The provisions of Part VII of the WFAA are specific to alternative service delivery initiatives or ASD initiatives and are an exception to Parts I to VI of the WFAA unless otherwise specified. (This means that many of the obligations in the rest of the WFAA don’t apply depending on the kind of WFA being contemplated.)
An alternative service delivery initiative (ASD) is defined as the “transfer of any work, undertaking or business of the Agency to any body or corporation that is outside the Agency”:
- The devolution of work to another level of government.
- The creation of public-private partnerships (P3s).
- Any contracting out and/or privatization of your work.
Part VII can apply to individuals or to a whole group or work unit.
What happens when work force adjustment occurs as a result of a Part VII situation?
In ASD situations, positions move to a new employer. If a worker accepts a job with the new employer, their employment with the Agency will ordinarily end on the day that the work is transferred to the new employer.
The employer must notify the union that it is contemplating an ASD Initiative at least 180 days before the ASD is scheduled to begin.
Workers may still be declared “affected.” The meaning is the same as it is in Parts I to VI of the WFAA.
There are three “types” of ASD articulated in the WFAA. The employer’s obligations are different depending on which “type” of ASD is being contemplated.
The meaning of a Reasonable Job Offer (RJO) is different in this part than it is in Parts 1 to VI, and many of the other obligations defined in those parts do not apply in this part.
The job offers in Type 1 and Type 2 arrangements are considered reasonable job offers. They are considered to provide “full” or “substantial” continuity.
- Often workers who transfer to a new employer under a Type 2 arrangement don’t believe the offer is reasonable or fair especially when looking at it over the longer view of a career, but it is a technical term.
- If a worker refuses a job offer with the new employer in either of these instances, they are laid off and
- will receive a four-month notice of termination.
- The creation of “agencies” like CRA, CFIA, and Parks were considered Type 1 offers.
- The most common forms of ASD have been Type 2 arrangements. This includes situations where work is contracted out, devolved or transferred to a public-private partnership.
- Type 2 arrangements should be viewed as minimum requirements. In the past, Type 2 arrangements have often exceeded the minimum requirements.
- Union leaders and participants in WFA committees should always argue for enhanced Type 2 arrangements. There are precedents supporting those arguments. Enhanced Type 2 agreements have been written into some requests for proposals as well as into federal-provincial agreements.
- Remuneration and tenure have on a number of occasions been increased to equivalent salary and a three-year tenure guarantee. Other improvements have been made as well.
- Although there may be an ethical obligation for the employer to negotiate a transfer of work which surpasses the minimum obligations outlined in a Type 2 arrangement, there is no contractual obligation for them to do so.
Job offers for Type 3 ASD arrangements are not considered reasonable job offers. The pay and benefits offered by a Type 3 employer are too low for the employment to be considered continuous.