The applicant union brought an application under the Employment Standards Act claiming that the responding parties, who took over portions of the food services contract at Pearson International Airport from the predecessor employer, were successor employers liable for termination pay.
The responding parties argued that the building owner (GTAA) was a federal undertaking, rendering the provincial successor employer provisions inapplicable, and raised several other statutory defenses.
The Board held that the provincial law applied as it did not impair the federal undertaking, found that the responding parties were successor employers providing services to the building owner, and concluded that the employees were entitled to termination pay from the successors despite having received notice from the predecessor.