HomeMy WebLinkAbout2011-2308.Policy.15-05-08 DecisionCrown Employees
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GSB#2011-2308
UNION#11-38
IN THE MATTER OF AN ARBITRATION
Under
THE CROWN EMPLOYEES COLLECTIVE BARGAINING ACT
Before
THE GRIEVANCE SETTLEMENT BOARD
BETWEEN
Canadian Union of Public Employees - Local 1750
(Policy) Union
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The Crown in Right of Ontario
(Workplace Safety and Insurance Board) Employer
BEFORE Daniel Harris Vice-Chair
FOR THE UNION James McDonald
Sack Goldblatt Mitchell LLP
Counsel
FOR THE EMPLOYER Michael Smyth
Hicks Morley Hamilton Stewart Storie LLP
Counsel
HEARING December 19, 2011; March 22, August 28 &
29, September 5 & 6, 2012; March 1,
April 12 & 24, May 13, July 8, 2013.
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Decision
The Proceedings
[1] In this matter the union, Ontario Compensation Employees Union (OCEU), Canadian
Union of Public Employees, Local 1750, (hereafter CUPE or the union) grieves that the
employer, the Workplace Safety and Insurance Board (hereafter WSIB or the employer),
has breached the provisions of the collective agreement relating to employees' start and
finish times and Flex Work Arrangements. It also alleges that the employer committed
the unfair labour practice of bargaining in bad faith.
[2] When the hearing concluded, the parties requested that the decision be held in abeyance
to give them an opportunity to attempt to reach a negotiated settlement of the outstanding
issues. The Board was advised on January 21,2015, by counsel for the union, on behalf of
the parties, of the following:
Could you please advise Vice-Chair Harris that the parties have entered into a
Memorandum of Agreement that resolved the Flex-time issues that were
raised in the Grievance (Exhibit 2) and no longer require a decision on those
aspects of the Grievance.
However the parties have not resolved the Start–time aspect of the Grievance
and will require an Award that determines the merits of the Grievance as it
relates to that aspect of the Grievance. Specifically, the issue of whether the
Employer’s decision to implement a restriction on start times before 7:30 AM
was a breach of the collective agreement.
In particular, Article 8 of the Memorandum of Agreement states as follows:
8 The parties have agreed that the hours of work (includes
compressed work week arrangements used to adjust start and/or finish
times) group and policy issues raised in Grievance #11-31, 11-32, 11-
33, 11-34, 11-35, 11-38, 11-40 along with the related individual
grievances is an ongoing issue which has been referred to arbitration
before Vice Chair Dan Harris.
With respect, it would be our request that the Award address the Union’s
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second argument (that the Sept. 27th, 2011 communication from the
Employer (Exhibit 17) was contrary to the collective agreement) and the
Union’s 4th argument (that the Employer’s Sept 27th communication to the
extent that it restricted start times to later than 7:30, constituted a breach by
the Employer of its duty to bargain in good faith).
The Outstanding Issues
[3] Accordingly, the parties have been able to restrict the issues before me to the impact of
the September 27, 2011 communication from the Employer. That document reads as
follows:
Date: September 27, 2011
To: Operations Staff
From: John Slinger, Chief Operating Officer; Paul Gilkinson, VP Service
Delivery; Joe Sgro, VP Operations & Special Advisor to the CIO; Joe
Morsillo, VP Eligibility & Skills Development; Judy Geary, VP Work
Reintegration; Donna Bain, VP Health Services; Marjorie Mercer, VP
Occupational Disease & Serious Injury; Dana Leshchyshyn, VP Employer
Account Services; Rob Timlin, Exec. Dir. Service Delivery; Kerry Lovett,
Exec. Dir. Service Delivery
Subject: Hours of Work
Since 2009, the WSIB has demonstrated a stronger and sharper focus on
understanding and delivering what really matters to customers, built on the principle
that reintegration into the workplace is the best outcome. Understanding this also
means rigor and discipline in our approach – to deliver fair benefits and services that
are cost-effective and achieve the best possible outcomes for workers and employers.
In order to improve our availability for customer contact, we have decided that, as a
general rule, staff should commence work no earlier than 7:30 a.m. Exceptions will
be considered if the unique job function or circumstance requires the employee to
start earlier than 7:30 a.m.
The main reason for this decision is that, to ensure success, our business model and
approach to case management has changed significantly. The New Service Delivery
Model, with its focus on early and regular contact with workers and employers has
created "talking jobs". The prior approach, which focused more on the gathering of
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paper documents has been replaced by significant interpersonal contact and worksite
interventions. This enables us to better execute on our goals of return to work,
recovery and service excellence. In addition, we have created greater specialization
which has increased the need to interact with one another more than ever before.
To be successful, we need to optimize our availability to customers and to one
another. We continue to see service gaps with respect to our availability to clients.
This has been noted by both employers and workers. The new requirement on start
time will help us to achieve our customer service objectives.
Thank you for your support and cooperation.
The union advanced four arguments at the hearing. The first centered on the meaning to be given
to the following provision of the collective agreement found at article 25.02 (b), which reads as
follows:
(b) Terms and Conditions
All flexible work arrangements presently in existence will continue. Subject to
operational needs and further review, new requests will be considered based on date
of submission and seniority by Sector/ Branch, in the same geographic location and
same job. In determining approval for competing requests, seniority will be the
determining factor based on the individual's seniority or on the average seniority of
the group.
[4] This was essentially a transitional provision. As set out above, its application has been
agreed upon and is no longer before me.
[5] The union's second argument was to the effect that the employer's restriction on
operational employees that their workday could not begin prior to 7:30 a.m. was a
contravention of article 7.04. That language was not changed in the new agreement. It
reads as follows:
7.04 Start and finish times
In general an employee's start and finish times will be between 7:00 a.m. and
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5:00 p.m.
Arrangements for start and finish times will be by mutual agreement where possible,
taking into consideration business needs and seniority. Where agreement cannot be
reached following a meeting between the parties the Employer will provide the
Employee with at least 20 working days written notice before implementing changes
in their start and finish times.
[6] The union's position in this regard is, first, that the collective agreement provides that the
general hours of work will be between 7:00 AM and 5:00 PM, yet the memorandum of
September 27, 2011 unilaterally changes that window for work hours by denying
operational employees the right to begin before 7:30 a.m. Second, the memorandum did
not allow for meaningful mutual agreement, which was as well a breach of the
requirements of article 7.04.
[7] The union's third argument was with respect to the application of the new flextime
options to field staff. These submissions also dealt with the applicability of article
25.02(b) in terms of the transition and the denial of some options to the field staff without
an opportunity to reach individual agreement. As set out above, the parties, subsequent to
the completion of the hearing, have also agreed upon the application of the collective
agreement in these respects, so this matter is no longer before me.
[8] The union’s fourth argument was that the employer's failure to disclose in bargaining that
it intended to restrict field staff to a start time of no earlier than 7:30 a.m. and to restrict
field staff to only two of the four new flextime arrangements was bargaining in bad faith.
It said that the union had made numerous concessions on the understanding that there
would be greater flexibility in start times and more options for flextime.
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[9] As set out above, only arguments two and four remain for determination.
[10] The parties negotiated significant changes to the language relating to flexible work hours
in the renewal of their collective agreement, which took effect April 1, 2011 and expires
March 31, 2016. There was a substantial amount of evidence and argument directed
towards the two areas that the parties have subsequently been able to negotiate an
agreement upon.
Bargaining in Bad Faith
[11] I turn first to the outstanding allegation that the employer's actions amounted to
bargaining in bad faith. In my view, allegations of bargaining in bad faith are within the
exclusive purview of the Ontario Labour Relations Board.
[12] The union reviewed the evidence that it said supported a finding that the employer had
bargained in bad faith. The employer submitted that this Board did not have jurisdiction
to make such a determination, or, in the alternative, the allegations did not amount to
bargaining in bad faith. In reply, the union submitted that if I were to conclude that this
Board lacked jurisdiction to deal with such an unfair labor practice allegation, I should
not make any determination on the merits of this issue.
[13] I have carefully reviewed the authorities and the arguments submitted by the parties and
find that I’m in agreement with Arbitrator Surdykowski in Toromont Industries Limited
and IAM Lodge 1120, 2010 CanLII 5828 (ON LA) (Surdykowski) at paragraphs 36
through 38, which read as follows:
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36. There are matters that are within the exclusive jurisdiction of the OLRB. These
are matters that only the OLRB can deal with. There are matters that (are) within the
exclusive jurisdiction of a rights arbitrator. These are matters that only a rights
arbitrator can deal with. There are matters that are within the exclusive jurisdiction of
an interest arbitrator. These are matters that only an interest arbitrator can deal with.
And then there are matters of concurrent jurisdiction. These are matters that more
than one tribunal can deal with as a matter of jurisdiction, and may raise an issue of
who should deal with them.
37. My jurisdiction in this case is that of a rights arbitrator under the collective
agreement between the parties. As such I have the powers granted under the
collective agreement and applicable legislation, including the, Labour Relations Act,
1995, but only to the extent the no other tribunal (in this instance the OLRB) has
exclusive jurisdiction under that legislation. As a rights arbitrator I have no
jurisdiction to amend or ignore the collective agreement. I am not the OLRB and
cannot exercise a jurisdiction that belongs exclusively to it. Notwithstanding the
broad wording of section 48(12)(j) of the Act, I have no unfair labor practice
jurisdiction. All unfair labor practice complaints, whether or not so made and
including complaints of bargaining in bad faith, fall within the exclusive jurisdiction
of the OLRB.
38. The unfair labor practice portion of the May 8, 2007 group grievance is
therefore dismissed. Although I have formed a view of the merits of the Union’s
unfair labor practice complaint I will refrain from making any comment in that
respect, except to the extent I consider necessary to determine the issues that are
properly before me . . .
[14] Accordingly, the union’s allegation here that the employer bargained in bad faith is
dismissed.
The Employer’s Restriction on Operational Staff Starting Work Before 7:30 a.m.
Background
[15] Much of the evidence dealt with the dynamics between the union and the employer in the
negotiation of the collective agreement. The union's focus was the employer's bad faith.
Given my decision above that this Board does not have the jurisdiction to deal with the
unfair labor practice allegation of bargaining in bad faith, some of the background set out
below merely provides a narrative to contextualize the remaining issue of whether the
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employer's decision to limit operational employees to a start time after 7:30 AM is a
breach of article 7.04.
[16] Harry Goslin, President of the local union, gave evidence on behalf of the union. He
testified that prior to the renegotiation of the collective agreement quite a few employees
had had 7 AM start times, some for many years. Following implementation of the new
collective agreement some employees still have a 7 AM start time, but, for the most part,
employees were denied that early a start. He said that there was no attempt by
management to reach mutual agreement as to whether an individual employee could start
before 7:30 AM. There was just a hard and fast message from senior management to
frontline management that it was not to be permitted. It was Mr. Goslin's view that
mutual agreement under article 7.04 meant that frontline managers and employees would
have a talking/working relationship that would allow them to meet in order to agree on
the employee’s hours of work.
[17] Mr. Goslin became aware of employee dissatisfaction with the denial of a start time prior
to 7:30 AM when he started to receive emails, in or about mid-August, complaining of
the employer's denials. Concerns were also being raised about the implementation of the
new flextime arrangements. The flextime issues have been settled, as set out above.
[18] Following negotiations, there were many Memoranda of Agreement entered into,
pursuant to the Collective Agreement entered into on June 30, 2011, to provide
granularity to the four flextime arrangements. Generally they included a schedule of the
length of time each day would have to be extended under each flextime option. They also
contained the following paragraph:
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The above arrangements shall not include compressed lunch or break times however
the employer will be flexible in adjusting start and finish times between the core
hours of 7:00 AM to 5:00 PM.
[19] The union's reaction to the September 27 memo is encapsulated in an email from Mr.
Goslin dated September 29, 2011, which reads in part as follows:
It is unfortunate that during our meeting yesterday morning neither of you thought to
inform Beth or I of the Operations message regarding hours of work. I note that it
was dated for Sept 27th but was issued Sept 28th a few short hours after our
meeting.
At no time during collective bargaining was the hours of work raised as a concerned
by the employer. To the contrary we were told very clearly on more than one
occasion that the organization would be more flexible with start and finish times not
less flexible. During the course of negotiations the Unions team was clearly told that
the Employers bargaining team were given full authority to negotiate a new
collective agreement on behalf of the entire organization. In other words, your
bargaining team spoke on behalf of and made commitments on behalf of the entire
organization.
[20] It was Mr. Goslin's view that the employer had broken its commitment to be more
flexible with start times by rigidly adhering to a start time no earlier than 7:30 AM for
operational employees. In his cross examination he was clear that it was his view that
article 7.04 required an attempt between each employee and their front-line manager to
reach agreement on a start time. He said that, failing agreement, it is the employer's right
to set a start time. Instead, the employer made a unilateral decision affecting a class of
employees and then purported to go back and give notice to bring their previous start
time arrangements to an end.
[21] By way of remedy he asked that employees with a previous 7:00 AM start time should
have it reinstated and that new requests for earlier than a 7:30 AM start time be decided
on a case-by-case basis.
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[22] Beth Harris also testified. She was the chief steward and a member of the union
bargaining team at the negotiations in 2011. She said that hours of work, specifically start
times, were an important part of the union's engagement with the employer as part of the
discussions relating to flextime options and the loss of compressed hours. Compressed
hours allowed employees to shorten their breaks to shorten their day. The union sought
“flexibility” in start time so that people would be able to come in early and not have to
work late if they were exercising a flextime option. She testified that the employer
represented at the bargaining table that they would be flexible regarding start/finish
times. She understood that "flexibility” meant that the employer would consider start
times earlier than 7:30 AM because the general work hours were either 7:30 AM to 3:30
PM or 8:30 AM to 4:30 PM. She also testified that prior to the new collective agreement
some employees already had a 7 AM start time. She knew of no difficulties with respect
to system support between 7 AM and 7:30 AM.
[23] In her cross-examination, Ms. Harris was taken through her notes of various negotiation
sessions. She agreed that the employer's initial position was to do away with flextime and
the compression of the workday. The basis of the employer's concern was customer
service. It was her view that the union would not be able to enhance flextime
arrangements unless they gave up the compressed workday. Integral to that was the
employer’s agreement to be more flexible with respect to start times.
[24] With respect to the September 27 memo, she said that the union did not believe such a
decision could be messaged broadly. Each situation had to be considered on its own
merits in a fruitful discussion, not just a flat rejection. Further, the business needs
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articulated should not necessarily prevent a pre-7:30 AM start for everyone because each
supervisor would have different business needs.
[25] She said the start time issue came down to there not being any general flexibility for
starting before 7:30 AM. She agreed that otherwise there was a great deal of flexibility
applied by the employer to start times. She also agreed that there was no guarantee that
the IT systems would be running before 7:30 AM, but in her experience, it was rare that
the systems were not up and running before 7:30 AM.
[26] Martim Gaspar also testified for the union. He was the local Vice President and a member
of the bargaining team. His evidence was consistent with that of Mr. Goslin and Ms.
Harris that their understanding was that the employer would be flexible in dealing with
start times. He did not take that to mean that operational employees would not be
permitted to start prior to 7:30 AM and said a discussion was required between such
employees and their managers.
[27] The union also called bargaining unit employees to give evidence on their individual
circumstances. The first, Mr. Khaliq Jabber, did not request to start before 7:30 AM. His
issues were with the denial of flextime options to field staff, a matter now settled between
the parties. The second, Maureen Nevins-Selvadurai, was denied her request to start at 7
AM. Prior to September 2011 she worked 7 AM to 3 PM except Tuesdays when she
worked 7 AM to 4:50 PM. She was on a 10/9 schedule. After September 2011 her hours
were Monday to Friday 7:30 AM to 4:17 PM with every second Monday off. It was her
evidence that she has no contact with external clients and some contact with internal
stakeholders, which historically has taken place at meetings, the scheduling of which she
has accommodated when necessary. She said there was no conversation or meeting
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between her and her manager as to the business needs the employer claimed prevented
her from starting at 7 AM. Her manager simply denied her request without explaining
how she would not be meeting the needs of the business. She said nothing in her job
required her to start at 7 AM, except her work/life balance, and nothing in her job
prevented her from starting at 7 AM.
[28] The employer called Paul Simourd and Paul Gilkinson to give evidence. Mr. Simourd
was the Associate Human Resources Business Partner. Mr. Gilkinson was the Vice
President of Service Delivery.
[29] Mr. Simourd said that in the context of this grievance there were two large issues the
employer wanted to deal with in negotiations for a new collective agreement. The first
was the elimination of all flextime arrangements. The second was the elimination of the
compressed workday. He said that the effect of those two issues overly complicated the
day-to-day management of the workforce. In the course of bargaining the employer's
position changed to agreement on four different flextime options and the elimination of
the compressed workday. He agreed that the employer said that there would be flexibility
to choose a start time between 7 AM and 9 AM subject to there being system support.
The IT systems were guaranteed to be up and running by 7:30 AM but not before. The
changes being sought to flextime and the compressed workday were driven by concerns
of customer service, reducing employee conflict and simplifying the complexity of
managing the employees. The customer service aspects were centered on the need to
provide telephone and walk-in service commencing at 8:30 AM. He said that most of the
calls were later in the day, so the employer required coverage for the later periods. He
said that over the years many employees had been pushed towards an 8:30 AM start, and
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new employees were sometimes hired on the basis that they would have to start at 8:30
AM. With respect to the flexibility of start time, Mr. Simourd said that the union
requested flexibility on start times because many employees use the compressed workday
for childcare purposes. He said that if start time flexibility would help, the employer
would try to provide more flexibility on start times. He testified that the flexibility piece
was within the context of business needs. They had a business to run and needed to pay
attention to business needs especially in terms of customer service.
[30] Mr. Simourd testified that business needs and customer service were regularly discussed
in bargaining; it was a theme for the employer. He said that business needs are sometimes
determined by a manager, sometimes by a Vice President and sometimes by senior
management, depending on the scope and significance of the decision. He said that there
was no suggestion from the union in bargaining that “business needs” be deleted from
article 7 and that there would never be a mandate from the employer to do so. It was his
evidence that there were discussions about guaranteeing start times as early as 7 AM but
the employer never committed to do that because of the IT support issue. Further, in
addition to the IT support concerns, the hours of business were a matter to be determined
by the business sections in delivering customer service. There was no agreement to
grandfather the hours of work start times then in existence. He said that any discussion
regarding the 7 AM to 7:30 AM period was around system availability and customer
service. "Flexibility" was to be achieved within the current language. He said that he had
discussions with the management personnel of the various "clusters". No one advised
him of an intention to consider restrictions on start times before 7:30 a.m.
[31] Mr. Simourd was not aware that the operations group would restrict the start time to 7:30
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AM until after bargaining had concluded. He first heard it from Mr. Goslin in August
2011. It was his understanding that the decision had been made as part of the
implementation of the flextime options, particularly the five over four option. He first
saw the September 27 memo when it came out. He testified that the memo was consistent
with his position at the table that all discussions included the need to consider business
needs. The five over four was a dramatic change, which could only be assessed after it
was in place. The operations group decided they had to have people after 7:30 a.m. It was
part of their responsibility and was fallout from the introduction of the new flex options.
[32] Mr. Simourd was asked about the inclusion of the following paragraph in the
implementation Memoranda of Agreement:
The above arrangements shall not include compressed lunch or break times however
the employer will be flexible in adjusting start and finish times between the core
hours of 7:00 AM to 5:00 PM.
[33] He said that Mr. Goslin wanted to include that paragraph. He had no objection to the
inclusion of the paragraph because the start time was always in the context of business
needs, and management was being encouraged to be flexible. As concerns over
implementation increased amongst the workforce, Mr. Simourd answered telephone
inquiries and face-to-face inquiries from managers, sent emails, addressed Vice
Presidents and was invited to an Operations Directors’ meeting. At the latter, he
specifically addressed issues relating to the compression of the workday and start and
finish times. He believed that meeting to have taken place on September 7, 2011. It was
at this meeting that he first heard officially that Operations was considering no start time
prior to 7:30 AM. He advised the Directors that meetings with affected employees should
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take place and there should be a discussion as to why a 7 AM start time was not possible.
It was his view that if business needs dictated a 7:30 AM start, then telling the employees
in advance that a 7 AM start would not be approved added transparency to the process of
the employees choosing a flextime option.
[34] It was Mr. Simourd’s view that the organization met its commitment in bargaining to be
more flexible with start times. By mid-November 2011 there were 620 employees
working a 7:30 AM start time. Of those, 246 had been working a later start time before
the implementation of the new collective agreement. Accordingly, he said that there has
been significant flexibility in permitting people to start earlier than they had previously
been allowed, just not before 7:30 a.m.
[35] A significant portion of Mr. Simourd’s cross-examination involved an examination of the
communication between the management bargaining committee and upper management.
That is, to what extent did Mr. Simourd, while at the table, know that the operations
cluster would not permit starts before 7:30 AM and was going to restrict the flex time
options available to field staff. These matters go to the allegation of bargaining in bad
faith. Generally, his evidence was that the implications for the start time and for the
availability of all four flextime options only became apparent after the conclusion of the
collective agreement. When he became aware in September following the Operations
Directors’ meeting that the Operations cluster was going to limit the start time to 7:30
AM, and not before, he made that known to Mr. Goslin. He testified that he was not
involved in the deliberations leading to that decision.
[36] Paul Gilkinson, as Vice President of Service Delivery, was directly involved in the
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decision that Operations employees would not be permitted to start before 7:30 AM. He
testified that once the collective agreement was agreed upon he became aware of the four
flextime options available to the employees. The operations group did not start to think
about implementing flextime until August 2011. It became apparent that in order to
exercise flextime options employees might have to start earlier than the then currently
preferred 8:30 AM start. He said that the core service hours are 8:30 AM to 4:30 PM
when the office opens and the 1 (800) numbers are available. He said in chief that the
decision to not permit a start earlier than 7:30 AM was based on the business need around
availability. He said it would balance what the staff wanted and what the clients needed.
He said that that decision was made in late August or early September 2011, and he took
steps to make sure that his managers knew of the 7:30 AM limitation so that it would be
communicated to the employees prior to them making a flextime request. He testified that
the expectation was that injured workers and employers would be spoken to by WSIB
employees rather than dealt with by correspondence, and 7:30 AM was the earliest that
such calls should be made. This expectation was part of the new Service Delivery Model
introduced in 2009. He said that the reality was that workplaces aren't generally open
before 8:30 AM, and operations employees need to connect with the injured worker and
the workplace. They did not see earlier calls as helpful to the process. The 7:30 AM
limitation applied to all operations employees not just to those applying for a flextime
schedule. He testified that the new collective agreement language saw large numbers of
employees move to a start time prior to 8:30 AM. He also said that prior to September
2011 approximately 40 employees started before 7:30 AM. The 7:30 AM restriction was
also being applied to them for two reasons. The first was uniformity. In order to be fair to
everyone they wanted everyone to be seen as being treated the same. Second, this was
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being done to improve service to customers in order to make a larger percentage of the
day of all operational employees available to them.
[37] He said that there were a couple of exceptional circumstances pursuant to which
employees were permitted to start prior to 7:30 AM for health reasons.
[38] He said that limiting the earliest start time to 7:30 AM and being more flexible with start
times after 7:30 AM was the employer’s recognition of the need to be flexible and has
met with success.
[39] Under cross-examination, Mr. Gilkinson clarified that of the 40 people who had a start
time earlier than 7:30 AM prior to September 2011, approximately 15 to 20 employees
reported to him. He confirmed that none of the 40 were able to keep their earlier start
time. He agreed that there was no study made as to whether those particular employees
could have continued under the new collective agreement with a start time earlier than
7:30 AM. The discussion was that they were moving to a new requirement and those
people would have to move as well. He said the rationale was explained to them. He said
that he did all of the step one grievances. It was suggested to him that he sat them down
and told them there was a policy that would not be deviated from. He denied that; he said
they were given an opportunity to tell their story; he told them the business needs and
made a decision. He said he denied the grievances except where there were medical
reasons. He confirmed that if there were no medical reasons the grievance was denied
because of the business needs of the organization. He said injured workers and employers
need good service during regular hours. He said that management knew the positions,
roles, functions and what the clients were saying about service delivery. It did not matter
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to him what he heard from the employees unless the explanations had a medical
dimension. He confirmed that no studies were done with respect to whether the
employees previously permitted to start before 7:30 AM were better or worse at returning
telephone calls to injured workers and employers within the 24 hour standard. He also
testified that it was not until early August, when he learned of the new flextime options,
that consideration was given to eliminating the 7 AM start time. He said that the decision
to eliminate pre-7:30 AM start times except for medical reasons were decisions of the
operations senior management team. They were collective decisions. A few other
exceptions were made in the few areas where employees were not dealing with the
public, such as entering documents into the system.
The Submissions of the Parties
[40] The union submitted that the restriction in the September 17 memo that prevented
operational employees from starting before 7:30 AM was expressly contrary to the
collective agreement. Was also contrary to the collective agreement to preclude
individual negotiations, consideration or agreement with respect to a 7 AM start time. It
said that this matter was never raised in bargaining, except to the extent that the thrust of
the employer’s proposals was to increase flexibility in the 7 AM start time, subject only
to ensuring that there was system support.
[41] The union submitted that the plain and ordinary meaning of article 7.04 was that the
hours of work were between 7:00 AM to 5:00 PM not 7:30 AM to 5:00 p.m. Also, the
plain meaning of the article requires mutuality, which requires an authentic discussion
with the individual employee and expressly requires a meeting. It said the employer may
consider business needs and seniority, but it also has to take into account the
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requirements of the individual employee. The September 27 memo precluded such a
process, which amounts to an amendment to the collective agreement.
[42] The union submitted that in the ordinary course management has the right to schedule
hours of work; however, in this case, there is language to the contrary which restricts the
employer's right to establish start times. The employer is required to comply with article
7.04. In effect, the employer has established a new norm for the start time of some 2500
employees in operations which is different than the requirements of the collective
agreement. Nowhere does it say in the collective agreement that the employer may
change the agreed-upon window for hours of work.
[43] Secondly, the policy set out in the September 27 memo amounts to the employer fettering
its own discretion. It was not open to the employer to implement a policy that restricts
consideration of start times. It was the union’s submission that the employer has the
ability to consider a start time between 7 AM and 7:30 AM, on an individual basis, and
reject it, where it has considered its business needs. Instead, the employer promulgated a
policy for operational and field staff that it would simply not consider such a request
notwithstanding that the collective agreement requires an opportunity to meet and
consider individual requests. The union said that there is a difference between a rigid
policy and guidelines as to the exercise of discretion. The September 27 memo is a rigid
policy, not a guideline. It was not prepared to consider whether there was work to do
during the period, the employee’s duties and responsibilities nor the previous practice
with respect to that employee; it simply said no. It was the union’s submission that the
employer is not permitted to unduly fetter its discretion in such a fashion. The employer
cannot have such a blanket requirement given the language of article 7.04.
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[44] The union relied upon the following authorities: United Automobile Workers, Local 439
v. Massey-Harris-Ferguson Ltd. (1955), 5 L.A.C. 2123 (MacRae); Re North Bay Parry
Sound District Health Unit and OPSEU, 2012 CanLII 94094 (ON LA); PCL
Construction Ltd. and Cascade Construction Ltd. and Construction and General
Workers’ Local Union 1111 (1982), 8 L.A.C. (3d) 49 (Sychuk); Re Community Living
Hearst and USWA Local 1-2010, 2012 CanLII 16773 (ON LA); DHL Express (Canada)
Ltd. and C.A.W.- Canada, Locs. 4215, 144 &4278 (re) (2004), 124 L.A.C. (4th) 271
(Hamilton); Brown and Beatty, Chapter 5:3110; National Grocers Co. U.F.C.W., Local
1000A (2012), 220 L.A.C.(4th) 206 (Nairn); Western Bakeries Ltd. v Bakery,
Confectionary and Tobacco Workers International Union, Local 264 (1995), 41 C.L.A.S.
246 (Joyce); ETFO v Durham District School Board (unreported, January 31, 2007,
Davie); Health Sciences Centre and I.U.O.E., Loc.987 (re) (2003), 114 L.A.C. (4th) 400
(Spivak); Providence Continuing Care Centre and OPSEU, 2007 CanLII 81827 (ON
LA); St. Joseph’s General Hospital Elliot Lake and ONA (2008), 170 L.A.C. (4th) 115
(Sheehan); AMAPCEO v. Ontario (Government Services), 2012 CanLII 3597 (ON LA).
[45] The employer submitted that the language of article 7 was not changed in bargaining. It
said that there was no guarantee of a particular start time set out in the article and the
previous practice was to require many employees to start at 8:30 AM. Further, the
September 27 memo was limited to the operational staff not the entire organization,
granted that 70% of the employees were in the operational area. Also, the memo clearly
set out that exceptions would be considered if the unique job functions or circumstances
required the employee to start earlier than 7:30 AM. In addition, article 7.04 permits the
employer to change start and finish times with 20 days working notice. In the
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circumstances here, the evidence established that where a start prior to 7:30 AM was no
longer possible the employer gave 40 days notice. The evidence was also said to establish
that senior management did not meet with the individuals, but did have discussions with
the managers who were to meet with the employees.
[46] The employer also submitted that in bargaining there was no guarantee of a 7 AM start
time because it was always subject to system availability. It submitted that it agreed to be
flexible with respect to start times and it has been. It pointed to Exhibit 41, being an
email to the union confirming that since the implementation of the new collective
agreement 246 employees moved to an earlier start-time. It submitted that the employer
had been flexible in allowing people to move to earlier start times, just not prior to 7:30
AM in the case of operational employees. The employer submitted that the language of
article 7.04 sets out that "in general" start and finish times are between 7 AM and 5 PM.
Such language admits of exceptions. It said that the employer made no promise or
guarantee of a 7 AM start time. It said that it would be more flexible with respect to start
times, and it has been. There is no new norm created because start times are still 7 AM to
5 PM, with restrictions only applying to operational employees. It said that the restriction
on the operational employees was reasonable given its business requirements. Any earlier
start time would be too early to call injured workers and employers. Further, the
organization receives many afternoon telephone calls, which requires employees to be
there to cover the calls.
[47] The employer also submitted that nothing requires the business needs of the organization
to be assessed on an individual basis, such needs may be considered broadly. It said that
the Board ought not to substitute its opinion where there is a business reason for the
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decision that has been taken. The employer considered the need for flexibility along with
its legitimate business reasons for restrictions on start times in one division. It balanced
its requirements with flexibility for the employees.
[48] The employer relied on the following authorities: OPSEU (Morsi) and The Crown in
Right of Ontario (Ministry of Finance), 2012 CanLII 41102 (ON GSB) (Devins);
OPSEU (Panovski) and The Crown in Right of Ontario (Ministry of Community Safety
and Correctional Services), 2005 CanLII 55131 (ON GSB) (Briggs); The Great Atlantic
and Pacific Company of Canada, Ltd. and UFCW, local 175 (McNorton), 2007 CanLII
56471 (ON LA) (Knopf); Toromont Industries Ltd. and IAM Lodge 1120, 2007 CanLII
5828 (ON LA) (Surdykowski); OPSEU (Union Grievance) and The Crown in Right of
Ontario (Ontario Clean Water Agency), 2000 CanLII 20500 (ON GSB); City of Toronto
and Canadian Union of Public Employees, Local 79, 2007 CanLII 81824 (Nairn); Brown
and Beatty.
[49] In reply, the union reiterated that the September 27 memo was a clear direction
promulgated as a general rule that there be no earlier a start than 7:30 AM unless the job
required it. This is contrary to article 7.04, which permits an employee to request a start
between 7 AM and 7:30 AM. The memo permitted no exceptions notwithstanding that
article 7.04 requires that these types of arrangements are to be negotiated with the
individual employees and operational needs are to be applied to the individual.
[50] The union agreed that there was no guarantee in negotiations of a 7 AM start; however,
that is not the question to be addressed. It said that, independent of negotiations, article
7.04 permitted an employee to ask for a 7 AM start time. It specifically contemplates and
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provides for negotiation and discussions, which was denied. It said that if the employer
wanted to eliminate the 7 AM start time for such a significant proportion of the
workforce it was required to negotiate, just as it had done in obtaining the elimination of
the compressed workweek.
Analysis and Reasons for Decision
[51] On the evidence, the employees’ opportunity to compress their workday by
working through, or taking shorter, breaks and lunch was traded in favor of
additional flextime options and greater flexibility being shown by the
employer in adjusting start and finish times. As set out above, I am not
concerned with whether the employer's implementation of that bargain
amounted to bargaining in bad faith. The Union argues that the employer has
breached article 7.04 by denying operational employees an opportunity to
request a start-time prior to 7:30 AM. For convenience, article 7.04 is as
follows:
7.04 Start and finish times
In general an employee's start and finish times will be between 7:00 a.m. and 5:00
p.m.
Arrangements for start and finish times will be by mutual agreement where possible,
taking into consideration business needs and seniority. Where agreement cannot be
reached following a meeting between the parties the Employer will provide the
Employee with at least 20 working days written notice before implementing changes
in their start and finish times.
[52] The issue now before me is not whether the employer kept its promise to be more flexible
in the application of article 7.04 but whether its decision to deny operational employees
the opportunity to start work between 7 AM and 7:30 AM was a breach of article 7.04.
The union argues that the plain and ordinary meaning of an employee's start and finish
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times being generally being between 7 AM and 5 PM does not permit the employer to
unilaterally restrict the start time of operational employees to 7:30 AM or later. This
action of the employer was said to be an alteration of the collective agreement. The union
agreed that in the normal case it is a management right to alter schedules of production
and that arbitrators generally defer to such management decisions. However, here, there
is language to the contrary that restricts the employer's right. The union says that, in
effect, the employer has rewritten article 7.04. It has introduced a new norm with respect
to the hours of work for 2500 employees in operations; the general start and finish times
are no longer 7 AM to 5 PM but 7:30 AM to 5 PM; I agree.
[53] The evidence before me is clear that in implementing the additional flextime options the
operations cluster determined that its "business needs" were such that none of its
employees could, as a general rule, start before 7:30 AM. This was a prima facie breach
of the first sentence of article 7.04. However, a rule of interpretation is that words are to
be given their normal meaning and all words used are to be given effect. Further, and as
is also set out in paragraph 16 of National Grocers, supra, “(c)ontext is relevant as is the
purpose of the provision. Article 7.04 goes on to say that “(a)rrangements for start and
finish times will be by mutual agreement where possible, taking into consideration
business needs and seniority.” Accordingly, the concept of "business needs" is relevant
within its context in the article. Given the placement of "business needs" in the text of the
article, it is apparent that the parties intended that the consideration of business needs was
to be in the context of attempting to reach mutual agreement on making individual
arrangements for start and finish times. The next sentence in the article indicates that
such agreement is meant to be reached in a meeting between the parties. Accordingly, the
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purpose of the article would appear to be to set general parameters for start and finish
times as being between the hours of 7 AM and 5 PM. Within those general parameters,
the purpose of the article is to provide an opportunity for the parties to reach mutual
agreement on start and finish times. The intended process for reaching mutual agreement
was that there be a meeting at which business needs and seniority would be considered. If
agreement could not be reached, the employer could change the start and finish times
with 20 days notice to the employee.
[54] The article clearly intended that the sequence was to be that a meeting be held between
the employer and the employee to try to reach mutual agreement on start and finish times
between 7 AM and 5 PM. Any meetings in this case only took place after the fact, if at
all, and generally as part of the grievance process. On Mr. Gilkinson’s candid evidence,
the meetings were not bona fide attempts to reach agreement. The employer had
determined prior to any consultation with any of the effected employees that its business
needs were such that no one in operations could begin prior to 7:30 AM. On Mr.
Gilkinson’s evidence it really would not have mattered what anyone said. He only
allowed exceptions for medical reasons or where the employee had no public contact. He
did so in the overall collective agreement context of the introduction of additional
flextime options. That is, the additional flextime options created more days in the week
when fewer employees were available because they would be on their flex day off. In
implementing these provisions the employer determined that its business needs could not
accommodate a start time earlier than 7:30 AM, because that window of time was neither
available for contacting injured workers and employers nor guaranteed to have available
to it the IT systems. Having reached these conclusions, was it a breach of the collective
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agreement for the employer to have informed its employees in advance, as it did, of the
restrictions on the start times or ought to it have provided an opportunity to meet with the
employees one by one, advise them at these meetings of its conclusions and then denied
them a requested earlier start time. The latter would certainly have been in compliance
with a strict reading of article 7.04, provided the meeting was an authentic exercise, but
the former is not necessarily non-compliance.
[55] In my view, it was fair to let employees know of the employer’s general concerns in
advance. However, the employer took a rigid position prior to even knowing what the
uptake would be of the new flextime options. It never deviated from this rigid position
even after having the opportunity to assess the actual outcomes against its purported
business needs. On the evidence, it did not even assess the actual outcomes. It was a
breach of article 7.04 not to consider start time requests between 7 AM and 7:30 AM on
an individual basis. The evidence is crystal clear that Mr. Gilkinson did not do so. Unless
there was a medical component to the request, the general business needs determined at-
large thoughtlessly trumped all other considerations. Article 7.04 requires that both
business needs and seniority are to be taken into account. There was neither consideration
of the actual need of the business to have each individual requesting a pre-7:30 AM start
time start later, nor was there any consideration given to the seniority of the individual
making the request. At the time, there were only 40 employees out of 2500 who started
prior to 7:30 AM. Many had been doing so for a great many years. Article 7.04 required,
in the least, an authentic discussion, at a meeting called for the purpose, of whether or not
that situation could continue given the business’s needs, as related to that individual, and
the seniority of the individual.
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[56] The approach taken by the employer was a complete disregard of article 7.04. It was a
breach of article 7.04's clear and unambiguous terms, and I so declare.
Decision
[57] For the reasons given above, the grievance is allowed in part. The issue of the appropriate
remedy is remitted to the parties. Failing mutual agreement on a remedy, the matter may
be brought back before me. I remain seized to deal with any outstanding issues and the
implementation of this decision.
Dated at Toronto, Ontario this 8th day of May 2015.
Daniel Harris, Vice-Chair