HomeMy WebLinkAbout1990-0866.Rhodes.91-11-18
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It' . ONTARIO EMPLOYÈS DE LA COURONNE
CROWN EMPLOYl;ES DE L'ONTAAIO
1111 GRIEVANCE COMMISSION DE 1
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SETTLEMENT REGLEMENT
BOARD DES GRIEFS
180 DUNDAS STREET wEST, SUITE 2100, TORONTO, ONTARIO, MSG 7Z8 TELEPHONE/TELEPHONE: (416) 325- 1388
780, RUE DUNDAS OUEST, BUREAU 2100, TORONTO (ONTARIOj, M5G lZ8 FACSJMILE/n:LÉCOPIE, (416) 326-1396
866/90
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IN THE MATTER OF AN ARBITRATION
Under
THE CROWN EMPLOYEES COLLECTIVE BARGAINING ACT
Before
THE GRIEVANCE SETTLEMENT BOARD
BETWEEN
OPSEU (Rhodes)
Grievor
- and -
The Crown in Right of ontario
(Ministry of the Attorney General)
Employer
BEFORE: N. Dissanayake Vice-Chairperson
r. Thomson Member
H. Roberts Member
FOR THE N. Coleman
GRIEVOR Counsel
Gowling, Strathy'& Henderson
Barristers & Solicitors
..
FOR THE L. McIntosh
EMPLOYER Counsel
Crown Law Office (Civil) ..;:.~-
Ministry of the Attorney General
HEARING October 31, 1990
January 24, 1991
February 5, 1991
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DECISION .
The grievor, Ms. Linda Rhodes, grieves that she has been
denied long term income protection (LTIP) benefits ,contrary
to the collective agreement. She seeks benefits for the
period July 26, 1986 to October I, 1989, on which date she
commenced receiving LTIP benefits.
A preliminary issue was raised by the employer that the
Board had no jurisdiction over a grievance alleging denial of
LTIP benefits. In addition the parties were in disagreement
as to whether the grievor was eligible to receive LTIP
benefits for the period in question.
GSB jurisdiction over a grievance alleging denial of LTIP
benefits
This has been a much litigated issue. The first
significant decision of the Board '. was Re Hooey, 348/81
(Weatheríll). The employer raised a preliminary objection to
the Board's jurisdiction to hear a grievance alleging a denial
of LTIP benefits. The Board in a decision dated January 17,
1983 concluded as follows:
It is clear that among the employee benefits
provided for under the collective agreement is to
be a long term income protection plan. It is
implicit in the collective agreement that the
employer is to arrange for such a plan, and its
express obligation is to pay eighty-five per cent
of the monthly premium therefor.
It 15 acknowledged that the employer has ,. ,
arranged for such a policy of insurance, and that
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it has paid" its share of the premium cost~ There
I is no issue in this case as to the appropriateness
of the policy provided, nor of its providing the
I benefits called for by the collective agreement.
The essence of this grievance is that a claim under
the policy has not-been met or, more precisely, that
the insurer has terminated the payment to the
grievor of cert.ain benefit payments. The employer I s
objection to the arbitrability of this matter is
that the grievance involves a claim against the
insurer, and that it does not involve a claim of
violation of the collective agreement.
In our view, the, employer's objection is well-
founded. The employer's obligation under the
collective agreement is to arrange for a policy of
long term income protection insurance meeting
certain criteria, and to pay eighty-five per cent
of the premium thereof. Such a policy has been
arranged and as we have noted it appears to provide
the benefits which the collective agreement requires
be provided in such a policy. The employer has paid
its share of the premiums for such insurance. That
being the case, the employer has met its obligations
under the collective agreement in respect of this
benefit. The benefit, that is, is insurance. The
employer is not the insurer, --and is not itself
responsible for the provision of the benefits -
although it might well be so responsible if, for
example, it had failed to meet its obligations by
not providing the insurance.
The union sought judicial review of this decision. On
~ay 18, 1984, the application for jUdicial review was
dismissed, the court unanimously holding that lithe majority
- correctly interpreted,the collective'agreement as requiring
the employer to provide insurance, not to provide the benefits
referred to in the agreement". The court went on to hold that
since the employer had provided a policy of insurance with the
benefits called for In the collective agreement, the
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employees' claims should be against the insurer, not against
the employer.
Then came the Board I s decision in Re Sekhon, 418/83
(Jolliffe) known as liRe Sekhon I", dated August 24, 1984. In
upholding the employer1s preliminary objection to the Board's
jurisdiction, the Board concluded that that case was the same
as that raised in Re Hooey and·' that lithe result becomes
inevitable in light of the Divisional Court judgement in
Hooey".
Re sekhon I in turn was the subject of an application for
judicial review. In a unanimous decision the court concluded
that by finding that it did not have jurisdiction to hear the
grievance the Board committed a, jurisdictional error. The
court makes the following findings:
'The collective'agreement for 1982 under which
this grievance is said· to be made unlike the
collective agreement, in force during the Hooey
grievance provides specifically under a new heading,
IIInsured Benefits Grievance" section 27.9.1:
where an employee has a complaint'that he has
been denied benefits pursuant to the insured
benefits plans specified in Articles 39, 40,
41, 43, 46, he shall discuss the complaint with
his supervisor wi thin twenty days of first
becoming aware of the complaint
and in the next sub-section:
if the complaint is not satisfactorily resolved
by the supervisor ,within seven days of the,
discussion the employee may refer the complaint
in writing to the Joint Insurance Benefits
Review Committee.
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The subsequent sections provide for a clear
procedure. If the committee fails to resolve the
problem the employee is given the right under
section 27.9.3 to file a grievance in writing with
the Executive Director. This grievance to the
Executive Director is considered by that section to
be the second stage of the grievance procedure for
the purpose of this article. The final stage is to
the Grievance Settlement Board as provided for in
section 27.9.4.
The board had jurisdiction pursuant to the
collective agreement to hear the griE;!vance. The
Grievance Settlement Board did not find it necessary
to deal with the other threshold issue of whether
the employee was an employee covered by the
collective agreement of 1982 and we have not
considered that issue. The Board had jurisdiction
which it failed to exercise by holding itself bound
by the Hooey decision in spite of the amendment to
the collective agreement which r have read that is
section 27.9.1 and subsequent sections.
The court went on to quash the Board's decision in Re
Sekhon I and remitted the matter to a new panel of the board~
The employer sought and received leave to appeal the
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Divisional court's decision, but before the appeal was heard,
the parties agreed to remit the matter to another panel of
this Board.
A new panel of the Grievance settlement Board conducted
a hearing on October 27, 1989 and issued its decision
unanimously on March 15, 1990. This decision, referred to as
Re Sekhon 11;" 418/83 (Saltman), f~amed the issue for
determination as - "whether the Board has jurisdiction to
determine the merits of the grievor's complaint that she has
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been improperly'"denied long term income protection benefits
or, in other words, whether a claim for long-term income
protection benefits is arbitrable under the 1982-83 collective
agreement".
The Board in Re Sekhon II compared the provisions of the
collective agreement before it (1982-83) dealing with LTIP,
and the provisions that were in the 1980-81 agreement before
I the panel in Ra Hooey. The key difference was the addition
in the 1982-83~agreement of article 27.9 which was not in the
agreement at the time the Re Hooey decision was made. The
pertinent portions of that provision state:
ARTICLE 27 - GRIEVANCE PROCEDURE
27.1 It is the intent of this Agreement to adjust
as quickly as possible any complaints or
differences between the parties arising from
the interpretation, applicaticn,
administration or alleged contravention of
this Agreement, including any question as
to whether a matter is arbitrable.
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INSURED BENEFITS GRIEVANCE
27.9.1 Where an employee has a complaint that he
has been denied benefits pursuant to the
insured benefits plans specified in Articles
39, 40, 41, 43 and 56, he shall first
discuss the complaint with his supervisor
within twentÿ" (20) days of first becoming
aware of the complaint.
27.9.2 {a} If the complaint is not satisfactorily
resolved by the supervisor_within seven (7)
days of the discussion, the employee may
refer the complaint, in writing, to the
Joint Insurance Benefits Review Committee
established in Appendix 6 and addressed to
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the Benefits Policy Branch, Civi-l Service
Commission, within an additional ten (10)
days.
(b) 'Any referral to the Joint Insurance
Benefits Review Committee under 27.9.2(a)
shall include a release of information form
(Appendix 7) completed, signed and dated by
the employee.
(c) The Joint Insurance Benefits Review
Committee shall consider the Complaint and
the Benefits Policy Branch shall give the
employee its decision in writing within
sixty (60) days of the committee meeting at
which the complaint is discussed.
27.9.3 (a) If the complaint is not satisfactorily
resolved under 27.9.2, the employee may file
a grievance in writing with the Executive
Director, Staff Relations or his designee
within seven (7) days of the date he
received the decision under 27.9.2(c). In
the event that no decision in writing is
received in accordance with the specified
time limits in 27.9.2 (c) , the grievor may
submit the grievance to the Executive
Director of Staff Relations within seven
(7) days of the date that the Benefits
Policy Branch was required to give its
decision in writing in accordance with
27.9.2(c).
(b) A submission of the grievance to the
Executive Director or his designee under
this section shall be 'considered to be the
second stage of the grievance procedure for
the purpose of this Article.
The employer in that case argued that the inclusion of
article 27.9 only created addití0nal procedural rights, which
did not affect the scope of matters which are arbitrable.
However, at p. 10-11, the Board disagreed and concluded:
In our view, there can be no doubt as to the
Board's jurisdiction ~n this matter. Article
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27.9.1, which was introduced ~n the 1982-83
collective agreement, provides an employee who has
a complaint respecting the denial of benefits
pursuant to the insured benefits plans, including
the long-term income protection plan, with access
to the grievance and arbitration procedure to have
that complaint resolved. - There then follows a
detailed procedure for the resolution of these
grievances, up to and including arbitration before
the Grievance Settlement Board. In our view,
although there are procedural aspects to the
amendments to Article 27,_ by expressly providing
that complaints respecting the denial of insured
benefits can be referred to arbitration, the parties
have created substantive rights, which can be
pursued up to and including arbitration.
We are reinforced in our view by the
provisions of Article 27.1, which allows for
grievances relating to the obligation to arrange
for a policy of insurance in accordance with the
requirements of the collective agreement and with
the payment of the appropriate premiums thereunder.
Were Article 27.9 intended to cover the same
matters I there would be no purpose to the amendment.
It seems clear, therefore, that Article 27.9 allows
for grievances to be brought respecting the denial
of long-term income protection benefits. The Board
is, therefore, of the view that this matter, which
deals with the termination of long-term income
protection benefits, is arbitrable.
To the extent that this decision is at
variance with the Board's decision in Ross 1059/88,
in which a similar objection was raised, we must
decline to follow it. We recognize that the Board
ought to speak with one voice and that only in
exceptional circumstances should one panel of the
Board depart from the decision of another: see, in
this regard, Blake 1286/87. There are, however,
exceptional circumstances in this case which warrant
such a departure as it would appear that the panel
in Ross was unaware that the earlier Sekhon decision
had been overturned on judicial review and that no
cçmsideration was given to the amendments to Article
27. It is on the basis of these amendments that the
Board asserts jurisdiction in this matter.
Therefore, in light of the particular circumstances
of this case, the Board finds that the grievance is
arbitrable and remains seised to deal with the
grievance on its merits.
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Counsel for the employer urges this panel not to follow
the Sekhon II decision. Firstly, counsel argues that it is
open for us to follow one of two lines of authority on the
issue of arbitrability of a grievance challenging the denial
of LTIP benefits. According to her Re Hooey and Sekhon I is
one line of authority and Re Sekhon II J.s another. She
main;ains that the former decisions are still good law and we
area t 1 iberty to follow them. We disagree. Re Hooey we
agree is still good law when considered in light of the
collective that existed at the time. This was held. to be so
by the Divisional Court. However, the essence of the
Divisional Court's decision in Sekhon I is that the reasoning
in Re Hooey is inapplicable because of the changes in the
1982-83 collective agreement. That is why the Court quashed
the Board's award in Sekhon I which purported to follow Re
Hooey despite the amendment to the collective agreement. As
th~ Board notes at p. 4 in Sekhon II, the court went on to
decide the jurisdictional issue itself, by directly expressing
the view that the Board had jurisdiction and' that the
grievance was arbitrable. That is clearly contrary to the
conclusion reached by the Board in Sekhon 1. Therefore,
Sekhon I can no longer be regarded as good law.
The only good law available on this issue, following the
amendment of the collective agreement, is that in Sekhon II.
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Therefore, we should consider the employer's argument as to
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why we ought not to follow it. Counsel reargued before us a
submission considered and rejected by the Board in Sekhon II
to the effect that the amendment to article 27 only created
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procedural rights and not substantive rights. Whether we
apply an "exceptional circumstances test" [Re Blake, 1286/87
. (Shime)] or a "manifestly wrong test" [see, Ministry of
Correctional services v. OPSEU (Daniel Dupuis) and GSB, (Div.
ct. of Onto May 8, 1990) ] we see no justification for not
following the Board's decision in Sekhon I I , as'far as the
arguments it considered and rejected are concerned.
However, we are prepared to consider in addition, what
Counsel described as a new argument based on section 7 of the
Crown Employees Collective Bargainin9 Act, which had not been
made to the Sekhon II panel.
The Section 7 arqument
Section 7 of the Crown Employees Collective Barqaininq
Act reads as follows:
7. Upon being 'granted representation rights, the
employee organization is authorized to bargain with
the employer on terms and conditions of employment,
except as to matters that are exclusively the
function of the employer under subsection 18 ( 1) ,
and, without limiting the generality of the
foregoing, including rates of remuneration, hours
of work, overtime and other premium allowance fer
work performed, the mileage rate payable to an
employee for miles travelled when he is required to
use his own automobile on the employer's business,
benefits pertaining to time not worked by employees
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including paid holidays, paid vacations, group life
insurance, health insurance and long-term income
protection ~nsurance, promotions, demotions,
transfers, lay-offs or reappointments of employees,
the procedures applicable to the processing of
grievances, the classification and job evaluation
system, and the conditions applicable to leaves of
absence for other than any elective public office
or political activities or training and development.
Counsel points out that in section 7 what the union is
authorized to bargain about is long-term income protection
! "insurance" and not "benefits". Counsel contrasts the
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reference in the same provision to "benefits pertaining to
time not worked by employees", and argues that. where the
legislature intended to refer to "benefits" it has used that
term. Counsel contends that with regard to LTIP, the
legi31ature deliberately used the term It insurance" instead o'f
"benefits" because it intended to authorize negotiations only
over LTIP insurance and not LTIP benefits.
Therefore counsel submits that even if the Board in
Sekhon II was correct in holding that the new provision in
article 27 conferred a substantive right to LTIP benefits, the
parties had no authority under section 7 to negotiate such a
right. In other words, the parties only had authority to
negotiate a procedure relating to LTIP, but had no authority
to negotiate for LTIP benefits itself. Counsel relies on Re
Keelinq, 45/78 (Pritchard) in submitting that a provision in
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the collective agreement which the parties had no authority
to negotiate under the Act is of no force or effect.
Even if we accept all of the foregoing reasoning, the
section 7 argument must fail simply because, that provision
does not purport to set out an exhaustive list of all of the
terms and conditions of employment that may be negotiated by
the parties. It isa general provision authorizing bargaining
relating to terms and conditions of employment lIexcept as to
matters that are exclusively the function of the employer
under subsection '18 (l) " The section states that the
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union may bargain t'erms and conditions of employment "without
limiting tþe generality of the foregoinglt and prefaces the
list of negotiable items with the word lIincluding".
Therefore, the absence of a reference in section 7 to LTIP
"ben'efits" , does not prevent the bargaining of that benefit.
In summary, we do not find the Sekhon II decision to be
incorrect. For the reasons given, the new Itsection 7
--~'!"'''argument" has no merit and does not persuade us that we ought
to depart from the conclusion reached in Sekhon II that, under
the collective agreement as presently framed, a denial of LTIP
benefits is an arbitrable matter. Accordingly, we shall
proceed to deal with the merits relating to the grievor's
eligibility to benefits.
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Eligibility for benefits
There was no viva voce evidence adquced at the hearing.
The relevant facts were presented to the Board by way of an
agreed statement of fact and a total of 88 documents filed on
consent.
The grievor, Ms. Linda Rhodes has been employed with the
Ministry of the Attorney General since october 1975 as a court
clerk. On October 5, 1985 she had her second child. While
her maternity leave ended in December, 1985 she did not return
to work at that time. She was on sick leave until July of
1986 and then was granted a leave of absence without pay. On
July 14, 1986, her family physician Dr. M.G. Kennedy issued
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a medical note stating that she was suffering from post-partum
depression. The note goes on to advise the grievor to stay
off work and claim long term disability.
The grievor applied for LTIP benefits, attaching to the
application a detailed report dated July 14, 1986 from Dr.
.
Kennedy. That report states inter alia that the grievor is
diagnosed as suffering from "Depression - post parturn", that
total disability commenced on October 15, 1985, and that she
is under psychotherapy treatment. The report further states
that the grievor is unable to perform her regular occupation
and, that the prognosis is that she will recover sufficiently
to be able to perform those duties within 3 to 6 months. By
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letter dated August 7, 1986, the insurer, Conf~derati6n Life,
advised the grievor that the medical information submitted was
insufficient to enable it to determine eligibility for total
disability benefits and indicated that it had written directly
tó Dr. Kennedy requesting further information.
On September 25, 198 6,- Dr. Kennedy submitted a further
report. It confirms that the grievor was suffering from post-
partum depression and that she had been referred to a
psychologist for psychotherapy. Dr. Kennedy closes the report
with the statement "In summary, I feel this lady is suffering
from chronic depression and is unlikely to return to work."
In November 1986, Confederation Life required the grievor
to submit herself to an interview with a psychiatrist Dr. John
Flannery. She attended that interview and on November 17,
1986, Dr. Flannery issued a report based on his interview.
Dr. Flannery reviews the grievor's childhood and family
situation and concludes that "the. best treatment to interrupt
the present state would be for her to resume workingfl.
On December 11, 1986 Confederation Life informed that
based on Dr. Flannery's report the grievor was "not currently
disabled from any physical or emotional condition which would
prevent you from performing the duties of your usual
occupation of court room clerk". Accordingly the grievor's
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LTIP claim was denied. She was informed that if she so wished
she could submit medical evidence substantiating a state of
total disability.
The evidence indicates that following the issuance of Dr.
Flannery's report, Dr. Kennedy and Dr. Flannery had a
telephone conversation during which Dr. Kennedy "strongly
~isagreed" with Dr. Flannery 1 s opinion that the grievor should
return to work. (See Tab 37, p. 3) . Dr. Kennedy expressed'
his own opinion that "there was absolutely no way that she
could cope with work at this time".
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I Dr. Kennedy then referred the grievor to a psychiatrist,
Dr. G.F. Gower for assessment. Dr. Gower's.report dated March
19, 1987, states that the grievor was incapable of working
until recently, but that she was "theoretically capable of
working nown. Dr. Gower concludes that the grievor "is
already through the worst of the depression and I would not
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exp~ct psychotherapy to extend beyond a few months". Despite
stating that the grievor was theore~ically capable of working,
Dr. Gower goes on to state "I nevertheless advised her against
working for the time being as I believe it would be too
stressful after all she has been through ... "
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On June 19, 1987, Confederation Life wrote to the grievor
stating that Dr. Gower "did not see you until your symptoms
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were resolved and therefore, this medical evidence is not
sufficient to support your being totally disabled for your own
job during the period for which you are claiming benefits."
On September 23, 1987, the union objected to that letter
pointing out that Dr. Gower had clearly recommended that the
grievor not return to work. A supplementary report from Dr.
Gower was also filed in which Dr. Gower states that
Confederation Life had misinterpreted his report. The doctor
states:
It is true that the worst of her post-partum
depression was over when I saw her, but how could
my relatively late arrival possibly form a basis
for denying the claim? Also, when I said that she
was theoretically capable of returning to work in
my previous note, I at the same time made it clear
that I was advising her against it on account of
the son's behaviourial problems and the husband's
long hours - this refers of course to her response
which is tantamount tg impairment and which r
thought would be obvious, especially in a woman
recovering from a post partum depression~
(emphasis added)
On October 1, 1987, Confederation Life wrote to the union
pointing out that Dr. Gower's recommendation that the grievor
not return to work "was based on the difficulty she was having
ln coping with her son's behaviourial problems and her
husband's long hours, rather than an impairment in her
physical or mental functioning which would prevent her from
performing her usual job duties."
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At the request of the union, confederation Life agreed
to make a further review of the grievor's claim. The union
provided a further report dated February 9, 1988 from Dr.
Kennedy. That report reviews in detail the history of the
grievor's medical problems and the treatment she received
during the period following the birth of her second child in
October, 1985 until October 20, 1986. Dr. Kennedy concludes:
I feel that Mrs. Linda Rhodes was quite
depressed after the birth of her last child. The
depression was compounded by stressful situations
at home, in her marriage and her life in general.
I felt from the period since her last child was born
up to when I saw her on October 20, 1986 she was
quite depressed.
On June 6, 1988, Confederation Life wrote to the union
again, stating that despite the additional medical reports
"the information on file does not satisfy the policy provision
that Mrs. Rhodes was continuously prevented from performing
her regular occupational duties for the period being claimed. "
Reference was made to Dr. Flannery's report which recommended
a resumption of work. In addition,. it was stated that "we
have no indication of Mrs. Rhodes' medical supervision or care
during the period of thirteen months (October 1986 to November
1987) as Mrs. Rhodes did net continue to see her attending
physician, Dr. Kennedy."
In the meantime, the griever's cla:m was referred to the
Joint Insurance Benefits Review Committee under the collective
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agreement. The committee reviewed the grievor's claim and
requested that thè grievor undergo an independent medical
examination. She was examined by Dr. J. Jeffries, a
psychiatrist at the Clark Institute, who issued a report dated
February 16, 1989. Following a relatively lengthy review of
the grievor's past history, Dr. Jeffries makes the findings
inter alia that "clearly she has had a couple of episodes of
post-partum depression." He goes on to state:
n she is a woman with a lifelong vulnerability
. . .
to depression J.n light of major losses of her
childhood."
Dr. Jeffries then states:
I think that Mrs. Rhodes' current state would
stronglY suggest that she is not able and indeed
has not been able for some years to perform the
duties of her usual occupation. I appreciate that
this incapacity J.s partly due to attitude even
though it is mainly due to symptoms. My own opinion
is that it would be very unwise indeed for her to
return to the Ministry of the Attorney-general for
work. In fact, it would probably be unwise for her
to work for any government agency. I think she is
likely to distort any slight in that setting into
a cause for litigation or a stress from which she
has to retreat into further disability. Were she
to be placed in some other setting, I.~ould be more
optimistic, though not strongly so. I certainly do
not feel that at this time she is capable of any
full-time work and therefore ~she should be
introduced to work slowly. I do not feel myself
competent to judge how long it would take her =0
achieve her full potential. I doubt that she will
be able to do so before bath children are in full-
day school or full-time daycare.
(emphasis added)
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Upon receipt of Dr. Jeffries' report, Confederation Life
wrote to the grievor on May 18, 1989. The reievant portion
of which reads:
Our file' indicates that approximately 2 1/2 years
ago, during your initial psychiatric assessment,
you were strongly encouraged to return to the
workforce as that would have been the best manner
for you to resolve your personal and home problems.
We cannot give approval to benefits back to July
25, 1986 because you failed to comply with the
recommended treatment.
In addition, we cannot use the results of the latest
Independent Medical Assessment to validate a period
of disability going back now for almost three years.
We will, however, be willing to accept this claim
on the basis that you are presently incapable of
engaging in gainful employment providing you submit
confirmation that you are under appropriate
treatment and counselling as recommended by the
Independent Medical Examiner and that you continue
to receive such treatment for the duration of your
disability.
Accordingly, a disability date of February 6, 1989 was
established for the gr ievor and she received LTIP benefits
commencing October 1, 1989.
The claim in the grievance therefore is for LTIP benefits
for the period between July 1986 to October 1989. The union
claims that she was totally disabled throughout that period.
Counsel submits that any conditions or requirements for
eligibility set out in'the insurance policy, which are
inconsistent with the collective agreement cannot deprive the
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grievor of her rights to LTIP benefits in the collective
agreement. Counsel goes on to argue that in any event, the
grievor has met all of the requirements for eligibility found
in the insurance polìcy.
The insurer 's justification for denying the grievor
benefits for the period in question is succinctly summarized
in the Confederated Life letter dated May 18, 1989:
As you know, you have not worked since September
1985. Your claim for benefits has been denied on
the basis that you did not have a disabling
condition which prevented you from performing your
normal occupation. As well, you were not under any
particular medical treatment, therapy or appropriate
counselling for the problems which you claimed
prevented you from working.
These two grounds, (1) that the grievor had not
established a total disability and (2) that the grievor was
not under the personal treatment of a physician during the
entire period of total disability, were reiterated by counsel
for the employer. Counsel concedes that the latter
requirement is, contained only in the policy, but submits that
as long as such requirements are not in direct conflict with
the collective agreement, they should be given effect to.
The Board heard submissions on when, if at all,
requirements-for eligibility contained in the insurance policy
may be relevant, and counsel cited to us numerous legal
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authorities in support of their respective positions.
However, for the purposes of disposing of this grievance, we
will assume without deciding, that the policy requirements
were applicable as a condition of the grievor's eligibility
to benefits.
We will in turn consider the two requirements for
eligibility alleged by the employer to be unsatisfied by the
grievor.
Tota~ disability
Counsel for the employer submits that Confederation Life
justifiably concluded that the grievor had not established
total disability for the period in question. A review of all
of the evidence discloses two aspects relied on by the insurer
in taking that position. The most significant of all appears
to be the report by Dr. Flannery. Dr. Flannery does not
directly state that the grievor was not suffering from chronic
depression as diagnosed by other doctors. Nor does he
directly address the question whether or not the grievor was
totally disabled. However, he appears to be of the view that
the cause of the grievor's depression is her circumstances at
home. Accordingly he concludes, that the best treatment for
the grievor is to return to work. The insurer interprets that
, to be a medical finding that the grievor was not totally
disabled.
I
'.
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'"
If that is a reasonable interpretation of Dr. Flannery's
report, the learned doctor stands alone with his opinion that
the grievor was not totally disabled. There is no question
on the basis of the evidence, that Dr. ,Kennedy, who had the
most intimate knowledge of the grievor's condition,
consistently took the position that the grievor ought not
return to work. Dr. Gower, a psychiatrist also advised her
against returning to work. And finally, Dr. .Jeffries, an
independent psychiatrist to whom the grievor was referred by
the Joint Insurance Benef its Review committee concluded in
," ,¡.... ...:;: ~~" .
February 1989 that the grievor's ncurrent state strongly
suggests that she is not able ~nd indeed has not been able for
some years to perform the dutïes of her usual occupation."
In' the circumstances, we cannot 3.gree with
counsel for the employer that the grievor had not established
total disability. It was not reasonable for the insurer to
solely rely on the one opinion favourable to it, to the
exclusion of the overwhelming evidence to the contrary. Dr.
Flannery's opinion was based on one interview. There 1S no
evidence that he had access to the grievor's medical history
other than whatever he may have obtained from the grievor at
the interview. Nor is there any evidence that he talked to
Dr~ Kennedy, who· had·been treating the grievor for several
years~ before giving his opinion. What the evidence does
cf
23
indicate is that in a telephone conversation Dr. Kennedy
advised Dr. Flannery that he "strongly disagreed" with Dr.
Flannery's opinion and stated that "there was no absolutely
no way that she could cope with work at this"tïfuè.1I
The overwhelming medical evidence supports a finding that
the grievor was totally disabled. While the insurance company
relies heavily on the fact that the grievor failed to follow
the "treatment" prescribed by Dr. Flannery, namely, an
immediate return to work, the grievor can hardly be blamed for
that in view of the medical advise she had from Dr. Kennedy
and Dr. Gower to the contrary. It is not unreasonable at all
that she followed the advise of her own doctor who had treated
her for some period of time rather than a doctor who gave an
~pinion based on a single interview with her.
The other area of concern expressed by Confederated Life
is the fact that the grievor's inability to' work was caused
by the grievor's problems at home (a hyper-active son and a
workaholic husband) rather than a mental or physical
impairment. (See, p. 16 supra) In our view, that IS an
absolute misconstruction of the state of affairs. What caused
the grievor to miss work was her mental condition which is an
impairment. It is the impairment and not the cause of the
impairment that constitutes the total disability. As Dr. I
Gower points out in his second report, it is the grievorts
. -t
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I
I 24
response to her husband's long work hours and her, son's
behaviourialproblems, that is tantamount to an impairment.
To illustrate, let us take two mothers A and B who have
chronically ill children. A is unable to attend work because
she has no one to look after her ill child and she decides to
stay at home to personally look after her child. In B's case,
the child's illness has caused her so much stress that she is
..
suffering from acute depression, and the depressión' makes her
unfit to work. Clearly A 1S not "totally disabled" for
purposes of LTIP because she is not suffering from a medical
impairment herself. What keeps her away from work is not a
medical impairment but her personal and family circumstances.
However, B is totally disabled because she is SUffering from
a medical impairment and it is her own medical impairment
which prevents her from wo~~ing. In the grievor's case, there
is no suggestion that she is refusing to work becaus,e she
,',
~.\
wants to stay at home to attend to her personal problems. On
the contrary, the evidence is convincing that 'her personal
problems have caused or at least have contributed to, a state
of accute depression. It was this condition, which is a
medical impairment, which prevented the grievor from working.
In our view, no matter what the cause of the impairment,
.
whether it is the work environment, family, personal, or
financial problems, if a medical impairment prevents an
employee from working, she is totally disabled for purposes
of LTIP.
,t 0
25
In Re st. Joseph's Hospital" (1987) 28 L.A.C. (3d) 185
(ponak), the grievor had become extremely upset upon learning
that her mother was suffering from a terminal illness. Her
doctor recommended that she' stay off work for a period of two
weeks. The grievor's claim for sick leave with pay was denied
,- on the grounds that the grievor was not herself ill but was ' ...
merely distressed about her mother's illness. The Board
disagreed and stated at p. 193:
The Board agrees with the union's submission
that the Grievor's reaction to her mother1s serious
illness could itself be characterized as an illness.
The employer took the position that the Grievor was
experiencing a life crisis that led to mental and
emotional distress, but this was not really an _
illness. with respect, the Board cannot agree with
this view.
While the Board can agree that the Grievor
was indeed in the midst of a life crisis, the Board
is more concerned about the Grievor1s response to
this crisis rather than to its causes. It is a
truism that people respond differently to different
situations. Faced with a crisis, some individuals
soldier on and indeed find in their·,work a certain
relief from the ongoing crisis itself. others react
as did the Grievor, with great anxiety. and "an
inability to cope". In the BoarØ's view, this in
--. no way diminishes the fact that th~ Grievor may have
. suffered an illness. One cannot base illness on
causes rather than symptoms. The Grievor I s reaction
to the illness of her mother was to become
emotionally depressed and in her own words she
IItotallv fell apart". In the Board's opinion, "Such
a situation could fall within the definition of
"illness".
,
(emphasis added)
;
,-
"
26
As the Board in Re st. Joseph's Hospital '(supra) holds,
it is irrelevant that other employees may be able to continue
working with similar problems. It is not surprising that
people react differently to problems. Some can cope with
stress better than others. The fact is that the grievor found
the stress too much. As the doctors have pointed out because
she had suffered two episodes of post-partum depression the
grievor was more vulnerable to stress. That in our view does
not take away from the fact that the grievor was disabled.
[See also, Re De Havilland Aircraft of Canada Ltd., (1986) '25
L.A.C. ( 3d) 249 (Davis)].
For all of those reasons we find that there was available
to Confederated Life overwhelming evidence that the grievor
was totally disabled for the period in question and it was not
reasonable for it to have concluded that she was disqualified
from receiving LTIP on those grounds.
Medical treatment
The insurance contract has a general policy which
..
provides that lithe employee must be under the personal
treatment of a physician during the entire period of total
disability. II The employer claims that this condition has not
been met. It is pointed eu t- the provision requires the
grievor to be under treatment for the "entire periodll. It is
contended that there were periods during which the grievor did
·
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not see any doctor for her own condition, and further that
even when she did see doctors, she was not receiving any
particular medical treatment.
Unlike some insurance policy provisions, this contract
does not spe~ify periodic (weekly, monthly etc. ) medical
visits. The provision is very broadly and vaguely phrased.
On the evidence before us, there were periods during which the
grievor did not see any doctor relating to her own condition.
However, in our view that does not mean that she was not under
medical treatment during those times. particularly in the
case of a person with a'mental impairment such as depression,
such a provision must be liberally construed. Once such a
person, puts herself in the hands of a qualified doctor, it
is not reasonable to expect her to do anything more than
follow the doctor's advice. If the doctor requires that she
visit him weekly she can be expected to do so. However, if
the doctor advises her toga home and relax and to see him in
6 months, she cannot reasonably be faulted for not seeing a
doctor for 6 months. SimilarlYI if the insurer~ employer or
trade union requires her to see a doctor she may be expected
to comply. If there is no such referral, she cannot be blamed
for relying on her own doctor. On the evidence before us
there is not an iota of evidence that at any time the grievor
was uncooperative or that she failed to follow doctor's
orders. The only exception is that she failed to comply with
=
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.
Dr. Flannery's prescribed "treatment" of returning to work.
We have already given our views as to why it was reasonable
for her to have done so in·the particular circumstances.
Also, the evidence indicates that during the period when
the grievor was not seeing her own doctor, she was busy
obtaining medical treatment for her son. Since, her son's
condition was a major cause of her own impairment, in our view
when she obtained treatment for her son she was indirectly
addressing her own problem.
Employer áounsel is correct in pointing out that there
is no evidence that the grievor was under a particular course
of treatment for the entire period. However, the grievor can
only be expected to comply with any treatment recommended,-by
a doctor. What if a doctor's only prescribed treatment is
bed-rest at home? The issue of the appropriate treatment is
a matter determined solely by the doctor in question. That is
out of the cont~?l of the patient. This is illustrated amply
by Dr. Jeffries' statement that he was surprised that none of
the previous doctors had_prescribed an anti-depressant for th~'
grievor.
The evidence is clear that the grievor saw every doctor I
she was referred to and cooperated with them. There is no I
,
"
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29
evidence to suggest that she failed to folloVl any doctor's
advice as to visits or treatment.
\
In all of the circumstances, it is not reasonable to
conclude that the grievor was not under mèdical treatment for
the entire period.
It follows from our findings above that the grievor was
eligible to receive LTIP benefits as provided under article
42 of the collective agreement for the period claimed for,
July 26, 1986 to October 1, 1989. The employer is hereby
directed to provide those benefits. We remain seized in the
event the parties encounter difficulty in implementing this
award.
\
- - - -
Dated this 18th 'day of November, 1991 at Hamilton, ontario
~~
N. Dissanayake
Vice-Chairperson
~~
6~homson
--Member
"1 Partially Dissent" (dissent
H. Roberts attached)
Member
.
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866/90 OPSEU (Rhodes) - Ministry of the Attornev General
Partial Dissent
I regret that I cannot accept fully, the decision reached in the
majority award of the Board, on the above case, for the reasons
stated below.
1. I accept the ruling in Sikhon II that a denial of LTIP
benefits, under the collective agreement as presently framed, is
an arbitrable matter.
2. I, cannot agree with the decision to date back payment of
LTIP benefits in this case, to July 26, 1986.
The definition of Total Disability in Article 42.2.4 of the
collective agreement reads as follows-
"Total disability means the continuous
inability as a result of illness, mental
disorder, or injury of the insured
employee to perform any and every duty of
his normal occupation during the
qualification period, and during the
first twenty-four (24) months of benefit
period; and thereafter during the balance
of the benefit period, the inability of
the employee to perform any and every
duty of any gainful occupation for which
he is reasonably fitted by education,
training of experience."
The manual submitted by the Union, containing the Agreed
statement of Facts, an Index, and a total of 83 tabbed items
constituting the Union's evidence, was referred to frequently
during the course of the hearings.
During the period in time from July 1986 to July 1988, we find
the Following comments in the tabbed manual.
Tab 5 -The qrievors application for LTIP, dated 14 July 1986
-item 9 - Do you expect to return to work? - Yes
·
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- 2 -
..
Tab 5 Pages 12 and 13. Attendinq Physicians Initial Lanq Term
Disability Benefits statement - Dr. Kennedy - Page 13- Item 7
proqnasis (b) indicate when you do expect patient will recover
sufficiently to perform duties of Regular Occupation? - 3-6 months
Tab6 - Report from Dr. G. Kennedv - 14 Julv 1986
"I have examined Linda Rhodes today and still find her suffering
from post partum depression. I have told her to stay off work and
claim long term disability. II
Note. This is the same date on which. on the Attending
Physicians Initial Report -Tab 5 -Dr. Kennedy"s prognosis for her
being able to perform her regular occupation was 3-6 months.
Neither of these comments indicate Total Disability.
Tab 13 - Report from Dr. M. G. Kennedv - 25 September 1986
uln summary , I find this lady is suffering from chronic
depression and is unlikely to return to work.1I
"UnlikelyU lacks the positive weight of "unablell in Total
Disability terms.
Tab 17- Report from Dr. J. G. Flannery - 17 November 1986
Excerpts
-urn her view she is "depressed" and rather looks forward
to bèing put on long term disability for ,that. What
psychiatric treatment there has been has been ineffectual,
and the patient seems to have been offended by it."
-lilt occurred to me that living as she does the best
treatment to interrupt her present state would be forhèr
to resume working."
-"Reluctantly she accepted this argument at least to the
it... ~ point of compromising that she was prepared to work
part-time (part unspecified) and we left it at that.1t
-
~
.
...
- 3 -
, .-
Tab 24 - Report from Dr. G. F. Gower - 19 March --1987
-=- "'-.' Excerpts
-"When I say she was incapable of working until recently,
I mean that I see Mrs. Rhodes is theoretically capable of
working now. Both the patient and her husband agree she
has improved considerably and she is thinking of looking
for work. Neither of them are making a case for an
indefinite period of disability"
-"I believe that she is already through the worst of the
depression and I would not expect psychotherapy to extend
beyond a few months.1I
Tab 37 - Dr. M. G. Kennedy - 9 February 1988
A long history on the grievor with comments on her depressed
states with occasional references to some improvement.
Of Special significance in my view is his statement - IIHowever, I
cannot tell you how lonq her depression lasted after October 20..1
-...... ..~:-... 1986, as I believe the patient was attending another physician.1I
This bears, I believe, on the totality of her disability.
Tab 42 - Dr. G. F. Gower - 19 May 1988 - A letter to the Union
After some apparent prodding by the Union in a letter they sent
to Dr. Gower, on April 15, 1988, which is not included in the Union
evidence in the tabbed manual, Dr. Gower made some attempt to
modify some of the comments he made in his earlier formal report to
Dr. Kennedy, . under Tab 24.
Of special note in this letter of 19 May 1988 is Dr. Gowers
statement ("also Mrs. Rhodes and I agreed to stop regular sessions
of psychotherapy last September.")
This would be, I believe September 1987.
Tab 46 - This report to Confederation Life from Dr.
Padden-Chartres is admittedly net dealing with the griever as
individual but is devoted to finding care for her 3 year old son.
These reports referred to above carry often differing analyses
comments, ~'andopinions on the grievors condition - from the three
doctors involved. Treatment or examination moves from one to the
other, with gaps in between references.
There does not appear to be a uniform and consistent diagnosis
which meets the required definition of Total Disability as recorded
above.
It should not be surprisîng therefore, that Confederation Life
(the insurer) could not find grounds for the approval of the
grievors claim, nor could the Joint Insurance Benefits Review
committee (Union and Employer) find grounds to recommend the claim,
on the basis of 'these reports from July 1986 to July 1988.
~~~
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- 4 -
Under Tab 79 . we find a report from Dr. J. Jeffries. dated 16
February 1989
This report provides a very detailed and insightful look at the
grievor as an individual.
In the paragraph on page 5 and continuing over to page 6 of Dr.
Jeffries report, we find positive statements relative' to the
grievors not being able to perform the duties of her usual
occupation as seen at the time of this examination, with an
expressed uncertainty as to just when she might be capable in the
future. '
with resp~ct, I am less certain of Dr. Jeffries' ability to
conclude that this condition, as seen on February 6, 1989, had
existed "for some years."
From his comments however, I accept that Total Disability within
the terms of Reference has been established by his examination of
the grievor on February 6, 1989.
The determination of Total Disability as a prerequisite to the
payment of LTIP benefits is well covered in GSB 1299/89 (Wong) G.
Simmons, January 1991.
Confederation Life accepted this proof of Total Disability in
their letter to the grievor dated 28 February 1990, under Tab 70 of
the manual of correspondence provided by the Union. In paragraph
two of this letter, Confederation life leaves the door open for
payment of LTIP benefits prior to 1 October 1989, if medièal
support of total disability and proof of approp~iate treatment is
provided by Dr. Kennedy.
One can sympathise with the grievor on reading the history of her
past life in Dr. Jeffries report of 16 February 1989 under Tab 79.
At the same time it should be noted at the foot of page 5 that Dr.
Jeffries believes her attitude has had some part in the creation of
her problems.
From all of the above it is my opinion that total Disability
within the meaning of Article 42.2.4, as a pre-requisite for LTIP,
was not properly established until 6 February 1989 and
Confederation life recognition of this fact was correct.
I' -r----,
j ;:' r .
;.: . , \ : --< ~\:-<'-l\t:::
H. Roberts, Member
"