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Sunday, February 28, 2021

Construction Industry Wages Act

The Manitoba government proposed to remove the Construction Industry Wages Act (CIWA) in December. The CIWA sets minimum wages for construction trades as well as overtime rules and apprenticeship ratios for some construction trades.

The immediate impact of these changes on CLAC members would be marginal as our collective agreements include negotiated benefits that are superior to the minimum standards set by the province. However, the removal of minimum wages on construction trades may have created an undesirable race to the bottom for nonunionized companies, which may have given those contractors a competitive bid advantage if they had dropped worker rates below standard CIWA rates.

We were pleased to learn that the province had reversed its position following high levels of push-back from across the construction sector. Rather than repeal CIWA, the province will consider possible updates to the act following further industry consultation.