Local 304 and Kar Manufacturing Inc have just implemented a new collective agreement,but there is already trouble.Local 304 allowed a specific provision addressing retroactivity of wage increases to be dropped because there were other more pressing issues to discuss.The agreement is silent on retroactivity and now Kar management does not intend to institute the agreed upon wage increase retroactively.Which of the following is the correct principle to be used by the arbitrator in resolving the union's grievance?

Question

Quizplus · Accepted Answer

Generally, there is a presumption of retroactivity when it comes to wage increases in collective agreements unless there is explicit language stating otherwise. Since the agreement is silent on retroactivity, the arbitrator would likely apply the presumption of retroactivity unless Kar Manufacturing can provide evidence that both parties intended for the wage increase to not be retroactive.

Local 304 and Kar Manufacturing Inc Have Just Implemented a New