HomeMy WebLinkAbout1980-0112.Clements.81-02-23 Decision• GRIEVANCE
SETTLEMENT
BOARD 112/80
TELEPHONE: 416/598- 0688 180 DUNDAS STREET WEST. TORONTO. ONTARIO. M5G 1Z8 -SUITE 2100
ONTARIO
CROWN EMPLOYEES
IN THE MATTER OF AN ARBITRATION
Under The
CROWN EMPLOYEES COLLECTIVE BARGAINING ACT
Before
THE GRIEVANCE SETTLEMENT BOARD
Between:
Before:
C. J. Clements
and
The Crown in Right of Ontario
Liquor Control Board of Ontario
J. R. S. Prichard Vice-Chairman
G. Peckham Member
W. Walsh Member
For the Grievor:
For the Employer:
Hearing:
A.M. Heisey
W. R. Hitch, Q.C. and Associates
B.H. Stewart, Q.C.
Hicks, Morley, Hamilton
August 19, 1980
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In this case the grievor alleges that he was dismissed from the
employ of the Liquor Control Board of Ontario without just and sufficient
cause. He seeks reinstatement and compensation for lost earnings. At the
time of his dismissal the grievor was working at the Kipling Warehouse of
the LCBO. At the time the grievor was advised of his dismissal, he had
just completed his probationary period with the employer.
At the hearing counsel for the employer took a preliminary
objection to our proceeding to hear the merits of the case. His objection
related to timeliness and its resolution required certain findings of fact.
We therefore proceeded to hear evidence and argument relevant to the
timeliness issue and then adjourned the hearing to prepare this award.
II
The grievor was notified of his dismissal on January 11, 1979.
During the afternoon that day he spoke to his union representative at the
warehouse, Mr. Duncan MacKinnon. On January 12 the grievor and Mr.
MacKinnon spoke with the Assistant Manager of the warehouse, Mr. Kyle,
concerning the grievor's dismissal. Mr. Kyle advised the two men that the
LCBO's position was that the grievor had been released. Mr. MacKinnon
told the grievor that the union would fight this decision for him and then
went to the union's offices to confer with the union's in-house solicitor. As
a result of Mr. MacKinnon's discussion with the solicitor, the following
letter was prepared on January 12, 1979:
3
January 12, 1979
Mr. W. J. Bosworth, Chairman
Liquor Control Board of Ontario
55 Lakeshore Blvd. East
Toronto, Ontario
Dear Mr. Bosworth:
In accordance with Article 22.1 and Article 3.2 of
the collective agreement between the Liquor
Control Board of Ontario and the Employees'
Association, I do hereby grieve that I have been
dismissed by the Liquor Control Board without just
and sufficient cause.
I request immediate reinstatement to my position
with the L.C.B.O. and a return of all monies and
credits lost to myself as a result of this action.
Also in accordance with Article 21.3 of the
agreement, I have elected to be assisted by a
representative in this grievance, and any action
pertaining to this matter should therefore include
such a representative.
Also please consider this as your authority to allow
an Association representative access to my files
with the Board.
Yours truly,
"Christopher Clements/WRA"
cc: Employees' Association
The LCBO take the position that it never received this letter and
was unaware of the fact that the grievor wanted to grieve his dismissal
until March, 1980, some fourteen months later. In the result, there are two
issues to be resolved. First, was this letter sent to the LCBO on or about
January 12, 1979? Second, if it was not, what is the effect of the fourteen
month delay in notifying the LCBO of the grievance? The first issue is a
purely factual one while the second involves both legal and factual
judgments.
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On the first issue there was no direct evidence as to the mailing
of the letter. However, numerous circumstantial facts have led us to
conclude that the grievance letter was not sent to the LCBO by the Union's
solicitor. The solicitor (who has since left the employ of the Union) did not
testify at the hearing and thus we have reached our conclusion in the
absence of evidence from the person perhaps best able to advise us of the
facts.
The most compelling circumstantial evidence was as follows.
First, the file on the grievor's case opened in January, 1979 contained only
the letter. It contained no further documentation or notes until
February/March, 1980 when a new member of the Union's staff took charge
of the case. Based on the file we must conclude there was no activity of
any kind - letters, telephone calls, investigations, etc. - undertaken by the
solicitor between January, 1979 and February/March, 1980. Second, the
General Secretary of the Union, Mr. Baker, who joined the Union's staff in
late August, 1979, described the Union's filing system prior to March, 1980
as "a jungle . . . a joke - a very bad one". In March, 1980 a tickler system
was introduced. Based on the evidence we have an impression that the
filing system relating to grievances was in sufficient disarray that the
grievor's file could lie untouched for fourteen months. Third, the LCBO
apparently maintains a careful filing system for receiving grievances
which, in the memory of the management witnesses, has never before led
to a claim that a grievance was filed but lost by management. Based on
this orderly filing system, the LCBO was able to state with confidence that
the letter was never received. Fourth, Mr. MacKinnon, the Union
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representative at the warehouse, testified that through all of 1979 and
early 1980 he repeatedly inquired of the Union's solicitor as to the progress
of the grievor's case. Indeed, he testified that he inquired upwards of
twenty times over the fourteen months. He indicated that his inquiries
were met by assurances that the case was being worked on. These
assurances would appear to be directly contradicted by the total absence of
contact between the LCBO and the solicitor and by the total absence of
any notations in the grievor's file.
Regretfully, we are forced to conclude on the balance of
probabilities that the grievance letter was never mailed and that the
grievance was not carried forward by the Union's solicitor. We have no
alternative but to find that the LCBO was in no way aware of the existence
of the grievance until some time between mid-February and late March
when the case was raised with Mr. McDougall, the staff relations officer
with the LCBO.
Indeed, not only was the LCBO not aware of the case until that
date, but its warehouse assistant manager, Mr. Kyle, had reason to believe
the dismissal was not being grieved. This belief arose since on January 12
and in the days immediately following, Mr. MacKinnon advised Mr. Kyle
that the grievor would be grieving. When this was not followed up by a
grievance, he quite reasonably assumed the matter had been settled and did
not advise head office of the possibility of a grievance. Furthermore, he
took no steps to preserve or prepare management's case concerning the
grievance. This conclusion that the grievance was not brought to the
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LCBO's attention until fourteen months after the dismissal brings us to the
second issue concerning the effect of this delay. Article 21 of the
collective agreement sets out various time limits for the processing of
grievances. On all the traditional tests, the language of their time limits
makes them mandatory. Since these time limits speak in terms of seven,
fourteen and ten day periods, they have clearly all been breached by the
fourteen month delay. The question then arises whether or not this delay
should lead us to dismiss the grievance.
Counsel for the Union took the position that in light of Re Keeling
(45/78), the mandatory time limits could not bar the grievor from putting
his case before us and that the matter of delay went only to the merits of
the case. He therefore argued that we should reconvene the hearing to
receive all the evidence relating to all aspects of the merits of the case
before assessing the effect of the delay on the merits.
Counsel for the employer argued that Re Keeling should be
reversed and the mandatory time limits given effect. Failing that he
argued we should hold that the delay was so prejudicial to the employer's
case that the case could and should be dismissed on the merits at this
stage.
We now turn to an assessment of these competing positions.
7
Ill
The primary decision of the Grievance Settlement Board dealing
with timeliness is Re Keeling (45/78). In that case the grievance violated
the mandatory time limits in the collective agreement between the parties.
The Board held that the mandatory time limits were inconsistent with
section 17(2) of the Crown Employees' Collective Bargaining Act and could
not therefore act as an absolute bar to the processing of the grievance.
The Board did make clear, however, that this decision did not eliminate the
relevance of delay in processing grievances but rather made delay a matter
going to the merits of the case as opposed to the Board's jurisdiction. The
employer sought judicial review of that decision in the Divisional Court but
in an unreported decision dated April 14, 1980 the court denied the
employer's application. The employer then sought leave to appeal to the
Court of Appeal and was again unsuccessful. The decision in Keeling has
subsequently been followed in other cases at the Grievance Settlement
Board (e.g. Re Woods (224/79).
At the hearing, counsel for the employer sought to persuade us
that the Board's decision in Re Keeling was wrong and should not be
followed. He made a number of very able arguments relating to the
appropriate reconciliation of the collective agreement and the statute, the
proper meaning of the phrase "final determination" in section 17(2) and the
distinction between barring a grievance and channelling a grievance
through agreed upon procedures. Each of these arguments was, however,
considered by the Board in reaching the decision in Re Keeling although it
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is fair to say that the panel of the Board which decided Re Keeling was not
assisted by such an authoritative presentation on behalf of the employer.
In the result, we are not now persuaded that the decision in Re Keeling
should be altered. We recognize that strong and meritorious arguments can
be made on both sides of the issue, but on balance we believe the better
view is that adopted in Re Keeling.
We wish to add that we recognize the dilemma facing counsel for
the employer in a case such as this. The Board has stated previously (see
Re Bateman (2/77) that one panel of the Board should follow the decisions
of other panels of the Board in the absence of being persuaded that the
previous decision was manifestly erroneous. Failing such a demonstration
the Board has stated that the parties should look to the bargaining table
and not the Board in order to reverse decisions of the Board. In the result,
the party challenging a previous decision bears a heavy onus if it is to
persuade the Board to reverse a previous decision. While this Board policy
is, in our opinion, a sound one in most situations it may require
reconsideration with respect to cases which turn on an interpretation of
the statute rather than the collective agreement since the efficacy of the
bargaining table as an alternative remedial forum is much more
constrained in the case of interpretation of the statute. That is, in cases
involving the proper interpretation of the statute such as was the situation
in Re Keeling, the parties are unable to reverse the Board's holdings
through negotiation since the essence of the argument is that the
Legislature has constrained the parties' negotiating freedom. Thus the only
routes open to reverse the Board's holding is such a case is to seek judicial
review, a legislative amendment or a reconsideration by the Board.
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The utility of judicial review as a remedial forum has been
substantially reduced by virtue of the decisions of the Supreme Court of
Canada in CUPE Local 963 v. New Brunswick Liquor Corporation (1979) 2
S.C.R. 227 and Hughes Boat Works Inc. v. UAW Local 1620 79 C.L.L.C.
15,361 and the posture of the Ontario Divisional Court in Re Keeling,
supra, and Re Cook (unreported judgment of Mr. Justice Osler dated
February 1, 1980). By setting the appropriate standard of review at
"patently unreasonable", the courts have substantially increased the
interpretive discretion permitted this Board, and thus reducing the
likelihood of a direct review on the merits of a Board decision. While the
unavailability of a Legislative amendment to reverse a Board decision is
not complete (see, for example, S.O. 1978, c.79), it would be unreasonable
to believe that this represents a suitable remedial forum in many instances.
Furthermore, some question could well be raised concerning the equality
between the parties of access to this forum.
These restrictions on negotiations, judicial review and legislative
amendment as remedial forums puts increased pressure on the Board as the
most appropriate forum for ensuring the fair and reasoned interpretation of
the Crown Employees' Collective Bargaining Act. That is not to say the
Board would wish to encourage repeated relitigating of our decisions
involving statutory interpretation. Nor would we wish to see our
willingness to reconsider such matters construed as an invitation to
encourage repeated reversals of our previous decisions. Rather, we are
simply suggesting that in those cases in which the other remedial forums
are relatively less available, the Board may wish to relax somewhat its
standard of review in reconsidering previous decisions.
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In the case before us, even applying this relaxed standard we are
not persuaded that our holding in Re Keeling should be disturbed or altered.
We recognize that since this panel of the Board has two members in
common (including the Vice-Chairman) with the panel of the Board which
decided Re Keeling, we may not be as able as some other panels to
recognize the full force of the employer's arguments. On the other hand,
experience at the Board since Re Keeling would not appear to suggest that
the decision has fundamentally undermined or impaired the grievance
resolution processes within the Ontario public service.
IV
The employer's alternative position was that even accepting Re
Keeling, this case should be dismissed on the merits as a result of the
prejudicial effect of the fourteen month delay between the grievor's
dismissal and the filing of the grievance. This position raises two issues.
First, has the delay so prejudiced the proper conduct of this case that it
should be dismissed on the merits? Second, is it appropriate for the Board
to make such a ruling without hearing all the evidence the parties may wish
to adduce on all aspects of the case. We invited written submissions on the
latter point, seeking the parties' guidance as to whether the Board was in a
position to deal with timeliness as it affects the merits at this stage in our
proceedings.
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It is clear on the authorities that substantial prejudice through
delay goes to the merits of the case and can be grounds for dismissing the
grievance (Re Keeling, supra; Re Ottawa Citizen (1966) 55 D.L.R. (2d)27).
We have found such prejudice based on the evidence we have heard to this
stage in the hearing. The remaining issue, therefore, is whether we should
continue to hear further evidence or rather should dismiss the case at this
stage.
Counsel surveyed the relevant arbitral authorities on this point
for us. To date there has not been a decision of this Board dealing directly
with this procedural issue. However, certain authorities in the private
sector would appear to favour the employer's position.
In Re Ottawa Citizen, supra, after the court instructed the
arbitrator to consider delay as going to the merits and not to his
jurisdiction, the arbitrator proceeded to dismiss the grievance without
hearing evidence on the full merits of the grievance. He restated the test
he had earlier set out in Re Shipping Federation of Canada Inc. (1967) 18
L.A.C. 174 (Weatherill):
"It is our opinion that a board of arbitration ought
not to refuse to hear the merits of a grievance
except where it would clearly be improper to
proceed. Certainly the grievor was entitled to a
fair hearing of his case. A 'fair hearing' however
must be fair to both sides. Because of the union's
delay in proceeding with this matter, a fair hearing
has become impossible, since the employer has been
substantially prejudiced in the presentation of its
case. It is clear to us that in these circumstances
the matter is not arbitrable. We would emphasize
that our determination on this point is no
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mere 'technicality'; the requirement of a fair
hearing lies at the very root of the notice of justice,
' and it is precisely this which the union, by its delay,
has denied both to the grievor and to the employer."
((1970) 20 L.A.C. 27 (Weatherill) at Page 30.)
A similar procedure was apparently adopted in Liquid Carbonic Canada
Corp. Ltd. (1972) 23 L.A.C. 78 (Rayner).
There are, of course, numerous cases in which unreasonable delay
was raised as an objection by the employer but rejected on the facts by the
arbitrator. However, these cases are not inconsistent with the procedural
proposition that in appropriate cases of unreasonable delay causing
substantial prejudice it may be appropriate to dismiss the case without
hearing all the evidence as to the merits. Whether or not such cases should
be dismissed at any given stage is, of course, a discretionary matter and
each panel of the Board must exercise its discretion in light of the facts in
each case.
In this case we have concluded on the basis of the facts of the
case and the evidence before us that we should dismiss this grievance on
the merits without hearing further evidence. The absence of notice of the
grievance for fourteen months is so completely at odds with the type of
procedures developed throughout labour relations for the timely
identification of grievances that we do not believe that it would be possible
to hold a fair hearing in this case at this stage. No amount of evidence
which we might hear at this stage could eliminate or outweigh the inherent
prejudice done to the employer's position by virtue of the delay. Although
on hearing the evidence we might be tempted to believe that we were
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seeing a fair hearing, we would never be in a position to know with
confidence the nature of evidence we would have heard in the absence of
the delay. It is the inherent impossibility of restoring that confidence at
this stage that makes it appropriate to dismiss the grievance on the merits
at this stage.
The prejudice to the employer's case and our ability to hold a fair
hearing does not turn on the potentially increased liability of the employer.
That dimension of the prejudice could be met through an appropriately
designed remedy. Similarly, the retirement of one of the employer's
witnesses does not constitute substantial prejudice. The prejudice arises
from the fact that as a result of the Union's failure to file the grievance,
the employer was precluded from a full, effective and timely investigation
of the discharge with a subsequent deterioration in the quality of the case
that the employer would be able to put forward. This prejudice is not
contradicted by Mr. Kyle's testimony that he was able to recall the
discharge and that documents were still available. What has been lost by
the absence of a timely investigation and consideration of the case cannot
now be known. As a result, despite Mr. Kyle's self-perception, the reality
is that the employer's position has been irreversibly prejudiced.
The decision in Re Keeling was not an invitation to ignore
timeliness consideration, but rather a decision which permits the Board to
consider timeliness without being bound by the strict time limits of the
collective agreement. In doing so, we must be guided by the established
patterns of grievance processing in both the private and public sectors.
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The delay in the processing of this case was so great that it takes the case
outside even the most liberal version of the requirements for a fair
hearing.
We have deliberately refrained from commenting on any remedy
the grievor might seek or have sought against his Union. This issue is not,
and should not be, before us.
V
A final matter which requires comment before completing this
decision concerns the findings we have made about the Union solicitor's
conduct in processing of the grievor's case. In finding that the grievance
letter was not mailed, we are indirectly allocating responsibility for this
failure to the solicitor.
We should stress that we are making these findings without the
benefit of evidence from the solicitor. He was not issued a subpoena to
appear by either side. Counsel for the Union advised us that the solicitor
had been asked to appear, but that when he declined the invitation, the
Union decided not to subpoena him.
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At the conclusion of the hearing we raised with counsel the
question of whether or not it was appropriate for us to proceed to make
factual determinations without hearing from the solicitor which might
reflect negatively on the solicitor's conduct. Counsel suggested that since
the solicitor was not a party to the proceedings and since he had declined
an invitation to appear as a witness for the Union, we were free to
proceed.
Following the hearing the solicitor contacted the Vice-Chairman
directly to express his concern about the proceedings. This ex parte
contact led the Vice-Chairman to have the following letter sent to counsel
and to the solicitor:
"Professor Prichard has instructed me to write
informing you that following the conclusion of the
hearing in the above-captioned matter, he received
a telephone call from (the solicitor). (The solicitor)
indicated that he had been told by Mr. Heisey that
there had been some questioning by Professor
Prichard during the hearing of (the solicitor's)
conduct in the processing of the Clement's
grievance while employed by the Union.
Professor Prichard told (the solicitor) that since the
matter was before the Grievance Settlement Board
it was improper for (the solicitor) to discuss the
matter or to provide any information related to any
aspect of the case. Professor Prichard briefly
related the circumstances in which the comments
concerning (the solicitor's) conduct arose at the
conclusion of the hearing and then advised him that
if he wished to do anything about the issue, he must
do so by correspondence directed to the Registrar of
the Board. Professor Prichard explicitly declined to
offer any advice as to whether (the solicitor) should
or could do anything about the matter at this stage.
Finally, Professor Prichard advised (the solicitor)
that in the circumstances he felt compelled to send
this letter to both counsel to record the fact and
substance of this unfortunate ex parte contact."
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Subsequently, the Board received the following letter from the solicitor:
"With regard to the hearing of August 19, 1980, I
deem it necessary to make the following comments:
1)Absence from hearing:
Due to the fact that I was not notified until the
evening prior to the hearing, I was not able to
attend. However, a subpoena could have been
issued or an adjournment requested.
2)Professional Conduct:
I cannot help but be concerned about any
comments regarding my professional conduct:
There is something inherently wrong with a
system that allows a person's conduct to be
questioned without giving that person an
opportunity to defend himself. Though it may
still be said that I at least knew of the hearing,
such short notice and the impossibility of
predicting the course of the hearing, should not
go against me. I want it on record that I
conducted myself in the proper manner at all
times while in the employ of the union. I will
not be held responsible for mailing, filing or
other clerical duties.
As I take great pride in my endeavours, I find it hard
to believe that this situation could have arisen.
I would appreciate hearing your comments on this
matter. I can be reached at: Days:
Evenings: •It
We also received the following letter from counsel for the Union:
If I was quite concerned with the impression
that appeared to have been made in the Board's
mind with respect to the actions of the former legal
administrator of the Ontario Liquor Boards
Employee's Union.
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As the Board was made aware the grievance
before it on August 19th, 1980 was not that
originally scheduled. It was only determined at the
end of the week preceding the August 19th, 1980
hearing date that the Clement's grievance would be
heard. The Union, to accommodate the Employer
and to assist the Grievance Settlement Board in
removing its backlog of cases, agreed to this last
minute substitution.
I attempted to contact (the solicitor) but was
unsuccessful in doing so until the night of August
18th, 1980 at which time I requested that he attend
before the Board. (I was instructed by my client the
0.L.B.E.U. not to subpoena him.) (The solicitor)
advised me that he would not attend. He has
subsequently informed me that he could not attend
because of the short notice involved.
He has, however, asked me to inform the
Board that he will make himself available to the
Board if it should so require.
As a former colleague of (the solicitor) I have
nothing but the highest respect for his abilities and
competence. I feel it would be unwarranted to draw
any negative inferences from the fact that (the
solicitor) was not in attendance before the Board
other than the fact that both parties were operating
on very short notice.
lam,
Yours very truly,
(signed)
A. MILLIKEN HEISEY"
There is very little for us to add on this matter; we prefer to
allow the letters to speak for themselves. Suffice it to say that to the
extent that the letters contain matters of fact relevant to the case before
us, we ignored them to the extent that those facts were not provided or
adduced at the hearing. To the extent that the matters place the
solicitor's conduct in perspective, we have no desire to add anything.
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The Board decided it would be inappropriate for the hearing to be
reconvened to receive evidence and/or submissions from the solicitor.
Furthermore, we declined the solicitor's invitation at the conclusion of his
letter to provide him with any comments or reply apart from this award.
VI
In sum, the grievance is dismissed on the merits in light of the
undue delay in notifying the LC80 of the existence of this grievance.
We wish to 'record our thanks to Mr. Stewart and Mr. Heisey for
their assistance in this matter.
Dated at Toronto this 23rd day of February, 1981
3. R. S. Prichard, Vice-Chairman
"I Concur"
George Peckham, Member
"I dissent" (dissent to follow)
William Walsh, Member
LMP