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Local 7, Communications Energy and Paper Workers

Representing 1,300 Manitoba Workers


Updated September 18

Rallies Held to Save MTS Pensions

TEAM, one of the union's representing MTS employees, held rallies on September 17 and 18 to protest changes MTS Allstream wants to make to the pension plan. If management had their way, the economic security and the dignity provided by the current defined benefits plan would be replaced by a more precarious and expensive defined contribution model.

Topics discussed at these rallies included TEAM bargaining and the impact it may have on CEP and IBEW members. The two critical bargaining issues in the TEAM talks concern CEP members as well - the future of the MTS employees' pension plan and an improved and inclusive employee benefit plan.

Speaking at the first rally, MFL President Darlene Dziewit said "Some, including the employer, argue that moving new employees to a Defined Contribution Pension Plan will not affect any of the current members of TEAM. They are dead wrong. By creating an ever diminishing pool of Defined Benefit Plan members, the proponents of the DC type of plan will ensure that improvements to the DB plan can never occur. The plan will whither on the vine.

"If the MTS bargaining team thinks that the Manitoba Labour Movement will stand by while it attacks the pensions of our members, then it had better think again. We know the effectiveness of solidarity and collective action."

Barbara Byers, executive vice-president of the Canadian Labour Congress told the workers "MTS Allstream is getting bad advice. The company is putting its employees' retirement prospects in jeopardy to chase apparent short-term savings. Experience elsewhere has shown that this strategy only leads to higher expenses, litigations and difficulty hiring and retaining employees.

"The Canadian Labour Congress is on the side of MTS Allstream employees to say 'No to uncertainty! No to poverty!' We are calling on MTS Allstream to stop attacking and undermining its employees' DB pension plan. Pensions are deferred wages and a highly-profitable company like MTS Allstream should make sure that its workers have the best possible retirement prospects."

On the pension front, the message from MTS is that the company is attempting to bargain an agreement that allows them to place new hires into an inferior defined contribution plan. Not only would this create an unfortunate two tiered pension plan, this step would place the existing defined benefit pension plan into jeopardy.

TEAM is also fighting hard to improve benefits for their members. All three unions with members at MTS, including IBEW and CEP, are united in their demands for a fair and reasonable benefit program which is on par with the kinds of benefits enjoyed in other Manitoba workplaces. CEP Local 7 members have no vision care benefits, clerical part-time employees are excluded from the plan and the company makes no matching premium payments when it comes to important health and Pharmacare benefits.

It is important that we at CEP recognize the importance of supporting TEAM during these challenging times. It will not be long before CEP is at the bargaining table fighting for the very same issues and benefits. All Local 7 members must remember that it is only by standing together with TEAM and IBEW that we will be successful in protecting rights that all MTS employees deserve!