Town of Coaldale employees reject new collective agreement in labour board vote

Posted on August 21, 2025 by Sunny South News

By Kristine Jean
Sunny South News

Negotiations in an ongoing labour dispute between the Town of Coaldale and its unionized municipal employees appear to be at a standstill after workers voted to reject the Town’s most recent offer.  

In a press release dated August 11, the Town of Coaldale said unionized municipal employees voted to reject the Town’s comprehensive proposal—Comprehensive Offer No. 3—through a Labour Relations Board-supervised secret ballot vote. The offer represented a significant increase in total compensation, especially when compared to current wage trends in the private sector, stated the release. 

That offer, according to the Alberta Union of Provincial Employees (AUPE) was an “insulting offer forced on them by their employer,” which is why members working for the Town overwhelmingly voted no, rejecting it by a vote of 39-9.  

 “AUPE members in Coaldale stood up for their rights and the wages they deserve,” says AUPE Vice-President Curtis Jackson. 

AUPE said the Town of Coaldale approached the Alberta Labour Relations Board on July 8 to force its staff to vote on the new contract, bypassing the union members’ right to collective bargaining. 

“Staff knew that the offer came nowhere close to meeting their needs. With this vote, they have sent a strong message to their employer,” said Jackson, noting the  AUPE members are prepared to fight for a fair deal at the bargaining table.  

The Town of Coaldale said the offer struck a good balance between their  commitment to looking after the needs of their employees while being sensitive to the Coaldale taxpayer, who ultimately foots the bill for these wages, the Coaldale business owner, who has to compete with the Town for the same workers and the Town’s long-term financial health. 

“We believe the offer we put forward was both generous and sustainable,” said Kalen Hastings, Chief Administrative Officer (CAO) for the Town of Coaldale. “Contrary to the narrative being advanced by AUPE – an organization that likes to invoke the language of fairness and workers’ rights as a smokescreen for greed and entitlement – this proposal was far from insulting. It reflected our commitment to supporting staff while also protecting the interests of Coaldale residents.” 

The Town currently has  40 permanent employees and 38 seasonal employees, for a current total of 78. Some of those positions include engineering technologist, mechanic labourer, arborist, utility operator, bylaw enforcement officer, public works operator, community services coordinator and corporate clerk.

The Town’s previous Collective Agreement expired on December 31, 2024.

In the Town’s release, they noted the outcome marks yet another setback in what has been “an extensive and at times, challenging collective bargaining process.” It also underscores a widening disconnect between public sector wage expectations and the economic realities facing the broader communities that fund them.

It continued, saying over the past several months, the Town has worked in good faith with the Alberta Union of Provincial Employees to arrive at a balanced Collective Agreement. This process involved multiple rounds of negotiations, two days of formal mediation, and several revised offers, the last of which – Comprehensive Offer No. 3 – was delivered on June 16, 2025.

That offer included:

• A four-year agreement with annual general wage increases of 2.5 per cent, 2.75 per cent, 2.75 per cent and 3 per cent. 

• Additional market adjustments to the wage grid

• 100 per cent employer-paid premiums for extended health, dental, life, and short-term disability benefits

• Enhanced paid parental leave

• Increased shift premiums and boot allowances

• And a 2 per cent vacation pay boost for casual and seasonal employees (from 4  to 6 per cent).

On average, Town of Coaldale union employees were set to make an additional 17 per cent over the next four years. In the spirit of give and take, and in return for the above, the Town requested a few modest rollbacks including:

• That the overtime rate moves from double time (2X) to time-and-a-half (1.5X)

• That the partial payout of unused sick leave hours be discontinued and that the annual number of sick days remain at 12 (recognizing that the town has both short-term and long-term disability plans in place for permanent employees) and

• That call-outs (for on-call staff) be at 1.5X the regular rate of pay as opposed to 2.0X

• That the joint Employer (one per cent) / Employee (0.75 per cent) Group RRSP program, which is a benefit that falls outside the Collective Agreement, be discontinued.

The release said in authorizing a direct vote under Section 69 of the Labour Relations Code, town council ensured that employees had the opportunity to evaluate the offer independently, without undue delay or interference, in order to form a new collective agreement.

A motion passed by council on June 9, 2025, confirmed that the retroactive pay included in Comprehensive Offer No. 3 was a one-time offer and will not be included in any future proposals.

In a follow-up email, Hastings said “the Town is unapologetically standing firm against the Union’s delusional compensation expectations.” He also noted they “believe it is important to be fully transparent with the public about our latest offer to the union, which is why we’ve created a dedicated page on the Town website to show the public the details around our latest offer and how it compares to the Union’s demands,” said Hastings. 

Town of Coaldale councillors held a special council meeting on August 11 to discuss the next steps in the bargaining process.