Quebec's Premier Jean Charest looks down during a news conference after a joint cabinet meeting at the National Assembly in Quebec City, June 16, 2010.MATHIEU BELANGER
The Quebec government has settled with 475,000 public-sector employees without the usual acrimony and lengthy labour negotiations.
The agreement, reached with an alliance of three main unions, features a 7-per-cent wage increase over five years, including a 1-per-cent boost for inflation that will be paid out at the end of the agreement. The wage hike will rise as high as 10.5 per cent if the province hits economic growth targets.
Most recent public-sector negotiations have involved bitter protest and ended with the legislature imposing contracts. The last time the unions and the Quebec government reached an amicable agreement was in 1999. The wage increases will cost the province at least $2.7-billion and as much as $3.5-billion if workers receive the full 10.5-per-cent raise.
"The relationship has changed so that now we are all pulling in the same direction," Premier Jean Charest said in Quebec City.
Union leaders opened negotiations demanding an 11.25-per-cent raise over three years.
Gérard Deltell, leader of the opposition Action démocratique du Québec, accused Mr. Charest of caving in to the unions at a time the province is hiking taxes and user fees.
Quebec is still negotiating with the union representing 50,000 nurses.