18 REPORT OF THE No. 3 



The Concessions granted have not been a sufficient incentive to the 

 operators in the high-priced stumpage to proceed with any extensive opera- 

 tions, and in many instances bush operations have been completely discon- 

 tinued by certain companies hitherto constant and efficient operators and 

 revenue producers for the Crown. 



Quite recently a special Committee of the lumbermen interviewed the 

 present Government and submitted their representations, reiterating to a 

 noticeable degree the claims advanced to the late Government, the Committee 

 representing largely the Red and White Pine, Jackpine and Spruce operators, 

 although the Hardwood operators were likewise represented, they having 

 previously sought consideration. 



Their submission contained two outstanding requests towards relief: 



(a) Fifty per cent, reduction in the bonus. 



(b) Fifty per cent, reduction in the Crown dues, with a $5.00 per M feet 

 B.M. minimum in connection with Red and White Pine plus the reduced 

 Crown dues and a Minimum of $3.50 per M feet B.M. including reduced 

 dues for Jackpine and Spruce. 



The Minister has given careful study to the whole question, and is of the 

 opinion that the lumber industry is in a harassed condition and that a real 

 practical attempt should be made towards retrieving it and that reasonable 

 concessions in the way of reductions in prices should be granted. Furthermore, 

 thousands of bush men accustomed to such line of work, who have been thrown 

 out of employment and made subject to relief, should be afforded an opportunity 

 of returning to their line of endeavour and a decided move made in the direc- 

 tion of re-establishing an important revenue for the Crown. 



It will be remembered that last winter several serious strikes took place 

 in the Northern forests due to excessively low wages, coupled with long hours 

 and unsanitary living conditions. There was an intense industrial unrest, 

 and it is proposed to eliminate a repetition of such an unsatisfactory situation 

 by requiring operators to pay fair wages, make reasonable charges for van 

 goods, other supplies and equipment and to comply fully with the regulations 

 of the Department of Health. 



In return for these assurances by the industry, and for the purpose of 

 promoting the forest enterprise in the timber woods as differentiated from 

 the Pulpwood operations, the Government has agreed to a more uniform 

 scale of rates. 



Having regard for the whole situation, the Minister has the honour to 

 recommend to His Honour, the Lieutenant-Governor in Council, that the 

 rates paid on log timber should be subject to the following: 



Crown Dues — (1) A reduction of 50% of Crown dues on Red and White 

 Pine, Jackpine and Spruce that is cut and manufactured into a finished pro- 

 duct in Ontario sawmills. 



Bonus Reductions on Red and White Pine and Spruce — (2) A reduc- 

 tion in the bonus as follows: The minimum bonus for Red and White Pine 

 and Spruce shall be $3,00 per M feet B.M. and no reduction shall obtain in 

 any bonus price covering such types of timber where such bonus price is $3.00 

 per M feet B.M. or less. 



