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The Town of Coaldale's unionized workers rallied on Sept. 6, 2025 after being locked out by their employer. A new collective agreement has now been ratified. (Photo: Lethbridge News Now)

Town of Coaldale lockout to end as new deal reached

Nov 13, 2025 | 9:19 AM

After more than two months, unionized employees at the Town of Coaldale will be allowed back into their job sites.

The Town announced that it has reached a new agreement with the Alberta Union of Provincial Employees (AUPE).

The four-year collective agreement was approved by a majority of the Town’s workforce on Monday, Nov. 10.

It puts an end to 14 months of negotiations and the lockout that lasted for 67 days.

Under the new collective agreement, staff will receive:

  • 12% general wage increase over four years. No retroactive pay.
  • 75% employer-funded health and dental benefits.
  • Overtime and call-out rates are standardized at time-and-a-half (1.5X).
  • Paid coffee breaks at mid-day to ensure uninterrupted productivity during the morning and afternoon hours.

The agreement will also:

  • Discontinue participation in the Town’s Joint-Employer (1%)/ Employee (0.75%) Group RRSP.
  • Maintain sick leave at 12 days per year, but eliminate the partial payout for unused sick time.
  • See AUPE withdraw all of its unfair labour practice complaints against the Town.

Mayor Jack Van Rijn says he is ready to move forward constructively under the new agreement, which he believes strikes the right balance between fair compensation and respecting taxpayers.

“When our Council made the difficult but necessary decision to lock out unionized staff, we did so to stand up for the private sector—the silent stakeholder that ultimately foots the bill for municipal salaries, wages, and benefits,” says Van Rijn. “This deal reflects our commitment to achieving that objective and to closing what our Council saw as a widening disconnect between public-sector compensation expectations and private sector wage trends.”

The 24 Town of Coaldale employees who remained locked out will return to work on Monday, Nov. 17. The other 18 impacted workers had already resumed their duties.

LNN has reached out to AUPE for comments.

READ MORE: Town of Coaldale employees rally after being locked out (Sept. 8 article)