Reference no: EM133433460

Case Study: Clean Right Partners is an independent, private-sector operation located in a major urban center 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 became 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 acrimonious 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 members throughout the company are somewhat anxious with this situation. The current collective agreement between the company and ASU does not contain any language regarding 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 bargaining 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
Article 20 Sick Leave
20.01 Seniority employees will accumulate a half-day per month to a maximum of six (6) days (forty-eight (48) hours) in a full calendar year. Any unused days will be paid out annually.

20.02 An employee who has not accumulated six (6) full days in his sick leave bank at the time of absence due to sickness will nevertheless receive paid sick leave to a maximum of six (6) days in the calendar year, provided:

that further sick days which are credited to his bank during the calendar year are used to reduce any outstanding balance of sick days; and

that in the event the employee ceases employment any outstanding balance will be used to reduce any other payments which may be owing by the Company.

20.03 The Company has the right to require and will pay for the cost of the medical certification for the purpose of verifying absence due to illness for an employee who is absent three (3) consecutive days or more unless there is a pattern of abuse in which case the Company may immediately request the said certification.

Major issue

increase monthly sick leave credit accumulation to two days (16 hours) per month and adjust based on this change to Article 20.01 & 20.02

Question

What bargaining strategies should the union use to address the major issue ?