Here is the text of the Social Contract "framework agreement" that governs UW and the church colleges. This text is supposed to be signed by UW's officers and submitted to the government by Tuesday, July 13. The machine-readable version of the text was provided by the UW office of operations analysis. Formatting for UWinfo and uw.general may not be perfect, but it's cleaner than it was a few minutes ago, thanks to some help over the phone from the Math Faculty Computing Facility. Chris Redmond Information and Public Affairs credmond@watserv1 UNIVERSITY SUBSECTOR SOCIAL CONTRACT RE: UNIVERSITY OF WATERLOO AND ITS FEDERATED AND AFFILIATED COLLEGES The University of Waterloo is comprised of the University, one federated College the University of St. Jerome's College, and three affiliated Colleges Conrad Grebel College, Renison College and St. Paul's United College. The federated and affiliated Colleges are included in this University Subsector Social Contract by virtue of Appendices 1 through 4. July 7, 1993 Whereas the purposes of the Social Contract Act, 1993 are as follows: 1. To encourage employers, bargaining agents and employees to achieve savings through agreements at the sectoral and local levels primarily through adjustments in compensation arrangements. 2. To maximize the preservation of public sector jobs and services through improvements in productivity, including the elimination of waste and inefficiency. 3. To provide for expenditure reduction for a three-year period and to provide criteria and mechanisms for achieving the reductions. 4. To provide for a job security fund. The parties have developed this agreement in the spirit of those purposes and as a basis for achieving a saving of $6,449,000, which is the University of Waterloo's discounted share, including federated and affiliated Colleges, of the university sector financial target. I. ONTARIO UNIVERSITIES The university sector comprises 17 provincially assisted universities and four university- related institutions in Ontario. The corporate powers of each university are vested in a governing body, usually the board of governors, the authority and composition of which are prescribed in the statute establishing the university. In 1992-93 there were approximately 324,000 students and 36,000 full-time university employees. The Ontario Labour Relations Act applies to employees in universities and collective bargaining takes place at the local level within each institution. II. PURPOSE AND OBJECTIVES It is essential to recognize: 1. That Ontario's universities provide high-quality, post-secondary education throughout Ontario and undertake provincial, national and international research. Within their communities, universities are major employers and through their education and research they are central to the intellectual, social, cultural and economic well-being of this province. 2. That the University of Waterloo is an autonomous institution, established by the University of Waterloo Act, 1959, and 1972. The authority of the University's governing bodies is contained in that Act. The University's Board of Governors and the Senate are open and accountable. They have specific legal obligations set out in the Act. 3. That a number of consultative or decision-making bodies exist which reflect the relationship between the government of Ontario and the universities, eg. The Ontario Council on University Affairs (OCUA), which has traditionally dealt with all issues of allocation and distribution. It is essential to acknowledge: 1. The autonomy, governance, unique character and diversity of the provincially assisted universities; and 2. The principles of academic integrity and collegial self-management which are inherent in the character of universities. It is essential to ensure the fair and equitable treatment of all University employees, while preserving the University's ability to attract, retain, and recognize the contributions of their employees in a manner consistent with its mission. It is also important to note: 1. That provincially assisted universities and through them, their colleges, rely significantly, for operating purposes, on transfer payments from the government of Ontario, and on tuition fees; and, 2. That the process of Social Contract negotiations initiated by the Ontario Government in April 1993 is intended to explore ways of mitigating the impact of the reduction in the level of such transfer payments. III. MISSION OF THE UNIVERSITY OF WATERLOO The mission statements of the University of Waterloo and the federated and affiliated colleges are attached as Appendix 5. IV. FINANCIAL ADJUSTMENTS In light of (1) the reduction of financial contributions to the University of Waterloo from the Government of Ontario arising from the financial targets of the Social Contract, (2) the need to preserve accessibility to educational and research services, and (3) the Government of Ontario's stated position that the impact of these reductions should be mitigated in the broader public sector for a three-year period primarily through adjustments in compensation, the University of Waterloo and its employees agree to effect the required savings through various changes as exemplified by, but not limited to, the list below, in a manner consistent with the Social Contract Act, 1993; voluntary unpaid leave mandatory unpaid leave reduction in compensation comprehensive freeze on compensation voluntary early retirement with savings on replacement freeze on merit increases freeze on progress through the ranks freeze on movement in salary steps pension savings deferment of negotiated salary increases replacement of paid overtime with time off changes in employer obligations for benefit payments closure during non-peak periods greater flexibility in scheduling work flexible work arrangements, job sharing self-funded leaves reduce retirement gratuities by 10% for each year an employee works beyond pension entitlement deferment of benefit improvements unless they support restructuring In accommodating the Social Contract reduction the parties may agree to make such changes as are necessary to the terms of such collective bargaining agreements as may exist between them, provided such changes are consistent with the Social Contract Act, 1993. Low Income Cut-Off The plan will not adversely affect employees who earn less than $30,000 annually, excluding overtime pay. Pay Equity Nothing in this Agreement shall be interpreted or applied so as to reduce any right or entitlement under the Human Rights Code or under the Pay Equity Act. Pension Payment Savings University pension plans are varied and diverse. It cannot be assumed that there are accounting or actuarial adjustments that can be applied to varying pension fund forms to generate responsible reductions in employer liabilities and hence expenditures. However, where appropriate, the universities agree to undertake an actuarial assessment based on actuarially reasonable assumptions reflecting the agreement in order to determine whether they are in a position to do so. Subject to the provisions of existing pension plans, a pension surplus may be used to enhance early retirement efforts in the institution or to replace the employer's payments into the pension plan, providing that the integrity of the plan is maintained. The employer's reduced expenditures may be applied against the Social Contract target amount for the University. V. PRESERVING QUALITY OF SERVICE None of the mechanisms, processes and provisions described in this section is intended to duplicate or abrogate any consultation or decision-making apparatus already established within the institution or within the sector. A. Openness and Accountability Disclosure and Participation in Decision-Making The Government will update quarterly, the major stakeholders in each sector on government finances and intentions. These briefings would include access to ministry-level financial information. For Ontario universities, the issues of institutional openness and accountability, including questions of the appropriate role of employees in institutional governance structures, have recently been addressed by the Broadhurst Task Force on University Accountability. This Task Force, appointed by the Minister and composed of representatives of a broad range of stakeholders from the sector (students, staff, faculty and administration as well as government) has recently submitted its report to the Minister of Education and Training. The Minister made the report available to the Colleges and universities sector, and he has since shared it more widely, requesting further input from employer and employee groups in the course of taking action on this Task Force's recommendations, consistent with the goals of openness and accountability. Review Procurement, Contracting Systems The University agrees to review its goods and services procurement and contracting systems and to the extent that there may be sector-wide issues, to participate in a process, under the auspices of the University Restructuring Steering committee, which will review those systems in the university sector. The scope of these systems reviews will include their effectiveness and the role they play in the local, regional and provincial economy. During the course of the review of its goods and services procurement and contracting systems, the University agrees to seek and consider the views of its employees and other members of the University community. Employee Safeguards The University agrees to maintain and, where necessary, establish a process to ensure appropriate protection to individual employees who reveal information on waste and inefficiency in the institution. B. Elimination of Waste and Inefficiency It is agreed that savings which are achieved at the University during the term of the social contract, through the elimination of waste and inefficiency will be utilized to mitigate human resource impacts, maintain and improve the quality of services, and for other institutional priorities. The University agrees to establish a working group, with representation from a broad range of employee groups to: assess the feasibility and practicability of implementing new proposals to reduce waste and inefficiencies suggested in the institution; quantify the cost savings to be realized as a result of the implementation of the proposal; and make recommendations on how the savings actually realized should be used. It is understood that the working group will have no authority to assess proposals or make recommendations with respect to academic requirements, appointments, programs, curriculum and academic structure of the University. These proposals will be considered through the established academic decision-making processes of the University. Any arbitrator appointed pursuant to the Dispute Resolution provisions of this agreement has no jurisdiction to decide any question or dispute related to the subject matter to be considered by this working group or the recommendations made by the working group. The arbitrator's jurisdiction shall be confined to deciding whether the working group has been established in compliance with this section. C. Job Security One of the main objectives of the Social Contract focuses on ensuring that job losses are minimized and that every effort is made to promote a fair and equitable sharing of the burden of restraint among employee groups. The proposals listed below are not intended to duplicate or abrogate existing practices or procedures and are subject to the provisions of existing collective agreements or other agreements with employee associations or groups. Reskilling and Retraining The University of Waterloo and its employees agree to cooperate with the Job Security Fund to work towards a comprehensive labour adjustment and training strategy for generically skilled employees. This will include provisions for counselling, reskilling and training. Pursuant to the university sector agreement and the local agreement for the University of Waterloo, the University of Waterloo and its employees are eligible for funding under the provisions of the Job Security Fund in accordance with the Social Contract Act, 1993, the regulations thereunder, and the rules governing the operation of the Job Security Fund. The University agrees to make available to employees information concerning the Fund and its operation. Offer of Alternate Employment 1. To mitigate the impact of the reduced level of transfer payments on employees, the University of Waterloo in consultation with its employees, subject to existing collective agreements or other established employment policies and provisions, agrees to develop and implement a protocol, applying to permanent employees, whereby the University will give a job offer to its own qualified employees who are laid off or will be laid off between June 14, 1993 and April 1, 1996, for a suitable vacancy of a permanent position in any redeployment and/or hiring, provided that such protocol will preserve the University's right to hire the most qualified candidate if there is a number of qualified internal applicants. Part of that protocol may include an institutional freeze on external hiring for employees of certain skill sets. 2. The University of Waterloo further agrees to work with the other universities to develop and implement a protocol under the auspices of the Job Security Fund, applying to permanent employees, whereby the university will give priority consideration in any hiring to qualified employees laid off between June 14, 1993 and April 1, 1996, from other institutions in the sector for suitable vacancies of permanent positions, provided that protocol will preserve the University's right to hire the most qualified applicant if there is a number of qualified applicants. The University agrees that if there is a geographically based redeployment list for generically skilled employees under the auspices of the Job Security Fund, it will participate. 3. The University of Waterloo reserves the right to conduct open competition for tenure, tenure-stream, and other faculty positions, and other senior academic administrative, professional and management positions. Such open competitions will be held according to the policies and procedures determined by the board of governors and collective agreements. 4. Nothing in these provisions shall frustrate the University's employment equity or other employment programs. VI. IMPLEMENTATION AND TRANSITION ISSUES 1. Enactment The government agrees to change or enact any law or regulation that will enable the parties to adhere to the terms and conditions of the sector-specific and other specific agreements and to ensure application to all employers and workers in the Ontario public sector. 2. Term This agreement and its provisions will be in effect for three years commencing June 14, 1993 and expiring April 30, 1996. The signatories to this agreement may mutually agree to alter any of its provisions at any time during its term. The signatories to this agreement may mutually agree to extend any provisions beyond the term of the agreement. 3. Transition Local agreements must contain a provision that during the period commencing June 14, 1993 and expiring April 30, 1996, the parties agree to discuss transition issues for the post April 30, 1996 period. 4. Existing Collective Agreements Subject to the provisions of the Social Contract Act, 1993, it is understood that nothing in this subsectoral agreement is intended to amend the provisions of existing collective agreements which may only be amended by agreement of the parties to the collective agreement in the context of a local agreement or otherwise. 5. Dispute Resolution 1. Subject to the limitations on the arbitrator's jurisdiction contained in this agreement, any signatory to this agreement may refer a dispute concerning a specific right or obligation expressly set out in this sectoral framework to arbitration under the Arbitration Act provided the procedure set out below is followed. These dispute resolution provisions do not apply to any dispute concerning the provisions of any local agreement. Parties to a local agreement may agree to implement dispute resolution provisions applicable to their local agreements. 2. The complainant party(ies) must set out the issue in dispute in writing and deliver it to the respondent party(ies). 3. Thereafter, the appropriate employee representative, the appropriate employer representative and the appropriate Government representative must meet in an earnest effort to resolve the issue. 4. If such meeting fails to produce a resolution to the issue satisfactory to all three representatives, then the complainant party(ies) may request such arbitration by advising the respondent party(ies) in writing within fifteen (15) calendar days of the meeting. 5. The arbitrator shall be selected by mutual agreement of all the parties. Failing such agreement, the arbitrator shall be appointed by the Chief Justice of Ontario, or the Chief Justice's designate, from a list of three suggested names, one submitted by each of the three parties. the Chief Justice of Ontario shall not be advised of the identity of the source of each name submitted. 6. The person appointed shall be a "mediator/arbitrator" and must first engage the parties in mediation efforts before making a final binding decision, if necessary. 7. The arbitrator shall not have the authority to add to, modify or delete any part of the sector framework. Nor shall the arbitrator have the jurisdiction to resolve disputes under the Social Contract Act and Regulations including any issue in connection with the application, interpretation or administration of the Job Security Fund. Any reference in this sectoral agreement to the Social Contract Act or the Regulations is not intended to incorporate by reference the Act or Regulations so as to confer on the Arbitrator any jurisdiction inconsistent with the provisions of this paragraph. 8. The fees and expenses of the arbitrator shall be divided equally among the participating parties. 9. The appropriate employee, employer and Government representatives shall each have standing at the mediation/arbitration as a party. VII. RATIFICATION AND IMPLEMENTATION 1. The execution of this agreement by the duly authorized representatives of the University or by the representatives of a bargaining agent or of an organization which is or may be recognized as a bargaining agent by the Minister pursuant to the Social Contract Act, 1993, is subject to ratification by their principals. Further, the signatories hereto agree to recommend this agreement for ratification to their respective principals. 2. By executing this subsectoral agreement on behalf of government, the representatives of Government also undertake to recommend to the Minister as follows: (a) that the Minister divide the university sector into subsectors, naming the University of Waterloo as a subsector so that the University of Waterloo subsector shall be deemed to be a sector for purposes of the Social Contract Act, 1993; (b) that the Minister designate this agreement as a sectoral framework provided that in the opinion of the Minister there is sufficient support for the agreement within the meaning of Section 11(3) of the Social Contract Act,1993; (c) that for purposes of determining whether the agreement meets the criterion of section 11(3)(1) of the Social Contract Act, 1993, sufficient support for the agreement may be demonstrated by the University entering into local agreement(s) and by implementing non-bargaining unit plan(s). 3. The parties hereto agree that this agreement shall be a plan eligible for designation by the Minister pursuant to section 11 of the Social Contract Act, 1993. 4. The Government agrees to suspend the university sectoral table in order to facilitate the negotiations of local agreements. Dated at Waterloo this day of July, 1993. Dr James DowneyPhyllis Clark President for the Government of Ontario University of Waterloo APPENDIX 1 - CONRAD GREBEL COLLEGE Conrad Grebel College is an autonomous institution as set out by the Conrad Grebel Act, 1988. The authority of the College's governing body is contained in that Act. The Board is open and accountable. It has specific legal obligations set out in the Act. Conrad Grebel is affiliated with the University of Waterloo. VII. RATIFICATION AND IMPLEMENTATION 1. The execution of this agreement by the duly authorized representatives of the College or by the representatives of a bargaining agent or of an organization which is or may be recognized as a bargaining agent by the Minister pursuant to the Social Contract Act, 1993, is subject to ratification by their principals. Further, the signatories hereto agree to recommend this agreement for ratification to their respective principals. 2. The references to the University of Waterloo or the University in this sectoral framework agreement shall be read, where appropriate, as Conrad Grebel College. 3. Conrad Grebel's discounted share of the university sector financial target is set at $55,400. Dated at Toronto this day of July, 1993. Rod Sawatsky Phyllis Clark Conrad Grebel College for the Government APPENDIX 2 - RENISON COLLEGE Renison College is an autonomous institution as set out in the Letters Patent granted in 1959. Renison College is affiliated with the University of Waterloo. VII. RATIFICATION AND IMPLEMENTATION 1. The execution of this agreement by the duly authorized representatives of the College or by the representatives of a bargaining agent or of an organization which is or may be recognized as a bargaining agent by the Minister pursuant to the Social Contract Act, 1993, is subject to ratification by their principals. Further, the signatories hereto agree to recommend this agreement for ratification to their respective principals. 2. The references to the University of Waterloo or the University in this sectoral framework agreement shall be read, where appropriate, as Renison College. 3. Renison College's discounted share of the university sector financial target is set at $77,800. Dated at Toronto this day of July, 1993. Gail Cuthbert-BrandtPhyllis Clark Renison Collegefor the Government APPENDIX 3 - ST. PAUL'S UNITED COLLEGE St. Paul's United College is an autonomous institution as set out in Letters Patent granted in 1961. St. Paul's is affiliated with the University of Waterloo. VII. RATIFICATION AND IMPLEMENTATION 1. The execution of this agreement by the duly authorized representatives of the College or by the representatives of a bargaining agent or of an organization which is or may be recognized as a bargaining agent by the Minister pursuant to the Social Contract Act, 1993, is subject to ratification by their principals. Further, the signatories hereto agree to recommend this agreement for ratification to their respective principals. 2. The references to the University of Waterloo or the University in this sectoral framework agreement shall be read, where appropriate, as St. Paul's United College. 3. St. Paul's College's discounted share of the university sector financial target is set at $10,600. Dated at Toronto this day of July, 1993. Bill Klassen Phyllis Clark St. Paul's United Collegefor the Government APPENDIX 4 - UNIVERSITY OF ST. JEROME'S COLLEGE The University of St. Jerome's College is an autonomous institution as set out by the University of St. Jerome's College Act, 1986. The authority of the College's governing bodies is contained in that Act. The University of St. Jerome's College degree-granting power and its Senate are suspended while the College is federated with the University of Waterloo. The College board of governors is open and accountable and has specific legal obligations set out in the Act. VII. RATIFICATION AND IMPLEMENTATION 1. The execution of this agreement by the duly authorized representatives of the University or by the representatives of a bargaining agent or of an organization which is or may be recognized as a bargaining agent by the Minister pursuant to the Social Contract Act, 1993, is subject to ratification by their principals. Further, the signatories hereto agree to recommend this agreement for ratification to their respective principals. 2. The references to the University of Waterloo or the University in this sectoral framework agreement shall be read, where appropriate, as the University of St. Jerome's College. 3. St Jerome's College's discounted share of the university sector financial target is set at $154,800. Dated at Toronto this day of July, 1993. Doug Letson Phyllis Clark University of St. Jerome's College for the Government APPENDIX 5 - MISSION STATEMENTS The University of Waterloo: The mission of the University of Waterloo is focussed, and it is different from the missions of the other universities in Ontario. It is distinctive in terms of both what the University has chosen to do and what it has chosen not to do. Waterloo's mission is: 1. To engage in undergraduate and graduate teaching and in research in traditional and contemporary fields of study, and as part of these tasks: To offer professional programs which are soundly based on fundamental knowledge, which emphasize creativity and problem-solving, and which lead to an expertise in the profession combined with a broad and critical appreciation of its goals and its role in Canadian society. (The University offers professional studies in Accountancy, Actuarial Science, Architecture, Engineering, Optometry, Psychology, and Urban and Regional Planning. It does not offer professional programs in Business, Education, Law, and Medicine. The need for those programs is met by other universities in the Ontario system.) To offer specialized education in traditional as well as in emerging disciplines in the Arts and in the Pure and Applied Sciences, in programs which combine rigorous study in the discipline with a broad and critical presentation of the place of the discipline in the field of human knowledge and of its role in the Canadian context. To offer programs of general education in the humanistic and scientific traditions, which foster the development of critical capacities and lead to a deep understanding of the natural, cultural, social and technological environment of Canada and the world. To provide an intellectual and physical environment which encourages and enables the faculty and students in all programs to engage in creative intellectual work in its various forms, such as basic and applied research, design, creative writing, artistic creation, etc. 2. To foster the intellectual and social development of its students, both within the academic programs and outside of the curriculum, and in this way help them to become responsible, enlightened, and cultured individuals. While most of the foregoing points are appropriate as the mission statements of many universities, the ones which follow are less common. Taken together they define a distinctive mission for the University of Waterloo. 3. To maintain an active institutional role in promoting the economic accessibility of all its programs to qualified applicants, as well as the subsequent employability of graduates from all these programs, and to these ends to offer the Co-operative Education format in all the academic programs in which it is feasible. 4. To provide leadership in the development and application of modern computing and communications technologies in all aspects of university activity, and particularly to promote excellence in student computing - both in instruction and in scholarship -- by providing all students with the opportunity to develop appropriate critical competence in computing. 5. To make its programs as widely accessible as possible to mature students and to special student populations, and to offer a range of high-quality distance courses and degree programs for students with limited access to the Waterloo campus. 6. To offer continuing education in all areas of the University, ranging from complete programs for the upgrading of professionals to individual courses for the continued personal development of alumni and members of the general public. 7. To promote scholarship directed at current issues from a strong basis in the relevant disciplines, creating interdisciplinary Centres and Institutes for this purpose when necessary. 8. To widen and accelerate the application of results, discoveries, and inventions for the benefit of Ontario and Canada by encouraging entrepreneurship and facilitating the transfer of new technology and of the results of evaluative scholarship to industry, to government, and to the public. 9. To enter into partnerships and other co-operative arrangements with individuals and firms, and with governmental and non-governmental organizations, to the benefit of the University, of its partners, and of the broader community. 10. To recognize the international obligations of a university, and engage in a broad range of international activities such as: welcoming international students to undergraduate and graduate programs, working to develop sources of financial support for needy international students, providing an international experience for Waterloo students in particular programs, developing co-operative agreements with universities abroad, inviting foreign scholars, and participating in programs of technical assistance in the Third World. 11. To reserve resources for innovation, even in times of financial stringency. 12. And in all elements of its mission, invariably to act in a manner which maintains its integrity and enhances its credibility as a university. Conrad Grebel College: The objects of the College are, (a) to provide post-secondary courses of study in the general arts, humanities and sciences; and (b) to provide at the post-secondary level, degrees, diplomas and certificate programs and courses of study based on Christian theology. Renison College: In the spirit of the Anglican tradition, Renison College, an affiliate of the University of Waterloo, is committed to providing a strong grounding in the Humanities and Social Sciences, thereby instilling in its students a life-long love of learning, pursuit of truth, and dedication to community service. St. Paul's United College: The objects of the College are, In faithfulness to God's revelation in Christ as interpreted by the United Church of Canada in its reformed tradition and respect for individual beliefs to: (a) work towards personal fufillment through responsible community living; and (b) provide a context for critical examination of issues that affect human life in classroom and residence, and in all that we do, to impart with passion, a life-long love of learning. University of St. Jerome's College: The objects of the University are, (a) to advance learning and disseminate knowledge in a manner consistent with Roman Catholic tradition and the honest pursuit of wisdom and understanding; and (b) to encourage the intellectual, spiritual, social, moral and personal development of the members of the University community and the betterment of society consistent with the ideals of the contemporary Roman Catholic Church.