Manitoba Public Insurance (MPI) is reporting that their most recent offer to the Manitoba Government and General Employee’s Union (MGEU) has been rejected, signaling that strike action will likely be pursued.

As requested by MGEU, Manitoba Public Insurance officials returned to the bargaining table with the union representing 1,700 unionized employees this week. MPI presented a significantly enhanced offer with a global monetary value of up to 17 per cent over four years, coupled with an offer to proceed directly to binding arbitration on the issue of general wage increases. These offers were rejected by MGEU.

“We are naturally disappointed with MGEU’s response, because it means that an entirely avoidable strike might still occur,” said Ward Keith, MPI’s board Chair. “With this enhanced offer, MPI employees would have seen immediate retroactive pay and bonuses, other significant increases and gains, and immediate benefit enhancements – a global package with a total monetary value of up to 17 per cent over four years. Plus the corporation offered to go directly to arbitration on general wage increases to ensure MPI employees could not do worse than the significantly enhanced offer.”

The significantly enhanced offer further builds on general wage increases of two per cent annually over four years and a one per cent market adjustment for nearly three quarters of unionized employees. This offer also adds a new 7th pay step for all in-scope pay ranges, creating a new permanent 3.5 per cent bump in wages for everyone in the current top step, and for everyone who will move into the new top step in all future years. The offer also includes an increased lump sum signing bonus for all unionized staff, worth an average of 2.8 per cent, along with other monetary improvements and benefit enhancements.

On the issue of general wage increases, MPI officials also proposed going directly to voluntary binding arbitration, where MPI’s position is committed and MGEU could make their case to an independent arbitrator for greater general wage increases than two per cent. All other aspects of the enhanced offer, including the retroactive payments and the general wage increases already proposed, would be preserved and implemented without delay after ratification.

“Voluntary arbitration on general wage increases is a fair and binding process that would avoid any income loss for MPI employees and their families, prevent unnecessary service disruption to customers, and eliminate inconvenience for all of the Manitobans we serve,” said Keith. “There is no downside to MPI employees, so it is difficult to understand why strike action is still being considered by MGEU.”

MPI says that it has done everything it can to be responsive and bargain in good faith. While it remains hopeful that strike action can still be avoided, it is also finalizing its labour interruption plans with a focus on maintaining critical services. MPI will provide further operational details if and when MGEU confirms its strike intentions.