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Industrial board warns union bosses not to backtrack on new B.C. port deal – CP24

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The union representing about 7,400 workers in the British Columbia port dispute has been warned by the Canada Industrial Relations Board that changing its mind about a new deal during ratification would be an “unfair labour practice.”

The board’s order issued Sunday also says the International Longshore and Warehouse Union Canada must hold a ratification vote on the deal with employers no later than Friday, and restricts both sides from commenting to the media, beyond a single joint-statement announcing the agreement.

A labour law expert said the order shows the complexity of resolving a dispute involving thousands of union members spread over large areas, who may have differing priorities for a deal.

“Certainly, the union generally tries to avoid a situation where there is a gap between negotiators and their leadership, but it’s often the case that there’s a gap between those who are negotiating an agreement at the bargaining table and the membership themselves,” said Liam McHugh-Russell, assistant professor at Dalhousie University’s Schulich School of Law.

Sunday’s warning to the union’s leadership came after a previous proposed contract was supported by union negotiators, then rejected by leaders before they changed course and recommended it to members — who then sank it in a full vote last week.

“There’s the fundamental tension between the workers … and the employer,” McHugh-Russell said. “But there’s also a tension in terms of what workers themselves want, and there’s a difficulty for the union in ensuring that all of those voices and interests get represented at the table.”

The union and the BC Maritime Employers Association announced a late-night breakthrough Sunday, saying in their joint statement they had reached a new negotiated agreement and would be recommending it to their members.

The joint statement said the new tentative deal was reached with the assistance of the industrial relations board.

The long-running dispute saw workers walk off the job at more than 30 port terminals and other sites for 13 days at the beginning of July, freezing the movement of billions of dollars worth of cargo in and out of some of Canada’s busiest ports.

McHugh-Russell said while the joint statement sounds promising, the union’s full membership vote could reject the latest proposal.

He said the challenge now for the union is to pull together the diverging voices and priorities within its membership — something it couldn’t achieve ahead of last week’s vote on the previous proposed contract.

“There is always some conflict and tension within bargaining units,” McHugh-Russell said. “No two people ever want the exact same thing from their employers. Employees with kids often want better dental plans, and employees without kids might prefer to have a slightly bigger raise.

“What we see playing out here is an example of internal tensions of a group of people, all trying to bargain collectively.”

Given the possible changes in the new agreement, McHugh-Russell said there’s now also the small possibility that individual employers represented by the BCMEA may not be completely satisfied — adding another level of uncertainty.

He said every time a deal hammered out at the table gets rejected by union members, it damages the credibility of negotiators and ultimately weakens the union’s bargaining position.

“It makes it harder to reach a deal, because both sides can’t be sure what they are saying at the table is going to stick when it comes to asking for the membership to sign off on it,” McHugh-Russell said. “The stakes are high for everyone.”

After the previous deal was voted down last week, Labour Minister Seamus O’Regan announced Saturday he was directing the industrial relations board to determine if a negotiated end to the dispute was still possible, and if not, to impose an agreement or final binding arbitration.

The industrial relations board’s order on Sunday said that if the new deal is voted down by members of either side, both the union and the employers will have two days to address O’Regan’s question whether a negotiated end to the conflict can still be achieved.

Pressure had been mounting for federal intervention if a deal failed to eventuate.

Parties including Alberta Premier Danielle Smith, the Business Council of Canada and the Canadian Federation of Independent Business have all urged the federal government to legislate an end to the dispute if it continued.

The industrial relations board’s order, posted online, also says the union must not engage in strike activity, and the employers must not conduct a lockout, until after the ratification results are known.

It also orders both sides not to speak publicly about details of the new agreement until both sides have completed their ratification votes.

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Netflix’s subscriber growth slows as gains from password-sharing crackdown subside

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Netflix on Thursday reported that its subscriber growth slowed dramatically during the summer, a sign the huge gains from the video-streaming service’s crackdown on freeloading viewers is tapering off.

The 5.1 million subscribers that Netflix added during the July-September period represented a 42% decline from the total gained during the same time last year. Even so, the company’s revenue and profit rose at a faster pace than analysts had projected, according to FactSet Research.

Netflix ended September with 282.7 million worldwide subscribers — far more than any other streaming service.

The Los Gatos, California, company earned $2.36 billion, or $5.40 per share, a 41% increase from the same time last year. Revenue climbed 15% from a year ago to $9.82 billion. Netflix management predicted the company’s revenue will rise at the same 15% year-over-year pace during the October-December period, slightly than better than analysts have been expecting.

The strong financial performance in the past quarter coupled with the upbeat forecast eclipsed any worries about slowing subscriber growth. Netflix’s stock price surged nearly 4% in extended trading after the numbers came out, building upon a more than 40% increase in the company’s shares so far this year.

The past quarter’s subscriber gains were the lowest posted in any three-month period since the beginning of last year. That drop-off indicates Netflix is shifting to a new phase after reaping the benefits from a ban on the once-rampant practice of sharing account passwords that enabled an estimated 100 million people watch its popular service without paying for it.

The crackdown, triggered by a rare loss of subscribers coming out of the pandemic in 2022, helped Netflix add 57 million subscribers from June 2022 through this June — an average of more than 7 million per quarter, while many of its industry rivals have been struggling as households curbed their discretionary spending.

Netflix’s gains also were propelled by a low-priced version of its service that included commercials for the first time in its history. The company still is only getting a small fraction of its revenue from the 2-year-old advertising push, but Netflix is intensifying its focus on that segment of its business to help boost its profits.

In a letter to shareholder, Netflix reiterated previous cautionary notes about its expansion into advertising, though the low-priced option including commercials has become its fastest growing segment.

“We have much more work to do improving our offering for advertisers, which will be a priority over the next few years,” Netflix management wrote in the letter.

As part of its evolution, Netflix has been increasingly supplementing its lineup of scripted TV series and movies with live programming, such as a Labor Day spectacle featuring renowned glutton Joey Chestnut setting a world record for gorging on hot dogs in a showdown with his longtime nemesis Takeru Kobayashi.

Netflix will be trying to attract more viewer during the current quarter with a Nov. 15 fight pitting former heavyweight champion Mike Tyson against Jake Paul, a YouTube sensation turned boxer, and two National Football League games on Christmas Day.

The Canadian Press. All rights reserved.

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