I.
Situation
The strike broke out in late September 2019 and
lasted for 17 days for the most of the crown companies including DirectWest,
SaskTel, SecurTek, SaskEnergy, SaskPower, and SaskWater, involving about 5,000
employees. The 138-member Water Security Agency had reached an agreement with
the government a little earlier, agreeing to a wage freeze in the first two
years[i].
(Picture from Brandon Harder of Regina Leader-Post)
While the union members asserted that they
should protect their rights and benefits and take measures they though
necessary, management considered this improper as you should respect the right
for union workers to go on strike as well as the right for management and
non-union workers to go to work.
Customers also complained about the shutdown of
the SaskTel customer service at Cornwall Centre, and restaurants near the
picket lines complained about a loss of about 20-30% profits weekly.
As the economy was still sluggish, many could
not even find a job, let alone earn a decent salary. Also, there are many
workers who do not have a labor union to back them up. Some people say it would
be unfair for the rich to get richer, and the crowns’ labor unions are becoming
a legal mafia to kidnap the general taxpayers; others say you deserve it if you
don’t organize a labor union. When the labor union is addressed, experts may
argue on whether it is still representing the workers in general.
II.
What Resulted in the Strike
Before the strike, news was spread that MLAs
and managers at the crowns got a 2.3% raise in their salaries. Although the
provincial government proposed a raise of 5% in 5 years with a freeze in the
first two years, the union suggested a 2% raise in 3 years plus a lump sum
payment. This seems more than the present MLAs take in the past five years
(respectively 0, 1.6%, -3.5%, 3.5% and 2.3%)[ii].
Later on, the union agreed to return to work on a 24-hour notice of strike,
which the management simply declined and decided to lock them out.
III.
Possible Solutions
Three possible solutions are: a quick
settlement, a slow settlement and no action. A quick settlement seems the best
solution as all the parties will benefit, which will also improve the welfare
of the general public. Furthermore, the provincial government will not be put
in a legal dilemma or financial uncertainty. No action will not only bring
forward future uncertainty but also may entangle more losses.
IV.
Result
The result is a slow settlement for most
crowns: a return to work on Oct 21, 2019 after reaching a seemingly fair and
mutually beneficial agreement through a complicated round of bargaining. The
management declared that they found ways to beat the mandate. However, harms
has already been done with leaflets being distributed at SaskTel dealers across
the province urging them to switch business elsewhere and with picket lines
bolstered at the Poplar River Power Plant in Coronach, SK[iii].
V.
Analysis
It is observed that the union people may not
really represent the workers as they have gradually become a special interest
group who can seek rent and get partial with some of the workers. Also, in
areas like public transportation, utilities, and public services, strikes
should be limited both because there are some essential services and because
that the welfare of the whole country may suffer (like in the US). Therefore,
regulation and laws may be revised to protect these areas. Moreover,
professionals in negotiation and strategy need to be well prepared before these
negotiations.
VI.
Conclusion
Unions are getting bigger and stronger, and
they have made great impacts on the society. We need strategy and
implementation skills in strike negotiations and a quick solution will bring
forward a win-win result.
