REGIONAL RATES OF PAY ELIMINATION

1. REGIONAL RATES OF PAY ELIMINATION April 05 Council of Locals 2005

2. HISTORY OF REGIONAL RATES OF PAY • WHEN • Introduced in 1922 • Federal government & its employees came to an agreement that there should be Regional Rates of Pay

3. HISTORY OF REGIONAL RATES OF PAY • WHY? • Recognition of differing economies across the country • Considered local and regional market realities

4. HISTORY OF REGIONAL RATES OF PAY TO NOW • Economies developed over time • Communication and transportation became easier & faster • Single factor of where an employee lives has become antiquate • A discriminatory wage practice now exists • There has been some success as a result of the Collective Bargaining process introduced in 1967

5. HISTORY OF THE ZONES

6. HISTORY OF THE ZONES • Prairies remain poor cousins • Alberta members, by in large, have not seen an increase from the elimination of the zones since 1989 • Of the 400,000 people employed by the Federal Government (including MP’s, Senators, Canadian Forces, RCMP, etc) this group is the only group under regional rates of pay • This group represents 8,400 employees, or 2% of the 400,000

7. ARGUMENT FOR REGIONAL RATES OF PAY • Cost of living is higher in different parts of the country This is the only argument brought forward to support Regional Rates of Pay

8. ARGUMENT FOR REGIONAL RATES OF PAY • Consider these points • Small town rural B.C. (ZONE 1) compared to large cities I.e. Calgary (ZONE 3), Montreal or Toronto (ZONE 2) • Why are not all Tables within PSAC governed by Regional Rates of Pay? • Why are not all Groups within Table 2 governed by Regional Rates of Pay? • Do you think our elected MP’s would stand for their salaries being based on where their constituency was regionally located

9. COST OF LIVING • It may or may not cost more to live in certain areas of the country. • If it is required it should not be added to salary, but as a non-pensionable cost of living adjustment.

10. COST OF LIVING • Consider . . . . • Two individuals (BC ZONE 1 & Alberta ZONE 3) do the same job for the same amount of time until retirement. • The individual from BC (ZONE 1) retires to Alberta (ZONE 3). • The pension is based on a higher paid zone, now living in the supposedly cheaper Alberta. • Win – Win: Made more money in ZONE 1 and now lives out retirement in Alberta (ZONE 3) having a higher standard of living. IS THIS JUST?

11. COST OF LIVING • This is not to say that some areas, such as isolated posts and the North, do not need more money to live, because they do.

12. COST OF LIVING • Isolated posts and the North are recognized through the National Joint Council (NJC) Isolated Posts and Government Directives. • Environmental Allowance • Living Cost Differential • Fuel & Utilities Differential • Shelter Cost Differential • Meals or Rations • So there are mechanisms to compensate for cost of living differences from area to area within the country. SO WHY DO WE NEED REGIONAL RATES OF PAY?

13. COST OF LIVING If people living in larger centers need extra income due to the cost of living in that center, and they do not meet the criteria of an Isolated Post, they should lobby the NJC to amend the directives to include them. That is why the NJC is there.

14. FINDINGS • We have established that Regional Rates of Pay are discriminatory with no supporting rationale. • So where do we go from here?

15. Tentative agreement numbers look good, closer examination (Zones, Pay Study, etc). E-mails sent out. Talked to Blair Winger (advised of movement in P.A.) Contact with Bill Osborne (USGE Local 40023). Discussed their committee in P.A. Contacted our local President, Bud Colombe. Contacted our RVP, Steve Covell. Received draft resolutions from P.A. Forwarded to Steve Covell for blessing and comments. Talked with Bill Osborne and discussed they way ahead - get the word out – Web sites such as the USGE and UNDE sites. Motion presented by Steve Covell to the UNDE National Executive at the December meeting HISTORY OF TABLE 2 ZONE COMMITTEE

16. THE MOTION The following motion was passed at the UNDE National Executive Meeting held in December, 2004. “Table 2 Regional Rates of Pay – Brother Covell distributed minutes of a meeting of a committee established by Table 2 members in the Prairies. The Committee’s mandate is to promote the elimination of zones/regional rates of pay” “That the National Executive supports and encourages UNDE participation on the committee.”

17. Gave presentation to Local 910. Motion raised from the floor for our local to form a Table 2 Zone Committee with myself to Chair. Motion was passed. Formed our committee. Committee has formulated a number of resolutions to be presented at the UNDE Triennial Convention. Should the resolutions be passed, they will be forwarded on to the PSAC Triennial Convention. These resolutions were presented to the Local and passed unanimously and forwarded on to the UNDE National Executive. HISTORY OF TABLE 2 ZONE COMMITTEE (Continued)

18. TABLE 2 ZONE COMMITTEE RESOLUTIONS - PREAMBLE We would like to start by thanking all the negotiating teams, both past and present, for all the hard work that they have done and the success they Have achieved. Having said that, there is one area that we feel needs more attention, that being the area of Regional Rates of Pay. Since the area of Zones has been brought into the Collective Bargaining process in 1967, negotiating teams have had successes in reducing the Zones from 36 to 3. We appreciate all the success the negotiating teams have had, but the fact remains this discriminatory practice is still in effect and has many ill effects on the members of this Union from: a feeling of disrespect shown towards these members, dissension among the members, to difficulty attracting and keeping new people. Many members of this Union, as well as the National President of PSAC, share these feelings. The employer has demonstrated a definite reluctance to totally resolve this issue through the Collective Bargaining process. We would therefore like to suggest that there might be other avenues that could be explored. Considering the mentioned information we would like you to seriously consider the following resolutions.

19. TABLE 2 ZONE COMMITTEE RESOLUTION #1 WHEREAS more than 94% of Treasury Board members benefit from National Rates of Pay and less than 6% of members are subject to the discriminatory practice of Regional Rates of Pay; WHEREAS the PSAC promotes the principles of equality encompassing equal pay for work of equal value; and WHEREAS historically the Collective Bargaining process has not had total success in completely eliminating Regional Rates of Pay. BE IT RESOLVED THAT the PASC establish a National Steering Committee comprised of 2 representatives from the Alliance Executive Committee and 1 Grassroots representative from each component within the PSAC that are affected by Regional Rates of Pay; and BE IT FURTHER RESOLVED THAT this National Steering Committee has a mandate to explore all options, and make recommendations pertaining to the elimination of Regional Rates of Pay. These options may include but not limited to: Legal, Political, a National Grievance campaign or any other options that may arise.

20. TABLE 2 ZONE COMMITTEE RESOLUTION #2 WHEREAS with the forming of a National Steering Committee, the committee would have to meet at least 2 to 3 times each year to discuss the options, recommendations and the way ahead; WHEREAS the most logical place to meet would be the National Capital as this is the most central location. BE IT RESOLVED that the PSAC provide sufficient resources so as to allow the National Committee examining the elimination of Regional Rates of Pay to be able to carry out their mandate. These resources may include but not limited to: funding in the amount of 2 cents per member per month, direction, Legal assistance, and any other resources deemed necessary in support of this National Committee.

21. TABLE 2 ZONE COMMITTEE RESOLUTION #3 WHEREAS the UNDE has the largest percentage of General Labour and Trades members affected by the discriminatory practice of Regional Rates of Pay and therefore the largest stake in resolving this issue; and WHEREAS the UNDE promotes the principles of equality encompassing equal pay for work of equal value. BE IT RESOLVED THAT the UNDE establish a National General Labour and Trades Committee comprised of 1 General Labour and Trade member per region, plus 1 VP to act as advisor to the committee; and BE IT FURTHER RESOLVED THAT this National General Labour and Trades Committee has a mandate to, but not limited to, explore all options, and make recommendations to the PSAC National Steering Committee pertaining to the elimination of Regional Rates of Pay, through their elected chairperson, this chairperson would also represent the UNDE on the PSAC National Steering Committee. These options may include but not limited to: Legal, Political, a National Grievance campaign or any other options that may arise.

22. TABLE 2 ZONE COMMITTEE RESOLUTION #4 WHEREAS with the forming of a National General Labour and Trades Committee, the committee would have to meet at least 2 to 3 times each year to discuss the options and make recommendations; and WHEREAS the most logical place to meet would be the National Capital as this is the most central location. BE IT RESOLVED that the UNDE provide sufficient resources so as to allow the National General Labour and Trades Committee to be able to carry out their mandate. These resources may include but not limited to: funding in the amount of 2 cents per member of Table 2 per month, direction, Legal assistance, and any other resources deemed necessary in support of this National Committee.

23. WHERE TO FROM HERE? • A great deal of work has been done, but a lot still has to be done. This issue has been debated in parliament and fought in the courts. So it’s not going to be easy. • It is understood that the National Officers are in the process of presenting a resolution to the Canadian Labour Congress. • This is a fight that has to be fought from the top but requires grassroots involvement as people like you and I are the biggest stake holders.

24. WHERE TO FROM HERE? • This issue will require the support of every Component and every Table within PSAC. As UNDE has the largest portion of Table 2 members affected by the discriminatory practice of Regional Rates of Pay, the onus is on us to become involved. • To compliment all the work that has been done. I ask that all the delegates to the UNDE Triennial Convention from the Locals at this meeting, please support these resolutions as they come up. Get involved by talking to other Locals within UNDE or any other Component within the PSAC. • This issue has been challenged and there has been some success . However, the fact still remains that it is discriminatory and has to be addressed. We believe that there must be other avenues to explore but it is going to take INVOLVEMENT.

25. CONCLUSION • History has told a story of discrimination with no supporting rationale. • Progress has been made over the years but we now require closure on this issue once and for all. • Support the resolutions by your actions and involvement. • We will be successful if we continue to work together.

26. THANK YOU