mourn - Organize!
That's interesting. No! That's funny!
Going out on a limb and gonna talk for 1518 retail and the warehouse power source.
"Geez thought we were organized"
Thought that's why the dues. Thought that's why machineheads take down the mega $$$$$ salaries.
What siggy did miss? 
quote:
We encourage everyone in the community to do what they can to show support.
Just wondering what folks can do to help? Is there a leafletting schedule? Is there a number to call at Slave-On?
Edited:
Opps...sorry missed this part...
quote:
If you would like to get involved in taking a stand on getting more from the employer than working poverty please contact us at 604-882-9693 and ask for the leaflet coordinators.
Printing off, copying and getting Gehlen's LETTER to the retail members would go a long way as well. You know pick up some of the machine slack.
I feel obligated to mention that we have had some indications from the union that leafleting your own store may be frowned upon. I believe the K-Mart decision places no such restriction but you should be aware of this. There are those among us who have spouses/friends working at ceretain stores and prefer not to leaflet there. There are those who like to leaflet their own neighbourhood store for the fact that they know so many people. It is a personal thing.
I can tell you that you will get into some very interesting and informative conversations. You will get to know your customers in a more intimate way. People are genuinely interested in the issues of our dispute as they reflect a wave that is passing over the province.
What can you do? How much time do you have for this? You can start by getting some detail and sharing it with family and friends. I personally see this site as the only source for detail so far. Use the search engine under archives.
This fight is very much about that wave and what will be left for family, friends, communities, and this province. We have been subject to corporate shenanigans that could make us the "poster boys" for the wave:
A shell company shows up one day. OFG still owns the building and the stock in it. A few faces change but nothing else. But your check now has a new name on it. The shell company seems incapable of doing anything but push out paper. We suffer fairly obvious and consistent assaults to our cost-per-case figures. What was recently regarded as one of the best crews in the business is now, at least on paper, not cost-effective.The union draws no attention to the fact. We get termination notices. The union says pay for your own leaflets. We have to apply pressure to get our chief shop steward to the the retail conference.
A memorandum comes out of nowhere with a promise. Stop everything while the MOU works it's magic. NOT. It all but ends an enthusiastic beginning to our leafleting campaign. What has the final say are the details the members didn't get until the ruling was read.
It doesn't get any better from there.
I sincerely hope that you get involved and get a head start on next springs retail negotiations. Get to know your union.
