Que. unions, government line up for contract talks

Quebec's Liberal government is warning public sector workers that the province can't afford to grant significant raises in the next round of contract talks because of the recession.

The province and public sector unions are preparing for a new round of contract negotiations to replace the current agreement that expires in spring 2010.

The contract talks will include teachers, health-care workers and civil servants.

The province's powerful public sector unions are still smarting from the last round of contract talks that sparked rolling strikes in every major Quebec city, and ended with Premier Jean Charest imposing a new agreement at the national assembly.

This year, Quebec faces a deficit, which has created an economic situation that "is very difficult," said Treasury Board president Monique Gagnon-Tremblay.

Adjust expectations

It means public sector workers will have to adjust their expectations, said Finance Minister Raymond Bachand.

"The private sector, all over the world, has found ways to survive while paying good wages by finding increased productivity," he said. "If not, your company disappears. So how can we [in Quebec] be more productive by organizing our work differently?"

Unions say the last contract didn't compensate for inflation, said Ann Gingras, spokeswoman for the Confédération des syndicats nationaux (CSN).

"There's a certain catch-up, a realistic catch-up, and there's also the cost of living that has to be compensated," said Gingras, adding the CSN will have a list of demands ready by the end of October.

The CSN represents about 500,000 public employees in Quebec.