Board declares division of amalgamated corporation as successor employer to preserve, not extend, union bargaining rights.
The applicant union sought a declaration under section 63 or section 1(4) of the Labour Relations Act that Banister Continental Ltd. was a successor or single employer following its amalgamation with Pitts Engineering Construction Limited.
The union argued this was necessary to protect its bargaining rights from future non-union spin-offs.
The respondents argued that declaring the parent company the successor would improperly expand the union's bargaining rights to other divisions.
The Board held that the purpose of sections 1(4) and 63 is to preserve, not extend, bargaining rights.
The Board declared that Pitts Engineering Construction, a division of Banister Continental Ltd., is the successor employer.