HAPPY VALLEY-GOOSE BAY, N.L. — A long-term contract recently awarded for the bulk of the civilian staff at 5 Wing Goose Bay in central Labrador is making one of the unions that represents workers there a little nervous.
The 10-year deal, with the potential to turn into 20, was awarded to Serco Canada Inc., the company that has held the contract for support services and facilities maintenance at the base since 1998. The contract is valued at $694 million and can be worth as much as $1.5 billion over 20 years if the two five-year extension options are exercised.
Previously, there were concerns by the unions that if the contract was awarded to another company the collective agreements they have would no longer be in effect, potentially leading to a host of issues for the workers. That concern lead to a rally in Happy Valley-Goose Bay.
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Jonathan Cull, president of the Union of National Defence Employees Local 90125, said the union is happy that Serco was the successful bidder and it’s a step in the right direction, but they are concerned about potential job cuts.
A news release Monday from the Department of National Defence about the contract renewal stated it would sustain "approximately 250 jobs over 10 years." It’s that number that concerns Cull.
“My immediate thought when I saw that number was that looks low to me,” he said. “There’s close to around 300 workers under the contract now, so when they come around saying 250, that makes me a little nervous.”
Cull said while they haven’t seen anything official yet about the staffing plan under the new contract, they have been told there will be job cuts and position changes.
“They haven’t said how many, they haven’t said where and they haven’t really said when these things will happen,” he said. “We’re still waiting for all that.”
It’s an uneasy time for workers, he said, with everyone wondering if they’re going to be working there next month, in two months or this time next year.
“I’m sure everyone upstairs at Serco is very happy they won the contract and can scratch their own backs and whatnot, but the people on the floor, they’re wondering, OK, you won the contract, now what does that mean for me?”
Serco and the federal government are finalizing the details of the contract this week, Cull said, and the union was told it would have more information once that was finalized.
SaltWire Network contacted Serco about the workers' concerns and was told in an emailed statement that “as with any new contract, there is the potential for change” and once the company has finalized the details of the new contract, it will be in a better position to speak about potential changes.
“This is the standard process upon any contract award, and it has been followed since 1998,” Serco director of corporate communications Tim Neun stated in the email. “As a company, our priority has always been two-fold — supporting our people in every way we can and delivering for our client in the most efficient and effective way possible. That won’t change.”
SaltWire also contacted the Department of National Defence about the union's concerns, but a reply was not received by deadline.
Evan Careen is a Local Journalism Initiative reporter covering Labrador for SaltWire Network
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Twitter: @evancareen
