Right To Work, Mr. Hudak and Unions

With the passage of legislation in Michigan to make it a so-called “right to work” state, PC leader Tim Hudak and several of his caucus have jumped on the idea of doing the same here. It’s a grand sounding concept. It infers that people have a right to work in Ontario but are somehow being […]

With the passage of legislation in Michigan to make it a so-called “right to work” state, PC leader Tim Hudak and several of his caucus have jumped on the idea of doing the same here.

It’s a grand sounding concept.

It infers that people have a right to work in Ontario but are somehow being denied that right.

The concept, in reality, is much different.

Actually, “right to work” is an American idea, affirmed in the 1947 Taft-Hartley Act that amended the National Labor (sic) Relations Act.

It allows employees in a unionized workplace to choose to forego paying union dues, yet still get the wages and the benefits derived from the collective bargaining agreements bargained by the union.  In other words, they can get the benefits even though they are not paying the costs.

Unions call them “free riders.”

The political right supports “right to work” (RTW) legislation because companies do not want to deal with unions, nor favour paying the higher wages and benefits they win.

The right believes, correctly, that if union dues are voluntary, many people will stop paying them (why pay for what you can get for free?) thus cutting off union resources so they cannot bargain or organize effectively. Union membership will drop, further weakening unions.

And in fact, in the U.S., all of this is exactly what has happened.

Mr. Hudak has a problem here in Canada, however: the so-called “Rand Formula” in Ontario, a compromise ruling by Justice Ivan Rand in1946.

Contrary to what some uninformed PC’s have been telling people, the Rand Formula does not force anyone to belong to a union.

It does however say that someone who benefits from wage increases and benefits derived from a union, such as collective bargaining, they must pay union dues – the opposite of the Taft-Hartley Act.

Hence, if you go to work in a unionized workplace where you necessarily benefit from the wages and benefits negotiated by the union for you, you must pay union dues.

In other words, Justice Rand said there should be no “free riders.”

This is what Mr. Hudak wants changed.

Mr. Hudak says this will mean more prosperity for “hard-working families,” who will be able to keep more of their pay in their own pockets rather than pay union dues.

He is also demanding that salaries of union staff and elected leaders be made public, along with any monies they spend on political activities.

Let’s be absolutely clear here.

Unions are democratic organizations that come to represent employees in a workplace only after a majority of employees have voted in favour of joining.

Almost all unions already report the financial information Mr. Hudak is requesting to their members every year. Their members would rise up against them if they didn’t.

Unions are also private organizations, funded with the private dues of their members – just like the conservative-friendly Albany Club in Toronto, the National Citizens’ Coalition, the Canadian Federation of Small Business or the Ontario Taxpayers’ Federation.

They are not public agencies like the LCBO or Ontario Lottery and Gaming.

And though union dues are tax deductible, so are the costs of business entertainment for companies.

Many businesses make tax-deductible political donations.

And most glaring of all, political parties such as the one Mr. Hudak leads are heavily subsidized by public money, as donations are tax-deductible. Yet, taxpayers have no say in their money going to support his party or any other.

Mr. Hudak is not demanding any of these make their finances, nor what they spend on political activities, known publicly.

He is certainly not refusing money from taxpayers who don’t want the taxes they pay going to subsidize donations to his party.

So why is Mr. Hudak asking for special rules and limitations on just one private organization – unions?

It’s easy to deduce.

After the last election in 2011, Mr. Hudak and those around him blamed advertising by the Working Families (WF), a group financed by union funds, for his defeat. (Full disclosure #1: WF advertised on ontarionewswatch.com during the campaign; Full disclosure #2: I also wrote a story decrying the WF ad and those of the Liberals, Tories and NDP for lack of truth in advertising.)

Again, the night the PC’S under his leadership lost the Kitchener-Waterloo by election in what was widely seen as a safe Tory seat (held for 22 years by Elizabeth Witmer,) he blamed “big union money.”

Mr. Hudak thereby attempted to deflect blame away from his leadership for both those losses.

The PC’s took the WF to court several times to have their funding of political causes declared unlawful.  The courts ruled against the Conservatives each time.

And what Mr. Hudak isn’t telling you is that employees – union members, in, for instance the Ontario English Catholic Teachers Association (OECTA) – voted democratically by a 75% margin to use their own money – their dues – to campaign against Mr. Hudak in the 2011 election through supporting the WF.

Contrast that with a PC policy platform voted on by exactly no one in that party before the last election.

Contrast it with the accusations flying in the party that Mr. Hudak and PC party president Richard Ciano deliberately disallowed valid candidates to contest the PC nomination in Brant riding and handpicked Phil Gillies as the PC candidate for the next election instead.

The concern about democracy seems somewhat selective and it’s difficult to not believe there are those around Mr. Hudak who believe it’s “payback time” for the unions.

But back to the “right to work” idea itself for Ontario.

PC deputy leader Christine Elliott  says “right to work” legislation will mean more jobs in Ontario, and higher paying ones to boot.

If that were the case, “right to work” would make perfect sense.

But let’s look at the facts.

In the U.S., counting Michigan’s vote last week, 24 states now have “right to work” legislation on their books.

Hard statistics are difficult to come by, but according to the Economic Policy Institute:

“The effect on the average worker—unionized or not—of working in a right-to-work state is to earn approximately $1,500 less per year than a similar worker in a state without such a law.”

Even the Wall Street Journal says “States that bar mandatory union dues tend towards more jobs but lower wages.”

That may be a choice that Ontarians are willing to make.

But they need to be told the true facts.

Far from “modernizing” labour relations, as Mr. Hudak puts it, he is actually taking them back to the thinking behind the 1947 Taft-Hartley Act in the U.S. and before the Rand Formula decision of 1946 here in Canada.

“Right to work” is just the latest salvo against unions by the PC leader and his campaign team, made up of some of the most prominent members of Mike Harris’ Whiz Kids.

But this group always has always tended to use a whipping boy that they say has it better than everyone else, and shouldn’t.  The aim is to stir resentment and translate that into a vote for Mr. Hudak.

This time it’s unions.

In 1995 it was welfare recipients; in1997 it was teachers; in 2003 it was criminals (remember Ernie Eves in handcuffs with barbed wire?); in 2011 it was putting prisoners on chain gangs and “foreign workers.” This same group has run all the PC campaigns except 2007 since Mike Harris came to office in 1995 and their fingerprints are unmistakable.

Looked at from this perspective, Mr. Hudak’s crusade against unions has nothing to do with “modernizing,” but rather is part of a tired old songbook.

By Susanna Kelley

Read the original article here

Holiday Message from Local 793 Business Manager Mike Gallagher

On behalf of the executive board and officers of Local 793, I would like to wish all union members and their families the very best over the holiday season. Christmas is a time to relax, spend time with family and friends and recharge the batteries. It’s also a time for giving, enjoying good food and […]

On behalf of the executive board and officers of Local 793, I would like to wish all union members and their families the very best over the holiday season.

Christmas is a time to relax, spend time with family and friends and recharge the batteries.

It’s also a time for giving, enjoying good food and reflecting on what’s important in life.

Sometimes we get so wrapped up in our daily routines that we forget about those that are most important to us.

As we break for the Yuletide season, I would encourage all members to embrace the true spirit of this festive time of year.

Put away the cellphones iPads and laptops. Instead, focus on spending more quality time with your loved ones.

After all, Christmas is a very special time that only comes once a year.

Again, please accept my best wishes for a Merry Christmas and Happy New Year.

 

Fraternally Yours,

Mike Gallagher
Business Manager
IUOE Local 793

 

Stephen Harper's Monty Python Moment

The Broadbent Institute is offering a lighthearted, but poignant take, on recent right-wing attacks on the labour movement. The Institute has a new blog posted called “Stephen Harper’s Monty Python moment.” Click here to access the blog post. Click here to forward the blog post to your brothers and sisters in the union movement.  

The Broadbent Institute is offering a lighthearted, but poignant take, on recent right-wing attacks on the labour movement. The Institute has a new blog posted called “Stephen Harper’s Monty Python moment.”

Click here to access the blog post.

Click here to forward the blog post to your brothers and sisters in the union movement.

 

Training Centre Named in Honour of Gary O'Neill

The training building adjacent to Local 793’s head office in Oakville has been officially named the Gary O’Neill Learning Centre. More than 150 people gathered at the site Dec. 7 to unveil the new name and honour the late president’s accomplishments. Local 793 business manager Mike Gallagher thanked all those who attended the event, including […]

The training building adjacent to Local 793’s head office in Oakville has been officially named the Gary O’Neill Learning Centre.

More than 150 people gathered at the site Dec. 7 to unveil the new name and honour the late president’s accomplishments.

Local 793 business manager Mike Gallagher thanked all those who attended the event, including Gary’s wife, Denise, his children Nicole, Kristofer and Owen, and his father, Loran, a 55-year member.

A number of dignitaries also attended, including Oakville MPP Kevin Flynn, Oakville Mayor Rob Burton, Labour Minister Linda Jeffrey, and Pat Dillon, business manager of the Provincial Building and Construction Trades Council of Ontario.

Local 793 president Joe Redshaw emceed the event.

Gallagher told the audience that training trustees unanimously decided to re-name the centre to mark Gary’s accomplishments during his 30-year career as a member of Local 793.

The idea was supported by the Local 793 executive board and extremely well received by members, Gallagher said.

“This is what we needed to do to recognize his accomplishments,” said Gallagher.

Gary died in September 2011. He had been president of the local for 13 years.

Gallagher said it is fitting to have Gary’s name on the building because he was such an integral part of the union and the labour movement in Ontario.

He described the late president as a leader, a perfectionist, and “a standout” from the very beginning.

“He was always on the go and he wanted to get things done.”

Gallagher said Gary would have been proud to have his name on a building where apprentices are trained.

He noted that Gary became a leader in everything he was involved in, and chaired the Working Families Coalition.

As chair of that organization, Gallagher said Gary helped lead it to success and ensured a progressive government was in power.

Gallagher noted that Gary also chaired the board of directors of De Novo, and was always ready to lend a helping hand to those in trouble.

In negotiations, meanwhile, Gallagher said Gary always had the ability to find a compromise.

Dillon of the provincial building trades told the audience that Gary was a colleague and a friend.

He was very committed to the union movement and realized that the safety of workers was paramount, he said.

Dillon noted that Gary was chosen for the helm of Working Families because he was a leader.

He said the union couldn’t have chosen a better way to honour Gary’s memory than by naming the training centre after him.

MPP Flynn said he often had dealings with Gary and always felt like he was talking to a friend.

Flynn said that through his work Gary made life better for everybody in Ontario.

 

Column Touts Importance of Trades College

A column by Local 793 assistant labour relations manager Brian Alexander on the importance of the new Ontario College of Trades (OCOT) appeared recently in The Oakville Banner newspaper. Brian is an employee representative on the hoisting engineer trade board of the OCOT. Click here to see the column.  

A column by Local 793 assistant labour relations manager Brian Alexander on the importance of the new Ontario College of Trades (OCOT) appeared recently in The Oakville Banner newspaper. Brian is an employee representative on the hoisting engineer trade board of the OCOT.

Click here to see the column.

 

Canadian Building Trades Object to Bill C-377

The Canadian office of the AFL-CIO Building and Construction Trades Department has sent a letter to MPs, noting that Bill C-377 is flawed and attempts to solve a problem that simply does not exist. The letter, from executive director Bob Blakely, says the legislation will drive up costs for unionized workers. Click here to read […]

The Canadian office of the AFL-CIO Building and Construction Trades Department has sent a letter to MPs, noting that Bill C-377 is flawed and attempts to solve a problem that simply does not exist. The letter, from executive director Bob Blakely, says the legislation will drive up costs for unionized workers.

Click here to read the letter.

Click here to read Bill C-377.

 

Send an Email to Protest Bill C-377

Canadian Labour Congress president Ken Georgetti has written a letter to Local 793 business manager Mike Gallagher, asking union members to send an email to MPs in protest of Bill C-377. Click here to send an email. Following is the text of the letter to Local 793 business manager Mike Gallagher: Dear Michael: Stephen Harper’s […]

Canadian Labour Congress president Ken Georgetti has written a letter to Local 793 business manager Mike Gallagher, asking union members to send an email to MPs in protest of Bill C-377.

Click here to send an email.

Following is the text of the letter to Local 793 business manager Mike Gallagher:

Dear Michael:

Stephen Harper’s Conservatives are determined to ram through Bill C-377, a private members’ bill that will force every union, every union local, every local labour council, every federation of labour and the Canadian Labour Congress to file intrusive financial reports that will be posted on a public website for every employer to see. We need your help now to stop this bill in its tracks!

The Canadian Bar Association says Bill C-377 should be withdrawn because it would invade the personal privacy of individual Canadians and is likely unconstitutional. Canada’s federal Privacy Commissioner also said that the bill would invade personal privacy and overreaches in its intent.

Yet Stephen Harper’s government wants to spend millions of your taxpayer dollars to set up a new bureaucracy to administer this bill. In the United States, a department that administers similar but less onerous reporting for unions had a budget of $41.3 million in 2012 – to track the financial reporting of 26,000 union locals. Stephen Harper’s government wants to track the spending of 25,000 union locals in Canada and we estimate it will cost the government anywhere from $32 million to $45 million a year just to operate – this at a time when the Conservatives are shutting down coast guards stations, search and rescue call centres, and eliminating food inspectors.

You and I know already that unions are accountable to their members. Any member coming to a local union meeting gets a detailed financial report from their elected executive on expenditures and an opportunity to ask questions.

Michael, we need your help now. Click here to send an email to your Member of Parliament that this bill is an unnecessary waste of taxpayers’ money.

Thank you for your help!

In solidarity,

Ken Georgetti

 

 

Online Petition Against Bill C-377

NDP labour critic and MP Alexandre Boulerice has posted an online petition against Bill C-377. Please show your support by signing the petition and feel free to forward it to anyone opposing Bill C-377. Click here for the petition.  

NDP labour critic and MP Alexandre Boulerice has posted an online petition against Bill C-377. Please show your support by signing the petition and feel free to forward it to anyone opposing Bill C-377.

Click here for the petition.

 

Update on Sino-Forest Lawsuit

The following is text of a press release that was issued by Siskinds LLP and Koskie Minsky LLP, regarding a class-action lawsuit against Sino-Forest Corp. The lawyers are representing Local 793 and the Labourers Pension Fund of Central and Eastern Canada in a multi-billion-dollar class-action suit against the Chinese-Canadian forestry company. December 03, 2012 – Siskinds […]

The following is text of a press release that was issued by Siskinds LLP and Koskie Minsky LLP, regarding a class-action lawsuit against Sino-Forest Corp. The lawyers are representing Local 793 and the Labourers Pension Fund of Central and Eastern Canada in a multi-billion-dollar class-action suit against the Chinese-Canadian forestry company.

December 03, 2012 – Siskinds LLP and Koskie Minsky LLP Announce $117 Million Settlement with Ernst & Young LLP in Sino-Forest Class Action

TORONTO, ONTARIO – Siskinds LLP and Koskie Minsky LLP, class counsel in the Sino-Forest class action, are pleased to announce a $117 million settlement with Ernst & Young LLP in the Sino-Forest class action.

Ernst & Young LLP was Sino-Forest’s auditor from August 16, 2007 until its resignation on April 4, 2012.

The class action alleges that Sino-Forest, certain of its directors and officers, auditors and underwriters mislead investors concerning the business and accounting at the collapsed timber trader.

The settlement is the largest settlement by an auditor in Canadian history, by a large margin, and is one of the largest-ever auditor settlements worldwide.

“We are proud of this historic settlement,” said Dimitri Lascaris, partner in the Siskinds securities class actions group. “It provides direct and immediate benefits to the Class Members.

“Our clients are pleased with this result and we look forward to aggressively prosecuting the action against the remaining defendants,” said Kirk Baert, partner at Koskie Minsky.

The Siskinds securities class actions team has offices in London, Toronto and Montreal. The team, comprised of 12 lawyers admitted to practice in Ontario, Quebec, New York State, and the states of Queensland and Victoria in Australia, acts exclusively for investors.

Siskinds’ securities class actions team is complemented by lawyers in Siskinds’ affiliate, Siskinds, Desmeules, based in Quebec City.

Koskie Minsky, based in Toronto, is Canada’s leading labour and employment firm. Its class actions team, led by Mr. Baert, has been a leader in class actions since 1992 and has prosecuted many of the leading cases in the area.

The litigation continues against Allen T.Y. Chan, W. Judson Martin, Kai Kit Poon, David J. Horsley, William E. Ardell, James P. Bowland, James M.E. Hyde, Edmund Mak, Simon Murray, Peter Wang, Garry J. West, BDO Limited, Credit Suisse Securities (Canada), Inc., TD Securities Inc., Dundee Securities Corporation, RBC Dominion Securities Inc., Scotia Capital Inc., CIBC World Markets Inc., Merrill Lynch Canada Inc., Canaccord Financial Ltd., Maison Placements Canada Inc., Credit Suisse Securities (USA) LLC and Merrill Lynch, Pierce, Fenner & Smith Incorporated.