The union referred a grievance to the Ontario Labour Relations Board regarding the employer's construction activities.
The employer raised a constitutional issue, arguing that bank construction falls under federal jurisdiction, and alternatively argued that the union had abandoned its bargaining rights or was estopped from asserting them due to years of inactivity.
The Board found the constitutional issue was res judicata and that construction of a bank is not integral to the core banking function, thus falling under provincial jurisdiction.
The Board held that the union had not abandoned its bargaining rights, as the employer had largely used union forces.
However, the Board found the union was estopped from enforcing the sub-contracting provisions of the collective agreement due to its 15-year silence, but held that the estoppel would end with the issuance of this decision.
The grievance was dismissed.