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HomeMy WebLinkAbout1991-0802.Union.92-08-10 ONTA RIO EMPL 0 ¥I~$ DE £A COuRONNE CROWN EMPLOYEES DE L'ONTAR/O GRIEVANCE C,OMMISSION DE SETTLEMENT REGLEMENT BOARD DES GRIEFS fSO DUNDAS STREET WEST, SUITE 2100, TORONTO, ONTARIO. M50 IZ8 TELEPHONE/TELEPHONE. (~ 15'/ 355- ~388 ~80, RUE DUNDAS OUEST, BUREAU 2'100, TORONTO (ONTARIO), M5G ;Z8 FACSI~',.4tLE/TELEcoPlE (4.~5~ 32E.~ 1396 802/91 ZN THE I~TTER OF ~ ~RBITI~TION Under THE CRO~I~ EMPLOYEES COLLECTIVE BARGAINING ACT Before THE GRIEV~CE SETTLEHENT BOARD BETWEEN OPSEU (Union Grievance) Grievor The Crown in Right of Ontario (Ministry of Revenue) Employer BEFORE: M. Watters Vice-Chairperson M. Lyons Member C. Linton Member FOR THE S. Goudge GRIEVOR Counsel Gowling, Strathy & Henderson Barristers & Solicitors FOR THE P. Young EMPLOYER Counsel Winkler, Filion & Wakely Barristers & Solicitors HEARING February 20, 1992 May 1, 1992 By grievance dated September 11, 1989, the Union claimed that the Employer had violated the collective agreement by improperly administering the provisions of Appendix 3, Schedule A (Averaging of Hours of Work) in respect of a number of Assessors working across the Province for the Ministry of Revenue. The Union asked that "management immediately cease its restrictive interpretation" of the provisions in issue and that" the materially affected members be afforded the flexibility of work hours." Subsequent to the filing of the grievance, discussions occurred between the parties. This led to the Employer's issuance of a series of guidelines dated March 14, 1990 in respect of the accumulation and utilization of excess hours by Schedule A employees of the Ministry of Revenue. The material paragraph of these guidelines read: "Employees will be allowed to accumulate excess hours to a maximum of 14-1/2 hours in a fiscal year without prior authorization from management to meet work requirements, provided that no excess hours will be accumulated without prior authorization in the final week of the fiscal year." The above-mentioned grievance (G.S.B. File No. 201/90) was withdrawn pursuant to Minutes of Settlement dated March 8, ~991. The relevant paragraphs of that document read: " 2. The Employer will issue on April 15, 1991 a memo from E. Farragher to management setting out the March 14, 1990 guidelines re Schedule "A". 3. These guidelines will be in effect without change from April 15, 199I until December 31, 1991. 4. Zf the Employer wishes to change the guidelines after December 31, 1991 it will first discuss these changes 1 with the Union at an Employee Relations Committee meeting. If the Union disagrees with the changes, the Employer is free to implement the changes subject to the Union reserving its right to grieve the matter to arbitration. 5. At any arbitration concerning the guidelines the parties reserve the right to take any position which could have been taken in GSB file No. 20t/90 including, but not limited to whether any settlement was reached on March 14, !990 and/or whether that settlement was a binding agreement on both parties. Moreover, at any arbitration the Employer's issuance of the guidelines in paragraph 2 will be deemed to have been without prejudice." These Minutes of Settlement were not made on Order of the Grievance Settlement Board. On April 15, 1991, Mr. E.C. Farragher, Director of the Personnel Services Branch, issued the guidelines referred to in paragraph number two (2) of the Minutes of Settlement. These guidelines, in paragraph number four (4), contained the provision reproduced earlier relating to the accumulation of excess hours up to the 14-1/2 hour threshold. The parties at some point engaged in a discussion of the interpretation to be accorded to paragcaph number four (4). The Union contested the approach that the'Employer intended to adopt. By letter of April 15, 1991, it described the Employer's intentions as an "about turn in position." More specifically, it viewed same as being inconsistent with the intent of the material provision of the guidelines. From the perspective of the Union, the Employer was attempting "to narrow" the scope of what had been previously agreed to by limiting its effect to "emergency circumstances." I 2 The aforementioned letter stated, in part- '' it was ~d is our opinion that the agreed to wording of Article 4 allows for the accumulation of up to 14 1/2 hours as a running total that can be 'topped up' but not exceeded without prior authorization. Mr. Farragher responded to the Union's concerns by letter of April 18, 1991 which was forwarded to Mr. E.E. Faulknor, Chair of the ODSEU Ministry E.R.C. Team. He addressed therein the intent of the excess hours provision. The material part of this correspondence stated' "Paragraph 4 was developed and introduced to address the fo]lowing issues/concerns that were articulated at the Stage 2 grievance meeting. " From time to time, assessors in the field requiring an extra 1/2 hour to complete an assignment could not do so on their own authority without calling in to their manager for permission. In the event the manager was not available, the Assessor could not complete the work required because the extra time would not be recognized after the fact. Assessors in the office receiving a phone call or visit from a taxpayer at the end of the day or needing to complete an assignment could not work beyond the closing time and if they did, the extra time would not be recognized by the managers after the fact. Note' The above-noted rigid management of Assessors in a few regions was compared to the much more flexible and trusting management approach of the majority of the regions. Paragraph 4 was not intended to address- The normal day to day work where no special circumstances require the working of an extra 1/2 hour or hour to complete the work at hand. 3 " Working at home after the completion of a regular day's work, Given the nature of the issues and concerns being addressed and the anticipated infrequent need to use this provision, management proposed a 7 1/4 hour bank. Following receipt of the Union's counter-proposal of 21 3/4 hour bank, the t4 1/2 hour bank was accepted as it was felt that this would fully cover the anticipated occasions of use. It was in this context that the management representatives gave you and your team the undertaking that the 14 t/2 hour bank could be topped up, if necessary. This undertaking still stands. " Mr. Farragher described these comments as a "ctarificati'on'". The parties were subsequently unable to resolve this impasse and the Union, as a consequence, filed a second grievance dated April 29, 1991. That grievance, which has resulted in the instant proceeding, read: " STATEMENT OF GRIEVANCE Union grieves that management is violating Article 4 of the agreement made between the parties March 14, 1990 and circulated on April 15, 199t. re: limiting the occasions where excess hours can be accumulated, both originally and for purposes of topping-up. SETTLEMENT DESIRED Declaration to that effect and alt consequential relief. Simply put, it was the position of the Union that the Employer had breached the Minutes of Settlement of March 8, 199~ by changing the guidelines prior to December 31, t991. On the initial day of hearing, the Employer raised a preliminary objection relating to the Board's jurisdiction to entertain the grievance, Briefly stated, counsel advanced two (2) grounds in support of this position. Firstly, it was submitted that we lacked the requisite authority to interpret a settlement. Counsel suggested that this was the very thing we were being asked to do in this case. Secondly, it was further submitted that the grievance was not premised on a breach of specific articles in the collective agreement and was, therefore, not arbitrable under section 19 (1) of the Crown Employees Collective Bargainin~ Act. We were Provided with the awards in Sim & Bain, 1387, 1388/86 (Draper) and Jansen, 888/89 (Watters) in support of these arguments. After the presentation of submissions, and ?oltowin9 discussions between counsel, the parties agreed to an adjournment of the proceedings so that they might have an opportunity to refine their respective positions. On the second day of hearing, the parties presented more comprehensive submissions on our jurisdiction to deal with the grievance of April 29, 1991. It was the position of the Union that the 8card possessed the authority to adjudicate the grievance. Counsel commenced his argument from the premise that sound labour relations demands that parties be encouraged to settle grievances. He stated further that as a corollary, parties should not be permitted to withdraw from settlements as such would "debase the process." In 5 this regard, reference was made to the award in Jansen where the Board concluded: " A contrary finding would, in our judgment, undermine the sanctity of settlements freely concluded as it would permit parties to withdraw from such agreements with impunity. For reasons which are obvious, that result would not provide for good labour relations. We are consequently disinclined to adopt reasoning which could have that effect. (page 3) Counsel suggested that our decision should be "fully informed" by this "unassailable principle" it was the submission of the Union that the Grievance Settlement Board does possess the jurisdiction to interpret the terms of a settlement where an issue of compliance has arisen. This position was based on an analysis of Sim and Bain. That case involved two (2) grievances relating to entitlement to shift premium. Both grievances were settled during the grievance process and the terms of settlement were reduced into writing. The affected parties subsequently disagreed in their understanding of the settlement. Indeed, as here, the Union claimed that the Employer had failed to comply with same. As a consequence, the 9rievors filed a new grievance alleging non- compliance. Both parties appear to have asked the Board to interpret the terms of the settlement for purposes of resolving the dispute. Ultimately, the Board declined to act on this request. It appeared to conclude that the matter did not fall within the scope of jurisdiction bestowed on the Grievance Settlement Board by sectqons 18 (2) and 19(t) of the Crown Employees Collective Barmaininm Act. .More particularly, that panel seemed to find that the dispute did not concern the interpretation, application, administration or alleged contravention of the collective agreement. Relying on the award in Haladay, 94/78, the Board agreed that it did not have any "inherent jurisdiction to do justice ....... or to provide remedies, no matter how desperately a particular case might cry out for relief." Zn summary, the majority of the Board.concluded that it lacked the jurisdiction to proceed. The proceedings were, accordingly, terminated at that stage. The Union subsequently filed an Application For Judicial Review dated October 14, ~988. The primary ground for asking for the intervention of the Divisional Cour't was stated as follows' " the Grievance Settlement Board errored in declining to exercise its jurisdiction under Section 19 of the Crown Employees Collective Bargainipq Act, R.S.O. 1980, c. 108 to give a final and binding determination to the grievances of Patricia Sim and Douglas Bain." The Union asked for an Order quashing'the earlier decision of the Board and for a further Order remitting the matter back for final and binding determination. The endorsement of Mr. Justice Reid on the Application Record read: " Application is unopposed. The decision of the Grievance Settlement Board i,s set aside and the matter remitted to the Board for a hearing of the grievance." Counsel for the Union in the instant proceedings noted that the above-mentioned Application was not ex parte, He submitted the endorsement evidenced the Court's opinion that the Grievance Settlement Board possessed the jurisdiction to hear the Sim and Bain grievance and that it had made a jurisdictional error in initially refusing to entertain same. Counsel suggested that the Court would not have set aside the decision nor remitted it back if it felt the Board lacked the requisite authority. This panel of the Board was, therefore, urged to conclude that the Bivisional Court has recognized the Board's power to interpret settlements in the context of a dispute alleging non-compliance with the terms of settlement. The Union, as a consequence, asked that we determine whether the Employer had complied with the Minutes of Settlement dated March 8, 1991, particularly paragraph number three (3) thereof. It was the further position of the Union that our jurisdiction to hear this case could be found in section 19 '(1) of the Crown EmploYees Collective Bar~ainin~ Act, which reads: 19. (t) Every collective agreement shall be deemed to provide that in the event the parties are unable to effect a settlement of any differences between them arising from the interpretation, application, administration or alleged contravention of the agreement, including any question as to whether a matter is arbitrable, such matter may be referred for arbitration to the Grievance Settlement Board and the 8oard after giving full opportunity to the parties to present their evidence and to make their submissions, shall decide the matter and its decision is final and binding upon the parties and the employees covered by the agreement. 8 Course? noted that the Board is empowered to make a final and binding decision in respect of grievances flowing from employees covered by the legislation. He submitted that such jurisdiction would include a grievance alleging a breach of the terms of settlement. Reference was also made to the practice in the private sector. It was asserted tha~ Boards of Arbitration in that 'sector can adjudicate grievances relating to whether Minutes of Settlement have been contravened. We were referred to Re Zehrs Markets And Retail Clerks Union, Local 1977 (1984), 14 L.A.C. (3d) 379 (Barton) and Re Canadian General-Tower Ltd. (Oakvil]e Division) And United Rubber Workers, Local 292 (1990), ~2 L.A,C. (4th) 153 (Craven) in support of that proposition. It is clear from a reading of Re Zehrs Markets that the arbitrator concluded he had the jurisdiction t~ determine whether or not the Employer had abided by the terms of settlement. The followin~ statement is found at page 380 of the award: '" It is quite clear that it is a general principle that settlements of grievances are to be encouraged. It is also essential from the point of view of the grievance p~ocedure, that settlements be enforceable and enforced." In Re Canadian General-Tower Ltd., the parties agreed that the arbitrator had jurisdiction to decide whether the company had complied with the terms of a grievance settlement. The arbitrator in that case described the scope of this authority as follows: "It is generally accepted that boards of arbitration have jurisdiction to enforce settlements reached during the grievanc~ procedure, and that in exercising this jurisdiction an arbitrator is to give effect to the parties' agreement, without going behind the terms of settlement to determine whether it was the 'right' result in the circumstances ....................... ... Nevertheless, if the grievance settlement is to be enforced its terms must be interpreted. If, as the company argues, the settlement is couched in ambiguous language, then that ambiguity must be resolved so that the real agreement can be given effect. In this regard there is a crucial distinction to be drawn between second-guessing the settlement in light of the original dispute, which would constitute unwonted arbitral interference in the grievance procedure, and interpreting the terms of settlement to give effect to the parties' mutual intention, which constitutes the proper exercise of the arbitral ju/isdiction to enforce private grievance settlements". (pages 155-156) summary, it was argued that the Board should adopt an anatagous approach to the issue. It was the position of the Employer that the grievance was inarbitrable as it did not focus on a breach of a specific provision of the collective agreement. Counsel submitted that the Minutes of Settlement could not be treated as ~ collective agreement for purposes of section 19(1) of the Crown Employees Collective Barqaininq Act. Further, he argued that paragraph five (5) of the settlement could not provide us with the requisite jurisdiction as it was directed to changes in the guidelines occurring after December 31, 1991. From the perspective of the Employer, the case before us did not relate to compliance with the terms of settlement. Indeed, it was 10 emphasized that the Employer had issued the guidelines as required. Counsel suggested instead that the dispute, in substance, called for an interpretation of the settlement. He argued, on behalf of the Employer, that the Board could not embark on such an exercise, in this regard, reliance was placed on the Boards's decision in Sim and Bain. Counsel submitted that the contrary result in the Divisional Court was premised largely on the fact that both parties wanted a resolution to the impasse. We were, therefore, cautioned not to give a broad reading to the Court's endorsement. The Employer also relied on the award in Neamtz,. 516 et al./84 (Roberts). That case involved a Consent Order which contained the terms of a settlement agreement. One of the paragraphs of the Consent Order read: "This settlement shall be made an Order of the Grievance Settlement Board only for the purpose of the enforcement of the terms of this settlement". The Union subsequently applied to the Board for clarification of' one of the provisions in the settlement which was allegedly ambiguous. In response, the Employer claimed that the Board was functus officio and was, therefore, without jurisdiction to make the determinations sought by the Union. The Board ultimately sustained the position advanced by the Employer. It concluded that the paragraph in the Consent Order, reproduced above, made it clear that the settlement was made an order of the Board for the sole purpose of obtaining enforcement under section 19 (6) of 11 the Crown Employees Collective Bar~aininq Act. That section reads: Where a party or an employee has failed to comply with any of the terms of the decision of the Grievance Settlement Board, any party or employee affected by the decision may, after the expiration of fourteen days from the date of the release of the decision or the date provided in the decision for compliance, whichever is later, file in the office of the Registrar of the Supreme Court a copy of the decision, exclusive of the reasons therefor, whereupon the decision shall be entered in the same way as a judgment or order of that court'and is enforceable as such. The Board stressed that the parties did not agree that the Minutes of Settlement would become a Board Order for all purposes. It was not convinced that the act of issuing the Consent Order transformed the settlement into an award of the Board for all purposes, including the clarification of the language in which the parties cast their agreement. The Board suggested that ~he result did not leave the parties without a remedy as it remained open to them to 9o to the Courts of general jurisdiction to have resolved a dispute about competing interpretations of ambiguities. It was the thrust of the Employer's argument that the parties to this dispute should have made the settlement an award of the Board, or used other appropriate language, to reserve the Board's jurisdiction. The dispute between the parties initially arose from a complaint that the Employer had improperly administered the provisions of Appendix 3, Schedule A of the collective agreement. The grievance of September 11, 1989 was subsequently, resolved on t2 March 8, 1991. The settlement reached on that date incorporated earlier guidelines of March 14, 1990 that addressed, inter alia, the accumulation and utilization of excess hours by Schedule A employees. The Board, after reviewin9 the history of the dispute, concludes that the threshold issue on the merits is whether the Employer has complied with the aforementioned settlement. More specifically, did it change the guidelines prior to December 31, 1991 as alleged:. Such question, of necessity, requires an interpretation of paragraph number four (4) of the guidelines. In this regard, we do not accept the Employer's assertion that the settlement was complied with as of the issuance of the guidelines. Quite clearly, the settlement on its face contemplated that these guidelines would be in effect without change from April 15, 1991 to December 31, 1991. The question of change cannot, therefore, be avoided. The Board has been persuaded that the ultimate difference between the parties is directly related to the application, administration or alleged contraventi, on of the collective agreement, particularly Appendix 3, Schedule A thereof. Section 19(1) of the Crown Emoloyees Collective Bargaininq Act makes the Grievance Settlement Board the final arbiter of such disputes between the parties. The Board by statute is authorized to make a final and binding decision. There is no question that the issue was properly before the Board by way of the grievance of September 11, 1989. We have not been convinced that jurisdiction 13 was ousted on exhausted as a consequence of the subsequent settlement. Rather, we think that jurisdiction over the matter continues for purposes of ensuring that the settlement is, in fact, complied with by both panties. This role may require us to make a final and binding decision on the threshold issue, as described above. To be clear, we find that the parties may return to the Board in the event there is an allegation of non- compliance. Our decision on this aspect of the case promotes the labour relations objective that settlement of grievances be encouraged. Parties would not be inclined to enter settlements if they could be breached with impunity without recourse to the Grievance Settlement Board. In a matter such as this, the parties could not resort to section 19 (6) of the Crown Em¢loyees Collective Bargaining Act as the Board did not issue "a decision" that could be filed in the Supreme Court. Further, in view of the settlement, it is unlikely that the Union could proceed with a fresh grievance on the identical issue. Were the Employer correct, the Union here would be required to go to the courts of general jurisdiction in order to seek enforcement. Quite apart Yromthe possible effect of the Rights of Labour Act, R.S.O. 1980, Chapter 456, it would seem preferable, as a matter of policy, to have issues of the present type dealt with by administrative tribunals having labour relations expertise. This is especially so vis a vis the Grievance Settlement Board which initially 14 entertained the grievance and which by statute is compelled to render a final and binding decision on outstanding differences between these parties. Our decision is also consistent with Sim and Bain. As stated previously, that case raised an issue of compliance with a settlement. That question, which was also before the Board by way of a second grievance, called for an interpretation of the settlement, The Board declined to entertain the dispute. In its judgment, it lacked the requisite jurisdiction under the Crown Employees Collective Bargaining Act. The basis for the decision was placed squarely before the Divisional Court in the Application For Judicial Review. We think it' highly unlikely that the Court would have set aside the decision and remitted it back to the Board were it not of the opinion the Board, in law, possessed the jgrisdiction to undertake and complete the task. It is obvious that the Grievance Settlement Board is a creature of statute. Its jurisdiction cannot be enlarged by either the Court or the consent of the parties. Ultimately, on our review of Sim and Bain, we think the Divisional Court has determined that this Board has the jurisdiction]to hear a compliance issue requiring an interpretation of terms of settlement. This Chairperson's comments in Jansen relating to Sim and Bain were made without the benefit of the Divisional Court's endorsement. Indeed, Jansen was heard and released prior to the release of that endorsement. On our reading of Neamtz, the decision turned largely on the particular provision contained within the Consent Order which provided that it was only an order of the Board for purposes of enforcement. The panel, there accepted the Employer's interpretation that the language was intended to allow for enforcement under section 19(6) of the Crown Emoloyees Collective Barqaining Act, We have not been persuaded that the existence of this provision deprives us of the jurisdiction to entertain a case such as this. As indicated earlier, we find that the Board, ' as part of its statutory jurisdiction, may address compliance issues involving interpretation of the terms of a settlement. It is not clear that the panel in Neamtz considered the effect of the result in Sim and Bain. We also note that the former award focused on the narrow issue of whether the Board could clarify an allegedly ambiguous provision in the Consent Order. For all of the above reasons, the Boardlconcludes that we possess the jurisdiction to address the issue of compliance with the terms of settlement. The matter will be rescheduled for further hearings before this same panel. Dated at Toronto ,Ontario this 10th day of August ,1992. ~ W~ter$, Vice~i~erso~ C. Linton, Employer Member 16