Background Information on Temporary Foreign Workers

The issue of temporary foreign workers is complex, involving many elements and dimensions. It can be quite confusing at times. Below is an attempt to answer some of the more frequent questions Albertans might have about the issue

Alberta is in the middle of a boom. There is no question about that. Due to the pace of economic activity, the labour market is tight. Employers are having to work harder to find workers for their projects.

Most employers are taking necessary steps to recruit and retain desired workers - improving working conditions, increasing wages and offering good benefits. Some employers, however, are taking more drastic steps.

There has been a lot of talk in recent months about  "temporary foreign workers" being used to help build massive oilsands projects in Fort McMurray. The employers involved say it is necessary to address the labour shortage in construction.

Too bad the facts don't back up their claims. In reality, the attempt by employers to import workers is an attempt to drive down wages and bust unions.

It is a complex issue with many dimensions, involving the boom, the largest oilsands project in history, company-friendly unions, pretend labour shortages and vulnerable foreign workers. In short, it is a story of the boom, union-busting and temporary foreign workers.

 

AFL Takes Stand Against Union Busting and Racism

The AFL is very clear on this issue. We oppose the use of temporary foreign workers in the oilsands because they are being used as pawns to bust unions and lower working conditions.

The AFL will also not tolerate racism. We support immigration and believe foreign workers who come to Canada should possess all the rights of Canadian workers - including the right to remain in Canada as citizens.

Temporary foreign workers, who have fewer rights than other workers, are not the solution to tight labour markets. The solution is to work with legitimate unions who have workers available to do the work, but justifiably want to be treated fairly.

Read the AFL Policy Statement on Temporary Foreign Workers.

 

More Information on the issue:

Real Issue is Union-busting, not Racism (Guest column, Calgary Herald, May 2006)

What's All the Fuss about Temporary Foreign Workers (Parkland Post Article, May 2005)

Temporary Workers a 'Lose-Lose" Proposition (AFL News Release, May 12, 2006)

Beyond Chicken Little (AFL Brief on Alberta Labour Shortage, April 2006)

 

Where did all this start? 

Background to the CNRL and CLAC example:

It started last year in Fort McMurray. Canadian Natural Resources Limited (CNRL), who is building the Horizon oilsands project, received a special exemption under the Labour Relations Code (Division 8, see below) that allowed them to sidestep the usual negotiations with building trades unions. They brought in an employer-friendly union, the Christian Labour Association of Canada (CLAC), to cover the workers on the project. The CLAC contract offers lower compensation and working conditions for workers than the comparable building trades contracts. At the same time, they announced intentions to import temporary foreign workers to fill jobs they cannot fill in Alberta.

What is a "Temporary Foreign Worker"?

A Temporary Foreign Worker is a designation made by the federal government regarding a person's status in Canada. In short, they are workers who are brought to Canada by a specific employer to work for a limited period of time. To receive permission to bring in temporary workers, an employer must demonstrate that they are unable to find workers in Canada to do the work.

Temporary workers are different than immigrants because they are not allowed to remain in Canada permanently.

The temporary worker has a more limited range of rights than Canadians or permanent landed immigrants, because their presence in Canada is linked to a specific employer. Initially, they are not allowed to remain in Canada or apply for citizenship. With the agreement of the employer, they may be transfered to a program that allows them to remain in the country. However, the process is employer-driven, and puts these workers in a vulnerable position.

For more information on the government temporary foreign worker programs, go to the federal government program site, or to the provincial government site.

Who is CNRL?

CNRL is an Alberta-based energy company that is developing the largest oilsands project to-date north of Fort McMurray called Horizon. The Horizon Project is expected to cost $11 billion to build and will need 6,500 construction workers between now and 2011. For more information on CNRL, go to their website.

Who is CLAC?

The Christian Labour Association of Canada, or CLAC, calls itself an "alternative" labour union that values cooperation and wishes to avoid conflict with employers. Its approach to labour relations has been criticized by many in the labour movement, in particular for its tendency to sign collective agreements other unions reject. Many employers have expressed a preference to work with CLAC than with other mainstream unions, finding it easier to deal with.

What is Division 8?

Division 8 (officially Part 3, Division 8) is a rarely used section of the Alberta Labour Relations Code which allows the government to exempt a specific construction employer from the usual rules of construction labour relations. Normally, an employer must negotiate separate contracts with the various certified building trades (e.g., carpenters, pipefitters, etc.). If the government designates an employer under Division 8, they are allowed to negotiate one over-arching agreement for the entire worksite. Follow the link to see a copy of the Labour Relations Code.

CNRL received designation under Division 8 and shortly afterward signed a blanket contract with CLAC, shutting out other building trades unions.

Is there a labour shortage?

This is a complex question whose answer depends on which jobs you are referring to. But, in terms of oilsands construction, the answer is no. There are many sources of Canadian workers yet to be tapped by CNRL for the Horizon project. Most of those sources, however, are unionized - something CNRL is trying to avoid.

For a more detailed discussion about labour shortages, read the AFL's booklet Beyond Chicken Little.

Why is the Labour movement opposed to the Temporary Foreign Worker program?

Normally the labour movement is very supportive of immigration and newcomers to Canada. We value Canada's diversity and openness to people from other parts of the globe.

In this specific situation, we see that CNRL is using temporary foreign workers as a way to avoid dealing with unions and to keep wages and working conditions artificially low.

The workers do not possess the same rights as Canadian workers - which puts them in a highly vulnerable position. We believe this is unfair to those foreign workers. On the other side, workers in Canada available to work are refused employment by CNRL simply because they are associated with a union. We consider this a "lose-lose" proposition for workers.

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