HomeMy WebLinkAbout1981-0040.Vigneux.81-11-18Between:
Before:
N/81 238181
264/Sl
,IN THE MATTER 3F AN ARBITRATION
Under The
CROWN EMPLOYEES COLLECTIVE BARGAINING ACT
Before
THE GRIEVANCE SETTLEMENT BOARD
For the Grievor:
For the Employer:
Hearings:
Grievor
:
Mr. T. Vigneux
- And -
The Crown in Right of Ontario
(Liquor Control Board of Ontario) Employer
Mr. P. Draper Vice Chairman
Mr. F. T. Collict Member
Mr. I. Thomson Member
Mr. D. Starkman, Counsel
Golden-Levinson
W. H. Beresford, Counsel
Hicks, Morley, Hamilton, Stewart & Storie
September 9 Jc 16, 1951
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DECISION
The grievor, Theodore Vigneux, grieves that he has been dismissed
without just cause and seeks immediate reinstatement to his former position ?
and restoration of applicable salary and benefits. The employer replies that
the dismissal was for just cause.
The grievor is 61 years old and was employed by the L.C.B.O. for
I some 18 years, most recently as Assistant Store iManager at Store 206 in
Windsor. Store 206 is not a retail outlet available to the general public but is
a warehouse and distribution centre serving licensees and permit holders and is
the’ only such .store in Windsor. Nine arsons, i:iciuding the manager, are
employed there. It is a Class “A” store, *he highest category, and has annual
sales in excess of $5 million. On October 30, 1980, the griever was suspended
pending the outcome of a criminal charge laid against him on the preceding
day and on April 10, 1981, his employment was terminated following his
discharge at the preliminary hearing into the criminal charge. The char-e was .d
not re-laid and there are now no outstanding charges against the grievor.
Constable N. Wentoniuk of the R.C.M.P., called as a witness by the
employer, testified that as a result of information received from United States
Customs sources, and earlier R.C.M.P. enquiries at the Windsor Raceway
.about a person said to be selling liquor bearing U.S. excise seals ,during which
the grievor was named b5 a person who gave liquor away at the race track, he
and a fellow officer went there on October 28, 1980 (a Tuesday). A security
guard at the horsemen’s entrance who said he knew the griever was asked to
point him out if he should appear and did so when the grievor arrived shortly
after. The witness identified himself to the griever and asked him what was in
a paper bag he was carrying. The grievor showed the witness two bottles of
liquor and when asked if he had more liquor with him led the officers to his car
and opened the trunk which contained eight bottles of liquor, some in paper
bags and some not. The witness made note of the brands of liquors, the sizes
of the ten bottles and the serial numbers on the excise tapes. The grievor was
then asked why he was at the race track with so much liquor in his possession
and replied that it was to give to horsemen in return for “favours”. In answer
to further questions the grievor said he worked at L.C.B.O. Store 206; that he
had purchased some of the liquor and had received some as gifts from
salesmen from three distilleries whom he named after some hesitation; that he
had not stolen any of the liquor; and that he had about a case of liquor at his
house. The grievor agreed to go to the house with the officers after first
having suggested a delay until after work because he was on his lunch hour and
wished to return to the store. Upon arrival at the house, the grievor
voluntarily signed an Authority to Search form. In the basement of the house
the officers found 33 bottles of liquor in cases and a few empty cases. The
liquor was seized and was carried from the basement to the side of the house.
The witness knew the grievor “was not their man” because of ‘the Canadian
excise tapes on the liquor bottles in his possession, but because of the amount
of liquor involved, because the grievor was a L.C.B.O. employee and because
he did not believe the griever’s explanations, his suspicions were aroused. The
Windsor Police Department ,was called and when Constable D. Roberts arrived
shortly after, the witness told him of his suspicions and gave his opinion that
further investigation was called for. The liquor was placed in Constable
Roberts’ car, the R.C.M.P. officers followed him to No. 2 Precinct where the
liquor was listed and marked and the R.C.M.P. officers then left. The witness
testified at the preliminary hearing into the charge that had been laid against
the griever. He has not spoken to anyone at the L.C.B.O. about the griever’s
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Constable D. Roberts of the Windsor Police Department, called as a
witness by the employer, testified that on October 28, 1980, he was dispatched
to an address that proved to be that of the griever’s house. The R.CJ4.P.
officers told him of their conversations with the griever and their discoveries.
The bottles of liquor were taken to the precinct where he made out the
required report of his investigation.
At this point ins the hearing, counsel to the grievor objected to the
filing in evidence of. the-witness’ report. Following argument by counsel, the
objection was overruled on the grounds ‘that the report was relevant to the
issue before the Board and that the Board was not aware of any precedent, and
none was cited, that would support its exclusion.
Resuming his testimony, the witness stated that he had questioned
the grievor at his house as to where he had obtained the liquor found in his
possession and was told that it was given to the grievor by the three salesmen
already named and that he gave liquor to persons at the race track in return
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for favours such as tips. The grievor said he would sometimes “cash in” gift
bottles that her did not want. The witness did not believe the griever’s
explanations. The grievor said that the bottles given to him by the salesmen
had no price stickers on them. The witness attached no importance to the
presence or absence of price stickers on the bottles but believes some of the
bottles seized did bear price stickers. The grievor was not taken to the
precinct. At the precinct the witness tagged the seized bottles, entered tSem
in the Seized Property book and made out a Seizure of Liquor form. The
details of the brands and types of liquor, the bottle sizes and the excise tape
serial numbers were recorded in. his report. He discovered that one of the
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seized bottles was empty and changed the total from $3 to 42.
Detective A. Oakley, whom he had contacted while at the grievor’s house, took
over the investigation and he had nothing further to do with it. He would
normally have been a witness at the preliminary hearing into the charge laid
against the grievor but was on leave at the time and was not informed of it.
He has had no further contact with the grievor and none at any time with
L.C.B.O. personnel. .
Detective .4. Oakley of the Windsor Police Department, called as a
witness by the employer, testified that when he was contacted by Constable
Roberts on October 28, 1980, he told him to hold the liquor found in the
griever’s possession and to tell the grievor that he would be investigating. The
morning of the next day, October 29, 1980, he obtained a copy of Constable
Roberts’ report and checked the seized bottles against the list in the report.
There were no price stickers on any of the bottles. He went to Store 206 and
met with :Clr. 8. Bellemore, Store Manager, to whom he explained why he was
there and from whom he obtained information about the griever’s employment.
The grievor was called to the manager’s office at his request and when the
manager had left he told the grievor that he was investigating the possible
possession of stolen goods, gave him the usual caution and asked him where the
liquor found in his possession had come from. The grievor replied that he had
received liquor as gifts from three salesmen, naming them, and sometimes
traded, at Store 206, liquor so received for brands preferred by friends. When
he did not have trades to make he took liquor from the store. He did not know
how long he had been doing this. ,About half of the liquor found in his house
had been gifts or had been trades for gifts and the rest he had stolen. He had
taken three or four bottles from the store on the preceding day to give to
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friends at the race track in exchange for tips. The witness told the griever’
that trading was a matter for the L.C.B.O. but that to him it was the same as
stealing. He then told the grievor he would be charged with possession of
L.C.B.O. property and must accompany him to the precinct. ‘At the grievor’s
request the witness agreed to have him attend at the precinct during.his lunch
hour. About this time one of the salesmen who had been named by the griever
arrived at the store and the witness took a statement from him. The witness
told IMr. Bellemore that the circumstances warranted a charge being laid arid
in a later telephone conversation, IMr. W. Armstrong of the LC.B.0. told the
witness he wished the police to charge the grievor. The,L.C.B.O. could have
laid a private information. When the grievor appeared at the precinct he was
arrested, charged with possession of property obtained by the commission of
an indictable offence under the Criminal Code and given the customary
r caution. The grievor was locked in an interview room, according to procedure
for an arrested person, while the witness fetched a fellow officer,
Detective F. Chauvin, whom he had asked to assist in the interrogation of the
grievor. The griever made a statement which was typed. by the witness and
signed by the griev,or.
At this stage of the hearing, counsel to the grievor, while conceding
that the statement could not be said to be inadmissible, requested that the
Board require the employer to prove its voluntariness before it was received in
evidence. After argument on the point the request was denied on the grounds
that the Board was not convinced of the propriety) of adopting a practice
unique to criminal proceedings and that, in any event, the voluntariness or
otherwise of the starement could be probed by the examination and cross-
examination of witnesses who were present and able to testif~y concerning it.
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Resuming his testimony, the witness stated that the griever, having
acknowledged that he understood the caution directed to what he might now
say, made, read and signed as being true and correct the following statement:
“.
I removed from the premises at 79 Eugene Street
approximately two bottles a month for about the last
year. In the last six months to a year, I also removed the
liquor seized by the police, from my car and my home. I
would like to add further that I did not steal alI the liquor
seized. Aproximately half of it WCG gift that I received
from persons over a pefiod of time that I exchanged on
my own at the store. The reason I changed it was that I
and my friends preferred other brands of liquor. I realize
I was wong in doing so and it alI got started by making
exchanges in the past. I apologize for my stupidity and
would like to make full restitution. I realize now that this
was a serious mistake which at first seemed so simple,
just to make a trade and.1 vow it wiIl never happen again.
The grievor was released at his own request and on his promise to appear when
required. On the morning of the next day, October 30, 1980, the witness went
to Store 206 and met with ,Mr. Bellemore, ,Mr. Armstrong and .Mr. Leach, also
of the L.C.B.O. He left and returned later in the day and with the help of a
store employee assigned by the manager checked the excise tape serial
numbers from the seized bottles against those on bottles of the same brands in
stock in the store and recorded the results in his report. The witness drew
attention to instances of serial numbers of bottles in the two groups which
were either in sequence or in the same number series, including the following:
Seized Bottles Store Stock
804185 804lSO,SO4184
7696455 7696452,76964j6.76964%
A93iZ095,A9312113 A9312105
GO659599 GO659604
A8557889,,\8557592 A8557595
03075485 83075516
096555646,096555652 096555463.096555431,39655557~
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The witness obtained statements from the remaining two salesmen named by
the grievor and otherwise continued to prepare the case for presentation in
court. He was present at the preliminary hearing but was not called to give .
evidence, the “chain of events” having been broken because Constable Roberts’
evidence was not available. The grievor was discharged, there being
insufficient evidence either to dismiss the charge or to send the case to trial.
The Crown Attorney decided not to proceed and the police discontinued the
investigation.
Mr. B. Bellemore, Manager of Store 206, called as a witness by the
employer, testified that he has been manager of the store since January, 1980.
On October 28, 1980, the grievor retimed from a long lunch period and
explained that he had run out of gasoline. On October 29, 1980
Detective Oakley .came to the store, asked to see him privately, questioned,
him about the grievor and told.him that the grievor had been “picked up” at
the race track with a ouantity of liquor he “couldn’t account for” and that this
could mean jail for him. After Detectives Oakley met with ‘the grievor he
advised the witness to contact his superior for advice. Accordingly, the
witness’called iMr. W. Armstrong, District Supervisor of the L.C.B.O., who also
spoke to Detective Oakley. Later the witness met the grievor alone and asked
him what had. happened the day before. The reply was that the grievor had
won a bet from a friend which had only been partly paid and he was to receive
the rest on October 28th. The witness understood from what was said that the
grievor was also bringing a bottle of liquor to the friend. The grievor told him
he had been questioned at the race track by the R.C..M.P. “who were there
looking for hijackers” and said he was sorry he had implicated the three
salesmen, whose names had just come to mind. He said he had left a case of
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liquor in the basement of his home and had forgotten about it. He had nor
taken any liquor from the store but had <made some exchanges and would find
and show the witness the paper recording the last exchange. Employees are
permitted to exchange purchased liquor for a cash refund or for other liquor
provided that the value is equal or the price difference is made up. A
purchase order is required. There have been no exchanges by employees
recorded since he became manager. Employees are also permitted to purchase
liquor provided that a purchase order is approved by the manager, the price is
received by a third person and the liquor is held in the manager’s office until
the end of the shift. This procedure is not always strictly followed. .A few
purchases have been made by the grievor since he became manager.
Detective Oakley telephoned in the afternoon to say that the grievor had been
charged and spoke again of the charge to the witness, IMr. Armstrong and
Mr. Leach when he came to the store the next day, October 30, 1980.
Mr. Armstrong then gave a letter of suspension to the grievor.
Detective Oakley returned later in the day to check the store stock. Yone of
rhe bottles of liquor in stock at the store carry price srickers.
With respect to the testimony of the three salesmen,
.Mr. R. Sansolito, Mr. K. Percy and .Mr. N. Reaume, who were named by he
grievor as sources of gifts of !iquor, it suffices to record that each of them
identified, read, and confirmed the statement made by him to
Detective Oakley that he had made no gifts of liquor to the grievor, with the
exception that .Mr. Percy had given the griever one bottle in June, 19S0, when
he was on vacation.
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Mr. 3. Noble, Director of Finance, L.C.B.O.; subpoenaed by the
employer to produce records maintained by his office, testified that Stock
Value Perpetual Inventory Reports are prepared for every L.C.B.O. store at
four-week intervals. The reports for Store 206 for 1979 were prepared by he
grievor and show a net inventory shortage of approximately $2,jOO.O0. Two of
13 reports made in 1980 were prepared by the grievor. The net shortage for
the year was approximately $800.00. For the first seven fouriweek periods in
1981, a net shortage of approximately $270.00 is shown. Annual net shortages
of about one-tenth of one percent of L.C.B.O. gross sales are considered
normal. There are variations in overages and shortages from store to store
and from period to period in particular stores. Shortages could~ be caused by,
for example, inaccurate bottle counts, incorrect recording of inventory or
pilferage ~by customers or employees. Audits of store reports are made
periodically and spot audits may be carried out if abnormal figures are
Mr. R. tMacDougall, Staff Relations Officer, L.C.B.O., called as a
witness by the employer, testified that he prepares material for and attends
all meetings of the L.C.B.O. Discipline Committee which deals with employee
dismissals. After the preliminary court hearing he obtained the evidence
gathered by the police concerning the ,grievor, which was put before the
committee along with a report from 1Mr. Armstrong. The committee also
considered the griever’s service record and the possibility of pjacing him in a
different position but concluded that the lack of trust in the grievor that now
existed made a continuing employer-employee rejationship impossible and
recommended his dismissal.
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Detective F. Chauvin of the Windsor Police Department, suopoenaed
as a witness by the grievor, testified that on October 29, 1980, at
Detective Oakley’s request, he assisted him in taking a statement from the
grievor. He did not immediately recognize the grievor, who said they had
known each other long ago. The grievor was nervous and worried. He told the
witness he was glad to see him, asked what he should do and was advised to
tell the truth. The grievor has made two visits to his home since the date of
the preliminary court hearing and has said he was confused when he made the
statement, denied any guilt and claimed that he had exchanged liquor at
Store 206 but had not stolen any. The witness believes the: grievor is not a
dishonest man and is anxious to help him.
The grievor, Theodore Vigneux, testified that he did not steal the
liquor found in his car trunk and in his house, or any liquor at any time. He
bought liquor at different L.C.B.O. stores and bottles of liquor were left in his
car and at his house, some of which were received by his wife, and which he
assumed were gifts from salesmen of the brands concerned. Gifts of liquor are
commonly given to L.C.B.O. employees for giving good service. The liquor in
his car trunk on October 28, 1980, was for a party to be held at the race track
in a few days. He did not take any liquor from Store 206 on that date. an
October 29, 1980, during their meeting at the store he told Detective Oakley
he had bought or been given the seized liquor. Detective Oakley said he was
lying, that the L.C.B.O. would not believe him and that exchanging liquor was
stealing. He was frightened because his story was being disputed. He did not
tell Detective Oakley at that meeting that he had stolen liquor. .At :ne
precinct, before Detective Chauvin joined them, Detective Oakley once again
called him a liar and accused him of stealing the seized liquor. He accepted
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Detective Chauvin’s suggestion of using the word “removed” in his statement
because he thought it meant he had not stolen. He was terrified of
.Detective Oakley and did not know what he was doing. He first saw the words
of the statement in his lawyer’s office at a later date. He received one or two
bottles of liquor per month as gifts but never saw who made them and only
assumed that they were from salesmen for the particular brands. He made
purchases at many stores but did not make purchases at Store 206 because it is
not open on Saturdays when he prefers to buy his liquor. He removed the price
stickers from bottles purchased at self-service stores because he’ thought it
was embarrassing to guests to be served from bottles with’ price stickers on
them. He-knows that an annual L.C.B.O. circular is published which prohibits
the acceptance by employees of payments or gifts from liquor manufacturing
‘sources but does not know if it is permissible to accept such gifts or whether
the, policy applies only at Christmas. He made exchanges only in the four
weeks prior to October 28, 1980, and made a list of them in early November.
He also made a list of trades made in the week prior to October 28, 1980,
which he showed to .Mr: Sellemore after his suspension. He can identify from
the list of seized liquor only one bottle that he,had exchanged at the store.
j.
Recalled to testify further, [Mr. Bellemore stated that shortly after
his suspension the grievor showed him a list of eight liquor brands which he
said he had~exchanged, four for four, on the Friday prior to October 23, 1980.
When he remarked that although an equal number of bottles had been
exchanged the price totals did not match, the grievor crumpled the list and put
it in his pocket.
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We understand it to be well settled that where employee misconduc:
having the characrer of a criminal act is alleged in arbitration proceedings in
support of employer disciplinary action, the standard of proof to be met is
higher than the balance of probabilities test that would ordinarily apply.
Accordingly, we accent that the onus borne by the employer here is to offer
clear and cogent proof that the grievor was wrongfully in possession of
property of the employer. That is not the burden of proof that would obtain in
criminal proceedings and we are not, of course, called to determine the matter
before us in accordance with the norms of criminal law, but rather in rhe
context of the employment relationship between the grievor and the employer.
In the same connection, it is our view that questions “r, do with the conduct or
the outcome of the criminal proceedings taken by the public authorities
against the grievor are not relevant to the issue here. The fact that the
evidence before us is largely that gathered by police for use in those
proceedings does not affect that view. We note, in passing, that the existence
of that evidence relieved the employer of me normal obligation to maki: its
own inquiry.
We consider that we are required to take notice of the particular
employment context in which the griever’s alleged misconduct took place - rhe
type of endeavour in which the employer is engaged; the nature of the product,
of which the employer is the sole purveyor; the necessity of ready access by
employees to quantities of liquor and amounts of cash; and the consequent
difficulty of designing and maintaining effec:ive security measures. Given
those factors, it is not too much to say that the integrity of the employer’s
operarions is ultimately dependent on its ability to repose confidence and trilst
in its employees. It follows that where employee misconduct inimical to that
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objective is discovered, the employer must have open to it - amongst other
remedies -the option of reacting by taking disciplinary action that will serve
asnotice of the consequences of, and stand as a deterrent to, such misconduct.
We have reached the conclusion that the grievor, quite simply, is not
a credible witness. We find it impossible to give credence to any of the
several contradictory explanations of the gri&or as to -the sources of the
liquor in question. The grievor first told the investigating police officers that
some of the liquor had been given to him by the three named salesmen. They
have come forward to deny it and we are then asked to believe that anonymous
donors left liquor in the griever’s car and at his house. We are asked to believe
that some of the liquor was purchased by the grievor but little at the store
where he worked because it was not open on Saturdays; and tbar. when such
purchases were made at self-service stores he removed the price stickers from
the bottles so as not to embarrass his guests. We are asked to believe that
some of the gifts said to have been received and some of the purchases said to
have been made were exchanned by the grievor for preferred brands of liquor
at the store where he’worked, although there is no reliable record, official or
otherwise, of any such exchanges; and that the grievor made a number of
exchanges shortly before his suspension, although he was unable to identify
more than one exchange said to have been so made.
Apart from these material instances, there are the conflicting
reasons given on different occasions by the grievor for his presence at the race
track on October, 28, 1980, the untruths and evasions in his conversations with
Mr. Bellemore, and his professed ignorance of the L.C.B.O. policy statement.
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We see no reason not to accept the written statement given by the
grievor to the police as a confession of guilt. We do not believe rhat he was
compelled or induced by the police officers present to make the statement or
that, notwithstanding his anxiety about his predicament, it is anything but
what he knew and meant it to be. There is nothing in the testimony of
Detective Chauvin, who frankly admitted .his sympathy for the grievor, to
suggest otherwise. The’grievor’s repudiation of the statement and his denial of
guilt at the hearing we not only find unconvincing but see as further
diminishing his credibility.
We are satisfied that there is a preponderance of evidence going to
show that liquor found in the possession of the grievor was wrongfully taken by
him from his place of employment. The circumstances established in evidence
are consistent with misappropriation and the griever’s various explanations do
not lend support to the possibility of innocent possession.
Speaking to the matter of mitigation, we understand the concept to
be an appropriate consideration where guilt is not in dispute and where facts
are proved by a grievor which support a reduction of the disciplinary penalty
imposed by the employer. As well, there is the discretion bestowed by
Section !9(3) of the Crown Employees Collective Bargaining Act,
R.S.O. 19S0, c. 108 which, we take it, may be exercised whether or not a olea
of mitigation is made by a grievor.
We are also aware that dismissal is no longer always and
automatically held to be the proper disciplinary penalty for employee
misconduct in the nature of a crime.
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The griever’s age and length of service, the probable economic
effects of his loss of employment and the likelihood that he would not resume
his misconduct if reinstated, weigh in the griever’s favour. Against these
considerations, however, must be set the fact that the griever’s misconduct
was not an isolated act, not a momentarv moral lapse, not an unwitting
misdeed, not mere pilferage. It is also pertinent that while the griever
expressed remorse and spoke of makingi restitutions to Detective Oakley, there
is no evidence that either the sentiment or the intention was conveyed to
anyone at the L.C.B.O. The griever’s appearance before the Board to renounce
his earlier admission of guilt and to assert his innocence of any wrongdoing, is,
gross abuse of a position of responsibility by a conscious and continuing breach
of trust forecloses the possibility of reinstatement in employment with the ‘,
victimized employer. In light of all the circumstances here present, we do not
believe that - no matter in what capacity or under what conditions the grievor > r. might be reinstated - a mutually beneficial employer-employee relationship
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would or could be re-established. 1
In the result, we find, on the evidence before us, that the employer
has proved just cause for the dismissal of the grievor and that the dismissal
was not an excessive disciplinary penalty. \
The grievance is dismissed.
Both counsel referred us to a number of cases involving issues
similar to those present in this case. They have greatly assisted us in our
deliberations, notwithstanding that each turns largely on its own unique facts.
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The griever had filed two earlier applications for arbitration (40/81
and 238/81) to do with grievances arising from the same set of circumstances
as did the present case. At the hearing, counsel to the erievor informed the
Board that those grievances are not being pursued and they are hereby
dismissed.
DATED at Toronto, Ontario this 18th day of m 1981.
.Vr. P. Draper, Vice Chairman 1
Mr. F.T. Collict, .Clember
.Mr. 1. Thomson, LMember
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