The appellant employee's hours of work were gradually reduced when her department was reorganized and combined with another.
While her hours were reduced, junior staff from the other department were assigned tasks normally performed by her department.
A labour arbitration board allowed her grievance, finding the reduction in hours amounted to a constructive layoff in breach of the collective agreement.
The Court of Queen's Bench dismissed the employer's application for judicial review, but the Court of Appeal allowed it.
The Supreme Court of Canada allowed the appeal, holding that the arbitration board's decision was not patently unreasonable, as a significant reduction in hours where a particular employee is singled out may amount to a constructive layoff.