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14 March, 2022
Dear Member;
I want to thank the entire membership for the valuable feedback and perspectives that were shared from the negotiations survey that went out at the end of 2021. This feedback combined with research and consultation with other IBEW locals and many MFL affiliates, was used to develop a strong list of bargaining proposals.
The IBEW executive met on March 11th to refine and finalize the list of proposals. The negotiating committee will meet with Manitoba Hydro’s bargaining committee to commence the exchange of proposals on March 15-16, and 24th. With the recent lifted restrictions the exchange of proposals, and bargaining, will be done in person. Some of the most important items as identified from the Survey included:
- Increases greater than or equal to the Cost of Living
- Competitive Salaries in the Utility Sector
- Recognition for Front Line contributions and sacrifice
- COVID days to replenish depleted sick leave credits
- Job security, Pensions, and limiting costly contracting out
- Competitive Meal and Travel Rates
- Improved benefits and accessibility
- Competitive Standby and shift Premiums
As some of you may well know, all of the other bargaining groups have been without a contract since Jan 1/2021, with the exception of AMHSSE, who recently ratified their tentative agreement by a narrow margin. The monetary portion of their recent settlement includes a paygrade adjustment, that was added on to catch up with IBEW paygrades which have seen slightly larger increases over the last few years
- 2021 – 0%
- 2022 – 1.25% ( plus .5 Pay grade adjustment) = 1.75%
- 2023 – 1.25% ( plus .5 Pay grade adjustment) = 1.75%
- 2024 – 1.5% ( plus .5 Pay grade adjustment) = 2.0 %
- 2025 – 2.0% ( plus .5 Pay grade adjustment) = 2.5%
Looking at the offer it may appear that 8% over 5 years is ok, but one must remember the cost of living in 2021, for Manitoba, had been determined at a whopping 3.3% (which is what teachers received). The Canada inflation rate accelerated to 5.1% in January 2022, (the highest since September 1991), and the forecast is dismal with expectations to see inflation averaging 3.4% (or higher) for 2022. If we assume a combined inflation of 6.8% (optimistic) for 2021 and 2022 there is only 1.2% to ride out the last 3 years of a 5-year contract.
One really has to consider the consequences of inflation and the impact it will have today, but also down the road. During the last round of bargaining we shared how important it is to avoid taking a ZERO in the first year of a contract when considering the impact of compounding interest!
Taking a zero in year 1 is terrible in the long run and I’ll break it down up to year 5. Based on $100,000 yr. earnings (whether it is at OT or regular pay doesn’t matter). Offer 1 AMHSSE’s offer will show 8% over 5 years compared to comparison offer of 7.3% over the same period that outperforms considerably!
- First Model is what AMHSSE has been offered 8% (0, 1.75, 1.75, 2.2.5) = $ 519,123 total earnings and a salary in the last year of $105,601
- Comparison Offer – 7.3% (3.3, 1,1,1,1) = $ 526,934 ($7811 more) total earnings and a salary in the last year of 106,430 ($829 more). This will also represent a starting point in 2025 that will be .78% higher and benefit every year going forward. Manitoba Hydro does not want you to know the math…but we will show you the math!
The IBEW bargaining committee has and will continue to be committed to achieving the best possible result for our membership. As observed through the last round of negotiations, the corporation may attempt to divide the membership by communicating the negotiation process through means like Mpower. The messages to all employees painting 0%, 0%, .75%, 1% “as a fair deal” have been described by many members to be coercive or intimidating. We will do our absolute best to share as much information with the membership as we possibly can, understanding that most of our communications “like these” end up in the view of Hydro’s bargaining committee within hours, so tactically we can be disadvantaged on occasion if we share “too many” details. However. the decision to accept an offer or send us back to the table to continue to negotiate a better offer will always remain with the membership through a democratic process.
On a positive note, the extreme amount of snow across Manitoba, Saskatchewan, Northern Ontario, and NorSh Dakota will go a long way to alleviate concerns about a drought. We are confident that Manitoba Hydro will have an abundance of Hydro generated electricity to sell both domestically and with our partners East, West, and south.
Thank you for your support!
In solidarity,
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