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Builders abuzz about cannabis legalization

Ontario’s residential construction industry is anxiously awaiting tools from the province to help it uphold its workplace health and safety obligations when recreational cannabis becomes legal next year. Further details are expected soon, with information trickling out as the province races to set regulations ahead of the federally imposed deadline of July 1, 2018.

Amid the uncertainty, the Residential Construction Council of Ontario (RESCON) recently co-hosted an event called the Cannabis in Construction Symposium with the Ontario General Contractors Association. The event brought together more than 100 senior executives and health and safety representatives from builders and sub-trades to hear from legal and medical professionals.

“We don’t really have any of the regulations that we need right now to ensure health and safety, to outline clear rights and responsibilities of employers and workers, other than we know you can’t be impaired on a job site,” said Andrew Pariser, vice president at RESCON. “That hasn’t changed, and that’s good news.”

In Ontario’s plans for regulating recreational cannabis, released last month, the Ministry of the Attorney General spelled out that the substance’s use will be prohibited in workplaces as well as in public places and vehicles, among other restrictions.

“The Ministry of Labour has not introduced any new employer health and safety requirements, or requirements for other workplace parties, related to impairment and cannabis legislation,” said Emilie Smith, spokesperson for the Ministry of the Attorney General, via email. “The province will be developing resources to guide employers, labour groups and others as they manage workplace safety issues related to impairment at work through education and awareness initiatives, which will be available in advance of legalization.”

Although the legalization of recreational cannabis may not technically alter the employment and labour law landscape, it is expected to amplify employers’ existing health and safety obligations.

Cultural acceptance clouds impairment issues

The experience in other jurisdictions that have changed their laws to permit recreational cannabis suggests that legalization may culturally normalize the drug. In Colorado, the drug’s use — and related incidents — increased post-legalization, which has Dr. Melissa Snider-Adler, chief medical review officer at DriverCheck, a company that provides workplace drug and alcohol testing, bracing for a similar surge when Canada follows suit.

“There will be more people using marijuana, people do have a feeling that it is not a big deal, [that] it doesn’t cause any problems, and we will see a spike in accidents and morbidity and mortality due to impairment,” she predicted, “which I fear may impact safety-sensitive jobs and work-related accidents that may occur.”

Dr. Snider-Adler, who spoke at the symposium, underscored that, despite misconceptions to the contrary, cannabis has impairing effects — on cognitive abilities, focus, memory and reaction time. And, unlike with heavy alcohol use, which typically comes with clear signs of impairment, including slurred speech and stumbling gait, with cannabis use, the signs of impairment, which can include pungent odour and red eyes, can be subtle.

As it stands, medical authorizations for cannabis have soared in Canada, from slightly less than 500 15 years ago to 200,000 today, since its therapeutic use was legalized in 2001. In the absence of guidelines for medical authorization, some physicians provide it more freely than others, observed Dr. Snider-Adler.

She recommended that employers who become aware of employees with medical authorization consult with their authorizing physician as well as an independent professional with the expertise to evaluate the impact of their specific cannabis use on their ability to safely carry out their specific job. She said the challenge in establishing standards for workplaces is that impairment is influenced by a number of variables, including the potency and quantity of cannabis a person uses, when and how often.

While there is currently no way to test for cannabis impairment, there is a way to test (oral swab) for recent use, within a window of several hours. DriverCheck statistics show that random drug testing by employers, which is more prevalent in the U.S., decreases the incidence of positive test results over time.

Courts rule on random drug testing

Recent high-profile cases have put drug testing on the radar of the residential construction industry.

“The one that we are paying particular attention to is the TTC [Toronto Transit Commission], which has obviously gotten a lot of media attention, and they are doing some random testing there,” said Pariser.

The TTC decided to make random drug and alcohol testing part of its fitness-for-duty policy in the interest of safety, which the Amalgamated Transit Workers Union, Local 113, challenged, claiming it violated human rights. The matter, which is subject to ongoing arbitration, gets at the crux of the challenge employers face.

Employers have a duty to both provide a safe workplace and accommodate people with disabilities, said Diane Laranja, associate at Filion Wakely Thorup Angeletti LLP. Addiction is classified as a disability under human rights law, and employees may use cannabis for medicinal and disability-related purposes, so employers have to exercise some caution in addressing drug and alcohol use in the workplace.

The failure of employers to meet either obligation can come with consequences, Laranja confirmed. Convictions for offences under the Occupational Health & Safety Act carry hefty fines for corporations and possible imprisonment for individuals, and damages for human rights violations can be “substantial,” she said.

A few years ago, the Supreme Court issued an important ruling in a case out of New Brunswick, known as Communications, Energy and Paperworkers Union of Canada, Local 30 v. Irving Pulp and Paper Limited. In the Irving case, the court found that testing must be a proportionate response in light of both legitimate safety concerns and privacy interest, said Laranja. It’s not enough for employees to occupy safety-sensitive positions; there must be known issues with substance use in the workplace to justify the practice.

Definitions for safety-sensitive positions and provisions for drug testing should be detailed in the workplace fitness-for-duty policy, she said.

“Employers must be consulting with medical consultants when they’re drafting their policies to ensure that things like appropriate cut-off levels and appropriate testing methods are being used so that they’re accurate and they’re reliable, and that’s certainly something we’re seeing in current cases,” said Laranja.

Fitness-for-duty policies require update

Some post-incident drug and alcohol testing occurs in the Alberta oil sands, but, for now, the practice remains virtually unheard of in the Ontario construction industry.

“Our desire isn’t to test everyone on site, our desire is just to keep people safe,” said Pariser, “so I think it’s still too early to tell what direction we’re going to go.”

As employers in the residential construction industry await further details of Ontario’s plans to regulate recreational cannabis, there are steps employers can take now.

For example, policies that prohibit “illicit substances” will require an update to capture cannabis after it becomes legal July 1, 2018, as Laranja pointed out. More generally, the employment and labour lawyer added, these policies should establish rules and consequences, as well as identify resources available to employees suffering from addiction.

With the province due to introduce legislation governing the use of recreational cannabis later this fall, RESCON is planning to host another symposium this spring to discuss best practices for the residential construction industry.

Michelle Ervin is the editor of CondoBusiness.

Copper surfaces in fitness centres reduce bacteria, study finds

Using copper-alloy materials in fitness centres significantly reduced concentrations of bacteria on all equipment types, according to a new study published in the American Journal of Infection Control. The study shows that high-touch surfaces in gyms made with copper will maintain reduced bacterial loads, as found in similar studies performed in hospitals. These results could reduce the number of community-acquired infections (CAIs).

Led by Shannon Hinsa-Leasure, associate professor of biology at Grinnell College, the study found significantly fewer bacteria on equipment with copper alloy grips such as dumbbells, barbells, kettlebells, specialty dumbbells, grip attachments, lat pulldown attachments and low row attachments.

“Grip surfaces in athletic centres present an ideal environment for microbes to persist and spread,” said Hinsa-Leasure. “We have shown that copper alloy grips reduce bacterial numbers by 94 per cent over control grips and thereby limit the spread of infectious microbes by reducing exposure to athletes.”

High-touch surfaces throughout a gym can serve as reservoirs for pathogenic microorganisms, including antibiotic-resistant Staphylococcus aureus (MRSA). Though typically found in hospitals, outbreaks of MRSA infections have become more common in athletic centres.

In the U.S., hospital-acquired infections and hospital-onset infections have dropped by 27.7 per cent and 54.2 per cent, respectively, but CAIs have only dropped by five per cent.

With the rise of MRSA and other CAIs in gyms, the use of copper alloy surfaces not only reduce bacterial burden, but also help prevent the spread of infections like MRSA.

MRSA and other pathogens can survive from days to months on dry surfaces, but copper alloy kills a majority of bacteria within two hours. Copper compounds have been used for medicinal purposes for thousands of years, yet copper alloys were just recently recognized by the Environmental Protection Agency as having antimicrobial effectiveness, driving the increased study and use of copper alloy surfaces.

The study was conducted over 16 months at Grinnell College Athletic Center.

“We demonstrated that copper alloys excel at reducing bacteria in the athletic centre environment at rates similar to those found in hospital settings,” said Hinsa-Leasure. “And we found the most common type of bacteria on these surfaces are Staphylococcus.”

 

Photo: Grinnell College students Zina Ibrahim ’17 and Alexandra “Julia” Petrusan ’18 conduct research on the use of copper surfaces to significantly reduce concentrations of bacteria on gym equipment.

How buyer demands are changing in the JanSan industry

Business buyers are increasingly expecting to receive the same user-friendly, personalized omnichannel experiences from B2B organizations that they would get from consumers brands, and the JanSan industry is having to adapt to this change.

A high expectation among today’s buyers is online self-service capabilities. Customers are increasingly taking more control of their buyer journey. In fact, 66 per cent of B2B consumers use desktop and mobile devices to research product information before engaging with a sales representative, and many are avoiding the human element completely.

Online marketplaces like Amazon have been a major catalyst of this change by reshaping customer expectations for user experience, price and delivery speed, and offering one-stop-shop solutions for both business and consumer goods. Adding fuel to the fire, other major players have invested significant resources in building their online presence, further bolstering seamless, omnichannel experiences as industry standard in JanSan business products.

Here, Michael Hauck, vice-president of marketing and digital at Essendant, a U.S.-based wholesale distributor of office, technology, janitorial, sanitation, breakroom and industrial products, examines how JanSan business can better meet evolving buyer demands and identify growth opportunities.

What are three ways businesses can meet buyer demands for a more B2C experience?

Meeting buyer demands requires JanSan businesses to build an e-commerce strategy that can service customers wherever and whenever they want. A user-friendly website is critical for driving sales and fostering a loyal customer base, but unfortunately many B2B websites are lacking in quality compared to consumer retail sites. Some businesses are lacking an online presence altogether. With a strategic e-commerce presence, JanSan businesses can cater to the modern on-the-go customers who prefer to quickly browse online rather than meet with a sales representative. Additionally, an e-commerce strategy provides businesses with the capabilities necessary to target customers outside of their local network, helping attract new customers and tap into new geographies.

Along those same lines, JanSan businesses must then create a quality online customer experience by offering optimized digital product content, such as images, product descriptions and customer reviews. With buyers increasingly expecting self-service capabilities, this is critical for helping them find products easily and have all the necessary information to make an informed purchase on their own. However, many businesses are struggling with incomplete or inaccurate product images and product descriptions, resulting in consumers losing confidence in the products or brand, and leaving the site without making a purchase. To overcome this challenge, businesses should implement strategies and services to update product content, improve search terms and increase the number of customer ratings and reviews on their sites.

Finally, JanSan businesses must develop processes for delivering superior customer service. While making the digital transition, it’s important to maintain the personalized, familiar relationships built in face-to-face sales interactions. However, instead of shying away from technology, businesses can strike a balance by embracing it as a helpful counterpart to better service customers. By leveraging analytics technology, they can collect, measure and interpret customer data to determine how they’re engaging with the e-commerce site. Armed with these user insights, businesses can see how to improve the shopping experience at every point in the buyer journey from browsing to delivery. This will effectively increase order values and conversions, as well as optimize customer service and boost overall customer satisfaction.

Ideally, in order to achieve all of these objectives, JanSan businesses would hire a marketing and/or e-commerce coordinator. Regardless, it’s critical to have somebody within the organization who is taking responsibility for marketing and digital programs to keep the business accountable for their e-commerce goals.

What is the value of a more B2C-type relationship for JanSan providers?

The gap between B2B and B2C experiences is closing at a rapid pace. Customers expect fast, intuitive and personalized experiences, regardless of the item they’re purchasing. The JanSan providers who offer these experiences will be able to cultivate more personal relationships with their customers, boosting loyalty and, ultimately, sales. With the global B2B e-commerce market expected to reach $1 trillion by 2020, JanSan providers can capitalize on future growth by ensuring their e-commerce strategy is at pace with competition and meets the demands of today’s consumers.

How can JanSan businesses identify growth opportunities amidst such change?

The JanSan industry has been ripe for digital disruption for a while now, and it’s the perfect time to make the transition. JanSan business can take evolving buyer demands as a prime opportunity to update their e-commerce strategies and invest in the right tools to not only be successful today, but innovative tomorrow.

Navigating this transition can be tricky, but they don’t have to do it alone. JanSan businesses should also look for a partner that offers the expertise to help them better engage with their customers, has a breadth of services to manage their various needs and will help build their business to remain competitive in the changing market.

Michael Hauck is the vice-president of marketing and digital at Essendant, a national wholesale distributor of office, technology, janitorial, sanitation, breakroom and industrial products.

 

Precarious work takes toll on hotel housekeepers

The moment Grace became a room attendant in a downtown Toronto hotel, she was happy to find steadier work after immigrating to Canada from the Philippines on a contract nanny job. But she soon became aware of the strenuous tasks her role as a housekeeper entailed: cleaning 16 rooms in an eight-hour shift and the pressure to maintain a high-quality level of cleanliness for every room, some untidy, others left in disarray.

As a single mother, she’d rush to meet her room quota in order to arrive at her son’s daycare on time, and in this rush to balance work and family, her physical wellbeing became less important than completing hours of tedious and repetitive tasks: cleaning shower tiles from top to bottom, removing stains, polishing toilets, vacuuming carpets, scrubbing coffee pots, lifting heavy mattresses—the reason for one of her injuries.

“Housekeeping is the most demanding, physical job in an entire hotel,” says Grace, who prefers not to share her last name. “You’re in the same positions all day long, every day. Bending, reaching, walking, twisting, squatting.”

Her twenty-three year career as a room attendant reflects that of many hotel housekeepers, the majority of whom are immigrant women of visible minorities. The housekeeping industry has a 40 per cent higher injury rate than all service sector workers in Canada. According to the Canadian Centre for Occupational Health & Safety (CCOHS), a housekeeper is estimated to assume 8,000 different body postures every shift. Repetitive motion injuries to the back, neck, shoulders and arms are common.

Added onto this workload is the pressure to appease monthly cleaning audits, which measure how effectively a room is cleaned. Maintaining this level of quality both increases the work and hinders the amount of time a housekeeper needs to complete quotas.

“There’s a certain average for the audit you have to meet,” says Grace. “If you fail, you get stressed.”

Grace and her co-workers have better conditions than most. Their union contract under UNITE HERE Local 75 now limits the workload to 15 rooms and provides better benefits. She can relinquish two to three rooms a day, depending on the situation. At other Toronto hotels, room attendants don’t have these rights and their benefits vary. One of Grace’s friends must clean 19 rooms a day and cannot leave until her quota is fulfilled. Many workers routinely skip breaks, stay late to finish the job and endure physical strain in fear of being replaced.

Current trends in Toronto have also heightened housekeepers’ fears about job security, no matter what hotel they work for. Several hotels are converting into condos, costing thousands of hospitality jobs, while sustainability programs encourage guests to conserve water and energy by forgoing housekeeping, leaving workers without rooms to clean. Many women in the industry see their jobs as disposable. Some are wary to speak up about body strain or anything that could make them appear weak or unable to work.

Those who do are either supported by management or sometimes discounted. According to a recent Oxfam Canada report, which underlined the precarious work of housekeepers at several major hotel chains in Toronto, the workload of room attendants is growing and so are injury rates. As one general manager in Toronto noted in the report, hotel rooms require much more cleaning than they did years ago, while guest expectations have increased. Despite injuries, many continue working in the same job.

“Housekeeping is the heartbeat of the hotel and usually the most underappreciated function.”

One case highlighted in the study is that of Kerry Ann Palmer, a Jamaican immigrant who has been working in a downtown Toronto hotel for four years. Three years ago, she reported a wrist injury to her supervisor who made her continue working without any modifications to her job, despite a doctor’s note in her favour. She now requires a brace at all times.

“These women feel stuck; they’d like to leave, but this is the only experience they have,” says report author Diana Sarosi. “The work is too exhausting and demanding for them to take any courses or additional training. They are so enwrapped in survival, getting enough hours, getting things done. If they don’t have enough hours, then it’s about finding another job for extra income.”

A room attendant’s wellbeing largely depends on the culture of the hotel management, along with the type of programs that are implemented.

Amrita Bhalla, senior HR executive with more than 10 years of experience in the luxury hospitality industry, lecturer at the Ted Rogers School of Hospitality and Tourism at Ryerson University and currently managing director of A.B. Consulting, says the way housekeepers are treated can depend on the management philosophy in a particular hotel.

“The leadership style of the general manager can really set the tone for how they want all their employees to be treated,” says Bhalla. “Housekeepers have such an important job and it’s really important to recognize and celebrate them.”

She says “housekeeping is the heartbeat of the hotel and usually the most underappreciated function.” Room managers should have a close link to their staff and “make sure leadership is quite present” at staff lunches or events. This is one way to help facilitate communication between departments.

“You’re in the same positions all day long, every day. Bending, reaching, walking, twisting, squatting.”

When it comes to occupational health and safety, hotels between six to 12 employees must have a health and safety representative, while hotels above 20 employees are required to have a joint health and safety committee. Many establishments implement programs and even focus groups designed to find ways to avoid injury. But from Grace’s experience, these programs aren’t taught on an ongoing basis, even as new employees come and go. If a housekeeper has an injury, it is communicated to management, but there needs to be more intervention ahead of time.

“Be consistent and educate the workers on how to better use body positions to complete duties,” she suggests. “Because we have a quantity of rooms that have to be finished, the workers rush. They don’t care about the movements and positions, and at the end of the day, there is a lot of pain in their bodies.”

Programs to help housekeepers relieve body strain should include the use of visuals and videos, something Bhalla strongly believes in. She suggests companies get staff involved in the videos, while showing them how to use proper positions. Translating health and safety materials into the top three languages spoken among housekeeping staff is also key. It’s a diverse workforce comprised often of visible minorities where the first language may not be English. Overall, cutting training tends to happen in the short term, but will eventually catch up with managers.

“If you don’t do the right kind of onboarding and orientation for new hires in housekeeping, then it just becomes harder to correct it,” Bhalla cautions. “You’ll possibly have to deal with performance issues that aren’t the fault of new employees because they were never trained.”

Besides improving body postures and using lighter equipment, CCOHS suggests hotels find new approaches, other than strictly ergonomic ones. Options include job rotation where workers move between different tasks, at fixed or irregular periods, and team work to provide greater variety and more evenly distributed muscular work. The whole team is involved in the planning of the work and each team member carries out a set of operations to complete the whole product, allowing the worker to alternate between tasks. It is also important that housekeeping staff be informed about hazards in the workplace, including the risk of injuries to the musculoskeletal system.

Proper training shapes lifting habits, so workers need to adopt practices that reduce fatigue. CCOHS advises doing heavier tasks at the beginning of a work shift, rather than at the end when fatigue is at its maximum. When a person is tired, the risk of injuring a muscle is higher.

Jane Sleeth, senior national consultant at Optimal Performance Consultants says ergonomics training is usually a case by case basis with hotels, but there is a big need for them to become proactive.

“Some hotels have great human resources in place and they regularly ask us to provide training with updates and new topics,” she says. “Others have had our team train, but haven’t followed up. Others ask us for quotes and nothing further occurs.”

Education should be focused on proper body mechanics, work/rest/break schedules and stretches prior to certain tasks, she says. Housekeepers should learn how to self-treat musculoskeletal injuries and know when to visit a physiotherapist or chiropractor. There should also be training on actual case scenarios with feedback on body mechanics and the proper use of equipment to avoid ergonomic exposures.

Many hotel owners embrace employee concerns. Many truly care about the wellbeing of their housekeepers and strive to implement programs that will support their work. They understand that housekeepers are frontline staff who have the power to alter the reputation of a hotel. After the Oxfam report was released, Susie Grynol, president of the Hotel Association of Canada, stated that the study doesn’t “paint an accurate or balanced picture” of the industry in Toronto, and that its members have a number of compliance measures in place to ensure not only high health and safety standards, but also employee satisfaction. Many hotels, she notes, have acquired ergonomically-friendly tools to assist with cleaning.

“Just because rights exist in a jurisdiction, doesn’t mean that everybody in that jurisdiction is treated with all the fairness and dignity that one should expect at work.”

Despite these efforts, the most calls the United Food and Commercial Workers (UFCW Canada) receives are from women working in the hotel industry who feel they need added protection to better negotiate fairer workplace standards. More often than not, the women are new to Canada and come from marginalized communities within large urban centres like Toronto and Vancouver.

“Having rights on the books and being treated fairly at work are not always the same thing,” says Derek Johnstone, special assistant to the national president of UFCW Canada. “Just because rights exist in a jurisdiction, doesn’t mean that everybody in that jurisdiction is treated with all the fairness and dignity that one should expect at work.”

Many operations are franchised, he points out. Owners may operate according to standards, but will run their businesses the way they believe a business should be run, with their values dictating how to communicate with staff.

“Some franchises are, without a doubt, good employers, but you have a lot who are not responsible employers,” he says. “This is the reality — provincial ministries of labour just don’t have the resources to ensure that every employer out there is acting responsibly.”

 

 

VRCA celebrates B.C.’s top contractors

B.C’s top construction contractors were honoured at the 2017 Vancouver Regional Construction Association’s (VRCA) 29th annual Awards of Excellence gala on October 25.

This year’s competition attracted more than 95 entrants and put the spotlight on 50 projects representing approximately $1.1 billion in construction value.

Ledcor Construction took home the top prize for the Tsawwassen Mills Mall in the category of General Contractor over $45 million. The massive and challenging project also earned APEX Granite & Tile and Houle Electric silver Awards of Excellence.

The HUB located at King George Station Phase A: Coast Capital Savings and Langara Science & Technology building were also multiple winners in a number of categories this year.

The VRCA Gold Awards went to 15 winners for their use of special techniques and procedures, new materials and additional artistic or innovative features on their projects. There were nine outstanding achievement awards with Axiom Builders honoured with Member of the Year. A Heritage Award was given to the team behind the restoration work on the Christ Church Cathedral Restoration & Renewal project.

“VRCA’s Awards of Excellence showcase the best of the best,” said Fiona Famulak, president of VRCA. “B.C.’s construction industry is the most progressive in the country and the awards allow us to recognize the collaboration, innovation and professionalism that our members bring to their projects – the complex, state-of-the-art infrastructure that we use every day.”

Look for full coverage of all the winners in the November/December issue of Construction Business.

New station building opens at Oshawa GO Station

The new station building at Oshawa Go Station has officially opened. Although it is already operational, the station building, which is shared with VIA Rail, will be complete in spring 2018, after which time the old station building is set to be demolished.

The new Oshawa Go Station features a modern ticketing counter and waiting area, bigger public restrooms and, once it is complete, a canopy to connect the new station building with VIA Rail’s pedestrian bridge, which will protect passengers from the elements.

The new facility will also include changes to the parking area, bike racks and kiss and ride lot, making it easier for drivers, pedestrians and cyclists to access the station. It is designed to LEED standards for sustainability.

The building cost $14 million to construct, funded by Ontario and VIA Rail, which provided $4.3 million to the project. The upgraded station is part of Ontario’s $21.3 billion transformation of the GO Transit network from a commuter transit system to a regional rapid transit system. Weekly trips across the entire GO rail network are estimated to increase from 1,500 to nearly 6,000 by 2024-25, with electrified trains leaving Oshawa Go Station towards Union Station every 15 minutes.

The province is also reducing the cost of commuting from the Greater Toronto and Hamilton Area. Beginning in July 2018, adult, senior, youth and student commuters will pay a TTC fare of $1.50 when they use a PRESTO card to transfer from GO Transit or the UP Express to the TTC.

“This new station represents the future of public transportation in the region. It is a natural extension of the great collaboration that exists between GO Transit and VIA Rail. By allowing VIA Rail to use its track infrastructure, GO Transit has optimized the use of a precious public asset,” said Yves Desjardins-Siciliano, president and CEO of VIA Rail Canada, in a press release. “Today’s announcement is one more reason for travellers to make the smart choice and leave their cars at home. It’s another example of how by working together, we can build an inclusive economy while reducing the carbon footprint of transportation in Canada.”

Fewer B.C. youth entering construction trades

The proportion of B.C. high school graduates entering the construction trades has dropped, according to a recent report by the B.C. Construction Association (BCCA).

This is the first time the trend has fallen since the association began tracking it four years ago when the ratio of B.C. high school graduates entering construction trades training programs within one year of graduation was estimated at 1/93.

By 2016 that number improved by 35 per cent to 1/69, but this year there has been a slight reversal to 1/70.

“In order to fill the predicted shortage of 14,200 construction tradespeople, 1 in 12 high school graduates need to enter the trades over the next few years” comments Chris Atchison, BCCA president.  “Although the predicted shortage of construction workers has decreased from 30,000, there’s still a significant gap and the demand for skilled workers remains high.”

The main reason for the predicted skilled worker shortage is retirements, with two-thirds of the workforce over the age of 45. The association is estimating that 14,200 construction jobs will go unfilled in the province due to labour shortages by 2026.

There are currently $75.1 billion in construction projects underway, with the value of future projects estimated at $325 billion. The construction workforce has grown by 12 per cent this year, with 6 per cent more companies operating and paying a total of $13.2 billion in construction wages.

Construction remains B.C.’s largest employer in the goods sector, contributing 8.6 per cent of GDP.

A strong economy has seen a steady drop in the youth unemployment rate overall so the construction industry has to be more competitive to attract young people, notes Atchison.

Trends in the construction workforce have a big impact on the provincial economy. For more information on these and other important statistics visit www.bccassn.com/stats/

Government invests in construction of Sudbury arts centre

On October 13, the Honourable Melanie Joly, Minister of Canadian Heritage, announced the federal government was investing a combined $12.5 million to support the construction of Place des Arts du Grand Sudbury.

The cultural infrastructure funding will go towards the construction of the multi-use arts centre in downtown Sudbury, which will be a gathering place for the region’s Franco-Ontarian community, as well as the wider community.

The Place des Arts du Grand Sudbury will feature multiple performance spaces, a contemporary art gallery, three artists’ studios, a rehearsal and training space, workshop spaces, administrative spaces and two community meeting rooms. Residents and Sudbury visitors will be able to find performances, exhibitions, book launches, workshops and community gatherings at the centre.

“Our government knows that investments in arts and culture help build strong communities,” said Minister Joly, in a press release. “We are proud to support Place des Arts du Grand Sudbury, a space that provides access to a range of multi-disciplinary arts and cultural events for the region’s francophone community and the wider Sudbury community, while creating jobs and contributing to the local economy. This investment is part of our government’s commitment to promoting the vitality of official-language minority communities and ensuring that more Canadians have access to cultural institutions.”

The Government of Canada is providing cultural infrastructure funding of $9.5 million through the Canada Cultural Spaces Fund, which supports the improvement of physical conditions for artistic creativity and innovation, as well as the improvement, renovation and construction of arts and heritage facilities, and the acquisition of specialized equipment. The Federal Economic Development Initiative for Northern Ontario (FedNor), the Canadian government’s economic development organization that is working with businesses and community partners for a stronger Northern Ontario, is providing $3 million.

PCL earns top CanBIM Awards for Rocky Ridge

PCL Construction has received two top awards from the Canada BIM Council (CanBIM) for Rocky Ridge Recreation Facility in Calgary. The annual CanBIM Awards recognize companies and/or individuals that demonstrate leadership and innovation through the implementation of technology.

PCL took home both the General Contractor Award and the Best In BIM Award. According to CanBIM, when designers for the Rocky Ridge Recreation Facility pushed the boundaries on design, it resulted in a stunning example of architecture. The challenge for PCL was to take this complex building form and physically build it. With the use of a fully integrated BIM model the team has realized success. The facility is targeted to open to the public on January 15, 2018

The International Award, sponsored by Turner Fleischer Architects, went to Groupe Canam for the Mercedes Benz Stadium in Atlanta, Ga. The Owners Award, sponsored by B+H Architects, was presented to York University for the York University New Student Centre.

The Design & Engineering Award went to Provencher Roy, for the Tour de Montreal and the Technology Award, sponsored by IBI Group, went to Assemble Systems. The Academic Award, sponsored by Global eTraining, went to Dr. Mohammed Delavar for BIM Assisted Design Process Automation for Pre-Engineered Buildings.

Special recognition was given to Ellen Bensky, partner and CEO of Turner Fleischer Architects, for this year’s Professional Achievement Award, which honours a CanBIM member who has made a significant and meaningful contribution to the advancement of BIM and virtual design and construction in Canada.

Achieving quality in roofing installations

In the past, quality control in roofing construction in the past generally consisted of the foreman being an experienced roofer who took pride in his work. These foremen usually had 15 plus years working with hot asphalt, a predominant roofing application at the time and most of the crew had an equal amount of experience. SBS asphalt membrane roofing systems were becoming common as were single ply membranes such as PVC and EPDM. Inspectors were often old roofers that understood how materials performed over time and were able to quickly identify problems with design or workmanship and help resolve them immediately in the field. If the roof didn’t leak, it was a good job!

It’s not that simple anymore. Roofs today are expected to be cost effective, energy efficient, durable, long lasting, environmentally sustainable, safe and aesthetically pleasing… and have documentation to back it up. Today’s roofing designers need to be on the leading edge of product evolution and well versed in all relevant codes and standards. The level of oversight and accountability has increased ten-fold and proper design and quality control throughout the project is paramount to ensure success. Both quality assurance and quality control is needed to create a quality management plan.

The roofing crews have changed significantly. The industry is increasingly dominated by better educated younger workers without the wealth of experience. New materials are introduced to the market regularly and companies are applying numerous roof types. While you might find some highly experienced applicators for certain materials, it is more common to have a “Jack of all Materials”. With litigation risks high and safety being a major factor, today’s foremen are required to provide a far greater level of documentation and oversight than ever before, so are often unable to provide the same level of site supervision as the good old days. Consequently, installers rely on detailed drawings and specifications, manufacturer’s instructions, product specific certification training and third party roof inspections. The need for quality control is greater than ever.

Quality assurance starts with the manufacturers, with factory testing, third party performance verification testing and better installation instructions and training. Manufacturers now provide dedicated technical representatives that assist designers in specifying products correctly and follow that up with quality control in the field on manufacturer warranted projects.

Roofing inspectors and consultants have changed as well. In an increasing number of cases, architects and building envelope engineers are providing roofing consulting services; however they often lack the experience with the installation methods and materials possessed by the traditional “seasoned roofer turned consultant or inspector.” Given the migration to documented quality assurance and code compliance that engineers and architects excel at, the trend is likely to continue and bring quantifiable benefit to the project. That said, it behooves everyone to leverage the knowledge and expertise of the traditional roofing consultants and inspectors that deal with roofing as a primary task.

The quality assurance observers (aka roof inspectors) perform site reviews and generate reports which form the third level of quality control. In the ideal scenario, these are highly experienced roofers or others that have received additional training on the duties of a roof observer (inspector), attend the site on a part time but daily basis and work with the contractor to develop site specific detail solutions in accordance with the design intent.

This collaboration on site has a tremendous impact on the final quality of the installation. There appears to be a trend in the industry to assign junior engineers or technologists to the role of inspecting roofs. While there are benefits to the engagement of these younger professionals in controlling quality, they generally lack hands-on experience and have not formed the ability to effectively resolve issues immediately on site, resulting in lost opportunity to impact quality. Understanding the skills of the roofing consultants and inspectors and ensuring that they match the project complexities is a very important owner responsibility; one size does not fit all.

In addition to building envelope design professionals registered with APEGBC and AIBC, there are organizations such as RCI Inc., that offer the designations of RRO (registered roof observer) and RRC (registered roof consultant). More and more owners and managers are requiring quality control be managed through an established professional. There are ASTM standards for roofing inspections and in our market RCABC Guarantee standards set out additional requirements and recommendations for a prudent frequency of roof inspections. The industry as a whole must understand and work within these guidelines.

The varying levels of experience and skill discussed above, combined with newer materials, insurance costs, liability exposure and the trend of the owners to have all these items quantifiably managed have resulted in a greater need for quality control. While there is a cost associated to providing the appropriate level of consulting and inspection services, the costs associated with leaks, failures, injuries and other deficiencies are typically much greater. These various groups need to work together to achieve a successful project and create a culture of quality now demanded in the industry.

 

Doug Wells, RRO, is the roofing design manager at IRC Building Sciences Group and sits on the board of directors for the RCI Inc., Western Canada Chapter. Doug has been a QAO for more than 10 years with 27 years in the roofing industry.

 

World’s tallest passive towers set for Vancouver

A new proposed project at 1400 Alberni Street will make Vancouver home to the world’s tallest passive house towers. The joint venture development by Landa Global Properties and Asia Standard Americas will feature two condo towers at 48 and 43 storeys. The tallest Passive House in the world is currently a 31-storey high-rise residential building in Bilbao, Spain.

“These types of buildings are the future and we want to be at the cutting edge of that shift,“ says Kevin Cheung, CEO of Landa Global Properties. “While they are more complicated to build, we are looking forward to being pioneers and creating prototypes for a lot of equipment that doesn’t yet exist. We believe we can be leaders in zero emission building development and design and pave the way for other projects like this in future.”

Passive House is a rigorous building standard developed in Germany that significantly improves energy efficiency and comfort, and it reduces a building’s ecological footprint. This standard can be applied to any building type and reduces the amount of energy needed to heat and cool it by almost 90 per cent. As a result they produce very little carbon pollution. It’s why both Vancouver and the Province of B.C. are supportive of these buildings.

“Vancouver is famous for its concrete glass towers but what’s exciting about this announcement is that the city can show the world how to build a high-performance Passive House tower”, says Passive House consultant, Eesmyal Santos-Brault.  “If we can build a tower that still makes money and is good for the environment and doesn’t consume much energy or carbon, that’s a win-win for everybody.”

Designed by New York-based Robert A.M. Stern Architects and Vancouver firm MCM Partnership, the project will feature 450 homes including 129 rental units and a 10,000 square foot daycare. The anticipated completion date is by 2022.

The City of Vancouver is aiming to have all new building produce zero emissions by 2030 and the province is aiming to have all new buildings be net-zero by 2032. While Passive House is the norm in some cities and countries around the world, it’s relatively new to North America, with Metro Vancouver being the home to most of them, including single-family homes, duplexes and low-rise multi-family residential.

“There will be tremendous value for the trades, manufacturers, designers, builders and developers to learn and find innovative solutions to see these towers built to the Passive House standard. And those solutions will translate into better and healthier homes for the families who will occupy them,” says Gil Kelley, general manager of Planning, Urban Design and Sustainability for the City of Vancouver.

Proposed Tarion policy to help protect new home buyers

New home buyers in Ontario will soon have greater deposit protection once a proposed policy and draft regulation from Tarion comes into effect.

Currently, deposits for new non-condominium freehold homes are protected under the Ontario New Home Warranties Plan Act (ONHWPA) up to a maximum of $40,000. Following extensive public feedback last spring, Tarion is proposing to increase deposit protection for non-condominium freehold homes to 10 per cent of the purchase price with a maximum coverage of $100,000 and a minimum coverage of $60,000.

This minimum threshold of $60,000 ensures that all non-condominium freehold homes will have increased coverage under this proposal; meaning that non-condominium freehold homes with a purchase price of under $600,000 will have coverage up to $60,000.

The proposed policy and draft regulation were posted on October 24 on Tarion’s website and on Ontario’s Regulatory Registry for public comment, where it will remain available for 45 days. The new deposit protection coverage is expected to be in place in January 2018.

In addition, if Bill 166, the Strengthening Protection for Ontario Consumers Act, 2017 is passed, then upon Royal Assent the current deposit protection under ONHWPA would be extended to include other payments including those made for upgrades and extras.

Deposits on condominium apartment units are not part of the proposed changes because these units already enjoy significant protection: any deposit amounts are protected by the trust provisions of the Condominium Act, 1998 as well as by coverage under ONHWPA for up to $20,000.

Under ONHWPA, deposit protection levels for non-condominium freehold homes and condominium units were last changed in 2003. However, the Ontario housing market has changed drastically since then due to the increasing price of new homes across the province.

In 2016, Tarion publicly committed to a review of deposit protection for Ontario’s new home buyers. The Ministry of Government and Consumer Services also publicly noted it wished for Tarion to move forward with a review in this current marketplace.

GTA condo prices rose 22.7 per cent in Q3-2017

According to the Toronto Real Estate Board (TREB), Greater Toronto Area condominium units continued average price growth on a year-over-year basis. The average selling price for a unit was $510,206 in Q3-2017, an increase of 22.7 per cent year-over-year to $415,894 in Q3-2016.

“The condominium apartment market segment has exhibited the strongest average rates of price growth since the spring, relative to other major market segments. Competition between buyers remains strong, as listings remain below last year’s very constrained levels,” said Tim Syrianos, TREB president, in a press release.  “Over the past few months, TREB has participated in discussions at various levels of government pointing at developing solutions for the housing supply issue in the GTA. As these discussions continue, it will be important to remember that the condominium apartment market is not immune to a listings shortage.”

“TREB will also be paying close attention to the potential impacts of the new OSFI Guideline B-20 concerning new mortgage rules and underwriting standards, and the possibility of a vacancy tax in the City of Toronto,” continued Syrianos. “We will be asking consumers about their opinion on these initiatives, from the prospective of buying and selling intentions, during our fall polling cycle.”

In the third quarter of 2017, there were 5,684 condominium apartments sold in the GTA, which is down compared to the 7,991 sales reported during the same period last year.

New condominium apartment listings also fell on an annual basis by 10 per cent to 9,845 in Q3-2017, compared to 10,967 in Q3-2016.

“Condominium apartments will likely account for a greater share of home sales as we move forward,” added Jason Mercer, TREB’s director of market analysis. “Consumer polling undertaken for TREB by Ipsos in the spring pointed to increased buying intentions for condominium apartments. With this in mind, it is not surprising that we have continued to see robust price growth, as demand has remained strong relative to available listings.”

Sewer fee increases raise concerns for industry

The Metro Vancouver regional district is set to increase sewer fees for new developments on May 1, 2018. The sudden fee increase, with no phasing period, will impact new housing, commercial and industrial developments, raising concerns from the Greater Vancouver Home Builders’ Association (GVHBA) and the Urban Development Institute (UDI).

“Our industry is prepared to pay its fair share of the infrastructure and amenity costs associated with development growth but these higher fees will impact building cost and affordability.  Their original staff report proposed a three-year phase-in, which would have provided a fixed cost timeline that allows developers to plan accordingly,” says UDI president and CEO Anne McMullin.

Rates for the Fraser area will rise between 214 and 230 per cent and for Vancouver will increase between 82 and 111 per cent, depending on the housing type. On top of that, the industry will see fee increases from various municipalities in the form of Development Cost Levies or Development Cost Charges (DCC) and Community Amenity Contributions (CACs), combined with the anticipated future TransLink DCC.

All these additional costs will need to be passed on and homebuyers will be hit at a time when the region is experiencing a housing supply and affordability crisis.

“The timing of this imposed stack of government charges on new homes couldn’t be worse. More than ever, it’s critical that all levels of government work together and not be at cross-purposes with each other,” said Bob de Wit, CEO GVHBA.

Representing over 1,700 members in the region’s development and construction community, the GVHBA and the UDI sent a joint letter to the Metro Vancouver board chair outlining their concerns with the sudden fee increase and lack of meaningful consultation with industry stakeholders.

Key insurance considerations for building owners

Building owners may tend to overlook some important considerations when securing insurance for a building. As a result, they may find themselves grossly underinsured in the event of a claim. In light of several recent large-scale natural disasters, now is an appropriate time to highlight some of the primary factors that could have a substantial impact on your coverage in the event of a major local natural catastrophe. Here are a few key matters of concern that owners should keep in mind:

Getting an Updated Building Appraisal

Should your building experience a partial or total loss, you do not want to be in a position where there are inadequate funds to repair or reconstruct. In order to ensure that the building is insured at the proper limit, a professional appraisal is required. Only by commissioning an appraisal will you have an accurate assessment of the building replacement value. This value will include current market prices for materials, labour, equipment and any additional costs for complying with current bylaws. It is particularly important to get an updated appraisal after the building has undergone upgrades as it is likely that the value would have changed significantly upon completion.

Reporting the Appropriate Gross Rental Income

A common mistake made by property owners is providing the current rent roll when asked to report gross rental income, or presuming that a one-year timeframe would provide sufficient coverage. The rent roll being provided should actually be a projection of gross rental income two years ahead. Why? If a claim occurs during the policy period and the gross rental income was taken from the time the policy was secured, there is a high chance of underinsurance. At the same time, it is likely there will be a dramatic surge in demand for the services required to repair or replace the asset, leading to longer time requirements than one may initially expect.

Being underinsured could cost you even more than you would expect. Insurers operate on a 100 per cent co-insurance basis when it comes to gross rental income. Co-insurance is one of the least understood insurance concepts but can significantly affect the amount of coverage that is paid out. It is the requirement in your building policy that you insure your property or income stream to an appropriate level. Otherwise, a penalty is applied. Should a partial or total loss occur, and the adjuster finds that the building was underinsured; a penalty of 100 per cent is applied for the discrepancy. As the building owner, you would be responsible for the difference in the gross rental income.

Earthquake Coverage

The possibility of an earthquake affecting the Lower Mainland is a very real threat. Being in the Cascadia Subduction Zone, a subduction quake, as experienced in Chile and Japan, could be devastating. Generally, the only thing you can do is prepare and be ready in the event that an earthquake occurs. There are steps that you can take to minimize the potential for damage to your building, but beyond those preparations, including earthquake insurance as part of your current policy is essential.

It is therefore important to understand how earthquake insurance works. Earthquake insurance covers loss and damage to both your building and fixed improvements due to an earthquake (but your specific policy likely stipulates the timeframe which will constitute one ‘event’). This is very important as you may be responsible for paying a very substantial earthquake deductible. Earthquake insurance carries a separate deductible (the amount you pay should a claim occur) from all of your other insurance. This deductible is affected by many factors, including your location and limits of insurance. Earthquake deductibles are much higher than a standard policy deductible, typically applied as a percentage of insured values (i.e. 10 per cent of insured value with a minimum of $100,000 – If your building is insured for $15,000,000, you would be responsible for a $1,500,000 deductible payment).

Given the enormous cost of repairs and the potential length of time repairs could take following a catastrophic event, planning ahead is essential. Being prepared means not only taking the recommended steps to ensure the safety of all those in your property, but also securing the proper insurance coverage for a quick recovery. Many businesses in affected areas are not able to rebound from losses suffered as a result of large natural disasters. What types and how much coverage you need is something that each individual property owner needs to determine for themselves, with the help of a professional risk advisor.

 

David Green is a client executive, vice president at CMW. He specializes in providing industry-leading insurance and risk solutions to building owners and developers. Contact David Green [email protected] or 604.678.3557 for more information.

 

New anchor tenant for Calgary’s University District

A new 38,000 square foot Save-On-Foods will be the latest addition to Calgary’s University District development plans. It will be Save-On-Food’s sixth store in the city.

Save-On-Foods is joining University District as one of the major anchor tenants and part of the first mixed-used development block within the project. The store will be topped with 288 units of housing built by Gracorp Capital Advisors Ltd.

“We are excited for Save-On-Foods to be a part of University District,” says James Robertson, West Campus Development Trust’s president and CEO. “It is a natural fit and the company shares common principles about lifestyle with our vision for the community.”

The Trust has focused on serving Northwest Calgary with a collaborative, people-first design process, resulting in the master-planned urban community.

Save-On-Foods president Darrell Jones says, “We are excited to start customizing this location for the urban Northwest communities and to be a part of this unique, lively development that goes the extra mile for its future residents. We’re more than a grocery retailer; we want to be considered as a community member and good neighbour.”

Nine additional retailers will be part of the grocery store block, and have been carefully chosen to meet a host of community needs and interests including a neighbourhood coffee shop, specialty restaurant, pet store and wine merchant.

Similar to the University District planning approach, townhalls will be held prior to starting the development to learn what piques residents’ interests and what they are hoping to see in the new grocery store. Dates for the townhalls will be announced in the coming months.

Officials anticipate breaking ground at the end of 2017 and opening in 2020, shortly after residents move in.

Tour des Canadiens team announces third phase

The team behind the Tour des Canadiens and Tour des Canadiens 2 mixed-use residential projects, located adjacent to the Bell Centre, home of the Montreal Canadiens NHL team, has announced a third phase to the residential project.

Cadillac Fairview, Canderel and the Club de hockey Canadien announced the new high-rise tower called TDC3 will be completed in 2021, featuring condominium units and amenities that give it a distinct identity from the other phases of the project.

Common areas and accessible services include a state-of-the-art fitness room, a modern games room, adaptable private party rooms and a sky lounge located on the tower’s highest level, the 55th floor. In addition, “The Club” at TDC3 will offer residents a Mediterranean-inspired indoor pool and outdoor terrace, with views overlooking the new two-acre city park proposed for the Quad Windsor neighbourhood. It will also offer a storage area allowing deliveries to be received without constraints for online purchases and grocery deliveries, which is rare in Montreal condominiums.

TDC3 will be designed to feel like a boutique hotel by accents including a two-storey lobby, spiral staircase, marble counter and fireplace. Residents will have access to a ground level café facing the outdoor Pocket Park and common spaces designed by Montreal-based CAMDI, including an urban Wi-Fi lounge for work or relaxation.

The tower, designed by Page + Steele/IBI Group Architects, jointly with Béïque Legault Thuot Architectes (BLTA), will feature 567 new units in various configurations, ranging from one bedroom to three bedroom and penthouse units, all of which feature open living areas and views of the city. TDC3 will also include 12 townhouses located on the south side of the tower. A new pedestrian bridge will provide a crossing above Saint-Antoine Street from a podium overlooking the entire district, connecting the condo tower to Tour Deloitte, Windsor Station, the Bell Centre and Montreal’s underground network.

Just like the residents of Tour des Canadiens and Tour des Canadiens 2, residents of TDC3 will enjoy the close association between the residential project and the Montreal Canadiens hockey team, including exclusive benefits and access to the team and the Bell Centre, according to the developers.

“TDC3, with its architecture, unique features and unparalleled location, is at the heard of Quad Windsor, and is another important milestone in our journey to create a vibrant community, where people feel connected to the city and to each other,” said Brian Salpeter, senior vice president, development, Eastern Canada portfolio at Cadillac Fairview, in a press release. “The importance of offering a desirable living environment focused on the needs and desires of Montrealers – including commerce, entertainment and residences – in today’s fast past world cannot be understated. This mix, together with respect for the identity of this part of the city and its alignment with Montreal’s Downtown Strategy is a true source of pride for us and for our partners.”