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Talks break off between union, Globe and Mail

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The Canadian Press

Date: Friday Jun. 26, 2009 1:29 PM ET

TORONTO — A union representing workers of the Globe and Mail said contract talks with the newspaper's management broke down at midnight.

Communications, Energy and Paperworkers Union representative Brad Honywill told The Canadian Press Friday that there are no planned meetings before the contract expires next Tuesday at midnight.

The move comes less than a week after the editorial, advertising and circulation workers voted 97 per cent in favour of strike action at one of Canada's oldest and most influential newspapers.

Representatives for the paper, which is owned by CTVglobemedia Inc., weren't immediately available for comment.

"This is obviously a very grave disintegration in the process," Honywill said.

"We remain steadfast in our belief that the members at the Globe deserve a pension that will give them a reasonable standard of living in their retirement years."

Management had proposed a six-year-deal, which would convert its defined-benefits pension plan into a defined-contribution plan, which offers a lower payment.

It has also proposed a total compounded salary increase of 7.2 per cent over six years, one unpaid week off each year, a workday increase to 7.5 hours from seven, with no extra pay for the half hour, overtime paid at straight time for the first half hour and changes to pensions.

On Thursday, the union sent a letter to its members saying that the newspaper's management would be emailing them on Friday with a "final offer" to replace their contract, and that all concessions and changes would be implemented by July 1.

According to the union, the offer emailed Friday includes annual wage increases of zero per cent in 2009 and 2010, 1.5 per cent in 2011, two per cent in 2012 and 2.5 per cent in 2013.

It also outlines a number of pension changes, with new hires being started in a defined contribution plan and existing members of the company's defined benefit plan able to stay in that with increased contributions.

About 44 account managers would take an $8000 pay cut and 13 telemarketing representatives would take a $6000 pay cut, both with revised commission plans.

The union also said the offer anticipates an extension of the working day to 7 1/2 hours from seven hours, increasing the work week to 37 1/2 hours, and it eliminates a sixth week of vacation for those not already entitled as well as delating entitlement for a fifth week of vacation to the 15th year of service from the 10th year.


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