Date: 20110119
Dockets:
A-253-09
A-76-10
Citation:
2011 FCA 17
CORAM: LÉTOURNEAU J.A.
NADON J.A.
MAINVILLE J.A.
BETWEEN:
SYNDICAT
DES DÉBARDEURS DU PORT DE QUÉBEC
(CUPE,
LOCAL 2614)
Applicant
and
SOCIÉTÉ
DES ARRIMEURS DE QUÉBEC INC.
and
QUEBEC STEVEDORING COMPANY LTD.
and
ST.
LAWRENCE STEVEDORING INC.
and
BÉTON
PROVINCIAL
and
CRIBTEC
INC.
and
SNF
QUÉBEC MÉTAL RECYCLÉ (FNF) INC.
Respondents
and
ATTORNEY
GENERAL OF QUEBEC
Party
to the proceedings
under
section 57 of the
Federal
Courts Act
REASONS FOR JUDGMENT
MAINVILLE
J.A.
[1]
The Syndicat des
débardeurs du Port de Québec (CUPE, Local 2614) (the “Union”) is seeking
judicial review of a decision of the Canada Industrial Relations Board (the
“CIRB”) dated June 2, 2009, and bearing reference number 2009 CIRB
451 (the “Decision”), dismissing its applications to add the respondents Béton
Provincial Ltd. (“Béton
Provincial”), SNF Québec Métal Recyclé (FNF) Inc. (“Québec Métal Recyclé”) and
Cribtec Inc. (“Cribtec”) to
the list of employers named in its geographic certification.
[2]
The Union is of the
opinion that some of these companies’ employees are assigned to the loading and
unloading of ships and to other related activities within the geographic
boundaries of the Port of
Québec. The CIRB rejected the
Union’s arguments in support of that claim.
[3]
The CIRB also dismissed
the Union’s application seeking a declaration that certain Cribtec Inc. employees
engaged in electrical and mechanical maintenance of the equipment used in the
loading and unloading of ships were to be considered employees of St. Lawrence
Stevedoring Inc.
[4]
The Union is also seeking
judicial review of the CIRB’s decision dated February 11, 2010, and
bearing reference number 2010 CIRB 491 (the “Reconsideration Decision”),
dismissing its application for reconsideration of those matters under
section 18 of the Canada Labour Code, R.S.C. 1985, c. L‑2
(“Code”).
[5]
The Union raised the
following two questions in its applications for judicial review:
(a)
Did the CIRB err in law
in determining that the grounds on which an application for reconsideration may
be made were limited to those listed in section 44 of the Canada Industrial Relations Board Regulations, 2001, SOR/2001-520 (the “Regulations”)?
(b)
Did the CIRB err in law
in making its decision when it adopted an excessively narrow interpretation of
subsection 34(1) of the Code and, more specifically, of the concept of
“longshoring”, such as when it determined that the work carried out by the contractors
at the Port of Québec was “local in nature” and not subject to the Union’s geographic
certification?
Background
[6]
Stevedoring enterprises
and longshore workers are subject to an exceptional union and employer
certification system through geographic certification. This system was
integrated into the Code in 1973 following various public inquiries into
the turbulent labour relations in Canadian ports.
[7]
The work of longshore
workers at the Port of Québec, as at all the ports of the
St. Lawrence, is governed by a “closed shop” clause, requiring longshore
workers to be members of the Union in order to be hired. Stevedoring
enterprises must therefore hire their longshore workers through the Union’s
hiring hall using a complex method of assignment. Furthermore, the stevedoring
enterprises must all be members of the employer association for the Port of Québec,
namely, the Société des arrimeurs de Québec Inc. It is a mandatory employer
certification system.
[8]
For our purposes, the
following provisions of the Code govern this exceptional system:
34. (1) Where employees are employed in
(a)
the long-shoring industry, or
(b)
such other industry in such geographic area as may be designated by
regulation of the Governor in council on the recommendation of the Board,
the Board may determine that the
employees of two or more employers actively engaged in the industry in the
geographic area constitute a unit appropriate for collective bargaining and
may, subject to this Part, certify a trade union as the bargaining agent for
the unit.
. . .
(3) Where the
Board, pursuant to subsection (1), certifies a trade union as the bargaining
agent for a bargaining unit, the Board shall, by order,
(a)
require the employers of the employees in the bargaining unit
(i) to
jointly choose a representative, and
(ii) to
inform the Board of their choice within the time period specified by the
Board; and
(b)
appoint the representative so chosen as the employer representative for those
employers.
(4) Where the employers fail to comply with
an order made under paragraph (3)(a), the Board shall, after affording
to the employers a reasonable opportunity to make representations, by order,
appoint an employer representative of its own choosing.
. . .
(5) An
employer representative shall be deemed to be an employer for the purposes of
this Part and, by virtue of having been appointed under this section, has the
power to, and shall, discharge all the duties and responsibilities of an
employer under this Part on behalf of all the employers of the employees in
the bargaining unit, including the power to enter into a collective agreement
on behalf of those employers.
(5.1) The employer representative may
require each employer of employees in the bargaining unit to remit its share
of the costs that the employer representative has incurred or estimates will
be incurred in fulfilling its duties and responsibilities under this Part and
under the terms of the collective agreement.
. . .
(7) The Board
shall determine any question that arises under this section, including any
question relating to the choice or appointment of the employer
representative.
|
34. (1) Le Conseil peut décider que les employés de plusieurs
employeurs véritablement actifs dans le secteur en cause, dans la région en
question, constituent une unité habile à négocier collectivement et, sous
réserve des autres dispositions de la présente partie, accréditer un syndicat
à titre d’agent négociateur de l’unité, dans le cas des employés qui
travaillent :
a) dans le secteur du débardage;
b) dans les secteurs d’activité et régions désignés par règlement
du gouverneur en conseil sur sa recommandation.
[…]
(3) Lorsqu’il
accorde l’accréditation visée au paragraphe (1), le Conseil, par
ordonnance :
a) enjoint aux employeurs des employés de l’unité de négociation de
choisir collectivement un représentant et d’informer le Conseil de leur choix
avant l’expiration du délai qu’il fixe;
b) désigne le représentant ainsi choisi à titre de représentant
patronal de ces employeurs.
(4) Si les employeurs ne se conforment
pas à l’ordonnance que rend le Conseil en vertu de l’alinéa (3)a), le
Conseil procède lui-même, par ordonnance, à la désignation d’un représentant
patronal. Il est tenu, avant de rendre celle-ci, de donner aux employeurs la
possibilité de présenter des arguments.
[…]
(5) Pour l’application
de la présente partie, le représentant patronal est assimilé à un employeur;
il est tenu d’exécuter, au nom des employeurs des employés de l’unité de
négociation, toutes les obligations imposées à l’employeur par la présente
partie et est investi à cette fin, en raison de sa désignation sous le régime
du présent article, des pouvoirs nécessaires; il peut notamment conclure en
leur nom une convention collective.
(5.1) Le représentant patronal peut
exiger de chacun des employeurs des employés de l’unité de négociation qu’il
lui verse sa quote-part des dépenses que le représentant patronal a engagées
ou prévoit engager dans l’exécution de ses obligations sous le régime de la
présente partie et celui de la convention collective.
[…]
(7) Pour l’application
du présent article, il appartient au Conseil de trancher toute question qui
se pose, notamment à l’égard du choix et de la désignation du représentant
patronal.
|
[9]
Longshore workers at
the Port of Québec have, for several decades, been members of a union certified under this
system. Following a change in union allegiance in 1997, the Syndicat des
débardeurs du Port de Québec (CUPE, Local 2614) was certified under
section 34 to represent the unit described as follows:
[translation]
all employees of all employers engaged in the loading and unloading
of vessels and other related activities in the geographical region of the Port of Québec.
[10]
For various reasons,
including technological changes and the relocation of stevedoring enterprises, the
volume of work for longshore workers at the Port
of Québec has decreased over the last few decades.
In this context, the Union complains that certain longshoring activities at the
Port of Québec are being carried out by employees of
companies that are not part of the employer association and not included in its
bargaining unit.
[11]
The Union therefore filed
a series of applications before the CIRB, seeking to have more than ten employers
that operate at the Port of Québec and that are not members of the employer association recognized as
falling within the scope of its geographic certification. However, the Union withdrew
its application regarding most of these employers. Only certain activities of Béton
Provincial, Québec Métal Recyclé and Cribtec remain at issue.
[12]
Béton Provincial is a
company that specializes in the manufacturing and delivery of concrete and
concrete‑based products. It operates, directly or through subsidiaries,
more than 60 places of business in Quebec, with 900 employees.
[13]
In the course of its
activities, Béton Provincial acquires cement powder from various suppliers,
including cement powder by maritime shipments. It uses the services of
St. Lawrence Stevedoring Inc. (“St. Lawrence Stevedoring”) and
longshore workers belonging to the Union to unload these
ships, an operation that requires four longshore workers with certification to
operate cranes and hydraulic shovels, plus one superintendant. The bulk cement
powder is taken from the ship’s hold using a bucket crane and poured into the
cone of a hopper, and a pneumatic vacuum system then moves it to Béton
Provincial’s storage facility.
[14]
However, it is Béton
Provincial employees who operate the equipment used to move and position the
hoppers on the dock; connect the hoppers to the conduit system used to move the
cement powder to the storage facility; and monitor an automated console that
manages the flow of the hopper, the drop point for the powder and the filling
of the silos. Béton Provincial installed this system, owns it and ensures its
technical maintenance. Therefore, three unionized employees from Béton
Provincial, who amongst them have specialized knowledge of automated systems,
electricity, mechanics and welding, are onsite to maintain and repair the
compressors connected to the unloading system, take action if an alarm sounds
and help unclog hoppers. All of these activities of Béton Provincial are contemplated
by the Union’s application.
[15]
Québec Métal Recyclé is
in the business of buying and reselling scrap metal and has several places of
business in Quebec and the Maritime
provinces, including one on a
leased dock in the Beauport sector of the Port
of Québec. In Beauport, the scrap metal arrives by truck and is piled on the dock while awaiting
resale and shipping. The scrap metal that is resold locally is shipped by truck
and represents 95 per cent of the company’s market. In the case of
international resale, the buyer deals with a broker, which charters a ship and
retains the services of St. Lawrence Stevedoring and its longshore workers
for the loading.
[16]
The loading of the
scrap metal onto ships is carried out using a crane equipped with an electromagnet,
operated by a subcontractor of St. Lawrence Stevedoring. Once the scrap
metal is loaded into the ship’s hold, the longshore workers spread it out using
a wheeled loader. In 2005 and 2006, there were 25 loading days at the
Port of Québec, at a rate of 2 to 2.5 days per
ship.
[17]
However, the scrap
metal delivered by truck is piled for storage by Québec Métal Recyclé employees
using hydraulic shovels and a wheeled loader. These activities of Québec Métal
Recyclé are also contemplated by the Union’s application.
[18]
Québec Métal Recyclé’s
hydraulic shovel was also used during the loading of a ship to push the scrap
metal on the dock so that it could be picked up by the electromagnet crane, but
the parties stated at the hearing before this Court that this activity has now
been replaced by a trucking system that transports the scrap metal from the storage
site at the port to the loading dock.
[19]
Cribtec is an
electrical company specializing in instrumentation, automated systems and
electrical and mechanical maintenance work. Cribtec serves 10 businesses at the
Port of Québec and has 42 employees assigned there
for that purpose.
[20]
One of the businesses
thus served is St. Lawrence Stevedoring, for which Cribtec carries out,
among other work, maintenance work and mechanical repairs on heavy machinery
used for longshoring. Some of this work had previously been carried out by
St. Lawrence Stevedoring directly, through its own employees who were members
of the Union. In recent years, all of this work has
been contracted to Cribtec, which actually hired some of St. Lawrence
Stevedoring’s employees for this purpose. The electrical and mechanical
maintenance work performed by Cribtec employees for St. Lawrence
Stevedoring is also contemplated by the Union’s application.
The majority opinion of the CIRB
[21]
The majority of the
CIRB panel that heard the case (Michèle Pineau and André Lecavalier) dismissed
the Union’s arguments primarily on the basis of this Court’s decision in Cargill
Grain Co., Gagnon and Boucher Division v. International Longshoremen’s Assn.,
Local 1739 (1983), 51 N.R. 182, [1983] F.C.J. No. 948 (QL) (“Cargill”),
and the CIRB’s decision in Société des Arrimeurs de Québec Inc. v. Syndicat
des débardeurs du Port de Québec (CUPE, Local 2614), 2005 CIRB
339.
[22]
In the majority’s opinion,
the CIRB must determine, first, whether the activities of the undertakings at
issue are longshoring within the meaning of section 34 of the Code and,
second, whether, as a result of these activities, these undertakings fall within federal labour jurisdiction (Decision at para. 199).
[23]
Regarding Béton
Provincial, the majority concluded that the activities at issue were not
longshoring within the meaning of section 34 of the Code, mainly because
the longshoring activities related to the unloading of the cement powder ended as
soon as this powder was placed in the hoppers, in the possession and under the
control of Béton Provincial (Decision at para. 218).
[24]
The majority applied
similar reasoning to Québec Métal Recyclé’s activities in determining that the
piling of the scrap metal on the dock leased by this company was a pre‑loading
activity, as possession of the scrap metal was relinquished by its owner for
the purposes of loading it onto a ship only once it was picked up by the
electromagnetic crane (Decision at para. 264).
[25]
As for Cribtec, the
majority decided that this business’s activities were not ancillary to those of
St. Lawrence Stevedoring so as to subject the business to federal
jurisdiction. The majority was of the opinion that the following factors were
determinative in this regard (Decision at paras. 255 to 257):
(a)
Cribtec employees did
not work exclusively for St. Lawrence Stevedoring.
(b)
These services, though
regular, accounted for only a small part of Cribtec’s sales figures and only
20 per cent of St. Lawrence Stevedoring’s equipment maintenance
budget.
(c)
Cribtec’s employees
were not supervised by St. Lawrence Stevedoring.
(d)
There is no federal
regulation applicable to the maintenance of equipment used in longshoring. Each
business applies its own standards and, in the case of construction work, the
Régie du bâtiment du Québec assumes responsibility for inspections and ensures
that the work meets provincial standards.
(e)
St. Lawrence
Stevedoring is free to do business with the company of its choosing for
maintenance and repair work. It does not depend on Cribtec’s specific expertise.
The dissenting opinion
[26]
In his dissenting opinion,
Bernard Paquette relied mainly on Reference re: Industrial Relations
and Disputes Investigation Act, [1955] S.C.R. 529 (the “Stevedores’
Reference”), to conclude that longshoring includes the handling of
merchandise from the hold of a ship to the delivery of the merchandise at the
tailboards of trucks or railway car doors. In addition, relying principally on
this Court’s decision in Bernshine Mobile Maintenance Ltd. v. Canada Labour
Relations Board, [1986] 1 F.C. 422 (C.A.), he found that the maintenance of
equipment relating to a federal undertaking normally fell within federal jurisdiction.
[27]
Relying on this legal
analysis, he was of the opinion that Béton Provincial’s activities were
ancillary to longshoring and were necessary in order to complete the
transportation and ensure delivery of the cargo to the recipient (Decision at paras. 291
and 296). In this regard, he distinguished this Court’s decision in Cargill,
noting that Béton Provincial employees had to set up and remove temporary
facilities for unloading operations on the dock, whereas, in Cargill, the
unloading facilities were permanent, and their operation merely required the services
of the ship’s crew.
[28]
He adopted the same
reasoning to conclude that Québec Métal Recyclé’s activities on the dock were
ancillary to longshoring. Since the piling of scrap metal on the dock was related
to the loading of a ship, these activities fell within the scope of the
certification (Decision at paras. 323 and 324).
[29]
Lastly, regarding Cribtec,
he determined that this business had taken over the work previously carried out
for St. Lawrence Stevedoring by employees represented by the Union. The provisions of the Code and the CIRB’s long
tradition of protecting the jurisdiction of unions upon transfers of work,
undertakings or businesses therefore had to be taken into consideration. Thus, an
approach that helped to protect the union’s bargaining unit against the
subcontracting of work should have been applied.
Reconsideration Decision
[30]
A panel composed of the
CIRB’s chairperson, Elizabeth MacPherson, and vice‑chairpersons William
G. McMurray and Louise Fecteau, dismissed the application for reconsideration
filed by the Union pursuant to section 18 of the Code.
[31]
The reconsideration
panel was of the opinion that the majority of the initial panel had not erred in
applying the principles established by Cargill to Béton Provincial and
in not considering Québec Métal Recyclé’s activities to be ancillary to
longshoring (Reconsideration Decision at paras. 80 and 90).
[32]
As for Cribtec, the
reconsideration panel found that the majority of the initial panel had not
erred in determining that this business’s activities were not ancillary to
those of St. Lawrence Stevedoring, given that the services, even those on
the dock, were not rendered exclusively and accounted for only a small part of
Cribtec’s sales figures and only 20 per cent of St. Lawrence
Stevedoring’s equipment maintenance budget (Reconsideration Decision at para. 82).
Did the CIRB err in law in determining
that the grounds on which an application for reconsideration may be made were
limited to those listed in section 44 of the Regulations?
[33]
At paragraph 67 of
the Reconsideration Decision, the CIRB stated that the circumstances that may
be adduced in support of an application for reconsideration were limited to
those listed in section 44 of the Regulations. This is clearly an error,
in light of this Court’s decisions that are entirely to the contrary in Société
des arrimeurs de Québec v. Canadian Union of Public Employees, Local 3810, 2008 FCA 237, at paras. 9 and 10, and ADM Agri-Industries
Ltée v. Syndicat national des employés de Les Moulins Maple Leaf (de l’Est),
2004 FCA 69, at paras. 40
and 42.
[34]
It seems that, despite
this error, the CIRB’s Reconsideration Decision nevertheless took into account
all of the arguments raised by the Union in support of its application for
reconsideration: on this point, see paragraphs 28 to 36 of the
Reconsideration Decision. The Union also failed to explain to this Court how it
was prejudiced by that error of the CIRB in its application for reconsideration
under section 18 of the Code.
[35]
Consequently, while the
CIRB did err in this case, this error was not determinative, and the application
for judicial review should therefore not be allowed on this ground alone: Canada (Citizenship and Immigration) v. Khosa, 2009 SCC 12, [2009] 1 S.C.R. 339, at
para. 40; Lajeunesse v. Canada (Employment and Immigration Commission), [1995] F.C.J. No. 1369 (QL), at
para. 6 (F.C.A.); Pal v. Canada (Minister of Employment and Immigration) (1993), 70 F.T.R. 289, [1993] F.C.J. No. 1301
(QL), at para. 9.
Did the
CIRB err in law in making its decision by adopting an excessively narrow
interpretation of subsection 34(1) of the Code?
Béton Provincial and Québec Métal Recyclé
[36]
The Union submits that the CIRB’s decision essentially raises a
constitutional issue: whether the concerned activities fall within the scope of
a provincial or federal work, undertaking or business. While such an issue is raised
as regards Cribtec’s activities, such is not the case for Béton Provincial and
Québec Métal Recyclé.
[37]
The CIRB’s decision regarding
Béton Provincial and Québec Métal Recyclé relied mainly on this Court’s decision
in Cargill. The issues before the CIRB with respect to these two businesses
could therefore be resolved without raising any constitutional issues. Indeed,
issues raising the application of subsection 34(1) of the Code are for the
CIRB to decide. Such issues fall within the CIRB’s core area of expertise and are
normally reviewable on the standard of reasonableness: J.D. Irving Ltd. v. International
Longshoremen’s Association, Local 273, 2003 FCA 266, [2003] 4 F.C.
1080, at paras. 10 to 11; Halifax Longshoremen’s Association, Local 269
v. Offshore Logistics Inc. (2000), 257 N.R. 338, [2000] F.C.J. No. 1155
(QL) (F.C.A.), at paras. 17 to 18.
[38]
Case law has also
identified the concept of longshoring as including cargo handling and related activities
(i) from the moment the shipper or the shipper’s agent relinquishes physical
possession of the cargo at the port for the purpose of loading a ship and (ii) upon
the unloading of a ship, up to the point the recipient or the recipient’s agent
takes physical possession of this cargo, at the port.
[39]
In the Stevedores’
Reference, at page 531, the Supreme Court of Canada considered
to be longshoring the loading and unloading of cargo and related activities as
long as the cargo was the responsibility and under the control of the stevedoring
enterprise. In that case, the facts were not in dispute. The stevedoring
enterprise’s activities at issue under its contracts with its clients included
handling the cargo from the train or truck to the ship for the loading, and
vice‑versa for the unloading. The conclusion to be drawn is that
longshoring begins, during the loading, when the stevedoring enterprise physically
takes delivery of the cargo at the port and ends, during the unloading, as soon
as the stevedoring enterprise physically delivers the cargo to its recipient or
the recipient’s agent.
[40]
In Cargill, the
three‑judge panel reached the same conclusion: longshoring ends during
the unloading of a ship as soon as the cargo’s recipient takes physical
possession of the cargo at the port:
The employees of applicant in question here do not unload ships:
this work is done by members of the ship’s crew. Applicant’s employees operate
and maintain equipment which transports grain to silos (after it has been
unloaded and moved to applicant’s facilities) and then moves it on to the
trucks of applicant’s customers. When these employees perform this work, the
maritime transport has ended, since the goods have arrived at their destination
and are in the possession of the recipient. For this reason, the work of
these employees does not seem to me to be connected with transport, but rather
with the grain business operated by applicant in Quebec
City. (Justice Pratte at para. 12)
While it is true that the Gagnon and Boucher Division made its
employees responsible for handling and storing grain prior to its distribution
to customers, it did so in my opinion after the goods had been emptied into
hoppers, and received by it, and thus when transport had been completed. . . .
(Justice Marceau at para. 27)
In present case, the ships are unloaded by their crews. The
grain, once delivered on the dock, has arrived at its destination and passes
under the control of its owner, the applicant, for the purposes of its business
as a supplier of feed grains. The employees of the applicant who look after the
handling and storage on the dock are only receiving goods which have already
been unloaded. Even then they spend only a tiny proportion of their time on
this aspect of their work. . . . (Justice Hugessen at para. 37)
(Emphasis added)
[41]
This approach led the
CIRB to find that the activities of Béton Provincial and Québec Métal Recyclé were
not longshoring. This was a reasonable decision in light of the CIRB’s findings
of fact and the applicable case law.
[42]
In Béton Provincial’s
case, the cargo is delivered into the hoppers, and the longshoring activities
end at that point. Contrary to the Union’s arguments, there is no significant
conceptual difference between delivering the cargo to the tailboard of a Béton
Provincial truck and delivering the cargo into a hopper belonging to Béton
Provincial. In both cases, the stevedoring enterprise’s responsibility for the
cargo ends upon delivery, and the longshoring activities cease at that point.
[43]
Similarly, in Québec
Métal Recyclé’s case, the scrap metal is piled up on a dock leased by this
company for storage purposes. These activities occur before the stevedoring
enterprise takes physical possession of the cargo, and therefore before the
longshoring activities begin.
[44]
Given these findings,
the CIRB did not need to determine the constitutional character of Béton
Provincial’s and Québec Métal Recyclé’s activities. Accordingly, this Court
need not consider these issues with respect to these two businesses.
Cribtec
[45]
Regarding Cribtec, the question
is whether this company renders services to St. Lawrence Stevedoring, a
federal undertaking, so as to become an integral part thereof. The CIRB had to carry
out a constitutional analysis to answer this question, and that analysis is
reviewable on the standard of correctness. However, where it is possible to
treat the constitutional issue separately from the factual findings that
underlie it, deference is owed to the initial findings of fact: Consolidated
Fastfrate Inc. v. Western Canada Council of Teamsters [2009] 3 S.C.R. 407,
at para. 26; Dunsmuir v. New Brunswick, 2008 SCC 9, [2008] 1 S.C.R.
190, at para. 58; CHC Global Operations (2008) Inc. v. Global
Helicopter Pilots Association, 2010 FCA 89, at para. 22.
[46]
In Northern Telecom v.
Communications Workers, [1980] 1 S.C.R. 115 (“Northern Telecom, 1980”),
at page 135, Justice Dickson identified certain relevant factors for
determining whether a business providing a federal undertaking with services or
equipment forms an integral part of the federal undertaking:
(1) the general nature of the
service provider’s operation as a going concern and, in particular, the role of
the services within the operation of the federal undertaking;
(2) the nature of the corporate
relationship between the service provider and the other companies that it
serves, notably the federal undertaking at issue;
(3) the importance of the work
done for the federal undertaking at issue as compared with other customers of
the service provider; and
(4) the physical and operational
connection between the services and the federal undertaking at issue and, in
particular, the extent of these services in the operation of the federal
undertaking as a whole.
[47]
These factors are often
referred to in case law to determine whether contractors of federal
undertakings fall under federal jurisdiction in regard to their labour
relations: Northern Telecom v. Communication Workers, [1983] 1 S.C.R.
733, at pages 754 to 756 and 770 to 774 (Northern Telecom,
1983); Canada Labour Relations Board et al. v. Paul L’Anglais Inc. et al,
[1983] 1 S.C.R. 147; Seafarers’ International Union of Canada v. Crosbie
Offshore Services Ltd., [1982] 2 F.C. 855 (C.A.); Bernshine Mobile
Maintenance Ltd. v. Canada (Labour Relations Board), above; Public
Service Alliance of Canada v. City of Saskatoon (1998), 229 N.R. 207,
[1998] F.C.J. No. 862 (QL), at para. 3.
[48]
These factors set out
in Northern Telecom, 1980, are not intended to be applied in a strict or
rigid manner; instead, the test should be flexible and attentive to the facts
of each particular case. The test involves determining in a functional and
practical manner whether the undertakings at issue depend on one another such
as to be operationally integrated: United Transportation Union v. Central
Western Railway Corp., [1990] 3 S.C.R. 1112, at
pages 1139-40.
[49]
The degree of
operational integration may vary, but it must be substantial and important, as
well as vital, essential or fundamental. In Northern Telecom, 1983, Bell Canada bought 90 per cent of its communication and
transmission equipment from Northern Telecom, and 95 per cent of all such
equipment bought by Bell was installed by Northern Telecom.
Installation work for Bell accounted for 80 per cent of the work
of the Northern Telecom installers. In Bernshine Mobile Maintenance Ltd. v. Canada (Labour Relations Board), above, the work done by Bernshine was almost exclusively
devoted to the related federal undertaking. In Public Service Alliance of
Canada v. City of Saskatoon, above, the fire department of the city at
issue was the only one available to provide timely fire fighting and prevention
services at the airport, and the airport division was an autonomous operation
that was separate from the rest of the city’s fire department.
[50]
In this case, at paragraphs 248
to 251 of its Decision, the CIRB properly identified the state of the case
law on the constitutional analysis that it had to conduct, and ultimately found
that Cribtec and St. Lawrence Stevedoring were not functionally integrated.
[51]
This conclusion is
based on several important findings of fact drawn by the CIRB from the evidence
adduced and described at paragraphs 252 to 257 of the Decision, such
as the fact that Cribtec employees do not work exclusively for
St. Lawrence Stevedoring; that the services account for only a small part
of Cribtec’s sales figures and only 20 per cent of St. Lawrence
Stevedoring’s equipment maintenance budget; that Cribtec’s employees are not
supervised by St. Lawrence Stevedoring; and that there is no federal
regulation applicable to the maintenance of equipment used in longshoring that
would limit St. Lawrence Stevedoring’s choice regarding equipment
maintenance services, should it want to replace Cribtec.
[52]
Given these findings of
fact that attract deference, and considering the applicable legal principles established
by the case law, I am of the opinion that this Court should not intervene, nor should
it set aside the CIRB’s finding that Cribtec’s activities for St. Lawrence
Stevedoring were activities carried out by an electrical and construction
contractor that were not functionally integrated to a federal work, undertaking
or business.
[53]
I would therefore
dismiss both applications for judicial review with costs to the respondents.
“Robert M. Mainville”
“I agree.
Gilles Létourneau J.A.”
“I agree.
M. Nadon J.A.”
Certified true
translation
Tu-Quynh Trinh