Date:
20130222
Docket:
T-1908-11
Citation:
2013 FC 184
Ottawa, Ontario,
February 22, 2013
PRESENT: The
Honourable Madam Justice Mactavish
BETWEEN:
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CANADIAN UNION OF PUBLIC
EMPLOYEES (AIRLINE DIVISION)
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Applicant
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and
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AIR CANADA
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Respondent
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REASONS FOR
JUDGMENT AND JUDGMENT
[1]
The
Canadian Union of Public Employees (Airline Division) [“CUPE”] seeks judicial
review of a decision of the
Canadian Human Rights Commission dismissing its complaint of sex-based wage
discrimination against Air Canada. CUPE argues that the Commission acted
without jurisdiction by engaging a private company to investigate its human
rights complaint. CUPE further asserts that it was denied procedural fairness
in this matter, as the investigation into the complaint was not sufficiently
thorough and the Commission failed to provide sufficient reasons for its
decision.
[2]
For the
reasons that follow, I have not been persuaded that the Commission erred as
alleged. As a consequence, CUPE’s application for judicial review will be
dismissed.
Background
[3]
This case has
had a lengthy and difficult history. It is not, however, necessary to review
the entirety of that history for the purposes of this application. Instead, I
will simply identify the facts that are relevant to the issues raised by CUPE before
this Court.
[4]
CUPE filed its
human rights complaint with the Commission in 1991. It alleged that Air Canada
discriminated against the predominantly female ‘Flight Attendants’ group by
paying them lower wages than were paid to predominantly male groups performing
work of equal value, in violation of section 11 of the Canadian Human Rights
Act,
R.S.C. 1985, c. H-6 [CHRA or the Act], the pay equity provision of the Act. The full text
of the relevant statutory provisions is attached as an appendix to this
decision.
[5]
CUPE also
asserted that Air Canada’s salary structure for Flight Attendants was
discriminatory as it required Flight Attendants to work for seven years before
they could reach the maximum salary level for their positions, whereas employees
in certain predominantly male groups could reach their maximum salary level in
a shorter period of time. According to CUPE, this violated section 10 of the CHRA,
which makes it a discriminatory practice for an employer to establish a policy
or practice “that deprives or tends to deprive an individual or class of
individuals of any employment opportunities on a prohibited ground of
discrimination”.
[6]
The
Commission decided to deal with CUPE’s complaint in May of 1992. An issue then
arose between the parties as to whether the groups named in the complaint
worked in the same “establishment”, within the meaning of section 11 of the CHRA.
Section 11 makes it a discriminatory practice for an employer to establish or
maintain differences in wages between male and female employees performing work
of equal value who are employed in the same establishment.
[7]
In
1996, the Commission referred the “establishment” issue to the Canadian Human
Rights Tribunal for determination. The Tribunal subsequently found that the
male and female dominated groups did not work in the same establishment for the
purposes of section 11 of the CHRA. This decision was affirmed by the
Federal Court, but was overturned by the Federal Court of Appeal. In 2006, the
Supreme Court of Canada ruled that the male and female dominated groups did in
fact work in the same establishment for pay equity purposes: Canada (Human Rights Commission) v. Canadian Airlines International Ltd.,
2006 SCC 1, [2006] 1 S.C.R. 3.
[8]
In
the meantime, in 2003, Air Canada had applied for protection under the Companies’
Creditors Arrangement Act, R.S.C. 1985, c. C-36 and had obtained a stay of
all proceedings against it. In May of 2004, CUPE and Air Canada entered into a Memorandum of Agreement whereby it was agreed that CUPE’s human rights
complaint would survive the insolvency proceedings, but that no claim would be
made for retroactive wage adjustments for the period prior to September 30,
2004.
[9]
Following
the Supreme Court’s decision, the Commission met with the parties in the spring
of 2006 in an effort to resolve the complaint. A conciliator appointed by the
Commission was unable to effect a settlement, and no agreement was reached
between the parties as to the terms under which the Commission investigation
into CUPE’s complaint would be conducted.
[10]
In
July of 2008, the Commission wrote to the parties advising of its intention to
retain a consultant with the firm of Opus Mundi Canada to conduct the
investigation on behalf of the Commission. The parties were given a period of
time to advise the Commission if they had any objections to the consultant
being retained. The parties were further advised that if they did not contact
the Commission within the prescribed time period, this would be interpreted as meaning
that they did not object to the appointment of the consultant.
[11]
CUPE
did not object to either the Commission’s use of an outside consultant to
conduct the investigation into its complaint or to the identity of the proposed
consultant. However, by letter dated July 25, 2008, Air Canada objected to the Commission’s choice of consultant. Air Canada’s objection was based
on the fact that the individual in question had previously been involved in the
investigation of CUPE’s complaint in the course of his prior employment with
the Commission and had given evidence in the course of the “establishment”
litigation. The Commission ultimately decided not to retain this consultant.
[12]
Instead,
by letter dated August 26, 2009, the Commission advised the parties that it was
now proposing to retain Kapel and Associates Inc. “to assist with the
investigation of the [...] complaint”. The parties were once again given a
period of time to advise the Commission if they had any objections to the
consultant investigating the complaint. Neither Air Canada nor CUPE voiced any
objection, either to the Commission’s use of an outside consultant or to the
identity of the proposed consultant.
[13]
In
the course of the investigation, representatives of Kapel and Associates Inc.
met with representatives of both CUPE and Air Canada. During the investigation,
CUPE voiced a number of concerns with respect to the conduct of the
investigation. These included a request that the investigators shadow flight
attendants in order to gain a better understanding of their responsibilities
and work environment. CUPE also alleged that Air Canada had provided Kapel with
inaccurate and/or incomplete information. CUPE further asserted that it would
be misleading for the investigator to rely on employees’ T-4 slips as a basis
for calculating their compensation, as Flight Attendants were required to work
many hours for which they were not compensated.
[14]
Kapel
responded to CUPE’s concerns by explaining that job shadowing was not part of
its investigation mandate, which was to conduct a “desk-top review” of job and
pay information. Kapel also reminded CUPE that it had stated from the beginning
that this information would be collected from Air Canada, with input from CUPE
on key points.
[15]
The
investigation into CUPE’s complaint culminated in a report dated April 20, 2011
[“the Kapel Report”]. The Kapel Report concluded that “the evidence gathered
does not appear to indicate that there is a pay equity issue for either the
Flight Attendant or Service Director, with respect to either section 11 or section
10 of the Canadian Human Rights Act”. A Service Director is a senior
Flight Attendant who has received additional training and has additional
responsibilities on flights.
[16]
The
Kapel Report then formed the basis for the Commission’s own Investigation
Report [“the Commission’s Report”] dated May 31, 2011. The Commission’s Report
was very brief and essentially relied upon the findings made in the Kapel
Report. The Commission’s Report concluded with the recommendation that the
Commission dismiss CUPE’s human rights complaint as “based on all the
circumstances of the complaint, further inquiry by a Tribunal is not
warranted”. The Commission’s Report (which included the Kapel Report as an
appendix) was then forwarded to both CUPE and Air Canada for comment.
[17]
By
letter dated July 29, 2011, CUPE provided the Commission with lengthy and
detailed submissions identifying what it characterized as the “numerous
deficiencies” in the Kapel Report. It asserted that it was simply not possible
to determine whether there were pay inequities through a “desk-top review”. In
this regard, it pointed to references in the Kapel Report to various matters
being beyond the scope of the investigation.
[18]
CUPE
also referred to what it said were numerous other shortcomings in the
investigation and the Kapel Report, including the concerns that it had
previously identified with respect to the scope of the investigation. Concerns
were also expressed with respect to the use of what CUPE submitted was inaccurate
or misleading pay information, and the alleged failure of the investigators to
understand how Flight Attendants at Air Canada are compensated.
[19]
CUPE
further asserted that the investigators did not understand the Flight
Attendants’ work environment and working conditions. Criticisms were also
levelled at the Job Evaluation Plan used by the investigators. CUPE’s
submission concluded with the observation that the defects identified in its letter
were “fatal to the investigation and render it flawed and unreliable.”
[20]
Air
Canada provided its own comments with respect to the investigation report,
which included a report prepared by Dr. Nan Weiner, a pay equity expert who had
reviewed the Kapel Report. Dr. Weiner disagreed with Kapel’s approach to
assessing compensation through the use of T-4 information: she would instead
have compared the hourly salary rates for the various employees in question.
However, Dr. Weiner noted that this would not change the conclusion reached by
Kapel and Associates Inc. as to the lack of a wage gap. She further concluded
that there was no reason to believe that the conclusions of the Kapel report were
“based on actions which are anything but appropriate and professional”.
[21]
Air
Canada provided the Commission with its response to CUPE’s July 29, 2011
submissions in a letter dated September 7, 2011. On September 15, 2011, CUPE then
provided the Commission with detailed additional submissions with respect to
the alleged flaws in the investigation, as well as a critique of Air Canada’s submissions and Dr. Weiner’s report.
[22]
The
Kapel Report and the Commission’s Report, together with the parties’ various
submissions, were then provided to the Commissioners of the Canadian Human
Rights Commission for decision. The Commissioners accepted the Commission
investigator’s recommendation, and CUPE’s complaint was dismissed pursuant to
subsection 44(3) of the CHRA on the basis that further inquiry into the
complaint was not warranted. It is this decision that underlies this
application for judicial review.
The Issues
[23]
CUPE
raises two main issues on this application. First, it asserts that the
Commission did not have the jurisdiction to delegate its investigative
obligations under the CHRA to a third party private sector corporation. Second,
CUPE alleges that it
was denied procedural fairness in this matter, as the Commission’s
investigation into its human rights complaint was not sufficiently thorough and
the Commission failed to provide sufficient reasons for its decision.
[24]
It should be
noted that CUPE does not challenge the reasonableness of the
Commission’s decision to dismiss its human rights complaint.
[25]
However,
before considering the question of whether the Commission had the power to
delegate the investigation of CUPE’s human rights complaint to a third party,
the Court must first address Air Canada’s argument that CUPE’s failure to
object in a timely fashion to the hiring of an outside investigator should
estop it from now being able to raise the issue.
The Significance of CUPE’s
Failure to Object to the Commission’s Delegation of the Investigation to a
Private Sector Consultant
[26]
Air
Canada argues that CUPE was advised of the Commission’s intention to retain
Kapel and Associates Inc. in August of 2009, and that it was given a period of
time to advise the Commission if it had any objections to the consultant being
retained. CUPE never voiced any objection, either to the Commission’s use of an
outside consultant to conduct the investigation or to the choice of Kapel and
Associates Inc. as investigators.
[27]
Air
Canada further submits that CUPE would have been well aware of the fact that
Kapel and Associates Inc. was actually carrying out the investigation, and that
it participated in the investigative process for over a year without raising
any concern with respect to the involvement of the company.
[28]
While
denying that there could have been any confusion on the part of CUPE as to the
role that Kapel and Associates Inc. was playing in the investigative process,
Air Canada submits that any such confusion would have had to have been
dispelled when CUPE was given a copy of the Kapel Report. However, even though
CUPE provided the Commission with lengthy and detailed submissions with respect
to the alleged shortcomings in the Kapel investigation, no concern was raised
regarding the use of an outside agency to conduct the investigation.
[29]
Having
failed to identify any concerns with respect to the use of outside consultants
in a timely manner, Air Canada argues that CUPE should now be estopped from
raising this argument before this Court. In support of this contention, Air Canada relies on the decision of this Court in Sherman v. Canada (Customs and Revenue
Agency), 2005 FC 173, [2005] F.C.J. No. 209 at para. 19.
[30]
I
agree with Air Canada that a review of the record makes it very clear that the
argument with respect to the choice of investigator is undoubtedly an
afterthought, one that only surfaced in the course of this application for
judicial review. If CUPE truly had any concerns with respect to the Commission’s
delegation of its investigative responsibilities to an outside agency, it had
many opportunities to raise those concerns when this matter was before the
Commission, and it did not.
[31]
It
is true that the Commission’s August 26, 2009 letter states that it was
proposing to retain Kapel and Associates Inc. “to assist with the
investigation of the [...] complaint”. However, the letter goes on to provide a
deadline for submissions, in the event that CUPE had “any objection to Kapel
and Associates Inc. investigating this complaint”. It was thus quite
clear that Kapel and Associates Inc. would be conducting the investigation.
[32]
Not
only is there no evidence before me of any actual confusion on CUPE’s part in
this regard, I would also note that if the union was in fact unclear as to the
role that Kapel and Associates Inc. would be fulfilling in the investigative
process, it never made any effort to clarify the scope of the mandate that was
being given to the consultant by the Commission.
[33]
I
would further observe that the Commission’s July, 2008 letter proposing the
consultant from Opus Mundi Canada made it crystal clear that it was the
Commission’s intention that the investigation into CUPE’s human rights
complaint be conducted by the outside consultant, and CUPE voiced no concern in
this regard.
[34]
It
would, moreover, have been apparent to CUPE from its meetings with Kapel and
Associates Inc. that the company was actually conducting the investigation on
behalf of the Commission. However, while CUPE raised a number of concerns with
respect to the conduct of the investigation, the role being played by Kapel and
Associates Inc. in the investigation was not among them.
[35]
I
also agree with Air Canada that once CUPE received the Kapel Report, there
could not possibly have been any doubt whatsoever as to Kapel’s role in the
investigation, yet no objection was made by CUPE to Kapel’s involvement in this
matter.
[36]
All
of that said, I am not persuaded that CUPE’s failure to object to the
appointment of Kapel and Associates Inc. in a timely manner should preclude it
from advancing its arguments with respect to the scope of the Commission’s
power to delegate its statutory obligation to investigate complaints of
discrimination.
[37]
In
coming to this conclusion, I would note that the Sherman case relied
upon by Air Canada involved an alleged failure to comply with guidelines,
rather than with the provisions of a statute. This is an important
distinction.
[38]
The
law is clear that parties cannot confer jurisdiction on a tribunal by consent.
As a consequence, the Federal Court of Appeal has held that a party cannot be
estopped from challenging the jurisdiction of a tribunal because it failed to
raise the objection in an earlier proceeding: see, for example, Beothuk Data Systems Ltd.,
Seawatch Division v. Dean,
[1998] 1 FC 433, [1997] 1 F.C.J. No. 1117. See also Canada (Minister
of Human Resources and Development) v. Reisinger Estate, 2004 FC 893,
[2004] F.C.J. No. 1092.
[39]
The
issue in this case is whether the Commission exceeded its statutory authority
by delegating its investigative responsibilities to a consultant. While CUPE
should most certainly have raised any concerns that it may have had in this
regard at its earliest opportunity, I am nevertheless prepared to deal with
that issue in the context of this proceeding.
Did the Commission
have the Power to Delegate the Investigation to a Third Party?
[40]
CUPE
characterizes this issue as involving the jurisdiction of the Commission. As
such, it submits that the Commission’s actions should be reviewed against the
standard of correctness. In contrast, Air Canada submits that the Commission’s
interpretation of the powers conferred on it by its enabling legislation is
reviewable on the standard of reasonableness.
[41]
As
discussed above, the issue is whether the Commission had the statutory
authority to delegate its investigative responsibilities to a third party.
While this involves the interpretation of the scope of the Commission’s
statutory power to engage outside assistance, it is not a “true question of
jurisdiction” as contemplated by cases such as Alberta (Information and Privacy
Commissioner) v. Alberta Teachers' Association, 2011 SCC 61, [2011] 3 S.C.R.
654.
[42]
I agree with
Air Canada that what is in issue is the Commission’s interpretation of the scope of powers
conferred on it by its enabling legislation. This is analogous to the issue
that confronted the Supreme Court of Canada in Canada (Canadian Human Rights
Commission) v. Canada (Attorney General), 2011 SCC 53, [2011] 3 S.C.R. 471 [Mowat],
where the Court held that such a question is reviewable against the standard of
reasonableness.
[43]
While Mowat
involved a decision by the Canadian Human Rights Tribunal rather than the
Commission, I am of the view that the Supreme Court’s reasoning should
nevertheless also apply here.
[44]
In
reviewing a decision against the reasonableness standard, the Court must
consider the justification, transparency and intelligibility of the
decision-making process, and whether the decision falls within a range of
possible acceptable outcomes which are defensible in light of the facts and the
law: see Dunsmuir v. New Brunswick,
2008 SCC 9, [2008] 1 S.C.R. 190, at para. 47; Canada (Citizenship and Immigration)
v. Khosa,
2009 SCC 12, [2009] 1 S.C.R. 339 at para. 59.
[45]
I
should, however, note that the
resolution of this issue does not turn on the standard of review, as I am
satisfied that the Commission correctly determined that it had the power to
retain an outside investigator to investigate CUPE’s complaint.
[46]
Sections
32 and 43 are the sections of the CHRA at issue here. Section 32 deals
with the hiring of Commission staff and contractors. It provides that:
32. (1) Such officers and
employees as are necessary for the proper conduct of the work of the
Commission shall be appointed in accordance with the Public Service
Employment Act.
(2) The
Commission may, for specific projects, enter into contracts for the services
of persons having technical or specialized knowledge of any matter relating
to the work of the Commission to advise and assist the Commission in the
exercise of its powers or the performance of its duties and functions under
this Act, and those persons may be paid such remuneration and expenses as may
be prescribed by by-law of the Commission.
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32. (1) Le personnel
nécessaire à l’exécution des travaux de la Commission est nommé conformément
à la Loi sur l’emploi dans la fonction publique.
(2) La Commission
peut, pour des travaux déterminés, engager à contrat des experts compétents
dans des domaines relevant de son champ d’activité et leur verser à cette
occasion la rémunération et les indemnités fixées par règlement
administratif.
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[47]
CUPE
submits that Kapel and Associates Inc. was not retained to “advise and assist”
the Commission within the meaning of subsection 32(2) of the Act. Rather, it
was designated as an “investigator” under section 43. Indeed, CUPE stresses
that although the Commission’s August 26, 2009 letter suggested that Kapel
would merely “assist with the investigation”, it in fact conducted the
investigation.
[48]
I
do not accept this submission.
[49]
In
Rizzo & Rizzo Shoes Ltd. (Re), [1998] S.C.J. No. 2, [1998] 1 S.C.R.
27, the Supreme Court of Canada described the preferred approach to statutory
interpretation, stating that “[t]oday there is only one principle or approach,
namely, the words of an Act are to be read in their entire context and in their
grammatical and ordinary sense harmoniously with the scheme of the Act, the
object of the Act, and the intention of Parliament”: at para. 21, citing Elmer
A. Driedger, Construction of Statutes, 2d ed. (Toronto: Butterworths, 1983) at
87; see also Canada (Information Commissioner) v. Canada (Minister of National Defence), 2011 SCC 25, [2011] 2 S.C.R. 306 at para. 27.
[50]
In
Canada Trustco Mortgage Co. v. Canada, 2005 SCC 54, [2005] 2 S.C.R. 601,
the Supreme Court noted that “[t]he interpretation of a statutory provision
must be made according to a textual, contextual and purposive analysis to find
a meaning that is harmonious with the Act as a whole”: at para. 10.
[51]
It
is clear from a reading of subsection 32(2) that the Commission is expressly
empowered to retain the services of persons having technical or specialized
expertise to assist it in carrying out its statutory responsibilities under the
CHRA. Such persons may be retained for “specific projects” (or “travaux déterminés” in the
French version of the Act). The term “specific
projects” is not defined in the Act, but the ordinary meaning of the phrase
would encompass the conduct of a specific investigation into a human rights complaint.
[52]
It is the Commissioners
that make up the Commission who are statutorily mandated to decide whether
human rights complaints are dismissed, referred elsewhere, or sent to the
Canadian Human Rights Tribunal for a hearing: section 44 of the Act. There is
no suggestion that the Commissioners did not carry out their statutory
responsibilities in this regard. Subsection 32(2) specifically empowers the
Commission to hire contractors to advise and assist in the exercise of those
powers. That is what occurred here.
[53]
Subsection
43(1) deals with the appointment of investigators. It provides that:
43. (1) The Commission
may designate a person, in this Part referred to as an “investigator”, to
investigate a complaint.
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43. (1) La Commission
peut charger une personne, appelée, dans la présente loi,
« l’enquêteur », d’enquêter sur une plainte
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[54]
Nothing in
the wording of this provision limits the choice of investigator in the manner
suggested by CUPE. Moreover, while subsection 43(4) contemplates the making of
regulations governing the manner in which complaints are to be investigated, no
such regulations have been enacted.
[55]
It is
noteworthy that subsection
43(1) of the Act states
that the Commission may designate a person to conduct an investigation.
It does not state that the Commission must designate a Commission employee
to do so. Nor does it distinguish between natural and corporate persons, and,
in accordance with the provisions of section 35 of the Interpretation Act,
R.S.C. 1985, c. I-21, the word “person” in a statute is to be interpreted to
include a corporation.
[56]
I would also
note that an investigation into a pay equity complaint is a major undertaking –
a complex task that could have a significant impact on the Commission’s
resources. The Commission needs to be able to manage its resources as it sees
fit, and to seek outside assistance and expertise where it deems it necessary
to do so. That is what it did here, and CUPE has not persuaded me that
the Commission acted outside of its statutory authority when it contracted out
the investigation of CUPE’s human rights complaint to Kapel and Associates Inc.
The Procedural
Fairness Arguments
[57]
CUPE also
argues that it was denied procedural fairness in this matter, as the
investigation into its complaint was not sufficiently thorough and the
Commission failed to provide sufficient reasons for its decision.
[58]
Where an
issue of procedural fairness arises, the task for the Court is to determine
whether the process followed by the decision-maker satisfied the level of fairness
required in all of the circumstances: see Dunsmuir, above, at para. 79.
[59]
Before
turning to consider the arguments advanced by CUPE in this regard, it is
helpful to start by examining the principles governing the conduct of
Commission investigations, the level of thoroughness required, and the
obligation on the part of the Commission to provide reasons for its decisions.
General Principles Governing
Commission Investigations
[60]
The role of the Canadian Human
Rights Commission was considered by the Supreme Court of Canada in Cooper v.
Canada (Canadian Human Rights Commission), [1996] S.C.J. No. 115, [1996]
3 S.C.R. 854. There the Court observed that the Commission is not an
adjudicative body, and that the adjudication of human rights complaints is reserved
to the Canadian Human Rights Tribunal.
[61]
Rather, the
role of the Commission is to carry out an administrative and screening
function. It is the duty of the Commission “to decide if, under the provisions
of the Act, an inquiry is warranted having regard to all the facts. The central
component of the Commission’s role, then, is that of assessing the sufficiency
of the evidence before it”: Cooper, above, at para. 53; see also Syndicat
des employés de production du Québec et de l'Acadie v. Canada (Human Rights
Commission), [1989] S.C.J. No. 103, [1989] 2 S.C.R. 879 [SEPQA].
[62]
The
Commission has a broad discretion to determine whether “having regard to all of
the circumstances” further inquiry is warranted: Halifax (Regional Municipality) v. Nova Scotia (Human Rights Commission), 2012 SCC 10, [2012] 1
S.C.R. 364 at paras. 26 and 46; Mercier v. Canada (Human Rights Commission),
[1994] 3 F.C. 3, [1994] 3 F.C.J. No. 361 (F.C.A.).
[63]
Indeed, in Bell
Canada v. Communications, Energy and Paperworkers Union of Canada, [1999] 1
F.C. 113, [1998] F.C.J. No. 1609 [Bell Canada], the Federal Court of
Appeal noted that “[t]he Act grants the Commission a remarkable degree of
latitude when it is performing its screening function on receipt of an
investigation report”: at para. 38.
[64]
In Slattery
v. Canada (Canadian Human Rights Commission), [1994] 2 F.C. 574, [1994]
F.C.J. No. 181, aff’d [1996] F.C.J. No. 385, 205 N.R. 383 (F.C.A.), this Court
discussed the content of the duty of procedural fairness required in Commission
investigations. The Court observed that in fulfilling its statutory
responsibility to investigate complaints of discrimination, investigations
carried out by the Commission had to be both neutral and thorough.
[65]
Insofar as
the requirement of thoroughness is concerned, the Federal Court observed in Slattery
that “deference must be given to administrative decision-makers to assess the
probative value of evidence and to decide to further investigate or not to
further investigate accordingly”. As a consequence, “[i]t should only be where
unreasonable omissions are made, for example where an investigator failed to
investigate obviously crucial evidence, that judicial review is warranted”: at
para 56.
[66]
As to what
will constitute “obviously crucial evidence”, this Court has stated that “the ‘obviously
crucial test’ requires that it should have been obvious to a reasonable person
that the evidence an applicant argues should have been investigated was crucial
given the allegations in the complaint”: Gosal v. Canada (Attorney General),
2011 FC 570, [2011] F.C.J. No. 1147 at para. 54; Beauregard v. Canada Post, 2005 FC 1383, [2005] F.C.J. No. 1676 at para. 21.
[67]
The
requirement for thoroughness in investigations must also be considered in light
of the Commission's administrative and financial realities, and the
Commission’s interest in “maintaining a workable and administratively effective
system”: Boahene-Agbo v. Canada (Canadian Human Rights Commission),
[1994] F.C.J. No. 1611, 86 F.T.R. 101 at para. 79, citing Slattery, above,
at para. 55.
[68]
With this in
mind, the jurisprudence has established that the Commission investigations do
not have to be perfect. As the Federal Court of Appeal observed in Tahmourpour
v. Canada (Solicitor General), 2005 FCA 113, [2005] F.C.J. No. 543 at para.
39:
Any judicial review of the
Commission’s procedure must recognize that the agency is master of its own
process and must be afforded considerable latitude in the way that it conducts
its investigations. An investigation into a human rights complaint cannot be
held to a standard of perfection; it is not required to turn every stone. The
Commission's resources are limited and its case load is heavy. It must
therefore balance the interests of complainants in the fullest possible
investigation and the demands of administrative efficacy” [Citations omitted]
[69]
The
jurisprudence has also established that some defects in an investigation may be
overcome by providing the parties with the right to make submissions with
respect to the investigation report.
[70]
For example,
in Slattery, the Court observed that where, as here, the parties have an
opportunity to make submissions in response to an investigator's report, it may
be possible to compensate for more minor omissions in the investigation by
bringing the omissions to the Commission’s attention. As a result, “it should
be only where complainants are unable to rectify such omissions that judicial
review would be warranted”. This would include situations “where the omission
is of such a fundamental nature that merely drawing the decision-maker’s
attention to the omission cannot compensate for it”. Judicial intervention may
also be warranted where the Commission “explicitly disregards” the fundamental
evidence: all quotes from Slattery, above at para. 57
[71]
Similarly, in
Sketchley v. Canada (Attorney General), 2005 FCA 404, [2005] F.C.J. No.
2056, the Federal Court of Appeal observed that the only errors that will
justify the intervention of a court on review are “investigative flaws that are
so fundamental that they cannot be remedied by the parties’ further responding
submissions”: at para. 38.
[72]
Where,
as here, the Commission adopts the recommendations of an investigation report
and provides limited reasons for its decision, the investigation report will be
viewed as constituting the Commission’s reasoning for the purpose of a decision
under section 44(3) of the Act: see SEPQA, above at para. 35; Bell
Canada above at para. 30.
[73]
However, a
decision to dismiss a complaint made by the Commission in reliance upon a deficient
investigation will itself be deficient because “[i]f the reports were
defective, it follows that the Commission was not in possession of sufficient
relevant information upon which it could properly exercise its discretion”: see
Grover v. Canada (National Research Council), 2001 FCT 687, [2001]
F.C.J. No. 1012 at para. 70; see also Sketchley, above, at para. 112.
[74]
With this
understanding of the role and responsibilities of the Canadian Human Rights
Commission in dealing with the investigation of complaints of discrimination, I
turn now to consider the arguments advanced by CUPE as to the inadequacy of the
investigation in this case.
Was the Investigation into CUPE’s
Complaint Sufficiently
Thorough?
[75]
While CUPE
does not challenge the neutrality of the investigation carried out by Kapel and Associates
Inc., it has
identified three areas where it says that the investigation was not sufficiently
thorough.
[76]
Before
turning to consider CUPE’s submissions in this regard, I would start by noting
that CUPE’s memorandum of fact and law simply makes a series of bald assertions
as to what is says were the deficiencies in the investigation, without really
explaining how these alleged deficiencies actually impacted on the thoroughness
of the investigation or the fairness of the process: see paragraph 63.
[77]
While
CUPE expanded somewhat on these assertions in the course of its oral arguments,
as will be explained below, it has not persuaded me that it was treated
unfairly by the Commission.
The Process Followed by Kapel and
Associates Inc.
[78]
In order to
put CUPE’s arguments into context, it is helpful to start with a brief overview
of the process that was followed by Kapel and Associates Inc. in investigating
CUPE’s human rights complaint.
[79]
Kapel and
Associates Inc. started by defining
which jobs, factors and variables would be examined in the course of the
investigation, based upon CUPE’s complaint. It then collected information from
CUPE and Air Canada with respect to both the jobs covered by the complaint and
potential comparator positions.
[80]
A
‘point factor type’ Job Evaluation Plan was then prepared for use in the
analytical process. That Job Evaluation Plan was then used to determine the
value of the relevant jobs and to identify the relevant comparator positions.
Finally, a comparison of the wages paid in the male- and female-dominated
positions was made, taking into account the relative value of those positions.
[81]
CUPE
disagrees with some of the choices made by the investigators in the course of
the investigation, and with the conclusions reached by the investigators.
However, as will be explained below, while some of CUPE’s arguments clearly
relate to the fairness of the Commission process, other arguments really go to
the reasonableness of the Commission’s decision rather than the fairness of the
process. As was previously noted, CUPE has not challenged the reasonableness of
the Commission’s decision.
The Alleged Deficiencies in the
Information Gathering Process
[82]
The
first area where CUPE says that the investigation was insufficiently thorough
relates to the information gathering process and the “desk-top” nature of the
Kapel review.
[83]
CUPE
points out that while representatives of Kapel and Associates Inc. met with
representatives of Air Canada some 18 or 19 times over the course of the
investigation, they met with representatives of CUPE on only two occasions –
once at the outset of the investigation and once mid-way through the
investigation. I note that Air Canada suggests in its submissions that there
were actually 21 meetings with its representatives. Nothing turns, however, on
the precise number of meetings.
[84]
Air
Canada also points out that CUPE’s complaint required the union to provide
information regarding the two employee groups which were the subject of the
complaint, namely Flight Attendants and Service Directors, both of which were
members of the same union. In contrast, Air Canada had to provide the
investigators with information regarding 152 different positions in two
different unions. In these circumstances, Air Canada says, it was entirely
reasonable that the investigators were required to spend considerably more time
with Air Canada representatives than they did with representatives of CUPE.
[85]
While
Air Canada’s submission makes perfect sense, the more fundamental difficulty
with CUPE’s argument is that it has not identified any information that it was
unable to put before the investigators, either in the course of the two
face-to-face meetings that its representatives had with the investigators, or
through the exchange of correspondence between CUPE and the investigators that
took place over the course of the investigation.
[86]
CUPE
points out that although the investigators spoke to Air Canada managers who had previously worked as Flight Attendants, they never interviewed
anyone currently working as a Flight Attendant. It should, however, be noted
that it does not appear that interviews were carried out with members of any
of the employee groups in issue in the investigation.
[87]
CUPE
also alleges that it was treated unfairly as it had asked the investigators to
“shadow” Flight Attendants as they performed their duties, in order to gain a
full appreciation of their roles and responsibilities, but that the
investigators had refused to do so.
[88]
Dr.
Weiner indicated in her report that job shadowing is not a routine part of the
information-gathering process carried out in a pay equity analysis. She
reviewed the various steps that the investigators had followed in collecting
information with respect to the employee groups in issue in this case, stating
that, in her opinion, the process followed was “sound, professional and
appropriate”.
[89]
There is no
obligation on an investigator to interview each and every person suggested by
the parties: Slattery, above, at para. 69; see also Miller v. Canada (Canadian Human Rights Commission) (re Goldberg), [1996] F.C.J. No. 735, 112
F.T.R. 195 at para. 10. In this case, CUPE has not demonstrated why it was
essential to interview Flight Attendants in person, or to shadow them as they
performed their jobs.
[90]
In
particular, CUPE did not identify any obviously crucial evidence with respect
to either the job responsibilities or the conditions of employment of Flight Attendants and Service Directors that it was unable to put before the investigators in the course of the
investigation. Indeed, CUPE has not demonstrated that it was inhibited or
prevented in any way from providing whatever information it deemed appropriate
to the investigators in the course of the investigation.
[91]
CUPE’s
failure to do so is of particular concern in light of the extensive amount of
information that was provided to the investigators with respect to the job
responsibilities and
conditions of employment of
Flight
Attendants and Service Directors, including the information set out in the
consolidated job analysis questionnaires provided to the investigators by CUPE.
[92]
That
is, in the course of the investigation, the investigators were provided with
the results of a survey that CUPE had conducted with its Flight Attendants. CUPE
itself described the consolidated results of the job analysis questionnaires as
“detailed”, submitting that they “reflect[ed] the actual duties and
responsibilities of cabin personnel”: see the August 9, 2010 letter from CUPE’s
counsel to Kapel and Associates Inc..
[93]
I
am also not persuaded that Kapel’s characterization of its investigation as a
“desk-top” review, rather than a full-blown job evaluation study, means that
the investigation was insufficiently thorough.
[94]
First
of all, it is apparent that Kapel and Associates did more than simply look at
documentary material. For example, the investigators observed Flight Attendants
in training simulators, and viewed a live evacuation drill. They viewed the
physical training tools used for Flight Attendants at Air Canada, such as various aircraft door types, evacuation chutes, and fire extinguishers.
They also reviewed training DVDs for Flight Attendants. CUPE was also invited
to provide information with respect to the job requirements for Flight
Attendants and Service Directors, which it did. In addition, the union was
asked to provide information as to the types of documents it thought that the
investigators should obtain from Air Canada.
[95]
Moreover,
as the Kapel Report points out, the goal of the investigation was to determine
whether there was any evidence of a pay equity issue: it was not intended to be
a comprehensive job evaluation study. This mandate is, of course, entirely
consistent with the Commission’s screening function.
[96]
As
a consequence, CUPE has not persuaded me that it was denied procedural fairness
in this regard.
The Failure to Share
the Job Evaluation Plan
[97]
CUPE
also argues that it was denied procedural fairness in relation to the Job
Evaluation Plan used by Kapel and Associates Inc. The sum total of CUPE’s
argument, as set out in its memorandum of fact and law, is that it was denied
procedural fairness as “the investigators developed and utilized a job
evaluation plan which [they] did not share with the Applicant until the Final
Report was issued”: see CUPE’s memorandum of fact and law at para. 63(c).
[98]
There
are several reasons why I cannot accept this submission.
[99]
The
first of these is that in their initial meeting with CUPE, the investigators
specifically invited CUPE to provide a Job Evaluation Plan for the
investigators that could potentially be used in evaluating the positions in
issue in the investigation. CUPE provided the investigators with a Job
Evaluation Plan, although it should be noted that it was not one in use at Air Canada.
[100] The Kapel Report
expressly noted that it used CUPE’s own Job Evaluation Plan “as a starting
point” in its analysis, although some modifications were made to the Plan, each
of which is carefully explained in the Report. Moreover, Dr. Weiner’s Report
confirms that the Job Evaluation Plan actually utilized by the investigators
was based, to a large extent, on a CUPE plan.
[101] While CUPE denies that
this is the case, it has provided no evidence to support this contention. This
is a concern, given that it would have been open to CUPE to address the issue
in an affidavit provided in support of its application and to produce a copy of
the plan that it provided to the investigators, as additional evidence can be
admitted on applications for judicial review to address issues of procedural
fairness: Ontario Assn. of Architects v. Assn. of
Architectural Technologists of Ontario, 2002 FCA 218, [2003]
1 F.C. 331, at paragraph 30.
[102] It should also be
noted that there was no unequal treatment between the parties in this regard –
Air Canada was also not provided with a copy of the Job Evaluation Plan during
the course of the investigation.
[103] CUPE obviously took
issue with the Job Evaluation Plan utilized by Kapel and Associates Inc. once
it received the Kapel Report. These concerns were carefully set out in the
lengthy and detailed submissions that CUPE made to the Commission after receipt
of the Kapel Report, and once again in the union’s response to Air Canada’s submissions to the Commission.
[104] While CUPE may
disagree with some of the choices made by the investigators in relation to the
Plan, and with respect to the conclusions drawn by the investigators, I agree
with Air Canada that this is really a matter that goes to the reasonableness of
the decision rather than the fairness of the process. As noted earlier, CUPE
has not challenged the reasonableness of the Commission’s decision.
[105] Finally, and subject
to the comments in the next section of these reasons, CUPE has not provided a
satisfactory explanation as to why it was unable to fully address the alleged
shortcomings in the Job Evaluation Plan in the two detailed sets of submissions
that it provided to the Commission prior to a decision being made in relation
to its complaint. Consequently, I have not been persuaded that CUPE was denied
procedural fairness as a result of Kapel’s failure to share the Job Evaluation
Plan used in its analysis with CUPE prior to the release of the final
investigation report.
The Wage Rate Used by
the Investigators for Flight Attendants and Service Directors
[106] CUPE also argues that
it was denied procedural fairness in relation to the wage rates used for Flight
Attendants and Service Directors in the job evaluation process. The sum total
of CUPE’s argument on this point, as set out in its memorandum of fact and law,
is that it was treated unfairly as “the investigators relied on T-4 slips to
compare compensation notwithstanding that this information did not provide a
fair basis to compare compensation”: see CUPE’s memorandum of fact and law at
para. 63(d).
[107] I agree with Air
Canada that, once again, what CUPE appears to really be taking issue with is
the reasonableness of the choices that were made by the investigators in
the job evaluation process, rather than with respect to the fairness of
the process that was followed in the course of that investigation. Given that
there is no challenge to the reasonableness of the Commission’s decision, that
is arguably the end of the matter.
[108] I would, however, also
note that while there may be legitimate differences of opinion as to how the
pay of Flight Attendants and Service Directors should properly be calculated,
CUPE was afforded the opportunity, both during the investigation and after
receipt of the Kapel Report, to provide the Commission with the benefit of its
views on this question.
[109] CUPE says that it is
not appropriate to use Flight Attendants’ and Service Directors’ T-4 slips as
they do not show the hours worked in order to earn the income recorded in the
documents. According to CUPE, Flight Attendants and Service Directors are required to work a number of hours for which they are either not paid at all, or
are not paid at their full hourly rate. This includes time spent at airports in
advance of a flight, time spent on standby, and time spent “deadheading” – that
is flying to a different airport before the start of the flight on which the
individual is working.
[110] Air Canada does not agree that these unquantified hours put in by Flight Attendants and Service
Directors are not paid work. According to Air Canada, they constitute part of
the collectively bargained, negotiated salary arrangements between the company
and its employees.
[111] The investigators
clearly understood that “a straight comparison of wage scales” would not be
possible in this case given that the methodology for determining the wages of
Flight Attendants and Service Directors was “significantly different” than that
used for Station Attendants and Lead Station Attendants – the male-dominated
groups used as comparators by Kapel and Associates Inc.: see Kapel Report at p.
45.
[112] As a consequence, the
investigators sought a method that would allow for a fair comparison to be made
with respect to the compensation arrangements for the positions in question.
The investigators concluded that “a comparison of actual earnings would
represent the best way to assess whether a pay equity issue exists” as, in the
investigators’ view, this approach would focus “on the outcome of the
compensation approach for each of the jobs in question, creating a common
framework for comparing pay”: see Kapel Report at p. 45, emphasis in the
original.
[113] Using this
methodology, the investigators found that Flight Attendants and Service Directors were in fact paid more than their male comparators. In the year under review,
Flight Attendants earned an annual average of $33,315.71, in contrast to the
$30,767.62 earned by Station Attendants. Similarly, Kapel found that Service Directors earned an average of $54,437.92 per year in comparison to the $54,207.84 earned by
Lead Station Attendants.
[114] Dr. Weiner took issue
in her report with the methodology utilized by the investigators. She
recognized that annual earnings were likely chosen by Kapel and Associates Inc.
to take into account the differences in compensation structures. However, she
found this method to be “inconsistent with pay equity principles”, given that
the male- and female-dominated positions had different length work weeks. In
Dr. Weiner’s view, it was appropriate to use the hourly salaries provided for
in the employees’ respective collective agreements for comparison purposes, as
this would provide a “‘representative’ salary rate”: all quotes from Weiner
Report at p. 9.
[115] However, this
methodology led Dr. Weiner to the same conclusion as that reached by Kapel and
Associates Inc. That is, that the female-dominated Flight Attendant and Service
Director positions were in fact paid more than their male comparators.
[116] Dr. Weiner noted that
Flight Attendants earned a maximum of $48.27 an hour in the year under review,
whereas the male-dominated Station Attendant group earned a maximum of $22.80
per hour. Similarly, Service Directors earned a maximum of $66.59 an hour,
whereas Lead Station Attendants earned a maximum of $25.08 per hour: Weiner
Report at p. 10.
[117] No issue is taken by
CUPE in this application with respect to the male-dominated job groups selected
by Kapel and Associates Inc. for comparison purposes. While CUPE does take
issue with the wage rates used by both Kapel and Associates Inc. and by Dr.
Weiner, the fact is that it was afforded the opportunity, during its
face-to-face meeting with the investigators on August 4, 2010, and in the
written submissions that it made, both during the course of the investigation
and after receipt of the Kapel Report, to provide the Commission with its views
on this question.
[118] CUPE took full
advantage of these opportunities, providing the investigators with submissions
on the issue of the relevant wage methodology in its August 9, 2010 letter from
CUPE’s counsel to Kapel and Associates Inc., and again in greater detail in its
July 29, 2011 and September 15, 2011 submissions to the Commission following
receipt of the Kapel Report.
[119] However, unlike Air Canada, CUPE never provided the Commission with any expert evidence on the question of the
appropriate wage rate. Moreover, its submissions consisted largely of general
assertions, without concrete information as to how many extra hours were
allegedly worked by Flight Attendants and Service Directors on a weekly,
monthly or annual basis.
[120] Breaches of procedural fairness
must be material to the outcome of the process: see, for example, Patel v. Canada (Minister of Citizenship and Immigration), 2002 FCA 55, [2002] F.C.J. No.
178 at paras. 5-6.
[121] In this case, CUPE has
failed to demonstrate how its concerns actually affected the validity of the
conclusions drawn by the investigators. As Air Canada pointed out, even if the
effective hourly wage for Flight Attendants was discounted by as much as 50% in
order to take into account time worked without pay, Flight Attendants would still
earn more on an hourly basis than Station Attendants and Service Directors would still earn more than Lead Station Attendants.
[122] In the absence of any
evidence from CUPE as to the order of magnitude of the problem, CUPE has not
established that what it characterizes as a breach of procedural fairness was material to the outcome of the
investigative process.
[123] At the end of the day,
what CUPE really takes issue with is the choice of compensation methodology
employed by Kapel and Associates Inc. in determining that there was no wage gap
in this case. There may be an issue as to the reasonableness of that choice,
but that is not the basis of this aspect of CUPE’s application for judicial
review, which is based solely on procedural fairness grounds. No unfairness has
been demonstrated in this regard.
The Alleged Failure of
the Commission to Provide Adequate Reasons
[124] CUPE’s final argument
is that it was treated unfairly in the process as the Commission failed to
provide adequate reasons for its decision dismissing CUPE’s human rights
complaint.
[125] I would first note
that this is not one of the alleged procedural defects identified in CUPE’s
memorandum of fact and law.
[126]
However,
the more fundamental difficultly with CUPE’s submission is that unless there is
a complete absence of reasons in circumstances where reasons are required, the
alleged insufficiency of reasons is no longer a stand-alone ground for judicial
review on fairness grounds: see Newfoundland and Labrador Nurses' Union v.
Newfoundland and Labrador (Treasury Board), 2011 SCC 62, [2011] 3 S.C.R. 708.
[127] There were reasons
provided by the Commission in this case. As CUPE itself pointed out at
paragraphs 57-59 of its memorandum of fact and law, and as was noted earlier in
these reasons, where
the Commission adopts the recommendations of an investigation report and
provides limited reasons for its decision, the investigation report will be
viewed as constituting the Commission’s reasoning for the purpose of a decision
under section 44(3) of the Act.
[128]
Moreover,
as the Supreme Court of Canada noted in the Newfoundland and Labrador
Nurses' Union decision, where reasons have been provided, “[a]ny challenge to the
reasoning/result of the decision should therefore be made within the
reasonableness analysis”: at para. 22.
[129]
CUPE has not
taken issue with the reasonableness of the Commission’s decision to dismiss its
complaint, and accordingly, I am not prepared to give effect to this ground of
review.
Conclusion
[130]
For these
reasons, the application for judicial review is dismissed. In accordance with
the agreement between the parties, Air Canada shall have its costs fixed in the
amount of $6,000, inclusive of disbursements.
JUDGMENT
THIS
COURT’S JUDGMENT is that
1. This application for
judicial review is dismissed with costs to Air Canada in the amount of $6,000.
“Anne Mactavish”
APPENDIX
Canadian Human Rights Act, RSC 1985, c H-6
10. It is a discriminatory practice for
an employer, employee organization or employer organization
(a) to
establish or pursue a policy or practice, […]
that
deprives or tends to deprive an individual or class of individuals of any
employment opportunities on a prohibited ground of discrimination.
11. (1) It is a discriminatory
practice for an employer to establish or maintain differences in wages
between male and female employees employed in the same establishment who are
performing work of equal value.
[…]
32. (1) Such officers and
employees as are necessary for the proper conduct of the work of the
Commission shall be appointed in accordance with the Public Service Employment Act.
(2) The
Commission may, for specific projects, enter into contracts for the services
of persons having technical or specialized knowledge of any matter relating
to the work of the Commission to advise and assist the Commission in the
exercise of its powers or the performance of its duties and functions under
this Act, and those persons may be paid such remuneration and expenses as may
be prescribed by by-law of the Commission.
[…]
43. (1) The Commission may
designate a person, in this Part referred to as an “investigator”, to
investigate a complaint.
(2) An
investigator shall investigate a complaint in a manner authorized by
regulations made pursuant to subsection (4).
[…]
(4) The
Governor in Council may make regulations
(a) prescribing
procedures to be followed by investigators;
(b) authorizing
the manner in which complaints are to be investigated pursuant to this Part;
and
(c) prescribing
limitations for the purpose of subsection (2.1).
44. (1) An investigator shall, as
soon as possible after the conclusion of an investigation, submit to the
Commission a report of the findings of the investigation.
[…]
(3) On
receipt of a report referred to in subsection (1), the Commission
(b) shall
dismiss the complaint to which the report relates if it is satisfied
(i) that,
having regard to all the circumstances of the complaint, an inquiry into the
complaint is not warranted, […].
|
10. Constitue un acte
discriminatoire, s’il est fondé sur un motif de distinction illicite et s’il
est susceptible d’annihiler les chances d’emploi ou d’avancement d’un
individu ou d’une catégorie d’individus, le fait, pour l’employeur,
l’association patronale ou l’organisation syndicale :
a) de fixer ou
d’appliquer des lignes de conduite; […]
11. (1) Constitue
un acte discriminatoire le fait pour l’employeur d’instaurer ou de pratiquer
la disparité salariale entre les hommes et les femmes qui exécutent, dans le
même établissement, des fonctions équivalentes.
[…]
32. (1) Le
personnel nécessaire à l’exécution des travaux de la Commission est nommé
conformément à la Loi sur
l’emploi dans la fonction publique.
(2) La
Commission peut, pour des travaux déterminés, engager à contrat des experts
compétents dans des domaines relevant de son champ d’activité et leur verser
à cette occasion la rémunération et les indemnités fixées par règlement
administratif.
[…]
43. (1) La
Commission peut charger une personne, appelée, dans la présente loi,
« l’enquêteur », d’enquêter sur une plainte.
(2) L’enquêteur
doit respecter la procédure d’enquête prévue aux règlements pris en vertu du
paragraphe (4).
[…]
(4) Le
gouverneur en conseil peut fixer, par règlement :
a) la procédure à suivre par les
enquêteurs;
b) les modalités d’enquête sur les
plaintes dont ils sont saisis au titre de la présente partie;
c) les restrictions nécessaires à
l’application du paragraphe (2.1).
44. (1) L’enquêteur présente son rapport à la
Commission le plus tôt possible après la fin de l’enquête.
[…]
(3) Sur
réception du rapport d’enquête prévu au paragraphe (1), la Commission :
b) rejette la plainte, si elle est
convaincue :
(i) soit que, compte tenu des circonstances relatives à la
plainte, l’examen de celle-ci n’est pas justifié […].
|