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A-338-89
Attorney General of Canada (Applicant)
v.
David W. Paton (Respondent)
INDEXED AS: CANADA (ATTORNEY GENERAL) V. PATON (CA.)
Court of Appeal, Iacobucci C.J., Mahoney and Marceau JJ.A.—Ottawa, November 22, 1989 and January 16, 1990.
Public service — Labour relations — S. 28 application to review PSSRB decision holding respondent entitled to overtime pay for entire period (6 days) on ship while on special employ ment assignment as Chemistry Technologist with Department of Fisheries and Oceans — Construction of overtime compen sation provisions of Master Agreement — Board found facts indistinguishable from two F.C.A. decisions where employees held entitled to wages for entire time at sea — In view of severe restrictions on respondent's freedom and mobility, Board concluded respondent "at work" for entire period on ship and entitled to overtime compensation for virtually all time at sea in accordance with group specific agreement — S. 28 application allowed as Board misconstrued Master Agree ment — Board erred in failing to apply clause M-28.05 whereby employees to be paid only for "actual hours worked" when travelling in transport in which required to work and which serves as living quarters during tour of duty — "Actual hours worked" describing work in normal sense of doing or engaging in specific performance of duties — "Captive time" on ship not "actual hours worked" — Master Agreement did not intend employee be paid double overtime rate while allowed full night's sleep for number of consecutive nights on voyage within job description duties and of which advised well in advance.
STATUTES AND REGULATIONS JUDICIALLY CONSIDERED
Federal Court Act, R.S.C., 1985, c. F-7, s. 28. CASES JUDICIALLY CONSIDERED
APPLIED:
Apesland v. Canada, A-669-87, Mahoney J.A., judgment dated 2 4 / 5 /88, F.C.A., not reported; Duggan and Trea sury Board (1985), 8 PSSRB Decisions 44.
DISTINGUISHED:
Canada v. Falconer, A-417-86, Heald J.A., judgment dated 27/2/87, F.C.A., not reported; affg (1986), 9 PSSRB Decisions 30 (sub nom. Falconer and O'Leary and Treasury Board); Canada v. Falconer, A-416-86, Heald J.A., judgment dated 27/2/87, F.C.A., not report ed; affg (1986), 9 PSSRB Decisions 25 (sub nom. O'Leary and Humphreys and Treasury Board).
REFERRED TO:
Osmack v. Canada, A-51-89, lacobucci C.J., judgment dated 21/9/89, F.C.A., not yet reported.
COUNSEL:
Harvey A. Newman for applicant. Andrew J. Raven for respondent.
SOLICITORS:
Deputy Attorney General of Canada for applicant.
Soloway, Wright, Ottawa, for respondent. Public Service Staff Relations Board, Ottawa, on its own behalf.
The following are the reasons for judgment rendered in English by
IACOBUCCI C.J.: This section 28 [Federal Court Act, R.S.C., 1985, c. F-7] application seeks to review and set aside a decision of the Public Service Staff Relations Board rendered on July 5, 1989 which held that the respondent was entitled to overtime pay for the entire period spent on board a ship while on a special employment assign ment even though he did not perform normal work-related duties for the entire period. The major issue in this application is whether the Board member erred in so holding. More particu larly, the applicant has argued that the Board member failed to apply a provision of the appli cable collective agreement governing rates of pay for an employee who is assigned to perform duties on a transportation vehicle or vessel which also serves as his living quarters.
FACTS
By way of background, the respondent was at the relevant time employed as a Chemistry Tech nologist with the Department of Fisheries and Oceans. The parties were governed by the Public Service Alliance of Canada Master Agreement and the Engineering and Scientific Support Col lective Agreement (a group specific agreement). The respondent's normal worksite was the Institute of Ocean Sciences at Sydney, B.C. and his usual hours of work there were 8.30 a.m. to 4.30 p.m. Monday through Friday.
In the respondent's job description, it is stated that he is expected to carry out:
... field surveys using ships, and launches to determine the concentrations of trace metals in the marine environment and to study the effects and degradation of natural and polluting chemicals by:
—participating in cruises of up to four (4) weeks per year, generally in B.C. coastal inlets (special assignments may require offshore cruises);
On October 13, 1987, the respondent was advised in writing of certain duties which he was to perform on board the CSS Tully commencing Sunday, October 18, 1987. In accordance with these directions, the respondent boarded the CSS Tully sometime after 10:00 p.m. Sunday evening, October 18, 1987 and departed on board the ship at approximately 1.00 a.m. on Monday, October 19, 1987.
There is no dispute as to his rate of pay for October 18, 1987. On October 19, 1987, the respondent spent only one-half hour performing duties, and had no other specific work to perform for the balance of the day. From October 20-23 inclusive, the respondent did not do any assigned work beyond his ordinary 7 1 / 2 hour shift. On Octo- ber 24, which was a "first day of rest" for the respondent, he spent 7' hours performing assigned duties and another nine hours aboard the ship during which he did not perform assigned duties. He left the ship at 4.30 p.m. on October 24 and checked into a hotel in Prince Rupert, B.C.
' See paragraph 6 of the specific duties and the job descrip tion of the respondent, Casebook, p. 118.
The respondent kept a log of hours worked and overtime hours while on board the ship. From October 19-23 inclusive, the respondent claimed regular pay for an ordinary 7 1 / 2 hour shift, pay at time and one-half for another 7' hours and double time pay for the remaining 8' hours of the day. In other words, he claimed wages for the entire 24 hour period spent aboard the ship each day (minus a one-half hour unpaid lunch break). In respect of October 24, the "first day of rest", he claimed 7' hours at time and one-half and 10 hours at double time, in accordance with subclause 22.09(b) of the group specific agreement.
The record reveals that, during the entire time spent at sea, the respondent was subject to the ship's standing orders, which dictated who could associate with whom on board. The orders also limited the time when recreation activities could be undertaken. The ship itself was a 230 foot research vessel, which was equipped with a modest gym and sauna, and a library. While on board, the respondent shared a cabin with another scientist. It should be noted that during the entire time on the ship, the respondent worked independently and was not expected to be "on call" to perform duties when requested.
On November 9, 1987, the respondent presented a grievance claiming compensation for all hours worked from 00.00 on October 19 to 18.00 on October 24, 1987 with the exception of a one-half hour period each day, representing his unpaid meal break. The grievance was not resolved and was eventually referred to adjudication on June 20, 1988. On July 5, 1989, the grievance was upheld and the respondent was found to be entitled to the entire overtime compensation which he claimed.
THE BOARD DECISION
After noting that there was no dispute as to the facts and pointing out that the respondent was not able to leave the ship during the period in question and that his range of activities was necessarily limited even when he was not performing assigned
tasks, the Board member stated that the facts in this case were not distinguishable from those of Falconer' and O'Leary and Humphreys' in which the grievors were found to be entitled to wages for the entire time spent at sea. The Board member then quoted with approval an extract from the Falconer decision which concluded:
In light of all the evidence, it is my conclusion that the Grievors were at work during the relevant period. At the end of the work day, the Grievor were not able to leave the work site, go home and be with friends or family. Any plans or commitments they had made for their free time were, perforce, cancelled. Although the Grievors were able to relax, or eat and sleep on ship, they suffered a serious disruption to their daily routine as a result of the decision to keep the ship at sea, the decision which was made presumably for the benefit of the Employer's operations. 4 [Emphasis added.]
I think it important to emphasize that the grievors in the Falconer and O'Leary and Humphreys cases were on a ship working when they were told late in the day the ship would be staying out all night and the issue was whether they were at work for the entire time at sea. This is not exactly the issue in dispute herein a point to which I shall return below.
On the facts of this case, the Board member noted that the Tully was neither the Queen Mary nor the Love Boat and available leisure activities were limited physically and by the ship's standing orders. In view of the severe restrictions on the respondent's freedom and mobility, the Board con cluded he was "at work" for the entire period he spent on the ship and was therefore entitled to claim overtime compensation for virtually all the
2 Falconer and O'Leary and Treasury Board (1986), 9 PSSRB Decisions 30, June 19, 1986, 166-2-15281 and No. 166-2-15336; upheld, sub. nom. Canada v. Falconer, A-417-86, Heald J.A., judgment dated 27/ 2 / 8 7, F.C.A., not reported.
J O'Leary and Humphreys and Treasury Board (1986), 9 PSSRB Decision 25, June 19, 1986, 166-2-15198 and No. 166-2-15199, upheld Federal Court of Appeal, February 27, 1987, sub. nom. Canada v. Falconer, A-416-86, Heald J.A., not reported.
4 Casebook, p. 134.
time spent at sea in accordance with clause 22.09 of the group specific agreement.
The Board member also held that Article M-28 of the Master Agreement dealing with "Travelling Time" had no application in the context of this case and in that connection referred to reasons given in the Duggan' adjudication and the Apesland 6 decision of this Court which accepted the Duggan adjudication as correctly decided.'
The applicant argues that the Board member erred in failing to apply clause M-28.05 of Article M-28 of the Master Agreement to limit the amount of compensation payable to the respon dent. It is argued that this clause provides the scheme of payment where an employee travels by any type of transport which serves as his or her living quarters. As the ship was a type of transport that served as the respondent's living quarters, clause M-28.05 came into play and by its terms, the respondent is entitled to the greater of regular pay for the day and pay for actual hours worked. Because the respondent did not perform duties amounting to more than his ordinary 7' hour shift on any day, he is entitled to no more than his regular pay for each day.
The relevant provisions of Article M-28 of the Master Agreement merit reproduction in full:
ARTICLE M-28
TRAVELLING TIME
M-28.01 For the purposes of this Agreement, travelling time is compensated for only in the circumstances and to the extent provided for in this Article.
M-28.02 When an employee is required to travel outside his headquarters area on government business, as these expressions are defined by the Employer, the time of departure and the means of such travel shall be determined by the Employer and the employee will be compensated for travel time in accordance with clauses M-28.03 and M-28.04. Travelling time shall include time necessarily spent at each stop-over enroute pro vided such stop-over is not longer than three (3) Hours.
5 Duggan and Treasury Board (1985), 8 PSSRB Decisions 44, September 3, 1985 166-2-15033.
6 Apesland v. Canada, Federal Court of Appeal, May 24, 1988 (Court File No. A-669-87) Mahoney J.A., not reported.
7 Reasons for Judgment of the Court, idem at p. 1.
M-28.03 For the purposes of clauses M-28.02 and M-28.04, the travelling time for which an employee shall be compensated is as follows:
For travel by public transportation, the time between the scheduled time of departure and the time of arrival at a destination, including the normal travel time to the point of departure, as determined by the Employer,
For travel by private means of transportation, the normal time is determined by the Employer, to proceed from the employee's place of residence or work place, as applicable, direct to his destination and, upon his return, direct back to his residence or work place.
In the event that an alternate time of departure and/or means of travel is requested by the employee, the Employer may authorize such alternate arrangements, in which case compen sation for travelling time shall not exceed that which would have been payable under the Employer's original determina tion.
M-28.04 If an employee is required to travel as set forth in clauses M-28.02 and M-28-03:
(a) On a normal working day on which he travels but does not work, the employee shall receive his regular pay for the day.
(b) On a normal working day on which he travels and works, the employee shall be paid:
(i) his regular pay for the day for a combined period of travel and work not exceeding his regular scheduled working hours,
and
(ii) at the applicable overtime rate for additional travel time in excess of his regularly scheduled hours of work and travel, with a maximum payment for such additional travel time not to exceed eight (8) hours' pay at the straight-time rate of pay.
(c) on a day of rest or on a designated paid holiday, the employee shall be paid at the applicable overtime rate for hours travelled to a maximum of (8) hours' pay at the straight-time rate of pay.
M-28.05 This Article does not apply to an employee when he travels by any type of transport in which he is required to perform work and/or which also serves as his living quarters during a tour of duty. In such circumstances, the employee shall receive the greater of:
(a) on a normal working day, his regular pay for the day,
or
(b) pay for actual hours worked in accordance with Article M-20, Designated Paid Holidays and the overtime provi sions of the relevant Group Specific Agreement.
M-28.06 Compensation under this Article shall not be paid for travel time to courses, training sessions, conferences and semi nars, unless the employee is required to attend by the Employer.
DISCUSSION
At the outset, I should like to mention that it has been recognized by this Court that "work" can involve what has been called "captive time" or time that normally would be non-working such as sleeping, or waiting for an airplane and the like. 8 I do not find it necessary to review this jurispru dence or comment further on whether the deci sions were correctly decided because, for the rea sons that follow, I agree with the applicant's position that the Board member failed to apply the provision of clause M-28.05 herein and thereby committed a reviewable error. 9
Clause M-28.05 appears to me to govern pre cisely the type of situation at issue in this case. Article M-28 prescribes special provisions for paying an employee less than the full overtime rate in cases where the employee is required to travel to a work site, but where he or she does not perform any work while so travelling. Clause M-28.05 is a special exception to this "travelling time" payment scheme by providing that employees are to be paid their ordinary rates of pay, including overtime rates, where work is performed in the course of travelling or where the means of transport serves as the employee's living quarters during a tour of duty.
When the Board member states that Article M-28 of the Master Agreement has no application in the context of this case and refers in this respect to the Duggan and Apesland decisions, he appears to have misunderstood their effect. 1 ' In the instant case, the applicant argues not that all of Article M-28 relating to travelling time applies but rather that the exception to Article M-28, namely clause M-28.05, applies. This is exactly the result obtained in Duggan and Apesland albeit with slightly different wording in the corresponding provisions of the applicable collective agreement.
it See e.g. Falconer, O'Leary and Humphreys, supra, notes 2, 3.
9 See e.g. Osmack v. Canada, Federal Court of Appeal, Iacobucci C.J., September 21, 1989 (Court File No. A-51-89) not yet reported.
10 See Reasons of the Board, Casebook, p. 136.
In Apesland, Mahoney J.A. stated that:
The application of Article 28 of the Collective Agreement is excluded by clause 28.06 [the equivalent to clause M-28.05 herein]."
In other words, he held that clause M-28.06 pre vailed in preference to the terms of Article M-28 dealing with travelling time generally. Here, the Board member appears to have understood Apes- land to mean that all of Article M-28, including clause M-28.05, was inapplicable. This is not what Mahoney J.A. said in Apesland nor what the adjudicator said in Duggan, which was, as already mentioned, expressly accepted by Mahoney J.A. as correct.
Having concluded that clause M-28.05 of the Master Agreement applies, it now remains to decide its meaning. The clause stipulates that an employee is to receive the greater of his or her regular pay for the day and pay for "actual hours worked". The question then arises: What are actual hours worked? Do such hours mean time during which work related duties were actually performed or is the wording broad enough to include, as counsel for the respondent urged, all hours when an employee is "captive" on a ship, including sleep and leisure time?
Counsel for the respondent argued that the deci sions in Falconer and O'Leary and Humphreys are of controlling force in this respect but I have doubts about that proposition. Neither case referred specifically to a provision comparable to clause M-28.05 and it is speculative to conclude whether there was such a clause or what it con tained. Moreover, what was at issue in those cases was whether the entire time spent on a ship con stituted "work" and not whether time spent on the ship was "actual hours worked" within the mean ing of clause M-28.05. Consequently, I do not find those cases of much help.
Apesland, supra, note 6, at p. 1.
In Duggan and Apesland comparable provisions which allowed additional compensation for "actual hours worked" were applied but the facts were quite different from the case at bar. In Duggan, an immigration officer escorted a deportee from Nova Scotia to the Maine/New Brunswick border, spent the night in St. Stephen, N.B., and drove back to Halifax the next day. The employer agreed that the drive down with the deportee was "work", and the only question before the Board was whether the drive back was work or travel time, in which case Article M-28 would apply. The Board held that the drive back constituted "actual hours worked" and not mere travel time. In Duggan it was clear that the grievor was not sitting idle for any of the time claimed. In Apesland, the grievor escorted a prisoner to Minot, North Dakota, and claimed compensation for a period of several hours during which he simply waited for a return flight. This Court held that the wait, and the return trip, were actual hours worked and not mere travel time. While Apesland is perhaps closer to the facts in the instant case than Duggan, nonetheless, whatever idle time there was in Apesland was closely connected and on a continuum with the actual performance of work duties.
It seems to me that in looking at the language of clause M-28.05 and its context, the use of the adjective "actual" in the clause was intended to convey a meaning that described work in the normal sense of doing or engaging in the specific performance of duties. The clause's reference to living quarters implies that if an employee is within the terms of clause M-28.05 then only the time spent actually working will count for payment and that so-called "captive time" on the ship is not to be treated as actual hours worked. I believe this interpretation to be reasonable and in accord with what I believe was intended by the parties to the collective agreement.
I find it difficult to accept that the Master Agreement intended that an employee should be paid at the double overtime rate while he is allowed a full night's sleep for a number of con secutive nights on a voyage which was a part of his specified job description duties and for which he was advised well in advance.
Accordingly, I would allow the section 28 application, set aside the decision of the Public Service Staff Relations Board dated July 5, 1989, and refer the matter back to the Board for recon sideration on the basis that clause M-28.05 of the Master Agreement is applicable in the circum stances of this case.
MAHONEY J.A.: I agree. MARCEAU J.A.: I agree.
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