Support Convention Resolution F1

How YOU can help

Forward this email to your local’s LEC and Convention delegates

Review our website for background materials

Review  Resolution F1

Add your name to our growing list of members and retirees who support OSG’s goals

“Like” our Facebook page

Volunteer to help the OSG out at Convention

Prepare to speak on this issue at Convention and encourage others to do the same.

OPSEU Solidarity Group will be using hashtags #osg and/or #opseu2013 on twitter at Convention.

Dear Convention delegates,

Eleven locals and area councils submitted resolution F1 to Convention to return OPSEU to full participation in the Ontario Federation of Labour. We hope you will listen to the debate with open minds and that after weighing all sides of the matter, will support Resolution F1 .

Yours in solidarity,
OPSEU Solidarity Group

	opseusolidaritygroup.wordpress.com
	opseusolidaritygroup@gmail.com

OFL Constitutional Task Force Interim Report – April 2013

OFL Constitutional Task Force Interim Report (click to view)

OPSEU was approached on more than one occasion to participate on the OFL Constitutional Task Force. The Task Force was created in part to deal with OPSEU’s issues about OFL dues, convention entitlement and governance as expressed in a resolution to the OFL Board made by the Elementary Teachers (ETFO) on OPSEU’s behalf. The resolution was supported by OFL President Sid Ryan and the OFL Executive Board.

The Task Force has nine members. One seat was reserved for OPSEU. In order to participate, OPSEU needed to have at least one seat on the OFL Executive Board. It was made clear that this would require us to start paying a minimal amount of dues again going forward. It was also explained (on more than one occasion) that back dues (arrears) could be negotiated after the Task Force completed its work.

The OPSEU Solidarity Group sent a delegation to meet with OFL President Sid Ryan and Secretary/Treasurer Irwin Nanda in April 2012 (before the last Convention). We relayed information to President Thomas about the OFL’s willingness to negotiate back dues and their desire for OPSEU to participate in the Task Force. It has made clear to OSG repeatedly that OPSEU did not have to repay arrears in order to work inside the OFL to look for solutions. We have that in writing in more than one email.

The Task Force has now produced an interim report which will be going to the OFL Executive Board in June 2013 for discussion. It is expected that some recommendations will go forward to the OFL’s November Convention (which OPSEU is boycotting again).

“Brother Nanda updated the Executive Board on the OFL Constitutional Task Force. He reported that he had spoken to Brother Thomas who was to take this to his Executive Board. Brother Thomas responded that he was interested on sitting on the Task Force, but OPSEU would not be paying dues back to the OFL.

Brother Nanda will send out possible future dates for the Task Force to meet…

As a result of receiving no answer from OPSEU, OSSTF became the third representative from the public sector.  (June 2012)”

Resume OPSEU’s full participation in the OFL

This was sent out as an email.

Forward Solidarity against austerity Resume OPSEU’s full participation in the OFL How YOU can help Forward this email to your local’s LEC and Convention delegates Review our website for background materials Review this year’s OSG-initiated Convention resolution Add your name to our growing list of members and retirees who support OSG’s goals “Like” our Facebook page Volunteer to help the OSG out at Convention Prepare to speak on this issue at Convention and encourage others to do the same. OPSEU Solidarity Group will be using hashtags #osg #opseu on twitter at Convention. Dear ______, One of the most important things delegates will do at Convention 2013 — in just a few days — is decide whether to demand that our leaders return OPSEU to full participation in the Ontario Federation of Labour (OFL). That’s right. Incredibly, without consulting the membership, OPSEU stopped paying dues to the OFL more than 18 months ago, on a decision of the Executive Board that clearly violated Article 10.1 of OPSEU’s Constitution. You may have heard of this for the first time when OPSEU President Smokey Thomas recently spoke to the Toronto Star – rather than keep our Executive Board’s grievances within the house of labour – to say that as far as the OFL is concerned, “we’re no longer there.” After many months’ patience, the OFL informed us that we cannot send delegates to its convention or members to its board unless we resume paying dues going forward. Arrears were negotiable. The OPSEU Solidarity Group (OSG), formed in 2011, is a province-wide network of OPSEU members dedicated to returning OPSEU to full participation in the OFL. We believe – and our experience of last year’s Convention appears to bear out – that rank-and-file members and activists understand the common sense of standing in solidarity with the entire labour movement in Ontario.  Especially in the face of attacks by the “one per cent” aimed at dividing worker from worker by stirring up envy of public-sector “jobs for life” and “gold-plated pensions.” Organized labour is the bull’s-eye on the austerity dartboard. We need to be on the inside of the OFL assuring our sisters and brothers that what we desire for ourselves, we want for all  – in the public, private, or not-for-profit sector – whether they have the good fortune to be represented by unions or not. And, yes – contributing our fair share of dues to help finance the battle of our lifetimes. Our leaders say there are problems with how the OFL is run.  But the place to raise these issues is from INSIDE the OFL – on its executive board and on the floor of its convention – where we can work with other unions to build a stronger Federation. Instead our Executive Board has walked away from the organization that has played a key role in winning every major improvement seen in the lives of ordinary Ontarians over the last 50 years. They have pulled our dues and are boycotting a special task force that was set up to review the OFL’s Constitution, address our Board’s issues and make recommendations for change. OPSEU’s Board was undeterred by our Constitution in its original decision to withhold dues, and apparently unmoved by a strong showing at last year’s Convention in favour of returning to the fold. Clearly, it will take the support of the majority of delegates just to ensure that the issue gets a full and fair debate on the floor of Convention.  And then it will take a clear mandate of the delegates to move the Board after Convention is over. OPSEU and our allies are facing an unprecedented attack on our jobs, our collective agreements, our rights as workers and the quality public services our communities need. And Hudak’s Conservatives are gearing up to gut our unions and eliminate public sector defined-benefit pensions. Now more than ever, we need SOLIDARITY AGAINST AUSTERITY. We need to work with the entire labour movement to build a powerful, united campaign of resistance. We need to return OPSEU to full, active participation in the OFL! Yours in solidarity, OPSEU Solidarity Group

Solidarity Against Austerity – OPSEU belongs in the OFL (long version)

Coming soon….

OFL Response to Toronto Star article

On April 2, 2013, the Toronto Star and the National Post published articles based on leaked Ontario Federation of Labour internal financial documents which were “brown-bagged” to the media. OPSEU President Smokey Thomas went public on the OFL issue again and was quoted in the Star piece saying that the OFL was in “serious financial trouble” and that was part of the reason “we are no longer there”. This was primarily based on the OFL’s unfunded pension liability and benefit obligations. As noted at many OPSEU Conventions, OPSEU, like most organizations with defined benefit pensions, also has an unfunded  pension liability. OSG is sharing a copy of a widely circulated response from the OFL so that you have both sides of the story.

OSG

=================

Dear Brother Smokey:

I was both shocked and disappointed to read your comments in today’s Toronto Star regarding OFL finances.

The spin you have provided to the media about our finances is simply incorrect at best and politically motivated at worst.

The OFL’s BDO auditors said that “the OFL is not overspending … and that our deficit is due to long term benefit and pension obligations” he went onto say that the OFL is meeting all of its financial obligations.

However, I cannot understand why a trade union leader would criticize another trade union leader in the media for giving a modest increase in wages to their hard working staff.

You have also undermined the labour movement’s pension message that, “defined benefit pension plans are viable in the long run but, under pressure at the moment because of world recession and the stock market collapse in 2008”. I have to believe unwittingly, you have stoked the embers of the defined pension plan naysayers. It is difficult to comprehend what you hoped to gain by feeding the media, employers and right-wing radio talk show hosts like Jerry Agar, erroneous information about the state of the OFL’s finances.

The entire labour movement came together just over a week ago, under the CLC banner, to forge a Labour Common Front against Harper’s and Hudak’s attempts to allow “free loaders” to get away without paying their fair share of union dues. Why you chose to break this bond of solidarity and erroneously attack the largest labour federation in the country is beyond comprehension.

It is important to note, that had you continued to pay your “fair share of per capita dues” to the OFL we would be in better financial shape and more able to fight off Hudak’s “free loader” attacks on workers.

Nevertheless, we have not been deterred. We have continued to mount campaigns and take actions to defend the rights of all workers in Ontario. Even Charles Smedmor, the forensic management accountant quoted in the Toronto Star article, said “They have mitigated well,” when referring to the federation’s ability to quickly replace the dues that it lost in the last few years.

I continue to reach out to you in an effort to resolve our differences but, unfortunately you have rebuffed all my attempts. Most recently, I extended an invitation to OPSEU to sit on the OFL’s Constitutional Task Force that was specifically set up to address the issues you have complained about in the past but, once again, you refused my offer.

I think its way past the time that labour closes ranks in Ontario and begin to fight the real enemy of your members.

In solidarity,

SID RYAN

President
=============

OSG note: While OPSEU may not be participating in OFL activities, the OFL’s position is that we are still part of the OFL but  “in arrears”. Only an OPSEU Convention can decide when “we are no longer there” (10.1 – OPSEU Constitution).

Toronto Star: “Auditor issues warning as OFL deficit climbs”

By: Tony Van Alphen – The Star News reporter, Published on Tue Apr 02 2013

“Auditor issues warning as OFL deficit climbs

The Ontario Federation of Labour, which represents about one million workers, is facing criticism from one of the province’s biggest unions over continuing financial losses.

But OFL president Sid Ryan says the non-profit umbrella labour group is paying its bills and denies claims of increasing difficulties by the Ontario Public Service Employees Union, which effectively pulled out of the organization a year ago over financial concerns.

“The allegations made about the fiscal health of the OFL are deliberately distorted to damage the reputation of the labour movement,” said Ryan.

The OFL’s independent auditor says in his latest annual report that the labour group posted an operating deficit of $651,203 in fiscal 2012 which has caused cumulative liabilities to exceed assets by almost $6 million. It marked the fourth consecutive year that the OFL reported a loss.

“These conditions along with other matters … indicate the existence of a material uncertainty that may cast significant doubt about the federation’s ability to continue as a going concern,” says auditor BDO Canada LLP in a note.

However, Kent Botham, a partner at BDO Canada which conducted the audit and issued the note, said the OFL is not spending more cash than it generates and has not borrowed to cover spending.

“A large portion of the deficit is related to the pension and benefit obligations which generate future funding obligations, not current obligations,” he said.

A testy Ryan added in an interview that the federation isn’t in any danger and also underlined the accrued pension and post-retirement obligations are the big reason for liabilities exceeding assets.

“It’s the same situation with many organizations,” Ryan said. “They’re struggling with funding these obligations. The auditor has noted that. We are paying annual amounts as required by pension standards to fund these benefit obligations. They are not a current cash flow requirement.”

Ryan said the federation, which is the Ontario labour movement’s biggest voice, has reduced its operating deficit in the last year and the group is on course to eliminate it completely.

“The OFL is meeting all of its financial obligations and paying its bills,” he said.

Despite Ryan’s assurances that the OFL is on solid ground, OPSEU president “Smokey” Thomas, said the statements show the federation is in “serious financial trouble.”

OPSEU, which represents about 125,000 members, and some other unions expressed concerns about the federation’s finances in 2010 and stopped paying all fees last year in protest, Thomas said.

“Our union and others wanted more accountability and structural reform,” he said. “But nothing happened and we’re no longer there. Things remains unresolved.”

Thomas, who has continually clashed with Ryan in recent years, noted spending on OFL salaries and employee benefits rose last year. Costs on special projects are showing signs of jumping again, he added.

But Ryan said the criticism is nothing but “a smear campaign” by opponents.

“It’s malicious,” he said.

Ryan also disclosed the federation has no plans for an increase in affiliate fees to wipe out the annual deficit and reduce the accumulated net asset deficiency.

Those fees are already the lowest levies for affiliated unions in provincial labour federations in Canada. But any increase would likely lead to some resistance since many unions are still struggling.

The OFL’s financial statement of operations for the fiscal year ending June 30, 2012 shows it slashed the annual deficit to $180,128 from $299,514 in 2011.

Revenues from affiliated union fees remained flat at $4.36 million in comparison to 2011 despite the move by OPSEU and the other unions to withhold their dues, which amounted to more than $1.5 million. That’s because the federation attracted other unions and their fees to make up for the losses.

Salaries and benefits rose in the same period by about $380,000 to $3 million. But the federation reduced its overall spending by about $120,000 to $4.54 million through cost cuts in administration, conferences and special projects.

At the same time, the pension and post retirement benefit charges still left the federation with an annual deficiency of $651,203. That’s down from $1.21 million in 2011.

As a result, the OFL’s overall accumulated net deficit after assets are taken into account has climbed from $3.58 million in 2009 to $5.95 million. That prompted the auditor’s note for a second consecutive year.

Charles Smedmor, a chartered accountant who specializes in forensic accounting, agreed with the auditor raising the issue of the federation’s viability as a continuing operation or “going concern.”

“The OFL’s annual deficit, accumulated liabilities and a limited premium for its real estate asset investment (a stake in the federation’s headquarters in suburban Don Mills) support this emphasis,” he said. “The unfunded pension liability cannot be covered from operations while the OFL posts annual deficits.”

Smedmor suggested the OFL could get a one-time contribution from its members, charge higher annual fees, reduce annual spending or sell its investment in the headquarters.

He applauded the federation for its ability to quickly replace the dues that it lost in the last few years.

“They have mitigated well,” he said.

Who submitted resolutions to Convention 2013?

The following locals and area councils submitted resolutions to Convention 2013 calling on the President and the Executive Board to resume full participation in the Ontario Federation of Labour. Thank you to the members for supporting such an important issue.  As in 2012, more bodies submitted resolutions on the OFL than on any other issue. It is F1 in the Section G of the Convention Resolutions book.

Greater Toronto Area Council

Peterborough Area Council

Local 115**

Local 502

Local 503

Local 504

Local 532

Local 552

Local 559

Local 561

Local 568

** Passed by local but does not appear in the resolutions book.

Who is the OPSEU Solidarity Group?

Note: To see a list of area councils and locals that submitted resolutions to convention, click here.

Do you agree that OPSEU belongs in the OFL? Want to show your support? Just send us an e-mail at opseusolidaritygroup@gmail.com to add your name to the list of OPSEU members who support the OSG.

As of April 23/13 

NAME	UNION POSITION
Jennifer Ahamed	Steward, Local 563; PHRC member, R5; former OFL Board member
Noeline Ah-Hone	President, Local 502
Julius Arscott	1st VP, Local 532
Kaylan Bartholomew	Vice-President, Local 112, PYC member, R1
Richard Belleau	President, Local 731
Rod Bemister	EBM R5, Local 561 Steward, Chair, College Support Staff Bargaining Team, EERC Member, Division Executive Member
David Bennett	Steward, Local 551
Gloria Bergen	Trustee, Local 585; Joint Health & Safety Committee
Naz Bink	Unit Steward, Local 137
Greg Bondy	Retiree, Local 126
Rob Boulet**	President, OPSEU Local 608
Ibrahim Bozai	Secretary, Local 526; Toronto & YorkRegion Labour Council Board, EBM-elect R5
Dan Brisson	President, Local 672
Anne Brunelle	Secretary, Local 512; Treasurer, GTAC; Co-Chair, Women’s Committee, Toronto and York Region Labour Council
Tammy Carson	OPSEU Provincial Health and Safety Chair, Corrections. Steward local 369
Sue Craig	Vice-president, Local 579
Betty Cree	President, Local 351
Stuart Cryer	Retiree, Local 655
James Cushing	MERC Co-Chair, Ministry of Government Services
Jim Deisley**	President, Local 139
Rasho Donchev	President, Local 559; CAAT-S bargaining team
Len Elliott	President, Local 102; MERC Chair, Ministry of Labour, EBM R1
Florry Foster	President, Local 137
Tina Faibish	President, Local 552
Barb Friday	President, Local 701; Member, 2012 OPS Central Bargaining Team; Corrections ERC member, Northern Region
Janice Gordon	Local 529
Derek Groves**	Retired Steward, Local 105
Elizabeth Ha	PHRC, R1; 1st Secretary, Local 154, Vice Chair of Workers of Colour Caucus, Former OFL VP
Joe Healy	President, Local 571
Brenda Hollister	member, Local 561
JP Hornick	Chief Steward, Local 556; Coordinator, School of Labour, George Brown College; CAAT-A DivEx
John Huot	Retiree, Former President, Local 562
Allan Johnson	Retiree, Past President Local 376 LBED
Pam Johnson	Steward, Local 562
David Kerr	Retiree; Past president, Local 115; Chair, 2008/09 OPS Corrections Bargaining Team; President, St.Thomas & District Labour Council
Shaba Lad**	President, Local 653
Karl Laframbroise	President, Local 586
Paul Lahaise**	Steward, OPSEU Local 416
Alma Lamarsh	Retiree, Local 271;OFL Aboriginal Circle
Gary Lawrence	2nd Vice-President, OPSEU Local 533
Christine Legault**	Steward, OPSEU Local 557
Angela Lockhurst**	Vice-President, OPSEU Local 590
Ben Lorriman	VP, Local 552
Bob Luker	Retiree, Local 566
Linda MacKinnon	Chief Steward, Local 565
Richard Mauntah	Secretary, Local 552
Martha MacLachlan	Unit Steward, Local 520
Blaise MacLeod	Local 554, External vice President
Tracy MacMaster	2nd Vice-President, Local 561
Myles Magner	President, Local 568, RVP-elect R5
Jayne McKenzie	Local 102
Heather McMichael	Heather McMichael –Steward, Local 102; Chair, London & District Area Council.
Sue McSheffrey	VP of local 4101; President, Renfrew and District Labour Council
Jennie Miller	Vice-president, OPSEU Local 503
Ajamu Nangwaya**	Steward, Local 560
Ted Montgomery	President, Local 560, Past EBM, R5
Frederick Oliver	V.P. Communications, OPSEU Local 245,2011 CAAT-S Bargaining Team
Larry Olivo	1st VP, Local 560
Mary Piro	Retiree, Local 505 (now 502)
Sandra Ramirez**	Steward, Local 502
Jennifer Reid	President, Local 105
Susan Richarz**	President, Local 514
Patty Rout	1st VP/Treasurer (2007-2011), Former OFL board member
Lad Shaba	President, Local 653
Gary Shaul	Unit Steward, Local 520; Past EBM/RVP, R5
Ian Shaw	Unit Steward, Local 585
Sandra Small	Treasurer, Local 502; MERC member – MEDT/MRI/MCS
Edie Strachan	President Local 506, Vice-chair Provincial Women’s Committee, EBM-elect, R5
Dallas Taylor	President, Local 553
Bob Taylor	Local 552 (Ret); President, Greater Toronto Area Council
Ken Taylor	Retiree, Former VP, Local 552
Matthew Tracey**	Member, Local 500
Janis Thompson**	Treasurer, Local 467
Laura Thompson	Secretary, Local 503; PWC rep-elect, R5
Haran Thurairasah	VP, Local 502; MERC Vice-Chair, MEDT
Dave Wakely	President, Local 277
Rick Weaver	President, Local 585, MOL MERC Chair
April Williams**	VP Membership, Local 245
Norma Wrightly	Retiree, Local 436, Former Lanark Labour Council President

** New

Draft Language for a 2013 Convention Resolution on the OFL

The resolution below (or a variation) was submitted by 9 locals and 2 area councils for the 2013 Convention. See the list here.

————————-

Form for Submission of a Policy Resolution to the 2013 OPSEU Convention

 OPSEU’s affiliation to the Ontario Federation of Labour

WHEREAS Ontario workers and unions in all sectors are facing austerity attacks by business, all levels of government and the corporate media,

WHEREAS the McGuinty government took the draconian step of enacting Bill 115, an attack on public sector teachers’ and educational workers’ collective bargaining rights, and threatened to extend this attack to all public sector workers, and

WHEREAS the Hudak Tories are now threatening to take union-busting in Canada to a new level by introducing so-called “right to work” legislation and eliminating defined benefit pensions in the public sector, and

WHEREAS effective resistance to these attacks – on our jobs, our unions, our collective agreements and the public services we deliver – requires OPSEU and ALL our labour allies to build greater solidarity, and

WHEREAS the Ontario Federation of Labour (OFL) is the central nucleus for Ontario unions to network, research, share information, strategize and implement campaigns in the interests of our members and the 99%, and

WHEREAS the appropriate place for OPSEU to address issues regarding the OFL’s Constitution, leadership, governance practices and policies is within the OFL, and

WHEREAS OPSEU’s leadership has damaged our capacity to build the kind of powerful, effective and united fight-back by Ontario’s entire labour movement that we need to take on the employers’ offensive by:

• Reducing our OFL dues by 50% starting in March 2010, then withholding our dues entirely beginning in October, 2011 (contrary to Article 10.1 of OPSEU’s Constitution)
• Withdrawing our delegates from the 2011 OFL convention
• Eliminating funding to OPSEU members who serve on OFL committees
  • Withdrawing from all participation in the Ontario Federation of Labour and its Executive Committee, and

WHEREAS withdrawing from participation in the OFL will damage our ability to rally the full support of Ontario’s Labour Movement to help defend OPSEU members’ jobs and the public services we deliver.

THEREFORE BE IT RESOLVED THAT OPSEU reestablish full affiliation and good standing in the Ontario Federation of Labour and immediately return to making regular per-capita dues payments to the OFL; and

BE IT FURTHER RESOLVED that OPSEU return to full participation in the OFL and its Board, committees and activities and work with the OFL and its affiliates to build a united campaign to fight back against the employers’ offensive and their austerity agenda and to defend quality public services, good jobs and union rights in Ontario.

OPSEU Belongs in the OFL – Convention Flyer

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