History and Development of Unions in Canada/History of Unions - During and Post WWII
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History and Development of Unions in Canada - During and Post WWII
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Labour Laws During World War II
What was the impact of World War II (WW II) on labour laws?
As a result of the Snider case in 1925, in times of national emergency the responsibility for the civil rights of employers and employees reverted to the federal government. During the Second World War, the federal government passed laws regulating industries associated with the war effort, in fact covering most industries. The laws were consolidated into the Wartime Labour Relations Regulations (1944), which were also known as [[#What were the terms of PC1003 (Wartime Labour Relations Regulations)?| PC1003]].
What were the terms of PC1003 (Wartime Labour Relations Regulations)?
PC1003 tried to achieve a balance between the competing rights of employees, both individually and collectively, and the rights of employers. Therefore,
- unions were not allowed to interfere in employers' organizations or to use tactics to force union membership. Unions could only carry out union activity at a workplace during working hours with the agreement of an employer and could not cause any restrictions on production such as slow downs.
- employers were not allowed to interfere in union affairs or to discriminate against workers who took part in union activities. Certain employees were not included in the law, for example, those who could hire and fire, and those working in agriculture.
Perhaps most importantly a comprehensive system of collective bargaining was established.
How did collective bargaining under PC1003 work?
A Wartime Labour Relations Board was established to give authority to a unit of employees to bargain. A union had to have a written request from an employee before it could represent him or her. If there was disagreement between a union and an employer, a conciliation officer worked with them to resolve the matter. If there was no agreement, the issue was taken to a conciliation board. During the whole period of conciliation, strike action was illegal.
All employees were bound by a collective agreement even if they did not belong to the union. If there was no collective agreement and an employer wanted to change working conditions, he or she had to give 60 days notice so that the employees could elect a bargaining representative. The Wartime Labour Relations Board had to approve wage clauses in collective agreements. Any disagreements about the collective agreement had to be settled by the parties themselves. If they could not reach agreement, the Board could impose a procedure. This process was the beginning of compulsory arbitration for grievance disputes.
[[#What were the terms of PC1003 (Wartime Labour Relations Regulations)?| PC1003]] also included provisions requiring more accountability of the internal affairs of unions.
Post World War II
What happened to [[#What were the terms of PC1003 (Wartime Labour Relations Regulations)?| PC1003]] (Wartime Labour Relations Regulations) after WW II?
Once the emergency situation was over the wartime legislation was extended to 1948. A conference of labour ministers from the provinces came to agreement on fundamental principles to be covered by provincial legislation to ensure a kind of national policy. The principles included
- freedom of association;
- recognition of unions;
- certification of unions, to establish the right to bargain collectively;
- state intervention in the right to strike and lockout;
- outlawing of unfair labour practices by employers and unions;
- creation and maintenance of investigative tools to support the collective bargaining system.
The federal Industrial Disputes and Investigation Act was passed in 1948 to apply to employees in federal jurisdiction. The majority of provinces then followed suit and passed their own versions of the Act.
What laws relating to labour were passed in Alberta after WW II?
In 1947, Alberta passed its first comprehensive labour statute: the Labour Act. The contents of the Act included
- creation of a Board of Industrial Relations that could hear disputes between employers and employees relating to terms and conditions of work;
- confirmation that unions had the right to bargain collectively free of interference from employers;
- declaration that collective agreements were legally binding;
- prohibition of strikes during certain periods of a conciliation and arbitration process, and also until a majority of employees had voted in favour of a strike;
- exclusion of certain employees from the law:
- managers were not included as they could not bargain with themselves;
- those who held confidential information relating to the bargaining process were not included;
- many professional occupations were not included as it was felt to be unprofessional to take part in collective action for personal gain;
- exclusion of some groups of public employees from the right to strike.
What new challenges did unions face after WW II?
Following WW II, there were marked differences in workplace environments. Technology was beginning to have a large impact. More young people were staying in school longer and women were much more common in the workplace, producing new discussions about equal pay and maternity rights. Probably the largest factor, the public service sector was growing.
Once collective bargaining had become legitimate, disputes more often tended to be about the contents of the collective agreement. Perhaps surprisingly, the radical changes in the law ushered in a time of many strikes and disputes across Canada. Often the disputes ended up in court where employers sued the unions in civil law for losses suffered as a result of industrial action.
The Rand Formula
What was the significant decision in the Rand case in 1945?
The Rand case determined that all employees had to pay union dues even if they did not belong to a union.
The case arose out of a dispute between the Ford Motor Company and the United Auto Workers. A strike took place and as part of the settlement an arbitrator, Mr. Justice Ivan Rand, was appointed to bring the union and employer together. The payment of dues by all workers was one of the terms of the subsequent agreement reached by the union and employer. The rational for the principle was that every employee benefited from union representation.
The principle became generally accepted and is now known as the Rand formula. One of the immediate benefits to unions was an improved degree of financial security.
Civil Liability of Unions
How could employers sue unions for losses suffered due to industrial action?
Since unions had been exempted from being a criminal conspiracy back in 1892, employers had to look for other ways to take legal action. The civil law, which deals with rights and responsibilities between people and organizations, provided an answer. In civil law, it is possible to sue someone else in tort. A tort is an injury or a wrong for which it is possible to pursue a claim for compensation or damages. For example, the tort of negligence allows someone to sue someone else for the reasonably foreseeable consequences of actions if he or she is negligent and causes injury.
In response to actions brought by employers against unions, the court developed a subset of torts, called economic torts, that applied in business situations where the losses were purely economic and not physical. This body of law began to develop in Britain and was imported to Canada over the course of the 1900s. Examples of economic torts are civil conspiracy, inducing breach of contract, intimidation, trespass, nuisance, and breach of a labour relations law.
Could employers use the law to stop unions from taking strike action even when it is lawful to strike under the processes set out in the labour relations statute?
Yes. Unions could end up being responsible for huge financial damages if an employer successfully sued them for damages arising out of industrial action. Therefore, even the threat of legal action might be sufficient to make a union think twice; although, many unions have taken such cases on in support of their members' rights.
Nevertheless, employers had another legal mechanism that could be used to stop the industrial action before it even started the injunction.
Canadian Labour Congress
What is the Canadian Labour Congress?
The Canadian Labour Congress (CLC) is an umbrella body for unions across Canada. Unions choose whether to register with the Congress. CLC represents union interests at a national and international level.
The CLC evolved over a long period of time. The Canadian Labour Union was formed in 1872 from groups that had promoted the Nine Hours Movement. In 1883, the Trades and Labour Congress evolved as successor to the Canadian Labour Union. In 1939, the Trades and Labour Congress expelled all unions affiliated with the Committee for Industrial Organizing (CIO). The American-based CIO pursued industrial union membership aggressively; some felt to the detriment of craft unions. The expelled unions formed the Canadian Labour Council. In 1956, the Trades and Labour Congress and the Canadian Labour Council merged to become the Canadian Labour Congress.
For more information, visit the Canadian Labour Congress website.
Are there other umbrella union organizations that were created in Canada?
Yes, all in Quebec. In 1921, the Roman Catholic Church had set up an umbrella trade union organization to try to stop people from joining other unions. It was called the Canadian and Catholic Confederation of Trade Unions. In the 1960s, the Catholic unions severed ties with the church and evolved into the Confederation of National Trade Unions (CNTU). Also influential are the Quebec Teachers, Corporation and the Quebec Federation of Labour.
More Information
This page was last updated in June, 2005.
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