February 5, 2014 at 5:43 PM
Thirty passenger service agents who work for Airport Terminal Services (ATS) at Pearson airport were issued layoff notices on February 3, 2014 after the employer’s bid to renew a service contract with Lufthansa was unsuccessful.
ATS has performed ramp and cargo services for many airlines at Pearson Airport since 2004, expanding into passenger service handling in 2008. Currently it employs approximately 200 workers, all represented by Unifor. In the last round of negotiations these workers accepted a wage freeze for eighteen months (among other concessions) in order to assist the company in maintaining its presence in Toronto.
Coming to a kiosk near you?
The successful bidder for the Pearson Lufthansa passenger service contract went to a baggage delivery company called Delite Courier Services. According to their website, Delite also assists passengers at airport kiosks and arranges gate stanchions and flowers for various airlines; check-in service appears to be a new venture for the company.
When airlines go shopping for new ground handling companies in bargain basements, quality that is born of experienced and invested employees is compromised.
Delite has already posted vacancies at the airport, and encouraged the thirty displaced ATS members to apply for the positions. Pay rates, benefits and job security have not been disclosed, adding to the uncertainty and insecurity that ATS employees are facing.
When companies engage in contract low-ball battles, the employees get caught in the cross fire.
ATS was also given notice by TACA Airlines that effective April 1, 2014; they would no longer be handling their ramp/ground work. TACA has signed on with another ground handler for a lower rate.
In today’s dog eat dog, company eat company world, businesses undercut each other in order to offer the lowest bid and it is always at the expense of employees who lose security and workforce stability. The price of doing business usually ends up costing, not saving customers money.
The race to the bottom story in airports is stuck on repeat.
But it doesn’t have to be.
The same airport authorities who service airlines and the travelling public have a responsibility to the estimated 40,000 people who work in and around Pearson airport. These employees, who keep the airport operational 24-7 in extreme weather conditions, deserve and have a right to meaningful employment and a decent living wage.
After Monday’s announcement, Unifor officers: District 340 chairperson David Olawale, vice chairperson Matthew Robinson, vice president Rita Reid and executive assistant Theresa Amicarelli were available to answer questions and offer support to ATS members. Another membership meeting will take place on February 7, 2014.