The union filed a complaint alleging the employer breached its duty to bargain in good faith when its Board of Directors refused to ratify a tentative collective agreement.
The union argued the employer's negotiating team had apparent authority to bind the corporation.
The Ontario Labour Relations Board found that the union knew the agreement was subject to ratification, so there was no apparent authority.
The Board also found the employer's refusal to ratify was justified by a sudden change in financial circumstances.
However, the Board held that the employer breached its duty to bargain in good faith by failing to provide its negotiating team with an adequate mandate during bargaining.
The employer was ordered to develop an unconditional proposal and return to the bargaining table.
