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In search of parity : the Hospital Employees’ Union in the British Columbia long term care industry Angel, Elizabeth Sharon 1985

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IN SEARCH OF PARITY: THE HOSPITAL EMPLOYEES' UNION IN THE BRITISH COLUMBIA LONG TERM CARE INDUSTRY by ELIZABETH SHARON ANGEL Honours B.A., York U n i v e r s i t y , 1975 A THESIS SUBMITTED IN PARTIAL FULFILMENT OF THE REQUIREMENTS FOR THE DEGREE OF MASTER OF SCIENCE " B U S I N E S S A D M I N I S T R A T I O N i n THE FACULTY OF GRADUATE STUDIES Department Of Commerce And B u s i n e s s A d m i n i s t r a t i o n We accept t h i s t h e s i s as c o n f o r m i n g t o the r e q u i r e d s t a n d a r d THE UNIVERSITY OF BRITISH COLUMBIA A p r i l 1985 © E l i z a b e t h Sharon A n g e l , 1985 I n p r e s e n t i n g t h i s t h e s i s i n p a r t i a l f u l f i l m e n t o f t h e r e q u i r e m e n t s f o r an advanced degree a t t h e U n i v e r s i t y o f B r i t i s h C o l u m b i a , I agree t h a t t h e L i b r a r y s h a l l make i t f r e e l y a v a i l a b l e f o r r e f e r e n c e and s t u d y . I f u r t h e r agree t h a t p e r m i s s i o n f o r e x t e n s i v e c o p y i n g o f t h i s t h e s i s f o r s c h o l a r l y purposes may be g r a n t e d by t h e head o f my department o r by h i s o r her r e p r e s e n t a t i v e s . I t i s u n d e r s t o o d t h a t c o p y i n g o r p u b l i c a t i o n o f t h i s t h e s i s f o r f i n a n c i a l g a i n s h a l l n o t be a l l o w e d w i t h o u t my w r i t t e n p e r m i s s i o n . Department o f Commerce and Business A d m i n i s t r a t i o n The U n i v e r s i t y o f B r i t i s h Columbia 1956 Main Mall Vancouver, Canada V6T 1Y3 Date A p r i l 26 , 1985 DE-6 (3/81) i i A b s t r a c t In the decade between 1974 and 1984, u n i o n c e r t i f i c a t i o n s f o r s e r v i c e workers i n the B.C. l o n g term c a r e i n d u s t r y i n c r e a s e d from twenty-one t o one hundred and f o u r t e e n . From 1976 t o 1984 wages i n c r e a s e d as much as two hundred pe r c e n t i n some f a c i l i t i e s w h i l e the c o s t of l i v i n g , went up by n i n e t y p e r c e n t . These s u b s t a n t i a l changes were due l a r g e l y t o the e f f o r t s of the H o s p i t a l Employees' Union (HEU). The HEU wanted to expand i n t o l o n g term c a r e and a t t a i n f o r i t s l o n g term care members the r a t e s found i n i t s a c u t e c a r e Master Agreement. T h i s t h e s i s a n a l y z e s the development of the HEU as the p r i n c i p a l u nion r e p r e s e n t i n g s e r v i c e workers i n l o n g term c a r e and the e x t e n t t o which the Union was s u c c e s s f u l i n a c h i e v i n g i t s g o a l s . P r e v i o u s t o 1973 l o n g term c a r e u nions had d i f f i c u l t y a c h i e v i n g f i r s t c o l l e c t i v e agreements due t o employer i n t r a n s i g e n c e . I n v o k i n g S e c t i o n 73 of the p r o v i n c i a l Labour  Code, they c o u l d c i r c u m v e n t t h i s problem t h r o u g h a r b i t r a t e d s e t t l e m e n t s , t h u s removing one of the major impediments t o union growth. The growth of n o n - p r o f i t f a c i l i t i e s a f t e r 1978, brought about by p u b l i c f u n d i n g of the i n d u s t r y , a c t e d as a c a t a l y s t t o union growth. In n o n - p r o f i t f a c i l i t i e s employer r e s i s t a n c e t o o r g a n i z i n g was l e s s than i n p r o p r i e t a r y f a c i l i t i e s and bed c a p a c i t i e s were g e n e r a l l y l a r g e r , making o r g a n i z i n g l e s s c o s t l y f o r u n i o n s . In 1984 the HEU h e l d more than t w o - t h i r d s of a l l c e r t i f i c a t i o n s i n l o n g term c a r e . The Union was more w i l l i n g t o make use of S e c t i o n 73 than the o t h e r l o n g term c a r e u n i o n s . I t a l s o had f i n a n c i a l and o r g a n i z a t i o n a l r e s o u r c e s t h a t c o n t r i b u t e d t o i t s o r g a n i z i n g s u c c e s s i n the i n d u s t r y . There are two employers' a s s o c i a t i o n s i n l o n g term c a r e , the H e a l t h Labour R e l a t i o n s A s s o c i a t i o n (HLRA) and the C o n t i n u i n g Care Employee R e l a t i o n s A s s o c i a t i o n (CCERA). CCERA w i l l l i k e l y emerge as the dominant employers' a s s o c i a t i o n i n the i n d u s t r y . CCERA's f o r e r u n n e r , the l a b o u r r e l a t i o n s f u n c t i o n of the Long Term Care A s s o c i a t i o n , was set up by n o n - p r o f i t l o n g term c a r e employers w i t h the h e l p of the p r o v i n c i a l government to p r o v i d e an a l t e r n a t i v e t o HLRA as HLRA m a i n l y r e p r e s e n t s a c u t e c a r e employers. However, through a r b i t r a t i o n the HEU has been a b l e t o e s t a b l i s h i t s Master Agreement as the a p p r o p r i a t e r a t e of r e m u n e r a t i o n f o r l o n g term c a r e employees. The g r e a t e r c o n s o l i d a t i o n of b a r g a i n i n g s t r u c t u r e t h a t has o c c u r r e d and the c r e a t i o n of a s e p a r a t e l o n g term c a r e employers' a s s o c i a t i o n does not appear t o have p r e v e n t e d t h i s outcome. Through a r b i t r a t e d and n e g o t i a t e d s e t t l e m e n t s , the HEU has a c h i e v e d Master Agreement r a t e s , or a t l e a s t 95% of Master Agreement r a t e s , i n a l l of i t s l o n g term c a r e f a c i l i t i e s e xcept f o r t h o s e w i t h o u t f i r s t c o l l e c t i v e agreements, or those t h a t a c h i e v e d f i r s t c o l l e c t i v e agreements a f t e r the Compensation S t a b i l i z a t i o n Program was implemented. A r b i t r a t o r s agreed w i t h the HEU's p o s i t i o n t h a t i t s l o n g term c a r e members were e n t i t l e d t o the same r a t e s of pay as i t s members i n g e n e r a l h o s p i t a l s , as the work performed was comparable. However, u n t i l t he i n d u s t r y became p u b l i c l y funded i n 1978, they f e l t o b l i g e d t o c o n s i d e r the employer's a b i l i t y t o pay an i n c r e a s e . From 1978 on a r b i t r a t i o n awards more c l o s e l y i v r e f l e c t e d Master Agreement r a t e s . However, i t was not u n t i l government o f f i c i a l s p u b l i c l y s t a t e d t h a t the c o s t s of a r b i t r a t e d s e t t l e m e n t s would be c o v e r e d by the M i n i s t r y of H e a l t h t h a t a r b i t r a t o r s c o n s i s t e n t l y began t o award Master Agreement r a t e s . The Compensation S t a b i l i z a t i o n A c t , passed i n 1982, has had the e f f e c t of p r e v e n t i n g the a t t a i n m e n t of Master Agreement r a t e s i n a l l HEU f a c i l i t i e s . A l t h o u g h a r b i t r a t o r s have c o n t i n u e d t o award the Master Agreement, the Commissioner has r e j e c t e d many of the r e s u l t i n g "compensation p l a n s " s t a t i n g t h a t the proposed i n c r e a s e s f a l l o u t s i d e the Program's G u i d e l i n e s . In A p r i l 1985 l o n g term c a r e workers r e p r e s e n t e d a p p r o x i m a t e l y t h i r t e e n p e r c e n t of the HEU's t o t a l membership. Exp a n s i o n i n t o t h i s i n d u s t r y has i n c r e a s e d s i g n i f i c a n t l y the Union's s i z e . I t i s u n l i k e l y , however, t h a t the HEU has yet b e n e f i t e d f i n a n c i a l l y from t h i s growth. S i n c e t h e r e a re f i v e o t h e r unions i n the i n d u s t r y , the HEU i s u n l i k e l y t o ever be the s o l e r e p r e s e n t a t i v e of l o n g term c a r e s e r v i c e w o r k e r s . However, the HEU h o l d s s e v e n t y - s e v e n c e r t i f i c a t i o n s i n the i n d u s t r y w h i l e the union w i t h the next l a r g e s t membership h o l d s o n l y t w e l v e c e r t i f i c a t i o n s . The h e a l t h c a r e union c l e a r l y has come t o dominate l o n g term c a r e . V Table of C o n t e n t s A b s t r a c t . . i i L i s t of T a b l e s . . . v i i L i s t of F i g u r e s v i i i Acknowledgement i x Chapter 1 INTRODUCTION 1 Chapter 2 HISTORY OF RESIDENTIAL LONG TERM CARE FOR THE ELDERLY IN B.C. . 7 I . INTRODUCTION 7 I I . THE NATIONAL HEALTH GRANTS PROGRAM 1948, THE B.C. HOSPITAL INSURANCE PROGRAM 1949, AND GROWTH OF FACILITIES IN THE PRIVATE SECTOR 8 I I I . THE HOSPITAL INSURANCE AND DIAGNOSTIC SERVICES ACT (HIDS) AND THE EXTENDED CARE PROGRAM 12 IV. THE UPGRADING OF COMMUNITY CARE FACILITIES 14 V. THE FEDERAL-PROVINCIAL FISCAL ARRANGEMENTS AND ESTABLISHED PROGRAMS FINANCING ACT 197 7 AND THE B.C LONG TERM CARE PROGRAM 17 V I . CONCLUSION 2 4 Chapter 3 ORGANIZATION AND REPRESENTATION 28 I . INTRODUCTION 28 I I . DETERMINANTS OF UNION GROWTH 29 A. Economic F a c t o r s 29 B. S t r u c t u r a l F a c t o r s 31 C. P u b l i c P o l i c y F a c t o r s 34 I I I . PUBLIC POLICY DETERMINANTS OF UNION GROWTH IN B.C. LONG TERM CARE 38 A. U n i o n i z a t i o n In Long Term Care To 1984 41 B. Labour L e g i s l a t i o n C o n t r i b u t i n g To Union Growth 45 C. The Impact Of The Long Term Care Program On Union Growth 52 IV. UNION CHARACTERISTICS AS A DETERMINANT OF UNION GROWTH IN B.C. LONG TERM CARE 54 A. The HEU 54 B. Why The HEU Has Been So S u c c e s s f u l O r g a n i z i n g v i . In Long Term Care 58 V. CONCLUSION 66 Chapter 4 THE EVOLUTION OF BARGAINING STRUCTURE 70 I . INTRODUCTION .70 I I . DETERMINANTS OF CENTRALIZATION IN B.C. LONG TERM CARE 73 I I I . THE EVOLUTION OF BARGAINING STRUCTURE IN B.C. LONG TERM CARE ..78 A. H e a l t h Labour R e l a t i o n s A s s o c i a t i o n .......... 79 B. The Long Term Care A s s o c i a t i o n And The C o n t i n u i n g Care Employee R e l a t i o n s A s s o c i a t i o n . Of B.C 86 C. P r o p r i e t a r y F a c i l i t i e s 95 D. F u t u r e Trends In B a r g a i n i n g S t r u c t u r e 97 IV. CONCLUSION 102 Chapter 5 INTEREST ARBITRATION: THE HEU AND THE MASTER AGREEMENT ..106 I . INTRODUCTION 106 I I . INTEREST ARBITRATION: THE EMPLOYER DECISION 115 A. I n t e r e s t A r b i t r a t i o n A l t e r n a t i v e s In Long Term Care 115 B. How I n t e r e s t A r b i t r a t i o n O c c u r r e d In Long Term Care 119 I I I . AN ANALYSIS OF THE AWARDS 128 A. Phase I 130 B. Phase 11(a) 133 C. Phase 1 K b ) 138 D. Phase I I I 143 IV. CONCLUSION 152 Chapter 6 SUMMARY AND CONCLUSIONS 157 BIBLIOGRAPHY 169 APPENDIX A - LIST OF STATUTES 176 APPENDIX B - LIST OF INTEREST ARBITRATIONS 177 APPENDIX C - LIST OF LABOUR RELATIONS BOARD DECISIONS ...180 APPENDIX D - COMPENSATION STABILIZATION PROGRAM RULINGS .181 v i i L i s t of T a b l e s I . Number and c a p a c i t y of r e s i d e n t i a l f a c i l i t i e s f o r the e l d e r l y . . 22 I I . Long term care, s e r v i c e employee c e r t i f i c a t i o n s 42 I I I . I n t e r e s t a r b i t r a t i o n s i n l o n g term c a r e 108,109,110,111,112,113 IV. Terms under which a r b i t r a t i o n s o c c u r r e d by type of f a c i l i t y 120 V. Terms under which a r b i t r a t i o n s o c c u r r e d by employer a s s o c i a t i o n 121 v i i i L i s t of F i g u r e s 1. Long term c a r e s e r v i c e employee c e r t i f i c a t i o n s by year and k i n d of f a c i l i t y ...44 2. Long term c a r e s e r v i c e employee c e r t i f i c a t i o n s by year and union 59 .3. B a r g a i n i n g s t r u c t u r e i n B.C. l o n g term c a r e - HLRA ....86 4. B a r g a i n i n g s t r u c t u r e i n B.C. l o n g term c a r e - CCERA ...92 Acknowledgement Above a l l , I would l i k e t o thank Dr. Thomas K n i g h t f o r t h e t i m e , energy and enthusiasm he has g i v e n t o t h i s p r o j e c t . I a l s o want t o e x p r e s s my a p p r e c i a t i o n t o Dr. Mark Thompson f o r h i s support throughout the program. Thanks are a l s o due t o Dr. J i l l Graham f o r her encouragement and the thoroughness w i t h which she read my d r a f t s . T h i s p r o j e c t c o u l d not have been completed w i t h o u t the co-o p e r a t i o n of r e p r e s e n t a t i v e s of s e v e r a l o r g a n i z a t i o n s . In p a r t i c u l a r , I would l i k e to r e c o g n i z e o f f i c i a l s from CCERA, the HEU, HLRA and P r i c a r e f o r the amount of time they were w i l l i n g t o spend w i t h me and the candor of t h e i r responses t o my quest i o n s . 1 CHAPTER 1 INTRODUCTION T h i s t h e s i s p r e s e n t s a study of the growth of t r a d e u n i o n i s m and c o l l e c t i v e b a r g a i n i n g among s e r v i c e workers i n the l o n g term c a r e i n d u s t r y of B.C. In 1974, lon g term c a r e f a c i l i t i e s f o r the e l d e r l y were the l a r g e s t group of h e a l t h c a r e i n s t i t u t i o n s o u t s i d e of B r i t i s h Columbia's g e n e r a l h o s p i t a l s h a v i n g s t a f f c o n t i n g e n t s l a r g e enough t o make o r g a n i z i n g a p o s s i b i l i t y . 1 S e r v i c e employees predominate i n these f a c i l i t i e s . They h o l d p o s i t i o n s such as cook, maintenance worker, l a u n d r y a i d e and n u r s e s ' a i d e . D u r i n g the past decade, the number of lon g term c a r e f a c i l i t i e s w i t h union c e r t i f i c a t i o n s f o r s e r v i c e employees has r i s e n from a p p r o x i m a t e l y t wenty-one 2 t o one hundred and f o u r t e e n . 3 A l t h o u g h the t o t a l number of f a c i l i t i e s f o r the e l d e r l y has a l s o i n c r e a s e d d u r i n g t h i s p e r i o d , f a c i l i t i e s i n which s e r v i c e employees were r e p r e s e n t e d by a union c o m p r i s e d a p p r o x i m a t e l y f i v e p e r c e n t of the t o t a l i n 1976" w h i l e i n 1984 they account f o r twenty-seven p e r c e n t . 5 The l a t t e r f i g u r e r e p r e s e n t s a s u b s t a n t i a l p r o p o r t i o n of a l l f a c i l i t i e s w i t h a l a r g e enough s t a f f t o make o r g a n i z i n g p r a c t i c a l f o r a u n i o n . Thus, over t h i s p e r i o d t h e r e has been s i g n i f i c a n t growth i n the 2 u n i o n i z e d s e c t o r of the l o n g term c a r e i n d u s t r y . When the H o s p i t a l Employees' Union (HEU) began o r g a n i z i n g i n e a r n e s t i n l o n g term c a r e , i t was a l r e a d y the e s t a b l i s h e d b a r g a i n i n g agent f o r s e r v i c e workers i n the g e n e r a l h o s p i t a l s of B r i t i s h Columbia. One of the g o a l s of the Union i n a t t e m p t i n g to expand i n t o l o n g term c a r e was t o b r i n g the wages of the workers i n these f a c i l i t i e s , then g e n e r a l l y c l o s e t o the l e g a l minimum, i n t o l i n e w i t h employees i n g e n e r a l h o s p i t a l s . By i n c l u d i n g l o n g term c a r e workers among i t s members, the Union would a l s o be expanding i t s sphere of i n f l u e n c e i n the h e a l t h c a r e f i e l d . R e g i s t e r e d and graduate n u r s e s have been r e p r e s e n t e d by t h e i r own union s i n c e 1956 (McGeough 1981, p.10). The H e a l t h S c i e n c e s A s s o c i a t i o n , r e p r e s e n t i n g the o n l y o t h e r l a r g e group of h o s p i t a l w o r k e r s - - p a r a p r o f e s s i o n a l s - - w a s c e r t i f i e d i n 1971 (Sykes and S e t h i 1982, p . 5 3 ) . T h e r e f o r e , i f the HEU was t o expand i t s power s u b s t a n t i a l l y w i t h i n B.C. h e a l t h c a r e , i t would have t o do so among a group of u n o r g a n i z e d h e a l t h s e r v i c e w o r k e r s . Between 1976 and 1984 wages p a i d many l o n g term c a r e s e r v i c e workers i n c r e a s e d at a much g r e a t e r r a t e than r i s e s i n the c o s t of l i v i n g . Due t o the u n a v a i l a b i l i t y of c e r t a i n d a t a , i t was not p o s s i b l e t o determine the e x t e n t t o which wages have i n c r e a s e d i n each l o n g term c a r e f a c i l i t y d u r i n g t h i s p e r i o d . However, i n the extreme, wages i n c r e a s e d over two hundred p e r c e n t 6 w h i l e the c o s t of l i v i n g went up n i n e t y p e r c e n t i n r o u g h l y the same s t r e t c h of t i m e . 7 For example, i n one p r i v a t e h o s p i t a l the s t a r t i n g r a t e f o r a n u r s e s ' a i d e was t h r e e d o l l a r s 3 per hour as of J a n . 1, 1976. By A p r i l 1, 1983 the r a t e f o r the same p o s i t i o n was $9.23. 8 Both the l a r g e growth i n u n i o n i z a t i o n and the s u b s t a n t i a l i n c r e a s e i n remuneration t h a t many l o n g term c a r e workers have en j o y e d a r e due l a r g e l y t o the e f f o r t s of the H o s p i t a l Employees' U n i o n . The HEU h o l d s more than t w o - t h i r d s of a l l c e r t i f i c a t i o n s f o r s e r v i c e workers i n l o n g term c a r e and, i n most c a s e s , i t i s i n HEU f a c i l i t i e s t h a t t h e s e huge monetary g a i n s have been made. T h i s t h e s i s a n a l y z e s the development of the HEU as the p r i n c i p a l u n i o n r e p r e s e n t i n g s e r v i c e workers i n l o n g term c a r e . I t seeks t o e x p l a i n how the HEU has come t o dominate the i n d u s t r y i n terms of the number of c e r t i f i c a t i o n s i t h o l d s . I t documents the e v o l u t i o n of b a r g a i n i n g s t r u c t u r e i n l o n g term c a r e t o show how employers have a t t e m p t e d , w i t h v a r y i n g s u c c e s s , to c o n s o l i d a t e t h e i r power as a r e a c t i o n t o the s t r e n g t h of the U n i o n . In the m a j o r i t y of HEU f a c i l i t i e s i n which workers have a c h i e v e d l a r g e wage g a i n s , these r e s u l t s were a c h i e v e d through the use of i n t e r e s t a r b i t r a t i o n . In o r d e r t o determine how the HEU has used a r b i t r a t i o n t o i t s advantage and t o what e x t e n t i t has been s u c c e s s f u l i n r a i s i n g wages th r o u g h t h i s p r o c e s s , the a r b i t r a t i o n c a s e s t h a t have taken p l a c e i n l o n g term c a r e are a n a l y z e d . In any j u r i s d i c t i o n , p u b l i c p o l i c i e s e x i s t which w i l l a f f e c t the degree of u n i o n i z a t i o n and, once u n i o n i z a t i o n has o c c u r r e d , c o l l e c t i v e b a r g a i n i n g outcomes i n an i n d u s t r y . Most N o r t h American l a b o u r l e g i s l a t i o n i n c l u d e s s e c t i o n s i n t e n d e d t o 4 p r o t e c t the r i g h t of unions t o o r g a n i z e and, once they a re c e r t i f i e d , t o e s t a b l i s h c o l l e c t i v e b a r g a i n i n g r e l a t i o n s h i p s w i t h an employer. The 1973 Labour Code of B.C. c o n t a i n e d i n n o v a t i v e s e c t i o n s s p e c i f i c a l l y p r o t e c t i n g u n i o n s from employer o p p o s i t i o n t o u n i o n i z a t i o n . I r o n i c a l l y , i t was not these s e c t i o n s but another p r o v i s i o n of the Code c o n c e r n i n g b a r g a i n i n g d i s p u t e s i n e s s e n t i a l s e r v i c e s t h a t c o n t r i b u t e d most t o the d r a m a t i c improvements f o r workers t h a t o c c u r r e d i n the i n d u s t r y . In a d d i t i o n t o s p e c i f i c l a b o u r l e g i s l a t i o n , o t h e r p u b l i c p o l i c i e s such as changes i n government f u n d i n g programs and wage c o n t r o l s have a f f e c t e d u n i o n i z a t i o n l e v e l s and c o l l e c t i v e b a r g a i n i n g outcomes i n B.C. lon g term c a r e . Whether i n t e n d e d f o r t h i s purpose or n o t , government p o l i c i e s c l e a r l y have been i n s t r u m e n t a l f o r the HEU i n a c h i e v i n g i t s s u c c e s s . Other p o l i c i e s , however, have had the e f f e c t of p r e v e n t i n g the Union from a c h i e v i n g even f u r t h e r g a i n s . The i n f l u e n c e of these f a c t o r s on the HEU's s t r a t e g y and e f f e c t i v e n e s s w i l l be a n a l y z e d i n d e t a i l i n t h i s h i s t o r y of c o l l e c t i v e b a r g a i n i n g among s e r v i c e employees i n the l o n g term c a r e i n d u s t r y . In w r i t i n g a h i s t o r y , e s p e c i a l l y one as r e c e n t as t h i s , the pr i m a r y source of i n f o r m a t i o n must be the i n d i v i d u a l s who have been i n v o l v e d i n the a c t u a l e v e n t s as they have u n f o l d e d . Government o f f i c i a l s and union and management r e p r e s e n t a t i v e s i n l o n g term c a r e were i n t e r v i e w e d t o g a i n f a c t u a l i n f o r m a t i o n and to l e a r n about t h e i r i n t e n t i o n s i n t a k i n g the a c t i o n s t h a t they d i d . These f a c t s i n c l u d e d s i g n i f i c a n t d a t e s , i n f o r m a t i o n about 5 the i n t e r n a l s t r u c t u r e of c e r t a i n o r g a n i z a t i o n s , government f u n d i n g s t r u c t u r e s and the f a c i l i t i e s i n v o l v e d i n p a r t i c u l a r b a r g a i n i n g s t r u c t u r e s . Documents such as government s t a t u t e s , i n t e r e s t a r b i t r a t i o n awards, and c e r t i f i c a t i o n d a t e s , r e c o r d e d at the B.C. Labour R e l a t i o n s Board, p r o v i d e d f u r t h e r d a t a . The c o l l e c t i v e b a r g a i n i n g l i t e r a t u r e and r e s e a r c h on h e a l t h c a r e l a b o u r r e l a t i o n s i n p a r t i c u l a r was a l s o c o n s u l t e d i n o r d e r t o e l a b o r a t e on the b a s i c c o n c e p t s t h a t p r o v i d e a framework f o r each stage of the a n a l y s i s which f o l l o w s . Chapter 2 d e s c r i b e s the e v o l u t i o n and s t r u c t u r e of i n s t i t u t i o n a l l o n g term c a r e i n B.C. i n o r d e r t o e x p l a i n the major c h a r a c t e r i s t i c s of the d i f f e r e n t k i n d s of l o n g term c a r e f a c i l i t i e s f o r the e l d e r l y . Chapter 3 t r a c e s the h i s t o r y of o r g a n i z a t i o n and r e p r e s e n t a t i o n i n the i n d u s t r y and i d e n t i f i e s the f a c t o r s t h a t have c o n t r i b u t e d , t o the growth of u n i o n i z a t i o n i n l o n g term c a r e . Chapter 4 examines the b a r g a i n i n g s t r u c t u r e i n t h i s i n d u s t r y : how i t has e v o l v e d and why i t has e v o l v e d i n t h i s way. Chapter 5 a n a l y z e s the e f f e c t of i n t e r e s t a r b i t r a t i o n on c o l l e c t i v e b a r g a i n i n g outcomes i n l o n g term c a r e . In c o n c l u s i o n , an e v a l u a t i o n of the l e v e l of s u c c e s s a c h i e v e d by the HEU w i l l be u n d e r t a k e n , and the f a c t o r s r e s p o n s i b l e f o r the Union's s u c c e s s w i l l be summarized. 6 FOOTNOTES 1. R e s i d e n t i a l f a c i l i t i e s f o r the m e n t a l l y i l l , the o t h e r l a r g e group of l o n g term c a r e f a c i l i t i e s , a r e , i n g e n e r a l so s m a l l they o f t e n have no s t a f f beyond t h e i r owners. 2. Each f a c i l i t y has a s e p a r a t e c e r t i f i c a t i o n . C e r t i f i c a t i o n d a t e s a r e r e c o r d e d at the B.C. Labour R e l a t i o n s Board. T h i s f i g u r e i s f o r 1974. I t i s a pproximate because i t does not i n c l u d e c e r t i f i c a t i o n s t h a t went "dormant" i . e . no c o l l e c t i v e agreement was e s t a b l i s h e d between the p a r t i e s . A l s o , i t does not t a k e account of changes i n c e r t i f i c a t i o n s due t o r a i d s or f a c i l i t y c l o s u r e s . 3. As of A p r i l 1984. 4. The number of f a c i l i t i e s was p r o v i d e d by the Long. Term Care Program, M i n i s t r y of H e a l t h , except f o r the p r i v a t e h o s p i t a l s f i g u r e s which were found i n : Canadian H o s p i t a l A s s o c i a t i o n , Canadian H o s p i t a l D i r e c t o r y ( T o r o n t o : Canadian H o s p i t a l A s s o c i a t i o n , 1976), p~. 179f . 5. The 1984 f i g u r e s were p r o v i d e d by the Long Term Care Program, M i n i s t r y of H e a l t h . 6. T h i s f i g u r e was c a l c u l a t e d by t a k i n g the l o w e s t h o u r l y r a t e f o r n u r s e s ' a i d e s at Altamont P r i v a t e H o s p i t a l as of J a n . 1, 1976, and the r a t e f o r the comparable c l a s s i f i c a t i o n as of A p r i l 1, 1 9 8 3 i n the same f a c i l i t y . The l o w e s t p a i d n u r s e s ' a i d e s at Altamont were r e c e i v i n g the p r o v i n c i a l minimum i n January 1976. In A p r i l 1983 they were b e i n g p a i d a t the same r a t e as n u r s e s ' a i d e s c o v e r e d by the HEU-HLRA Master Agreement. Except i n a v e r y few c a s e s , Master Agreement r a t e s are the h i g h e s t i n the l o n g term c a r e i n d u s t r y f o r s e r v i c e workers. 7. These f i g u r e s were c a l c u l a t e d u s i n g Vancouver Consumer P r i c e Index f i g u r e s from S t a t i s t i c s Canada. The l a s t month f o r which f i g u r e s were a v a i l a b l e was August 1984. 8. The f a c i l i t y r e f e r r e d t o i s Altamont P r i v a t e H o s p i t a l . 7 CHAPTER 2 HISTORY OF RESIDENTIAL LONG TERM CARE FOR THE ELDERLY IN B.C. I . INTRODUCTION P r e v i o u s t o the Second World War, l i t t l e a t t e n t i o n was p a i d i n B r i t i s h Columbia t o the c a r e of the e l d e r l y . The m a t e r n a l d e a t h r a t e and deaths due t o d i s e a s e s such as t u b e r c u l o s i s , r u b e l l a and v e n e r e a l d i s e a s e were so h i g h t h a t most m e d i c a l r e s o u r c e s were c h a n n e l l e d i n t o c a r i n g f o r the v i c t i m s of these i l l n e s s e s . McPhee (1977, p.2) su g g e s t s t h a t t h o s e i n d i v i d u a l s who a c t u a l l y reached o l d age were c o n s i d e r e d t o be v e r y l u c k y . By 1950, the p i c t u r e had changed. Improved s a n i t a t i o n and advances i n the f i e l d of m e d i c i n e meant t h a t i n B r i t i s h Columbia over seventy p e r c e n t of deaths were o c c u r r i n g among i n d i v i d u a l s over s i x t y y e a r s of age (McPhee 1977, p . 2 ) . Wi t h the growth i n the g e r i a t r i c p o p u l a t i o n has come g r e a t e r demand f o r i n s t i t u t i o n a l c a r e f o r the e l d e r l y . A c c o r d i n g l y , the number of f a c i l i t i e s p r o v i d i n g r e s i d e n t i a l s e r v i c e s f o r t h i s segment of the p o p u l a t i o n has i n c r e a s e d d r a m a t i c a l l y s i n c e WW I I . D u r i n g t h i s p e r i o d , the c h a r a c t e r i s t i c s of these f a c i l i t i e s has a l s o changed. I n i t i a l l y a f a c i l i t y f o r the e l d e r l y p r o v i d e d e i t h e r n u r s i n g c a r e or a p l a c e t o l i v e f o r i n d i v i d u a l s who were a b l e t o c a r e f o r t h e m s e l v e s . Today, f i n e r g r a d a t i o n s of l o n g term c a r e 8 encompassing both of these former c a t e g o r i e s e x i s t . In any f a c i l i t y , one or more of these l e v e l s of c a r e may be p r o v i d e d . Where almost a l l f a c i l i t i e s were once p r i v a t e l y owned, today the m a j o r i t y a r e owned and o p e r a t e d by n o n - p r o f i t s o c i e t i e s . These changes have taken p l a c e g r a d u a l l y and r e s u l t e d from p u b l i c p o l i c y d e c i s i o n s made a t both the f e d e r a l and p r o v i n c i a l l e v e l s of government. T h i s c h a p t e r t r a c e s the e v o l u t i o n of t h e s e c h a r a c t e r i s t i c s of f a c i l i t i e s f o r the e l d e r l y i n B r i t i s h Columbia so t h a t the reader may g a i n a b e t t e r u n d e r s t a n d i n g of the k i n d s of f a c i l i t i e s i n which c o l l e c t i v e b a r g a i n i n g e v e n t u a l l y o c c u r r e d . I I . THE NATIONAL HEALTH GRANTS PROGRAM 1948, THE B.C. HOSPITAL  INSURANCE PROGRAM 1949, AND GROWTH OF FACILITIES IN THE PRIVATE  SECTOR In the immediate post-war p e r i o d i t was p r e d o m i n a n t l y the p r i v a t e s e c t o r t h a t took over c a r e of the e l d e r l y . The f u n d i n g of h e a l t h c a r e which came about through the i n t r o d u c t i o n of two government programs, the N a t i o n a l H e a l t h G r ants Program at the f e d e r a l l e v e l and the B.C. H o s p i t a l I nsurance Program at the p r o v i n c i a l l e v e l , d i d not a p p l y t o t h i s k i n d of c a r e , l e a v i n g the p r i v a t e s e c t o r t o f i l l the gap. The N a t i o n a l H e a l t h G r a n t s Program was i n t e n d e d as the f i r s t s t e p towards a n a t i o n a l h o s p i t a l i n s u r a n c e scheme which, t o t h a t d a t e , the f e d e r a l government had f a i l e d t o enact due'to the o p p o s i t i o n of some p r o v i n c i a l governments t h a t b e l i e v e d t h e i r autonomy would be t h r e a t e n e d i f a n a t i o n a l p l a n were 9 implemented (SPARC 1980, pp.11-12). The main t h r u s t of t h i s l e g i s l a t i o n was the p r o v i s i o n of g r a n t s f o r the c o n s t r u c t i o n of new h o s p i t a l s and o t h e r c a p i t a l e x p e n d i t u r e s . In B.C. n e a r l y a l l t h e money made a v a i l a b l e f o r c o n s t r u c t i o n was a p p l i e d t o bed space i n a c u t e c a r e h o s p i t a l s . A l t h o u g h the f e d e r a l l e g i s l a t i o n a l l o w i n g f o r the c o n s t r u c t i o n g r a n t s d i d not s p e c i f y the k i n d s of h e a l t h c a r e i n s t i t u t i o n s t o be b u i l t , i n o r d e r to be e l i g i b l e f o r the g r a n t s i t was n e c e s s a r y f o r a p r o v i n c i a l government t o submit a r e p o r t t o Ottawa s p e c i f y i n g the p r o v i n c e ' s h e a l t h c a r e c o n s t r u c t i o n needs. The r e p o r t s e t t i n g out B.C.'s r e q u i r e m e n t s f o r i n s t i t u t i o n a l h e a l t h c a r e was w r i t t e n by J.A. H a m i l t o n and A s s o c i a t e s . I t p r e s e n t e d a twenty-year h o s p i t a l program f o r the p r o v i n c e . The r e p o r t recommended t h a t c o n s t r u c t i o n of new h o s p i t a l s f o r s p e c i a l groups be a v o i d e d . O u t p a t i e n t and community s e r v i c e s , as w e l l as r e s i d e n t i a l f a c i l i t i e s a l r e a d y i n o p e r a t i o n , were t o meet the needs of those i n d i v i d u a l s , i n c l u d i n g many s e n i o r c i t i z e n s , who r e q u i r e d t r e atment but d i d not belong i n g e n e r a l h o s p i t a l s (1949, p.16). Soon a f t e r the N a t i o n a l H e a l t h G r a n t s Program was i n t r o d u c e d , B.C. became the second p r o v i n c e a f t e r Saskatchewan t o implement a h o s p i t a l i n s u r a n c e program (SPARC 1980, p.14). Such a p l a n was n e c e s s a r y because h o s p i t a l c o s t s were s k y r o c k e t i n g due t o g r e a t e r s o p h i s t i c a t i o n i n t r e a t m e n t , and a t the same time economic c o n d i t i o n s were poor and many i n d i v i d u a l s d i d not have enough d i s p o s a b l e income to pay f o r the c a r e they r e q u i r e d . 1 Treatment of a c u t e i l l n e s s , a c t i v e t r e a t m e n t f o r 10 c h r o n i c i l l n e s s and d i s a b i l i t y , and o u t p a t i e n t t r e a t m e n t and d i a g n o s t i c s e r v i c e s were t o be p r o v i d e d under the Program (McPhee 1977, p . 5 ) . "Long term c a r e , " the c a t e g o r y w i t h i n which f a c i l i t i e s f o r the e l d e r l y f e l l , was not an i n s u r e d b e n e f i t . These a c t i o n s on the p a r t of the two l e v e l s of government meant t h a t no funding..: f o r the b u i l d i n g of l o n g term c a r e f a c i l i t i e s was a v a i l a b l e and no money would be f o r t h c o m i n g f o r the o p e r a t i n g c o s t s of t h i s k i n d of f a c i l i t y . B e f o r e the Second World War, i n s t i t u t i o n a l h e a l t h c a r e was p r o v i d e d by p u b l i c and p r i v a t e h o s p i t a l s . P u b l i c h o s p i t a l s were not o p e r a t e d f o r p r o f i t , a c c e p t e d a l l p a t i e n t s r e g a r d l e s s of t h e i r a b i l i t y t o pay, and were o f f i c i a l l y r e c o g n i z e d as p u b l i c h o s p i t a l s by the p r o v i n c e , making them e l i g i b l e f o r p r o v i n c i a l and, where a p p r o p r i a t e , m u n i c i p a l g r a n t s . The m a j o r i t y of p u b l i c h o s p i t a l s were run by community groups. Roughly one t h i r d were o p e r a t e d by r e l i g i o u s o r g a n i z a t i o n s , e s p e c i a l l y the C a t h o l i c s i s t e r h o o d . 2 P r i v a t e h o s p i t a l s r e s t r i c t e d t h e i r c a r e t o p a t i e n t s who c o u l d a f f o r d t o pay the r a t e s d e t e r m i n e d by the management (Department of H e a l t h 1949, p . 9 ) . When p r o v i n c i a l h o s p i t a l i n s u r a n c e came i n t o e f f e c t , i t a p p l i e d o n l y t o p u b l i c h o s p i t a l s . B e f o r e 1949, many i n d i v i d u a l s would have o b t a i n e d t r e a t m e n t i n p r i v a t e h o s p i t a l s because t h e i r own h o s p i t a l i n s u r a n c e p l a n would have c o v e r e d c a r e i n e i t h e r a p u b l i c or p r o p r i e t a r y f a c i l i t y . S i n c e u n i v e r s a l h o s p i t a l i n s u r a n c e c o v e r e d o n l y p u b l i c h o s p i t a l c a r e , and h e a l t h c a r e i n p u b l i c h o s p i t a l s i t s e l f was i m p r o v i n g due t o c a p i t a l e x p e n d i t u r e s on equipment and beds, the number of p a t i e n t s 11 s e e k i n g a c u t e c a r e i n p r i v a t e h o s p i t a l s d e c l i n e d d r a m a t i c a l l y . These developments were o c c u r r i n g at, the same time t h a t the p r o p o r t i o n of the aged i n the p o p u l a t i o n was r i s i n g . The r e s u l t was t h a t p r i v a t e h o s p i t a l s became the p r i n c i p a l r e s i d e n t i a l f a c i l i t y f o r s e n i o r c i t i z e n s who r e q u i r e d n u r s i n g c a r e . 3 For e l d e r l y p e o p l e needing a p l a c e t o l i v e where room and board and h e l p w i t h the a c t i v i t i e s of d a i l y l i v i n g were p r o v i d e d , r e s t homes and b o a r d i n g homes f o r the aged, l i c e n s e d under the W e l f a r e I n s t i t u t i o n s L i c e n s i n g Act (S.B.C. 1937, c.78), s u p p l i e d t h e s e s e r v i c e s . There were both p r o p r i e t a r y and n o n - p r o f i t w e l f a r e i n s t i t u t i o n s f o r the e l d e r l y . A l t h o u g h some p r o p r i e t a r y w e l f a r e i n s t i t u t i o n s were l o c a t e d on the same grounds as p r i v a t e h o s p i t a l s and had common ownership, the m a j o r i t y were s m a l l "mom and pop" o p e r a t i o n s o f t e n found i n s i n g l e - f a m i l y d w e l l i n g s . N o n - p r o f i t f a c i l i t i e s , on average , had much l a r g e r bed c a p a c i t i e s but they c o m p r i s e d o n l y a s m a l l m i n o r i t y of w e l f a r e i n s t i t u t i o n s . They were i n c o r p o r a t e d under the S o c i e t i e s Act (R.S.B.C. 1948, c.311) and t h e i r boards of d i r e c t o r s r e p r e s e n t e d s e r v i c e , e t h n i c or r e l i g i o u s o r g a n i z a t i o n s . Both p r o p r i e t a r y ( w e l f a r e i n s t i t u t i o n s and p r i v a t e h o s p i t a l s ) and n o n - p r o f i t ( w e l f a r e i n s t i t u t i o n s ) f a c i l i t i e s were r e q u i r e d t o t a k e a p o r t i o n of t h e i r r e s i d e n t s or p a t i e n t s from t h a t segment of the p o p u l a t i o n unable t o pay t h e i r own way. W e l f a r e r e s i d e n t s , as they were c a l l e d , had t h e i r c a r e p a i d f o r by the Department of S o c i a l W e l f a r e , which l a t e r became the M i n i s t r y of Human Re s o u r c e s . P a y i n g r e s i d e n t s or p a t i e n t s i n 12 p r o p r i e t a r y f a c i l i t i e s were charged a r a t e t h a t i n c l u d e d a p r o f i t margin. N o n - p r o f i t f a c i l i t i e s charged t h e i r p a y i n g r e s i d e n t s the minimum fee n e c e s s a r y t o keep the f a c i l i t y o p e r a t i o n a l . Thus, because a c u t e c a r e was p u b l i c l y funded w h i l e l o n g term c a r e was n o t , p r o p r i e t a r y o p e r a t o r s . and n o n - p r o f i t s o c i e t i e s took over c a r e of the e l d e r l y a f t e r WW I I . A l t h o u g h l o n g term c a r e f a c i l i t i e s a re funded p r e s e n t l y by the p r o v i n c i a l government, they a r e s t i l l o p e r a t e d by e i t h e r p r i v a t e owners or n o n - p r o f i t o r g a n i z a t i o n s . I l l . THE HOSPITAL INSURANCE AND DIAGNOSTIC SERVICES ACT (HIPS)  AND THE EXTENDED CARE PROGRAM In 1957 the f e d e r a l government passed the H o s p i t a l  I n s u r a n c e and D i a g n o s t i c S e r v i c e s A c t (HIPS) (S.C. 1956-57, c . 2 8 ) . The Act p r o v i d e d f o r a n a t i o n a l program i n which the f e d e r a l government would pay a p p r o x i m a t e l y h a l f of the c o s t s i n c u r r e d by the p r o v i n c e s f o r acute c a r e and most r e h a b i l i t a t i o n , p s y c h i a t r i c , and l o n g term c a r e f a c i l i t i e s i n  g e n e r a l h o s p i t a l s . C o s t - s h a r i n g was a l s o a v a i l a b l e f o r c o n v a l e s c e n t c a r e , extended c a r e , and r e h a b i l i t a t i o n programs i n r e s i d e n t i a l f a c i l i t i e s o u t s i d e of g e n e r a l h o s p i t a l s . S p e c i f i c a l l y e x c l u d e d from the Act were l o n g term c a r e i n s t i t u t i o n s t h a t s e r v e d s o l e l y as c u s t o d i a l c a r e f a c i l i t i e s . In o r d e r t o r e c e i v e f e d e r a l s u p p o r t , the p r o v i n c i a l governments had t o f u l f i l l c e r t a i n c o n d i t i o n s i n the a d m i n i s t r a t i o n of t h e i r own programs. One of these c o n d i t i o n s was t h a t o n l y a m i n i m a l 13. d a i l y u s e r ' s f e e ( i n B.C. one d o l l a r p e r day u n t i l 1976) c o u l d be c h a r g e d t o p a t i e n t s i n r e s i d e n t i a l f a c i l i t i e s . The B. C. g o v e r n m e n t r e s p o n d e d t o t h e o p p o r t u n i t i e s c r e a t e d by t h e H o s p i t a l I n s u r a n c e a n d D i a g n o s t i c S e r v i c e s A c t by e s t a b l i s h i n g c o v e r a g e p r o g r a m s i n t h e a r e a s i n w h i c h f u n d i n g w o u l d now be f o r t h c o m i n g . On S e p t e m b e r 1,1960, t h e B r i t i s h C o l u m b i a g o v e r n m e n t began f u n d i n g r e h a b i l i t a t i o n , c h r o n i c , and c o n v a l e s c e n t c a r e . The g o a l o f t h e p r o g r a m was t o i n c r e a s e t h e bed c a p a c i t i e s o f f a c i l i t i e s p r o v i d i n g t h e s e k i n d s o f t r e a t m e n t and t o i m p r o v e t h e s t a n d a r d s o f c a r e b e i n g g i v e n by them (BCHIS 1960, p.WlO). On December 1, 1965 an e x t e n d e d h o s p i t a l c a r e p r o g r a m was a d d e d . Under t h e 1960 p r o g r a m e l i g i b i l i t y h a d been d e t e r m i n e d by w h e t h e r o r n o t t h e p a t i e n t was j u d g e d t o be c a p a b l e of i m p r o v e m e n t t o t h e p o i n t where he o r s h e c o u l d be d i s c h a r g e d . U n d e r t h e new p r o g r a m , i n d i v i d u a l s w e r e e l i g i b l e f o r c o v e r a g e i f t h e y r e q u i r e d c o n t i n u i n g m e d i c a l s u p e r v i s i o n and were i n n e e d of s k i l l e d n u r s i n g s e r v i c e s t w e n t y - f o u r h o u r s a day (BCHIS 1965, p . R 1 3 ) . T h e s e e l i g i b l i t y r e q u i r e m e n t s were d e s i g n e d t o accommodate t h e e l d e r l y and i t was t h i s g r o u p t h a t was t o c o m p r i s e t h e v a s t m a j o r i t y of p a t i e n t s i n t h e E x t e n d e d C a r e P r o g r a m . C h a r g e s t o t h e p a t i e n t w e r e t h e same as f o r a l l o t h e r r e s i d e n t i a l t r e a t m e n t p r o g r a m s u n d e r H I P S : one d o l l a r p e r d a y . The P r o g r a m became o p e r a t i o n a l s oon a f t e r i t was a n n o u n c e d when a number o f g e n e r a l a n d r e h a b i l i t a t i o n h o s p i t a l s c o n v e r t e d some of t h e i r f l o o r s p a c e i n t o e x t e n d e d c a r e u n i t s and o t h e r s began c o n s t r u c t i o n o f new b u i l d i n g s d e s i g n e d s p e c i f i c a l l y f o r t h i s 1 4 . . p u r p o s e . * P r i v a t e h o s p i t a l s s u f f e r e d a s a r e s u l t o f t h e E x t e n d e d C a r e P r o g r a m . When t h e P r o g r a m g o t u n d e r way i t was e s t i m a t e d t h a t a p p r o x i m a t e l y s i x t y p e r c e n t o f t h e p a t i e n t s i n p r i v a t e h o s p i t a l s a t t h a t t i m e w o u l d be e l i g i b l e f o r c o v e r a g e ( B e l l 1 9 6 8 , - p . 3 4 ) . The l o s s o f many of t h e s e i n d i v i d u a l s t o e x t e n d e d c a r e u n i t s meant t h a t t h e s e f a c i l i t i e s were f o r c e d t o t a k e i n a l a r g e r p r o p o r t i o n o f w e l f a r e p a t i e n t s . The w e l f a r e r a t e was a l w a y s l o w e r t h a n t h a t c h a r g e d p r i v a t e p a t i e n t s , a n d o w n e r s c l a i m e d t h a t t h i s s i t u a t i o n was c a u s i n g them f i n a n c i a l h a r d s h i p . I n f a c t , a few o w n e r s d i d c l o s e down t h e i r o p e r a t i o n s . O t h e r s s o l d t h e i r f a c i l i t i e s t o t h e g o v e r n m e n t o r t o n o n - p r o f i t o r g a n i z a t i o n s , a n d a t l e a s t one p r i v a t e h o s p i t a l c h a n g e d o w n e r s h i p a n d became a p r o p r i e t a r y c o mmunity c a r e f a c i l i t y . T h u s , t h e number o f p r i v a t e h o s p i t a l s began t o d e c l i n e i n t h e 1960s. T h i s d e c l i n e may a l s o h a v e been due i n p a r t t o t h e p o l i c y o f t h e p r o v i n c i a l g o v e r n m e n t o f n o t l i c e n s i n g any new p r i v a t e h o s p i t a l s a f t e r 1969. I t seems u n l i k e l y , h o w e v e r , t h a t many p r i v a t e h o s p i t a l s w o u l d h a v e o p e n e d a t t h i s t i m e i n any c a s e , g i v e n t h e m o u n t i n g c o m p e t i t i o n f r o m t h e p u b l i c s e c t o r . I V . THE UPGRADING OF COMMUNITY CARE F A C I L I T I E S I n 1969, t h e p r o v i n c i a l g o v e r n m e n t p a s s e d t h e Community  C a r e F a c i l i t i e s L i c e n s i n g A c t (S.B.C. 1969, c.4) t o r e p l a c e t h e W e l f a r e I n s t i t u t i o n s L i c e n s i n g A c t . When t h e new A c t was f i r s t p a s s e d i t d i d n o t d i f f e r g r e a t l y f r o m t h e f i n a l v e r s i o n s o f t h e W e l f a r e I n s t i t u t i o n s L i c e n s i n g A c t . S u b s e q u e n t amendments, . 1 5 h o w e v e r , r e f l e c t e d t h e f a c t t h a t f a c i l i t i e s o f t h i s k i n d were m o v i n g away f r o m a p u r e l y c u s t o d i a l f u n c t i o n a nd i n t o " t r e a t m e n t , r e h a b i l i t a t i v e a n d r e c r e a t i o n a l programmes." (S.B.C. 1972, C.13.S.16) I n g e n e r a l , t h e new l e g i s l a t i o n was more c o n c e r n e d w i t h t h e q u a l i t y o f c a r e p r o v i d e d t h a n was t h e W e l f a r e I n s t i t u t i o n s L i c e n s i n g A c t . The B.C. M i n i s t r y o f H e a l t h p u b l i s h e d "The B r i t i s h C o l u m b i a C l a s s i f i c a t i o n o f T y p e s o f H e a l t h C a r e " i n 1973. The l e v e l s o f c a r e d e f i n e d were Type 1 ( P e r s o n a l C a r e ) , Type 2 ( I n t e r m e d i a t e C a r e ) , 5 Type 3 ( E x t e n d e d C a r e ) , Type 4 ( A c t i v a t i o n and R e h a b i l i t a t i o n ) , a nd Type 5 ( A c u t e C a r e ) . The f i r s t t h r e e l e v e l s were f o u n d i n l o n g t e r m c a r e f a c i l i t i e s f o r t h e e l d e r l y . The d i s t i n c t i o n s b e t ween t h e t y p e s o f c a r e r e f l e c t t h e d e g r e e o f m e d i c a l s u p e r v i s i o n r e q u i r e d a nd t h e f u n c t i o n a l a b i l i t y o f p a t i e n t s . Community c a r e f a c i l i t i e s p r o v i d e Type 1 and Type 2 c a r e , p r i v a t e h o s p i t a l s p r o v i d e Type 2 and some Type 3 c a r e , and e x t e n d e d c a r e u n i t s Type" 3 c a r e . When u n i o n i z a t i o n f i r s t began i n l o n g t e r m c a r e , t h e k i n d s o f c a r e p r o v i d e d by a f a c i l i t y l a r g e l y d e t e r m i n e d w h e t h e r o r n o t i t w o u l d be o r g a n i z e d . T h i s w i l l be e x p l a i n e d i n C h a p t e r 3. I n 1974 t h e G r e a t e r V a n c o u v e r R e g i o n a l H o s p i t a l D i s t r i c t (GVRHD), w i t h i n w h i c h t h e m a j o r i t y o f l o n g t e r m c a r e f a c i l i t i e s were t o be f o u n d , p u b l i s h e d a r e p o r t on t h e s t a t e o f i n t e r m e d i a t e c a r e w i t h i n i t s j u r i s d i c t i o n . The r e p o r t i d e n t i f i e d an a c u t e s h o r t a g e o f f a c i l i t i e s p r o v i d i n g t h i s k i n d of c a r e and s t a t e d t h a t t h e s i t u a t i o n w o u l d w o r s e n o v e r t i m e u n l e s s some a c t i o n were t a k e n . I n an a t t e m p t t o f i n d a s o l u t i o n 16 t o t h i s p r o b l e m , t h e GVRHD a d m i n i s t e r e d a q u e s t i o n n a i r e t o a s s e s s e x i s t i n g i n s t i t u t i o n s a s t o t h e i r p h y s i c a l a p p r o p r i a t e n e s s f o r i n t e r m e d i a t e c a r e , i n w h o l e o r i n p a r t . The r e s u l t s o f t h e s u r v e y showed t h a t i n t h e G r e a t e r V a n c o u v e r R e g i o n , two h u n d r e d p e r s o n a l c a r e b e d s were s u i t a b l e f o r i n t e r m e d i a t e c a r e and 3286 p e r s o n a l c a r e a n d p r i v a t e h o s p i t a l b e ds w o u l d be s u i t a b l e i f s m a l l c h a n g e s were made t o them (GVRHD 1974, p . 1 0 ) . I n r e s p o n s e t o t h i s n e e d f o r more i n t e r m e d i a t e l e v e l b e d s , t h e p r o v i n c i a l g o v e r n m e n t was a b l e t o p e r s u a d e a number of o p e r a t o r s o f co m m u n i t y c a r e f a c i l i t i e s t o u p g r a d e t h e i r s t a f f a n d b u i l d i n g s so t h a t t h e y w o u l d be a b l e t o p r o v i d e i n t e r m e d i a t e c a r e . I n r e t u r n , t h e co m m u n i t y c a r e f a c i l i t i e s w o u l d be p e r m i t t e d t o c h a r g e p a y i n g p a t i e n t s more and w o u l d r e c e i v e a h i g h e r w e l f a r e r a t e f o r t h o s e p a t i e n t s who were u n a b l e t o p a y . 6 P r i v a t e h o s p i t a l s a l s o b e gan t o a d m i t i n t e r m e d i a t e p a t i e n t s b e c a u s e t h o s e i n d i v i d u a l s r e q u i r i n g e x t e n d e d c a r e now were a d m i t t e d t o p u b l i c u n i t s . Where c o m m u n i t y c a r e f a c i l i t i e s h a d o n c e p r o v i d e d o n l y p e r s o n a l c a r e , t h e o v e r a l l r e s u l t o f t h e s e c h a n g e s was t h a t a s u b s t a n t i a l p o r t i o n were now s u p p l y i n g o n l y i n t e r m e d i a t e c a r e , o r a c o m b i n a t i o n o f t h e two k i n d s o f c a r e . 17 V. THE FEDERAL-PROVINCIAL F I S C A L ARRANGEMENTS AND ESTABLISHED  PROGRAMS FINANCING ACT 1977 AND THE B.C LONG TERM CARE PROGRAM B e f o r e 1978 t h e r e were w i d e v a r i a t i o n s i n t e r m s of t h e c o s t s t o p a t i e n t s o f d i f f e r e n t k i n d s o f c a r e . I n M e t r o p o l i t a n V a n c o u v e r , i n t h e l a t e 1960s, p a y i n g p a t i e n t s i n p r i v a t e h o s p i t a l s were c h a r g e d d a i l y r a t e s r a n g i n g f r o m $.10.00 t o a s h i g h a s $25.00 d e p e n d i n g on t h e k i n d o f a c c o m m o d a t i o n and q u a l i t y o f t h e f a c i l i t y ( B e l l 1968, p . 1 6 ) . The p e r d i e m r a t e s i n n o n - p r o f i t w e l f a r e i n s t i t u t i o n s ( c o m m u n i t y c a r e f a c i l i t i e s ) r a n g e d f r o m $2.50 t o $3.50 and p a t i e n t s i n e x t e n d e d c a r e u n i t s w ere s t i l l o n l y p a y i n g $1.00 p e r day ( B e l l 1968, p . 1 6 ) . Q u a l i t y o f c a r e a l s o v a r i e d g r e a t l y . Many p r o p r i e t a r y i n s t i t u t i o n s p r o v i d e d c a r e t h a t was i n f e r i o r t o c o m p a r a b l e non-p r o f i t o r g o v e r n m e n t - r u n f a c i l i t i e s . McPhee r e f e r s t o two s t u d i e s r e f l e c t i n g t h i s f a c t . The f i r s t i s c i t e d by F o u l k e s i n h i s r e p o r t on h e a l t h and h e a l t h c a r e i n B.C. He r e f e r s t o a s u r v e y o f p r i v a t e h o s p i t a l s u n d e r t a k e n by t h e B r i t i s h C o l u m b i a H o s p i t a l I n s u r a n c e S e r v i c e i n w h i c h i t was f o u n d t h a t " s t a n d a r d s o f a d m i n i s t r a t i o n , b e d s i d e r e c o r d s , e t c . a r e v e r y much l o w e r t h a n t h o s e e n c o u n t e r e d i n t h e g e n e r a l h o s p i t a l s o f t h e p r o v i n c e . " (McPhee 1977, p . 5 1 ) 7 The s e c o n d was a s t u d y u n d e r t a k e n i n K e l o w n a i n 1973 w h i c h showed t h a t "63.3 p e r c e n t o f p a t i e n t s i n p r i v a t e h o s p i t a l s and b o a r d i n g homes ha d no h o b b i e s n o t e v e n r e a d i n g , and 25 p e r c e n t d i d n o t i n t e r a c t w i t h any o t h e r r e s i d e n t s . " (McPhee 1977, p.5.1) 8 R e g u l a t i o n s t h a t a p p l i e d t o t h e r e s p e c t i v e l i c e n s i n g a c t s g o v e r n i n g p r i v a t e h o s p i t a l s and c o m m u n i t y c a r e f a c i l i t i e s were r a r e l y e n f o r c e d . T h i s was due t o 18 an i n s u f f i c i e n t number of i n s p e c t o r s , f i n e s t h a t were so low t h e y were i n e f f e c t i v e i n p r e v e n t i n g v i o l a t i o n s o f t h e l i c e n s i n g a c t , and a r e l u c t a n c e on t h e p a r t o f t h e g o v e r n m e n t t o r e s c i n d l i c e n s e s when a c h r o n i c s h o r t a g e o f l o n g t e r m b e d s e x i s t e d . The f e d e r a l g o v e r n m e n t c o n t i n u e d u n t i l 1977 t o f u n d p r o v i n c i a l h o s p i t a l i n s u r a n c e p r o g r a m s i n t h e manner s e t o u t i n t h e 1957 H o s p i t a l I n s u r a n c e and D i a g n o s t i c S e r v i c e s A c t . D u r i n g t h e m i d - 1 9 7 0 s , r a p i d c o s t i n c r e a s e s o c c u r r e d i n t h e h o s p i t a l s e c t o r . I n 1977 t h e F e d e r a l - P r o v i n c i a l F i s c a l A r r a n g e m e n t s and  E s t a b l i s h e d P r o g r a m s F i n a n c i n g A c t ( S . C . 1976-77, c.10) was p a s s e d . I n s t e a d o f p a y i n g h a l f o f t h e c o s t s o f p r o g r a m s , w h i c h h a d been t h e c a s e u n d e r H I P S , u n d e r t h e new A c t a d i f f e r e n t s y s t e m o f f u n d i n g was i m p l e m e n t e d . E a c h p r o v i n c e w o u l d r e c e i v e b l o c k g r a n t s f r o m t h e f e d e r a l g o v e r n m e n t e q u a l t o a p p r o x i m a t e l y t w e n t y - f i v e p e r c e n t o f t o t a l p r o g r a m c o s t s . . I n a d d i t i o n , t h e f e d e r a l g o v e r n m e n t a g r e e d t o v a c a t e 13.5 p e r c e n t a g e p o i n t s o f t h e p e r s o n a l and one p e r c e n t a g e p o i n t o f t h e c o r p o r a t e income t a x f i e l d s , a nd t o g i v e t h e p r o v i n c e s an a n n u a l p e r c a p i t a payment ($20 i n 1977) w h i c h had t o be u s e d f o r " e x t e n d e d h e a l t h c a r e s e r v i c e s . " (Van Loon 1978, p.462) T h e s e s e r v i c e s i n c l u d e d n u r s i n g homes, i n t e r m e d i a t e c a r e , a d u l t r e s i d e n t i a l c a r e , c o n v e r t e d m e n t a l h o s p i t a l s , a n d home c a r e and a m b u l a t o r y s e r v i c e s ( R e p o r t 1981, p . 7 1 ) . The m a i n p u r p o s e o f t h e new A c t was t o g i v e p r o v i n c i a l g o v e r n m e n t s more f i n a n c i a l c o n t r o l o v e r t h e i r own p r o g r a m s i n t h e hope t h a t g r e a t e r f i n a n c i a l r e s p o n s i b i l i t y w o u l d l e a d t o more e f f i c i e n t p r o v i s i o n o f s e r v i c e s by t h e p r o v i n c e s , a n d t h u s l e s s e x p e n s i v e c a r e (SPARC 19 1980, p . 3 4 ) . . B e c a u s e o f t h e p e r c a p i t a p a y m e n t s u n d e r t h e F e d e r a l - P r o v i n c i a l F i s c a l A r r a n g e m e n t s and E s t a b l i s h e d P r o g r a m s  F i n a n c i n g A c t t h a t were s p e c i f i c a l l y e a r m a r k e d f o r e x t e n d e d c a r e u s e , t h e B.C. g o v e r n m e n t was a b l e t o i m p l e m e n t t h e Long Term C a r e P r o g r a m on J a n u a r y 1, 1978. The g o a l o f t h e P r o g r a m was t o p r o v i d e a r a n g e o f s e r v i c e s f o r t h o s e i n d i v i d u a l s w i t h o n g o i n g h e a l t h p r o b l e m s . S e r v i c e s u n d e r l o n g t e r m c a r e i n c l u d e homemakers, home c a r e n u r s i n g and p h y s i o t h e r a p y , m e a l s - o n -w h e e l s , p e r s o n a l , i n t e r m e d i a t e and e x t e n d e d c a r e f a c i l i t i e s , a n d p r i v a t e h o s p i t a l s . I n c l u d e d w i t h i n t h e L ong Term C a r e P r o g r a m , ( a l t h o u g h n o t f u n d e d by i t ) a r e e x t e n d e d c a r e u n i t s , t h e t h r e e r e h a b i l i t a t i o n c e n t r e s (G.F. S t r o n g , t h e P e a r s o n H o s p i t a l and G o r g e Road i n V i c t o r i a ) , a n d t h e l o n g t e r m c a r e i n s t i t u t i o n s f o r t h e m e n t a l l y i l l ( R i v e r v i e w , V a l l e y v i e w a n d S k e e n a v i e w ) ( M i n i s t r y o f H e a l t h 1980, p . 6 8 ) . M e n t a l h e a l t h b o a r d i n g homes a r e a l s o c o v e r e d by t h e P r o g r a m . I n 1982 t h e r e were 181 p r o p r i e t a r y m e n t a l h e a l t h f a c i l i t i e s a n d f o u r t e e n n o n - p r o f i t . 9 T h e i r c l i e n t e l e a r e i n d i v i d u a l s w i t h c h r o n i c p s y c h i a t r i c p r o b l e m s . M e n t a l h e a l t h b o a r d i n g homes a r e a l s o l i c e n s e d u n d e r t h e Community C a r e F a c i l i t i e s A c t . They t e n d t o be s m a l l f a m i l y - r u n o p e r a t i o n s . I n t e r m s o f r e s i d e n t i a l c a r e , t h e L ong Term C a r e P r o g r a m was i n t e n d e d t o make any l o n g t e r m c a r e bed e q u a l l y a c c e s s i b l e t o a l l p a r t i c i p a n t s r e g a r d l e s s of a b i l i t y t o p a y . A l l r e s i d e n t s o r p a t i e n t s p a i d t h e same d a i l y r a t e r e g a r d l e s s of t h e l e v e l o f c a r e t h e y r e q u i r e d . T h i s amount was s e t a t e i g h t y - f i v e p e r c e n t 20 o f t h e O l d Age S e c u r i t y and G u a r a n t e e d Income S u p p l e m e n t P r o g r a m s so t h a t e ven t h o s e i n d i v i d u a l s w i t h no o t h e r s o u r c e . o f i n come w o u l d h a v e some money a v a i l a b l e f o r t h e i r own p e r s o n a l u s e . I n 1978 t h i s r a t e was $ 6 . 5 0 . 1 0 A l t h o u g h i n some i n s t i t u t i o n s a d i f f e r e n t i a l f o r a p r i v a t e o r s e m i - p r i v a t e room was p e r m i t t e d , t h e e x t r e m e s i n c o s t s o f c a r e t h a t had e x i s t e d p r i o r t o t h e P r o g r a m v i r t u a l l y had been e l i m i n a t e d . F o r s u p p l i e r s o f l o n g t e r m c a r e who c h o s e t o o p t i n t o t h e P r o g r a m , t h e l a r g e s t p a r t o f t h e i r income now came f r o m t h e M i n i s t r y o f H e a l t h . I n s t i t u t i o n s were no l o n g e r p e r m i t t e d t o b i l l t h e i r r e s i d e n t s a n d p a t i e n t s d i r e c t l y , e x c e p t f o r t h e m i n i m a l amount o f $6.50 p e r day a n d , where a p p l i c a b l e , t h e c o s t o f a room d i f f e r e n t i a l . F o r n o n - p r o f i t f a c i l i t i e s , t h e g o v e r n m e n t o f f e r e d a r e i m b u r s e m e n t r a t e b a s e d on t h e o p e r a t i n g e x p e n s e s o f i n d i v i d u a l f a c i l i t i e s . Up t o t h i s p o i n t , many of t h e s e f a c i l i t i e s h a d been s t r u g g l i n g f i n a n c i a l l y . T h e i r o p e r a t i n g f u n d s came f r o m p a y i n g r e s i d e n t s , g o v e r n m e n t p a y m e n t s f o r w e l f a r e c a s e s , a n d f u n d s r a i s e d by t h e g r o u p s w i t h w h i c h t h e f a c i l i t i e s were a f f i l i a t e d . T h e i r e x p e n s e s were n o t b e i n g met by t h e s e s o u r c e s o f i n c o m e a n d , t h u s , f o r t h e i r b o a r d s o f d i r e c t o r s t h e r e was no q u e s t i o n b u t t h a t t h e y w o u l d j o i n t h e Long Term C a r e P r o g r a m . P r o p r i e t a r y f a c i l i t i e s were now t o r e c e i v e r e i m b u r s e m e n t f o r a l l r e s i d e n t s and p a t i e n t s a t a s t a n d a r d r a t e , r e g a r d l e s s o f e x p e n s e s , a s had been t h e c a s e a l l a l o n g f o r t h e i r w e l f a r e r e s i d e n t s a n d p a t i e n t s . F o r e x a m p l e , i n A p r i l o f 1981, f o r e a c h Type 1 r e s i d e n t t h e owner c o u l d c l a i m $17.20 p e r d a y . 1 1 The 21 d i f f e r e n c e i n r e i m b u r s e m e n t s y s t e m s b etween p r o p r i e t a r y a n d n o n -p r o f i t f a c i l i t i e s was l a r g e l y due t o t h e r e l u c t a n c e o f many p r o p r i e t a r y o p e r a t o r s t o p r o v i d e t h e M i n i s t r y o f H e a l t h w i t h d e t a i l e d a c c o u n t s of t h e i r e x p e n s e s . The , s t a n d a r d r a t e s of r e i m b u r s e m e n t f o r p r o p r i e t a r y f a c i l i t i e s were s e t a t l e v e l s w h i c h M i n i s t r y o f f i c i a l s b e l i e v e d w o u l d a d e q u a t e l y c o v e r t h e c o s t s of most f a c i l i t i e s . I n t h e 1984-85 f i s c a l y e a r t h e M i n i s t r y o f H e a l t h s w i t c h e d t o a c o s t - r e l a t e d r e i m b u r s e m e n t s y s t e m f o r p r o p r i e t a r y f a c i l i t i e s t h a t i s s i m i l a r t o t h e one t h a t was a l r e a d y i n use i n n o n - p r o f i t f a c i l i t i e s . As a p r e -c o n d i t i o n f o r t h e i m p l e m e n t a t i o n o f t h e new s y s t e m , p r o p r i e t a r y o p e r a t o r s had f i r s t t o a g r e e t o p r o v i d e t h e M i n i s t r y w i t h more i n f o r m a t i o n r e g a r d i n g t h e i r e x p e n s e s . S i n c e many of t h e s e f a c i l i t i e s , b o t h p r o p r i e t a r y a n d n o n -p r o f i t , had been f a c i n g f i n a n c i a l t r o u b l e , t h e p r o s p e c t o f a g u a r a n t e e d i ncome was v e r y a t t r a c t i v e t o many o p e r a t o r s . Of a l l e l i g i b l e n o n - p r o f i t and p r o p r i e t a r y f a c i l i t i e s , 95.5 p e r c e n t c h o s e t o become p a r t of t h e new P r o g r a m b r i n g i n g w i t h them 85.5 p e r c e n t o f a l l c o mmunity c a r e b e d s ( M i n i s t r y Of H e a l t h 1980, p.64) . S i n c e t h e i n c e p t i o n o f t h e L o n g Term C a r e P r o g r a m , p u b l i c demand f o r r e s i d e n t i a l f a c i l i t i e s f o r t h e e l d e r l y h a s grown s u b s t a n t i a l l y due t o an i n c r e a s e i n t h e g e r i a t r i c p o p u l a t i o n and t h e f a c t t h a t i n s t i t u t i o n a l c a r e has become a more a t t r a c t i v e f i n a n c i a l a l t e r n a t i v e . W i t h t h i s i n c r e a s e i n demand h a s come an i n c r e a s e i n t h e s u p p l y o f l o n g t e r m c a r e i n s t i t u t i o n s . T a b l e I p r e s e n t s t h e number and bed c a p a c i t i e s o f l o n g t e r m c a r e 22 Table I. Number and capacity of residential facilties for the elderly. a b 1974 1984 PRIVATE HOSPITALS Number 52 31 Bed Capacity 3,538 1,900 Average Bed Capacity 68 61 b 1976 1984 COMMUNITY CARE FACILITIES (Prop.) Number 266 259 Bed Capacity 6,795 7,889 Average Bed Capacity 26 30 1976 1984 COMMUNITY C A R E FACILITIES (NP) Number 85 128 Bed Capacity 6,905 11,212 Average Bed Capacity 71 88 a McPhee 1977, p. 34 b 1976 and 1984 figures provided by the Long Term Care Program, BC Ministry of Health. 23 f a c i l i t i e s b e t w e e n 1974 and 1984. The T a b l e shows t h a t non-p r o f i t f a c i l i t i e s have been g r o w i n g w h i l e p r o p r i e t a r y f a c i l i t i e s h a v e been on t h e d e c l i n e . T h i s h a s h a p p e n e d b e c a u s e p r o p r i e t a r y f a c i l i t i e s w ere o n l y p e r m i t t e d t o j o i n t h e Long Term C a r e P r o g r a m when i t was g e t t i n g u n d e r way. The g o v e r n m e n t made a c h o i c e i n 1978 t o e n c o u r a g e g r o w t h i n t h e n o n - p r o f i t s e c t o r by r e a d i l y l i c e n s i n g any f a c i l i t y where t h e s p o n s o r i n g g r o u p c o u l d show a need i n t h e i r c o m m u n i t y f o r s u c h an i n s t i t u t i o n ( a n d t h e r e u s u a l l y was s u c h a n e e d ) , and by b r i n g i n g e v e r y new non-p r o f i t c o m m u n i t y c a r e f a c i l i t y i n t o t h e L o n g Term C a r e P r o g r a m . T h e s e f i g u r e s a l s o i n d i c a t e t h a t i n 1984 t h e a v e r a g e bed c a p a c i t y f o r n o n - p r o f i t f a c i l i t i e s i s much h i g h e r t h a n f o r p r o p r i e t a r y i n s t i t u t i o n s . The low a v e r a g e bed c a p a c i t y i n p r o p r i e t a r y c o m m u n i t y c a r e f a c i l i t i e s r e f l e c t s t h e l a r g e number o f s m a l l f a m i l y - t y p e o p e r a t i o n s where c a r e i s p r o v i d e d i n a home i n a r e s i d e n t i a l n e i g h b o u r h o o d . By 1984 g r o w t h i n n o n - p r o f i t f a c i l i t i e s h a d t a p e r e d o f f . Due t o l i m i t e d g o v e r n m e n t f u n d s , no new n o n - p r o f i t f a c i l i t i e s c o u l d o p t i n t o t h e Long Term C a r e P r o g r a m . 1 2 W i t h o u t g o v e r n m e n t c o v e r a g e o f o p e r a t i n g e x p e n s e s , a new f a c i l i t y w o u l d n o t be f i n a n c i a l l y v i a b l e . I n a d d i t i o n , due t o t h e l a r g e i n c r e a s e i n t h e s e f a c i l i t i e s f r o m 1978-84, t h e r e i s p r e s e n t l y l e s s n e e d f o r new l o n g t e r m c a r e beds f o r t h e e l d e r l y . 24 V I . CONCLUSION T h i s c h a p t e r h a s r e v e a l e d t h a t c h a n g e s i n t h e number and k i n d s o f r e s i d e n t i a l f a c i l i t i e s f o r t h e e l d e r l y a nd t h e l e v e l s o f c a r e p r o v i d e d a l w a y s f o l l o w c l o s e l y b e h i n d new g o v e r n m e n t p o l i c i e s . I m m e d i a t e l y f o l l o w i n g t h e S e c o n d W o r l d War u n t i l 1965, g e r i a t r i c l o n g t e r m c a r e was l e f t p r e d o m i n a n t l y t o t h e p r i v a t e s e c t o r . The i n t r o d u c t i o n o f t h e f e d e r a l H e a l t h G r a n t s P r o g r a m i n 1948 and t h e B r i t i s h C o l u m b i a H o s p i t a l I n s u r a n c e P r o g r a m i n 1949 meant t h a t most a c u t e c a r e was b e i n g p r o v i d e d by p u b l i c s e c t o r f a c i l i t i e s and t h a t l o n g t e r m c a r e , i n c l u d i n g r e s i d e n t i a l f a c i l i t i e s f o r t h e e l d e r l y , was l e f t t o t h e p r i v a t e s e c t o r . P r i v a t e h o s p i t a l s began t o l o s e t h e e x t e n d e d c a r e p a r t of t h e l o n g t e r m c a r e m a r k e t b e g i n n i n g i n 1965 when t h e B.C. g o v e r n m e n t i n t r o d u c e d t h e E x t e n d e d C a r e P r o g r a m . I n an a t t e m p t t o make up t h i s l o s s , p r i v a t e h o s p i t a l s t o o k i n more i n t e r m e d i a t e c a r e p a t i e n t s a s t h e demand f o r t h i s k i n d o f s e r v i c e i n c r e a s e d . The d i s t r i b u t i o n o f t h e t y p e s o f c a r e f o u n d i n l o n g t e r m c a r e f a c i l i t i e s c h a n g e d f u r t h e r when t h e M i n i s t r y of H e a l t h p e r s u a d e d s e v e r a l o p e r a t o r s o f c o mmunity c a r e f a c i l i t i e s t o u p g r a d e t h e i r f a c i l i t i e s t o a l e v e l a c c e p t a b l e t o t h e g o v e r n m e n t f o r t h e p r o v i s i o n o f i n t e r m e d i a t e c a r e . B r i t i s h C o l u m b i a began t h e Long Term C a r e P r o g r a m i n 1978 w i t h p a r t i a l f u n d i n g f r o m t h e f e d e r a l g o v e r n m e n t . Under t h e P r o g r a m , t h e p r o v i n c i a l g o v e r n m e n t w o u l d c o v e r t h e o p e r a t i n g e x p e n s e s f o r a l l l o n g t e r m c a r e r e s i d e n t i a l f a c i l i t i e s . P r o p r i e t a r y f a c i l i t i e s were r e i m b u r s e d a t a f i x e d r a t e t i e d t o t h e l e v e l a n d k i n d o f c a r e p r o v i d e d , w h i l e n o n - p r o f i t f a c i l i t i e s 25 were f u n d e d a t a r a t e b a s e d on a c t u a l e x p e n d i t u r e s . The L o n g Term C a r e P r o g r a m l e d t o r a p i d g r o w t h i n t h e number o f n o n -p r o f i t f a c i l i t i e s . Demand f o r r e s i d e n t i a l l o n g t e r m c a r e i n c r e a s e d , and t h e g o v e r n m e n t r e a d i l y l i c e n s e d new n o n - p r o f i t f a c i l i t i e s a n d b r o u g h t them i n t o t h e P r o g r a m . K n o w l e d g e o f t h e k i n d s o f l o n g t e r m c a r e f a c i l i t i e s t h a t e x i s t and how t h e y h a v e been f u n d e d i s e s s e n t i a l t o an u n d e r s t a n d i n g o f how c o l l e c t i v e b a r g a i n i n g e v o l v e d i n t h i s i n d u s t r y . W i d e s p r e a d u n i o n i z a t i o n i n l o n g t e r m c a r e began i n t h e m i d - 1 9 7 0 s . Most o f t h e i n i t i a l c e r t i f i c a t i o n s o c c u r r e d i n p r i v a t e h o s p i t a l s . As T a b l e I i n d i c a t e d , a t t h a t t i m e p r i v a t e h o s p i t a l s had t h e l a r g e s t a v e r a g e bed c a p a c i t i e s i n t h e i n d u s t r y . As w e l l , t h e y p r o v i d e d g e n e r a l l y h i g h e r l e v e l s o f c a r e t h a n c o m m u n i t y c a r e f a c i l i t i e s , m a k i n g them more l a b o u r -i n t e n s i v e o p e r a t i o n s . T o g e t h e r , t h e s e c h a r a c t e r i s t i c s meant t h a t a s a g r o u p , p r i v a t e h o s p i t a l s had l a r g e r s t a f f c o n t i n g e n t s t h a n o t h e r k i n d s o f l o n g t e r m c a r e f a c i l i t i e s . T h e r e a r e " e c o n o m i e s o f s c a l e " f o r u n i o n s i n o r g a n i z i n g b a r g a i n i n g u n i t s w i t h more members. L a r g e s t a f f numbers and p o o r w o r k i n g c o n d i t i o n s made p r i v a t e h o s p i t a l s p r i m e t a r g e t s f o r u n i o n o r g a n i z i n g . The k i n d o f c a r e g i v e n i n t h e s e f a c i l i t i e s a l s o c o n t r i b u t e d t o u n i o n g r o w t h i n a n o t h e r way. I t e n a b l e d u n i o n s o r g a n i z i n g i n p r i v a t e h o s p i t a l s t o be c o v e r e d by e s s e n t i a l s e r v i c e s l e g i s l a t i o n w h i c h f a c i l i t a t e d t h e i r e f f o r t s t o g a i n a f o o t h o l d i n t h e i n d u s t r y . T h e s e f a c t o r s w i l l be e x p l a i n e d more f u l l y i n C h a p t e r 3. P e r h a p s t h e most s i g n i f i c a n t s t e p i n t h e e v o l u t i o n o f t h e 26 l o n g t e r m c a r e i n d u s t r y i n B.C. was t h e i n t r o d u c t i o n o f t h e L o n g Term C a r e P r o g r a m and w i t h i t , p u b l i c f u n d i n g o f t h e i n d u s t r y . As t h e f o l l o w i n g c h a p t e r s w i l l show, • g o v e r n m e n t f u n d i n g o f l o n g t e r m c a r e h a s had an i m p a c t on a l l . a s p e c t s o f c o l l e c t i v e b a r g a i n i n g i n t h e i n d u s t r y : u n i o n g r o w t h , b a r g a i n i n g s t r u c t u r e a nd t h e o u t c o m e s o f i n t e r e s t a r b i t r a t i o n s . 27 FOOTNOTES 1. I n t e r v i e w w i t h Mr. L l o y d D e t w i l l e r , f o r m e r C o m m i s s i o n e r o f t h e B.C. H o s p i t a l H o s p i t a l I n s u r a n c e P r o g r a m , A p r i l 1983. 2. I b i d . 3. I b i d . 4. I n t e r v i e w w i t h Mr. Andrew R o s e , f o r m e r I n s p e c t o r o f P r i v a t e H o s p i t a l s , S e p t e m b e r 1982. 5. I n t e r m e d i a t e c a r e p a t i e n t s r e q u i r e n u r s i n g s u p e r v i s i o n b u t a r e g e n e r a l l y more m o b i l e t h a n t h o s e r e q u i r i n g e x t e n d e d c a r e . T h e r e a r e t h r e e l e v e l s o f i n t e r m e d i a t e c a r e : I n t e r m e d i a t e I , I n t e r m e d i a t e I I and I n t e r m e d i a t e I I I . 6. I n t e r v i e w w i t h Mr. Andrew R o s e . 7. R.G. F o u l k e s , H e a l t h S e c u r i t y f o r B r i t i s h C o l u m b i a n s ( V i c t o r i a . B.C.: B.C. M i n i s t r y o f H e a l t h , 1973) Tome V, p.116 a s c i t e d i n McPhee 1977. 8. K e l o w n a M e d i c a l S o c i e t y and S o u t h Okanagan U n i o n B o a r d o f H e a l t h , A S t u d y o f H e a l t h C a r e C o - o r d i n a t i o n i n Twenty-Two  K e l o w n a B o a r d i n g Homes ( K e l o w n a : U n i o n B o a r d o f H e a l t h , 1973) a s c i t e d i n McPhee 1977. 9. I n f o r m a t i o n p r o v i d e d by t h e L o n g Term C a r e P r o g r a m , M i n i s t r y o f H e a l t h . 10. I n t e r v i e w w i t h Mr. J a c k B a i n b r i d g e , f o r m e r D e p u t y M i n i s t e r o f H e a l t h , S e p t e m b e r 1983. 11. L e t t e r t o Mr. M i k e J i g g i n s , t h e n P r e s i d e n t o f t h e B.C. A s s o c i a t i o n o f P r i v a t e C a r e F a c i l i t i e s f r o m Mr. J i m N e i l s e n , M i n i s t e r o f H e a l t h , M a r c h 3 1 , 1981. 12. T e l e p h o n e c o n v e r s a t i o n w i t h an e m p l o y e e o f t h e Long Term C a r e P r o g r a m , Dec. 1984. 28 CHAPTER 3  ORGANIZATION AND REPRESENTATION I . INTRODUCTION I n 1973 t h e r e were s i x l o n g t e r m c a r e f a c i l i t i e s i n B r i t i s h C o l u m b i a i n w h i c h c o l l e c t i v e b a r g a i n i n g had been e s t a b l i s h e d b e t w e e n an e m p l o y e r a nd a u n i o n r e p r e s e n t i n g s e r v i c e e m p l o y e e s . W o r k e r s i n f o u r o f t h e s e f a c i l i t i e s were r e p r e s e n t e d by t h e C a n a d i a n U n i o n o f P u b l i c E m p l o y e e s ( C U P E ) . The H o s p i t a l E m p l o y e e s ' U n i o n a n d t h e S e r v i c e E m p l o y e e s ' I n t e r n a t i o n a l U n i o n ( S E I U ) e a c h h e l d one c e r t i f i c a t i o n . I n 1984, s i x i n d u s t r i a l u n i o n s r e p r e s e n t e d w o r k e r s i n more t h a n one h u n d r e d f a c i l i t i e s . Of t h e s e , t h e HEU was o v e r w h e l m i n g l y d o m i n a n t , h o l d i n g more t h a n t h r e e - q u a r t e r s o f t h e c e r t i f i c a t i o n s i n l o n g t e r m c a r e . T h i s c h a p t e r d o c u m e n t s t h e g r o w t h o f u n i o n i z a t i o n i n t h i s i n d u s t r y a n d p r o v i d e s an e x p l a n a t i o n a s t o why t h i s l e v e l o f r e p r e s e n t a t i o n h a s been a c h i e v e d . Then t h e more s p e c i f i c q u e s t i o n o f how t h e HEU a t t a i n e d i t s d o m i n a n t p o s i t i o n i n t h i s f i e l d w i l l be a n a l y z e d . 29 I I . DETERMINANTS OF UNION GROWTH " U n i o n g r o w t h " r e f e r s t o an i n c r e a s e i n u n i o n m e m b e r s h i p due t o e i t h e r an i n c r e a s e i n t h e number o f c e r t i f i c a t i o n s h e l d by a u n i o n o r t o an i n c r e a s e i n t h e number o f i n d i v i d u a l s i n c l u d e d w i t h i n a c e r t i f i e d b a r g a i n i n g u n i t . 1 I n B.C. e a c h l o n g t e r m c a r e f a c i l i t y i s c e r t i f i e d s e p a r a t e l y . U n i o n g r o w t h h a s o c c u r r e d i n t h i s i n d u s t r y m a i n l y t h r o u g h i n c r e a s e s i n t h e t o t a l number o f c e r t i f i c a t i o n s . A l t h o u g h s e v e r a l f a c i l i t i e s h ave i n c r e a s e d t h e i r bed c a p a c i t i e s o r s t a f f c o n t i n g e n t s , t h e number of new u n i o n members t h u s a c c o u n t e d f o r h a s n o t been a s s i g n i f i c a n t a s u n i o n g r o w t h due t o new c e r t i f i c a t i o n s . Many r e s e a r c h e r s have a d d r e s s e d t h e q u e s t i o n o f u n i o n g r o w t h . Some have done so by e x a m i n i n g e n v i r o n m e n t a l f a c t o r s t h a t w o u l d i n f l u e n c e t h i s phenomenon. O t h e r s h a v e r e g a r d e d t h e i s s u e f r o m an i n d i v i d u a l o r o r g a n i z a t i o n a l s t a n d p o i n t . B a i n (1976 a nd 1978) h a s r e v i e w e d much o f t h e l i t e r a t u r e on u n i o n g r o w t h and c r e a t e d a f r a m e w o r k w i t h i n w h i c h t h e e x i s t i n g r e s e a r c h c a n be d i s c u s s e d . H i s s y n t h e s i s i s p a r t i c u l a r l y u s e f u l b e c a u s e i t was d e v e l o p e d t o e x p l a i n u n i o n g r o w t h i n t h e C a n a d i a n c o n t e x t . He d i v i d e s h i s a n a l y s i s i n t o e c o n o m i c , s t r u c t u r a l and p u b l i c p o l i c y f a c t o r s t h a t i n f l u e n c e u n i o n g r o w t h . A. E c o n o m i c F a c t o r s B a i n s t a t e s t h a t t h e one f a c t o r c i t e d most f r e q u e n t l y i n t h e l i t e r a t u r e a s a c c o u n t i n g f o r a g g r e g a t e u n i o n g r o w t h i s t h e b u s i n e s s c y c l e o r , more s p e c i f i c a l l y , p r i c e s , wages and unemployment ( 1 9 7 6 , p.23; a n d 1978, p . 1 6 ) . A s h e n f e l t e r a nd 30 P e n c a v e l ( 1 9 6 9 ) f o u n d a s t r o n g p o s i t i v e r e l a t i o n s h i p b e t ween t h e t h e c o s t o f l i v i n g and u n i o n g r o w t h . One e x p l a n a t i o n f o r t h i s r e l a t i o n s h i p i s t h a t when e c o n o m i e s e x p a n d , p r i c e s t e n d t o r i s e . H i g h e r p r i c e s e r o d e t h e r e a l wages o f w o r k e r s , m a k i n g them more l i k e l y t o want t o t a k e c o l l e c t i v e a c t i o n t h r o u g h a u n i o n t o p r o t e c t t h e i r r e a l wages (Ulman 1954, p . 2 3 7 ) . A t t h e same t i m e , e m p l o y e r s a r e more w i l l i n g t o a c c e d e t o u n i o n demands i n t i m e s o f e c o n o m i c g r o w t h b e c a u s e t h e y do n o t w i s h t o i n t e r r u p t p r o d u c t i o n by t a k i n g a s t r i k e a nd t h e y a r e more a b l e t o p a s s on t o t h e c o n s u m e r t h e c o s t s of wage i n c r e a s e s (Ulman 1954, p . 2 3 8 ) . Once t h e y become aware t h a t o t h e r w o r k e r s ' wages a r e i n c r e a s i n g , u n o r g a n i z e d w o r k e r s may p e r c e i v e t h e s e g a i n s as b e i n g due t o u n i o n p r e s s u r e s and w i s h t o j o i n a u n i o n ( B a i n 1978, p . 1 6 ) . W h i l e e c o n o m i c g r o w t h w i l l have a p o s i t i v e e f f e c t on u n i o n i z a t i o n , B a i n c o n t e n d s unemployment w i l l h a v e t h e o p p o s i t e e f f e c t ( 1 9 7 8 , p . 1 6 ) . F o r w o r k e r s who a r e n o t e m p l o y e d , t h e r e i s l i t t l e b e n e f i t i n j o i n i n g a u n i o n d u r i n g t i m e s o f h i g h u nemployment. J o i n i n g a u n i o n w i l l n o t i n c r e a s e t h e i r c h a n c e s f o r employment and y e t u n i o n s s t i l l r e q u i r e i n i t i a t i o n f e e s and m e m b e r s h i p d u e s ( W e y f o r t h 1917, p p . 2 4 7 - 8 ) . E m p l o y e d w o r k e r s may a l s o f i n d u n i o n m e m b e r s h i p l e s s a t t r a c t i v e when unemployment i s h i g h . They may be r e l u c t a n t t o j o i n a u n i o n f o r f e a r o f a n t a g o n i z i n g an e m p l o y e r who c a n e a s i l y r e p l a c e them w i t h u n e m p l o y e d w o r k e r s . A l s o , d u r i n g s u c h p e r i o d s u n i o n s a r e l e s s e f f e c t i v e i n a c h i e v i n g g a i n s f o r t h e i r members as e m p l o y e r s a r e l e s s v u l n e r a b l e t o a s t r i k e . W i t h many p e o p l e o u t o f work, 31 a g g r e g a t e demand f o r goods and s e r v i c e s w i l l be d e p r e s s e d w h i c h means t h a t t h e e m p l o y e r ' s p r o d u c t i o n r e q u i r e m e n t s a r e l e s s and a s t r i k e w i l l t h e r e f o r e have l e s s i m p a c t on t h e f i r m . E m p l o y e r s a r e a l s o i n a b e t t e r p o s i t i o n t o r e p l a c e s t r i k i n g w o r k e r s when t h e r e a r e many p e o p l e u n e m p l o y e d , f u r t h e r r e d u c i n g t h e b a r g a i n i n g power of a s t r i k e . T h u s , w h i l e a p o s i t i v e r e l a t i o n s h i p e x i s t s b e t w e e n e c o n o m i c e x p a n s i o n a nd u n i o n g r o w t h , unemployment t e n d s t o impede t h e g r o w t h o f u n i o n i z a t i o n . H o wever, a s w i l l be shown i n t h i s c h a p t e r , e c o n o m i c f a c t o r s d i d n o t p l a y a m a j o r r o l e i n t h e g r o w t h o f u n i o n i z a t i o n i n t h e B.C. l o n g t e r m c a r e i n d u s t r y . B. S t r u c t u r a l F a c t o r s A l t h o u g h p r i c e l e v e l s a r e a s i g n i f i c a n t d e t e r m i n a n t o f u n i o n g r o w t h , t h e y do n o t a c c o u n t f o r v a r i a t i o n s i n g r o w t h a c r o s s i n d u s t r i e s . B a i n p o i n t s t o i n t r i n s i c s t r u c t u r a l f a c t o r s of e a c h i n d u s t r y t o e x p l a i n t h e s e d i f f e r e n c e s . Two o f t h e f a c t o r s he e x a m i n e s i n t h i s r e g a r d a r e o r g a n i z a t i o n s i z e and e m p l o y e r a t t i t u d e s a n d b e h a v i o u r s . I n d u s t r i e s t h a t a r e composed o f l a r g e r o r g a n i z a t i o n s t e n d t o be more h e a v i l y u n i o n i z e d . L a r g e o r g a n i z a t i o n s u s u a l l y o p e r a t e on a more b u r e a u c r a t i c b a s i s t h a n s m a l l e r o n e s . I n a b u r e a u c r a c y , w o r k i n g c o n d i t i o n s a n d p r o s p e c t s f o r advancement a r e g o v e r n e d by a s e t o f r u l e s t h a t n o r m a l l y a p p l y i n t h e same f a s h i o n t o a l l e m p l o y e e s . S a l a r y s c a l e s , f o r e x a m p l e , a r e f i x e d f o r a l l j o b p o s i t i o n s ( B l a c k b u r n a n d P r a n d y 1965, p . 1 1 7 ) . T h i s i s a l s o t h e c a s e f o r e m p l o y e e s w o r k i n g u n d e r a c o l l e c t i v e a g r e e m e n t . Where b u r e a u c r a t i z a t i o n a l r e a d y e x i s t s t h e r e f o r e , 32 u n i o n i z a t i o n i s a p p e a l i n g t o e m p l o y e e s s i n c e t h e y a l r e a d y have a r e g i m e n t e d work e n v i r o n m e n t and u n i o n i z a t i o n w i l l h a v e l i t t l e n e g a t i v e i m p a c t on t h i s a s p e c t of t h e i r j o b s . T h r o u g h u n i o n i z a t i o n , h o w e v e r , w o r k e r s w i l l g a i n some c o n t r o l o v e r d e c i s i o n - m a k i n g . I n s t e a d o f u n i l a t e r a l d e c i s i o n - m a k i n g by t h e e m p l o y e r w h i c h w o u l d have been t h e norm p r i o r t o u n i o n i z a t i o n , now j o i n t d e c i s i o n - m a k i n g w i l l o c c u r ( D u b i n 1952, p . 2 3 4 ) . I n a d d i t i o n , o r g a n i z i n g l a r g e r g r o u p s o f e m p l o y e e s i s more c o s t -e f f e c t i v e f o r u n i o n s . O r g a n i z i n g s m a l l g r o u p s o f w o r k e r s u s u a l l y c o s t s t h e u n i o n more p e r new member. F o r e x a m p l e , i f a l a w y e r i s r e t a i n e d by t h e u n i o n t o d e a l w i t h some a s p e c t of t h e o r g a n i z i n g c a m p a i g n , h i s o r h e r f e e s w i l l be t h e same r e g a r d l e s s of t h e s i z e o f t h e p o t e n t i a l b a r g a i n i n g u n i t . I f an e m p l o y e r r e s i s t s u n i o n o r g a n i z i n g a t t e m p t s , w o r k e r s a r e l e s s l i k e l y t o f a v o u r u n i o n i z a t i o n ( B a i n 1968.).. T h e r e a r e many r e a s o n s why e m p l o y e r s m i g h t be w i l l i n g t o o p p o s e t h e u n i o n i z a t i o n o f t h e i r o r g a n i z a t i o n . F o r e x a m p l e , m a r g i n a l f i r m s a r e more l i k e l y t o r e s i s t u n i o n i z a t i o n t h a n p r o f i t a b l e o n e s o u t of f e a r t h a t a u n i o n w i l l w o r s e n an a l r e a d y p r e c a r i o u s f i n a n c i a l s i t u a t i o n . I t h a s been f o u n d i n N o r t h A m e r i c a t h a t w o r k e r s t e n d t o j o i n u n i o n s f o r i n s t r u m e n t a l r e a s o n s ( K o c h a n 1 9 8 0 ) . T h a t i s t o s a y , t h e i r m a i n m o t i v a t i o n f o r o r g a n i z i n g i s t h e i m p r o v e m e n t of wages and w o r k i n g c o n d i t i o n s . E m p l o y e r o p p o s i t i o n t o u n i o n i z a t i o n c o u l d impede t h e a b i l i t y o f e m p l o y e e s t o a t t a i n t h e s e g o a l s . T h i s o p p o s i t i o n c o u l d be e x p l i c i t , w h ere e m p l o y e r s a c t u a l l y i n f o r m e m p l o y e e s t h a t t h e y d i s a p p r o v e o f a u n i o n , o r i t 3 3 c o u l d be e x p r e s s e d i n a c t i o n s by t h e e m p l o y e r , s u c h a s f i r i n g e m p l o y e e s i n v o l v e d i n o r g a n i z i n g , o r by o t h e r w i s e t h r e a t e n i n g o r i n t i m i d a t i n g them. U n l i k e w o r k e r s who a r e c o m m i t t e d t o u n i o n i z a t i o n f o r i d e o l o g i c a l a s w e l l as i n s t r u m e n t a l r e a s o n s , t h o s e w i t h o n l y t h e l a t t e r m o t i v e w o u l d be l e s s i n t e r e s t e d i n p u r s u i n g a c o l l e c t i v e b a r g a i n i n g r e l a t i o n s h i p i f t h e y p e r c e i v e t h e r e i s l i t t l e l i k e l i h o o d o f t h e s e a s p i r a t i o n s b e i n g met t h r o u g h c o l l e c t i v e b a r g a i n i n g . A n o t h e r r e a s o n t h a t e m p l o y e r o p p o s i t i o n w o u l d be a d e t e r r e n t t o u n i o n g r o w t h i s t h a t e m p l o y e e s t e n d t o i d e n t i f y w i t h t h e i r management ( B a i n 1978, p . 2 3 ) . Management o b j e c t i o n s t o u n i o n i z a t i o n w o u l d t h u s be t a k e n v e r y s e r i o u s l y . Among many e m p l o y e e s t h e r e i s a l s o a f e a r t h a t management d i s a p p r o v a l o f t h e i r m e m b e r s h i p i n a t r a d e u n i o n c o u l d t h w a r t t h e i r o p p o r t u n i t i e s f o r c a r e e r a d v a n c e m e n t . T h e r e a r e some s i t u a t i o n s i n w h i c h t h e e m p l o y e r i s more am e n a b l e t o t h e p r e s e n c e o f a u n i o n . F o r e x a m p l e , when u n i o n d e n s i t y i n an i n d u s t r y i s h i g h , e m p l o y e r s may come t o a c c e p t u n i o n i z a t i o n a s " n o r m a l . " I n f a c t , where a l l e m p l o y e r s i n an i n d u s t r y a r e c o v e r e d by t h e same c o l l e c t i v e a g r e e m e n t , u n i o n i z a t i o n c a n a c t u a l l y work t o t h e i r m u t u a l a d v a n t a g e : i f t h e y a r e s e l l i n g i n a c o m p e t i t i v e p r o d u c t m a r k e t , s t a n d a r d i z e d wages w o u l d mean t h a t a t l e a s t one a s p e c t o f t h e i r p r o d u c t i o n c o s t s w o u l d be t a k e n o u t o f c o m p e t i t i o n . I n g e n e r a l t h e n , i f an i n d u s t r y i s composed o f l a r g e r o r g a n i z a t i o n s , i t i s more l i k e l y t o be u n i o n i z e d . However, i n any i n d u s t r y i n w h i c h t h e r e i s e m p l o y e r o p p o s i t i o n t o 34 u n i o n i z a t i o n , s u c h o p p o s i t o n may. h ave a d a m p e n i n g e f f e c t on u n i o n g r o w t h . U n t i l 1978 and t h e i n t r o d u c t i o n o f t h e Long Term C a r e P r o g r a m , t h e B.C. l o n g t e r m , c a r e i n d u s t r y was c h a r a c t e r i z e d by s m a l l p r o p r i e t a r y f a c i l i t i e s . From 1965, when t h e E x t e n d e d C a r e P r o g r a m was i m p l e m e n t e d , t o 1978, many of t h e s e f a c i l i t i e s were o n l y m a r g i n a l l y s o l v e n t a s t h e y had l o s t t h e i r p a y i n g p a t i e n t s t o e x t e n d e d c a r e u n i t s . E m p l o y e r s , a f r a i d t h a t u n i o n i z a t i o n w o u l d f u r t h e r d i m i n i s h t h e r e t u r n s on t h e i r i n v e s t m e n t and unhappy w i t h t h e p r o s p e c t of r e l i n q u i s h i n g any c o n t r o l o v e r t h e i r own o p e r a t i o n s , s t r o n g l y o p p o s e d u n i o n o r g a n i z i n g a t t e m p t s . T h e s e f a c t o r s e x p l a i n t h e l a c k o f u n i o n a c t i v i t y i n t h e i n d u s t r y u n t i l t h e m i d - 1 9 7 0 s . A t t h a t t i m e , c h a n g e s i n p u b l i c p o l i c y had t h e e f f e c t o f f o r c i n g l o n g t e r m c a r e e m p l o y e r s t o engage i n c o l l e c t i v e b a r g a i n i n g , much a g a i n s t t h e i r w i l l . C. P u b l i c P o l i c y F a c t o r s A n o t h e r f a c t o r r e l a t e d t o u n i o n g r o w t h i s p u b l i c p o l i c y . I t i s i m p o r t a n t t o d i f f e r e n t i a t e h e r e b e t w e e n l e g i s l a t i o n d e s i g n e d s p e c i f i c a l l y t o f a c i l i t a t e u n i o n g r o w t h and o t h e r g o v e r n m e n t p o l i c i e s n o t d i r e c t l y r e l a t e d t o c o l l e c t i v e b a r g a i n i n g t h a t n o n e t h e l e s s may have a s i m i l a r u l t i m a t e e f f e c t . M o s t N o r t h A m e r i c a n l a b o u r l e g i s l a t i o n i s b a s e d on t h e p r i n c i p l e s f o u n d i n t h e U.S. N a t i o n a l L a b o u r R e l a t i o n s A c t of 1935, commonly known a s t h e Wagner A c t . They a r e : " ( a ) t h e f r e e d o m o f w o r k e r s t o c h o o s e t h e i r own r e p r e s e n t a t i v e s ; (b) c o m p u l s o r y r e c o g n i t i o n ; ( c ) c o m p u l s o r y b a r g a i n i n g ; and (d) e x c l u s i v e b a r g a i n i n g r i g h t s . " (Woods 1973, p.65) L a b o u r l a w s 35 w h i c h a r e p a s s e d i n o r d e r t o p r o m o t e t h e u n i o n i z a t i o n o f u n o r g a n i z e d w o r k e r s a r e b a s e d on t h e s e p r i n c i p l e s . They a r e i n t e n d e d , t o " n e u t r a l i z e o r a t l e a s t c o n t a i n t h e a t t i t u d e s a n d b e h a v i o u r s o f e m p l o y e r s t o w a r d s t r a d e u n i o n s . " ( B a i n 1978, p.26) T h i s i s a c h i e v e d t h r o u g h t h e r e g u l a t i o n o f o r g a n i z i n g c a m p a i g n s and c e r t i f i c a t i o n p r o c e d u r e s and by l a w s p r e v e n t i n g e m p l o y e r s f r o m a v o i d i n g a c o l l e c t i v e b a r g a i n i n g r e l a t i o n s h i p w i t h t h e u n i o n o n c e c e r t i f i c a t i o n h a s o c c u r r e d . A c t i o n s t h a t i n t e r f e r e w i t h t h e r i g h t o f e m p l o y e e s t o be r e p r e s e n t e d by a u n i o n a r e t r e a t e d by t h e l a w a s " u n f a i r l a b o u r p r a c t i c e s . " ( C l e v e l a n d 1982, p.8) L e g i s l a t i o n i n t h i s a r e a t y p i c a l l y i d e n t i f i e s s p e c i f i c u n f a i r l a b o u r p r a c t i c e s a n d t h e n o f f e r s a number of a l t e r n a t i v e r e s p o n s e s a l a b o u r b o a r d c a n t a k e when a p a r t y e n g a g e s i n a p r o h i b i t e d a c t i v i t y . F i r i n g e m p l o y e e s o r p e n a l i z i n g them i n some o t h e r way b e c a u s e o f t h e i r i n v o l v e m e n t i n a u n i o n a r e among t h e t a c t i c s p r o h i b i t e d d u r i n g an o r g a n i z i n g c a m p a i g n . A f t e r c e r t i f i c a t i o n h a s o c c u r r e d , an e m p l o y e r i s o b l i g e d t o b a r g a i n " i n good f a i t h " w i t h r e p r e s e n t a t i v e s o f t h e u n i o n . T h i s means t h a t w h i l e t h e e m p l o y e r i s n o t r e q u i r e d t o make c o n c e s s i o n s d u r i n g n e g o t i a t i o n s h i s a c t i o n s must be c o n s i s t e n t " w i t h t h e i n f e r e n c e o f a d e s i r e t o r e a c h an a g r e e m e n t . " ( R o s s 1965, p.3) T h i s p r i n c i p l e o f l a b o u r l a w e x i s t s i n a l l j u r i s d i c t i o n s a n d has a l l o w e d u n i o n s t o a c h i e v e c o l l e c t i v e a g r e e m e n t s i n c a s e s where c e r t i f i c a t i o n h a s been o b t a i n e d b u t t h e e m p l o y e r d o e s n o t c o - o p e r a t e i n f o r m i n g a c o l l e c t i v e b a r g a i n i n g r e l a t i o n s h i p w i t h t h e u n i o n . F a i l u r e o r r e f u s a l t o 36 b a r g a i n " i n g o o d f a i t h " i s a l s o an u n f a i r l a b o u r p r a c t i c e . I n C a n a d a , g o v e r n m e n t s a s e m p l o y e r s t r a d i t i o n a l l y have been r e l u c t a n t t o a d o p t t h e p r i n c i p l e s e s t a b l i s h e d i n t h e Wagner A c t . W o r k e r s e m p l o y e d d i r e c t l y by p r o v i n c i a l . g o v e r n m e n t s o r t h e f e d e r a l g o v e r n m e n t were e x c l u d e d f r o m c o v e r a g e u n d e r any l a b o u r s t a t u t e s u n t i l t h e 1960s (Ponak 1982, pp. 3 4 8 - 5 0 ) . I n t h a t d e c a d e , l e g i s l a t i o n was p a s s e d i n e a c h j u r i s d i c t i o n g i v i n g c o l l e c t i v e b a r g a i n i n g r i g h t s t o c i v i l s e r v a n t s a n d r e g u l a t i n g t h e t e r m s u n d e r w h i c h c o l l e c t i v e b a r g a i n i n g was t o o c c u r . Due t o t h i s c h a n g e o f p o l i c y , u n i o n i z a t i o n now e x i s t s among g o v e r n m e n t e m p l o y e e s a t b o t h t h e f e d e r a l and p r o v i n c i a l l e v e l s . H owever, i n many j u r i s d i c t i o n s , t h e r e a r e s t a t u t o r y r e s t r i c t i o n s on w h i c h i t e m s a r e n e g o t i a b l e . As w e l l a s l e g i s l a t i o n i n t e n d e d t o p r o m o t e u n i o n g r o w t h , t h e p o s s i b i l i t y e x i s t s t h a t o t h e r p u b l i c p o l i c i e s may h a v e va s i m i l a r e f f e c t . Government f i s c a l p o l i c y a f f e c t s many a r e a s o f t h e economy. G o v e r n m e n t s a c t u a l l y p r o v i d e t h e f u n d i n g f o r many s e r v i c e s , e i t h e r d i r e c t l y o r t h r o u g h p u b l i c c o r p o r a t i o n s o r o t h e r a g e n t s s u c h a s h o s p i t a l s o c i e t i e s . C h a nges i n f u n d i n g a l l o c a t i o n s o r r e s t r u c t u r i n g o f t h e s e s e r v i c e s c o u l d p o s i t i v e l y a f f e c t t h e l e v e l o f u n i o n i z a t i o n . F o r e x a m p l e , a p o l i c y d e c i s i o n t o f u n d p u b l i c l y an i n d u s t r y t h a t h a d p r e v i o u s l y been p a r t o f t h e p r i v a t e s e c t o r c o u l d l e a d t o g r o w t h i n u n i o n i z a t i o n . I n t h e C a n a d i a n c o n t e x t , p r o v i n c i a l g o v e r n m e n t s may b e g i n t o f u n d an i n d u s t r y b e c a u s e t h e y a r e r e c e i v i n g money f r o m t h e f e d e r a l g o v e r n m e n t f o r t h i s p u r p o s e . T h i s was t h e c a s e f o r t h e B.C. l o n g t e r m c a r e i n d u s t r y . 37 U n d e r t h e s e c i r c u m s t a n c e s , u n i o n i z a t i o n w o u l d most l i k e l y o c c u r i f o t h e r p u b l i c l y f u n d e d i n d u s t r i e s were a l s o u n i o n i z e d . By o b s e r v i n g t h e o t h e r i n d u s t r i e s , i t w o u l d be c l e a r t o e m p l o y e e s i n a new p u b l i c s e c t o r i n d u s t r y t h a t t h e g o v e r n m e n t w o u l d c o v e r t h e c o s t s o f wage s e t t l e m e n t s a r r i v e d a t t h r o u g h c o l l e c t i v e b a r g a i n i n g . I f t h e r a t e s o f r e m u n e r a t i o n f o r u n i o n i z e d e m p l o y e e s were h i g h e r t h a n f o r n o n - u n i o n i z e d e m p l o y e e s i n c o m p a r a b l e p o s i t i o n s , t h e r e w o u l d be g r e a t i n c e n t i v e t o j o i n a u n i o n . T h e r e a r e t h e r e f o r e , two k i n d s o f p u b l i c p o l i c i e s t h a t may p o s i t i v e l y a f f e c t u n i o n g r o w t h . The f i r s t i s l e g i s l a t i o n t h a t i s c r e a t e d e x p r e s s l y f o r t h i s p u r p o s e . S u c h l a w s a l l o w a u n i o n t o g a i n o f f i c i a l r e c o g n i t i o n as t h e b a r g a i n i n g a g e n t f o r a g r o u p o f e m p l o y e e s and e s t a b l i s h a c o l l e c t i v e b a r g a i n i n g r e l a t i o n s h i p w i t h o u t undue i n t e r f e r e n c e f r o m t h e e m p l o y e r . The s e c o n d i s u n i o n i z a t i o n t h a t o c c u r s i n r e s p o n s e t o c h a n g e s i n g o v e r n m e n t f u n d i n g . I n t h i s c a s e , u n i o n g r o w t h i s an u n i n t e n d e d s e c o n d a r y outcome o f g o v e r n m e n t d e c i s i o n s d e s i g n e d t o e x p a n d o r o t h e r w i s e a l t e r t h e s e r v i c e s p r o v i d e d t o t h e p u b l i c . A c c o r d i n g t o B a i n , t h e f a c t o r s t h a t a f f e c t u n i o n g r o w t h f a l l i n t o one of t h r e e c a t e g o r i e s : e c o n o m i c , s t r u c t u r a l , and p u b l i c p o l i c y . Some o f t h e s e f a c t o r s p r o m o t e t h i s phenomenon, o t h e r s h a v e t h e o p p o s i t e e f f e c t . Of t h o s e f a c t o r s t h a t f a l l i n t o t h e f o r m e r c a t e g o r y , some p r o v i d e an i n c e n t i v e i n t h e f o r m o f b e t t e r wages and w o r k i n g c o n d i t i o n s w h i l e o t h e r s p r o m o t e u n i o n i z a t i o n by r e m o v i n g t h e o b s t a c l e s i n t h e p a t h o f w o r k e r s w i s h i n g t o be r e p r e s e n t e d by a u n i o n . 38 A t h o u g h p r e v i o u s a t t e m p t s were made t o o r g a n i z e s e r v i c e w o r k e r s i n t h e l o n g t e r m c a r e i n d u s t r y i n B r i t i s h C o l u m b i a , no u n i o n a c h i e v e d any s u b s t a n t i a l s u c c e s s i n t h i s a r e a u n t i l i 9 7 4 . From t h a t y e a r o n, c e r t i f i c a t i o n s i n t h e i n d u s t r y i n c r e a s e d d r a m a t i c a l l y . I n o r d e r t o e x p l a i n t h e g r o w t h o f u n i o n i z a t i o n i n t h e i n d u s t r y i t i s t h e r e f o r e n e c e s s a r y t o d e t e r m i n e e x a c t l y what c h a n g e d a t t h i s j u n c t u r e . I f one e x a m i n e s t h e i n d u s t r y i n t e r m s o f t h e v a r i a b l e s d i s c u s s e d a b o v e , i t becomes c l e a r t h a t t h e o n l y m a j o r c h a n g e t h a t o c c u r r e d a t t h i s t i m e was t h e i n t r o d u c t i o n o f t h e p r o v i n c i a l L a b o u r Code. I n t h e l a t e 1970s a nd e a r l y 1 980s, a s i g n i f i c a n t i n c r e a s e i n t h e a n n u a l number o f c e r t i f i c a t i o n s i n t h e i n d u s t r y o c c u r r e d . A g a i n , t h i s a p p e a r s t o be t h e r e s u l t o f a c h a n g e i n p u b l i c p o l i c y . The n e x t s e c t i o n o f t h i s c h a p t e r e x p l a i n s how t h e s e p o l i c i e s c o n t r i b u t e d t o t h e g r o w t h o f u n i o n i z a t i o n i n t h e l o n g t e r m c a r e i n d u s t r y . I I I . PUBLIC POLICY DETERMINANTS OF UNION GROWTH IN B.C. LONG  TERM CARE I n 1972 t h e New D e m o c r a t i c P a r t y f o r m e d a new p r o v i n c i a l g o v e r n m e n t i n B.C. One o f t h e P a r t y ' s p r o m i s e s d u r i n g t h e e l e c t i o n c a m p a i g n was a commitment t o i m p r o v e t h e l a b o u r r e l a t i o n s c l i m a t e i n t h e p r o v i n c e . A c o m b i n a t i o n o f m i l i t a n t u n i o n s who had a c h i e v e d t h e h i g h e s t wages i n t h e c o u n t r y f o r t h e i r members and e m p l o y e r s who were i n t e n t on r e s i s t i n g a ny f u r t h e r l a r g e wage i n c r e a s e s made i n d u s t r i a l r e l a t i o n s i n B.C. " t h e most t u r b u l e n t on t h e c o n t i n e n t , p e r h a p s e v e n t h e w o r l d . " ( W e i l e r 1980, p.2) The new g o v e r n m e n t ' s r e s p o n s e t o t h i s 39 s i t u a t i o n was t o a p p o i n t a C o m m i s s i o n of I n q u i r y whose t a s k i t was t o d r a f t a new l a b o u r c o d e . A f t e r , w i d e c o n s u l t a t i o n , t h e L a b o u r Code o f B.C. (S.B.C. 1973, c . 122) was w r i t t e n by t h e members o f t h e C o m m i s s i o n , t h e " t h r e e w i s e men" as t h e y were c a l l e d . I n many r e s p e c t s t h e new Code was c o n s i d e r e d t o be e x t r e m e l y i n n o v a t i v e . Many o f i t s s e c t i o n s were a d a p t e d f r o m e x p e r i m e n t s i n l a b o u r l e g i s l a t i o n a t b o t h t h e f e d e r a l and p r o v i n c i a l l e v e l s and f r o m t h e r e c o m m e n d a t i o n s o f two r e c e n t f e d e r a l r e p o r t s on t h e s t a t e o f i n d u s t r i a l r e l a t i o n s i n t h e c o u n t r y ( R e p o r t o f t h e C a n a d i a n T a s k F o r c e 1968; and R e p o r t o f t h e R o y a l C o m m i s s i o n 1 9 6 8 ) . A c c o r d i n g t o W e i l e r , f i r s t C h a i r m a n o f t h e L a b o u r R e l a t i o n s B o a r d , " t h e r e a r e two p a r t s of a l a b o u r c o d e w h i c h a r e c e n t r a l t o t h e b a l a n c e of power b e t w e e n u n i o n a n d e m p l o y e r . " ( 1 9 8 0 , p.5) One i s t h e p a r t t h a t f a c i l i t a t e s w o r k e r s ' e f f o r t s t o o b t a i n c o l l e c t i v e b a r g a i n i n g r i g h t s . The o t h e r p u t s l i m i t s on u n i o n s i n t h e use o f t h e i r two e c o n o m i c weapons, t h e s t r i k e a nd t h e p i c k e t l i n e . S i n c e e a c h p a r t p r o m o t e s t h e i n t e r e s t o f one p a r t y , i t i s d i f f i c u l t t o a p p e a r n e u t r a l when w r i t i n g l e g i s l a t i o n i n t h e s e a r e a s . T h e r e was no d o u b t t h a t t h e c r e a t o r s of t h e new Code i n t e n d e d t o e n c o u r a g e t h e u n i o n i z a t i o n o f u n o r g a n i z e d w o r k e r s t o a much g r e a t e r e x t e n t t h a n h a d been t h e c a s e u n d e r t h e L a b o u r  R e l a t i o n s A c t (S.B.C. 1960, c . 2 0 5 ) , t h e p i e c e o f l e g i s l a t i o n i t s u p e r s e d e d . F o r e x a m p l e , a l t h o u g h t h e s p e c i f i c a t i o n o f u n f a i r l a b o u r p r a c t i c e s d i d n o t d i f f e r d r a m a t i c a l l y f r o m c o r r e s p o n d i n g s e c t i o n s o f t h e L a b o u r R e l a t i o n s A c t ( H i c k l i n g 1975, p . 2 4 ) , what 40 d i d c h a n g e was t h a t t h e L a b o u r R e l a t i o n s B o a r d now had a number o f r e m e d i a l p o w e r s a v a i l a b l e t o i t when an u n f a i r l a b o u r p r a c t i c e was f o u n d t o have been c o m m i t t e d . The most n o t a b l e o f t h e s e were S e c t i o n s 8 ( 4 ) . ( e ) , 28 and 70. S e c t i o n 8 ( 4 ) •( e ) g a ve t h e L a b o u r R e l a t i o n s B o a r d t h e r i g h t t o c e r t i f y a t r a d e u n i o n i f , due t o u n f a i r l a b o u r p r a c t i c e s , t h e t r u e w i s h e s o f t h e e m p l o y e e s i n t h e b a r g a i n i n g u n i t c o u l d n o t be a s c e r t a i n e d . Under t h e "make-whole" remedy o f S e c t i o n 28, t h e B o a r d c a n a c t u a l l y o r d e r a v i o l a t i n g p a r t y t o r e d r e s s damages s u f f e r e d by t h e o t h e r p a r t y . S e c t i o n 70 a l l o w s t h e B o a r d t o i m pose a f i r s t c o l l e c t i v e a g r e e m e n t on t h e p a r t i e s i n r e s p o n s e t o t h e r e c a l c i t r a n c e of an e m p l o y e r i n n e g o t i a t i n g a f i r s t c o l l e c t i v e a g r e e m e n t . A l t h o u g h t h e s e r e m e d i e s a r e s e l d o m u s e d a n d o n l y i n e x t r e m e c a s e s , i t i s l i k e l y t h a t t h e y do s e r v e a s a d e t e r r e n t t o e m p l o y e r i n t r a n s i g e n c e o r i n t e r f e r e n c e , i n t h e o r g a n i z i n g p r o c e s s . T h e r e i s some e v i d e n c e t o s u p p o r t t h i s t h e o r y f o r S e c t i o n 70 ( C l e v e l a n d 1982, p . 1 4 1 ) . P r o v i s i o n s o f t h e new L a b o u r Code c o n c e r n i n g u n i o n r e c o g n i t i o n were a l s o a g r e a t d e a l more f a v o u r a b l e t o w o r k e r s w i s h i n g t o be o r g a n i z e d . The most o b v i o u s e x a m p l e o f t h i s c h a n g e was t h e p r o v i s i o n u n d e r S e c t i o n 4 5 ( 1 ) f o r a u t o m a t i c c e r t i f i c a t i o n o f a b a r g a i n i n g u n i t where more t h a n f i f t y - f i v e p e r c e n t o f t h e e m p l o y e e s i n t h e u n i t a r e members o f t h e t r a d e u n i o n . I n a l l o t h e r j u r i s d i c t i o n s a v o t e was r e q u i r e d a t t h a t t i m e b e f o r e c e r t i f i c a t i o n c o u l d be a c h i e v e d r e g a r d l e s s o f how many e m p l o y e e s were members o f t h e t r a d e u n i o n . The a d v a n t a g e t o t h e u n i o n o f t h e new p o l i c y was t h a t i t d i d away w i t h 41 c e r t i f i c a t i o n c a m p a i g n s d u r i n g w h i c h e m p l o y e r s w o u l d have an o p p o r t u n i t y t o i n f l u e n c e t h e i r e m p l o y e e s o v e r t h e f o r t h c o m i n g v o t e . The t r e m e n d o u s g r o w t h t h a t h a s o c c u r r e d i n u n i o n i z a t i o n i n B.C. l o n g t e r m c a r e i s due t o c h a n g e s s i n c e 1973 i n l a b o u r l e g i s l a t i o n a nd g o v e r n m e n t p o l i c i e s o u t s i d e t h e i n d u s t r i a l r e l a t i o n s f i e l d . What i s i n t e r e s t i n g a b o u t t h e l e g i s l a t i v e i n f l u e n c e i s t h a t none of t h e s e c t i o n s m e n t i o n e d a b o v e , c r e a t e d s p e c i f i c a l l y t o f a c i l i t a t e u n i o n i z a t i o n , was c e n t r a l t o t h e g r o w t h i n t h e number o f c e r t i f i c a t i o n s i n t h i s i n d u s t r y . I n s t e a d , i t was l e g i s l a t i o n d e s i g n e d t o a d d r e s s t h e i s s u e of work s t o p p a g e s i n e s s e n t i a l s e r v i c e s t h a t h a d t h e s e c o n d a r y e f f e c t of e n a b l i n g u n i o n s t o a c h i e v e t h e s e r e s u l t s . T h i s o t h e r l e g i s l a t i o n was a l s o a p r o d u c t o f t h e more l i b e r a l a t t i t u d e t o w a r d s u n i o n s t h a t was e v i d e n t i n t h e new C o d e . The n e x t s e c t i o n w i l l e x p l a i n how t h e e s s e n t i a l s e r v i c e s l e g i s l a t i o n h a s been u s e d by u n i o n s t o e s t a b l i s h t h e m s e l v e s i n t h e l o n g t e r m c a r e i n d u s t r y . Then t h e e f f e c t o f t h e L o n g Term C a r e P r o g r a m , t h e o t h e r g o v e r n m e n t p o l i c y t h a t h a s c o n t r i b u t e d t o u n i o n g r o w t h , w i l l be a n a l y z e d . A. U n i o n i z a t i o n I n L o n g Term C a r e To 1984 I n o r d e r t o p r o v i d e an e x p l a n a t i o n f o r t h e i n c r e a s e i n u n i o n i z a t i o n i n t h i s i n d u s t r y , i t i s f i r s t n e c e s s a r y t o document when t h e s e c e r t i f i c a t i o n s o c c u r r e d and i n what k i n d s of f a c i l i t i e s . T a b l e I I shows s e r v i c e e m p l o y e e c e r t i f i c a t i o n s i n l o n g t e r m c a r e , b r o k e n down by u n i o n and k i n d o f f a c i l i t y . The i n f o r m a t i o n f o r t h i s t a b l e was o b t a i n e d by c o n s u l t i n g t h e Table 11 .-Long term care service employee c e r t i f i c a t i o n s (as of A p r i l 1984). UNIONS" HEU BCGEU CUPE. IUOE SEIU Vl'IREl! FACILITY TYPE 0- PH P-CCF NP-CCF PH P-CCF NP-CCF PH P-CCF NP-CCF PH P-CCF NP-CCF PH P-CCF NP-CCF NP-CCF CERTIFICATIONS pre 1968 1968 1969 1970 1971 1972 1973 1974 1975 1976 1977 1978 1979 1980 1981 1982 1983 1984(as of Apr) 1 2 1 10 1 3 1 2 1 1 5 3 4 9 10 3 12 9 3 3 2 1 2 1 1 2 1 2 1 2 1 1 1 1 1 1 1 1 1 2 1 2 2 1 1 1 1 1 1 1 2 1 1 3 2 1 2 TOTAL 19 8 55 3 9 8 3 4 6 6 2 4 8 CERT5.-T0 OTHER UNIONS -2 -3 -3 -2 -1 -1 DECERTIFICATIONS -2 -1 -1 CHANGE OF STATUS OF FACILITY -2 +2 (+1) -1 FACILITY CLOSURES -1 CHANGE TO EXTENDED CARE UNIT -1 -2 PRESENT TOTAL 14 8 55 3 9 3 2 4 3 3 1 1 8 Sources: Labour Relations Board of B r i t i s h Columbia; Individual long term care f a c i l i t i e s aUNI0NS: HEU=Hospital Employees' Union; BCGEU=BC Government Employees' Union; CUPE=Canadian Union of Public Employees; IUOE i n t e r n a t i o n a l Union of Operating Engineers; SEIU=Service Employees International Union; WIREU=Uancouver Municipal and Regional Employees' Union. FACILITY TYPE: PH=private hospital; P-CCF=proprietary community care f a c i l i t y ; NP-CCF=non-profit community care f a c i l i t y . 43 l i s t i n g s of c e r t i f i c a t i o n s a t t h e B.C. L a b o u r R e l a t i o n s B o a r d o r by c o n t a c t i n g i n d i v i d u a l f a c i l i t i e s ^ The " d e c e r t i f i c a t i o n s " c a t e g o r y r e f e r s t o d e c e r t i f i c a t i o n s t h a t o c c u r r e d w i t h o u t a n o t h e r u n i o n o b t a i n i n g a c e r t i f i c a t i o n i n t h e same f a c i l i t y . Any c e r t i f i c a t i o n t h a t a p p l i e d t o b o t h a p r i v a t e h o s p i t a l and p r o p r i e t a r y c o mmunity c a r e f a c i l i t y i s e n t e r e d u n d e r t h e " p r i v a t e h o s p i t a l " h e a d i n g . Due t o t h e b a r g a i n i n g s t r u c t u r e o f t h e BCGEU as s e t o u t i n t h e P u b l i c S e r v i c e L a b o u r R e l a t i o n s A c t ( S.B.C. 1973, c.144 s . 4 ) , t h e numbers u n d e r t h e "BCGEU" h e a d i n g do n o t r e f e r t o c e r t i f i c a t i o n s , b u t t o v a r i a n c e s i n an a l r e a d y -e x i s t i n g c e r t i f i c a t i o n t o i n c l u d e new g r o u p s of e m p l o y e e s . F i g u r e 1 shows t h a t t h e r e were two m a j o r t r e n d s i n t h e o r g a n i z a t i o n o f l o n g t e r m c a r e f a c i l i t i e s i n B.C. The f i r s t was t h e s i g n i f i c a n t i n c r e a s e i n t h e number o f c e r t i f i c a t i o n s f r o m 1974 t o t h e p r e s e n t . I n 1973 o n l y one c e r t i f i c a t i o n was a c h i e v e d . I n 1974 t h e L a b o u r R e l a t i o n s B o a r d c e r t i f i e d f i f t e e n f a c i l i t i e s . A l t h o u g h t h i s l e v e l of g r o w t h was n o t s u s t a i n e d , t h e r e have been a t l e a s t s i x c e r t i f i c a t i o n s p e r y e a r s i n c e 1974 and a s many a s t w e n t y - f o u r i n a s i n g l e y e a r (1 981 ) . The o t h e r m a j o r t r e n d i n o r g a n i z a t i o n was t h e i n c r e a s e i n c e r t i f i c a t i o n s o f n o n - p r o f i t f a c i l i t i e s t h a t began i n 1978. The g r o w t h i n c o l l e c t i v e b a r g a i n i n g a f t e r 1973 c a n be a c c o u n t e d f o r by c e r t a i n s e c t i o n s o f t h e new Code and s u b s e q u e n t l a b o u r l e g i s l a t i o n . The i n c r e a s e i n c e r t i f i c a t i o n s o f non-p r o f i t f a c i l i t i e s d a t i n g f r o m 1978 seems t o be r e l a t e d t o t h e i n t r o d u c t i o n o f t h e L ong Term C a r e P r o g r a m i n t h a t y e a r . The f o l l o w i n g s e c t i o n p r o v i d e s an e x p l a n a t i o n o f how u n i o n s i n l o n g Figure 1. Long term care service employee certifications by year and kind of facility (as of April 1984). 3 0 - i 2 5 -1 ' f ' \ Y " ' ' I , , w i ' *n r — 1968 1970 1972 1974 1976 1978 1980 1982 1984 Year Sources: Labour Relations Board of British Columbia Individual long term care facilities 45 t e r m c a r e were a b l e t o o r g a n i z e s u c c e s s f u l l y u s i n g t h e new l e g i s l a t i o n . Then t h e i m p a c t of t h e L o n g Term C a r e P r o g r a m on t h e o r g a n i z a t i o n of n o n - p r o f i t f a c i l i t i e s w i l l be d i s c u s s e d . B. L a b o u r L e g i s l a t i o n C o n t r i b u t i n g To U n i o n G r o w t h I n s e v e r a l c a s e s where c e r t i f i c a t i o n s were a c h i e v e d i n p r o p r i e t a r y f a c i l i t i e s , f i r s t c o l l e c t i v e a g r e e m e n t s were n o t c o n c l u d e d b e t w e e n t h e p a r t i e s . 2 E m p l o y e r s w i t h a n e w l y c e r t i f i e d b a r g a i n i n g u n i t u s e d d e l a y i n g t a c t i c s s u c h a s f a i l i n g t o a t t e n d n e g o t i a t i n g m e e t i n g s t o p r e v e n t t h e a t t a i n m e n t of a f i r s t c o l l e c t i v e a g r e e m e n t . I n one s i t u a t i o n , t h e e m p l o y e r r e f u s e d t o i m p l e m e n t a c o n c i l i a t i o n a w a r d and t h e c e r t i f i c a t i o n went " d o r m a n t " u n t i l a f t e r 1973. F a c e d w i t h e m p l o y e r i n t r a n s i g e n c e , t h e r e was l i t t l e t h a t u n i o n s c o u l d do t o d e v e l o p a c o l l e c t i v e b a r g a i n i n g r e l a t i o n s h i p w i t h an e m p l o y e r . I n one c a s e , CUPE waged a t h r e e - a n d - a - h a l f y e a r s t r i k e ( f r o m S e p t e m b e r 1970 t o December 1973) a g a i n s t S a n d r i n g h a m P r i v a t e H o s p i t a l i n o r d e r t o o b t a i n a f i r s t c o l l e c t i v e a g r e e m e n t . The U n i o n f i n a l l y a c h i e v e d i t s g o a l b u t a t g r e a t e x p e n s e : i t had been f o r c e d t o c a r r y on a l o n g and h i g h l y c o n t r o v e r s i a l s t r i k e d u r i n g w h i c h i t s s u p p o r t i n t h e b a r g a i n i n g u n i t d i m i n i s h e d t o t h e p o i n t where i t was s u c c e s s f u l l y r a i d e d by t h e S E I U . The new L a b o u r Code c o n t a i n e d a s e c t i o n r e f e r r i n g s o l e l y t o u n i o n s i n e s s e n t i a l s e r v i c e s . U n d e r S e c t i o n 7 3 ( 1 ) , i n t h e e v e n t o f an i m p a s s e i n n e g o t i a t i o n s , "a f i r e f i g h t e r s ' u n i o n , p o l i c e m e n ' s u n i o n o r h o s p i t a l u n i o n " [ e m p h a s i s a d d e d ] was g i v e n t h e r i g h t t o c h o o s e u n i l a t e r a l l y t o t a k e t h e d i s p u t e t o b i n d i n g a r b i t r a t i o n . " H o s p i t a l u n i o n " was d e f i n e d a s "a t r a d e u n i o n 46 c e r t i f i e d f o r a u n i t i n w h i c h t h e m a j o r i t y o f e m p l o y e e s h a s , a s i t s p r i n c i p a l d u t i e s t h e c a r e o f p a t i e n t s i n , o r o p e r a t i o n and m a i n t e n a n c e of a h o s p i t a l . " P r i v a t e h o s p i t a l s c l e a r l y f e l l w i t h i n t h e d e f i n i t i o n o f " h o s p i t a l " u n d e r t h e H o s p i t a l A c t and t h e r e f o r e , u n i o n s o p e r a t i n g i n t h e s e f a c i l i t i e s were c o v e r e d u n d e r S e c t i o n 73. The s i g n i f i c a n c e o f S e c t i o n 73 t o u n i o n g r o w t h i n l o n g t e r m c a r e f a c i l i t i e s i s e v i d e n t i f one l o o k s a t t h e number of t i m e s f i r s t c o l l e c t i v e a g r e e m e n t s were i m p o s e d u n d e r t h i s s e c t i o n i n p r i v a t e h o s p i t a l s . From 1973 t o 1977, when t h e E s s e n t i a l  S e r v i c e s D i s p u t e s A c t r e p l a c e d S e c t i o n 73, t w e n t y - o n e c e r t i f i c a t i o n s t o o k p l a c e i n p r i v a t e h o s p i t a l s . T h i s number c o m p r i s e d a s u b s t a n t i a l p o r t i o n o f f a c i l i t i e s l a r g e enough t o make o r g a n i z i n g p r a c t i c a l f o r a u n i o n . E l e v e n , o r j u s t o v e r h a l f , had gone t o a r b i t r a t i o n t o o b t a i n f i r s t c o l l e c t i v e a g r e e m e n t s . I t i s p o s s i b l e t h a t i n some o f t h e r e m a i n i n g c a s e s , f i r s t c o n t r a c t s were e n t e r e d i n t o b e c a u s e S e c t i o n 73 a c t e d a s a d e t e r r e n t t o e m p l o y e r s who m i g h t o t h e r w i s e have r e s i s t e d u n i o n i z a t i o n i n t h e i r f a c i l i t i e s . C e r t a i n l y t h e r e was now more i n c e n t i v e f o r u n i o n s t o o r g a n i z e i n t h a t an a t t e m p t t o a t t a i n a f i r s t c o l l e c t i v e a g r e e m e n t w o u l d no l o n g e r be a s t r u g g l e a g a i n s t o v e r w h e l m i n g o d d s . When S e c t i o n 73 was i n c l u d e d i n t h e new L a b o u r Code, e m p l o y e r s i n t h e l o n g t e r m c a r e f i e l d d i d n o t c o n s i d e r t h a t u n i o n s w o u l d use i t a s t h e main v e h i c l e f o r u n i o n g r o w t h i n t h e i n d u s t r y . 3 I n s t e a d , i t was t h o u g h t t h a t f i r s t c o n t r a c t a r b i t r a t i o n by t h e L a b o u r R e l a t i o n s B o a r d u n d e r S e c t i o n 70 w o u l d 47 be u s e d t o . e s t a b l i s h f i r s t c o l l e c t i v e a g r e e m e n t s i n t h e f a c e of e m p l o y e r r e s i s t a n c e , a s t h i s s e c t i o n had been c r e a t e d e x p r e s s l y f o r t h i s p u r p o s e . W e i l e r w r i t e s t h a t , " W i t h S a n d r i n g h a m s e a r e d i n t o o u r c o n s c i o u s n e s s , t h e s e a r c h f o r an e f f e c t i v e a n t i d o t e t o t h i s k i n d o f c o n f l i c t was h i g h . o n t h e a g e n d a . " ( 1 9 8 0 , p.50) The a n t i d o t e d e c i d e d upon was S e c t i o n 70. T h a t i s n o t t o s a y t h a t t h e c r e a t o r s of t h e Code were n o t a w a r e of t h e r o l e t h a t S e c t i o n 73 c o u l d p l a y i n t h e u n i o n i z a t i o n o f t h e l o n g t e r m c a r e i n d u s t r y . The r a t i o n a l e o f t h e " t h r e e w i s e men" i n g i v i n g u n i o n s t h e u n i l a t e r a l r i g h t . t o o p t f o r a r b i t r a t i o n i n t h e e v e n t t h a t an i m p a s s e was r e a c h e d i n n e g o t i a t i o n s was t h a t e m p l o y e e s were r e l i n q u i s h i n g t h e r i g h t t o s t r i k e a nd s h o u l d be c o m p e n s a t e d i n some way f o r t h i s . However, g i v e n t h e b a r g a i n i n g r e l a t i o n s h i p s t h a t s p u r r e d c r e a t i o n o f t h i s s e c t i o n o f t h e Code, i t w o u l d be d i f f i c u l t t o c o n c l u d e t h a t t h e members o f t h e C o m m i s s i o n were n o t aware o f t h e c o n s e q u e n c e s t h e i r w o r d i n g o f S e c t i o n 73 w o u l d h a v e i n t h e l o n g t e r m c a r e i n d u s t r y . I n d e e d , t h i s s e c t i o n of t h e Code c l o s e l y r e s e m b l e s a s e c t i o n o f t h e HEU's s u b m i s s i o n t o t h e L a b o u r Code C o m m i s s i o n . " Of t h e t h r e e members o f t h e C o m m i s s i o n , D.E. M c T a g g a r t had a c t e d a s l e g a l c o u n s e l f o r t h e HEU f o r more t h a n a d e c a d e and D r . N o e l H a l l had been i n v o l v e d i n HEU a r b i t r a t i o n s . T h e r e i s no q u e s t i o n t h a t J u d g e M c T a g g a r t was w e l l a p p r i s e d of t h e d i f f i c u l t i e s t h e U n i o n had e n c o u n t e r e d i n a t t e m p t i n g t o o r g a n i z e i n l o n g t e r m c a r e a s he had been p r i v y t o HEU p o l i c y d e c i s i o n s a n d n e g o t i a t i o n s f o r o v e r t e n y e a r s . D r . H a l l was a l s o l i k e l y 48 aware o f t h e HEU's p r o b l e m s i n . t h i s a r e a . I t w o u l d have been a l a r g e o v e r s i g h t on t h e p a r t o f t h e s e men h a d t h e y n o t been c o g n i z a n t o f t h e p o t e n t i a l u s e t o w h i c h t h i s p i e c e o f l e g i s l a t i o n c o u l d be a p p l i e d . I t i s p o s s i b l e t h a t t h e L e g i s l a t u r e t h a t p a s s e d t h e L a b o u r Code was n o t aware o f t h e s i g n i f i c a n c e o f t h i s s e c t i o n , b u t n o t t h e " t h r e e w i s e men." Even t h o u g h t h e r e were two p r o v i s i o n s i n t h e Code ( S e c t i o n s 70 a n d 73) w h i c h c o u l d be u s e d by a u n i o n t o t a k e a f i r s t c o n t r a c t d i s p u t e t o a r b i t r a t i o n a n d t h u s a c h i e v e a f i r s t c o l l e c t i v e a g r e e m e n t , S e c t i o n 70 h a s n e v e r been u s e d i n a l o n g t e r m c a r e f a c i l i t y . The a d v a n t a g e s o f u s i n g S e c t i o n 73 a r e o v e r w h e l m i n g . U n d er S e c t i o n 70, t h e u n i o n h a s t o a p p l y t o t h e M i n i s t e r o f L a b o u r t o p e r f o r m an i n v e s t i g a t i o n i n t o t h e d i s p u t e . I f t h e M i n i s t e r deems i t " n e c e s s a r y and a d v i s a b l e , " he d i r e c t s t h e L a b o u r R e l a t i o n s B o a r d t o i n q u i r e i n t o t h e d i s p u t e , a n d t h e n i t i s s t i l l up t o t h e B o a r d t o d e t e r m i n e w h e t h e r o r n o t t h i s i s an a p p r o p r i a t e c a s e i n w h i c h t o impose a f i r s t c o l l e c t i v e a g r e e m e n t . Under S e c t i o n 73 t h e u n i o n had s i m p l y t o d e c i d e t o go t o a r b i t r a t i o n w i t h o u t h a v i n g t o j u s t i f y t h i s d e c i s i o n t o any o t h e r p a r t y , i n c l u d i n g t h e e m p l o y e r . The o n l y s t i p u l a t i o n was t h a t "good f a i t h " b a r g a i n i n g h a d o c c u r r e d f i r s t . U n d e r t h e e s s e n t i a l s e r v i c e s l e g i s l a t i o n t h e u n i o n w o u l d a l s o h a v e e q u a l s a y w i t h t h e e m p l o y e r as t o who t h e a r b i t r a t o r w o u l d b e , u n l i k e S e c t i o n 70, u n d e r w h i c h n e i t h e r p a r t y w o u l d be i n v o l v e d i n t h e d e c i s i o n s a b o u t w h i c h members o f t h e L a b o u r R e l a t i o n s B o a r d w o u l d h e a r t h e i r c a s e . I n a d d i t i o n , i n t h e f i r s t d e c i s i o n o f t h e L a b o u r R e l a t i o n s B o a r d c o n c e r n i n g u s e o f 49 S e c t i o n 70, t h e B o a r d s t a t e d t h a t , " S e c t i o n 70 s h o u l d [ n o t ] be u s e d t o a c h i e v e m a j o r b r e a k t h r o u g h s i n c o l l e c t i v e b a r g a i n i n g . " ( L o n d o n D r u g s a n d . M i s c e l l a n e o u s W o r k e r s , W h o l e s a l e and R e t a i l D e l i v e r y D r i v e r a n d H e l p e r s U n i o n , L o c a l 35, No.30/74, BCLRB) T h i s meant t h a t no i n n o v a t i v e l a n g u a g e w o u l d be i n c l u d e d i n t h e c o l l e c t i v e a g r e e m e n t and s u b s t a n t i a l m o n e t a r y i n c r e a s e s w o u l d o n l y be a w a r d e d t o m a t c h t h e wages o f o t h e r e m p l o y e e s i n t h e same i n d u s t r y . I n s t e a d , i t w o u l d i n c l u d e " t e r m s w h i c h r e f l e c t a f a i r l y g e n e r a l c o n s e n s u s o f what s h o u l d be i n c l u d e d i n a c o l l e c t i v e a g r e e m e n t . " W h i l e t h e r e were no g u a r a n t e e s o f f a v o u r a b l e s e t t l e m e n t s f o r t h e u n i o n t h r o u g h a r b i t r a t i o n s u n d e r S e c t i o n 73, t h e p o s s i b i l i t y t h a t b r e a k t h r o u g h s i n wages and w o r k i n g c o n d i t i o n s m i g h t o c c u r u n d e r t h i s l e g i s l a t i o n was n o t p r e c l u d e d . P e r h a p s most i m p o r t a n t o f a l l , a l t h o u g h i t i s n o t s t a t e d i n t h e l e g i s l a t i o n , i t was u n d e r s t o o d i n t h e l a b o u r r e l a t i o n s c o m m u n i t y t h a t S e c t i o n 70 w o u l d n e v e r be i n v o k e d u n l e s s a work s t o p p a g e had a l r e a d y o c c u r r e d . 5 I f S a n d r i n g h a m was any i n d i c a t i o n o f a u n i o n ' s a b i l i t y t o w i n a s t r i k e i n t h i s i n d u s t r y , t h e n i t was c l e a r t h a t a work s t o p p a g e was n o t an e f f e c t i v e means o f o b t a i n i n g a c o l l e c t i v e a g r e e m e n t . The s t r i k e was n o t s u c c e s s f u l b e c a u s e t h e f a c i l i t y was a b l e t o h i r e r e p l a c e m e n t w o r k e r s who were w i l l i n g t o c r o s s t h e p i c k e t l i n e s e t up by t h e s t r i k i n g e m p l o y e e s . T h e r e f o r e , u n i o n s i n t h e i n d u s t r y were n o t e a g e r t o t a k e t h e i r members o u t on s t r i k e a nd h a v e r a r e l y done so s i n c e t h a t t i m e . T h u s , t h e c o n d i t i o n s u n d e r w h i c h S e c t i o n 70 w o u l d be i n v o k e d r a r e l y o c c u r r e d . 50 A l t h o u g h i n i t i a l l y t h e r i g h t t o s t r i k e o f e s s e n t i a l s e r v i c e u n i o n s was c o m p l e t e l y u n r e s t r i c t e d , s u b s e q u e n t a d hoc l e g i s l a t i o n and amendments t o t h e Code a d d e d r e s t r i c t i o n s on s t r i k e s . I n 1977 t h e E s s e n t i a l S e r v i c e s D i s p u t e s A c t (ESDA) (S.B.C. 1977, c.83) was p a s s e d . The A c t was a s y n t h e s i s o f t h e v a r i o u s p i e c e s o f e s s e n t i a l s e r v i c e s l e g i s l a t i o n t h a t p r e c e d e d i t . S e c t i o n 73 was r e p l a c e d by P a r t I I o f t h e ESDA. Under S e c t i o n 6 ( 1 ) of t h e ESDA, e s s e n t i a l s e r v i c e u n i o n s s t i l l h a d t h e r i g h t t o o p t u n i l a t e r a l l y f o r b i n d i n g a r b i t r a t i o n i f an i m p a s s e was r e a c h e d i n n e g o t i a t i o n s . The d e f i n i t i o n of s e r v i c e s o r u n i t s c o v e r e d by P a r t I I o f t h e ESDA had been e x p a n d e d f r o m t h e d e f i n i t i o n t h a t a p p l i e d t o S e c t i o n 73. Now i t was a m a j o r i t y o f e m p l o y e e s o f a " h e a l t h c a r e u n i o n " as o p p o s e d t o a " h o s p i t a l u n i o n " who were w o r k i n g e i t h e r i n a h o s p i t a l o r "whose p r i n c i p a l d u t i e s were t h e h e a l t h c a r e o f p a t i e n t s . " B a r g a i n i n g u n i t s i n p r i v a t e h o s p i t a l s were s t i l l c l e a r l y c o v e r e d by t h i s new p i e c e o f l e g i s l a t i o n . I n a d d i t i o n , i f u n i o n s i n c o m m u n i t y c a r e f a c i l i t i e s c o u l d p r o v e t h a t " t h e m a j o r i t y o f e m p l o y e e s h a s a s i t s p r i n c i p a l d u t i e s t h e h e a l t h c a r e o f p a t i e n t s , " t h e y t o o w o u l d h a v e t h e r i g h t t o o p t u n i l a t e r a l l y f o r b i n d i n g a r b i t r a t i o n . 6 The a d v a n t a g e s o f u s i n g S e c t i o n 6 ( 1 ) o f t h e ESDA o v e r S e c t i o n 70 were i d e n t i c a l t o t h e a d v a n t a g e s o f u s i n g S e c t i o n 73. A r b i t r a t i o n c o u l d o c c u r a t t h e d i s c r e t i o n o f t h e u n i o n a n d t h e o n l y p r e r e q u i s i t e was t h a t b a r g a i n i n g " i n good f a i t h " h a d o c c u r r e d f i r s t . The ESDA h o w e v e r , was n o t a s s i g n i f i c a n t a d e t e r m i n a n t o f u n i o n g r o w t h a s S e c t i o n 73 had b e e n . By t h e t i m e t h i s s e c o n d 51 p i e c e of e s s e n t i a l s e r v i c e s l e g i s l a t i o n was e n a c t e d , t h e m a j o r i t y o f p r i v a t e h o s p i t a l s t h a t were p r a c t i c a l t o o r g a n i z e had a l r e a d y been c e r t i f i e d . I t was now i n n o n - p r o f i t f a c i l i t i e s t h a t t h e m a j o r t h r u s t i n o r g a n i z i n g was o c c u r r i n g . T h i s b e i n g t h e c a s e , u n i o n s were n o t l i k e l y t o come up a g a i n s t t h e same d e g r e e of e m p l o y e r r e s i s t a n c e t o c o l l e c t i v e b a r g a i n i n g . Non-p r o f i t e m p l o y e r s w e r e ; n o t a s l i k e l y t o o p p o s e u n i o n i z a t i o n a s p r o p r i e t a r y e m p l o y e r s b e c a u s e t h e y were n o t c o n c e r n e d w i t h p r o f i t s a n d t h e r e f o r e d i d n o t f e e l a s t h r e a t e n e d by i n c r e a s e d wage c o s t s s h o u l d u n i o n i z a t i o n o c c u r i n t h e i r f a c i l i t i e s . T h u s , i t was a p i e c e o f l e g i s l a t i o n d e s i g n e d s p e c i f i c a l l y f o r e s s e n t i a l s e r v i c e s d i s p u t e s t h a t c r e a t e d t h e c i r c u m s t a n c e s u n d e r w h i c h a s i g n i f i c a n t i n c r e a s e i n t h e number o f c e r t i f i c a t i o n s i n t h e l o n g t e r m c a r e i n d u s t r y o c c u r r e d , e s p e c i a l l y i n p r o p r i e t a r y f a c i l i t i e s . From 1978 o n , h o w e v e r , g r o w t h o c c u r r e d p r i m a r i l y i n n o n - p r o f i t f a c i l i t i e s . C e r t a i n l y t h e momentum p r o v i d e d by g r o w t h i n u n i o n i z a t i o n i n t h e p r i v a t e s e c t o r o f t h e i n d u s t r y h a d a s i g n i f i c a n t e f f e c t on t h e s u c c e s s o f u n i o n s i n a c h i e v i n g c e r t i f i c a t i o n s i n n o n - p r o f i t f a c i l i t i e s . The i n t r o d u c t i o n o f a g o v e r n m e n t p o l i c y t h a t was c r e a t e d i n o r d e r t o e s t a b l i s h u n i v e r s a l h e a l t h c a r e s t a n d a r d s a n d c o v e r t h e c o s t s o f c a r e f o r i n d i v i d u a l s r e q u i r i n g l o n g t e r m t r e a t m e n t a l s o had a s t r o n g p o s i t i v e e f f e c t on u n i o n g r o w t h . T h i s p o l i c y was t h e L ong Term C a r e P r o g r a m . 52 C. The I m p a c t Of The Long Term C a r e P r o g r a m On U n i o n  G r o w t h The L ong Term C a r e P r o g r a m c o n t r i b u t e d t o an i n c r e a s e i n c e r t i f i c a t i o n s i n t h i s i n d u s t r y a f t e r 1978 by f a c i l i t a t i n g t h e g r o w t h o f n o n - p r o f i t f a c i l i t i e s , an a t t r a c t i v e a l t e r n a t i v e f o r u n i o n s i n t e r e s t e d i n o r g a n i z i n g i n t h i s f i e l d . As s t a t e d i n C h a p t e r 2, t h e P r o g r a m l e d t o t h e g r o w t h of n o n - p r o f i t f a c i l i t i e s by g u a r a n t e e i n g c o v e r a g e of a l l o f t h e i r o p e r a t i n g e x p e n s e s . T h i s commitment of f u n d s p l u s g r e a t e r demand f o r l o n g t e r m c a r e due t o i t s low c o s t t o c o n s u m e r s l e d t o a l a r g e i n c r e a s e i n t h e number o f n o n - p r o f i t f a c i l i t i e s f r o m 1978 t o t h e p r e s e n t . U n l i k e p r o p r i e t a r y f a c i l i t i e s t h a t r e c e i v e d t h e same r e i m b u r s e m e n t r a t e r e g a r d l e s s of c o s t s , f u n d i n g i n n o n - p r o f i t f a c i l i t i e s was d e s i g n e d t o i n c l u d e t h e c o s t s o f n e g o t i a t e d o r a r b i t r a t e d s e t t l e m e n t s . A l t h o u g h t h e M i n i s t r y o f H e a l t h w o u l d n o t a l w a y s r e i m b u r s e t h e s e i n s t i t u t i o n s f o r t h e e x a c t amount r e q u e s t e d i n t h e i r a n n u a l b u d g e t s ( t h i s w o u l d n o t happen i f p a r t s o f t h e b u d g e t e x c e e d e d t h e M i n i s t r y ' s own g u i d e l i n e s i n t h e s e a r e a s ) , n e g o t i a t o r s f o r t h e s e f a c i l i t i e s were f a i r l y c e r t a i n t h a t any s e t t l e m e n t s t h e y r e a c h e d w o u l d be h o n o u r e d by t h e M i n i s t r y , p r o v i d e d t h e y were w i t h i n r a n g e o f o t h e r a g r e e m e n t s i n t h e i n d u s t r y . I n c o n t r a s t , u n i o n s b a r g a i n i n g w i t h p r o p r i e t a r y f a c i l i t i e s were s o m e t i m e s up a g a i n s t t h e p r o s p e c t t h a t i f t h e i r s e t t l e m e n t i n v o l v e d a s u b s t a n t i a l wage i n c r e a s e and t h e s t a n d a r d f u n d i n g f o r t h e s e f a c i l i t i e s were n o t r a i s e d a c c o r d i n g l y , t h e e m p l o y e r w o u l d go o u t o f b u s i n e s s . 53 N o n - p r o f i t f a c i l i t i e s may a l s o have been a t t r a c t i v e t a r g e t s f o r u n i o n s o r g a n i z i n g i n t h i s i n d u s t r y a s t h e u n i o n s were l e s s l i k e l y t o be f a c e d w i t h e m p l o y e r o p p o s i t i o n . A l t h o u g h u n i o n -e m p l o y e r r e l a t i o n s i n n o n - p r o f i t f a c i l i t i e s a r e n o t a l w a y s a m i c a b l e , t h e r e i s u s u a l l y a g r e a t d i f f e r e n c e f o r a u n i o n b e t w e e n o r g a n i z i n g i n a f a c i l i t y where an owner s e e s h i s o r h e r p r o f i t s t h r e a t e n e d by t h e p r e s e n c e o f a u n i o n a n d one i n w h i c h u n i o n i z a t i o n w i l l p e r h a p s mean c e r t a i n c h a n g e s i n f a c i l i t y o p e r a t i o n s and i n c r e a s e d c o s t s t h a t w i l l be c o v e r e d by t h e g o v e r n m e n t . T h u s , t h e L o n g Term C a r e P r o g r a m c o n t r i b u t e d t o t h e g r o w t h i n t h e number of c e r t i f i c a t i o n s i n n o n - p r o f i t f a c i l i t i e s i n i t i a l l y by e n c o u r a g i n g g r o w t h i n t h e number o f t h e s e f a c i l i t i e s . Once n o n - p r o f i t f a c i l i t i e s were b u i l t , t h e y were a t t r a c t i v e t a r g e t s f o r u n i o n o r g a n i z e r s . T h u s , two a s p e c t s o f p u b l i c p o l i c y l e d t o t h e g r o w t h o f u n i o n i z a t i o n i n r e s i d e n t i a l f a c i l i t i e s f o r t h e e l d e r l y i n B.C. A l t h o u g h t h e f i r s t o f t h e s e was a p i e c e of l a b o u r l e g i s l a t i o n , i t was n o t l e g i s l a t i o n p r i m a r i l y i n t e n d e d t o a i d u n i o n s i n o r g a n i z i n g o r a c h i e v i n g r e c o g n i t i o n . I n t h e s e c o n d i n s t a n c e , t h e i n t r o d u c t i o n of t h e L o n g Term C a r e P r o g r a m , t h e r e i s c e r t a i n l y no e v i d e n c e t h a t one o f t h e g o a l s o f t h e P r o g r a m was t o p r o m o t e u n i o n i z a t i o n . I n s t e a d , t h e d e g r e e o f u n i o n g r o w t h t h a t d i d o c c u r was an i n d i r e c t outcome of t h e f u l f i l l m e n t o f t h e p r i m a r y g o a l s of t h e P r o g r a m : t o p r o v i d e t h e a p p r o p r i a t e l e v e l o f l o n g t e r m c a r e t o any B r i t i s h C o l u m b i a n r e q u i r i n g s u c h c a r e , r e g a r d l e s s o f a b i l i t y t o p a y . I n t e r m s o f t h e r e l a t i v e s i g n i f i c a n c e o f t h e s e two p o l i c i e s i n p r o m o t i n g u n i o n g r o w t h , 54 S e c t i o n 73 was c l e a r l y a g r e a t d e a l more i m p o r t a n t . The m a j o r c o l l e c t i v e b a r g a i n i n g b r e a k t h r o u g h s i n t h e i n d u s t r y came b e f o r e t h e L o n g Term C a r e P r o g r a m was i n t r o d u c e d . W h e t h e r t h e s e p u b l i c p o l i c i e s e x i s t e d o r n o t w o u l d be i r r e l e v a n t t o t h e q u e s t i o n o f u n i o n g r o w t h i n t h i s i n d u s t r y u n l e s s t h e r e were u n i o n s w i l l i n g t o t a k e a d v a n t a g e o f t h e o p p o r t u n i t i e s t h e y p r o v i d e d . The f o l l o w i n g s e c t i o n e x a m i n e s how one u n i o n i n p a r t i c u l a r , t h e H o s p i t a l E m p l o y e e s ' U n i o n , s u c c e s s f u l l y e x p l o i t e d t h e s e f a v o u r a b l e c i r c u m s t a n c e s . I V . UNION CHARACTERISTICS AS A DETERMINANT OF UNION GROWTH IN  B.C. LONG TERM CARE A. The HEU The H o s p i t a l E m p l o y e e s ' U n i o n was f o u n d e d i n 1944 when some e m p l o y e e s a t t h e V a n c o u v e r G e n e r a l H o s p i t a l (VGH) b r o k e away f r o m t h e C i v i c E m p l o y e e s ' U n i o n b e c a u s e i t d i d n o t r e p r e s e n t t h e s p e c i f i c i n t e r e s t s o f h o s p i t a l w o r k e r s . From an i n i t i a l m e m b e r s h i p o f t h r e e h u n d r e d i n 1944, L o c a l 180 o f t h e H o s p i t a l E m p l o y e e s ' F e d e r a l U n i o n was n e g o t i a t i n g c o n t r a c t s f o r a p p r o x i m a t e l y t h r e e t h o u s a n d e m p l o y e e s of p u b l i c h o s p i t a l s i n t h e F r a s e r V a l l e y and on V a n c o u v e r I s l a n d by 1951. I t was a l s o b e g i n n i n g t o i n c o r p o r a t e a l r e a d y - e x i s t i n g s m a l l i n d e p e n d e n t h o s p i t a l u n i o n s t h r o u g h o u t t h e p r o v i n c e (HEU 1 9 6 4 ) . I n A p r i l o f 1956, L o c a l 180 a f f i l i a t e d w i t h t h e N a t i o n a l U n i o n o f P u b l i c E m p l o y e e s ( N U P E ) , t h e f o r e r u n n e r of CUPE. T h i s a l l i a n c e l a s t e d u n t i l 1969 a t w h i c h t i m e HEU members v o t e d t o b r e a k away f r o m CUPE b e c a u s e o f a d i s p u t e o v e r m e m b e r s h i p f e e s 55 and a s e n s e t h a t CUPE was n o t s e r v i c i n g t h e HEU l o c a l a d e q u a t e l y . B e c a u s e t h e HEU b r o k e away f r o m an a f f i l i a t e o f t h e C a n a d i a n L a b o u r C o n g r e s s , t h e B.C. F e d e r a t i o n of L a b o u r , a nd t h e V a n c o u v e r a nd D i s t r i c t L a b o u r C o u n c i l , L o c a l 180 was no l o n g e r e l i g i b l e f o r m e m b e r s h i p i n t h e s e o r g a n i z a t i o n s . 7 As o f A p r i l 1, 1985 i t h a s r e - a f f i l i a t e d w i t h t h e C a n a d i a n L a b o u r C o n g r e s s and soon w i l l become a g a i n a member of t h e B.C. F e d e r a t i o n o f L a b o u r . 8 The HEU i s t h e l a r g e s t h e a l t h c a r e u n i o n o p e r a t i n g i n B.C. w i t h a m e m b e r s h i p o f a p p r o x i m a t e l y t w e n t y - f o u r t h o u s a n d . 9 As w e l l a s t h e c e r t i f i c a t i o n s i t h o l d s i n l o n g t e r m c a r e , t h e U n i o n r e p r e s e n t s s e r v i c e e m p l o y e e s i n a l m o s t e v e r y a c u t e c a r e h o s p i t a l i n t h e p r o v i n c e , s e v e r a l m e d i c a l c l i n i c s , p u b l i c h e a l t h u n i t s and m e d i c a l r e s e a r c h f a c i l i t i e s . The HEU's r a n k s a r e drawn f r o m a l l s e r v i c e g r o u p s w i t h i n t h e h e a l t h c a r e i n d u s t r y . HEU o c c u p a t i o n a l c a t e g o r i e s r a n g e f r o m r e l a t i v e l y u n s k i l l e d p o s i t i o n s s u c h a s o r d e r l i e s and l a u n d r y a i d e s t o t r a d e s m e n s u c h a s c a r p e n t e r s a nd e l e c t r i c i a n s , a s w e l l a s t e c h n i c i a n s s u c h a s t h o s e who r u n r e n a l d i a l y s i s and r e s p i r a t o r y m a c h i n e s . A t v a r i o u s t i m e s i n i t s h i s t o r y , t h e HEU h a s a t t e m p t e d t o i n c l u d e w i t h i n i t s m e m b e r s h i p g r a d u a t e and r e g i s t e r e d n u r s e s a nd a d d i t i o n a l t e c h n i c a l p e r s o n n e l . The U n i o n h a s been p r e v e n t e d f r o m a c c o m p l i s h i n g t h i s by t h e b a r g a i n i n g o r g a n i z a t i o n s t h a t have come t o r e p r e s e n t w o r k e r s i n t h e s e o c c u p a t i o n a l g r o u p s : t h e B.C. N u r s e s U n i o n ( f o r m e r l y t h e R e g i s t e r e d N u r s e s ' A s s o c i a t i o n o f B.C.) and t h e H e a l t h S c i e n c e s A s s o c i a t i o n . S i n c e t h e l a t t e r two a r e now b o t h w e l l - e s t a b l i s h e d t r a d e u n i o n s , t h e r e i s l i t t l e 56 p o s s i b i l i t y t h a t t h e HEU w o u l d be a b l e t o e x p a n d i n t o t h e s e a r e a s i n t h e f u t u r e . The H o s p i t a l E m p l o y e e s ' U n i o n i s a h i g h l y c e n t r a l i z e d o r g a n i z a t i o n i n t e r m s o f a d m i n i s t r a t i o n and d e c i s i o n - m a k i n g . The P r o v i n c i a l E x e c u t i v e i s t h e g o v e r n i n g body between c o n v e n t i o n s . I t i s composed o f a P r e s i d e n t , S e c r e t a r y - B u s i n e s s M a n a g e r , F i n a n c i a l S e c r e t a r y , f i v e V i c e - P r e s i d e n t s , t h r e e T r u s t e e s and s e v e n R e g i o n a l V i c e - P r e s i d e n t s . The o f f i c e o f P r e s i d e n t i s an e l e c t e d , f u l l - t i m e s a l a r i e d p o s i t i o n . The p e r s o n h o l d i n g t h i s p o s i t i o n i s r e s p o n s i b l e f o r e n s u r i n g t h a t t h e i n s t r u c t i o n s and p o l i c i e s o f t h e U n i o n ' s B i e n n i a l C o n v e n t i o n and t h e P r o v i n c i a l E x e c u t i v e a r e c a r r i e d o u t . The S e c r e t a r y -B u s i n e s s Manager i s a p p o i n t e d by t h e P r o v i n c i a l E x e c u t i v e . T h i s o f f i c e r h i r e s a l l p a i d s t a f f , i s t h e s p o k e s p e r s o n f o r t h e U n i o n i n s i d e and o u t s i d e of n e g o t i a t i o n s , c o o r d i n a t e s and a d m i n i s t e r s t h e b u s i n e s s o f t h e o r g a n i z a t i o n , and a p p o i n t s and i s r e s p o n s i b l e f o r most o f i t s c o m m i t t e e s . I n t h e c e n t r a l o f f i c e i n V a n c o u v e r , t h e HEU h a s o v e r f i f t y p a i d s t a f f members. T h e r e a r e a l s o f o u r r e g i o n a l o f f i c e s : K e l o w n a , N e l s o n , P r i n c e G e o r g e and V i c t o r i a . D e c i s i o n s c o n c e r n i n g what f a c i l i t i e s s h o u l d be o r g a n i z e d and who w i l l do t h e o r g a n i z i n g a r e made i n t h e V a n c o u v e r o f f i c e , o f t e n a f t e r c o n s u l t a t i o n w i t h t h e r e g i o n s . I n i t i a l l y t h e HEU e n g a g e d i n c o l l e c t i v e b a r g a i n i n g on a h o s p i t a l - b y - h o s p i t a l b a s i s . Then n e g o t i a t i o n s t o o k p l a c e r e g i o n a l l y a n d , i n 1968, t h e f i r s t r o u n d o f p r o v i n c e - w i d e b a r g a i n i n g o c c u r r e d . N e g o t i a t i o n s a t t h e p r o v i n c i a l l e v e l were 57 c o n d u c t e d on t h e e m p l o y e r s ' s i d e by t h e b a r g a i n i n g arm o f t h e B.C. H e a l t h A s s o c i a t i o n (BCHA) c a l l e d t h e E m p l o y e e R e l a t i o n s C o u n c i l (ERC) (Morgan 1982, p.33) u n t i l 1975, -when an i n d e p e n d e n t b a r g a i n i n g a g e n t , t h e H e a l t h L a b o u r R e l a t i o n s A s s o c i a t i o n ( H L R A ) , was e s t a b l i s h e d (Morgan 1982, p . 3 5 ) . HLRA and HEU n e g o t i a t e one " M a s t e r A g r e e m e n t " f o r a c u t e c a r e and a few l o n g t e r m c a r e f a c i l i t i e s . The o r g a n i z i n g t h a t began i n 1974 f o l l o w e d many y e a r s d u r i n g w h i c h HEU members had r a i s e d c o n c e r n s o v e r t h e w o r k i n g c o n d i t i o n s f o u n d i n p r o p r i e t a r y l o n g t e r m c a r e f a c i l i t i e s . A c c o r d i n g t o one HEU s t a f f member, t h e U n i o n w a n t e d t o o r g a n i z e i n t h e s e f a c i l i t i e s b e c a u s e e m p l o y e e s were d o i n g t h e same work a s i n a c u t e c a r e f a c i l i t i e s a n d " i t was o f f e n s i v e t o t h e U n i o n t h a t t h e y s h o u l d n o t be r e c e i v i n g t h e same [ w o r k i n g c o n d i t i o n s ] . " 1 0 E x p a n s i o n i n t o l o n g t e r m c a r e p r e s e n t e d an o p p o r t u n i t y f o r t h e HEU t o f u r t h e r c o n s o l i d a t e i t s p o s i t i o n a s t h e l a r g e s t h e a l t h c a r e u n i o n i n B.C. S i n c e t h e HEU's s e c e s s i o n f r o m CUPE, i t had c l a i m e d t h a t h e a l t h c a r e i n t h e p r o v i n c e was i t s j u r i s d i c t i o n . As t h e r e was l i t t l e o p p o r t u n i t y f o r t h e U n i o n t o i n c r e a s e i t s m e m b e r s h i p among p a r a p r o f e s s i o n a l s , i t s g r o w t h i n l o n g t e r m c a r e a l l o w e d i t t o f u r t h e r " e s t a b l i s h a n d f i r m u p " 1 1 t h i s c l a i m . 58 B. Why The HEU Has Been So S u c c e s s f u l O r g a n i z i n g I n L o n g . Term C a r e F i g u r e 2 i l l u s t r a t e s t h e e x t e n t t o w h i c h t h e HEU d o m i n a t e s l o n g t e r m c a r e . The U n i o n managed t o a c h i e v e more c e r t i f i c a t i o n s i n t h e i n d u s t r y t h a n a l l o t h e r u n i o n s c o m b i n e d f o r t h r e e r e a s o n s : t h e n a t u r e o f t h e HEU i t s e l f , t h e c h a r a c t e r i s t i c s o f t h e o t h e r u n i o n s i n v o l v e d i n t h i s f i e l d , a n d t h e HEU's w i l l i n g n e s s t o use i n t e r e s t a r b i t r a t i o n t o a t t a i n f i r s t c o l l e c t i v e a g r e e m e n t s . I n o r d e r s u c c e s s f u l l y t o o r g a n i z e on a b r o a d b a s i s , l a r g e sums o f money must be a v a i l a b l e . O r g a n i z i n g i s an e x p e n s i v e a c t i v i t y . The c o s t s i n v o l v e d i n a c h i e v i n g a c e r t i f i c a t i o n w i l l d e p e n d upon t h e d e g r e e o f e m p l o y e r r e s i s t a n c e a n d t h e l e v e l o f s u p p o r t f o r u n i o n i z a t i o n among e m p l o y e e s . I t i s p o s s i b l e t o o r g a n i z e c e r t a i n o p e r a t i o n s w i t h o u t a g r e a t d e a l of money, e s p e c i a l l y i f t h e r e i s l i t t l e o p p o s i t i o n t o t h e i d e a of a u n i o n f r o m e i t h e r e m p l o y e r o r e m p l o y e e s . I t i s u n l i k e l y , h o w e v e r , t h a t t h e s e c o n d i t i o n s w o u l d p r e v a i l t h r o u g h o u t an e n t i r e i n d u s t r y , and was c e r t a i n l y u n l i k e l y i n l o n g t e r m c a r e where e m p l o y e r o p p o s i t i o n t o u n i o n i z a t i o n was n o t o r i o u s . The HEU was a b l e a n d w i l l i n g t o p r o v i d e t h e money r e q u i r e d t o o r g a n i z e i n l o n g t e r m c a r e . I n 1974 t h e d e c i s i o n was t a k e n a t t h e U n i o n ' s B i e n n i a l C o n v e n t i o n t o make a c o n c e r t e d e f f o r t t o o r g a n i z e t h e l o n g t e r m c a r e i n d u s t r y . T h i s d e c i s i o n i n c l u d e d a l a r g e f i n a n c i a l commitment on t h e p a r t of t h e U n i o n . S i n c e t h e HEU i s a c t u a l l y one p r o v i n c e - w i d e l o c a l , i t h a s a c c e s s t o t h e f i n a n c i a l r e s o u r c e s p r o v i d e d by t h e m e m b e r s h i p f e e s and u n i o n Figure 2. Long term care service employee certifications by year and union (as of April 1934). 30 - i Sources: Labour Relations Board of British Columbia Individual long term care facilities 60 d u e s o f s e r v i c e e m p l o y e e s i n most a c u t e c a r e h o s p i t a l s t h r o u g h o u t t h e p r o v i n c e f o r any a c t i v i t y i t u n d e r t a k e s . I n one f a c i l i t y t h a t t h e U n i o n was o r g a n i z i n g t h e r e were o n l y t h i r t e e n e m p l o y e e s e l i g i b l e f o r m e m b e r s h i p i n t h e p r o s p e c t i v e b a r g a i n i n g u n i t . B e f o r e t h e c e r t i f i c a t i o n v o t e , t h e HEU s t a f f p e r s o n w o r k i n g on t h i s o r g a n i z i n g c a m p a i g n h ad v i s i t e d t h e f a c i l i t y t w i c e and had been o n c e t o t h e L a b o u r R e l a t i o n s B o a r d . She had met w i t h t h e f a c i l i t y ' s l a w y e r r e g a r d i n g an u n f a i r l a b o u r p r a c t i c e c o m p l a i n t by t h e U n i o n , h e l d a m e e t i n g w i t h t h e HEU members w i t h i n t h e f a c i l i t y a n d had many phone c o n v e r s a t i o n s r e g a r d i n g t h e u n i o n i z a t i o n o f t h e f a c i l i t y . A l l t h i s o c c u r r e d b e f o r e t h e r e p r e s e n t a t i o n v o t e was h e l d . 1 2 T h i s was a v e r y c o s t l y o r g a n i z i n g c a m p a i g n f o r t h e U n i o n b e c a u s e t h e number of e m p l o y e e s i n v o l v e d was so s m a l l . A n o t h e r i n d i c a t i o n o f t h e HEU's commitment t o e x p a n s i o n i n t o l o n g t e r m c a r e i s t h e e x p e n s e s i t h a s i n c u r r e d by s e e k i n g a r b i t r a t e d s e t t l e m e n t s t o c o l l e c t i v e b a r g a i n i n g d i s p u t e s . A r b i t r a t i o n s i n v o l v e p r e p a r a t i o n t i m e a n d c o s t s f o r h i r i n g o u t s i d e e x p e r t s , a s w e l l a s t h e a r b i t r a t o r ' s f e e s . The HEU's c e n t r a l i z e d s t r u c t u r e p r o v i d e d a s t r o n g f i n a n c i a l b a s e f r o m w h i c h t o o r g a n i z e a n d t h e f a c t t h a t t h e U n i o n was s o l e l y i n v o l v e d i n h e a l t h c a r e f u r t h e r c o n t r i b u t e d t o t h e s u c c e s s o f t h e H o s p i t a l E m p l o y e e s ' U n i o n i n o r g a n i z i n g i n l o n g t e r m c a r e . B e c a u s e t h e HEU h a s one c e n t r a l a d m i n i n i s t r a t i v e o f f i c e f o r i t s e n t i r e m e m b e r s h i p ( b e s i d e s t h e f o u r r e g i o n a l o f f i c e s where few p o l i c y d e c i s i o n s a r e made), many e m p l o y e e s i n t h e V a n c o u v e r o f f i c e h a v e become v e r y s p e c i a l i z e d i n s p e c i f i c 61 a s p e c t s o f c o l l e c t i v e b a r g a i n i n g i n t h i s f i e l d . T h e r e a r e s e v e r a l p e o p l e w o r k i n g o u t o f t h e V a n c o u v e r o f f i c e who have e x p e r t i s e i n l o n g t e r m c a r e , m a t t e r s . T h e s e s t a f f members, who have o r g a n i z e d f a c i l i t i e s p r e v i o u s l y , a r e f a m i l i a r w i t h t h e k i n d s o f e m p l o y e r s a nd e m p l o y e e s t h e y a r e l i k e l y t o e n c o u n t e r i n a t t e m p t i n g t o o r g a n i z e new f a c i l i t i e s . They know t h e a r g u m e n t s t o p e r s u a d e e m p l o y e e s t o j o i n t h e U n i o n . They c a n r e f e r t o t h e b e n e f i t s a c q u i r e d t h r o u g h an HEU c e r t i f i c a t i o n i n a s i m i l a r f a c i l i t y . T h e i r e x p e r t i s e i n t h i s f i e l d a l s o means t h a t t h e y a r e f a m i l i a r w i t h t h e l e g i s l a t i o n r e l e v a n t t o t h i s f i e l d a n d t h e a r g u m e n t s r e q u i r e d t o w i n an u n f a i r l a b o u r p r a c t i c e c o m p l a i n t o r c e r t i f i c a t i o n a p p l i c a t i o n b e f o r e t h e L a b o u r R e l a t i o n s B o a r d . 1 3 A n o t h e r a d v a n t a g e o f t h e c e n t r a l i z e d s t r u c t u r e o f t h e HEU i s t h a t b e f o r e t h e c a m p a i g n t o o r g a n i z e i n l o n g t e r m c a r e f a c i l i t i e s b e g a n , t h e U n i o n a l r e a d y h ad a p r e s e n c e i n h e a l t h c a r e i n e v e r y c o m m u n i t y o f any s i z e a c r o s s t h e p r o v i n c e . I n t h e s m a l l e r c o m m u n i t i e s t h i s meant t h a t HEU members were o f t e n a l r e a d y a c q u a i n t e d w i t h w o r k e r s i n u n o r g a n i z e d f a c i l i t i e s . S o m etimes HEU members a c t u a l l y h e l p e d o r g a n i z e t h e s e o t h e r f a c i l i t i e s . 1 " O f t e n t h e a u r a o f a n o t h e r h e a l t h c a r e f a c i l i t y w i t h s u p e r i o r w o r k i n g c o n d i t i o n s a c t e d a s a c a t a l y s t f o r u n o r g a n i z e d w o r k e r s t o a p p r o a c h t h e U n i o n . 1 5 I n s e v e r a l c a s e s t h e r e was an a d m i n i s t r a t i v e c o n n e c t i o n b e t w e e n an u n o r g a n i z e d n o n - p r o f i t f a c i l i t y and t h e a c u t e c a r e h o s p i t a l i n t h e c o m m u n i t y . S o m e t i m e s w o r k e r s i n t h e s e new f a c i l i t i e s p r e v i o u s l y had been e m p l o y e d by t h e a c u t e h o s p i t a l and t h u s w o u l d have been HEU members. T h e s e were t h e means by w h i c h e m p l o y e e s i n l o n g 62 t e r m c a r e f a c i l i t i e s m i g h t have been e x p o s e d t o t h e a d v a n t a g e s of b e i n g an HEU member. Of. t h e f i v e r e m a i n i n g u n i o n s w i t h c e r t i f i c a t i o n s among s e r v i c e e m p l o y e e s i n l o n g t e r m c a r e f a c i l i t e s , two o f t h e s e , t h e BCGEU and t h e VMREU, had l i t t l e i n t e r e s t i n o r g a n i z i n g i n t h i s f i e l d . I n 1973, w i t h p a s s a g e o f t h e P u b l i c S e r v i c e L a b o u r  R e l a t i o n s A c t , p r o v i n c i a l g o v e r n m e n t e m p l o y e e s were g i v e n c o l l e c t i v e b a r g a i n i n g r i g h t s . E v e n t h o u g h t h e BCGEU a l r e a d y r e p r e s e n t e d p r o v i n c i a l g o v e r n m e n t e m p l o y e e s i n n e g o t i a t i o n s w i t h t h e p r o v i n c i a l g o v e r n m e n t , t h e r e h a d n e v e r been any s t a t u t o r y r e c o g n i t i o n o f t h e U n i o n a s t h e o f f i c i a l b a r g a i n i n g a g e n t f o r t h e s e e m p l o y e e s . A f t e r 1973, i n o r d e r t o g a i n t h a t s t a t u s , t h e BCGEU was p r e o c c u p i e d w i t h t h e t a s k o f o b t a i n i n g c e r t i f i c a t i o n s a n d b i n d i n g c o l l e c t i v e a g r e e m e n t s f o r d i r e c t g o v e r n m e n t e m p l o y e e s . W o r k e r s i n l o n g t e r m c a r e f a c i l i t i e s d i d n o t f i t i n t o t h i s c a t e g o r y . R e p r e s e n t a t i o n i n most o f t h e s e f a c i l i t i e s came a b o u t e i t h e r b e c a u s e t h e w o r k e r s i n t h e s e i n s t i t u t i o n s a p p r o a c h e d t h e U n i o n o r b e c a u s e members of t h e U n i o n were a w a r e t h a t t h e r e was some i n t e r e s t i n o r g a n i z i n g w i t h i n a f a c i l i t y . However, i f t h e r e h a d been "a g i a n t c r y i n g n e e d w i t h no hope o f a u n i o n , " 1 6 i t i s l i k e l y t h a t t h e BCGEU w o u l d h a v e made more a c t i v e a t t e m p t s t o o r g a n i z e t h i s i n d u s t r y . The V a n c o u v e r a n d M u n i c i p a l R e g i o n a l E m p l o y e e s ' U n i o n r e p r e s e n t s 4,200 e m p l o y e e s o f m u n i c i p a l a n d r e g i o n a l g o v e r n m e n t s a nd e d u c a t i o n a l a n d c u l t u r a l i n s t i t u t i o n s . I t s c e r t i f i c a t i o n s i n l o n g t e r m c a r e c o v e r o n l y r e s i d e n t i a l f a c i l i t i e s o p e r a t e d by t h e C i t y o f V a n c o u v e r (VMREU, 63 " W e l c o m e " ) . 1 7 The Government E m p l o y e e s ' U n i o n was i n f a c t t h e o n l y one o f . t h e f i v e u n i o n s w i t h c h a r a c t e r i s t i c s s i m i l a r t o t h e HEU. I t h a s a p r e s e n c e i n h e a l t h c a r e , t h o u g h n o t a s s u b s t a n t i a l a s t h e HEU's. As w e l l a s t h e t w e l v e r e s i d e n t i a l f a c i l i t i e s f o r t h e e l d e r l y , i t h o l d s c e r t i f i c a t i o n s i n t h e p r o v i n c i a l l y - o p e r a t e d h e a l t h c a r e i n s t i t u t i o n s t h a t p r o v i d e l o n g t e r m c a r e f o r i n d i v i d u a l s w i t h s e v e r e p r o b l e m s o f m e n t a l i l l n e s s o r m e n t a l r e t a r d a t i o n . I t h a s a c e n t r a l i z e d s t r u c t u r e s i m i l a r t o t h e HEU's, w i t h a l a r g e m e m b e r s h i p t h a t c o u l d p r o v i d e a s t r o n g f i n a n c i a l b a s e f r o m w h i c h t o o r g a n i z e . H owever, i n t h e m i d - 1 9 7 0 s t h e i n t e r e s t f o r t h i s d i d n o t e x i s t w i t h i n t h e u n i o n . A t t h e t i m e when t h e HEU was f i r s t o r g a n i z i n g l o n g t e r m c a r e f a c i l i t i e s , t h e BCGEU was s t i l l e s t a b l i s h i n g i t s e l f . among i t s p r i m a r y m e m b e r s h i p , g o v e r n m e n t e m p l o y e e s . I n t h e p a s t two y e a r s t h e BCGEU h a s l o s t many members due t o g o v e r n m e n t r e s t r a i n t m e a s u r e s t h a t have r e d u c e d t h e s i z e o f t h e c i v i l s e r v i c e . I n o r d e r t o i n c r e a s e i t s m e m b e r s h i p , t h e BCGEU h a s begun t o o r g a n i z e s e r v i c e w o r k e r s i n t h e h o s p i t a l i t y i n d u s t r y . I t i s l i k e l y t h a t i f t h e l o n g t e r m c a r e i n d u s t r y were s t i l l r e l a t i v e l y u n o r g a n i z e d , t h e u n i o n w o u l d h a v e c h o s e n t h i s i n d u s t r y t o o r g a n i z e a s i t a l r e a d y h a s a p r e s e n c e i n l o n g t e r m c a r e . Of t h e t h r e e o t h e r u n i o n s r e p r e s e n t e d i n t h i s i n d u s t r y , t h e C a n a d i a n U n i o n o f P u b l i c E m p l o y e e s , 1 8 t h e I n t e r n a t i o n a l U n i o n o f O p e r a t i n g E n g i n e e r s , 1 9 and t h e S e r v i c e E m p l o y e e s I n t e r n a t i o n a l U n i o n , 2 0 t h e l a t t e r two o r g a n i z a t i o n s h a v e o n l y a s m a l l 64 membership base i n B.C. The i n d u s t r i a l l o c a l of the IUOE has o n l y seven thousand members, w h i l e the SEIU's l a r g e s t l o c a l i n the p r o v i n c e , i t s i n d u s t r i a l l o c a l , has a p p r o x i m a t e l y t h r e e thousand members. Even though they have a r e l a t i v e l y s m a l l p r e s e nce i n B.C., both unions r e p r e s e n t workers i n a l a r g e r number of o c c u p a t i o n a l c a t e g o r i e s t h a n the HEU s i n c e they r e p r e s e n t workers i n a range of i n d u s t r i e s . For example, the SEIU a l s o has c e r t i f i c a t i o n s f o r garbage d i s p o s a l and j a n i t o r i a l w o r k e r s , and i n h o t e l maintenance. L o c a l 882B of the IUOE a l s o r e p r e s e n t s u n s k i l l e d and s e m i - s k i l l e d workers i n s c h o o l s and b u s i n e s s e s . For each of these u n i o n s , t h e i r o n l y i n v o l v e m e n t i n h e a l t h c a r e i n B.C. i s the r e l a t i v e l y few c e r t i f i c a t i o n s they h o l d i n p r o p r i e t a r y and n o n - p r o f i t l o n g term c a r e f a c i l i t i e s . Of the l o n g term c a r e u n i o n s , a f t e r the BCGEU and the HEU, the Canadian Union of P u b l i c Employees has the t h i r d l a r g e s t membership i n B.C. I t s s t o n g e s t p r e s ence i s i n e d u c a t i o n a l i n s t i t u t i o n s - u n i v e r s i t i e s and s c h o o l s . A l t h o u g h d e c i s i o n s r e g a r d i n g o r g a n i z i n g are made at the R e g i o n a l O f f i c e l e v e l (B.C. i s a r e g i o n ) , most o t h e r c o l l e c t i v e b a r g a i n i n g d e c i s i o n s a r e made a t the l o c a l l e v e l . Each time the Union i s c e r t i f i e d f o r a group of employees, they have the o p t i o n of becoming a s e p a r a t e l o c a l . At p r e s e n t t h e r e are a t l e a s t f o u r l o c a l s r e p r e s e n t i n g the e l e v e n CUPE l o n g term c a r e f a c i l i t i e s . Once c e r t i f i e d , l o c a l s are autonomous t o the e x t e n t t h a t t h e r e i s o f t e n l i t t l e commonality of c o n t r a c t language between c o l l e c t i v e agreements of d i f f e r e n t l o c a l s , even i n the same i n d u s t r y . A l t h o u g h CUPE d i d not engage i n o r g a n i z i n g i n l o n g term 65 c a r e on t h e same s c a l e a s d i d t h e HEU, i t i s u n l i k e l y t h a t had CUPE u n d e r t a k e n s u c h a c a m p a i g n i t w o u l d have been a s s u c c e s s f u l a s t h e HEU. U n l i k e t h e h o s p i t a l u n i o n w h i c h h a s c o n s i s t e n t l y demanded t h e wages and w o r k i n g c o n d i t i o n s f o u n d i n i t s M a s t e r A g r e e m e n t w i t h HLRA, e a c h CUPE l o c a l u s e s d i f f e r e n t c o m p a r i s o n g r o u p s i n m a k i n g n e g o t i a t i n g demands. I n g e n e r a l , CUPE l o c a l s h a v e s e t t l e d f o r c o l l e c t i v e a g r e e m e n t s t h a t a r e i n f e r i o r t o HEU-c e r t i f i e d f a c i l i t i e s i n wages and b e n e f i t s . L o n g t e r m c a r e w o r k e r s l o o k i n g f o r u n i o n r e p r e s e n t a t i o n w o u l d be most i n t e r e s t e d i n t h e u n i o n t h a t t h e y p e r c e i v e w i l l o f f e r them t h e g r e a t e s t e c o n o m i c r e w a r d s . H e r e , t h a t u n i o n c l e a r l y was t h e HEU. The f a c t t h a t t h e u n i o n s m e n t i o n e d a b o v e e i t h e r d i d n o t h a v e t h e same r e s o u r c e s t o u n d e r t a k e a s u c c e s s f u l o r g a n i z i n g c a m p a i g n i n l o n g t e r m c a r e o r had l i t t l e i n t e r e s t i n t h i s f i e l d e x p l a i n s , t o some e x t e n t , t h e s i g n i f i c a n t d i f f e r e n c e i n t h e number o f HEU c e r t i f i c a t i o n s c o m p a r e d t o c e r t i f i c a t i o n s f o r t h e o t h e r u n i o n s . However, t h e r e was a n o t h e r f a c t o r w h i c h d i s t i n g u i s h e d t h e HEU f r o m t h e o t h e r l o n g t e r m c a r e u n i o n s : t h e H o s p i t a l E m p l o y e e s ' U n i o n was t h e o n l y u n i o n p r e p a r e d t o make use o f i n t e r e s t a r b i t r a t i o n on an o n g o i n g b a s i s a s a means t o s e t t l e b a r g a i n i n g d i s p u t e s . The o t h e r u n i o n s w i t h t h e f i n a n c i a l r e s o u r c e s t o go t o a r b i t r a t i o n , 2 1 t h e BCGEU a n d CUPE, had p h i l o s o p h i c a l q u a l m s o v e r t h e use o f t h i s p r o c e d u r e . They a r e a f f i l i a t e s o f t h e B.C. F e d e r a t i o n of L a b o u r a n d i t was t h e F e d e r a t i o n ' s p o l i c y t h a t b i n d i n g a r b i t r a t i o n was n o t an a p p r o p r i a t e method o f d i s p u t e r e s o l u t i o n . The r a t i o n a l e b e h i n d 66 t h i s s t a n c e was t h a t t h e i m p o s i t i o n of a c o l l e c t i v e a g r e e m e n t by a t h i r d p a r t y was no l o n g e r c o l l e c t i v e b a r g a i n i n g and t h e use of a r b i t r a t i o n d i m i n i s h e d t h e s i g n i f i c a n c e of n e g o t i a t i o n s . 2 2 As n o t e d p r e v i o u s l y , i t was t h e i n v o c a t i o n o f S e c t i o n 73, a n d t h u s t h e u n i o n ' s o p t i o n o f u s i n g i n t e r e s t a r b i t r a t i o n , t h a t l e d t o t h e a t t a i n m e n t of f i r s t c o l l e c t i v e a g r e e m e n t s i n l o n g t e r m c a r e a n d t h e r e f o r e t h e s u c c e s s f u l o r g a n i z i n g o f t h e i n d u s t r y . Of t h e i n t e r e s t a r b i t r a t i o n s t h a t have t a k e n p l a c e i n l o n g t e r m c a r e , a l l b u t two have i n v o l v e d t h e HEU. Not o n l y d i d t h e U n i o n ' s w i l l i n g n e s s t o u s e t h i s p r o c e d u r e a l l o w i t t o o b t a i n f i r s t c o l l e c t i v e a g r e e m e n t s i n t h e f a c i l i t i e s i n w h i c h i t h e l d c e r t i f i c a t i o n s , b u t , a s w i l l be shown i n C h a p t e r 5, t h e a w a r d s t h a t were i s s u e d a f t e r 1978 were so f a v o u r a b l e t o t h e HEU t h a t t h e y u n d o u b t e d l y a c t e d a s an i n c e n t i v e f o r e m p l o y e e s i n non-u n i o n i z e d f a c i l i t i e s t o j o i n t h e h e a l t h c a r e u n i o n . V. CONCLUSION S i n c e 1973 t h e r e h a s been t r e m e n d o u s g r o w t h i n u n i o n i z a t i o n i n t h e l o n g t e r m c a r e i n d u s t r y i n B.C. The most s i g n i f i c a n t e n v i r o n m e n t a l f a c t o r c o n t r i b u t i n g t o t h i s g r o w t h was S e c t i o n 73 o f t h e 1973 L a b o u r Code o f B.C. T h i s s e c t i o n a l l o w e d u n i o n s t o a c h i e v e f i r s t c o l l e c t i v e a g r e e m e n t s i n an i n d u s t r y i n w h i c h p r e v i o u s u n s u c c e s s f u l a t t e m p t s t o r e a c h n e g o t i a t e d c o n t r a c t s had been t h e l a r g e s t i m p e d i m e n t t o u n i o n i z a t i o n . The u s e o f S e c t i o n 73 f o r t h i s p u r p o s e was a s e c o n d a r y c o n s e q u e n c e o f t h i s p i e c e o f l e g i s l a t i o n t h a t was i n t e n d e d p r i m a r i l y a s a method o f d e a l i n g w i t h b a r g a i n i n g i m p a s s e s i n t h e e s s e n t i a l s e r v i c e s . A l t h o u g h 67 n o t a s i m p o r t a n t i n t e r m s o f t h e d e c i s i o n t o o r g a n i z e t h e l o n g t e r m c a r e i n d u s t r y , t h e Long Term C a r e P r o g r a m a c t e d a s an i n d e p e n d e n t c a t a l y s t t o o r g a n i z i n g i n t h i s i n d u s t r y t h r o u g h t h e g r o w t h o f l o n g t e r m c a r e f a c i l i t i e s w i t h c h a r a c t e r i s t i c s m a k i n g them v e r y a t t r a c t i v e t o p o t e n t i a l o r g a n i z e r s . Of a l l t h e u n i o n s w i t h c e r t i f i c a t i o n s i n l o n g t e r m c a r e , one i n p a r t i c u l a r , t h e H o s p i t a l E m p l o y e e s ' U n i o n , has become d o m i n a n t . T h i s i s due t o t h e c a p a b i l i t i e s and r e s o u r c e s o f t h e U n i o n s t emming f r o m i t s i n t e r n a l s t r u c t u r e and j u r i s d i c t i o n , t h e l e v e l o f commitment i t d i s p l a y e d i n o r g a n i z i n g i n t h i s f i e l d a n d i t s w i l l i n g n e s s t o make use of S e c t i o n 73. C h a p t e r 4 e x a m i n e s t h e e v o l u t i o n o f t h e b a r g a i n i n g s t r u c t u r e i n l o n g t e r m c a r e a n d e x p l a i n s why t h e s t r u c t u r e h a s e v o l v e d a s i t h a s . 68 FOOTNOTES 1. C e r t i f i c a t i o n i s the procedure by which a union i s d e s i g n a t e d as the e x c l u s i v e b a r g a i n i n g agent f o r employees i n a s p e c i f i e d o p e r a t i o n of an employer. 2. The HEU had a t l e a s t f i v e c e r t i f i c a t i o n s t h a t went "dormant." The Union was not d e c e r t i f i e d but i t was a l s o not engaged i n a c o l l e c t i v e b a r g a i n i n g r e l a t i o n s h i p w i t h any of these employers. 3. I n t e r v i e w w i t h an HEU s p o k e s p e r s o n , September 1984. 4. HEU. "Recommendations f o r Change i n P r o v i n c i a l Labour S t a t u t e s , " May 1973: (2) Mechanisms be s e t up i n t e n d e d f o r a r e a s where b o t h Labour and Management have agreed to the d e s i g n a t i o n of E s s e n t i a l S e r v i c e s . As a l e g i s l a t i v e r e q u i r e m e n t , a t the o p t i o n of the Union and as an a l t e r n a t i v e t o s t r i k e a c t i o n , any d i s p u t e u n r e s o l v e d by c o n c i l i a t i o n c o u l d be r e f e r r e d t o a t h r e e -man A r b i t r a t i o n Board. The Board would be composed of an a p p o i n t e e from each p a r t y and a n e u t r a l Chairman agreed t o by the p a r t i e s , or drawn from a . l i s t of s i x Chairmen, t h r e e recommended by each p a r t y . (p.31) 5. I n t e r v i e w w i t h an HEU s p o k e s p e r s o n , September 1984. 6. In a s e r i e s of Labour R e l a t i o n s Board d e c i s i o n s t h i s d e f i n i t i o n was i n t e r p r e t e d t o mean t h a t b a r g a i n i n g u n i t s i n community c a r e f a c i l i t i e s would be c o v e r e d i f the m a j o r i t y of p a t i e n t s i n the f a c i l i t y were r e c e i v i n g a t l e a s t I n t e r m e d i a t e I c a r e . See J u b i l e e Home S o c i e t y ( N o r i c House) and HEU, No.62/79, BCLRB, Dunrovin Park S o c i e t y and BCGEU, L98/79, BCLRB, Windermere C e n t r a l Park Lodge and HEU, No.32/81, BCLRB, and M a l a s p i n a Lodge and HEU, L167/82, BCLRB. 7. I n t e r v i e w w i t h Mr. W i l l i a m McPherson, P a s t P r e s i d e n t of the HEU, September 1982. 8. I n t e r v i e w w i t h an HEU s p o k e s p e r s o n , A p r i l 1985. 9. I b i d . 10. I n t e r v i e w w i t h an HEU s p o k e s p e r s o n , Sept. 1984. 11. I b i d . 69 1.2. I b i d . . 13. I b i d . 14. I b i d . . . . 15. I b i d . 16. BCGEU i n f o r m a t i o n t a k e n f r o m a t e l e p h o n e i n t e r v i e w w i t h a BCGEU s p o k e p e r s o n i n J u n e o f 1984. 17. F u r t h e r i n f o r m a t i o n f o r t h e VMREU came f r o m a t e l e p h o n e i n t e r v i e w w i t h a VMREU s p o k e s p e r s o n , J u n e 1984. 18. CUPE i n f o r m a t i o n o b t a i n e d f r o m a t e l e p h o n e i n t e r v i e w w i t h Ms. Gene E r r i n g t o n , R e s e a r c h R e p r e s e n t a t i v e , B.C. R e g i o n , CUPE, J u l y 1984. 19. IUOE i n f o r m a t i o n t a k e n f r o m a t e l e p h o n e i n t e r v i e w w i t h Mr. W i l l i a m K a d e y , B u s i n e s s Manager L o c a l 882, J u l y 1984. 20. S E I U i n f o r m a t i o n t a k e n f r o m an i n t e r v i e w w i t h Mr. Dan R y a n , B u s i n e s s Manager L o c a l 244, J u l y 1984. 21. The VMREU i s a l s o a l a r g e e nough u n i o n t h a t l i k e l y i t h a s t h e f i n a n c i a l r e s o u r c e s t o t a k e a d i s p u t e t o a r b i t r a t i o n . H owever, i t a p p e a r s t o have a b s o l u t e l y no i n t e r e s t i n o r g a n i z i n g i n l o n g t e r m c a r e . 22. T e l e p h o n e i n t e r v i e w w i t h Ms. A s t r i d D a v i d s o n , a D i r e c t o r o f t h e B.C. F e d e r a t i o n o f L a b o u r , J u l y 1984. 70 CHAPTER 4 THE EVOLUTION OF BARGAINING STRUCTURE I . INTRODUCTION B a r g a i n i n g s t r u c t u r e i s g e n e r a l l y d e f i n e d a l o n g two d i m e n s i o n s : t h e s c o p e o f e m p l o y e e s a nd e m p l o y e r s c o v e r e d by a c o l l e c t i v e a g r e e m e n t ( K o c h a n 1980, p . 8 4 ) , a nd t h e o r g a n i z a t i o n a l l e v e l ( s ) a t w h i c h d e c i s i o n - m a k i n g o c c u r s d u r i n g n e g o t i a t i o n s (Weber 1967, p . 1 5 ) . The f i r s t p a r t o f t h i s d e f i n i t i o n i n c l u d e s b o t h a f o r m a l a n d an i n f o r m a l a s p e c t . The l e v e l a t w h i c h b a r g a i n i n g a c t u a l l y o c c u r s o f t e n i s r e f e r r e d t o as t h e " n e g o t i a t i o n u n i t . " The p a r t i e s who compose a n e g o t i a t i o n u n i t c o n s t i t u t e a f o r m a l b a r g a i n i n g s t r u c t u r e (Weber 1967, p . 1 4 ) . The g r e a t e r t h e d e g r e e t o w h i c h e m p l o y e r s i n an i n d u s t r y engage i n m u l t i - l o c a t i o n a n d m u l t i - e m p l o y e r b a r g a i n i n g , t h e more " c e n t r a l i z e d " t h e u n i t i s s a i d t o be ( K o c h a n 1980, p . 9 4 ) . An i n f o r m a l l y c e n t r a l i z e d b a r g a i n i n g s t r u c t u r e o r " p a t t e r n b a r g a i n i n g , " a s i t i s a l s o c a l l e d , s p a n s a d d i t i o n a l n e g o t i a t i o n u n i t s where t h e outcome o f n e g o t i a t i o n s c l o s e l y r e f l e c t s c o l l e c t i v e a g r e e m e n t s n e g o t i a t e d i n o t h e r f o r m a l u n i t s . F o r e x a m p l e , t h e c o l l e c t i v e a g r e e m e n t between V a n c o u v e r f i r e f i g h t e r s a n d t h e C i t y o f V a n c o u v e r u s u a l l y e s t a b l i s h e s a p a t t e r n f o r t h e o t h e r t h i r t y - f o u r m u n i c i p a l i t i e s i n B.C. I n some m u n i c i p a l i t i e s t h e p a r t i e s a c t u a l l y s i g n a memorandum o f a g r e e m e n t t h a t t h e y 71 w i l l be bound by t h e t e r m s o f t h e V a n c o u v e r c o n t r a c t when i t i s s e t t l e d (Ponak and W h e e l e r 1980,. p. 2 9 4 ) . The s e c o n d p a r t o f t h e a b o v e d e f i n i t i o n o f b a r g a i n i n g s t r u c t u r e , t h e l o c u s o f d e c i s i o n - m a k i n g , i s e q u a l l y s i g n i f i c a n t . When a s t r u c t u r e becomes f o r m a l l y c e n t r a l i z e d , d e c i s i o n - m a k i n g power may r e m a i n w i t h i n d i v i d u a l p l a n t m anagers and t h e l o c a l u n i o n r a n k a nd f i l e , o r i t may be d e l e g a t e d t o a c e n t r a l a u t h o r i t y on one o r b o t h s i d e s . I n any b a r g a i n i n g s t r u c t u r e , p r e s s u r e s may e x i s t t o c h a n g e t h e l e v e l a t w h i c h d e c i s i o n - m a k i n g o c c u r s . I f d e c i s i o n - m a k i n g i s c e n t r a l i z e d , members of t h e c o n s t i t u e n t g r o u p s t h a t f o r m t h e n e g o t i a t i o n u n i t may demand a l a r g e r v o i c e i n n e g o t i a t i o n s d e c i s i o n s . I f d e c i s i o n - m a k i n g i s d e c e n t r a l i z e d , one o r b o t h p a r t i e s may p e r c e i v e a d v a n t a g e s i n more c e n t r a l i z e d d e c i s i o n - m a k i n g and a t t e m p t t o move i n t h i s d i r e c t i o n . A s i t u a t i o n i n w h i c h t h e f o r m a l b a r g a i n i n g s t r u c t u r e i s more c e n t r a l i z e d t h a n d e c i s i o n - m a k i n g w i t h i n e i t h e r o r b o t h p a r t i e s w o u l d be e x t r e m e l y i n e f f i c i e n t a s a c o n s e n s u s among c o n s t i t u e n t g r o u p s w o u l d have t o be o b t a i n e d a t e a c h s t e p o f t h e c o l l e c t i v e b a r g a i n i n g p r o c e s s (Weber 1967, p . 1 3 ) . I n l o n g t e r m c a r e , a s g e n e r a l l y i n h e a l t h c a r e i n Canada (Adams, B e a t t y and G u n d e r s o n 1982, p . 1 7 4 ) , t h e r e h a s been a m a r k e d t e n d e n c y t o w a r d s c e n t r a l i z e d b a r g a i n i n g s t r u c t u r e s . A c o m p l e t e l y c e n t r a l i z e d s t r u c t u r e , s u c h a s t h a t w h i c h e x i s t s i n a c u t e c a r e i n B.C. i n w h i c h a l l h o s p i t a l s i n t h e p r o v i n c e a r e r e p r e s e n t e d a t one s e t o f n e g o t i a t i o n s , i s t h e f i n a l , b u t n o t i n e v i t a b l e s t a g e i n a p r o c e s s t h a t b e g i n s w i t h a s i n g l e c e r t i f i c a t i o n . The s t a g e s i n b e t w e e n i n v o l v e "a v a r i e t y o f l e s s 72 f o r m a l e f f o r t s a t c o - o r d i n a t i o n a n d c o - o p e r a t i o n i n c l u d i n g i n f o r m a t i o n s h a r i n g , p a r a l l e l b a r g a i n i n g , a n d p a t t e r n b a r g a i n i n g . " (Adams, B e a t t y a n d G u n d e r s o n 1982, p.181) I n t h e l o n g t e r m c a r e i n d u s t r y i n B.C. t h e s e e f f o r t s a t " c o - o r d i n a t i o n a n d c o - o p e r a t i o n " have been m a n i f e s t e d t o d a t e by n o n - p r o f i t e m p l o y e r s who h a v e c h o s e n t o be r e p r e s e n t e d a t t h e b a r g a i n i n g t a b l e by an e m p l o y e r s ' a s s o c i a t i o n , o r by some p r o p r i e t a r y e m p l o y e r s who h a v e e n g a g e d i n n e g o t i a t i o n s w i t h o t h e r p r o p r i e t a r y e m p l o y e r s on an a d hoc b a s i s . T h i s c h a p t e r i s an a n a l y s i s o f t h e r e a s o n s why e m p l o y e r s i n l o n g t e r m c a r e s o u g h t t o c e n t r a l i z e t h e i r d e c i s i o n - m a k i n g and f o r m a l b a r g a i n i n g s t r u c t u r e , a n d o f t h e e x t e n t t o w h i c h c e n t r a l i z a t i o n h a s o c c u r r e d i n t h i s i n d u s t r y a l o n g b o t h d i m e n s i o n s o f b a r g a i n i n g s t r u c t u r e . W h i l e b a r g a i n i n g s t r u c t u r e i n B.C. l o n g t e r m c a r e h a s e v o l v e d a l o n g l i n e s s i m i l a r t o t h e s t r u c t u r e i n a c u t e c a r e , i t h a s a l s o d e v e l o p e d some u n i q u e c h a r a c t e r i s t i c s . T h ese c h a r a c t e r i s t i c s r e f l e c t e d a d e s i r e on t h e p a r t o f l o n g t e r m c a r e e m p l o y e r s a n d t h e p r o v i n c i a l g o v e r n m e n t t h a t l o n g t e r m c a r e be r e g a r d e d a s d i s t i n c t f r o m a c u t e c a r e f o r c o l l e c t i v e b a r g a i n i n g p u r p o s e s . T h i s c h a p t e r a l s o e x a m i n e s t h e r e a s o n s why e m p l o y e r s a nd t h e g o v e r n m e n t h e l d t h i s p o s i t i o n , a n d t h e a c t i o n s t h e y t o o k t o c r e a t e a b a r g a i n i n g s t r u c t u r e t h a t was r e s p o n s i v e t o t h e i r c o n c e r n s . The f o l l o w i n g s e c t i o n i s an a n a l y s i s o f t h e c a u s e s o f c e n t r a l i z a t i o n i n t h e C a n a d i a n h e a l t h c a r e i n d u s t r y a n d t h e i n f l u e n c e o f t h e s e v a r i a b l e s i n t h e B.C. l o n g t e r m c a r e c o n t e x t . 73 I I . DETERMINANTS OF CENTRALIZATION IN,B.C. LONG TERM CARE T h e r e a r e two c h a r a c t e r i s t i c s o f t h e C a n a d i a n h e a l t h c a r e i n d u s t r y w h i c h , a c c o r d i n g t o Adams, B e a t t y and G u n d e r s o n , l a r g e l y a c c o u n t f o r i t s t e n d e n c y t o w a r d s c e n t r a l i z e d b a r g a i n i n g . The i n d u s t r y i s p u b l i c l y f u n d e d and t h e r e i s u s u a l l y o n l y one u n i o n r e p r e s e n t i n g t h e m a j o r i t y of w o r k e r s i n e a c h o c c u p a t i o n a l c a t e g o r y ( 1 9 8 2 , p p . 1 8 2 - 3 ) . I n most j u r i s d i c t i o n s s e r v i c e w o r k e r s , n u r s e s , p a r a m e d i c a l g r o u p s , and r e s i d e n t s and i n t e r n s a r e e a c h r e p r e s e n t e d by a d i f f e r e n t u n i o n . T hese c h a r a c t e r i s t i c s a r e p r e s e n t w i t h i n B.C. l o n g t e r m c a r e . The m a j o r i t y o f f a c i l i t i e s i n t h e i n d u s t r y r e c e i v e t h e i r o p e r a t i n g f u n d s f r o m t h e p r o v i n c i a l g o v e r n m e n t and two u n i o n s a r e d o m i n a n t : t h e BCNU, r e p r e s e n t i n g r e g i s t e r e d a n d g r a d u a t e n u r s e s , and t h e HEU, r e p r e s e n t i n g s e r v i c e w o r k e r s . I n t h e p r o v i n c i a l h e a l t h c a r e j u r i s d i c t i o n s , e m p l o y e r s have t e n d e d t o c r e a t e f o r m a l b a r g a i n i n g s t r u c t u r e s by j o i n i n g t o g e t h e r i n a s s o c i a t i o n s f o r c o l l e c t i v e b a r g a i n i n g p u r p o s e s . I n C a n a d a , f u n d i n g f o r h e a l t h c a r e f a c i l i t i e s i s c h a n n e l l e d t h r o u g h t h e p r o v i n c i a l g o v e r n m e n t s . I n a s y s t e m i n w h i c h a l l e m p l o y e r s a r e f u n d e d f r o m t h e same s o u r c e , t h e r e a r e b e n e f i t s t o h e a l t h c a r e e m p l o y e r s i n j o i n i n g f o r c e s t o r e p r e s e n t t h e i r c o l l e c t i v e b a r g a i n i n g i n t e r e s t s t o g o v e r n m e n t . F o r e x a m p l e , t h e y a r e a b l e a s a g r o u p t o l o b b y t h e g o v e r n m e n t f o r i m p r o v e d f u n d i n g l e v e l s i n o r d e r t o meet a u n i o n ' s demands. Adams, B e a t t y a n d G u n d e r s o n o b s e r v e t h a t , " T h i s h i g h c o n c e n t r a t i o n o f e m p l o y e r s b e i n g d e p e n d e n t on a common s o u r c e of g o v e r n m e n t a l f u n d i n g w o u l d a p p e a r t o be t h e most d o m i n a n t v a r i a b l e i n e x p l a i n i n g t h e 74 c e n t r a l i z e d b a r g a i n i n g s t r u c t u r e s t h a t e x i s t i n most p r o v i n c e s i n C a n a d a . " ( 1 9 8 2 , p.183) A n o t h e r m a j o r r e a s o n e m p l o y e r s have p r e f e r r e d a c e n t r a l i z e d b a r g a i n i n g s t r u c t u r e i s t o p r e v e n t u n i o n s f r o m u s i n g " w h i p s a w i n g " t a c t i c s . I n a s i t u a t i o n where t h e r e a r e s e v e r a l e m p l o y e r s and one l a r g e u n i o n w i t h c e n t r a l i z e d d e c i s i o n - m a k i n g , t h e u n i o n c a n n e g o t i a t e a s e t t l e m e n t w i t h t h e e m p l o y e r l e a s t w i l l i n g t o t a k e t h e c o s t s o f a s t r i k e a n d t h e n use t h i s s e t t l e m e n t a s a p r e c e d e n t when n e g o t i a t i n g w i t h o t h e r e m p l o y e r s i n t h e i n d u s t r y ( P h i l l i p s 1981, p . 9 5 ) . I n f a c t , t h i s m o t i v a t i o n t o f o r m a u n i t e d b a r g a i n i n g f r o n t a g a i n s t u n i o n s was c l e a r l y e v i d e n t among e m p l o y e r s i n C a n a d i a n h e a l t h c a r e a s u n i o n i z a t i o n grew i n t h i s i n d u s t r y : "The r a p i d e s c a l a t i o n i n t h e number of e m p l o y e e s b e c o m i n g o r g a n i z e d a n d t h e p r o l i f e r a t i o n o f s e p a r a t e b a r g a i n i n g u n i t s c r e a t e d s e v e r e ' w h i p s a w i n g ' o r ' l e a p f r o g g i n g ' p r e s s u r e , b o t h w i t h i n h o s p i t a l s and b e t w e e n h o s p i t a l s . " ( A n d e r s o n , B e a t t y and G u n d e r s o n 1982, p.175) T h e r e a r e o t h e r a d v a n t a g e s f o r e m p l o y e r s t o c e n t r a l i z i n g b a r g a i n i n g s t r u c t u r e i n h e a l t h c a r e . F o r e x a m p l e , t h e more i n s t i t u t i o n s t h a t b a r g a i n t o g e t h e r , t h e l o w e r t h e c o s t p e r e m p l o y e r o f t h e l a b o u r r e l a t i o n s e x p e r t s r e q u i r e d f o r n e g o t i a t i o n s . A l s o , b e n e f i t s s u c h a s p e n s i o n a n d i n s u r a n c e schemes w i l l be l e s s c o s t l y t o t h e e m p l o y e r t h e g r e a t e r t h e number o f p a r t i c i p a n t s . O t h e r n e g o t i a b l e i t e m s s u c h a s j o b e v a l u a t i o n and t e c h n o l o g i c a l c h a n g e , b e c a u s e t h e y a p p l y a c r o s s t h e i n d u s t r y , a r e a l s o d e a l t w i t h most e f f i c i e n t l y on a p r o v i n c e - w i d e b a s i s ( A n d e r s o n , B e a t t y a n d G u n d e r s o n 1982, 75 p. 181 ) . A l t h o u g h i t i s e m p l o y e r s t h a t have c r e a t e d c e n t r a l i z e d f o r m a l b a r g a i n i n g s t r u c t u r e s i n h e a l t h c a r e , i n many i n s t a n c e s u n i o n s a l s o f a v o u r more c e n t r a l i z e d s t r u c t u r e s . S i n c e many b e n e f i t s a r e c o s t - s h a r e d b e t w e e n t h e e m p l o y e r a nd t h e u n i o n , b o t h p a r t i e s a r e i n t e r e s t e d i n o b t a i n i n g t h e c h e a p e s t r a t e s p o s s i b l e . T h e s e a r e most a t t a i n a b l e u n d e r c e n t r a l i z e d b a r g a i n i n g s t r u c t u r e s . P e r h a p s t h e most s i g n i f i c a n t r e a s o n , h o w e v e r , f o r a u n i o n t o se e k c e n t r a l i z e d n e g o t i a t i o n s i s t h e t r e m e n d o u s amount o f t i m e a n d money consumed i n c o n d u c t i n g m u l t i p l e n e g o t i a t i o n s (Adams, B e a t t y and G u n d e r s o n 1982, p p . 1 8 3 -4 ) . Even i n an i n d u s t r y i n w h i c h w h i p s a w i n g h a s been v e r y e f f e c t i v e , a p o i n t may f i n a l l y a r r i v e where t h e u n i o n h o l d s so many c e r t i f i c a t i o n s t h a t t h e a d v a n t a g e s g a i n e d by w h i p s a w i n g a r e o u t w e i g h e d by t h e e x p e n s e o f n e g o t i a t i n g s e p a r a t e a g r e e m e n t s f o r e a c h f a c i l i t y . H a v i n g d e t e r m i n e d t h a t a more c e n t r a l i z e d s t r u c t u r e i s d e s i r a b l e , t h e p a r t i e s must c h o o s e t h e s t e p s t h e y may t a k e t o w a r d s t h i s g o a l w i t h i n t h e c o n f i n e s o f p u b l i c p o l i c y . T h e r e a r e two d i f f e r e n t ways i n w h i c h a p r o v i n c i a l g o v e r n m e n t c a n a f f e c t b a r g a i n i n g s t r u c t u r e i n h e a l t h c a r e : by d i r e c t l a b o u r l e g i s l a t i o n o r t h r o u g h f i s c a l p o l i c y . I n N o r t h A m e r i c a , i n k e e p i n g w i t h t h e i n t e n t i o n o f l a b o u r l e g i s l a t i o n t o " e n c o u r a g e f r e e c o l l e c t i v e b a r g a i n i n g , " i t h a s been t h e common p r a c t i c e o f l a b o u r r e l a t i o n s b o a r d s t o h o l d t h a t a s i n g l e p l a n t o r b r a n c h o f an e m p l o y e r ' s o p e r a t i o n s i s an a p p r o p r i a t e u n i t f o r c o l l e c t i v e b a r g a i n i n g . I n t h e h e a l t h c a r e i n d u s t r y t h i s p o l i c y h a s 76 t r a n s l a t e d i n t o s e p a r a t e c e r t i f i c a t i o n s f o r e a c h f a c i l i t y ( A n d e r s o n , B e a t t y a nd G u n d e r s o n 1982, p . 1 7 4 ) . To t h e e x t e n t t h a t l a b o u r r e l a t i o n s b o a r d s have n o t i m p o s e d more c e n t r a l i z e d s t r u c t u r e s i n . h e a l t h c a r e , " t h e l e g a l 'framework. . ..is p e r m i s s i v e i n t e r m s o f , p o l i c y w i t h r e s p e c t t o w i d e r - b a s e d b a r g a i n i n g . " (Adams, B e a t t y a nd G u n d e r s o n 1982, p.184) H o w e v e r , i n s e v e r a l j u r i s d i c t i o n s i n c l u d i n g B.C., an e m p l o y e r s ' a s s o c i a t i o n c a n a p p l y t o t h e B o a r d t o become " a c c r e d i t e d " a s t h e e x c l u s i v e b a r g a i n i n g a g e n t f o r a l l t h e e m p l o y e r s i n t h a t i n d u s t r y t h a t a g r e e t o j o i n t h e a s s o c i a t i o n ( L a b o u r Code o f B.C., s.59 and s.60) I f t h e B o a r d d e c i d e s t h a t a s u f f i c i e n t c o m m u n i t y o f i n t e r e s t e x i s t s among t h e e m p l o y e r s , i t g r a n t s an a c c r e d i t a t i o n o r d e r and f r o m t h a t p o i n t on t h e u n i o n must b a r g a i n w i t h t h e e m p l o y e r s ' a s s o c i a t i o n r a t h e r t h a n w i t h e a c h i n d i v i d u a l e m p l o y e r f o r w h i c h i t i s c e r t i f i e d . A c c r e d i t a t i o n s t a b i l i z e s t h e b a r g a i n i n g s t r u c t u r e i n an i n d u s t r y by c r e a t i n g a f o r m a l l y c e n t r a l i z e d s t r u c t u r e i n w h i c h t h e i n t e r e s t s o f t h e m a j o r i t y o f e m p l o y e r s who a r e p a r t y t o t h e a c c r e d i t a t i o n w i l l p r e v a i l i n any c o l l e c t i v e b a r g a i n i n g d e c i s i o n . A l t h o u g h t h e B o a r d c a n n o t i m p o s e a c c r e d i t a t i o n w i t h o u t an a p p l i c a t i o n f r o m e m p l o y e r s i n an i n d u s t r y , a nd i n t h a t s e n s e t h e p r o c e d u r e i s v o l u n t a r y , o nce i t h a s been g r a n t e d t h e B o a r d i s v e r y r e l u c t a n t t o d e l e t e an e m p l o y e r f r o m an a c c r e d i t a t i o n . 1 I f e m p l o y e r s who d i s a g r e e d w i t h t h e m a j o r i t y o v e r any m a t t e r c o u l d s i m p l y w i t h d r a w f r o m t h e a c c r e d i t a t i o n , t h e p u r p o s e o f t h e a c c r e d i t a t i o n , t o p r o v i d e a u n i t e d b a r g a i n i n g f r o n t t o u n i o n s , c o u l d be s e v e r e l y u n d e r m i n e d . 77 The o t h e r way i n w h i c h g o v e r n m e n t c a n a f f e c t b a r g a i n i n g s t r u c t u r e s i n h e a l t h c a r e i s t h r o u g h f u n d i n g p o l i c i e s . O f f i c i a l s o f t h e p r o v i n c i a l M i n i s t r i e s o f H e a l t h d e t e r m i n e w h i c h a s p e c t s o f t h e e m p l o y e r s ' o p e r a t i o n s t h e y a r e w i l l i n g t o f u n d i n o r d e r t o p r o v i d e a d e q u a t e h e a l t h c a r e . T h r o u g h t h e d i s c r e t i o n a r y p o w e r s t h e y p o s s e s s i n f u n d i n g h e a l t h c a r e f a c i l i t i e s , t h e s e o f f i c i a l s c a n g a i n some i n d i r e c t c o n t r o l o v e r b a r g a i n i n g s t r u c t u r e . As n o t e d a b o v e , i t i s p r o b a b l e t h a t an e m p l o y e r w i l l be p a r t y t o l e s s c o s t l y a g r e e m e n t s i f t h e y a r e a c h i e v e d t h r o u g h a c e n t r a l i z e d s t r u c t u r e . To p r o m o t e t h i s e n d , g o v e r n m e n t o f f i c i a l s c a n r e f u s e t o cover. t h e c o s t s o f s e t t l e m e n t s t h a t a r e h i g h e r t h a n t h e i n d u s t r y a v e r a g e and t h a t were n e g o t i a t e d w i t h o u t t h e p a r t i c i p a t i o n o f an e m p l o y e r s ' a s s o c i a t i o n . They c a n a l s o a g r e e t o c o v e r t h e c o s t s o f m e m b e r s h i p i n an a s s o c i a t i o n . T h u s , f o r e m p l o y e r s i n l o n g t e r m c a r e t h e r e were p o l i t i c a l , a d m i n i s t r a t i v e , and t a c t i c a l r e a s o n s f o r w a n t i n g t o b a r g a i n w i t h i n a c e n t r a l i z e d s t r u c t u r e . F o r t h e HEU, r e p r e s e n t i n g s e r v i c e e m p l o y e e s i n a l a r g e p r o p o r t i o n of b a r g a i n i n g u n i t s i n t h e i n d u s t r y , d e c e n t r a l i z e d n e g o t i a t i o n s w o u l d be an e x t r e m e l y i n e f f i c i e n t way t o p r o c e e d . H owever, t h o u g h b o t h p a r t i e s w a n t e d c e n t r a l i z e d s t r u c t u r e s , t h e s i m i l a r i t y ends t h e r e . The HEU h a s a l w a y s h a d a s i t s m a i n o b j e c t i v e i n l o n g t e r m c a r e t h e a c h i e v e m e n t o f t h e A c u t e C a r e M a s t e r A g r e e m e n t i n a l l f a c i l i t i e s i n w h i c h i t i s c e r t i f i e d . A b a r g a i n i n g s t r u c t u r e i n w h i c h t h e r e i s o n l y one s e t o f n e g o t i a t i o n s r e s u l t i n g i n one c o l l e c t i v e a g r e e m e n t b e t w e e n t h e U n i o n and a l l e m p l o y e r s i n t h e B.C. 78 h e a l t h c a r e f i e l d w o u l d s e r v e t h i s o b j e c t i v e w e l l . Many l o n g t e r m c a r e e m p l o y e r s , h o w e v e r , a r e s t r o n g l y o p p o s e d t o t h e i m p o s i t i o n o f t h e M a s t e r A g r e e m e n t i n t h e i r f a c i l i t i e s b e c a u s e t h e y a r e a c c o u n t a b l e t o t h e g o v e r n m e n t f o r t h e e x p e n s e s t h e y i n c u r t h r o u g h c o l l e c t i v e b a r g a i n i n g s e t t l e m e n t s , a n d i n many c a s e s M a s t e r A g r e e m e n t r a t e s w o u l d mean s u b s t a n t i a l wage i n c r e a s e s . I n a d d i t i o n , t h e y do n o t p e r c e i v e l o n g t e r m c a r e a s c o m p a r a b l e t o a c u t e a n d e x t e n d e d c a r e i n t e r m s o f t h e f u n c t i o n s p e r f o r m e d by s t a f f a n d t h e r e f o r e do n o t c o n s i d e r many p r o v i s i o n s o f t h e M a s t e r A g r e e m e n t t o be a p p r o p r i a t e i n t h e i r f a c i l i t i e s . T h e s e e m p l o y e r s h a v e s o u g h t a c e n t r a l i z e d s t r u c t u r e composed s o l e l y o f l o n g t e r m c a r e f a c i l i t i e s . S i n c e t h e s e f a c i l i t i e s a r e a l m o s t e x c l u s i v e l y p u b l i c l y f u n d e d , t h e p r o v i n c i a l g o v e r n m e n t a l s o h a s a v e s t e d i n t e r e s t i n p r e v e n t i n g HEU l o n g t e r m c a r e w o r k e r s f r o m a c h i e v i n g M a s t e r A g r e e m e n t wages. As w i l l become c l e a r i n t h e f o l l o w i n g s e c t i o n , t h i s c o n f l i c t a c c o u n t s f o r t h e u n i q u e f o r m o f b a r g a i n i n g s t r u c t u r e t h a t h a s e v o l v e d i n l o n g t e r m c a r e . I I I . THE EVOLUTION OF BARGAINING STRUCTURE IN B.C. LONG TERM  CARE At p r e s e n t i n B.C. l o n g t e r m c a r e , t h e r e a r e two c o l l e c t i v e b a r g a i n i n g a s s o c i a t i o n s r e p r e s e n t i n g n o n - p r o f i t e m p l o y e r s , t h e H e a l t h L a b o u r R e l a t i o n s A s s o c i a t i o n (HLRA) and t h e C o n t i n u i n g C a r e E m p l o y e e R e l a t i o n s A s s o c i a t i o n ( C C E R A ) . A s m a l l number o f p r o p r i e t a r y e m p l o y e r s a l s o b e l o n g t o one o f t h e s e a s s o c i a t i o n s , w h i l e t h e m a j o r i t y have n o t been a f f i l i a t e d 79 w i t h a n y o r g a n i z a t i o n t h a t h a s t a k e n an a c t i v e r o l e i n n e g o t i a t i o n s . The e v o l u t i o n o f b a r g a i n i n g s t r u c t u r e i s d e s c r i b e d b e l o w f o r e a c h o f t h e s e t h r e e g r o u p s a s t h e y engage i n c o l l e c t i v e b a r g a i n i n g i n d e p e n d e n t l y o f one a n o t h e r . A l l i n f o r m a t i o n a b o u t t h e two n o n - p r o f i t e m p l o y e r s ' a s s o c i a t i o n s a n d P r i c a r e , u n l e s s o t h e r w i s e n o t e d , was g a t h e r e d i n i n t e r v i e w s w i t h o f f i c e r s o f t h e s e o r g a n i z a t i o n s . A. H e a l t h L a b o u r R e l a t i o n s A s s o c i a t i o n The H e a l t h L a b o u r R e l a t i o n s A s s o c i a t i o n , i n c o r p o r a t e d i n 1975, i s an a c c r e d i t e d e m p l o y e r s ' a s s o c i a t i o n r e p r e s e n t i n g h o s p i t a l s a n d o t h e r h e a l t h c a r e i n s t i t u t i o n s w i t h i n B r i t i s h C o l u m b i a ( M o r g a n 1982, p . 4 4 ) . I t i s one o f t h e l a r g e s t e m p l o y e r s ' a s s o c i a t i o n s w i t h i n t h e p r o v i n c e . I n 1982 i t b a r g a i n e d on b e h a l f o f more t h a n 143 i n s t i t u t i o n s r e p r e s e n t i n g o v e r t h i r t y t h o u s a n d e m p l o y e e s a nd a wage and b e n e f i t b i l l o v e r o n e - h a l f b i l l i o n d o l l a r s (Morgan 1982, p . 4 5 ) . When i t was f o r m e d , HLRA b a r g a i n e d w i t h f i v e u n i o n s i n t h e h e a l t h c a r e f i e l d : t h e HEU, t h e R e g i s t e r e d N u r s e s ' A s s o c i a t i o n o f B.C. (now t h e BCNU), t h e H e a l t h S c i e n c e s A s s o c i a t i o n ( H S A ) , t h e P r o f e s s i o n a l A s s o c i a t i o n o f R e s i d e n t s a n d I n t e r n s ( P A R I ) , a n d t h e I n t e r n a t i o n a l U n i o n o f O p e r a t i n g E n g i n e e r s . 2 B a r g a i n i n g was c o m p l e t e l y c e n t r a l i z e d , w i t h one s e t o f n e g o t i a t i o n s f o r e a c h u n i o n , t h e r e s u l t o f w h i c h was a M a s t e r A g r e e m e n t e s t a b l i s h i n g u n i f o r m wages a n d w o r k i n g c o n d i t i o n s t h r o u g h o u t t h e i n d u s t r y . The f o r m a t i o n of HLRA d i d n o t mark t h e f i r s t t i m e t h a t h e a l t h c a r e e m p l o y e r s a nd t h e s e u n i o n s h ad b a r g a i n e d t o g e t h e r on a c e n t r a l i z e d b a s i s . By t h e t i m e t h a t HLRA was f o r m e d , t h e 80 o r g a n i z a t i o n i t r e p l a c e d , t h e E m p l o y e e R e l a t i o n s C o u n c i l , h a d been c o n d u c t i n g one s e t o f n e g o t i a t i o n s w i t h e a c h o f t h e s e u n i o n s . However, any a g r e e m e n t a c h i e v e d b e t w e e n t h e two p a r t i e s was . n o t b i n d i n g on t h e h o s p i t a l s i n v o l v e d . T h i s l e d t o i n c o n s i s t e n c i e s among B.C. h o s p i t a l s i n t h e a d m i n i s t r a t i o n o f c o l l e c t i v e a g r e e m e n t s ( M o r g a n , p . 3 4 ) . T h i s c h a n g e d w i t h t h e c r e a t i o n o f HLRA. S i n c e HLRA i s an a c c r e d i t e d b a r g a i n i n g o r g a n i z a t i o n , any a g r e e m e n t i t s i g n s i s l e g a l l y b i n d i n g on i t s members and must be a d m i n i s t e r e d a s s u c h . I n 1978, when t h e L o n g Term C a r e P r o g r a m was i n t r o d u c e d , o p e r a t o r s o f n o n - p r o f i t f a c i l i t i e s were i n f o r m e d t h a t once t h e i r f a c i l i t i e s h a d been u n i o n i z e d , t h e y c o u l d i n c l u d e t h e a n n u a l c o s t s o f b e l o n g i n g t o a b a r g a i n i n g a s s o c i a t i o n i n t h e b u d g e t t h e y s u b m i t t e d t o t h e g o v e r n m e n t . I n i t i a l l y , some f a c i l i t i e s b a r g a i n e d on t h e i r own. However, i t soon became a p p a r e n t t h a t t h e r e were d e f i n i t e a d v a n t a g e s t o u s i n g t h e s e r v i c e s o f a b a r g a i n i n g a s s o c i a t i o n . U s u a l l y t h e r e was no-one e m p l o y e d by t h e f a c i l i t y o r on i t s b o a r d o f d i r e c t o r s t h a t had any s i g n i f i c a n t l a b o u r r e l a t i o n s e x p e r i e n c e . I f l a w y e r s were h i r e d on an a d hoc b a s i s , t h e i r f e e s were g e n e r a l l y a g r e a t d e a l h i g h e r t h a n t h e c o s t s o f u s i n g a l a b o u r r e l a t i o n s a s s o c i a t i o n , and t h e e x t r a c o s t s were n o t c o v e r e d by t h e L o n g Term C a r e P r o g r a m . I n a d d i t i o n , t h o s e f a c i l i t i e s w i t h HEU c e r t i f i c a t i o n s were up a g a i n s t a v e r y p o w e r f u l , c e n t r a l i z e d o r g a n i z a t i o n w i t h a c o n s i s t e n t s t r a t e g y t o w a r d s a l l l o n g t e r m c a r e f a c i l i t i e s . The HEU was a f t e r M a s t e r A g r e e m e n t r a t e s i n a l l f a c i l i t i e s i n w h i c h i t h e l d c e r t i f i c a t i o n s a n d i t s r e p r e s e n t a t i v e s were p r e p a r e d t o 81 use any a v a i l a b l e r e s o u r c e s , i n c l u d i n g f a v o u r a b l e l e g i s l a t i o n , t o a c h i e v e t h i s g o a l . F o r t h e most p a r t , when t h e s e f a c i l i t i e s became o p e r a t i o n a l t h e y were p a y i n g t h e i r e m p l o y e e s r a t e s o f pay and b e n e f i t s w e l l b e l o w M a s t e r A g r e e m e n t l e v e l s . I f t h e y had HEU c e r t i f i c a t i o n s , b e c o m i n g p a r t o f t h e M a s t e r A g r e e m e n t w o u l d have r e q u i r e d huge i n c r e a s e s i n t h e i r wage and b e n e f i t p a c k a g e a n d , a s w i l l be shown i n t h e e x a m i n a t i o n o f a r b i t r a t i o n a w a r d s i n C h a p t e r 5, g o v e r n m e n t r e p r e s e n t a t i v e s were n o t p r e p a r e d t o s t a t e d e f i n i t e l y t h a t s u c h l a r g e i n c r e a s e s w o u l d be f u n d e d by t h e M i n i s t r y o f H e a l t h . B a r g a i n i n g a s s o c i a t i o n s h a v i n g e x p e r t i s e i n t h e h e a l t h c a r e f i e l d a n d e x p e r i e n c e w i t h t h e HEU and i t s g o a l s were i n a p o s i t i o n t o a c h i e v e t h e most f a v o u r a b l e b a r g a i n i n g r e s u l t s f o r t h e f a c i l i t i e s t h e y were s e r v i c i n g . I n 1978 t h e r e was o n l y one b a r g a i n i n g a s s o c i a t i o n i n t h e h e a l t h c a r e f i e l d , t h e H e a l t h L a b o u r R e l a t i o n s A s s o c i a t i o n . A l t h o u g h HLRA c e r t a i n l y c o u l d p r o v i d e l a b o u r r e l a t i o n s e x p e r t i s e and was f a m i l i a r w i t h t h e HEU, t h e r e was l i t t l e i n c e n t i v e f o r new f a c i l i t i e s t o j o i n t h i s a s s o c i a t i o n i f t h e o n l y o p t i o n open t o them was p a r t i c i p a t i o n i n t h e HEU-HLRA M a s t e r A g r e e m e n t . HLRA r e s p o n d e d by r e p r e s e n t i n g t h e s e f a c i l i t i e s i n i n d i v i d u a l s e t s o f n e g o t i a t i o n s w i t h t h e HEU w i t h t h e g o a l o f a c h i e v i n g c o l l e c t i v e a g r e e m e n t s t h a t more c l o s e l y r e f l e c t e d t h e f a c i l i t i e s ' n e e d s t h a n d i d t h e M a s t e r A g r e e m e n t . Of t h e s e f a c i l i t i e s , s e v e r a l became members o f HLRA and t h e r e f o r e , became p a r t o f t h e HLRA a c c r e d i t a t i o n . B e c a u s e b a r g a i n i n g i n t h e i n d u s t r y was s t i l l i n i t s e a r l y s t a g e s , o t h e r f a c i l i t i e s were 82 wary of e n t e r i n g i n t o an a c c r e d i t a t i o n . I n s t e a d , t h e y w o r k e d o u t an a r r a n g e m e n t w i t h HLRA t o use t h e s e r v i c e s o f t h e A s s o c i a t i o n on a. " f e e f o r s e r v i c e " b a s i s . I n t h e r o u n d s of n e g o t i a t i o n s t h a t o c c u r r e d i n . 1979 and 1980 b e t w e e n HEU and HLRA o v e r l o n g t e r m c a r e c o l l e c t i v e a g r e e m e n t s , t h e m a j o r i t y wound up b e f o r e a r b i t r a t i o n b o a r d s . I n e v e r y c a s e i n w h i c h t h e r e was an a r b i t r a t i o n , a b a r g a i n i n g i m p a s s e o c c u r r e d b e c a u s e t h e HEU had demanded M a s t e r A g r e e m e n t r a t e s and t h e f a c i l i t y was n o t p r e p a r e d t o meet t h i s demand. A l m o s t e v e r y t i m e t h i s s c e n a r i o o c c u r r e d , t h e a r b i t r a t o r had a w a r d e d somewhat l e s s t h a t what t h e U n i o n w a n t e d . I t was b e c o m i n g a p p a r e n t t o b o t h p a r t i e s t h a t t h i s c y c l e c o u l d c o n t i n u e f o r a l o n g t i m e and o b v i o u s l y , a t g r e a t e x p e n s e t o them b o t h . The outcome o f t h i s s t a t e o f a f f a i r s was t h e c r e a t i o n o f t h e L o n g Term C a r e S t a n d a r d A g r e e m e n t , o r t h e " M i n i - M a s t e r , " a s i t i s c a l l e d . 3 The " M i n i - M a s t e r " i s a c o l l e c t i v e a g r e e m e n t n e g o t i a t e d b e t w een r e p r e s e n t a t i v e s o f HLRA and t h e HEU w i t h o u t r e f e r e n c e t o a p a r t i c u l a r f a c i l i t y . I t c o n t a i n s t h e b e n e f i t s and o t h e r p r o v i s i o n s o f t h e M a s t e r A g r e e m e n t , b u t wages a r e f i v e p e r c e n t l o w e r . By M a r c h 31, 1982, when t h e f i r s t L o ng Term C a r e S t a n d a r d A g r e e m e n t e x p i r e d ( t h e same e x p i r y d a t e a s t h e M a s t e r A g r e e m e n t ) , i t c o v e r e d f i f t e e n f a c i l i t i e s . T h i s g r o u p was composed o f t h e f a c i l i t i e s t h a t had been i n v o l v e d i n t h e a r b i t r a t i o n s t o d a t e a n d f a c i l i t i e s t h a t h a d j o i n e d HLRA s u b s e q u e n t l y . The a d v a n t a g e o f s u c h an a r r a n g e m e n t t o HLRA and t h e f a c i l i t i e s c o n c e r n e d was t h a t wages were s t a b i l i z e d a t f i v e 83 p e r c e n t b e l o w t h e M a s t e r A g r e e m e n t . The a d v a n t a g e t o t h e HEU was t h a t t h e i r members no l o n g e r h a d t o w a i t f o r a l o n g p e r i o d of t i m e a f t e r c e r t i f i c a t i o n f o r a f i r s t c o l l e c t i v e a g r e e m e n t t o be s e t t l e d . Now, a s soon as c e r t i f i c a t i o n o c c u r r e d , t h e y had a c o l l e c t i v e a g r e e m e n t and t h e e n s u i n g i n c r e a s e s i n wages and b e n e f i t s . " The " M i n i " was renewed by an a r b i t r a t i o n a w a r d w h i c h m a i n t a i n s t h e wage d i f f e r e n t i a l b e t w e e n t h e M a s t e r a nd S t a n d a r d A g r e e m e n t s u n t i l 1986 when b o t h A g r e e m e n t s e x p i r e . I n S e p t e m b e r 1984 t h e r e were s i x t e e n f a c i l i t i e s c o v e r e d by t h e " M i n i - M a s t e r . " T h e r e a r e a l s o t e n HEU l o n g t e r m c a r e f a c i l i t i e s t h a t a r e c o v e r e d by t h e M a s t e r A g r e e m e n t . S e v e r a l o f t h e s e f a c i l i t i e s were c e r t i f i e d so e a r l y i n t h e h i s t o r y o f c o l l e c t i v e b a r g a i n i n g i n l o n g t e r m c a r e t h a t i f t h e e m p l o y e r s w a n t e d t o j o i n a b a r g a i n i n g a s s o c i a t i o n , t h e o n l y o p t i o n a v a i l a b l e was t o become p a r t o f t h e c e n t r a l i z e d n e g o t i a t i o n s b e t w e e n HEU and t h e ERC, and l a t e r b e t w e e n HEU and HLRA. Some o f t h e l o n g t e r m c a r e f a c i l i t i e s u n d e r t h e M a s t e r A g r e e m e n t p r o v i d e e x t e n d e d c a r e as w e l l a s l o w e r l e v e l s o f c a r e . E v e r s i n c e t h e E x t e n d e d C a r e P r o g r a m was i n t r o d u c e d i n 1965, HEU e x t e n d e d c a r e w o r k e r s h a v e been i n c l u d e d i n M a s t e r A g r e e m e n t n e g o t i a t i o n s . M o r e o v e r , i n any s i t u a t i o n i n w h i c h a f a c i l i t y h a s been f o l d e d i n t o t h e M a s t e r A g r e e m e n t s i n c e HLRA began r e p r e s e n t i n g l o n g t e r m c a r e f a c i l i t i e s o u t s i d e o f t h e c e n t r a l i z e d n e g o t i a t i o n s , i t h a s been b e c a u s e t h e f a c i l i t y ' s r a t e s o f pay and b e n e f i t s were a l r e a d y s i m i l a r t o t h o s e i n t h e M a s t e r A g r e e m e n t when i t began u s i n g t h e s e r v i c e s o f t h e A s s o c i a t i o n . T h i s was o f t e n t h e c a s e b e c a u s e t h e f a c i l i t y h a d 84 some o p e r a t i n g c o n n e c t i o n w i t h a g e n e r a l h o s p i t a l w i t h an HEU c e r t i f i c a t i o n s t e m ming f r o m c l o s e p h y s i c a l p r o x i m i t y o r a s h a r i n g o f management o r o t h e r s t a f f b e t w e e n t h e f a c i l i t i e s . . i n a d d i t i o n t o t h e t w e n t y - s i x n o n - p r o f i t f a c i l i t i e s t h a t h a v e HEU c e r t i f i c a t i o n s , HLRA a l s o r e p r e s e n t s two f a c i l i t i e s w i t h BCGEU c e r t i f i c a t i o n s and t h r e e f a c i l i t i e s w i t h CUPE c e r t i f i c a t i o n s . I n e a c h o f t h e s e c a s e s c o l l e c t i v e a g r e e m e n t s a r e n e g o t i a t e d s e p a r a t e l y . The two BCGEU f a c i l i t i e s a r e a t t h e " M i n i - M a s t e r " l e v e l i n wages and b e n e f i t s a l t h o u g h t h e r e s t o f t h e a g r e e m e n t r e s e m b l e s t h e BCGEU M a s t e r A g r e e m e n t w i t h t h e p r o v i n c i a l g o v e r n m e n t . The CUPE c o l l e c t i v e a g r e e m e n t s a r e l o w e r t h a n t h e " M i n i - M a s t e r " l e v e l a n d , a g a i n , t h e l a n g u a g e i s d i f f e r e n t . The f a c t t h a t t h e r e a r e o n l y f o u r o f t h e s e f a c i l i t i e s makes them r e l a t i v e l y i n s i g n i f i c a n t i n t h e o v e r a l l p i c t u r e o f b a r g a i n i n g s t r u c t u r e i n t h i s i n d u s t r y . T h e r e a r e a l s o f o u r p r i v a t e h o s p i t a l s w i t h common o w n e r s h i p t h a t a r e members o f HLRA. They h a v e been members s i n c e 1981. T h r e e o f t h e s e f a c i l i t i e s h a v e HEU c e r t i f i c a t i o n s . The f o u r t h i s S a n d r i n g h a m P r i v a t e H o s p i t a l whose e m p l o y e e s a r e s t i l l r e p r e s e n t e d by t h e S E I U . T h e r e i s one s e t o f n e g o t i a t i o n s f o r t h e t h r e e HEU f a c i l i t i e s and s e p a r a t e n e g o t i a t i o n s f o r S a n d r i n g h a m . A f t e r t h e s e f a c i l i t i e s became members o f t h e A s s o c i a t i o n , o t h e r p r o p r i e t a r y f a c i l i t i e s a l s o a p p l i e d f o r m e m b e r s h i p . However, i t was d e c i d e d a t t h e n e x t a n n u a l m e e t i n g o f HLRA t h a t p r o p r i e t a r y f a c i l i t i e s w o u l d no l o n g e r be a l l o w e d t o j o i n t h e o r g a n i z a t i o n . HLRA members f e l t t h a t s i n c e p r o p r i e t a r y e m p l o y e r s were i n b u s i n e s s t o make money w h e r e a s 85 t h e y were o p e r a t i n g h e a l t h c a r e f a c i l i t i e s t o p r o v i d e a s e r v i c e , t h e b a r g a i n i n g p r i o r i t i e s o f t h e two g r o u p s m i g h t c o n f l i c t . F i g u r e 3 s e t s o u t t h e p r e s e n t b a r g a i n i n g s t r u c t u r e ( a s o f O c t o b e r 1984) b e t w e e n HLRA and i t s l o n g t e r m c a r e members. Among t h e HEU f a c i l i t i e s , t h e r e a r e two c e n t r a l i z e d b a r g a i n i n g s t r u c t u r e s composed o f t h e t e n f a c i l i t i e s t h a t a r e r e p r e s e n t e d i n t h e M a s t e r A g r e e m e n t n e g o t i a t i o n s a n d t h e s i x t e e n t h a t a r e c o v e r e d by t h e " M i n i - M a s t e r . " When t h e n e x t r o u n d o f M a s t e r A g r e e m e n t n e g o t i a t i o n s b e g i n s , t h e HEU w o u l d l i k e t o s e e t h e s e s i x t e e n f a c i l i t i e s f o l d e d i n t o t h e n e g o t i a t i o n s f o r t h e M a s t e r A g r e e m e n t . However, t h e e m p l o y e r s a n d t h e p r o v i n c i a l g o v e r n m e n t w o u l d p r e f e r t h a t s u c h a s c e n a r i o n o t o c c u r a s t h i s w o u l d mean s u b s t a n t i a l wage i n c r e a s e s f o r e m p l o y e e s i n t h e s e f a c i l i t i e s . HEU w o r k e r s w o u l d r e c e i v e a f i v e p e r c e n t i n c r e a s e t o b r i n g them t o M a s t e r A g r e e m e n t l e v e l s p l u s t h e same i n c r e a s e r e c e i v e d by e m p l o y e e s a l r e a d y c o v e r e d by t h e M a s t e r A g r e e m e n t . I f t h e B.C. C o m p e n s a t i o n S t a b i l i z a t i o n P r o g r a m i s s t i l l i n e f f e c t i n 1986, w o r k e r s i n t h e s e s i x t e e n f a c i l i t i e s w i l l r e c e i v e o n l y t h e same p e r c e n t a g e i n c r e a s e a s e m p l o y e e s c o v e r e d by t h e M a s t e r A g r e e m e n t , t h u s p r e v e n t i n g them f r o m r e a c h i n g M a s t e r ' Agreement r a t e s . B. The L o n g Term C a r e A s s o c i a t i o n And The C o n t i n u i n g C a r e  E m p l o y e e R e l a t i o n s A s s o c i a t i o n Of B.C. I n 1978 t h e B.C. L o n g Term C a r e A s s o c i a t i o n (LTCA) was f o u n d e d . The p u r p o s e o f t h e o r g a n i z a t i o n was t o a s s i s t non-p r o f i t f a c i l i t i e s i n g e n e r a l a r e a s o f management e x p e r t i s e i n c l u d i n g p e r s o n n e l / l a b o u r r e l a t i o n s m a t t e r s . The A s s o c i a t i o n Figure 3. Bargaining structure in BC long term care (as of October 1984). HEALTH LABOUR RELATIONS ASSOCIATION 16 HEU 10 HEU 3 HEU 1 SEIU 2 BCGEU 2 CUPE (Long-term (Part of (Proprietary (Proprietary) (Bargained (Bargained care Standard Master - bargained separately) separately) Agreement) Agreement) together) 87 d i d n o t b e g i n t o f u n c t i o n a c t i v e l y u n t i l December 1980 when f u l l - t i m e s t a f f were h i r e d . S i n c e t h e BCHA a l r e a d y c o u n t e d among i t s members a number o f n o n - p r o f i t f a c i l i t i e s , t h e LTCA r e p r e s e n t e d an a l t e r n a t i v e t o t h e H o s p i t a l A s s o c i a t i o n f o r l o n g t e r m c a r e e m p l o y e r s . The L o n g Term C a r e A s s o c i a t i o n was a c t u a l l y s t a r t e d by t h e o p e r a t o r s of some of t h e f a c i l i t i e s t h a t had u s e d HLRA on a " f e e f o r s e r v i c e " b a s i s b u t were n o t w i l l i n g t o become a c c r e d i t e d members o f t h e A s s o c i a t i o n . T h e r e was c o n c e r n on t h e p a r t of t h e o p e r a t o r s o f t h e s e f a c i l i t i e s t h a t i f t h e y had j o i n e d t h a t o r g a n i z a t i o n t h e y w o u l d have been d o m i n a t e d by t h e i n t e r e s t s o f t h e g e n e r a l h o s p i t a l s , s i n c e most o f t h e f u n d i n g f o r BCHA came ou t of t h e a c u t e s e c t o r . The m a i n f o c u s of g e n e r a l h o s p i t a l s , u n l i k e l o n g t e r m c a r e f a c i l i t i e s , was t h e a c t i v e t r e a t m e n t o f p a t i e n t s . They had t h e same r e s e r v a t i o n s a b o u t j o i n i n g HLRA. Th e s e e m p l o y e r s d i d n o t w i s h t o become p a r t o f an o r g a n i z a t i o n t h a t m a i n l y r e p r e s e n t e d a c u t e c a r e f a c i l i t i e s i n l a b o u r r e l a t i o n s m a t t e r s . T h e r e was a f e a r t h a t HEU l o n g t e r m c a r e f a c i l i t i e s w o u l d be f o l d e d i n t o t h e M a s t e r A g r e e m e n t a t some p o i n t . T h i s was c o n s i d e r e d u n d e s i r e a b l e b e c a u s e i t w o u l d mean a c o n s i d e r a b l e i n c r e a s e i n wages and t h e M a s t e r d i d n o t r e f l e c t t h e d i f f e r e n c e s b e t ween t h e l o n g t e r m c a r e i n d u s t r y a n d a c u t e and e x t e n d e d c a r e . S e e k i n g l a b o u r r e l a t i o n s e x p e r t i s e , t h e Long Term C a r e A s s o c i a t i o n c o n s i d e r e d t h r e e o p t i o n s . One of t h e s e was t o c o n t i n u e t o use HLRA on an a g e n c y b a s i s a s s e v e r a l o f t h e s e f a c i l i t i e s h a d done i n t h e p a s t . HLRA's r e s p o n s e t o t h i s 88 a p p r o a c h was t h a t i t was no l o n g e r i n t e r e s t e d i n r e p r e s e n t i n g e m p l o y e r s o u t s i d e o f i t ' s a c c r e d i t a t i o n . I n d e e d , t h i s became a f o r m a l p o l i c y o f t h e o r g a n i z a t i o n a t i t s 1982/83 a n n u a l m e e t i n g . A n o t h e r o p t i o n t h a t t h e L o n g Term C a r e A s s o c i a t i o n p u r s u e d was t o s e e k a v o t i n g r e l a t i o n s h i p w i t h t h e BCHA w h i l e r e m a i n i n g a s e p a r a t e o r g a n i z a t i o n . U n d e r i t s c o n s t i t u t i o n , t h e BCHA c o u l d n o t a g r e e t o s u c h an o p t i o n . I t i s n o t c l e a r , h o w e v e r , t h a t t h e r e was g r e a t e n t h u s i a s m f o r t h e i d e a i n any c a s e s i n c e t h e i n c l u s i o n o f t h e L ong Term C a r e A s s o c i a t i o n m i g h t have been p e r c e i v e d a s an i n f r i n g e m e n t upon t h e power b a s e o f a c u t e c a r e h o s p i t a l s . H a v i n g e x h a u s t e d t h e two o p t i o n s w h i c h t h e y c o n s i d e r e d f e a s i b l e w i t h i n t h e e x i s t i n g l a b o u r r e l a t i o n s a s s o c i a t i o n i n h e a l t h c a r e , L ong Term C a r e A s s o c i a t i o n r e p r e s e n t a t i v e s a p p r o a c h e d t h e G overnment E m p l o y e e R e l a t i o n s B u r e a u (GERB) t o s e e i f GERB w o u l d a s s i s t them i n t h i s a r e a . GERB had been e s t a b l i s h e d i n 1977 a s a s p e c i a l b r a n c h o f t h e T r e a s u r y B o a r d . I t s p u r p o s e was t o d e v e l o p p e r s o n n e l p o l i c i e s , a nd n e g o t i a t e and a d m i n i s t e r c o l l e c t i v e a g r e e m e n t s on b e h a l f o f t h e B.C. g o v e r n m e n t ( L a m b e r t 1 9 7 9 ) . A t t h e same t i m e t h a t t h e L o n g Term C a r e A s s o c i a t i o n was s e a r c h i n g f o r l a b o u r r e l a t i o n s e x p e r t i s e u n d e r t h e t e r m s i t had s e t f o r i t s e l f , members of t h e T r e a s u r y B o a r d were a l s o c o n c e r n e d t h a t t h e new n o n - p r o f i t f a c i l i t i e s f i n d an i n e x p e n s i v e a n d e f f e c t i v e means t o d e a l w i t h t h e s e m a t t e r s . B e c a u s e t h e s e f a c i l i t i e s were f u n d e d by t h e p r o v i n c i a l g o v e r n m e n t , i t was i m p e r a t i v e t o t h e g o v e r n m e n t t h a t t h e HEU be met by a 89 n e g o t i a t i n g body on t h e e m p l o y e r s ' s i d e t h a t c o u l d c o u n t e r b a l a n c e the. e x p e r t i s e a n d c e n t r a l i z e d o r g a n i z a t i o n o f t h e U n i o n . G o v e r n m e n t o f f i c i a l s a l s o c o n s i d e r e d HLRA f o r t h i s p u r p o s e b u t d i d n o t l o o k f a v o u r a b l y upon t h i s o p t i o n f o r s i m i l a r r e a s o n s t o t h o s e o f t h e Long Term C a r e A s s o c i a t i o n . The g o v e r n m e n t a l s o d i d n o t w i s h l o n g t e r m c a r e n o n - p r o f i t f a c i l i t i e s t o be p a r t o f an a c c r e d i t e d b a r g a i n i n g a s s o c i a t i o n t h e mai n f u n c t i o n o f w h i c h was t o n e g o t i a t e c e n t r a l i z e d a g r e e m e n t s f o r g e n e r a l h o s p i t a l s . The p r o p o s a l t h a t t h e G o v e r n m e n t E m p l o y e e R e l a t i o n s B u r e a u p l a y a r o l e i n n e g o t i a t i o n s was more a p p e a l i n g , m o s t l y b e c a u s e i t was n o t HLRA. The g o v e r n m e n t a g r e e d t o s e t up a GERB o f f i c e i n V a n c o u v e r t o p r o v i d e s e r v i c e s , a t m i n i m a l c o s t , f o r t h e L o n g Term C a r e A s s o c i a t i o n , t h e Community Homemaker S e r v i c e s A s s o c i a t i o n o f B.C., and a number o f o t h e r s m a l l n o n - p r o f i t o r g a n i z a t i o n s . 5 The L o n g Term C a r e A s s o c i a t i o n made an a r r a n g e m e n t w i t h GERB t o use i t s s e r v i c e s i n t h e same manner t h a t o t h e r e m p l o y e r s use t h e s e r v i c e s o f a l a w y e r f o r l a b o u r r e l a t i o n s m a t t e r s . U n d e r t h e c o n s t i t u t i o n o f t h e L o n g Term C a r e A s s o c i a t i o n , r e s p o n s i b i l i t y f o r l a b o u r r e l a t i o n s was v e s t e d i n t h e A s s o c i a t i o n i t s e l f a s t h e " a g e n t o f r e c o r d " f o r i t s m e m b e r s h i p . I n t h a t c a p a c i t y i t d e l e g a t e d t o GERB r e s p o n s i b i l i t y f o r n e g o t i a t i n g a n d a r b i t r a t i n g most o f t h e c o l l e c t i v e a g r e e m e n t s o f i t s member f a c i l i t i e s . T h i s h a s meant i n p r a c t i c e t h a t i n t h e m a j o r i t y o f n e g o t i a t i o n s t h a t h ave o c c u r r e d , a GERB r e p r e s e n t a t i v e h a s been t h e s p o k e s p e r s o n a t t h e t a b l e a n d a 90 r e p r e s e n t a t i v e o f t h e L o n g Term C a r e A s s o c i a t i o n has a l s o been p r e s e n t , i n a d d i t i o n t o t h e a d m i n i s t r a t o r a n d member(s) o f t h e b o a r d of t h e f a c i l i t y i n v o l v e d . T h e r e have been c a s e s , h o w e v e r , i n w h i c h t h e s p o k e s p e r s o n has been an e m p l o y e e o f t h e L o n g Term C a r e A s s o c i a t i o n a n d no GERB r e p r e s e n t a t i v e h a s been p r e s e n t . I n S e p t e m b e r 1984, t h e C o n t i n u i n g C a r e E m p l o y e e R e l a t i o n s A s s o c i a t i o n o f B.C. (CCERA) was f o r m e d . The A s s o c i a t i o n h a s t a k e n o v e r t h e l a b o u r r e l a t i o n s f u n c t i o n s p r e v i o u s l y p e r f o r m e d by t h e Long Term C a r e A s s o c i a t i o n , u t i l i z i n g t h e s e r v i c e s o f GERB. T h i s r e o r g a n i z a t i o n was due t o a l a r g e r r e o r g a n i z a t i o n o f t h e e n t i r e p e r s o n n e l / l a b o u r r e l a t i o n s f u n c t i o n w i t h i n t h e p r o v i n c i a l g o v e r n m e n t . As a c o s t - s a v i n g m e a s u r e , t h e g o v e r n m e n t h a s moved t o w a r d s d e c e n t r a l i z a t i o n o f t h i s f u n c t i o n by d i s b a n d i n g GERB and p r o v i d i n g some o f t h e s e r v i c e s p r e v i o u s l y o f f e r e d by t h e B u r e a u a t t h e M i n i s t r y l e v e l . 6 W i t h t h e d e m i s e o f GERB, some means h a d t o be f o u n d t o c o n t i n u e t h e s e r v i c e s w h i c h had been p r o v i d e d by t h e V a n c o u v e r o f f i c e o f t h i s g o v e r n m e n t a g e n c y . The r e s u l t was t h e f o r m a t i o n o f CCERA. A f t e r l e a r n i n g t h a t GERB w o u l d become d e f u n c t , HLRA i n d i c a t e d an i n t e r e s t i n p l a c i n g a l l n o n - p r o f i t l o n g t e r m c a r e f a c i l i t i e s u n d e r i t s a c c r e d i t a t i o n . However, t h e L o n g Term C a r e A s s o c i a t i o n a l s o had a p r o p o s a l f o r a new b a r g a i n i n g a s s o c i a t i o n . I t s p l a n was t h a t t h e s t a f f o f t h e A s s o c i a t i o n who had been e n g a g e d i n l a b o u r r e l a t i o n s m a t t e r s p l u s t h e GERB s t a f f i n V a n c o u v e r w o u l d now f o r m a l a b o u r r e l a t i o n s o r g a n i z a t i o n t h a t w o u l d r e p r e s e n t members o f t h e L o n g Term C a r e A s s o c i a t i o n and t h e o t h e r a s s o c i a t i o n s a n d f a c i l i t i e s t h a t h a d p r e v i o u s l y u s e d 91 t h e s e r v i c e s o f GERB i n V a n c o u v e r . A c c o r d i n g t o one L o n g Term C a r e P r o g r a m o f f i c i a l , i t was i n t h e i n t e r e s t s o f t h e M i n i s t r y o f H e a l t h t o have a b a r g a i n i n g a s s o c i a t i o n s e p a r a t e f r o m HLRA r e p r e s e n t i n g l o n g t e r m c a r e f a c i l i t i e s so t h a t t h e s e f a c i l i t i e s d i d n o t become s o c l o s e l y i d e n t i f i e d w i t h a c u t e c a r e h o s p i t a l s a n d h e n c e , t h e M a s t e r A g r e e m e n t . S i n c e t h e a s s o c i a t i o n s f o r m e r l y r e p r e s e n t e d by GERB were w i l l i n g t o f o r m a b a r g a i n i n g o r g a n i z a t i o n , t h e y e n g a g e d i n d i s c u s s i o n s w i t h o f f i c i a l s o f t h e L o n g Term C a r e P r o g r a m i n w h i c h t h e g o v e r n m e n t r e p r e s e n t a t i v e s s e t o u t t h e l e v e l o f f u n d i n g t h e y were w i l l i n g t o p r o v i d e t o t h e new o r g a n i z a t i o n t h r o u g h i t s m e m b e r s h i p f e e s . I n S e p t e m b e r 1984, CCERA was e s t a b l i s h e d . By t h e i r v e r y e x i s t e n c e , b a r g a i n i n g a s s o c i a t i o n s i m p l y g r e a t e r c e n t r a l i z a t i o n o f d e c i s i o n - m a k i n g i n l a b o u r r e l a t i o n s m a t t e r s . W h ether t h e s e d e c i s i o n s a r e made p r e d o m i n a n t l y by t h e most i n f l u e n t i a l e m p l o y e r s i n t h e a s s o c i a t i o n , o r by t h e l a b o u r r e l a t i o n s e x p e r t s h i r e d by t h e a s s o c i a t i o n d e p e n d s upon t h e p o l i t i c s o f t h e o r g a n i z a t i o n a n d i t s i n t e r n a l s t r u c t u r e . I n t h e c a s e o f CCERA, i t i s o b v i o u s t h a t t h e same a p p r o a c h i s b e i n g t a k e n i n e a c h s e t o f HEU n e g o t i a t i o n s . The HEU-CCERA c o l l e c t i v e a g r e e m e n t s do n o t d i f f e r g r e a t l y a n d , a s w i l l be shown, t h e same i s s u e s seem t o be i n c o n t e n t i o n r e g a r d l e s s o f w h i c h e m p l o y e r s a r e b e i n g r e p r e s e n t e d a t t h e t a b l e . W h i l e d e c i s i o n - m a k i n g i s c e n t r a l i z e d w i t h i n CCERA, f o r m a l b a r g a i n i n g s t r u c t u r e i s s t i l l v e r y d e c e n t r a l i z e d . As F i g u r e 4 i n d i c a t e s , CCERA p r e s e n t l y r e p r e s e n t s t h i r t y - t w o f a c i l i t i e s w i t h Figure 4. Bargaining structure in BC long term care (as of October 1984). CONTINUING CARE EMPLOYEE RELATIONS ASSOCIATION 12 HEU 7 HEU 13 HEU 8 BCGEU 6 CUPE 1 IUOE 2 VMREU (Bargained in (Bargained (Certification (Bargained (Bargained (Bargained (Bargained 3 groups of 4) separately) but few separately) separately) separately) separately) negotiations as yet) 93 HEU c e r t i f i c a t i o n s , e i g h t w i t h BCGEU c e r t i f i c a t i o n s , a n d e i g h t w i t h CUPE c e r t i f i c a t i o n s . The IUOE and VMREU e a c h h o l d c e r t i f i c a t i o n s i n two f a c i l i t i e s t h a t a r e CCERA members. The c l o s e s t CCERA has come t o a f o r m a l l y c e n t r a l i z e d s t r u c t u r e h a s been t h e t h r e e g r o u p s of f o u r f a c i l i t i e s t h a t b a r g a i n e d t o g e t h e r i n t h e i r l a s t r o u n d o f n e g o t i a t i o n s . F o r t h e s e t w e l v e f a c i l i t i e s , t h i s was t h e i r s e c o n d c o l l e c t i v e a g r e e m e n t . S e v e n of them had n e g o t i a t e d t h e i r f i r s t c o l l e c t i v e a g r e e m e n t s t h r o u g h t h e L o n g Term C a r e A s s o c i a t i o n u s i n g t h e s e r v i c e s o f GERB. A l t h o u g h t h e s e s e v e n f a c i l i t i e s h a d n o t e n g a g e d i n j o i n t b a r g a i n i n g , t h r o u g h an a r b i t r a t i o n a w a r d t h e y had a g r e e d w o u l d a p p l y t o them a l l t h e i r f i r s t c o l l e c t i v e a g r e e m e n t s had many o f t h e same t e r m s a n d c o n d i t i o n s a s t h o s e f o u n d i n t h e L o n g Term C a r e S t a n d a r d A g r e e m e n t , i n c l u d i n g t h e same wages and e x p i r y d a t e s . The o t h e r f i v e f a c i l i t i e s h a d t h e " M i n i - M a s t e r " a s t h e i r f i r s t c o l l e c t i v e a g r e e m e n t a n d t h e n had s w i t c h e d o v e r t o t h e L o n g Term C a r e A s s o c i a t i o n a n d GERB. B e c a u s e t w e l v e LTCA f a c i l i t i e s now had common r a t e s of pay a n d common c o n t r a c t e x p i r y d a t e s , i t was d e c i d e d t h a t t h e y w o u l d b a r g a i n t o g e t h e r i n t h e i r n e x t r o u n d o f n e g o t i a t i o n s . I t was f o r g e o g r a p h i c r e a s o n s t h a t t h e y were d i v i d e d i n t o t h r e e g r o u p s o f f o u r f a c i l i t i e s . A g a i n an i m p a s s e was r e a c h e d i n n e g o t i a t i o n s b e c a u s e t h e U n i o n demanded t h a t t h e M a s t e r be a d o p t e d i n i t s e n t i r e t y . R e p r e s e n t e d by GERB an d t h e L o n g Term C a r e A s s o c i a t i o n , t h e e m p l o y e r s a r g u e d t h e u n i q u e n e s s o f l o n g t e r m c a r e f a c i l i t i e s a n d r e f u s e d t o c o n c e d e t o HEU demands on c e r t a i n i t e m s , t h e most s i g n i f i c a n t o f w h i c h was wages. The 94 r e s u l t was a n o t h e r a r b i t r a t i o n a p p l y i n g t o a l l t w e l v e f a c i l i t i e s i n w h i c h an a w a r d was i s s u e d on May 17, 1984. I n t h i s c a s e t h e a r b i t r a t o r a w a r d e d " t h e g e n e r a l t e r m s o f t h e C o l l e c t i v e A g r e e m e n t e n t e r e d i n t o b e t ween t h e H e a l t h L a b o u r R e l a t i o n s A s s o c i a t i o n and t h e H o s p i t a l E m p l o y e e s ' U n i o n , L o c a l 180, d a t e d J a n u a r y 20, 1983 ( s o m e t i m e s r e f e r r e d t o a s t h e M a s t e r C o l l e c t i v e A g r e e m e n t ) . " (Greenwoods and e l e v e n o t h e r f a c i l i t i e s a n d HEU ( M c T a g g a r t , May 17, 1984, p.3) A c c o r d i n g t o t h e U n i o n , t h i s s t a t e m e n t meant t h a t a l l r e l e v a n t s e c t i o n s o f t h e M a s t e r A g r e e m e n t had been a w a r d e d i n t h e s e f a c i l i t i e s . CCERA, h o w e v e r , a p p e a l e d t h i s a w a r d t o t h e B.C. Supreme C o u r t on t h e g r o u n d s t h a t t h e w o r d i n g o f t h e a w a r d n e e d e d c l a r i f i c a t i o n and a l s o t h a t t h e a r b i t r a t o r h a d e x c e e d e d h i s j u r i s d i c t i o n . CCERA won i t s c a s e , a n d t h e a w a r d was v a c a t e d . By A p r i l 1985, t h e s e t w e l v e f a c i l i t i e s were s t i l l w i t h o u t a s e c o n d c o l l e c t i v e a g r e e m e n t . I n t h e o t h e r s e v e n c a s e s i n w h i c h c o l l e c t i v e a g r e e m e n t s have been c o n c l u d e d w i t h t h e HEU, f i v e f i r s t c o l l e c t i v e a g r e e m e n t s were a c h i e v e d r e c e n t l y t h r o u g h a r b i t r a t i o n , one a r b i t r a t i o n f o r t h r e e o f t h e f a c i l i t i e s a n d s e p a r a t e a r b i t r a t i o n s f o r t h e o t h e r two. I n a l l t h r e e c a s e s t h e M a s t e r A g r e e m e n t was a w a r d e d , b u t t h e a w a r d s were s u b j e c t t o r e v i e w by t h e C o m m i s s i o n e r o f t h e C o m p e n s a t i o n S t a b i l i z a t i o n P r o g r a m a nd e m p l o y e e s c o v e r e d by t h e a g r e e m e n t s w i l l n o t be r e c e i v i n g M a s t e r A g r e e m e n t r a t e s . The o t h e r two f a c i l i t i e s p r e v i o u s l y had u s e d HLRA as t h e i r b a r g a i n i n g a g e n t . The l a n g u a g e , wage l e v e l s , a n d e x p i r y d a t e s i n t h e i r c o l l e c t i v e a g r e e m e n t s d i f f e r s u f f i c i e n t l y f r o m t h e o t h e r HEU f a c i l i t i e s t h a t t h e y b a r g a i n s e p a r a t e l y . Of 95 t h e s e v e n f a c i l i t i e s , w o r k e r s i n o n l y one i n s t i t u t i o n r e c e i v e M a s t e r A g r e e m e n t wages w h i c h t h e y a c h i e v e d w h i l e u s i n g t h e l a b o u r r e l a t i o n s ; s e r v i c e s o f HLRA. I n t h e c a s e s o f t h e f a c i l i t i e s t h a t a r e CCERA members i n w h i c h u n i o n s o t h e r t h a n t h e HEU a r e c e r t i f i e d , s e p a r a t e n e g o t i a t i o n s t a k e p l a c e f o r e a c h f a c i l i t y , e x c e p t f o r t h e two IUOE f a c i l i t i e s t h a t b a r g a i n t o g e t h e r a n d h a v e i d e n t i c a l c o l l e c t i v e a g r e e m e n t s . I n t h e CUPE f a c i l i t i e s , o w i n g t o t h e d e c e n t r a l i z e d n a t u r e o f t h a t U n i o n , t h e r e i s a l m o s t no c o n g r u e n c y b etween c o l l e c t i v e a g r e e m e n t s . I n t h e f a c i l i t i e s r e p r e s e n t e d by t h e BCGEU, t h e r e i s some c o m m o n a l i t y o f l a n g u a g e and s i m i l a r i t y i n b e n e f i t s a n d wages, b u t i t i s o b v i o u s t h a t t h e r e h a s n o t been t h e same p u s h by t h a t U n i o n t o a c h i e v e c o l l e c t i v e a g r e e m e n t s t h a t r e s e m b l e i t s M a s t e r A g r e e m e n t a s t h e r e h a s been i n t h e c a s e o f t h e HEU. Wages a n d b e n e f i t s f o r t h e BCGEU f a c i l i t i e s v a r y g r e a t l y . I n most c a s e s t h e y a r e l o w e r t h a n t h o s e f o u n d i n t h e HEU-HLRA M a s t e r A g r e e m e n t , a l t h o u g h some com p a r e v e r y f a v o u r a b l y w i t h t h e M a s t e r . S i n c e b a r g a i n i n g w i t h CCERA i s s t i l l i n i t s e a r l y s t a g e s , t h e s e l e v e l s d e p e n d t o a l a r g e d e g r e e on what t h e r a t e s i n t h e f a c i l i t y were when i t j o i n e d t h e A s s o c i a t i o n . C. P r o p r i e t a r y F a c i l i t i e s T h e r e has been some c e n t r a l i z a t i o n o f b a r g a i n i n g s t r u c t u r e f o r p r o p r i e t a r y f a c i l i t i e s , b u t i t h a s been on an a d hoc b a s i s . The c o m b i n a t i o n o f f a c i l i t i e s t h a t h a v e b a r g a i n e d t o g e t h e r h a s n e v e r r e m a i n e d t h e same f r o m one s e t o f n e g o t i a t i o n s t o t h e n e x t . I n e v e r y c a s e where t h e r e h a s been j o i n t b a r g a i n i n g , i t 96 has been i n H E U - c e r t i f i e d f a c i l i t i e s . The f i r s t s e t of n e g o t i a t i o n s i n v o l v i n g p r i v a t e , h o s p i t a l s i n w h i c h a number o f f a c i l i t i e s c o m b i n e d f o r c e s t o b a r g a i n w i t h t h e HEU o c c u r r e d i n 1975 a n d i n v o l v e d f o u r p r i v a t e h o s p i t a l s . The s e c o n d s e t o c c u r r e d i n t h e f o l l o w i n g y e a r a n d i n c l u d e d s i x o t h e r f a c i l i t i e s . I n t h e . f o u r r o u n d s of n e g o t i a t i o n s t h a t f o l l o w e d i n w h i c h g r o u p s o f p r i v a t e h o s p i t a l s b a r g a i n e d t o g e t h e r , t h e p r i v a t e h o s p i t a l s t h a t f o r m e d t h e s e g r o u p s v a r i e d w i t h e a c h s e t o f n e g o t i a t i o n s . J o i n t b a r g a i n i n g o c c u r r e d i n o r d e r t o p r e v e n t w h i p s a w i n g by t h e HEU The f a c i l i t i e s t h a t b a r g a i n e d t o g e t h e r d i d so e i t h e r o u t o f c o n v e n i e n c e b a s e d on g e o g r a p h i c a l p r o x i m i t y o r b e c a u s e t h e y had common o w n e r s h i p . W i t h t h e i n t r o d u c t i o n o f t h e L o n g Term C a r e P r o g r a m , t h e s y s t e m o f f u n d i n g p r o v i d e d by t h e g o v e r n m e n t meant t h a t t h e s e f a c i l i t i e s w ere r e c e i v i n g t h e same income p e r p a t i e n t e v e n t h o u g h t h e i r e x p e n s e s v a r i e d . The m a j o r d i f f e r e n c e i n e x p e n s e s among p r i v a t e h o s p i t a l s was i n t h e i r m o r t g a g e p a y m e n t s . T h e s e f a c i l i t i e s a r e o f t e n l o n g t e r m r e a l e s t a t e i n v e s t m e n t s f o r t h e i r o w n e r s . S i n c e t h e y were r e c e i v i n g t h e same income p e r p a t i e n t b u t had d i f f e r e n t e x p e n s e s , a c o n s e n s u s among o w n e r s d u r i n g n e g o t i a t i o n s h a s been d i f f i c u l t t o a c h i e v e . T h i s d e s i r e t o p r o t e c t t h e i n t e r e s t s of t h e i n d i v i d u a l f a c i l i t y h a s h a d a m a j o r i m p a c t on t h e s t r u c t u r e o f b a r g a i n i n g . A f a c i l i t y may t h r o w i t s l o t i n w i t h o t h e r p r i v a t e h o s p i t a l s i n one s e t o f n e g o t i a t i o n s and t h e n e x t t i m e b a r g a i n a l o n e . J o i n t b a r g a i n i n g s e s s i o n s h ave r e p o r t e d l y g e n e r a t e d a g r e a t d e a l o f a n i m o s i t y b e t w e e n p a r t i c i p a t i n g e m p l o y e r s o r t h e i r 97 r e p r e s e n t a t i v e s . D. F u t u r e T r e n d s I n B a r g a i n i n g S t r u c t u r e I t i s most l i k e l y t h a t i n l o n g t e r m c a r e b a r g a i n i n g s t r u c t u r e , CCERA w i l l emerge as t h e d o m i n a n t l a b o u r r e l a t i o n s a s s o c i a t i o n i n t h e i n d u s t r y . The o r g a n i z a t i o n w i l l r e p r e s e n t t h e m a j o r i t y o f u n i o n i z e d n o n - p r o f i t e m p l o y e r s on a f o r m a l c e n t r a l i z e d b a s i s and most u n i o n i z e d p r o p r i e t a r y f a c i l i t i e s a r e l i k e l y t o u s e t h e s e r v i c e s o f CCERA on a " f e e f o r s e r v i c e " b a s i s f o r t h e f o r e s e e a b l e f u t u r e . CCERA i s p r e s e n t l y e m e r g i n g a s t h e d o m i n a n t a s s o c i a t i o n i n t h e i n d u s t r y i n t e r m s o f t h e number o f f a c i l i t i e s i t r e p r e s e n t s . More n o n - p r o f i t l o n g t e r m c a r e e m p l o y e r s a r e members o f CCERA t h a n o f HLRA, an d more o f t h e r e c e n t l y u n i o n i z e d f a c i l i t i e s h a v e j o i n e d t h e CCERA o r g a n i z a t i o n t h a n t h e o l d e r a s s o c i a t i o n . The s t r u c t u r e o f b a r g a i n i n g c o n d u c t e d by CCERA i s l i k e l y t o become more c e n t r a l i z e d f o r two r e a s o n s . T e n t a t i v e s t e p s h ave been t a k e n w i t h t h e HEU t o w a r d s n e g o t i a t i n g a s t a n d a r d c o l l e c t i v e a g r e e m e n t f o r a l l CCERA members w i t h HEU c e r t i f i c a t i o n s , a nd t h e A s s o c i a t i o n i s c o n s i d e r i n g a p p l y i n g t o t h e L a b o u r R e l a t i o n s B o a r d t o become an a c c r e d i t e d b a r g a i n i n g a g e n t . U s i n g t h e s e r v i c e s o f GERB, t h e L o n g Term C a r e A s s o c i a t i o n b e g a n n e g o t i a t i o n s w i t h t h e HEU i n t h e s p r i n g o f 1984 t o w a r d s a s t a n d a r d c o l l e c t i v e a g r e e m e n t f o r a l l HEU f a c i l i t i e s t h a t a r e members o f t h a t A s s o c i a t i o n ( a n d now b e l o n g t o CCERA). N e g o t i a t i o n s b r o k e o f f i n O c t o b e r , and t h e r e a r e no p l a n s t o resume t h e s e d i s c u s s i o n s i n t h e f u t u r e . However, t h e f o r c e s t h a t i n i t i a l l y b r o u g h t t h e two p a r t i e s t o g e t h e r t o n e g o t i a t e a 98 s t a n d a r d a g r e e m e n t have n o t d i s s i p a t e d . S u c h an a g r e e m e n t i s b e i n g c o n t e m p l a t e d b e c a u s e i n e v e r y s e t o f n e g o t i a t i o n s t h e s e p a r t i e s u n d e r t a k e , t h e same i s s u e s a r e i n c o n t e n t i o n . F o r e x a m p l e , t h e HEU w o u l d l i k e a g r i e v a n c e p r o c e d u r e s i m i l a r t o t h a t i n t h e M a s t e r A g r e e m e n t i n t h e i r CCERA c o n t r a c t s . The e m p l o y e r s ' a s s o c i a t i o n , on t h e o t h e r h a n d , i n s i s t s t h a t t h e r e be s p e c i f i e d t i m e l i m i t s on t h e l a t e r s t a g e s o f t h e p r o c e d u r e t o p r e v e n t a g r i e v a n c e f r o m r e m a i n i n g u n r e s o l v e d i n d e f i n i t e l y . To n e g o t i a t e so many c o l l e c t i v e a g r e e m e n t s i s a v e r y i n e f f i c i e n t way t o p r o c e e d when t h e same i t e m s a r e i n d i s p u t e . The p r o b l e m i s t h a t t h e a n i m o s i t y t h a t e x i s t s b e t w e e n t h e s e p a r t i e s , p a r t l y b e c a u s e t h e y have been u n a b l e t o r e s o l v e t h e s e i s s u e s d u r i n g n e g o t i a t i o n s , h a s c o l o u r e d t h e i r d i s c u s s i o n s t o w a r d s a s t a n d a r d a g r e e m e n t . S i n c e t h e r e r e m a i n s t r o n g r e a s o n s f o r b o t h p a r t i e s t o . p r o c e e d w i t h more c e n t r a l i z e d n e g o t i a t i o n s , t h i s p r o c e s s w i l l l i k e l y resume a t a l a t e r d a t e . I f a c c r e d i t a t i o n o c c u r s , i t w i l l f u r t h e r i n c r e a s e t h e l i k e l i h o o d o f a c o n s o l i d a t e d b a r g a i n i n g s t r u c t u r e . CCERA n e g o t i a t o r s w i l l be u n d e r l e s s p r e s s u r e t o accommodate t h e i n t e r e s t s o f e a c h e m p l o y e r s i n c e e m p l o y e r s w i l l now be l e g a l l y bound t o t h e o r g a n i z a t i o n t h r o u g h t h e a c c r e d i t a t i o n . I n s t e a d , A s s o c i a t i o n n e g o t i a t o r s c a n be more c o n c e r n e d w i t h a c h i e v i n g a g e n e r a l c o n s e n s u s among t h e members o v e r b a r g a i n i n g i s s u e s . B e g i n n i n g i n 1984, t h e M i n i s t r y o f H e a l t h s w i t c h e d t o a c o s t - r e l a t e d r e i m b u r s e m e n t s y s t e m f o r p r o p r i e t a r y f a c i l i t i e s a n d has a l l o w e d t h e c o s t o f b e l o n g i n g t o a b a r g a i n i n g a s s o c i a t i o n t o 99 be i n c l u d e d i n t h e r e i m b u r s e m e n t r a t e s . F o u n d e d i n 1977, t h e B.C. A s s o c i a t i o n o f P r i v a t e C a r e F a c i l i t i e s ( P r i c a r e ) i s an o r g a n i z a t i o n composed o f p r o p r i e t a r y c o m m u n i t y c a r e f a c i l i t i e s and p r i v a t e h o s p i t a l s . I t s m a i n f u n c t i o n h a s been t o r e p r e s e n t t h e i n t e r e s t s o f i t s m e m b e r s h i p t o t h e p r o v i n c i a l g o v e r n m e n t . W i t h t h e c h a n g e i n f u n d i n g p o l i c y , P r i c a r e h a s r e c e n t l y s e t up a b a r g a i n i n g arm w i t h i n t h e A s s o c i a t i o n , t h e p u r p o s e o f w h i c h i s t o e i t h e r p r o v i d e l a b o u r r e l a t i o n s s e r v i c e s f o r t h e m e m b e r s h i p i t s e l f , o r t o o b t a i n t h e s e s e r v i c e s f r o m a n o t h e r b a r g a i n i n g a s s o c i a t i o n . P r i c a r e i s most l i k e l y t o use t h e s e r v i c e s o f CCERA f o r r e p r e s e n t a t i o n d u r i n g n e g o t i a t i o n s . H o w e v e r , P r i c a r e ' s b a r g a i n i n g arm w i l l n o t become p a r t o f CCERA. When CCERA was f o r m e d , P r i c a r e was i n v i t e d t o become one o f t h e f o u n d i n g members o f t h e A s s o c i a t i o n . The o r g a n i z a t i o n o f p r i v a t e f a c i l i t i e s d i d n o t j o i n CCERA a t t h a t t i m e , a n d l i k e l y w i l l n o t do so i n t h e n e a r f u t u r e . The A s s o c i a t i o n h a s t a k e n t h i s p o s i t i o n b e c a u s e i t s members do n o t w i s h t o r e l i n q u i s h c o n t r o l o v e r c o l l e c t i v e b a r g a i n i n g t o t h e e x t e n t t h a t c o u l d be r e q u i r e d i f CCERA becomes an a c c r e d i t e d b a r g a i n i n g a g e n t . I t i s i r o n i c t h a t members o f P r i c a r e now f i n d t h e m s e l v e s i n a s i m i l a r r e l a t i o n s h i p t o CCERA t h a t t h e L o n g Term C a r e A s s o c i a t i o n members f o u n d t h e m s e l v e s i n r e l a t i o n t o HLRA. The o r i g i n a l members of CCERA f o r m e d t h e i r own o r g a n i z a t i o n b e c a u s e t h e y d i d n o t want t o b e l o n g t o an a c c r e d i t e d b a r g a i n i n g a s s o c i a t i o n b e f o r e t h e y c o u l d be c e r t a i n i t w o u l d r e p r e s e n t t h e i r b e s t i n t e r e s t s . Now P r i c a r e members do n o t w i s h t o j o i n 100 CCERA f o r t h e same r e a s o n s . A f t e r t h e g o v e r n m e n t a g r e e d t o c o v e r t h e c o s t s o f m e m b e r s h i p f o r p r o p r i e t a r y f a c i l i t i e s i n a b a r g a i n i n g a s s o c i a t i o n , P r i c a r e a p p r o a c h e d HLRA t o p r o v i d e n e g o t i a t i o n s s e r v i c e s f o r i t s members. I n k e e p i n g w i t h i t s two p r e v i o u s p o l i c y d e c i s i o n s , n o t t o a l l o w p r o p r i e t a r y f a c i l i t i e s m e mbership, s t a t u s and n o t t o s e r v i c e any f a c i l i t i e s o u t s i d e of i t s a c c r e d i t a t i o n , HLRA e x p r e s s e d no i n t e r e s t i n p u r s u i n g a r e l a t i o n s h i p w i t h P r i c a r e . Once an a g r e e m e n t h a s been f i n a l i z e d w i t h CCERA, t h e f o u r p r i v a t e h o s p i t a l s t h a t a r e members o f HLRA w i l l a p p l y t o t h e L a b o u r R e l a t i o n s B o a r d t o h a v e t h e i r names d e l e t e d f r o m t h e HLRA a c c r e d i t a t i o n i n o r d e r t o become p a r t o f t h i s new b a r g a i n i n g a r r a n g e m e n t . B e c a u s e i t i s c l e a r t h a t t h e s e f o u r f a c i l i t i e s a r e an un w a n t e d a n o m o l y w i t h i n HLRA and have a s u b s t a n t i a l c o m m u n i t y o f i n t e r e s t w i t h t h e o t h e r P r i c a r e f a c i l i t i e s , t h e a p p l i c a t i o n i s l i k e l y t o s u c c e e d . W h e ther o r n o t t h e r e w i l l e v e r be any f o r m a l c o n s o l i d a t i o n o f b a r g a i n i n g s t r u c t u r e among p r o p r i e t a r y e m p l o y e r s i s n o t a t a l l c l e a r . T h e r e a r e c e r t a i n f a c t o r s i n t h e p r e s e n t e n v i r o n m e n t , h o w e v e r , t h a t w o u l d seem t o i n d i c a t e t h a t t h i s i s i n d e e d a p o s s i b i l i t y . A l t h o u g h P r i c a r e e m p l o y e r s may m a i n t a i n more c o n t r o l o v e r n e g o t i a t i o n s t h a n e m p l o y e r s t h a t a r e CCERA members, t h e u s e o f a l a b o u r r e l a t i o n s a s s o c i a t i o n c a n n o t h e l p b u t r e v e a l t h e c o m m o n a l i t y o f c o l l e c t i v e b a r g a i n i n g i n t e r e s t s t h a t e x i s t s among t h e s e e m p l o y e r s . I n a d d i t i o n , t h e new s y s t e m o f r e i m b u r s e m e n t , s i m i l a r t o t h e one t h a t h a s been i n e f f e c t i n n o n - p r o f i t f a c i l i t i e s , w i l l remove one o f t h e o b s t a c l e s t o 101 g r e a t e r c o n s e n s u s on c o l l e c t i v e b a r g a i n i n g m a t t e r s among p r o p r i e t a r y e m p l o y e r s . T a k i n g t h e s e f a c t o r s i n t o c o n s i d e r a t i o n , t h e a d v a n t a g e s o f a more c e n t r a l i z e d s t r u c t u r e may be p e r c e i v e d a s o u t w e i g h i n g t h e d r a w b a c k s . A t p r e s e n t , CCERA r e p r e s e n t s t h e m a j o r i t y o f n o n - p r o f i t e m p l o y e r s i n l o n g t e r m c a r e , and t h e number i s s t i l l i n c r e a s i n g . I n t h e f u t u r e i t w i l l l i k e l y d e v e l o p a f o r m a l l y c e n t r a l i z e d s t r u c t u r e among i t s member f a c i l i t i e s i n w h i c h t h e HEU i s c e r t i f i e d . I t i s most p r o b a b l e t h a t i n t h e n e a r f u t u r e , p r o p r i e t a r y e m p l o y e r s w i l l b e g i n u s i n g t h e l a b o u r r e l a t i o n s s e r v i c e s o f CCERA on an a g e n c y b a s i s , t h e r e b y c r e a t i n g g r e a t e r c e n t r a l i z a t i o n i n d e c i s i o n - m a k i n g among t h e s e f a c i l i t i e s , and g r e a t l y i n c r e a s i n g t h e number o f f a c i l i t i e s o v e r w h i c h CCERA w i l l h ave some d e g r e e o f d e c i s i o n - m a k i n g i n f l u e n c e . I n a d d i t i o n , a t some p o i n t i n t h e f u t u r e , p r o p r i e t a r y f a c i l i t i e s may a l s o engage i n more f o r m a l l y c e n t r a l i z e d n e g o t i a t i o n s . S i n c e most s e t s o f n e g o t i a t i o n s i n B.C. l o n g t e r m c a r e s t i l l o c c u r on an i n d i v i d u a l b a s i s o r i n s m a l l g r o u p s , f o r m a l b a r g a i n i n g s t r u c t u r e i n t h e i n d u s t r y c o n t i n u e s t o be q u i t e d e c e n t r a l i z e d . The g r e a t e s t d e g r e e o f c e n t r a l i z a t i o n e x i s t s f o r HLRA members w i t h HEU c e r t i f i c a t i o n s where a l l HEU c o l l e c t i v e a g r e e m e n t s a r e n e g o t i a t e d i n one o f two g r o u p s : t h e M a s t e r o r t h e " M i n i - M a s t e r . " W h i l e f o r m a l b a r g a i n i n g s t r u c t u r e may s t i l l be d e c e n t r a l i z e d , d e c i s i o n - m a k i n g among n o n - p r o f i t e m p l o y e r s , who a c c o u n t f o r more t h a n t w o - t h i r d s o f a l l u n i o n i z e d e m p l o y e r s i n t h e i n d u s t r y , i s a g r e a t d e a l more c e n t r a l i z e d a s a l l b e l o n g t o one o r t h e o t h e r o f t h e two b a r g a i n i n g a s s o c i a t i o n s . W h i l e 1 02 CCERA i s e n g a g e d i n n e g o t i a t i o n s on a d e c e n t r a l i z e d b a s i s , i t ha s m a i n t a i n e d t h e same a p p r o a c h t o w a r d s t h e HEU e a c h t i m e t h e p a r t i e s h ave met a c r o s s t h e b a r g a i n i n g t a b l e . A l t h o u g h a t some p o i n t i n t h e f u t u r e t h e r e may be f o r m a l c e n t r a l i z e d b a r g a i n i n g w i t h i n e a c h a s s o c i a t i o n , s i n c e t h e r e a r e two b a r g a i n i n g o r g a n i z a t i o n s t h e HEU's o b j e c t i v e o f a u n i t a r y s t r u c t u r e f o r t h e h e a l t h c a r e i n d u s t r y i s n o t l i k e l y t o be r e a l i z e d . I V . CONCLUSION The b a r g a i n i n g s t r u c t u r e i n l o n g t e r m c a r e i s c l e a r l y i n t h e " c o - o r d i n a t i o n and c o - o p e r a t i o n " s t a g e and o n l y t h e i n i t i a l s t a g e s o f f o r m a l c e n t r a l i z a t i o n . . I t was t h e i n i t i a t i v e o f e m p l o y e r s o p e r a t i n g w i t h i n t h e f r a m e w o r k o f g o v e r n m e n t p o l i c i e s t h a t h a s c r e a t e d t h e p r e s e n t s t r u c t u r e . They s o u g h t more c e n t r a l i z e d d e c i s i o n - m a k i n g a n d f o r m a l l y c e n t r a l i z e d s t r u c t u r e s i n o r d e r t o p r e s e n t a u n i t e d f r o n t t o t h e g o v e r n m e n t on i n d u s t r i a l r e l a t i o n s m a t t e r s a n d i n r e s p o n s e t o e f f i c i e n c y c o n s i d e r a t i o n s . Most i m p o r t a n t o f a l l , h o w e v e r , t h e y were m o t i v a t e d by t h e d e s i r e t o p r e v e n t t h e HEU f r o m a c h i e v i n g t h e M a s t e r A g r e e m e n t s t a n d a r d , e s p e c i a l l y on wages, f o r s e r v i c e w o r k e r s t h r o u g h o u t t h e h e a l t h c a r e i n d u s t r y . To t h i s e n d , some l o n g t e r m c a r e e m p l o y e r s , w i t h h e l p f r o m t h e g o v e r n m e n t , f o r m e d t h e i r own b a r g a i n i n g a s s o c i a t i o n . T h e s e e m p l o y e r s h o p e d t h a t t h e y w o u l d be a b l e b e t t e r t o r e s i s t t h e demands o f t h e p o w e r f u l u n i o n i f t h e y h a d t h e i r own b a r g a i n i n g o r g a n i z a t i o n , s e p a r a t e f r o m HLRA, t h e a s s o c i a t i o n t h a t r e p r e s e n t s a c u t e a n d e x t e n d e d c a r e e m p l o y e r s . 103 A p a r t f r o m c r e a t i n g t h e l a w s r e g u l a t i n g a c c r e d i t a t i o n , t h e g o v e r n m e n t h a s n o t been i n c l i n e d t o d i c t a t e t h e f o r m b a r g a i n i n g s t r u c t u r e w i l l t a k e . I n B.C. l o n g t e r m c a r e t h e p r o v i n c i a l g o v e r n m e n t d i d n o t impose any k i n d o f l e g i s l a t i o n t o i n f l u e n c e t h e d i r e c t i o n i n w h i c h b a r g a i n i n g s t r u c t u r e d e v e l o p e d . H owever, t h r o u g h h e a l t h c a r e a n d f i s c a l p o l i c y , t h e g o v e r n m e n t h a s had a t r e m e n d o u s i m p a c t on t h e c e n t r a l i z a t i o n o f d e c i s i o n - m a k i n g i n e m p l o y e r s ' a s s o c i a t i o n s . I t e v e n t u a l l y p r o v i d e d f u n d i n g f o r a l l l o n g t e r m c a r e f a c i l i t i e s t o j o i n s u c h an a s s o c i a t i o n . G i v e n t h e c o s t o f c o n t r a c t i n g f o r l a b o u r r e l a t i o n s e x p e r t i s e , t h e g o v e r n m e n t made m e m b e r s h i p i n an e m p l o y e r s ' a s s o c i a t i o n a more f e a s i b l e a l t e r n a t i v e t h a n h i r i n g a l a w y e r . T h i s p a r t i c u l a r a p p r o a c h h a s been f a i r l y s t a n d a r d t h r o u g h o u t t h e C a n a d i a n h e a l t h c a r e s y s t e m . U n i q u e t o t h i s c a s e was t h e f a c t t h a t t h e g o v e r n m e n t was r e s p o n s i b l e f o r c r e a t i n g an a l t e r n a t i v e b a r g a i n i n g a r r a n g e m e n t t o HLRA f o r l o n g t e r m c a r e e m p l o y e r s . The g o v e r n m e n t o f f e r e d t o make a v a i l a b l e t h e s e r v i c e s o f GERB t o t h e L o n g Term C a r e A s s o c i a t i o n . A l t h o u g h t h e g o v e r n m e n t r e p r e s e n t a t i v e s who s u g g e s t e d t h i s a l t e r n a t i v e p r o b a b l y d i d n o t a n t i c i p a t e t h e d e m i s e o f GERB a n d t h e c r e a t i o n of CCERA, t h i s h a s been t h e u l t i m a t e r e s u l t o f t h e i n i t i a l g o v e r n m e n t p o l i c y . The g o v e r n m e n t h a s t h e r e f o r e p l a y e d a s i g n i f i c a n t r o l e i n p r e v e n t i n g t h e HEU f r o m a c h i e v i n g one s e t o f n e g o t i a t i o n s c o v e r i n g t h e e n t i r e h e a l t h c a r e i n d u s t r y . What h a s a c t u a l l y o c c u r r e d i n l o n g t e r m c a r e , h o w e v e r , i s t h a t i n many c a s e s b a r g a i n i n g o u t c o m e s h a v e n o t been d e c i d e d by t h e r e p r e s e n t a t i v e s o f t h e two p a r t i e s a t t h e n e g o t i a t i n g t a b l e . 104 I n s t e a d , c o l l e c t i v e a g r e e m e n t s have been s e t t l e d t h r o u g h i n t e r e s t a r b i t r a t i o n . A l t h o u g h t h e HEU was a b l e t o a c h i e v e some b r e a k t h r o u g h s d u r i n g n e g o t i a t i o n s w h i c h gave w o r k e r s wages c l o s e t o , i f n o t e q u a l t o M a s t e r A g r e e m e n t r a t e s , i t was t h r o u g h t h e numerous a r b i t r a t i o n s t h a t h a v e o c c u r r e d i n t h e i n d u s t r y t h a t M a s t e r A g r e e m e n t r a t e s have been e s t a b l i s h e d a s t h e a p p r o p r i a t e l e v e l o f r e m u n e r a t i o n . The i n d u s t r y c a n be s a i d t o be e x p e r i e n c i n g " p a t t e r n a r b i t r a t i o n " r a t h e r t h a n " p a t t e r n b a r g a i n i n g . " G r e a t e r c o n s o l i d a t i o n o f t h e b a r g a i n i n g s t r u c t u r e d o e s n o t a p p e a r t o have p r e v e n t e d t h i s o u t c o m e . I n f a c t , a w a r d s have become i n c r e a s i n g l y f a v o u r a b l e t o t h e U n i o n s i n c e t h e f i r s t a r b i t r a t i o n t o o k p l a c e i n 1975. The f o l l o w i n g c h a p t e r e x a m i n e s t h e f r e q u e n c y w i t h w h i c h i n t e r e s t a r b i t r a t i o n h a s been u s e d i n l o n g t e r m c a r e a n d t h e e x t e n t t o w h i c h t h e HEU h a s been s u c c e s s f u l i n a c h i e v i n g i t s g o a l o f p a r i t y w i t h i t s M a s t e r A g r e e m e n t t h r o u g h t h i s p r o c e s s . 1 05 FOOTNOTES 1. See Ocean C o n s t r u c t i o n S u p p l i e s N o r t h e r n L t d . ( K a m l o o p s ) a n d T r a n s p o r t L a b o u r R e l a t i o n s a n d T e a m s t e r s , L o c a l 213, No. 7/76, BCLRB. 2. The IUOE r e p r e s e n t e d s t e a m e n g i n e e r s i n h o s p i t a l s and l a t e r , w o r k e r s i n i n d u s t r i a l p o s i t i o n s a s w e l l . 3. T h i s i n f o r m a t i o n p r o v i d e d by an HEU s p o k e s p e r s o n . 4. I b i d . 5. T h i s i n f o r m a t i o n p r o v i d e d by a p r o v i n c i a l g o v e r n m e n t o f f i c i a l , S e p t . 1984. 6. I b i d . 1 06 CHAPTER 5 INTEREST ARBITRATION: THE HEU AND THE MASTER AGREEMENT I . INTRODUCTION I n t e r e s t a r b i t r a t i o n p r o v i d e s an a l t e r n a t i v e t o work s t o p p a g e s a s a means of r e s o l v i n g b a r g a i n i n g d i s p u t e s . I n s i t u a t i o n s where t h e p u b l i c i n t e r e s t i s deemed t o be i m p e r i l e d o r , a s i s o f t e n t h e c a s e i n t h e p u b l i c s e c t o r , where t h e g o v e r n m e n t i s t h e s o l e p r o v i d e r o f a s e r v i c e t h r e a t e n e d by a work s t o p p a g e , a r b i t r a t i o n may be s u b s t i t u t e d f o r a s t r i k e u n d e r e x i s t i n g l e g i s l a t i o n o r a d hoc l e g i s l a t i o n a d d r e s s i n g a s p e c i f i c d i s p u t e . S o m e t i m e s , h o w e v e r , i n e i t h e r t h e p u b l i c o r p r i v a t e s e c t o r s , a r b i t r a t i o n s may t a k e p l a c e v o l u n t a r i l y b e c a u s e b o t h p a r t i e s f e e l t h a t t h i s p r o c e d u r e i s t h e b e s t way t o s e t t l e t h e i r d i f f e r e n c e s . I n C a n a d a , most i n t e r e s t a r b i t r a t i o n s t a k e p l a c e i n t h e p u b l i c o r q u a s i - p u b l i c s e c t o r among p e a c e o f f i c e r s , f i r e f i g h t e r s , g o v e r n m e n t e m p l o y e e s , h e a l t h c a r e w o r k e r s and t e a c h e r s (Swan 1978, p . 3 4 3 ) . S i n c e , u n d e r S e c t i o n 73 o f t h e L a b o u r Code and l a t e r u n d e r t h e ESDA, t h e HEU h a s b e e n a b l e t o r e f e r i t e m s i n d i s p u t e t o a r b i t r a t i o n , t h e p r o c e s s h a s p r o v i d e d an a l t e r n a t i v e t o n e g o t i a t e d s e t t l e m e n t s f o r t h e HEU i n i t s a t t e m p t t o a c h i e v e M a s t e r A g r e e m e n t r a t e s a c r o s s t h e h e a l t h c a r e i n d u s t r y . When e m p l o y e r s have r e f u s e d d u r i n g n e g o t i a t i o n s t o 107 a g r e e t o t h e U n i o n ' s demands o f M a s t e r A g r e e m e n t wages and b e n e f i t s , t h e HEU h a s been a b l e t o i n v o k e a r b i t r a t i o n . As T a b l e I I I shows ,-• in.' • t h i r t y - t h r e e ; o f t h e t h i r t y - f i v e i n t e r e s t , a r b i t r a t i o n s t h a t h a v e t a k e n p l a c e i n B.C. t o d e t e r m i n e c o l l e c t i v e a g r e e m e n t s f o r l o n g t e r m c a r e s e r v i c e w o r k e r s , t h e u n i o n r e p r e s e n t i n g t h e s e e m p l o y e e s was t h e H o s p i t a l E m p l o y e e s ' U n i o n . The HEU h o l d s s e v e n t y - s e v e n c e r t i f i c a t i o n s i n l o n g t e r m c a r e , t w e n t y - t w o i n p r o p r i e t a r y f a c i l i t i e s a n d f i f t y -f i v e i n n o n - p r o f i t f a c i l i t i e s . W h i l e many p r o p r i e t a r y f a c i l i t i e s h a v e been c e r t i f i e d l o n g enough t h a t e m p l o y e r s a r e w o r k i n g u n d e r t h e i r t h i r d c o l l e c t i v e a g r e e m e n t s , e m p l o y e e s i n t h e m a j o r i t y o f H E U - c e r t i f i e d n o n - p r o f i t f a c i l i t i e s a r e w o r k i n g u n d e r o n l y t h e i r f i r s t o r s e c o n d c o l l e c t i v e a g r e e m e n t s , and a t l e a s t t w e l v e n o n - p r o f i t f a c i l i t i e s do n o t y e t h a v e a f i r s t c o n t r a c t . The HEU a r b i t r a t i o n s h a v e s e t t l e d s e c t i o n s o f e i g h t y -n i n e c o l l e c t i v e a g r e e m e n t s . I n a d d i t i o n , s e v e r a l o t h e r f a c i l i t i e s a g r e e d t o be bound by t h e s e a r b i t r a t i o n a w a r d s . I n a l l b u t two a w a r d s , c o v e r i n g one f a c i l i t y e a c h , t h e i s s u e s a r b i t r a t e d i n c l u d e d wages. C l e a r l y , i n t e r e s t a r b i t r a t i o n h a s been a s i g n i f i c a n t f a c t o r i n t h e d e t e r m i n a t i o n o f r a t e s o f pay i n HEU l o n g t e r m c a r e f a c i l i t i e s . T h e s e a r b i t r a t i o n s o c c u r r e d b e c a u s e o f a f u n d a m e n t a l d i s a g r e e m e n t b e t w e e n t h e U n i o n a n d t h e e m p l o y e r s : t h e HEU w a n t e d M a s t e r A g r e e m e n t wages t o be i n e f f e c t i n a l l f a c i l i t i e s f o r w h i c h i t h e l d c e r t i f i c a t i o n s , a n d most e m p l o y e r s were n o t p r e p a r e d t o a c c e d e t o t h i s demand. F o r p r o p r i e t a r y e m p l o y e r s , t h e c o s t s o f a s u b s t a n t i a l i n c r e a s e w o u l d h a v e t o be a b s o r b e d Table III. Interest arbitrations in long term care (as of September 1984). Date of Award Arb i t ra tor Type of Award Type of Faci1i ty Union Employer Associat ion Faci l i t y ( i e s ) F i r s t Sec. 73 ESDA Binding Tribunal Cons. Propri-etary Non-p ro f i t HtRA LTCA -GERB CA? Dec. 31/75 Weiler X X HEU Richmond PH Grandview PH Florence Nightingale PH Parkridge PH Yes II tl Sept. 14/76 Thompson X X CUPE Glen PH Yes Dec. 15/76 McCol 1 X X HEU Ladner PH Inglewood PH Cono take PH Altamont PH Kensington PH Yes n n H Apr i l /78 Herbert X X HEU X Cariboo todge Yes Sept.29/78 Bird . X X HEU Klwanis Sr. C i t i zens Home Ltd. No Table III. Interest arbitrations in long term care (as of September 1984) - cont'd. Date of Award Arb i t rator Type of Award Type of Fac i1 i t y Uni on Employer Assoc iat ion Fac i1 i t y ( i e s ) F i r s t Sec.73 ESDA Binding Tri bunal Cons. Propri-: etary Non-p ro f i t HLRA LTCA -GERB CA? June 12/79 Owen-Flood X X HEU Ladner PH Inglewood PH Altamont PH Como Lake PH Parkridge PH King George PH Florence Nightingale PH No II II ll it May/79 Larson X X HEU New Vis ta Yes Dec.21/79 Owen -F1 ood X X HEU X Noric House Yes Apr.15/80 Owen-Flood X X BCGEU X Dunrovin Park Society Yes March/80 Enderton X X X HEU Willowhaven PH No Apr. 9/80 Owen-Flood X X HEU X Klwanis Sr. C i t izens Home L td . No o CD Table III. Interest arbitrations in long term care (as of September 1984) - cont'd. Date of Award Arbitrator Type of Award Type of Fac i1 i ty Uni on Employer Associat ion F a c i l i t y ( i e s ) F i r s t Sec.73 ESDA Binding Tribunal Cons. Propri-etary Non-Prof i t HLRA LTCA -GERB CA? Apr. 30/80 Larson X X HEU Shaughnessy Manor Rose Manor Yes II June 4/80 Larson X X HEU Chi 11iwack Int. Care Society Yes Dec. 17/80 Owen-Flood X X HEU X Noric House No Feb. 23/81 Larson X X HEU Mt. Paul PH Yes Apr. 2/81 Getz X X HEU Edith Cavell PH No Apr. 13/81 Maclntyre X X X HEU Normandy PH Kensington PH Willingdon PH No n May 13/81 McCol1 X X HEU X Luther Court Society Yes June 5/81 Vickers X X HEU Raspberry Lodge L td . Yes Table III. Interest arbitrations in long term care (as of September 1984) - cont'd. Date of Awa rd Arb i t rator Type of Award Type of Fac i1 i ty Union Employer Associat ion Fac i1 i t y ( i e s ) F i r s t Sec.73 ESDA Binding Tri bunal Cons. Propri-etary Non-pro f i t HLRA LTCA -GERB CA? June 19/81 Thompson X X HEU Wi 1lowhavgen PH No July 2/81 Getz X X HEU Altamont PH No Aug. 12/81 Vickers X X HEU Parkridge PH Florence Nightingale PH Ladner PH No Sept. 4/81 Bird X X HEU Como Lake PH No Mar. 14/83 Getz X X HEU Altamont PH Ladner PH Parkridge PH Como Lake PH No H It n Mar. 28/83 Chert kow X X HEU Malaspina Lodge Yes Ju ly 29/83 Vickers X X HEU X Nor1c House No Aug. 4/83 Ladner X X HEU X Haro Park Centre Yes Table III. Interest arbitrations in long term care (as of September 1984) - cont'd. Date of Award Arb i t ra tor Type of Award Type of Fac i1 i ty Union Employer Assoc iat ion F a c i l i t y ( i e s ) F i r s t Sec.73 ESOA Binding Tri bunal Cons. Propri-etary Non-p r o f i t HLRA LTCA -GERB CA? Aug. 12/83 Larson X X HEU X Cowichan Int. Care Soc. Yes Sept. /83 Morri son X X HEU X Kopernik Lodge Kiwanis Res. Kiwanis Vi1lage Care Home Yes II Sept. /83 Cherktow X X HEU X Rotary Harbour Society Yes May /83 Hope X X HEU Willowhaven PH No Dec. 15/83 Munroe X X HEU X Coqui l la Community Care Soci ety Henry M. Durand Special Care Society F innish Canadian Rest Home F i r Park V i l l a ge Omenica Lodge Retirement Home Society No ( a l l part ies to the f i r s t "M in i -Master" Agreement Table III. Interest arbitrations in long term care (as of September 1984) - cont'd. Date of Award Arb i t rator Type of Award Type of Fac i1 i t y Uni on Employer Assoc iat ion F a c i l i t y ( i e s ) F i r s t CA? Sec.73 ESDA Binding Tribunal Cons. Propri-etary Non-pro f i t HLRA LTCA -GERB May 17/84 (Over-turned in B.C. Supreme Court Oct/84) McTaggart X X HEU X Glac ier View Lodge Halycon Community Home Society Moberly Park Manor Socie. Ridgewood Lodge Rose Manor Swan Val ley Lodge Yucalta Lodge Society Parkholm Lodge Mountain View Lodge Greenwoods Luther Court Society Sunset Loge Nanaimo Trave l lers Lodge Kinsmen Retirement Centre M.S.A. manor Grandvlew Towers II Richmond Lions Manor Kiro Manor Sunnybank Retirement Home Kimberley Special Care Ho Dr. F.W. Green Memorial H No II II « « H N It tie " ome 114 w i t h i n t h e i r e x i s t i n g b u d g e t s . T h i s w o u l d mean t h a t l e s s money w o u l d be a v a i l a b l e f o r o t h e r o p e r a t i n g e x p e n s e s . F o r n o n - p r o f i t f a c i l i t i e s , t h e r e was no g u a r a n t e e f r o m t h e g o v e r n m e n t t h a t a l a r g e i n c r e a s e w o u l d be c o v e r e d by a c o r r e s p o n d i n g r i s e i n t h e i r r e i m b u r s e m e n t r a t e s . Even i f a r a t e i n c r e a s e had been g u a r a n t e e d , t h e f a c i l i t y w o u l d s t i l l r i s k t h e p o s s i b i l i t y of b e i n g l a b e l l e d i r r e s p o n s i b l e i n f i s c a l m a t t e r s , w h i c h c o u l d make f u t u r e b u d g e t n e g o t i a t i o n s w i t h t h e M i n i s t r y o f H e a l t h more d i f f i c u l t . T h e r e was, t h e r e f o r e , a f u n d a m e n t a l c o n f l i c t o f i n t e r e s t b e t w e e n U n i o n a nd e m p l o y e r s i n t h i s i n d u s t r y a n d t h e HEU had no h e s i t a t i o n i n i n v o k i n g i t s r i g h t t o use a r b i t r a t i o n u n d e r e s s e n t i a l s e r v i c e s l e g i s l a t i o n i f e m p l o y e r s r e f u s e d t o a g r e e t o t h e p r o c e d u r e . F o r t h e m a j o r i t y o f HEU a r b i t r a t i o n s , t h e U n i o n was i n a l e g a l p o s i t i o n t o impose t h e p r o c e s s on t h e e m p l o y e r . However, i n o n l y s i x t e e n a r b i t r a t i o n s o u t o f t h i r t y - t h r e e d i d t h e HEU e x e r c i s e t h i s o p t i o n . I n most o f t h e r e m a i n i n g c a s e s t h e e m p l o y e r a g r e e d t o a r b i t r a t i o n b e f o r e i t c o u l d be i m p o s e d . The v a r y i n g r e p o n s e s o f e m p l o y e r s t o t h e p o s s i b i l i t y o f i n t e r e s t a r b i t r a t i o n r e s u l t e d f r o m d i f f e r e n c e s i n t h e i r p e r c e p t i o n s o f t h e a p p r o p r i a t e n e s s o f t h i s p r o c e d u r e t o t h e i r s i t u a t i o n , o r t h e r e l a t i o n s h i p b e t w e e n t h e e m p l o y e r ( s ) a n d t h e U n i o n . T h e s e e x p l a n a t i o n s w i l l be e x p l o r e d f u r t h e r i n t h i s c h a p t e r . From t h e d e g r e e o f i n f l e x i b i l i t y d e m o n s t r a t e d a t t h e b a r g a i n i n g t a b l e on t h e i s s u e o f M a s t e r A g r e e m e n t r a t e s a n d t h e HEU's w i l l i n g n e s s t o use a r b i t r a t i o n , i t was e v i d e n t t h a t U n i o n r e p r e s e n t a t i v e s were l o o k i n g f o r a more f a v o u r a b l e outcome f r o m 1 1 5 a r b i t r a t i o n b o a r d s t h a n t h e y c o u l d hope f o r i n a n e g o t i a t e d s e t t l e m e n t . The s e c o n d p a r t o f t h i s c h a p t e r i s an a n a l y s i s of t h e a c t u a l a r b i t r a t i o n a w a r d s i n o r d e r t o d e t e r m i n e t o what e x t e n t t h e HEU has been s u c c e s s f u l i n a c h i e v i n g i t s g o a l o f wage p a r i t y w i t h t h e M a s t e r A g r e e m e n t f o r a l l i t s l o n g t e r m c a r e members. I I . INTEREST ARBITRATION: THE EMPLOYER DECISION A. I n t e r e s t A r b i t r a t i o n A l t e r n a t i v e s I n L o n g Term C a r e I n t e r e s t a r b i t r a t i o n c a n t a k e p l a c e v o l u n t a r i l y o r i t c a n be i n v o k e d t h r o u g h l e g i s l a t i o n o r c l a u s e s i n e x i s t i n g c o l l e c t i v e a g r e e m e n t s . I n B.C. l o n g t e r m c a r e , a r b i t r a t i o n c a n o c c u r u n d e r any one o f t h e s e a l t e r n a t i v e s . , B e f o r e '1977 t h e r e were two l e g i s l a t i v e o p t i o n s u n d e r w h i c h a r b i t r a t i o n c o u l d t a k e p l a c e . S e c t i o n 70, w h i c h p e r m i t s t h e i m p o s i t i o n o f a f i r s t c o l l e c t i v e a g r e e m e n t by t h e L a b o u r R e l a t i o n s B o a r d , h a s n e v e r been u s e d i n t h e l o n g t e r m c a r e i n d u s t r y a n d l i k e l y n e v e r w i l l be. As o u t l i n e d i n C h a p t e r 3, t h e r e a r e s e v e r a l p r e - c o n d i t i o n s t h a t must be s a t i s f i e d i n o r d e r f o r t h i s s e c t i o n t o be i n v o k e d w h i c h a r e n o t r e q u i r e d f o r t h e use o f S e c t i o n 73. S e c t i o n 73 gave u n i o n s i n e s s e n t i a l s e r v i c e s t h e r i g h t t o c h o o s e , i n t h e e v e n t o f an i m p a s s e i n n e g o t i a t i o n s , w h e t h e r t o s t r i k e o r t o t a k e t h e i s s u e ( s ) i n d i s p u t e t o a r b i t r a t i o n . I n l o n g t e r m c a r e t h r e e a r b i t r a t i o n s t o o k p l a c e u n d e r S e c t i o n 73 b e f o r e i t s s u b s e c t i o n s on i n t e r e s t a r b i t r a t i o n were r e p l a c e d by t h e E s s e n t i a l S e r v i c e s  D i s p u t e s A c t , P a r t I I , i n 1977. I n t e r e s t a r b i t r a t i o n a s s e t o u t i n t h e ESDA d i f f e r s i n one 1 1 6 s i g n i f i c a n t r e s p e c t f r o m t h e p r o c e s s as i t i s S e c t i o n 73. S e c t i o n 7 ( 1 ) of t h e ESDA r e q u i r e s a r b i t r a t o r o r a r b i t r a t i o n ; b o a r d t o c o n s i d e r s p e c i f i c t h e d e t e r m i n a t i o n o f an a w a r d : 7 ( 1 ) I n an a r b i t r a t i o n u n d e r t h i s A c t , t h e s i n g l e a r b i t r a t o r o r t h e a r b i t r a t i o n b o a r d s h a l l h a v e r e g a r d t o (a) t h e i n t e r e s t s o f t h e p u b l i c (b) t h e t e r m s and c o n d i t i o n s o f employment i n s i m i l a r o c c u p a t i o n s o u t s i d e t h e e m p l o y e r ' s e m p l o y m e n t , i n c l u d i n g s u c h g e o g r a p h i c , i n d u s t r i a l , o r o t h e r v a r i a t i o n s a s t h e s i n g l e a r b i t r a t o r o r a r b i t r a t i o n b o a r d c o n s i d e r s r e l e v a n t ( c ) t h e need t o m a i n t a i n a p p r o p r i a t e r e l a t i o n s h i p s i n t h e t e r m s a nd c o n d i t i o n s o f empl o y m e n t a s b e t w e e n d i f f e r e n t c l a s s i f i c a t i o n l e v e l s w i t h i n an o c c u p a t i o n and a s b e t w e e n o c c u p a t i o n s i n t h e e m p l o y e r ' s e m p l o y m e n t (d) t h e need t o e s t a b l i s h t e r m s a n d c o n d i t i o n s o f employment t h a t a r e f a i r a n d r e a s o n a b l e i n r e l a t i o n t o t h e q u a l i f i c a t i o n s r e q u i r e d , t h e work p e r f o r m e d , t h e r e s p o n s i b i l i t y a ssumed a n d t h e n a t u r e o f t h e s e r v i c e s r e n d e r e d , a n d (e) a n y o t h e r f a c t o r t h a t t h e s i n g l e a r b i t r a t o r o r t h e a r b i t r a t i o n b o a r d c o n s i d e r s r e l e v a n t t o t h e m a t t e r s i n d i s p u t e . The ESDA c r i t e r i a a c t u a l l y p r o v i d e l i t t l e g u i d a n c e t o a r b i t r a t o r s . T h e y a r e n o t t o l d how t h e c r i t e r i a s h o u l d be a p p l i e d , n o r i s t h e r e l a t i v e s i g n i f i c a n c e o f t h e c r i t e r i a s p e l l e d o u t . I n a d d i t i o n , s e c t i o n 7(1 H e ) a l l o w s t h e a r b i t r a t o r t o t a k e i n t o c o n s i d e r a t i o n any number o f o t h e r c r i t e r i a deemed r e l e v a n t ( W e i l e r 1981, p . 1 1 3 ) . S i n c e t h e c r i t e r i a a r e so b r o a d , d e t a i l e d i n t h e s i n g l e c r i t e r i a i n 117 a r b i t r a t o r s have a c t u a l l y been q u i t e f r e e t o d e t e r m i n e f o r themselves t h e i r r o l e under the A c t . The r e s u l t has been t h a t they have made l i t t l e e x p l i c i t r e f e r e n c e t o s t a t u t o r y c r i t e r i a i n making t h e i r awards. The arguments p r e s e n t e d by the Union and the e m p l o y e r ( s ) d i d not v a r y g r e a t l y from one a r b i t r a t i o n t o the n e x t . The Union would argue t h a t the f u n c t i o n s performed by l o n g term c a r e s e r v i c e workers were comparable t o those performed by workers i n the g e n e r a l h o s p i t a l s of the p r o v i n c e , the group a l r e a d y c o v e r e d by the HEU Master Agreement. S i n c e a l l h e a l t h c a r e f a c i l i t i e s were funded by the p r o v i n c i a l government t h e r e s h o u l d be no d i f f e r e n c e i n pay between the two groups, a c c o r d i n g t o the Union. Employers would respond t h a t , g i v e n the r a t e s a t which they were funded, they c o u l d not a f f o r d t o pay the i n c r e a s e s demanded by the Union. In e s s e n c e , t h e s e arguments p r e s e n t e d a r b i t r a t o r s w i t h a d i r e c t c o n f l i c t between two fundamental wage c r i t e r i a : c o m p a r a b i l i t y w i t h the wages of o t h e r w o r k e r s , and the employers' a b i l i t y t o pay wage i n c r e a s e s . As w i l l be shown, the response of a r b i t r a t o r s t o these arguments has changed over the p a s t n i n e y e a r s . Perhaps the o n l y d i f f e r e n c e between the a r b i t r a t i o n s t h a t took p l a c e under the ESDA and the o t h e r l o n g term c a r e a r b i t r a t i o n s (except f o r the t h r e e S e c t i o n 73 a r b i t r a t i o n s ) i s t h a t the q u e s t i o n of the a b i l i t y t o pay of the f a c i l i t y may have been g i v e n more weight i n the former c a s e . In s e v e r a l h e a r i n g s , employers s t a t e d t h a t t h e i r f a c i l i t i e s would c l o s e due t o i n s u f f i c i e n t o p e r a t i n g funds i f l a r g e i n c r e a s e s were awarded. 118 When t h e s e were S e c t i o n 73 o r ESDA a r b i t r a t i o n s , a r b i t r a t o r s g e n e r a l l y s t a t e d t h a t t h e y were o b l i g e d t o t a k e t h i s f a c t o r i n t o c o n s i d e r a t i o n i n o r d e r t o p r e v e n t an e s s e n t i a l o p e r a t i o n f r o m c l o s i n g down. The HEU w o u l d have p r e f e r r e d t h a t t h e i n c r e a s e s i n pay be a w a r d e d t o f o r c e a c o n f r o n t a t i o n w i t h t h e g o v e r n m e n t . I f t h e M i n i s t r y o f H e a l t h d i d n o t i n c r e a s e f u n d i n g t o t h e f a c i l i t i e s t o c o v e r t h e d e f i c i t , t h e n a t l e a s t t h e g o v e r n m e n t ' s p o s i t i o n w o u l d be c l e a r a n d t h e a b i l i t y o f a f a c i l i t y t o pay an i n c r e a s e w o u l d h a v e t o be t a k e n i n t o c o n s i d e r a t i o n i n t h e d e t e r m i n a t i o n o f f u t u r e c o l l e c t i v e a g r e e m e n t s . I f t h e p e r d i e m r a t e s were r a i s e d t o c o v e r t h e a w a r d , t h e n a r b i t r a t o r s i n t h e f u t u r e w o u l d no l o n g e r need t o t a k e " a b i l i t y t o p a y " i n t o c o n s i d e r a t i o n . H owever, i n e s s e n t i a l s e r v i c e a r b i t r a t i o n s , a r b i t r a t o r s were n o t w i l l i n g t o r i s k t h e p o s s i b i l i t y t h a t t h e f a c i l i t y m i g h t c e a s e o p e r a t i o n s . P o s s i b l y f o r t h i s r e a s o n t h e HEU w a n t e d t h e b i n d i n g t r i b u n a l c l a u s e i n t h e M a s t e r A g r e e m e n t . T h i s c l a u s e i s f o u n d n o t o n l y i n t h e HEU-HLRA M a s t e r A g r e e m e n t b u t i n many HEU l o n g t e r m c a r e a g r e e m e n t s a s w e l l . L i k e t h e ESDA, t h e b i n d i n g t r i b u n a l c l a u s e g i v e s t h e HEU t h e u n i l a t e r a l r i g h t t o impose a r b i t r a t i o n . I t d o e s n o t , h o w e v e r , make r e f e r e n c e t o " e s s e n t i a l s e r v i c e s " n o r t o any c r i t e r i a t h a t must be a p p l i e d i n t h e d e t e r m i n a t i o n o f an a w a r d . The c l a u s e h a s n o t been u s e d w i t h any f r e q u e n c y i n l o n g t e r m c a r e b e c a u s e , u n t i l r e c e n t l y , t h e r e were few b a r g a i n i n g u n i t s i n w h i c h t h e HEU was a b l e t o i n v o k e t h e c l a u s e . A r b i t r a t i o n s were e i t h e r t a k i n g p l a c e t o e s t a b l i s h 119 f i r s t c o l l e c t i v e a g r e e m e n t s o r t h e c o l l e c t i v e a g r e e m e n t s b e t w e e n t h e p a r t i e s t o an a r b i t r a t i o n d i d n o t i n c l u d e t h e c l a u s e . T h u s , u n t i l 1977, a r b i t r a t i o n s i n l o n g t e r m c a r e o c c u r r e d on a c o n s e n s u a l b a s i s o r t o o k p l a c e u n d e r S e c t i o n 73. From 1977 o n , t h e y have e i t h e r been c o n s e n s u a l , have t a k e n p l a c e u n d e r t h e ESDA o r , more r e c e n t l y , u n d e r t h e b i n d i n g t r i b u n a l c l a u s e . The n e x t s e c t i o n d o c u m e n t s t h e f r e q u e n c y w i t h w h i c h e a c h a r b i t r a t i o n a l t e r n a t i v e was u s e d and a t t e m p t s t o i d e n t i f y t h e s p e c i f i c c i r c u m s t a n c e s w h i c h a c c o u n t f o r t h e use of one a l t e r n a t i v e o v e r a n o t h e r . B. How I n t e r e s t A r b i t r a t i o n O c c u r r e d I n Long Term C a r e T a b l e I V shows t h a t o f t h e t h i r t y - t h r e e HEU a r b i t r a t i o n s i n w h i c h a w a r d s h a v e been i s s u e d t o d a t e , s i x t e e n have i n v o l v e d p r o p r i e t a r y f a c i l i t i e s a n d s e v e n t e e n n o n - p r o f i t f a c i l i t i e s . Of t h e a r b i t r a t i o n s i n p r o p r i e t a r y f a c i l i t i e s , s i x t o o k p l a c e on a c o n s e n s u a l b a s i s , n i n e were i m p o s e d t h r o u g h t h e use of e s s e n t i a l s e r v i c e s l e g i s l a t i o n , a nd o n c e t h e HEU i n v o k e d t h e b i n d i n g t r i b u n a l c l a u s e . I n n o n - p r o f i t f a c i l i t i e s , t w e l v e a r b i t r a t i o n s were c o n s e n s u a l , f o u r t o o k p l a c e u n d e r t h e ESDA, and one u n d e r t h e b i n d i n g t r i b u n a l c l a u s e . W h i l e o n l y t h i r t y - e i g h t p e r c e n t of a r b i t r a t i o n s i n p r o p r i e t a r y f a c i l i t i e s were c o n s e n s u a l , s e v e n t y -one p e r c e n t o f n o n - p r o f i t a r b i t r a t i o n s t o o k p l a c e on t h i s b a s i s . The two n o n - p r o f i t e m p l o y e r s ' a s s o c i a t i o n s , t h e H e a l t h L a b o u r R e l a t i o n s A s s o c i a t i o n and t h e C o n t i n u i n g C a r e E m p l o y e e R e l a t i o n s A s s o c i a t i o n ( f o r m e r l y t h e L o n g Term C a r e A s s o c i a t i o n ) , r e p r e s e n t e d e m p l o y e r s i n s e v e n a r b i t r a t i o n s e a c h . However, as i n d i c a t e d i n T a b l e V, t h e r e i s a s i g n i f i c a n t d i f f e r e n c e b e t w e e n 120 Table IV. Terms under which arbitrations occurred by type of facility. TYPES OF FACILITIES TERMS Consensual Essential services legislation Binding tribunal clause Proprietary # % 6 37.5 9 56.3 1 6.3 100 Non-profit # % 12 70.6 4 23.5 1 5.9 17 100 Total arbitrations # % 18 54.6 13 39.4 2 6.1 33 100 Total 16 121 Table V. Terms under which arbitrations occurred by employer association. L T C A - C C E R A HLRA TERMS Consensual 2 5 ESDA 4 2 Binding tribunal 1 clause Total 7 7 122 t h e s e o r g a n i z a t i o n s i n t h e r a t i o o f c o n s e n s u a l t o i m p o s e d a r b i t r a t i o n s . Of t h e s e v e n a r b i t r a t i o n s i n n o n - p r o f i t f a c i l i t i e s r e p r e s e n t e d by t h e LTCA-CCERA, o n l y two have been c o n s e n s u a l . I n t h e c a s e o f HLRA, t h e e x a c t o p p o s i t e i s t r u e . T h e r e have been s e v e n a r b i t r a t i o n s , and f i v e h a v e t a k e n p l a c e on a c o n s e n s u a l b a s i s . The m a j o r i t y of c o n s e n s u a l a r b i t r a t i o n s i n t h e i n d u s t r y t o o k p l a c e u n d e r t h e t h r e a t t h a t t h e p r o c e d u r e p r o b a b l y w o u l d be i m p o s e d by t h e HEU i f t h e e m p l o y e r d i d n o t a g r e e t o i t s u s e . T h e r e f o r e , i t must be e x p l a i n e d why e m p l o y e r s a g r e e d t o t h e p r o c e d u r e when an i m p a s s e was r e a c h e d i n n e g o t i a t i o n s r a t h e r t h a n w a i t f o r t h e U n i o n t o a s s e r t u n i l a t e r a l l y i t s r i g h t t o a r b i t r a t e . F o r many e m p l o y e r s , a r b i t r a t i o n h a d one p a r t i c u l a r a d v a n t a g e t h a t may have made them more w i l l i n g t o c o n s i d e r t h i s o p t i o n b e f o r e i t was i m p o s e d . A r b i t r a t i o n meant t h a t a r e p u t a b l e t h i r d p a r t y w o u l d d e t e r m i n e t h e i r wage and b e n e f i t b i l l . N o n - p r o f i t o p e r a t o r s , f i n a n c i a l l y a c c o u n t a b l e t o t h e g o v e r n m e n t , c o u l d c l a i m t h a t t h e r e s p o n s i b i l i t y f o r i n c r e a s e d l a b o u r c o s t s was t h e a r b i t r a t o r ' s a n d n o t t h e i r s . 1 F o r p r o p r i e t a r y o p e r a t o r s , u n a b l e o r u n w i l l i n g u n d e r e x i s t i n g r e i m b u r s e m e n t r a t e s t o a g r e e d u r i n g n e g o t i a t i o n s t o t h e i n c r e a s e s demanded by t h e U n i o n , a r b i t r a t i o n was an o p p o r t u n i t y t o f o r c e t h e g o v e r n m e n t ' s h a n d . I f a r b i t r a t o r s a g r e e d w i t h t h e U n i o n and a w a r d e d l a r g e i n c r e a s e s , t h e n t h e M i n i s t r y o f H e a l t h m i g h t r e s p o n d by r a i s i n g t h e g e n e r a l p e r d i e m r a t e s . I n most o f t h e n e g o t i a t i o n s i n t h i s i n d u s t r y t o d a t e , t h e o n l y o p t i o n open t o t h e U n i o n u n d e r w h i c h t o i mpose an 1 23 a r b i t r a t i o n was t h e ESDA. S e c t i o n 73 was o n l y i n e f f e c t u n t i l 1977, a n d t h e b i n d i n g t r i b u n a l c l a u s e c o u l d o n l y be i n v o k e d i f i t was i n c l u d e d i n t h e p r e v i o u s c o l l e c t i v e a g r e e m e n t b e t w e e n t h e pa r t i e s . U n t i l s e v e r a l ESDA a r b i t r a t i o n s h a d o c c u r r e d , n e i t h e r p a r t y knew how a r b i t r a t o r s w o u l d i n t e r p r e t t h e i r r o l e u n d e r t h i s p i e c e of l e g i s l a t i o n . G i v e n t h e s e c i r c u m s t a n c e s , b o t h t h e HEU and e m p l o y e r s m i g h t h a v e t h o u g h t i t a d v a n t a g e o u s t o h o l d a r b i t r a t i o n h e a r i n g s w i t h o u t r e f e r e n c e t o t h e s t a t u t o r y c r i t e r i a . S e v e r a l o f t h e ESDA c r i t e r i a , i f a p p l i e d by an a r b i t r a t o r , c o u l d be d e t r i m e n t a l t o one s i d e o r t h e o t h e r . F o r e x a m p l e , S e c t i o n 7 ( l ) ( d ) , e x p r e s s i n g t h e c o n c e p t o f " f a i r a n d r e a s o n a b l e " t e r m s and c o n d i t i o n s o f employment h a d been u s e d w i t h some s u c c e s s by t h e HEU t o e s t a b l i s h t h a t M a s t e r A g r e e m e n t r a t e s were a p p r o p r i a t e f o r l o n g t e r m c a r e f a c i l i t i e s . On t h e o t h e r h a n d , s e v e r a l a r b i t r a t o r s h a d r e f e r r e d t o S e c t i o n 7 ( 1 ) ( a ) , " t h e i n t e r e s t s o f t h e p u b l i c , " t o e x p l a i n why M a s t e r A g r e e m e n t r a t e s c o u l d n o t be i m p o s e d i n a f a c i l i t y e v e n t h o u g h , f o r o t h e r r e a s o n s , t h e e m p l o y e e s were e n t i t l e d t o them. I n a d d i t i o n , w i t h o u t k n o w i n g how a r b i t r a t o r s w o u l d r e s p o n d t o t h e c r i t e r i a , i t was l i k e l y more d i f f i c u l t f o r b o t h s i d e s t o p r e p a r e t h e i r a r g u m e n t s f o r h e a r i n g s u n d e r t h e ESDA. Where no s t a t u t o r y c r i t e r i a e x i s t e d a t a l l , b o t h u n i o n a n d e m p l o y e r ( s ) c o u l d c o n c e n t r a t e on p r e p a r i n g t h e a r g u m e n t s t h e y t h o u g h t w o u l d be most p e r s u a s i v e . T h u s , t h e d e s i r e t o a v o i d an a r b i t r a t i o n u n d e r t h e ESDA may have m o t i v a t e d some e m p l o y e r s t o a g r e e t o a c o n s e n s u a l a r b i t r a t i o n . 124 The d i f f e r e n c e i n t h e r a t i o o f c o n s e n s u a l t o i m p o s e d i n t e r e s t a r b i t r a t i o n s b e t w e e n t h e LTCA-CCERA and HLRA r e f l e c t s p a r t i c u l a r c h a r a c t e r i s t i c s o f t h e s e o r g a n i z a t i o n s and t h e f a c t t h a t t h e a r b i t r a t i o n s i n w h i c h t h e y were i n v o l v e d o c c u r r e d a t d i f f e r e n t t i m e s . M o st HLRA a r b i t r a t i o n s o c c u r r e d b e f o r e t h e LTCA d e v e l o p e d i t s l a b o u r r e l a t i o n s f u n c t i o n . The LTCA-CCERA i s a r e l a t i v e l y s m a l l l a b o u r r e l a t i o n s o p e r a t i o n c o m p a r e d t o HLRA. As a r e s u l t , i n most s e t s o f n e g o t i a t i o n s between t h i s o r g a n i z a t i o n a n d t h e HEU, t h e same i n d i v i d u a l s h a v e been r e p r e s e n t i n g t h e e m p l o y e r s ' p o s i t i o n . T h i s i s a l s o t h e c a s e f o r t h e HEU a s t h e r e a r e a s m a l l number o f s t a f f s p e c i a l i z e d i n t h e r e p r e s e n t a t i o n o f t h e U n i o n ' s l o n g t e r m c a r e m e m b e r s h i p . I n e a c h s e t o f n e g o t i a t i o n s b e t w e e n t h e s e p a r t i e s t h e same r e s i s t a n c e p o i n t s have been e n c o u n t e r e d . The HEU r e p r e s e n t a t i v e s have been a f t e r t h e l a n g u a g e and r a t e s o f r e m u n e r a t i o n f o u n d i n t h e M a s t e r A g r e e m e n t . The e m p l o y e r s ' r e p r e s e n t a t i v e s , who a d h e r e t o t h e p r i n c i p l e t h a t l o n g t e r m c a r e i s q u a l i t a t i v e l y d i f f e r e n t f r o m a c u t e and e x t e n d e d c a r e , h a v e been w i l l i n g t o s e t t l e o n l y a t t h e " M i n i " l e v e l s f o r wages a n d b e n e f i t s . T h e r e a r e s e v e r a l o t h e r c l a u s e s f o u n d i n t h e M a s t e r A g r e e m e n t t o w h i c h t h e e m p l o y e r s a l s o w i l l n o t a g r e e , an e x a m p l e b e i n g t h e d i s p u t e o v e r t i m e l i m i t s on t h e g r i e v a n c e p r o c e d u r e . A t t h i s p o i n t i t i s d i f f i c u l t t o d e t e r m i n e w h i c h i s c a u s e a nd w h i c h e f f e c t , b u t t h e s i t u a t i o n i s s u c h t h a t p e r s o n a l a n i m o s i t i e s a n d d i s t r u s t e x i s t b e t w e e n t h e p a r t i e s and t h e r e h a s been l i t t l e w i l l i n g n e s s on e i t h e r s i d e t o c o m p r o m i s e on t h e 125 o u t s t a n d i n g i s s u e s . T h i s a c r i m o n y i s e v i d e n t i n t h e f a c t t h a t t h e r e p r e s e n t a t i v e s of t h e s e two o r g a n i z a t i o n s have n e v e r s u c c e s s f u l l y n e g o t i a t e d a c o l l e c t i v e a g r e e m e n t . I n o r d e r t o a g r e e t o a c o n s e n s u a l a r b i t r a t i o n i t i s n e c e s s a r y t h a t a c e r t a i n l e v e l o f c o m m u n i c a t i o n e x i s t b e t w e e n two p a r t i e s . I t i s s a f e t o s a y t h a t s u c h a l e v e l o f t r u s t i s n o t p r e s e n t between t h e HEU and CCERA. I n e v e r y a r b i t r a t i o n t o w h i c h t h e LTCA-CCERA has been a p a r t y , t h e a r b i t r a t o r has a w a r d e d c l a u s e s s i m i l a r , i f n o t i d e n t i c a l t o t h o s e f o u n d i n t h e M a s t e r A g r e e m e n t . S i n c e o p p o s i t i o n t o i m p o s i t i o n o f t h e a c u t e c a r e c o n t r a c t i n n o n -p r o f i t f a c i l i t i e s h i s t o r i c a l l y was one of t h e m a i n r e a s o n s f o r t h e e x i s t e n c e o f t h e L o n g Term C a r e A s s o c i a t i o n , t h e A s s o c i a t i o n ' s r e p r e s e n t a t i v e s a r e v e r y much o p p o s e d t o t h e use o f t h i s p r o c e d u r e t o s e t t l e c o l l e c t i v e a g r e e m e n t s . I t i s l i k e l y , t h e r e f o r e , t h a t t h e y w o u l d p r e f e r n o t t o be a s s o c i a t e d w i t h t h e p r o c e s s i n any way e x c e p t u n d e r l e g a l c o m p u l s i o n . I n f a c t , t h e o n l y two c o n s e n s u a l a w a r d s i n w h i c h t h e y were i n v o l v e d were a l s o t h e i r f i r s t two a r b i t r a t i o n s a n d c o n c e r n e d o n l y n o n -m o n e t a r y i s s u e s . The f a c t t h a t f i v e o u t o f t h e s e v e n HLRA a r b i t r a t i o n s h a v e t a k e n p l a c e on a c o n s e n s u a l b a s i s r e f l e c t s a d i f f e r e n c e i n a t t i t u d e t o w a r d s t h e a r b i t r a t i o n p r o c e s s b e t w e e n t h e two e m p l o y e r s ' a s s o c i a t i o n s . T h i s d i f f e r e n c e becomes e s p e c i a l l y a p p a r e n t i f one e x a m i n e s t h e c i r c u m s t a n c e s u n d e r w h i c h t h e c o n s e n s u a l a w a r d s o c c u r r e d . Of t h e f i v e a w a r d s , o n l y two t o o k p l a c e i n f a c i l i t i e s where t h e ESDA c o u l d a p p l y ( N o r i c a n d 126 Y u c a l t a ) a n d one, t h e r e n e w a l o f t h e " M i n i - M a s t e r , " i n w h i c h some f a c i l i t i e s were c o v e r e d by t h e ESDA and some were n o t . I n t h e o t h e r two c a s e s , HLRA a g r e e d t o a r b i t r a t i o n s t h a t w o u l d i n c l u d e t h e r e s o l u t i o n o f m o n e t a r y i t e m s on a c o m p l e t e l y v o l u n t a r y b a s i s . T h a t i s , i f e m p l o y e r r e p r e s e n t a t i v e s had n o t a g r e e d t o a r b i t r a t i o n , t h e u n i o n was n o t i n a l e g a l p o s i t i o n t o impose t h e p r o c e d u r e . T h i s d i f f e r e n c e i n a t t i t u d e b e t w e e n t h e two a s s o c i a t i o n s may a l s o be a c c o u n t e d f o r by t h e t i m e p e r i o d s i n w h i c h e a c h o r g a n i z a t i o n ' s a r b i t r a t i o n s t o o k p l a c e . Of t h e f i r s t n i n e a r b i t r a t i o n s i n n o n - p r o f i t f a c i l i t i e s , HLRA was i n v o l v e d i n f i v e a n d t h e r e a f t e r n e g o t i a t e d t h e " M i n i . " The f i r s t a r b i t r a t i o n b e t w e e n t h e LTCA-CCERA a n d t h e HEU was t h e t e n t h t o t a k e p l a c e i n t h e n o n - p r o f i t s e c t o r o f t h e i n d u s t r y . Soon a f t e r t h e new o r g a n i z a t i o n became i n v o l v e d , a r b i t r a t o r s i n l o n g t e r m c a r e b egan t o a w a r d M a s t e r A g r e e m e n t r a t e s on a r e g u l a r b a s i s . I f HLRA had e n t e r e d l o n g t e r m c a r e l a b o u r r e l a t i o n s a t t h a t p o i n t , i t s r e p r e s e n t a t i v e s a l s o m i g h t h a v e h a d a d i f f e r e n t a t t i t u d e t o w a r d a r b i t r a t i o n . H owever, i t i s u n l i k e l y t h a t t h e i r o p p o s i t i o n w o u l d have been a s vehement a s t h e LTCA-CCERA's. I t has n e v e r been n e c e s s a r y f o r HLRA t o be a s s t r o n g l y o p p o s e d t o M a s t e r A g r e e m e n t r a t e s a n d c e r t a i n o t h e r c l a u s e s a s t h e o t h e r e m p l o y e r s ' a s s o c i a t i o n h a s b e e n . I n i t i a l l y , t h i s was b e c a u s e HLRA had no c o m p e t i t i o n f r o m a n o t h e r b a r g a i n i n g a s s o c i a t i o n and p r e s e n t l y , s i n c e i t s l o n g t e r m c a r e members a r e p a r t o f t h e HLRA a c c r e d i t a t i o n , t h e m o t i v a t i o n t o m a i n t a i n s u c h a p o s i t i o n i n o r d e r t o r e t a i n members i s a b s e n t . T h e r e i s a l s o n o t t h e same 127 d e g r e e o f h o s t i l i t y a s e x i s t s b e t ween CCERA a n d t h e HEU. One U n i o n r e p r e s e n t a t i v e d e s c r i b e s t h e r e l a t i o n s h i p b e t w e e n t h e HEU and HLRA a s " s t r a i g h t f o r w a r d . " 2 T h u s , . t h e f a c t o r s t h a t h ave p r e v e n t e d c o n s e n s u a l a r b i t r a t i o n s b e t w e e n CCERA and t h e HEU, f o r m e r l y t h e LTCA-GERB, have n o t been p r e s e n t b e t w e e n HLRA and t h e U n i o n . I n g e n e r a l t h e n , t h e o p e r a t o r s o f c e r t a i n f a c i l i t i e s m i g h t a g r e e t o an a r b i t r a t i o n r a t h e r t h a t w a i t i n g f o r i t t o be i m p o s e d b e c a u s e t h e y c o u l d s ee t h e p o t e n t i a l a d v a n t a g e s o f a r b i t r a t i o n f o r t h e i r f a c i l i t y . A t t h e v e r y l e a s t , t h e y c o u l d s e e t h e a d v a n t a g e s o f a c o n s e n s u a l a r b i t r a t i o n o v e r one i n w h i c h t h e a r b i t r a t o r h a d t o t a k e i n t o c o n s i d e r a t i o n t h e ESDA c r i t e r i a . I n sum, t h e d i f f e r e n t r a t i o s o f c o n s e n s u a l t o i m p o s e d a r b i t r a t i o n s b e t w e e n t h e two n o n - p r o f i t e m p l o y e r s ' a s s o c i a t i o n s and t h e HEU c a n be a c c o u n t e d f o r by a d i f f e r e n c e i n t h e s i g n i f i c a n c e a t t a c h e d t o t h e i t e m s i n d i s p u t e by t h e two o r g a n i z a t i o n s , t h e r e l a t i o n s h i p b e t w e e n e a c h e m p l o y e r s ' a s s o c i a t i o n a n d t h e U n i o n , and t h e t i m e p e r i o d s i n w h i c h t h e a r b i t r a t i o n s o c c u r r e d . T h i s s e c t i o n has d e s c r i b e d t h e e m p l o y e r s ' r e a c t i o n t o t h e use o f i n t e r e s t a r b i t r a t i o n o n c e i t had been t h r u s t upon them by t h e l e g i s l a t i o n g i v i n g u n i o n s t h e r i g h t t o impose t h e p r o c e d u r e , a n d t h e HEU'S e n t h u s i a s t i c r e s p o n s e t o t h a t l e g i s l a t i o n . The s e c o n d p a r t o f t h i s c h a p t e r e x a m i n e s t h e a c t u a l a w a r d s t o d e t e r m i n e w h e t h e r o r n o t t h e HEU's c o n f i d e n c e i n a r b i t r a t i o n was j u s t i f i e d . S p e c i f i c a l l y , t h e i s s u e s t o be a d d r e s s e d a r e t h e e x t e n t t o w h i c h t h e HEU was s u c c e s s f u l i n a c h i e v i n g M a s t e r A g r e e m e n t r a t e s o f pay and t h e f a c t o r s t h a t c o n t r i b u t e d t o t h a t 128 s u c c e s s . I ' l l . AN ANALYSIS OF THE AWARDS The e x t e n t t o w h i c h t h e HEU was s u c c e s s f u l i n a c h i e v i n g M a s t e r Agreement r a t e s was l a r g e l y d e p e n d e n t upon w h e t h e r a r b i t r a t o r s were w i l l i n g t o v i e w t h e a r g u m e n t s o f t h e U n i o n a s l e g i t i m a t e . T h i s , i n t u r n , was a f u n c t i o n o f how a r b i t r a t o r s v i e w e d t h e i r own r o l e . Swan ( 1 9 7 8 , p.343) s u g g e s t s t h a t t h e r e i s l i t t l e c o n s i s t e n c y i n t h e way t h a t a r b i t r a t i o n a w a r d s a r e d e t e r m i n e d . G o r s k y , an O n t a r i o a r b i t r a t o r , s e t o u t t h e f a c t o r s he b e l i e v e d s h o u l d be c o n s i d e r e d i n d e t e r m i n i n g a w a r d s f o r l o n g t e r m c a r e f a c i l i t i e s i n Komoka N u r s i n g Home and London a n d D i s t r i c t B u i l d i n g S e r v i c e W o r k e r s ' U n i o n , L o c a l 220 ( A u g . 2 5 , 1 9 7 5 ) . Many a r b i t r a t o r s i n B.C. l o n g t e r m c a r e r e f e r r e d t o G o r s k y ' s a w a r d i n p r e s e n t i n g t h e r a t i o n a l e f o r t h e i r own a w a r d s . A c c o r d i n g t o G o r s k y , t h e r o l e o f an a r b i t r a t o r was t o a d j u d i c a t e t h e i s s u e s i n d i s p u t e u s i n g " o b j e c t i v e a n d r a t i o n a l s t a n d a r d s , " t h e u l t i m a t e g o a l b e i n g t h e a c h i e v e m e n t o f an a w a r d t h a t was a c c e p t a b l e t o b o t h s i d e s so t h a t i l l e g a l s t r i k e s a n d l o c k o u t s w o u l d be p r e v e n t e d ( p . 1 0 ) . T h i s o utcome c o u l d be r e a l i z e d by m e e t i n g two v e r y s p e c i f i c o b j e c t i v e s : (1) S a t i s f y t i n g ] t h e e m p l o y e e s t h a t t h e y have been t r e a t e d f a i r l y ; (2) S a t i s f y t i n g ] t h e e m p l o y e r t h a t i t s a b i l i t y t o make a p r o f i t h as n o t been j e o p a r d i z e d . ( p . 1 2 ) G o r s k y t h e n p r o c e e d s t o s e t o u t s p e c i f i c c r i t e r i a by w h i c h 129 an a r b i t r a t o r c a n meet t h e s e o b j e c t i v e s . The f i r s t o b j e c t i v e c a n be met by a p p l y i n g a " p r e v a i l i n g r a t e s p h i l o s o p h y " i n w h i c h t h e " p r e v a i l i n g r a t e s i n t h e c o m m u n i t y f o r s i m i l a r j o b s and e x p e r i e n c e " a r e t h e p o i n t o f r e f e r e n c e ( p . 1 2 ) . The s e c o n d o b j e c t i v e n e e d o n l y be t a k e n i n t o c o n s i d e r a t i o n i n t h e p r i v a t e s e c t o r w here t h e e m p l o y e r w o u l d be r e s t r i c t e d by what t h e m a r k e t w i l l b e a r i n p a s s i n g on t o c o n s u m e r s t h e c o s t s o f a wage and b e n e f i t i n c r e a s e . T h i s p r e s s u r e d o e s n o t e x i s t i n t h e p u b l i c s e c t o r w here t h e g o v e r n m e n t c a n a b s o r b t h e c o s t s o f any a w a r d and i s t h e o r e t i c a l l y l i m i t e d o n l y by i t s a b i l i t y t o t a x o r t o b o r r o w ( p . 1 6 ) . A r b i t r a t o r s i n l o n g t e r m c a r e have n o t a l l f o l l o w e d G o r s k y ' s i n t e r p r e t a t i o n t o t h e l e t t e r . When t h e i n d u s t r y became p u b l i c l y f u n d e d w i t h t h e i m p l e m e n t a t i o n o f t h e L o n g Term C a r e P r o g r a m i n 1978, a r b i t r a t o r s were w i l l i n g i n i t i a l l y t o g i v e some c o n s i d e r a t i o n t o " a b i l i t y t o p a y " a r g u m e n t s . E v e n t u a l l y t h e y c h o s e t o r e j e c t o u t r i g h t t h e s e a r g u m e n t s i n t h e d e t e r m i n a t i o n o f a w a r d s . I n s t e a d , t h e r e was g e n e r a l a g r e e m e n t t h a t t h e " p r e v a i l i n g r a t e " f o r w o r k e r s d o i n g c o m p a r a b l e work i n t h e same i n d u s t r y was t h e most a p p r o p r i a t e c r i t e r i o n f o r t h e d e t e r m i n a t i o n o f an a w a r d . A n a l y s i s o f t h e s e a w a r d s h a s been d i v i d e d i n t o t h r e e p h a s e s b a s e d on when t h e y o c c u r r e d a n d t h e g o v e r n m e n t p o l i c i e s t h a t were i n e f f e c t d u r i n g e a c h p e r i o d and w h i c h h a d d i s t i n c t i v e i n f l u e n c e s on a r b i t r a t i o n o u t c o m e s . P h a s e I i s composed o f t h e o n l y t h r e e a r b i t r a t i o n s t h a t o c c u r r e d u n d e r S e c t i o n 73 and b e f o r e t h e L o n g Term C a r e P r o g r a m h a d been i m p l e m e n t e d . The 130 a w a r d s i n P h a s e I were i s s u e d b e t w e e n December 1975 and December 1976. P h a s e 1 1 ( a ) and 1 1 ( b ) a r b i t r a t i o n s t o o k p l a c e f r o m 1979 t o 1981. I n t h i s p e r i o d t h e ESDA and t h e L o n g Term C a r e P r o g r a m were i n e f f e c t b u t t h e C o m p e n s a t i o n S t a b i l i z a t i o n P r o g r a m , a wage c o n t r o l p r o g r a m f o r p u b l i c s e c t o r e m p l o y e e s h a d n o t y e t been e n a c t e d . P h a s e 1 1 ( a ) i s an a n a l y s i s o f a w a r d s i n n o n -p r o f i t f a c i l i t i e s , w h i l e P h a s e 1 1 ( b ) a n a l y z e s a w a r d s i n p r o p r i e t a r y f a c i l i t i e s . I t was i n t h i s P h a s e t h a t t h e HEU began t o a c h i e v e t h e o b j e c t i v e i t had been s e e k i n g t h r o u g h a r b i t r a t i o n . The f i n a l p h a s e , P h a s e I I I , c o v e r s a l l a w a r d s s i n c e t h e C o m p e n s a t i o n S t a b i l i z a t i o n P r o g r a m was i m p l e m e n t e d i n 1982. A. P h a s e I A t t h e t i m e when t h e a r b i t r a t i o n s i n P h a s e I t o o k p l a c e , most p r i v a t e h o s p i t a l s were c a r i n g f o r a s i g n i f i c a n t number o f w e l f a r e p a t i e n t s . I n t h e c a s e o f t h e G l e n P r i v a t e H o s p i t a l a nd CUPE (Thompson, S e p t . 14, 1 9 7 6 ) , n i n e t y - f i v e p e r c e n t o f a l l p a t i e n t s c o u l d n o t pay t h e i r own way ( p . 2 ) a n d t h u s , t h e c o s t o f t h e i r c a r e was p a i d by t h e p r o v i n c i a l g o v e r n m e n t . The r a t e o f r e i m b u r s e m e n t f o r " w e l f a r e p a t i e n t s , " p l u s t h e r a t e s t h a t most of t h e s e f a c i l i t i e s c o u l d c h a r g e " p r i v a t e p a t i e n t s " d i d n o t b r i n g i n s u f f i c i e n t r e v e n u e s t o p r o v i d e p r o p e r c a r e o r r a t e s o f pay a b o v e t h e l e g a l minimum f o r s t a f f . T h i s was t h e s i t u a t i o n f a c e d by t h e s e a r b i t r a t o r s . S t a r t i n g w i t h t h e f i r s t a r b i t r a t i o n , G r a n d v i e w P r i v a t e H o s p i t a l and N u r s i n g Home L t d . and HEU ( J . W e i l e r , Dec. 3 1 , 1 9 7 5 ) , t h e U n i o n r e p r e s e n t a t i v e s demanded M a s t e r Agreement r a t e s 131 f o r t h e i r members ( p . 4 ) . As they would i n many of these a r b i t r a t i o n s , Union r e p r e s e n t a t i v e s argued t h a t s i n c e the work of employees i n p r i v a t e h o s p i t a l s was s u b s t a n t i a l l y the same as t h a t performed by workers i n extended c a r e u n i t s of g e n e r a l h o s p i t a l s c o v e r e d by the Master Agreement, the employees who were s u b j e c t t o t h i s a r b i t r a t i o n s h o u l d be awarded Master r a t e s ( p . 7 ) . W e i l e r ' s r a t i o n a l e f o r awarding r e l a t i v e l y s m a l l i n c r e a s e s d i f f e r e d s h a r p l y from those of the o t h e r two a r b i t r a t o r s d u r i n g t h i s phase. W e i l e r was the o n l y a r b i t r a t o r who r e f r a i n e d from c o n s i d e r i n g the tremendous spr e a d t h a t e x i s t e d between the wages of employees i n p r i v a t e h o s p i t a l s and workers who came under the Master Agreement. I t was h i s t h e s i s t h a t the a r b i t r a t o r ' s r o l e was t o award an agreement t h a t came as c l o s e as p o s s i b l e t o what the two s i d e s would have n e g o t i a t e d had t h e r e been no t h i r d p a r t y i n t e r v e n t i o n . T h i s c o u l d be d etermined best by l o o k i n g t o r e c e n t c o l l e c t i v e agreements i n comparable f a c i l i t i e s . H i s award r e f l e c t e d the c u r r e n t CUPE and IUOE p r i v a t e h o s p i t a l agreements, the o n l y p r i v a t e h o s p i t a l c o l l e c t i v e agreements then i n e f f e c t , which meant t h a t the wages of the HEU employees were not s u b s t a n t i a l l y i n c r e a s e d . In the second a r b i t r a t i o n d u r i n g t h i s p e r i o d , the Glen P r i v a t e H o s p i t a l , the a r b i t r a t o r was f a c e d w i t h a v e r y d i f f e r e n t s e t of c i r c u m s t a n c e s than h i s c o l l e a g u e s h e a r i n g a r b i t r a t i o n s t o which the HEU was p a r t y . Whereas the HEU always demanded p a r i t y w i t h i t s own Master Agreement, CUPE d i d not even demand wages as h i g h as those a c h i e v e d a t two o t h e r p r i v a t e h o s p i t a l s w i t h CUPE 1 32 c e r t i f i c a t i o n s ( p . 4 ) . D u r i n g t h i s i n i t i a l p h a s e , t h e HEU d i d n o t e v e n come c l o s e t o a c h i e v i n g t h i s g o a l . I n L a d n e r P r i v a t e H o s p i t a l e t a l . ( M c C o l l , D ec. 1 5 , 1 9 7 6 ) , t h e l a r g e s t a w a rd i n t h e i n d u s t r y t o t h a t t i m e was i s s u e d . By t h e e x p i r y d a t e o f t h e c o l l e c t i v e a g r e e m e n t , a n u r s e s ' a i d e w o u l d be e a r n i n g an h o u r l y r a t e o f $3.80, o n l y e i g h t y c e n t s a b o v e t h e p r o v i n c i a l minimum wage. I n c o n t r a s t , d u r i n g t h e same t i m e p e r i o d , t h e minimum r a t e f o r n u r s e s ' a i d e s , a s s t i p u l a t e d i n t h e M a s t e r A g r e e m e n t , was $5.40 p e r h o u r . M c C o l l b a s e d h i s a w a r d on t h e p r i n c i p l e s f o u n d i n t h e Komoka d e c i s i o n . The e m p l o y e r s a t t h i s a r b i t r a t i o n h e a r i n g a g r e e d w i t h t h e U n i o n t h a t t h e work p e r f o r m e d by t h e i r e m p l o y e e s was s u b s t a n t i a l l y t h e same a s t h a t p e r f o r m e d by e m p l o y e e s i n e x t e n d e d c a r e u n i t s c o v e r e d by t h e M a s t e r A g r e e m e n t . However, t h e y a l s o p r e s e n t e d a c c o u n t i n g e v i d e n c e t o show t h a t t h e y c o u l d o n l y r a i s e wages a c e r t a i n amount b e f o r e t h e y w o u l d go o u t of b u s i n e s s . U n d e r t h e s e c i r c u m s t a n c e s M c C o l l was w i l l i n g t o t a k e t h e " a b i l i t y t o p a y " c r i t e r i o n i n t o c o n s i d e r a t i o n . H i s a w a r d a t t e m p t e d : " 1 . To s a t i s f y t h e e m p l o y e e s t h a t t h e y [ h a d ] been t r e a t e d f a i r l y ; 2. To s a t i s f y t h e e m p l o y e r t h a t i t s a b i l i t y t o make a p r o f i t [ h a d ] n o t been j e o p a r d i z e d . " T h i s was a s i t u a t i o n i n w h i c h t h e l a w s o f t h e m a r k e t p l a c e s t i l l p r e v a i l e d . S e v e r a l f a c i l i t i e s c o v e r e d by t h e a w a r d r e l i e d h e a v i l y on p r i v a t e p a t i e n t s f o r t h e i r o p e r a t i n g r e v e n u e s , and t h u s , a c c o r d i n g t o G o r s k y , t h e " a b i l i t y t o p a y " c r i t e r i o n s h o u l d be a p p l i e d ( p . 1 2 ) . The a w a r d was t h e h i g h e s t t o d a t e i n t h e 133 i n d u s t r y b u t s t i l l f e l l f a r b e l o w M a s t e r A g r e e m e n t l e v e l s . I t was o n l y a f t e r t h e L o n g Term C a r e P r o g r a m was i m p l e m e n t e d , l e a d i n g t o M i n i s t r y o f H e a l t h f u n d i n g o f most f a c i l i t i e s , t h a t a r b i t r a t o r s began t o make t h e i r a w a r d s f o r . p r i v a t e h o s p i t a l s i n d e p e n d e n t l y o f any a c c o u n t i n g f i g u r e s p r e s e n t e d t o them by e m p l o y e r s . B. P h a s e 1 1 ( a ) T h i s s e c t i o n c o v e r s t h e a r b i t r a t i o n s t h a t t o o k p l a c e i n n o n - p r o f i t f a c i l i t i e s a f t e r t h e ESDA had been p a s s e d a n d t h e L o n g Term C a r e P r o g r a m had been i m p l e m e n t e d b u t b e f o r e t h e C o m p e n s a t i o n S t a b i l i z a t i o n P r o g r a m was i n t r o d u c e d . Even a f t e r t h e Long Term C a r e P r o g r a m came i n t o e f f e c t i n 1978, an a r b i t r a t o r m a k i n g an a w a r d i n p r o p r i e t a r y f a c i l i t i e s was f a c e d w i t h a s i t u a t i o n i n w h i c h he knew t h e income o f t h e f a c i l i t y and knew t h i s amount was f i x e d u n t i l t h e n e x t g e n e r a l i n c r e a s e i n p e r d i e m r a t e s , r e g a r d l e s s o f any c h a n g e i n wages and b e n e f i t s . I n n o n - p r o f i t f a c i l i t i e s t h e a r b i t r a t o r was f a c e d w i t h a d i f f e r e n t s e t o f c i r c u m s t a n c e s . I n t h i s c a s e e a c h f a c i l i t y h a d i t s own r e i m b u r s e m e n t r a t e s b a s e d on i t s p a r t i c u l a r c o s t s . I n t h e s e a r b i t r a t i o n s , g o v e r n m e n t o f f i c i a l s c a l l e d a s w i t n e s s e s made a p o l i c y o f n e v e r s t a t i n g t h a t t h e M i n i s t r y o f H e a l t h was p r e p a r e d t o c o v e r t h e c o s t s o f t h e a w a r d . H o w e v e r , no M i n i s t r y o f f i c i a l e v e r s t a t e d t h a t t h e s e c o s t s w o u l d n o t be c o v e r e d . I n t h e o r y , i f t h e a r b i t r a t o r d i d a w a r d an i n c r e a s e t h a t was b e y o n d t h e f a c i l i t y ' s f i n a n c i a l c a p a c i t y t o p a y , t h e r e s u l t w o u l d be c l o s u r e o f t h e f a c i l i t y . I n f a c t , what o c c u r r e d was t h a t t h e M i n i s t r y c o v e r e d e v e r y a w a r d , e v e n t h o s e i n w h i c h 134 e m p l o y e e s were a w a r d e d M a s t e r A g r e e m e n t r a t e s . The w i l l i n g n e s s o f M i n i s t r y o f H e a l t h o f f i c i a l s t o i n c r e a s e t h e r a t e s o f r e i m b u r s e m e n t t o c o v e r n e g o t i a t e d o r a r b i t r a t e d s e t t l e m e n t s became e v i d e n t e a r l y on i n t h i s s e c o n d p e r i o d . I n t h e v e r y f i r s t n o n - p r o f i t a w a r d , C a r i b o o Lodge and t h e HEU ( H e r b e r t , A p r i l 1 9 7 8 ) , M a s t e r A g r e e m e n t r a t e s were t o be p h a s e d -i n o v e r t h e t e r m o f t h e c o l l e c t i v e a g r e e m e n t . The M i n i s t r y i n c r e a s e d f u n d i n g t o t h e f a c i l i t y t o c o v e r t h e c o s t s o f t h e a w a r d . By t h e t i m e t h a t t h e s e c o n d a r b i t r a t i o n i n n o n - p r o f i t f a c i l i t i e s t o o k p l a c e , K i w a n i s S e n i o r C i t i z e n s ' Homes L t d . and K i w a n i s C a r e Homes L t d . and t h e HEU ( B i r d , S e p t . 29, 1 9 7 8 ) , f i v e n o n - p r o f i t f a c i l i t i e s , i n c l u d i n g C a r i b o o L o d g e , h ad r a t e s of p a y c o m p a r a b l e t o t h o s e i n t h e M a s t e r A g r e e m e n t a n d one a c t u a l l y h a d b e t t e r r a t e s ( K i w a n i s , p . 1 8 ) . S i n c e s e v e r a l o f t h e s e f a c i l i t i e s h a d a l r e a d y s i g n e d c o l l e c t i v e a g r e e m e n t s b e f o r e t h e L o n g Term C a r e P r o g r a m g o t u n d e r way, t h e M i n i s t r y o f H e a l t h h ad l i t t l e c h o i c e b u t t o c o n t i n u e t o p r o v i d e s u f f i c i e n t f u n d i n g so t h a t t h e f a c i l i t y c o u l d c o n t i n u e t o pay c o n t r a c t r a t e s a f t e r j o i n i n g t h e P r o g r a m . Once t h e s e p r e c e d e n t s h ad been s e t , i t w o u l d h a v e been d i f f i c u l t f o r t h e M i n i s t r y n o t t o h o n o u r f u t u r e s e t t l e m e n t s a t t h e same l e v e l s , w h e t h e r n e g o t i a t e d o r a r b i t r a t e d . H o wever, t o a n n o u n c e s u c h a p o l i c y w o u l d l i k e l y h a v e b r o u g h t a b o u t l a r g e r i n c r e a s e s s o o n e r a s e m p l o y e r s o r a r b i t r a t o r s w o u l d have f e l t t h e y h a d been g i v e n v i r t u a l l y a f r e e h and t o a g r e e t o t h e U n i o n ' s demand o f M a s t e r A g r e e m e n t r a t e s . I n f a c t , o f t h e n i n e a r b i t r a t i o n s i n w h i c h m o n e t a r y i t e m s 135 were i n d i s p u t e , t h e a r b i t r a t i o n b o a r d a w a r d e d M a s t e r Agreement r a t e s o n l y t w i c e . As n o t e d p r e v i o u s l y , one of t h e s e f a c i l i t i e s was C a r i b o o L o d g e . I n t h i s c a s e t h e U n i o n a r g u e d t h a t e m p l o y e e s were e n t i t l e d t o M a s t e r A g r e e m e n t r a t e s and t h e e m p l o y e r a g r e e d . I n t h e s e c o n d a r b i t r a t i o n i n w h i c h M a s t e r A g r e e m e n t r a t e s were a w a r d e d , N o r i c House ( O w e n - F l o o d , Dec. 1 9 7 9 ) , t h e H o s p i t a l E m p l o y e e s ' U n i o n c l a i m e d t h a t t h e e m p l o y e e s o f t h e f a c i l i t y had been p r o m i s e d M a s t e r A g r e e m e n t r a t e s by t h e e m p l o y e r . The a r b i t r a t o r s t a t e d t h a t h i s o n l y r o l e was t o d e t e r m i n e w h e t h e r o r n o t t h e U n i o n ' s c l a i m was l e g i t i m a t e . S e v e r a l N o r i c House e m p l o y e e s were c a l l e d a s w i t n e s s a n d t e s t i f i e d t h a t t h e y had been p r o m i s e d M a s t e r A g r e e m e n t r a t e s . The management r e p r e s e n t a t i v e who was s a i d t o have made t h i s commitment d i d n o t a p p e a r a t t h e h e a r i n g . The a r b i t r a t o r i n f e r r e d t h a t t h e f a i l u r e o f t h e e m p l o y e r t o c a l l t h i s key w i t n e s s meant t h a t h e r t e s t i m o n y w o u l d have been u n f a v o r a b l e t o management's p o s i t i o n . T h e r e f o r e , he a g r e e d w i t h t h e HEU and made h i s a w a r d a c c o r d i n g l y . I n t h e o t h e r s i x HEU a r b i t r a t i o n s , t h e a r b i t r a t o r s b r o u g h t wages much c l o s e r t o t h e M a s t e r Agreement l e v e l , b u t n e v e r a c t u a l l y a w a r d e d t h e r a t e s i n t h e M a s t e r A g r e e m e n t . Now t h a t t h e L o n g Term C a r e P r o g r a m was i n e f f e c t , t h e U n i o n a r g u e d t h a t s i n c e t h e s e f a c i l i t i e s were f u n d e d i n t h e same manner a n d f r o m t h e same s o u r c e a s t h e g e n e r a l h o s p i t a l s o f t h e p r o v i n c e , a nd t h e j o b s were c o m p a r a b l e t o j o b s i n e x t e n d e d c a r e u n i t s where e m p l o y e e s were e a r n i n g M a s t e r A g r e e m e n t r a t e s , e m p l o y e e s i n non-p r o f i t f a c i l i t i e s were a l s o e n t i t l e d t o t h e " p r e v a i l i n g r a t e s " 136 i n t h e i n d u s t r y . E m p l o y e r s c o u l d n o t r e f u t e t h e a r g u m e n t s r e g a r d i n g f u n d i n g . They, d i d q u e s t i o n , h o w e v e r , t h e l e g i t i m a c y o f c o m p a r i n g p o s i t i o n s i n l o n g t e r m c a r e f a c i l i t i e s and e x t e n d e d c a r e u n i t s . F o r e x a m p l e , i n New V i s t a C a r e S o c i e t y and t h e HEU ( L a r s o n , May 1 9 7 9 ) , t h e U n i o n a r g u e d t h a t c e r t a i n f u n c t i o n s e x i s t t h r o u g h o u t t h e h e a l t h c a r e i n d u s t r y ; t h a t t h e r e a r e c o m p a r a b l e p o s i t i o n s i n a l l h e a l t h c a r e f a c i l i t i e s i n h o u s e k e e p i n g , l a u n d r y , c l e r i c a l and some c a r e s t a f f p o s i t i o n s ( p . 8 ) . To r e b u t t h e s e a r g u m e n t s t h e e m p l o y e r h i r e d a c o n s u l t a n t t o compare c e r t a i n j o b s a t t h e l o n g t e r m c a r e f a c i l i t y w i t h t h o s e i n t h e e x t e n d e d c a r e u n i t o f V a n c o u v e r G e n e r a l H o s p i t a l . The c o n s u l t a n t c o n c l u d e d t h a t t h e j o b s a t t h e h o s p i t a l s h o u l d " a t t r a c t a h i g h e r l e v e l o f r e m u n e r a t i o n t h a n t h o s e a t New V i s t a due l a r g e l y t o t h e d i f f e r e n t t y p e o f c a r e r e q u i r e d . " ( p . 6 ) I n t h i s a r b i t r a t i o n , L a r s o n d i d n o t a d d r e s s t h e e m p l o y e r ' s a r g u m e n t s on " c o m p a r a b i l i t y . " I n s t e a d , he b a s e d h i s a w a r d on t h e K i w a n i s a w a r d b e c a u s e he p e r c e i v e d i t t o be " f a i r . " The a r b r i t r a t o r ' s p o s i t i o n i n K i w a n i s was t h a t t h e " p a c e - s e t t i n g s t a n d a r d " f o r t h e w h o l e i n d u s t r y , i n c l u d i n g n o n - p r o f i t f a c i l i t i e s , was t h e M a s t e r A g r e e m e n t . The a w a r d r e q u i r e d t h a t wages be b r o u g h t " c l o s e t o a p o s i t i o n c o m p a r a b l e t o t h o s e u n d e r t h e M a s t e r A g r e e m e n t " by t h e end o f t h e c o n t r a c t . I n t h e New V i s t a a w a r d , b e n e f i t s were l o w e r t h a n f o r t h e K i w a n i s e m p l o y e e s and t h e r e was a t h r e e - m o n t h l a g p e r i o d i n i n s t i t u t i n g a s i m i l a r wage s t r u c t u r e . T h e s e d i f f e r e n c e s , a c c o r d i n g t o t h e a r b i t r a t o r , were t o " c u s h i o n " t h e i m p a c t o f t h e l a r g e i n c r e a s e s t h a t w o u l d 137 r e s u l t f r o m t h e i m p l e m e n t a t i o n of t h i s f i r s t c o l l e c t i v e a g r e e m e n t . I n e a c h of t h e s i x a w a r d s , a r b i t r a t o r s a g r e e d w i t h t h e a r g u m e n t s of t h e U n i o n , a n d were o f t h e o p i n i o n t h a t e m p l o y e e s i n t h e s e f a c i l i t i e s were e n t i t l e d t o M a s t e r . A g r e e m e n t r a t e s . N o n e t h e l e s s , a l t h o u g h t h e y came c l o s e t o a w a r d i n g t h e wages f o u n d i n t h e M a s t e r i n s e v e r a l i n s t a n c e s , t h e y a l w a y s s t o p p e d s h o r t o f t a k i n g t h e f i n a l s t e p . F o r e x a m p l e , i n C h i l l i w a c k I n t e r m e d i a t e C a r e S o c i e t y a n d t h e HEU ( L a r s o n , A p r i l 3 0 , 1 9 8 0 ) , t h e a r b i t r a t o r s t a t e d , " i t s i m p l y becomes u n j u s t i f i a b l e f o r t h e G o v e r n m e n t t o f u n d d i f f e r e n t b e n e f i t s f o r e q u a l work i n a d j a c e n t i n s t i t u t i o n s . " ( p . 1 2 ) H o w e v e r , he t h e n went on t o a w a r d t h e same r a t e s o f pay f o r t h e same c l a s s i f i c a t i o n s a s t h e M a s t e r A g r e e m e n t , b u t w i t h a s i x - m o n t h l a g p e r i o d . L a r s o n a c t e d a s c h a i r m a n f o r t h r e e o f t h e s e a r b i t r a t i o n s a nd t h e o t h e r t h r e e a r b i t r a t o r s s t a t e d a r a t i o n a l e s i m i l a r t o h i s i n C h i l l i w a c k I n t e r m e d i a t e C a r e H o u s i n g S o c i e t y and t h e HEU ( A p r i l 30, 1 9 8 0 ) : We h a v e done t h i s i n o r d e r t o p r o v i d e a p e r i o d o f a d j u s t m e n t t o t h e E m p l o y e r . The U n i o n a r g u e d t h a t r e j e c t i o n o f t h e " a b i l i t y t o p a y " p r i n c i p l e o f n e c e s s i t y m i l i t a t e s a g a i n s t any p h a s e - i n o f f i n a n c i a l b e n e f i t s . We do n o t a g r e e . The wages and b e n e f i t s p r o v i d e d by us a r e l a r g e b o t h i n a b s o l u t e and p e r c e n t a g e t e r m s . By a l l a c c o u n t s t h i s i s t r a u m a t i c b o t h t o t h e E m p l o y e r ' s p s y c h e a n d b u d g e t . A new r a t e s t r u c t u r e w i l l h a ve t o be p r o v i d e d u n d e r t h e Long Term C a r e P r o g r a m t o c o v e r t h e c o s t s . We do n o t f e e l t h a t i t i s u n r e a s o n a b l e u n d e r t h e s e c i r c u m s t a n c e s t o p r o v i d e a p e r i o d o f a f i r s t c o l l e c t i v e a g r e e m e n t t o t a k e t h e f i r s t s t e p s b e f o r e m a k i n g a q uantum l e a p t o c o m p l e t e p a r i t y . ( p . 4 6 ) 138 I n f a c t , t h e p o s i t i o n t h e U n i o n t o o k i n t h i s a w a r d r e g a r d i n g " a b i l i t y t o p a y " was a c c u r a t e . P h a s i n g - i n M a s t e r A g r e e m e n t wages o v e r more t h a n one c o l l e c t i v e a g r e e m e n t i n o r d e r t o t a k e i n t o c o n s i d e r a t i o n " t h e E m p l o y e r 1 s p s y c h e a n d b u d g e t " r a t h e r t h a n a w a r d i n g them o u t r i g h t i s s t i l l t a k i n g i n t o a c c o u n t t h e a b i l i t y o f t h e f a c i l i t y t o pay t h e wage r a t e s a w a r d e d . A l t h o u g h i n t h e o r y a r b i t r a t o r s h ad r e j e c t e d t h e a r g u m e n t t h a t t h e " a b i l i t y t o p a y " p r i n c i p l e s h o u l d be a p p l i e d t o a w a r d s i n n o n - p r o f i t f a c i l i t i e s , i n p r a c t i s e t h e y were n o t p r e p a r e d t o i g n o r e i t c o m p l e t e l y . T h i s was t h e s e r i e s o f a w a r d s i n n o n - p r o f i t f a c i l i t i e s t h a t one HEU s p o k e s p e r s o n h a s d e s c r i b e d a s " i n c o n c l u s i v e " i n t e r m s of w h e t h e r o r n o t t h e U n i o n had a c h i e v e d i t s g o a l o f p a r i t y i n l o n g t e r m c a r e w i t h i t s M a s t e r A g r e e m e n t wage r a t e s . 3 I n o r d e r t o a v o i d any f u r t h e r e x p e n s e i n c u r r e d t h r o u g h a r b i t r a t i o n s , i t was a t t h i s p o i n t t h a t t h e HEU and HLRA n e g o t i a t e d t h e " M i n i - M a s t e r " a n d t h e p a r t i e s a g r e e d t o b r i n g f a c i l i t i e s s u c h a s S h a u g h n e s s y M a nor, Rose Manor and Y u c a l t a L o dge u n d e r t h e Long Term C a r e S t a n d a r d A g r e e m e n t . C. P h a s e 1 1 ( b ) Over t h e c o u r s e o f p r i v a t e h o s p i t a l a r b i t r a t i o n s i n t h i s p h a s e , a r b i t r a t o r s began c o n s i s t e n t l y t o a w a r d M a s t e r A g r e e m e n t r a t e s . The f i r s t f o u r a w a r d s , h o w e v e r , were w e l l b e l o w t h i s r a t e . I n W i l l o w h a v e n P r i v a t e H o s p i t a l a nd t h e HEU ( E n d e r t o n , M a r c h 1 9 8 0 ) , t h e a r b i t r a t o r a w a r d e d n u r s e s ' a i d e s an h o u r l y r a t e o f $4.37 ($ 5 . 2 5 a f t e r 60 s h i f t s ) , w h i l e a c u t e c a r e w o r k e r s i n t h e same c l a s s i f i c a t i o n were e a r n i n g a t l e a s t $6.56 p e r h o u r . • 139 However, f r o m t h e f i f t h a w a r d on, a l l e m p l o y e e s were r e c e i v i n g M a s t e r A g r e e m e n t r a t e s . Due t o t h e d i f f e r e n c e s i n f u n d i n g s t u c t u r e between p r o p r i e t a r y a n d n o n - p r o f i t f a c i l i t i e s , a r b i t r a t o r s were i n i t i a l l y f a c i n g a d i f f e r e n t s e t o f c i r c u m s t a n c e s i n t h e s e p r o c e e d i n g s . F o r p r o p r i e t a r y f a c i l i t i e s , p e r d i e m r a t e s c o u l d o n l y go up once P r i c a r e had p e r s u a d e d t h e M i n i s t r y o f H e a l t h t h a t an i n c r e a s e was r e q u i r e d by i t s members. I n c o n t r a s t t o n o n - p r o f i t f a c i l i t i e s , where i t became e v i d e n t t h a t t h e g o v e r n m e n t was p r e p a r e d t o p i c k up t h e e x t r a c o s t s i n c u r r e d by t h e f a c i l i t y due t o a r b i t r a t e d s e t t l e m e n t s , i n t h e c a s e o f p r o p r i e t a r y f a c i l i t i e s t h e M i n i s t r y o f H e a l t h ' s p o s i t i o n was e x a c t l y t h e o p p o s i t e : Where t h i s [ a c o s t o v e r r u n ] h a p p e n s i n p r o p r i e t a r y i n s t i t u t i o n s , t h e M i n i s t r y h a s t a k e n t h e p o s i t i o n t h a t f u n d i n g c a n n o t be i n c r e a s e d . To g i v e one p r o p r i e t a r y i n s t i t u t i o n a r a t e d i f f e r e n t t h a n t h e o t h e r s i s c o n s i d e r e d t o be u n j u s t i f i a b l e a t p r e s e n t . ( A r g u s Homes L t d . ( M t . P a u l P r i v a t e H o s p i t a l ) a n d HEU ( L a r s o n , F e b . 1 9 8 1 ) ) The r e s u l t o f t h i s p o s i t i o n was t h a t i n s e v e r a l o f t h e s e a r b i t r a t i o n s , a l t h o u g h a r b i t r a t o r s f e l t t h a t M a s t e r A g r e e m e n t r a t e s o f pay were a p p r o p r i a t e , t h e y were f a c e d w i t h t h e p r o s p e c t of e m p l o y e r s t h r e a t e n i n g t o c l o s e t h e i r d o o r s i f f a c e d w i t h a s u b s t a n t i a l i n c r e a s e i n t h e i r wage b i l l s . G i v e n t h i s s y s t e m o f f u n d i n g , t h e f i r s t f o u r a r b i t r a t o r s f e l t o b l i g e d t o t a k e t h e " a b i l i t y t o p a y " c r i t e r i o n i n t o c o n s i d e r a t i o n . I n t h e f i f t h a w a r d , E d i t h C a v e l l P r i v a t e H o s p i t a l and t h e 1 40 HEU (Getz, A p r i l 2,1981), the o p e r a t o r s t a t e d t h a t an i n c r e a s e i n wages c o u l d mean the c l o s u r e of the f a c i l i t y u n l e s s f u r t h e r revenues were f o r t h c o m i n g . The f o l l o w i n g was the a r b i t r a t o r ' s response t o t h i s p o s i t i o n : The p a t t e r n seems t o us t o be c l e a r . The j u r i s p r u d e n c e e s t a b l i s h e s t h a t , i n c i r c u m s t a n c e s such as the p r e s e n t , p a r i t y w i t h the Master Agreement i s the a p p r o p r i a t e s t a n d a r d t o adopt. E d i t h C a v e l l i s p a r t of the h o s p i t a l i n d u s t r y and the o n l y argument a g a i n s t a d o p t i n g i t i s the " i n a b i l i t y t o pay" argument. For reasons t h a t have been e l a b o r a t e l y s t a t e d i n many o t h e r Awards and do not r e q u i r e r e p e t i t i o n h e r e , we do not t h i n k t h a t t h i s i s a c o n s i d e r a t i o n t o which any d e t e r m i n a t i v e e f f e c t can be g i v e n , (p.4) The a r b i t r a t o r ' s p o s i t i o n i s somewhat p u z z l i n g . Getz d i d not make any d i s t i n c t i o n between a r b i t r a t i o n s i n v o l v i n g p r o p r i e t a r y and n o n - p r o f i t f a c i l i t i e s . W h i l e " a b i l i t y t o pay" does not appear t o have been the most s i g n i f i c a n t c r i t e r i o n i n the d e t e r m i n a t i o n of awards i n n o n - p r o f i t f a c i l i t i e s , i t was c e r t a i n l y of major importance i n the d e t e r m i n a t i o n of the f i r s t f o u r p r o p r i e t a r y awards i n t h i s phase. U s i n g the r a t i o n a l e s t a t e d above, Getz awarded Master Agreement r a t e s t o employees a t E d i t h C a v e l l . In the next a r b i t r a t i o n , Normandy, K e n s i n g t o n and W i l l i n g d o n P r i v a t e H o s p i t a l s and the HEU, ( M a c l n t y r e , Dec. 1980), the a r b i t r a t o r a l s o awarded Master Agreement r a t e s , but h i s r a t i o n a l e f o r d o i n g so was t h a t he found the system of reimbursement f o r p r o p r i e t a r y f a c i l i t i e s i n e q u i t a b l e and was not 141 w i l l i n g t o t a k e i t i n t o c o n s i d e r a t i o n i n h i s a w a r d . R a t h e r t h a n s t a t i n g h i s d i s p l e a s u r e a t t h e d i f f e r e n t s y s t e m s o f f u n d i n g f o r p r o p r i e t a r y , a n d n o n - p r o f i t ' f a c i l i t i e s a s p r e v i o u s a r b i t r a t o r s h a d , and t h e n t a k e n i n t o c o n s i d e r a t i o n t h e a b i l i t y o f t h e f a c i l i t y t o p a y , M a c l n t y r e was c h a l l e n g i n g t h e g o v e r n m e n t t o r e s p o n d t o h i s a w a r d by c h a n g i n g t h e s y s t e m o f f u n d i n g . " I n t h e p r e s e n t c a s e , " he s t a t e d , "we a r e b e i n g a s k e d t o c o n c l u d e t h a t c o s t s c a n n o t be p a s s e d o n. W h e t h e r t h e y w i l l be o r n o t i s a m a t t e r o f g o v e r n m e n t p o l i c y , n o t e m p l o y e r c h o i c e . " ( p . 1 7 ) A t t h e same t i m e a s a w a r d s were b e i n g i s s u e d g r a n t i n g p a r i t y w i t h M a s t e r A g r e e m e n t r a t e s t o e m p l o y e e s i n p r o p r i e t a r y f a c i l i t i e s , n e g o t i a t i o n s b e t w e e n P r i c a r e a n d t h e M i n i s t r y o f H e a l t h were t a k i n g p l a c e w i t h t h e g o a l of d e v e l o p i n g a new s y s t e m o f f u n d i n g f o r p r o p r i e t a r y f a c i l i t i e s s i m i l a r t o t h e c o s t - r e l a t e d r e i m b u r s e m e n t s y s t e m i n e f f e c t i n n o n - p r o f i t f a c i l i t i e s . The s t r u c t u r e t h a t was f i n a l l y a g r e e d upon w o u l d t a k e some t i m e t o i m p l e m e n t a n d w o u l d r e q u i r e t h a t p r o p r i e t a r y o p e r a t o r s d i s c l o s e t h e i r f i n a n c i a l a c c o u n t s t o t h e L o n g Term C a r e P r o g r a m . I n t h e i n t e r i m , t h e g o v e r n m e n t a g r e e d t o c o v e r a l l n e g o t i a t e d a n d a r b i t r a t e d s e t t l e m e n t s p r o v i d e d t h e f a c i l i t y was a b l e t o d e m o n s t r a t e a n e e d f o r i n c r e a s e d f u n d i n g . " T h i s c h a n g e i n p o l i c y meant t h a t E d i t h C a v e l l d i d n o t c l o s e down a s a r e s u l t o f t h e G e t z a w a r d . When G e t z a nd M a c l n t y r e i s s u e d t h e i r a w a r d s , t h e y were n o t aware o f t h i s new p o l i c y . 5 The e f f e c t t h i s f u n d i n g s t r u c t u r e c o u l d have on t h e outcome o f an a r b i t r a t i o n was made a b u n d a n t l y c l e a r i n R a s p b e r r y L odge and HEU ( V i c k e r s , J u n e 5 , 1 9 8 1 ) . D u r i n g 142 t h e a r b i t r a t i o n h e a r i n g s V i c k e r s was n o t aware o f t h e G e t z o r M a c l n t y r e a w a r d s . F o r much of t h e t i m e he was i n v o l v e d w i t h t h e a r b i t r a t i o n he a l s o d i d n o t know of t h e c h a n g e i n g o v e r n m e n t p o l i c y . B e c a u s e he was f a c e d w i t h t h e same d i l e m m a p r e v i o u s a r b i t r a t o r s had been c o n c e r n i n g t h e s o l v e n c y o f t h e f a c i l i t y i f M a s t e r A g r e e m e n t r a t e s were a w a r d e d , b e f o r e he l e a r n e d o f t h e c h a n g e he c o n c l u d e d h i s a w a r d by s t a t i n g t h a t " i t w o u l d n o t be a p p r o p r i a t e a t p r e s e n t t o impose M a s t e r A g r e e m e n t wages and c o n d i t i o n s o f e m p l o y m e n t . " 6 A f t e r h e a r i n g o f t h e new p o l i c y , t h e a w a r d was r e v i s e d t o r e f l e c t M a s t e r A g r e e m e n t wage a n d b e n e f i t l e v e l s . As t h e number o f a r b i t r a t i o n c a s e s i n p r o p r i e t a r y f a c i l i t i e s i n l o n g t e r m c a r e grew, a r b i t r a t o r s began t o r e f e r t o p r e v i o u s c a s e s i n t h e i r own a r g u m e n t s . S i n c e t h e r e n e v e r had been a q u e s t i o n o f what t h e a p p r o p r i a t e r a t e o f pay s h o u l d b e, t h e o n l y i s s u e on w h i c h a r b i t r a t o r s h a d d i f f e r e n c e s o f o p i n i o n was w h e t h e r o r n o t t h e a b i l i t y t o pay o f t h e f a c i l i t y s h o u l d be t a k e n i n t o c o n s i d e r a t i o n . Now t h a t t h e r e h a d been a c h a n g e i n g o v e r n m e n t p o l i c y w h i c h v i t i a t e d t h i s c o n s i d e r a t i o n , s u b s e q u e n t a w a r d s d u r i n g t h i s p e r i o d r e f l e c t e d M a s t e r A g r e e m e n t r a t e s o f p a y . T h e r e f o r e , i t was d u r i n g t h i s p h a s e t h a t M a s t e r A g r e e m e n t r a t e s were e s t a b l i s h e d a s t h e a p p r o p r i a t e l e v e l o f c o m p e n s a t i o n t o be a w a r d e d i n l o n g t e r m c a r e . Once t h e g o v e r n m e n t had c h a n g e d i t s p o l i c y a n d p u b l i c l y s t a t e d i t s i n t e n t i o n t o c o v e r a r b i t r a t i o n a w a r d s , a r b i t r a t o r s no l o n g e r f e l t o b l i g e d t o c o n s i d e r t h e " a b i l i t y t o p a y " c r i t e r i o n . T h e r e f o r e , t h e y f e l t 143 f r e e t o a w a r d the. r a t e s of pay t h e y c o n s i d e r e d a p p r o p r i a t e , s p e c i f i c a l l y , t h o s e f o u n d i n t h e M a s t e r A g r e e m e n t . I t i s q u i t e l i k e l y t h a t h a d t h e y been g i v e n t h e same w r i t t e n • s t a t e m e n t o f p o l i c y , a r b i t r a t o r s i n n o n - p r o f i t f a c i l i t i e s m i g h t h a v e been l e s s h e s i t a n t i n a w a r d i n g M a s t e r A g r e e m e n t r a t e s . P r e v i o u s l y t h e y h a d been o p e r a t i n g u n d e r some d e g r e e o f u n c e r t a i n t y a s t h e g o v e r n m e n t had n e v e r a c t u a l l y g u a r a n t e e d t h a t e a c h a w a r d w o u l d be c o v e r e d . D. P h a s e I I I On F e b r u a r y 18, 1982, B.C. P r e m i e r B e n n e t t i n t r o d u c e d t h e C o m p e n s a t i o n S t a b i l i z a t i o n P r o g r a m . The a i m o f t h e P r o g r a m was t o l i m i t t h e l e v e l of c o m p e n s a t i o n t h a t p u b l i c s e c t o r e m p l o y e e s c o u l d r e c e i v e d u r i n g a t i m e g o v e r n m e n t r e v e n u e s had d e c l i n e d s h a r p l y due t o a s e v e r e r e c e s s i o n . R e s t r i c t i o n s on c o m p e n s a t i o n were t o l a s t f o r two y e a r s . T o t a l c o m p e n s a t i o n was l i m i t e d t o t e n p e r c e n t i n t h e f i r s t y e a r and e i g h t p e r c e n t i n t h e s e c o n d y e a r , w i t h some f l e x i b i l i t y i n t h e s e c e i l i n g s t o t a k e i n t o c o n s i d e r a t i o n o t h e r s p e c i f i e d f a c t o r s . On J u l y 2 7 t h t h e s e f i g u r e s were c h a n g e d t o s i x p e r c e n t i n t h e f i r s t y e a r a n d f i v e p e r c e n t i n t h e s e c o n d y e a r ( R u f f 1984, p.296 ( F o o t n o t e s ) ) . The C o m p e n s a t i o n S t a b i l i z a t i o n A c t (S.B.C. 1982, c.32) c r e a t e d t h e o f f i c e o f a C o m m i s s i o n e r whose r o l e w o u l d be t o r e v i e w t h e e c o n o m i c t e r m s o f p u b l i c s e c t o r c o l l e c t i v e a g r e e m e n t s , w h e t h e r a c h i e v e d by n e g o t i a t i o n s o r a r b i t r a t i o n , i n o r d e r t o d e t e r m i n e w h e t h e r t h e y f e l l w i t h i n t h e C o m p e n s a t i o n S t a b i l i z a t i o n G u i d e l i n e s . I f t h e y d i d n o t , he p r o v i d e d t h e p a r t i e s w i t h an o p p o r t u n i t y t o c h a n g e t h e i r c o m p e n s a t i o n p a c k a g e 144 s o t h a t i t f i t w i t h i n t h e maximum i n c r e a s e t h a t he deemed a l l o w a b l e u n d e r t h e G u i d e l i n e s ( s . 1 5 ) . I f t h e C o m m i s s i o n e r d e c i d e d t h a t t h e " c o m p e n s a t i o n p l a n " f e l l o u t s i d e t h e G u i d e l i n e s , he a l s o had t h e r i g h t u n d e r P a r t I I I o f t h e A c t t o i s s u e an o r d e r b l o c k i n g wage i n c r e a s e s t h a t e x c e e d e d t h e C o m p e n s a t i o n S t a b i l i z a t i o n R e g u l a t i o n s . The G u i d e l i n e s a r e t h e c r i t e r i a f o r s e t t l e m e n t o f e c o n o m i c i t e m s t o w h i c h t h e p a r t i e s were e x p e c t e d t o a d h e r e i n t h e " v o l u n t a r y s t a g e " o f t h e P r o g r a m . The R e g u l a t i o n s c r e a t e d l e g a l l y e n f o r c e a b l e wage l i m i t s w h i c h t h e C o m m i s s i o n e r may d e t e r m i n e i t i s n e c e s s a r y a nd a p p r o p r i a t e t o a p p l y t o an e m p l o y e e g r o u p . To d a t e , t h e R e g u l a t i o n s h a v e n e v e r been a p p l i e d a n d i t w o u l d a p p e a r t h a t t h e C o m m i s s i o n e r w o u l d do so o n l y where a l l o t h e r means t o v o l u n t a r y s e t t l e m e n t h a v e f a i l e d . 7 Ed Peck h a s h e l d t h e p o s i t i o n o f C o m m i s s i o n e r s i n c e t h e P r o g r a m b e g a n . By t h e d e f i n i t i o n s f o u n d i n t h e A c t , " p u b l i c s e c t o r e m p l o y e r " i n c l u d e s " ( g ) a co m m u n i t y c a r e f a c i l i t y a s d e f i n e d i n t h e Community C a r e F a c i l i t y A c t w h i c h r e c e i v e s f u n d s f r o m a n o t h e r p u b l i c s e c t o r e m p l o y e r , " a nd " ( h ) a h o s p i t a l a s d e f i n e d i n t h e H o s p i t a l A c t o r t h e H o s p i t a l I n s u r a n c e A c t w h i c h r e c e i v e s f u n d s f r o m a n o t h e r p u b l i c s e c t o r e m p l o y e r . " A l l l o n g t e r m c a r e f a c i l i t i e s w o u l d f a l l i n t o one o r t h e o t h e r o f t h e s e c a t e g o r i e s . T h i s means t h a t any a r b i t r a t i o n a w a r d i s s u e d i n t h i s i n d u s t r y w o u l d be s u b j e c t t o r e v i e w by t h e C o m m i s s i o n e r t o d e t e r m i n e w h e t h e r t h e c o m p e n s a t i o n p a c k a g e a w a r d e d f i t s w i t h i n t h e G u i d e l i n e s . 145 How d i d a r b i t r a t o r s i n l o n g t e r m c a r e r e s p o n d t o t h e C o m p e n s a t i o n S t a b i l i z a t i o n P r o g r a m ? Of t h e t e n a w a r d s t h a t have been i s s u e d s i n c e t h e P r o g r a m came i n t o e f f e c t , t h e M a s t e r A g r e e m e n t was a w a r d e d t h e f i r s t e i g h t t i m e s . The n i n t h a r b i t r a t i o n , , t h e r e n e w a l of t h e " M i n i - M a s t e r , " i n c l u d e d t h e a r b i t r a t o r ' s f i n a l r u l i n g on t h e M a s t e r A g r e e m e n t , a f t e r r e v i e w by t h e C o m m i s s i o n e r . The C o m m i s s i o n e r had a l r e a d y s e n t t h e f i r s t v e r s i o n of t h e M a s t e r A g r e e m e n t b a c k t o t h e p a r t i e s b e c a u s e i t d i d n o t f i t w i t h i n t h e G u i d e l i n e s . U n d e r t h e s e c i r c u m s t a n c e s , i f t h e a r b i t r a t o r a w a r d e d a h i g h e r r a t e o f i n c r e a s e t o e m p l o y e e s c o v e r e d by t h e L o n g Term C a r e S t a n d a r d A g r e e m e n t t h a n t h o s e c o v e r e d by t h e M a s t e r , i t was c l e a r t h a t t h e C o m m i s s i o n e r w o u l d r e j e c t t h e r a t e f o r t h e l o n g t e r m c a r e e m p l o y e e s . T h e r e f o r e , t h e e m p l o y e e s o f t h e s e v e n t e e n f a c i l i t i e s t h a t a r e p a r t o f t h e " M i n i - M a s t e r " a r e s t i l l r e c e i v i n g wages t h a t a r e n i n e t y - f i v e p e r c e n t o f M a s t e r A g r e e m e n t r a t e s . The t e n t h a r b i t r a t i o n was t h e M c T a g g a r t a w a r d , o v e r t u r n e d by t h e B.C. Supreme C o u r t , i n p a r t b e c a u s e of a m b i g u i t y i n t h e a w a r d . Of t h e e i g h t a r b i t r a t i o n s i n w h i c h M a s t e r A g r e e m e n t r a t e s were a w a r d e d , f i v e were f o r f a c i l i t i e s i n w h i c h t h e r e had been no p r e v i o u s c o l l e c t i v e a g r e e m e n t s . A l l o f t h e e i g h t a w a r d s e x c e e d e d t h e C o m p e n s a t i o n S t a b i l i z a t i o n G u i d e l i n e s , e s p e c i a l l y t h e a r b i t r a t i o n s f o r f i r s t c o l l e c t i v e a g r e e m e n t s w h i c h r e q u i r e d l a r g e i n c r e a s e s t o b r i n g wages and b e n e f i t s i n l i n e w i t h t h e M a s t e r A g r e e m e n t . T h i s d i s c r e p a n c y r e f l e c t e d a f u n d a m e n t a l d i f f e r e n c e o f o p i n i o n b e t w e e n a r b i t r a t o r s and P e c k a s t o how t h e f o r m e r s h o u l d p e r f o r m t h e i r f u n c t i o n u n d e r t h e C o m p e n s a t i o n 146 S t a b i l i z a t i o n P r o g r a m . One o f t h e most s i g n i f i c a n t s e c t i o n s o f t h e CSP G u i d e l i n e s was S e c t i o n 17: 17. The g u i d e l i n e s e s t a b l i s h c r i t e r i a f o r l i m i t s t o i n c r e a s e s i n , t o t a l c o m p e n s a t i o n f o r g r o u p s i n o r d e r (a) t o r e s t r a i n and s t a b i l i z e l e v e l s o f c o m p e n s a t i o n i n t h e p u b l i c s e c t o r (b) t o r e t a i n j o b s e c u r i t y , and ( c ) t o p r e s e r v e s e r v i c e s w i t h i n t h e e m p l o y e r ' s a b i l i t y t o p a y . The p e r c e n t a g e i n c r e a s e s i n c o m p e n s a t i o n u n d e r t h e P r o g r a m r a n g e downward f r o m 10%. The C o m m i s s i o n e r s t a t e d i n one of h i s e a r l y r e v i e w s t h a t " a r b i t r a t o r s a r e s i m p l y n o t f r e e t o i g n o r e [ a b i l i t y t o p a y ] when c o n s i d e r i n g and a t t e m p t i n g t o a p p l y t h e s t a t u t o r y f r a m e w o r k m a n d a t e d by t h e A c t . " ( R u l i n g No. 10/82, Z i o n P a r k Manor and BCNU, p.5) He a l s o s t a t e d i n t h e same r e v i e w t h a t , "any a w a r d o f an i n c r e a s e i n c o m p e n s a t i o n i n e x c e s s o f I 0 % . . . i s i n d e f e n s i b l e u n d e r t h e scheme o f t h e A c t , however r e a s o n a b l e i t may be i n i t s a b s e n c e . " ( p . 1 0 ) A f t e r a s e r i e s o f a r b i t r a t i o n s i n t h i s i n d u s t r y i n w h i c h t h e M a s t e r A g r e e m e n t was e s t a b l i s h e d a s t h e a p p r o p r i a t e r a t e o f pay f o r s e r v i c e e m p l o y e e s a nd i n w h i c h t h e a b i l i t y t o pay o f a p u b l i c l y f u n d e d e m p l o y e r h ad been c o n s i d e r e d i r r e l e v a n t , a r b i t r a t o r s were b e i n g t o l d t h a t t h e y were o b l i g e d t o i m p o s e i n c r e a s e s t h a t w o u l d f a l l b e l o w M a s t e r A g r e e m e n t l e v e l s a n d t o c r e a t e some k i n d o f s t a n d a r d by w h i c h t o d e t e r m i n e t h e e m p l o y e r ' s a b i l i t y t o pay an i n c r e a s e . 1.47 I n t h e same r e v i e w , t h e C o m m i s s i o n e r s t a t e d t h a t , " [ t h e C o m p e n s a t i o n S t a b i l i z a t i o n P r o g r a m ] i s n o t an i n d u s t r i a l r e l a t i o n s v e h i c l e a n d i s t h e r e f o r e , r e l a t i v e l y i n s e n s i t i v e t o i n d u s t r i a l r e l a t i o n s c o n s i d e r a t i o n s , h owever i n f l u e n t i a l t h e y m i g h t be i n o t h e r c i r c u m s t a n c e s . " ( p . 5 ) P e c k ' s i n t e r p r e t a t i o n of t h e r o l e o f a r b i t r a t o r s u n d e r t h e P r o g r a m l e f t them l i t t l e room f o r " i n d u s t r i a l r e l a t i o n s c o n s i d e r a t i o n s " s u c h a s t h e c o m p a r i s o n s w h i c h h a d d e t e r m i n e d t h a t e m p l o y e e s i n l o n g t e r m c a r e were e n t i t l e d t o M a s t e r A g r e e m e n t r a t e s . I t was f o r t h i s r e a s o n t h a t a r b i t r a t o r s r e f u s e d t o g i v e much w e i g h t t o t h e c r i t e r i a t h a t t h e C o m m i s s i o n e r h ad s t a t e d s h o u l d be o f c a r d i n a l i m p o r t a n c e t o them when m a k i n g a w a r d s . I t was t h e c o n s e n s u s among t h e s e a r b i t r a t o r s t h a t i t was t h e i r r e s p o n s i b i l i t y t o c o n t i n u e a s " i n d u s t r i a l r e l a t i o n s v e h i c l e s " w i t h i n t h e " s p i r i t " o f t h e C o m p e n s a t i o n S t a b i l i z a t i o n P r o g r a m G u i d e l i n e s , a n d i t was t h e C o m m i s s i o n e r ' s r e s p o n s i b i l i t y t o a p p l y t h e a c t u a l c r i t e r i a i n t h e G u i d e l i n e s t o t h e a w a r d s b r o u g h t b e f o r e h i m . 8 Not a l l a r b i t r a t o r s i n P h a s e I I I a r b i t r a t i o n s a t t e m p t e d t o j u s t i f y d e c i s i o n s t o a w a r d i n c r e a s e s g r e a t e r t h a n t h e maximum p e r m i s s i b l e u n d e r t h e G u i d e l i n e s . T h o s e who d i d p r o v i d e e x p l a n a t i o n s a r g u e d , w i t h r e f e r e n c e t o d i f f e r e n t s e c t i o n s o f t h e G u i d e l i n e s o r t h e A c t , t h a t t h e L e g i s l a t u r e h a d n o t i n t e n d e d i n e q u i t i e s t o e x i s t w i t h i n an i n d u s t r y . F o r e x a m p l e , i n W i l l o w h a v e n P r i v a t e H o s p i t a l a n d t h e HEU (Hope, Dec. 28, 1 9 8 3 ) , t h e a r b i t r a t o r u s e d t h e p r e a m b l e t o t h e G u i d e l i n e s t o s u p p o r t t h i s p o s i t i o n : • 148 The G u i d e l i n e s a r e d e s i g n e d t o g i v e a l l p u b l i c s e c t o r employees a comparable r e s t r a i n t e x p e r i e n c e whenever they e n t e r t h e Program. To Hope, i f one group of employees i n an i n d u s t r y were awarded a c e r t a i n l e v e l of r e m u n e r a t i o n and an o t h e r group of comparable employees i n the same i n d u s t r y r e c e i v e d l e s s , then the g o a l of the Program, as s e t out i n the preamble, would not be f u l f i l l e d ( p . 1 1 ) . F o l l o w i n g the d e c i s i o n t o d e f y the Commissioner's i n t e r p r e t a t i o n s of how the G u i d e l i n e s s h o u l d be a p p l i e d d u r i n g a r b i t r a t i o n , i t was u n l i k e l y t h a t the awards of these a r b i t r a t o r s , e s p e c i a l l y those f o r f i r s t c o l l e c t i v e agreements i n which l a r g e i n c r e a s e s were r e q u i r e d t o b r i n g employees t o Master Agreement l e v e l s , would be uph e l d d u r i n g the re v i e w p r o c e s s . What has happened t o date i s t h a t "compensation p l a n s " f o r a l l of the f a c i l i t i e s c o v e r e d by seven of the f i r s t e i g h t awards i n Phase I I I have been s u b m i t t e d t o the Commissioner. A "compensation p l a n " i s the proposed wage and b e n e f i t package t o be i n c l u d e d i n the c o l l e c t i v e agreement a r r i v e d a t through n e g o t i a t i o n s or a r b i t r a t i o n . Of the t h i r t e e n " p l a n s " t h a t have been f i l e d t hus f a r , n i n e have r e c e i v e d f i n a l a p p r o v a l . F i v e of these f a c i l i t i e s had Master Agreement r a t e s b e f o r e the Phase I I I a r b i t r a t i o n s . P r e s e n t l y , f o u r have Master Agreement l e v e l s of r e m u n e r a t i o n . In the f i f t h c a s e , W i l l o w h a v e n P r i v a t e H o s p i t a l , the employer argued t h a t he was unable t o pay Master Agreement r a t e s . T h i s p o s i t i o n was found t o be l e g i t i m a t e by the Commissioner and thus 1 49 . -t h e f i n a l s e t t l e m e n t i s l o w e r t h a n t h e M a s t e r A g r e e m e n t . The o t h e r f o u r " p l a n s " have s e t t l e d f i r s t c o l l e c t i v e a g r e e m e n t s . They p r o v i d e c o m p e n s a t i o n l e v e l s f a r b e l o w M a s t e r Agreement r a t e s . I n f a c t , i t i s u n l i k e l y t h a t when a l l s e v e n f i r s t c o l l e c t i v e a g r e e m e n t s have been f i n a l i z e d , any of t h e s e c o n t r a c t s w i l l e v en r e a c h " M i n i - M a s t e r " l e v e l s . 9 How s u c c e s s f u l h a s t h e HEU been a t a c h i e v i n g i t s g o a l o f M a s t e r A g r e e m e n t r a t e s i n l o n g t e r m c a r e f a c i l i t i e s t h r o u g h t h e use o f a r b i t r a t i o n ? I t i s i r o n i c t h a t a l t h o u g h a r b i t r a t o r s h ave a g r e e d w i t h t h e U n i o n t h a t i t s members i n t h i s i n d u s t r y a r e e n t i t l e d t o t h e r a t e s o f t h e M a s t e r , o n l y i n p r o p r i e t a r y f a c i l i t i e s ( a n d a v e r y few n o n - p r o f i t s ) were t h e s e r a t e s a c t u a l l y a w a r d e d b e f o r e t h e C o m p e n s a t i o n S t a b i l i z a t i o n P r o g r a m came i n t o e f f e c t . T h u s , i t i s o n l y i n t h e s e few f a c i l i t i e s t h a t t h e HEU h a s f u l l y a c h i e v e d i t s g o a l . I n t h e c a s e o f t h e a r b i t r a t i o n s t h a t have t a k e n p l a c e s i n c e t h e C o m p e n s a t i o n S t a b i l i z a t i o n P r o g r a m was i m p l e m e n t e d , a t l e a s t t h i r t y - s e v e n f a c i l i t i e s t h a t were p a r t y t o t h e s e a r b i t r a t i o n s w i l l n o t r e a c h M a s t e r A g r e e m e n t r a t e s o f pay w h i l e t h e P r o g r a m i s i n e f f e c t . H o wever, o f t h e s e t h i r t y - s e v e n , s e v e n t e e n a r e s t i l l a t t h e " M i n i - M a s t e r " l e v e l and s i n c e t h e t w e l v e HEU f a c i l i t i e s c o v e r e d by t h e now d e f u n c t M a c T a g g a r t a w a r d a r e c u r r e n t l y a t t h e l e v e l of t h e o l d L o n g Term C a r e S t a n d a r d , t h e y a l s o l i k e l y w i l l s e t t l e f o r a r o u n d n i n e t y - f i v e p e r c e n t o f t h e M a s t e r A g r e e m e n t wage s c a l e . A l t h o u g h " M i n i - M a s t e r " r a t e s do n o t t a k e t h e HEU t o i t s u l t i m a t e g o a l o f p a r i t y w i t h t h e M a s t e r , t h i s d i f f e r e n c e i s much l e s s t h a n t h a t w h i c h h ad s e p a r a t e d l o n g t e r m c a r e f r o m a c u t e 150 c a r e wages i n t h e e a r l i e r a r b i t r a t i o n s . T h u s , t h e HEU h a s been b l o c k e d i n i t s a t t e m p t t o a c h i e v e M a s t e r Agreement r a t e s c o n s i s t e n t l y i n a r b i t r a t i o n due t o t h e r e v i e w p r o c e s s o f t h e C o m p e n s a t i o n S t a b i 1 i z a t i o n A c t . P r e v i o u s t o t h e C o m p e n s a t i o n S t a b i l i z a t i o n P r o g r a m t h e a c t u a l t e r m s and c o n d i t i o n s a w a r d e d by a r b i t r a t o r s i n i n t e r e s t a r b i t r a t i o n s were n o t open t o r e v i e w . They were a b l e t o a w a r d M a s t e r Agreement r a t e s e ven i f i t meant l a r g e i n c r e a s e s f o r t h e e m p l o y e e s c o n c e r n e d . Now t h e C o m m i s s i o n r e v i e w s a l l a w a r d s and t h r o u g h i t s s t a t u t o r y p o w e r s c a n e f f e c t i v e l y o v e r r i d e an a r b i t r a t o r ' s d e c i s i o n . I n 1983 t h e C o m p e n s a t i o n S t a b i l i z a t i o n A c t was amended by t h e C o m p e n s a t i o n S t a b i l i z a t i o n Amendment A c t (S.B.C. 1983, c . 1 3 ) . The new A c t removed t h e two y e a r l i m i t on wage c o n t r o l s m a k i n g t h e P r o g r a m p e r m a n e n t . I t a l s o e x t e n d e d c o v e r a g e o f t h e C o m p e n s a t i o n S t a b i l i z a t i o n A c t t o a r b i t r a t o r s a n d a r b i t r a t i o n a w a r d s . P r e v i o u s l y , where a r b i t r a t o r s were t o l d t h e y s h o u l d a t t e m p t t o make a w a r d s t h a t c o u l d be a p p r o v e d by t h e C o m m i s s i o n e r , t h e y were n o t l e g a l l y c o m p e l l e d t o do s o . Now, u n d e r S e c t i o n 2 9 ( 1 ) , a f t e r r e v i e w o f an a w a r d by t h e C o m m i s s i o n e r , a r b i t r a t o r s a r e o b l i g e d t o r e n d e r a d e c i s i o n t h a t f i t s w i t h i n t h e G u i d e l i n e s o r t h e R e g u l a t i o n s . I n a d d i t i o n , t h e Amendment A c t makes t h e a b i l i t y o f t h e e m p l o y e r t o pay " p a r a m o u n t " i n t h e d e t e r m i n a t i o n o f a c o m p e n s a t i o n p l a n ( s . 2 . 1 ) an d s p e c i f i c a l l y d i r e c t s a r b i t r a t o r s t o a p p l y " a b i l i t y t o p a y " when m a k i n g an a w a r d ( s . 1 2 . 1 ) . A r b i t r a t o r s , t h e r e f o r e , must make " a b i l i t y t o p a y " t h e i r p r i m a r y c r i t e r i o n i n d e t e r m i n i n g an 151 a w a r d o r f a c e t h e c o n s e q u e n c e s o f i g n o r i n g t h e l a w . I t i s d i f f i c u l t t o f o r e s e e how t h e s e c h a n g e s i n t h e l e g i s l a t i o n w i l l a f f e c t t h e outcome o f f u t u r e a r b i t r a t i o n s i n l o n g t e r m c a r e . The C o m m i s s i o n e r i n t e r p r e t s t h e a r b i t r a t o r ' s d u t y t o make t h e c o n s i d e r a t i o n o f a b i l i t y t o pay pa r a m o u n t t o mean t h a t an a w a r d must f i t w i t h i n t h e e x i s t i n g f u n d i n g l e v e l s o f t h e e m p l o y e r i n q u e s t i o n : "The P r o g r a m . . . i s d e s i g n e d s p e c i f i c a l l y t o d e a l w i t h d i f f e r e n c e s i n f u n d i n g a s w e l l a s o t h e r a d m i n i s t r a t i v e v a r i a b l e s b e t w e e n p u b l i c s e c t o r e m p l o y e r s . " ( R u l i n g No. 6/84, U n i o n o f R e g i s t e r e d P s y c h i a t r i c N u r s e s o f B.C. a n d BCNU and GERB, p.7) S e v e r a l a r b i t r a t o r s h a v e a t t e m p t e d r e c e n t l y t o b a s e t h e i r a w a r d s on " a b i l i t y t o p a y " a s d e f i n e d i n t h i s m a n n e r . 1 0 H o w e v e r , s i n c e t h e p a s s a g e o f t h e Amendment A c t t h e r e h a s been one a r b i t r a t i o n , GERB a n d t h e U n i o n o f R e g i s t e r e d P s y c h i a t r i c N u r s e s o f B.C., ( O w e n - F l o o d , D e c . 2 9 , 1 9 8 3 ) , i n w h i c h t h e same i s s u e s were r a i s e d a s t h o s e t h a t h a v e f a c e d a r b i t r a t o r s i n l o n g t e r m c a r e . T h i s a r b i t r a t i o n was s i m i l a r t o t h o s e i n l o n g t e r m c a r e i n t h a t t h e g r o u p c o n s i d e r e d a p p r o p r i a t e f o r c o m p a r i s o n by t h e u n i o n s a n d t h e a r b i t r a t o r was n u r s e s c o v e r e d by t h e BCNU-HLRA M a s t e r A g r e e m e n t . Even t h o u g h t h e C o m m i s s i o n e r c o n s i d e r e d i t t h e a r b i t r a t o r ' s l e g a l o b l i g a t i o n , O w e n - F l o o d d i d n o t e x a m i n e t h e e m p l o y e r s ' f u n d i n g l e v e l s i n o r d e r t o d e t e r m i n e " a b i l i t y t o p a y . " I n s t e a d , he u s e d an a r g u m e n t t h a t s e v e r a l a r b i t r a t o r s i n P h a s e I I I a r b i t r a t i o n s had e m p l o y e d b e f o r e h i m . S i n c e t h e g o v e r n m e n t was p a y i n g p u b l i c s e c t o r e m p l o y e e s t h e r a t e s o f pay f o u n d i n t h e M a s t e r A g r e e m e n t a l r e a d y , t h i s was 152 r e g a r d e d a s s u f f i c i e n t e v i d e n c e o f a b i l i t y t o pay t h e same r a t e s t o t h e g r o u p i n q u e s t i o n . C o m m i s s i o n e r Peck r e j e c t e d t h e c o m p e n s a t i o n p l a n r e s u l t i n g f r o m O w e n - F l o o d ' s a w a r d on t h e g r o u n d s t h a t i t f e l l o u t s i d e o f t h e G u i d e l i n e s and he s e n t i t back t o t h e p a r t i e s f o r f u r t h e r n e g o t i a t i o n . H owever, b e c a u s e t h e s e n u r s e s h ad n o t been r e c e i v i n g r a t e s o f p a y s i g n i f i c a n t l y l o w e r t h a n t h e g e n e r a l h o s p i t a l n u r s e s , t h e a w a r d d i d n o t e x c e e d t h e G u i d e l i n e s t o t h e e x t e n t t h a t most f u t u r e a w a r d s i n l o n g t e r m c a r e w i l l i f a r b i t r a t o r s c o n t i n u e t o u s e a r g u m e n t s s i m i l a r t o O w e n - F l o o d ' s and a w a r d M a s t e r A g r e e m e n t r a t e s . I V . CONCLUSION O f t e n f a c e d w i t h no c h o i c e b u t t o r e s o l v e i m p a s s e s i n n e g o t i a t i o n s t h r o u g h a r b i t r a t i o n , e m p l o y e r s have g r e e t e d t h e p r o c e s s w i t h v a r y i n g d e g r e e s o f e n t h u s i a s m . One i n d i c a t i o n o f how t h e y v i e w e d a r b i t r a t i o n i s t h e e x t e n t t o w h i c h t h e y a g r e e d t o a r b i t r a t i o n r a t h e r t h a n h a v i n g i t i m p o s e d upon them by t h e U n i o n . Of t h e t h i r t y - t h r e e HEU a r b i t r a t i o n s t o d a t e i n l o n g t e r m c a r e , e i g h t e e n were c o n s e n s u a l a n d f i f t e e n were i m p o s e d t h r o u g h e s s e n t i a l s e r v i c e s l e g i s l a t i o n o r t h e b i n d i n g t r i b u n a l c l a u s e i n HEU c o n t r a c t s . The d e c i s i o n t o a g r e e t o a r b i t r a t i o n was b a s e d on many f a c t o r s i n c l u d i n g t h e k i n d o f f a c i l i t y ( w h e t h e r p r o p r i e t a r y o r n o n - p r o f i t ) , p r e v i o u s e x p e r i e n c e s w i t h a r b i t r a t i o n i n l o n g t e r m c a r e , a n d , i n t h e c a s e o f t h e two e m p l o y e r s ' a s s o c i a t i o n s , t h e s p e c i f i c c h a r a c t e r i s t i c s o f t h e o r g a n i z a t i o n . On t h e p a r t o f t h e HEU, t h e u n i o n i n v o l v e d i n t h e v a s t 1 53 m a j o r i t y o f a r b i t r a t i o n s i n t h e i n d u s t r y , t h e r e was no e q u i v o c a t i o n . HEU r e p r e s e n t a t i v e s saw t h i s p r o c e s s a s a v e h i c l e by w h i c h M a s t e r Agreement r a t e s c o u l d be a c h i e v e d t h r o u g h o u t t h e h e a l t h c a r e i n d u s t r y and t h e y were w i l l i n g t o i n v o k e a r b i t r a t i o n w h e n e v e r i t was t h o u g h t t o be n e c e s s a r y and t h e U n i o n was i n a l e g a l p o s i t i o n t o do s o . A l t h o u g h t h e g o a l o f wage p a r i t y w i t h M a s t e r A g r e e m e n t employment c o n d i t i o n s h a s e l u d e d t h e m a j o r i t y of HEU w o r k e r s i n t h i s i n d u s t r y , t h e p r o g r e s s t h e U n i o n has made t o d a t e t h r o u g h a r b i t r a t i o n s h o u l d n o t be u n d e r e s t i m a t e d . E m p l o y e e s i n most p r i v a t e h o s p i t a l s w i t h HEU c e r t i f i c a t i o n s a r e e a r n i n g M a s t e r A g r e e m e n t wages a n d b e n e f i t s . T h e s e r a t e s h ave been e s t a b l i s h e d a s t h e a p p r o p r i a t e l e v e l o f r e m u n e r a t i o n f o r t h e s e e m p l o y e e s by t h e f r e q u e n c y w i t h w h i c h t h e y were a w a r d e d . I n a d d i t i o n , i f t h e c o l l e c t i v e a g r e e m e n t t h a t w i l l be s e t t l e d b e t w e e n t h e HEU and CCERA g i v e s e m p l o y e e s i n t h e t w e l v e f a c i l i t i e s c o n c e r n e d " M i n i - M a s t e r " r a t e s , t h e n w o r k e r s i n a t l e a s t t w e n t y - e i g h t HEU l o n g t e r m c a r e f a c i l i t i e s w i l l be p a i d n i n e t y - f i v e p e r c e n t of what t h e i r c o u n t e r p a r t s i n g e n e r a l h o s p i t a l s a r e e a r n i n g . The " M i n i - M a s t e r " was a d i r e c t r e s u l t o f t h e a r b i t r a t i o n s t h a t t o o k p l a c e i n n o n - p r o f i t f a c i l i t i e s e a r l y i n P h a s e 1 1 ( a ) . The HEU w o u l d n o t h a v e been i n a p o s i t i o n t o n e g o t i a t e t h e L o n g Term C a r e S t a n d a r d A g r e e m e n t i f a r b i t r a t o r s h a d n o t a l r e a d y a w a r d e d s i m i l a r wage s t r u c t u r e s i n n o n - p r o f i t f a c i l i t i e s . E m p l o y e e s i n s e v e r a l n o n - p r o f i t f a c i l i t i e s a r e a l s o a t M a s t e r A g r e e m e n t l e v e l s . I n a s m a l l number o f c a s e s t h e i n c r e a s e s r e q u i r e d t o b r i n g e m p l o y e e s i n t h e s e f a c i l i t i e s t o M a s t e r A g r e e m e n t l e v e l s were a c h i e v e d t h r o u g h a r b i t r a t i o n . 1 54 C l e a r l y , t h e HEU has made good use of a r b i t r a t i o n t o a c h i e v e b e t t e r c o n d i t i o n s f o r i t s members. U n d o u b t e d l y , t h e U n i o n w o u l d have met w i t h e v e n g r e a t e r s u c c e s s h ad i t n o t been f o r g o v e r n m e n t p o l i c i e s w h i c h had t h e e f f e c t o f f o i l i n g t h e e f f o r t s o f t h e HEU t o r e a c h M a s t e r A g r e e m e n t l e v e l s o f r e m u n e r a t i o n i n a l l f a c i l i t i e s t h r o u g h a r b i t r a t i o n . A r b i t r a t o r s h a v e a l m o s t c o n s i s t e n t l y s u p p o r t e d t h e c l a i m o f t h e HEU t h a t i t s members i n l o n g t e r m c a r e a r e e n t i t l e d t o t h e same r a t e s o f pay a s e m p l o y e e s i n g e n e r a l h o s p i t a l s . H owever, t h e g o v e r n m e n t u s e d i t s power a s t h e f u n d i n g a g e n c y when r e p r e s e n t a t i v e s o f t h e M i n i s t r y o f H e a l t h c l a i m e d t h a t t h e Long Term C a r e P r o g r a m was n o t p r e p a r e d t o i n c r e a s e f u n d i n g t o c o v e r an a w a r d t h a t w o u l d have g i v e n e m p l o y e e s s u b s t a n t i a l i n c r e a s e s i n c o m p e n s a t i o n . The r e s u l t o f t h i s p o l i c y was t h a t a r b i t r a t o r s f e l t t h e y h a d no c h o i c e b u t t o t a k e t h i s f a c t o r i n t o c o n s i d e r a t i o n . P r e s e n t l y , due t o t h e g o v e r n m e n t ' s use o f i t s l e g i s l a t i v e p o w e r s , a r b i t r a t o r s i n l o n g t e r m c a r e a r e no l o n g e r t h e f i n a l a u t h o r i t y r e g a r d i n g t h e e c o n o m i c t e r m s t h a t a r e t o become p a r t o f a c o l l e c t i v e a g r e e m e n t . Under t h e t e r m s o f t h e C o m p e n s a t i o n S t a b i l i z a t i o n P r o g r a m , t h i s r o l e e f f e c t i v e l y h a s been t a k e n o v e r by t h e C o m m i s s i o n e r . W h i l e t h e P r o g r a m i s i n e f f e c t , w o r k e r s i n f a c i l i t i e s i n w h i c h e m p l o y e e s a r e n o t a l r e a d y r e c e i v i n g t h e same wages a s w o r k e r s c o v e r e d by t h e HEU-HLRA M a s t e r A g r e e m e n t w i l l n o t r e c e i v e i n c r e a s e s b r i n g i n g them t o t h a t l e v e l . H o w ever, i f and when wage c o n t r o l s a r e r e m o v e d , t h e r e i s l i t t l e d o u b t t h a t a r b i t r a t o r s w i l l a w a r d M a s t e r A g r e e m e n t r a t e s 155 a s t h e y have f i r m l y e s t a b l i s h e d t h e M a s t e r A g r e e m e n t as t h e o n l y a p p r o p r i a t e l e v e l o f c o m p e n s a t i o n f o r s e r v i c e e m p l o y e e s i n l o n g t e r m c a r e . Then t h e HEU w i l l h ave a c h i e v e d i t s g o a l o f an i n d u s t r y - w i d e s t a n d a r d . 1 56 FOOTNOTES 1. I n t e r v i e w w i t h t h e d i r e c t o r o f a n o n - p r o f i t f a c i l i t y , J u n e 1 983. 2. I n t e r v i e w w i t h an HEU s p o k e s p e r s o n , S e p t . 1984. 3. I b i d . 4. See C h a p t e r 2, F o o t n o t e 11. 5. T e l e p h o n e c o n v e r s a t i o n w i t h P r o f . James M a c l n t y . r e , S e p t . 1984. 6. Q u o t e d i n t h e a w a r d on p.13 f r o m a p r e v i o u s d r a f t o f t h e same a w a r d . 7. T h i s i n f o r m a t i o n p r o v i d e d by Ms. H e a t h e r M c D o n a l d , L e g a l O f f i c e r , O f f i c e o f t h e C o m m i s s i o n e r , Nov. 1984. 8. See f o r e x a m p l e , A l t a m o n t , P a r k r i d g e , L a d n e r and Como L a k e P r i v a t e H o s p i t a l s and HEU ( L e o n G e t z , M a r c h 14, 1 9 8 3 ) . 9. ' I n f o r m a t i o n o b t a i n e d f r o m Mr. L a r r y G r e g g , P o l i c y M a n a g e r , O f f i c e o f t h e C o m m i s s i o n e r , Nov. 1984. 10. See f o r e x a m p l e , R u l i n g No.4/84, C o l l e g e o f New C a l e d o n i a a n d C o l l e g e o f New C a l e d o n i a F a c u l t y A s s o c i a t i o n , a n d R u l i n g No.5/84, C i t y o f V a n c o u v e r a nd V a n c o u v e r F i r e f i g h t e r s ' U n i o n , L o c a l 18. 1 57 CHAPTER 6 SUMMARY AND CONCLUSIONS Ten y e a r s a f t e r u n i o n i z a t i o n i n l o n g t e r m c a r e f i r s t b e g a n , i t w o u l d a p p e a r t h a t t h e number o f c e r t i f i e d f a c i l i t i e s h as begun t o s t a b i l i z e . S i x t y - t h r e e p e r c e n t o f p r i v a t e h o s p i t a l s and n o n - p r o f i t community c a r e f a c i l i t i e s a r e u n i o n i z e d . Of t h e r e m a i n i n g f a c i l i t i e s t h a t f a l l w i t h i n t h e s e two c a t e g o r i e s , o n l y a s m a l l p r o p o r t i o n a r e l a r g e enough t o make o r g a n i z i n g p r a c t i c a l . I n g e n e r a l , p r o p r i e t a r y community c a r e f a c i l i t i e s h a ve v e r y l o w bed c a p a c i t i e s . T h e r e f o r e , t h e m a j o r i t y o f f a c i l i t i e s w i t h s t a f f c o n t i n g e n t s l a r g e e n o u g h t o make o r g a n i z i n g f e a s i b l e a r e a l r e a d y u n i o n i z e d . M o r e o v e r , new f a c i l i t i e s a r e n o t b e i n g b u i l t . Due t o l i m i t e d g o v e r n m e n t f u n d s , n o n - p r o f i t f a c i l i t i e s c a n no l o n g e r o p t i n t o t h e Long Term C a r e P r o g r a m and p r o p r i e t a r y f a c i l i t i e s h ave n o t been a b l e t o j o i n t h e P r o g r a m s i n c e i t s i n c e p t i o n i n 1978. T h e r e i s l i t t l e i n c e n t i v e f o r n o n - p r o f i t s o c i e t i e s o r p r i v a t e o w n e r s t o b u i l d new f a c i l i t i e s u n d e r t h e s e c i r c u m s t a n c e s . O p e r a t i n g e x p e n s e s w o u l d n o t be c o v e r e d by t h e g o v e r n m e n t a n d r e s i d e n t s o r p a t i e n t s w o u l d have t o be c h a r g e d amounts t h a t r e f l e c t e d t h e c o s t s o f t h e i r c a r e when t h e y c o u l d be p a y i n g m i n i m a l amounts i n f a c i l i t i e s t h a t b e l o n g e d t o t h e 1 58 P r o g r a m . F o r t h e p r e s e n t , wage l e v e l s h ave a l s o s t a b i l i z e d . L ong t e r m c a r e e m p l o y e e s c a n o n l y r e c e i v e i n c r e a s e s a p p r o v e d by t h e C o m p e n s a t i o n S t a b i l i z a t i o n C o m m i s s i o n e r . W h i l e t h e C o m p e n s a t i o n S t a b i l i z a t i o n P r o g r a m i s i n e f f e c t , w o r k e r s who a r e n o t p r e s e n t l y a t M a s t e r A g r e e m e n t wage and b e n e f i t l e v e l s a r e r e c e i v i n g i n c r e a s e s t h a t w i l l o n l y m a i n t a i n t h e d i f f e r e n c e b e t w e e n t h e i r l e v e l s o f r e m u n e r a t i o n a nd t h e M a s t e r . How f a r h a s t h e HEU come t o w a r d s a c h i e v i n g t h e g o a l s o f e x p a n d i n g i t s i n f l u e n c e i n t h e h e a l t h c a r e f i e l d a n d a t t a i n i n g t h e M a s t e r A g r e e m e n t i n a l l f a c i l i t i e s f o r w h i c h i t i s c e r t i f i e d ? By 1975, when t h e HEU f i r s t began t o w i n c e r t i f i c a t i o n s i n l a r g e n u m b e r s , f i v e o t h e r u n i o n s a l r e a d y r e p r e s e n t e d s e r v i c e e m p l o y e e s i n l o n g t e r m c a r e f a c i l i t i e s . A l t h o u g h i t i s p o s s i b l e t h a t w o r k e r s i n f a c i l i t i e s c e r t i f i e d t o o t h e r u n i o n s may c h o o s e i n t h e f u t u r e t o be r e p r e s e n t e d by t h e HEU, t h e u n i o n o f f e r i n g s u p e r i o r wages and b e n e f i t s , i t i s n o t l i k e l y t h a t a l l l o n g t e r m c a r e s e r v i c e w o r k e r s w i l l become HEU members i n t h i s way. Nor i s t h e HEU l i k e l y t o r a i d t h e s e f a c i l i t i e s . I t i s a member o f O p e r a t i o n S o l i d a r i t y , a c o a l i t i o n o f p u b l i c a n d p r i v a t e s e c t o r u n i o n s f o r m e d i n J u l y 1983 t o o p p o s e g o v e r n m e n t r e s t r a i n t m e a s u r e s and u n i t e t h e p r o v i n c i a l l a b o u r movement ( C a r r o l l 1984, p p . 9 7 - 8 ) . W h i l e O p e r a t i o n S o l i d a r i t y e x i s t s , a "no r a i d " a g r e e m e n t i s i n e f f e c t among i t s c o n s t i t u e n t members, i n c l u d i n g t h e f i v e o t h e r l o n g t e r m c a r e u n i o n s . 1 M o r e o v e r , now t h a t t h e U n i o n i s a f f i l i a t e d w i t h t h e C a n a d i a n L a b o u r C o n g r e s s , i t c a n n o t r a i d o t h e r a f f i l i a t e s o f t h e 1 59 CLC. I n t h e l o n g t e r m c a r e i n d u s t r y , t h i s w o u l d i n c l u d e t h e BGGEU, CUPE a n d t h e S E I U . T h e r e f o r e , i t i s u n l i k e l y t h a t t h e HEU w i l l e v e r be t h e s o l e u n i o n r e p r e s e n t i n g l o n g t e r m c a r e s e r v i c e w o r k e r s . H o w e v e r , t h e U n i o n has managed t o d o m i n a t e t h e i n d u s t r y . S i n c e 1979, n e a r l y a l l c e r t i f i c a t i o n s f o r l o n g t e r m c a r e s e r v i c e w o r k e r s have been g r a n t e d t o t h e HEU. W h i l e t h e h e a l t h c a r e u n i o n h o l d s s e v e n t y - s e v e n c e r t i f i c a t i o n s i n t h e i n d u s t r y , t h e BCGEU, t h e u n i o n w i t h t h e n e x t l a r g e s t p r e s e n c e i n l o n g t e r m c a r e , h o l d s o n l y t w e l v e . A p p r o x i m a t e l y t h r e e t h o u s a n d o f t h e HEU's t w e n t y - f o u r t h o u s a n d members a r e l o n g t e r m c a r e w o r k e r s . 2 C l e a r l y , t h e move i n t o l o n g t e r m c a r e h a s i n c r e a s e d s i g n i f i c a n t l y t h e s i z e o f t h e U n i o n . However, due t o t h e d e c e n t r a l i z e d b a r g a i n i n g s t r u c t u r e t h a t e x i s t s i n t h e i n d u s t r y , i t i s q u e s t i o n a b l e w h e t h e r t h e U n i o n h a s e x p e r i e n c e d any f i n a n c i a l b e n e f i t f r o m t h i s g r o w t h . O r g a n i z i n g was c o s t l y a n d h a v i n g a c h i e v e d s u c c e s s i n o r g a n i z i n g , t h e HEU h a s e n g a g e d i n many s e t s o f n e g o t i a t i o n s a n d s e v e r a l a r b i t r a t i o n s i n t h e i n d u s t r y , r e q u i r i n g t h e e x p e n d i t u r e o f l a r g e sums o f money. I f b a r g a i n i n g s t r u c t u r e d o e s become more c e n t r a l i z e d , t h e r e w i l l be f e w e r s e t s o f n e g o t i a t i o n s f o r t h e same number o f e m p l o y e e s . Then t h e U n i o n i s more l i k e l y t o a c h i e v e some f i n a n c i a l g a i n f o r i t s e f f o r t s . I n a d d i t i o n t o o r g a n i z i n g a s much o f t h e i n d u s t r y a s p o s s i b l e , t h e o t h e r g o a l o f t h e HEU was t o a c h i e v e M a s t e r A g r e e m e n t r a t e s i n a l l o f i t s f a c i l i t i e s . The c u r r e n t s i t u a t i o n i s t h a t M a s t e r A g r e e m e n t , o r a t l e a s t " M i n i - M a s t e r " r a t e s , a r e 160 i n e f f e c t i n a l l HEU f a c i l i t i e s e x c e p t : f o r t h o s e t h a t b e l o n g t o CCERA and d i d n o t y e t have c o l l e c t i v e a g r e e m e n t s i n A p r i l 1985, o r t h o s e t h a t a c h i e v e d f i r s t c o l l e c t i v e a g r e e m e n t s a f t e r t h e C o m p e n s a t i o n S t a b i l i z a t i o n P r o g r a m was i m p l e m e n t e d . U n der t h e " M i n i , " n u r s e s ' a i d e s a r e p r e s e n t l y r e c e i v i n g a s t a r t i n g h o u r l y r a t e o f $8.69. T h u s , a l t h o u g h t h e U n i o n has n o t y e t r e a c h e d i t s g o a l , i t s members a r e f a r i n g i n f i n i t e l y b e t t e r t h a n t h e m a j o r i t y o f l o n g t e r m c a r e w o r k e r s who a d e c a d e ago were e a r n i n g wages c l o s e t o t h e l e g a l minimum. The U n i o n ' s s u c c e s s i n l o n g t e r m c a r e i s due t o t h e commitment o f i t s s u b s t a n t i a l r e s o u r c e s t o a c h i e v e t h e s e g o a l s and an a b i l i t y a n d w i l l i n g n e s s t o e x p l o i t f a v o u r a b l e g o v e r n m e n t p o l i c i e s . As t h e d o m i n a n t u n i o n i n B.C. h e a l t h c a r e , t h e HEU had t h e f i n a n c i a l r e s o u r c e s t o u n d e r t a k e e x p e n s i v e o r g a n i z i n g d r i v e s i n t h i s i n d u s t r y . I t a l s o had members i n g e n e r a l h o s p i t a l s t h r o u g h o u t t h e p r o v i n c e t o h e l p o r g a n i z e l o n g t e r m c a r e f a c i l i t i e s . Due t o t h e c e n t r a l i z e d s t r u c t u r e o f t h e o r g a n i z a t i o n , t h e U n i o n h a s s t a f f members t h a t s p e c i a l i z e i n l o n g t e r m c a r e . T h i s e x p e r t i s e h a s been u s e f u l i n p e r s u a d i n g w o r k e r s i n t h e i n d u s t r y t o j o i n t h e U n i o n . They a r e a l s o f a m i l i a r w i t h t h e l a b o u r l e g i s l a t i o n t h a t w i l l f a c i l i t a t e o r g a n i z i n g i n t h i s i n d u s t r y . T h e s e were t h e ways i n w h i c h t h e HEU was a b l e t o use i t s r e s o u r c e s t o a c h i e v e c e r t i f i c a t i o n s i n l o n g t e r m c a r e . However, c e r t i f i c a t i o n s w o u l d h a v e been o f l i t t l e v a l u e t o t h e HEU were i t n o t f o r t h e use t h e U n i o n made o f i n t e r e s t a r b i t r a t i o n u n d e r S e c t i o n 73 o f t h e L a b o u r Code and S e c t i o n 6, P a r t I I o f t h e 161 E s s e n t i a l S e r v i c e s D i s p u t e s A c t . S e c t i o n 73 gave u n i o n s i n e s s e n t i a l s e r v i c e s t h e u n i l a t e r a l r i g h t t o c h o o s e a r b i t r a t i o n t o r e s o l v e b a r g a i n i n g d i s p u t e s . T h i s p r i n c i p l e r e m a i n e d i n t a c t when t h e ESDA r e p l a c e d S e c t i o n 73 i n 1977. The u n i l a t e r a l c h o i c e t o a r b i t r a t e was i n c o r p o r a t e d i n t h e 1973 Code. The c r e a t o r s of t h e Code f e l t d e c i d e d t h a t s i n c e e s s e n t i a l s e r v i c e u n i o n s were g i v i n g up t h e r i g h t t o s t r i k e i f t h e y t o o k a d i s p u t e t o a r b i t r a t i o n , t h e y s h o u l d be c o m p e n s a t e d i n some way f o r t h i s . The r e s u l t was S e c t i o n 73 i n w h i c h i t was s o l e l y t h e u n i o n ' s c h o i c e i f and when a r b i t r a t i o n w o u l d o c c u r . I n v o k e d by t h e HEU, i t h a s had t h e e f f e c t o f a l l o w i n g t h e U n i o n t o e s t a b l i s h c o l l e c t i v e b a r g a i n i n g r e l a t i o n s h i p s w i t h e m p l o y e r s by f o r c i n g them i n t o f i r s t c o l l e c t i v e a g r e e m e n t s , a g o a l w h i c h had e l u d e d t h e HEU u n t i l t h e e n a c t m e n t o f t h e Code i n 1973. A l t h o u g h t h i s o utcome f r o m S e c t i o n 73 was n o t t h e one p r i m a r i l y i n t e n d e d by t h e a u t h o r s o f t h e Code, i t was p e r h a p s a n t i c i p a t e d . T h e s e men were aware o f t h e d i f f i c u l t i e s t h e HEU had e n c o u n t e r e d i n t h e p a s t i n n e g o t i a t i n g w i t h i n t r a n s i g e n t e m p l o y e r s o v e r f i r s t c o l l e c t i v e a g r e e m e n t s . I t was u n l i k e l y , h o w e v e r , t h a t t h e " t h r e e w i s e men" c o u l d h ave p r e d i c t e d t h e d e g r e e o f b a r g a i n i n g power t h e HEU w o u l d d e r i v e f r o m i t s r i g h t t o a r b i t r a t e o nce t h e i n d u s t r y became p u b l i c l y f u n d e d i n 1978 and a r b i t r a t o r s began t o make a w a r d s f a v o u r a b l e t o t h e U n i o n . I f e m p l o y e r s w o u l d n o t a g r e e t o M a s t e r A g r e e m e n t wages d u r i n g n e g o t i a t i o n s , t h e HEU h a d t h e f i n a n c i a l r e s o u r c e s , t h e l e g a l r i g h t ( i n most i n s t a n c e s ) , and t h e commitment t o i t s g o a l t o t a k e s u c h c a s e s b e f o r e an a r b i t r a t i o n 162 b o a r d . W i t h t h e i n t r o d u c t i o n o f t h e Long Term C a r e P r o g r a m , U n i o n r e p r e s e n t a t i v e s w o u l d a r g u e t h a t j o b s f o r s e r v i c e w o r k e r s i n l o n g t e r m c a r e f a c i l i t i e s were c o m p a r a b l e t o t h o s e i n g e n e r a l h o s p i t a l s : s i n c e a l l h e a l t h c a r e f a c i l i t i e s were f u n d e d f r o m t h e same s o u r c e ( t h e M i n i s t r y o f H e a l t h ) , a l l h e a l t h c a r e s e r v i c e w o r k e r s s h o u l d r e c e i v e t h e same wages. E m p l o y e r s w o u l d c l a i m t h a t , g i v e n c u r r e n t f u n d i n g l e v e l s f o r t h e i r f a c i l i t i e s , t h e y c o u l d n o t a f f o r d t o pay M a s t e r A g r e e m e n t r a t e s . The U n i o n ' s p o s i t i o n was p e r s u a s i v e enough t o a r b i t r a t o r s t h a t t h e y began c o n s i s t e n t l y t o a w a r d t h e M a s t e r A g r e e m e n t i n a l l f a c i l i t i e s r e g a r d l e s s o f g o v e r n m e n t f u n d i n g l e v e l s , o f t e n l e a d i n g t o wage i n c r e a s e s t h a t f a r e x c e e d e d i n c r e a s e s i n t h e c o s t o f l i v i n g . The r i g h t o f a u n i o n i n l o n g t e r m c a r e t o r e s o r t t o t h i r d p a r t y d e t e r m i n a t i o n o f c o l l e c t i v e a g r e e m e n t s and t h e s i n g l e -m i n d e d n e s s w i t h w h i c h t h e HEU p u r s u e d t h i s o p p o r t u n i t y c r e a t e d a more p o w e r f u l e c o n o m i c weapon f o r t h e U n i o n t h a n a s t r i k e . E m p l o y e r s i n t h e i n d u s t r y had no means o f c o u n t e r b a l a n c i n g t h e power o f t h e U n i o n . The c o n s o l i d a t i o n o f d e c i s i o n - m a k i n g and some c e n t r a l i z e d b a r g a i n i n g b y • t h e two e m p l o y e r s ' a s s o c i a t i o n s u n d o u b t e d l y r e s u l t e d i n more c o n s i s t e n t a p p r o a c h e s t o n e g o t i a t i o n s by e m p l o y e r s and l e s s c o s t l y c o l l e c t i v e b a r g a i n i n g due t o e c o n o m i e s o f s c a l e . H owever, g r e a t e r c e n t r a l i z a t i o n o f t h e b a r g a i n i n g s t r u c t u r e d o e s n o t a p p e a r t o h a v e p r e v e n t e d t h e HEU f r o m a c h i e v i n g f a v o u r a b l e s e t t l e m e n t s . Nor has t h e d e v e l o p m e n t o f a s e p a r a t e b a r g a i n i n g a s s o c i a t i o n r e p r e s e n t i n g l o n g t e r m c a r e e m p l o y e r s p r e v e n t e d t h i s o u t c o m e . I n f a c t , i n t h e c a s e o f t h e HEU and CCERA, t h e p a r t i e s became so e n t r e n c h e d 1 63 i n t h e i r p o s i t i o n s t h a t t h e y h a v e n e v e r n e g o t i a t e d an a g r e e m e n t . The HEU a l w a y s i m p o s e d i t s " a r b i t r a t i o n weapon" t o s e t t l e c o l l e c t i v e a g r e e m e n t s . D u r i n g e a r l y a r b i t r a t i o n s i n t h i s i n d u s t r y , t h e p r o v i n c i a l g o v e r n m e n t , a s t h e s o u r c e o f f u n d i n g f o r l o n g t e r m c a r e , a t t e m p t e d t o i n f l u e n c e a r b i t r a t i o n o u t c o m e s . R e p r e s e n t a t i v e s o f t h e L o n g Term C a r e P r o g r a m s t a t e d d u r i n g a r b i t r a t i o n h e a r i n g s t h a t t h e M i n i s t r y o f H e a l t h w o u l d n o t p r o m i s e t o c o v e r t h e c o s t s o f a r b i t r a t e d s e t t l e m e n t s . The i m p l i c a t i o n was t h a t t h e r e s p o n s i b i l i t y a s t o w h e t h e r o r n o t a f a c i l i t y r e m a i n e d o p e r a t i o n a l m i g h t r e s t w i t h t h e a r b i t r a t o r . T h i s s t r a t e g y met w i t h some s u c c e s s u n t i l a r b i t r a t o r s , who a g r e e d w i t h t h e U n i o n ' s p o s i t i o n , a w a r d e d M a s t e r A g r e e m e n t r a t e s a n d s t a t e d t h a t t h e y f e l t i t was t h e g o v e r n m e n t ' s r e s p o n s i b i l i t y t o c o v e r t h e i n c r e a s e s . The L o n g Term C a r e P r o g r a m d i d , i n f a c t , c o v e r t h e c o s t s o f t h e s e s e t t l e m e n t s . The demand f o r l o n g t e r m c a r e was s u f f i c i e n t t h a t i t w o u l d l i k e l y h a v e been a d a n g e r o u s p o l i t i c a l move t o c l o s e a f a c i l i t y , e s p e c i a l l y when t h e r e s i d e n t s were e l d e r l y . Though e m p l o y e r s were p o w e r l e s s t o p r e v e n t t h e HEU f r o m a c h i e v i n g M a s t e r A g r e e m e n t r a t e s t h r o u g h a r b i t r a t i o n , t h e g o v e r n m e n t , u s i n g i t s l e g i s l a t i v e p o w e r s , was n o t . The C o m p e n s a t i o n S t a b i l i z a t i o n P r o g r a m , a wage c o n t r o l p r o g r a m f o r p u b l i c s e c t o r e m p l o y e e s , r e q u i r e s a r b i t r a t o r s t o a p p l y once a g a i n t h e " a b i l i t y t o p a y " c r i t e r i o n . S i n c e 1983, a r b i t r a t o r s have been o b l i g e d t o i s s u e a w a r d s b a s e d p r i m a r i l y on g o v e r n m e n t f u n d i n g l e v e l s , w i t h i n a p r e s c r i b e d wage c e i l i n g . T h i s P r o g r a m 164 h a s e f f e c t i v e l y r e n d e r e d a r b i t r a t i o n i m p o t e n t a s t h e v e h i c l e by w h i c h t h e HEU c o u l d a c h i e v e M a s t e r A g r e e m e n t r a t e s i n i t s l o n g t e r m c a r e f a c i l i t i e s t h a t s t i l l r e m a i n b e l o w t h i s l e v e l . T h i s s i t u a t i o n h a s c r e a t e d a r e v e a l i n g c o n f r o n t a t i o n b e t w e e n t h e HEU a n d CCERA. I n M a r c h 1985 r e p r e s e n t a t i v e s o f t h e s e two o r g a n i z a t i o n s were m e e t i n g a t t h e L a b o u r R e l a t i o n s B o a r d t o d e f i n e what s e r v i c e s were c o n s i d e r e d e s s e n t i a l i n t h e t w e l v e f a c i l i t i e s c o v e r e d by t h e M c T a g g a r t a w a r d ("Long-Term C a r e S t r i k e T h r e a t e n e d , " 1 9 8 5 ) . The HEU i s s t a t i n g t h a t i t i n t e n d s t o engage i t s members i n t h e s e f a c i l i t i e s i n a s e r i e s o f r o t a t i n g s t r i k e s i n o r d e r t o a t t a i n M a s t e r A g r e e m e n t wages and b e n e f i t s f o r them. The U n i o n c l a i m s t h a t t h e s e w o r k e r s a r e e n t i t l e d t o t h e M a s t e r a s t h a t i s what M c T a g g a r t a w a r d e d ( e v e n t h o u g h t h e a w a r d was v a c a t e d ) . CCERA i s w i l l i n g t o s e t t l e w i t h t h e HEU a t " M i n i - M a s t e r " r a t e s . The d i s p u t e i n d i c a t e s t h a t t h e HEU i n t e n d s t o make i t s n e g o t i a t i n g demands t o e m p l o y e r s a s i f t h e C o m p e n s a t i o n S t a b i l i z a t i o n P r o g r a m was n o t i n e f f e c t , t h e r e b y r e g i s t e r i n g i t s o b j e c t i o n s t o t h e P r o g r a m . Even i f CCERA were t o a g r e e t o M a s t e r A g r e e m e n t r a t e s , t h e C o m m i s s i o n e r w o u l d n o t . I t i s a l s o c l e a r , f u r t h e r m o r e , t h a t t h e HEU no l o n g e r p e r c e i v e s a r b i t r a t i o n t o be t h e most e f f e c t i v e means o f wage d e t e r m i n a t i o n . I n s t e a d o f f o r c i n g CCERA i n t o a n o t h e r h e a r i n g t o r e s o l v e t h e d i s p u t e , t h e U n i o n i s r e s o r t i n g t o a work s t o p p a g e . I t i s i n t e r e s t i n g t o n o t e t h a t t h e c o l l e c t i v e b a r g a i n i n g e x p e r i e n c e o f n u r s e s i n l o n g t e r m c a r e h a s p a r a l l e l l e d t h a t o f s e r v i c e w o r k e r s . The one s i g n i f i c a n t d i f f e r e n c e b e t w e e n t h e two • 165 groups i n terms of u n i o n i z a t i o n , i s t h a t most graduate and r e g i s t e r e d n u r s e s are r e p r e s e n t e d by t h e BCNU w h i l e s e r v i c e workers a r e r e p r e s e n t e d by s i x u n i o n s , of which the HEU i s the l a r g e s t . L i k e the HEU, the BCNU has c l a i m e d t h a t i t s members i n long term c a r e s h o u l d be e a r n i n g t h e same wages as nurses covered by i t s Master Agreement w i t h HLRA. The Nurses' Union has a l s o made use of a r b i t r a t i o n t o a c h i e v e t h i s g o a l , w i t h c o n s i d e r a b l e s u c c e s s . Three y e a r s ago r e g i s t e r e d n u r s e s i n two f a c i l i t i e s were awarded p a r i t y w i t h the Master Agreement (HLRA (New V i s t a Care Home and Shaughnessy Manor) and RNABC (Labour R e l a t i o n s D i v i s i o n ) ( G e t z , J a n . 5, 1981)) and s i n c e t h a t time t w e n t y - f i v e more f a c i l i t i e s have been g r a n t e d Master Agreement r a t e s ("Nurses' S t r i k e C o u l d Spread t o Twelve Long-Term Care F a c i l i t i e s , " 1985), e i t h e r t h r o u g h a r b i t r a t i o n or n e g o t i a t e d s e t t l e m e n t s . The n u r s e s have a l s o r e c e n t l y s t a g e d a s e r i e s of r o t a t i n g s t r i k e s i n a b i d t o a c h i e v e BCNU Master Agreement r a t e s a t tw e l v e CCERA f a c i l i t i e s ("Nurses' S t r i k e C o u l d Spread t o Twelve Long-Term F a c i l i t i e s , " 1985). Nurses i n ten of t h e s e t w e l v e f a c i l i t i e s had been e a r n i n g o n l y 1.1 p e r c e n t l e s s than the Mas t e r . The s t r i k e s p r o v e d e f f e c t i v e i n t h a t CCERA agreed t o r e t u r n t o the b a r g a i n i n g t a b l e i f the Union removed p i c k e t s a t two of the fo u r f a c i l i t i e s i t had shut down, and a s e t t l e m e n t was reached ("Settlement Reached i n N u r s i n g D i s p u t e , " 1985). A l t h o u g h the HEU work stoppages may g i v e the Union the same degree of b a r g a i n i n g power the n u r s e s appeared t o g a i n from t h e i r s t r i k e , the gap between the HEU's demands and CCERA's l a s t 166 o f f e r i s s u f f i c i e n t l y g r e a t e r t h a n t h e d i f f e r e n c e t h a t s e p a r a t e d CCERA an d t h e BCNU t h a t a s e t t l e m e n t l i k e l y w i l l be much more d i f f i c u l t t o n e g o t i a t e . T h u s , w h i l e t h e HEU h a s been a b l e t o a c h i e v e t r e m e n d o u s s u c c e s s i n t h e l o n g t e r m c a r e i n d u s t r y i n a r e l a t i v e l y s h o r t p e r i o d o f t i m e by e x p l o i t i n g f a v o u r a b l e g o v e r n m e n t p o l i c i e s , i t h a s a l s o been p r e v e n t e d f r o m a c h i e v i n g t h e M a s t e r A g r e e m e n t a c r o s s a l l o f i t s b a r g a i n i n g u n i t s by a n o t h e r p u b l i c p o l i c y , t h e C o m p e n s a t i o n S t a b i l i z a t i o n P r o g r a m . I f t h e C o m p e n s a t i o n S t a b i l i z a t i o n P r o g r a m i s e v e r l i f t e d , t h e U n i o n w i l l be l e f t i n a p o s i t i o n t o a c h i e v e i t s g o a l . The U n i o n ' s u n i l a t e r a l r i g h t t o i n v o k e a r b i t r a t i o n p l u s g o v e r n m e n t f u n d i n g of t h e i n d u s t r y were t h e p u b l i c p o l i c i e s t h a t t h e HEU u s e d t o i t s a d v a n t a g e . I t w o u l d seem t o h a v e been e x t r e m e l y f o r t u i t o u s f o r t h e U n i o n t h a t t h e two p o l i c i e s were i n t r o d u c e d i n t h e same t i m e p e r i o d e v e n t h o u g h t h e y were i n no way c o n n e c t e d . The r i g h t t o a r b i t r a t e was of l i t t l e u s e t o t h e U n i o n u n t i l t h e L o n g Term C a r e P r o g r a m was i n t r o d u c e d , a s i n d i c a t e d by t h e s m a l l i n c r e a s e s a w a r d e d i n t h e f i r s t t h r e e a r b i t r a t i o n s i n t h e i n d u s t r y . 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R e p o r t o f t h e P a r l i a m e n t a r y T a s k F o r c e on F e d e r a l - P r o v i n c i a l F i s c a l A r r a n g e m e n t s . F i s c e r a l F e d e r a l i s m i n C a n a d a . A u g u s t 1981. R e p o r t o f t h e R o y a l C o m m i s s i o n I n q u i r y i n t o L a b o u r D i s p u t e s . 1 968. R u f f , N. " S o c i a l C r e d i t a s E m p l o y e r . " I n The New R e a l i t y . E d i t e d by W. M a g n u s s o n e t a l . V a n c o u v e r : New S t a r B o o k s , 1984. S a u n d e r s , D o n a l d A. "Group B a r g a i n i n g . " UBC B u s i n e s s R e v i e w , 1 979. S e l t z e r , G e o r g e . " P a t t e r n B a r g a i n i n g a nd t h e U n i t e d S t e e l w o r k e r s . " The J o u r n a l o f P o l i t i c a l Economy 59 ( A u g u s t 1 9 5 1 ) : 319-22. S e t t l e m e n t R e a c h e d i n N u r s i n g D i s p u t e . V a n c o u v e r Sun, F e b . 23, 1985, p.A2. S h i s t e r , J . "The O u t l o o k F o r U n i o n G r o w t h . " The A n n a l s o f t h e  A m e r i c a n Academy o f P o l i t i c a l a n d S o c i a l S c i e n c e 350 (Nov. 1 9 6 3 ) : 5 5 - 6 2 . 174 S o c i a l P l a n n i n g and R e v i e w C o u n c i l o f B.C., "A B r i e f t o P r o m o t e P u b l i c D i s c u s s i o n f o r t h e P u r p o s e s of A r r i v i n g a t R e c o m m e n d a t i o n s f o r L ong Term C a r e L e g i s l a t i o n . " F e b . 1981 . S o c i a l P l a n n i n g and R e v i e w C o u n c i l o f B.C., " C i t i z e n s ' G u i d e t o t h e " F o u l k e s " R e p o r t . " M a r c h 1974. S o c i a l P l a n n i n g a n d R e v i e w C o u n c i l o f B.C., "The H i s t o r y a n d P r e s e n t S t a t u s o f t h e H e a l t h I n s u r a n c e S y s t e m i n B.C." O c t o b e r 1980. Swan, K.P. "The S e a r c h f o r M e a n i n g f u l C r i t e r i a i n I n t e r e s t A r b i t r a t i o n . " P r o c e e d i n g s o f t h e F i f t h A n n u a l M e e t i n g o f  t h e S o c i e t y o f P r o f e s s i o n a l s i n D i s p u t e R e s o l u t i o n . W a s h i n g t o n . 1978. S y k e s , R. and S e t h i , A.S. "The L a b o u r Movement i n H e a l t h C a r e : C a n a d a . " I n I n d u s t r i a l R e l a t i o n s and H e a l t h S e r v i c e s . E d i t e d by S. Dimmock and A. S e t h i . L o n d o n : C r o o n Helm L t d . , 1982. T a y l o r , M.G. " S o c i a l A s s i s t a n c e M e d i c a l C a r e P r o g r a m s i n C a n a d a . " A m e r i c a n J o u r n a l o f P u b l i c H e a l t h 44:6 ( 1 9 5 4 ) : 7 5 0 - 9 . T a y l o r , M. G. F i n a n c i a l A s p e c t s o f H e a l t h I n s u r a n c e . T o r o n t o : C a n a d i a n Tax F o u n d a t i o n , 1957. T a y l o r , M. G. H e a l t h I n s u r a n c e a n d C a n a d i a n P u b l i c P o l i c y . M o n t r e a l : Queens U n i v e r s i t y P r e s s , 1978. U l m a n , L l o y d . " U n i o n G r o w t h and S t r u c t u r a l C y c l e s . " P r o c e e d i n g s and D i s c u s s i o n s o f t h e I n d u s t r i a l R e l a t i o n s  R e s e a r c h A s s o c i a t i o n " " " ? ( D e c . 1 9 5 4 ) : 2 3 7 - 4 1 . U n i t e d Community S e r v i c e s o f t h e G r e a t e r V a n c o u v e r A r e a . "A T o t a l C o n c e p t o f C a r e . " O c t o b e r 1968. Van L o o n , R. J . "From S h a r e d C o s t s t o B l o c k F u n d i n g and B e y o n d . " J o u r n a l o f H e a l t h , P o l i t i c s a nd Law, 2:4 ( W i n t e r 1 9 7 8 ) : 4 5 4 - 7 8 . VMREU. "Welcome t o t h e V a n c o u v e r a n d M u n i c i p a l R e g i o n a l E m p l o y e e s ' U n i o n . " Weber, A. " S t a b i l i t y a nd Change i n t h e S t r u c t u r e o f C o l l e c t i v e B a r g a i n i n g . " I n C h a l l e n g e s t o C o l l e c t i v e B a r g a i n i n g . E d i t e d by L l o y d U l m a n . E n g l e w o o d C l i f f s , N . J . r P r e n t i c e -H a l l , I n c . , 1967. W e i l e r , J . "The E s s e n t i a l S e r v i c e s D i s p u t e s A c t ( B . C . ) . " I n I n t e r e s t A r b i t r a t i o n . E d i t e d by J . W e i l e r . T o r o n t o : The 1 75 C a r s w e l l Co. L t d . , 1981. W e i l e r , P a u l . R e c o n c i l a b l e D i f f e r e n c e s . T o r o n t o : The C a r s w e l l Co. L t d . , 1980. W e i r , G. M. A P l a n o f H e a l t h I n s u r a n c e f o r B.C. V i c t o r i a : D e p a r t m e n t o f t h e P r o v i n c i a l S e c r e t a r y , 1935. W e y f o r t h , W.O. The O r g a n i z a b i l i t y o f L a b o u r . B a l t i m o r e : J o h n s H o p k i n s P r e s s , 1917. Wolman, L e o . Ebb and F l o w i n T r a d e U n i o n i s m . New Y o r k : N a t i o n a l B u r e a u o f E c o n o m i c R e s e a r c h , 1936. Woods, H.D. L a b o u r P o l i c y i n C a n a d a . T o r o n t o : M a c m i l l a n Co. o f C a n a d a , 1973. . 1 7 6 APPENDIX A - LIST OF STATUTES CANADA H o s p i t a l I n s u r a n c e and D i a g n o s t i c S e r v i c e s Act (S.C. 1956-57, c .2 .8 ) F e d e r a l - P r o v i n c i a l F i s c a l Arrangements and E s t a b l i s h e d Programs  F i n a n c i n g Act (S.C. 1976-77, c.10) : ' BRITISH COLUMBIA W e l f a r e I n s t i t u t i o n s L i c e n s i n g Act (S.B.C. 1937, c.78) S o c i e t i e s Act (R.S.B.C. 1948, c.311) Labour R e l a t i o n s Act of B r i t i s h Columbia (S.B.C. 1960, c.205) M e d i a t i o n Commission Act (S.B.C. 1968, c.26) Community Care F a c i l i t i e s L i c e n s i n g Act (S.B.C. 1969, c.4) Community Care F a c i l i t i e s A c t (S.B.C. 1972, c.13) Labour Code of B r i t i s h Columbia (S.B.C. 1973, c.122) P u b l i c S e r v i c e Labour R e l a t i o n s Act (S.B.C. 1973, c.144) E s s e n t i a l S e r v i c e s D i s p u t e s A c t (S.B.C. 1977, c.83) Compensation S t a b i l i z a t i o n A c t (S.B.C. 1982, c.32) Compensation S t a b i l i z a t i o n Amendment Act (S.B.C. 1983, c.13) 177 APPENDIX B - LIST OF INTEREST ARBITRATIONS BRITISH COLUMBIA Long Term Care S e r v i c e Workers 1. Richmond P.H., Grandview P.H., F l o r e n c e N i g h t i n g a l e P.H., P a r k r i d g e P.H. and HEU ( J . W e i l e r , Dec. 31, 1973). 2. Glen P.H. and CUPE (Thompson, Sept. 14, 1976). 3. Ladner P.H., Inglewood P.H.', Como Lake P.H., Altamont P.H., K e n s i n g t o n P.H., W i l l i n g d o n P.H. and HEU ( M c C o l l , Dec 15, 1976). 4. C a r i b o o Lodge and HEU ( H e r b e r t , A p r i l , 1978). 5. K i w a n i s S e n i o r C i t i z e n s ' Home L t d . and HEU ( B i r d , Sept. 29, 1978). 6. Ladner P.H., Inglewood P.H., Altamont P.H., Como Lake P.H., P a r k r i d g e P.H., K i n g George P.H., F l o r e n c e N i g h t i n g a l e P.H. and HEU (Owen-Flood, June 12, 1979). 7. New V i s t a and HEU ( L a r s o n , May, 1979). 8. N o r i c House and HEU (Owen-Flood, Dec. 21, 1979). 9. Dunrovin Park S o c i e t y and BCGEU (Owen-Flood, A p r i l 15, 1 980) . 10. Willowhaven P.H. and HEU ( E n d e r t o n , March, 1980). 11. K i w a n i s S e n i o r C i t i z e n s ' Home L t d . and HEU (Owen-F l o o d , A p r i l 9, 1980). 12. Shaughnessy Manor, Rose Manor and HEU ( S h e r l o c k , A p r i l 10, 1980). 13. C h i l l i w a c k I n t e r m e d i a t e Care S o c i e t y and HEU ( L a r s o n , A p r i l 30, 1980). 14. Y u c a l t a Lodge and HEU ( L a r s o n , June 4, 1980). 15. N o r i c House and HEU (Owen-Flood, Dec. 17, 1980). 16. Mt. P a u l P.H. and HEU ( L a r s o n , Feb. 23, 1981). 17. E d i t h C a v e l l P.H. and HEU ( G e t z , A p r i l 2, 1981). 18. Normandy P.H., K e n s i n g t o n P.H., W i l l i n g d o n P.H. and 1 78 HEU ( M a c l n t y r e , A p r i l 13, 1981). 19. L u t h e r C o u r t S o c i e t y and HEU ( M c C o l l , May 13, 1981). 20. Raspberry Lodge LTD. and HEU ( V i c k e r s , June 5, 1981). 21. Willowhaven P.H. and HEU (Thompson, June 19, 1981). 22. Altamont P.H. and HEU (Getz, J u l y 2,.1981). 23. P a r k r i d g e P.H., F l o r e n c e N i g h t i n g a l e P.H., Ladner P.H. and HEU ( V i c k e r s , Aug. 12, 1981). 24. Como Lake P.H. and HEU ( B i r d , Sept.4, 1981 ) . 25. Altamont P.H., Ladner P.H., P a r k r i d g e P.H.,.Como Lake P.H. and HEU (Getz, March 14, 1983). 26. M a l a s p i n a Lodge and HEU (Chertkow, March 28, 1983). 27. N o r i c House and HEU ( V i c k e r s , J u l y 29, 1983). 28. Haro Park C e n t r e and HEU (Ladner, Aug. 4, 1983). 29. Cowichan I n t e r m e d i a t e Care S o c i e t y and HEU ( L a r s o n , Aug. 12, 1983). 30. Kopernik Lodge, K i w a n i s R e s i d e n c e , K i w a n i s V i l l a g e Care Home and HEU ( M o r r i s o n , S e p t . , 1983). 31. R o t a r y Harbour S o c i e t y and HEU (Cherktow, Sept., 1983). 32. Willowhaven P.H. and HEU (Hope, May, 1983). 33. C o q u i l l a Community Care S o c i e t y , Henry M. Durand S p e c i a l Care S o c i e t y , F i n n i s h Canadian Rest Home, F i n n i s h Manor, F i r Park V i l l a g e , Omenica Lodge R e t i r e m e n t Home S o c i e t y , G l a c i e r View Lodge, Halycon Community Home S o c i e t y , Moberly Park Manor S o c i e t y , Ridgewood Lodge, Rose Manor, Swan V a l l e y Lodge, Y u c a l t a Lodge S o c i e t y , Parkholm Lodge, Mountain View Lodge and HEU (Munroe, Dec 15, 1983). 34. Greenwoods, L u t h e r Court S o c i e t y , Sunset Lodge, Nanaimo T r a v e l l e r s Lodge, Kinsmen R e t i r e m e n t C e n t r e , M.S.A. Manor, Grandview Towers I I , Richmond L i o n s Manor, Sunnybank R e t i r e m e n t Home, K i m b e r l e y S p e c i a l Care Home, Dr. F.W. Green Memorial Home and HEU (McTaggart, May 17, 1984; v a c a t e d by B.C. Supreme Court d e c i s i o n , Oct. 1984). 1 79 Other 1. HLRA (New V i s t a Care Home and Shaughnessy Manor) and RNABC (Labour R e l a t i o n s D i v i s i o n ) ( G e t z , J a n . 5, 1981) . 2. GERB and Union of R e g i s t e r e d Nurses of B.C. and BCNU (Owen-Flood, Dec. 29, 1983). ONTARIO 1. Komoka N u r s i n g Home and London D i s t r i c t B u i l d i n g S e r v i c e Workers' U n i o n , L o c a l 220 (Gorsky, Aug. 25, 1975) . 180 APPENDIX C - LIST OF LABOUR RELATIONS BOARD DECISIONS 1. London Drugs and M i s c e l l a n e o u s Workers, Wholesale and R e t a i l D e l i v e r y D r i v e r and H e l p e r s ' Union, L o c a l 35, No.30/74, BCLRB. 2. Ocean C o n s t r u c t i o n S u p p l i e s N o r t h e r n L t d . (Kamloops) and T r a n s p o r t Labour R e l a t i o n s and Teamsters, L o c a l 213, No.7/76, BCLRB. 3. J u b i l e e Home S o c i e t y ( N o r i c House) and HEU, No.62/79, BCLRB. 4. Du n r o v i n Park S o c i e t y and BCGEU, L98/79, BCLRB. 5. Windermere C e n t r a l Park Lodge and HEU, No.32/81, BCLRB. 6. M a l a s p i n a Lodge and HEU, L167/82, BCLRB. 181 APPENDIX D - COMPENSATION STABILIZATION PROGRAM RULINGS 1. R u l i n g No.10/82, Zi o n Park Manor and BCNU. 2. R u l i n g No.4/84, C o l l e g e of New C a l e d o n i a and C o l l e g e of- New C a l e d o n i a F a c u l t y A s s o c i a t i o n . 3. R u l i n g No.5/84, C i t y of Vancouver and Vancouver F i r e f i g h t e r s ' U n i o n , L o c a l 18. 4. R u l i n g No.6/84, Union of R e g i s t e r e d P s y c h i a t r i c Nurses of B.C. and BCNU and GERB. 

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