q & a
questions & answers
Many TELUS unionized employees were involved in a four-month labour disruption in 2005. What are the advantages of the new collective bargaining agreement for TELUS’ customers and investors?
TELUS and its largest union achieved a landmark five-year negotiated collective agreement in November 2005. A key advantage is that we have gained labour certainty to the end of 2010, which contrasts with the uncertainty of the last several years. For our team members, the new agreement provides best-in-class compensation, growth opportunities and employment protection. For our investors and customers, the advantages of this new agreement are many as it modernizes a contract that had long impeded our ability to fully integrate our operations between B.C. and the rest of Canada to effectively and efficiently serve customers in the increasingly competitive communications market.
For example, we have increased flexibility to serve customers when they want to be served, and we have increased the company’s ability to schedule employees based on customer needs and to use temporary and part-time staff to deal with fluctuating service requirements. We have increased productivity by more than 50,000 person-days a year by buying out time off (over and above vacation time) in B.C. We have made a significant step forward in our performance culture with at-risk, variable pay for all employees based on a scorecard of metrics covering financial performance, customer service, business efficiency and effectiveness, and spirited teamwork. In addition, contractual provisions have been updated to ensure that employee qualifications, experience and aptitude are taken into consideration, along with seniority, when staffing decisions are being made. We have also increased our efficiency by contracting out non-core functions, like janitorial services, to third parties so we can focus our resources on our core communications business.
Given the significant changes that were negotiated, we are training management to fully understand and administer this agreement. The company and the union have agreed to work to dismiss or withdraw various legal proceedings and establish a Common Interest Forum to constructively discuss important issues. In addition, TELUS team members have a common focus towards better serving our customers. While it is difficult to quantify all the benefits, this agreement clearly allows TELUS to be a better-performing company for the benefit of our customers, team members and investors.
Judy Shuttleworth
Executive Vice-President,
Human Resources
Member of the TELUS Team