MONTREAL – Videotron employees have voted to accept an agreement in principle reached last week top extend current collective agreements between the cable company and its union.
The agreement extends the collective agreements to December 31, 2009 in the Montreal and Quebec City areas, January 31, 2010 in Saguenay Lac St-Jean, and August 31, 2011 in Gatineau.
In the bargaining talks with the unions, Videotron management sought the increased operational flexibility the company needs in order to make new investments, particularly in network modernization and new products such as the recently launched cable telephone service, says the Videotron release.
“Videotron’s move into this promising market is already generating positive impacts. As a result of the product’s success, the company needs to respond to strong consumer demand,” it says.
Under the agreement, the salaries of all unionized employees will be increased by 2.5% on January 1 of each of the three additional years of the renewed contracts (starting 2007).
"Our employees are a key factor in our growth," said Robert Depatie, president and CEO of Videotron, in a statement. "We are therefore very pleased that we have reached a negotiated settlement with the unions. This agreement will make us still more competitive in the marketplace and help us deliver the best possible customer experience. By investing for sustained, sustainable growth, Videotron is generating positive results for its employees, customers and shareholders."
This is a marked about face in union relations for the company as many will remember that after Quebecor Inc. purchased the company in 2001, it entered a period of acrimonious negotiations and a lengthy subsequent strike. While the company took a hard line – temporarily selling off its technical division to a contractor (Entourage) – renegade employees attacked the network, causing widespread network outages.
