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Gold/Mining/Energy : Canmine resources

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To: Ralph Kern who started this subject9/4/2000 1:43:34 PM
From: Marshhawk   of 2769
 
Union rejects Falconbridge offer
Official says contracting out the main stumbling block
to a deal, but company 'flabbergasted' it's still an issue
DANIEL McHARDIE
The Globe and Mail
Monday, September 4, 2000

The union that represents striking Falconbridge Ltd. workers has rejected a company offer that would have ended the month-long walkout at its Sudbury, Ont., mines and mill.

Falconbridge, the world's third-largest nickel miner, submitted its latest offer to the union in a 90-minute meeting yesterday morning in hopes of ending the strike, which has kept 1,260 workers off the job since Aug. 1.

The local union president said the company's proposal, while a step in the right direction, is still nowhere near what the workers are willing to accept.

Rolly Gauthier, president of Local 598, Mine Mill/Canadian Auto Workers, said he still doesn't think the company is taking the union seriously in the negotiations and he envisages the strike lasting another five weeks.

"In today's day and age you have to recognize the changing environment for business insofar as competition," Mr. Gauthier said. "But one thing that doesn't change is the working environment and the workplace and the rules and procedures that are required to protect the integrity of certain principles. And when that is being attacked you have to expect it to [meet] resistance."

The union president said the main stumbling block remains contracting out of work, and he added the latest package was nixed by the union negotiators because the company has shown little movement on the issue.

Falconbridge spokesman Craig Crosby said the company isn't making any significant changes to contracting-out provisions, and he is "flabbergasted" that the issue is still causing a rift.

According to the union, the company wants to replace the 300 to 400 workers scheduled to retire next year with non-unionized labour. While Falconbridge refuses to comment on the allegations, the union remains steadfast in its demand to keep new workers unionzed.

Mr. Crosby said the company wants to change the amount of union representation, as Falconbridge believes it's excessive for an organization its size.

"We've always said we have a number of things we want to change in the collective agreement to reflect the long-term business goals of Sudbury," Mr. Crosby said.

"None of this is detrimental to the employee, but has everything to do with cost."

Despite the large differences that remain, both sides are pleased with how the talks are going. Mr. Gauthier said it's a good sign the two sides continue to meet.

Falconbridge and the union negotiators met for several hours Friday, despite a noon deadline imposed by the company. The two sides continued discussions for an hour late Saturday. It was after the late-night talks that the company pieced together its latest offer.

While he wasn't willing to prognosticate on the length of the strike, Mr. Crosby said a deal could come shortly if talks continue.

Negotiations are expected to resume today.

"I was hoping it would be done Friday. Right now I'm hoping for the best. If negotiations are called off it could be a month [before work resumes]," he said.

Falconbridge shares rose 25 cents to $19.30 in Toronto trading Friday. They've fallen 25 per cent this year.
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