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One of the goals of our "Know Your CBA" series is to help members understand what our Collective Bargaining Agreement (CBA) actually says, and what it doesn't say.
This month we're looking at Article 18, Section 5, which deals with shift differential, which states:
“Shift differential shall be paid to all employees when working shifts... Shift differential pay shall form part of the basic wage rates, but not be subject to overtime rates.”
At first glance, the language appears straightforward. Any Employee who works shiftwork would receive the applicable shift differential pay. The Company doesn't agree, and we are left with several questions at the centre of Grievance 06-2023; but it is not whether seven-on/seven-off employees are entitled to shift differential, they clearly are. The dispute is whether they should continue to receive that shift differential on overtime hours worked.
The Company's Position:
The Company argues that the phrase “but not be subject to overtime rates” means shift differential is not payable on any overtime hours for our Seven Day shift workers when they work outside their regular work schedule.
Under their interpretation, an employee receives the applicable shift differential during their regular schedule but loses it whenever they work overtime.
The Union's Position:
The Union disagrees with this clever interpretation, and the plain language says something entirely different.
Notice what the clause actually refers to: overtime rates, not overtime hours.
Those are not the same thing. An overtime hour is simply any hour worked that attracts overtime pay under the Collective Agreement. An overtime rate is the rate of pay applied to those hours, in our case, double time.
The language says shift differential "shall form part of the basic wage rates, but not be subject to overtime rates." In other words, the shift differential itself does not get doubled. A $1.30 per hour shift differential remains $1.30 per hour, even when the employee is earning double time on their wages.
If the parties had intended to eliminate shift differential on overtime hours altogether, the language could have easily said:
“Shift differential shall not be paid on overtime hours.”
But it doesn't.
Why This Matters:
Shift differential exists because shift work carries additional burdens, including working long shifts, weekends, evenings, nights, holidays, or schedules that differ from a regular day shift. Those realities do not disappear simply because an employee works overtime. In fact, overtime often increases those demands.
The Company's interpretation also creates an inconsistency within the bargaining unit. Employees on other rotating shift schedules, such as the Process, Fire & Safety, and Lab rotations, continue to receive shift differential for overtime hours worked. The Union believes all shift workers should be treated consistently unless the Collective Agreement clearly states otherwise.
Words matter in a Collective Agreement. There is an important distinction between overtime hours and overtime rates, and those terms should not be treated as interchangeable. The Union believes the language supports paying shift differential on every hour worked as a shift worker, while ensuring the premium itself is not multiplied by the overtime pay rate.
This issue is not going away, and our Seven-Day shift workers deserve the compensation and respect afforded to them in the collective agreement.
In Solidarity, Richard Exner, President
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