News Releases

February 17, 1999

CBC Position on CEP Strike Action

STATEMENT

Talks between the Canadian Broadcasting Corporation and the Communications, Energy and Paperworkers Union ended at 11:55 p.m., Tuesday February 16, 1999. The CEP (Unit 2) has taken legal strike action as of midnight, Tuesday, February 16.

"Over the past 72 hours at the bargaining table, we have done everything possible to forge a deal," said Cathy Sprague, Director of Human Resources, CBC English Networks. "The CBC and CEP were fortunate enough to isolate key issues, but unfortunately it was impossible to reach a settlement."

Added Sprague: "The major issues unresolved between the parties are wages, job security, and contracting out. The Corporation's position is that the offer to CEP is fair, competitive, and realistic."

THE CORPORATION'S OFFER

Yesterday, on February 16, 1999, management presented its final offer to the CEP (Unit 2) negotiating committee in an effort to avoid a work disruption. The new offer includes:

• a lump sum payment of approximately $700 in the first year of the agreement;
• a 3% base increase on June 1, 1999;
• a further 3% base increase on June 1, 2000;
• 1% of the total CEP payroll earmarked to deal with market issues;
• 1% of the total CEP payroll over a two-year period (1999-2000 and 2000-2001) to deal with job evaluation initiatives.

A FAIR AND COMPETITIVE OFFER

• CBC's offer exceeds the inflation rate over the past several years, which has been less than 2% per year.
• Base salary increases at other Canadian media companies over the past several years have been, on average, in the range of 2%.
• The offer is richer than the federal government's recent settlement with their public service employees. Most federal public service employees received base increases of 2.5% and 2%.
• The CBC and CEP both recognize the need to deal with market issues, specifically 434 employees in five job categories in Toronto and Vancouver. The offer includes a base salary increase of $2,000 for each of these employees, recognizing that their wages have fallen behind industry standards.
• The CBC refutes the CEP's claim that "we have fallen over 30 per cent behind industry standards, and we need to catch up." This "30 per cent disparity" has never been substantiated, and the Corporation believes it is simply not true. In the majority of CBC locations across Canada, total compensation for the Corporation's CEP employees is competitive within the industry, and is therefore not behind industry standards. In many cases, CBC is the standard.
• CEP members received 1% increases in each of 1996 and 1997.

A REALISTIC OFFER

• Stable government funding for the CBC does not provide for inflation and increasing costs, including wage increases. Therefore, stable funding actually represents an erosion to the CBC's available financial resources over the next several years.
• The CBC must balance fair compensation for its employees with its need to remain competitive, effective, and relevant to Canadians.
• In order for the CBC to remain viable and ensure a strong future for its employees, the Corporation must responsibly allocate its available resources not only to fair wage increases, but also to ongoing operations, new initiatives, and business development.

On behalf of the Negotiating Committee,

Cathy Sprague
Director of Human Resources
English Networks

About CBC/Radio-Canada

CBC/Radio-Canada is Canada's national public broadcaster and one of its largest cultural institutions.

CBC/Radio-Canada reaches Canadians through eight national radio and television networks, its full-service web sites, local/regional stations and affiliates, as well as the digital television channel Country Canada, and the continuous music network Galaxie.

In addition, CBC/Radio-Canada has forged partnerships with other broadcasters and is a partner in the satellite radio service SIRIUS Canada as well as in the specialty television services ARTV and The Documentary Channel. Through this array of activities, CBC/Radio-Canada brings diverse regional and cultural perspectives into the daily lives of Canadians in English, French and eight aboriginal languages.

For additional information, please contact:

Pascale Montminy
Director, Public Relations and Operations
Corporate Communications
(613) 288-6243
pascale.montminy(at)cbc.ca