FPI seeks conciliator as union talks collapse

Talks between Fishery Products International and its unionized plant workers broke down Friday, with union officials accusing the company of cruelty.

FPI, which operates plants in eight Newfoundland communities, has applied to the provincial labour department for contract conciliation.

Earle McCurdy, president of the Fish, Food and Allied Workers Union, described the latest talks with FPI as the worst he has ever seen.

"They would strip out vacation pay, overtime, bereavement leave [and] holiday pay," said McCurdy, describing the company's offer as "an absolute insult to these people and the people they represent."

The FFAW represents about 2,000 workers at FPI processing plants. Their last contract expired more than a year ago.

Formal negotiations began Wednesday, but collapsed Friday after the union dismissed FPI's offer out of hand.

FPI is not commenting on the impasse, but said in a statement that the company needs a new agreement that "reflects the realities of the modern seafood industry and provides the flexibility to manage the business responsibly and competitively."

McCurdy said the company's latest demands are untenable and even mean-spirited, especially on issues such as bereavement leave.

"[FPI] is now saying that if your grandchild dies, instead of getting two days off, you get one, or if your wife dies, instead of getting three, you get two – that kind of stuff," he said.

"[It's] just too small for words. How much money is that possibly costing them in the run of a year?"

McCurdy said FPI is also seeking to cut the number of paid holidays, lower overtime and eliminate other benefits.

"It's like they took virtually every page out of that book and said, 'How can we chisel our employees out of this?'" McCurdy said.

"What they rolled out is not only an insult but is really an all-out assault on the working people and their families," said Allan Moulton, who chairs the union local in Marystown.

The negotiations started during one of the toughest seasons in years in the fishing industry. Prices for catches such as snow crab are low, fuel costs have spiked over past years, and the high Canadian dollar has made trading in the U.S. market difficult.

FPI said last month that it cannot survive without concessions from its workers and from the Newfoundland and Labrador government.

• FROM APRIL 26, 2006: FPI seeks concessions from government, union

The company said it has lost about $50 million over the last four years on its groundfish operations. While it has been reporting net losses in recent quarters, FPI is relying on international divisions to bring in new revenues.