TENDER IS THE FIGHT: Owners and bidders square off over proposal liabilities

A FORUM ON OPEN SHOP CONSTRUCTION

Innovation
wont wait

The future of construction is

wide open heres how to
make your mark

Volume 23 Issue 2 2015

Theres a grant for that

Maximize labour potential with
Express Entry before your
competitors do

Tear down
this wall!

Long-overdue labour
harmonization crosses
the 49th parallel

Disorganized labour

PM #40020055

Unions will not determine the

political future, despite their
best efforts

Boomers and busts

How to manage the impact
of an aging workforce

By th LUS :
e
Const Numbers
ructio
from c n stats
oa
to coa st
st

444 5TH AVE SW LOBBY

AND +15 RENOVATION

We are more than builders. We are solution providers who are

passionate about building the best projects and the best careers.
We share your vision of success and work with you to make it happen.

Contents
Volume 23 Issue 2 2015

16
10 State of Disunion
Unions exert tremendous influence
on our political landscape. What impact
will this have on the construction
industrys future?
By Line Porfon

16 A Workforce that Works

6
ON THE COVER
6 The Future of
Construction: 2015-2035
The next 20 years will host an array of
technological changes in construction.
If youre not looking ahead, youre
already behind
By Kirk Alter

10

So you need a TFW? Theres a grant for that

By Peter Pilarski

22 Bidder Beware
Construction owners are working Canadian
tendering law to avoid liable risks from
bidders
By Corbin Devlin and Adrian Sherman,
McLennan Ross LLP

24 A Natural Alliance

30

ABC and Merit Canada join forces to

tackle common problems and share
best practices
By Joanna Masterson

30 Aging with Grace

The aging workforces impact on health
and safety
By Gary Clevenger and Brian Roberts

35 Open for Business

An update from Merit Canada on its
triumphant 2014
By Terrance Oakey

38 By the Numbers
The data behind the decisions

35
OPENMIND 2015

Employees are the heart of your

company and your success.
The financial wellness of your employees affects your companys performance. The RBC Group Advantage
program helps your employees with their financial planning, which reduces stress and increases productivity.
Find out how we can make a difference for your company today.

To get started, call 1-800-835-3855

TM

/ Trademark(s) of Royal Bank of Canada.

VPS91168

Message from Merit Canadas Chair

Welcome to the Future

Volume 23 Issue 2 2015
Publisher

Ruth Kelly

Executive Editor

Domenic Mattina

Associate Editor

Suzanne Pescod

Director of Custom Content

Mifi Purvis

Assistant Editor

Robbie Jeffrey

Production Manager

Betty Feniak Smith

Production Technicians

Brent Felzien
Brandon Hoover

Circulation Manager

Karen Reilly

Vice-President Sales

Anita McGillis

Advertising Representatives

Kathy Kelley
Alison DeGroot

Sales Assistants

Julia Ehli
Ashley Martin

Art Director

Charles Burke

Associate Art Director

Andrea deBoer

Assistant Art Director

Ben Rude

Contributing Writers
Joanna Masterson, Terrance Oakey, Peter Pilarski,
Gary Clevenger, Brian Roberts, Kirk Alter, Line Porfon,
Adrian Sherman, Corbin Devlin
Contributing Illustrators and Photographers
Michael Byers, Isabel Cardinal, David Moore,
Heff OReilly
Open Mind is published two times per year by Venture
Publishing Inc. for Merit Contractors Association.
Venture Publishing Inc.
10259-105 Street,
Edmonton, Alberta T5J 1E3
Tel.: (780) 990-0839
Fax: (780) 425-4921
admin@venturepublishing.ca
www.venturepublishing.ca
Merit Contractors Association
103-13025 St. Albert Trail,
Edmonton, Alberta T5L 4H5
Tel.: (780) 455-5999 or 1-888-816-9991
Fax: (780) 455-2109
meritedm@meritalberta.com
www.meritalberta.com
Merit Contractors Association is a non-profit
organization that offers human resource services
to the open shop construction industry.
Printed in Canada by Transcontinental LGM Graphics
The opinions conveyed by contributors to
Open Mind magazine may not be indicative
of the views of Venture Publishing Inc. or
Merit Contractors Association. While every
effort is made to ensure accuracy, neither
Venture Publishing Inc. nor Merit Contractors
Association assume any responsibility or
liability for errors or omissions.
Canadian Publications Mail Product Agreement
#40020055

Open Mind is Canadas only magazine

dedicated to the open shop construction

sector, focusing on issues that affect the
livelihood of an industry employing over one
million people across Canada.
This years edition represents the 23rd
anniversary of Open Mind and the fifth
anniversary of the Merit Canada edition.
Terrance Oakey, president of Merit Canada
since 2011, provides an update on activities
at the federal level of government and how
Merit Canada is working for the open shop movement in the article Open
for Business. Learn about the bills, acts and initiatives that Merit made a
priority, and how they work for the benefit of the whole industry.
Along with an update from Merit Canada, A Natural Alliance is the
announcement of a new partnership between Merit and the Associated
Builders and Contractors organization in the United States, with input from
both parties on the newly formed relationship. In A Workforce that Works,
Peter Pilarski brings us up to date with the Express Entry program, which
focuses on making recruitment easier for companies in need. Yes, labour is
the issue of the day, and this issue of Open Mind has you covered.
Respected and knowledgeable industry insider, professor Kirk Alter
of Purdue University, gives us a look at the future of construction in the
article The Future of Construction: 2015-2035. Technology, workforce
development, and productivity will all be important factors in the next 20
years, and Alter breaks down the changing world of construction and sets
expectations for the future of the industry. It is the article for everyone in
the construction industry. If youre wondering what the industry can expect
in the coming decades, this article demonstrates what contractors need to
know today, for tomorrow.
Additionally, in Bidder Beware, Corbin Devlin and Adrian Sherman of
McLennan Ross LLP take on the issue of legal risks involved in the tendering
process. In it, they examine the ways in which RFPs and invitations to tender
can protect against liabilities, as well as the ways in which they can expose
you to unforeseen risks. Aging with Grace, by Gary Clevenger and Brian
Roberts, details the impact an aging workforce will have on the job site,
and State of Disunion, by Line Porfon, outlines how unions are trying to
influence Canadas political landscape.
We hope you enjoy the 2015 edition of Open Mind, and as always we
encourage you to give us feedback or suggestions on future topics.
From all of us at Merit Canada, have a great 2015!

Copyright 2015 by Merit Contractors Association

No part of this publication should be reproduced without
express permission of Merit Contractors Association.

DOMENIC MATTINA,
CHAIR,
MERIT CANADA

OPENMIND 2015

OPENMIND 2015

ILLUSTRATION BY: DAVID MOORE

The

of
Future
Construction:
2015-2035

The next 20 years will host unprecedented

technological changes in the construction
industry. If youre not looking ahead,
BY KIRK ALTER
youre already behind

he confluence of computer modelling, mobile devices, and new building

materials has put us at the beginning of a new era for construction, says Darren
Conlee, construction executive, M.A. Mortenson Company.
A new era indeed! Construction has entered into its next iteration and the
successful contractor will learn to embrace change and prepare for its future by
gaining the skills, tools, technologies, mindset and culture required to fully engage and profit
in this paradigm shift.
All change is marked by this typical adoption-innovation cycle: Innovators and early adopters
embrace technological and systemic change in response to a small group of forward-looking customers who want technology and performance, while the rest of the industry lags behind in adopting new processes, techniques, tools and ideas. Eventally, pragmatists see the shift in the industry
and move to catch up. Finally all but the laggards see the light and come to change, whether by
choice or by force. The laggards and skeptics are the Luddites, and they hold on to the past
until it kills them.
This is an exciting time to be in the construction industry. Everything is changing rapidly. Yes,
we still face significant challenges with skilled labour as the biggest but the future is extraordinarily bright, and contractors must determine their roadmap for success for the next 10 to 20 years.
There is much to learn and much to do to catapult the contractor of today to success. To be successful youre going to have to address your capabilities and skills in at least the following areas:
computer modeling and BIM; mobile devices; new building materials; modularization; robotics
and automation in construction; 3-D printing; labour productivity and the human/machine

OPENMIND 2015

The Future of Construction: 2015-2035

interface; wearable technology; superintendents and technology; the future of
estimating, planning and managing the
project; workforce recruitment; supply
chain relationships and division of labour;
greater transparency; and the rethinking
of how you add value and what your firm
actually does.
The intent of this article is to simply
introduce some of the ideas, and provide
some suggestions for action plans for the
successful contractor. Proficiency comes
with more investigation, asking questions,
research, practise and experimentation.
One way of thinking about the future
and your firm is to decide what changes
you want to act on now, which ones can be
acted on in the near term, and which ones
will take time to capitalize on.
What to do NOW if you arent already
doing these things, then youre a late
majority conservative, and on your
way to being a laggard.

1. All field supervisory personnel and project managers must be using contemporary technology to do their jobs effectively.
The use of mobile devices to perform data
capture and analysis, communication and
coordination tasks is the minimum expectation today.
If your field supervisors are not using
tablets or iPads in the field, then you are
definitely behind the times. Ive heard
all the excuses: We have laptopsI gave
them a smart phonewhats wrong with
good old papermy supers are older guys
and they wont use the technology. All
of that is simply rubbish. There is no better way for the field supervisors and project managers to manage, document,
evaluate, coordinate and communicate
than using a tablet or an iPad. All of their
drawings and specifications should be
immediately accessible to them. They
should be able to provide inputs into the
company systems in real time and get
real-time feedback. There are multitudes
of online sources to help if you are not up
to speed.

2. Your project planning and execution

must be informed by the ability to use data
and modeling in an effective way. Computer modeling and BIM may be optional
8

OPENMIND 2015

now for you and your firm, but it will not

be that way for long. Your ability to accurately and quickly represent your plan for
the project and how you and your systems
interface with all other building systems
is rapidly becoming a minimum requirement. If, when you are talking about BIM,
youre still talking about collision detection you are behind the times. Collision
detection is old news, and frankly something weve done for a long time. Where
is your level of expertise and added value
when talking about using BIM? How about
taking your knowledge and expertise of
BIM here:

3. If you are still performing your field

layout functions the old-fashioned way,
then you are behind the curve. Electronic
layout is faster and more accurate and
enhances field productivity and coordination. Laser scanning to perform rapid,
accurate, non-disruptive or non-destructive field measurement of existing conditions is far superior to field measuring, and
provides a superior method to documenting as-built conditions. The excuses that
construction firm owners and managers
make that the technology is too expensive are poor rationalizations. The tools
required to perform electronic layout and
scanning cost about what a typical pickup
truck costs. Most pickup trucks that construction companies own provide little
in ROI as most are used for nothing more
than hauling one employee around from
home to jobsites. Electronic layout and
scanning tools provide a significant ROI.
At DPR today, robots are laying out walls
50 to 100 per cent faster than humans.

4. Yes, as an industry we have a problem

attracting young people. In a large part, the
reason for this is that our industry acts like
a dinosaur. Were late to adopt technologies; we refuse to envision what we do as
highly sophisticated manufacturing that
would benefit from the use of robotics and
technology; and, unless youre already built
that way, it seems dirty and not much fun.
Technology resonates with young people.
They are gamers. The successful contractor of the future will realize that project
management in construction will be very
much like a video game. Parts, components, robots and human craftspersons will
be tracked in real time as the game progresses. Simulations will occur in advance
of actual construction, and you will be able
to analyze alternative results. This isnt science fiction; we can do this now but most
companies arent there yet. The quicker you
gain the capabilities, the quicker you will
attract new entrants.
The near term: Were already past
the innovator phase and are into the
early adopter phase, but if you dont
get a move on, youre going to miss
the party.

5. Stick-built construction is on its way to

being dead. Watch the videos of massive
high-rise buildings built in 15 days. Watch
major contractors like M.A. Mortenson use
modular construction in contemporary
health care construction. If you are not
thinking about how to modularize your
construction specialty then you are in trouble. We are moving from a time where each
individual specialty contractor added value
by limiting their scope and their planning
to a specific trade and a limited part of the
building system. Now systems thinking is
the driver, and modularization is shifting
the industry from having separate drywall,
electrical, and mechanical contractors to
having large off-site fabrication facilities
where building systems are preassembled
and then installed in the job as large building components. The contemporary job
site will include the wall techs and the floor
and ceiling techs where small crews are
simply making the interconnections. That
will continue until we can figure out how
robotic assemblers can do the same function faster.

6. Its time you figure out which parts of holographic measures to examine the
your construction activities can be automated. None you say? Think again. Go
online and check out the YouTube videos
of automated bricklaying, automated road
building, and automated crane operations.
No more bemoaning that fact that good
masons are hard to find buy the machine!
No more having to hire an operating engineer to sit in a tower crane, as a computer
can do it more efficiently, safer and at a
lower cost. Do these things take away work
from craftspersons? No, but they help us
solve our labour shortage problems, they
automate our processes, and help us to do a
better job at satisfying our customers.

proposed project in detail, and respond to

changes quickly without spending expensive labour resources.

9. All human crafts workers will be enabled

with machine interfaces to assist in communication, documentation, and optimizing
field labour productivity. We already have
the technologies GPS, RFID, and on-board
instrumentation (OBI) and the like, to more
effectively manage our most expensive
resources. The use of tracking devices, wearable technologies and body/hard-hat cameras will become de rigueur.
In the long term: If youre not here yet,

7. The use of drones and other small-scale youre still okay, but 10 years from now
robotics will enable us to better survey
the progress on jobs, provide visual documentation, monitor safety and identify
bottlenecks on jobs more quickly. Are you
envisioning how to use small scale robotics
to enhance your management capabilities?
Your competition sure is.

8. The notion of having estimators will

die out within the next 10 years. The use of
on-screen takeoff and the subsequent generations of software will make the need to
have anyone in your firm taking off drawings will seem antiquated. What you will
need are analysts, not estimators. Your analysts will be experts not at simply identifying planned costs from a set of documents
pre-bid; instead they will be experts at using
electronic measures to analyze, examine
what-if scenarios, pre-plan projects using

you wont be.

10. The materials revolution will be upon

us. Already early innovators are reaping
profits from thinking about dramatic
changes in materials and applications.
As with all innovators and early adopters,
those who get to the party first reap the
most benefits. Some examples of the materials revolution include:
Thin-film solar cells that can be
applied to glazing or other building
materials. Building Integrated PhotoVoltaics (BIPV) are not new. Whats new is
that the technology is rapidly approaching
affordability, and the business opportunity
should be obvious. The energy challenges
are not going away.
Bioreactive facades double-glazed
panels filled with a mixture of water
and unicellular algae that grow in direct
response to sunlight. The algae is harvested and processed to produce methane
gas that is either stored locally or used to
fuel the building. The system also provides
shading as the glass becomes cloudy, blocking direct sunlight. How are you thinking
about growing building components?
Smartwalls and modularization.
Intelligent wall systems are manufactured
in a factory and delivered to the job site
in a finished state, incorporating cables
and ductwork plus external drywall, then
simply dropped into position by a crane,
simultaneous with the superstructure.
The system is pretreated for weathering,
and also avoids the large amount of noise,
dust and waste typically generated. Were

already doing this when will you be?

3-D-printed cladding. Skanska commissioned industrial 3-D-printing firm
Quickparts to produce cladding for eight
complex interfaces at the tops of steel columns supporting the polymer ETFE roof
over a garden at the Bevis Marks office project in London. Quickparts used a selective
laser sintering machine that fuses layers of
powdered Nylon PA 12 to build up the complex shapes based on the architects original
CAD file. The process was faster and cheaper
than alternative spliced steel-plate options.
Do you know what sintering is? Did you
know that there are already companies
that specialize in large scale 3-D printing in
construction? Have you begun to conceive
of how buildings that youre working on
will have significant components that are
printed with large-scale 3-D printing?
Conclusions and a way forward
Construction has entered its next phase.
The shift from the tired but comfortable
low-margin job approach to building
is finally heading out to pasture.
The winners and the most satisfied
participants in the construction game
of the next 20 years will embrace at least
the 10 items addressed above. There are
many, many more opportunities and
technologies to address, and much more
detail that can be achieved outside of the
parameters of this brief article. The intent
is to whet your appetite, challenge your
current way of business and spur you to
action. The only way to get there is to go.
The culture of change must be embraced
the rest is simply learning.
OPENMIND 2015

10

OPENMIND 2015

ILLUSTRATION BY: MICHAEL BYERS

STATE
DISUNION
OF

Unions exert tremendous influence on our political

landscape. What does this mean for the future?
BY LINE PORFON

he recent past has shown that unions are increasingly using

mandated union dues to influence political outcomes that dont

align with the voting preferences of their members. Take for
example the 2014 provincial election in Ontario. Unions spent over
$10 million in third-party advertising on a campaign targeting
candidate Tim Hudak. The workers rights campaign, similar to a
political lobbyist or party, operated a war room, with people working on
the ground and advisers creating strategies. In an unprecedented move,
for the first time in its 60-year existence, the Ontario Provincial Police
Association launched its own attack ads. The public questioned whether
the police remained non-partisan, an essential component of civil liberty
and due process. Members of the OPP tried to distance themselves from
the ads, stating that the union was speaking on its own behalf, not for
members. But you have to ask yourself, how can a publicly subsidized
mandated organization colour its objectivism through actions that
contradict the wishes of its membership? The answer is that this is
acceptable only in a world where union leaders are not accountable to
anyone not their members, nor the Canadian public.

OPENMIND 2015

11

Proven Track Record, Forward Thinking

We live in uncertain economic times. With the volatility in oil prices, it is

our responsibility to be cautious and spend wisely. In periods of
prosperity, labour supply augments a booming workforce and promotes
growth and efficiency. But right now, this same service bridges the gap
and provides organizations with the resources needed to carry on
business while freeing them of overhead and risk. Regardless of the
economic environment, Matrix is here. Were focused on investing in
technology and scalable, sustainable growth so that we can deliver on
time and on budget, every time.

Align Staffing has the focus of

placing professionals, tradecraft
and labour in the oil and gas
industry. With the companys core
values that are centred on safety
and people, Aligns mandate pairs
perfectly with that of Matrix
Labour Leasing.
alignstaffing.ca

Connecting employees via social

media has led to improved
engagement in Albertas bluecollar industry, thanks to Matrix
Connect technology. Employees
apply for jobs with just one click,
send messages and stay informed
on job postings.
matrixconnect.ca

Matrix Construction developed a

best-in-class process for
screening and placing foreign
workers into qualified roles at
construction job sites across
Western Canada, with help from
the industrys best immigration
consultants and Matrix recruiters.
matrixlabourleasing.com

Call Us Today for Your Construction

Oil and Gas Placement Needs

MatrixLabourLeasing.com
403-201-9520 info@matrixlabourleasing.com
matrixconnect.ca alignstaffing.ca

State of Disunion
Union organizations, like the Canadian Labour Congress,
have publicly threatened to bring down Stephen Harper with
an Ontario-like campaign in the next federal election in 2015.
They recently elected a new radical leader, who has promised
to resource a ground war to supplement their air war. The
CLC and other union representatives point to government
taking away workers rights, but what they really mean is that
progressive governments have recognized that competition is
the highest predictor of economic growth and opportunity,
and are therefore changing legislation that take away organized labours ability to enlist workers to their cause, support
businesses crippling strikes and collect union dues for questionable purposes.
Canadians agree. Although three million Canadians have
entered the private sector workforce since 1997, unions have
only increased by 100,000 to 1.9 million workers, fewer than
18 per cent of Canadas workforce. And the trajectory continues to point down. Most of the union power base is found
in the public sector, with a 74 per cent unionization rate.
And this too is at risk with anticipated austerity measures in
Ontario and even Alberta.
Unions defend their ability to use union dues for political
purposes as a democratic right in Canada, but what they fail
to admit is that Canada is the only Western economy that fails
to both mandate union dues and the use of those dues to fund
political and social activities. In the United States, workers can
opt out of paying union dues that are used for anything other
than bargaining purposes in other words, activities related
to political and social causes. In the United Kingdom, workers
can opt in or out of a union, and are not forced to join in order
to attain employment.
In European countries like France, Italy and Germany,
unions are prohibited from using dues for political contributions. And finally, Australia is a combination of the above,
where workers can opt of a union or opt out of paying dues
that would contribute to political activities. To ensure compliance with these restrictions, unions in all of these countries
must disclose financial information on major expenditures.
Unfortunately for workers in Canada, none of these restrictions apply. And to add to this injustice, union dues that are
used for political purposes are tax deductable in essence,
partly subsidized by all Canadian taxpayers. Given the closed
financial books of unions, not only are Canadians unable to
see where their subsidies are going, but many union members
cannot access financial information that would prove where
their hard-earned dollars are going and what political activities are being funded.
The federal government has launched a legislative framework through Bill C-377 that would require unions to publicly disclose finances, creating a culture of accountability
in organizations where workers have no choice but to join
and fund. Currently, workers who have to join a union as a
condition of employment have to pay dues whether or not
the union leadership wastes their money on political activities they may not agree with and likely have little direct benefit. Bill C-377 would establish a new reporting structure,

which will include the time

and funds spent on political
and social causes. This way,
workers can know what is
spent, and decide whether
they want to join a union
that supports political parties
that they dont support, or
fund initiatives and attacks
that directly undermine their
own interests. Examples of
these attacks are union support for anti-nuclear environmental groups by CAW,
who represent many nuclear
plant workers, and lobbying
against pipeline projects, even
though the industrial sector in northern
Alberta has approximately a 50 per cent
unionization rate. In these cases, the political ideology of union leaders trumps the
employment interests of those they purport to
represent.
Unions argue that they should not be
forced to disclose their finances or their
activities, citing that the legislation is discriminatory, invades the privacy of individuals, steps into provincial jurisdiction and
is unconstitutional. Unions also ask why
this type of legislation should apply only
to unions and not to associations. The
reality is that paying dues in some sectors
and provinces is mandatory if you want to
work in that sector. Saying that a worker
can simply leave a position or look for
work elsewhere is contrary to basic human
rights, and public opinion has continually

governments, political parties and, most

recently, First Nation groups.
Recent polling that shows that Albertans and Canadians overwhelmingly
support union transparency: regarding public disclosure of detailed union
financial information, fully 77 per cent
of respondents said yes; for disclosure
of union money spent on political parties, advocacy groups and charities, the
response was even more overwhelming 84 per cent of Albertans say yes, 63
per cent of them strongly so. And on the
topic of whether or not members should
have the ability to opt out of the portion
of their mandatory dues that fund these
extra-curricular activities, 69 per cent of
Albertans responded yes.
On other union issues,
Albertans were equally explicit
in their view that unions
should be more transparent
and accountable. It doesnt
matter if you belong to a union
or not, or which political
party you support: Canadian
polls repeatedly come up with
the same results in 2002,
2003, 2008, 2011 and again
in 2014.
Union leadership voices
continue to stridently trumpet their version of worker
rights. But they should not
replace an individuals right
to select their choice of political support, nor should they presume to
use mandated union dues for activities
that do not directly impact their members
working opportunities or conditions. And
Canadians agree.

Albertans are explicit in their

view that unions should be more
transparent and accountable. It
doesnt matter if you belong to
a union or not, or which political
party you support: Canadian
polls repeatedly come up with
the same results.
increased to support these rights. The federal government has not only focused on
unions it has taken a strong approach
on accountability and transparency for
charities, publicly owned corporations,

BUILD
ALBERTAS ONLY RENEWABLE BUILDING MATERIAL
Wood from Albertas forests comes from a sustainably managed and fully renewable

resource

In 2014, Albertas forest industry planted 65 million trees 16 trees for every person in

Alberta

The forest industry creates thousands of jobs in Alberta and is a major source of

economic diversity

LOWER CONSTRUCTION COSTS

Wood is 12-20% less expensive to construct with than other materials (depending on

building design)

Wood buildings can be erected more quickly that concrete or steel buildings, saving time

and money for developers

INCREASED URBAN DENSIFICATION

Woods design flexibility makes it suitable for a wide range of building types and

applications, both structural and aesthetic

Albertas urban centres are rapidly densifying, and 5 and 6 storey buildings are in

demand

The affordability of wood allows developers to meet this demand

Increased densification reduces infrastructure costs and allow cities to meet the

demands of population growth sustainably

About us
The Wood WORKS! initiative is a national campaign to promote the use of wood products in design
and construction. By providing the necessary technical tools, training, assistance, and by showcasing
the results, we hope to generate a better awareness of the benefits and beauty attained when taking
advantage of all that wood has to offer.
For more information contact Wood WORKS! Alberta at 780-392-1952 or visit www.wood-works.ca

Upcoming Event: Prairie Wood Solutions Fair, Wednesday, September 16, 2015, Edmonton.
A full day of presentations by world-renowned speakers and information provided by industry exhibitors
on designing and building with wood. www.wood-works.ca/alberta/wsf

WITH WOOD
DECREASED CARBON FOOTPRINT
The energy required to manufacture wood products is far lower than other building

materials

Wood-framed structures store carbon. 1 ton of manufactured wood product stores 1 ton

of carbon and helps avoid 2 tons of greenhouse gasses that alternative materials would
create

Since it is harvested and processed locally, wood has lower transportation costs and

emissions than other building materials

WOOD BUILDINGS ARE SAFE

The 2015 National Building Code of Canada recommends that 5 and 6 storey wood

buildings be permitted

5 and 6 storey wood buildings are currently permitted in British Columbia and Ontario

(beginning January 1, 2015) and Alberta (May 1, 2015)

The code requires all buildings to perform to the same level of health and safety,

regardless of the material used in construction. This means that wood mid-rise buildings
must meet the same requirements as buildings constructed of any other structural
material

Provisions to mitigate the risk of fire include:

-increased use of automatic sprinklers in concealed areas of residential buildings

-increased use of sprinklers on balconies

-greater water supply for firefighting purposes

A Workforce
C

So you need a TFW? Theres a grant for that

hanges in both federal and provincial governments

ILLUSTRATION BY: ISABELLE CARDINAL

attitudes towards workforce issues and the resulting

shifts in policy will significantly impact employers
in the years ahead. While these policy changes have
already created significant short-term pain, they also provide a
unique opportunity for governments, educators and employers
to work together towards more impactful structural improvements to immigration, K-12 education and corporate training
programs. Governments are trying to put employers at the
forefront of a more formal investment in human capital, and they
are looking for businesses to step up to lead the charge.

16

OPENMIND 2015

The most controversial shift in government policy occurred

at the federal level when then-Minister of Employment and
Social Development Canada, Jason Kenney, announced a
series of changes to the Temporary Foreign Worker Program
(TFWP), making it much more difficult and costly to access
for high-wage employers and virtually impossible to access for
low-wage employers.
While the ministers changes have been frustrating to
employers and will no doubt make recruiting more difficult
for Albertas construction industry, the federal government is
hopeful that their new Express Entry Program will be one of

that Works
BY PETER PILARSKI

the solutions. Express Entry was launched in January 2015

and is designed to help employers recruit foreign workers
more quickly on a permanent basis. If this program works as
planned, it will provide employers with an excellent source of
permanent foreign labour, which is far better than dealing with
all of the issues associated with the recruitment and employment of temporary workers.
The TFWP changes were dramatic and significant. But the
federal governments changing attitude may have a more important and enduring impact on the Canadian employment landscape. Open shop contractors will need to take a leadership

role to ensure that the needs of our industry are at the forefront
during this time of structural and cultural change.
At the federal level, this change begins with the governments new Canada Jobs Grant Program. Minister Kenney
had spoken publically countless times about the paradox of
too many Canadians without jobs and too many jobs without workers, and this training grant program is one solution
that he has proposed to encourage more investment in human
capital. The Canada Job Grant Program provides employers with grant funding for two-thirds of the cost of training
programs which subject to government approval are at

OPENMIND 2015

17

A Workforce that Works

the discretion of employers. Merit Alberta strongly urges

open shop contractors to take advantage of this grant
funding, and has confirmed that several Merit College of
Construction programs qualify.
The federal government has countless other programs
designed to help address the issue of people without jobs and
jobs without people, including the Apprenticeship Grants
Program, the Canadian Apprentice Loan Program, the
Aboriginal Skills and Employment Training Strategy, Skills
and Partnership fund and many more. For more information
about how to access these programs, contact Merit Alberta.

It is a transformative time in
Alberta and Canada with respect to
immigration, training, and workforce
development and now more than ever,
employers are being asked to play
a bigger part in the investment and
development of their human capital.
At the provincial government level in Alberta, the changes
occurring in the K-12 education system are more significant,
and have the potential to drastically improve the construction sectors ability to recruit students into our industry.
Unfortunately, these changes are not well understood several years of heavy lifting by governments, educators and
industry professionals are needed to ensure the successful
implementation of well-designed strategies.
A major change at the high school level is the introduction of the Provincial Dual Credit Strategy, a partnership
between the Alberta Government, educational institutions,
businesses and industry groups to provide high school
students with opportunities to explore future career interests and to prepare them for transition from high school to
post-secondary. Importantly, the Dual Credit Strategy allows
high school students to earn post secondary credits while
also earning high school credits allowing the student to concurrently explore potential career interests. With dual credit,
18

OPENMIND 2015

a high school student can now graduate with their first-year

trade certification complete this strategy has the potential
to transform the experience for many students and could lead
to improved completion rates and more available workers for
the construction industry.
More high schools in Alberta are embracing the Dual
Credit Strategy and the key to the programs success is
the development of partnerships with industry that will
create meaningful career exploration opportunities for
students. Several impressive partnerships exist, and Merit
Albertas Board of Directors has set aside funding to contribute towards the development of more programs. Merit
Alberta is currently exploring dual credit partnership opportunities, as well as other workforce development programs
aimed at the high school level with school boards throughout the province, and we need employers to play an active role
as these strategies and programs are rolled out in order for
them to be successful.
Another significant policy is Alberta Educations Curriculum Development Prototyping, which is the education
systems attempt to use a collaborative approach to developing a new curriculum for kindergarten to grade 12 students. The prototyping strategy is getting input from a broad
range of stakeholders, including business and industry,
and this work will completely change the way education is
delivered in this province construction employers should
make their voices heard in this exercise before the opportunity disappears. The impact of this work is too important
for employers to ignore. To this end, Merit Alberta will create opportunities for employers to learn more and to provide
a contribution.
It is a transformative time in Alberta and Canada with
respect to immigration, training, and workforce development, and now more than ever, employers should play a bigger part in the investment and development of their human
capital. The open shop construction sector has an opportunity to take a leadership role in these new approaches to
ensure that the workforce development needs of our industry are met to the greatest extent possible. Merit Alberta
encourages all of its members to consider how you can
best become involved to shape the future of our province
and country.

The Esso Business Card

fueling solutions for your business.

Apply now &

SAVE 6

per

litre*

through November 30, 2015

Whether you have a small plumbing business or manage billion dollar projects, eliminating cost
overruns is important to your bottom line. With the Esso Business Card you can quickly and easily
track and control your business vehicle fueling expenses to help protect those margins.
Merit Contractors Association Members enjoy ongoing savings
of 2 cents per litre once the promotional time period has ended.

Advantages

Drive more money to your bottom line

with volume discounts
Easily pay bills, manage cards and
track expenses with our time-saving online tools.
Reduce or eliminate unwanted
driver spending with purchase restrictions

For more information or to apply:

call 1.888.330.2419
email EssoSales@fleetlink.com
*Valid only for new accounts with estimated monthly fueling of 1,000 litres or more. Offer expires 8/31/15. Valid at participating Esso branded
locations. Discounts will be credited directly to your account(s). Discounts can be changed at any time according to Imperials discretion.
Esso is a registered trademark of Imperial Oil Limited. Imperial Oil, licensee. The Esso Business Card program is administered by WEX Inc.

ESS 20150406

Winning projects were selected from over forty entries by our esteemed jury:
larry McFarland, Architect AIBC, Fellow RAIC, Principal, McFarland Marceau Architects Ltd.
daryl procinsky, MArch, LEEDAP, FRAIC, Creativity Activator, Design Revolution Ltd.
Vedran skopac, dipl.ing.arh., M.Arch. Architect, HKA, Manasc Isaac

Thank you to our sponsors! Media sponsored by VIA STRATEGIC. Award sponsors are as indicated.
Residential Wood design
Project | G House
Architect | Cibinel Architects Ltd.
Engineer | Crosier Kilgour & Partners Ltd.
The jury appreciated the subtle modernistic approach in the G House design. They felt
the design showcased exceptional detailing in wood and other materials and was an
extremely successful synthesis of all materials. Winnipeg, Manitoba

inteRioR Wood design shoWcase

Project | St.Vital Park Pavilion
Architect | 1X1 architecture inc.
Engineer | Crosier Kilgour & Partners Ltd.
The jury felt this project utilized a bold ceiling/soffit in an elegant way. The roof gives
the Pavilion an inviting atmosphere; this is a direct result of the warmth of the wood.
The two different grids juxtaposed with the tilt of the roof line to fulfill a richness in the
geometry in an inexpensive way. Winnipeg, Manitoba

Municipal/RecReational Wood design

Project | Qualico Family Centre
Architect | Number 10 Architectural Group
Engineer | Crosier Kilgour & Partners Ltd.
The jury recognised this project for its high level of design mastery in understanding
the economics of using wood. Finding economies in the use of materials promoted the
explosion of the program which works to engage the park, its vistas and its pathways.
Winnipeg, Manitoba

coMMeRcial/institutional Wood design

Project | Philip J. Currie Dinosaur Museum
Architect | Teeple Architects
Project Architect | Architecture Tkalcic Bengert
Engineer | Fast & Epp/StructureCraft
The jury panel thought that the bold, organic nature of the structural form executed in
wood was an inspiration. The design entices visitors to the Great Hall of the building;
when they enter they are awed by its drama and beauty. It is an inspired design that
remained true to the materials the team wanted to use. Wembley, Alberta

PHOTO CREDITS, FROM TOP LEFT (1) JERRY GRAJEWSKI, (2) LISA STINNERKuN, (3) NuMBER 10 ARCHITECTuRAL GROuP
(4,5,6) TOM ARBAN PHOTOGRAPHY INC. | WWW.TOMARBAN. COM, (7) MHB PHOTO (8) ROBERT TINKER

PRAIRIEWOODDEsIgnAWARDs2015
Congratulations to the winners for their architectural achievements and excellence in wood design!

engineeR Wood adVocate

Fast & Epp/StructureCraft
Project | Philip J. Currie Dinosaur Museum
The jury applauded the engineers commitment to the use of materials. The engineers
took a seemingly inappropriate material and through modeling created a new light,
attractive connection. The project is innovative in how the structure manages to
transfer loads to one point; an amazing feat on many levels. Wembley, Alberta

Wood adVocate
River of Death and Discovery Dinosaur Museum Society
Project | Philip J. Currie Dinosaur Museum
This award recognizes The River of Death and Discovery Dinosaur Museum (RDDDM)
Society as an advocate for innovation in wood design and an unwavering commitment
to climate friendly building materials. The Society worked tirelessly to design, fund,
build and operate the museum. The facility will be a world-class centre of learning,
discovery and science. Wembley, Alberta

JuRys choice

Project | Junction 9 Yoga & Pilates Studio

Architect | Modern Office of Design + Architecture
Engineer | LEX3 Engineering Inc.
The jury enjoyed this project as a great example of an elegant improvement to an
existing urban structure. The updated facade provided a new life and identity to a
previously invisible building; the design suggests a succinct and dynamic presence.
Calgary, Alberta

Project | Winnipeg Folk Festival Village Tower

Architect | HTFC Planning & Design
Engineer | Wolfrom Engineering Ltd.
The jury applauded the repurposing of the hydro poles to create a marker in the park
that has traditional historical significance. There is a gracefulness to the torque of the
design that is provided in the creation of the shape that allows people to explore it and
create their own stories within it. Birds Hill Provincial Park, near Winnipeg, Manitoba

Visit www.woodworks.ca for more information.

Construction owners and bidders need to learn the

legal risks involved in the tendering process

BY CORBIN DEVLIN AND ADRIAN SHERMAN, MCLENNAN ROSS LLP

anadian tendering law places unwritten obligations

on construction owners to protect the integrity of

the procurement process. Any significant unfairness
in the process can make construction owners liable
to bidders and expose them to significant legal risks.
There are two key methods construction owners use to avoid
claims coming out of the tendering process; these methods
are imperfect and present different risks to bidders, but understanding these terms and conditions is crucial to ensuring an
even-handed tendering process.
Through the terms and conditions of the tender documents,
construction owners try to spell out what they consider fair process. For example, its typical to see terms that permit the owner
some discretion in bid evaluation and the privilege to waive certain bid irregularities. Its important for bidders to consider these
terms, but its even more important to consider the methods that
owners use to exclude (or at least try to exclude) the risk of claims
completely. These include specifying a process that creates no
binding legal relations, or expressly excluding liability.
First, owners can legitimately protect themselves from liability
arising out of the procurement process by structuring the process
to avoid binding legal relations. If it is truly a non-binding process, neither party is legally bound to the other until a construction contract is signed, and so, for example, bidders can withdraw
their bids without legal consequence. But the corollary of not
being legally bound is that neither party gains the benefit of the
established case law neither has protection against irregularities
in the procurement process, nor do they have recourse if they are
not treated fairly.
In Maple Ridge Towing (1981) Ltd. v. Maple Ridge (District) the
Request for Proposal (RFP) included the following clause: The
District of Maple Ridge and the District of Pitt Meadows shall not
be obligated in any manner to any Proponent whatsoever until a

22

OPENMIND 2015

written agreement has been duly executed relating to an approved

proposal.
The court found the wording of this clause displayed a clear
intention on the part of the Districts not to be legally bound until
they signed a contract, and that the clause acted as a complete
defense to a claim arising from the procurement process.
Similar language is common in many RFPs. In Everything
Kosher Inc. v. Joseph and Wolf Lebovic Jewish Community Centre, the
RFP stipulated that the successful proponent would be given an
opportunity to negotiate the terms of an agreement. Ultimately,
the court found this was a clear indication that no legal relationship was formed between the parties as a result of the RFP.

We used to say that an RFP was nonbinding while an invitation to tender

was legally binding. However, we
can no longer make such simple
distinctions. The court is concerned
with substance, not form.
We used to say that an RFP was non-binding while an invitation to tender was legally binding. However, we can no longer
make such simple distinctions. The court is concerned with substance, not form. If the terms and conditions of the procurement
process are clearly intended to be binding, the submission of a
bid will create mutual legal obligations, whether the owner

chooses to call it an RFP, an invitation to tender, or anything else.

The second key method construction owners use to protect
themselves from liability arising out of the procurement process is the use of an exclusion of liability clause. There are many
circumstances where a non-binding process is not a satisfactory
option for a construction owner. If the owner needs a binding
process but seeks protection against claims, he will generally
include an exclusion or limitation of liability clause in one form
or another.
In Tercon Contractors Ltd. v. British Columbia (Transportation and
Highways), the court confirmed that exclusion of liability clauses
are enforceable; however, as an example of how fact-specific these
clauses are in practice, the highest court in the country could not
agree as to the applicability of the exclusion clause.
Ultimately, the owner was held liable notwithstanding this
(seemingly broad) exclusion clause: Except as expressly and
specifically permitted in these Instructions to Proponents, no
Proponent shall have any claim for compensation of any kind
whatsoever, as a result of participating in this RFP, and by submitting a Proposal each Proponent shall be deemed to have
agreed that it has no claim.
The conventional wisdom is that courts interpret exclusion
clauses narrowly, but thats an oversimplification of the law
before affording any protection, an exclusion clause must meet
certain criteria: it must apply to the circumstances, it must be
conscionable and it should align with public policy. Fundamentally, an exclusion clause is enforceable, but it has to be reasonable based on the parties expectations.

Based on the treatment of exclusion clauses by the court, it is

highly fact-specific as to whether an owner can rely on an exclusion clause as a complete defense. As the Tercon case shows, the
application of these criteria can make exclusion clauses unpredictable. This unpredictability cuts both ways, and makes exclusion clauses a bit of a blunt instrument.
The courts tend to be more generous (i.e. predictable) in the
interpretation of clauses that limit liability, rather than purporting to exclude liability completely. In Elite Bailiff Services Ltd.
v. British Columbia, the court didnt hesitate to enforce a limitation of liability clause as follows: the proponent, by submitting
a proposal, agrees that it will not claim damages in excess of an
amount equivalent to the reasonable costs incurred by the proponent in preparing its proposal for matters relating to the agreement or in respect of the competitive process, and the proponent,
by submitting a proposal, waives any claim for loss of profits
Exclusion of liability clauses are generally effective despite
their unpredictability. Construction owners learn from cases
such as Tercon by tightening up their exclusion clauses. Limitation of liability clauses are only slightly less effective, and they are
generally more predictable.
The courts repeatedly suggest that bidders will stop bidding
if owners make their exclusion or limitation clauses too onerous.
But this suggestion doesnt seem realistic; in our experience, bold
exclusion and limitation clauses are becoming more common
in the procurement context. If bidders are unwilling to forego
the process, they should certainly be aware of these clauses
and their effects.
OPENMIND 2015

23

Natural
Alliance
ABC and Merit Canada join forces to
tackle common problems and share
best practices
BY JOANNA MASTERSON

24

OPENMIND 2015

he predicted shortage of skilled craft professionals is not unique to the United

States. In addition to the roughly two million workers needed stateside by 2017,
Canada will need at least 300,000 more during the next decade.
Can Canada and the U.S. solve this workforce crisis? Thats part of the
mission of the CAN-AM Merit Alliance, formally established in February 2014
with the signing of a joint resolution by Associated Builders and Contractors (ABC)
and Merit Canada. In March, the groups bolstered the alliance with the addition of two
ambassadors: Tim Walton, director of external affairs and public policy for Maine-based
Cianbro, and Ron Yoneda, corporate human resources manager for Alberta-based SITE.
Both associations are rooted in the
merit shop philosophy and share a passion
for supporting free enterprise. Ultimately,
the alliance formalizes an already strong
relationship, with goals to:
help contractors provide rewarding
long-term careers for their employees;
encourage and promote the safety
and welfare of all employees;
support government policies that
facilitate the awarding of contracts
without regard to protectionism;
increase international business
opportunities for firms and reduce
barriers to the employment of workers outside their native countries;

provide services to the American and

Canadian construction industries; and
facilitate more effective service delivery to both associations members.
Working together on this initiative
provides for the free flow of information
and sharing of resources that are beneficial
to both organizations members, says
ABC president and CEO Mike Bellaman.
The hope is that this alliance can become
somewhat of a template for similar relationships with likeminded organizations
in other countries across the globe.

Eric Regelin, 2013 ABC National

C h a i r m a n , w a s e s s e nt i a l t o t he
genesis of the alliance. There are
people around the world who believe
the same things that we believe: that
everyone should have an opportunity to
participate and thrive in the construction industry without artificial barriers
being placed in their way, he says.
These people may not know the term
merit shop yet, but I think its in the
best interest of ABC to reach out and
form alliances for mutual benefit.
I could think of no better place to
start than with our Canadian friends,
Regelin says.
Merit Canada was established in
2007 when eight provincial associations came together to form a united
voice for the open shop construction
industry. The Merit associations across
Canada have about 3,800 member
contractors (employing roughly 60,000
people) that build more than 70 per cent

OPENMIND 2015

25

A Natural Alliance

of the industrial, commercial, insti- of concentration for the CAN-AM

tutional and residential construction Merit Alliance.
There are several opportunities
projects across Canada. As of 2011, the
Canadian construction sector employed for member companies to provide
1.26 million people, with 900,000 services across the border that have
working in the open shop sector been hampered by regulations
representing almost 8.6 per cent of the currently in place, Bellaman
says. By working together
nations total labour force.
Weve always thought about doing through the alliance, we can present
something like this because were a united front and a consistent message
likeminded in our philosophy and face a lot when speaking with government leaders
of the same challenges, says Merit Canada on both sides of the border.
For example, industrial shutdowns workers, I have to advertise the position
president Terrance Oakey. When we
brought the idea to our membership and in the Gulf Coast tend to take place from and then wait up to six months to get a
ABC did the same, we got a good response. September to April. In Canada, they positive approval. By that time, the project
It made sense to formalize these strong typically occur from May to September. is over. Its hard to pinpoint exact timing
connections and put it into a framework That means expert workers are sitting idle and the number of employees needed for a
that can flourish, adds Stephen Kushner, rather than potentially working 10 months construction project. If we could streamline
that process of getting people across the
past president of Merit Alberta the largest a year in both countries.
border, I could provide a lot of
provincial association within
jobs in the off-season.
Merit Canada, with about 1,400
Another goal of the alliance
contractors employing 40,000 to
WE FACE COMMON ISSUES, ESPECIALLY
is to offer members of both
50,000 people. We function on a
ON THE TRAINING AND ADVOCACY SIDE.
associations access to each
similar model of tools, technology
others education and safety
and materials. There is a border,
WHEN VICTORIES ARE HAD OR TACTICS
training programs. This could
but there isnt a border.
ARE DISCOVERED, ITS IMPORTANT THAT
be the start to opening the
dialogue with governing bodies
Shared Challenges and
WE SHARE THEM SO WE CAN LEARN
to eventually recognize the
Opportunities
FROM THE WORK THAT ALL OF US DO.
safety and training credentials
When the recession took
of people doing cross-border
hold in 2008, Canada wasnt
Terrance Oakey, Merit Canada president
work, Bellaman says.
as deeply hurt as the United
Other issues on the alliances
States. According to Kushner,
radar include exchanging
the Canadian economy took a
little dip in 2009, but was largely back to
Immigration is a major issue, Oakey information on legislative initiatives
normal in 2010. Activity in the oil sands confirms. Were looking at what the related to open tendering and project
market is particularly strong, with pipeline irritants are for members trying to bring labour agreements, job targeting, and
and other projects in the $10-billion workers to and from Canada and the fair labour laws and policies. The group
also hopes to expand affinity programs
to $12-billion range drawing workers United States.
and their families to Alberta causing
For SITE, which provides environ- and services to both organizations
increased demand for hospitals, schools mental, infrastructure and access services memberships. Additionally, preliminary
and housing developments.
for oil, gas and resource development discussions are under way regarding the
Weve been dealing with labour companies, skilled trade jobs are the possibility of organizing international peer
shortages this whole time; manpower most difficult to fill, especially pipefitters groups and an international conference for
is very tight, Kushner says. Some of and welders. There are good people out open shop advocates around the world.
We face common issues, especially on
our contractors have to turn down work there; we just dont have enough of them,
because they dont have the workers to Yoneda says. Apprenticeship program the training and advocacy side, Oakey
perform the projects. Were focusing numbers arent where they need to be to says. When victories are had or tactics are
heavily on trying to bring young people sustain the amount of construction going discovered, its important that we share
them so we can learn from the work that all
into the industry, as well as focusing on on in the province.
leadership development and succession
B u t c u r r e n t l y , c r o s s - b o r d e r of us do.
planning.
employment is too frustrating to be
Its a familiar predicament for effective. Theres a lot of government red JOANNA MASTERSON IS EDITOR OF CONSTRUCTION
FOR MORE INFORMATION, EMAIL MASTERSON@
American construction businesses. As tape to qualify someone to go back and EXECUTIVE.
ABC.ORG, VISIT WWW.CONSTRUCTIONEXEC.COM OR FOLsuch, cross-border mobility is a key area forth, Yoneda says. To import American LOW @CONSTRUCTIONMAG.
26

OPENMIND 2015

Tim Walton

Ron Yoneda

MEET THE AMBASSADORS

Tim Walton
Director of External Affairs and Public Policy
Cianbro, Pittsfield, Maine
How he got involved in the construction industry: I spent time early in my
career managing a variety of campaigns
and then worked in Congress. On one campaign visit with the Maine Chapter, I told
then-Representative Jim Longley that if a
job ever opened at Associated Builders and
Contractors (ABC), I would apply because
the organization shares my values 100 per
cent. About five years later, the Maine chapter president position became available and
I was hired. I did that until January 2005
when Cianbro, which was heavily involved
with ABC, hired me to be external affairs
director covering government affairs,
public affairs, charitable giving, etc.
What Cianbro specializes in:
Cianbro self-performs civil, structural,
mechanical, electrical, instrumentation,
fabrication and coating work in
the power generation and energy,
modular manufacturing, refining and
petrochemical, industrial, marine, fuel
transmission and distribution, commercial
and institutional markets, through its

workforce of more than 4,000 employees.

The company offers construction services
from the conceptual stages of design
through implementation, to start-up,
commissioning and turn-key operations.
His role in the alliance: Too often
we put self-constraints on when it comes
to the economy. We only think about the
national economy, yet we know there are
likeminded contractors and construction
groups around the world. I appreciate
2013 ABC national chairman Eric Regelins foresight to create the alliance and the
ABC executive committees support for it.
Now, my job as ambassador is to promote
the alliances programs, events and public
policy initiatives, and to consider any services that can be offered to our respective
memberships.
Why he was chosen to be ABCs
ambassador: As a former ABC executive
committee member, Tim understands the
long-term goals of the association and the
needs of the industry. This, coupled with
the fact that he is well respected, made
him a great candidate to help develop
a relationship between ABC and Merit
Canada, says Mike Bellaman, president
and CEO of ABC National.

Ron Yoneda
Corporate Human Resources Manager
SITE, Sherwood Park, Alberta
How he got involved in the construction industry: Ive run several businesses
and worked as a construction labour provider supplying temporary workers to construction companies. I then got into the
recruitment business, specializing in construction and engineering. The construction industry was starting to take off in
Alberta, so it was a good opportunity to get
involved. In 2010, when SITE was founded,
I was brought on as a consultant to help
with recruitment efforts. It rolled into a
full-time HR position because, as a start-up
company, we had to develop job descriptions and formal policies and procedures.
What SITE specializes in: The
company initially stemmed from the
merger of two heavy civil firms with about
200 employees. It has been acquiring
additional firms for the last four years,
with the most recent acquisition located
in North Dakota. Today, the firm employs
1,200 to 1,500 people depending on the
season. SITE positions itself as a remote
access company specializing in oil services:
OPENMIND 2015

27

A Natural Alliance

SPECIAL

SERVICES
FOR COMMERCIAL

CUSTOMERS
Delivery service
Multiple order options
(phone, fax, email)
Preferential quote
for renovation projects
Payment options
(credit card, cash or
charge accounts)
Exclusive Promotions
Dedicated staff
at the Contractor
and Commercial Desk

clearing, seismic work, surveying, pipeline, mechanical and

earthwork (i.e., everything prior to actual plant construction).
His big-picture view of the alliance: Longer term, were
looking at ways to bring people in from Europe, South America
and Asia so we can turn this into something we can all be
really proud of and help represent the open shop construction
industry. Theres a lot we can learn from international groups.
From a Canadian perspective, a lot of international companies
are getting involved in the oil sands. If we can start to share and
develop ideas and work toward common goals, it will be good
for the industry as a whole.
Why he was chosen to be Merit Canadas ambassador:
Rons company is active in the United States and Canada;
its important to have someone with an appreciation for
the challenges of working in both countries. He also has a
strong HR background, which encompasses some of the
alliances top concerns, says Stephen Kushner, past president
of Merit Alberta.
The CAN-AM Merit Alliance is interested in meaningful
dialogue with members of Associated Builders and Contractors
(ABC) and Merit Canada who can offer fresh perspectives on
market trends and performing work in the United States and
Canada, as well as offer suggestions on where the alliance can be
replicated in other countries.
Companies that can provide experiences as to how current
regulations have hindered their ability to win work or do work
across the border are especially helpful, says ABC president
and CEO Mike Bellaman. Their insight will allow the alliance
to write the narrative and better explain the issues with the
current system.
Ultimately, all members of ABC and Merit Canada are part
of the alliance through the involvement of their associations.
Its important to keep talking and sharing ideas and to
get the word out that this alliance exists, says Ron Yoneda. If
enough people know about it, we can make a difference.
TO LEARN MORE OR GET INVOLVED, EMAIL ABC CHAPTER DEVELOPMENT MANAGER
STEPHEN LEWIS AT SLEWIS@ABC.ORG.

90 NEW
e-Learning courses!
Get Your Training Right to Your
Laptop/Tablet/Desktop!

Software Packages
7 SOFTWARE packages* available:
Autocad 2014 Software
BIM 2014 Software
Introduction to Construction Software
Project Planning 2014 Software
3D 2014 Software
Microsoft Office 2013 Beginner
Microsoft Office 2013 Advanced
*Packages contain 5 courses
You can also purchase single courses!

Professional Development
Packages
A PROFESSIONAL DEVELOPMENT
package allows you to choose 25 courses
that you can mix & match! Choose topics
like Basic Construction Math, Driving
Safety, Basic Finance & Accounting,
Teambuilding, Conflict Resolution & more!
For more information or to register go to
www.meritalberta.com.

COGNITIVE
ABILITY

VISION

ILLUSTRATION BY: HEFF OREILLEY

STRENGTH

30

OPENMIND 2015

LIGHT

The aging workforces impact

on health and safety
BY GARY CLEVENGER AND BRIAN ROBERTS

ith 31.9 million workers over the age of 55 estimated

to be in the U.S. labour force by 2025, its important

to examine the physical, psychosocial and cognitive
issues related to aging. Construction companies cannot
continue to run their businesses as usual and expect older
workers to remain safe.
A major impact on workers compensation is that aging generates
co-morbidities (i.e., multiple illnesses or injuries that lead to increased
recovery time). A 55-year-old worker suffering from a back injury caused
by cumulative trauma also may suffer from disc degeneration found in
almost all men and women over the age of 40. While older workers have
low absenteeism, turnover and accident rates, they take longer to return
to work after injuries and illnesses because they are likely to heal slower
and have pre-existing health problems.

REPRINTED WITH PERMISSION FROM CONSTRUCTION EXECUTIVE,

MARCH 2014, A PUBLICATION OF ASSOCIATED BUILDERS AND
CONTRACTORS SERVICES CORP. COPYRIGHT 2014. ALL RIGHTS
RESERVED.

OPENMIND 2015

31

Aging with Grace

STRENGTH
Loss of strength stems from decreased
muscle mass. Muscles take longer to
respond to action and fatigue as people
age. The number and size of muscle fibers
also decreases.
Heavy lifting and lowering, awkward
positions and static postures are all risk
factors for workplace injuries. Tasks
requiring grip force and exertion, as well
as repetitive tasks, are more difficult
with decreased strength and endurance.
Reduced grip strength goes along with
reduced muscle and soft tissue capabilities. Hand grip strength decreases, making
it more difficult to accomplish routine
activities such as turning a valve or lifting,
pulling and opening materials.
To assist aging workers, reduce the
time spent performing these tasks or
provide mechanical assists. For example,
choose hand tools and handheld devices
that are appropriately sized to compensate
for reduced grip strength. To prevent soft
tissue injuries, identify the jobs that carry
the greatest physical risks to the various
soft tissue groups through a systematic,
quantifiable process. Prioritize the jobs
that will keep employees working longer,
as well as those that could be used for
return-to-work duties. Some of the ways
to help employees include:
reduce work with static muscle
effort (i.e., sustained, fixed postures);
increase use of mechanized
equipment;
keep work in a neutral zone (i.e., remove materials from the floor); and
reduce or eliminate twisting of the
upper torso.
VISION
Vision is by far a workers most important
sensory channel. Approximately 90 per cent
of most of the information learned in a lifetime enters through the eyes.
Normal age-related changes in vision
include impaired ability to adapt to
changes in light levels (a 60-year-old
requires two to three times the amount of
light as a 20-year-old), extreme sensitivity
to glare, reduced visual acuity (ability to
discern detail), and restricted field of vision
and depth perception. Impaired depth perception may cause a person to perceive a
shadow on the floor as a step or a hole, and
32

OPENMIND 2015

visual misinterpretation based on visual

misinformation can severely impair an
individuals ability to function safely.
LIGHT
The single largest missing ingredient
in workplace facilities to assist aging
workers is light. Using more taskspecific lighting and indirect lighting,
especially with computers, creates a better working environment. Use soft, white
lights rather than bright, clear lights,
which create glare.
Pools of light can distort perception
of height and depth, causing stumbling
or tripping. Uneven brightness patterns can produce shadows or create the
illusion of steps or edges where light and
shadow meet. Provide gradual changes
in light levels.
Reducing glare contributes to
comfort and helps minimize falls and
maximize attention span. Appropriate
task lighting increases a workers level
of performance. Very few managers correlate productivity and efficiency to the
correct light levels.
High contrast is very effective in
enhancing visual function. For example,
an edge band of contrasting colour can
help a worker see a desk or countertop
more easily. The aging eye is best able
to discriminate saturated colours at the
warm end of the spectrum, and colours

with a high degree of brightness, such

as yellow, are particularly visible. Distinguishing between blue and green and
blue and violet hues can be difficult.
COGNITIVE ABILITY
Mental processing and reaction time
become slower with age. In fact, it starts
in young adulthood (late 20s) and by the
time people are 60 or older they generally take longer to perform mental tasks.
Some experts contend older adults do
not lose mental competence; it simply
takes them longer to process the necessary
information. In addition to cognitive
decline, slower processing speed has been
linked to a decline in motor function.
Therefore, older adults may have less dexterity and coordination than when they
were younger.
Certain training methods work well for
older adults. Their best method for learning is direct, hands-on experience so they
can use what they learn right away. It is
important for older workers to be involved
in planning and training. Relating new
learning to past experiences, accommodating for vision and hearing loss, and
establishing an acceptable pace for learning new information are critical elements
to retaining new information.
It is important to understand cognitive changes are not universal. The degree
of decline can be small and likely will not

interfere with day-to-day functioning. It

may take older employees longer to learn
something new, but they can still learn.
The following are factors impacting a
persons cognitive function.
Exercise. Regular exercise helps
maintain blood flow to brain cells.
Diet and nutrition. Maintain
proper weight, minimize the
consumption of animal fats, and eat
more fruit and grains to maintain
good brain function.
Emotional health. Stress, depression and other psychiatric conditions can negatively affect memory.
Pain. Physical pain interferes with
the ability to pay attention to information, which hinders learning.
Medication. The side effects of and
interactions among medications
may interfere with memory.
Research indicates the nations 79 million baby boomers want to continue to
work either full or part time. To ensure
a healthy work life, employers need to
address the relationship between the func-

tional capacities of younger and older

employees. Assessing the capabilities and
limitations of older workers and working
within these parameters will positively
affect productivity, efficiency and safety
among all age groups.

Gary Clevenger is national risk control

director, construction, for CNA and
Brian Roberts is CNAs director of
workers compensation and ergonomics
for risk control. For more information,
email gary.clevenger@cna.com or visit
cna.com/riskcontrol.

Sound decisions.
Solid results.

At Adroit, we believe in preserving your capital. We strive to produce better returns at

lower risk over the long term. Were experienced, consistent and we have a track record
of solid results. We offer discretionary wealth management for individuals, corporations
and institutions. Ask us how our unique investment philosophy and disciplined style can
help you meet your financial goals.
Edmonton / 1250, 10303 Jasper Avenue / T. 780.429.3500 / adroitinvestments.ca
A CWB Group Company

3192.12 - January Open Mind AD_Layout 1 17/12/2013 9:15 AM Page 1

Great Cars.
Great Rates.

As a Merit Contractors Association

member, Thrifty is
pleased to offer
you great cars
at great rates.
In addition, youll enjoy:

Unlimited daily kilometres at most locations

No charge for additional drivers
No surcharge for underage drivers aged 21-24
LDW (Loss Damage Waiver) available at $18.00 per day in Canada
FREE membership in Thriftys Blue Chip Express Rental Program
Quote your Thrifty CD#1660221113
to ensure you receive all your
special Merit Contractors
Association rates and benefits.
Rates do not include any taxes, surcharges, airport related fees or other point-of-sale charges. Vehicles
subject to availability. Offer is not valid with any other special or promotions, and may not be combined
with any other discounted rate or promotional offer. Vehicle must be returned to renting location. Exception
and surcharge city list applies. Thrifty features a wide selection of quality vehicles. Registered Trademark
of Thrifty, Inc. 2014 Dollar Thrifty Automotive Group Canada Inc. All rights reserved. 12/13

MASTERS INSURANCE LIMITED

MASTERS LIFE INSURANCE AGENCY LTD.

HAMILTON WINDSOR
TORONTO OTTAWA
ROCHESTER, NY

Proven Experience, Knowledge

& Service to the Construction
Industry for Over 40 Years

EVERY CANADIAN SHOULD HAVE THE SAME OPPORTUNITY TO WORK.

In some provinces and municipalities, only unionized contractors and companies are allowed to bid to work on government projects.
This discriminatory condition violates fundamental rights guaranteed to workers under the Canadian Charter of Rights and Freedoms.
It also drives up costs by denying open competition between union and non-union bids. On behalf of all Canadian workers and
taxpayers, Merit Canada is fighting to require that jurisdictions allow fair and open competition in awarding contracts as a condition of receiving federal project funding. The fundamental principles of fairness require that no individual or group receive special
treatment. Fairness requires a level playing field on which everyone can compete on an equal footing. And our Charter of Rights
and Freedoms guarantees that no Canadian should be forced to join or finance a labour organization as a condition of making a
living and providing for ones family. Every Canadian should have the same opportunity to work.
opportunitytowork.ca

Blue: C 100 M 84.09

Red: C .91 M 100

Y 11.04
Y 92.14

K 3.08
K 0.02

Business

for

BY TERRANCE OAKEY

2014 WAS ANOTHER

BANNER YEAR
FOR OPEN SHOP
CONSTRUCTION
IN CANADA

This last year was an exciting and

productive time for Merit Canada, and

weve made significant progress on most
of our key issues. Thanks to our collective
efforts, there is now a guaranteed secretballot vote for union certification by
employees of contractors who are in
federally regulated sectors, and job
targeting funds are being investigated
by the Competition Bureau. Bill C-377,
regarding union financial disclosure,
is back on the national agenda. Merit
Canada also had its most successful lobby
day to date in 2014.

OPENMIND 2015

35

Open for Business

Merit Canada president

Terrance Oakey with the
Honourable Candice Bergen,
and the Honourable KerryLynne D. Findlay during our
2014 Lobby Day reception

LOBBY DAY

On May 13, 2014, Merit Canada hosted

another successful Hill day at Parliament
Hill in Ottawa. We had more than 40
meetings with political figures throughout
the day including with the Prime
Ministers Office; Jason Kenney, minister
of employment and social development;
a nd Ch r i s A le x a nder, m i n i ster of
immigration. We truly appreciate all the
time they devoted to their discussions with
Merit Canada.
Some other notable meetings include
discussions with the office of the minister
of finance, the office of the minister
of infrastructure, communities and
intergovernmental affairs and the Treasury
Board. After the meetings, approximately
300 people gathered at the Metropolitan
Brasserie for the evening reception.
Attend ing the reception was the
Honourable Jason Kenney, the Honourable
Candice Bergen, the Honourable KerryLy n ne D. Find lay, the Honourable
Kellie Leitch, the Honourable Senator
Carigan, and the Honourable Senator
Runciman, among many other members
of parliament.
Our focus this year was job targeting
funds, open tendering, Bill C-525 (regarding
the secret-ballot vote) and Bill C-377, which
deals with union financial disclosure.
UNION SECRET-BALLOT BILL
PASSES PARLIAMENT

One of Merit Canadas key lobby efforts

throughout 2014 was to remove card
36

OPENMIND 2015

check from the federal labour code.

Merit Canada welcomed the passage of
Bill C-525 in early December, 2014. The
Employees Voting Rights Act brings
basic standards of democracy to the
union certification process in federally
regulated sectors, including secret-ballot
voting. A persons decision on whether or
not to support a union drive is a deeply
personal one that should be free of any
possible intimidation or impropriety
from employer and union organizers. The
best way to guarantee that is through a
secret-ballot vote.
Under current practice, a workplace
can be unionized if a union provides
the Labour Board with cards that it
claims have been signed by employees
representing 50 per cent plus one of the
target marketplace. Merit Canada believes
this system is ripe for intimidation and
manipulation. Bill C-525 will require
organizers to get expressions of support
from 40 per cent of workers in federally
regulated sectors in order to force a vote on
union certification. That vote would then
be held by secret ballot. If a majority of
those who vote support joining the union,
then certification proceeds.
Merit Canada wishes to thank those
MPs and senators who have supported
this legislation since its introduction in
June 2013, and particularly its sponsor,
M P Bla i ne Ca l k i ns. Secret ba l lots
are fundamental to our democratic
process and need to be applied to union
certification votes.

JOB TARGETING FUNDS

Another area of focus for Merit Canada

in 2014 was to educate both the public
and government officials on the harmful
impact that job targeting funds, MERFs
a nd ot her a nt i- compet it ive f u nd s
used to harm open shop contractors.
Merit Canada representatives met with
officials from the Competition Bureau
this year a nd they have launched a
preliminary investigation into these
funds. We are hopeful that this will lead
the elimination of these funds to ensure
a level playing field between open and
closed shop companies.
These funds are used by unions and
unionized employers to undermine the
competitive bid process on potential
projects as they are paid out to other
unionized employers who apply for a
wage subsidy in order to be able to win
a bid to work on a particular project
usually in cases where that employer is
bidding against a unionized competitor.
I n ef fec t , t hese f u nd s a re u sed to
cross-subsidize workers on jobs where
unionized employers have to compete
against non-unionized employers for
work. This is unfair, and we hope the
Competition Bureau will end this practice
once and for all.
UNION FINANCIAL DISCLOSURE
ACT (C-377)

Merit Canada has led the fight to bring

union financial disclosure to Canada,
and despite some setbacks, the legislation

The Hon. Jason Kenney

(then-minister of employment)

is back before the Senate, with

committee hearings likely in early
2015. National media outlets are
noticing our collective lobbying
efforts as well and this will continue
until the legislation is implemented.
Bi l l C -37 7 wou ld re qu i re
labour organizations to report the
following information annually:
their financial statements, salaries
paid to officers and employees,
c e r t a i n i n fo r m a t io n a b o u t
expenditures over $5,000, and

the percentage of time spent on

lobbying and political activities.
The reporting requirements under
Bill C-377 are not onerous and will
be easy to implement with even the
most basic accounting practices. If
you work in a unionized workplace
or profession, you are obliged to
pay union dues even if you choose
not to become a union member.
These funds are funneled into
a wide range of causes, many of
which have nothing to do with

collective bargaining. This right to

tax comes with a basic requirement
of transparency. Without it, one
of the fundamental pillars of our
democracy is undermined.
THANK YOU, MEMBERS

The board of directors of Merit

C a n a d a w i shes to t ha n k it s
members from all across Canada
for ma k ing 2014 successf u l,
and looks forward to an equally
triumphant 2015.

Senator Runciman (chair of

the Legal and Constitutional
Affairs Committee),
Honourable Kellie Leitch
(minister of labour), the
Honourable Senator
Michael MacDonald, and
Gord Brown, MP.

OPENMIND 2015

37

NUMBERS

BY THE

Construction price index for apartment buildings:

Calgary

Halifax

Toronto

Vancouver

2013

169.2

140.2

145.2

148

2014

171.6

142.6

147.2

150.4

Capital expenditures for construction in Canada

(in $ millions):

2013
290,950.4

2014

New housing
price index
($ thousands)

2013

2014

Calgary

102.2

109.4

Toronto

119.6

122.1

St. Johns

149.8

151.1

Fredericton

108.3

108.2

Winnipeg

135.6

137.8

Saskatoon

120.5

123.4

Vancouver

97.1

96.0

292,498.9

(preliminary)

(intentional)

Yearly Value of all building permits by Province (in $ millions)

2013

2014

942.7

936.0

Nova Scotia

1,171.7

1,176.3

New Brunswick

1,004.9

830.9

Ontario

28,932.9

30,722.4

Manitoba

2,608.2

2,815.2

(SOURCE: Merit Contractors Association)

Newfoundland and Labrador

Saskatchewan

3,173.9

2,669.2

Alberta

17,262.4

18,256.3

British Columbia

9,976.1

11,076.7

Total person hours worked

under the Merit Hour

Bank Benefit Plan:

2013
2014

Average number of employees covered under the

Merit Hour Bank Benefit Plan:

103,774,392
113,277,126

2013

2014

51,169

59,597

Wholesale merchants sales by industry unadjusted ($ millions) across Canada

Building material and supplies

2013
83,110.5

2014
91,126.2

Electrical, plumbing, heating and air-conditioning equipment and supplies

25,764.0

28,762.2

Metal service centres

18,259.5

20,284.1

Lumber, millwork, hardware and other building supplies

Machinery and equipment

39,056.9

42,079.9

127,567.4

133,062.7
(SOURCE: Statistics Canada)

38

OPENMIND 2015

IMAGEWEAR

Trusted by over 15,000

Canadian companies
to keep their employees safe,
comfortable and looking professional.
Whatever your business, you can trust our knowledgeable consultants to understand your unique requirements,
while meeting the standards and codes necessary to outfit your employees from head to toe.
For over three decades, weve been outfitting Canadian businesses with clothing and footwear from the best brands
in the business. Selection combined with the ability for your employees to come in, try on and pick up from over
380 Marks stores makes Imagewear the one to trust for outfitting your business better.
With flexible payment and fulfillment options, putting together a hard working, great looking industrial uniform
is as easy as talking to one of our Imagewear sales consultants.

TOLL FREE 1.855.592.7444

FAX 1.800.683.7790
EMAIL imagewear@erequest.ca
WEB www.imagewear.ca