The union brought applications alleging unfair labour practices, an unlawful lock-out, and seeking declarations of a sale of business and related employer status following the bankruptcy and subsequent sale of Vulcan Packaging Inc. to a purchasing group.
The Board found that a sale of business had occurred and that the entities constituted a single employer, meaning the collective agreement continued to bind the purchasers.
However, the Board dismissed the unfair labour practice complaints, finding no breach in the employer's failure to disclose financial difficulties during prior negotiations, the issuance of Records of Employment, or the signing of a side agreement requiring wage concessions.
The Board also declined to issue cease and desist relief regarding the alleged unlawful lock-out, concluding that it made labour relations sense to permit continued negotiations over concessions necessary for the plant's economic viability.