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Sawmills/Planing Mills

Industry Code: 25100

Compulsory

This classification involves sawing logs into rough lumber of various imperial and metric dimensions.

Operation Details:

Sawmills vary from one man portable mills to large automated mills employing in excess of 100 personnel. Labour is performed largely by those trained on the job and would include equipment operators, sawyers, scalers and labourers. Large mills will employ mechanics, millwrights, welders, etc.

Logs are trucked to the mill, often weighed, off loaded and then scaled. The size of the mill dictates the complexity of the sawing process. Logs may be trimmed to length, debarked in a variety of debarking machines, and then sawn lengthwise into a "cant" (squared timber). The cant is further reduced into rough lumber by an edger. These processes may be manual in the case of portable mills, or highly automated using conveyers, pickers, and computer/laser guided saws in large mills.

Planing mills often accompany the large sawmill and function as a final cutting process for the lumber. Rough lumber is further reduced into the final product by various types of planing methods, the most common of which is a set of knives attached to a rotating drum. For example, a 2' x 4' becomes 1.5' x 3.5'; however, it is still sold as a 2' x 4'.

Larger mills often operate huge kilns to dry their dressed lumber.

Underwriting Considerations:

In Alberta, it has become common for mill operators to hold the logging rights (generally under Forest Management Agreements - FMA’s) and contract out the harvesting. The mill operators coordinate the harvesting through "woodlands administration" divisions. Woodlands administration refers to forest technicians, foresters and other support staff. Woodlands administration is considered to be a normal function of a mill and when conducted by the mill operator’s own workers, does not require a separate classification. Woodlands administration, when conducted by independent third parties under contract to the mill, will be classified according to the service provided, generally industry 03902, Timber Management.

A mill operator, with its own workers engaged in operating equipment related to the logging or transportation of logs to the mill (stump to dump), will require an additional classification in industry 03100. If a small business is simultaneously cutting timber one day and sawing the next day (usually using the same workers) they are to be classed in industry 03100, Logging/Woodlands operation. If operations are distinctly seasonal, whereby logs are harvested and stockpiled for a period of 3-4 months, for subsequent sawmill operations by the same employer, the employer is eligilbe for a separate classification subject to the requirements of Policy 07-01. Such situations should be referred to the Classification Unit for confirmation of classification and reporting of general and woodlands administration earnings.

This industry encompasses all related activities including: operation of a lumberyard and wholesaling with warehousing.

Various forms of specialized remanufacturing also forms part of this industry. This may involve cutting grooves, bevels, edges, and may include cutting special edges on the boards such as tongue and grooves or ship lap. Remanufacturing lumber to metric sizes for overseas markets is also prevalent in this industry.

The restoration of railway ties and the manufacture of wooden shakes are activities also included in this industry.

When a business is operating a sawmill and also a peeler and pointer, the peeling and pointing is considered to be part of the sawmilling operations.

Premium Rate History:

Activities:

Lumber Mills
Milling Lumber
Planing Mills
Railway Ties - Restoration of
Sawmills

Rate Group History:

The peeling and pointing of posts was placed in this rate group in 1993 and wood preserving operations added in 1996 to recognize the close relationship of these industries with companies involved in more than one industry.

This classification involves sawing logs into rough lumber of various imperial and metric dimensions.

Premium Rate History:

Activities:

Lumber Mills
Milling Lumber
Planing Mills
Railway Ties - Restoration of
Sawmills

Operation Details:

Sawmills vary from one man portable mills to large automated mills employing in excess of 100 personnel. Labour is performed largely by those trained on the job and would include equipment operators, sawyers, scalers and labourers. Large mills will employ mechanics, millwrights, welders, etc.

Logs are trucked to the mill, often weighed, off loaded and then scaled. The size of the mill dictates the complexity of the sawing process. Logs may be trimmed to length, debarked in a variety of debarking machines, and then sawn lengthwise into a "cant" (squared timber). The cant is further reduced into rough lumber by an edger. These processes may be manual in the case of portable mills, or highly automated using conveyers, pickers, and computer/laser guided saws in large mills.

Planing mills often accompany the large sawmill and function as a final cutting process for the lumber. Rough lumber is further reduced into the final product by various types of planing methods, the most common of which is a set of knives attached to a rotating drum. For example, a 2' x 4' becomes 1.5' x 3.5'; however, it is still sold as a 2' x 4'.

Larger mills often operate huge kilns to dry their dressed lumber.

Underwriting Considerations:

In Alberta, it has become common for mill operators to hold the logging rights (generally under Forest Management Agreements - FMA’s) and contract out the harvesting. The mill operators coordinate the harvesting through "woodlands administration" divisions. Woodlands administration refers to forest technicians, foresters and other support staff. Woodlands administration is considered to be a normal function of a mill and when conducted by the mill operator’s own workers, does not require a separate classification. Woodlands administration, when conducted by independent third parties under contract to the mill, will be classified according to the service provided, generally industry 03902, Timber Management.

A mill operator, with its own workers engaged in operating equipment related to the logging or transportation of logs to the mill (stump to dump), will require an additional classification in industry 03100. If a small business is simultaneously cutting timber one day and sawing the next day (usually using the same workers) they are to be classed in industry 03100, Logging/Woodlands operation. If operations are distinctly seasonal, whereby logs are harvested and stockpiled for a period of 3-4 months, for subsequent sawmill operations by the same employer, the employer is eligilbe for a separate classification subject to the requirements of Policy 07-01. Such situations should be referred to the Classification Unit for confirmation of classification and reporting of general and woodlands administration earnings.

This industry encompasses all related activities including: operation of a lumberyard and wholesaling with warehousing.

Various forms of specialized remanufacturing also forms part of this industry. This may involve cutting grooves, bevels, edges, and may include cutting special edges on the boards such as tongue and grooves or ship lap. Remanufacturing lumber to metric sizes for overseas markets is also prevalent in this industry.

The restoration of railway ties and the manufacture of wooden shakes are activities also included in this industry.

When a business is operating a sawmill and also a peeler and pointer, the peeling and pointing is considered to be part of the sawmilling operations.

Rate Group History:

The peeling and pointing of posts was placed in this rate group in 1993 and wood preserving operations added in 1996 to recognize the close relationship of these industries with companies involved in more than one industry.