FGG Lawyers, Vancouver BC, Canada

Weyerhaeuser to Pay Severance and Human Rights Damages

USW v. Weyerhaeuser, 2009 BCHRT 328

 

The Union won a major victory for its members with this decision when the Human Rights Tribunal found that members who were on Long Term Disability were terminated mere months before a mill closed down because Weyerhaeuser wanted to avoid paying them the severance payments they were entitled to under the collective agreement.

 

The United Steel-Workers, Local 1-423, filed a representative complaint on behalf of four of its members, alleging that Weyerhaeuser discriminated against them with respect to their employment, on the basis of mental and physical disability, contrary to s. 13 of the Human Rights Code.

 

The members worked at the Okanagan Falls Mill and, in April 2007, each of them had been in receipt of LTD benefits for periods ranging from four months to approximately 13 years. On April 9, 2007, all of these members received a form letter advising them that their employment with Weyerhaeuser was terminated on the basis of non-culpable absenteeism, effective June 15, 2007.

 

On September 17, 2007, Weyerhaeuser announced the permanent closure of OK Falls, effective December 17, 2007. The collective agreement provided that severance pay would be paid to employees terminated because of a permanent closure. However, due to their termination on June 15, 2007, the four members on LTD were not employees and did not receive severance.

 

The Union alleged that Weyerhaeuser terminated the members’ employment to avoid paying them severance, and it thus discriminated against them. Weyerhaeuser essentially argued that this was a coincidence, as it was just implementing a new policy and the OK Falls managers were not aware of the closure at the time the members’ employment was terminated.

 

The Human Rights Tribunal agreed with the Union and declared that Weyerhaeuser’s conduct, in rushing to terminate the members’ employment before the closure of OK Falls and thus avoiding paying severance, was discrimination, contrary to s. 13 of the Code.

 

The Tribunal further made the following orders:

 

-          Pursuant to s. 37(2)(2)(i) Weyerhaeuser is ordered to reinstate the Members to the employment status they had as of the date of their termination, June 15, 2007, and to credit the Members with the seniority they would have earned from June 15, 2007 until December 17, 2007, when they would have been entitled to severance under the Collective Agreement.

 

-          Pursuant to s. 37(2)(d)(ii) Weyerhaeuser is ordered to pay to the Members severance calculated as per the Collective Agreement, using the seniority date established under the seniority order above.

 

-          Pursuant to s. 37(2)(d)(iii) Weyerhaeuser is ordered to pay award for injury to the dignity, feelings and self respect of Mr. W, the amount of $20,000.00; Mr. I, the amount of $16,000.00; Mr. C, the amount of $14,000.00; and Ms. S, the amount of $5,000.00.

 

-          Finally, Weyerhaeuser is ordered to pay pre-judgement interest in accordance with the Court Order Interest Act, R.S.B.C. 1996, c. 79 as amended, on the severance payments, running from December 17, 2007, and post-judgment interest on this and all other amounts ordered.

By Fiorillo Glavin Gordon Last updated: 25 February 2010, 22:13