Union disputes calculation of retirement gratuities

'No group of employees should be entitled to greater amount': Arbitrator
|Canadian Labour Reporter|Last Updated: 06/20/2016

A GRIEVANCE concerning retirement gratuities for employees who work less than 10  months per year was dismissed recently. The Lincoln County Catholic School Board and Welland County Catholic School Board merged to become the employer. The collective agreement had provisions for the payment of a retirement gratuity to former employees of both boards.

The formula was: “50 per cent of their accumulated sick leave to a maximum of six (6) months earnings, based on the actual earnings at January 1, 1999.” In addition, the agreement stated: “It is understood that the Ontario Municipal Act limits a maximum payment of six (6) months’ salary.”