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Saskatchewan Premier Scott Moe appointed Vince Ready as the special mediator for bargaining on the Co-op Refinery Complex (CRC) collective agreement with Unifor 594 on Feb. 12.

Since the Premier’s first offer of a special mediator, we have welcomed this appointment and the opportunity to have productive bargaining provided all illegal picketing activity ceased at any location. We look forward to meaningful discussions with Mr. Ready that lead to a long-term, sustainable agreement that works for both parties.

Mediation is scheduled to begin Feb. 18.

 

Safety is our priority.

  • We rank in the top quartile in process safety.
  • A recent inspection by the Ministry of Labour Relations and Workplace Safety on Jan. 14 reported no health or safety concerns.
  • We’re investing in safety and reliability through our annual Turnaround maintenance period in April.

 

We’re fuelling Western Canada

  • We continue to ensure you have the fuel you need, however Unifor’s illegal tactics have led to periodic fuel outages.
  • There is no shortage of fuel – the CRC is operating at 90% capacity – Unifor is preventing its distribution.

 

We share our profits.

  • FCL returns most of its profits to local co-ops, including $649 million in 2019.
  • Unifor refers to our $2.5 billion in profits in recent years, but never talks about the $2 billion that goes back to local co-ops.

 

OUR OFFER
View more details on our offer.

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Our industry is changing and we need to transition to a low-carbon economy. That means ensuring our operations are safe, efficient and sustainable for generations.
IMPACTED ENERGY SECTOR

An important part of understanding the facts is understanding our industry. Now, more than ever before, our industry is changing. We want you to be informed about why we need to change and why we needed to make changes during our recent negotiations with Unifor. Here are some recent articles that demonstrate the pressure on our industry.

FINAL OFFER VOTE

We appreciate the efforts by Special Mediators Vince Ready and Amanda Rogers in preparing a report that has brought both sides closer together. The offer below illustrates the recommendations that we accept in full and others where we have made modifications and enhancements.

RECOMMENDATION:

Adopt all previously agreed to language detailed from the National Pattern. Includes wage increase over agreement:

  • Year 1: 2.5% (as per National Pattern)
  • Year 2: 2.75% (as per National Pattern)
  • Year 3: 3.00% (as per National Pattern)
  • Year 4: 3.5% (as per National Pattern)
CO-OP OFFER: Accepted and enhanced

Accepted National Pattern and extended National Pattern wages for three more years. Represents seven-year deal.

  • Year 5: 1% (or National Pattern, whichever is higher)
  • Year 6: 1% (or National Pattern, whichever is higher)
  • Year 7: 1% (or National Pattern, whichever is higher)
RECOMMENDATION:
Domestic Violence and Women's Advocate role
CO-OP OFFER: Accepted
Agreed to two-year pilot and further discussion.
RECOMMENDATION:
Eliminate minimum staffing requirement in LOU 58
CO-OP OFFER: Accepted
RECOMMENDATION:
Eliminate LOU 59 to provide greater flexibility in the assignment of work
CO-OP OFFER: Accepted
RECOMMENDATION:
No change to provisions of Article 2
CO-OP OFFER: Accepted
RECOMMENDATION:
Maintain bargaining unit MO classification
CO-OP OFFER: Accepted
RECOMMENDATION:
Effective on ratification, employees enrolled in the DB Plan will commence contributing 4% of final average earnings as employee contributions into the DB Plan.
CO-OP OFFER: Accepted and enhanced
Co-op continues to offer employee choice between Defined Benefit Plan or Defined Contribution Plan. Choice to be made effective Dec. 31, 2020.
RECOMMENDATION:
As of Feb. 1, 2022, members of the DB Plan will commence contributing 8% of final average earnings as employee contributions into the DB Plan.
CO-OP OFFER: Modified
  • 8% effective Feb. 1, 2021.
  • 50-50 share of current service costs effective Feb. 1, 2022 (estimated employee contribution rate of 9.75% based on 19.5% current service cost with no indexation)
RECOMMENDATION:
The accrual rate be maintained at 2% of final average earnings with no CPP-related reduction applied at age 65 as presently exists in the DB Plan.
CO-OP OFFER: Modified
No change to current collective agreement language.
RECOMMENDATION:
No indexation on post June 30, 2020, service and CPI capped at a maximum of 2% for pre-July 1, 2020, service.
CO-OP OFFER: Enhanced
Extends indexation preservation period to align with plan transition date of Dec. 31, 2020
RECOMMENDATION:
Maintain Savings Plan
CO-OP OFFER: Modified
Choice between modified Savings Plan (4% matching, minor changes to earnings definition) or Performance Plan. Choice to be made Oct. 30, 2020.
RECOMMENDATION:
Steam ticket premium
CO-OP OFFER: Accepted
RECOMMENDATION:
Life Insurance coverage
CO-OP OFFER: Accepted

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DC PENSION CHOICE
Employees have been offered the choice of our Defined Contribution (DC) Pension Plan or to contribute to their current Defined Benefit (DB) Pension Plan. The following are examples of the DC option.
EXAMPLE 1
Employee 1 is 36 and has been working at the refinery for seven years. Their average best earnings over 36 months is $95,000. They’re eligible for their full pension at age 59.
Commuted Value1 $426,000
Retirement Allowance2 $103,320
Defined Contribution3 $712,000
TOTAL $1,241,320
EXAMPLE 2
Employee 2 is 40 and has been working at the refinery for 13 years. Their average best earnings over 36 months is $105,000. They’re eligible for their full pension at age 57.
Commuted Value1 $658,000
Retirement Allowance2 $262,080
Defined Contribution3 $460,000
TOTAL $1,380,080
EXAMPLE 3
Employee 3 is 53 and has been working at the refinery for 32 years. Their average best earnings over 36 months is $115,000. They’re eligible for their full pension at age 55.
Commuted Value1 $989,000
Retirement Allowance2 $742,400
Defined Contribution3 $34,300
TOTAL $1,765,700
1Commuted Value (CV): Value of defined benefit pension
2Retirement Allowance (RA): Compensation for transition to defined contribution pension.
3Defined Contribution (DC): Value of contributions from employee (4%) and employer (10%), including a 6% rate of return
*These examples are based on calculations from November 2019

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A lot has happened during this labour disruption. Follow the most significant events here.

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Refinery News

CRC to force vote on final offer

March 30, 2020

On March 25, 2020, the Co-op Refinery Complex (CRC) shared our final offer with the Unifor 594 Bargaining Committee.

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CRC unable to accept recommendations in full

March 22, 2020

The CRC thanks the special mediators for their time and effort, thoughtfully considering both parties' positions and preparing their report and recommendations.

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The CRC is confident in COVID-19 pandemic plan

March 18, 2020

The Co-op Refinery Complex (CRC) is confident in its plan to keep the refinery safe and operational during the COVID-19 pandemic.

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