HomeMy WebLinkAbout1989-0169.Bradley & Lowe.89-11-02 ONTARIO EMPLOYS DE ~ COURONNE
CROWN EMPL 0 YEES DE L ~N ~ ~0
GRIEVANCE CQMMISSION DE
SETTLEMENT REGLEMENT
BOARD DES GRIEFS
~80 DUNDAS STREET WES~ TORONTO, ON~ MSG 1~ - S~ 21~ TELEPHONE/T~L~PHONE
18~ RUE DUNDAS OUE$~ TORONTO, ~N~ M5G 1~ - BUR~U 21~ ~I~ 5~-0~8
169/89
IN T~E ~ATTER OF AN ARBITRATION
Under
T~E CROWN EMPLOYEES COLLECTIVE BARGAINING ACT
Before
TBE GRIEVANCE SETTLEMENT BOARD
Between:
OPSEU (Bradley/Lowe)
Grievor
- and -.
The Crown in Right of On[ario
(Ministry of Revenue)
Employer
Before:
R.L. Verity Vice-Chairperson
I. Thomson Member
G. Milley Member
For the Grievor: C. Dassios
Counsel
Gowling, Strathy & Henderson
Barristers & Solicitors
For the Employer: D. Daniels
Labour Relations Officer
Ministry of Revenue
aearin~: August 8, 1989
Page 2
DECISIO'N
In this matter, the grievors John Bradley and Robert Lowe allege
wrongful denial of their meal allowance claims for the week of January 23-27,
1989. This case is said to involve an issue of first impression for the Grievance
Settlement Board; namely, as to what constitutes a reasonable meal claim.
The relevant provisions of Article 17 of the Collective Agreement,
entitled "Meal Allowance" reads:
17.2.1 Cost of meals may be allowed only:
17.2.2 If during a normal meal period the employee is travelling on
government business other than:
(a) on patrol duties, except as provided under subsection
17.2.3, or
(b} within twenty-four (24) kilometres of his assigned
headquarters, or
(c) within the metropo)itan area in which he is normally
working;
17.3 Gratuities and taxes are to be included in the actual cost
of meals claimed.
17.4 The total cost of meals for each day is to be shown.
17.5 Before approving claims for meals, the branch head should be
satisfied that the charges are reasonable for the locality.
An agreed statement of facts was submitted as follows:
1. THE GRIEVORS ARE PROPERTY ASSESSORS, CLASSIFIED AT THE LEVEL OF PROPERTY ASSESSOR 3, EMPLOYED BY THE MINISTRY OF REVENUE
IN ITS TIMMINS REGIONAL ASSESSMENT OFFICE.
2. EFFECTIVE DECEMBER l~, 1988, THE PARTIES (O.P.S.E.U AND THE
MINISTRY OF REVENUE) ENTERED INTO A LOCAL MINISTRY AGREEMENT
Page 3
CONTAINING THE FOLLOWING PROVISIONS:
5.1 WITHIN THE FRAMEWORK OF ARTICLE )7 OF THE WORKING
CONDITIONS AGREEMENT, MEAL ALLOWANCES MAY NOT
EXCEED $28.50 WITHOUT RECEIPTS.
BASED ON ACTUAL OUT-DF-POCKET E~PENDITURES
INCURRED IN THE PERFORMANCE OF WORK DUTIES,
EMPLOYEES MAY CLAIM UP TO THE FOLLOWING AMOUNTS
WITHOUT RECEIPTS:
BREAKFAST $ 6.25
LUNCH $ 7.25
DINNER $15.00
$28.50
WHERE IT IS SUSPECTED THAT THERE MAY BE AN ABUSE
OF THE MEAL ALLOWANCES, MANAGEMENT MAY REQUIRE AN
EMPLOYEE TO SUBMIT RECEIPTS FOR AMOUNTS LESS THAN
THOSE LISTED.
5.2 NOTHING IN ARTICLE 5.1 IN ANY WAY LIMITS
MANAGEMENT'S RIGHT TO DETERMINE THE
REASONABLENESS OF ALL CLAIMS.
3. THE PREVIOUS ALLOWABLE DAILY MEAL EXPENSE WITHOUT RECEIPTS
HAD BEEN $27,50. THE LOCAL AGREEMENT WHICH ADDRESSES THIS
ISSUE HAS BEEN NEGOTIATED ON AN ANNUAL BASIS.
4. PROPERTY ASSESSORS REGULARLY CLAIM FOR TRAVEL RELATED
EXPENSES ON A WEEKLY BASIS. HOWEVER, A GIVEN ASSESSOR MAY
NOT WORK IN THE FIELD IN EACH WEEK.
5. ASSESSORS tN THE TIMMINS OFFICE ARE PROVIDED WITH CASH
ADVANCES TO COVER ESTIMATED FIELD TRAVEL EXPENSES. EXPENSE
CLAIMS ARE SUBMITTED TO RECONCILE AND ADJUST THESE ADVANCES.
6, MR. BRADLEY'S CLAIM WAS ONE OF THE SEVEN CLAIMS SUBMITTED
WHICH INCLUDED RECEIPTS. HIS CLAIM WAS INVESTIGATED. MR.
LOWE'S CLAIM WAS SUBMITTED APPROXIMATELY TWO WEEKS
SUBSEQUENT TO MR. BRADLEY'S DUE TO HIS (Mr. LOWE'S) ABSENCE
FROM THE OFFICE. HIS CLAIM ALSO INCLUDED RECEIPTS, EXCEEDED
THE NEW LIMITS FOR CLAIMS WITHOUT RECEIPTS, AND COVERED THE
SAME WEEK (ENDING JANUARY 27, 1989). HIS CLAIM WAS ALSO
INVESTIGATED UPON ITS SUBMISSZON.
7. MR. BRADLEY'S CLAIM INCLUDED A $16.00 DINNER CLAIM FOR
JANUARY 23, A $)1.75 LUNCH CLAIM FOR JANUARY 26, AND A
$16.75 CLAIM FOR DINNER ON JANUARY 26. "CHITS" WERE
SUBMITTED AS RECEIPTS FOR ALL THREE MEALS. THE BILL FOR THE
Page 4
JANUARY 26 DINNER WAS OBTAINED FROM THE STEAK VZLLA
RESTAURANT IN NEW LISKEARD BY MANAGEMENT. THIS BILL
INDICATED THAT $4.50 OF THE BILL WAS FOR TWO BEERS. MR.
BRADLEY INFORMED MANAGEMENT DURING A MEETING TO INVESTIGATE
THE REASONABLENESS OF HIS CLAIMS THAT THE $11.75 JANUARY 26
LUNCH CLAIM REPRESENTED A $6.95 BUFFET PLUS ONE BEER PLUS
GRATUITY. NO FURTHER INFORMATION WAS OBTAINABLE REGARDING
THE JANUARY 23 DINNER CLAIM. THIS INVESTIGATION WAS
CONDUCTED IN PART BY MR. AL YOUNG (MR. BRADLEY'S VALUATION
MANAGER} AND MR. DON WEB8 (REGIONAL ASSESSMENT COMMISSIONER)
8. MR. BRADLEY, ALONG WITH OTHER ASSESSORS WHOSE CLAIMS WERE
FOUND TO BE UNREASONABLE BY MR. WEBB, WAS GIVEN AN
OPPORTUNITY TO SUBMIT REVISED MEAL CLAIM FORMS FOR
REASONABLE AMOUNTS. MR. BRADLEY CHOSE NOT TO DO SO. NO
REIMBURSEMENT OF THE OUTSTANDING ADVANCE ISSUED TO MR.
BRADLEY HAS BEEN SOUGHT PENDING RESOLUTION OF HIS GRIEVANCE.
9. MR. LOWE'S CLAIM INCLUDED A JANUARY 26 DINNER CLAIM FOR
$21.38 MAKING HIS DAILY CLAIM $34.38 FOR THAT DAY. A CHtT
WAS SUBMITTED AS A RECEIPT FOR THIS MEAL. THE CORRESPONDING
BiLL FOR THIS CHIT WAS OBTAINED FROM THE STEAK VILLA
RESTAURANT IN NEW LISKEARD. THE BILL INDICATED THAT MR.
LOWE HAD THE $17.95 "STEAK DIANE" (PLUS TAX AND GRATUITY).
A MENU FROM THE STEAK VILLA RESTAURANT WAS OBTAINED BY MR.
YOUNG (ATTACHED AS EXHIBIT "A"). MR. LOWE WAS INFORMED THAT
THIS EXPENSE CLAIM FORM WOULD NOT BE APPROVED AS THE JANUARY
26 DINNER CLAIM WAS FOUND TO BE UNREASONABLE. MR. LOWE WAS
THEN GIVEN AN OPPORTUNITY TO RESUBMIT HIS CLAIM FOR A
REASONABLE AMOUNT. MR. LOWE DECLINED TO DO SO. NO ATTEMPT
TO RECOVER THE OUTSTANDING AMOUNT ADVANCED TO MR. LOWE HAS
BEEN MADE BY THE MINISTRY PENDING THE RESOLUTION OF THIS
GRIEVANCE.
lO. THE GRIEVANCES OF MR. BRADLEY AND MR. LOWE REQUESTED APPROVAL
OF THEIR DENIED MEAL CLAIMS.
The grievors' travel)lng expenses submitted (Exhibits 5 and 8
respectively) included the following meal allowance for the week ending January
Page 5
27,
MEALS TOTAL
JOHN BRADLEY:
JAN. 23 I~-
L- $ 7.25
9- $ t6.00 $ 23.25
JAN. 24 !i} $ 28.49
$28.49
JAN. 25 D-B-}
L- $ 28.47
$ 28.47
JAN. 26 B- $ 3.75
L- $ 1t.75
O- $ 16.75 $ 32.25
JAN. 27
I~~,
D- $ 13.44
$125.90
ROBERT LOWE:
$ 22.25
$ 28.50
$ 28, 50
JAN. 25 D-B-}
L- $ 28.5O
$ 28.50
JAN. 26 8- $ 6.00
L- $ 7.0O
D- $ 21.38 $ 34.38
$13.50
D- $ 13.50
$121.13
Page 6
The oral testimony can be briefly summarized. On January 26, the
grievors ate lunch together at a local restaurant in Haileybury and supper at the
Steak Villa Restaurant in New Liskeard.
At the hearing, John Bradley testified that he spent $32.25 for three
meals on January 26 because he had one beer at lunch and two beers at dinner. The
meal claim on that date was $4.65 in excess of the per diem meal allowance without
receipts. However, as indicated in the agreed statement of facts, receipts or
"chits"'were submitted for all meals in excess of the limit specified by the local
agreement. According to Mr. Bradley's evidence, he was told by the Commissioner
that alcoholic beverages were not allowed on expense account claims. He replied
that he was unaware of that policy and that in his 20 years of employment with the
Ministry he never had an expense claim rejected. Mr, Bradley acknowledged that he
drove a Ministry vehicle during the week in question; however, he maintained that
he did not drive after supper on January 26.
John Bradley is a local union Vice-President. Mr. Bradley testified
that he was asked by Commissioner Webb if there had been a union protest against
the recently renegotiated meal allowance guidelines. The grievor denied knowledge
of any protest.
Robert Lowe testified that he paid $38.00 for dinner on January 26,
but submitted a claim for only $21.38. He stated that he did not consider
claiming reimbursement for any part of a' litre of house wine because the total
cost would have amounted to an excessive claim. Accordin§ to his evidence, he
Page 7
regularly eats five to six meals a day and eats steak regularly.
Donald Webb was the only witness called by the Employer. At the
relevant time he was Regional Assessment Commissioner for the District of
Cochrane-Temiskaming at the Timmins Regional Office. Mr. Webb testified that he
suspected Union dissatisfaction when during the week of January 23-27, 1989, seven
of eight assessors in the field submitted meal expense claims which required
receipts.
Mr. Webb authorized an investigation by contacting all restaurants
from which the grievors had obtained receipts. All itemized bills were reviewed
together with copies of relevant menus. In addition, all assessors were
interviewed by Mr. Webb and were requested to submit revised expense accounts
within the guidelines. Only the grievors failed to comply with the Commissioner's
request. Eventually both Bradley's and Lowe's meal allowance claims were denied.
Mr. Bradley's claim was denied for two reasons: l) the amounts claimed were
excessive and 2) the claim included amounts for alcoholic beverages. Mr. Lowe's
claim was denied on the basis that the charges were unreasonable considering the
options available on the menu. In Commissioner Webb's opinion neither grievor
offered any explanation to justify exceptional circumstances.
The Union contended that the employer failed to excerise its
discretion under Article 17.5 in a reasonable manner. In particular, Mr. Dassios
a~gued that the Bradley expense claim denial was based on a rigid adherence to an
unwritten and unreasonable policy against alcohol consumption and that no serious
Page 8
attempt had been made to consider either grievor's personal circumstances.
support, the Union referred the Board to the following general authorities:
O.P.S.E.U. (H. O'Brien) and Ministry of Correctional Services, 1157/86 (Gandz);
O.P.S.E.U. (M. ¥ouden) and Ministry of Government Services, 577/86 (Draper); and
O.P.S.E.U. (J. S. Sahota} and Ministry of Correctional Services, 2454/87 (Verity).
The Employer argued that management's actions in denying both claims
wer~ reasonable in the absence of special circumstances to justify abnormal or
unusual expense claims. Mr. Daniels maintained that the Ministry policy,
regarding alcohol not being an appropriate expense, is reasonable taking into
account such general concerns as health and safety, drinking and driving, the
perception of the general public, insurance and W.C.B. benefits.
Under Article 17.5 of the Collective Agreement, management has the
discretion to approve or deny meal expense claims. The sole criteria for approval
is that the disbursements "are reasonable for the locality". This appears to be a
recognition by the parties that the price of an avera§e meal will vary according
to locality. On the particular facts of these grievances, there was no written
Ministry policy for the guidance of managers as to what constitutes a reasonable
meal expense claim.
The local agreement between the Ministry and the Union dated December
18, 1988, in Article-5.1 provides some specifics in that meal allowances may not
exceed $28.50 per day without the production of receipts. Further, the parties
have agreed that the per diem rate of $28.50 includes:
Page 9
Breakfast $ 6.25
Lunch $ 7.25
Dinner $15.00
There is a further provision in Article 5.1 that Where there is a
suspicion of meal allowance abuse, the employee may be required to submit receipts
for actual out-of-pocket disbursements for amounts "less than those listed"
Article 5.2 provides that Article 5.1 does not limit man~gement's right "to
determine the reasonableness of all claims".
Clearly, Article 17.5 of the Collective Agreement gives the employer
broad discretionary powers to approve meal claims a fact that is recognized by
the Union in Article 5.2 of the local agreement. However, it cannot be said that
the discretion is unfettered. The Grievance Settlement Board has the power to
review the exercise of management's discretion under Article 17.5 to ensure that
the employer did not act in a manner that is arbitrary, discriminatory or in bad
faith.
tn the instant matter, the evidence was unsatisfactory as to the
sequence of relevant events and what actually transpired during the grievors'
interviews with Commissioner Webb. There is no disupte that the Employer
conducted an investigation of suspected meal claim abuse. Clearly, the Employer
has that right under Article 5.1 of the local agreement.
On the evidence adduced, the Board cannot conclude that the Ministry
acted in bad faith or in a discriminatory manner in denying either expense claim.
Page l0
Nowever, on all the evidence, the Board is satisfied that Mr. Bradley's claim was
rejected in an arbitrary fashion, primarily because of the inclusion of the cost
of three beers. Apparently there is no w~itte~ M~ist~y ~licy ~isall~i~§ any
such claim for re-imbursement. Similarly, there was no evidence that Mr. Webb
told Mr. Bradley of a blanket alcohol prohibition until the time of his first
interview following submission of the disputed expense claim. We accept Mr.
Bradley's evidence in that regard. In these particular circumstances, rigid
adherence to an unwritten policy is incompatible with a proper exercise of
discretion.
In denying Mr. Lowe's expense claim, the Employer, we think, acted
arbitrarily. His claim was rejected for the sole reason that the charges were
excessive in relation to the options available on the menu. In rejecting the
claim, the Employer made no effort to consider possible alternatives. On January
26, 1989, Mr. Lowe's expense claim did exceed the guidelines by some $5.88.
However, if the January 26 meal claim is reviewed together with all
meal claims incurred during the five day field assignment, the total claim cannot
be said to be unreasonable. In these particular circumstances, the Employer
should have considered relevant individual factors such as the grievor's past
history in submitting meat claims, the duration of the field assignment in
question, the total meal claims submitted during the assignment, the fact that the
grievor had dinner at an average restaurant in the area, and the fact that the
conspiracy theory was without merit.
Page
In the result, the grievances shall succeed on the finding that the
Employer did not properly exercise its discretion under Article 17.5 of the
Collective Agreement. Since the monies have already been paid to the grievors in
the form of an allowance, we make no order as to compensation.
DATED AT Brantford, Ontario, this 2nd day of November , A. D., 1989.
R. L. VERI)¥, -V~ce-Chairpersan
ON - Member
J~~.,/"_~x~.~ (Addendum attached)
G MILLEY Member
OPSEU (Bradley/Lowe)
ADDENDUM
I have joined with my colleagues in this decision, albeit, some-
what reluctantly. In the case of both grievors my reluctance
stems more from the alleged reasons for the overcharges than
from the amounts itself.
In Mr. Bradley's case, the claim included an amount for alcoholic
beverages. However, there appears to be no written policy dis-
allowing such a claim and management's decision, absent such
a policy is described as rigid and indiscreet. This description
lacks, perhaps, something in the way of realism.
The Employer expressed concern about such matters as Drinking
and driving, Insurance, Health and safety and the perception
of the general public to an on-duty employee. Surely, this point
is well taken. Notwithstanding an absence of written policy,
the employee has a responsibility to conduct himself in a reason-
able manner. It can hardly be said that to drink and drive while
on duty, to whatever extent, especially when meeting the public,
leaves a good impression or is acceptable conduct.
As for Mr. Lowe, no one can fault his preference for eating five
or six meals a day, a iitre of wine, and steak regularly.
However, he no doubt recognizes that such consumption is in
excess of what the parties consider reasonable and, as such,
he would be expected to assume the additional~ost himself.