Submission to the Ontario College of Trades

Transcription

1 Submission to the Ontario College of Trades Review of the Classification of Trades for Sprinkler and Fire Protection Installer Trade November 8, Page 3

2 Introduction The Christian Labour Association of Canada (CLAC) has prepared a response to the Ontario College of Trades review of the classification of trades for Sprinkler and Fire Protection Installer trade. About CLAC Representation with Integrity Value on the Job Site Christian Labour Association of Canada (CLAC) is Canada s multi-craft construction union representing skilled tradespersons working in every sector of the construction industry in the province of Ontario. Every day, thousands of CLAC members in Ontario build bridges, roads, water and waste treatment plants, high-rise buildings, and retail shopping centres. Founded in 1952, CLAC is a union built on principle. Its name reflects the principles of dignity, democracy, freedom, justice, responsibility, and respect for all. Its goal is to establish a true partnership between employers and employees for the benefit of all. Through innovation and using a new model of advocacy and construction organization, CLAC has experienced remarkable growth in Ontario and across Canada. Its members have an enviable record of doing their work competently and safely, with results that count them among the leaders in their field. Page 4

3 CLAC is an independent Canadian labour union representing over 56,000 workers in a wide range of industry sectors construction, health care, retail, service, transportation, manufacturing, and mining. The union serves its members from 14 regional offices in Alberta, British Columbia, Saskatchewan, Manitoba, and Ontario. CLAC s head office is in Mississauga. A Multi-Skilled Union CLAC organizes construction workers of all trades in a particular company into a single bargaining unit. In labour relations jargon, this is known as wall-to-wall bargaining, where construction workers in compulsory, voluntary, and uncertified trades are organized together in a single unit. This multi-skilled approach creates an efficiency not met through any other model, eliminating trade silos and encouraging all workers to work together to complete construction projects safely, on time and on budget. Training for the Future CLAC provides training support for its members to acquire, maintain and upgrade their skills. Courses are designed to keep members up to date with legislative requirements and codes, as well as provide them with applicable health and safety training. CLAC established training centres in Ottawa, Grimsby, Mississauga, and Chatham, and opened a provincial training facility in Cambridge in Page 5

4 CLAC works closely with Ministry of Training, Colleges and Universities (MTCU) apprenticeship offices in Ontario and in cooperation with community colleges and training organizations. By working together, CLAC ensures that those entering the construction trades acquire and develop the knowledge and experience for a skilled workforce for tomorrow s projects. Page 6

5 PREFACE As a preface to our submission, CLAC wishes to make the following general comments regarding the certification process generally, and specifically the trade classification review process instituted for the Sprinkler and Fire Protection Installer trade: CLAC has grave concerns regarding the question of due process and the lack of available empirical and comprehensive evidence to be presented to a review panel in order to make a classification decision under the Ontario College of Trades and Apprenticeship Act, 2009 (OCTAA), and specifically, Ontario Regulation 458/11 made under OCTAA (the Regulation). A review panel has the authority to conduct reviews and make determinations on classification of trades as compulsory trades or voluntary trades under section 21(2) of the OCTAA. Under section 21(3), the decision of the review panel is final and not subject to appeal and cannot be altered or set aside in an application for judicial review or any other proceeding. In making such determinations, members of a review panel have an obligation under section 22 to serve and protect the public interest. Therefore, a review panel is given broad authority to make decisions regarding the regulation of trades in Ontario, with the limited constraint of ensuring their actions serve and protect the public interest. Page 7

6 A major concern of CLAC is the fact that the empirical data examined by the review panel in making their determination, that is, the criteria set out in the Regulation is not readily available. The Ontario College of Trades is in the position as the gatekeeper and repository of such information. As the Ontario College of Trades has only been in full operation since April 2013, all relevant information for the period prior to this time would be held by the Ministry of Training, College and Universities. However, such information is not available from the Ontario College of Trades or the MTCU. In fact, the Trade Board for a given voluntary trade can make a request for a review of mandatory certification without providing any evidentiary basis for the request, leaving it to the review panel to consult with the public and receive this critical information (if available), third hand. The review panel is unable to test the submissions against objective empirical data, but instead must make a determination based solely on the submissions of parties who are likely biased in one way or another to the results of the certification process. In our submission, this process is fundamentally flawed, and as such we recommend that the review panel in this case should dismiss the request due to a lack of empirical data upon which to base its decision and recommend that the Ontario College of Trades place a moratorium on all future applications until the procedural flaws set out above can be addressed and rectified. In this way, all stakeholders can be assured that the Page 8

7 process is fair and transparent, and will in fact serve and protect the public interest, as required by the governing legislation. Notwithstanding the submissions above, CLAC provides the following written submissions in satisfaction of section 7, i-viii of the Regulation: Response to Specific Criterion Each of the seven criterions is copied into the submission with CLAC s response below. i) The scope of practice of the trade. Ontario Regulation 275/11, Section 41 under the Ontario College of Trades and Apprenticeship Act, 2009 (OCTAA) governs the scope of Sprinkler and Fire Protection Installer trade (herein after referred to as Sprinkler Fitter ). We anticipate no change, nor do we propose any change to the scope of practice that will be contained in the corresponding regulation to the Ontario College of Trades Act, 2009 (O. Reg. 275/11, s. 29). Trade Overlapping It is important to note that the scope of practice for the compulsory Plumber trade (O. Reg 275/11 Sec. 29), includes work that overlaps with the Sprinkler and Fire Protection Installer trade. For example, Sec. 29(1)(1) states that laying out, assembling, installing, maintaining or repairing in any structure, building or site, Page 9

8 piping, fixtures and appurtenances for the supply of water for any domestic or industrial purpose... The OCTAA is silent on the issue of scope of trade overlapping. The report by T.E. Armstrong Consulting, Compulsory Certification Project, 2008 ( The Armstrong Report ) 1 at Paragraph 76 describes how the Ministry applies certain tests to determine whether persons may perform the work of a compulsory trade under the Trades Qualification and Apprenticeship Act (and by extension, the OCTAA, 2009). Currently, when the work of a voluntary trade [Sprinkler Fitter] is contained in a compulsory trade [Plumber] there are no limitations on who can perform the work of a Sprinkler Fitter. Should the panel recommend a reclassification of the Sprinkler and Fire Protection Installer, the panel should confirm (or reiterate) the Ministry s test for dealing with the scope of practice that falls within two compulsory trades: that there would be no limitations placed on the Plumber trade in performing the work that falls under the scope of practice of the Sprinkler and Fire Protection Installer trade. In CLAC s view, this would provide some clarity for the industry where there are concerns of the panel limiting the scope of work of the Sprinkler Fitter trade to those who hold a C of Q or apprenticeship contract for the trade. 1 Source: Page 10

9 ii) How the classification or reclassification of the trade may affect the health and safety of apprentices and journeypersons working in the trade and the public who may be affected by the work. CLAC does not anticipate that a reclassification to compulsory status will have an impact on the health and safety of journeypersons, apprentices and the public. Ontario has a strong health and safety framework in place through the Occupational Health and Safety Act, a rigorous building code framework and other legislated requirements enforced by the Ministry of Labour. In CLAC s view, there is no credible data from Ontario or other jurisdictions that have changed their classification on which we can rely upon for this review. Additionally, if specific data related to the effect of a change in classification in other jurisdictions was available, it would fail to account for the various differences in the Sprinkler Fitter trade between jurisdictions. The type of work, the predominance of difference in sectors (industrial/residential/institutional) and the fact that each jurisdiction will have its own unique health and safety legislative framework and enforcement mechanisms would create multiple variables and render such comparative analysis as quite meaningless. Furthermore, trade performance data related specifically to the Sprinkler Fitter trade is nearly impossible to obtain. The most reliable data that contains Sprinkler Fitter work is the WSIB injury performance data that is separated out by generalized WSIB member rate groups. The applicable rate group for Sprinkler Page 11

10 Fitters is Rate Group 707-Mechanical and Sheet Metal Work. This rate group contains all work that falls under the category of Mechanical and Sheet Metal Work, which would include trades such as plumber, sheet metal worker, refrigeration and air conditioning mechanic, welder, and sprinkler fitter, among others. There is no breakdown of trade within the larger 707 Rate Group, therefore there is no way of determining which performance data is useful or unique for the Sprinkler Fitter trade. iii) The effect, if any, of the classification or reclassification of the trade on the environment. The reclassification of the Sprinkler Trade would have no positive or negative impact on the environment. Currently, the trade is highly regulated through a variety of municipal building codes, legislative requirements, and environmental protection enforcement mechanisms, all of which serve to protect the environment. A change in the classification will in no way effect the efficacy of such legislation or enforcement of same. Furthermore, there is no available evidence that we could find that correlates the voluntary status of the Sprinkler Fitter trade with a negative impact on the Page 12

11 environment. Any evidence to the contrary would be anecdotal at best and should be subject to independent verification. iv) The economic impact of the classification or reclassification of the trade on apprentices, journeypersons, employers and employer associations and, where applicable, on trade unions, employee associations, apprentice training providers and the public. The Armstrong Report (Paragraphs ) provides detailed rationale of why the creation of a comprehensive database is needed. This data base would contain significant threshold data that would be presumably necessary in order to determine the need for any voluntary trade to be reclassified as compulsory. The author maintains that the collection of comprehensive, detailed, quantifiable data bases do not presently exist in Ontario and that would be extremely difficult, costly and time-consuming to produce (Paragraph 158). The Armstrong Report suggests that the threshold data should include: 1. The number of active journeypersons and apprentices in Ontario by trade, distinguishing between compulsory and voluntary 2. Accurate estimate of the total size of the workforce for all trades-related occupations, including journeyperson and non-certified workers 3. Average hourly wage rates for journeyperson and apprentices (by trade and year) 4. Estimates of the number of years required to compete an apprenticeship program (by trade) Page 13

12 5. Completion rates between compulsory and voluntary trades With this threshold data being established, Armstrong suggests that estimates could then be assessed (broken out by trade), including: 1. Productivity gains from a more skilled workforce 2. The costs associated with training an apprentice 3. Unemployment and participation rates by trade-related occupations 4. Share of full-time versus part-time workers 5. Mobility of the labour force 6. Degree of unionization 7. Injury data 8. Costs associated with enforcing new compulsory regulations, etc. CLAC agrees with this rationale. The College is the organization that can collect, over a period of time, the necessary threshold data. The threshold data can then be provided to the public in order to initiate an open and transparent inquiry exercise on the overall assessment of the impact of reclassification in general, which in turn could be applied to each independent request for reclassification of a trade. Page 14

13 Therefore, on the basis of economic impact alone, the request for reclassification of the Sprinkler Fitter, especially in isolation of any other potential requests from other voluntary trades, is premature. Apprentices CLAC does not anticipate any economic impact on Apprentices. Journeypersons CLAC does not anticipate a significant long-term economic impact on Journeypersons. Most certified Sprinkler Fitters in Ontario are represented by a singular bargaining agent, who is a party to an established province-wide collective agreement. The wage rate in that agreement is negotiated on the premise of the voluntary status of the trade. Theoretically, the economic impact of a reclassification of the trade would drive up wage rates. However, the increase in wages would be minimal as there is a monopolistic labour market within the Sprinkler Fitter sector. This creates a labour supply barrier, creating an artificial wage premium for the trade. The increased wage effect from the labour monopoly would simply be replaced by a compulsory classification requirement, rather than a compounding effect of both factors. Therefore the wage rate for the trade would be maintained. A short term economic impact to journeypersons will be the annual payment of membership fees to the College should the trade be made compulsory. The MTCU Page 15

14 data for active journeypersons in Ontario shows that 1,968 Sprinkler Fitters in Ontario hold an active Certificate of Qualification for their trade. The Ontario College of Trades supplementary data for the Sprinkler and Fire Protection Installer Trade shows that only 19 Sprinkler Fitter C of Q holders have voluntarily obtained membership with the College, a mere 1% participation rate. The economic impact would be nearly 2,000 Sprinkler Fitters being subjected to annual membership fees, generating $240,000 in new annual revenue for the College. Additionally, the panel should consider whether this lack of participation is actually representative of a grass roots disinterest in the reclassification of the Sprinkler Fitter trade through the College, or a general satisfaction with the status quo. One might assume that if the Sprinkler Fitters truly wanted their trade to be reclassified as compulsory then higher participation rate would be shown with the College. Employers The Armstrong Report refers to a study by the Canadian Apprenticeship Forum that for every dollar spent on apprenticeship training, an employer receives a benefit of $1.38 or a net return of $0.38 on average (Paragraph 169). The report does not differentiate between compulsory or voluntary trades, only that an apprenticeship program is in place. Since all Sprinkler Fitter apprentices are already engaged in the apprenticeship program for their trade, the cost benefit as reported above is already enjoyed by the Employer community, therefore a reclassification would provide no economic cost or benefit to Employers. Page 16

15 Employer Associations If the trade overlapping concern between other mechanical trades is appropriately addressed, then CLAC does not anticipate any economic impact on employer associations. Apprenticeship Training Providers CLAC does not anticipate any economic impact on Apprenticeship Training Providers. Public CLAC does not anticipate any economic impact on the public. v) The classification of similar trades in other jurisdictions The interprovincial standard (red seal) name for Sprinkler Fitter is Sprinkler System Installer. All jurisdictions offer provincial certification of the trade. The following chart shows which provinces treat Sprinkler System Installer as compulsory (C) or Voluntary (V): NL NS PE NB QC ON MB SK AL BC NT YT NU V C V C C V C V V V V V V Source: Ellis Chart ( Page 17

16 vi) The supply of, and demand for, journeypersons in the trade and in the labour market generally. Any labour market information that is available for the Sprinkler Fitter trade is limited and general in nature. The CSC (Construction Sector Council - now Buildforce Canada) Labour Market Information 2013 data tracks Steamfitters, Pipefitters and Sprinkler System Installers as one labour market group ( As the above data is not broken out by trade, it is impossible to determine the exact labour market demand for Sprinkler Fitters in Ontario. Notwithstanding the above limitations, the CSC labour market information for the above trades shows a fairly balanced market and further states that new entrants into the labour force are expected to meet replacement demand requirements (p. 10). vii) The attraction and retention of apprentices and journeypersons in the trade 427A Sprinkler and Fire Protection Installer * Active Journeypersons 1,968 Active Apprentices 423 Page 18

17 * Data provided by the Ministry of Training, Colleges and Universities and available from the Ontario College of Trades website. The above chart demonstrates the general effective ratio of journeypersons to apprentices within Ontario. The prescribed ratio for the Sprinkler Fitter trade is 1:1. Based on the general effective ratio, there is capacity in the system for additional apprentices. Even being classified as a voluntary trade, the apprentice seats are not being filled. This may point to a lack of interest in the trade, or there are potential barriers of entry or recruitment put up by the TDA responsible for the delivery of the training program. Additionally, no data is available that would demonstrate a correlation between reclassification and attraction of new entrants to the trade. If anything, placing more barriers to new entrants may cause individuals to seek an alternate trade that is already compulsory and provides a greater scope of work. Conclusion CLAC supports the logic that was laid out in The Armstrong Report regarding the importance having access to comprehensive evidence for use in reclassification reviews. The Ontario College of Trades is the appropriate body to produce the relevant, quantifiable threshold data for the industry to use in order to make rational submissions to a review panel. We would be gravely concerned if the review panel made a decision to reclassify the trade without this data in hand. A lack of evidence in support of, or contrary to reclassification, should not give cause to the panel to reclassify the trade. Page 19

18 Therefore, CLAC respectfully submits that the review panel in this case dismiss the request due to a lack of empirical data upon which to base its decision and recommend that the College of Trades place a moratorium on all future applications until the procedural flaws set out above can be addressed and rectified. In this way, all stakeholders can be assured that the process is fair and transparent, and will in fact serve and protect the public interest, as required by the governing legislation. Contact Us Colin deraaf, Director of Ontario Training Christian Labour Association of Canada 64 Saltsman Drive Cambridge ON N3H 4R7 (519) (519) (fax) cderaaf@clac.ca Page 20