The applicant union referred a grievance to the Ontario Labour Relations Board under section 124 of the Labour Relations Act, alleging that the respondent employer violated the Painters' Provincial Agreement by subcontracting painting work to non-union subcontractors.
The employer raised preliminary objections based on res judicata and issue estoppel, arguing that a previous grievance referral had been dismissed.
The Board dismissed the preliminary objections, finding that the previous dismissal was not an adjudication on the merits.
On the main issue, the Board held that a 1967 Working Agreement between the employer and the Toronto Building and Construction Trades Council constituted a valid voluntary recognition agreement that created bargaining rights for all affiliated unions, including the applicant.
Consequently, the employer was bound by the Painters' Provincial Agreement and violated it by subcontracting to non-union employers.
The Board ordered the employer to cease and desist and to pay damages.