MPI details contract offer for 1,700 employees preparing to strike next week

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This article was published 24/08/2023 (744 days ago), so information in it may no longer be current.

As Manitoba Public Insurance and its union appear headed to a strike next week, the repair industry — already hobbled by parts shortages — is bracing for “devastating” collateral damage.

All Star Collision and Glass owner Dave Mack said a strike could be disastrous to his business and other repair shops in the province.

“I think it’s going to be very devastating unless (MPI) comes up with some kind of a system where we’re able to do day-to-day business to some degree,” he said. “And right now, I haven’t heard anything.”

Mack said the autobody industry in Manitoba is between five months and a year behind on repairs because of the lingering impact of supply-chain issues caused by the COVID-19 pandemic.

For its part, MPI issued a “detailed explanation” of its wage offer Thursday, taking issue with comments made earlier by union leadership.

Workers at the Crown corporation voted in favour of strike action a week ago after rejecting MPI’s wage offer of two per cent per year over four years, the Manitoba Government and General Employees’ Union said. Their previous contract expired last September.

A strike beginning Monday would affect MPI services, including its call centres, claim processing, damage estimates and driver and vehicle licensing.

MPI board chair Ward Keith issued a news release Thursday saying the proposal contains a total monetary value of up to 17 per cent. It also contains an offer to immediately move to voluntary arbitration on general wage increases beyond the two per cent already proposed, in a bid to avert a strike.

“Given conflicting statements made by MGEU leadership, it is important that the corporation’s enhanced offer be explained in a transparent way so there is clarity, both for MPI’s employees and its customers,” said Keith.

Kyle Ross, MGEU president, called the claim “misleading and disingenuous.”

“Our members are smart enough to know what the offer is. If the offer on the table was really 17 per cent, our bargaining committee would already be taking it to the membership for a vote,” he said in a statement. “The truth is that half of the membership would only receive a wage increase of 8 or 9 per cent over four years.”

MGEU is open to bargaining so the strike can can be averted over the weekend, he said.

“This strike can end before it even starts, and our bargaining team is willing to meet over the weekend to make that happen so our members can continue to go to work and serve Manitobans.”

Giving a breakdown of the figure, MPI said its offer contains annual two per cent wage increases in each of the four years, along with a new permanent 3.5 per cent wage bump as employees reach the top of their pay grades.

The Crown corporation also proposed a one per cent wage adjustment for staff in the operations division, which comprises almost three-quarters of unionized employees.

The proposal includes a one-time lump sum signing bonus of $1,800, which is equivalent to 2.8 per cent of average salary, and benefit improvements equal to 1.7 per cent of average salary, MPI said.

“By providing a factual explanation of the enhanced offer presented this week — coupled with the continued offer to proceed directly to voluntary arbitration on the issue of general wage increases beyond two per cent per year already proposed, I remain hopeful that strike action and related financial impacts to MPI employees and their families can still be avoided,” Keith said in the news release.

The MGEU has accused the Tories under Premier Heather Stefanson of restricting how much MPI and Manitoba Liquor and Lotteries, another Crown corporation, could bargain through a set wage mandate.

Ross said Thursday a tentative agreement with MLL announced Wednesday for about 1,400 liquor workers across the province proves that mandate is not set in stone.

“I would say it’s definitely changed the mandate,” he said. “It’s hard to say — according to the premier, they weren’t involved — but we know otherwise.”

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Meanwhile, a strike without a strong contingency plan could back up processes even further, which could be the end for some businesses, All Star’s Mack predicted.

“If they go on strike, and we can’t get approvals for our repairs, or talk to them about certain vehicles that maybe are thefts or total losses, that really puts a bind on us,” he said.

“We just don’t have the room on our lots right now to take more vehicles and hold on to vehicles because we’re not getting answers.”

malak.abas@freepress.mb.ca

chris.kitching@freepress.mb.ca

Malak Abas
Reporter

Malak Abas is a city reporter at the Free Press. Born and raised in Winnipeg's North End, she led the campus paper at the University of Manitoba before joining the Free Press in 2020.

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Chris Kitching
Reporter

As a general assignment reporter, Chris covers a little bit of everything for the Free Press.

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