The union referred construction industry grievances to arbitration, arguing that a cross-over clause in the sewer and watermain collective agreement bound the responding employer to pay union rates for road building work.
The employer, who was not a member of the accredited employers' organization, argued that the organization's bargaining authority was limited to the sewer and watermain sector.
The Board held that the statutory accreditation scheme is based on sectoral bargaining and does not impose rights by operation of law beyond the specified sector.
Therefore, the cross-over clause did not apply to the non-member employer in the road building sector.