A QUEEN’S UNIVERSITY IRC ARCHIVE DOCUMENT
27 March 2021
3 To summarize, all these variants of two-tier systems have the effect of dis-criminating among workers on the basis of date of hire and increase the dispersion of wages paid for the same job. [...] While the complexity and variety of wage progression systems prevents precise comparison, the impact of these airline agreements is to reduce the wage paid to new hires by between twenty and thirty percent at the first level of the progression. [...] The Board, while appearing sympathetic to the casuals, found that section 136-1 of the Canada Labour Code (as amended in 1984) restricted the union's duty of fair representation to employees' "rights under the collective agreement!' In other words, the duty applies only to grievance processing, and not to the negotiation process. [...] An in-depth analysis of the factors which have led to wage concessions in the past and the likelihood of continuing concession bargaining in the future is beyond the scope of this paper. [...] The value of a is simply the ratio of the negotiated hiring-in rate to the job rate, by definition.
wage systems; two-tier wage systems; labour costs; legal implications