Debate about cost of interest arbitration rages on

Municipal governments frustrated with lack of transparency around arbitration decisions: AMO
By Melissa Mancini
|Canadian Labour Reporter|Last Updated: 03/05/2013

The Ontario government is facing increasing political pressure to deal with interest arbitration — a process to provide a final resolution to bargaining disputes using an independent third party — which some say is increasing costs and delaying labour agreements unnecessarily.

Those in favour of revisiting the process say it’s costly and discourages good collective bargaining practices.

The Association of Municipalities of Ontario (AMO) has been outspoken about changing the system. It has said that the municipal governments it represents are frustrated with the lack of transparency around arbitration decisions and the impact agreements from other communities have on agreements with less regard for local economic conditions.