The Strategic Policies and Priorities Committee recommends the adoption of the joint confidential report (March 25, 1998) from the Executive Director of Human Resources and the Chief Financial Officer and Treasurer, respecting a voluntary separation program for bargaining unit employees, which was forwarded to Members of Council under confidential cover.

The Strategic Policies and Priorities Committee submits the following communication (April 2, 1998) from Mr. Denis Casey, Acting President, Canadian Union of Public Employees, Local 79:

This report, which is being discussed in camera, outlines the separation package for unionized employees. Under this program, employees working in areas targeted for downsizing can "volunteer" to take a separation package.

CUPE Local 79 has always supported the concept of voluntary exit packages because they enable some employees to pursue new ventures while opening up opportunities for others who remain with the Corporation. However, it is our view that all employees should be eligible for the program, not just those in specific areas.

We are concerned about the differences between the voluntary exit package offered to management and that proposed for unionized staff. The packages are "voluntary" for both union and management and the urgency to reduce staffing levels is similar for both groups. Therefore, it makes no sense to offer management a package which is better -- and richer -- than the unionized employees' package. In light of the higher salaries paid to management, it would not appear to be financially prudent either.

(a) Management will receive transition allowances which include outplacement services, tuition assistance and career transition services. Union members do not. Surely their need for these valuable services is equally valid.

(b) Management will receive a lump sum payment of up to $3,000.00. Union members will receive a maximum of $2,000.00

(c) Management will receive four weeks of salary for every year of employment. Union staff will receive three weeks of salary per year.

Another important part of restructuring is an improved retirement package for those who are presently qualified to retire. For those who may not yet qualify for the early retirement program, the Corporation should offer the OMERS Type 7 program and other related OMERS programs.

There are employees who are considering the pursuit of other ventures but they are awaiting a fair and equitable proposal which recognizes their dedication to the Corporation.

The City has made a commitment to treat all employees "humanely, equitably and with dignity". We urge Committee members to amend the Separation Program for Bargaining Unit Employees and make it the same as that offered to management staff.