Read the material in Appendix C (included below). Create two proposals as a management team that can be presented to the union party. 

 
 

Appendix C Contract Negotiation Simulation Clean Right Partners Inc. You will be provided with further information and instruc- tions regarding the analysis and a possible renewal of the collective agreement provided below between Clean Right Partners Incorporated and the Allied Service Union Canada. The outlined collective agreement has an expiry date listed in this simulation which may be altered by your instructor. Background Clean Right Partners is an independent, private-sector op- eration located in a major urban centre in your province. The company was established in 1997 by brothers Michael and Zack Cummings. The brothers had previously owned a chain of dry cleaning stores which they sold to open Clean Right Partners. Their initial clients were two area hospitals and one nursing home. Due to the entrepreneurial spirit of the two brothers, the business grew quickly and over the next two decades has become a major player in health care, industrial uniform and linen cleaning services in the region. Clean Right Partners was unionized on two occasions: first, in 2007, for production and maintenance personnel (a total of 110 full-time and part-time staff represented by SEIU); then in 2010, by Allied Services Union Canada (ASU) for drivers and loading dock employees(a total of 19 full-time and part-time).The company has a small human resources department with a director, health and safety coordinator, benefits coordinator, HR assistant and HR clerk-receptionist. The HR director handles all union-related matters with the support from time-to-time of outside legal counsel. There have been two prior collective agreements between ASU and the company. While the first collective agreement was achieved with the help of mediation after a rather acrimo- nious start, the second round of bargaining proceeded to a successful conclusion without the threats of either a strike or a lockout. While Clean Right Partners is a major player in the health care and industrial uniform and linen markets in their region, there has been a strong rumour over the last six months of a possible corporate acquisition by a renowned provincial cleaning and linen service company. The Cummings brothers are approaching retirement age yet maintain they are not entertaining any overtures from this or any other potential buyer. Needless to say, union mem- bers throughout the company are somewhat anxious with this situation. The current collective agreement between the 290 company and ASU does not contain any language regard- ing contracting out or mergers and acquisition scenarios that may affect bargaining unit members. Issues Arising Under the Collective Agreement The union's business agent, union local president and bar- gaining committee began a concerted intra-organizational bargaining process with their parent union's business agent and legal counsel, union local leaders and the general membership once notice to bargain had been served on the company. The following priorities for the upcoming round of bargaining included: FOR THE UNION Union security-delete Article 1.02 (e) and demand hiring more part-time employees to cover vacation leaves. Vacation entitlement-increase entitlements-Two weeks (4%) after one year but less than three (3) years; three weeks (6%) after three (3) years' service but less than seven (7) years; Four-weeks (8%) after seven (7) years but leless than eleven (11 years); and five (5) weeks (10%) after eleven (11) years (Article 11). Management rights-eliminate language "who has acquired seniority" from current Article 3.01. Compensation-increase annual shoe allowance to $175 per year (Article 11.03). Compensation-cost-of-living adjustment to be nego- tiated in new contract (New). Hours of work-language guaranteeing minimum # of hours reporting pay if shift is cancelled. (New). Seniority-reduce probationary period (after which seniority is accumulated) from one hundred and eighty (180) calendar days to sixty (60) calendar days; and will have no seniority rights during that period (Article 14.02). Leaves of absence-add any leave of absence language into the agreement in keeping with any LOA intro- duced by government through employment standards or other legislation during the term of the expired agreement. Negotiate up to ten paid days for any approved LOA now not paid by employer (New). Job posting-eliminate second paragraph of Article 17.01. FO Reply...