Union holds Emcon to collective agreement over drug benefits limits

The BCGEU is ensuring that Emcon sticks to the wording of the collective agreement applicable in northern and central Vancouver Island. The company recently agreed with the Union’s position that the collective agreement does not limit drug benefit compensation. Emcon Inc. is the highway contractor for central and northern Vancouver Island (BCGEU service area 02 and 03).

Since January 1, 2009, the benefits paid by Emcon's CoRe Benefits Group was not paying the full amount of drug claims. Instead, CoRe was limiting reimbursement to the amounts foreseen in the BC Formulary Plan, which provides only for the cost of name brand drugs even when doctor has prescribed more expensive medication. The Union argued that this change was not agreed to in the last round of bargaining.

The company has now agreed with the union, and the full cost of medications will be reimbursed. 

The agreement is the result of a number of grievances filed by individual members in northern and central Vancouver Island (service areas 02 and 03), and a policy grievance filed in October 2009 against the CoRe Benefits Group denial of some drug benefits. The grievances were set for arbitration, but the parties resolved the outstanding issues prior to the hearing.

Emcon Inc. employees who are members of local 1002 and 1003 will be receiving a letter explaining the settlement. They will be eligible for reimbursement for any deductions made due to any limits on their drug benefit compensation. All members are eligible, regardless of whether or not they filed a grievance. If members believe they are owed further drug compensation, they will have to resubmit receipts dated between October 6, 2009 and May 10, 2010 to CoRe Benefits Group. All individuals who filed a grievance will also be paid.