HomeMy WebLinkAbout2003-0518.Union Grievance.03-06-04 Decision
Crown Employees Commission de ~~
Grievance Settlement reglement des griefs
Board des employes de la
Couronne
~-,...
Suite 600 Bureau 600 Ontario
180 Dundas Sl. West 180 rue Dundas Ouest
Toronto Ontario M5G 1Z8 Toronto (Ontario) M5G 1Z8
Tel. (416) 326-1388 Tel. (416) 326-1388
Fax (416) 326-1396 Telec. (416) 326-1396
GSB# 0518/03
UNION# 2003-0999-0017
IN THE MATTER OF AN ARBITRATION
Under
THE CROWN EMPLOYEES COLLECTIVE BARGAINING ACT
Before
THE GRIEVANCE SETTLEMENT BOARD
BETWEEN
Ontano PublIc ServIce Employees Umon
(Umon Gnevance) Grievor
- and -
The Crown In RIght of Ontano
(Mimstry of TransportatIOn) Employer
BEFORE Richard Brown Vice-Chair
FOR THE UNION DavId Wnght
Ryder Wnght Blair & Doyle
Barnsters and SOlICItorS
FOR THE EMPLOYER Mary Gersht
Counsel
Management Board Secretanat
HEARING May 26 2003
2
DeCISIon
ThIS polIcy gnevance IS the latest m a senes of three ansmg from the
pnvatIzatIOn of dnver-exammatIOn servIces The umon challenges two
decIsIOns made by the MmIstry the decIsIOn to allow certam employees to re-
elect whether to transfer to the new servIce provIder; and the decIsIOn to deny
other employees any opportumty to make such an electIOn
I
The chronology of events leadmg up to thIS gnevance begms m November of
2001, when the umon receIved fonnal notIficatIOn of the MmIstry's mtent to
pnvatIze dnver-exammatIOn servIce Three hundred and fifty-four classIfied
employees then elected whether to follow theIr Jobs to the successful bIdder,
who had not yet been chosen, or to take an enhanced severance package under
AppendIx 18 of the collectIve agreement A confidentIal mfonnatIOn
memorandum (CIM) was Issued to qualIfied bIdders on December 18, 2001
UnclassIfied employees were converted to classIfied status If, pnor to the
Issuance of the CIM, they had reached the two-year benchmark for converSIOn
contamed m the collectIve agreement then m force
In the first gnevance, dated January 25,2002, the umon contested the
MmIstry's refusal to convert employees who completed two years of servIce
after the Issuance of the CIM. In OPSEU and Mlnzstry of Transportatzon, GSB
FIle No 02211/02, decIsIOn dated October 24, 2002, I allowed the gnevance,
dIrected the employer to convert all unclassIfied employees who had reached
the two-year mark by September 17, 2002 and remamed seIzed of any Issues
ansmg m the ImplementatIOn of the award.
3
After receIvmg the converSIOn decIsIOn, the partIes entered mto a
memorandum of settlement dated December 19,2002 The first two paragraphs
of the memorandum state
1 The Employer agrees to convert all the employees lIsted m
Attachments "A" and "B" m accordance wIth ArtIcle 31 15 of the
collectIve agreement, from the unclassIfied servIce to the classIfied
servIce The effectIve date of converSIOn shall be the same as the
date thIS Settlement IS executed by the partIes The partIes agree
that all employees lIsted m Attachments "A" and "B" shall have
the optIOn to elect to transfer to the new servIce provIder
2 (a) SubJect to paragraphs 3 to 5 below, the partIes agree that the
employees lIsted m Attachments "C" and "D" at the tIme of the
executIOn of tlus Settlement are not elIgible for converSIOn
However m the event that any of these lIsted employees become
elIgible for converSIOn after September 17, 2002 up to and
mcludmg the day before the successful proponent IS announced
these employees wIll be converted to classIfied status If they have
completed 18 consecutIve months of full-tIme servIce dunng thIS
tune pen ad, and have satIsfied the reqUIrements of ArtIcle 31 15
The effectIve date of converSIOn shall be the date that they were
elIgible for converSIOn
(b) The partIes agree that any employee that has completed 18
consecutIve months of full-tIme servIce as of the date of the
sIgmng of thIS Settlement and IS elIgible for converSIOn m
accordance wIth ArtIcle 3 1 15 shall have an optIOn to elect to
transfer to the new servIce provIder and that such employees shall
have the same nghts as those employees converted pursuant to
paragraph 1 above
(c) The partIes agree that unclassIfied employees who become
elIgible for converSIOn pursuant to paragraph 2(a) above after the
date of the sIgnmg of thIS Settlement but before the successful
proponent IS announced shall have no optIOn to elect to transfer to
the new servIce provIder The partIes further agree that the nghts
of these unclassIfied employees shall be lImIted to those outlIned
m sectIOn 5 2 of AppendIx 18
4
The memorandum of settlement refers to the benchmark for converSIOn as bemg
eIghteen months because the collectIve agreement had been amended before the
settlement was negotIated Based upon when unclassIfied employees reached
the eIghteen-month mark, the settlement dIvIded them mto three categones wIth
dIfferent nghts
1 Those reaclung tlus mark by December 19,2002 are entItled to be
converted, effectIve that date, and they are granted an electIOn
whether to transfer to the new servIce provIder,
2 Those reaclung the eIghteen-month mark between December 19 and
the announcement of the successful proponent are entItled to be
converted upon reaclung the mark, but they are not granted an
electIOn, and
3 Those reaclung the mark after the announcement are entItled to
neIther converSIOn nor electIOn
There were one hundred and seventy-nme unclassIfied employees m the first
category They were converted on the date of the settlement, m January of
2003, they elected whether to transfer to the not-yet-IdentIfied new serVIce
provIder or to take an enhanced severance package The second category IS
compnsed of tlurty-nme unclassIfied employees who were converted between
the settlement and the nammg of the successful bIdder
On January 8, 2003, the umon filed a second polIcy gnevance contendmg
classIfied employees who had made an electIOn m November of2001 should be
allowed to re-elect because of "lengthy delays" m the pnvatIzatIOn process The
employer raised a prelImmary obJectIOn that the gnevance was barred by the
5
settlement of December 19,2002 ThIS obJectIOn rested m part upon the umon's
unsuccessful attempt to have the settlement provIde a nght of re-electIOn for
these employees I dIsmIssed the prelImmary obJectIOn m OPSEU and Mlnzstry
ofTransportatzon, GSB FIle No 2445/02, decIsIOn dated March 4, 2003
WhIle the first two gnevances were bemg addressed, the MmIstry
contmued ItS dealIngs wIth prospectIve bIdders The CIM was amended m
December of 2002 to mdIcate a total of 450 employees mIght choose to transfer
to the new servIce provIder ThIS figure mcluded the already classIfied
employees, who first elected m November of2001 and for whom the umon was
seekmg a nght of re-electIOn, as well as the employees converted effectIve
December 19, 2002 who would be makmg an electIOn m January of 2003 The
successful bIdder, Serko Des Inc , was announced on Febnmry 25,2003
On May 8, 2003, after receIvmg the decIsIOn dIsmIssmg the prelImmary
obJectIOn to the second gnevance, counsel for the employer wrote to counsel for
the umon concernmg that matter The relevant portIOn of that letter states
In the above noted gnevance the Umon alleged that the MmIstry has
acted unreasonably m that they have not allowed classIfied employees m
the Dnver and Velucle EXaInmatIOn ServIces who were put to an electIOn
m 2001 to make a new electIOn (re-elect) On a wIthout precedent basIs
and wIthout any admIssIOn as to lIabIlIty or and admIssIOn as to any nght
to a re-electIOn, (whIch IS not admItted but specIfically demed,) the
Employer has decIded to exerCIse ItS managenal dIscretIOn to pennIt all
affected classIfied employees to elect whether to opt m or out to transfer
to the new servIce provIder The Employer advIses that m order to treat
all affected employees fairly and also for busmess reasons, all affected
employees who elected m January, 2003 pursuant to the Minutes of
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Settlement dated December 19, 2002 wIll also be provIded wIth an
ElectIOn F ann to opt m or out of a transfer to the new servIce provIder
ElectIOn fonns were sent to employees on May 9 and they were dIrected to
respond by May 16 Of the approXImately 475 employees mVIted to re-elect, 14
decIded to follow theIr Jobs to the new servIce provIder A total of about 50
employees had made tlus chOIce m the two mItIal rounds of electIOns m
November of2001 and January of2003
II
The mstant gnevance was prompted by the employer's decIsIOn to grant an
opportumty to re-elect to the 179 employees who were converted to classIfied
status on December 19,2002 and m January of2003 made theIr mItIal electIOn
about transfernng to the new serVIce provIder Charactenzmg thIS decIsIOn as
an Improper exercIse of management nghts outsIde the collectIve agreement,
umon counsel argued the MmIstry, wIthout any legItunate governmental
purpose, unfairly dIfferentIated between two groups of employees by allowmg
the 179 converted on December 19,2002 to re-elect whIle denymg any electIOn
to the 39 converted thereafter The relIef sought by the umon IS twofold. (1) a
declaratIOn that the MmIstry should not have umlaterally mVIted the 179
employees to re-elect, and (2) an order dIrectmg the MmIstry to allow the 39
employees to make an electIOn By way of a prelImmary obJectIOn, employer
counsel submItted tlus gnevance IS barred by the settlement because It explIcItly
states employees converted after December 19, 2002 have no nght of electIOn
In the alternatIve, counsel argued the MmIstry acted for legItImate busmess
reasons and treated employees fairly by allowmg all those wIth a nght of
electIOn to re-elect m May of 2003 after the successful bIdder had been
announced
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III
I begm my analysIs by consIdenng whether the MmIstry IS ever entItled to
mVIte employees to re-elect about transfernng to a new serVIce provIder The
nght of electIOn IS governed m general terms by AppendIx 18 of the collectIve
agreement In the mstant case, the memorandum of settlement contams terms
dealIng wIth the nght of electIOn for converted employees The questIOns of
whether re-electIOn IS appropnate can be answered only by reference to the
collectIve agreement and any more specIfic accord between the partIes As
electIOn IS a matter regulated by the collectIve agreement, the management
nghts reserved to the MmIstry do not permIt It to grant employees an
opportumty to re-elect
Havmg decIded the MmIstry may mVIte employees to re-elect only If
permItted to do so by the collectIve agreement or any applIcable accord, I
declIne on two grounds to decIde whether the re-electIOn by employees
converted on December 19,2003 was proper A declaratIOn on tlus pomt would
provIde no sIgmficant gUIdance for the future because the case at hand mvolves
a hIghly unusual factual scenano that IS almost certam not to be repeated. In
addItIon, I would not grant the order requested by the umon even If the re-
electIOn m tlus case was Improper
The order sought IS one dIrectmg the MmIstry to allow 39 employees,
those converted between December 19,2002 and the nammg of the successful
bIdder, to make an electIOn The memorandum of settlement expressly states
those converted dunng thIS penod have no nght of electIOn Umon counsel
contended the MmIstry cannot rely upon thIS portIOn of the settlement because
other elements of It were contravened by the re-electIOn granted to the 179
employees converted on December 19,2002 In my VIew, even If thIS re-
electIOn was m contraventIOn of the settlement, It dId not detnmentally affect
the 39 employees for whom an electIOn IS now sought Accordmgly, even If the
8
settlement had been breached m the manner alleged, I would deny the order
requested because It would not remedy any hann caused by the alleged breach
Dated at Toronto thIS 4th day of June 2003
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/
RIchard Brown
VIce-Chair