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FMC Involved in Landmark Ruling in Construction Industry
February 15 2008 - Montréal
Two fundamental decisions establish new landmark ruling for application of regulations in the construction industry
Two major decisions concerning the application of labour relations regulations to production machinery and the power of the Commission de la construction du Québec (CCQ) to suspend work were recently handed down by the Commissaire de l’industrie de la construction. These decisions, which required more than 75 days of hearings, including numerous testimonies from principals, trade contractors, workers, and expert witnesses, have for the first time established landmark ruling for the application to production machinery of the provisions of the Regulation(1) adopted in 2003.
In April and May 2005, Domtar Inc. and Falconbridge Ltd. carried out planned production stoppages at their plants in Windsor and Rouyn-Noranda, respectively, in order to do maintenance work on their production equipment. Believing that this work was not subject to the Regulation, Domtar and Falconbridge retained trade contractors whose manpower, for the most part, consisted of several hundred non-construction workers.
The CCQ, claiming that the work was subject to the Regulation, demanded that construction workers be hired and suspended the maintenance work. Domtar and Falconbridge then appealed to the Commissaire de l’industrie de la construction to stay the suspension orders, rule on their legality, and declare the work not subject to the Regulation.
Decisions rendered by the Commissaire de l’industrie de la construction
In their decision, the commissioners annulled the suspension orders issued by the CCQ and declared that the installation and repair work being done during production stoppages in April and May 2005 was not construction work in the meaning of the Regulation.
The commissioners deemed that the CCQ had acted in haste and did not really know whether the work was subject to the Regulation. The CCQ position on application of the Regulation was unfounded and did not respect the principles of natural justice and procedural fairness embodied in the Act respecting labour relations, vocational training and manpower management in the construction industry (R,S.Q. chapter R-20).
The commissioners furthermore concluded that the site mechanic, welder, pipe fitter, electrician, and carpenter trades did not constitute occupational specialties that are found mainly in the construction industry, and in consequence, none of the work carried out during the production stoppages of April and May 2005 was construction work in the meaning of the Regulation.
These decisions affect all principals and trade contractors because, for the first time, they interpret the provisions of the Regulation adopted in 2003 and its application to production machinery, and establish the framework within which the CCQ may exercise its power to suspend work.
These files have been handled for Domtar and Falconbridge by a legal team led by Yves Turgeon of Fraser Milner Casgrain LLP accompanied by Nicholas Sénéchal and Nicolas Courcy. Mr. Turgeon and his team advise the principals and contractors in all matters regarding application of Bill R-20 and the Act Respecting Collective Agreement Decrees, and represent them to civil, penal, and administrative bodies with respect to the interpretation and application of laws, regulations, and sector-based collective agreements.
(1) Regulation respecting the application of the Act respecting labour relations, vocational training and manpower management in the construction industry (R.R.Q. chapter R-20, r.1) adopted March 27, 2003
- Commissaire de l'industrie de la construction, File: FC-600-002867, Decision: 2867C,
January 31, 2008 (in French only) [PDF, 84 Ko]
- Commissaire de l'industrie de la construction, File: FC-450-002855, Decision: 2855C,
February 1st, 2008 (in French only) [PDF, 396 Ko]
For further information, please contact:
Yves Turgeon
Fraser Milner Casgrain
(514) 878-8839
yves.turgeon@fmc-law.com
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