VICTORIA — Finance Minister Kevin Falcon issued the following statement on the status of negotiations with the B.C. Government Service Employees’ Union:

“I am disappointed the BCGEU rejected a fair offer that would have provided a wage increase during worsening economic times.

“Through our co-operative gains mandate we were able to offer the following:

• A two per cent wage increase effective July 1, 2012.
• A 1.5 per cent wage increase on July 1, 2013.
• Renewal of the MOU on Employment Security for the term of the agreement.
• Renewal of all existing temporary market adjustments.
• Modest increases to some allowances in both years of the contract.

“There are only four other ways to fund a wage increase: raising British Columbians’ taxes, increasing the deficit and passing on debt to our children, cutting programs and services that people depend on, and reducing the size of our workforce through layoffs.

“We are experiencing unpredictable economic circumstances around the world. Despite this uncertainty, we have been committed to finding savings that can fund a modest wage increase for employees.

“These negotiations have been undertaken in the context of the government’s co-operative gains mandate. The co-operative gains mandate gives all public sector employees the ability to negotiate modest wage increases, provided the savings can be found within existing government budgets, that the savings initiatives are consistent with government policy, and that the savings can be achieved without sacrificing or compromising services to British Columbians.

“We have worked hard to ensure we are doing everything possible to come to a reasonable agreement. Although our offer is modest, we feel it is appropriate in the current fiscal environment, and we remain hopeful that we can find a way to navigate through to a mutual agreement.”

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Statement from the 60,000 member strong BCGEU

Two days of mediation this week failed to produce meaningful progress in negotiations with the provincial government. As a result your union has asked the mediator to book out.

“Your bargaining committee did not make this decision lightly,” says BCGEU president Darryl Walker. “We began negotiations with fair and reasonable proposals. We presented concrete ideas to increase provincial revenues. After six months of negotiations, which included a strike vote and two weeks of mediation, we have exhausted all options and made very little progress.”

“Our members have not had a wage increase for more than three years. Inflation has eroded their spending power by more than five per cent over that time. The government simply refuses to acknowledge the sacrifices our members have made and we are not prepared to continue falling behind,” says Walker.