HomeMy WebLinkAbout1992-1106.Union.95-12-18
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ONTARIO EMPLOyES DE LA COURONNE
CROWN EMPLOYEES DEL'ONTARIO 'J, \$ \ \:; '\ cP"\
1111 GRIEVANCE COMMISSION DE
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SETTLEMENT REGLEMENT
BOARD DES GRIEFS
1 180 DUNDAS STREET WEST SUITE 2100. TORONTO, ONTARIO. M5G lZ8 TELEPHONEITELEPHONE (416) 326-1388
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180 RUEDUNDAS.OtJES'T~fj(jREAU21oo, TORONTO (ONTARIO) M5G lZ8 FACSIMILE ITELECOPIE (416) 326-1396
''''' , GSB # 1106/92
i , OPSEU # MCS-U572
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~ (,.. ;.....'... /. '~~j IN THE MATTER OF AN ARBITRATION
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.-.. ~H~ CROWN EMPLOYEES COLLECTIVE BARGAINING ACT
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Befor~
THE GRIEVANCE SETTLEMENT BOARD
BETWEEN
OPSEU (Union Grievance)
Grievor
- and -
The Crown in Right of ontario
(Ministry of Correctional Services)
Employer
BEFORE S Kaufman Vice-Chairperson
FOR THE A Ryder
GRIEVOR Counsel
Ryder, Wright, Blair & Doyle
Barristers & Solicitors
FOR THE M Mously
EMPLOYER Grievance Officer
Ministry of the Solicitor General &
Correctional Services
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HEARING December 1, 1995
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DECISION \
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Jurisdiction:
The merits of this grievance were originally scheduled
to be heard on July 15, 1994 before a panel composed of Vice-
Chairperson Roberts, Mr. Carruthers and Mr. Collict. The
parties believed that the merits of the grievance before that
board would by and large be determined by the decision of
another panel chaired by Mr. Dissanayake concerning the Whit-
by facility. Consequently, on July 15, 1994 they agreed to
adjourn to await that decision. In granting the adjournment,
the Roberts board indicated that it would remain seised of
the matter, and that should any matters come to the parties'
attention which might change the decision to adjourn and move
the panel to go forward the panel would, upon request,' con-
sider reconvening. The panel so indicated to ensure that the
individual employees who might be affected by the adjournment
and u~timate outcome of the grievance were not deprived of
any rights as a result of the adjournment. The grievance
before the Roberts panel then concerned certain unclassified
positions at the Quite Detention Centre which had not been
converted to classified positions, allegedly contrary to Art.
3.15 and Art. 4.
The grievance was scheduled again for hearing on May 11,
1995 The Dissanayake decision had been released and as a
result of its determinations, the parties signed a Memo-
randum of Settlement dated May 8, 1995. As a result, the
hearing scheduled for May 11, 1995 did not proceed.
That Memorandum provides:
MEMORANDUM OF SETTLEMENT
IN THE MATTER OF A GRIEVANCE OF
union Grievance
Quinte Detention Centre
GSB File 1106/92 Date and subject of Grievance
May 5, 1992 - Unclassified
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BETWEEN ONTARIO PUBLIC SERVICE EMPLOYEES UNION
(The Union)
-AND-
THE CROWN IN RIGHT OF ONTARIO
(Ministry of the Solicitqr General and Correctional
Services) (The Ministry)
The parties agree to a full and final settlement of
the above-noted grievance without precedent and
without prejudice to any future and/or (similar
matter on the following terms:
1 Management at the Quinte Detention Centre
('Management') agrees to create ten (10) clas-
I sified positions for Correctional Officers at
the Qilinte Detention Centre.
2. Management agrees to create one ( 1) cHassi-
fied position for a Cook at the Quinte Deten-
tion Centre.
3. The parties agre~ that the positions created
pursuant to paragraphs 1 and 2 will be filled
in accordance with Article 24 of the Collec-
tive Agreement. Any positions remaining after
placements under Article 24 have been
exhausted will be filled in accordance with
the Collective Agreement. (
4. Management agrees that any postings of posi-
tions arising out of paragraph 3 will be pos-
ted no more than sixty (60) days after the
signing of thi~ Memorandum of Settlement.
5 The parties agree that the issue of the use of
unclassified Nurses is the sole issue remain-
ing outstanding by virtue of this Memorandum
of Settlement. As such, the parties agree to
adjourn the outstanding matter sine die in the
expectation that a review of the use of
unclassified Nurses will be completed in a
reasonable time.
6 Subject to the terms of paragraph 5, the Union
agrees to withdraw the above-noted grievance.
Dated this 8th day of May, 1995
(signature) (signature) (signature)
For the Union For the Ministry
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The issues in dispute arising frb~ the implementation of
the above Memorandum of Settlement in G.S.B. 1106/92 have
come before me as a single arbitrator.
Th~-RoPerts panel was scheduled to hear this grievance y
IS:. .
on JUru94 CECBAr 1993, S O. 1993, c. 38 came lnto
force 0 ruary 14, 1994 and some time thereafter, under
the authority of s. 6 (3) and s. 49 thereof, matters which
were formerly required to be heard by tripartite panels were
scheduleq before single Vice-Chairs of the GSB. r
Notwithstanding the legislative amendments which permit-
I ted disputes to be decided by a single Vice-Chair, a panel
which indicates it will remain seised of a grievance will
ordinarily r~tain jurisdiction over it until a full and final
resoiution is reached. The Roberts panel did not hear evi-
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dence. The parties resolved the dispute by means ot their
Memorandum of Settlement without reconvening before the
Roberts panel. They advised me that they were both agreeable
tq proceeding with their dispute as to implementation before
a single arbitrator, and before me. In view of all the fore-
going, I determined that it was appropriate to accept juris-
diction over this matter, and proceeded to hear the evidence
regarding the disputes arising from implementation of the
parties' settlement.
The Merits:
Quinte Detention Centre (QDC) Local 467 President and CO
Thomas John O'Neill and Eastern Regional Manager Deborah
Newman gave evidence concerning the implementation of the
Memorandum.
It was not in qispute that the purpose of the original
May 2, 1992 grievance was to obtain recognition that certain
unclassified positions should be classified, and posted, to
enable unclassified QDC employees to apply, and to maximize
the number of unclassified QDC employees who ultimately might
be succes~flll to~ thp ~J~~~ifipd pn~itions. It was agreed
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that OPSEU '.s intentions are to minimize the effect of down-
sizing on classified as well as qnclassified employees. It
was also agreed that as a general principle employees on the
surplus list have a greater claim to classified positions
than those who are not on the surplus list.
It was common ground t~at within 60 days of May 8, 1995,
10 classified positions of General Duty Officer (Correctional
Officer 2) and 2 classified positions of Food Service Officer
(Cook 2) [an additional vacancy arose for a Cook 2] were cre-
ated, cleared the surplus list, were assigned clearance num-
bers, and were posted. Between May 8, 1995 and the dates ot
posting, the Corporate Redeployment Unit did not identify any
surplus employees eligible for the newly-created vacancies.
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It was not in dispute that employees who are placed on the
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surplus list under Art. 24 remain on the list for 6 months
and th~t if surplus employees had been identified as -eligible
for each of the positions during the 60 days, the terms of
the Memorandum would not have obliged the employer to have
posted them.
The provincial elections were he~d in June, 1995, and
the government changed. The General Duty Officer positions
were posted on July 7, 1995, with a closing date of July 20,
1995. The Food Service Officer position was posted on July
4, 1995, with a closing date of July 24, 1995. The clear- /"
ances were discussed at an Employee Relations Committee (ERC)
meeting on July 17, 1995. The Minutes of the July 17 ERC
meeting indicate with reference to C02 positions "This com-
petition is not expected to be completed until-the end of
August" .
The Ministry received applications until July 20, 1995
for the Cook 2 positions and until July 24, 1995 for the CO
positions It has retained those applications.
On July 24, 1995, Assistant Deputy Minister, Correction-
al Services Division Neil T. McKerrell wrote the following
memorandum to Regional Directors, Regional Managers, Superin-
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tendents, and Regional Personnel and Regional Business Admi-
nistrators:
SUBJECT INSTITUTIONAL RECRUITMENT PREEZE
Effective immediately, I am ordering a freeze on
all recruitment for positions in all institutions
throughout the Correctional Services Division
The current postings for superintendent positions
at the Quinte Detention Centr~ and the Sudbury and
Windsor Jai1s will be exempt from this freeze and
recruitment may continue.
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Employees who are currently redeployed and those
who are in receipt of notice of layoff, or who are
returning from Workers' Compensation where the
reinstatement obligation exists for the ministry,
may continue to be directly assigned to vacancies
across the division.
Competitions that are in process are to be frozen,
unless a job offer has been made to the -successful
candidate in writing prior to. this date.
Neil T. McKerrell
It was received on or about July 2'4, 1995. Because the
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memorandum did not exempt postings and competitions being
held pursuant to Memoranda of Settlement, the employer did
not proceed with the interview and selection process for
those positions.
On August 2, 1995, Mr. McKerrell issued the following
Memorandum:
MEMORANDUM TO: Distribution List
FROM: Neil T. McKerrell
Acting Deputy Solicitor General and
Deputy Minister of Correctonal
Services
DATE: August 2, 1995
SUBJECT: STAFFING FREEZE
Effective immediately Senior Management Committee
has decided to freeze the staffing of all Ministry
vacancies, lateral transfers and temporary assign-
ments. This action is being taken to ensure that
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this Ministry is responding in a fiscally respon-
sible way to the budgetary issues facing Govern-
ment The freeze will continue until further
notice. )
For any exception to the restriction on hiring, a
business case must be prepared and submitted to the
Division Head. This business case should include
cost implications to the ministry. The authoriza-
tion to approv~ .such a request will rest with each
Division Head. Each (illegible) should be reviewed
on a case. by case basis to ensure that only those
of a critical or essential nature are approved.
Authorization for exemptions are not to be
delegated.
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Unclassified Correctional Officers, Nurses, ... may
- be renewed without requesting an exemption to the
freeze. However, full time contracts or temporary
assignments must be cleared through the Ministry
and Corporate Redeployment. New unclassified con-
tracts require the approval of the Division Head.
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There is no change to the external hiring restric-
tions that have been in place since December 1993.
Exemptions to external restrictions may be autho-
rizedby the Deputy Minister. Exemptions for
Senior Management Group vacancies....
Seni~r Management has given special consideration
to those situations where recruitment was in prog-
ress. Therefore, where a verbal offer has been
made and a start date arranged, no exemption is
required. Likewise, those situations where the
vacancy was created directly as part of a re-orga-
nization and will be used to redeploy existing
internal surplus staff, no exemption is required.
( The Consulting Section in the Human Resources
Branch will record and consolidate all exemp~ions
to the staffing freeze. As well, the consultants
will report on the number of exemptions processed
and will provide as required the ~M's rationaliza-
tion for the decision to hire employees.
Further information on staffing issues will be
provided as they become available.
Thank you for your cooperation in this matter.
Neil T McKerrell
Ms. Newman advised that as a result of ongoing discus-
Sl.ons regardl.ng the new government's restral.nt l.nl.tl.atl.ves,
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management became aware of the possibility that 7 of 12 jails
in the Eastern Region would be closed The 'memo of July 24,
1995 notified the Ministry's senior administrators to freeze
\ recruitment. As a result, existing vacant positions were
frozen, in order to facilitate the placement of surplus
staff, including staff who were anticipated to become surplus
in the event of the closure of the region's smaller jails.
The July 24 memo directed her to freeze any competition in
process unless a written offer had been made.
When she received Mr. McKerrell's August 2, 1995, he was
then the Acting Assistant Deputy Minister with control over
the entire Ministry. Mr. McKerrell extended the freeze that
had been imposed on Correctional Services to the entire Mini-
stry and "that r~ally clinched the freeze". When his July
24, 1995 Memorandum was received, Human Resources was in the
process of reviewing the applications for both competitions.
That memo stopped the competition. The May 8, 1995 Memoran-
dum of Settlement was considered in light of the July 24 and
August 2 Memoranda. Management concluded that the circum-
stances of the competition for the 12 positions at QDC did
not meet the exceptions in the McKer~ell Memoranda, and the
competition therefore cou~d not proceed. The employer
intends to retain the vacancies until it has satisfied its
obligations to place surplus staff, which may arise from the
government's restraint initiatives. It will e~ther staff the
positions with surplus employees, or, if the path is cleared,
which is anticipated to be unlikely, and if some positions
remain vacant, the employer will consider the competition
process. The Ministry records these positions as vacancies
available for surplus staff with the Ministry. ~
Ms. Newman and the QDC interim Deputy Superintendent
discussed Mr. McKerrell's July 24, 1995 Memo shortly after
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she received it. The interim Deputy Superintendent advised
her at that time that the existing unclassified staff were
covering for classified staff on vacations and were working
to their maximum, and that more unclassified staff were need-
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ed. with the permission of the Assistant Deputy Minister, in
about late August, 1995, 5 additional unclassified CDs were
hired for QDC QDC currently has an allotment of 23 plus 5
unclassified CO positions. If surplus employees fill all 10
classif~ed positions, the last 5 current unclassified em-
ployees, subject to attrition among them, would not be re-
appointed. This would return the unclassified allotment to
23.
The original grievance included a claim that some un-
classified nursing positions should also be classified under
Art. 3.15. In their May 8, 1995 Memorandum ,of Settle~ent the
parties agreed to adjourn that claim pending a review by the
employer. until December 1, 1995 the Union remained uninfor-
med as to the results of the review and whether the Ministry
would create any classified Nurse positions at QDC.
Ms Newman said that she requested a review probably in
May, 1995, as a result of which a formal report was issued in
september of 1995, containing recommendations regarding full-
time staffing and indicating the existence of a shortage of
classified staff in the QDC Health Care Unit and problems
arising from an inefficient schedule. QDC received a new
Superintendent and Deputy Superintendent in September, 1995.
It was necessary to allow the new QDC heads of administration
time to familiarize themselves with the operations of the
Health Care Unit and review the report. They reviewed the
report and around the beginning of November, met with Ms. ~
Newman about it. In the last week of November, 1995, she
asked QDC administration to prepare a "business case" for
forwarding to the Assistant Deputy Minister for an increase
in the classified staff in the Unit. As of December 1, 1995,
the business case was not yet complete and she expected to
receive it by December 15, 1995. She and the Regional Direc-
tor intend to review it and forward it to the Assistant Depu-
ty Minister for a decision. The report and/or its recommen-
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dations had not been disclosed to the Union pending the ADM's
decis ion,.
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Mr. O'Neill said that in the past, because of the "with-
in 40 kIp." provisions in Art. 24, Rideau Correctional Centre
e~ployees had moved into QDC vacancies, in order to c~eate
vacancies into which Perth jail employees could transfer.
He also understood that the employer's practice has been to
cancel or withdraw competitions only before a job has been
offered, but that once a job was offered as a result of a
competition, it carried the competition to completion. (Mr.
Mously advised 'that once an offer has been made, rather than
accepted, by agreement of the parties, the Ministry's prac-
tice is to fill the position from, the competition results.)
Ms. Newman said that in 1993 the Provincial Auditor's
report noted that newer jails, such as QDC, were more cost-
effective per diem, especially when the cost of administering
the older Jails was factored out. The Ministry closed the
Perth Jail in October of 1994, at which time 19 bargaining
unit staff, some of who were classified, were identified as
surplus. Through a combination of good luck and good manage-
ment, she said, the entire classified staff of the Perth Jail
was placed in existing vacancies in other insti tutions-,
including QDC. Management had for some time beep holding
vacancies as they arose, some for several months, for Perth
staff. As a responsible employer, the Ministry must hold va-
cant positions for surplus employees, she advised.
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The Arg'uments:
For the Employer:
The employer proposes to hold the applications for the
competition in abeyance, and reserve the positions for an in-
determinate period of time for surplus employees. In so do-
ing, it is not in breach of the Memorandum of Settlement.
The words "will be filled in accordance with the Collective
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Agreement" in para. 3 of the Memorandum were intended to mean
in accordance with Art 4 Para. 3 of the Memorandum speaks
to compliance with Art 24 and indicates that the parties in-
tended that the requirements of Art. 24 be met before the va-
cancies were filled under Art 4. The employer has conducted
itself in conformity with the spirit as well as the letter of
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the Memorandum and the Collective Agreement, which recognize
that surplus employees have priority, within the terms of
I Art. 24, to vacancies,. It is not relying on the doctrines of
frustration or impossibility.
This case should determine
a) whether the employer may delay the posting of a
position;
b) whether it may cancel a competition once posted,
as long as it does so in good faith; and
c) whether the claims of surplus employees to vacan-
cies end when the vacancy passes the clearance
process.
( Art. 24 contains no restrictions as to the claims of
surplus employees to any vacancy. Art. 24 says an employee
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meeting that article'ls requirements can have a position any
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time it is vacant. Art. 24.6 regarding assignments to vacan-
cies does not specify that' the assignment ocqur within the
first 30 days of the vacancy. The vacancy exists until some-
one is placed in it. As Magliocco (213/93) indicates that
the employer .can cancel a competition after tentative job
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offers have been made, and not be in violation of Art. 4, the
employer did not violate Art. 4 in this case. As GSB 3094/
91, cited at p 11 in Mag'~iocco, supra, indicated that ma-
nagement has the right to determine comple~ent, the non-fill-
ing of a vacancy is not within the jurisdiction of the GSB.
Magliocco extended management's rig~t to cancel a competition
from.a situation where the position no longer existed to a
situation where lack of funding delayed the completion of the
facility where the position was to be taken up. The prin-
ciple in Magliocco applies to management's right to fill
vacancies with surplus employees
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The employer's obligation under para. S of the Memoran-
dum was a review of the nurses and the use of their time in a
reasonable period of time. It has complied with that obliga-
tion within a reasonable period of time The review is still
in process. There is no indication that the process has bro-
ken down. The Memorandum contains no obl~gation to share the
findings of the review. In the absence of a breach of the
\ Memorandum, such as the exceeding of a reasonable time limit
or a finding that the employer is attempting to delay a reso-
lution, no reason exists for the setting of a time limit for
compliance. The employer requests a finding that it has
acted in compliance with the spirit of the Memorandum of
Settlement.
For the Union:
The union submitted that Art. 4.6.2 gives priority to
Art. 24 in the filling of vacancies, and that in para. 3 of
the Memorandum of Settlement the parties contemplated the
priority of Art. 24 over Art. 4 by stipulating a 60-day
clearance period, after which the vacancies "will be" posted
Once the clearance numbers had been obtained, the Art. 24
priority was satisfied. If the priority of Art. 24 is not
determined on a once and for all basis, it entirely displaces l
the rights of posting and completion of the competition the
parties contemplated in their Memorandum. Art. 4.6.2 and
Art. 24 justify an administrative delay for a position to
clear the surplus list, but not an indefinite delay. The
only issue to be decided is whether the Memorandum of Settle-
ment and the Collective Agreement required the employer to
proceed with the competition. As the staff complement had
been determined by the Memorandum of Settlement and the em-
ployer is not proposing to reduce the complement of classi-
fied employe~s, the employer's case and submissions on that
topic have no bearing on this dispute.
The union requested a direction that the employer com-
plete the competition with the candidates who applied. in the
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original competition, and not a new compet~tion, so that the
results would reflect what would have occurred had the em-
ployer complied with the terms of Memorandum of Settlement
after the closing date for receipt of applications, and an
interim order directing the employer not to fill the posi-
tions before a final decision is rendered.
It further requested that a time limit of two weeks to
one month be established within which the ,employer is requir-
ed to declare the number of nurses' positions that will be
converted. It argued that in view of the grievance having
commenced in 1994 and the matter now being heard at December,
1995, such a time limit is essential in order to bring a
resolution to the grievance. It submitted that the union is
entitled to finality and to have the matter taken out of the
employer's discretion.
Considerations:
Counsel for both parties agreed that a Vice-Chair of the
GSB has the authority to enforce the settlements of the par-
ties to the Collective Agreement.
This dispute brings into issue the status of Memoranda
of Settlement in relation to subsequent Ministerial direc-
tives. It also brings into conflict the compelling policy
reasons behind boards of arbitration giving effect to par-
ties' settlements and the compelling policy reasons behind
the employer's reasonable intention to give priority over
vacancies to employees 'on the surplus list.
The July 24 and August 2 Memoranda address the require-
ments and policy of the Ministry as of those dates. In view
of the Ministry's policy regarding withdrawal of competitions
prior to making a job qffer, the Memoranda have potential
retrospective application. They do not address pre-existing
\ agreements between Ministry and the Union, in this cas~ to
convert unclassified positions to classified, and, if any
positions remain after Art. 24 placements have been
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exhausted, to post t'he vacanC1.es and to fill them within 60
days of May 8, 1995. The July 24 and August 2 memoranda
represent reasonable, responsible fiscal and administrative
interests and policies.
In Edgett,et al (2476/90) at pp. 10 - 11, Arbitrator
Dissanayake noted that both private arbitrators and the OLRB
recognize the importance of supporting the settlement pro-
cess, and that that support serves sound industrial relations
purposes Those purposes include the prompt and informal
resolution of disputes, and the avoidance of the expense and
delay of arbitration as we~l as the avoidance of the imposi-
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tion on the parties of a resolution by a third party, which
is generally recognized as less desirable and less satisfac-
tory from the point of view of business efficacy than a reso-
lution the parties have fashioned for themselves. If arbi-
trators do not uphold the parties' settlements, or set them
aside on technicalities or for less than very serious rea-
sons, the purposes behind such settlements and the .certainty
of the settlements are defeated. That discoura,ges settle-
ments, and more parties will proceed to arbitration than
would otherwise., and the system of pispute tesolution would
slow down, leaving disputes unresolved fo~ longer periods.
Thus, the consequences of not upholding negotiated settle-
ments are not in tne interest of either partX' In view of
these consequences, arbitrators, the OLRB, and this Board
will assume jurisdiction over the implementation and enforce-
ment of the terms of the parties' pre-arbitration settlements
and will only decline to enforce them for very compelling
reasons.
This case turns on. its specific .facts and the parties'
intentions when they drafted the May 8, 1995 Memorandum of
Settlement. The terms of the Memorandum of Settlement must
be construed by the parties' shared intention at the time
they entered into it.
It was not in dispute that the employer had complied
W] t-h pArA_ 1 And-2 af t-hp- MAY 8, 1995 Mp-morandum in convert-
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ing ten C02 positions and one Cook 2 position to the classi- I
fied service !
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The employer acknowledged that the phrase in para. 3
"will be filled in accordance with the Collective Agreement"
was a reference to Art. 4. Thus, by the statement in para. 3
"Any positions remaining after placements under Article 24
have been exhausted will be filled accordance with the Col-
lective Agreement" the parties ~xpressed the intention that
I after pl~cements under Art. 24 were "exhausted", if any of
the vacancies were not yet filled, the employer would post
them in accordance with Art. 4.
If the terms in para 3,
The parties agree that the positions created pursu-
ant to paragraphs 1 and 2 will be filled in accor-
dance with Article 24 of the Collective Agreement.
and
Any positions remaining after placements under
Article 24 have been exhausted...
are read in isolation from para. 4 of the Memorandum of Set-
tlement, they may be construed as meaning that at any time
before any of the newly-created vacancies in the cla~sified
service have been ,filled, a surplus employee has a prior
claim on it, such that there is no obligation to complete a
competition, provided no offer has been made. It is possible
to construe those terms, in isolation from para. 4, and in
view of the absence of clearly stated time limits in Art. 4
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and 24 of ~he collective agreement, as meaning that there are
no time limits within which placements under Art. 24 "have
been exhausted". One of the consequence of the employer's
interpretation wouid be that the placements under Art. 24
into the positions created pursuant to paragraphs 1 and 2 of
the Memorandum would only be "exhausted" when all the posi-
tions were filled under Art. 24. Aside from the apparent
circUlarity of that interpretation, the interpretation ad-
vanced by the employer would also result in para. 4 having no
meaning
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In para 4 of the Memorandum of Settlement, management
specifically agreed to post the remaining positions which had
cleared the surplus ~ist, within 60 days of May 8, 1995
The employer's interpretation is premised upon it having
implicitly reserved the right to withhold the remaining posi-
tions from posting after clearance numbers were obtained. I
am unable to find that implicit reservation in the language
of the Memorandum of Settlement or in the language of the
Collective Agreem~nt, despite the alleged policy or practice
of the employer regarding the withdrawal of competitions or
posted positions before a job has been offered. Having re-
gard to the very specific time frame stipulated in para. 4,
and reading para. 3 together with para. 4, I conclude that
the language agreed to by these parties supports another
interpretation, that the parties intended the obtaining of
clearance numbers to signify the "exhaustion" of the Art. 24
placements in para. 3 for the purpose of these competitions,
The canons of construction require that an agreement be
read in its entirety to construe the parties' intended mean- (
ing and that an interpretation which results in an absurdity
be avoided if another interpretation can be found which dOes
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hot have that result. As stated, the employer's interpreta-
tion would render one of the provisions of the parties' ag-
reement meaningless, i.e. absurd. It is doubtful that that
was their intention, and for the foregoing reasons, that in-
terpretation must be rejected.
I conclude that on May 8, 1995 and until the July 24,
1995 memo, the partie~shared the intention that the terms of
paras. 3 and 4 of the Memorandum of Settlement, read in con-
junction with one another, gave the employer 60 days from May
I
) 8, 1995 to determine if there were any surplus employees who
might have a claim under Art. 24 to the newly created and
vacant classified positions, and that once the clearance
numbers were obtained, up to 10 C02 positions and 1 Cook 2
position which had not been filled under Art 24 would be
posted, within 60 days of May 8, 1995, and that thereafter
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the postings would be filled by competition, free and clear
of any-claims of surplus employees I conclude that the
parties intended the words "will be/posted" in para. 3 of the
Memorandum to be read as mandatory, i.e. as compelling the \
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employer to post the vacancies within 60 days of May 8, 1995,
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provided the conditions in para. 3 had been.met. I find that
once the clearance numbers were assigned to the positions,
the condition, in para. 3 was met. I find that on May 8,
1995, the parties shared that view of both the spirit and the
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letter of their Memorandum of Settlement. \
I conclude that on July 24, 1995 or shortly th~reafter,
owing to Mr. McKerrell's memos, management interpreted its
obligations under the May 8, 1995 Memorandum in a manner that
departed from the former shared view of the spirit and the
letter of the Memorandum. I find that it did so with the
best of intention$, in the belief that it was doing so
a) in compliance with two Ministerial directives,
b) in compliance with its past practice in the
cancellation of competitions in progress,
c) in compliance with the spi~it of the Memoran-
dum of Settlement, which contemplated, within
certain limits, giving priority to surplus
employees, and
d) in the interest of reserving as many vacancies
as possible for employees it was anticipati~g
would be declared surplus in future.
Memoranda of Settlement are binding contracts between
the parties. They are as binding as Collective Agreements
As such, their terms and provisions can only be set aside by
\
further agreement of the parties or by superceding legisla-
tion or regulation, or impossibility or frustration as it is
enunciated in the common law of contract An arbitrator's
authority is drawn from legislation and the parties' Agree-
ments, including their Settlements In the absence of a fur-
ther agreement, or overriding legislation, or impossibility
or frustration, an arbitrator is obliged to give force and
(
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1 7
effect to the parties' expressed intentions as s/he inter-
prets them, as of the time they drafted and signed their set-
tlement or agreement.
Decision:
"-
The union's dispute regarding implementation succeeds
for the reasons stated. The issue of remedy remains.
Where the terms of a contract or settlement have not
been fulfilled, the purpose of a remedy is to put the parties
/
in the position they would have been if the agreed-to terms
had been met. The fact that this is a union grievance does
not alter the obligation to fashion a remedy of that nature.
The employer is therefore directed to forthwith complete
the competitions as between the Applicants who applied for
the posted positions (EX. 3a and 3b) prior to or by the
closing dates in the postings, and to refrain from applying
the tenus of Art. 24 to the positions., i.e. from filling the
positions from the surplus list, before the completion of the
competitions herein directed and before the filling of those
positions through the competitions.
The union's complaint regarding para. 5 of the May 8
Memorandum of Settlement arises in part from a lack of commu-
nication until the date of the hearing as to the status of
the review and in part from the fact that this grievance
originated in 1992. On balance, the employer has endeavour-
ed to adv~nce the review within a reasonable period of time
since May 8, 1995. It is apparent, however, that events such
as the change in government in June, 1995 and the change in
the administration of QDC in September, 1995 overtook its ef-
forts to move the review along more quickly About 6 months
h~ve passed since Ms Newman requested the review contempla-
ted in para. 5. The intervening evento appear to have slowed
~ .
.
1 R
the process by about 2 months There is no suggestion that
r' the employer is deliberately delaying its decision with res-
pect to the nursing positions. It would be premature, in
these circumstances, to set or direct a time frame within
which the employer is compelled to state its intentions as to
whether it will convert any of the nursing positions to the
classified service.
However, the union is entitled to know the employer's
intentions at the earliest date that the Ministry's adminis-
trative requirements will permit, and the interests of im-
proved relations between the parties ~ill likely be furthered
if the employer's inte~tion is communicated to the Union
sooner rather than later.
I will remain seised with respect to any further issues
which may arise from the grievance and the implementation of
the parties' May 8, 1995 Memorandum of Settlement.
Dated at Toronto this 18th day of December, 1995.
Susan D. Kaufma
vice-Chair