The Town of Hay River, N.W.T., says it will begin hiring replacement workers to do the jobs of its striking municipal workers.
The workers have been on strike since early February.
Mayor Andrew Cassidy says the contracts are for administrative jobs as well as operation and maintenance of the recreation centre.
The union says the move is not in the spirit of co-operative labour relations.
"The use of replacement workers and scabs serves only to prolong the labour dispute and create more and more bitterness as a result of the dispute," said Todd Parsons, president of the Union of Northern Workers.
"These are individuals that are taking the work of our members and their use is unacceptable."
Cassidy says the town owes its residents the services for which they pay taxes.
"That will be a choice people will have as to whether they want to make use of the facilities, and whether or not they would be willing to cross the picket line," he said.
He says the town plans to post the positions as soon as possible.