Newfoundland and Labrador is in a tough financial position heading into negotiations with its employees, but its largest union doesn’t think that will be an overriding factor in its opening position.

Government is almost a billion dollars in the hole on current account with long-term debt sitting at about $18-billion. It costs a billion dollars a year just to cover the interest on that debt.

NAPE has 16 bargaining teams preparing to write new contracts with the employer, but union president Jerry Earle expects the process to take months.

He says all indications are that the PC government recognizes recruitment and retention of workers as a major issue, and that one of the best remedies is compensation.

“We understand the problems the province has but they can’t fix it on the backs of workers who provide invaluable public services,” says Earle.