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HomeMy WebLinkAbout1991-1661.Waugh.93-02-02 :. r~.', .i,j* !::. ,,~" ,, '~'t' '-.; ::: ONTARIO EMFL 0 YEs DE LA COURONNE · CROWN EMPL 0 YEES O E L 'ON TA RI O BOARD DES GRIEFS DUNDAS STREET WF~ST, SUITE 2100, ,TORONTO, ONTARIO, MSG [.Z8 TEL£PHOIVE/q-ELEPHO;VE. (4 ~6~ 326- [388 1661/91 IN THE ~TTER OF ~ ~IT~TION Under THE CRO~ EMP~YEES COLLECTI~ B~GAINING ACT Before ~E ~RIEV~CE SETTLE~ BO~ BE~EN OPSEU (Waugh) Grlevor The Cro~ in Right of Ontario (Minist~ of Revenue) . Employer BEFOg: N. Dissanayake Vice-Chai~erson M. Lyons Me. er D. Clark Me. er FOR THE N. Luczay UNION Grievance Officer Ontario Public Service Employees Union FOR THE K. 'Cribbie EMPLOYER Labour Relations officer Ministry of Revenue H~ARING April 24, 1992 AWAR_~D This is a grievance by Mr. Neil Waugh, alleging that the employer has failed to comply with the terms of a Memorandum of Settlement. This Memorandum of Settlement resolved a large number of grievances filed by individual employees and groups of employees. The parties expressly agreed that this Board had jurisdiction to entertain this grievance. In Re Alani/ChristoDher (Finley) the Board reviews the background to the settlement as follows: The origins of this grievance date from t986. Between 1986 and 1989 eight classification grievances involving the reclassification of positions from the Ministry of Revenue Tax Auditor stream to the Ministry of Revenue Financial Officer stream were filed by both individuals and groups. During this period, the assignment of individual grievors changed due to circumstances other than the grievance procedure and further grievances were filed so that the new situations would be reflected. The Memorandum of Settlement dates March ll, 1991, became an order of the Grievance Settlement Board on April 26, 1991. Classification of positions and retroactivity were important aspects of this settlement/order. It is common ground that this memorandum had the effect of resolving two classification grievances that had been filed by the grievor, and that the grievor was one of the many grievors, who were signatory to the memorandum. The text of the Memorandum of Settlement, which later became an order of the Board reads: The parties hereto agree, on a without prejudice or precedent basis, to the following terms as full and final settlement of the above captioned grievances. 1. The positions of Assessor (22-3102-44) and Junior Auditor-Desk (22-3102-22) will be reclassified to the Financial Officer · 1 (atypical) level effective October 1, I986. 2. The positions of Auditor-Desk (22-3102- 20) and Screener (22-3102-31) will be reclassified to the Financial Officer 2 (atypical) level effective October 1, 1986. 3. All grievors affected by paragraphs 1 and 2 above will be reclassified as of october l, 1986, if they occupied the position on that date, or the date upon which they first occupied the position after october l, 1986. 4.a) Ail grievors affected by paragraphs 1, 2 and 3 above shall receive retroactive salary in the Financial Officer Class Series in accordance with current Ministry practice subject to any final decision of the Grievance Settlement Board or the Courts regarding methodology or payment of retroactive salary established in the Alton et al decision. b) In the event that the final decision in the Alton et al case results in a "level to level" calculation, the grievors referred to in paragraphs 1, 2 and 3 above, will receive the difference between the amount received pursuant to paragraph 4A above -and the amount resulting from the calculation by the "level to level" methodology. 5.a) All 1986 grievors (Ahmed et al) still in the classification of TaIII as of the date of settlement shall receive $ 7,000 less required statutory deductions. b) Ail grievors who have retired since the filing of their original grievances in October 1986 shall receive $ 7,000 less required statutory deductions. c) Any other grievors who were classified as TAIII subsequent to October 1, 1986 shall receive a lump sum less required statutory deductions calculated on the basis of $ 145 per month for every month or part thereof subsequent to October 1, 1986 in which they were classified as a TAIII~ d) All grievors classified as TAIII on the date of this settlement shall be reclassified to the classification Financial Officer 4 (atypical) as of the date of this settlement. It is understood that these grievors will undergo a training period of six months from the effective date of settlement during which the amount of field work required in the job will increase progressively from the present 30% to 70%. Further, it is agreed that those grievors without credentials (CMA, CGA, CA) will for the purposes of the implementation of this settlement not require credentials to do field work. 6. The grievors and O.P.S.E.U. agree to immediately withdraw the above noted grievances. 7. The terms of this settlement shall be null and void in the event that thi~ Memorandum is not signed or authorised by all of the grievors and O.P.S.E.U. on or before November 30, 1990. 8. The parties agree that this Memorandum of Settlement shall be issued as an Order of the Grievance Settlement Board. The present grievance stems from the employer's failure to pay to the grievor the $ 145 per month payment under item 5(c) of the memorandum for the period April 30, 1990 to April 30, 1991. 5 The grievor is employed at the Corporate Tax Branch of the Ministry in Oshawa. Since March 1988, his position was classified as Tax Auditor 2. In May 1988 he grieved seeking reclassification to Tax Auditor 3 retroactive to March, 1988. Then in June 1989 he grieved seeking a reclassification to Financial Officer 4. While these grievances were outstanding the grievor obtained a promotion in June 1989 to a position classified as Tax Auditor 3. Effective April 30, 1990 the grievor obtained a secondment assignment to an acting managerial position. During this assignment which lasted till April 30, 1991, the grievor was paid the~ rate applicable to the management position in accordance with article 6.1.1 of the collective agreement which reads: Ax%i¢le 6 - TEMPORARY ASSIGNMENTS 6.1.1 Where an employee is assigned temporarily .to perform the duties of a position in a classification with a higher salary maximum for a period in excess of five (5) consecutive working days, he shall be paid acting pay form the day he commenced to perform the duties of the higher classification in accordance with the next higher rate in the higher classification, provided that where such a change results in an increase of less than three percent (3%), he shall receive the next higher salary rate again. On March 11, 1991 the grievor's bargaining unit position which he had held at the time of his secondment was 6 reclassified from a Tax Auditor 3 to a Financial officer 4, pursuant to the Memorandum of Settlement. Given this scenario, if not for the fact that the grievor undertook the acting assignment to the managerial position, there can be no doubt that under item 5(c) of the settlement, he would.have been entitled to be paid at the rate of $ 145 per month for the full period. However, the. employer made that payment upto the time of his acting assignment, but not for the period April 30, 1990 to April 30, i99i when he was on the acting assignment. The only witness to testify at the hearing was Mr. Desmond Kirk, Supervisor of Labour Relations in the Personnel Services Branch. He was involved in the negotiations that led to the Memorandum in question. He testified that item 5(c) was intended to deal with individuals doing..Tax Auditor 3 duties. When asked why the grievor was not paid under item 5(c) for the period of his acting assignment, Mr. Kirk replied "Because he was not doing TA3 duties during his period of secondment. We would say that during that Period he was not classified as TA3, his classification was FA18 and he was paid as such for that period." We first turn to consider the language in the memorandum. Under item 5(c) the $145 per month entitlement is said to 7 apply to "Any other grievors who were classified as TA3 subsequent to October 1, i986"~ Such a grievor is said to be entitled to that payment "for every month or part thereof subsequent to October 1, 1986 in which they were classified as' TA3" o The dispute stems from the calculation of the period of entitlement. The employer claims that for the duration of his acting assignment he was not classified as TA3. Indeed Mr. Kirk took the position on the stand that for this period the grievor's classification was FA18, a management classification. The union's position is that while the grievor was paid the rate applicable to the FA18 classification during the acting assignment,~he was never appointed to that classification and that his classification remained as TA3. The employer made it no secret that at the root of this dispute is its perception that payment of the $ 145 per month to the grievor for the period of his acting assignment results in a windfall to the grievor. Namely, that the grievor would get the benefit of item 5(c) as well as the acting pay for a managerial classification. There is no doubt that it is'this apparent "double payment" that has caused the employer to resist applying item 5(c) in full to the grievor. 8 Nevertheless, the Board's function is to give effect to the intention of the parties as gleaned from the language they used. The terms "position" and "classification" are well known to the parties. They have used the term "positions" in some provis ions in the memorandum and referred to "classifications" in others. In item 5(c) if the parties i~tended to limit the $ 145 payment to employees who were performing the duties of TA3, it is reasonable to expect that they would have used language to indicate that. For example, they could have stated at the end of item 5(c) "for every month ... in which they occupied a position classified as TA3". Instead of referring to positions, the parties elected to refer to classifications in item 5(c). It' is not reasonable to assume that this choice of language is anything other than intentional. We cannot accept that for the duration the period of his acting assignment, the grievor held a position classified in the management hierarchy. We recognize that it is not technically accurate to refer to "grievors who were classified as", in that what is classified is the position and not the incumbent. Nevertheless, in our experience, it ~s extremely common for parties to refer to the classification of an employee. For purposes of administering the collective agreement, every employee in the classified service must hold a position with a designated classification. Under the 9 collective agreement a.legal fiction operates during an acting assignment. When an employee is temporarily assigned under article 6.1.1 (as this grievor was) he is not appointed to a position with a higher -classification. Rather, he is "assigned temporarily to perform the duties of a position" in that higher classification.. To reflect the performance of duties in a higher classification he is paid at the higher rate of pay, but f0r all purposes other than his pay rate his classification remains unchanged. He certainly does not get' the benefit of a reclassification to management. For instance, he does not earn management compensation plan leave credits or any other benefits applicable to the management classification. The employer's Ontario Manual of Administration in its pay administration policy section recognizes the legal fiction to which we have referred to above. It states that "An employee assigned to a position in an acting capacity will be paid after the expiry of ten working days, as i~ he/she were aDDointed to the position". This clearly acknowledges that. the employee is not in fact apDointed to the position. In our view, what occurred here was that the parties arrived at "a package deal" to resolve a large number of grievances filed by numerous employees situated in similar but not identical circumstances. Mr. Kirk agreed that item 5(c) 10 "was a formula agreed to by the parties to encourage the grievors to deal with the settlement as a package" and that for administrative convenience all grievors were to be paid at the same rate regardless of any wage differences. It was further indicated that before the terms were agreed to neither the union or employer representatives inquired into the individual grievors particular circumstances. We are convinced that the grievor's own situation of being on an acting management assignment never entered the contemplation of the parties at the time. Despite Mr. Kirk's testimony that the intention was to pay only those grievor's performing TA3 duties, he was unable to refer to anything anyone did or said to manifest such an intention, which is not in conformity with the language used. There is no evidence to suggest that the parties intended such a result or even that they even considered the particular circumstances. One must keep in mind that we are dealing with a memorandum of settlement, which was intended to resolve a large number of complex grievances. The evidence is that the parties arrived at "a package" without regard to the specific circumstances of each grievor. In this type of settlement process, it is almost inevitable that some grievors gain more than others. Sometimes, a union may even compromise the full rights of some grievors either to encourage the employer to accept the package or to facilitate administrative 11 convenience. Thus, in this case all grievor's'received $ 145 per month regardless of actual wage rates. This would have been more beneficial to some grievors than others, some with the highest rates of wages may have been disadvantaged by the agreement to the $ 145 payment rate. The reality is that that is the nature of settlements. The grievor benefitted from item 5(c) more than the other grievors. This is a gratuitous benefit that flowed from the parties' attempt to resolve a large number of individual grievances through a single package deal. Sometimes employees lose some of their entitlement in this type of deal. In this particular case the grievor benefitted. We do not .find the result to be offensive as the employer appears to. Compromises of employee's and employer's rights is a necessary and inevitable by-product of the resolution of a complex ~ituation. We have no jurisdiction to in effect amend item (c) as it applies to this particular grievor because of the apparent windfall, any more than we would have jurisdiction to do so in a situation where an employee complains that his full entitlement had been compromised by the terms agreed to. That is the agreement entered to and the parties must live with the results. 12 In the result, we find that'the grievor was entitled to the payment under item 5(c) for the period of his acting assignment and direct that he be compensated to the extent of his entitlement, together with interest. We remain seized in the even the parties have difficulty implementing this award. Dated this 2nd day of February 1993 at Hamilton, Ontario. N. Dissanayake V/ce-Chairperson ~ember . / D. Clark Member