Keeprite Workers’ Independent Union v. National Refrigeration & Air Conditioning Canada Corp.
0616-01-R Keeprite Workers’ Independent Union, Applicant v. National Refrigeration & Air Conditioning Canada Corp. and National Refrigeration & Air Conditioning Products Inc., Responding Parties.
BEFORE: Harry Freedman, Vice-Chair, and Board Members G. Pickell and A. Haward.
DECISION OF THE BOARD; July 3, 2001
1This is an application for declaratory relief under sections 69 and 1(4) of the Labour Relations Act, 1995, S.O. 1995, c. 1 as amended.
2The responding parties in their response agreed to the material facts set out in the application, as follows:
The Applicant has been recognized as the exclusive bargaining agent of the employees of National Refrigeration & Air Conditioning Products Inc. (“NRAC”) since at least 1961. Since that time, the Applicant and NRAC have negotiated the terms and conditions of employment for NRAC employees and have concluded a series of collective agreements, the most recent of which has a term of October 1, 1999 to and inclusive of September 30, 2002.
On or about December 29, 2000, Mr. Dave Teeter, the President of NRAC advised the Applicant in writing that it intended to sell the business and assets of its Keeprite Refrigeration Division to a wholly owned subsidiary effective as of December 31, 2000. Mr. Teeter advised that the sale was solely for the purpose of internal reorganization and that business would carry on as usual and in the ordinary course save and except for the change in company name. As of January 1, 2001 the company proposed to operate under the name Keeprite Refrigeration, a Division of National Refrigeration & Air Conditioning Products Canada Corp. (“NRAC Canada”).
NRAC Canada has in fact continued to operate in the same market and for the same customers as did NRAC.
On or about January 17, 2001 NRAC Canada entered into an agreement with the Applicant Union in respect of the continuity of bargaining rights following the sale of business from NRAC to NRAC Canada. In that agreement NRAC Canada agreed that it was the successor employer for the purposes of Section 69 of the Act and that it would continue to apply the existing collective agreement subject to any modifications as required due to the sale of business which were agreed to by both NRAC Canada and the Applicant.
NRAC Canada has in fact continued to acknowledge the Applicant as the exclusive bargaining agent of its employees and has applied the terms and conditions set out in the collective agreement dated November 5, 1999 between NRAC and the Applicant Union.
3The responding parties in their response also stated that they do not oppose the following declarations that the applicant requested the Board grant:
(a) A Declaration that a sale of a business from National Refrigeration & Air Conditioning Products Inc. to National Refrigeration & Air Conditioning Canada Corp. occurred on or about December 31, 2000;
(b) a Declaration that National Refrigeration & Air Conditioning Canada Corp. is the successor employer for the purpose of labour relations under Section 69 of the Act;
(c) a Declaration that National Refrigeration & Air Conditioning Canada Corp. is bound to the Collective Agreement dated November 5, 1999 between National Refrigeration & Air Conditioning Products Inc. and Keeprite Workers’ Independent Union;
4Therefore, having regard to the facts to which the parties are agreed, to the responding parties’ position that they are not opposed to the Board granting the declarations sought by the applicant and to the provisions of section 69 of the Labour Relations Act, 1995, S.O. 1995, c. 1, as amended., the Board hereby declares:
a) that a sale of a business from National Refrigeration & Air Conditioning Products Inc. to National Refrigeration & Air Conditioning Canada Corp. occurred on or about December 31, 2000;
b) that National Refrigeration & Air Conditioning Canada Corp. is the successor employer for the purposes of the Labour Relations Act, 1995, S.O. 1995, c. 1, as am. (the “Act” under section 69 of the Act;
c) that National Refrigeration & Air Conditioning Canada Corp. is bound to the collective agreement dated November 5, 1999 between National Refrigeration & Air Conditioning Products Inc. and the Keeprite Workers’ Independent Union;
5As this matter has been dealt with on the basis of the material filed, the Officer’s meeting that had been scheduled for July 10, 2001 is hereby cancelled.
“Harry Freedman”
for the Board