Premium Brands has locked out 400 workers at its Vancouver plant in an attempt to force workers to agree to lower wages.
“Believe me, this is a tough decision,” said George Paleologou, vice-president of Premium Brands Inc., formerly Fletcher’s Fine Foods.
Paleologou said wage concessions made by the United Food and Commercial Workers union at other hog processing plants have made it impossible for Premium Brands’ Vancouver ham processing plant to continue paying higher than industry standard wages.
It wants the starting wage to be raised to $9.50 per hour from $8 and lower the base rate for non-specialized workers to $10 per hour from $16.50.
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“We are a small company in an industry with large players,” said Paleologou.
Premium is demanding the same wage concessions the union gave Maple Leaf Meats in Brandon and that Premium received from its Red Deer plant workers two years ago.
Union spokesperson Andy Neufeld said the workers voted 96 percent in favor of rejecting the company offer of a 40 percent wage rollback.
“It was one huge ridiculous concession grab,” said Neufeld, who added that the company also wanted vacation rollbacks and bathroom break limits.
“This is a classic case of corporate greed,” he said, noting there is always a danger the Vancouver plant will be permanently closed as Maple Leaf did with its Edmonton plant when workers went on strike in 1998.
Paleologou said the company has lost market share because consumers have chosen lower-priced hams made by lower-paid workers at other companies.
Its options were to close the plant for good or lock out the workers until there is a wage settlement.
The hams will be made at other Premium brand plants or contracted to other companies.
