H-2B visa program for Maine

On Tuesday, an op-ed appeared in these pages dealing with the issue of whether the federal government should admit Canadian workers to logging jobs in the Maine woods under the H-2B visa program. This is a long-established program that has been debated repeatedly and intensely. Each time, it has been found to be necessary.

To make a long story short, thereby inadvertently abolishing the H-2B program in Maine for logging, as well as for the hospitality industry. A failure to correct this situation – and promptly – will have serious consequences for Maine communities and workers.

A number of factors have driven down rates paid to logging contractors by the mills in recent years. Recent wood supply difficulties have forced mills to pay much higher delivered wood prices in the past 12 months or so. In my judgment, these prices are not sustainable for the long run.

Several Maine paper mills have made painful downsizings recently. Three (at Millinocket, East Millinocket, and Lincoln) have been idled for long periods and two companies have endured bankruptcy. By the aid of extraordinary measures supported by Gov. John Baldacci, these mills are now in operation, and other cutbacks have been averted. The unavailability of the H-2B workers this season strikes a blow at all that has been accomplished for these mills and communities.

Despite recent improvements in paper markets and prices, the mills remain under pressure, partly due to high wood prices. This does not sound to me like an industry that can boost rates paid to contractors.

Contractors and mills are struggling to continue production without the Canadian workers. Unfortunately, only after it is too late will we know how much of the production shortfall can be offset. I don’t know the answer myself, despite talking to people close to the business. Contractors are making extraordinary efforts to keep operating. They are resourceful people, who have survived hard times. They have been through too much to quit now.

Objective people I respect, who know the Maine woods, tell me that wood flows cannot be sustained without the H-2B workers. If the H-2B program is not quickly restored to its normal operation, mills will begin cutting back production. As this happens, American workers, with some of the best paid jobs in the state, will suffer layoffs and additional uncertainty. Mills that do not even buy from H-2B contractors will suffer as higher prices ripple through the marketplace. How this helps Maine workers and communities is difficult to see.

Unless this tragic situation is remedied promptly, Maine will suffer a blow to business confidence with serious long-term consequences. Investment will flow elsewhere.

I wish I could see a way that Maine contractors could earn a better return on their investment, and their employees take home a better paycheck. But I can promise you one thing: abolishing the H-2B program won’t accomplish these goals.

Lloyd C. Irland is a Maine forestry consultant and author based in Wayne. He co-authored the Pan Atlantic study of the H-2B program done for the Labor Department in 1999.