The union representing 3,600 Workplace Safety and Insurance Board workers says the provincial Crown agency has signed contracts with U.S.-based companies in recent months at the cost of jobs and higher wages.
According to the CUPE-affiliated Ontario Compensation Employee’s Union (OCEU), the WSIB signed a contract with Iron Mountain, a Boston-based information management firm, in January that would “offshore” document management services and layoff 26 unionized employees at an undisclosed date.
The union also says the WSIB spent $14.5 million to enlist life-coaching services for employees from Austin, Texas-based BetterUp — money OCEU/CUPE Local 1750 chief steward Nicole Francis says could have paid for a four per cent wage hike at a time when unionized members are negotiating for salaries to keep up with inflation.
Both Iron Mountain and BetterUp have offices in Toronto, according to the companies’ respective websites.
“There’s a lot of question marks,” Francis told the Star at a picket line outside WSIB’s head offices in downtown Toronto Friday, “And I think the membership wants answers.”
News of the contracts comes as thousands of case managers, nurses and health specialists, and allies from other labour groups, picket outside WSIB offices in Toronto, Ottawa and elsewhere for the second day after negotiations between the OCEU and WSIB stalled ahead of a May 21 deadline to reach a new collective agreement.
Along with issues over wages, the union is looking for the WSIB to address the alleged “dangerously high” workloads employees face that are leading to worsening mental health, including depression and anxiety.
Hundreds of workers braved the rain on Thursday to march outside the WSIB head office in Toronto, and a smaller, but still spirited, crowd was back again on Friday.
Despite plans to conduct “rotating” strikes with alternating days of being in office and on the picket line, Francis said union members were planning on picketing again Monday after the WSIB allegedly locked them out of the corporation’s systems.
The WSIB previously told the Star this was not the case, although noted that the employer has “initiated its business continuity protocol” that involves turning off technology and building access for those striking.
Francis added that the WSIB has not contacted the union about restarting negotiations since the start of the strikes on Wednesday, pushing back against claims from the agency in recent days that the OCEU has been the one not committing to renewed talks.
“We want to get this deal done for the members. We want to get back to the important work we do to serve Ontarians,” Francis said. “We’re ready to go as long as the WSIB get in touch with us.”
Aaron Lazarus, WSIB vice-president of communications, confirmed that it had not contacted the union since the strikes started, but said it was because OCEU has not responded to the employer’s latest offer — a claim that union executives dispute.
Francis, along with OCEU/CUPE Local 1750 president Harry Goslin, take issue with the WSIB signing contracts with U.S. companies at a time when Canadian government officials are urging a ‘Team Canada’ approach in the face of economic policy threats from the White House.
“The message from the Prime Minister and Premier on down has been clear: we’re all in this together to protect jobs and secure our economy,” Goslin said in a press release published Wednesday. “WSIB is funded entirely by Ontario employers. It is disrespectful to put those dollars into the hands of an American company during a trade war.”
Lazarus confirmed that the WSIB had signed contracts with the two companies, but described the union’s messaging as “a desperate smokescreen to distract from the issues at the table,” in a phone call with the Star Friday.
On the Iron Mountain contract, Lazarus said the WSIB had not given any notice of layoffs and that all the Crown agency’s work with the American firm is done through its office in downtown Toronto.
Iron Mountain told the Star in an emailed statement that it has a “deep-rooted presence in Canada” and provides up to 800 jobs in nine provinces.
And on the BetterUp contract, Lazarus said he did not believe the $14.5-million figure was accurate, and that he did not think it mattered “where someone’s headquarters is” when asked if the contract money went to the Canadian or American side of the business.
BetterUp did not respond to a Star request for comment by publication time.
Lazarus added that BetterUp’s life-coaching service is providing the mental health support that unionized employees have been asking for.
“We have made improvements to mental health and coaching support over the last few years,” Lazarus said.
For Francis, the issue with BetterUp’s services is that it was only offered to union members after being offered to non-unionized employees.
