With five weeks to go before contracts expire in Ontario’s unionized ICI construction sector, negotiators are reporting slow, measured progress towards deals with action expected to heat up in early April.
By law ICI contracts last three years in the province. The current deals negotiated by the 25 ICI trades with their employer bargaining agencies are set to expire April 30.
The bargainers are determined to avoid a repeat of 2022, when there were five strikes and nine times the rank and file voted to reject proposed settlements.
“In construction, we’re known for getting things done,” said Mike Gallagher, who is bargaining on behalf of the International Union of Operating Engineers.
“We’re a hardworking industry, quick to roll up our sleeves, address issues and reach solutions.”
Waiting for electrical
Traditionally, explained Wayne Peterson, executive director of the Construction Employers Coordinating Council of Ontario, unions and employers wait to see the electrical wage settlement before completing contracts.
In 2022 the electrical sector finalized a deal in February, but the two sides have not yet aligned on wages this year and are awaiting the decision of a third-party “selector” who will rule between two monetary proposals on April 9 as part of a “final offer selection” process.
Bargainers from across the trades who have been contacted in recent weeks have refrained from discussing the tone of negotiations or offered much detail on contract proposals.
Several spokespersons suggested ongoing U.S. tariff threats have added an element of uncertainty to negotiations.
Peterson said, “I don’t expect any real movement until the week of April 14.”
Anthony Bombini, negotiating on behalf of the Pre-Cast Employer Bargaining Agency, said the employers have offered $1 for each year of the three-year term while the union has countered with $5 for three years.
In percentage terms, Bombini said the calculations would be different for every local. In Toronto $3 for three years represents a wage hike of approximately 7.5 per cent, he said, while $5 over three years amounts to a raise of 12.50 per cent over three years.
Bombini said the parties differ on contract language as well.
LIUNA general counsel Sean McFarling, involved in pre-cast bargaining for the employees, stated, “It is too early to comment on pre-cast (or any ICI) bargaining.”
“We are committed to reaching a fair settlement by the end of April, but economic uncertainty makes it difficult to comment on wage negotiations at this point.”
Negotiators from the employer or employee teams representing bricklayers, millwrights, painters, plumbers and pipefitters, refrigeration and insulators contacted in March said it was too early to comment on proposals but laid out initial meeting schedules – or said no comment.
There will be an exchange of proposals in the operating engineers sector on March 31 and negotiations the last three days of April.
Jodi Travers, labour relations manager with the Electrical Contractors Association of Ontario, explained in statements that the employers have one main objective – “to secure meaningful language changes that would enhance the competitive position of its member employers and bolster job security for IBEW members.”
Tariffs a concern
The main concerns include uncertainty and instability given the impact of tariffs and the ongoing threat to union jobs from non-union competition, Travers said.
Negotiators came to an agreement on a joint proposal that did not include wages in November 2024, and it was ratified by IBEW members in January 2025.
Provincial bargaining in February included exchanges on wages and travel allowances — but no consensus. The next step, Travers said, was the final offer selection.
The employers and IBEW presented written submissions to the selector last week.
Asked for comment, IBEW executive James Barry said the union is still working through the process.
A 2022 postmortem report from the Ontario Construction Secretariat found worker dissatisfaction was fuelled by several factors including inflation that spiked throughout the first five months of 2022 and a tight labour market. Younger workers criticized the process on social media.
“One key lesson we’ve learned is the importance of keeping discussions within the negotiating committee confidential while the hard work is being done on both sides,” said Gallagher.
“It’s essential that things don’t leak into the industry before a recommendation is presented to the members. This way, they can hear the full proposal, rather than pieces of information that may be distorted or incomplete.”
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