Hundreds of City of New Westminster employees will be getting an 11.5 per cent wage increase over three years and two one-time payments related to inflation and staff retention.
The City of New Westminster and the Canadian Union of Public Employees, Local 387 have reached a new three-year collective agreement, effective Jan. 1, 2022. The three-year agreement covers the period of Jan. 1, 2022 to Dec. 31, 2024.
According to a press release from the City of New Westminster, the agreement provides for a wage increase of 11.5 per cent over the three-year period – three per cent in 2022, 4.5 per cent in 2023, and four per cent in 2024. It also includes a one-time inflationary support payment and a one-time retention payment.
Richard Fong, the city’s director of human resources and information technology, said employees will be receiving retroactive pay to Jan. 1, 2022. Employees will also receive an inflationary support payment and retention payment.
- A one-time inflationary support payment of 2.5 per cent will be paid to all employees at the time of ratification to support our valued staff during these high inflationary and financially challenging times.
- A one-time retention support payment of 2.0 per cent will be paid to employees who are employed as of June 2024 to support the city’s goal of recruitment and retention.
“Both these payments are designed to help with the affordability challenges workers face,” said Kathryn Davies, a communications representative with CUPE BC. “They recognize the significant impact high inflation has had and aim to address the rising cost of living and help with recruitment and retention.”
Davies said these payments haven’t been seen in past contracts in the Lower Mainland, but all contracts negotiated in this region this year have included a version of these payments.
“In terms of how much folks will receive, it varies – it’s calculated based on wages for a specific time period so it will depend on your employment status (full time vs. part time) and job classification,” she said.
Davies said the inflationary support payment is a one-time payment of 2.5 per cent of employees’ new 2022 base, straight-time hourly rate of pay (after the general wage increase application), and it’s for all employees who are employed as of the ratification date (less applicable statutory deductions).
The additional one-time retention payment of two percent will be calculated based on the employee's new base, straight-time hourly rate of pay (after the application of the general wage increases) earned between June 24, 2023 and June 21, 2024, for all employees who are employed as of June 21, 2024,” Davies said.
According to Davies, the payment will be made by Aug. 9, 2024 and is subject to statutory deductions.
“The new collective agreement was achieved through the collaborative and cooperative efforts of the city and union,” Fong said. “It represents a fair and progressive ‘made-in-New Westminster’ agreement that provides the city with labour stability until 2025.”
The parties commenced bargaining in October 2022.
In mid-October 2023, CUPE 387 posted a notice on its website stating the employer had “continually refused to engage in meaningful discussions” about key issues, which had limited the progress in reaching a new contract. It then scheduled a strike vote for Oct. 16.
After announcing the strike vote, the employer and the CUPE scheduled additional bargaining sessions – reaching a tentative agreement the day after employees took a strike vote.
According to the city’s news release, CUPE 387 ratified the new agreement with 96 per cent support. The agreement has now been approved by New Westminster city council, the New Westminster police board, and the New Westminster Public Library board.
CUPE Local 387 represents hundreds of civic service workers of the City of New Westminster and the New Westminster Public Library, as well as the civilian workers of the New Westminster Police Department.
“This agreement provides critical wage adjustments that help ease the impacts of inflation and the high cost of living, and new measures to address longs-standing recruitment and retention challenges,” CUPE 387 president Hardeep Maghera said in a press release from the union.
CUPE 387 said it represents approximately 825 workers who provide a wide range of services including road maintenance, sewer and water services, garbage collection, recreation services, library services, public safety services as well as administrative services such as accounting and payroll.
“The services our community relies on cannot be delivered if the necessary positions in our city, library and police department are vacant, and cannot be filled,” Maghera said. “Ensuring fair pay and a positive work environment is important to both workers, and the residents they serve.”
According to CUPE, other key improvements in the new collective agreement include better security for auxiliary employees, as well as improvements to mental health benefits that provide workers with increased access to a wider range of service providers.
“CUPE 387 members are proud to provide quality public services to New Westminster and we look forward to continuing to work with the city, library and police board to deliver those services to residents, businesses and visitors,” Maghera said.