Power of Attorney

No one wants to think about a time when you can no longer make decisions for yourself. The thought is a difficult one; but a worse thought is when you are in that situation and you have no one you trust to make those decisions for you. It is for this reason that a set of Continuing Power of Attorney documents should be drafted when you still have the capability of choosing someone you trust to handle your affairs.

In simple terms, a Power of Attorney is a legal document that gives someone else the right and authority to act on your behalf. The validity, requirements, and use of power of attorney documents in Ontario is governed by the Substitute Decisions Act, S.O. 1992, CHAPTER 30., the Powers of Attorney Act, R.S.O. 1990, CHAPTER P.20, and related common law decisions.

In Ontario, there are three types of Power of Attorney documents:

1) Continuing Power of Attorney for Property –appoints someone to make decisions with regard to your financial affairs and continues to be in effect even if you become mentally incapable.

2) Power of Attorney for Personal Care- appoints someone to make decisions with regard to your personal decisions including health care and continues to be in effect even if you become mentally incapable.

3) Non-Continuing Power of Attorney for Property – limited use document that appoints someone to make financial decisions during a specified period of time and cannot be used if you become mentally incapable. For example, these are often used for individuals who are out of the country for long periods and need someone to handle their affairs while they are gone.

This article will focus primarily on the first two Power of Attorney documents. Unlike a Will, a Power of Attorney comes into effect during your lifetime and is only valid until death. After death, your Power of Attorney no longer has power. It is intended to be used during periods of incapacity- meaning times when you are unable to make decisions on your own behalf. Some common examples include: individuals suffering from dementia or Alzheimer’s disease or those who are in a coma or under long-term sedation, among others.  However, you should always choose someone you trust because, for example, your Power of Attorney for Property comes into effect as soon as you sign it- meaning that individual can access your bank accounts or sell your property without your knowledge, even if you are still mentally capable.   It is for this reason that it is crucial that you trust the person who you have appointed because the position holds a lot of power.

A Power of Attorney is not a mandatory document, but instead one that you give voluntarily to protect you and your assets. You should never force someone, or be forced, to give a Power of Attorney.  Furthermore, you cannot give a Power of Attorney if you are “mentally incapable”. In other words, if you are unable to recognize the gravity of signing the document at the time of signing, it cannot be completed (mental incapacity is much more complicated that this, but for ease of reference we will stick with this). Lawyers are not permitted to witness a Power of Attorney document if they have reason to believe that the individual does not have capacity. It is for this reason that it is important to ensure that these documents are finalized while you are still capable. Many adults with aging parents or spouses face this issue because if they have waited too long, the documents can no longer be validly signed. Many people get to the point when they need a Power of Attorney, but are no longer capable of giving one.

What happens if I don’t have a Power of Attorney?

In the situation where you become incapable of making your own decisions, and you do not have a Power of Attorney for Personal Care, many decisions related to personal care would be made by a family member, if any, who would automatically receive the authority to make these decisions for you. This individual would not receive the same amount of authority they would have received as your Power of Attorney. Some situations require the appointment of an individual by the Consent and Capacity Board. If there is no family member who is willing and able to act on your behalf, the Ontario Public Guardian and Trustee would have to be appointed.

In the situation where you become incapable of making your own decisions and you do not have a Power of Attorney for Property, a friend or family member can apply to the Superior Court of Justice to be appointed as your “Guardian of Property”. This process is detailed and can be quite expensive as it requires payment of court fees, capacity assessments, and legal fees. Alternatively, if the Public Guardian and Trustee of Ontario have been named as the statutory guardian, the Public Guardian and Trustee of Ontario can also name an individual to be the Guardian of Property.

The issue with these two options is that you do not have control over who is managing your decisions. Your decisions could be left in the hands of someone you do not trust or one that does not necessarily have your best interests at heart. There are requirements for these individuals to act reasonably, but if you are incapable, you are not able to request an accounting or make a complaint. Someone else would have to be the individual who questions the decisions of your guardian.

Often people say “it’s too early” or “I’ll get to that eventually”. Life tends to get in the way. Some people may find themselves mentally incapable and facing a lawyer who, by law, cannot witness a Power of Attorney document.  When it comes to these life decisions, it is best to discuss your options with your lawyer sooner than later to ensure that the decisions regarding your health and your finances are in the hands of someone you trust.

Dealing with Digital Property from Beyond the Grave: How to Manage your Digital Estate

Dealing with Digital Property from Beyond the Grave: How to Manage your Digital Estate

When it comes time to draft a will, clients are normally very direct in what they want happening to their property when they die.  The sofa may be left to their daughter Sally, the convertible left to uncle Tony, the hockey cards left to nephew Jimmy.  Pretty much any piece of property can be left to pretty much anyone, and for the most part, everyone has a plan in mind.  But in the last decade or so, a new type of property has emerged that is often overlooked in estate planning: digital property.

Digital property, for the most part, is intangible. It can take make many forms, including but not limited to, photographs, music files, e-mails, social networking profiles, enterprise web content such as blogs and reviews, and video footage.  When a person dies, their digital property could live on in cyberspace forever, or on the other hand, could be disposed of when an account gets deleted due to inactivity.

Here are some practical considerations involving your digital property to think about:

Photographs:

Gone are the days when you take several dozen pictures, bring the film in to the developer, and then store the photos in an album or in a box under the stairs.  Nowadays, a computer might hold hundreds upon hundreds of digital photographs, uploaded and transferred within seconds.  Many of these digital files are the only copy of the picture in existence.  Obviously, to preserve memories and family history, it’s important that these photos be dealt with and passed on.  If you maintain a photostream on a website such a Flickr, there is no right of survivorship, meaning the pictures will be disposed of. That is, unless someone takes over the account.

Music files:

Whether you’re a casual downloader or an MP3 maniac, you don’t actually own your digital music files.  When you use a program from purchasing digital music such as iTunes, you agree on the end user agreement that you will be a licensee of the music. That means you’re not actually allowed sell or bequeath the files to someone else. The same goes for digital music files that are stored in a “cloud”.  It’s a pretty common practice for people to pass down their old vinyl or CD collections. While there’s not much that can be done to stop it from happening with digital files too, as a general point of law, there is no property right to the file.

E-mails:

The approach from major e-mail service providers varies from company to company.  For example, Gmail (Google mail) will hand over the account of a deceased, so long as certain information can be provided, such as a death certificate and a copy of a power of attorney. Hotmail will grants access to the account after being provided with the same information required by Gmail.  However, Hotmail will automatically delete the account after a year of inactivity. Yahoo, on the other hand, is much stricter that Gmail and Hotmail.  That’s because it does not have a right of survivorship in its privacy policy. Once Yahoo receives a death certificate, it will close the account and delete the contents.  If you use an email account that isn’t provided by Gmail, Hotmail, or Yahoo, it may be worth spending a few minutes checking out your provider’s privacy policy.

Social networking profiles:

You may or may not be one of the 500 Million people who have an active Facebook account. If you are, then you should know that when you die, your account will be de-activated and converted into a memorial page.  This means that you “friends” can still visit your page, but no one will be able to log into the account in the future.  If you have a Twitter account, it will be removed after given notice with a death certificate. However, if family members submit a formal request, they may be provided with archives of public Tweets from the deceased user. As for Google+, the same policy as provided for with Gmail will apply, giving your heir full access to the account, so long as certain information can be provided, such as a death certificate and a copy of a power of attorney.

Video footage:

Youtube, which is owned by Google, allows heirs to have full access to an account and its content. Once an heir has access to the account, he or she can keep videos public, make them privately accessible, unlist them, or delete them from the site outright.

 

For the most part, digital estates do not currently receive much attention.  This is likely because the concept is relatively new, and because the generation of people that have online property are not at the stage in their lives where they plan for their death.  However, this is surely going to be an area of estate law that will begin to grow exponentially.

If you have specific plans for what should be done with your digital property when you die, your best option is to appoint a “digital trustee” in your will and leave him or her with specific instructions.  Otherwise, your heirs and trustees will have to sort out your digital property and deal with service providers individually.  This will be time-consuming and potentially very stressful.

Your digital trustee can be left a list of all your accounts, user names, and passwords. This will allow him or her to assume your online identity and deal with your digital property according to your wishes.  If this is something you’re considering, it may be worth sitting down and making a list of all your important accounts, writing out your login and password information, figuring out how you want each account dealt with, and deciding who you want to deal with the accounts.

While this approach may violate the terms of service for various companies, as of yet, courts in Ontario have not dealt with the issue on any substantive basis. Until this happens, the time may be right for you to decide what will happen to your digital property when you die.

Common Law Spouses Intestate

My common law spouse doesn’t have a Will, what am I entitled to?

In many ways, being common law spouses is very similar to being legally married spouses. However, one of the significant differences between the two surfaces when a spouse dies without a valid will.

In Ontario, a person who dies without a Will is referred to as “intestate” and the distribution of their estate falls under the intestate rules under Part II of the Succession Law Reform Act, 1990. As detailed in my previous post regarding intestate succession, under this Part, a surviving spouse is the first in line when it comes to the distribution of the estate of their deceased spouse. However, the definition of a “spouse” under Part II of the Succession Law Reform Act specifically refers to legally married spouses. As such, a common law spouse is not entitled to the relief granted under this Part of the legislation.

Additionally, a legally married spouse is entitled, under the Family Law Act, to elect to receive an equalization of the net family property (this is the value of all the property that a spouse owns at the time of death, after deducting any debts and liabilities). Again, this election is only available to legally married spouses.

So, where does this leave a common law spouse when his or her spouse has died intestate?

A common law spouse has the right, under Part V of the Succession Law Reform Act, to bring a claim for dependant support. This Part of the legislation specifically includes common law spouses since it defines a spouse as: two persons who are not married to each other and have cohabited either continuously for a period of not less than three years, or have been in a relationship of some permanence, if they are the natural or adoptive parents of a child. (Please note- this claim is also available for spouses whose spouse died with a will but did not leave adequate support for the surviving spouse)

Although this relief is available, bringing a claim for dependant support can be an expensive and arduous process- given that it will require an application to the Superior Court of Justice.  In the application, the spouse will have to provide evidence to prove that he or she fits into the definition of a spouse under Part V of the legislation. If he or she does fit within this definition, the amount of support is also at issue. When determining a dependant’s required amount of support, the court reviews many factors including, but not limited to, the dependant’s current assets, the dependant’s ability to support his or herself, the dependant’s age and physical and mental health, among others. Additionally, an application by a spouse also allows the court to review the relationship between the dependant and his or her deceased spouse to determine whether or not support should be provided.

This process can be made more complex if there are other beneficiaries who feel that they have a better claim to the estate, or that the common law spouse’s claim is invalid or exaggerated.

Generally, this remedy is only available up to 6 months after date of the grant of letters probate of the will or of letters of administration. If this is the common law spouse’s only alternative, it is recommended that he or she contact a lawyer well before this time limit is up.

The best method to ensure that your spouse is properly supported for upon your death is to have a will drafted. This is especially important for common law spouses as they are not entitled to the same rights and privileges as a legally married spouse. To obtain more information on this topic or to discuss your current situation, please feel free to contact one of our experienced wills and estate lawyers.

If I don’t have a Will?

What happens if I don’t have a Will? – A review of intestate succession in Ontario

In Ontario, a person who dies without a Will is referred to as “intestate” and the distribution of their estate falls under the intestate rules under the Succession Law Reform Act, 1990. Factors that impact the distribution of the estate include: potential beneficiaries living at the date of death of the deceased, the net value of the estate (the amount after all debts and funeral expenses are paid out), the preferential share (an amount a spouse is entitled to, which is currently set $200,000 in Ontario), and the relationships that the individual has – either legally or through blood relations.

Please note- A “spouse” in the following distribution rules refers to an individual who is legally married. A common law spouse does not have the same legal rights as a legally married spouse under the Succession Law Reform Act. (If you are not legally married but you would like to leave your estate to your common law spouse, the best method in doing so is to ensure you have a Will. For more information, please also see my article regarding the rights a common law partner may have upon the death of their intestate spouse.

If an individual dies intestate, and that individual is married without children, the spouse of the intestate receives the deceased entire estate, absolutely.  An intestate’s spouse also has rights under the Family Law Act, 1990. However, the spouse would have to choose whether to receive under the Succession Law Reform Act or under the Family Law Act, as you cannot receive under both acts – a lawyer should be consulted to assist in making this decision.

If an intestate had a spouse and did have a child, but that child predeceased the intestate, the intestate’s child’s children (the grandchildren) would receive the amount the child would have had he or she been living at the time of the intestate’s death. If there are no grandchildren, it would be treated as if there was no child.

If the intestate has a spouse and children, the distribution is determined based on the net value of the property. If the net value of the property is higher than the preferential share, the spouse receives the $200,000 preferential share outright, and splits any amount over the $200,000 equally with any children of the deceased alive at the time of the death (or any children of predeceased children of the intestate).  If the net value of the estate is under the preferential share ($200,000), the spouse receives the proceeds of the estate absolutely.

If the intestate has no spouse, but has children, the proceeds of the estate are distributed equally between all living children at the time of death of the intestate. Again, if a child predeceased the intestate but has living children (the intestate’s grandchildren), those children would receive the amount that their parent would have had they not died before the intestate.

If the intestate has no spouse, no children, and no living grandchildren, the proceeds of the estate is distributed equally between the parents of the deceased living at the time of death.

If the intestate has no spouse, no children, no grandchildren, and no living parents the proceeds of the estate is distributed equally between the siblings of the intestate living at the time of death. If a sibling predeceased the intestate and has living children, those children would receive the amount that their parent would have had they not died before the intestate.

If the intestate has no spouse, no children, no grandchildren, no parents, and no living siblings, the proceeds of the estate is distributed equally between the nephews and nieces of the intestate living at the time of death. If one of the nephews and nieces predeceased the intestate, their share is split equally between the surviving nephews and nieces equally.

If the intestate has no spouse, no children, no grandchildren, no parents, and no siblings, no living nephews or nieces, the proceeds of the estate is distributed equally between the individuals fitting into the next degree of blood relative living at the time of death, absolutely.

If there are no blood relatives of the intestate, the estate escheats to the Crown- meaning the proceeds of the estate are given to the Crown, Her Majesty the Queen.

It is clear that the distribution of an intestate’s estate can be complicated and convoluted. Not only is the determination of who receives under the estate complex, but the process of properly distributing the estate can also prove to be challenging.

In order to legally act on behalf of an estate, an individual must apply to the Superior Court of Justice for a Certificate of Appointment of Estate Trustee. This application requires, among other things, a renunciation from other potential estate trustees who are entitled in priority to be named as estate trustee, consents from all potential beneficiaries of that individual’s appointment, a valuation of the estate, and an affidavit by the individual applying to become estate trustee swearing their intention to act faithfully when distributing the estate. In addition, a monetary bond filed with the Court could also be required, depending on the situation. These applications generally require the assistance of a lawyer, so if you find yourself in this situation, please contact a lawyer to discuss the option available to you.

This article is a brief overview and generalization of the rules of intestate succession. There are many specific rules and laws that govern this area of law and as such, certain facts and realities impact your situation. If you do not have a Will and would like more information about it before contacting a lawyer, please review my article regarding the basics of why a Will is important.  Please also contact our office and one of our wills and estates lawyers will be happy to answer any questions you may have.

Do I need a Will?

A Basic Overview of the Importance of Executing a Will

As a lawyer, this is a question that I have been asked many times. “Do I really need a Will?” “Is it worth it?” “I’m not a millionaire, so what’s the point?”

The easy answer is: having a Will provides you with the comfort of knowing that your estate, no matter its size, will be handled in the manner in which you choose. It gives you control.  Furthermore, it makes the winding up of your estate much easier and more straightforward for your family- something that can, in itself, be emotionally draining and difficult.

To get a better idea of what this means, I will go over the basics:

What is a Will?

A Will is a legal document that provides instructions on how an individual’s estate will be distributed after death.  It comes into effect once a person dies.

What is the purpose of a Will?

The purpose of a Will is to ensure that the estate is distributed in the manner the deceased desired, to provide authority to the estate trustee (also known as an “executor”), and to provide protection for the estate and for the rightful beneficiaries.

What clauses are included in my Will?

A Will can include many provisions. However, the standard will should include, at the very minimum, the following: appointment of an estate trustee, authorizing the estate trustee to act on behalf of the estate, and instructions for the distribution of the proceeds of the estate (after payment of debts).  The Will can also include provisions for investment of trusts, appointment of a guardian for children under the age of 18, funeral instructions, and many more.

What is covered by my Will?

A Will encompasses all of the assets of the deceased, but there are some exceptions. The estate generally includes real property, vehicles, interests in corporations, investments, bank accounts, jewelry, artwork, among others.

However, life insurance policies or pensions that have a named beneficiary are not included in a Will- so if you have named an individual as a beneficiary under one of these plans, ensure that you have listed the correct person on that plan since a Will cannot change that designation.

Furthermore, a home owned with other individual(s) as “joint tenants” does not fall under a Will. Upon the death of a joint tenant, his or her interest in that home automatically transfers to the joint owner(s). This arrangement is very common between spouses. However, it could cause problems, for example, in the event that a brother and a sister jointly own a multi-family cottage. If the cottage is owned jointly, and the brother dies, his portion would not go to his wife/children, but instead would automatically transfer to his sister, leaving his wife/children with no claim to the cottage. If the brother wanted his ownership to be included in his Will to be left to his wife/children, the ownership must be changed to tenancy-in-common.  If you do want your interest to form part of your estate and to transfer to your beneficiaries, make sure to discuss your options with a lawyer.

Why draft a Will?

In addition to ensuring that your wishes are met, it is important to draft a Will because it is the best method of providing your family with the ability to deal with, and wind up, your estate. For estate trustees, a valid Will can be used to obtain money from bank accounts, discuss options with lawyers, and sell your property. It provides your estate trustee with the authority and protection to act on behalf of the estate. Furthermore, someone who acts on behalf of the estate without proper authority can open themselves up to potential liability. This can occur, for example, if debts are not properly paid out or if the estate is distributed too soon or to the wrong beneficiaries.

Why do I need a lawyer?

A lawyer with experience in wills and estates law can assist in ensuring that your estate is distributed in the method that you choose and in a manner that best protects your beneficiaries. There are many rules with regard to wills and estates. If drafted improperly, for instance, your Will can accidentally disinherit a beneficiary or include individuals that you did not want to be included. Furthermore, an improperly executed Will can be deemed invalid. This can happen if there are issues with signing of the Will, improper and insufficient amount of witnesses, or unclear distribution wording, among others. If your Will is deemed invalid in Ontario, your estate will be distributed as if you did not have a Will, or in other words, in accordance with the intestate rules under the Succession Law Reform Act, 1990. Please see my article, What happens if I don’t have a Will? for more information.

Where do I go from here?

This article is a brief overview and generalization of the many aspects and points to consider when drafting a Will. There are many specific rules and procedures that govern this area of law and as such, certain facts and realities impact your situation. Please contact a lawyer to discuss your specific situation.

If you do not have a Will, or you do and would like to update your existing Will, please feel free to contact our firm and one of our lawyers would be happy to assist you and your family with navigating this complicated area of law.

Bill S-6 and the First Nations Elections Act

The Modernization/Paternalization of Voting under the Indian Act

The Harper government has introduced Bill S-6(*1), short title First Nations Elections Act, in an attempt to reform voting procedures in First Nations elections. The Prime Minister referred to the Bill as a “creative and collaborative way to shed a part of the Indian Act and to achieve practical, incremental real change.”(*2) Beginning in October 2010, the Minister of Aboriginal Affairs collaborated with leaders from the Atlantic Policy Congress of First Nations Chiefs (APC) and the Assembly of Manitoba Chiefs (AMC) to develop recommendations on a bill to address concerns about the election process under the Indian Act(*3) (the “Indian Act”).

According to Aboriginal Affairs and Northern Development Canada, of the 617 First Nations in Canada, 240 (roughly 40 percent) hold elections in accordance with the provisions of the Indian Act.(*4) The remainders have community-designed election codes, or select their leaders under the rules in their self-government agreements.
The election of Chiefs and Band Councils is currently dealt with under sections 74 to 79 of the Indian Act, and the regulations thereunder. Some of the key concerns of these provisions surround, among other things, the process for nominating candidates, the elections appeals system, and the length of office term. Bill S-6 addresses these concerns, but as will be discussed throughout this article, still comes up short in its attempt to shed government paternalism from First Nations elections.

Logic behind Bill S-6

The ultimate goal of Bill S-6 is to modernize First Nations elections.(*)5 To do so, the federal government is attempting to introduce clear, consistent, and reliable framework that First Nations communities can use to elect effective governments.(*6)

The Honourable Senator Dennis Patterson said in third reading that “Bill S-6 makes it possible for each First Nation community to address its electoral needs, priorities and directions on its own terms.”(*7) The irony of this statement is that the Bill actually goes further than the AMC and APC recommendations, allowing for more Ministerial discretion, including the ability to include First Nations as “participating First Nations” within a schedule without the First Nations’ opt-in or consent.(*8)

Effectively, Bill S-6 is opt-in legislation for First Nations that conduct their elections under the Indian Act. Even if a First Nation does not currently follow the Indian Act with respect to its elections, Bill S-6 allows a First Nation to be added to the schedule of the First Nations Elections Act upon request.(*9) This request will take the form of a band council resolution.

Many First Nations have a long-standing practice for electing chiefs and band council members. The federal government recognizes this, hence the seemingly voluntary nature of Bill S-6. As a further safeguard to protecting the interest of First Nations, section 35(1) of the Constitution Act, 198210 protects the right of aboriginal peoples to self-government. While several of the changes introduced by the Bill do reflect this understanding, either mistakenly or intentionally, Bill S-6 does appear to give the federal government the power to significantly interfere with a First Nations’ right to self-government.

Nevertheless, elections of First Nations under the Indian Act were in such a state as to encourage the AMC, APC, and federal government to come together to improve electoral fairness.

Notable features of Bill S-6

• Chief and council hold office for four years(*11)

Under section 78 of the Indian Act, the chief and councillors of a band can only hold office for two years. One of the criticisms of this provision is that two year terms of office are far too short to accomplish priorities. As well, most appeals and litigation relating to an election’s results last far longer than two years. Obviously, this short length for a term can lead to instability following an election. Bill S-6 addresses this issue by bringing First Nations elections in line with the length of term for office of the federal, provincial, and most municipal governments.

• Candidacy and nominations procedures(*12)

Section 75 of the Indian Act sets out the eligibility requirements for a person to be nominated as a candidate for an election as chief or councillor. However, this section is noticeably thin. Bill S-6 adds more structure to the process, introducing some seemingly obvious provisions, such as: an elector cannot become a candidate unless the elector provides his or her consent,(*13) an elector may not be nominated as candidate for chief and councillor in the same election,(*14) and an elector must not nominate more than one candidate for the position of chief or councillor.(*15) An analysis of these new provisions suggests that under the Indian Act, a candidate could have been nominated for chief and councillor, against his or her will, by a person who had nominated several other people as well. It should be noted however that the Indian Band Election Regulations do provide for a process of withdrawing a nomination after the fact.(*16)

• Contested elections(*17)

Under section 79 of the Indian Act, the Governor in Council was able to set aside the election of a candidate based solely on the advice of the Minister of Aboriginal Affairs and Northern Development. The Indian Band Election Regulations current lays out the procedure for appealing an election result to the Minister/Governor in Council.(*18) This is effectively the only appeal mechanism provided for under the Indian Act. Under Bill S-6, the Minister has no role in receiving, investigating or deciding election appeals. Instead, an elector of a participating First Nation may contest the election of a chief or councillor to either the Federal Court or Superior Court of the Province where the community is located.(*19) If the Court is satisfied that a contravention of the First Nations Elections Act occurred and it is likely to have affected the result, the Court may set aside the contested election.(*20)

• Offences and penalties(*21)

Under the Indian Act, the only penalty for contravening the elections provisions is to have the election set aside.(*22) Other than that, there are no defined offences and penalties. With Bill S-6 come provisions similar to other election laws, laying out penalties for defined offences such as obstructing the electoral process and engaging in corrupt activities in relation to an election.(*23) Violating the First Nations Elections Act can bring a penalty of up to 5 years in prison or a fine of up to $5,000.(*24) These provisions give the statutory regime “teeth” and suggest that democratic protection will be taken very seriously.

Comments on Bill S-6

The Standing Senate Committee on Aboriginal Peoples (the “Committee”) provided several observations about Bill S-6.(*25) The Committee took issue with several clauses, including the provision on election appeals. By switching the appeals process from the Minister to the Courts, Bill S-6 does not “achieve the objective of establishing an efficient, accessible and low-cost appeals process.”(*26) The reason for this criticism is that the costs of going to Court could be prohibitive for those who cannot afford litigation. The Canadian Bar Association’s National Aboriginal Law Section echoes this criticism, noting that a court-based appeal system would also be time consuming.(*27) The AMC and APC recommended the establishment of an independent and impartial appeals body. According to the CBA, this would provide a more cost effective, accessible, and culturally appropriate method of dispute resolution.(*28)

Another issue the Committee had with Bill S-6 was the powers granted to the Minister to add First Nations to the schedule of participating First Nations under clauses 3(1)(b) and 3(1)(c). According to the Committee, these provisions “continue a colonial and paternalistic approach to First Nations governance.”(*29) The Committee recommended that these provisions only be used in the rarest of cases, whereas the CBA went one-step further, recommending that these powers only be exercised in relation to First Nations currently governed by customary elections if approved by a majority of secret votes by a majority of the electors of that First Nation, or as approved in accordance with prevailing customary practices.
(*30)

Senator Lillian Eva Dyck raised an interesting point in her criticism of Bill S-6, specifically clause 3(1)(b). She said that as pressure mounts to increase natural resource development on or near First Nation land, “there is great potential for significant dissension, and as First Nation communities, provincial governments and private sector organizations try to negotiate agreements, there likely will be protracted leadership disputes in First Nation communities.”(*31) This is turn, the Honourable Senator said, could lead to abuse of the clause by the federal government.
During third reading of the Bill, Senator Dennis Patterson said, “[o]n the face of it, it looks like the perpetuation of the paternal approach, but it will bring struggling First Nations into a much more modern electoral system”.(*32) This statement speaks volumes about the misdirection of Bill S-6. First Nations have an inherent right to self-government, and the ultimate goal of the federal government should be for First Nations to develop their own custom election codes or other self-government arrangement reflecting their own history and traditions. Bill S-6 fails to do this. While some of the provisions of Bill S-6 are required in order to have a properly functioning election, it does nothing to promote the creation of self-government agreements.

The Fixed-Term Contract: Employers Beware

The Ontario Court of Appeal has given employers yet another good reason to be wary about hiring employees on fixed-term contracts.  In Howard v. Benson Group Inc. (2016) ONCA 256, a unanimous Court awarded a terminated employee 37 months’ pay, equivalent to $194,284.93, upon termination of his employment agreement after just 23 months of work.  The employer had not alleged that he was terminated for just cause, and instead opted to exercise its (purported) termination rights under a clause in the employment agreement.

When the plaintiff brought a motion for summary judgment for an alleged breach of the employment contract, Justice Mackenzie of the Ontario Superior Court found the termination clause to be void as a result of its ambiguity, and excised it from the agreement.  Instead, Justice Mackenzie ordered a mini-trial on the appropriate period of notice based on the common law Bardal factors, and on the issue of whether the plaintiff mitigated his losses sufficiently by trying to find other work.  The Plaintiff appealed.

Background

John Howard was 57 years old when he began his employment with Benson Group Inc. in September of 2012 in the role of Truck Shop Manager on a five year fixed-term contract.  In May of 2013, Mr. Howard was promoted to the position of Sales Development Manager, with a base salary of $60,000.00 as well as participation in a bonus incentive program.  The initial contract from September 2012 remained in force, with the exception of additional salary and benefits commensurate with the promotion.

The employment relationship continued until July 28, 2014 when Benson Group exercised its contractual right to terminate the employment agreement, and pay its notice and severance obligations in accordance with the Employment Standards Act.  Subsequently, Mr. Howard sued on the basis that the clause, as follows, was too ambiguous to be enforced:

“8.1.      Employment may be terminated at any time by the Employer [the defendant] and any amounts paid to the Employee [the plaintiff] shall be in accordance with the Employment Standards Act of Ontario. [sic]”

When the trial judge found that this clause was unenforceable, and directed a mini-trial on the amount of common-law damages payable to the plaintiff, the plaintiff appealed this decision.  The plaintiff maintained the position that this was purely a breach of contract issue, and that he was entitled to the full value of the contract as it would be at the expiry of its five year term.

The Issue

Where an employee is employed on a fixed-term contract, and there is no clause (or an invalid clause) dealing with early termination of employment, is that employee entitled to the value of the balance of the employment agreement?

The Result

When drafting early termination clauses, an employer is required to achieve a high level of certainty; a principle stated in Ceccol v. Ontario Gymnastic Corporation, 2001 CanLII 8589 (ON CA).  Where the employer does not achieve such certainty, the ambiguity will be resolved against the employer and in favour of the employee.  This follows the long-standing principle of contra proferentum, in which ambiguities in a contract are construed against the person who drafted it, which is usually the employer.

In this case, the phrase “any amounts paid” was particularly troubling for the trial Judge, as questions arose regarding the specific “amounts” being referred to, and when exactly they were or would be “paid”.  Primarily because of the inability to discern the meaning of this phrase, this part of the agreement was found to be unenforceable, and the Court exercised its jurisdiction to remove that clause from the agreement.  Instead, the trial judge would have applied the Bardal factors to determine an appropriate notice period.  The Bardal factors are a consideration of the employee’s age, length of service, expertise, and availability of alternate similar employment to determine an appropriate notice period.  On these facts, 6 months’ pay would likely be considered a generous notice period under this common law principle; not 37 months.

Interestingly, and noted in the written judgment of Justice Miller, counsel for the appellant did not appeal the finding that the clause dealing with termination without cause was invalid.  Accordingly, no analysis of the validity of that clause was undertaken by the Court of Appeal.

The Court clearly states that there is a rebuttable presumption that a common-law notice period will apply in the absence of a notice period specified in the employment contract.  This presumption can only be rebutted where the employment agreement clearly specifies some other period of notice, whether expressly or impliedly.  Where no such right to termination exists, an employee is entitled, on early termination without cause, to the balance of the amount of the employment agreement.  In this case, the Court of Appeal made an outright award of the remaining amount payable to the plaintiff under the contract, and further stated there was no requirement for the plaintiff to mitigate his damages.

Finding Fairness

This result appears grossly inequitable, given the employer likely intended to pay approximately $2000.00 on early termination and ended up facing a judgment of over $200,000.00, after factoring in costs on appeal.  Aside from this point, the Court may have erred in finding that there was no specified period of notice.  There was indeed a specified period of notice, agreed to by both parties, that simply could not have been ascertained and was accordingly excised from the agreement.  While it may be correct to disregard this provision, it is still useful in attempting to determine the intention of the parties.  The error, if any, may be concluding the presumptive application of a reasonable period of notice under the common law had been rebutted.

Based on these reasons, the result would likely be the same if there was a 10, 20 or 30 year contract.  However, if the employer hired the employee for an indefinite term than the employer could exercise its right to terminate without cause on reasonable notice, which would be significantly less expensive.  The other lesson for employers is that clear and concise drafting in employment agreements can have huge cost-saving consequences, and can often avoid litigation all together.

Ontario Employment Law – Obligation to Accomodate

Mary Pilon worked for the City of Cornwall for 23 years.  In her final years with the City, she was a customer service representative in the Finance Department.  She left her job in September 2005 under the advice of her family physician. Pilon suffered from colitis, a condition where the colon becomes inflamed, causing among other things, severe abdominal pains and a constant urge to use the washroom. Her doctor noted as part of her claim for Employment Insurance benefits, “the harassing and unprofeossional treatment she received [at work] caused her illness.”

As part of her disability, the applicant, Pilon, required unrestricted access to the washroom during work hours. The applicant’s need for an accommodation around her use of the washroom unfortunately became an element of tension in the workplace. The applicant claims she was harassed by co-workers beginning in 2002 in the form of heightened scrutiny and complaints to management about her use of the washroom outside of scheduled break times.

This issue was a recurring one. These complaints were overtly expressed by one of the applicant’s co-workers but there were also subtle suggestions by others which took the form of complaints that the applicant was not at her desk, or that she disappeared during the work day or that she took too long breaks. The workplace became increasingly dysfunctional and eventually led to an “informal” investigation by the employer.

The Investigation

The investigation was conducted by a Labour Relations Coordinator in Human Resources. Six individuals from the workplace were interviewed, as well as the applicant. The interviews were taped, however, the City refused to provide a copy of the tape to the applicant when asked. The City stated at the time that they would have to consult counsel. This issue was never resolved. When the question of the tapes arose during the proceedings in front of the Human Rights Tribunal, the respondents stated that the tapes had been lost.

The result of the investigation was a report. The report concluded: “The [investigation’s] findings do not clearly define a harassment issue, however several incidents, if not dealt with immediately, may result in a poisoned atmosphere being created which could be considered harassment under the … Human Rights Code.” The City did not implement any of the report’s recommendations, nor was a copy of the report given to the applicant.

After the investigation, co-workers continued to complain about the applicant’s performance, specifically in relation to her excessive absences from her desk. In September 2005, the applicant’s doctor informed the City that “emotional distress due to psychologically unhealthy work environment and harassment” was exacerbating her medical condition, and subsequently recommended she leave her placement. On two more occasions, the applicant demanded the City investigate her allegations of harassment and failure to accommodate, but the city declined, saying those allegations had already been proved groundless.

The applicant also filed grievances with her union. The union withdrew the grievances after it conducted its own investigation of the complaints.  According to the Tribunal, the union’s investigation was not as thorough as the City’s.  Ultimately, the union took the view that the employer’s request that the applicant restrict her use of the washroom to her breaks was silly but was not harassment.  The adjudicator in the matter stated bluntly that the union’s position was wrong and completely missed the point.

Relying on the results of the union’s investigation, the City demanded that the applicant return to work as her absence was not for medical reasons.  The applicant refused, and the City subsequently terminated her employment.  The applicant then brought a complaint before the Human Rights Tribunal of Ontario, claiming the City did not accommodate her disability.

Human Rights Tribunal of Ontario’s Decision

The adjudicator concluded the City of Cornwall, its Director of Finance, Manager of Human Resources, and the applicant’s supervisor all violated procedural obligations to accommodate the applicant on several occasions. First, there was the City and Manager of Human Resources failure to properly investigate her initial complaint in May of 2004, as well as subsequent requests in October and December 2005. Further, the adjudicator noted that when provided with evidence that the applicant was ill due to the unresolved workplace issues, the Manager of Human Resources failed to make the proper enquiries. Finally, the adjudicator held that the City failed in its procedural obligations in the manner in which the applicant’s employment was terminated.

The adjudicator also found that the City and Director of Finance failed in their substantive obligation to accommodate in two separate matters. The first matter relates to the letter requesting the issue be resolved sent in May 2004, and the subsequent response trivializing the complaint. The second matter relates to the termination of her employment based on the results of a union investigation that the adjudicator calls “not particularly insightful”, as opposed to strong medical evidence that received virtually no inquiry. The adjudicator colourfully noted: “To the extent that the respondent employer relied on the union’s conclusions to justify taking steps to terminate the applicant’s employment, it did so at its peril.”

Finally, the adjudicator also found that the Director of Finance and the applicant’s supervisor “condoned harassment” of the applicant by failing to insulate her from the complaints of other employees that were related to her use of the washroom at times other than her formal break times.

Remedies

Under the Ontario Human Rights Code, a person whose rights have been infringed is entitled to monetary compensation for actual losses arising out of the infringement. The purpose of this is to restore the person to the position they would have been in had the discrimination not occurred.
In this matter, the applicant sought a broad range of remedies from the Human Rights Tribunal. Ultimately, she was awarded $20,000 in damages for injury to her feelings, dignity, and self respect, as well as $3,000 for her medical costs. Additionally, the City of Cornwall was told to pay the applicant almost three years, less any other business or employment income she earned in the meantime.

Not surprisingly, the adjudicator ordered the Director of Finance, Manager of Human Resources, and supervisor of the applicant to complete the Ontario Human Rights Commission’s online training module on human rights, and provide a copy of the certificate of completion to the applicant.

Analysis

The decision of the Human Rights Tribunal in this matter highlights two separate procedural obligations for municipal employers: the obligation to accommodate by being procedurally fair to the person requesting accommodation, and the obligation to investigate and provide details of the investigation. Based on the outcome of this case, the Tribunal has made it clear that municipal employers must be proactive in addressing complaints. If employee complaints are not taken seriously and the procedural duty to accommodate is not met, then employers could potentially be forced to pay out hundreds of thousands of dollars.

I) The obligation to accommodate by procedural fairness

One of the precedents referenced by the adjudicator was the Supreme Court of Canada’s decision in British Columbia (Public Service Employee Relations Commission) v. BCGSEU, [1999] 3 SCR 3.  In delivering the judgment of the Court, Justice McLachlin (as she was then) noted that the duty to accommodate has both a substantive and a procedural component, and that to meet the procedural part of the duty to accommodate, an employer must take adequate steps to explore what accommodation is needed, and to assess accommodation options.

In the current matter, the Human Rights Tribunal took the duty to accommodate one step further, establishing that an employer is required to accommodate to the point of undue hardship, and that the person with a duty to accommodate must make a real and bona fide effort to accommodate Code-related needs. However, the burden doesn’t completely fall upon the employer’s shoulders. The person requiring accommodation must also cooperate in the attempt to find suitable accommodation.  This can be done by making their needs known and providing all required information to the employer.

Whether an employer is being procedurally fair to the person requesting the accommodation depends on the circumstances. The Human Rights Tribunal did not go into much detail about what, specifically, constitutes procedural fairness in accommodation in these circumstances. One thing the Tribunal did allude to was that the applicant deserved a completed and appropriate response to her request for accommodation.  The fact that she didn’t receive one suggests that formally responding to a complaint is the first and most important step in the duty to procedurally accommodate. The Supreme Court of Canada has also offered some guidance, approving the following analysis from Shelagh Day and Gwen Brodsky [“The Duty to Accommodate:  Who Will Benefit?” (1996), 75 Can. Bar Rev. 433], which gives some guidance:

Accommodation seems to mean that we do not change procedures or services, we simply “accommodate” those who do not quite fit.  We make some concessions to those who are “different”, rather than abandoning the idea of “normal” and working for genuine inclusiveness…In short, accommodation is assimilationist.  Its goal is to try to make “different” people fit into existing systems.

Based on the above principles, a municipal employer does not have to change its entire organizational structure in order to accommodate. All that is needed is a few simple concessions.  In the matter involving the City of Cornwall, the applicant did make her condition known to her supervisors and those above her.  With doing as little as granting extra washroom breaks and informing the applicant’s coworkers of the reasons for the accommodation (at the consent of the applicant), the situation could have been avoided. The fact that at one point, the Director of Finance wrote a letter in response to the applicant’s complaint saying “The City has never refused your requests for washroom breaks,” indicates that the City of Cornwall is either ignoring the complaint or simply does not understand what it means to accommodate. Granting washroom breaks is not what’s at issue, rather, it’s the need to accommodate the disability and to take the necessary steps to create an understanding amongst coworkers.

II) The Obligation to Investigate

In terms of the obligation to investigate and to provide details of the investigation, the Human Rights Tribunal noted that where an employee has made a formal request for accommodation to an employer and there has been an investigation leading to a report, it is appropriate and required under the Code’s duty to accommodate to share the results of their investigation with the applicant. In this case, the City of Cornwall shelved its report and did not share any of its details with the applicant.

It was significant issue for the applicant that she was never provided a copy of the Report and heard nothing about the results of the investigation.  She testified that had she seen the Report at the time, it might have given her some comfort that her concerns were being taken seriously at the very least. The applicant also took the position that the failure to provide her the Report or implement any of its recommendations was a reprisal, although the adjudicator did not agree. Nonetheless, a consequence of not ever being provided with the Report or any follow up on the investigation, the applicant stated that she didn’t know if her request for appropriate accommodation had been acknowledged by the respondents.

It’s worth noting that the Report came from an investigation that was made in accordance with the City of Cornwall’s Harassment in the Workplace policy.  Most municipal employers will likely have a similar policy that contains procedural guidelines for filing a complaint, the investigation process, and what information must be provided.

One of the issues involving the Report was whether it was formal or informal. The City of Cornwall maintained the Report was informal, but this assertion was rejected. This distinguishing feature comes down to whether the investigation is in direct response to the complaint. If it is, then it will likely be characterized as formal, meaning its results must be shared with the complainant.

Interestingly, the City maintained that because there was no specific complaint, it was not required to conduct a formal review pursuant to its policy.  However, City officials called upon to testify could not point to any policy document which drew the distinction between a formal versus informal investigation. Further, the Report itself refers to a complaint being made on several occasions. The adjudicator called the position of the City “difficult to understand”. In the end, it was held that the applicant would have no way of knowing that the investigation she participated in was not in response to her complaint and request for accommodation and would have reasonably expected a response to her concerns.

Ultimately, it can be inferred from this decision that where an employee makes a complaint about workplace harassment, a municipal employer should conduct a formal investigation, and the substance of the findings must be shared with the complainant.

The following is a list of the procedural steps that should be taken:

1) Formally acknowledge the complaint in writing;
2) Investigate the matter;
3) Consider all relevant information;
4) Compile a report;
5) Determine what, if any, accommodations must be met;
6) Share the findings of the report with the complainant;
7) Make a real and bona fide effort to accommodate to the point of undue hardship.

Links

Labour Law & Assistive Devices

Labour Law & Disability – Coverage of Personal Bodily Assistive Devices

In order to accommodate an employee with a disability, employers often have to adapt various aspects of their work environment to suit the employee’s needs (Ontario Human Rights Code, RSO 1990, c. H.19, s 5, 11, 17 [“The Code”]). However, the results from an arbitration done in 2011 investigated how far an employer’s responsibility extends, and where the line is drawn between accommodating accessibility and relying on the employee’s personal responsibility.

In Thunder Bay Catholic District School Board [“The Board”] and Ontario English Catholic Teachers’ Association [“The Association”], 2011 CanLII 38669 (ONLA) the arbitration revolved around whether a personal bodily assistive device, in this case a hearing aid, was a necessary requirement for an employer to provide for their employee. Traditionally employers would only accommodate employees by way of making changes to the workplace or methods of performing work, however this case considers whether providing personal bodily assistive devices would be necessary for the employer to provide for use in and outside of the workplace.

Facts

The case revolves around Ms. A, a secondary school teacher with a degenerating inner ear disorder. Ms. A’s ailment causes her hearing functions to deteriorate in addition to causing periodical vertigo.

The Board had gone to great lengths to accommodate other aspects of Ms. A’s disability. Ms. A was provided with a soundproof office to block out ambient noises and assigned to teach students one-on- one instead of in big groups. As well, Ms. A was provided a portable microphone system to supplement her hearing, a special telephone which was customized for those with hearing impairment, and she was assigned to a school near to her house in order to prevent vertigo over long drives.

The personal bodily assistive device that Ms. A is claiming compensation for is a set of digital hearing aids. Ms. A claims that the digital hearing aids are necessary for her to properly do her job. She claims that without the digital hearing aids she cannot complete her supervisory responsibilities, hear announcements, meet with parents, and deliver the required curriculum to her students.

Issue

The main issue in this arbitration is whether compensating Ms. A for the digital hearing devices is necessary for The Board to fulfill their duty to accommodate her under their collective agreement and to satisfy The Code.

The Board is not disputing any of the facts above, however their main concern is that once an allowance is made for one personal bodily assistive device (the digital hearing aids), there could be a strong argument for them to supply more. This could open the floodgates to possibly include devices such as eyeglasses and prosthetics. So far, The Board has refused to cover any portion of the cost of the digital hearing aids, and the two parties have sought out to resolve the issue through arbitration.

Decision 

Gordon F. Luborsky, the arbitrator, found that The Board was interpreting the governing law too narrowly, and that it was found that The Board must partially cover Ms. A’s hearing device. The devices were found to be:

“Absolutely necessary in concert with the other accommodative measures put in place by the Board for Ms. A to fulfill her fundamental teaching duties or requirements in compliance with her statutory obligations and contractual expectations.”

In terms of the results of the arbitration, Mr. Luborsky ultimately left it up to the two parties to decide on a final outcome and reach a “reasonable compromise”, however he does make a suggestion. After a long calculation it was concluded that Ms. A spends about 17.5% of all the hours in a calendar year at work, therefore the arbitrator suggests that this is an appropriate amount for The Board to cover (about $400 per hearing aid).

To justify this decision Mr. Luborsky points out that as technology allows for more devices to interact with the human body the “’bright line’ between the world of the employer and that of the employee in the search for appropriate accommodation has become blurred, which is a trend that is likely to continue into the future.” [para 59] Furthermore, Mr. Luborsky looks to Ontario Nurses’ Association and Orillia Soldiers Memorial Hospital and Sault Ste. Marie General Hospital, (1999) CA C28113 at para 55, which states:

the employer may provide devices and instruments that would allow the disabled employees to perform close to the same level as the able-bodied employees. The duty is on the employer to take all steps short of undue hardship to accommodate the needs of the person discriminated against so that they can compete equally with the other employees. It is by attempting to accommodate their actual characteristics so as to bring them within the workplace environment that the employer complies with the Code. [Emphasis added]

Comments

The important aspects of this case, besides the interpretation of The Code and the collective agreement between the Board and The Association, are the implications involved with extending workplace accommodation to include personal bodily assistive devices. Through relevant case law and statute a compromise was found that the Board was only liable for the portion of reimbursement that pertained to the use of the assistive devices during work hours. It is important for businesses and employers to be aware of these evolutions of the law in order to comply with the Code and provide the best possible assistance to employees.

Bullying in the Workplace: an Employer’s Obligations

Bullying isn’t just a schoolyard thing. It also affects working adults, as well as the overall atmosphere of the workplace.  In 2009, the Ontario government introduced Bill 168, which amended the Occupational Health and Safety Act with respect to violence and harassment in the workplace. The Bill places positive obligations on employers to keep their workplaces free from bullying.

Since the introduction of Bill 168, courts and labour arbitrators have made it clear that these obligations will be strictly enforced.  This article will consider how to identify workplace bullying, briefly examine Bill 168, then look at several legal decisions that discuss the Bill’s application.

What is bullying?

As a very general definition, bullying is an aggressive behavior of harassment or violence, usually directed to one person.  Bill 168 separates workplace violence and workplace harassment, offering these definitions:

“workplace harassment” means engaging in a course of vexatious comment or conduct against a worker in a workplace that is known or ought reasonably to be known to be unwelcome;

“workplace violence” means:

(a)  the exercise of physical force by a person against a worker, in a workplace, that causes or could cause physical injury to the worker,
(b)  an attempt to exercise physical force against a worker, in a workplace, that could cause physical injury to the worker,
(c)  a statement or behaviour that it is reasonable for a worker to interpret as a threat to exercise physical force against the worker, in a workplace, that could cause physical injury to the worker.

A good example of workplace bullying (and how expensive it can be for employers) can be seen in the British Columbia Supreme Court’s decision in Sulz v Canada (Attorney General), [2006] 263 DLR (4th) 58.  In this case, the plaintiff, a former female member of the Royal Canadian Mounted Police (“RCMP”), claims that her immediate supervisors harassed her to the extent that she became so clinically depressed, she had no choice but to accept a medical discharge. The plaintiff was subjected to vulgar and aggressive language from her superiors, and received threats to her employment for going on medical leave due to complications with her pregnancy.

The Court found that the bullying had a severely negative impact on her mental health, affecting not only on her ability to work, but also on the extent to which she can enjoy her life and function as a member of her family and her community. As a result, the Court awarded the plaintiff $225,000 for past wage loss, $600,000 for future wage loss, and $125,000 for general damages, amounting to a grand total of $950,000.  The Crown appealed this decision, but the appeal was dismissed by the B.C. Court of Appeal.

Bill 168

The Bill officially came to life in 2010 when it received Royal assent. Among some of the obligations placed on employers, Bill 168 mandates that employers prepare policies relating to workplace violence and harassment, and review the policies at least once per year.  The Bill also prescribes how the program to implement the policies should be conducted, as well as how information should be distributed to employees. But perhaps most importantly, the Bill imposes a duty on employers to take precautions for the protection of an employee if there is a likelihood the employee may be subjected to bullying, either through harassment or violence, in the workplace.

For small and medium-sized employers, developing and implementing Bill 168’s policies can cumbersome and expensive, considering their limited resources.  Lawmakers did account for this problem to a degree by adding an exception that the regulations do not apply if the number of employees regularly employed at the workplace is five or fewer, unless an inspector orders otherwise. But if an employer has more than 5 regular employees, the rules must be strictly followed.

Recent examples of Bill 168 in action

In General Motors of Canada Ltd. V. Martin, 2009 CanLII 71654 (ON LRB), the Ontario Labour Relations Board heard a matter involving three separate complaints over a period of several months in 2009.  In all three complaints, an employee had verbally harassed another employee, either by threatening him with violence, or by calling him inappropriate names. The Board said this conduct amounts to workplace harassment.  What made this decision interesting is that fact that Bill 168 received royal assent after the alleged complaints, but before the Board’s decision was handed down.  As well, this particular GM plant in Windsor, ON, was scheduled to close.  It was argued that implementing Bill 168’s policies and training the workforce would be unnecessary.  The Board disagreed, ruling that GM was statutorily obligated to train the workers at the plant on a policy and program prior to the plants closing.

The Board’s Vice-chair John Lewis took the opportunity to make the following comments about Bill 168:

With the passage of Bill 168, the Act requires employers to prepare and post workplace violence as well as workplace harassment policies.  Employers are required to develop and maintain programs to implement both the workplace violence policy and the workplace harassment policy.  Workplace violence programs are required to have measures and procedures for workers to report incidents of workplace violence to the employer or supervisor and the means by which the employer will investigate and deal with incidents or complaints of workplace violence.

Bill 168 also requires employers to train workers as to the contents of workplace violence and workplace harassment policies.  The Bill also requires employers assess risks of workplace violence that may arise from the nature of the workplace and the work performed and must advise the Joint Health and Safety Committee, or the health & safety representative or workers directly of the results of such assessment.  Bill 168 even requires the employer to provide personal information about a person with a history of violent behaviour but such information is limited to what is reasonably necessary to protect a worker from physical injury. [Emphasis added]

In Universal Workers Union (Labourer’ International Union of North America, Local 183) v. Teston Pipelines Ltd, 2011 CanLII 78812 (ON LRB), the Labour Relations Board was tasked with deciding whether to uphold a 5-day suspension imposed on a worker who threatened to kill his foreman on two separate occasions. In making its decision, the Board made the following unarguable comment of law: “No employee should ever threaten to kill anyone else at work, much less his foreman.”

The Union argued that the worker was under considerable emotional stress at the time the comments were made, fuelled by a recent separation from his wife and children. Ultimately, the Board decided that these threats fit squarely within the definition of workplace violence, and that the employer is required to act, both to deal with the unacceptable behaviour, and to take steps to ensure that its policies are known and understood. The suspension was upheld.

In Kingston (City) v. Canadian Union of Public Employees, Local 109, 2011 CanLII 50313 (ON LA), Arbitrator Elaine Newman heard a matter involving an employee with 28 years seniority bullying a co-worker. The main allegation relates to when the woman made a death threat to her Local Union President. The Arbitrator held that under the Bill 168 amendments, an employer must react to an allegation of a threat: it must not be trivialized. In this case, it was held that the Employer took this language very seriously, and made that message clear and unequivocal.

However, it was noted that here is nothing in the Occupational Health and Safety Act that requires that an employee, found to have committed an act of workplace violence, be automatically terminated. While there are a variety of ways to deal with the matter, it is ultimately for the employer to determine, at the end of an appropriate investigation and consideration of options.  In this case, the City of Kingston decided to terminate the employee, factoring in the employee’s history of harassment in the workplace. The Arbitrator upheld the City’s decision.

Comments and employer’s duties

Bill 168 was introduced mainly as a result of the lobbying efforts of the family of Lori Dupont and Theresa Vince.  Dupont was killed by her ex-boyfriend, Dr. Marc Daniel, in 2005 at Hotel-Dieu Grace Hospital in Windsor, Ont., where they both worked. The hospital was aware Daniel had been harassing Dupont and that the situation was getting worse, but it did not discipline him. Theresa Vince was shot in the face and killed in Chatham in 1996 by a boss who had sexually harassed her for more than a year and against whom she had filed a harassment complaint.

The amendments are based on the theory that workplace violence can be foreshadowed, and that in many cases, it’s predictable.  By heeding the signs of danger, communicating clearly, and acting with clarity, violence can be prevented when employers, supervisors, and workers come together.

Under Bill 168, Employers must:

  1. develop and maintain an unambiguous program to implement workplace violence and harassment policies;
  2. designate a person as a workplace coordinator with respect to workplace violence and workplace harassment, and set out the duties of the coordinator;
  3. take every reasonable precaution in the circumstances to ensure the protection of a worker should the employer become aware, or ought reasonably to be aware, that domestic violence that would expose a worker to physical injury may occur in the workplace;
  4. provide information and instructions to the employees on the contents of the policy and program with respect to workplace violence and harassment; and
  5. set out a fair and transparent process for investigating complaints;