HomeMy WebLinkAbout1992-3043.Sutherland.93-11-04
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,- ONTARIO \ EMPLOYES DE LA COURONNE
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.' r. CROWN EMPLOYEES DE L'ONTARIO
. . GRIEVANCE COMMISSION DE
1111 SETTLEMENT ,
REGLEMENT
BOARD DES GRIEFS
180 DUNDAS STREET WEST SUITE 2100, TORONTO, ONTARfO. M5G lZ8 TELl3PHONEITELl!PHONE (416) 326-1388
180. RUE DUNDAS OUEST BUREAU 2100 TORONTO (ONTARIO) MSG lZ8 FACSIMILEITIELE:COP/E (416) 326-1396
3043/92, 3044/92, 3045/92
IN THE MATTER OF AN ARBITRATION
Under
THE CROWN EMPLOYEES COLLECTIVE BARGAINING ACT
Before
THE GRIEVANCE SETTLEMENT BOARD
BETWEEN
OPSEU (Sutherland)
Grievor
- and -
The Crown in Right of Ontario
(Ministry of Correctional Services)
Employer
'-. BEFORE: N Dissanayake Vice-Chairperson
M Lyons Member
M O'Toole Member
FOR THE M. McFadden
UNION Counsel
Koskie & Minsky
Barristers & Solicitors
FOR THE M Blight
EMPLOYER Counsel
Genest, Murray, DesBrisay, Lamek
Barristers & Solicitors
HEARING July 22, 1993
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DECISION
Three grievances filed by the grievor, Mr. Richard
Sutherland came before the Board for hearing. Two of them,
Files 3043{92 and 3044{92, are job competition grievances
alleging violations of article 4 of the collective agreement.
The other, File 3045{92, is a "health and safety" grievance
alleging a contravention of article 18 1. J
Following opening statements by both counsel, counsel for
the union advised the Board that the union wished to withdraw
the health and safety grievance The Board consented, and it
is hereby confirmed that File no 3045{92 is deemed to be
withdrawn
That left the Board seized with the two job competition
grievances It was agreed between the parties that before
proceeding to hear the merits of these grievances, the Board
should decide in a preliminary way, a dispute between the
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parties as to the scope of the remedial order that may be
awarded in the event one or both grievances succeed This
dispute arises from the peculiar circumstances of this case
The parties filed with the Board an "Agreed Statement of
Facts" which reads as follows
AGREED STATEMENT OF FACTS
1. The agreed facts recorded herein are for the
sole purpose of a preliminary objection by the
employer in three grievances, attached as Exhibits
1-3 to this Agreed statement of Facts ( "these
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grievances") A similar issue is raised in six
other grievances, three of which ~re scheduled for
hearing on August 31, 1993 (GSB File Nos 2134/92,
2135/92 and 2136/92) It is understood that the
outcome of the employer's preliminary objection
shall be determinative of the issues it raises for
the grievances described herein
2. The grievor, Richard sutherland, was employed
as a correctional officer and classified as
Correctional Officer 2 ("C02") at the Mimico
Correctional Centre (nMimicon) for approximately 5
years. Effective April 19, 1993 the grievor left
Mimico and began employment as a C02 at the Niagara
Detention Centre ("Niagara") That transfer
followed a job competition for the position of C02
at Niagara, in which the grievor was the successful
candidate
3. These grievances arise as a result of an
earlier posting for a C02 position at Niagara
<(Competition CI-2042-92), for which the 'grievor
applied unsuccessfully. A copy of the posting,is
attached as Exhibit 4 hereto The posting limits
the area of search to Ministry staff residing
within 40 kilometres of Niagara Detention Centre.
4. All of the grievances mentioned in paragraph 1
were filed as a result of job competitions held
between January 1992 and April 1993, for C02
positions at Niagara, and in which the grievor was
not the successful candidate Three gri~vances
were filed in re~pect of each of three unsuccessful
applications for posted C02 positions at Niagara.
The grievances fall into two categories: the first
category includes grievances directed to the job
competi tion process and the -second category
inc'ludes health and safety grievances protesting
the distance the grievor drove between his work at
1 Mimico and his home in the Niagara area each day.
5. The grievor moved from Mimico to the Niagara
area in early 1992 for personal/family reasons
The grievor did not consult the employer nor was
the employer involved in any way in the grievor's I
decision to move his residence. Between the time
the grievor moved his residence to the Niagara area
and April 19, 1993, the grievor commuted between
his home in the Niagara area and his employment at
Mimico on the QEW
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6. The rate of pay and working conditions for a
C02 is the same at Niagara as at Mimico. The only
remedy sought in the job competition grievances is
reimbursement for travelling expenses undertaken by
the grievor from the start date of the C02 position
at Niagara for which he competed unsuccessfully
(November 1992), to the date of his transfer to
Niagara The only remedy sought in the health and
safety grievances is a declaration. that article
18 1 of the Collective Agreement was breached
Both parties argued, and we will determine, this
p;reliminary issue on the supposition that the grievor's two
job competition grievances will be successful Ignoring the
reference in the foregoing statement to the health and safety
grievance which has now been wit.hdrawn, the thrust of the
preliminary dispute relating to the jOb competition grievances
is as follows. Since the rate of pay and the working
conditions enjoyed by the grievor at Mimico and at Niagara
were identical, he suffered no loss in that regard by his
failure in the job competitions which are the subject matter
,of these two grievances Therefore, it is the employer's
position that, even if successful, the grievor is only
entitled to a declaration by the Board that the collective
agreement had been contravened
The union disagrees It is contended that if the
employer had complied with the requirements of article 4 in
conducting the earlier job competitions, the grievor would
have been awarded a position at the Niagara Detention Centre
in November 1992 and therefore at that time his commuting
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between Niagara Falls and Mimico would have ceased In other
words, the union takes the position that because of the
employer's breach..) the grievor's commuting and the related
travel expenses continued from November 1992 till April 19,
1992. Thus the union claims that if the grievances are
successful the grievor is entitled to be reimbursed for the
travel expenses he incurred during that period
Counsel for the employer argues that the grievo~ is not
entitled to any compensation for travel costs Firstly it is
submitted that his travel costs did not flow from the breach
She points out that at one time, the grievor worked at the
Mimico jail and lived in Mimico Then he made a personal
decision to move his residence to Niagara Falls and to commute
to work to Mimico. She points out that the employer had no
input into that decision Nor did it have any control over
where the grievor elected to live She submits that the quid
pro quo is that when an employee decides tp live in a distant
place and to commute to work, the travel expenses are the sole
responsibility of that employee.
Counsel acknowledges that in the scenario contemplated
here, the grievor's travel expenses would have ended sooner if
not for the breach of the collective agreement by the
employer. However, she argues that that does not take away
the fact that it is the employee's responsibility to decide
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where to live and to bear the consequences of that decision
including the travel costs
Relying on the test in Re Hadley v. Baxendale (1854) 156
E R 145, counsel submits that only damages which were
foreseeable at the time the contract was \ entered into are
compensable It is submitted that the parties would only have
contemplated the usual employment related damages such as loss
of wages and other benefits, as possible consequences of a
breach. They would not have contemplated that the employer
would become responsible for non-employment related damages
such as travel expenses
It has been long established in the arbitral
jurisprudence that the basic purpose of an award of damages is
to put the aggrieved party in the same position he would have
been in, had there been no breach of the collective agreement
See, Re Mohawk Colleqe of APplied Arts & Technology, 91982) 5
L.A C. (3d) 237 (Brown). As arbitrator Weiler stated in Re
Canadian Johns Manville Co. Ltd., (1971) 22 t. A C 396 at pp
397-8:
Stated in the abstract, the relevant principle
is quite clear. The purpose of damages for breach
of contract is not to punish but to compensate, and
the function of compensation is to place the
aggrieved party in a monetary position as near as
possible to that in which he would have been had
the contract been performed
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We see no merit in the employer's position that the
travel expenses do not flow from the breach. Counsel's
reasoning is, in our view, based on a confusion between the
employer's general responsibility for the travel expenses of
an employee and the employer's responsibility to compensate
for travel expenses incurred as a result of a breach of the
collective agreement It is clear that under the collective
agreement the employer has no responsibility for the expenses
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incurred by an employee travelling to and f~om work However,
that is quite a different issue from the employer's liability
for travelling costs necessitated by a breach of the
collective agreement on its part. The employer i~ liable for
the latter, if it is otherwise a compensable loss.
For example, in ,Re Ward 1720 and 1721/89 (Dissanayake) ,
the Board concluded that the grievor had been transferred to
a 'position in Toronto from the position he had held in
Hamilton, in contravention of the collective agreement. The
grievor lived in Brantford. As a result of the transfer the
grievor was required to commute a longer distance between his
home in Brantford and his new work location in Toronto The
Bo~rd in, its remedial award directed that the grievor be
compensated for the additional travel costs incurred as a
result of the breach
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The Board cannot agree with counsel that there is a
distinction between cases where the commuting starts as a
result of the breach and cases where the grievor is required
to continue the commuting as a result of the breach In
either case the test is the same That is, one has to
determine what travel expenses, if any, would not have been
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incurred by the grievor but for the breach of the collective
agreement Those expense~ are properly compensable as a
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remedy for the breach. ....,
The Board agrees with the proposition that not all losses
resulting from a breach of the collective agreement are
necessarily compen!3able. Only losses which are reasonably
foreseeable are compensable Therefore having concluded that
the grievor was required to incur additional travel expenses
as a result of the breach, we must determine if that loss was
too remote or whether it was reasonably foreseeable.
We cannot agree with employer counsel that the parties to
the collective agreement would only have contemplated losses
directly related to employment such as loss of wages. At the
time of the competitions in question, the employer was fully
aware that the grievor lived in Niagara Falls, and that if he
failed to obtain a position pursuant to the job posting he
will be required to continue to commute to Toronto. Those /
expenses were clearly a direct result of the breach since the
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grievor would not have incurred those if the employer had
complied with the collective agreement We cannot accept that
the parties would have believed that they will not be held
responsible for monetary losses directly resulting from their
breach of the collective agreement
In summary then, it is the Board's finding that the
travel expenses in question were a direct result of the breach
and further that those expenses were losses that were not too
remote. Accordingly, if the grievances succeed on the merits,
the union will be entitled to be compensated for those travel
expenses
Having determined this issue by way of this preliminary
decision this Board remains seized of the grievances ,in files
3043/92 and 3044/92 until their final disposition If either
party wishes that this panel reconvene for that purpose, the
Registrar of the Board should be contacted
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Dated this 4th day of November, 1993 at Hamilton, ontario
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N Dissanayake
Vice-Chairperson
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M Lyon
Member
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"I Dissent" (dissent attached)
M O'Toole
Member
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3043/92, 3044/92, 3045/92
DISSENT
The reasoning of the majority is superficially persuasive
but close scrutiny reveals it to be erroneous in 2 respects
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1) the finding that the grievor's travel expenses were
incurred as a result of the employer's breach of the
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collective agreement,
the finding that \
2) such expenses were reasonably
foreseeable
I will discuss each of the above errors seriatim.
In my opinion, the denial of the posting did not result in
the grievor's travel expenses Prior to the postLng, the grievor
had chosen to relocate his residence from Toronto to Niagara Falls
and to commute to his job in Toronto This was a personal,
lifestyle decision freely entered into It was this decision that
resulted in the grievor's travel expenses The denial of the
posting by the employer did not affect this decision Stated
differently, the grievor was free at any time after the posting to
move back to Toronto. His decision not to. do so is what
necessitated his travel expenses However stated, the result is
that the denial of the posting did not force the grievor to do
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anything that he had not already freely chosen to do
The grievor's situation is quite unlike the employee in the
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Ward case. There the emplo~ee's travel expenses were necessitated,
not by his personal, lifestyle decision to reside in Brantford, but
'by the employer's decision to improperly transfer him to a position
in Toronto. This decision forced the employee to~hange his own
lifestyle decision to live and work in Brantford
Turning to the second error of the majority, it is my
submission that the grievor's travel expenses were not reasonably
foreseeable. At all times the grievor had complete freedom of
choice as to the location of his residence He chose to reside in
Niagara Falls. He was free to change that location at any time
Because of this freedom of choice, the grievor's travel expenses
were unforeseeable It is irrelevant that the employer was fully
aware that the grievor lived in Niagara Falls as there was no
evidence, either that the grievor moved to Niagara Falls in
reliance on the employer not breaching the collective agreement, or
that the employer was aware of such reliance It was only
established that the grievor moved to Niagara ~alls for
"personal/family reasons" and the employer was not aware of such
reasons Accordingly, the employer could not have reasonably
foreseen )what would be the consequences of the breach of contract I
on the grievor's travel expenses
In my opinion, it is quite unrealistic and would lead to a
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great deal of mischief if an employer were held liable for tne
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adverse monetary effects of a breach of the collective agreement on
an employee's lifestyle This would encourage employees to ensure
that the employer was fully aware of all such possible 'adverse
impacts. Suppose the grievor travelled to a work location
elsewhere in Niagara Fal~s but still a greater distance from his
residence than Niagara Detention Centre and that the employer were
so aware. In this situation the denial of the posting would have
required the grievor to continue to incur more ~xpense than needed
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to travel to Niagara Detention Centre Presumably the majority
would find that the employer was liable to compensate the grievor
for the extra expense on the theory that it resulted from the
employer's breach of the collective agreement r cannot subscribe
to a theory that leads \ to such a mischievious result and,
accordingly, I must dissent
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M O'Toole, Member
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