THE SKY IS NOT FALLING: UNIONIZATION, WAL-MART AND FIRST-CONTRACT ARBITRATION IN CANADA

Abstract

The conflict between property rights and the rightof association createsthe case for various policy avenues to ensure thatemployees have effectiveaccess to the right to associate for the purposes of collective bargaining. One suchlabour policy in Canada is first-contract arbitration. The experience of this policyin Quebec over the last three decades has achievedkey objectives: ensuring firstagreements for newly unionized workers, developingconstructive bargainingrelationships and overcoming what can be a major obstacle to an effective rightto associate. After reviewing this experience, thisarticle provides an overview ofthe unionization campaigns resulting in union certifications for the United Foodand Commercial Workers Canada in six Wal-Mart facilities in Quebec provinceover the last six years. It then examines two recent cases of first-contractarbitration for these certifications. In one case,the company summarily closedthe department concerned after the first contract was awarded. In the secondcase, the store remains open, with an operative collective agreement. Absent apolicy of first-contract arbitration, it appears unlikely that this would be the case.The evolution of the bargaining relationship beyondthe first-contract willprovide a key test of the relative efficacy of Canadian policy approaches toensure the freedom of association.