days until our Collective Agreement expires, we are preparing, we are united and we will make change.

Component Secretary-Treasurer's Report November 2017

Dear Members,
As per the Air Canada Component Bylaws, it is my responsibility to update the membership as to the Component finances and the work I have been performing as the Component Secretary-Treasurer.
The current term started in February 2017, and has proven to be enlightening, eye opening and challenging at the same time.  I have enjoyed all aspects of my role, and enjoyed watching it grow and mold with each new challenge presented.  As per the Component Bylaws, my role and mandate as Component Secretary-Treasurer is as follows:
As per Section 6.3, of the Component Bylaws the Component Secretary-Treasurer shall:
(a)     Be responsible for the supervision of the financial affairs of the Component;
(b)    Throughout his/her term, and on behalf of the Component membership, be responsible for maintaining, organizing, safeguarding, and keeping files, supporting documents, authorizations, invoices and/or vouchers for every disbursement made, receipts for all money sent to CUPE National, as well as records and supporting documents for all income received;
(c)     Receive all revenue, initiation fees, dues, and assessments and deposit promptly all money with a bank or credit union;
(d)    Prepare all CUPE National per capita forms as required and remit payment no later than the last day of the following month;
(e)    Be responsible for establishing and supervising proper accounting procedures in the receipt and disbursement of funds in accordance with these Component bylaws;
(f)    Prepare and submit to the ACCEX for approval a budget of the anticipated revenue and expenses of the Component for the fiscal year no later than 90 days after the beginning of the same fiscal year;
(g)    Ensure that, except for ordinary expenses and budgeted expenses as approved at ACCEX meetings, no sum over $500.00 shall be spent for the purpose of a grant or contribution to a member or any cause outside CUPE, except by a notice of motion given in writing and dealt with at the following ACCEX meeting;
(h)    Ensure quarterly financial statements are prepared and submitted to the ACCEX;
(i)   Report on the administration of his/her office to meetings of the ACCEX;
(j)      Be in charge of books, documents, files and effects of the Component, which shall, at all times, be subject to inspection by the Component President;
(k)     Have the books audited by a qualified auditor annually and provide such audits to the Component Trustees, CUPE and the ACCEX;
(l)      Have the books audited by the Component Trustees and provide such Trustees` Reports to CUPE;
(m)   Make a full financial written report regularly to the ACC membership on the financial matters affecting the union;
(n)    Be bonded through the master bond held by CUPE and any Secretary-Treasurer who cannot qualify for the bond shall be disqualified from office;
(o)    On termination of office, surrender all books, seals and other properties of the Component to her/his successor;
(p)    Keep an accurate, full and impartial record of each meeting of the ACCEX and any other meetings as may be deemed necessary and forward such records to members of the ACCEX within 30 days after the meeting;
(q)    Record all duly approved alterations to the Component Bylaws and forward the amended Bylaws to the ACCEX within 30 days of the alteration;
(r)     Audit the record of attendance to regular ACCEX meetings and submit same to the ACCEX annually; and
(s)     In combination with any Company paid flight release, receive a supplementary payment from the Union, in order to receive a total monthly pay equal to the highest earner of the bargaining unit in that month.
Budget 2017/2018
At our ACCEX meeting in YUL on May 23, 24 & 25, 2017 we had our annual Component Budget meeting.  The Component Budget meeting is a place where the Component Secretary-Treasurer needs to show how much money we will bring in, this is solely from Union dues collected at both Air Canada Mainline and Air Canada Rouge.  Then from that income, I have budgeted $5 million for 2017-2018, which is worked out into a budget towards all expenses at the Component level.  It is important to remember from the $5 million, a portion must be budgeted to go to the Locals ($863,000.00) and then $1.5 million goes to CUPE National.  Approximately half of the income in the Component Budget goes to the Locals and CUPE National.  What remains is used to pay for the Administrative Staff, Committees (including Grievance, Health & Safety, PBS, Reserve and many others), office costs, Component Officers, legal and many other directives set out in the Component budget.
The Component budget meeting we had in Montreal was the first time in a long time that we were able to complete a budget within its assigned meetings days, as well as complete it prior to the budget year ending.  This was with great discussion, collaboration and input from all Local Presidents, Component Officers and assistance from our CUPE National Component staff rep when required.  We worked as a team to ensure we were able to get the funds distributed to assist all members by the best means possible.
Component Accounting Software Update
Another large project that was left from the previous term that has now been completed is the transition to our new accounting software, Newviews.  We had been operating a completely outdated version for years and it was in need of an upgrade.  This is money worth spending, and in my opinion was required to ensure we could keep accurate books and print proper financial reports.  In the old system we would have to take the reports and re-do them in excel for distribution.  This is not practical, nor efficient.  The system is operational and we have noticed a smooth transition and able to now focus on other issues.
Component Trustees and Audits
We have just received confirmation that our last set of prepared books, July 2014-June 2015 are prepared and ready to be audited by an external auditor.  This should be completed during the last week of October/ first week of November.  Once completed, a report from the auditors will be sent to myself and will be presented to ACCEX. Once we sign off on it, we will invite the Component Trustees to come in and do the procedural review and audit as per section 6.4 of the Component Bylaws.
This process in the past has taken much longer, and we are happy with all our updates to the accounting software that we were able to get the reports generated and work complete in a more relaxed time frame to properly prepare for the Trustee audit.
We have met with the Trustees and are looking forward to them commencing the audit process once we have all documents handed over from the auditor.
IAM Bargaining and Component Staff
We are very happy to conclude the bargaining with our Component staff in Toronto.  We have four members on staff that belong to the IAM Union.  At the beginning of our term in office, we were served with notice to bargain their contract.  It was a longer than planned process, in the end a standard wage increase was given over the term of their contract.  The Collective Agreement has many great benefits from sick time to vacation to the actual benefits, and we are happy that we were able to maintain all these benefits within the current Component budget.
We have a good group at the Belfield office, along with the four IAM staff members, we also have two members that belong to the COPE Union, they are administrative and accounting staff. As a whole at Component we have incredibly dedicated individuals working on our behalf, and your behalf daily.  Our office staff deal with grievance filing, flight releases, general maintenance, bulletins, updating the databases, website updates, filing, hearing schedules, hotel placements and liaise with the Component Officers to ensure meetings, travel and hotels are assigned and scheduled.
Financial Report
As of July 1, 2017, we have started a new fiscal year, and we are a quarter of the way through, reviewing our finances, we are on target for most budget items, expenses and income.  As the Component Bylaws allow for 180 days to have receipts processed and approved, I will be able to give a more detail review on the finances in my next report to the membership.
Wishing everyone a safe week ahead!
In Solidarity,

Wesley Lesosky
Component Secretary-Treasurer
w.lesosky@accomponent.ca