Unionized Workers Reject Agreements as Fight for Wage Increases Continues

Article content

Union workers are increasingly feeling emboldened to reject tentative agreements as they fight to join the ranks of those profiting from the latest wave of wage hikes, experts say.

“It’s pretty clear to me that the number of workers rejecting agreements recommended by their collective bargaining committees is increasing,” said Barry Eidlin, an associate professor of sociology at McGill University.

Article content

Article content

This is a sign that their expectations have risen significantly in recent years, he said, and a symptom of a more militant attitude among unionized workers.

Over the weekend, workers at a Nestle chocolate factory in Toronto went on strike after rejecting a tentative deal with the chocolate maker.

Eamonn Clarke, president of the Unifor local association that represents them, has noted that it is more difficult these days to enforce a tentative agreement from workers.

“We brought good contracts back to the memberships and they rejected them or barely accepted them,” he said.

The cost of living has risen significantly and so have workers’ expectations, Clarke said.

In a typical contract negotiation, a union bargaining team meets with company representatives to hammer out a deal. Once both sides agree to the terms, the union returns this tentative agreement to its members, who must vote to accept it before the agreement is finalized.

In the context of the cost of living crisis, workers are struggling to get ahead

Larry Savage

Rejections have been “few and far between” in recent years, said Larry Savage, a professor in the department of work studies at Brock University.

Article content

Article content

“These days they just seem to be a lot more common as workers struggle to get ahead in the context of the cost of living crisis,” he said, although he noted the government has no data on preliminary votes on a deal.

Inflation is, of course, a major factor in this increased willingness to resist, with Canadians struggling with double-digit inflation compared to a few years ago.

But there is also a tighter labor market that is giving workers more power, the pandemic is shining a light on “dramatic inequalities” and a decades-long trend of employers holding the upper hand that has led to a decline in wages and good jobs, he said Eidlin.

“These things have all contributed to a rise in union militancy,” Savage agreed. “And I think you see that this militancy is reflected in strikes, but also in rejected tentative agreements.”

There is also what Eidlin calls the “demonstration effect.” The fact that other high-profile rejections and strikes are coming to fruition – like last year at Metro Inc., longshoremen in British Columbia and Quebec civil servants – shows workers that saying “no” to a deal is a realistic option to say that they don’t think it’s good enough, he said.

Article content

“I think that the confluence of these things has created the situation that we find ourselves in now and has raised workers’ expectations, but also led them to be willing to fight to meet those increased expectations Eidlin said.

All of these things have contributed to an increase in union militancy

Larry Savage

In the past, when workers rejected an agreement, it was usually because they wanted to reject a bad deal, Eidlin said. But these days, employees reject offers that are significantly better than the previous ones because they don’t think they’re good enough.

Employers don’t seem to fully understand how high employee expectations are, Clarke said. They present better offers than before and are surprised when those offers are still rejected.

“Some companies have been drastically underpaying their employees, you know, and now it’s time to catch up.”

But it’s not just about wages – Clarke said Nestlé workers are fighting for greater job security and performance equity.

Another recent example comes from Airbus Canada employees in Mirabel, Que., who rejected three offers before finally accepting a deal.

Employees’ rejection of a seemingly good deal can come as a surprise not only to the employer but also to the union, Savage said. An overwhelming majority in favor of rejecting a deal could encourage a union to fight for more, while a narrower rejection could weaken its bargaining position, he said.

Article content

“I think unions are strategically trying to deal with the failed ratifications by turning them into opportunities to bring members together, mobilize and increase pressure on the employer through a strike,” Savage said.

Although there is no government data on votes on tentative agreements, available data suggests increased levels of union militancy in 2023, Eidlin said.

In 2023, the number of days not worked – depending on the number of striking workers and the duration of the strike – was more than 6.5 million. That’s up from less than two million a year and, in some cases, less than a million in the nine years leading up to 2023.

Article content