Premier Allows NSCC to Privatize Jobs to American Company

This article appears in the post-convention issue of the Union Stand.

On July 3, twenty-seven NSGEU members, located in campuses around the province, lost their jobs in the food services sector because the Nova Scotia Community College chose to contract out their jobs to Aramark, a privatize American company.

These impacted workers, some of whom were only a few years from retirement, were caught off guard from this change. The NSCC, like many post-secondary institutions, are facing significant financial challenges.

It is disappointing that the NSCC decided to try and balance their own finances on the backs of dedicated and long serving, workers. It is even more disappointing that they contracted out this work to a private American company.

NSGEU President Sandra Mullen said in media release that, “These are good, public-sector jobs that are being eliminated, and replaced by positions with no pension, severely reduced benefits, and less favorable sick time and vacation provisions.”

This comes at a time when the country is facing economic uncertainty because of the unprovoked tariff war initiated by the American government. During this tariff war, Premier Houston promised that work would not be contracted out to American companies and that his government would stand up and protect Nova Scotia workers. In this case the government has failed in both promises.

There are also questions around the apparent lack of transparency surrounding the awarding of this contract. The NSGEU questioned how Aramark was selected without a new, competitive tendering process, with the NSCC acknowledging they are “leveraging a former procurement process.”

The NSGEU obtained documents through a freedom of information request that showed it was Aramark that approached the NSCC with a proposal to take over food services at the college campuses. The documents state:
“Aramark has approached NSCC to discuss food service opportunities. Based on a prior tendering process, we were able to negotiate a sole-source contract with Aramark.”

What is not disclosed is how much Aramark will receive from the contract. What will be done to ensure the contract is a good value for money?

The NSGEU issued two media releases and President Mullen did multiple media interviews. The union called on the Premier to stand up for working people and direct all post-secondary institutions not to cut, reduce, or eliminate low paying jobs to balance their budgets. The union also called on the Premier to honour his word and not allow private American companies from getting contracts for work that can be done locally.

Many of the former NSCC food servicing staff have been offered jobs with the new service provider, but at less hourly wage, without a pension and reduced health benefits. The union has put all post-secondary institutions on notice that they will advocate for their members against further contracting out or privatization of public services.