Grievance dismissed; letter of intent did not mandate union consultation for non-union shop fabrication.
The union and the company both referred a grievance to the Board under section 124 of the Labour Relations Act.
The union alleged that the company violated a letter of intent incorporated into the collective agreement by subcontracting the fabrication of vessels to a non-union shop without prior consultation or justification.
The Board dismissed the grievance, finding that while the company ignored the spirit of the letter of intent, the letter only suggested, rather than mandated, that fabrication work be placed in union shops or discussed with the union if placed elsewhere.
MHG International Ltd. v. International Brotherhood of Boilermakers, Iron Shipbuilders, Blacksmiths, Forgers & Helpers, Local Union 128, 1982 CanLII 1022