Millions of dollars apart

by Doug Ashbury
Northern News Services

NNSL (Feb 04/98) - It's no wonder pay-equity talks between the GNWT and the Union of Northern Workers ground to a halt last week.

The two sides are far apart.

To resolve the decade-old dispute, government is offering $40 million to the mostly female employees claiming the back pay.

The union's position is estimated at $100 million.

Two years ago, the union's estimate was $70 million, plus subsequent interest.

On Monday, Finance Minister John Todd called the $40-million offer "fair, defendable and supportable. I defy anyone to tell me how we could even remotely meet (UNW) demands."

Union president Jackie Simpson said $40 million is good -- "as a downpayment."

Simpson said the $100-million figure is without conditions. That means final costs could be even higher.

If the GNWT has to pay more than $40 million, Northerners face more service and job cuts, Todd warned.

Asked if the union wants to see government cut more jobs and services, Simpson said: "Pay equity is not a UNW problem. It's a GNWT problem."

Todd said he hopes the UNW will take the offer to its membership for a decision.

The finance minister wants the issue resolved soon, preferably before division.

The alternative is a "long, protracted debate through the Canadian Human Rights Tribunal," he said.

He also wants pay equity negotiated along with the UNW's collective agreement. But the UNW said pay equity and its collective agreement are two separate matters. Contract talks between the two sides began Monday.

The UNW will not negotiate pay equity in conjunction with a collective agreement, Simpson said.

To address pay equity, the GNWT hired HayGroup, the world's largest human resources consulting company.

Simpson said the UNW had no role in HayGroup's study.

The $40 million figure -- which represents three per cent of the GNWT's annual budget or 10 per cent of annual employee costs -- includes a $25-million one-time payment, $9 million for a new job evaluation system and $6 million for other employee issues.

The GNWT estimates the union's position six years ago was at least $200 million.

That figure came out of a 1990-92 joint equal-pay study done by the GNWT and UNW.

Details of the GNWT's $40-million position were released at a special media briefing held Monday at the legislature building.

Pay equity emerged as a issue in 1989 when the Public Service Alliance of Canada filed a complaint for UNW.

The GNWT challenged the complaint and lost. The government also lost an appeal of that decision.

Pay equity means equal pay for equal work. It means the work of a nurse, a renewable resources officer and a general trades foreman are evaluate using common criteria.

Under the GNWT plan, and provided the employee had worked here since 1989, a nurse would get a $13,631 settlement, a social worker would get $15,707 and a school secretary would get $6,250.