Compromise to end Vale strike: N.L. commission

An industrial inquiry commission recommends that striking Voisey’s Bay mineworkers and the mine's owner compromise to end an 18-month dispute.

Differences between the United Steelworkers and Brazil-based Vale are not "insurmountable," the commission said in a report released Friday.

The 130 workers at the Labrador nickel mine have been on strike since August 2009. Talks, which have been on and off since then, collapsed again on Thursday.

The length of the new contract has been a major stumbling block in talks. The union wants a five-year deal. Vale originally offered a three-year deal.

The commission recommends four years.

"The commission believes that a longer than three-year contract is necessary to allow a meaningful period of adjustment following this very long strike," the report said.

The commission suggested compromises on other issues, such as bonuses.

Both sides had already agreed on a wage increase of 65 cents an hour over three years.

Province ordered industrial inquiry

In October, Danny Williams, the premier at the time, ordered an industrial inquiry commission into the dispute between workers and Vale.

The commission doesn't have the power to impose an agreement but it has encouraged both sides to accept the terms it is suggesting to end the dispute. Neither the union nor Vale has commented publicly on the commission’s report.

Thursday night, both the company and the United Steelworkers union blamed each other for the latest failure at the negotiating table.

Tom Paddon, general manager of Vale's operations in Newfoundland and Labrador, said the company was ready to be flexible but the union "showed no desire to negotiate in a constructive manner."

Sudbury tie rejected

Vale accused the United Steelworkers of being manipulative, by insisting on a five-year contract that would expire at a time that would "align with a potential strike in Sudbury," where the company also has operations.

"Already they are planning for the next strike, rather than our future shared success," the company news release said.

Vale said Thursday that it offered the Voisey's Bay workers a five-year contract, which matched the union's request to the industrial inquiry commission, and a commitment to a higher wage increase than what the union proposed to the commission.

A Steelworkers news release expressed frustration and disappointment about the collapse in talks.

"After more than 17 months, we came to these talks hoping to finally see a mutual commitment from Vale to reach a fair settlement and bring an end to this dispute."