Canadian HR Reporter is the national journal of human resource management. It features the latest workplace news, HR best practices, employment law commentary and tools and tips for employers to get the most out of their workforce.
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CANADIAN HR REPORTER September 4, 2017 26 FEATURES Available Risk-Free for 30 Days Order online: www.carswell.com Call Toll-Free: 1-800-387-5164 In Toronto: 416-609-3800 Has your workplace met all requirements under the new Bill 132? New Edition Pocket Ontario OH&S Act & Regulations 2017 – Consolidated Edition © 2017 Thomson Reuters Canada Limited 00243CP-A86353-CM Your peers rely on this best-selling pocket resource for invaluable guidance on workplace safety law. From preparing job hazard analyses and creating safety training programs to developing anti-harassment policies and performing violence risk assessments – the new 2017 edition of this best-selling resource will help your organization meet all your OHSA obligations, including the new requirements under Bill 132. To see what's new, go to www.carswell.com/pocket-ohs eBook available for web browser or download to your desktop, laptop, iPad or Android tablet.* Learn more at carswell.com/proview *eBook not available to trade bookstores, third-party distributors, academic institutions, and students. Order # 987844-65201 $23.95 Softcover approx. 1080 pages March 2017 978-0-7798-7844-4 Also available in French. Call for details. Also available Large format edition with tabs Order # 987846-65201 $23.95 Softcover approx. 780 pages March 2017 978-0-7798-7846-8 Also available Shipping and handling are extra. Price(s) subject to change without notice and subject to applicable taxes LABOUR RELATIONS Are longer-term agreements the new normal? Expense of bargaining, changing economy, precarious work cited as factors By John Dujay O ver the last few years, the length of collec- tive agreements being negotiated has often extended beyond the typical two years to three, four or five — for a variety of reasons. And there are both positives and negatives to this approach, say experts. "From the company's perspective, a longer-term agreement creates labour relations certainty: You don't have to concern yourself with bargaining and possible work disruption for a longer period of time, which makes it a lot easier to operate," says Will Cascadden, a partner at McCarthy Tétrault in Calgary. In a lot of these negotiations, both sides are usually left discuss- ing "incremental improvements" because the fight over what they have negotiated in the past, espe- cially with pensions changing from defined benefit to defined contri- bution plans, is over, says Aaron Ekman, secretary treasurer at the BC Federation of Labour in Vancouver. "It's a reflection of collective agreements being more mature and full of fewer surprises, and the processes to enforce those agree- ments and negotiate disputes in the terms of the agreements are well-established, and so unions might be becoming a little bit more comfortable with longer terms of — as the employer terms it — labour peace." Union versus management e length of term is contingent on many factors, according to Derek Johnstone, special assis- tant to the national president at the United Food and Commer- cial Workers Union (UFCW) in Toronto. "Every negotiation is its own animal, so it really depends on the employer and it depends on the bargaining unit, i.e., the group of workers there. If you've got an older group of workers, you might find they are a little more inclined to look upon a longer deal favour- ably because they may want to se- cure the next five, six years of their lives for a number of reasons," he says. "And if they are not in that po- sition, they may be looking for something a little shorter." Traditionally, unions have asked for briefer lengths because it has worked to their advantage, says Ekman. "In most cases unions will go to a bargaining table with an inten- tion to start out with as short a term as possible. It's not a secret bargaining tack of unions to try to put the employer in the position where they are essentially buying more years," he says. "A union will generally start off with a term of two to three years to the employer and it's up to the employer to try to negotiate addi- tional years. It certainly wasn't a primary factor in determining the term of the agreement because that's a negotiation piece with the employer." Management has generally been the driving force behind pushing for longer deals, accord- ing to Johnstone. "My experience, more often than not, is a longer deal is gener- ally initiated by the employer." But the length of a new deal is not usually placed on the front burner, he says. "Quite frankly, it's usually one of the last ones decided upon by the parties. It's usually one of the last things you sign off on." Cost considerations e expense associated with ne- gotiations may be a contributing factor behind the longer agree- ments, according to Collective Bargaining Trends in Canada, 1984-2014 by Employment and Social Development Canada. e report found the length of collec- tive agreements has doubled since 1984, with the average duration of contracts being 19.6 months in 1984, and 40 months in 2014. In the case of unions, they have to uproot bargaining committee members from the workplace, travel and boarding has to be paid for, and the hiring of lawyers and consultants also comes into play, says Ekman. "If it's not a productive round, it can go for quite a while and get very expensive," he says. "If you go into the community social services sector, sometimes the negotiating process will take so long that the agreement ex- pires before they have signed off on it and they are back at the table again." Because bargaining involves multiple meetings, "bargain- ing itself is usually a time-con- suming, expensive process," says Cascadden. "(Employers) have to allocate significant resources figuring out what the bargaining issues are and what positions you are going to take on those issues." A lot of union locals employ na- tional union members or experts, and those costs have to be borne by the unions, he says. Also, because employees on bargaining commit- tees are not on the job, it affects the employer's productivity. "It's more the certainty (for em- ployers), but the cost is a significant factor," says Cascadden. However, expense hasn't played a direct role in terms of the ECONOMIC > pg. 27 "Bargaining is usually a time- consuming, expensive process."