Ontario Judge Condemns WestJet’s Attempt to Include Gag Order in Settlement Offer

TOP STORY

Andrew Douglas says he was just fighting for compensation when he took WestJet to small claims court — instead, the dispute has resulted in what’s believed to be a landmark decision that can now be pointed to by all air travel passengers battling it out with the airlines. 

Ontario judge condemns WestJet’s attempt to include gag order in settlement offer

Decisions

  • Grievance, pension, discrimination – WestJet Encore v ALPA2025 CanLII 26425 (CA LA) Union policy grievance regarding 52-week cap on employer contributions to voluntary employee WestJet Savings Plan (“WSP”) during approved leaves of absence – WSP had matching RSP/TFSA program and matching cash savings program – union argued 52-week cap violated Canada Labour Code (“Code”) – Code requires accumulation of pension benefits during entire period of leave – also provides for up to 78 weeks for pregnancy and parental – union argued WSP was a “pension” and employees on pregnancy/parental leave therefore entitled to 78 weeks of employer contributions, not 52 – arbitrator found no basis for union argument – if Parliament wanted to include RSPs, TFSAs, and other savings vehicles or programs, would have done so – plain and ordinary meaning of “pension” does not include RSP, TFSA, or savings program – arbitrator rejected union’s argument that 52-week cap was discriminatory under Canadian Human Rights Act – no evidence presented to show that other leaves or absences were treated differently – grievance dismissed
  • Union activity, bulletin boards – Syndicat des travailleuses et travailleurs de Rolls-Royce Canada – CSN c. Rolls-Royce Canada limitée2025 QCTAT 1337 Claim that employer interfered with union activities by confiscating keys to bulletin boards made available to union, by cutting off power to television installed in one of the bulletin boards and by removing displays placed on bulletin board glass – employer argued that collective agreement required union to consult employer before displaying documents on bulletin boards, regardless of their nature, and that employer had right to accept or refuse – union argued language had to be understood in context of past practice where only documents concerning labour relations required employer approval before being displayed – Administrative Labour Tribunal concluded that employer’s good faith requirement that collective agreement be enforced based on what employer considered to be correct application of the collective agreement, especially in context of industrial peace, did not constitute interference – dispute regarding scope of collective agreement language on bulletin boards within exclusive jurisdiction of rights arbitrator to determine rights and obligations of each party – complaint dismissed
  • Accommodation, jurisdiction – Schaeffer v. Airbus Helicopters Canada Ltd2025 HRTO 758 Tribunal sought submissions regarding its jurisdiction to hear Application – helicopter manufacturer respondent argued that it was federally regulated – applicant argued a lack of evidence showing respondent’s relationship with federal government accounts for most of its business – also argued that issue of employer’s duty to accommodate person with a disability was appropriate for Tribunal to address – Tribunal noted Federal Court decision finding that respondent was federally regulated for all purposes, including labour and employment – Human Rights Code only applies to matters under provincial jurisdiction – Application dismissed 
  • Appeal, trust claims, airport improvement fees – Edmonton Regional Airports Authority v Lynx Air Holdings Corporation2025 ABCA 116 Lynx Air filed for protection under Companies’ Creditors Arrangement Act – various airport authorities claimed they had a trust claim over pre-filing airport improvement fees collected by Lynx Air under terms of common Memorandum of Agreement (“MOA”) – lower court found that MOA did not create trust relationship – airport authorities (“appellants”) appealed – Court of Appeal found no error by lower court – MOA expressly stated that parties did not intend to create trust relationship – test for implied trust not met – lower court reasonably exercised discretion in not imposing constructive trust – Lynx Air’s failure to remit fees breached contract, but was not breach of equitable obligation – no inequity in finding that fees paid to Greater Toronto Airports Authority (“GTAA”) were in trust while fees paid to appellants were not – contract between Lynx Air and GTAA included express trust language – appellants were sophisticated parties who could have protected themselves contractually – clear contractual terms should be respected – appeal dismissed
  • Appeal, dismissal, procedural delay – WestJet v ELS Marketing Inc2025 ABCA 115 Series of fixed-term contracts between appellants (collectively, “ELS”) and WestJet under which ELS administered cargo shipping using WestJet aircraft – WestJet sued in 2010, claiming damages in contract of $2,700,000 for ELS’s failure to remit cargo revenue – ELS counterclaimed, alleging that WestJet refused to honour parties’ renewal of contract – WestJet claim was resolved and ELS counterclaim was allowed to proceed in 2014 – judge dismissed ELS’s counterclaim in 2023 for prejudicial delay – ELS appealed – Court of Appeal found that judge did not err in finding inordinate delay – judge did not err in finding that ELS had not rebutted presumption of significant prejudice to WestJet due to delay – judge did not err in ordering dismissal instead of granting procedural order – judge noted significant prejudice to WestJet, including lost documents and faded memories – counterclaim still not ready for trial after 13 years – Court of Appeal also rejected ELS’s claim that judge’s reasons were insufficient – appeal dismissed

CIRB Decisions 

  • Bargaining unit order – Paladin Airport Security Services Ltd. – Order No. 12062-U

USW certified to be bargaining agent for bargaining unit comprising “all employees of Paladin Airport Security Services Ltd. engaged in security screening, including the screening of passengers, baggage, airport employees, non-passengers, vehicles and cargo, at the Kamloops Airport, Kamloops, British Columbia, excluding service delivery managers and those above the rank of service delivery manager”

  • Bargaining unit order – Paladin Airport Security Services Ltd. – Order No. 12063-U

USW certified to be bargaining agent for bargaining unit comprising “all employees of Paladin Airport Security Services Ltd. in the position of security contractor training representative or engaged in security screening, including the screening of passengers, baggage, airport employees, non-passengers, vehicles and cargo, at the Yellowknife Airport, Yellowknife, Northwest Territories, excluding managers and those above the rank of manager”

  • Bargaining unit order – Paladin Airport Security Services Ltd. – Order No. 12064-U

USW certified to be bargaining agent for bargaining unit comprising “all employees of Paladin Airport Security Services Ltd. engaged in security screening, including the screening of passengers, baggage, airport employees, non-passengers, vehicles and cargo, at the Abbotsford International Airport, Abbotsford, British Columbia, excluding service delivery managers and those above the rank of service delivery manager”

  • Bargaining unit order – Paladin Airport Security Services Ltd. – Order No. 12065-U

USW certified to be bargaining agent for bargaining unit comprising “all employees of Paladin Airport Security Services Ltd. engaged in security screening, including the screening of passengers, baggage, airport employees, non-passengers, vehicles and cargo, at the Thompson Airport, Thompson, Manitoba, excluding managers and those above the rank of manager”

  • Bargaining unit order – Paladin Airport Security Services Ltd. – Order No. 12066-U

USW certified to be bargaining agent for bargaining unit comprising “all employees of Paladin Airport Security Services Ltd. engaged in security screening, including the screening of passengers, baggage, airport employees, non-passengers, vehicles and cargo, at the Erik Nielsen Whitehorse International Airport, Whitehorse, Yukon, excluding service delivery managers and those above the rank of service delivery manager”

CTA News and Decisions  

  • Suspension – 9394-2985 Québec Inc. c.o.b. Altostrat’us (MC) – Order No. 2025-A-6

Licences 240000 and 240001

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TC/TSB News 

Industry Association News

Union News 

Airport News 

Rotary Operator News

General Aviation News

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