HomeMy WebLinkAbout2008-3394.Walsh-Gagnon.12-01-05 DecisionCrown Employees
Grievance Settlement
Board
Suite 600
180 Dundas St. West
Toronto, Ontario M5G 1Z8
Tel. (416) 326-1388
Fax (416) 326-1396
Commission de
règlement des griefs
des employés de la
Couronne
Bureau 600
180, rue Dundas Ouest
Toronto (Ontario) M5G 1Z8
Tél. : (416) 326-1388
Téléc. : (416) 326-1396
GSB#2008-3394, 2009-1599, 2009-1600, 2009-2202
UNION#2008-0154-0011, 2008-0154-0014, 2008-0154-0015, 2009-00154-0014
IN THE MATTER OF AN ARBITRATION
Under
THE CROWN EMPLOYEES COLLECTIVE BARGAINING ACT
Before
THE GRIEVANCE SETTLEMENT BOARD
BETWEEN
Ontario Public Service Employees Union
(Walsh-Gagnon) Union
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The Crown in Right of Ontario
(Ministry of Labour) Employer
BEFORE M.V. Watters Vice-Chair
FOR THE UNION Mihad Fahmy
Peggy Smith Law Office
Barristers & Solicitors
FOR THE EMPLOYER Cathy Phan
Ministry of Government Services
Labour Practice Group
Counsel
HEARING February 11, June 14, September 14, 2011.
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Decision
[1] At the outset of the hearing, the parties filed the following Agreed Statement of
Facts:
“1. The Grievor has been employed as a Worker Advisor with the
Office of the Worker Advisor-Windsor in the Ministry of Labour
since May 22, 2002.
2. The Grievor became a classified Full Time Employee on
January 29, 2003.
3. The Grievor reported a claim with the Workplace Safety and
Insurance Board for gradual onset of neck, right shoulder, bilateral
elbow, and bilateral wrist pains due to the nature of job specifically
the amount of writing and note taking that was required. An
accident date of February 3, 2003 was established.
4. A NEL assessment took place in July 2007 and the Grievor was
assessed a permanent impairment for bilateral carpal tunnel
syndrome and bilateral cubital tunnel syndrome. This resulted in a
24% non-economic loss award.
5. Between October 2007 and March 2008 the Grievor was on sick
leave for her work related injury. During this period she utilized her
STSP credits without topping up. This meant that between October
2007 and March 2008 she was receiving 75% of her full time salary.
6. Between March 2008 and July 2008, the Grievor returned to work
on modified duties—working 3 hours and 38 minutes, with a
caseload reduced to half. During this period of time, the Grievor
utilized her sick leave (at 75% of her pay) for the remainder of the
workday until they were exhausted in July 2008.
7. On July 10, 2008 the Employer received a medical report from Dr.
James H. Roth stating that the arrangement of working half days was
a “permanent restriction”.
8. On July 15, 2008 the Grievor exhausted her STSP credits.
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9. In July 16, 2008, the Employer converted Ms. Walsh-Gagnon’s
status to that of Regular Part-Time.
10. On August 18, 2008 the Grievor filed a grievance regarding the
conversion and resulting changes to her pay and benefits.
11. On September 24, 2008 the Grievor filed a grievance regarding the
conversion and resulting changes to her pay and benefits.
12. On October 1, 2008 the Grievor filed a grievance regarding her pay.
13. On November 17, 2008 the Grievor’s status was changed back to
Full-Time pending an Independent Medical Examination.
14. The Grievor was on sick leave between January 12, 2009 and April
3, 2009 for an unrelated injury. During this period the Grievor
utilized her STSP credits and as a result was receiving 75% of her
Part-Time salary.
15. On May 7, 2009 the Grievor underwent an Independent Medical
Examination. The report indicated that the Grievor’s restrictions of
working 3 hours and 38 minutes per day were permanent.
16. On June 26, 2009 the Grievor was informed by way of a letter from
her Manager, Sue Finch that the Employer could not (sic.) longer
accommodate her in her current position of Worker Advisor. As a
result she would be entered into the Corporate Health Reassignment
Program. The Employer continues to search for an alternative
position through the Corporate Health Reassignment process to the
present day.
17. Further, in the same letter the Employer informed the Grievor that
effective July 10, 2009 her status would be converted to Permanent
Part-Time.
18. On July 17, 2009 the Grievor filed a grievance regarding her
conversion to Part Time status, and resulting changes to her pay and
benefits.
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19. The Grievor was granted full Loss of Earnings (LOE) benefits from
October 16, 2007 until March 3, 2008 by WSIAT on September 17,
2009.
20. The Grievor was granted partial LOE benefits as of March 3, 2008
on the basis of her ability to work 3.5 hours per day. This LOE
benefit continues to the present day.
21. In June of 2010, the Grievor was informed that she would now be
assigned claim files and merit reviews to be handled during her 3
hours and 38 minutes of work. The Grievor was also informed that
the WSIB had now approved accommodating her to conduct half-
day hearings.
22. Currently, the Grievor’s benefits are as follows:
i. Dental – The Employer is contributing 50% of the monthly
premium for Dental Plan as per Article 68.4 of the Collective
Agreement. The Grievor is currently paying the balance of
the monthly premium
ii. Supplementary Health and Hospital Insurance-
The Employer is contributing 50% of the monthly premium
for Supplementary Health and Hospital Insurance as per
Article 67.1.1 of the Collective Agreement. The Grievor is
currently paying the balance of the monthly premium
iii. LTIP – The Employer is currently paying 100%
of the monthly premium as per Article 70.1 of the
Collective Agreement.
iv. Basic Life – The Employer is currently paying 100% of the
monthly premium as per Article 65.1 of the Collective
Agreement. ”
[2] The grievor was the sole witness to present evidence for the Union. She advised
that her job as a Worker Advisor involves the representation of non-unionized injured
workers before the Workplace Safety and Insurance Board (WSIB) and the Workplace
Safety and Insurance Appeals Tribunal (WSIAT). She is also responsible for all of the
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prepatory work associated therewith. The grievor is a lawyer and a member of the Law
Society of Upper Canada.
[3] Between October, 2007 and March, 2008, the grievor was on sick leave for her
work related injury. In that period, she utilized the Short Term Sickness Plan (STSP)
without topping up. As a consequence, she should have received seventy-five percent
(75%) of her regular salary pursuant to article 44 of the collective agreement. The
grievor, however, was paid one hundred percent (100%) of her salary up until
December 17, 2007. While not entirely clear, it appears that her claim for WSIB
benefits was denied about that time. After this denial, deductions started to be made
from the grievor’s pay cheque. A deduction of $1,764.19 appeared on her pay stub
dated December 27, 2007. The grievor assumed that this represented a recovery of the
overpayment received between October and mid-December, 2007. She did not then
view this deduction as an error.
[4] It was the grievor’s evidence that mistakes subsequently started to appear on her
pay stubs commencing in January, 2008. She testified that there were repeated errors
made that were “out of sync” with the amount she felt should have been paid. By way
of examples, she referenced the following:
i. Her pay stub dated January 24, 2008 showed a deduction of
$2,135.82 from her pay. As a consequence, her net pay was
only $43.05. The grievor testified that she had no idea why
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the aforementioned amount was deducted and, accordingly,
elected to file a grievance in respect of same;
ii. Her pay stub dated February 7, 2008 showed gross pay of
$2,422.56. This was considerably less than the gross pay of
$3,136.20 shown on her pay stub of January 10, 2008. The
grievor testified that she did not understand why her gross
pay had been reduced. She also cited a series of pay stubs
which, from her perspective, incorrectly calculated her gross
pay as follows: March 6 ($2,099.57), March 20 ($2,422.62),
April 3 ($2,684.42), May 1 ($2,261.87), June 12 ($888.19),
July 24 ($2,584.16) and August 21, 2008 ($1,540.31). The
grievor stated these were only some of the errors made in
2008; and
iii. The grievor advised that this problem continued into 2009
and cited the following as the “worst examples” of errors
made in respect of her gross pay: February 19 ($484.39),
March 5 ($968.99), April 2 ($484.40), April 16 ($807.46)
and September 3, 2009 ($904.81).
[5] Following the initial Stage Two meeting regarding the pay issue, personnel in
Ontario Shared Services developed a spread sheet which showed that the grievor owed
$5,605.00 to the Employer. The grievor contested the correctness of the calculation and
filed a further grievance. After a second Stage Two meeting, Ontario Shared Services
conducted a salary review in respect of the grievor for both 2008 and 2009. This
exercise concluded that the grievor owed the Employer the lesser amount of $1,714.22.
It was the grievor’s evidence that she accepted this calculation once the process and
rationale was explained to her. The parties then agreed, however, that the grievor
would not repay anything until another issue regarding her benefits, which is described
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in more detail below, was addressed. To be clear, the $1,714.22 has not been repaid to
date.
[6] During the course of her evidence, the grievor advised that she received a letter
from her Manager, Ms. Sue Finch, dated December 20, 2010. This letter, which was
not filed as an exhibit, apparently provided the grievor with the option of paying one (1)
of two (2) much larger amounts. As the grievor did not understand how the figures
were arrived at, she filed a further grievance. The parties agree that this Vice-Chair is
seized of this additional matter.
[7] It was the substance of the grievor’s evidence that she brought the pay issue to
Ms. Finch’s attention on several occasions and that her Manager advised her that she
would speak to individuals in the Human Resources and Payroll Departments for
assistance. The grievor, in cross-examination, agreed that Ms. Finch did pursue the
matter, as promised. It is apparent, however, that the situation was confusing to all
involved and that it took a substantial period of time to address the discrepancies
complained of.
[8] As indicated in the Agreed Statement of Facts, the grievor returned to work on
modified duties in March, 2008. While she worked half days in the period March to
July, 2008, the grievor continued to have full-time status. As a consequence, she
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received health and welfare benefits at the full-time level. It was the grievor’s evidence
that these benefits were “terminated” at some point in June, 2008. She explained that
during that month she had visited her dentist and that the latter’s office was informed by
the insurance carrier, when submitting the claim, that coverage had been cancelled. The
grievor subsequently advised Ms. Finch of this development. She was later told by her
Manager that the Human Resources Department had confirmed there was a problem,
but that it had been remedied. The grievor testified, however, that she experienced a
similar problem in July, 2008 when trying to obtain prescribed medications. At that
juncture, her Pharmacy advised her that the coverage had been cancelled. The grievor
recalled that this problem continued up until October, 2008 and that in the interim she
was compelled to pay out of pocket for medications and dental expenses. It was
ultimately determined in late October, 2008 that the grievor’s coverage had been
terminated effective June 1, 2008. Steps were taken to reinstate such coverage and
arrange for repayment of the amounts expended personally by the grievor. I was
informed that the insurance company subsequently reimbursed the grievor for
everything she had paid for in the period June to October, 2008.
[9] The Agreed Statement of Facts also stipulate the following: the grievor’s status
was converted from Full-Time to Regular Part-Time on July 16, 2008; a grievance was
filed on August 18, 2008 regarding this conversion and the resulting changes to the
grievor’s pay and benefits; the grievor’s status was changed back to Full-Time on
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November 17, 2008 pending on Independent Medical Examination; and the grievor’s
status was converted to Permanent Part-Time effective July 10, 2009. The grievor
continues to have this latter status.
[10] The grievor testified that post July, 2008, deductions were made from her pay for
benefits and, more specifically, for the Dental Plan and Supplementary Health and
Hospital Insurance. The grievor prepared a chart, which was filed as an exhibit,
showing the deductions from her pay for health and welfare benefits over the period
August, 2008 to August, 2011. She totalled the deductions made during this period at
$5,065.91.
[11] The grievor further testified that following the conversion to Permanent Part-
Time status in July, 2009, the amount deducted from her pay for pension purposes was
reduced by approximately one half in comparison to the usual deduction prior to that
change.
[12] As indicated, by WSIAT Decision of September 17, 2009, the grievor was
granted full Loss of Earning (LOE) benefits from October 16, 2007 to March 3, 2008.
Additionally, she was granted partial LOE benefits as of March 3, 2008 and continuing
based on her ability to work three and one-half (3 ½) hours per day. With respect to the
initial period, in respect of which full LOE benefits were awarded, the grievor was
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entitled to eighty-five percent (85%) of earnings. It was the grievor’s evidence,
however, that following the Employer’s recovery of the initial twenty-five percent
(25%) overpayment, she has not received the additional ten percent (10%) owing to her
as a consequence of the above-mentioned WSIAT Decision. The grievor further
maintained that she received no additional compensation for the half of the day she was
unable to work in the period from July 16 to October 9, 2008. While it was not entirely
clear, the grievor appeared to suggest that the Employer has received funds from the
WSIB to compensate for the loss of earnings in both periods.
[13] Lastly, the grievor advised that, with respect to the absence from October 16,
2007 to March 3, 2008, she did not receive full pay for the first sixty-five (65) working
days, as required by article 41.2 of the collective agreement. She observed that the
Employer initially paid her full salary, but then “took it back” through payroll
deductions following the initial denial of her WSIB claim.
[14] Ms. Sue Finch was the sole witness to present evidence for the Employer. Ms.
Finch is the Regional Manager of the Office of the Worker Advisor. She is responsible
for program delivery by Regional Offices in Windsor, London, Hamilton and St.
Catharines and a Satellite Office in Sarnia, Ontario. A total of twenty-three (23)
employees report to her.
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[15] Ms. Finch testified that the grievor was initially converted to Regular Part-Time
based on the medical report received from her personal physician, Dr. James H. Roth,
dated July 10, 2008. The report reads, in part:
“…………………………………………………………………
I do feel that Heather Walsh-Gagnon has a permanent partial
disability and will not be able to return to jobs requiring
repetitive activities or heavy lifting, gripping or pinching with
either hand. She is presently working half days which is three
and three quarter’s hours a day. I feel that this is a permanent
restriction as well.
…………………………………………………………………”
The conversion was effective July 16, 2008. Ms. Finch recalled that she exchanged
emails with the grievor about the change prior to formally meeting with her on August
13, 2008.
[16] As noted in the Agreed Statement of Facts, the grievor’s status was changed back
to Full-Time on November 17, 2008 pending an Independent Medical Examination.
The report following such examination, dated May 7, 2009, stated that the restriction
the grievor only work three (3) hours and thirty-eight (38) minutes per day was
permanent. This information prompted the Employer to convert her status to Permanent
Part-Time effective July 10, 2009.
[17] Ms. Finch agreed that the grievor approached her about the discrepancies in her
pay. It was Ms. Finch’s evidence that she communicated with numerous individuals
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responsible for pay, benefit and human resources issues, and with representatives with
Ontario Shared Services, over a lengthy period of time in an effort to resolve the
problem. She described the experience as “extremely frustrating”. In her words, it was
“a long and complex, long standing problem and as time went on the problem just got
bigger”. Ms. Finch added that she just could not seem “to get Ontario Shared Services’
attention on this”. She testified that it took a couple of years before Ontario Shared
Services arrived at the figure of $1,714.22, as referenced in paragraph [5] of this
Decision. Ms. Finch stated that the grievor was satisfied, at the time, with this
calculation and that the parties agreed it was an accurate assessment of the amount the
grievor owned to the Employer as of December, 2009. She acknowledged that the
aforementioned figure did not take into account the other outstanding matter concerning
the grievor’s benefits. It was agreed that the $1,714.22 would not be repaid until such
time as the benefits issue was resolved.
[18] Ms. Finch was unaware if the grievor received sixty-five (65) days of full pay, in
respect of the October, 2007 to March, 2008 period, as required by article 41.2 of the
collective agreement. Additionally, she was unable to dispute the grievor’s evidence
that she did not receive the difference between sick leave entitlement (75%) and the
WSIB award (85%) in respect of this same period.
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[19] Ms. Finch testified that she, similarly, followed up on the concerns the grievor
brought to her about her benefits. It was her belief that these concerns had been
resolved. I took from Ms. Finch’s evidence that this belief was in respect of the lapse in
coverage, as described earlier in paragraph [8] of this Decision.
[20] The relevant provisions of the collective agreement read:
ARTICLE 41 – WORKPLACE SAFETY AND INSURANCE
41.2 Where an employee is absent by reason of an injury or an
occupational disease for which an award is made under
the Workplace Safety and Insurance Act, his or her salary
shall continue to be paid for a period not exceeding three
(3) consecutive months or a total of sixty-five (65)
working days where such absences are intermittent,
following the date of the first absence because of the
injury or occupational disease, and any absence in respect
of the injury or occupational disease shall not be charged
against his or her credits.
41.4 Where an employee receives an award under the
Workplace Safety and Insurance Act, and the award
applies for longer than the period set out in Article 41.2
(i.e. three (3) months), the Employer will continue
subsidies for Basic Life, Long Term Income Protection,
Supplementary Health and Hospital and the Dental Plans
for the period during which the employee is receiving the
award. The Employer shall continue to make the
Employer’s pension contributions unless the employee
gives the Employer a written notice that the employee
does not intend to pay the employee’s pension
contributions.
I note that a virtually identical provision to article 41.4 is contained in article 69.4 in
Part C relating to Regular Part-Time Employees.
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[21] Counsel for the Union noted that the grievor was on sick leave between October
16, 2007 and March 3, 2008, and that she received a Workplace Safety and Insurance
Act (WSIA) award in respect of same. She submitted that the Employer violated article
41.2 of the collective agreement in two (2) ways in this period. First, the grievor was
ultimately only paid seventy-five percent (75%) of salary and not one hundred percent
(100%) of salary for the first sixty-five (65) days of absence. Second, such absence was
charged against her credits. Counsel asked that I confirm these contractual violations.
She further noted that another matter which has to be factored into any remedy is what
the grievor should have received after the initial three (3) month period, given that she
continued to be subject to a WSIB award. Counsel advised that this issue has not yet
been dealt with by the parties.
[22] Counsel for the Union next addressed the grievor’s entitlement relating to health
and welfare benefits once her status was converted to Regular Part-Time. She argued
that the following two (2) periods are relevant to this assessment: July to November,
2008, this being the period of the initial conversion; and July, 2009 to the present,
following the second conversion from full-time status. Counsel referenced the grievor’s
calculation that $5,065.91 was deducted from her pay for health and welfare benefits up
to August, 2011. She observed that the Employer did not dispute this amount through
any contrary evidence. From her perspective, this amount was paid by the grievor, as
the Employer did not properly apply article 41.4 of the collective agreement.
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[23] Counsel for the Union submitted that, under article 41.4, the grievor was, and
continues to be, entitled to the health and welfare benefits referenced therein at the full-
time level, and at no cost to her, for as long as she is in receipt of a WSIB award. She
argued that this contractual entitlement was not affected by the conversion of the
grievor’s status to Regular Part-Time. More specifically, counsel argued that article
41.4 contemplates the situation of an employee who has a work-related injury, receives
a WSIB award for a period of longer than three (3) months, and has reduced hours as a
consequence of the injury. She submitted that, in this factual context, an employee,
such as the grievor, is entitled to the full benefit of the article as if there had been no
reduction in working hours.
[24] Counsel relied on two (2) Decisions issued in Ontario Public Service Employees
Union (McNally) and Ministry of Transportation, GSB File No. 2000-0306, 2000-1542
(Brown). The first Decision is dated October 16, 2003; the second is dated September
21, 2005.
[25] The grievor in McNally initially injured her right knee at work in 1991 and was
off work from time to time because of same. She suffered a recurrence in December,
1994 and missed additional time as a consequence. The grievor there, ultimately,
returned to her job as a senior licensing clerk in September, 1995 with a modified
schedule. Her hours increased gradually until she was working eighteen (18) hours per
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week-three (3) days of six (6) hours each. Unfortunately, the grievor injured the same
knee again in September, 1996 and was off the job until February, 1997. In September,
1997, she fell when her knee gave out and did not work until February, 1999. A
medical certificate completed by the grievor’s doctor, dated January 5, 1999,
characterized her medical restrictions as “permanent”. The grievor received WSIB
benefits for each injury or recurrence and was found to be entitled to a Future Economic
Loss (FEL) award. The grievor, in McNally, never was able to work more than
eighteen (18) hours per week following her return in September, 1995. Nevertheless,
she was treated as a full-time employee for the purpose of vacation, statutory holidays,
pension and health and welfare benefits. In November, 1999, however, her status was
converted to that of a regular part-time employee and she was advised that her
entitlements would be reduced accordingly.
[26] The Union in McNally contended that the Employer was contractually obliged to
continue providing health and welfare benefits to the grievor because she had been
granted a FEL award by the WSIB. It relied on article 41.4 in support of the contention.
Ultimately, Vice-Chair R. Brown determined that the grievor was entitled to the
protection afforded by article 41.4 in respect of the specific health and welfare benefits
referenced therein. He noted that the article did not preclude the Employer from
reducing certain other benefits, such as vacation and statutory holidays, and, therefore,
proceeded to determine whether their reduction was prohibited by either the collective
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agreement or the Human Rights Code, as discrimination based on disability. After
considering the judgment of the Ontario Court of Appeal in Ontario Nurses’
Association v. Orillia Soldiers Memorial Hospital (1999), 169 D.L.R. (4th) 489, Vice-
Chair Brown concluded that the facts before him did not constitute unlawful
discrimination. In this regard, he stated.
“………I note article 41.4 entitles the grievor to other benefits
not available to employees working part-time for reasons other
than disability. To this extent, as a disabled employee, she is
treated more favourably than others…………………………..”
(page 10)
[27] The Union in McNally subsequently argued that the above ruling rested upon the
tacit premise that the grievor continued to have full-time status. Vice-Chair Brown, in
his second Decision, rejected that argument and, in the course of so doing, elaborated
on the rationale for his conclusion in the earlier Decision as follows:
“Rejecting the union’s contention that article 41.4 preserved full-time
status and all of the benefits normally associated with this status, I
concluded “article 41.4 does not preclude the employer from reducing
some of the grievor’s benefits below the level previously enjoyed by
her –ie. pension, sick leave, statutory holidays and vacation” (page 6).
These benefits are not listed in article 41.4. It mentions some but not
all of the benefits typically provided to full-time employees-
something the Union’s argument entirely ignored. In my view, the
only reasonable explanation for this differential treatment is that the
parties to the collective agreement intended someone like the grievor,
whose hours are reduced because of a workplace injury, to continue
receiving the benefits specified in article 41.4 as if there had been no
reduction in hours, but not to enjoy the same protection for other
benefits not listed.
…………………………………………………”
(page 3)
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[28] Counsel for the Union in the instant dispute submitted that the situation here
mirrors that which existed in McNally. On the reasoning of that Decision, she argued
that conversion to part-time status does not preclude an employee’s entitlement to the
protection of article 41.4 of the collective agreement. Counsel further argued that
article 69.4 is inapplicable to this case, as the grievor had full-time status, and worked
full-time hours, prior to the injury. She suggested that the appropriate “reference point”
to determine applicability is the date of injury. In this regard, counsel stressed that the
grievor was not a part-time employee as of the onset of her injury. Counsel also relied
on the award in Re Victorian Order of Nurses (Algoma Branch) and Ontario Nurses’
Association (1996), 56 L.A.C. (4th) 235 (Low) in support of her argument on this aspect
of the case. In summary, she submitted that to treat the grievor as part-time for
purposes of the health and welfare benefits listed in article 41.4 would defeat the intent
of that contractual provision and would disregard the conclusion reached in McNally.
[29] Counsel observed that the collective agreement effective January 1, 2009 added
the following language to article 41.4:
“………The Employer shall continue to make the Employer’s pension
contributions unless the employee gives the Employer a written notice
that the employee does not intend to pay the employee’s pension
contributions.”
She suggested that the addition of this new language was in response to the second
McNally Decision and reflected an intent of the parties that pension be treated in a
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fashion identical to the other listed benefits. Counsel submitted that after January 1,
2009, the grievor was entitled to have the Employer make pension contributions at the
full-time level, as if there had been no reduction in her working hours.
[30] In response, counsel for the Employer submitted that the change to the grievor’s
status was proper in view of the medical evidence confirming that the restriction on her
hours of work was permanent. In this regard, counsel referenced both the report of the
grievor’s physician, Dr. James H. Roth, dated July 10, 2008 and the report from the
Independent Medical Examination dated May 7, 2009. She argued that following the
conversion, the grievor’s entitlement to benefits was governed by the Regular Part-
Time provisions of the collective agreement and, more specifically, by articles 67.1.1,
relating to Supplementary Health and Hospital Insurance, and 68.4 relating to the
Dental Plan. Under both of the aforementioned provisions, the percentage of the
monthly premium paid by the Employer is tied to “the percentage that the employee’s
weekly hours of work bear to full-time employment”. The balance of the premium is
paid by the employee through payroll deduction.
[31] Counsel argued that benefit contributions are made by the Employer for the
purpose of providing additional compensation in exchange for work. It was her
submission that the Employer is entitled to compensate a disabled employee, who can
only work part-time hours, on the same basis as other part-time employees. She noted
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that, in contrast, the Union claimed that the grievor is entitled to receive benefits as if
she was still working full-time. Counsel argued that the Union’s position is not
supported by the applicable jurisprudence. On her reading, the authorities establish that
it is not discriminatory to compensate a disabled employee, who can only work part-
time, on the same basis as other part-time employees when there is no reasonable
accommodation which would enable the employee to work full-time. The Employer
relies on the following authorities in support of this submission: Ontario Nurses’
Association v. Orillia Soldiers Memorial Hospital, cited above; Ontario Public Service
Employees Union v. Liquor Control Board of Ontario (Eveleigh Grievance), GSB No.
2008-2134 (Gray); Cambridge Memorial Hospital and Ontario Nurses’ Association
(Butts Grievance) (1999), 79 L.A.C. (4th) 392 (Barrett); Ontario Liquor Boards
Employees Union and the Liquor Control Board of Ontario (Pound), GSB No. 3278/92
(Briggs); Ontario Public Service Employees Union v. Ministry of Community Safety
and Correctional Services (Lucan Grievance), GSB No. 2003-0167 et al. (Abramsky).
[32] In Orillia Soldiers Memorial Hospital, the Ontario Court of Appeal found that
employer contributions to employee benefit plans are a form of compensation. It
further determined that it is not prohibited discrimination to distinguish for purposes of
compensation between employees who are providing services to the employer and those
who are not. Counsel argued that, in the circumstances of the instant case, the grievor is
not entitled to the benefits claimed at the full-time level, given that she only works part-
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time hours. It was her assessment that the Employer is entitled to receive full-time
work in exchange for this form of full-time compensation.
[33] In Eveleigh, the grievor was converted from full-time to part-time status on the
basis of medical information confirming that he was permanently unable to work full-
time hours. This change affected the magnitude of the grievor’s attendance and
vacation credits, as well as his ability to access attendance credits as a source for
income replacement. It also negatively impacted his pension. The Union argued that
this change in status was a reaction to the grievor’s disability and, therefore, constituted
discrimination prohibited by both the collective agreement and the Human Rights Code.
This argument was rejected by Vice-Chair O.V. Gray. The pertinent part of the
Decision reads:
“The approach of the Supreme Court in Meiorin, as explained in Hydro-
Quebec, is not inconsistent with the conclusion of the Ontario Court of
Appeal in Orillia Soldiers Memorial Hospital that the obligation to
accommodate disability does not extend to replacing wages or benefits that
the employee would have received for doing work that the employee could
have done “but for” her disability, when there is no accommodation by
which the employer could enable the employee to do that work.
Several of the decisions and awards relied on by the employer address the
question whether someone who was once a full-time employee but as a
result of a disability can only work part-time hours remains entitled to
benefits calculated as though the employee was still a full-time employee.
Generally speaking, those decisions take the view that benefits of the sort
in issue here are part of the compensation provided for working full-time
hours. They adopt, explicitly or implicitly, the approach of the Ontario
Court of Appeal in Orillia Soldiers Memorial Hospital to compensation of
employees totally unable to work and apply it to compensation of
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employees able to work part-time but not full-time hours, and determine
that it does not amount to discrimination on the basis of disability to
compensate a disabled employee working part-time hours in the same way
as other part-time employees would be compensated.”
Ultimately, it was held that the Employer in Eveleigh was entitled to end the grievor’s
full-time status and to apply the Permanent Part-Time provisions of the collective
agreement to his part-time employment.
[34] The issue in Cambridge Memorial Hospital was whether a full-time nurse, whose
permanent restrictions due to handicap required her to work less than full-time hours,
should have received health and welfare benefit coverage as if she were a full-time
nurse, or a percentage in lieu of benefits to which a part-time nurse was entitled under
the collective agreement. A majority of the Board of Arbitration applied the approach
taken in Orillia Soldiers Memorial Hospital and found that benefit plan participation is a
compensation issue and that it did not constitute discrimination to provide the grievor
with only the collective agreement benefits she was entitled to by reason of the number
of hours worked.
[35] In Pound, the grievor was absent from work due to a compensable injury. The
grievor claimed that she was the victim of adverse impact discrimination because the
Employer failed to allow her to continue to accrue vacation and attendance credits
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during the period of her absence. This claim was rejected by Vice-Chair F. Briggs. The
material excerpts from the Decision read:
“…………………………………………………………………
The matter at issue is one of compensation. The Employer’s long
standing and continuing practice of disallowing the accrual of
vacation and attendance benefits while employees are absent without
pay is not a matter of discrimination which impacts upon an
employee’s access to employment. It is a matter of an employee’s
level of compensation………………………………………………”
(page 9)
-and-
“Employees who are absent from work and in receipt of Worker’s
Compensation Benefits are paid an amount of money that is less than
what employees attending at work would otherwise earn. As in the
Stelco case, there was no suggestion from the Union that the grievor
was monetarily compensated in an amount that is contrary to the
Code. During the period when she was in receipt of Worker’s
Compensation Benefits, Ms. Pound was compensated in a manner that
was consistent with the Code. The fact that she did not continue to
accrue certain benefits which were earned by her co-workers who
attended at work is not discriminatory. The earning of those benefits
is dependent upon attendance at work. That qualification does not, in
my view, offend the Code.”
(pages 10-11)
[36] The issue in Lucan was whether the Employer discriminated against employees
absent from work due to work-related injuries by not counting the period of absence in
the calculation of continuous service, the accrual of attendance credits, or for merit pay
purposes. Vice-Chair R.H. Abramsky found that attendance credits and merit increases
were compensation benefits tied to the performance of work. She, therefore,
determined that it was not discriminatory to require an employee to actually work in
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exchange for those benefits. Vice-Chair Abramsky reached an opposite conclusion in
respect of the calculation of continuous service, as she concluded that the treatment
adversely impacted an employee’s ability to participate and thrive in the world of work
in the Ontario Public Service.
[37] Lastly, counsel for the Employer referenced a Compensation Directive from
Management Board of Cabinet issued in August, 2007 and last revised in June, 2011.
The Directive reads, in part:
“GROUP INSURANCE PLANS
49(1) The Crown may enter into agreements with insurance
underwriters for the purpose of providing employees the
following group insurance coverages:
……………………………..
5. A Supplementary Health and Hospital Insurance Plan.
6. A Dental Insurance Plan.
……………………………………………………
(2) The group insurance coverage referred to in subsection
(1) shall not be provided for an employee during a leave
of absence without pay except to the extent that the
employee arranges through the payroll or personnel
branch of his or her ministry to pay the amount of the full
premium for any of the coverages that the employee
chooses to have continued during the leave and pays the
amount at least one week before the first of each month
of the leave of absence.
…………………………………………………………”
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[38] Counsel for the Employer argued that it is unnecessary for this Vice-Chair to
issue a declaration with respect to the pay discrepancy issue. She noted that the Agreed
Statement of Facts provides that the grievor was paid at seventy-five percent (75%) of
salary between October, 2007 and March, 2008. She further noted that it is also agreed
the grievor was granted full LOE benefits for that period by WSIAT. Counsel advised
that the Employer, at no point, has taken the position the grievor is not entitled to full
loss of earnings at eighty-five percent (85%) as provided for by the WSIA. She
suggested that a recalculation could be done following the disposition of the benefits
issue.
[39] Counsel for the Employer stated that if the grievor indicated an intention to pay
pension contributions at the full-time level, then the Employer would contribute in
similar fashion. From her perspective, the parties are in agreement on this aspect of the
dispute. In addressing this issue, counsel referenced a ‘Fact Sheet’ prepared for
members of the OPSEU Pension Trust.
[40] The Union’s reply argument may be summarized as follows:
i. The authorities relied on by the Employer are all
distinguishable, as they do not address an employee’s
entitlement under article 41.4 of the instant collective
agreement. Counsel reiterated that, as recognized by
McNally, this article is intended to provide a greater
benefit to disabled employees who, as a result of their
workplace injury, have to work part-time hours. She
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submitted that there is nothing in the case law which
precludes this type of negotiated provision. Counsel
agreed that, following the conversion, the grievor is
subject to the Regular Part-Time provisions of the
collective agreement with the exception of the benefits
specifically mentioned in article 41.4;
ii. On counsel’s reading, the Agreed Statement of Facts sets
out different time periods and the level of pay received
by the grievor in respect of same. It was her submission
that the document does not reflect an agreement that
contractual violations have occurred. She, in substance,
asked that I “spell out the nature of the violations”; and
iii. Counsel recognized that the parties are in agreement on
the pension issue moving forward. She stressed,
however, that the Employer has not made full-time
contributions over the past two (2) years. Counsel asked
for the issuance of an order that the obligation to make
contributions at that level arises from article 41.4.
[41] The parties, in effect, asked that I make the necessary rulings to permit them to
engage in meaningful discussions concerning the remedy appropriate in the
circumstances of this case. I trust that the following comments will assist them in this
process. In any event, I will remain seized with respect to all of the issues arising from
the grievances.
[42] From the evidence presented, it is practically impossible for me to completely
understand, or explain, the amount and the timing of the numerous deductions made
from the grievor’s pay in 2008 and 2009. It appears that part, if not all, of the
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deductions reflect an attempt on the part of the Employer to recoup an overpayment, it
believed it made, in the period from October 16 to December 17, 2007. The difficulty
in trying to piece this all together is evidenced by the lengthy period of time it took
Ontario Shared Services to arrive at a calculation that was both understandable and
acceptable to the grievor. In the circumstances, it is easy to grasp why the grievor was
confused about the quantum and pattern of the deductions from her pay stubs.
Ultimately, on the evidence, I am satisfied that the grievor owed the amount of
$1,714.22 to the Employer as of December, 2009. Both the grievor and the Employer
agreed to this amount following the completion of the salary review for 2008 and 2009.
Accordingly, the parties are to use this figure as a starting point for the further
calculations required as a consequence of this Decision.
[43] Much of the difficulty arising in this case stems from the fact that there was no
WSIA award made as of the time the grievor went off on sick leave in October, 2007.
Notwithstanding that fact, the Employer continued to pay her full salary for
approximately two (2) months after the start of her leave. As mentioned above, the
Employer then acted to recover what it viewed as an overpayment, once it learned that
the grievor’s WSIB claim was denied. That denial, however, was subsequently
reversed by the WSIAT Decision of September 17, 2009. The result of the
aforementioned Decision was that the grievor was entitled to have her full salary
continued under article 41.2 for a period not exceeding three (3) consecutive months or
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a total of sixty-five (65) working days where the absences were intermittent. The
parties will, therefore, have to address this entitlement, as the grievor ultimately only
received seventy-five percent (75%) of her regular salary in the period October, 2007 to
March, 2008.
[44] Two (2) other matters arising from the WSIAT Decision will have to be assessed
by the parties. First, the grievor is entitled to the ten percent (10%) differential in pay
between what she received under the STSP (75%) and what she would have received
under the WSIA (85%) in respect of the period October, 2007 to March, 2008. Second,
the parties will have to consider the impact of the WSIAT Decision on what the grievor
should have received in pay in the period following March 3, 2008, in respect of which
she was awarded partial LOE benefits. As noted in the Agreed Statement of Facts, the
grievor returned to work on modified duties on that date and has only been able to work
half days since. I recognize that this latter matter has not been addressed by the parties
in their discussions to date. I was given no reason to question the grievor’s assertion
that she has not received any extra payment in respect of either of these periods.
[45] Two (2) periods of time are relevant to the resolution of the benefits issue. The
first is the period from July 16 to November 17, 2008, which encompassed the initial
conversion. The second is the period from July 10, 2009 to the present, representing the
subsequent conversion from Full-Time to Permanent Part-Time status. During both of
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these periods, deductions were made from the grievor’s pay to cover part of the overall
premium for Supplementary Health and Hospital Insurance and the Dental Plan. In my
judgment, the grievor should be compensated for these deductions, as she is entitled to
the protection afforded by article 41.4 of the collective agreement. I accept that, in the
final analysis, the grievor’s situation mirrors that present in McNally, and that the
reasoning of that Decision is applicable to the instant dispute. The conversion of the
grievor’s status to Part-Time does not, pursuant to McNally, affect the rights provided
for by article 41.4 or, more specifically, the Employer’s obligation thereunder to
continue subsidies at the full-time level for the two (2) benefits in issue. I reject the
submission that article 69.4 was triggered by the conversion. I think it material that the
grievor had full-time status, and worked full-time hours, prior to the injury which led to
the absence commencing October, 2007.
[46] I agree with the reasoning and result in all of the authorities relied on by the
Employer. I have been persuaded, however, that they are all distinguishable, as none of
them involved an interpretation and application of article 41.4 relative to the specific
benefits referenced therein. I also note the Union did not submit in closing argument
that the Employer’s actions represented discrimination on the ground of handicap or
disability. I think it would represent an error to distinguish McNally on the sole basis
this grievor was not subject of a WSIB award when she was converted to the lesser
status. As mentioned, the initial denial of benefits was reversed on appeal. Ultimately,
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I conclude that the resolution of these grievances has to be predicated on the fact the
grievor was found to be entitled to WSIA benefits effective October 16, 2007.
[47] I was given no reason to doubt the grievor’s calculation as to the total amount
deducted from her pay stubs for Supplementary Health and Hospital Insurance and the
Dental Plan over the period August, 2008 to August, 2011, this being $5,065.91. I
leave it to the parties, however, to confirm the accuracy of that figure.
[48] It is unfortunate that the grievor’s benefit coverage was cut off in June, 2008 and
that, as a result, she was compelled to incur personal expense for dental work and
prescribed medications. This problem, however, was subsequently remedied and the
grievor has been reimbursed for all of the monies expended in the period June to
October, 2008. Consequently, this is not a relevant factor to be considered in the
discussions around remedy on the benefits issue.
[49] The parties agree that, moving forward, the Employer will make pension
contributions on the grievor’s behalf at the full-time level. This assumes that the
grievor is also prepared to contribute at the same level. While I cannot say this with
any certainty, it seems likely that less than full-time contributions were made by the
Employer in respect of periods following the change to article 41.4, that is, post January
1, 2009. The parties will, of necessity, have to go back to their records to determine
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when such lesser contributions were made and then retroactively augment same to the
higher level. This, again, is premised on the grievor’s willingness to top up what she
has already paid to the level of contribution required of a full-time employee. Given the
Employer’s acknowledgement, it is unnecessary, strictly speaking, to declare that this
result flows from the change to article 41.4 in the current collective agreement. I am,
however, disposed to accept the Union’s submission that such change reflects an
intention to treat the listed benefits and pension in an identical fashion.
[50] It is apparent from the facts that the grievor opted to use the STSP, and take a
leave of absence with pay, in respect of the period October, 2007 to March, 2008. It is
readily understandable why the grievor elected to do so, given that a WSIA award had
not then been made in her favour. The Union argued that this was contrary to article
41.2 which provides that “any absence in respect of the injury or occupational disease
shall not be charged against his or her credits”. Given the limited submissions on the
point, it remains unclear whether the use of a leave of absence with pay under article
44.1(b) equates with the use of credits for purposes of article 41.2. A question that
arises is whether the use of the word “credits” in the latter provision was only intended
to capture attendance, vacation and overtime credits. In any event, I leave it to the
parties to initially determine whether some adjustment needs to be made. The issue will
be revisited, if necessary.
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[51] The parties are directed to resolve the outstanding issues in a manner consistent
with this Decision. As stated above, I continue to remain seized with respect to these
issues.
Dated at Toronto this 5th day of January 2012.
M.V.Watters, Vice-Chair