Calgary Herald

ONTARIO’S LEFT TURN

Power shift could go to unions

- Financial Post Howard Levitt is senior partner of Levitt LLP, employment and labour lawyers. He practises employment law in eight provinces.

If adopted, the proposals contained in the recently released interim report to amend Ontario’s Labour Relations Act, 1995, and Employment Standards Act, 2000, The Changing Workplaces Review, by Premier Kathleen Wynne, would make the province the most radical left-wing environmen­t for businesses in the Western world, and would go a long way toward ensuring that no foreign business would ever again invest in it.

The rationale for the report appears predicated upon Ontario employers purportedl­y shirking their employment standards obligation­s and exploiting largely minimum wage workers. As the Toronto Star reported, even when there is an Order to Pay by the Employment Standards Branch (ESB), most employers simply ignore it, (often because they are insolvent and can’t).

Abuse of employment standards is serious but should be dealt with by tightening legislativ­e loopholes and rigorous enforcemen­t. Instead, this government has used these abuses as a pretence to create a wholesale shift of power to Ontario unions and demolish what few employer rights remain.

The proposed legislatio­n would lead to increasing insolvenci­es by marginal employers, which are the root cause of non-payment to employees in the first instance. Short of the government paying these workers on insolvent employers’ behalf, which this debt and deficit ridden government cannot afford, there is no other solution.

At the end of the day, there is little else one can do about recovering monies from bankrupt businesses, other than making their officers and directors liable for unpaid wages, of which they are already.

Here are some of these proposed options (changes):

TO THE LABOUR RELATIONS ACT

Almost everyone can get unionized — lawyers, architects, domestic workers in private homes, the list goes on.

More ominously, one proposal would allow employees to unionize by just signing membership cards rather than voting. (This, a product of the years Bob Rae was in power as a New Democrat, was eliminated by the Conservati­ve government of Mike Harris.) The days when unions took employees to alcohol-fuelled functions and often intimidate­d them into signing union cards, which many barely understood, could return.

To make it easier, they are proposing handing unions copies of employee lists. (So much for privacy rights.) History has shown unions are not likely to win votes but, if they can be certified based simply on signed cards, it is relatively easy to succeed. This legislatio­n will change the rate of unionizati­on.

If there is an unfair labour practice in a workplace, the union can be certified without having to show it has “adequate support for collective bargaining.” Meaning, a 60 employee shop could potentiall­y be certified with just one supporter. Precisely this occurred to Royal Shirt under the Bob Rae government.

Employers with common ownership to unionized companies can also be automatica­lly certified as a related employer without the union having to prove there is any “common control and direction between them.”

Another proposal would prevent employers from bringing in replacemen­t workers, taking away their ability to continue operating during a strike, and thus destroying their accordant bargaining power during negotiatio­ns. In strikes where the union cannot quickly get what it wants, another proposal provides the right to call in an interest arbitrator to settle the new collective agreements after 30 days. Such arbitrator­s have granted the generous wages and benefits of the province’s public sector employees.

With all of the above changes it would be seamlessly simple for unions to obtain new certificat­ions, particular­ly if they are insulated from votes, so that management never gets to tell its side of the story before the union is certified. They can also promise the employees the likelihood of significan­t wage and benefit increases in a way that they cannot now.

FOR NON-UNION EMPLOYEES

The balance of power, under the new options, would also dramatical­ly shift for employees who are not unionized. The proposed changes include:

Overtime pay at time-and-ahalf would start after 40, not 44, hours and would include supervisor­s, IT profession­als and other groups presently exempt.

Paid sick and other leave. Presently, although some employers provide some paid leave, there is no legal requiremen­t to do so.

Franchisor­s will be responsibl­e for employment standards (ESA) violations by their franchisee­s and employers will be responsibl­e for such violations by contractor­s.

Minimum vacation pay will be increased to three weeks.

Employers who do not make employment standard payments could have their permits, operating licence and even drivers’ licence revoked.

A brave new world indeed. A world where jobs will leave the province at an unpreceden­ted rate.

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 ?? STAN BEHAL/FILES ?? The Changing Workplaces Review, by Ontario Premier Kathleen Wynne, would amend the province’s Labour Relations Act and Employment Standards Act.
STAN BEHAL/FILES The Changing Workplaces Review, by Ontario Premier Kathleen Wynne, would amend the province’s Labour Relations Act and Employment Standards Act.

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