Workers at the XL Foods beef slaughter plant in Moose Jaw, Sask., who are laid off and locked out, have rejected a contract offer from the company.
About 145 of a possible 200 United Food and Commercial Workers members voted Sept. 27.
Local 1400 president Norm Neault said the vote was soundly rejected because the offer contained demands that “came up out of nowhere.”
He said it has been “a wild ride” since the workers’ contract expired last January and the employer closed the plant and laid them off April 24, citing a shortage of cattle.
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The workers were supposed to return Sept. 28 but on Sept. 18 they received notices locking them out because they hadn’t voted on a contract offer. The union wanted to hold off on a vote until the workers were recalled because it wasn’t confident that all 200 could be contacted during their layoff.
During the summer, the company circulated a contract offer to employees but Neault said another offer was presented on Sept. 25 and that’s the one that was put to a vote.
“There were significant changes to the original mailed out,” he said.
A $2-per-hour wage increase had been cut to $1.25 over four years, and that was to be accomplished in small increases of 17 cents or 16 cents at a time, he said.
The offer also cut severance upon plant closure and it limited vacation days.
Workers were guaranteed 37 hours per week but the company wanted to be able to reduce that to 32 hours, 12 times per year instead of five. XL also wanted the ability to demand unlimited overtime.
“When they put those four things forward, coupled with the proposed wage decrease, it was a major concern,” Neault said.
The workers have not taken a strike vote and did not plan any picket lines as of Sept. 28. However, they were to meet later that day to discuss a course of action.
Neault said the union is willing to negotiate and, depending on what the company decides, the workers could return at any time.
XL Foods would not comment on the vote. The company has said it requires a union contract that allows it to be competitive.
Co-chief executive officer Brian Nilsson told an industry conference in June that Canada’s strict rules regarding specified risk material put Canadian packers at a $30 per head disadvantage to American packers.
