Date: 20100128
Docket: T-1953-08
Citation: 2010 FC 101
Ottawa, Ontario, January 28,
2010
PRESENT: The Honourable Mr. Justice Russell
BETWEEN:
WAYWAYSEECAPPO
FIRST NATION
Applicant
and
STEPHANIE COOKE and MONA G.
BROWN
an adjudicator appointed pursuant to the
provisions of the
CANADA LABOUR CODE, R.S.C. 1985,
c. L-2, Part III, Division XIV
Respondents
REASONS FOR JUDGMENT AND JUDGMENT
[1]
This
is an application pursuant to the Section 18.1 of the Federal Courts Act,
R.S.C. 1985, c. F-7, for
judicial review of the adjudication decision of Mona G. Brown (Adjudicator),
made pursuant to Section 242 of the Canada Labour Code, R.S.C. 1985, c.
L-2 (Code) on November 27, 2008 (Decision), which dismissed the
Applicant’s motion to contest the Adjudicator’s jurisdiction to hear the
Respondent’s complaint of wrongful dismissal.
BACKGROUND
[2]
The
Respondent, Stephanie Cooke, was formerly a detachment clerk at the RCMP
Station situated on the Waywayseecappo First Nation Reserve. On April 5, 2005, she
left on maternity leave.
[3]
When
she was hired, the Respondent’s position was funded under a Tripartite
Agreement (First Tripartite Agreement) between the Government of Canada, the
Government of Manitoba, and the Applicant. On the expiration of the First
Tripartite Agreement, a second Tripartite Agreement (Second Tripartite
Agreement) was entered into by the same parties; this occurred on or about
April 1, 2005. Under the Second Tripartite Agreement, the position of RCMP
detachment clerk and the funding were deleted. Because of the Second Tripartite
Agreement, the staff formerly employed by the Applicant became public service
employees employed by the Public Service Commission.
[4]
The
Respondent was informed that she would have to reapply for the detachment clerk
position. While on maternity leave, she applied for this position with the
Public Service Commission. However, she was not selected. The Respondent then
filed a complaint against the Applicant. This complaint was heard by the
Adjudicator.
[5]
The
Applicant seeks an order quashing the Decision of the Adjudicator which
dismissed the Applicant’s motion with regard to the Adjudicator’s jurisdiction
to hear the matter at issue.
DECISION UNDER REVIEW
[6]
The
Adjudicator was appointed to adjudicate this complaint pursuant to section 242
Division XIV – Part III of the Code.
[7]
The
Adjudicator first addressed the preliminary motion made to challenge her
jurisdiction under section 242 (3.1) (a) of the Code which reads:
(3.1) No complaint shall be considered by an adjudicator
under subsection (3) in respect of a person where
(a) that person has been laid off because of lack
of work or because of the discontinuance of a function;
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(3.1) L’arbitre ne
peut procéder à l’instruction de la plainte dans l’un ou l’autre des cas
suivants :
a) le
plaignant a été licencié en raison du manque de travail ou de la suppression
d’un poste;
|
[8]
The
Applicant submitted that the Respondent had been terminated due to the
discontinuance of a function, thus removing the Adjudicator’s jurisdiction to
hear the matter.
[9]
The
Adjudicator found that the Applicant had not shown an economic justification in
agreeing to the Second Tripartite Agreement that eliminated the detachment
clerk position. She also found that “the First Nation had a callous disregard
for the effect of the new agreement on Ms. Cooke.”
[10]
Furthermore,
the Applicant had not proven that the elimination of the Respondent’s position
was required to secure the economic benefits obtained by the Applicant under
the Second Tripartite Agreement. Rather, the Adjudicator determined that “the
Employer owed Ms. Cooke a duty to protect her position unless there was true
economic justification for the elimination of her position.” Because the Applicant
was being reimbursed for the Respondent’s salary and benefits, the Applicant had
not “provide[d] an ‘economic justification’ for the discontinuance of the
function.” The Adjudicator determined that this finding was supported by the
fact that the Respondent was not notified of her termination.
[11]
The
onus was on the Applicant to show a good faith economic justification for its actions,
including the discontinuance of function. The Adjudicator determined that the
Applicant had failed to discharge this onus.
[12]
However,
even had she found a good faith discontinuance of a function under section
242(3.1), the Adjudicator also found that she retained jurisdiction to hear the
matter because:
a.
The
Respondent was never terminated or notified of the discontinuance of her
function, and notice is a pre-requisite to arguing discontinuance of a
function; and
b.
Section
168(1) of the Code provides that section 209.1(1)-(2) supersedes section
242(3.1), so that the Respondent could not be terminated while on maternity
leave under section 206.
Section 168 of the Code instructs
that Part III applies notwithstanding any other law. As such, the Adjudicator
felt that the maternity leave provision and guarantee of reinstatement pursuant
to sections 206-209 are guaranteed benefits that supersede all other provisions,
including section 242(3.1).
[13]
The
Respondent qualified for maternity leave under section 206 of the Code,
and had provided the required notice. As a result, the Adjudicator found she
was “entitled to reinstatement or to have a job of a comparable position under section
209.1(1) and (2).” The Applicant failed to comply with section 209.1(2). As
stated by the Adjudicator, “Section 168 specifically gives me jurisdiction to
hold that Section 242(3.1) must be read to be subject to Section 209.1(1) and
(2) and as a result the employer cannot argue discontinuance of a function
because even if the function had been legally discontinued, the employer was
required to reinstate Ms. Cooke to a comparable position.”
[14]
The
Adjudicator ordered costs of $1,500.00 to be paid to the Respondent by the Applicant,
with the matter to be reconvened to hear the issue of unjust dismissal.
ISSUES
[15]
The
Applicant submits the following issues on this application:
a.
What
is the standard of review for this judicial review?
b.
Did
the Adjudicator base her Decision on erroneous finding of facts that were made
in a perverse or capricious manner or without regard to the material before
her?
c.
Should
the Court set aside and quash the Decision of the Adjudicator which found that
there has been no discontinuance of a function pursuant to section 242(3.1)(a),
because she had no jurisdiction to hear the unjust dismissal complaint pursuant
to section 242(3) of the Canada Labour Code?
d.
Did
the Adjudicator act without jurisdiction or beyond her jurisdiction in making a
Decision which was not in division XIV, Part III, of the Canada Labour Code?
STATUTORY PROVISIONS
[16]
The
following provisions of the Code are applicable in these proceedings:
168. (1) This Part and all regulations made
under this Part apply notwithstanding any other law or any custom, contract
or arrangement, but
nothing in this Part shall be construed as affecting any
rights or benefits of an employee under any law, custom, contract or
arrangement that are more favourable to the employee than his rights or
benefits under this Part.
…
206. Every employee who
(a) has completed six consecutive months of
continuous employment with an employer, and
(b) provides her employer with a certificate of a
qualified medical practitioner certifying that she is pregnant
is entitled to and shall be granted a leave of absence
from employment of up to seventeen weeks, which leave may begin not earlier
than eleven weeks prior to the estimated date of her confinement and end not
later than seventeen
weeks following the actual date of her confinement.
206.1 (1) Subject to
subsections (2) and (3), every employee who has completed six consecutive
months of continuous employment with an employer is
entitled to and shall be granted a leave of absence from employment of up to
thirty-seven weeks to care for a new-born child of the employee or a child
who is in the care of the employee for the purpose of adoption under the laws
governing adoption in the province in which the employee resides.
(2) The leave of absence may only be taken during the
fifty-two week period beginning
(a) in the case of a new-born child of the
employee, at the option of the employee, on the day the child is born or
comes into the actual care of the employee; and
(b) in the case of an adoption, on the day the
child comes into the actual care of the employee.
(3) The aggregate amount of leave that may be taken by
two employees under this section in respect of the same birth or adoption
shall
not exceed thirty-seven weeks.
…
209.1 (1) Every employee
who takes or is required to take a leave of absence from employment under
this Division is entitled to be reinstated in the position that the employee
occupied when the leave of absence from employment commenced, and every
employer of such an employee shall, on the expiration of any such leave,
reinstate the employee in that position.
…
242. (3) Subject to subsection (3.1), an
adjudicator to whom a complaint has been referred under subsection (1) shall
(a) consider whether the dismissal of the person
who made the complaint was unjust and render a decision thereon; and
(b) send a copy of the decision with the reasons
therefor to each party to the complaint and to the Minister.
242. (3.1) No complaint shall be considered
by an adjudicator under subsection (3) in respect of a person where
(a) that person has been laid off because of lack
of work or because of the discontinuance of a function;
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168. (1) La
présente partie, règlements d’application compris, l’emporte sur les règles
de droit, usages, contrats ou arrangements incompatibles mais n’a pas pour
effet de porter atteinte aux droits ou avantages acquis par un employé sous
leur régime et plus favorables
que ceux que lui accorde la présente partie.
…
206. L’employée
qui travaille pour un employeur sans interruption depuis au moins six mois a
droit à un congé de maternité maximal de dix-sept semaines commençant au plus
tôt onze semaines avant la date prévue pour l’accouchement et se terminant au
plus tard dixsept semaines après la date effective de celui-ci à la condition
de fournir à son employeur le certificat d’un médecin attestant qu’elle est
enceinte.
206.1 (1) Sous
réserve des paragraphes (2) et (3), a droit à un congé d’au plus trente-sept
semaines l’employé qui travaille pour un employeur sans interruption depuis
au moins six mois et qui doit prendre soin de son nouveauné ou d’un enfant
qui lui est confié en vue de
son adoption en
conformité avec les lois régissant l’adoption dans la province où il réside.
(2) Le droit au
congé ne peut être exercé qu’au cours des cinquante-deux semaines qui suivent
:
a)
s’agissant d’une naissance, soit le jour de celle-ci, soit le jour où
l’employé commence effectivement à prendre soin de l’enfant, au
choix de l’employé;
b)
s’agissant d’une adoption, le jour où l’enfant est effectivement confié à
l’employé.
(3) La durée
maximale de l’ensemble des congés que peuvent prendre deux employés en vertu
du présent article à l’occasion de la naissance ou de l’adoption d’un enfant
est de trente-
sept semaines.
…
209.1 (1) Les
employés ont le droit de reprendre l’emploi qu’ils ont quitté pour prendre
leur congé, l’employeur étant tenu de les y réintégrer à la fin du congé.
…
242. (3) Sous
réserve du paragraphe (3.1), l’arbitre:
a) décide
si le congédiement était injuste;
b)
transmet une copie de sa décision, motifs à l’appui, à chaque partie ainsi
qu’au ministre.
242. (3.1)
L’arbitre ne peut procéder à l’instruction de la plainte dans l’un ou l’autre
des cas suivants :
a) le plaignant
a été licencié en raison du manque de travail ou de la suppression d’un
poste;
|
STANDARD OF REVIEW
[17]
The
Applicant and the Respondent agree that correctness is the appropriate standard
with which to review the jurisdictional issue. The Federal Court of Appeal
determined in Erickson v. Shaw Radio, 144 FTR 317, [1998] F.C.J. No. 391
that a determination under s. 242(3.1) of the Code as to whether or not
an Adjudicator has the jurisdiction to hear a complaint should be reviewed on a
standard of correctness.
[18]
The
Applicant has also raised issues with regard to the findings of fact made by
the Adjudicator. According to Dunsmuir v. New Brunswick, 2008 SCC 9, [2008] 1
S.C.R. 190
at paragraph 51, questions of fact and discretion attract a standard of reasonableness.
Thus, reasonableness is the appropriate standard when considering whether the
Adjudicator’s Decision was based on erroneous findings of fact.
[19]
When reviewing a decision on the standard of reasonableness, the
analysis will be concerned with “the existence of justification, transparency
and intelligibility within the decision-making process [and also with] whether
the decision falls within a range of possible, acceptable outcomes which are
defensible in respect of the facts and law”: Dunsmuir at
paragraph 47. Put another way, the Court should only intervene if the Decision was unreasonable in the
sense that it falls outside the “range of possible, acceptable outcomes which
are defensible in respect of the facts and law.”
ARGUMENTS
The Applicant
Erroneous Findings of Facts
[20]
The
Applicant submits that the Adjudicator erred in preferring the evidence of
Inspector Kolody, who was not a party to the negotiations leading to either of
the Tripartite Agreements, to the evidence of Chief Clearsky, who took part in those
negotiations. Inspector Kolody admitted that he had no knowledge of the
negotiations. Furthermore, when asked, he was unable to give any information as
to why the Second Tripartite Agreement had made the detachment clerk position into
a public service position.
[21]
Chief
Clearsky, however, testified that instructions had been given from “higher up”
that under the Second Tripartite Agreement the detachment clerk position would
become a part of the Public Service Commission. Chief Clearsky viewed the
taking over of the detachment clerk’s position by the RCMP as having occurred
in exchange for economic benefits to the Applicant. Furthermore, he testified
that the Second Tripartite Agreement of April 2005 was presented to him on a
“take it or leave it” basis.
[22]
The
Adjudicator erred in preferring the evidence of Inspector Kolody over that of
Chief Clearsky, since the former had no personal knowledge of the negotiations
resulting in the Second Tripartite Agreement:
I find that Waywayseecappo has not shown
an economic justification in agreeing to the new Tripartite Agreement that
eliminated the detachment clerk position. Indeed Inspector Kolody testified
that the option to maintain the detachment clerk position would have been given
to the First Nation. I find that the First Nation had a callous disregard for
the effect of the new agreement on Ms. Cooke…I find that there was little to no
evidence that Waywayseecappo had to eliminate the detachment clerk’s position
in order to secure the other economic benefits the employer gained in the new
Tripartite Agreement.
[23]
Accordingly,
the Adjudicator erred in basing her Decision on erroneous findings of fact and
did not fully consider the material before her.
Notice
of Termination
[24]
The
Adjudicator also erred in finding that the Respondent was not notified of her
termination. Kalaman v. Singer Valve Co. [1998] 2 W.W.R. 122, 38
B.C.L.R. (3d) 331 at paragraph 38 (QL) holds that, in order to be valid and
effective, a notice of termination must be clearly communicated to the
employee. The notice must be
specific and unequivocal such that a
reasonable person will be led to the clear understanding that his or her
employment is at an end as of some date certain in the future. Whether a
purported notice is specific and unequivocal is a matter to be determined on an
objective basis in all the circumstances of each case.
[25]
The
Applicant suggests that the required notice was given in this case. The
Respondent was advised by an RCMP Officer on October 24, 2005 that her position
had been eliminated and transferred to the Public Service Commission. The
Respondent was then provided with the job posting from the Public Service
Commission to which she applied on October 26, 2005. Under these circumstances,
the termination was clearly communicated to the Respondent. Nonetheless, the
Adjudicator found that “Ms. Cooke was never notified of her termination.”
Finding
of Bad Faith
[26]
Furthermore,
the Adjudicator failed to address the evidence adduced by the Respondent with
regard to potential malice on the part of the Applicant. The Respondent
admitted that there was “not a shred of evidence” to this effect.
[27]
Assigning
weight to the evidence is the prerogative of the Adjudicator. However, the
Court may intervene where the Adjudicator has assigned weight to the evidence
in an unreasonable fashion, has acted unreasonably, or has made an error. See Lemieux
v. Société Radio-Canada, 2001 FCT 1314, 214 F.T.R. 178.
[28]
There
was no evidence before the Adjudicator to suggest that the Applicant used the
“discontinuance of a function” as a veiled attempt to terminate the
Respondent’s employment. Furthermore, the evidence before the Adjudicator did
not suggest that that the Applicant had acted in bad faith, as was determined
by the Adjudicator.
Discontinuance
of a Function
[29]
The
Applicant contends that the Adjudicator erred in finding that there had not
been a discontinuance of a function. According to Assembly of First Nations
v. Prud’Homme, [2002] C.L.A.D. No. 323, paragraph 63 (QL) the term “discontinuation
of a function”
does not mean that the functions are
completely discontinued and no longer performed by any other person in the
organization. If the activities that form part of the set of a bundle are
divided among other people, or if the responsibilities are decentralized, there
would be a “discontinuation of function”. On the other hand, if a particular
set of activities is merely handed over in its entirety to another person, or
if the activity or duty is simply given a new and different title so as to fit
another job description then there would be no “discontinuation of function.”
[30]
The
Applicant suggests that uncontradicted evidence existed that the detachment
clerk’s position was eliminated because of the Applicant’s reorganization,
which occurred for economic reasons.
Jurisdiction
[31]
Finally,
the Applicant submits that the Adjudicator erred in finding that she had jurisdiction
to hear the complaint.
[32]
The
Applicant contends that the Adjudicator overstepped her jurisdiction by
considering whether or not the Applicant complied with the maternity provision
of the Code found in Division VII. Furthermore, if it is found that
there was discontinuance of a function, the Adjudicator was clearly precluded
from making a determination on the Respondent’s maternity rights.
The
Respondent
[33]
The
Respondent contends that the Adjudicator was correct in her determination that
the Applicant bears the burden of proving the discontinuance of a function that
was made in good faith. Furthermore, her findings that the Applicant had not
shown an economic justification for eliminating the Respondent’s position were
correct on the evidence before her.
[34]
While
Chief Clearsky deposed his belief that the takeover of the detachment clerk
position was a trade-off for an increase in housing and rent payments, the
Respondent suggests that this assertion was not supported by the evidence of
Inspector Kolody, nor corroborated by other evidence.
[35]
The
Adjudicator was correct in finding an absence of economic justification for discontinuing
the Respondent’s position. No layoff occurred, since the Applicant was to be
entirely reimbursed for both the Respondent’s salary and benefits. Furthermore,
there clearly was no lack of work, since all of the duties performed in the
position were simply given to a new employee and given a new title.
[36]
Chief
Clearsky has admitted that the trade-off between the detachment clerk and the
economic gain to the Applicant was not explicit. Moreover, there is no evidence
to demonstrate that this supposed trade-off was anything more than the personal
opinion of the Chief himself.
[37]
The
only evidence of economic justification was the unsupported testimony of Chief
Clearsky. As originally stated in Wolf Lake First Nation v. Young
(1997), 130 F.T.R. 115 which was cited in Maliseet Nation At Tobique v. Bear,
178 F.T.R. 121, [1999] F.C.J. No. 1846 at paragraph 14, “common sense dictates
that the Adjudicator is not required to simply accept the employer’s statement
that the employee was laid off for the reasons described in s. 242(3.1)(a).” As
a result, the Respondent suggests that the Adjudicator could not reasonably
have reached any other conclusion on the facts and evidence before her.
Discontinuance
of a Function
[38]
The
Adjudicator was correct in determining that there had been no discontinuance of
function in this case. Rather, someone else was hired to perform the same
duties previously performed by the Respondent. No evidence was given to show
that the duties previously performed by the Respondent were decentralized or divided.
[39]
Furthermore,
the Respondent was not provided with notice of discontinuance of her function,
which is a prerequisite to a finding of discontinuance. According to Kalaman
at paragraph 38, “a notice must be specific and unequivocal such that a
reasonable person will be led to the clear understanding that his or her own
employment is at an end as of some date certain in the future.”
[40]
Chief
Clearsky was not aware of any notice having been given to the Respondent.
Moreover, the Respondent contends that she was not advised that her function
had been discontinued at all, or at least not until October 24, 2005, which was
six months later. Indeed, Kalaman requires that notice be given before
the occurrence of the discontinuance of a function. The Respondent submits
that “notice subsequent to an event is not notice at all.”
Bad
Faith
[41]
It
is not the Respondent’s burden to demonstrate that the Applicant acted in bad
faith. Rather, it is the Applicant’s burden to show that it acted in good faith
and had an economic justification for its actions. The Applicant has not
discharged this burden.
Jurisdiction
[42]
Section
168 of the Code makes it clear that Part III of the Code applies
notwithstanding any other law. As a result, the provisions of Division XIV are
subject to section 168. This means that the maternity leave provisions and
guarantee of reinstatement contained in sections 206-209 take priority over
other provisions. As such, section 242(3.1)(a) must be read as being subject to
these prioritized sections. The Adjudicator was correct in her interpretation
of section 243(3.1)(a), and such an interpretation was within her jurisdiction.
ANALYSIS
Good Faith Economic
Justification
[43]
The
Adjudicator decided that she has jurisdiction to hear the complaint because there
was no good faith “discontinuance of a function” pursuant to section
242(3.1)(a) of the Code. This meant that she was able to proceed to hear
the unjust dismissal complaint pursuant to section 242(3) of the Code.
[44]
The
Adjudicator correctly pointed out that the onus is upon the Applicant to adduce
evidence of a good faith economic justification for a discontinuance of the
function in accordance with the process described by Justice Beaudry in Thomas
v. Enoch Cree First Nation, 2003 FCT 104, 227 F.T.R. 236 at paragraphs
35-40.
[45]
On
the facts, the Adjudicator found that the Applicant had not demonstrated a good
faith economic justification for the discontinuance of the detachment clerk
position. The basis for this finding was that the Applicant “has not shown an
economic justification in agreeing to the new Tripartite Agreement that
eliminated the ‘detachment clerk’ position” so that the Applicant “had a
callous disregard for the effect of the new agreement on Ms. Cooke”:
I find there was little to no evidence
that Waywayseecappo had to eliminate the “detachment clerk” position in order
to secure the other economic benefits the employer gained in the new Triparte
Agreement. The Employer owed Ms. Cooke a duty to protect her position unless
there was true economic justification for the elimination of her position. The
evidence was that the First Nation was being completely reimbursed for all of
Ms. Cooke’s salary and benefits and thus it is difficult, if not impossible,
for the First Nation to provide an “economic justification” for the
discontinuance of the function. Chief Clearsky admitted he never really
addressed his mind to the elimination of the position, and no one from the
Federal Government ever said that there must be a trade off – the public
service taking over the “detachment clerk” in exchange for the increase in
housing and rent. Inspector Kolody testified the First Nation would have been
given the option to continue the existing arrangement with the “detachment
clerk” or to move to the position being filled by the public service. He
testified that it was usually the R.C.M.P.’s preference that the position be
controlled by the employer as they were familiar with the local applicants and
local applicant’s knowledge was often very helpful. I find the employer has not
discharged its onus that there was an economic reason or justification for
giving up their right to hire the “detachment clerk”. In totality, the evidence
submitted suggests that the issue was basically overlooked or given up without
any thought of the effect it would have on Ms. Cooke or their legal obligations
to Ms. Cooke under the Code. This finding is reinforced by the fact that Ms.
Cooke was never notified of her termination.
[46]
The
basis for assuming jurisdiction was that, although the position of detachment
clerk was eliminated by the Applicant, the Applicant did not discharge the onus
upon it to show a good faith economic justification for the discontinuance of
that function.
[47]
The
Adjudicator found that the Applicant had not established a good faith economic
justification within the meaning of Flieger v. New
Brunswick,
[1993] 2 S.C.R. 651, [1993] S.C.J. No. 76 for the following reasons:
a. The
detachment clerk position could have been maintained by the Applicant at its
option. The other parties to the Second Tripartite Agreement did not require
that the position be transferred to the Public Service;
b. There was no
evidence that the Applicant had to eliminate the position in order to secure
other economic benefits;
c. The evidence
was that the Applicant was being reimbursed for all of the Respondent’s salary
and benefits so that there was no economic justification for the discontinuance
of the function under the Applicant;
d. Inspector
Kolody testified that it is usually the R.C.M.P.’s preference that the position
be controlled by the First Nation employer;
e. The Applicant
had not discharged its onus to show a good faith economic reason or
justification for giving up its right to hire the detachment clerk;
f.
The
fact that the Respondent was never notified that her position had been
terminated supports the other reasons given.
[48]
The
Applicant objects to the finding that it did not demonstrate a good faith
economic justification by saying, in essence, that the Adjudicator preferred
Inspector Kolody’s evidence (who had not been a party to the negotiations to
either Tripartite Agreement) to the evidence of Chief Clearsky who had been a
party to those negotiations. In this regard, the Applicant is saying that the
Adjudicator “based her decision on erroneous findings of fact or … she did not
consider the material presented to her.”
[49]
My
review of the Decision suggests that the Adjudicator considered and weighed
very carefully the evidence provided by Inspector Kolody, Chief Clearsky and
the Respondent on the decisive issue of good faith economic justification. The
Applicant points to various factors in Chief Clearsky’s evidence that should
have been given more weight and suggests that too much reliance was placed upon
what Inspector Kolody had to say. In particular, the Applicant points to the
fact that Chief Clearsky testified that he believed the taking over of the
detachment clerk position by the Public Service would mean an increase in
housing and rent for the Applicant.
[50]
However,
Chief Clearsky’s points are addressed in the Decision and there are solid
reasons for the Adjudicator’s conclusions. There is nothing to suggest that
evidence was overlooked, was not weighed correctly, or that her findings were
unreasonable given the whole picture that emerged.
[51]
The
Applicant says that in assessing good faith economic justification the
Adjudicator failed to refer to the following critical evidence:
i.
The
evidence given by the Respondent in cross-examination when questioned about the
possibility of malice on the part of the Applicant in the discontinuance of the
function and she replied that there was “not a shred of evidence of that”;
ii.
There
was no evidence to indicate that the Applicant was using discontinuance of a
function as a veiled attempt to get rid of the Respondent.
[52]
There
is nothing in the Decision that refers to “malice” or a “veiled attempt.” The
Adjudicator found that there was no good faith economic or other justification
for the Applicant to discontinue the Respondent’s position, and the Respondent
agreed to the change in “callous disregard for the effect of the new agreement
no Ms. Cooke.”
[53]
The
basis of the Decision is that the Applicant had not demonstrated good faith
economic justification for discontinuance of the function. I cannot say that,
in addressing and weighing the evidence, this conclusion was either incorrect
or unreasonable. The fact that the Respondent may have testified that she did
not feel there had been “malice” does not mean that the Applicant discharged
the onus of demonstrating that what it had done was done on the basis of good
faith economic justification. The Decision is based upon the Applicant’s
failure to discharge this onus. I can find no reviewable error in this regard.
Conflict in
Evidence
[54]
The
Applicant says that, in his affidavit sworn to support this application for
judicial review (no cross-examination occurred), Chief Clearsky provides
unquestioned evidence that some of the Adjudicator’s findings concerning the evidence
he gave at the hearing were incorrect.
[55]
In
reviewing Chief Clearsky’s affidavit, I note the following:
i.
In
paragraph 4(a), he says that the Second Tripartite Agreement “was economically
advantageous for my First Nation.” This fact is not overlooked by the
Arbitrator but, in any event, it misses the point. The issue is whether the
discontinuance of the Respondent’s function had a good faith economic
justification. The central point is whether securing economic advantages under
the Second Tripartite Agreement required the discontinuance of the Respondent’s
function. There was no evidence that it did. Also, the term “economic
advantages” in Chief Clearsky’s affidavit, is too vague and general to be of
much help to the Court in the present application;
ii.
In
paragraph 4(c), Chief Clearsky says that he indicated in his testimony that
“the re-organization set out in the negotiated Tri-Partite Agreement of April
1, 2005, provided positive economic and financial benefits to my First Nation.”
The same comments apply to this statement as to 4(a) above;
iii.
In
paragraph 6, Chief Clearsky says “It is untrue that I ‘never really addressed’
my mind to the elimination of the position. Rather, I specifically viewed the
taking over of the ‘detachment clerk’ position by the RCMP in exchange for the
increase in housing and rent as economically and financially beneficial for my
First Nation.” In the early part of paragraph 6, Chief Clearsky tells us what
he “testified” and those points are addressed in the Decision. But Chief
Clearsky does not say that he testified to the portion of paragraph 6 quoted
above. Chief Clearsky’s testifying after the hearing that he did think about
these things is not evidence that he testified to this effect before the
Adjudicator. Consequently, there is nothing in these words to contradict or
temper the findings and conclusions of the Adjudicator on point;
iv.
In
paragraph 7, Chief Clearsky does not say that he testified to an “implied
understanding” before the Adjudicator, and the other points he raises were
addressed by the Adjudicator.
[56]
All
in all, there is nothing in Chief Clearsky’s affidavit that undermines the
findings of the Adjudicator on the central issue that the Applicant did not
discharge the onus of showing that there was a good faith economic
justification for discontinuing the Respondent’s function. The lack of good
faith economic justification distinguishes the case at bar from most cases of
this sort, including those submitted by the Applicant at the hearing.
[57]
My
findings on this central issue are determinative. Other reasons given by the
Adjudicator for assuming jurisdiction are in the alternative. However, I will
address the Notice of Termination issue and the Reorganization issue, both of
which are connected to the primary ground of good faith discontinuance of a
function.
Notice of
Termination
[58]
The
Applicant says that the Respondent was advised by Sergeant Richard on October
24, 2005 that her position had been eliminated and transferred to the Public
Service Commission. The Applicant was then provided with the posting of the job
application for the Public Service Commission for which she applied. Based upon
these facts, the Applicant says that the “termination notice therefore was
clearly communicated to the complainant.” It is difficult to see what relevance
this has for the matter before me.
[59]
To
begin with, the fact that the Respondent “was never terminated from her
employment or notified of the discontinuance of her function” is an alternative
ground in the Decision for assuming jurisdiction. The notification issue is
mentioned under the “good faith economic justification” ground, but only
because it reinforces the Applicant’s failure to demonstrate good faith
economic justification.
[60]
Secondly,
whatever Sergeant Richard may have told the Applicant on October 24, 2005 about
her position with the Applicant was not notification that her employment had
been terminated and her position eliminated. It was after the fact and the
evidence is clear that the Applicant did not bother to provide the kind of
notification that is required by law. See Kalaman above, at paragraph 38
and the Code at section 230.
[61]
Thirdly,
the fact that the Respondent may have applied for the new position is not
evidence that she was provided with the required notice of the termination or
discontinuance of her previous position. Just because the Respondent may have
attempted to mitigate her situation does not mean that the Applicant dealt with
her in good faith or in accordance with the law regarding adequate notice.
Reorganization
[62]
The
Applicant refers to the Prud’Homme decision and says that it should not
be faulted for eliminating the detachment clerk’s position “as a result of the
employer’s diligence in reorganizing its structure for economic reasons and
that in the course of the reorganization, the detachment clerk’s position was
eliminated.” This is a repetition of the argument that “there was no evidence
before the Adjudicator that this decision was nothing but ‘genuine and made in
good faith.’” Economic reorganization is a decision for the employer to make
but it does not eliminate the requirement to show good faith economic
justification for the discontinuance of a function. See Mathur v. Bank of Nova Scotia (2001), 12
C.C.E.L. (3d) 280, [2001] C.L.A.D. No. 524.
[63]
Once
again, this is an argument about the weighing of evidence. The Decision is
based upon the Applicant’s failure to demonstrate that the discontinuance of
the position was made in good faith for economic reasons. As discussed earlier,
I can find nothing to suggest that relevant evidence was either overlooked or
inappropriately weighed by the Adjudicator in coming to the conclusion that the
Applicant had not demonstrated good faith.
JUDGMENT
THIS COURT ORDERS AND
ADJUDGES that
1.
The
Application is dismissed and this matter shall be returned for further hearing
before the Adjudicator.
2.
The
Respondent shall have her costs of this Application.
Judge