Unions challenge Doug Ford’s wage-cap legislation in court

A constitutional challenge to the government's wage-cap legislation began Monday in Ontario's Superior Court of Justice - a case launched by public sector unions that say it is an attack on their bargaining rights.

Bill 124 limited wage increases to no more than one per cent a year for three years for many public sector workers - including public servants, nurses and teachers, but not police or firefighters - as a temporary austerity measure in 2019.

Patty Coates, president of the Ontario Federation of Labour, says the legislation is now also to blame for staffing shortages in hospitals and long-term care homes.

And even though the wage caps expire when current contracts do, Coates said outside of the court Monday that there needs to be remedy for the government's actions and to ensure it does not happen again.

Bill 124 has had an enormous impact on the province's ability to retain and recruit nurses and, three years into the pandemic, this has taken an enormous toll on the health-care system and those who need to access the care our members provide," said Cathryn Hoy, president of the Ontario Nurses' Association, adding the bill discriminates in particular against female-dominated professions.

The government, in a court-filed factum, said the bill does not violate the Canadian Charter of Rights and Freedoms, interfere with meaningful collective bargaining, nor discriminate against women.

The Charter does not guarantee unlimited annual raises for public sector workers," the province said, adding it consulted in good faith with the groups between the introduction of the bill in June 2019 and second reading of the bill in November 2019, and that the Supreme Court has upheld broad-based, time-limited compensation restraint statues" in the past.

Speaking outside of the court Monday, interim NDP Leader Peter Tabuns said the province's front-line workers are run off their feet ... rushed to the limit" while at the same time having a tough time covering their rent or mortgage payments and affording groceries, given the high rate of inflation.

That's the impact of this bill," he added, charging that Premier Doug Ford is undermining public services in Ontario."

Teacher and school support staff unions, who are also involved in the Bill 124 case, were successful in their bid to have the previous Liberal government's Bill 115 ruled unconstitutional because it imposed contracts, froze pay and ended the banking of sick days back in 2012.

That bill has proved costly for the province, with more than $212 million in payouts to teacher unions as remedies.

The Bill 124 case will be heard this week and next.

With files from The Canadian Press

Kristin Rushowy is a Toronto-based reporter covering Ontario politics for the Star. Follow her on Twitter: @krushowy