Yellowknife (Mar 10/03) - Unionized workers at Sirius Diamonds have voted to reject a first contract negotiated by the Union of Northern Workers (UNW).

The tentative agreement went to the employees for ratification in mid-February.

UNW president Todd Parsons said the vote was completely unexpected by local union leaders and negotiator Moray Ritchie.

"It was a surprise, very much so," said Parsons.

Ritchie, based in Toronto, is with the Public Service Alliance (PSA), the national body that negotiated the agreement for the UNW.

The Union of Northern Workers is a component of the PSA.

About 20 sawyers, brillianteers, bruters and laser workers are unionized at Sirius, the only organized diamond polishing works in Canada.

The agreement addressed wages, statutory holidays, layoff and severance pay, hours of work and overtime, sick leave, and annual holidays.

Parsons would not disclose the vote results or comment on why the package was turned down.

He also would not say whether members had instructed the UNW to reopen negotiations with the company.

"They did give us some direction but I can't comment on what that was."

The agreement will now go back to the strategy committee where it will be looked at by the negotiator and the national president of the Public Service Alliance, Parsons said.

He also said the union is in a legal strike position if authorized by the national president, but wouldn't comment on whether that is being considered.

Sirius Diamonds president Stephen Ben-Oleil said he hasn't yet heard from the UNW but guessed the union will ask to reopen negotiations.

Plant manager Peter Finnemore said he too isn't sure what happens next.

"That is up to the union. The company has no plans whatsoever to lock out employees," he said.

The UNW was certified as the bargaining agent for Sirius workers in early 2001.

Prior to agreeing on the tentative first contract, relations between the union and the company were typically strained.

Two years ago, three Sirius employees applied unsuccessfully to the Canadian Industrial Relations Board to have the union decertified.

The union, in turn, has filed several unfair labour practices against the company.