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I.Themes of Canadian IR
 Q- What seemed interesting to you about the Canadian system?
Population ‑
33 million in area larger than USA
One of least densely populated countries on earth, after Australia.  3 people per square kilometer compared to 31 for USA
Parliamentary Democracy ‑ Q? ‑ Nature and operation of parliamentary systems?
Lower house is House of Commons
Senate is appointed on the advice of the Prime Minister and rarely plays major role
Federal system ‑ Q? ‑ Meaning?
Federal government has limited powers, in general and over I.R. ‑ In general power of federal gov't has decreased since 1960s
Ten provinces
Conservative Party of Canada
2003 merger of old Progressive Conservative Party (based in the east and fiscally conservative but socially not) and the Canadian Alliance (based in the west and socially and fiscally conservative).  2004 Federal Election won 29.6% of the votes and 99 seats in the House of Commons (total 308)
Liberal Party
In power since 1993.  First under Jean Chretien and now under Paul Martin.  Moderate left/center party.  2004 election won 36.7% vote and 134 seats.  Minority government.  How is that possible?
New Democratic Party
Social democratic reformist party.  Has never had government nationally and has been less important nationally since the early 1990s.  Has held national balance of power and in provinces has been official opposition or even in government in several.  Is the party organized labor supports but in 2005 the Saskatchewan NDP government has had a falling out with the unions which have withdrawn their support.  Similarly, in Ontario in 1995 the unions withdrew their support from the NDP government which then lost and the right-wing government that replaced it passed anti-union legislation.  2004 15.7% of votes and 19 seats
Bloc Quebecois
In power in province of Quebec since 1994 (and earlier).  Party supporting autonomy or even independence for Quebec.  2004 12.4% of votes and 54 seats
2004 also two independents in Parliament
On international “corruption” index, do quite well (2002)
Rate 7th least corrupt in the world
Best rating of all countries in the course
US rates 16th
Level of Living ‑ Among highest in world ‑ How do we do this calculation?
Q? ‑ What does level of living mean?
Q? ‑ Problems of measurement in one country?
Q? ‑ Complications across countries?
2002 GDP per capita highest in course
But below USA
2002 Human Development Index
Includes GDP per capita, life expectancy and average education
Canada second highest in course (after Sweden)
US ranks 16th, lower than any country in the course
Child Poverty very low
Better than Britain or Italy but below Sweden (the four Scandanavian countries are the four best in the world) France and Germany. 
US is the worst of all the developed countries in the world
Heavily manufacturing and service oriented
¾ of employment in service sector including government
33% GDP exported
85% of exports go to USA
Majority of imports from USA
24% of US exports go to Canada
Taxes and Government Spending
2003 taxes and government spending as percentages of GDP lowest in the course
Both still considerably higher than the USA
Has had budget surplus for several years.  Quite sizable
Manufacturing Labor Costs - 2002
Measured how?
Second lowest in course after Italy
2005 economy growing at 3% annual rate
One of highest among developed nations
2005 inflation rate currently 2%
Lower than most countries in course or USA
2005 unemployment rate 6.8%
Down a bit from a year earlier
2003 long-term unemployment lowest in the course and well below the USA
Commitment to democracy and peaceful change
Major divisions have been linguistic and regional
Party Ideologies on IR
Since late 1960s, as USA entered more confrontational mode, Canada more cooperative
Unions more reformist and aggressive than USA
Have never embraced anti‑unionism quite as aggressively as US employers
No non‑union hinterland and no right‑to‑work states
Government ideology of voluntarism ‑ in practice substantial intervention
Early British tradesmen brought British union traditions
Early unions metalworkers and carpenters branches of British unions
1860s USA based construction, printing, rail internationals gained foothold
1st paid union organizer in Canada from AFL
1960 on growth then stability in union density as USA declined
Growth especially in public sector
Density peaked 39% NAE 1983 then fell to 1989 when began to rise again - about 37.5% 1994
Rapid increase in number of unions due to new public sector unions
National v. International Unions
1900 95% unionists in internationals
In 1960s international unions still had 70% Canadian union membership.
Major force in shift is growth public sector unionism almost exclusively national unions
In early 21st century down to 30% and falling (BLW)
Highest densities now in government and construction
> 70%
2/3 unionists in Ontario and Quebec
Reflects population density
Total union density 2000 31%
Down from 36% in 1985
Largest unions were international but no more
Largest now public sector unions, none of which are international
2004 Industrial Wood and Allied Workers and United Steel Workers announced plan to merge and form the largest private sector union at 435,000 members
Canadian Union of Public Employees largest
Membership over 500,000
Has about 93 national and international affiliates
>100 locals directly chartered
About 69% of all unionists
Major functions
Represent unions before national and international bodies
Lobby federal government
Mediate inter‑union disputes
1960 endorsed party that became New Democratic Party ‑
Over opposition of building trades
Helped lead to split with building trades
Decision on whether to affiliate with party with individual union but some CLC officials also NDP officers
Most unionists not in locals affiliated to NDP
In federal elections, more unionists vote for Liberals
Early 20th century formed in Quebec by some small unions
Under leadership Catholic clergy
Has  about 260,000 ‑
still largely in Quebec –
Now mostly radical, Marxist in orientation and supports Quebec independence
Canadian Federation of Labour
Largely construction unions which left CLC in 1982
Sponsored by AFL-CIO which viewed CLC as too left-wing
Eventually AFL-CIO withdrew sponsorship and this organization folded in 1997
Major employer organization is Canadian Employers’ Council
Private sector employers
Majority of private sector employees are employed by its members
Not terribly significant in IR or HR
Canadian Employers traditionally resisted unionism and bargaining vigorously Less likely to attack incumbent unions than American employers (BLW)
Federal and Provincial jurisdictions for I.R.
Which is more important?
Eleven separate systems ‑ commonality of philosophy and approach ‑
Each jurisdiction at least one law governing labor relations and often others setting specific terms and conditions
Principal responsibility provincial
Federal covers ~ 15% employees ‑ those industries specifically mentioned in constitution
Provincial jurisdiction includes manufacturing, most mining, forest products, construction, service industries, local transport, and provincial and local government
Every jurisdiction has a labor board
Usually tri‑partite (Canadian Labour Relations Board is not)
Industrial Disputes Investigation Act ‑ 1907
Compulsory tri‑partite conciliation procedure
No economic sanctions until report released to public
Approach became hallmark Canadian dispute settlement, adopted quickly by most provinces
Industrial Relations and Disputes investigation Act
Superseded 1907 Act
Statutes generally promote collective bargaining
Some actually require it, for example universities in the province of Alberta are required to have collective bargaining agreements
Most statutes have procedure to certify majority union as exclusive agent and require bargaining.  Usually no elections, membership records often sufficient although in some cases require supermajority without election.  1990s Newfoundland and Ontario repealed provisions allowing certification without election
Elections, if held at all, usually held promptly, unlike in USA
In Ontario they must be held within 5 days of union petition
Prevents employer mounting anti-union campaign
Only union can file certification petition. 
Not employee or employer
Unlike USA
Growing trend to provide compulsory arbitration of unresolved first contract disputes,
At least if employer bargains in bad faith
Available in jurisdictions covering 80% workforce
Recently when National Bank of Canada found guilty of bad faith in negotiating first collective bargaining agreement, Canadian Labor Board gave them deadline to reach an agreement or have one imposed
Boards' have wide discretion in setting remedies for violations. 
Seek settlements so criminal sanctions now rare but they are still possible
Can award damages.  Usually do to make up for employee loss
Can also impose punitive fines
Recently have tried to make unions whole for losses from illegal employer activity
1989 Supreme Court Paccar decision said employers could change wages and conditions unilaterally at expiration of agreements. 
Practice had been to honor old agreements at least until strike or lockout
Have chosen to unionize at two stores in Quebec and, in 2004, at oil and lubrication departments at seven stores in British Columbia February 05 Quebec Labor Board ordered company to cease harassment of its employees
Had already ordered it to bargain in good faith
Walmart has already closed the first store to attempt to negotiate an agreement, saying it found it impossible to negotiate an agreement that would allow the store to be profitable
All provinces mandate joint labor-management committees on health and safety (BLW)
Legislation silent on crown employees ‑
taken to mean exclusion
Exception was municipal employees ‑
most viewed as covered
Public Service Staff Relations Act ‑ 1967 ‑
Right to bargain for most federal employees.  1999 Supreme Court said did not apply to RCMP, no bargaining rights
Union to choose strike or arbitration option each bargaining round
Employees designated essential may not strike
Provinces then passed legislation
Right to organize and bargain for almost all public employees. 
Right to strike in several provinces as well as federal
Others forbid strikes and require mandatory arbitration
Quebec – public sector employees have same union and bargaining rights as private sector employees except police and firefighters can’t strike but can submit to arbitration
Ontario – municipal employees can strike but provincial employees can’t, but can submit to arbitration
Labor Boards can be asked to determine if unit defined in union certification application is appropriate. 
Employer may contest determination but election will usually proceed anyway
Rarely does labor board require certification to be based on multi‑plant basis
Exception Nova Scotia which passed law 1980 requiring certification at all locations of an employer in the province
Represented cave in by provincial government to Michelin company.  Faced certification of union at one of two plants (other no danger).  Allegedly threatened to close both and not build additional one if plant organized
Law changed, company not organized, and built third plant in Nova Scotia
Principal government role procedural, not substantive 
Still substantial substantive impact
Certain specific terms and conditions traditionally regulated
Minimum wages
Maximum hours
Job safety
Unlike USA but like most other countries, standard paid holidays and vacations
Provisions for notice of termination
Unorganized employees in federal jurisdiction and some provinces can now  be terminated only for just cause
Common law doctrine of unfair dismissal
Remedy usually monetary, generally not reinstatement
Normal provisions in agreements ‑
normally parties free legally to negotiate any issue (unlike Borg-Warner situation in USA)
Closed shop, union shop, Rand formula all allowed.  No jurisdiction bans union shop
closed shop common only in construction
Rand formula compulsory in Quebec since 1977
Holidays and vacations –
Rank with US and Japan as among lowest in industrialized world
Law normally requires grievance arbitration as terminal procedure
Grievance arbitration much more legally regulated than in USA
Law everywhere except Saskatchewan limits strike activity substantially
No recognition strikes
No strikes during impasse procedures
Strikes during term of agreement illegal
Special legislation to end specific stoppages or force "essential" employees back to work now common 
Growing trend to define "essential" services more broadly
Some provinces now outlaw hiring strike replacements,
Since 1977 illegal to replace lawful strikers in Quebec even temporarily.  Quebec also bans moving struck work to another facility (impact on baseball umpires strike)
Laws moving away from banning temporary replacements.  Ontario repealed its ban in 1995
1994-2003 average work days lost per 1000 workers highest in course
Almost twice as high as Italy, which is second highest in course
Over twice as high as USA
April 2000 Toronto had the largest municipal strike in Canadian history
Union urged arbitration but the city refused
Another major municipal strike in Toronto in 2002
Growth of strikes in 1960s led to government reform proposals including
Government agency created to collect collective bargaining data for the parties
Government supported training for union officers including union college co‑sponsored with major universities
Increased experimentation with European‑style consultation
Based on joint committees in large enterprises
Each Committee designated to deal with one issue
Issues may include
health and safety
technological change
pension management
Unlike USA, where unions are not present employer-sponsored employee representation plans are not illegal in Canada and many exist
Way Canadians have adopted and modified Wagner Act framework
Compulsory conciliation
Strike limitations
Ways of determining majority status