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Labour demand rises as construction booms: As the building industry booms,

ramifications of growth The expected boom in construction could leave the industry gasping for labourers to keep up with demand. Industry experts predict that more imported labour will be required.

It is estimated that a half a billion dollars worth of construction work is coming on line in the near future, but labour leaders are not convinced there is a real need to import workers, or that employers are being fair to Bermudians.

Construction Association of Bermuda president, Doug Redmond, has predicted that the construction work force "will become an immigration matter''.

An unconvinced Bermuda Industrial Union president, Derrick Burgess, said: "There are Bermudians who want to work in this industry, but the conditions that employers want them to work under are unacceptable.'' Still, Paget Wharton, who has been chairman of the Apprenticeship and Training Council, accepts that because of the number and scope of upcoming projects, there is a good chance imported labour will be needed in the construction industry.

Mr. Redmond, the president of M.R. Construction, said that health and safety will be a primary concern for an industry which must increase the availability of skilled workers.

But he said: "It has been a perennial problem, but I think it will be compounded now, as some of the larger products get close to reality. There are a lot of former construction workers who are no longer available to the industry, for various reasons.

"I think you will see more need to go overseas to get skilled workers.'' Mr. Burgess said: "The union has taken construction workers to a certain level of employment. And it seems like the aim and objective of some construction companies is to take them backward.

"They are outsourcing the work to sub-contract workers, paying them a wage without benefits like health insurance and Government pension. They don't get vacation pay and other benefits they would normally get under the collective bargaining agreement.

"The employers have created this situation by design. I don't blame the recession for the current state of affairs. The employers now get to keep all that money that would be used for vacation pay and other benefits.

"But they are still bidding for the jobs, having calculated in union rates of compensation for the employees. They then have extra money to pocket.

"So I would hope that before any workers are brought in, that the Government would sit down with its social partners, the employers and the unions, to discuss it.

"That's what would be good for the protection of workers, instead of an arbitrary decision to change the policy.'' Assistant Chief Immigration Officer John Payne said: "The construction industry is closed to non-Bermudians, except where there is special expertise required.

"We, in conjunction with other entities, have been looking into the expansion of the construction industry for the last two years. The Minister has not made any changes to current policy. We closed the category during the recession.'' Acting Minister for Labour and Home Affairs, John Barritt, said: "All construction jobs remain in the closed category. In practice, the Minister, however, has been prepared to look sympathetically at requests for certain jobs, such as drywall installers.

"During the recession, Ministry officials met regularly with the Construction Alliance and other construction-related bodies to monitor the needs of the industry.

"But I'm told that these meetings have not taken place during the past year.

Should there be any formal approach, obviously the appropriate officials in the Ministry would sit down and listen, and consider, the representations on their merits.'' Looking at past experiences in construction, Mr. Wharton said: "There is a high probability that imported labour will be needed, based on the current building methods being utilised. So many people in the past have switched careers because of the construction industry's cyclical nature.

"More precise planning would have to be done to keep a steady and measured pace of employment for ongoing construction activity.'' He said that there have not been many people seeking training in construction-related fields, even though much of that training could be had at the Bermuda College.

He said: "I would like to see more people going to the College to qualify for careers in the construction area, including electricians and plumbers.

Construction methods have changed in recent years and have become much more technical. We have to get people trained up for these jobs by getting them signed up for courses. And they don't have to go any further than Bermuda College.'' Among the projects under construction or coming on line are developments planned for Morgan's Point, the ACE/EXEL site, the Waterfront development and the Government middle schools.

The construction industry is emerging from the longest downturn since the Second World War. Beginning in the early 1990s, hundreds of workers were displaced from employment by the loss of confidence resulting from the recession.

Significant construction projects are back in the pipeline, even as work nears completion of the "mega school'' at Prospect.

A 30-year veteran of the local construction industry, Mr. Redmond said: "It's the same the world over, in most of the western countries for construction.

It's cyclical. It goes up and down and people flow in and out. But having a much smaller group, or nucleus of people to draw from, of course, Bermuda feels it a lot quicker and a lot harder.

"The local industry has felt it harder this last time with the recession. It has definitely been a longer period for decreased construction activity.'' Mr. Redmond believes Government's Department of Labour & Training may be helpful in steering more of the required skilled labour to the industry, but was doubtful that required numbers would be found locally.

The Construction Association of Bermuda, which began in the 1960s, was last year incorporated as a company limited by guarantee, after its executives faced the threat of legal action by an architectural firm, in a matter which was eventually settled out of court.

Mr. Redmond said, "There were still legal fees incurred and it was felt that in order to protect the members on the association, incorporation should take place. The incorporation went through last year July.'' MAKING WAY FOR THE NEW -- Workers demolish the old Bermudiana Hotel, which will be replaced by office buildings for insurers ACE and EXEL.