Martin and Treasury Board (Transport Canada)

Full Text

166-2-28191
Martin and Treasury Board (Transport Canada)

Before: M-M. Galipeau
Appearances: P. Barnacle, for the Grievor; H. Newman, for the Employer
Decision rendered: October 29, 1998

Severance pay - Air traffic controller - Effect of having received severance pay from Canadian Armed Forces prior to joining the federal Public Service - Estoppel - upon leaving the Canadian Armed Forces (CAF) after 19 years of service to join the federal Public Service, grievor received severance pay from the CAF at half the rate provided for under the relevant provision of the collective agreement in the Public Service because he had less than 20 years service in the CAF - prior to and after joining the Public Service grievor and others in the same position had been told by the employer that, upon leaving the Public Service, they would be entitled to severance pay for their years of employment in the CAF equal to the difference between the rate provided for in the Public Service and what they had received from the CAF - collective agreement provided for the counting of immediately-prior service in the CAF for purposes of continuous employment in certain circumstances - subsequently, employer claimed that pursuant to the wording of the collective agreement the fact that the grievor had already received severance benefits for his years of service in the CAF precluded his receiving any more for those years of service upon leaving the federal Public Service - adjudicator rejected employer's interpretation of the collective agreement and found that grievor was entitled to severance benefits for his years of service in the CAF to the extent that what he had received on leaving the CAF was less than what he would have been entitled to under the collective agreement - in any case adjudicator found that employer was estopped from denying the grievor the severance benefits which he claimed in light of the assurances which employer had given grievor prior to his commencing employment in the federal Public Service.

Grievance allowed.

Cases cited:  Goodine (166-2-15874); Goodine v. Canada (Treasury Board) (Fed. C.A.) Court file A-741-86.