HomeMy WebLinkAboutP-2019-0548.Berezowsky et al.21-04-19 Decision
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PSGB# 2019-0548
IN THE MATTER OF AN ARBITRATION
Under
THE PUBLIC SERVICE OF ONTARIO ACT
Before
THE PUBLIC SERVICE GRIEVANCE BOARD
BETWEEN
Berezowsky et al Complainant
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The Crown in Right of Ontario
(Ministry of the Solicitor General) Employer
BEFORE Reva Devins Vice Chair
FOR THE
COMPLAINANTS
Evelyn Berezowsky and Deborah Wood
for themselves and Bryce Barber, Mike
Edgar and Gregory Kitzul
FOR THE EMPLOYER
Peter Dailleboust
Treasury Board Secretariat
Legal Services Branch
Senior Counsel
HEARING Conference call on December 2, 2020
Written submissions on December 2,
2020; February 23 and March 8, 2021
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Decision
[1] The Complainants, Ms. Berezowsky, Mr. Barber, Mr. Edgar, Mr. Kitzul and Ms.
Wood have challenged the Employer’s refusal to grant their requests for enhanced
severance benefits under the Voluntary Exit Program (“VEP”).
[2] The Employer raised a preliminary motion, asking that the complaints be dismissed
on the grounds that the Public Service Grievance Board (the “Board” or “PSGB”)
does not have jurisdiction to hear the complaints. The Employer relied on the
Board’s decision in Tighe v. Minister of the Solicitor General, P-2015-0638, issued
on May 29, 2020, in which I found that complaints of this nature do not raise an
alleged violation of a term or condition of employment and the PSGB therefore
does not have jurisdiction.
[3] A number of employees had submitted similar complaints regarding the
administration of the VEP. Tighe was the first case to be heard, and although the
cases were not formally consolidated, the Board provided all of complainants who
might be affected by the jurisdictional dispute an opportunity to be heard. Similarly
situated complainants were sent a copy of the Employer’s written submissions and
the cases it relied upon. Ms. Berezowsky and Wood and Mr. Barber, Edgar and
Kitzul took advantage of this opportunity and provided written submissions on the
Board’s jurisdiction to consider complaints about the VEP. Their arguments were
taken into account and expressly addressed in the final decision in Tighe.
Employer’s Submissions
[4] The Employer reiterated the position it took in Tighe that the VEP does not form a
term or condition of employment until the employee’s application is approved by
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the Employer. The Employer submitted that when interpreting the Public Service
Act of Ontario (“PSOA” or the “Act”), the legislation that governs the Board’s
jurisdiction to hear complaints, the PSGB has consistently held that it will only
enforce or interpret an existing term and condition of employment and cannot
create new ones. While terms and conditions can include provisions in applicable
legislation, such as the Human Rights Code, the allegations must relate to an
existing term or condition of employment.
[5] The Employer argued that it did not make any commitments to existing employees
when it communicated the existence of the VEP. Rather, it merely advised of an
opportunity that might lead to revision of an employee’s existing contract. Counsel
suggested that in accordance with the law governing contracts, the communication
of the VEP was properly characterised as an invitation to treat: interested
employees were invited to apply with an offer to leave under the conditions set out
in the announcement, but the right to receive those benefits did not crystallise or
form a term of the contract until approved by the Employer.
[6] Counsel maintained that employees initiated the VEP process by submitting a
voluntary application to exit the OPS, but they remained free to withdraw their offer
at any point before it was approved. Conversely, approval of the application
remained in the sole discretion of the Employer. Ultimately, in the Employer’s view,
there was no binding contract or term of employment until it accepted the
employee’s offer. Counsel referred to the legal requirements related to invitations
to treat that are set out in The Law of Contracts, Fifth Edition, Waddams and
applied in UHN (Western and General Hospitals) and ONA, 2016 CanLII 6259
(ONLA) (Albertyn).
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[7] The Employer acknowledged that once approved, the provisions of the VEP would
become a term of employment and the Board would have jurisdiction to hear
complaints about the Employer’s execution of those provisions. However, there
was no “working condition or term of employment” over which the Board had
jurisdiction prior to approval of a request for VEP.
[8] Counsel relied on a number of cases from the PSGB that have considered the
limits of its jurisdiction, including findings that it does not have jurisdiction to hear a
complaint generally alleging that the process or the decision was unfair or have the
remedial authority to grant the relief requested by the Complainants: Scott et al v
Ministry of Transportation, P-0001/96, July 7, 1998 (Lynk); L. Scarr v Ministry of
Health, P-0131/96, May 7, 1997 (Leighton); Hasted/Berezowsky v Ministry of
Community Safety and Correctional Services, P-2014-2665, January 18 2016
(Nairn); Mills v Ministry of Transportation, P/0015/97, March 13, 1998 (Walter);
MacDonald et al v Ministry of Community Safety and Correctional Services, P-
2012-4718, November 7, 2014 (O’Neil); Ransome v Ministry of Health and Long-
Term Care, P-, October 30, 2006 (O’Neil); Garatt et al. v Ministry of Community
Safety and Correctional Services, P-2003-1670, May 17, 2005 (O’Neil). Counsel
also referred to the following case from the GSB: Sutherland v Ministry of Labour,
GSB# 2006-0519 (Dissanayake).
[9] Lastly, counsel for the Employer commented on the application of the duty of good
faith set out in Bhasin v Hrynew, 2014 SCC 71. Counsel noted that the case arose
in the context of a commercial contract and introduced two incremental steps to
make the law more coherent and just. First, the SCC established that good faith
contractual performance is a general organising principal of the common law.
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Second, that there is a common law duty to act honestly in the performance of
contractual obligations. In the Employer’s submission, there are no alleged facts in
the present case in which the doctrines set out in Bhasin could be invoked: the
Complainant has not made any allegations or identified facts that would support a
finding of bad faith or dishonesty.
[10] Counsel recognised that the complainants assert a lack of transparency that leaves
them unable to determine whether there was bad faith in the determination of their
application. However, counsel argued that the Board rejected a similar argument
in Garratt et al, supra. The Employer submitted that in the ultimate analysis, the
complainants have not identified a term or condition of their employment that
entitles them to a particular process, a specific form of communication or
transparency in the approval process. Nor have they identified any term or
condition that was applied incorrectly or that guarantees approval of the VEP. In
the absence of an existing term or condition of employment that has been allegedly
breached, the PSGB is without jurisdiction to consider the merits of this case.
Complainants’ Submissions
[11] The Complainants repeated the concerns they raised when the jurisdictional issue
was initially considered in Tighe that the approval process was unfair, vague and
lacking transparency. They were not provided any insight into the vague reasoning
behind the denial of their applications and they were not provided with any
information regarding the criteria or process for VEP approval.
[12] With respect to jurisdiction, the Complainants state that “similar grievances of this
nature have, in fact, recently been heard and benefited the Complainant. Details
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remain under a “gag order” lending support to the lack of transparency and unfair
process in place.”
Analysis
[13] The PGSB has clearly defined jurisdictional limits and can only hear the full merits
of a complaint in the specific circumstances spelled out by the legislature. In this
case, section 4. (1) of Regulation 378/07 under the Public Service of Ontario Act
permits a public servant “who is aggrieved about a working condition or about a
term of his or her employment” to file a complaint with the Board. There are other
circumstances where employees can file a complaint, such as when they have
been dismissed or disciplined, however, they do not apply here. In order to
proceed, I must be satisfied that the complaints allege a breach of a working
condition or term of employment; if not, the Board has no authority to issue a
decision on the merits or grant a remedy.
[14] In Tighe, supra, I found that the Board does not have jurisdiction to hear complaints
about the Employer’s denial of VEP, except on the narrow basis that the denial was
in contravention of the Ontario Human Rights Code or some other legislation. I
concluded that:
a. The Employer did not introduce a legally enforceable term or condition of
employment into the complainant’s existing contract when it
communicated the possibility of an early exit from the OPS under the VEP.
b. The Employer’s pre-contractual representation was not a legally
enforceable commitment.
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c. The Employer did not introduce a policy or directive that bound them to a
specific process by which the VEP would be decided or communicated.
d. Even if the VEP was a policy over which the Board had jurisdiction, the
complainant had not identified any specific breaches of the policy or ways
in which the Employer failed to honour commitments made to them in that
policy. Nor was there any other established policy or practice, statute or
regulation that codified the elements of the VEP that the complainant
alleged had been improperly applied.
e. While the Board has jurisdiction to review existing terms or conditions of
employment, in keeping with a long line of cases, it does not have
jurisdiction over prospective terms or conditions. This conclusion was
consistent with the Board’s limited remedial authority. The PSGB cannot
create a new term or condition of employment, including those that alter
compensation or eliminate positions.
[15] The Employer relies on the decision in Tighe to support its motion that the current
complaints are beyond the Board’s jurisdiction and should therefore be dismissed.
The Complainants’ submissions largely focused on the merits of their complaint.
They limited their submissions on the jurisdictional question to an assertion that
there are other cases where similar complainants were heard. They did not identify
the cases and stated that they could not do so because of a “gag order”.
[16] Despite the Complainants assertions, the award in Tighe remains the only case
that has been decided by the PSGB on this issue. The Complainants mention that
there have been other complaints with a different outcome. They have not
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identified the other complaints and the reference to a ‘gag order’ suggests that the
different outcome was the result of a mediated resolution. While I understand that
this would be disheartening for the complainants, there is no way of knowing what
was agreed or in what circumstances. It certainly does not provide a basis for me
to reconsider my earlier conclusion that the Board does not have jurisdiction to
entertain these complaints.
[17] When I considered the identical preliminary objection in Tighe, the Complainants
were afforded an opportunity to make submissions precisely because that decision
would potentially affect their rights going forward. Having considered their further
submissions now, I am not persuaded that there is any basis to arrive at a different
conclusion regarding the Board’s jurisdiction to hear complaints about the
Employer’s refusal to grant a request for VEP. As previously held, these
complaints do not raise an alleged violation of a term or condition of employment
and the Board does not have jurisdiction to hear them.
[18] The Employer’s preliminary motion is allowed and the Complaints are dismissed.
Dated at Toronto, Ontario this 19th day of April, 2021.
“Reva Devins”
________________________
Reva Devins, Vice-Chair