New pension and LTD plans in Northern Transformer deal

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Workers at Northern Transformer in Vaughan, Ont. voted to ratify a new four-year agreement with the company on March 25, 2023.

“This is a great deal, especially since we have an aging workforce who both require a pension plan and long-term disability they can count on,” said Eamonn Clarke, President of Local 252.

“We have tried for years to get a pension plan in place and now we have it. Bargaining an extra sick day is also great news for our members, all this along with securing an almost 16% increase over the four years makes this the best contract so far.”

There are 70 members in this unit and these workers are welders, painters, machine operators, coil winders and general helpers. The company rebuilds transformers for power grids in North America.

The biggest gains of the contract include an introduction of a pension plan and long-term disability program, which allows members to claim long-term disability up to age 65.

The biggest challenge with negotiating this deal, said Clarke, was the company pushing to hold the union to a five-year deal with the introduction of the pension plan, however, the bargaining committee was able to negotiate a four-year deal for its members and keep all the new incentives.

The contract began April 30, 2023, and expires April 30, 2027.