CROSSFIELD, Alta. – An Alberta lumber company has found an innovative solution to its labour problem and thinks its approach could work for those seeking help on the farm.
Named one of Canada’s 50 best managed companies, Palliser prides itself on offering competitive wages, staff training, family holidays to the tropics and on-site medical care.
“We do a lot of neat things but even with all those things we could never get our workforce beyond 140,” said manager Howie Kroon.
Once a small plant in southeast Calgary with seven employees, a 1996 move to Crossfield saw the business grow to the point where 200 people were needed to fill two shifts a day.
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The company processes lower grade lumber into building grade studs, pallets, fence boards, sawdust and other construction materials. Finding extra labour was the only way to maintain the company’s success.
Staff come from surrounding communities including a few from Calgary about 40 kilometres away. But fewer are coming from Calgary where the local job market snaps up willing workers.
“There are a lot of wonderful concepts out there but how do you attract people where the cities draw them with 15 jobs on offer?
“We feel the labour challenge is a long-term challenge in Alberta and so we wanted to come out with a long-term solution,” Kroon said.
They decided to look at foreign workers.
Palliser’s advantage was the company’s production manager, Ferdie Gamboa, who emigrated from the Philippines 13 years ago. He suggested Palliser look at his hometown of 30,000 to recruit labour. The response was surprising.
“Everybody is pumped up. Over there, even if you have education, the money that you make is not enough to support your family,” said Gamboa.
“We recruited from one small town so they know each other. Doing it that way, they know each other and the boredom is less because they see familiar faces.”
About 50 people began arriving in Canada starting last November when outdoor temperatures dipped to -30 C.
Provided with toques and coats, they were shocked after leaving home with temperatures of 35 C, but everyone quickly adapted.
Their arrival times were staggered so when work visas expire, the entire staff is not lost at once. Ages range from 19 to 50, but most are in their 20s and early 30s. Several older people were hired to act as supervisors.
“We hired three mature people who will play the father figure,” Gamboa said.
The process from initial interviews to arrival took six months, but some major planning was done in that time.
Gamboa and Kroon travelled to the community twice, met families and made donations to local schools and community centres as a show of good faith.
They identified the people they wanted to hire, prepared applications for the embassy and, because they are not allowed to hire independently, used a recruitment agency. Palliser negotiated a special rate with the agency and paid the bill rather than charging the workers.
In addition, Palliser hired a former Canadian ambassador who has experience working with foreign embassies and protocol.
Workers had to be proficient in English for safety reasons at the plant, be in good health, pass a police check and show a willingness to commit to a temporary worker program. Recently the federal government has allowed workers to extend their stay from one to two years.
Upon arrival, Palliser made sure everyone felt welcome.
The company found housing in nearby small towns. Rent is deducted from each worker’s cheque and Palliser pays the landlords directly. Workers get to Palliser in leased vans with each person sharing the cost of fuel.
The first two days were spent getting social insurance numbers, making arrangements with a local bank, setting up health care insurance and plant training.
Gamboa has been the mentor for many of the workers. He is active in the Roman Catholic church so he has introduced the new people to the parish.
There is also a large Filipino community in the Calgary area and workers are helped to connect with it, find churches and join other social activities to curb some of the loneliness foreign workers often feel in a new culture.
Working in the plant, everyone is treated the same, said Palliser employee Bob Murphy. All are paid the same starting wage and as skills improve they are eligible for a higher rate.
“They are very well accepted by the people who work here,” he said.
“Can you imagine people have had to come halfway around the world to find work and we just want to hug them all.”
The experience has been positive so far, although Kroon said some mistakes were made such as trying to bring in people when air fares were high.
A side company, Palliser International has been established to offer a model of best management practices to help other companies interested in streamlined recruitment.
“It has been a wonderful solution to go there and part of the success of it has been driven by the fact we have taken a personal interest in it,” he said.
The workers arrive under the company’s visa and must leave under that same visa. For those interested in becoming permanent residents, Alberta has developed a provincial nominee program. Palliser is already working with the province to see what options are available for people who want to stay.
“The danger that Canada faces, because it is so desperate for people, is that there are many people who are saying they can bring people over, but if you don’t do it right, at some point there is going to be a negative story,” Kroon said.
