The International Brotherhood of Electrical Workers applied to the Canada Labour Relations Board for certification as the bargaining agent for employees of Alberta Government Telephones (AGT).
The Board assumed jurisdiction, finding AGT to be a federal undertaking and not immune from the Canada Labour Code.
The Federal Court of Appeal upheld this decision.
On appeal, the Supreme Court of Canada held that while AGT is an interprovincial undertaking within federal jurisdiction under s. 92(10)(a) of the Constitution Act, 1867, it is a provincial Crown agent and therefore immune from the Canada Labour Code.
The Court found no clear Parliamentary intention to bind the provincial Crown in the Code, and AGT did not waive its immunity by its conduct.