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UnionsprotestoptionforclawbacksinnewpensionactMinistersaysdetailstobeworkedoutinfollowingregulationsTuesdayOctober2820149POLITICSLABOURWWW.FORTSMITH.CACelebratingournewHealthCentreTHETOWNOFFORTSMITHcelebratestheFortSmithHealthCentresexpansionanditsimprovementofourcommunity.ByMEAGANWOHLBERGApotentialmergerthatpromisedtore-shapeNorthernaviationwasterminatedlastweekaftermonthsofnegotiationswithnoreasonsgiven.MakivikCorp.andNorTerraInc.therespectiveownersofFirstAirandCana-dianNorthannouncedtheyhavecan-celledplanstomergetheirairlineopera-tionsandforeseenofurtherdiscussionsontheinitiative.CanadianNorthandFirstAirwillcon-tinuetohaveapositiveworkingrelation-shipaimedatprovidingthebestpossibleservicetocustomersinacompetitivemar-ketplacereadtheshortpressreleasefromthetwocompaniesaddingthattheywouldhavenofurthercommentonthematter.SpeculationaboutapossiblemergerofthetwoNorthernairlinesbeganin2009andendedinAprilwhenthecompaniesannouncedofficialplanswereinmotiontocombineFirstAirandCanadianNorth.Themergerwastoutedasbeingimpor-tantforthesustainabilityoftwocriticalInuitbirthrightenterprisesandwouldcreatebetterairservicesalongwithneweconomicdevelopmentopportuni-tiesintheNorth.BothNorthernairlineshavesufferedasaresultofsoutherncarriersmovingintotheterritoriesforcingcutbacksonightsandindustrialpartnerships.AlongwithnegotiationstheplannedmergeralsofacedregulatoryreviewbythefederalCompetitionBureau.CanadianNorthwhichiesto19desti-nationsintheNWTandNunavuthasover900employees.FirstAirhasaround1000employeesandboaststheonlytwocivilianownedandoperatedHerculescargoair-craftinCanadaalongwithmoreservicestoNortherndestinationsthananyotherairline.Thetwocompaniesmergerwebsitewww.newnorthernairline.comwasnolongerfunctionalasofThursday.NorthernairlinesmumoncancelledmergerplansINDUSTRYAVIATIONByMEAGANWOHLBERGUnionsintheNorthwestTerritoriescon-tinuetoprotestproposedlegislationtheyfearwillallowemployerstoclawbackpen-sionbenetsfromretiredpublicserviceandnon-protemployees.TheNWTFederationofLabourapproachedallterritorialMLAslastweeklookingforsup-portinitsoppositionofBill12theNorthernEmployeesBenetsPensionPlanActwhichitsaysthreatenstheincomesecurityofpen-sionplanmembers.AccordingtofederationpresidentMaryLouCherwatythegroupssupportthecre-ationofalegislativeframeworkforNorthernEmployeeBenetsServicesNEBSpensionsintheNWTbutsaidtheproposedbilldoesnotprovidetheguaranteethatemployeeben-etswillbeprotected.Underthebillcorebenetswouldbepro-tectedfromretroactivereductionwhilean-cillarybenetswouldnotbeprotectedbutCherwatysaidneitherofthosetermsareproperlydened.Theinterpretationofwhatcoreandan-cillarybenetsareisleftuptofutureboardsandcommitteesofNEBS.Thismakesthebillunworkablyvagueandprovidesnoas-surancetobeneciariesorcurrentandfu-tureplanmembersshewroteinalettertoMLAslastweek.AswellshesaidthebillcontainssectionsallowingfortheclawbackofpensionfundsfrompeoplewhohavealreadyretiredfromtheGNWTandgivestheministertoomuchauthorityoverthepensioncommittee.LegislativecertaintyneededministerThecreationofBill12hasbeen10yearsinthemakingeversincethefederalgovern-mentdecidedtheNEBSpensionplandidnotqualifyforregulationunderthenationalpri-vatepensionplansdivision.DespitethegoodworkoftheNEBSpen-sioncommitteesince2004FinanceMinisterMichaelMiltenbergersaidalegalframeworkisrequiredinordertogivepublicsectorem-ployeesthecertaintythattheirnancialin-terestsarebeinglegallylookedafter.ItsapieceofworkthatnowgivesallthosefolksthataremembersofNEBS...thesamekindoflegislativeprotectionthatalltherestofustakeforgrantedhesaid.MiltenbergersaidmanyofthepointsonwhichtheunionsaredemandingastrongerguaranteewillbeworkedoutintheregulationsfollowingthepassingofthelegislationoroutsideofthebillwiththeNEBSboardratherthanbykillingthebill.IfyouputeverythingintoabillitbecomesveryverydifculttodothingsdowntheroadMiltenbergersaid.Youbecomeveryrestrictedifthatbillisnotperfectinhowitswrittenbecauseovertimethingstendtoevolveandyouwonthaveanyotheroptionbecausethelawisdenitiveevenif10yearslateritdoesntmakeanysense.ThoughhecouldnotgivedetailsofdirectconsultationwithunionsonthebillMilt-enbergersaidtopleadignoranceafter10yearsofdiscussionwouldbedisingenuousespeciallyconsideringtheoverlapofmem-bershipbetweenNEBSandtheunions.HeaddedthattheNEBScommitteeismorethanwillingtositdownwiththeunions.Theproposedlegislationwouldaffectabout1000publicsectorandnon-protworkersofover130employersintheNWTincludingmunicipalandAboriginalgovernmentsnon-protshousingauthoritieshealthboardsandpublicschoolboards.ThebillwhichreceivedrstandsecondreadingafterbeingintroducedinFebruarywithoutmuchadoiscurrentlyundergoingadditionalreviewincommitteeuntiltheendofthemonth.Nunavutisgoingthroughasimilarconcurrentprocess.About150membersofthelabourfedera-tiontheUnionofNorthernWorkersthePublicServiceAllianceofCanadaandtheNWTTeachersAssociationprotestedthebillonOct.17duringtherstdaysoffallsessionoutsideoftheNWTLegislature.MiltenbergersaidtheunionsalongwithNEBScontinuetogivetheirinputtocommit-teeduringthisextendedperiodofconsulta-tion.HeexpectsthebilltopassafterdiscussionintheHouseintherstweekofNovember.IamcondentitwillbeapprovedsaidMiltenbergerbecauseitsagoodbill.PhotocourtesyofUnionofNorthernWorkersAround150unionmembersprotestBill12outsidetheNWTLegislatureonOct.17.FilephotoCanadianNorthwillnolongerbejoiningFirstAirincreatinganewNorthernairline.