SaskTel’s Job Outsourcing Sparks Privatization Fears, Says Union [Update]

SaskTel is encountering a significant shift under the current government’s tenure, with a steady outsourcing of union jobs, claims Unifor.

This trend, highlighted by the reduction of roughly 300 positions in the past four years—10% of the unionized workforce, has sparked concerns about the future of stable employment and the core values of Crown corporations in the region, said the union on Friday.

“The relentless contracting out at SaskTel is not just an operational change but indicates a systematic shift that undermines the essence of good full-time jobs in our province,” said Gavin McGarrigle, Unifor’s Western Regional Director, last week.

In fall 2023, Unifor discovered a worrying transition, where contract workers initially employed for sales purposes began taking on roles usually reserved for full-time, unionized staff. McGarrigle pointed out, “This shift in responsibilities is a subtle yet clear indication of the blurring lines between contracted and in-scope work.”

Further exacerbating these concerns, job postings for roles traditionally held by full-time SaskTel employees appeared on job sites. One such posting from Berks Payment Solutions sought a “Major Telecom Sales Representative,” a role historically filled by SaskTel’s staff. “This development raises critical questions about the future of good jobs in Saskatchewan and the safeguards in place to protect them,” McGarrigle added.

The outsourcing trend extends beyond SaskTel, affecting former Crown corporations SecurTek and DirectWest. McGarrigle emphasizes, “This is not mere operational changes but indicative of a systematic shift that undermines the quality of full-time jobs in our province.”

As a critical component of public telecommunications infrastructure and a provider of community-sustaining jobs, SaskTel’s shift towards privatization is troubling. McGarrigle warns, “Healthy and profitable Crowns like SaskTel are essential. Their transition to privatized, foreign-owned providers of lower-quality jobs is a significant concern for our communities.”

McGarrigle also criticized the Moe government’s approach, stating, “The erosion of union jobs in favour of contracted positions is a choice by the government, leading to the degradation of service, accountability, and good jobs.” He asserts that this approach ignores the long-term benefits of a strong, stable, and unionized workforce, essential for SaskTel’s success.

“Undermining SaskTel’s unionized workforce weakens the corporation and will reflect in the quality of service offered to customers across Saskatchewan,” concluded McGarrigle. The current trend at SaskTel not only impacts its employees but also poses significant questions about the future of quality employment and public services in the province.

We’ve reached out to SaskTel for comment and will update this story accordingly.

Update Jan. 29, 2024: “SaskTel has always supplemented our workforce with a variety of consultants, contractors, vendors, and suppliers in response to the ever-changing demands of our industry, and to ensure that we can continue to provide our customers with the high-quality products and services they have come to expect from SaskTel,” said a SaskTel spokesperson to iPhone in Canada.

“As the needs of our business fluctuate, so do the number of contractors and other companies we utilize to support our operations,” added SaskTel. “SaskTel is committed to working through the bargaining process in good faith with Unifor to reach a new Collective Agreement for our employees.”

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