Planned closure of Catholic Family Services of Hamilton 'probably forced' by bargaining with union: CUPE
Workers formed CUPE Local 5470 in 2020, had been bargaining a 1st collective pact since 2021
The Canadian Union of Public Employees (CUPE) says attempts by workers to ratify its first collective agreement at Catholic Family Services of Hamilton (CFS) "probably forced" the social services agency's announcement it would close on April 30.
"No union bargains with the employer to shut them down ... nobody wanted this agency to close," Aubrey Gonsalves, chair of CUPE Ontario's social services workers' co-ordinating committee, told CBC Hamilton on Tuesday.
Gonsalves said the 50 workers at CFS became CUPE Local 5470 in October 2020 and had been bargaining for their first collective agreement since April 2021.
Gonsalves said CFS was "stonewalling" in mid-2021 before sharing its financial statements. He said it showed "clear" financial mismanagement.
The workers were still trying to ratify the agreement when CFS said last week it would be closing because of "concerns about the ongoing viability" of the organization.
CFS provides numerous services, including child care, violence intervention programs and services for those living with developmental disabilities. It's been in Hamilton for 74 years and runs St. Martin's Manor.
CFS said agency was struggling for 'some time'
Asked if the closure had to do with the union, CFS executive director Fivel Flavour told CBC Hamilton the agency has been struggling financially for "some time."
"Some of the challenges CFS faces include high debt levels, an absence of savings and an inability to make needed investments in our organization," Flavour said Tuesday, noting the pandemic also impacted CFS.
Flavour said the agency needs 40 per cent more staffing to reach capacity.
Before CFS closes, service providers will be identified and CFS will help transition clients to the new organizations.- Fivel Flavour, CFS executive director
Gonsalves said he wants to know where other services like what CFS provides exist, and if there's a plan to take in families using CFS services and its staff. He also said he wonders what contingency plan CFS had in place.
Flavour said programs will transfer to other agencies, and workers received a "long working notice" and will get "generous separation pay." Provincial ministries are also continuing the programs in Hamilton, Flavour said.
"Before CFS closes, service providers will be identified and CFS will help transition clients to the new organizations.
"I can understand how this news is upsetting to our employees and partners, but the closure is for the reasons I have stated."
Subhraj Riar, spokesperson for Ontario's Ministry of Children, Community and Social Services, said Tuesday the province is working with the agency and community partners to ensure CFS programs and services will continue in the community.
"Details about the future delivery of programming will be communicated to those who use them when they are finalized," Riar said.