The mills in Mackenzie were given timber quotas to create jobs. Now that they have taken away the jobs maybe another company could create jobs if given same cutting rights.

I think the collapsing United States housing market and the resulting woes in B.C's forest industry are the first steps in the popping of a gigantic credit/debt bubble, a bubble that started to form in many countries in the world including Canada many decades ago.

The following paragraphs are taken from Peter Ewart's recent series of articles on Opinion250.com titled "Invasion of the Moneylenders".

"We are swamped with so much debt that it appears as if we have passed over into some kind of alternate universe."

"... and central banks grow dollar bills as plentiful as autumn leaves on some genetically modified tree."

"Reports leak out that financial institutions are refusing to honour lending and borrowing agreements with each other, fearful of acquiring “toxic” debt. To “increase liquidity,” central banks lower interest rates, print more money and inject billions of dollars to calm jittery credit markets."

"Others say that Greenspan himself is the culprit because he drastically cut interest rates for a number of years, thus paving the way for easy credit to be thrown around everywhere as if the mythical figure “Johnny Appleseed” had been reincarnated somehow and gone to work as a subprime mortgage broker."

"These “black holes” of debt exist at the personal level in abundance, even when the economy is in the midst of “good times.” But they also exist on a grand scale, at the level of government and corporation.

Today, there is only one way to describe the amount of debt in the world – absolutely frightening. Future generations will look back in amazement at the herds of politicians, bankers, corporate leaders and establishment economists who have refused to address or even acknowledge the extent of the problem, and who, in fact, have contributed greatly to it. Like Nero, they have their fiddles. And, yes, while Rome burns, they play, and play, and play."

"In this strange world of derivatives, with its “collateral debt obligations” and “asset backed commercial paper”, a “single dollar of ‘real’ capital supports $20 to $30 of loans.” As a result, on world markets, these risky derivatives stand at about $485 trillion, which is about “eight times global gross domestic product of $60 trillion.” Describing such a situation as a “house of cards”, as Joseph E. Stiglitz does, could be misleading in that we may be giving a bit too much credit to its stability."

"But you have to give the moneylenders credit for audacity. After pulling off one of the biggest swindles in world history that will have disastrous economic fallout for years to come, they are currently negotiating with government to bail them out with taxpayers’ money. They have put on those ragged hobo clothes they keep in the closet for just such occasions, and will be going to Congress to sing that old Depression era song “Hey buddy can you spare me a dime?” Except, of course, they don’t want a dime; they want billions. Otherwise, they croon, “we will all suffer.”

The following is the link to Peter Ewart's series of articles on Opinion250.com in case anyone wishes to read them to get the full context of my quoted paragraphs.

http://www.opinion250.com/blog/view/7396/7/invasion+of+the+moneylenders+%96+part+5+%96+%93a+pound+of+hamburger%94?id=38&st=10

I think the NDP (and every other government in this country for that matter) should be concentrating on the "big picture" and dealing with the "excesses in our system" that I have quoted above.

As a society we have a complete lack of respect for money, and we are living way beyond our means. These actions are simply not sustainable over the long term.

Well said, Charles! This "forestry collapse" is much bigger than B.C. or even Canada and it will play itself out no matter how many studies Mr. Simpson suggests or how many slogans he utters against the present B.C. government.

The NDP is fundamentally opposed to any financial help for these private corporations which are being affected by world market trends and financial woes and I find his political posturing somewhat amusing if it wasn't so utterly opportunistic.

I wonder what he would say if the whole forest industry were not privately owned but owned by the state and yet going through the same convulsions brought on by circumstances beyond the control of local government?

He doesn't give any solutions that would help in the present situation, like how to keep the mills open and the workers employed.

Cheers!

If you owe more to the banks,mortgage companies,or credit cards,than you can possibly pay off if you had to in a hurry,you are actually dead broke!
I read the other day there is something like 129 BILLION dollars outstanding on credit cards like Visa,Mastercard,etc.etc.and it's still climbing!
And I am willing to bet most of the credit card debt is financed around 18-20 percent interest.
Do the math!
And all for a bunch of materialistic things that people probably didn't need,and robbing Peter to pay Paul.
One glitch in the system,like getting laid off,and everything is gone!
charles is right.Credit and debt will kill you!!

This is simply Karma at work. For decades logging has been going on in BC at criminal rates, destroying everything in sight and now the people that worship money over any other value on this planet want everyone to cry them a river.

The working class, the people losing their jobs now, are every bit as much to blame. For years and years these people did nothing but vote their own selfish (ignorant) interests with no thought what so ever that this was coming if logging rates stayed so high, something that was happening in front of their own eyes! Now they play the blame game, pointing their finger at everyone else when they in fact share in the blame fully.

When humans learn that selfish decision making does not work in the long run, that is the day life on Earth will improve greatly.

To the Honourable Bob Simpson, I would like to know what suggestions, solutions he has to offer? You claim to have been on this issue for the past 2 1/2 years. So, what do you propose?

I agree that losing your job is a bummer. Missing a paycheck can be devastating if people continue spending everything they have ever earned and especially if they haven't set anything aside for times such as this. Now, all of a sudden, it's the governments fault? Comon now, this isn't a supprise. MLA Bob Simpson has admittedly been aware of this issue for the past 2.5 years. Chester

Just how long has this government had it's head up it's ass in regard to this huge problem Chester? I do believe it is longer than two and a half years. Why not just throw some more money in the pot for studies and diversification so all the in group can get in on the money. Lots at the trough these days.

Seems to me that any government opposition members seem to have all the right answers. Until they're elected. Then , according to us, they don't have a clue. Any member of any government or opposition obviously doesn't have a clue. It is called leadership and leadership should be looked at in the pretext of more than just four years at a time. So remember folks, only the opposition has all the answers. So why not elect them?

Timber rights should have stayed tied to the sawmills. Years ago you lost the timber rights if you shut down the mill.

Exactly drivechian.
That was the begining of the decline to some extent,but the interesting part is who did away with that and why?

Bob Simpson,
MLA Cariboo North,
Opposition Forest and Range Critic


"" We need worker and community adjustment programs to mitigate the negative social and economic impacts of this fundamental restructuring."

It's a 'fundamental restructuring', and like the horse and buggy the business will not last forever. What we do need is for our unions to negotiate termination and severance allowances that will give the displaced workers and families the ability to retrain and relocate themselves to an area or job that can sustain their families.

After 30yrs in the industry my severance would be 40 weeks pay based on 40 hours x my base rate. Which of course doesn't take into account actual earnings. If I was non-union the severance would be 2 years pay [or 104 weeks]. Which family do you think would have the most chance of rebounding ????? The unionized or the staff employee??

As workers in the forestry sector we had better open up our eyes and negotiate something a little more worthwhile than 'car wash tickets' the next time around, because waiting for government help will just not cut it.

Jim13135 - don't be a victim. Figure out an exit plan on your own. One thing I know is that no government is smarter than you in figuring that out. If or when the handouts come they won't be enough to keep you whole. The writing is on the wall.

Mr Simpson - the Liberal government is tearing down mountain biking trails that attract people from around the world to our area. What are you doing to stop it?

Jim13135- Also, don't count on severance... See what Tolko did in Kelowna, basically took a 300 man plant and closed much of it so there is a skeleton crew there. Now there is 260 on call employees who didn't get any severance! Scam!

So should the government run the mills? Will they be able to seel the products they produce?

Work with the forestry companies? To do what? Forest Renewal anyone? Skill centres throughout the province taking laid off forestry workers and retraining them to sit behind a computer? Been there, done that, not that long ago.

Blame banks? Blame Forestry? Blame governments? Blame the MPB? Blame global warming? Blame environmentalists? Blame your neighbour?

Try this? Blame yourselves and your greed. Blame bigger houses for smaller families. Blame bigger cars for smaller families. Blame more cars in the driveway than there are drivers in the house. Blame having a driveway rather than a parking garage 6 floors down. Blame having to get one thing here, and another thing 10 km away. Blame having to finally pay as much for a cup of coffee as we used to laugh at Europeans for spending on a cuppa. Blame paying $150 for a pair of runners just to go jogging in the morning with a “swoosh” on the side of the shoes.

We are all excessive consumers. Businesses and governments feed on excessive consumers. Excessive consumers vote in governments that support businesses that feed excessive consumers.

The only growth that most people understand is growth in quantity. Growth in quality is not a consideration. Throw a “swoosh” onto anything and it becomes quality because marketing companies tell you so. Few people even understand what real quality is anymore.

When a motor breaks down one does not sedn it to a repair shop to replace the brushes and clean the commutator, one simply replaces the motor. In fact, few people really understand how to troubleshoot a problem anymore. We are a throw away society. And if the new motor does not work, then we check the switch and replace it. And if that does not work, we check the wiring.

The motor is made in some foreign country, the motor can be fixed locally with local labour. Of course, we no longer train those people, so a simple task now becomes a major expense at a rate of $60+ per hour.

There are so many parts of the integrated system that seem to be heading into oblivion at times, that one cannot blame any single person, group, organization, government, etc.

In my view, if we are honest with ourselves, we need to accept collective guilt.

How do we fix it? Most certainly not in time to save jobs in the forest industry.

It will continue to exist, it will continue to make products to please market demands, and it will continue to operate within a biological natural environment as well as an economic and social environment which need to be properly balanced for survival.

There will continue to be artificial barriers imposed on it as well as natural barriers. It will continue to be simply another industry, albeit for a very long time to come, a substantial industry, but not likely the leading industry in the same fashion as it has been in the past.

If we want action, then act. Don’t depend on others.

As far as Simpson’s words go:

“There is a lot of work that needs to be done to ensure our forest sector will be restructured and renewed in a manner which once again ensures BC workers and communities obtain maximum benefits from our public forests. The only thing in the way of doing this is a Forest Minister and a Liberal government that has decided to sit on the sidelines and watch the carnage.”

Those are political words, nothing else. He can walk into any office in Victoria and get some respect and be listened to. He is a smart fellow.

There are other ways for him to help the situation than write such wishy washy words – “communities obtain maximum benefits from our public forests” … what the heck is that supposed to mean? Maximum benefits today on a proportionate basis is considerably different than maximum benefits 20 years ago and 40 years ago. It is a flexible notion and the notion of what exactly is the maximum benefit will depend on the point of view of the person looking at it. Obviously, the companies that are folding shop have gotten their maximum benefit out of it, as have the builders who use wood to build, etc. etc.

So, what is he saying? Nothing, really. And with an individual as smart as Simpson saying nothing, that tells me that he also does not know which way to turn, so he does the one natural thing left to do ….. blame others.

Owl: "So should the government run the mills? "

Definitely not. Your last paragraph about Simpson is right on the button. Except for the standard fuzzification catch phrases he hasn't said anything new or important in his comments, which are in line with what he has been saying in the Legislature.

If he truly has all the *real* solutions he may consider applying for a very high paying consultant's position with the forestry companies instead of wasting his time in Victoria in the turbulent and frustrating political arena of the B.C. Provincial Legislature.

He would be doing all of B.C.'s citizens a much appreciated favour, in my opinion.