The Federal Mediation and Conciliation Service Labour Program October 23-25, 2008 Human Resources and Social Development Canada

2 Constitutional Jurisdictions  Canada has ten provinces and three territories  The Canadian Constitution assigns jurisdiction over certain industries exclusively to the federal government and others to the provincial governments.

3 State of Dispute Resolution  Federal Public Service  Federal Private Sector

4 The Federal Jurisdiction (Public Sector)  250,000 Public Servants  Collective Bargaining Conciliation/Strike or Arbitration  Grievances Mediation Adjudication  Training

5  The Federal Jurisdiction, under the Canada Labour Code, covers the following industries: Inter-provincial and international transport (rail, road, air and maritime) Airports and airlines Telecommunications Broadcasting Banks Government corporations (i.e. Canada Post, Museums…) Industries declared by Parliament to be for the general advantage of Canada or of two or more provinces (e.g. uranium mining, nuclear power, grain handling) Businesses and undertakings in Northern territories and in aboriginal communities The Federal Jurisdiction (Regulated Private Sector)

6 The Federal Jurisdiction (cont’d)  About 1.3 million employees are subject to federal labour legislation (about 10% of all workers)  Approximately 40% of them are unionized  Nearly 1,500 collective agreements have been negotiated under the Canada Labour Code – between 500 and 600 are renegotiated each year

7 Anticipated Turnover: Federal and Provincial Mediators  Anticipated Turnover of Federal and Provincial Mediators over the next 5 years (January December 2010)) Current Number of Mediators \Anticipated turnover in staff Federal 17 \ 13 81% British Columbia3 \ 0 0% Alberta9 \ 4 45% Saskatchewan3 \ 1 33% Manitoba6 \ 4 67% Ontario 31 \ 17 55% Québec 26 \ 9 35% New Brunswick4 \ 1 25% Prince Edward Island3 \ 2 67% Nova Scotia4 \ 2 50% Newfoundland5 \ 3 60% Total 111\5650,4% Source: 2006 Survey of CAALL members

8 Trends  Pension plans: defined benefit v. defined contribution  Magna – CAW Framework of Fairness: union foregoes right to strike to gain representation rights at non-union, major auto parts manufacturer.

9 Trends: (continued) No Mandatory Retirement  NunavutNo mandatory retirement age.  Northwest Terr.No mandatory retirement age.  YukonNo mandatory retirement age.  BCLaw to eliminate mandatory retirement took effect Jan. 1\08.  AlbertaNo mandatory retirement age.  SaskatchewanLaw to eliminate mandatory retirement took effect Nov  ManitobaNo mandatory retirement age.  OntarioLaw to eliminate mandatory retirement took effect Dec. 12\06.  QuebecNo mandatory retirement age.  New BrunswickNo mandatory retirement, but companies allowed to enforce it under "the terms or conditions of any … retirement or pension plan.“  Nova ScotiaThere is mandatory retirement at age 65 if required by the employer. However, law to eliminate it to takes effect July 1\09.  PEINo mandatory retirement age.  NewfoundlandLaw to eliminate mandatory retirement took effect May 26\07.

10 Trends: (continued) Union density  Declining from 34.2% in 1987 to 29.7% in 2008  Far lower among younger employees: 13.3% among workers aged 15 to 24  Decline prevalent in manufacturing sector  Proliferation of temporary and contract employees to replace retiring workforce  Conference Board of Canada Outlook

11 Trends: (continued) Supreme Court of Canada decision in British Columbia Health Services 1. Constitutional protection is extended to the right to free collective bargaining 2. Right includes duty to bargain in good faith 3. Canadian adherence to international agreements (ILO Conventions) further supports that right

12 Global Economic Downswing Air Canada: Group Termination  June 17, 2008: Air Canada announces layoff of 7% of workforce (2000 positions) and closing of Winnipeg and Halifax bases  500 flight attendants declared redundant  August 19, 2008: At JPC’s request, Minister of Labour appoints interest arbitrator  Arbitral award issued on September 14, 2008.

13 Global Economic Downswing  Price of Fuel  Impact on Trucking Industry and others  Impact on demands during Collective Bargaining Process

14 Impact of the Changing Nature of Work  Technological changes in various Industries  New generation of employees  Work life balance