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TABLE
OF CONTENTS Alberta *
1.
Notice of layoff *
2.
Right to severance pay *
3.
Duty of fair representation *
4.
Union liability *
British
Columbia *
1.
Report from British Columbia *
Manitoba *
1.
Human Rights *
2.
Arbitration *
3.
Labour Board *
New
Brunswick *
1.
Environmental illness and WCB *
2. Leisurewold not
the law in New Brunswick (yet!) *
3.
Surveillance camera evidence admissible *
Nunavut *
1.
The division of the Northwest Territories *
Ontario *
1.
Duty to provide competent counsel *
2.
Timeliness of grievance referral *
3.
Courts vs. arbitrators: Weber where no collective
agreement exists *
4.
Board orders employer to return production work *
5.
SCC upholds the OLRB in Charterways *
6. Dunmore to
go to SCC *
7.
BILL 69 *
8.
Grievance procedure cannot be used to relitigate
criminal conviction *
Saskatchewan *
1.
Report of Saskatchewan Labour Law *
Federal
Jurisdiction *
1.
Exclusion of RCMP from collective bargaining regime
does not violate Charter *
2.
Minimum age requirements for CPP survivor’s
benefits are constitutional *
3.
PSAC wins 15-year equity fight *
4.
Adjudicator appointed under PSSRA does not
have jurisdiction to decide human rights dispute *
Wrongful
Dismissal *
1.
Senior civil servants may sue for wrongful dismissal
if their jobs are eliminated *
2.
Non-renewal of a fixed-term contract does not constitute
dismissal *
3.
Court certifies class action in wrongful dismissal
action *
4.
$1.7 million award for constructive dismissal upheld *
5.
Notice provision that specifically incorporated
another province’s statutory requirements
ruled enforceable *
Alberta 1.
Notice of layoff 2.
Right to severance pay 3.
Duty of fair representation 4.
Union liability 1.
Notice of layoff Notice
period of layoff may exceed the time called for in
the collective agreement Foothills
Provincial General Hospital v. U.N.A., Local 115 (1998),
188 W.A.C. 122; 168 D.L.R. (4th) 64 (Alta.
C.A.) Case
at a Glance The
collective agreement provided that employees
were entitled to 14 days notice of layoff. The
Union grieved layoff notices that provided more
than 14 days notice to employees asserting that
the collective agreement called for "exactly" 14
days notice. Facts
of the Case The
appeal involved the interpretation of the layoff
notice provisions in a collective agreement.
The Union grieved the employer’s procedure in a massive
layoff of staff, wherein the employer gave layoff notice
of much more than the 14 days specified in Article 15.05
of the collective agreement. Under the collective agreement,
an employee had 48 hours after receiving the notice of
layoff to decide on the position they wished to seek and
initiate bumping rights. The Arbitration Board upheld the
Union’s grievance, concluding that a literal interpretation
of Article 15.05 required "exactly" 14 days
notice. The decision was upheld on judicial review. The
Employer then appealed, arguing, among other things,
that the decision was patently unreasonable because
requiring exactly 14 days’ notice would create
major practical problems in a large layoff, and that the
mechanics of "exactly" 14 days’ notice
were unworkable. The Employer’s position was that
the 14-day notice period was merely the minimum period
of notice required. The
Decision The
Court of Appeal granted the Employer’s
appeal and concluded that the Board’s analysis
was patently unreasonable. The Court applied a purposive
analysis to Article 15.01 and noted that the purpose
of the notice period was to provide an employee with
adequate time to make other arrangements. That purpose,
the Court decided, was served by longer, rather than
shorter, notice periods. The
Court emphasized several factors which, cumulatively,
indicated that the Board’s decision
was patently unreasonable:
a. A literal interpretation is not
possible as there are two possible meanings;
b. The Board failed to undertake any
analysis to address questions like: What was the purpose
of the notice? What context surrounds the words in
dispute? Do the words appear elsewhere in the agreement?
Does either possible interpretation lead to absurdity?
c. The decision contains many inconsistencies;
and
d. The Board ignored relevant considerations
and took into account irrelevant considerations.
Implications
for Employers/Unions The
Court of Appeal has set aside an arbitration
board’s decision on a matter deep within the Board’s
expertise – the interpretation of a collective
agreement clause dealing with layoff notice. While acknowledging
that the standard of review is whether the decision is
patently unreasonable, the Court closely examined the result of
the decision rather than how the tribunal arrived
at its conclusion as called for by the Supreme Court of
Canada in C.A.I.M.A.W., Local 14 v. Canadian Kenworth
Co. [1989] 6 W.W.R. 673 (S.C.C.):
The courts must be careful to focus
their inquiry on the existence of a rational basis for
the decision of the tribunal, and not on their agreement
with it. The emphasis should not be so much on what
result the tribunal has arrived at, but on how the tribunal
arrived at that result. (Emphasis added.)
The
Court of Appeal contends that the Board failed to adequately
analyse the provision in question, when what the Court
really means is that it disagrees with the Board’s
analysis. An Alberta court has already relied on
this decision to justify judicial review. In I.A.T.S.E.,
Local 212 v. Plymouth Productions (Honey I Shrunk the Kids
TV Series), (1999) Carswell Alta 365 (Q.B.) Justice
Kent set aside an arbitrator’s interpretation of
a collective agreement term dealing with holiday pay during
a hiatus. The arbitrator analysed two provisions in the
collective agreement dealing with hiatus and vacation pay,
and dismissed the union’s grievance, concluding that
there was no obligation to pay holiday pay for Christmas
Day, Boxing Day or New Year’s Day during a temporary
layoff that was effective December 20 to January 4. Justice
Kent noted that the Court of Appeal in the Foothills case
held that the decision was patently unreasonable where
there was an "absence of analysis" or the "interpretation
of the relevant clauses was flawed." In this case,
the arbitrator’s decision similarly lacked analysis
and was flawed, Justice Kent concluded, and was therefore
patently unreasonable. This
is a worrisome precedent given that the Supreme
Court has noted repeatedly that reviewing courts
must be careful not to merely substitute their
opinion for the tribunal’s,
and must adhere to a strict standard of review of decisions
made within jurisdiction. 2. Right to severance pay Prison
guards entitled to severance pay after provincial corrections
institution transferred to the Federal Government Alberta
v. A.U.P.E. (1998),
223 A.R. 169; 183 W.A.C. 169; 8 Admin. L.R. (3d) 8;
68 Alta. L.R. (3d) 351 (C.A.) Case
at a Glance The
collective agreement between the provincial Crown
and A.U.P.E. provided that laid off employees
were entitled to severance unless the employer
arranged continuing employment "in the Alberta Public Service or with
any successor employer, or with any employer under the
Public Service Employee Relations Act or with any other
Crown Agency (including Boards, Corporations, Agencies
and Commissions)." The union grieved the government’s
failure to pay severance to employees who received continued
employment with the federal government when the Grand Cache
Correctional Centre was transferred from the provincial
to the federal jurisdiction. The grievance was upheld on
the basis that "successor employer" under the
collective agreement meant an employer within the provincial
public sector. The decision was upheld on judicial review
and before the Alberta Court of Appeal. Facts
of the Case When the Grande Cache Correctional Centre
was transferred to the federal government, Alberta arranged
for the continued employment of its employees by the federal
government. Under the transfer agreement, Alberta was responsible
for providing any termination entitlements to the transferring
employees. As a result, there was no transfer of employee
seniority for severance purposes, and a long-term employee
would only be eligible for severance benefits based on
length of service with the new employer. Alberta argued that the federal government
was a successor employer with whom it had arranged continued
employment for the employees and, therefore, there was
no right to severance under Article 15.05 of the collective
agreement. The article reads:
An Employee whose position is declared
abolished and for whom the Employer has not arranged
continuing other employment in the Alberta Public Service
or with any successor employer, or with any employer
under the Public Service Employee Relations Act or with
any other Crown Agency (including Boards, Corporations,
Agencies and Commissions) shall be eligible for...(severance
pay).
The
Decision Arbitrator
Koshman ruled that the parties had intended "successor employer" to refer to
the transfer of an undertaking as contemplated in labour
relations legislation, and that the federal government
was indeed a successor employer. Further, he held, the
parties intended that "successor employer" be
modified by the context of the words surrounding the term.
He concluded that since the list of excluded employers
in Article 15.05 was a list of employers within the provincial
public sector, "successor employer" was intended
to be limited to employers within the provincial public
sector. His decision was upheld on judicial review and
then appealed to the Alberta Court of Appeal. The Court of Appeal agreed that it was
reasonable for the arbitrator to consider the surrounding
words, and to conclude that Article 15.05 contemplated
two categories of situations where severance entitlements
would not arise:
a. where the collective agreement
continues to govern, and
b. where the collective agreement
will not continue to govern, but employment remains
within the provincial public sector.
The
Court noted that the Board’s
analysis of the parties’ intentions properly focused
on the factual context – that employment within the
provincial public sector would protect employees’ previous
benefits and entitlements as much as possible, while
employment outside that category would not provide the status quo
ante. The Court rejected the employer’s argument
that it would be absurd to interpret Article 15.05 as
providing for severance pay to employees who would never
miss a day of work. Instead, the Court decided that it
would be absurd to conclude that the parties would intend
otherwise, as it would deprive long-term employees of
reasonable notice based on their prior length of service. Implications
for Employers/Unions This
decision is a practical application of a basic
principle of contract interpretation – interpret
the subject phrase in context. Moreover, context involves
not only the context of the phrase within the article,
within the paragraph and within the agreement as a whole,
but also within the factual context. Technical language
and terms of art will not be considered in isolation,
but will be interpreted purposively to give effect
to the parties likely intentions. 3.
Duty of fair representation Alberta
Labour Relations Board concludes that focus should be
more on what the union considered in coming to its conclusion
that the grievance was without merit, than on the merits
of the grievance itself Wideman
v. Edmonton Police Service Senior Officer's Association
et. al, [1999]
Alta.L.R.B.R. 64 Case
at a Glance A
police association was found to have breached
its duty of fair representation when it failed
to process a member’s grievance which sought to set
aside a resignation tendered with the assistance of legal
counsel. The original panel concluded that the grievance
was without merit and the association had not breached
its duty to the member. The reconsideration panel concluded
that the original panel had erred by focusing on the merits
of the grievance. The reconsideration panel was concerned
that there was no evidence that the association had performed
the legal analysis or obtained a legal opinion which supported
the original panel’s conclusion that the grievance
was without merit. The reconsideration panel’s
decision was upheld on judicial review. Facts
of the Case Wideman, a long-term police officer, was
charged with shoplifting and discipline proceedings were
commenced against him. With the assistance of his own legal
counsel, he resigned, with the result that the discipline
panel no longer had jurisdiction over him. He had pleaded
guilty to the shoplifting charge and during sentencing
advised the court of his resignation. Approximately three
months later, Wideman attempted to revoke his resignation.
When the Police Service refused to accept the revocation
of his resignation, he asked the Association to file a
grievance. The Association had several meetings that Wideman
was not invited to and decided not to file a grievance
on his behalf. Wideman filed a duty of fair representation
complaint and, with the assistance of the Labour Relations
Board, another meeting of the Association was convened
at which Wideman and his psychiatrist made presentations.
The Association again decided not to proceed with the grievance. The original panel of the Board concluded
that the Association had cured its earlier procedural flaws
by permitting Wideman and his psychiatrist to make a presentation
to the Association. It also concluded that, given the circumstances
of the resignation, the grievance was unlikely to succeed.
Therefore, the Association had not breached its duty of
fair representation. The
Decision The
reconsideration panel did not agree that the
earlier procedural flaws had been cured. The
reconsideration panel was not satisfied that
there was an in-depth analysis of the merits
of Wideman’s case. The panel emphasized
the absence of evidence that the Association had sought
legal advice or performed research of the kind a lawyer
might have engaged in. Further, the reconsideration panel
concluded that the Association should have at least processed
the grievance through the initial steps of the grievance
procedure, even if it was not going to proceed to arbitration. The
reconsideration panel’s decision
was upheld on judicial review. The Association has filed
an appeal to the Court of Appeal. Implications
for Employers/Unions This
decision appears to be inconsistent with labour
board jurisprudence indicating that unions are
not required to obtain legal opinions. It also
suggests that it is not enough that the union "gets it right";
it must also show that it has a thorough legal analysis
to support its conclusion that a grievance is without
merit. 4. Union liability The
Alberta Court of Queen’s Bench found a union
in civil contempt for violations of a Labour Relations
Board directive restricting picketing. The union was
found liable as there
was
no evidence that it "disapproved of our disavowed
the conduct of its members on the picket line". Georgia
Pacific v. BBF D513 et al, [1999]
Alta LRBR 118 Implications
for Employers/Unions This case imposes a positive duty on union
officers to dissuade members from illegal activity, failing
which unions will be found in civil contempt. Report submitted by Lyle Kanee of the
law firm Chivers Greckol and Kanee in Edmonton, Alberta. British Columbia 1. Report from British Columbia On
January 21, the B.C. chapter of CALL had its annual
get together to discuss "recent developments
in B.C." This year we had about 35 people attend,
down slightly from last year. We were encouraged by the
number of new faces and the number of in-house counsel
that attended. There seems to be a great deal of interest
in the August conference in Halifax, so we’re hoping
for a good B.C. turnout. The timing of our meeting was fortuitous
because on the morning of the meeting, the Chair of the
B.C. Labour Board announced his resignation effective March
31, 2000. Keith Oleksiuk, who formerly worked for the Steelworkers
in Ontario and B.C. before he joined the Board in 1992,
was the subject of much criticism from the employer community
over the last year and one half. Gossip was rampant about
who his replacement would be. On a more legalistic note, there have
been a number of important decisions in the past year from
B.C. The Supreme Court of Canada decision in UFCW v.
K-Mart Canada (1999), 176 D.L.R. (4th) 607, and its
companion case from New Brunswick, Allsco Building Products
v. UFCW (1999), 176 D.L.R. (4th) 647, were issued on
September 9, 1999 and overturned the picketing laws in
B.C. The Court went to some length to differentiate between
picketing and leafleting and the societal and legal distinctions
between the two. The Court effectively upheld leafleting
as a freedom of expression issue. There has now been a
subsequent decision of the B.C. Labour Relations Board
related to the IATSE Projectionists strike, which interpreted
and applied the K-Mart decision: Sony v. Projectionists,
December 20, 1999, BCLRB B519/99.
Another major decision out of B.C. was the Meiorin decision
(also known as the "Firefighter’s case") in which the Supreme Court
of Canada reviewed the duty to accommodate in the context of reasonable "qualifications" for
a job. [See British Columbia (Public Service Employee Relations Commission)
v. B.C.G.S.E.U. (1999), 176 D.L.R. (4th) 1.] The decision eliminates
the distinction between indirect and direct
discrimination and replaces
it with a unified approach to questions of
discrimination. The Court set up a three-step
test to determine whether an employer has established,
on a balance of probabilities, that a prima
facie discriminatory standard is a bona
fide occupational requirement. This
is obviously a gross simplification of
an important decision which must be read
in conjunction with the Supreme Court’s
decision in Grismer.
[See British Colubia (Superintendent of
Motor Vehicles) v. British Columbia (Council
of Human Rights) (1991), 181 D.L.R. (4th)
385.] On
the human rights side, the B.C.
Human Rights Tribunal found Professor
Donald Dutton guilty of creating
a "sexualized
environment" when he invited a university
student to his house for a meeting and
served wine, and had low lighting, candles
and music. The Tribunal ruled that sexual
harassment includes physical touching or
conduct of a sexual nature which has a
psychological effect. The fact that a complainant
tolerates the conduct is no defense: Mahmoodi v. University
of British Columbia, B.C. Human Rights
Tribunal, October 26, 1999. Lastly, the B.C. Court of
Appeal ruled that the B.C. Labour Relations
Board may review arbitration decisions that
are inconsistent with the principles expressed
or implied in the Labour Relations Code or
another act dealing with labour relations.
However, the Board cannot review awards dealing
primarily with matters of general law, including
human rights issues such as the duty to accommodate.
Section 100 of the Labour Relations Code provides
that such appeals proceed directly to the Court
of Appeal: USWA, Local 7884 v. Fording Coal;
CAW-Canada v. Westmin Resources United; BCGSEU v. Public
Service Employee Relations Commission (1999),
179 D.L.R. (4th) 284 (B.C.C.A.). Report submitted by Daniel Rogers and
Diane MacDonald of the Victory Square Law Office in Vancouver,
British Columbia. Manitoba 1. Human Rights 2. Arbitration 3. Labour Board 1. Human Rights In Schroen v. Steinbach Bible College
et al (1999), 35 CHRR D/1 (Man. Bd. Adj.), a human
rights tribunal determined that a small Mennonite bible
college was entitled to fire its accounting clerk because
she was a Mormon rather than a Mennonite. The College
testified that it would not have hired the clerk if it
had known she was Mormon. It fired her as soon as it
learned of this fact. The evidence was that the College was
a tight-knit community of students and staff and that the
accounting clerk interacted extensively with students.
Among other things, for example, the clerk sold students
religious books, some of which discussed Mennonite beliefs,
including the Mennonite belief that Mormonism is a cult. When
the clerk was hired, she was asked
to sign the college’s Statement of Faith which
listed specific religious views held by Mennonites. Expert
witnesses who testified about the difference between
Mennonite and Mormon beliefs pointed to several items
in the Statement of Faith that contradicted Mormon beliefs. The tribunal held that the College had
discriminated against the clerk on the basis of religion.
However, given the unique nature of this particular workplace,
the tribunal ruled, it was a bona fide and reasonable
requirement or qualification for the clerk to be a Mennonite.
The Human Rights Commission decided not to seek judicial
review of the decision. 2. Arbitration In Readyfoods Ltd. and United Food
and Commercial Workers Union, Local 832 (1999),
140 Man. R. (2d) 204 (QB), the Manitoba Court of Queen’s
Bench upheld an arbitration decision dealing with severance
and pay in lieu of notice. Under Manitoba’s employment
standards legislation, employers are required to give
employees pay in lieu of notice of termination, in cases
of group termination. Under the collective agreement,
the employer was required, upon plant closure, to pay
employees an amount equal to one week’s wages
for each year of service. When the employer closed
its plant, it argued that it could set off the amount
of pay required by the legislation against the amount
of pay required by the collective agreement. The employer
relied on the common law presumption against double
recovery. In
an arbitration decision reported
on Quick Law at [1998] MGAD No.
80, December 10, 1998 (Jamieson),
the arbitrator held that the statutory pay in lieu of
notice and the contractual severance
pay were two distinct concepts.
The contractual severance pay was an earned benefit while
the pay in lieu of notice was a statutory obligation.
Therefore, the employer was not
entitled to set off one amount
against the other. In a brief decision,
the Manitoba Court of Queen’s
Bench denied the employer’s application for judicial
review of the arbitration decision. The Manitoba Court of Appeal has just
decided Assiniboine South Teachers’ Association
v. Assiniboine South School Division No. 3, June
16, 2000, Docket Al 99-30-04139. In this case, a lesbian
teacher asked permission from her employer to mention
her sexual orientation in the classroom during "teachable moments".
Her employer ordered her in writing not to disclose her
sexual orientation. She obeyed the order and filed a grievance.
The teacher’s collective agreement did not contain
a no-discrimination clause. The majority of the arbitration
board decided that it did not have jurisdiction to deal
with the grievance, because it was not related to any specific
article of the collective agreement. In a decision reported
at (1998), 163 DLR (4th) 343, the Manitoba Court of Queen’s
Bench overturned the arbitration decision. Relying primarily
on the Ontario Court of Appeal’s decision in Metropolitan
Toronto (Municipality) v. CUPE Local 43 (1990), 69
DLR (4th) 268, the Court held that the arbitration board
had jurisdiction to deal with the grievance under the
discipline provisions of the collective agreement. If
the teacher had disobeyed the employer’s order
and had been disciplined, an arbitration board would
certainly have had jurisdiction to deal with a disciplinary
grievance. According to the Court, the employee who obeyed,
rather than disobeyed the order, should not be deprived
of the right to grieve. The majority of the Manitoba Court of
Appeal disagreed with the lower court and upheld the original
arbitration decision as not being patently unreasonable.
Referring to the Metropolitan Toronto case, the
Court commented that the "principle of testing a rule
for reasonableness before its breach is a sound one. It
must be recognized, however, that this principle can only
be applied where there is a unilaterally imposed workplace
rule capable of being judged for reasonableness regardless
of the circumstances of its breach." The court reasoned
that the workplace rule in dispute in Metropolitan Toronto was
an absolute, categorical rule. However,
in the majority view, the rule
against disclosing one’s
sexual orientation was different,
since it might be reasonable to prohibit disclosure in
some situations but not in others. The majority also
had some doubt that discipline
would follow breach of the disclosure
rule in all circumstances. Therefore, the decision of
the arbitration board was not patently
unreasonable. Justice Kroft dissented,
and would have sent the grievance
to a new board to be decided on
its merits. 3. Labour Board
In Tucker v. Sheet Metal Workers International Association Local 511 et
al (1999), 138 Man. R. 153 (CA), reconsideration denied at [2000] 1 WWR
108 (CA), the Manitoba Court of Appeal upheld the Manitoba Labour Board’s
decision to hold an oral hearing. The complaint before the Board was brought
by a group of employees who objected to the union’s certification.
At the time of the certification application, the legislation allowed for
automatic certification if 65% of employees were union members at the time
of the application. As two of the three employees at the time had
signed union cards, certification was granted.
The legislation allowed the employees to object
to the certification only on the grounds of
union misconduct. The group of objecting employees
retained counsel and objected to the certification
on the grounds that they did not want the union
to represent them. They did not allege union
misconduct. Therefore, the Board dismissed
their complaint without an oral hearing. The
Manitoba Court
of Appeal held
that the Board’s ruling was not
patently unreasonable. At paragraph 23 of its
decision, the Court pointed out that, in the
field of labour relations, it is not uncommon
for statutes to provide for union certification
without a hearing. There are many reasons for
this, not the least of which are the need for
a prompt decision and the need for confidentiality
of union records. "Certification without
a hearing has been held, at the highest level,
not to abrogate the principles of natural justice
so long as those interested have had an opportunity
to put forward their arguments," the
court held. The Court also rejected the
argument that the relevant provision of the
legislation violated sections 7 and 2(d) of
the Charter of Rights and Freedoms.
Finally, in an unusual move, the objecting
employees asked the Court to reconsider
its decision. However, the Court very briefly
ruled that the employees’ submissions
did not meet the test for reconsideration. Report submitted by Eliott Levin of the
law firm Myers Weinberg Kussin Weinstein Bryk in Winnipeg,
Manitoba. New Brunswick 1. Environmental illness and WCB 2. Leisurewold not the law in New
Brunswick (yet!) 3. Surveillance camera evidence admissible 1. Environmental illness and WCB Gloria
Mallais and Workplace Health Safety and Compensation
Commission,
[1999] N.B.J. 463 (NBCA) In
October 1999, the New Brunswick Court of Appeal
overturned the decision of an appeal panel
of the New Brunswick Workplace Health, Safety
and Compensation Commission and placed the
onus squarely on the Commission to prove the
Appellant’s
environmental illness was not caused by the workplace.
The Appellant was a pharmacy assistant (and CUPE member)
employed at the Dr. Everett Chalmers Hospital in Fredericton.
In July 1998, she began experiencing respiratory distress
while working at the Fredericton Hospital. The respiratory
condition occurred only at the Fredericton Hospital
and did not occur at home, in shopping malls or at
another hospital where she also worked. The
WHSCC Appeals Tribunal ruled that there was no
causal relationship between the employee’s
symptoms and her occupation at the hospital. The Court
of Appeal applied section 7(2) of the Workers Compensation
Act, which legislates a presumption that an injured
worker’s disablement occurred in the course of her
employment. The Tribunal’s failure to apply the
presumption was an error in law reviewable by the Court. This is an important case as it presumes,
given the right facts, that environmental illness is a
compensable injury in New Brunswick.
2. Leisurewold not
the law in New Brunswick (yet!)
UFCW
Local 1288P v. Pepsi Cola Beverages Ltd.,
[1999] N.B.J. 526 (NBCA) The UFCW, Local 1288P referred to arbitration
a grievance concerning the seniority status of a group
of employees. The employer raised the preliminary objection
that the grievance had not been referred to arbitration
within the time limits set out in the collective agreement.
The union relied on section 73.1 of the Industrial Relations
Act, which permitts an arbitrator to extend the time
for the taking of any step in the grievance procedure. The employer relied on SEIU, Local
204 v. Leisureworld Nursing Home, [1997] O.J. 4815,
a decision of the Ontario Court of Appeal, for the
proposition that the "grievance procedure" does
not include the arbitration procedure. There were no
court cases interpreting the New Brunswick legislation. The
arbitrator dodged the bullet by holding that,
because the collective agreement provision regarding
referral to arbitration was included in the article
governing the grievance procedure, he had authority
to relieve against the time limit for referring
the grievance to arbitration. In his view, it
was part of the "grievance procedure" within
the meaning of section 73.1 of the Act. On
judicial review, the Court of Queen’s
Bench disagreed, ruling that Leisureworld applied
and there was no power under s. 73.1 to relieve against
arbitration time limits. On appeal to the New Brunswick
Court of Appeal, the Court stated:
"A request
for referral of a grievance to arbitration is
not necessarily, as a matter of law, a step in
the arbitration procedure. It may, depending
on the terms of the collective agreement between
the parties, be a step in the grievance procedure
contemplated by s. 73 (3.1) of the Act. To the
extent that Service
Employees International Union, Local 204 v Leisureworld
Nursing Homes Ltd. et al. holds otherwise, I respectfully
decline to follow it.
Section 73 (3.1)
confers a discretion to extend the time for the
taking of any step in the grievance procedure.
The Act does not define what is meant by "grievance procedure" for
s. 73 (3.1) purposes. However, the wording of
s. 73 (3.1) suggests that the scope of the discretion
conferred by it may vary from case to case, depending
on the terms of the collective agreement that
the arbitrator is called upon to interpret and
apply."
The Court of Appeal did, however, indicate
that the result in this case did not mean that Leisureworld was
not applicable in New Brunswick. A time limit missed in
an arbitration process that is clearly distinct from the
grievance process will, based on the reasoning in Leisureworld, probably
not be extended. 3. Surveillance camera evidence
admissible Re:
Town of Riverview and CUPE Local 2162,
decision of Eugene McGinley, September 16, 1998, unreported. Two
grievors were fired for theft of stockroom
items. The employer’s
primary evidence was videotape from a surveillance
camera at its premises. The union raised a number of
objections to the introduction of the evidence, all
of which were overruled by the arbitration board. First,
in regards to the privacy rights of the individual,
the Board distinguished between surveillance
outside the workplace and surveillance inside
the employer’s
premises. The Board also relied upon the fact that the
stockroom under surveillance was usually off limits to
the grievors.
Second, the Board
rejected the union’s argument that
the employer was required to exhaust
all other avenues to identify thieves before installing a video
camera. While this was an appropriate concern where surveillance was taking
place in general work areas, it did not apply where the surveillance was
of a restricted area. Finally, the Board took no issue with the fact that the
videotape offered in evidence was a copy, rather than the original. Although not directly raised, the Board seemed unconcerned
that there had been no prior warning to employees that they might be the
subject of surveillance, a factor which has been relevant in other arbitration
cases. This case signals a much more lenient approach to video
surveillance in the context of combating workplace theft. Report submitted by David Brown of the
law firm Brown MacGillivray Stanley in Saint John, New
Brunswick. Nunavut 1. The division of the Northwest Territories 1. The division of the Northwest
Territories Nunavut
Born on April 1, 1999 One hundred years ago, the Northwest Territories
was a large part of northern Canada. The area was a vibrant
jurisdiction; a place where aboriginal cultures of Dene
and Inuit heritage had lived for thousands of years, and
then had come into contact with European civilization.
The tree line, running diagonally from the northwest corner
on the Beaufort Sea to the southeast corner along Hudson
Bay, was a natural division between the two cultures. When the early explorers sought a passage
to the riches of China, and recognized the wealth of the
fur trade, settlements grew, where aboriginals and Europeans
exchanged furs for goods and supplies. Much of the fur
trading took place in the western region occupied by the
Dene, but settlement occurred in the Inuit area to the
east with the establishment of whaling stations. By the end of the nineteenth century,
a vibrant political and judicial system was in place. However,
this changed radically in 1905, when a large part of the
geographic area became the provinces of Alberta and Saskatchewan.
Several years later, portions of the land were added to
Manitoba and Ontario. The remainder of the Territories
- still a very large geographic area but now very much
reduced in terms of population and commercial activity
- shrank into a jurisdiction administered by the federal
government. Decades passed before political representation
of any real significance returned to the area, first at
the federal level and then in the legislative assembly
governing local and private affairs. The landscape changed once again on April
1, 1999, when the Territories were divided into two jurisdictions,
bringing into reality a political gestation that had taken
many years to mature. The division, which had its roots
in the cultural differences between the Inuit and Dene/Metis
populations, gave the Inuit the new territory of Nunavut. The division of the territories began
as a negotiation of a land claim agreement between the
Inuit and the Federal Government. In 1993, the land claim
was settled and the Nunavut became a public government
under the Nunavut Act, S.C. 1993, c.28. With the division came significant legal
and administrative challenges. A new government had to
be set up, and laws and a judicial system put into place.
The body of law for the new jurisdiction was comprised
of statute law from the Northwest Territories, amended
Territorial law and entirely new legislation. The
Nunavut Implementation Commission spent two years
developing a detailed report on how the new government
would be brought into being. An Interim Commissioner
was then appointed under the Act and given instructions
to implement the report’s
recommendations. Part of this work involved the enactment
of laws that would meet the particular needs of the
jurisdiction. Section 29 of the Act provided for a transitional
scheme that enabled Nunavut to begin its governance under
a set of Northwest Territories laws. These statutes were
duplicated to the extent they could apply to Nunavut, and
were deemed to be the laws of the new Legislature. Under
section 29.1, all rights, privileges, licences, etc. existing
in Nunavut prior to the division were preserved. Where the particular needs of Nunavut
required the enactment of new laws or the amendment of
existing Territorial law, the Northwest Territories Legislative
Assembly put the legislation in place by April 1, 1999
(s. 76.05). This legislative activity took place at the
fall 1998 and winter 1999 sittings. The Nunavut legislation can be accessed
at the Court House Library site (http://pooka.nunanet.com/
~ncjlib/english.html) or the Access to Justice Network (http://legis.acjnet.org.).
The consolidated statutes and regulations are current to April 1, 1999.
The Court House Library is maintaining a table of amendments. The Government
of the Northwest Territories will publish the revised statutes of Nunavut
later this year. An election of members to the new Legislative
Assembly took place shortly before Nunavut came into being,
after which time, the Legislature had full authority to
pass laws for the new jurisdiction.. The Commissioner is
the executive head of government in much the same fashion
as the provincial Lieutenant Governor (see s. 12). Along
with an Executive Council, the Commissioner will have authority
over government affairs. Sections 5 to 7 define the office
of the Commissioner (essentially the same as in the Northwest
Territories) and s. 11 establishes the Executive Council
which is appointed by the Commissioner on the advice of
the Legislative Assembly. The appointment process is similar
to that which is followed in the Northwest Territories.
Specifically, convention and consensus government, in which
there are no political parties are followed. Presently,
the MLAs choose both the premier and the cabinet members
and the premier then assigns portfolios. In past years,
there has been much debate about the appointment process,
and therefore, it may change in the future. All of these changes put a new face on
old patterns of doing business in the north. There will
be a variety of transitional problems as well. In the area of the administration of justice,
s. 31 of the Act creates a Supreme Court and a Court of
Appeal with the same powers and jurisdiction that their
counterparts in the Northwest Territories have. An amending
statute, passed in March 1999 and in force April 1, 1999,
created the Nunavut Court of Justice. This is a single-level
trial court consisting of three resident superior court
judges, together with non-resident appointees. This innovative
approach has required extensive amendments to federal and
territorial law. Judicature in this new court and in the
Court of Appeal, is dealt with in the Nunavut Judicial
System Implementation Act. This statute
provides for justices of the peace and repeals the former Territorial
Courts Act - a necessary step in the process of establishing
the single-level court. The rules of court in the Northwest
Territories have been adopted for use in Nunavut. Nunavut’s
Law Society held its inaugural call to the Bar
in April 1999, when 28 resident lawyers became
its first members. The Bar now has 193 resident
and non-resident members. The Nunavut Territory
has the most northerly law office in the country
- a legal services clinic in Pond Inlet. The Law
Society has moved quickly to become an organization
able to function on its own. While Nunavut members
presently receive their insurance coverage through
the Northwest Territories, on July 1, 2000, insurance
will be provided directly by CLIA. In May 1999, a ceremonial call to the
Bar took place in Yellowknife for Northwest Territories
lawyers wanting to practice in the east. Over 50 lawyers
shared the solemnity and collegiality of this additional
milestone in the growth of the north. There are a number of special concerns
associated with the transitional stage of the north. Judgments
applicable to persons or property in the new jurisdiction,
in place at the date of the division, would be difficult
to enforce. There is a practice directive dealing with
the mechanics of how to enforce such a judgment and s.
76.12 of the Act remedies this problem. Jurisdiction over causes of action is
tied to the date the action was commenced. The courts of
the Northwest Territories have jurisdiction over matters
commenced before April 1, 1999, and the courts of Nunavut
have jurisdiction if the matter is commenced on or after
that date (s. 76.1). That said, actions that were pending
in the Supreme Court on April 1, 1999 can continue in the
Northwest Territories, or they can be transferred into
the Nunavut Court of Justice if the judge thinks the transfer
is in the interests of justice (Act, s. 76.11).
Thus far, the judges of the Northwest Territories have
shown a preference to transfer cases over to Nunavut and
let the judges deal with them there. This stems from a
belief that the two jurisdictions should separate their
affairs as quickly as possible. If a case remains physically
in the Northwest Territories, the judges of the Supreme
Court of the Northwest Territories are also judges of the
Nunavut Court. A case can be convened in Nunavut simply
by convening the court as the Nunavut Court. A.
Labour Laws On the labour front, the Canada Labour
Code will apply to Nunavut in the same way that it
did in the past. This will mean that workplaces organized
under a collective agreement will remain under the authority
of the Canada Industrial Relations Board. Any new certification
drives will similarly come under the Code. Employment
standards are a matter of territorial jurisdiction, and
the Labour Standards Act in force in the Northwest
Territories has been enacted in Nunavut with a few minor
changes. Other lesser-known employment laws are also
part of the mosaic. As to human rights, the Fair Practices
Act is part of Nunavut law. During the first year of the new territory,
the Labour Standards Boards for the two jurisdictions shared
the same members. Under cross-appointment and a contract
between the two governments, the members of the Northwest
Territories Board provided their services to Nunavut. On
April 1, 2000 Nunavut appointed its own Board. Similarly,
the services of the NWT Labour Standards Officer were provided
to the new territory. The contract expired on April 1,
2000 and Nunavut has now appointed its first Labour Standards
Officer. Employees of the new government are regulated
under the Public Service Act (Nunavut). Many of
these employees are members of the Nunavut Employees Union,
a body created by the Nunavut Employees Union Act.
These two pieces of legislation are practically identical
to the laws that were applicable to Northwest Territories
Government employees. B.
Administrative Law The division effectively means that a
great number of tribunals in the Northwest Territories
now have counterparts in Nunavut. A detailed examination
of the changes is not possible here. From an operational
standpoint, a number of existing bodies are given the authority
to act under Nunavut laws. There are also new administrative bodies
created to deal with the needs of the new jurisdiction.
The institutions of public government created under the
land claims agreement deserve special mention here. Bodies
such as the Nunavut Water Board, the Nunavut Wildlife Management
Board and the Nunavut Impact Review Board are given important
powers and responsibilities, but it will take time to work
out how these tribunals will interact with government and
its agencies.
The Workers’ Compensation Board also deserves mention, because of the
breadth of the Board’s activities. When the Workers’ Compensation
Act was being duplicated, the Interim Commissioner agreed that provision
should be made to have the Northwest Territories Board be the responsible
authority for Nunavut as well. There is now one body with the legal mandate
for compensation claims, occupational health and safety and mining safety
throughout both jurisdictions. Because the old regime is effectively
being empowered to carry on
as it did before, but in a shared arrangement
under two sets of laws, the Minister responsible
for the Nunavut legislation is authorized to
enter into agreements with the Government of
the Northwest Territories establishing the
terms and conditions under which the G.N.W.T.,
the Board and the appeals tribunal (this body
hears the appeals from decisions on compensation
claims and assessments) will serve Nunavut
under its legislation. There are provisions in the Nunavut
Judicial System Implementation Act for
judicial review. Although applicable to all
tribunals, these provisions appear to be
designed primarily to review decisions made
by justices of the peace. Any decision from
which there is a statutory appeal can be
appealed to the Nunavut Court of Justice.
The legislation sets out a procedure for
bringing the evidence into court, filing
appeal books and getting the appeal on for
a prompt hearing. Sections 83 through 91
contain the relevant law. The traditional
avenues of judicial review are found in the Rules
of Court. Report
submitted by Austin F. Marshall
of the law firm Marshall & Co.
in Yellowknife, Northwest Territories. Ontario 1. Duty to provide competent
counsel 2. Timeliness of grievance
referral 3. Courts vs. arbitrators: Weber where
no collective agreement exists 4. Board orders employer to
return production work 5. SCC upholds the OLRB in Charterways 6. Dunmore to go to
SCC 7. Bill 69 8. Grievance procedure cannot
be used to relitigate criminal conviction 1. Duty to provide
competent counsel Dwyer
v. Cavalluzzo, Hayes, Shilton McIntyre & Cornish, unreported
judgment by Ground, J., June 25, 1999,
Court File 96-CU-109538; Scarponi v.
Hadwen, [1997] O.J. No. 1649, Corrigendum
released [1997] O.J. No. 804 (Ont. Ct.
Gen. Div.) – to the same effect. For the third time in three
years, an Ontario Court has held that it has
no jurisdiction to entertain a negligence claim
against trade union lawyers. The plaintiff grievor sued
the law firm Cavalluzzo, Hayes, which his trade
union, the Canadian Union of Postal Workers,
had retained to represent him on a grievance
arbitration. The plaintiff alleged that the
defendant solicitors were negligent and had
maliciously compromised his rights. The solicitors
brought a motion to dismiss the action. Judge
Ground held that a trade union’s
duty of fair representation included
the duty to retain competent counsel to represent
a grievor. This important component of the
duty of fair representation falls within
the exclusive jurisdiction of the
Canada Labour Relations Board.
On the authority of French
v. Chapman (unreported, Ont. Ct. Gen.
Div., Brockenshire, J. November 18, 1996,
affirmed [1997] O.J. No. 4035 (C.A.)), the
Court held that it had no jurisdiction to
entertain the claim against the defendant
solicitors. Since the Canada Labour Relations
Board and the Ontario Divisional Court had
already dealt with CUPW’s
alleged failure to provide fair representation
to the plaintiff, the allegations raised
in the lawsuit were res judicata in any
event. 2. Timeliness of grievance
referral Natrel
(Ontario) Inc. and Teamsters, Local 647, unreported
decision of Elaine Newman dated August
7, 1999. Unions have been hampered
with the Court of Appeal decision in Leisure
World and the subsequent arbitration awards
dealing with grievance procedure time limits.
These decisions suggest that if the union violates
the time limits for referring a grievance to
arbitration, the grievance is inarbitrable.
In a recent award, Arbitrator Elaine Newman
has provided a way around the Leisure World problem.
Arbitrator Newman has determined that, in circumstances
where the parties have developed a lax approach
to referring a matter to arbitration, an estoppel
has arisen which would preclude the employer
from raising a Leisure World argument. Therefore, if a union is faced
with a Leisure World argument from an
employer, it should immediately investigate
the past practice of the parties to determine
whether the time limits for arbitration have
been strictly adhered to or whether the employer
has not required the union to comply with the
referral provisions of the collective agreement. Report
submitted by Michael McCreary
of the law firm Jesin, Watson & McCreary
in Toronto, Ontario.
3. Courts vs.
arbitrators: Weber where no collective
agreement exists
Two 1995 decisions of the
Supreme Court of Canada (Weber v. Ontario
Hydro (1995), 125 D.L.R. (4th)
583; O’Leary v. The Queen, (1995)
125 D.L.R. (4th) 609) continue
to cause confusion about the proper forum
for litigating disputes arising in unionized
workplaces. Some courts have shown a great
willingness to infer or imply a connection
to a collective agreement, hence declining
jurisdiction and leaving the dispute to be
resolved by arbitration or by the Ontario
Labour Relations Board (the "Board").
As illustrated by three recent decisions,
uncertainty about the proper forum exists
even where a collective agreement is not
in force at the time of the dispute. In Duncan and Cadillac
Fairview Corporation (1999), 178 D.L.R.
(4th) 530 (Ont. S.C.), Duncan
was a Union member and a security guard
at the Eaton Centre for Cadillac Fairview
("CF").
Before the Union could negotiate its first
collective agreement, but after it had notified
CF that Duncan would be a steward, CF discharged
him as a result of complaints of sexual harassment
and assault made by two co-workers. The Union
responded by complaining to the Board that
CF was bargaining in bad faith and had violated
Duncan’s protections under the Labour
Relations Act, 1995. Subsequently,
the Union and CF settled the complaint
on terms which included Duncan’s
resignation, with damages. Duncan refused
to sign the settlement and issued a Statement
of Claim against CF seeking special and
punitive damages for abuse of process,
conspiracy to injure, and negligence. CF
then brought a motion to dismiss the claim,
asserting that the Court was without jurisdiction. On the jurisdictional issue,
the Court acknowledged that Weber means
that, in most cases, all differences between
employees and employers arising from a collective
agreement must be dealt with by arbitration;
the Courts have no power to entertain actions
in respect of such disputes. However, the
Court found that here, at the times relevant
to Duncan’s
employment, no collective agreement had yet
been negotiated. Accordingly, no grievance
and arbitration provision applied. Because
Duncan’s Statement of Claim pre-dated
the collective agreement, his action in tort
against CF was permitted to continue and CF’s
motion for summary dismissal was dismissed. Duncan and Cadillac Fairview was
followed in Armitage v. ZCL Composites Inc., [1999]
O.J. No. 3789 (Ont. S.C.). Here, the plaintiffs
were employees who were permanently laid
off due to a plant shutdown in Belleville.
They sued ZCL for wrongful dismissal and
requested a preliminary determination on
the Court’s
jurisdiction. ZCL argued that, as members
of a bargaining unit, their rights could
be determined only under the Act. The
Union at ZCL was certified in August,
1997. Subsequently, one negotiating
meeting occurred and a Conciliation Officer
was appointed. By the time of the lay-offs
in 1998, further negotiations had occurred.
At that time however, a "no board" report
had not been issued and no employee had applied
to de-certify the Union. Following Weber,
the Court found that, had a collective agreement
existed, the Court would have been without
jurisdiction to deal with a wrongful dismissal
claim. However, the critical factor was the
existence of a collective agreement and its
remedial provisions. Without one, the employees
were without a remedy. The Court determined
that the plaintiffs, although represented by
a Union, could proceed in a civil suit since
no collective agreement yet existed with their
employer. In Dagher v. McDonnell-Ronald
Limousine Service Ltd., (1999) 46 O.R.
(3d) 97 the Ontario Court of Appeal took
a broader approach to the Weber principles
than did the courts in Duncan and Armitage.
Here, a limousine company had Service Agreements
with its brokers, allowing them to operate
an airport limousine for a monthly fee.
In 1995, for the first time, the company
entered into a collective agreement covering
some of its brokers. The collective agreement
acknowledged the company’s right
to have Service Agreements and impose a
maximum monthly fee on the bargaining unit
members. The collective agreement expired
in November, 1997. Six weeks later, the
company increased the brokerage fee by
20%. The Union complained to the Board
that the company was bargaining in bad
faith and sought interim relief. At the
hearing of the interim relief application,
the company argued that the Board was without
jurisdiction since the collective agreement
had expired. The Board dismissed the interim
relief application. Following the preliminary
Board appearance, the Union applied to the
Ontario Court (General Division) claiming a
breach of contract under the Service Agreement.
The Court assumed jurisdiction over the matter
by distinguishing Weber. It held that
the Service Agreements were commercial contracts
which pre-dated the collective agreement;
the terms of the Service Agreements were
untouched by the collective agreement and
involved persons outside of the bargaining
unit. The limousine company appealed the
Court’s assumption
of jurisdiction. The
Court of Appeal disagreed with
the lower court and allowed the
company’s
appeal. It held that Weber could not
be distinguished. Rather, it extended Weber’s
principle of deference, which applied to the
statutorily-imposed arbitration process, to
the decision-making structures created by the Labour
Relations Act. The Court reasoned that
since the Board has the jurisdiction to remedy
violations of the Act which occurr after a
collective agreement has expired, then in effect,
the dispute arises under a collective agreement
and the courts are without jurisdiction. These decisions illustrate
some of the confusion which exists post-Weber.
In light of the Court of Appeal’s ruling
in McDonnell-Ronald Limousine, was the
Court in Duncan mistaken to have assumed
jurisdiction since, under the Act, the Board
could, and possibly already did, deal with
Duncan’s statutory protections from
discrimination even though no collective
agreement yet existed? Was the Court mistaken
to have assumed jurisdiction over wrongful
dismissal cases at ZCL since the Union could
have claimed a breach of the statutory freeze
under the Act? Was the lower court really
wrong to have decided that the unionized
brokers at McDonnell-Ronald had independent,
commercial contracts with their employer,
separate from their collectively bargained
rights? At one level, decisions such as Duncan and Cadillac
Fairview, appear to provide more options
for seeking relief in some situations (e.g.,
proceeding before both the Board and the
courts.) However, does that conclusion impose
corresponding duties on unions to act for
their members in more than one forum? Will
extreme judicial deference to the labour
relations’ dispute
resolution mechanism make an expeditious,
informal system as legalistic and slow-moving
as the courts have become? In the wake of Weber,
the courts appear eager to defer to arbitrations
and to the Board. However, in the long run,
such deference may limit the rights of individuals
in unionized workplaces and expand the obligations
of unions, bringing commercial and tort disputes
for resolution into the labour relations field.
4. Board orders
employer to return production work
The Ontario Labour Relations
Board has issued a decision giving strong and
effective remedies to a newly-certified trade
union after an employer avoided dealing with
a union, discriminated against union supporters
for two years, and transferred bargaining unit
work to another facility. In Rapid Transformers
Ltd., Marcus Transformer of Canada Ltd., (unreported,
OLRB, July 21, 1999), the Board considered
several complaints filed by the CEP under the Labour
Relations Act, 1995, and the Occupational
Health and Safety Act. The CEP alleged
that, since its certification in 1997, the
employer had transferred work out of the unionized
location in Cornwall to its Quebec facility
in order to avoid dealing with the union, thus
reducing the bargaining unit from 27 to 15
employees. The CEP also alleged that the employer
had discriminated against union supporters
by selecting them for lay-offs, refusing them
normal wage increases, transferring them to
less lucrative work, cutting their hours, disciplining
them without just cause, and committing reprisals
against them for participating in health and
safety issues. The
Board heard extensive evidence
and assessed the employer’s
credibility and motivations. The Board stated
that, while an employer is free to expand
or contract its business, contract
out its work, or change its methods
of production, it may do so only
for genuine and legitimate business
considerations. An employer will breach the
Act if its motivations, even in part,
are to avoid its obligation to bargain collectively
or to otherwise defeat or impede employees’ statutory
rights under the Act, the Board ruled. The
Board concluded that the Employer’s reasons
for dismantling the Cornwall plant included
a desire to avoid dealing with the union. Similarly,
the Board held that the employer had laid off
employees, transferred some to less lucrative
jobs, imposed discipline, and awarded wage
increases based on the employees’ support
for, or opposition to, the Union. The employer
had also refused to deal with the union’s
selected representatives, instead of its own
favourites. The Board ruled that the employer’s
conduct seriously breached the Act and sent
a message to the Cornwall employees that
their jobs were in jeopardy because they
had chosen to bargain collectively. According
to the Board, this was a particularly significant
message, since it was conveyed when the parties
should have been negotiating a first collective
agreement. The Board commented on its
long history of providing practical remedies
where an employer shuts down a location or
otherwise removes work to avoid dealing with
a newly-certified trade union After identifying
several breaches of the Act and the OHSA the
Board ordered the employer to:
- return to the Cornwall
plant all production and pre-fabrication
work removed since the CEP’s
application for certification on
September 11, 1997;
- reinstate and reimburse, with interest,
all employees laid off as a result of the
removal of work from Cornwall;
- pay a wage increase retroactively to all
employees who had been denied one;
- restore certain employees to their previous
bonus-generating positions, with compensation
for lost bonuses;
- remove unjustified discipline;
- post and mail to employees a Board notice
describing their rights under the Act.
The Board concluded by remaining
seized to deal with any matters arising out
of these remedies. Clearly, in this decision,
the Board sent its own message: that the Act
guarantees a right to bargain collectively
and that the Board will do its utmost to protect
this right in a meaningful way. 5. SCC upholds the
OLRB in Charterways The Supreme Court of Canada
has issued its decision in Ajax (Town) v.
National Automobile, Aerospace and Agricultural
Workers (CAW-Canada), Local 222, upholding
the ruling initially made by the Ontario Labour
Relations Board that a sale of business had
occurred when the Town began operating its
bus service with the same employees formerly
employed by a service contractor. (See [2000]
S.C.J. No. 23) The
bus service, although owned by
the Town of Ajax, was operated
by Charterways Transportation.
In 1992, the Town decided to operate
the service directly and cancelled
its contract with Charterways.
The drivers employed by Charterways,
and represented by the CAW, were
laid off. Subsequently, the Town
hired a significant number of them
back as drivers, and the service
then ran without regard to the
Union’s bargaining rights. The
Union successfully argued before
the OLRB that there had been a
sale of a business from Charterways
to the Town; the Town acquired
an essential element of the business
when it hired the drivers, who
made up the substantial part of
its workforce. (See [1994] OLRB
Rep. Oct. 1296.) The Town then
successfully applied to the Divisional
Court for a review of the Board’s decision
((1995), 84 O.A.C. 281 and 95 C.L.L.C. para
210-040.). On the Union’s appeal to the
Court of Appeal, the Court found that the Board’s
conclusions were not "patently unreasonable",
reversed the Divisional Court’s decision
and restored the Board’s order ((1998),
41 O.R. (3d) 426). The
judges of the SCC were not unanimous
in agreeing with the Court of Appeal
and the Board. Three of the nine
judges supported a dissenting opinion
which emphasized that there was
no nexus between the operations
of the Town and those of Charterways. The
dissenting judges held that it
was "patently unreasonable" for
the Board to find that the hiring of Charterways’ former
employees was an "essential element" of
the business so that the sale of the business
provision could apply. The
majority issued only brief reasons,
relying for the facts and arguments
on the decision of Goudge, J.A. in the Court
of Appeal’s decision. The majority reiterated
that the test on judicial review is whether
the decision at issue was "patently unreasonable",
not "correct", and determined that
it was not patently unreasonable for the
Board to decide as it had. Report submitted by Elizabeth
Mitchell and Ursula Boylan of the law firm
Koskie Minsky in Toronto, Ontario. 6. Dunmore to
go to SCC The Supreme Court of Canada
has granted leave to appeal in Dunmore v.
Ontario (Attorney General), [1999] S.C.C.A.
No. 196 (S.C.C.). The case began in 1995 when
the provisions giving agricultural workers
the right to unionize was removed from Labour Relations
Act. The applicant employees were bargaining
for a first collective agreement when their
right to bargain collectively was repealed.
They challenged the repeal in court, claiming
violations of their Charter rights to
freedom of association (ss.2(d)) and freedom
from discrimination (s. 15). The application was dismissed
at the Ontario Court, General Division ((1998),
155 D.L.R. (4th) 193). Justice Sharpe
held that the Charter did not require
positive government action to facilitate
either the formation of associations or collective
bargaining. He ruled that the repeal did
not deny agricultural workers the right to
form associations and that the disadvantage
they may be suffering resulted from their
employer’s
exercise of a private power, which was not
reviewable under the Charter. Finally,
the Court held that agricultural workers are
not a historically disadvantaged group deserving
of s.15 protection. The Court of Appeal agreed
with the lower court (1999), 182 D.L.R. (4th)
471 (Ont. C.A.). The issues in Dunmore are
similar to those raised in Delisle v. Canada
(Deputy Attorney General, [1999] 2 S.C.R.
989. where the majority of the SCC held that
the Charter’s guarantee of freedom
of association does not guarantee a right to
establish a particular type of association.
In Delisle, the majority determined
that, although under the Public Service
Staff Relations Act and the Canada Labour
Code the RCMP are prohibited from joining
or forming trade unions, that legislation does
not offend the Charter since the PSSRA expressly
permitted the RCMP to form employee associations.
In considering Dunmore, one obvious
question will be whether the repeal of the
agricultural workers’ right to unionize
under the LRA, 1995 is balanced by any
alternative rights in other legislation respecting
their freedom to associate. The fact that the
SCC granted leave to Dunmore at all
clearly indicates that the Court has more to
say on the meaning of freedom of association vis-a-vis trade
union representation. Report submitted by Elizabeth
Mitchell and Ursula Boylan of the law firm
Koskie Minsky in Toronto, Ontario. 7. BILL 69 Labour
Relations Amendment Act (Construction Industry),
2000 The Labour Relations Amendment
Act (Construction Industry), 2000 ("Bill
69") was tabled in the legislature
on April 25, 2000, and has received second
reading. Just before the Bill was scheduled
to go back to the Legislature for final
reading, the unions withdrew their support.
As a result, Bill 69 has been shelved and
Labour Minister Chris Stockwell plans to
come back after the summer recess with
a different Bill. Bill 69, was to affect
collective agreements in the construction
industry only, and proposed to amend the Labour Relations Act in
five major areas:
- Changes to ss. 1(4) (single employer) and
s. 69 (successor employer) (s. 126): Bill
69 proposes 2 changes: first, the Board is required
to disregard family relationships.
Secondly, in cases involving "key persons",
the Board is required to consider the
following factors:
- the length of any hiatus between the activities
of the key individual with the entities in
question;
- whether the key individual
occupied a "formal
management role" in the first entity;
and,
- whether the first entity
was able to carry on business "without substantial disruption
or loss when he or she ceased to be involved" with
that entity.
- Changes to the residential sector of the
construction industry: Bill 69 (ss. 150.1
and .2) will limit strikes and lock-outs
in the residential sector of the construction
industry in the Greater Toronto Area
for the 2001 round of bargaining. There
will only be a limited "window" (May
1, 2001 to June 15, 2001) in which to
conduct a strike or lock-out. Once the
window closes, if no agreement has been
reached, either party may request interest
arbitration. These new residential provisions
are automatically repealed on April 30,
2002.
- Agreements to abandon bargaining rights
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