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Lethbridge cold storage workers get 20% raise

Inflation over the last 8 years has grown 6 times faster than wages for these workers have.

Back in November, the Mediation Services department of Alberta Jobs, Economy, and Trade published the September–October 2024 Bargaining Update.

This monthly report provides information about the unionized workforce, primarily in Alberta. In the months of September and October, Mediation Services received settlement information regarding 36 private sector and 31 public sector bargaining settlements, covering 3,408 and 4,855 workers respectively.

Among those settlements was a contract for 7 workers employed by Lineage Logistics at their cold storage facility Lethbridge.

The facility used to be owned by VersaCold Logistics, but Lineage acquired the facility when it bought out VersaCold a couple of years ago.

These workers are represented by Local 987 of the Teamsters and include those working in engineering, in shipping & receiving, and as general labour.

VersaCold used to employ about 30 unionized workers at this facility. Since then, it’s dropped down to just 7, where it’s been since at least 2021.

Their previous contract actually expired this past February. The new contract was settled back in April, a couple of months later, but Mediation Services received it only recently.

These workers will get wage increases in each year of the contract, including a big one in the first year.

EngineerShipper/
receiver
Labourer
23 February 202410.00%12.00%14.00%
23 February 20253.00%3.00%3.00%
23 February 20263.00%3.00%3.00%

This works out to a combined wage of between 16% and 20% over the the life of the 3-year contract. That averages out to between 5.33% and 6.67% per year.

This is way better than what they received in their previous contract.

EngineerShipper/
receiver
Labourer
23 February 20212.00%2.00%2.00%
23 February 20222.00%2.00%2.00%
23 February 20232.00%2.00%2.00%

During their last contract, these workers received a 6% wage increase.

Inflation in Alberta between February 2020 and February 2023 increased by 10.03%, leaving these workers with a cut to real wages—wages adjusted for inflation—of roughly 4%.

The first wage increase of the new contract will make up for that wage deficit and then cover the 3.44% inflation between February 2023 and February 2024.

Here are some highlights of other changes between the new contract and their previous contract.

In the new contract, workers must provide Lineage with their contract information when hired and are responsible for keeping that information updated. This was not in the previous contract.

If a unionized worker is temporarily transferred to a higher rated position, Lineage will pay the higher rate of pay for all hours worked within that classification. Under the previous contract, the higher pay would kick in only after the worker had worked for 4 hours in that position.

The footwear allowance has increased from $200 a year to $250 a year.

The $55 clothing allowance for quilted vests and jackets has been removed. In its place is a clause saying that the employer will provide any required clothing. Workers will be responsible for caring for the clothing (including laundering) and must return it on loss of employment.

The previous collective agreement stated that there had to be a joint health and safety committee made up of 2 worker representatives and 2 from the employer. In the new agreement, that number can be 1 and 1, if not enough people can be found for the committee.

In the previous contract, workers were to take reasonable care to protect the health and safety of other workers. This has been extended in the new contract to include psychological safety.

Workers would get a meal allowance of $15 under their old contract if they had to work at least 3 hours of overtimes without 24 hours notice. That has been increased to $20 in the new contract.

The negotiating teams for each party had to hold their first bargaining meeting with 30 days of receiving notice to bargain in the previous contract. Now, they just need to “make all reasonable efforts to meet and negotiate in time to ratify the new collective agreement prior to the contract expiration date”.

The employer’s contribution to the workers’ pension plan will increase every year by 15¢ an hour.

Current$1.81 an hour
23 February 2024$1.96 an hour
23 February 2025$2.11 an hour
23 February 2026$2.26 an hour

Eyeglass coverage has increased from $200 every 2 years to $250 every 2 years.

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By Kim Siever

Kim Siever is an independent queer journalist based in Lethbridge, Alberta, and writes daily news articles, focusing on politics and labour.

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