EMPLOYMENT AGREEMENT

         EMPLOYMENT AGREEMENT,  dated as of October 14, 1997 (this "Agreement"),
by and between JTM Industries, Inc. (the "Company") and Jean I. ("Chip") Everest
(the "Executive").

         WHEREAS,  simultaneous  with and effective upon the  acquisition of the
Company by  Industrial  Quality  Services,  Inc.,  a Delaware  corporation  from
Laidlaw,  Inc., the Company  desires to employ the Executive as Chief  Financial
Officer of the Company; and

         WHEREAS,  the Executive  desires to be retained in such capacity on the
terms and conditions set forth herein,  effective upon the  consummation of such
acquisition (the "Commencement Date"), it being understood and acknowledged that
if the  consummation  of the acquisition  shall not occur,  this Agreement shall
have no force or effect.

         NOW,  THEREFORE,  in  consideration  of the  premises  and  the  mutual
agreements made herein, the Company and the Executive agree as follows:

         1. No  Conflict.  The  Executive  represents  to the  Company  that the
execution,  delivery and  performance  by the Executive of this Agreement do not
and shall not conflict with or result in a violation or breach of, or constitute
(with or without  notice or lapse of time or both) a default under any contract,
agreement or understanding, whether oral or written, to which the Executive is a
party or of which the Executive is or should be aware.

         2. Employment;  Duties. The Company shall employ the Executive as Chief
Financial  Officer  for the  "Employment  Period"  as  defined in Section 3. The
Executive,  in his capacity as Chief financial Officer,  shall have such duties,
responsibilities  and authority  normally  incident to such office.  The precise
duties, responsibilities and authority of the Executive may be expanded, limited
or modified,  at any time and from time to time, at the  discretion of the Board
of Directors of the Company (the "Board") or its Chief Executive Officer. During
the Employment  Period,  the Executive shall devote all necessary  working time,
attention,  knowledge and  experience  and give his diligent  effort,  skill and
abilities,  to promote the  business and  interests  of the Company.  Subject to
Section  8,  the  Executive  may  serve  as an  officer  or  director  of,  make
investments in, or otherwise participate in, other entities,  provided that such
service is disclosed in advance to the Board.

         3. Employment Period.  This Agreement shall have a term of three years,
commencing as of the  commencement  Date and ending on the third  anniversary of
the  commencement  Date (the  "Initial  Period"),  unless  sooner  terminated in
accordance  with the  provisions of Section 9. On the  expiration of the Initial
Period  and  on  each  yearly   anniversary   thereof,   this  Agreement   shall
automatically renew for an additional one-year period,  unless sooner terminated
in  accordance  with the  provisions  of  Section 9,  unless the  Company or the
Executive  notifies  the other in  writing  of its  intention  not to renew this
Agreement  not less  than  sixty  (60)  days  prior to such  expiration  date or
anniversary,  as the case may be. The term of this Agreement,  as in effect from
time to time, is referred to herein as the "Employment Period."

         4. Compensation and Benefits.

                  (a)  Base  Compensation.   The  Executive  shall  be  paid  an
aggregate  base  salary (the "Base  Salary") at the rate of $125,000  per annum,
less statutory deductions and withholdings.  The Base Salary shall be payable in
a manner  consistent  with the normal  payroll  practices  of the  Company as in
effect  from time to time.  The Base Salary  shall be  reviewed  annually by the
Compensation Committee of the Board (the "Committee").

                  (b)  Annual  Bonus.  In  addition  to  the  Base  Salary,  the
Executive may be entitled to receive a discretionary  annual bonus for each year
during the Employment  Period based upon such factors as shall be established by
the Committee, at the sole discretion of the Committee.

                  (c)  Employee  Benefits.  The  Executive  shall be entitled to
participate  in each and every  employee  benefit and group  insurance  plan and
program  provided by the Company for its officers and  employees  generally,  in
accordance  with  the  terms of the  applicable  plan  documents  as they may be
amended from time to time,  substantially  consistent with the employee benefits
being  provided to the officers  and/or  employees of the Company as of the date
immediately preceding the effectiveness of this Employment Agreement.

                  (d)  Business   Expense   Reimbursement.   The  Company  shall
reimburse  the Executive for all  reasonable  and necessary  business and travel
expenses  that  the  Executive   incurs  in  connection   with  the  Executive's
performance  of  services  for the Company  hereunder,  in  accordance  with the
reimbursement  policies established by the Company from time to time (which, the
parties hereto acknowledge, shall be consistent with the policies of the Company
as they  relate to business  expense  reimbursement  as of the date  immediately
preceding the effectiveness of this Employment  Agreement),  and shall reimburse
the Executive for the reasonable  expenses associated with the maintenance of an
office in Utah,  provided that such reimbursement shall be limited to $3,000 per
month.

         5.  Confidentiality.  The  Executive  recognizes  that  it  is  in  the
legitimate business interest of the Company to restrict his disclosure or use of
Trade  Secrets  and  Confidential  Information  relating  to the Company and its
direct or indirect  subsidiaries,  parents or  affiliates  for any purpose other
than in connection  with his  performance  of his duties to the Company,  and to
limit  any  potential  appropriation  of such  Trade  Secrets  and  Confidential
Information by the Executive.  The Executive  therefore  agrees that both during
and at all times after the Employment  Period, he shall maintain as confidential
all Trade Secrets and Confidential  Information  relating to the Company and its
direct or indirect  subsidiaries,  parents or  affiliates  heretofore  or in the
future obtained by the Executive. The terms "Trade Secrets" and/or "Confidential
Information"  means matters of a confidential  technical or business nature that
have been  maintained as  confidential  or the  disclosure of which could likely
have an  adverse  effect  upon the  interests  of the  Company  or its direct or
indirect subsidiaries, parents or affiliates.

         6.  Return of  Documents  and  Property.  Upon the  termination  of the
Executive's  employment with the Company, or at any time upon the request of the
Company, the Executive (or his heirs or personal  representatives) shall deliver
to the Company (a) all documents and materials  (including,  without limitation,
computer  files)  containing  Trade  Secrets or other  confidential  Information
relating to the  business and affairs of the Company and its direct and indirect
subsidiaries,  parents or affiliates, and (b) all documents, materials and other
property  (including,  without  limitation,  computer  files)  belonging  to the
Company or its direct or indirect subsidiaries,  parents or affiliates, which in
either case are in the  possession or under the control of the Executive (or his
heirs or personal representatives).

         7.  Discoveries and Works.  All Discoveries and Works made or conceived
by the  Executive  during his  employment  by the  Company,  whether  during the
Employment Period or at any time period thereto,  whether or not on the property
or  premises  of the  Company,  jointly  or with  others,  which  relate  to the
activities  of the  Executive  with  the  Company  or  its  direct  or  indirect
subsidiaries,  parents or affiliates shall be owned by the Company or its direct
or indirect  subsidiaries,  parents or  affiliates.  The term  "Discoveries  and
Works"  includes,  by way of example but without  limitation,  Trade Secrets and
other Confidential Information, patents and patent applications,  trademarks and
trademark  registrations  and  applications,  service  marks  and  service  mark
registrations   and   applications,   trade  names,   copyrights  and  copyright
registrations  and applications.  The Executive shall (a) promptly notify,  make
full  disclosure  to, and execute and delivery any  documents  requested by, the
Company,  as the case may be, to evidence or better assure title to  Discoveries
and Works in the Company, as the case may be, to evidence or better assure title
to  Discoveries  and Works in the  Company,  as the case may be, to  evidence or
better  assure  title to  Discoveries  and Works in the Company or its direct or
indirect subsidiaries,  parents or affiliates, as so requested, (b) renounce any
and all claims,  including  but not limited to claims of ownership  and royalty,
with  respect  to all  Discoveries  and Works and all  other  property  owned or
licensed  by the  Company or its  direct or  indirect  subsidiaries,  parents or
affiliates,  (c) assist the  Company  or its  direct or  indirect  subsidiaries,
parents or affiliates in obtaining or maintaining  for itself at its own expense
United States and foreign patents,  copyrights, trade secret protection or other
protection  of any and all  Discoveries  and Works,  and (d)  promptly  execute,
whether during his employment with the Company or thereafter,  all  applications
or other  endorsements  necessary or appropriate  to maintain  patents and other
rights  for the  Company  or its  direct or  indirect  subsidiaries,  parents or
affiliates  and to protect  the title of the  Company or its direct or  indirect
subsidiaries,  parents  or  affiliates  thereto,  including  but not  limited to
assignments of such patents and other rights.  The Executive  acknowledges  that
all  Discoveries  and Works  shall be  deemed  "works  made for hire"  under the
Copyright Act of 1976, as amended, 17 U.S.C. ss. 101.

         8. Noncompetition and Nonsolicitation.

                  (a) Restrictive Covenant.  The Executive agrees that he shall,
during the Restricted  Period (as defined below),  refrain from, either alone or
in  conjunction  with any other Person,  or directly or  indirectly  through his
present or future affiliates or Associates (as defined below):

                           (i) (except  pursuant to his duties performed for the
Company during the Employment Period) directly or indirectly,  owning, managing,
operating,   joining  or  having  a  financial   interest  in,   controlling  or
participating  in the ownership,  management,  operation or control of, or being
employed as an employee,  agent or the Executive,  or in any other individual or
representative  capacity whatsoever,  or using or permitting his name to be used
in connection with, or lending  assistance  (financial or otherwise) to or being
otherwise connected in any manner with any business or enterprise engaged in the
Restricted  Business (as defined  below) within any portion of the United States
(whether or not such business is physically  located within the United  States);
provided,   however,  that  nothing  contained  herein  shall  be  construed  as
preventing the Executive from engaging in the ownership, purchase and/or sale of
landfills; and

                           (ii) soliciting, inducing, or attempting to influence
any individual who the Executive, after due inquiry, knows is an employee of the
Company or any of its  subsidiaries,  parents or  affiliates to terminate his or
her employment relationship with the Company or such subsidiary or affiliate, or
to become employed by the Executive is employed, or interfering in any other way
with the employment,  or other relationship,  of the Company or such subsidiary,
parent or  affiliate  and any employee  thereof;  provided,  however,  that this
clause (ii) shall not apply as it may relate to R. Stephen Creamer.

                  (b)  Definitions.  As used herein:

                           (i) "Associate" means with respect to any person, any
corporation or other business  organization  of which such person is an officer,
employee or partner or is the beneficial owner,  directly or indirectly,  of ten
percent (10%) or more of any class of equity securities,  any trust or estate in
which such  person has a  substantial  beneficial  interest  or as to which such
person  serves as a trustee or in a similar  capacity and any relative or spouse
of such person, or any relative of such spouse;

                           (ii) "Cause" shall mean (i) the willful and continued
failure of the Executive to follow the lawful  directions of the Board, (ii) any
act of  fraud  or  dishonesty,  misappropriation  or  embezzlement,  or  willful
misconduct  in  connection  with  the  performance  of  the  Executive's  duties
hereunder,  (iii) a material  breach by the Executive of any material  provision
hereof or any of any material  contractual or material legal duty to the Company
(including,  but not limited to, the unauthorized disclosure of Trade Secrets or
other Confidential Information), after written notice thereof from the Board and
a 30-day opportunity to cure in the event that such breach is curable,  (iv) the
conviction  of the  Executive  of a felony or other  crime or offense  involving
moral  turpitude  (including  pleading  guilty or no  contest to such a crime or
offense or a lesser charge which results from plea  bargaining),  whether or not
committed in connection  with the business of the Company,  (v) the  Executive's
alcohol or  substance  abuse or (vi) a material  breach by the  Executive of the
provisions  of any  stockholders  agreement or other  agreement  relating to the
Executive's  acquisition  of any  equity  interest  in the  Company to which the
Executive  may become a party on or after the  Commencement  Date after  written
notice  therefrom the Board and a 30-day  opportunity  to cure in the event that
such breach is curable.

                           (iii) "Good Reason"  shall mean a material  breach by
the Company of any material  provision hereof (after written notice thereof from
the Executive and a 30-day  opportunity to cure in the event that such breach is
curable);  a transfer of the  Executive's  customary  place of  employment  to a
location more than 40 miles from Salt Lake City,  Utah; or a material  change in
the  nature of the  Executive's  duties,  title or  responsibility  without  the
consent of the Executive.

                           (iv)  "Restricted  Business"  means the  provision of
coal  by-product  ("CCB")  management  services,  such as  collection,  removal,
disposal and marketing of fly-ash and other CCBs.

                           (v) "Restricted  Period" means the Employment Period,
and the period  thereafter equal to (i) three years in the case of a termination
of the Employment  Period by the Company with Cause or by the Executive  without
Good Reason,  or (ii) two years in the case of a termination  of the  Employment
Period for any other reason  (including  by reason of  expiration of the term of
the Agreement).

                  (c) Reasonableness of Restrictions. The Executive acknowledges
and agrees that the restrictions set forth in this Section 8, and  specifically,
the period of time  designated as the Restricted  Period and  geographical  area
specified  hereunder,  are  reasonable  in view of the nature of the business in
which the Company is engaged,  and the Executive's  particular  knowledge of the
Company's and its subsidiaries,  parents and affiliates'  respective businesses,
and the Executive  hereby agrees not to challenge in any way, or other otherwise
raise a defense to, the  enforceability  of any of the restrictions set forth in
this Section 8 during the Restricted Period in any manner whatsoever,  including
but not limited to challenging the  reasonableness of the restrictions set forth
herein.

                  (d)  Enforceability  of  Restrictive  Covenants.   It  is  the
understanding  of the  Executive  and the Company  that the  provisions  of this
Section 8 be  enforced  to the  fullest  extent  permissible  under the laws and
policies of each jurisdiction in which  enforcement may be sought,  and that the
unenforceability  (or the  modification  to conform to such laws or policies) of
any provisions of this Section shall not render  unenforceable,  or impair,  the
remainder of the provisions of this Section 8, or of this Agreement.

         9.  Termination.  The  Company  or the  Executive  may  terminate  this
Agreement,  with or without cause, with or without prior notice. In the vent the
Company terminates this Agreement or the Executive resigns from employment,  the
Executive's  rights and the obligations of the Company  hereunder shall cease as
of the effective date of the termination,  including,  without  limitation,  the
right to receive the Base Salary,  any Bonus Award and all other compensation or
benefits provided for in this Agreement,  and the Executive hereby  acknowledges
and agrees that no severance or similar or other damages or payments of any kind
whatsoever  shall be payable to the Executive due to, in connection  with, or in
the event of, the Executive's termination or resignation from employment for any
reason.

         10.  Enforcement.

                  (a) Equitable  Relief.  The Executive  agrees that remedies at
law for any  breach  of threat  of  breach  by him of any of the  provisions  of
Sections 5, 6, 7, and 8 hereof will be inadequate,  and that, in addition to any
other  remedy to which the  Company  may be  entitled  at law or in equity,  the
Company shall be entitled to a temporary or permanent  injunction or injunctions
or temporary  restraining  order or orders to prevent breaches of the provisions
of  Sections  5, 6, 7 and 8 hereof  and to  enforce  specifically  the terms and
provisions  hereof,  in each case without the need to post any security or bond.
Nothing  herein  contained  shall be construed as  prohibiting  the Company from
pursuing,  in  addition,  any other  remedies  available to the Company for such
breach or  threatened  breach.  A waiver  by the  Company  of any  breach of any
provision  hereof  shall not operate or be  construed as a waiver of a breach of
any  other  provision  of this  Agreement  or of any  subsequent  breach  by the
Executive.

                  (b) Enforceability. It is expressly understood and agreed that
although the Company and the Executive  consider the  restrictions  contained in
Sections 5, 6, 7 and 8 hereof to be reasonable for the purpose of preserving the
goodwill,  proprietary rights and going concern value of the Company, if a final
judicial  determination is made by a court having  jurisdiction that the time or
territory or any other  restriction  contained in such Sections 5, 6, 7 and 8 is
an unenforceable  restriction on the Executive's  activities,  the provisions of
such  Sections  5, 6, 7 and 8 shall  not be  rendered  void but  shall be deemed
amended to apply as to such maximum time and  territory and to such other extent
as  such  court  may   judicially   determine  or  indicate  to  be  reasonable.
Alternatively,  if the  court  referred  to above  finds  that  any  restriction
contained  in  Sections  5,  6,  7  or  8  or  any  remedy  provided  herein  is
unenforceable, and such restriction or remedy cannot be amended so as to make it
enforceable,  such  finding  shall not affect the  enforceability  of any of the
restrictions  contained  therein or the  availability  of any other remedy.  The
provisions  of  Sections  5, 6, 7 and 8 shall in no respect  limit or  otherwise
affect the Executive's obligations under other agreements with the Company.

         11.  Assignment.  The rights and  obligations of the parties under this
Agreement  shall not be  assignable  by either  the  Company  or the  Executive,
provided  that this  Agreement is  assignable by the Company to any affiliate of
the Company,  to any successor in interest to any business of the Company, or to
a purchaser  of all or  substantially  all of the assets of any  business of the
Company.

         12.  Notices.  Any notice  required or permitted  under this  Agreement
shall be  deemed  to have  been  effectively  made or given  if in  writing  and
personally  delivered,  mailed properly addressed in a sealed envelope,  postage
prepaid by  certified or  registered  mail,  delivered by a reputable  overnight
delivery  service  or sent by  facsimile.  Unless  otherwise  changed by notice,
notice shall be properly addressed to the Executive if addressed to:

                           Jean I. ("Chip") Everest
                           ECDC Environmental
                           127 South 500 East
                           Suite 675
                           Salt Lake City, Utah 84102
                           Fax:  (801) 536-6111

                           with a copy to:

                           Parsons Behle & Latimer
                           One Utah Center
                           201 South Main Street
                           Suite 1800
                           Salt Lake City, Utah  84111
                           Fax:  (801) 536-6111
                           Attention: J. Gordon Hansen, Esq.

and properly addressed to the Company if addressed to:

                           JTM Industries, Inc.
                           c/o Citicorp Venture Capital, Ltd.
                           399 Park Avenue
                           New York, New York 10043
                           Attention:  Joseph Silvestri
                           Facsimile No:  (212) 888-2940

                           with a copy to:

                           Morgan Lewis & Bockius LLP
                           101 Park Avenue
                           New York, NY 10178
                           Attention:  Philip Werner, Esq.

         IN WITNESS WHEREOF, the parties have executed this Employment Agreement
as of the day and year first above written.

                                 JTM INDUSTRIES, INC.



                                  /s/  unreadable
                                 -------------------------------
                                 By:
                                 Title:

                                 EXECUTIVE

                                 /s/ J. I. Everest
                                 --------------------------------
                                 Jean I. ("Chip") Everest