Alberta’s government is preparing contingency plans for possible strikes or lockouts as contract negotiations with the province’s largest public sector union have stalled over wage demands.
The Alberta Union of Provincial Employees is seeking a 29 per cent wage increase over four years for its 22,000 government worker members, while the province has offered 12 per cent over the same period.
Treasury Board President and Finance Minister Nate Horner said union leadership broke off talks and asked the mediator to withdraw from the process despite indications from government negotiators that there was room to move on the offer.
“AUPE is demanding a 29 per cent wage increase over four years,” Horner said. “There is no evidence of a wage settlement that large for any group of workers in Alberta, or in Canada.”
Cost implications for taxpayers
The minister warned that meeting AUPE’s demands and extending similar increases to all other public sector employees would cost taxpayers about $23 billion over four years. He compared that figure to the total amount in Alberta’s Heritage Savings Trust Fund or two years of kindergarten to Grade 12 education funding.
The government’s 12 per cent offer matches settlements reached by nearly 60 other Alberta public sector bargaining groups, according to Horner. The package also includes market-adjustment salary increases for positions facing recruitment and retention challenges.
“Unfortunately, union leadership has not been forthright with its members and sold the idea that a successful strike vote would provide more leverage at the bargaining table,” Horner said.
Strike action possible
The minister indicated that continued deadlock could lead to either a strike by government workers or a government-initiated lockout, calling neither option desirable.
“If AUPE leadership continues to be unreasonable and unrealistic, the situation could escalate to a strike by government workers or a government-initiated lockout,” he said. “I encourage AUPE leadership to come back to the table with realistic aspirations.”
Government preparing for disruptions
Alberta has begun contingency planning to maintain core government services in the event of job action. The province employs 22,000 AUPE members across various departments and agencies.
“Contingency planning is ongoing to support core government services in the event of a strike or a lockout,” Horner said.
The government emphasized its appreciation for AUPE members’ work while criticizing union leadership’s approach to negotiations.
“Alberta’s government values and appreciates the hard work of its 22,000 employees who are members of the Alberta Union of Provincial Employees,” the minister said.
The breakdown comes as public sector workers across Canada face cost-of-living pressures while governments grapple with budget constraints and taxpayer concerns about spending.