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HomeMy WebLinkAboutUnion 84-08-31 Decision ',. . .' - ' ~" :3 tI s l' - IN THE MATTER OF AN ARBITRATION UNDER THE CROWN EHPLOYEES t COLLECTIVE BARGAINING ACT BETWEEN: 8 The Crown in Right of Ontario as represented by the Management Board of Cabinet A ~ +, "1 - and - The Onta~io Public Service Employees' Union Before: David H. Kates. Chairman S. Lewis. Union Nominee P. Coupey. Employe~ Nominee Appe arances : For the Un1on: A. Bekerrnan and others For the Employer; W.J. Gorchlnsky and others Heard in Toronto, Ontario, on July 5, 1984. - ---. ,~ ~- 4'3 - - ,. AWARD This mat~er comes before this Board as a ~esult of the parties' failu~e to re.ach a 'Wage settlement during their negcti- atiops. On the parties' agreement this Board's ma~date is to !':.x a wage rate for a one year period effective January 1. 1984. The parties in both their written and oral submissions have j oine d iSE ue on the two principal i terns separating them from a wage settlemen~. 'Ihey t"elate to the following: (i) The validity of the trade union's assertion that the CorrectiCJ'lal Or1'i cer 2 (C02) rate of pay should be pegged to the rate of' pay of art ,ontario Provincial Police Constable. First Class (opp); and. (11) The impact of The Pub lie' Se ctol" Pri cas and C~ensation Review Act. 19~3 (Bill 111) on the determInation of an appropriate wage rate. / Before embarking on an elaboration of these two issues it is helpful to point out from the outset that, except for the impact of Bill IllJ the evidence and submissions put forward in these proceed1.ngs were substantially the same as advanced before a similarly constituted Arbitration Board that deterwined the wage rate for COI'I'ecti.cnalofficers for the year January It 1982 through De cember 31. 1982 (hereinafter referl"ed to as "The Kruger award"). In that award the Board g~anted a 15.$% salary increase for that one year period.. In reviewing the Kruger award, it appeared to be the verdict of the Board to fix its wage settlement on the basis.of three principal factors: i) COI'I'E\cticnal officers perform their duties f.:.;ndel" very " trying circums tances II and deserve to "have S Drne re cogni tion of this in their wages; 2) The acceptance of the legitimacy of a "link" between the wages of Correctional Officers and OPP Constables and the validity of the trade union's claim 1'or narrowing the wage gap between the two groups; and - 2 - . L 4) tit 3) 'The favourable "impression" given the trade union's argumen t that wages for Corre ctional Office rs in Ont ario have lagged ,"far behindll those paid to federal employees perforrr~ng similar duties. I t is 1mportan t to note wi th respe ct to item (2) that the Board' appeared to accept the "legitimacy" of the link for pay purposes be tween the Correctional Officer 2 and the OP? Cons tab le but nonetheless recoiled from extending its full endorsement to the validi ty of the trade union IS l! comparabi J..i ty II s ubrnission. I note for the record Mr. Coupey's disSociation from this aspect of the Board award. In this re gard the "Kruger" 30ard wr1 tes : As to the matter of a link between the wages of Correctional Officers and OFF Constables, We were not given sufficient evidence to ~esolve this issue. In particular we heard Tl ttle about the tasks of the OFP Cons tab le. However, we note that responsib le officials or the Ontario Government, including the current Minister of Carre ctional Services End his pre de cess or. have accepted the legitimacy of sllch a link and have indicated support for narrowing the wage gap between the t1'lO groups. ~ha.sis added Accordingl~ in an effort to correct the evidentiary gap that was lacking before the "KrugerTl Board the trade union's officials have prepa~d tor our consideration a cOffiparative job evaluation analysis for pay purposes between the Correctional officer (2) and the OPP Constable in light of the criteria set out in "Aiken's Scale", On the basis of the d.ata that emerged f:rom that study the" trade unen Sou.g11t to persuade U5 to close what appears to be the e~r- widening wage gap between the two groups. In the trade union's brief the results of its study and the consE',:'~ent wage demand f'or the year under consideration 1s expressed 2S follows (at p. 69): ~ 3 - - - Our job evaluation indicates a 10.6 percent difference 1n total points 'Which f"avouI's OFF Constab le. Firs t Class. While there is a difference of 10.6 percentage points~ in rating there is a difference of 24.5 percentage points in salary. To come within 10 percentage points~ the union request will require an increase of 14.6%. Notwithstanding the absence of" any disavOW21 since the Kruger Board's award of the past statements rr.ade in support of the comparability principle by lIresponsible" officials of the Ontario . Gover:'lrnent. the employer before this Board has contested the va li d1 ty of any such wage link. Indee d. the e mp layer t S represen ta- tives appeared to be highly" critical"of the pronounced legitimacy of the wage link between the ~wo gro.ups as expressed 'in the "KrugerTl award and the antecedent st1.ldles~ pa:r>ticularly the nShapiro Repo:.-'tl1 that were cited in s!;pport thereof. Accordingly~ the emp loyer' 5 position> in ligh t of Bi 11 111. was that a wage increase to t.'1e C~ctional Officers should be limited to 3.9% and, in any event> should not exceed the Provincial gd.deline of 5%. At the hearir.g the Board, without questioning the integrity at' the trade tl..'"llon's comparative job evaluation study, indicated that we could not give that study any evidentiary weight. Qui te c lear1y I the document can only be viewe d as an analysis that dlvicusly could be ccnst1"'\.ed for better or for worse as satisfying a pTed:::ter.rined purpose. We have noted that th:! tracE U1io..i. appea:red to accept our ccncem and offere d to arrange. for> at the parties v expense. "the preparation of an independents tudy ";'n order to res 01 ve the "comparability" issue lIonce and for allll. We have seriously con- sidered that . overture but have concluded that such recou:-se would be 1rr.practical in the light of our being seized of determining a wage - ~ .. - -- dispute for a one year period expiring on Decerrber 31. 1984. Indeed. the parties presently appear to be on the threshold of to bargain with respect to the next year's w~ge. In sum, the Board has concluded that it is in no better and in no worse a position than the "Kruger Boardll was in when seized of an i dent1 cal wage dispute. That is to S2:.Y. base d on pre vi ous pro- nouncements we have concluded that although there appears to be legitimacy to establishing a link b~tween the two groups for wage purposes. 1 ts velidi ty sti 11 remains to be subs tan tia te d by appropriate evidence.' In dealing with the parties I ~ub1Tissions on Bill 111 ~d mo:oe pa.rtie ularly. its impa.ct on our de al1ng wi th the parties' wage dispute. the BO~rd prefers the statements ffi2de with respect to an Arbitration B02.!'d!s obligations I.l.nder that enactment in Be Brucefield Mano~ Ltd. and Christian Labour Association or Canada (Knopf) than these made in Re Thirty Particiuating Hos~itals and Canadian Union cf Qperating Engineers 2nd Its Participatin~ Locals (Barton). ....That is to say. the Board views its obligation in reaching a conclusion with respect to wages, to consider the employe::-'s abili.ty to pay a"1o the Province's stated guideline of 11m1t.ing wage increases to 5% in a balance perspective with the equally important criteria contained in Section 12(2) of The Crown Emplo~ees' Collective Bargaining Act. .1980. We do not accep' that the employer's ability to pay should be given g:reater emphasis in the light of these other 'relevant factors in reaching a wage award. 'The ability to pay factor in oUr opinion may only b 'L""'eated as an OVErriding ccnsideratian in relaticn to other releV2nt factors if the evidence supports ~hat notion. To the extent the Board's - j - - - jurisdiction is restricted in our making a wage cetermination we continue to be, governed, by the relevant provisions of the deriv'at1ve statute. Accordingly. if a party establishes a legitimate claim for a substa'i.tial wage increase. irrespective of the employer's ability to pay, the Board's obliga.tion is to discharge the duty for which it hz.s accepted 'res- ponsibility. Moreover, in the event the result arrived at is . deemed offensive to an interested Governmental authority then the appropriate Legislative ferum is available to it in order to remedy the situation. In having regard to the parti~st dispute in this case the I Board has 2.ttempted to balance the proven factors warranting a 1'air wage settlement for Co:-rectlcnz.l Officers as previously expressed in the I1Krugertl award with the realities of the economic cliruate that was- articulated in the employer's brief. It is the objective of this award to achieve in the li~~t of these factors a reasona.bly satisfactory wage settleMent .over a me year period i?t the tern:inatim of which the ca::l:larabiJ.i t;y issue rrdJ be, resolved. 'That is to sey, we continue to be impressed with the tr2de union's claim for a wage increase based on the facto!'s !"e ci ted in the IIKrugertl award and particularly in regard to the unpleasant and adverse working con- di tions Co:rrecticr.al Offl cers are ::oequired to perform their duties. On the other hand, we have allowed, as other Boards have previously ,'acknowledged, for some nloc':ration in the amount of our award in the context of prevailing economic rea'11 ties. In this regard had the trade union established a case for validating the t1comparabl11 tytt of the two wage groups hereinbefore dis cussed. different considerations may very well have applied. upon Correctional Officers. With respect to the trade union's claim fer wage parity ~itt the C02s fer the Observation and Detention Horneworkers and the finalization of this wage settlement We find no merit. These clair are accordingly rejected. Again, for purposes of clarity. the merit increase to which the employee.s a!'e entitled is to be ,?xtend( - 6 - - - We u!'~e the pa!'ties to resolve this pressing issue of comparability on their own during the course of their next negotiations. Failing that. tIle parties should be on notice that that issue ought to be dealt with "once and tor .811" at Arbitration in an appropriate manner. In having regard to the foregoing, it is our conclusion tha t, e ffe ct1 ve January 1. 1984, and for the one year period ! expiring on December 31, 1984. a 7.5% wage increment should be given to all affected employees. For purposes of clarity this award is to be considered independent of any future ceterJ1".inetion with respect to other terms and conqit:!.ons of er.:ployment conferred Supervisors of Juveniles and Correctional Officers we are of the view that such claims. should be held in abeyance until the next round. of negotiations at which time the p:rincipa~ issue of the wage linkage between the C02 a'"l.d OPF Constable should be finally re sol ve d . With respect to the trade ur:.ion's demand that merit incre- ments should not be "costedt! in our wage awa!'d, th.e.t a prernium be paid to bailiffs .....ho oversee federal inmates ana that an interest penalty be imposed upon the employer for any alleged delay in the over and above our. 7.5% general increase but is to be "costed" as part or our award. - 7 - . . - It As agreed to by the parties) the Board' directs that they meet for the purp~se of costing out this award for purposes of its sub~~ssion to the Income Restraint Board in accordance with the requirements of' Bill 111. We shall remain seized. Datet. this ~l ':>tday of August 1984. I concur I dissent AI / 011 "V,~ l}\ David H. a tes "S. Lewis" (see addendurrJ liP. COl1peyll (see dissent) - e ADDENDUM FROM STEPHEN LEWIS It was tempting to contemplate a dissent to this award. My own strong inclination, based on the evidence, was to grant the Correctional Officers an increase of 10 per cent in order to bridge the gap . significantly between Correctional Officers 2 and"O.P.P. Constables. For six years now, since the days of the Shapiro Report, judges, politicians, senior civil servants and arbitrators have been acknowledging that a "link'; does. exist, and that the wage disparity constitutes a continuing injustice. There.must come a time when the injustice is resolved: Correctional Officers cannot be expected to wait forever. However, this arbitral award, in the face of very difficult circumstances, has ~hree ingredients of sufficient strength to mute my passion for dissent. They make of the decision a defensible and important document. First, the wage determination of 7.5%, while clearly less than the union wished, is still a quite respectable increase. Second, the chai~an has dealt with Bill 111 in. appropriate and straightforward terms.' He .I. ,t I ~ e - 2 - e has said what is clearly true: the question of the hemployer's ability to pay in the light of existing provincial fiscal policy" is but one factor among many. When the other factors are more persuasive, they must surely supercede. The strictures of Bill 111 are merely a guideline, and the Provincial Treasurer himself has said repeatedl~ that arbitrators are not bound by the guideline; they are merely bound to consider it. For my own part, I regard Bill Ill' as anathema to the arbitration process. It ?ot only undermines arbitral independence, but it is an attempt to apply a kind of wily statutory coercion to the wages and benefits of public sector workers. It deserves short shrift. This award is useful because it places Eill 111 in context. Third, and perhaps most important, this decision sets the stage for the future. In quite unequivocal terms, the chairman urges the parties to solve the issue of comparability "once and for all". He is, in my opinion, ~ntirely right. .J . e - 3 - e \' I would hope that the government would squarely meet the issue during the course of the next. contractual negotiations. Failing that, however, it is up to the union to take the initiative. I fully recognize that that's what the union felt it was doing in the presentation of its own comparative job evaluation study before this arbitration board. The effort and the documentation were, in truth, impressive; but the problem is that any such material, prepared solely by one side, never carries sufficient weight. If such a stucy cannot be done jointly, then I would sugges~ that what is required is an independent job evaluation appraisal undertaken by an authoritative and recognized group or age~cy. Given the history of the last several years, any future arbitration board would be hard- pressed not to take the results of such an evaluation 5eriously~ For the Correctional Officers there is of course an element of risk. One cannot pre-judge the outcome. But this award, in add~tion.to the wage - 4 e increase for 1984, is simply saying: patience is wearing thin; resolve the festering controversy. - 30 - ,/ '" - e- R~: O.P.S.E.U. and Cro~/Ontario(Managem~nt Board of Cabinet) Dispute Concerning The Correctional Services Wage Ba~aining Cate~or~ The ~jot"ity of the Board haS1,lsed the three issues originally raised in the Kr1Jger aVard to justify the 7.5% yage increase. ~ith respeCt to the first and third iS5~es, the fact that the Correctional Officers may perform their duties under very trying circu~stances and that their wages may be less than those paid to federal employees performing similar duties does not. in wy opinion, constitute good reason for awarding more than the 5% inc~ease that they might otherwise expect, In any event, sufficient recognition of these factors was accorded by Kruger in his a....ard. ~.ith respect to the second issue, that is the legitima.cy of .a. "Link" bet;,;leen the w~ges of Correctional Officers and C.P.P. Constables. the majority of the Board has stated in its a.-...rard that "Its validity remains to be s\Jbstantiated by appropriate evidence". It to. ": is of importance to note that the previous award, uuder Kruee~, came to the same conclusion, and further, 1 stated in my Addend1..lll:l that ''It ;,;las a.pparent throughout the hearing that the Union's claim could not be supported on the basis of either fact. a historical rela.tionship, or as a result of sound job eval1Jation techniq\Jes." The ~ajority of this Board stated that there is not a legitimate link bet~een the Correctional. Officers and O.P.P. Constables ~ages, other than that there exists a "favourab impression'. to the Union's argument. and they failed to provide any substantiation of this as well as the other t~o factors. Furthermore, scant attention ;.;laS given by the majority to the prevailing economic realities, Yhich are significantly different than at the time of the Kruger award. I might not~ that 2nd quarter statistics reported by Labour Canada indicate that settlements without C.O;L.A., have averaged 3.6%. /2 ,~~ t~:;h~ impact of the pUbl~Sector Prices and compenSatio~~Vie~ ~ct. 1983 (Bill 111), 1 might suggest thAt tbe awarded wage increase takes DO recognition ~atsoever of the legislation wHich the majority has successfully ignored. Under the Act, Boards of Arbitration must consider the employer's ability to pay, not in a vacuum, but "in light of e~i$eing provincial fiscal policy", which criteria has been ~5tablished as 5X maxim~. I would have said that it is quite apparent that the Treasurer's criteria is of overiding importance and should only be overcame if some fundamental inequities could be established before the Board. In the Case before us, it is the very failure of the Union to sub- stantiate by appropriate evidence the validity of a link betweeu the Correctional Officers and the Q,P.P. Constables that prevents us from defining such an inequity as might require us to award more than 5%. In conclusion, I would have preferred the approach in Re: 30 Participating Hospitals ar.d Canadian Union of Operatin~ Engineers and Its Participating Locals (Ba.ton). Even more 50, I would have given weight to the legislation above and beyo.nd the Current economic .ealities and 1 would have found no reaso~ for awarding more than 5% in this case. P.R. Coupey August 3D, 1984