Seniority Update #2

Dear Members,

  

On August 12, 2024, Arbitrator William Kaplan held a Case Management hearing with the Joint Merger Committee at the request of CUPE Local 4055. This hearing included representatives from CUPE National, CUPE 4070, CUPE 4055, and the Company. The primary outcome of this meeting has greatly accelerated the Integration process's progression. 

  

Background and Context:  

The Joint Merger Committee was established as the primary avenue to resolve the complexities involved in merging the seniority lists and other key issues within the WestJet Application to the CIRB. The goal has always been to reach a resolution through collaboration and mutual agreement within this committee. Arbitration was intended as a last resort, to be used only if the committee could not reach an agreement after exhausting all other options. 

Request for Postponement: 

CUPE Local 4070 requested a postponement of the scheduled dates for several important reasons: 

  

  • Preliminary Stages: The Joint Merger Committee is still in the early stages of its process. No Terms of Reference have been agreed upon, and no substantive exchange of information has occurred. 

  • Arbitration Protocol: The arbitration protocol, which is meant to define the scope and limitations of the Arbitrator's role, has not been finalized. 

  • Data Requests: The Local 4070 Executive has not yet received the necessary data and information to make informed decisions regarding the Integration of the two Seniority Lists.  Both Locals had initially mutually agreed that they would not be signing restrictive NDAs under the direction of CUPE National.  

  • Local 4070 made the independent decision to sign a Non-Disclosure Agreement (NDA) to gain access to the information necessary for evaluating all relevant aspects and presenting an informed position on seniority. 

  • Rescheduled Integration Date: The Company has pushed the integration date to April 2025, further complicating the timeline.  CUPE Local 4070 agreed to the original arbitration dates due to the original Fall deadline this year. 

Outcome of the Hearing: 
Despite these concerns, the request for postponement was not granted. CUPE 4055, CUPE National and WestJet were not willing to delay the process.  

 

As a result, the Arbitrator determined that: 

  •  Information Sharing: All parties must collaborate to ensure that the necessary information is exchanged in a timely manner. This is essential for the parties to prepare and exchange briefs. 

  • Progress Monitoring: The parties must regularly check in to confirm that the information exchange is taking place as needed. 

  • Mediation and Arbitration: The dates set will now be used for mediation concerning the Seniority lists. If mediation does not lead to a resolution, the issue will move to arbitration, where the Arbitrator will make a binding decision. 

Clarification on Arbitration:  

It's important to emphasize that arbitration was never intended to be the primary method for resolving these issues. The Joint Merger Committee was created to allow for a cooperative and mutually agreed-upon resolution. Moving to arbitration represents a shift from the original intent, which was to avoid such a legally binding and adversarial process unless necessary.  

Next Steps:   

This development will be reported to the Canadian Industrial Relations Board (CIRB) during our Case Management Hearing on August 20, 2024. We are currently awaiting crucial data from the Employer and research from CUPE National. Until this information is received, we are unable to submit a complete brief.   

Important Dates: 

  • Case Management with CIRB:  August 20th,2024 

  • Joint Merger Committee Meeting: August 20th and 21, 2024 *tentative awaiting CUPE National and CUPE 4055 agreement to adjust dates. 

  • Mediation with William Kaplan: Scheduled for September 10th-14th in Toronto, where your entire Executive Board will attend. 

  • Arbitration with William Kaplan: If mediation does not yield a resolution, arbitration will follow. The Arbitrator's decision will be binding on all parties.  This will be scheduled no later than 30 days after the last mediation date. 

 

We want to assure you that we are fully committed to keeping the membership informed on this matter. As developments unfold, we will provide timely updates.  


Q&A: Understanding the Merger Process and Related Legal Concepts 

  

Question: What is the purpose of the Joint Merger Committee? 

Answer:  

The Joint Merger Committee was created to address the complexities involved in merging seniority lists and resolving other key issues within the WestJet Application to the Canadian Industrial Relations Board (CIRB). The goal was to reach an agreement through collaboration and mutual consent. Arbitration was only intended as a last resort, to be used if the committee cannot reach an agreement after all other options have been exhausted.   

Question: What is Mediation? 

Answer:   

Process: Mediation is a process in which a neutral third party, known as the Mediator, helps the involved parties communicate and negotiate to reach a mutually acceptable resolution.   

Outcome: Unlike arbitration, the Mediator does not have the authority to make a binding decision. Instead, the Mediator facilitates discussions, helping the parties find common ground and resolve their dispute voluntarily.   

Role of the Mediator: The Mediator's role is to guide the conversation, clarify issues, and explore potential solutions. However, the final agreement is ultimately up to the parties involved.   

Question: What is Arbitration?   

Answer:  

Process: Arbitration involves an Arbitrator, who acts similarly to a judge, hearing evidence and arguments from both parties.   

Outcome: The Arbitrator makes a binding decision, known as an "award," which is enforceable in court. The process is like a court trial but is generally less formal and faster.   

Role of the Arbitrator: The Arbitrator's role is to listen to both sides, evaluate the evidence, and decide based on legal principles. This decision is final and legally binding, meaning the parties must comply with it. 

Question: Why was arbitration never intended to be the primary method for resolving these issues?  

Answer:  

Arbitration was meant to be a last resort because it involves a legally binding and often adversarial process. The intent of the Joint Merger Committee was to allow for a cooperative, mutually agreed-upon resolution through dialogue and negotiation. Moving to arbitration represents a significant shift from this original intent, as it leaves the final decision in the hands of an Arbitrator rather than the parties themselves. 

Question: What is the scope of the arbitration with Arbitrator Kaplan? 

Answer:  

The current arbitration process with Arbitrator Kaplan has been specifically initiated to address the issue of seniority integration between the parties involved. WestJet’s application to the CIRB raises other significant questions, such as determining who the surviving bargaining agent is and matters related to the collective agreements of the two CUPE Locals.   

It has been Local 4070's position that these broader issues are not within the scope of Arbitrator Kaplan's mandate. His focus is solely on resolving the seniority matter, and any decisions or discussions regarding the bargaining unit or collective agreement should be addressed separately and are not part of this arbitration process. 

Question: What is the difference between a merger and an acquisition, and does it affect workers' rights under the Canada Labour Code?    

Answer:  

Difference: A merger typically involves the combination of two companies into one new entity, while an acquisition involves one company taking control of another. Despite these structural differences, the rights of workers under the Canada Labour Code remain the same in both scenarios.  In the Case of Sunwing Airlines it is being acquired into WestJet Airlines. 

Impact on Rights: Regardless of whether the situation is a merger or an acquisition, employees in Canada are entitled to the same protections under the Canada Labour Code. These rights include protections related to seniority, collective bargaining, and other employment terms, ensuring that workers' rights are upheld during any organizational change.  These rights are what are being determined in these proceedings. 

Question: Why did Local 4070 decide to sign a Non-Disclosure Agreement (NDA)?   

Answer

Local 4070 made the independent decision to sign an NDA to access the information necessary for evaluating all relevant aspects and presenting an informed position on seniority. This decision was made despite a prior mutual agreement between both Locals, under CUPE National's direction, that restrictive NDAs would not be signed. We understand that Local 4055 had already developed a seniority position and was prepared to present it to the Committee without the data—Local 4070 did not hold a similar position.  


Thank you for your attention to this important update.  Please continue to monitor your emails for updates.

Respectfully,
Your CUPE 4070 Executive Team
CUPE 4070 President - Alia Hussain
CUPE 4070 Vice-President - Bryan Hansraj - Interim
CUPE 4070 Secretary-Treasurer - Alex Grigoriev
CUPE 4070 Recording Secretary - Calvin GautschiWestJet YVR/YEG Base VP - Chris Brewer
WestJet YYC Base VP - Lisa Blayney - Interim
WestJet YWG Base VP - Bryan Hansraj - Interim
WestJet YYZ Base VP - Chris Amaddeo - InterimWestJet Encore YYC Base VP - Heather Crippen
WestJet Encore YYZ Base VP - Marcus Johnston-McKinney

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