CAW-CANADA/BOMBARDIER CAW-CANADA

CAW-C ANADA /B OMBARDIER
www.caw.ca
B A R G A I N I N G
R E P O R T
TECHNICAL, OFFICE AND PROFESSIONAL
JUNE 2012
HIGHLIGHTS OF THE TENTATIVE AGREEMENT
BETWEEN CAW-CANADA LOCAL 673
AND BOMBARDIER
HIGHLIGHTS
Pension
Increases
Wage
Improvements
Benefit Gains
Special
Retirement
Incentives
Message from CAW President Ken Lewenza
J
ob security is a huge
concern for workers right
across the country, and our
members at Bombardier de
Havilland are no different.
With continued economic
uncertainty, every worker,
regardless of sector, wants to
be able to know that they have
a job to go to each day, and a
way to provide for themselves and their family.
Preserving the job security clauses in the
agreements was a critical element in reaching a
deal with Bombardier Aerospace in this set of
negotiations. The company was attempting to
remove protection language that locks in current
programs. This would have allowed Bombardier to
move the work on the Dash 8, Q400 and Global
Express, if they chose to. Your committee would
not permit this to happen. The CAW Local 112
and 673 committees were ultimately successful in
maintaining the current language in the collective
agreement and locking in the next generation of
work.
In this contract, the committees were able to
improve wages, benefits and pensions for active
workers, but also obtain excellent pension
increases for our current retirees – a tremendous
credit to the union’s commitment to improving
the conditions of both active and retired workers.
I want to thank you for supporting your bargaining
committee. With your solidarity, your committee
was able to reach a first-rate collective agreement
that makes many improvements for workers at de
Havilland.
I join with your bargaining committee in
recommending ratification and urging you to vote
in favour of this tentative agreement.
Message from Gus Goncalves, Office Chairperson
T
www.caw.ca
his
round
of
negotiations was as
challenging as any we have
experienced
with
Bombardier. The company
had demands on the table
which would have not only
eliminated eligibility for
retiree health care benefits,
but also eliminated hardwon job security provisions that protect the
existing and future aircraft programs.
Despite these challenges, I am pleased to report
that the bargaining committee, on your behalf
not only rejected these demands, but were able
to negotiate improvements in all the key areas
including wages, benefits and pension, including
increases for current retirees.
Critical in these negotiations was the
maintenance of existing job security language
protecting the current aircraft programs but also
the inclusion of language securing the Global
7000/8000.
I would like to thank the membership on behalf
of the bargaining committee, for your continued
support during this set of negotiations without
which these improvements would not have been
possible.
Your bargaining committee is unanimously
recommending acceptance of this tentative
agreement.
PROPOSED CLERICAL AND TECHNICAL BASE RATE INCREASES
Salary
Group
Current
Level 3
Base Rate
Cola
Fold-in
1
2
3
4
5
6
7
8
9
10
11
12
14
$1,077.54
$1,083.67
$1,090.64
$1,100.75
$1,127.19
$1,150.19
$1,175.15
$1,201.23
$1,227.91
$1,369.18
$1,384.42
$1,416.75
$1,437.38
$38.25
$38.25
$38.25
$38.25
$38.25
$38.25
$38.25
$38.25
$38.25
$38.25
$38.25
$38.25
$38.25
FIRST YEAR
Skill
Adjust
Jun-12
New Level 3
Base Rate
Jun-12
$3.19
$3.19
$1,115.79
$1,121.92
$1,128.89
$1,139.00
$1,165.44
$1,188.44
$1,213.40
$1,239.48
$1,266.16
$1,410.62
$1,422.67
$1,458.19
$1,475.63
SECOND YEAR-1.75%
General New Level 3
Increase
Base Rate
Jun-13
Jun-13
$19.53
$19.63
$19.76
$19.93
$20.40
$20.80
$21.23
$21.69
$22.16
$24.69
$24.89
$25.51
$25.82
$1,135.31
$1,141.55
$1,148.64
$1,158.94
$1,185.83
$1,209.23
$1,234.63
$1,261.17
$1,288.32
$1,435.31
$1,447.56
$1,483.70
$1,501.46
THIRD YEAR - 2%
General New Level 3
Increase
Base Rate
Jun-14
Jun-14
$22.71
$22.83
$22.97
$23.18
$23.72
$24.18
$24.69
$25.22
$25.77
$28.71
$28.95
$29.68
$30.03
TOTALS
Total Base
Rate
Increase
Projected
Cola*
Total
Increases
$42.23
$42.46
$42.73
$43.11
$44.11
$44.98
$45.93
$46.91
$47.92
$56.58
$53.84
$58.38
$55.85
$41.25
$41.25
$41.25
$41.25
$41.25
$41.25
$41.25
$41.25
$41.25
$41.25
$41.25
$41.25
$41.25
$83.48
$83.71
$83.98
$84.36
$85.36
$86.23
$87.18
$88.16
$89.17
$97.83
$95.09
$99.63
$97.10
$1,158.02
$1,164.39
$1,171.61
$1,182.12
$1,209.55
$1,233.42
$1,259.32
$1,286.39
$1,314.09
$1,464.01
$1,476.51
$1,513.38
$1,531.49
*Inflation is projected at 1.75% in yr 1, 2% in yr 2 and 2% in yr 3 of the agreement. COLA may be higher or lower depending on actual inflation.
The June 2012 COLA adjustment of $8.25 per week will be paid as a float effective the first pay period following ratification.
PENSION
EXAMPLES: INCREASES IN WEEKLY EARNINGS
GROUP 9
Current Earnings
EXAMPLE, SINGLE MEMBER, AGED 60
WITH 30 YEARS CREDITED SERVICE
GROUP 12
$1,266.16
$1,455.00
includes $38.25 COLA includes $38.25 COLA
1ST YEAR INCREASE
skill adjustment
$0.00
*estimated COLA
$9.75
End of 1st year
2ND YEAR INCREASE
general increase
$22.16
*COLA
$15.75
End of 2nd year
3RD YEAR INCREASE
general increase
$25.77
*COLA
$15.75
End of 3rd year
$3.19
$9.75
$1,275.91
$1,467.94
$25.51
$15.75
$1,313.82
$1,509.20
$29.68
$15.75
$1,355.34
TOTAL INCREASES
general increase
$47.92
*COLA
$41.25
skill adjustment
$0.00
$89.17
$1,554.63
$55.19
$41.25
$3.19
$99.63
MONTHLY PENSION, LOCAL 673
ESTIMATED PENSION, $62
$68
$
%
AGE 60 TO 64
Current New Agreement Increase Increase
Basic Benefit
Early Retirement
Supplement
Total Company Pension
With Early CPP ($678*)
Estimated annual
Pension ages 60-64
$1,860
$2,040
$180
9.7%
$570
$2,430
$3,108
$570
$2,610
$3,288
$0
$180
7.4%
AGE 65 AND BEYOND
Current New Agreement Increase Increase
$37,296 $39,456
Total Company Pension $1,860
Canada Pension (CPP)* $678
Old Age Security Pension* $540
Total monthly Pension $3,078
Estimated annual Pension
age 65 and beyond
$36,936
$2,160
$2,040
$678
$540
$3,258
$180
5.8%
$39,096
$2,160
5.8%
*CPP and OAS pensions estimated at 2012 maximum rates. CPP and OAS
are indexed to inflation.
PENSION IMPROVEMENTS
HEALTH CARE BENEFITS
BASIC BENEFIT
The Basic Pension Benefit increases by a total of $6 per month per year of credited service over the life of this agreement:
Current Agreement:
New Agreement:
July 2012:
$62
$68
2 YEARS OF PENSION INDEXING FOR CURRENT RETIREES AND SURVIVING SPOUSES
Effective January 1, Effective January 1, 2013 and January 1, 2014 the monthly Basic Pension of members retiring prior to
June 23rd 2012 will be adjusted by 70% of the increase in the cost of living, to a maximum of 3% per year. These increases
will also apply to surviving spouse pensions.
HEALTH CARE
HEALTH
BENEFITS
CARE BENEFITS
EFFECTIVE DATES:
PARAMEDICAL SERVICES
All new coverage and benefit
amounts take effect the first day of
the month following ratification,
unless otherwise noted.
• The
combined
annual
maximum for paramedical
services (excluding Massage
Therapy) has been increased
from $600 to $650.
VISION CARE
• Maximum
reimbursement
under the vision care plan will
increase by $20 per category
to the following:
•
Single vision:
$230
•
Bifocal:
$250
•
Multifocal:
$270
•
Contact lenses $195
MAJOR MEDICAL
• The
reimbursement
for
medical forms will be
increased from $20 to $30 per
form.
PHYSIOTHERAPY
• Coverage has been increased
up to $160 for the initial visit
(@80%) and $100 for
subsequent visits (@80%).
WORK COMMITMENT
Language concerning the commitment to
the Global 7000/8000 has been
incorporated into this agreement.
PAID HOLIDAYS
• Paid holidays now include time off for
Family Day;
• An additional paid holiday in the first
year of the collective agreement.
SAFETY SHOE ALLOWANCE
The safety shoe allowance has increased to
$125.
MATERIAL LOGISTICS
DRUG PLAN
• The drug formulary date has
been adjusted to 2009.
• Protection of seniority rights within the
material logistics group.
DENTAL PLAN
• The annual maximum under
the dental plan has been
increased from $1,900 to
$2,000 per year, effective July 1
2012.
TECHNICAL GROUP
• Language included clarifying
demarcation lines between the 1220
and excluded classifications.
OTHER MEDICAL SERVICES:
• The land ambulance expense
benefit has been increased
from $60 to $70 per trip, up to
a maximum of $275 per year.
• The one year lag on the ODA
fee schedule has been
maintained.
T
• Coverage
for
medically
necessary wigs has been
increased to $600.
• Low blood pressure and
diabetes have been added to
the
medical
conditions
eligible for surgical support
stockings.
SPECIAL RETIREMENT
INCENTIVE
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he union has negotiated a total of 14
packages to be offered to retirement
eligible Local 673 members within 60 days
of ratification. The retirement packages
will be made available plant wide on an
election by seniority basis. Employees
retiring under this offer must retire within
90 days of ratification, subject to
requirements for the transfer of skills and
knowledge. The amount of the retirement
allowance offered under the program is
$40,000.
RESTRUCTURING
T
he Restructuring provisions and
Special Voluntary Retirement
Allowance provisions of the collective
agreement have been renewed.
The letter providing for the payroll pension
top-up for employees retiring under the
Special Early Retirement provisions of the
pension plan has been renewed.
TERM OF THE AGREEMENT:
PAID HOLIDAY SCHEDULE
June 23, 2012 to June 22, 2015
HOLIDAY
GROUP INSURANCE
SICKNESS AND ACCIDENTS
BENEFITS
• Coverage will now be provided for up to
1 day for colonoscopy.
EXTENDED DISABILITY BENEFITS
• The monthly extended disability benefit
increases by $50 per month, from $1,750
to $1,800, for disabilities occurring on or
after July 1, 2012.
LIFE INSURANCE AND AD&D
• Effective July 1, 2012 life Insurance
coverage increases from $70,000 to
$75,000 and AD&D increases to $37,500.
2012
2013
2014
2015
NEW YEAR'S DAY
Tues., Jan. 1
Wed., Jan. 1
Thurs., Jan. 1
FLOATER
Mon., Feb. 18
Mon., Feb. 17
Mon., Feb. 16
GOOD FRIDAY
Fri., Mar. 29
Fri., Apr. 18
Fri., Apr. 3
VICTORIA DAY
Mon., May 20
Mon., May 19
Mon., May 18
Mon., Jul. 1
Mon., Jun. 30
CANADA DAY
Mon., Jul. 2
FLOATER
Tues., Jul. 3
LABOUR DAY
Mon., Sep. 3
Mon., Sep. 2
Mon., Sep. 1
THANKSGIVING
Mon., Oct. 8
Mon., Oct. 14
Mon., Oct. 13
FLOATER
Mon., Dec. 24
Tues., Dec. 24
Wed., Dec. 24
CHRISTMAS DAY
Tues., Dec. 25
Wed., Dec. 25
Thurs., Dec. 25
BOXING DAY
Wed., Dec. 26
Thurs., Dec. 26 Fri., Dec. 26
FLOATER
Thurs., Dec. 27
Fri., Dec. 27
FLOATER
Fri., Dec. 28
Mon., Dec. 30
FLOATER
Mon., Dec. 31*
Tues., Dec. 31*
* In lieu of Civic Holiday for 2012, 2013, 2014.
OFF SHIFT PREMIUM
Mon., Dec. 29
Tues., Dec. 30
Wed., Dec. 31*
RECOMMENDATION
The off shift premium increases by $.20 in
the 2nd year of the agreement, to $1.40
per hour.
Your Master Bargaining Committee unanimously recommends
this tentative agreement and urges you to vote in favour of it.
YOUR CAW-CANADA LOCAL 673
MASTER BARGAINING COMMITTEE AT BOMBARDIER
KEN LEWENZA
CAW National President
PETER KENNEDY
National
Secretary-Treasurer
JERRY DIAS
Assistant to
the President
DAWN CARTWRIGHT
Aerospace Director
JEFF WAREHAM
National Representative,
Pensions & Benefits
PAT BLACKWOOD
Director
of Skilled Trades
MARY ELLEN MCILMOYLE
President
CAW Local 673
GUS GONCALVES
Chairperson
Bargaining Committee
Local 673
ROBIN PRIEST
Technical Representative
Local 673
RON McKENZIE
Bargaining Committee
Local 673
DARCIA PURDY
Bargaining Committee
Local 673
TONY FERRARI
Bargaining Committee
Local 673