OTTAWA — The Bank of Canada is facing scrutiny over its employment of replacement workers amid an ongoing strike by security officers. Tiff Macklem, the governor of the Bank of Canada, has publicly defended the central bank's decisions in light of recent rulings from the Canada Industrial Relations Board (CIRB).
Last week, the CIRB ruled that the Bank of Canada violated the Canada Labour Code by employing contractors from Pinkerton Consulting & Investigations during the strike. Earlier in the month, a similar ruling was issued against the bank for using contractors from Garda Canada Security Corporation, as well as services from union members.
Macklem clarified in a letter addressed to the president of the Canadian Labour Congress that the Bank of Canada has consistently complied with the CIRB's orders. He stated, “Ahead of the CIRB’s first ruling, the bank made representations regarding the minimum necessary arrangements to ensure the security of our facilities and people in light of the strike.” He emphasized that the bank acted quickly to adhere to the board's directives, ceasing its previous arrangements after each ruling.
The governor noted that certain exceptions within the law allow for the use of replacement workers under specific circumstances, particularly to prevent threats to life, health, or safety, as well as to avoid serious damage to property. Macklem believes that the exceptions were intended for situations like the current strike, which presents acknowledged risks to the safety of personnel and assets.
Security officers began their strike in June following unsuccessful negotiations for a new collective agreement between the central bank and the union representing them. Macklem indicated that the bank has made efforts to achieve a fair resolution through negotiations.
Last week, the Public Service Alliance of Canada issued a statement urging the Bank of Canada to cease utilizing replacement workers and return to negotiations to secure a fair deal. According to the union, which represents 42 members at the bank's Ottawa office and seven members at the Montreal office, the employees have been on strike for four weeks following a lockout of members in Montreal. The union reiterated their commitment to achieving a fair agreement and respecting the workers' right to strike.
When questioned about the continued use of replacement workers or bargaining unit members during the strike, Bank of Canada spokesperson Paul Badertscher confirmed via email that “the short answer is no.” He reiterated that the bank has adhered to the CIRB’s rulings and has discontinued the previous arrangements and suppliers it employed.
In a legislative update, it was noted that in 2024, Canada enacted a law prohibiting federally regulated workplaces from hiring replacement workers during a legal strike. These new regulations took effect the previous year.
Bea Bruske, president of the Canadian Labour Congress, conveyed her concerns in a letter to both Macklem and other federal leaders, asserting that the bank's “repeated disregard for the board’s orders is unacceptable.” She underscored the importance of the anti-replacement worker provisions established by Parliament to safeguard workers' rights and the integrity of collective bargaining. Bruske called upon the federal government to reinforce the message that compliance with the Canada Labour Code is mandatory for all federally regulated employers.
A spokesperson from Jobs Minister Patty Hajdu's office emphasized the government's stance by stating that the “strongest deals happen at the table.” It was further noted that mediators from the Federal Mediation and Conciliation Service have been actively working with the involved parties since the spring.
