Co-op refinery gives ‘final offer’ to workers on Day 111 of lockout

The Co-op Refinery Complex (CRC) says it’s presented a “final offer” to the locked out workers of Unifor Local 594. The offer comes after the CRC rejected recommendations made by provincially appointed mediators Vince Ready and Amanda Rogers this past Sunday.

“We do believe the recommendation Vince made got us closer to an agreement,” said Brad Delorey, spokesperson for the CRC.

But the new offer delivered on Wednesday includes a substantial change to the crux of this labour dispute — pensions.

The new offer puts forward a 50-50 split on pension payments between workers and the employer, a drastic change considering workers at the refinery do not pay into their pensions in accordance with past rounds of collective bargaining. The offer says employees would put 9.75 per cent of earnings toward a pension and that would be matched by the employer.

Ready’s report which, in his words offered “significant cost savings” for the CRC, workers were recommended to pay eight per cent of earnings into their pension after two years.

The plan would also see a decrease in the employee savings plan of two-and-a-half per cent with the option to join a performance plan incentive. Also, the new collective agreement would last seven years instead of four.

The CRC accepted adopting the language and provisions of the National Pattern — a set of industry-wide bargaining norms for energy sector employees followed by 46 Unifor locals — including an 11.75-per-cent raise over the first four years of the contract.

Delorey said that in the following three years, raises would reflect the new provisions of the National Pattern after it is renegotiated.

Economic uncertainty and the COVID-19 pandemic are contributing factors in the CRC rejecting the recommendations of Ready, as the company said finding new cost saving measures were vital.

In a letter sent to Local 594 members the union said the company was, “weaponizing the pandemic crisis and using it as a bargaining chip.”

Kevin Bittman, president of Local 594, said workers are also concerned about the pandemic and are themselves facing economic hardship made worse by being locked out for more than three months.

“Our members are under a lot of stress right now and they think that they can pull a few more concessions out of our members. Their offer was insulting,” said Bittman.

What was particularly insulting to Bittman was that after union members voted 98 per cent in favour of the mediators’ recommendations — which already contained concessions — workers were being asked to give up more.

On Friday, when it received the recommendations the union opted to take its members off the picket line for safety and because it was decided there was no reason to reject the recommendations.

Bittman said the recommendations shouldn’t be seen as a jumping off point, but an ultimatum.