MPI workers, union talk strike preparations on Wednesday night after latest deal rejected: MGEU

Strike preparations are being discussed by unionized workers at Manitoba Public Insurance on Wednesday evening after a new deal tabled on Tuesday by the auto insurance Crown corporation was turned down, the union says.

Last Thursday, the Manitoba Government and General Employees' Union said the approximately 1,700 unionized workers with the province's public insurer voted to reject a previous contract offer in favour.

Both parties resumed bargaining this week, and the union rejected a new offer that was tabled by the employer, MPI said in a Wednesday news release.

The four-year deal included annual general wage increases of two per cent, a one per cent market adjustment on wages for about 75 per cent of union members, and a proposal to enter voluntary binding arbitration to settle general wage increases, according to MPI.

"Unfortunately, these offers have been rejected by MGEU, which confirmed that strike action would likely be pursued," Manitoba Public Insurance said in the release.

Under current labour laws, parties involved in a labour dispute can apply for binding arbitration — in which a decision is legally binding and enforceable, similar to a court order — if a strike or lockout continues for 60 days.

The unionized MPI employees work at locations in Winnipeg, Portage la Prairie, Brandon, Dauphin, Thompson, The Pas, Arborg, Beausejour, Selkirk, Steinbach and Winkler. Their last contract expired in September 2022 and negotiations have been ongoing since then.

MPI says their latest offer represents a 17 per cent monetary increase for unionized workers, and also includes expanded lump sum signing bonuses for those employees on top of other financial and benefit improvements.

Crown corporation hopes to avoid strike

But MGEU says the auto insurance Crown corporation is painting an inflated picture of that deal, as not all employees would receive the one-time payments and other enhancements.

"The reality is that their offer would provide half of these members with wage increases of just two [per cent] per year," the union said in a Wednesday news release, adding that it is looking for wage increases that keep up with the growing cost of living.

The union says members are meeting to discuss strike preparations on Wednesday evening.

There are hopes that a potential strike could be avoided, MPI said in the release, but work is underway to maintain critical services in the event of a labour interruption.

The latest development comes as a new, tentative agreement between MGEU and Manitoba Liquor & Lotteries was announced on Wednesday, which could end two weeks of provincewide strike action by about 1,400 unionized employees if ratified on Sunday.