June 25, 2008

Labour Relations Amendment Act 2008

Labour unions strike back at Alberta’s Bill 26

RICHARD GILBERT

staff writer

The political battle over the passage of controversial changes to Alberta’s labour laws is heating up.

One union has launched an advertising campaign that aims to fight the Conservative government’s new legislation.

The Alberta government introduced Bill 26 or the Labour Relations Amendment Act 2008 in the afternoon of June 2. After more than eight straight hours of debate, Bill 26 was passed at around 3:15 am on June 5.

“They jammed this by us so quickly that a lot of our members, contractors and the general public were not aware of it,” said Tim Brower, business manager of the International Brotherhood of Electrical Workers (IBEW) 424.

The new bill requires employees in the construction sector to have worked for an employer for 30 days, before participating in a union certification vote. Even when a union earns the right to certify, employees will have 90 days to reconsider their decision to join a union.

In response to this situation, the IBEW is launching an advertising campaign that tells Albertans the law will take away pension and health benefits from workers.

“You work hard, pay your taxes and contribute to pension and health plans your family counts on,” explains the ad.

“The last thing you need is a government that puts your job, pension and benefits at risk. But that’s exactly what the Conservative government has just done.”

According to Brower, the union is running a series of ads up until the end of June on six or seven television stations in Edmonton and Calgary.

Radio ads will also be running at the same time.

The IBEW has an annual budget for advertising and is using some of this money to pay for the Bill 26 campaign.

“This campaign is about raising awareness for our members and the general public that this is just not right. We are not simply going to lie down and let the government bowl us over,” said Brower.

“Bill 26 has not been proclaimed yet, so there is a small window of opportunity for people to put pressure on the government and their MLAs and let them hear the other side of the story. This is not the Merit side of the story.”

A spokesperson for Merit Alberta said he believes that the IBEW advertising campaign is highly misleading and inaccurate.

“I think this is a publicity stunt. The ads include a number of inexactitudes,” said Bill Stewart, vice president of Merit Alberta. “It should have no impact on pensions and health benefits. The only thing the bill is taking away is contributions to MERF funds.”

Market enhancement recovery funds (MERFs) are used by IBEW contractors across Canada to submit more competitive bids for projects in relation to non-union contractors.

Brower said that most non-union electricians are paid about $35 an hour, which does not pay for pensions, benefits or training, while the union is obliged by the collective agreement to contribute $43.

Electrical workers pay a small tax, so union contractors can bid for work with a subsidized bid that covers the $7 difference in pay.

“The union contractors get about 15 per cent of the jobs based on the expertise in bidding, lower material costs or getting the job done faster,” said Brower. “This is not undercutting or predatory.”

When the legislation is passed, union contractors will still be bound by the collective agreement, which will result in a jump in costs.

“Some shops will end up in financial hardship and some will loose work and workers,” said Brower. “This means they won’t get healthcare and pension benefits.”

Stewart does not agree with this analysis of the impact of Bill 26 on the construction industry.

“They’re saying the open shop sector doesn’t pay benefits, but we have the largest multi-employer construction benefits plan in Canada,” he said.

“They’re saying only unionized electrical contractors are reputable. This is just nonsense.”

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