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Appendix C Contract Negotiation Simulation Clean Right Partners Inc. . company and ASU does not contain any language regard- ing contracting out of mergers and acquisition scenarios You will be provided with further information and instruc that may affect bargaining unit members tions regarding the analysis and a possible renewal of the collective agreement provided below between Clean Right Partners Incorporated and the Allied Service Union Issues Arising Under the Collective Canada. The outlined collective agreement has an expiry date listed in this simulation which may be altered by your The union's business agent, union local president and bar Agreement instructor gaining committee began a concerted intra-organizational Background bargaining process with their parent union's business agent and legal counsel, union local leaders and the general Clean Right Partners is an independent, private sector op membership once notice to bargain had been served on the eration located in a major urban centre in your province company. The following priorities for the upcoming round The company was established in 1997 by brothers Michael of bargaining included: and Zack Cummings. The brothers had previously owned a chain of dry cleaning stores which they sold to open Clean FOR THE UNION Right Partners. Their initial clients were two area hospitals Union security-delete Article 1.02(e) and demand and one nursing home. Due to the entrepreneurial spirit of hiring more part-time employees to cover vacation the two brothers, the business grew quickly and over the leaves next two decades has become a major player in health care. industrial uniform and linen cleaning services in the region. Vacation entitlement-increase entitlements-TW weeks (4%) after one year but less than three (3) years: Clean Right Partners was unionized on two occasions first three weeks (6%) after three (3) years' service but less than in 2007, for production and maintenance personnel (a total of 110 full-time and part-time staff represented by SEIU); seven (7) years: Four-weeks (8%) after seven (7) years but then in 2010, by Allied Services Union Canada (ASU) for less than eleven (11 years); and five (5) weeks (10%) after eleven (11) years (Article 11). drivers and loading dock employees a total of 19 full-time and part-time). The company has a small human resources Management rights--eliminate language "who has department with a director, health and safety coordinator, acquired seniority" from current Article 3.01. benefits coordinator, HR assistant and HR clerk receptionist Compensation-increase annual shoe allowance to The HR director handles all union-related matters with the 5175 per year (Article 11.03). support from time-to-time of outside legal counsel. There Compensation-cost-of-living adjustment to be nego- have been two prior collective agreements between ASU tiated in new contract (New). and the company. While the first collective agreement was Hours of work-language guaranteeing minimum # of achieved with the help of mediation after a rather acrimo- nious start, the second round of bargaining proceeded to a hours reporting pay if shift is cancelled. (New). successful conclusion without the threats of either a strike Seniority-reduce probationary period (after which a or a lockout seniority is accumulated) from one hundred and eighty While Clean Right Partners is a major player in the (180) calendar days to sixty (60) calendar days and health care and industrial uniform and linen markets in will have no seniority rights during that period their region, there has been a strong rumour over the (Article 14.02) . last six months of a possible corporate acquisition by a Leaves of absence-add any leave of absence language renowned provincial cleaning and linen service company. into the agreement in keeping with any LOA intro- The Cummings brothers are approaching retirement age yet duced by government through employment standa maintain they are not entertaining any overtures from this or other legislation during the term of the expis or any other potential buyer. Needless to say, union mem- agreement. Negotiate up to ten paid days for any bers throughout the company are somewhat anxious with approved LOA now not paid by employer (New). this situation. The current collective agreement between the Job posting-eliminate second paragraph of Article 17.01. . . . . . 290 . Employee benefits--no action taken on promised Compensation-change safety shoe allowance period employer commitment on long-term disability protect - from 12 to 18 months (Article 11.03). see last sentence in Article 19.01. Sick leave-current accumulation formula but stop Sick leave-increase monthly sick leave credit accu- any "carry-over" or "pay-out" of unused credits from mulation to two days (16 hours) per month and make one year to the next (Article 20). adjustments based on this change to Article 20.01 and 20.02. Another Important Matter FOR THE COMPANY While Clean Right Partners is a major player in the Grievance procedure-introduce language before the health care and industrial uniform and linen markets in reference to Step 1 that articulates the necessity of first their region, there has been a strong rumour over the having a "complaint stage" to allow the affected last six months of a possible corporate acquisition by a employee(s) to discuss the issue with the supervisor in renowned provincial cleaning and linen service corpora- an attempt to resolve the matter. Also suggest time lim- tion. The Cummings brothers are approaching retire- its associated with this process (Article 4-New). ment age yet maintain they are not entertaining any Discipline and discharge--strike out "verbal" from overtures from this or any other potential buyer. Need- first line in Article 5.02. less to say, union members throughout the company are somewhat anxious with this situation. The current col- Employee record-replace time limit for clearing lective agreement between the company and ASU does record from 10 months to 24 months (Article 6.01). not contain any language regarding contracting out or Compensation-change "will" to "may" in Article mergers and acquisition scenarios that may affect bar- 11.02 regarding company payment of parking tickets, gaining unit members. . . Article 4 Grievance Procedure 4.01 The Company and the Union agree that it is the purpose of the grievance proce- dure to amicably and fairly settle any complaints relating to the interpretation, application, administration or alleged violation of this Collective Agreement (here- inafter called a grievance"), without, so far as possible, resorting to arbitration. 4.02 Step One Any grievance of an employee shall first be taken up between such employee(s), the applicable Union Steward and the employee's Supervisor, within seven (7) working days of the occurrence. The written decision of the Company shall be returned to the Union within seven (7) working days. 4.03 Step Two Failing settlement under Step One, the matter will be taken to Step Two. Within 14 calendar days, the Steward who attended to Step 1 and the Chief Steward, together with representatives of management for the functional area, will meet to review the grievance. The grievor may choose to be present at this stage of the procedure. The Human Resources Manager or her designate may also be asked to attend at this stage of the procedure. The written decision of the Company shall be returned to the Union within five (5) working days. 4.04 Step Three Failing settlement under Step Two, the matter will be taken to Step Three. The Union designates shall be the Business Agent and the Union Local President. The Company's designates shall be senior management representative for the func- tional area, or his designate, and the Human Resources Manager. The grievance may be resolved by agreement and the decision shall be final and binding. This meeting must be conducted within 30 working days and the grievor and his stew- ard shall be present and will not suffer any loss of wages. 4.05 General Provisions A Union policy grievance or a group grievance which is defined as an alleged viola- tion of this Collective Agreement concerning the Union as such, or all or a su stantial number of employees in the Bargaining Unit, in regard to which individual employee could not grieve may be lodged by an authorized representa- tive of the Union in writing with the Company at Step 3 of the grievance procedure at any time within ten (10) full working days after the circumstances giving rise to such grievance occurred or originated, and if it is not satisfactorily settled it may be processed to arbitration in the same manner and to the same extent as the grievance of an employee. A company policy grievance may be lodged by the Company with the Union in writing at Step 3 of the grievance procedure and if it is not satisfactorily settled, it may be processed to arbitration in the same manner and to the same extent as the grievance of an employee. Extension of Time Limits Any and all-time limits set forth in Article 4 for the taking of action by either party or by an employee may be extended at any time by mutual agreement of the par- ties, which shall be confirmed in writing. 4.06 a) Identify concerns and issues with Article 4 from management's perspective. Grievance Procedure: Article 4 This article contains several concerns and issues from management's perspective and needs to be re-written. 5 marks available for part (a). Marks based on the depth and accuracy of analysis from management's perspective. b) Based on the concerns and issues identified, revise Article 4 so that it better reflects the needs of management 5 marks available for the new language. Marks based on the clarity of the writing, proper formatting, and how well the new language reflects management's perspective. 10 marks total A n