The appellant hospital terminated the grievor's employment after a three-year absence due to illness, relying on an automatic termination clause in the collective agreement.
The union grieved the termination, arguing the employer failed in its duty to accommodate.
The arbitrator dismissed the grievance, finding the employer had accommodated the grievor beyond the collective agreement's requirements and that she remained totally disabled.
The Supreme Court of Canada allowed the appeal, holding that while a collective agreement cannot contract out of human rights legislation, a negotiated termination clause is a significant factor in assessing the employer's duty to accommodate and undue hardship.