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Employees at a massive work camp serving Imperial Oil’s Kearl oilsands mine are challenging the wholesale firing of the site’s staff after they refused to take a pay cut.
The union representing up to 400 workers at the Wapasu Creek Lodge north of Fort McMurray said they were notified April 13 that June 8 would be the last day of work for virtually all of the camp’s staff, after they dismissed contractor Civeo’s demand they take a $7-per-hour pay cut.
Civeo has told them the company would contract the work out if the staff didn’t accept the rollback, says the union.
A complaint has been lodged with the Alberta Labour Relations Board alleging unfair labour practices by a company enjoying the fruits of a massively profitable oil and gas industry, said Chris O’Halloran, executive director of the United Food and Commercial Workers Local 401.
“They’re asking for concessions when (the oil and gas sector) is making record profits — we’re not going to take a $7 rollback when inflation is at six per cent,” said O’Halloran.
More than 90 per cent of the workers voted to reject Civeo’s ultimatum last November, says the union.
Those who have been issued pink slips include kitchen, janitorial and housekeeping staff, whose hourly wages range from the low $20s to low $30s, he said.
Some, he said, have been working at the 5,174-room camp since its inception 16 years ago “and have given their time and energy to this company, and they’ve thrown them all out.”
They hail from across the province and country, with many from other provinces now permanent Alberta residents, he said.
Indigenous Civeo employee Angela Fiddler — one of those set to lose her job in June — said the company’s actions break agreements with First Nations people and undermine reconciliation with them.
“Truth and reconciliation focuses on the access of jobs and long-term, sustainable benefits from economic development projects such as Wapasu,” Fiddler said while attending a pro-labour rally in downtown Calgary on Friday.
“On behalf of the Indigenous workers at Wapasu and the non-Indigenous, we demand justice. We demand truth and reconciliation. And these jobs are rightfully ours.”
O’Halloran said Civeo undermined the union’s position by adding another year to the previous two-year contract that was to have expired Dec. 31.
Even so, there were no wage increases in the final year of that contract, he said.
“We told them we’re willing to negotiate but we believe they’ve had this in mind for a few years,” said O’Halloran.
“Normally, this is done through bargaining and settlements have been made. That would be the appropriate place to deal with this.”
Because the Wapasu camp houses Imperial Oil workers, the oilpatch giant should intervene, said O’Halloran.
Replacing the existing workers, he said, will badly disrupt the operation of the camp, which accommodates staff at Imperial Oil’s Kearl Lake mine about 10 kilometres away.
As for the labour relations board, the timing of its ruling would typically extend beyond the June 8 layoff date, he said, but the union has asked for a ruling before then.
Civeo and Imperial Oil didn’t immediately return requests for comment.
But in a letter from the employer, dated April 13, staff are told that while the layoffs are permanent, they can apply for jobs at the company’s other work camps in the region and that might be-rehired at Wabasu if need be.
“While we expect your layoff will be permanent, the collective agreement gives you the right to be recalled for 210 days from the layoff date, should we have work available for you at Wapasu Lodges,” it states.
“Although it is unfortunate that such measures must be taken, we sincerely thank you for your contribution to the organization.”
— With files from Stephanie Babych
Twitter: @BillKaufmannjrn
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