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A-481-79
Gerald Morin (Plaintiff) (Respondent)
v.
The Queen (Defendant) (Appellant)
Court of Appeal, Pratte and Le Dain JJ. and Hyde D.J.—Montreal, April 29 and May 2, 1980.
Public Service — Appeal from decision of Trial Division wherein it was held that a declaration by the Deputy Minister re employee's abandonment of position pursuant to s. 27 of the Public Service Employment Act was invalid — Trial Judge concluded that the s. 27 power was improperly exercised for reasons relating to one of three conditions set out in the section, namely the Deputy Minister's opinion that the reasons for the employee's absence were within his control — Whether the Trial Judge erred in his decision — Appeal allowed — Public Service Employment Act, R.S.C. 1970, c. P-32, s. 27.
Respondent was an employee of the federal government when his employment was ended pursuant to section 27 of the Public Service Employment Act, as the Deputy Minister had declared that he had abandoned his position. This is an appeal from the decision of the Trial Division wherein it was held that the declaration of abandonment was invalid. Section 27 gives a deputy minister the power to declare that an employee has abandoned his position if the employee has been absent from work for one week or more, if the deputy head is of the opinion that the reasons for the absence were within the employee's control and if the deputy head has notified the Commission in writing that the employee has abandoned his position. The Trial Judge considered the first and last of these three condi tions had been established. He concluded that the Deputy Minister had not properly exercised the power under section 27 for reasons relating to the second condition, namely the opinion of the deputy head that the employee had been absent from work for reasons which were within his control. The issue is whether the decision of the Trial Judge was correct.
Held, the appeal is allowed. The decision of the Trial Judge is incorrect as it appears to rest on errors both in law and in assessment of the facts. There is nothing in the evidence that can be a basis for concluding that the Deputy Minister acted in bad faith nor to support the assertion that respondent was "at the end of his tether" and could not report to work on that account. The Trial Judge appears to have considered that the Deputy Minister exercises a discretionary power by formulating an opinion on the employee's reasons for absence. This is incorrect: section 27 confers on the Deputy Minister the power to declare that an employee has abandoned his position. The Deputy Minister's opinion on the causes for his subordinate's absence is only one pre-condition necessary for the exercise of this power. Administrative powers must be exercised in accord ance with a procedure, which is in conformity with the law and with justice. The only question for determination by the Trial
Judge was as to whether the Deputy Minister had exercised his power in accordance with the requirements of section 27 and the general principles of administrative law. The respondent had been warned of the Deputy Minister's intention to exercise his power under section 27, and was required to indicate the reasons for his absence. If respondent chose not to reply, he has only himself to blame. The provisions of section 27 do not require that the Deputy Minister should know all the reasons for his subordinate's absence; and there is no principle of law on the basis of which the exercise of the Deputy Minister's power can be made subject to such a condition. Counsel for the respondent argued that the evidence produced at trial does not conclusively demonstrate that the Deputy Minister ever sent to the Commission the document mentioned in section 27. Respondent asked the Court to cancel the declaration of aban donment. In order to succeed, he had to establish either that this declaration had not been made or that it had not been sent in accordance with law. That was not proven.
APPEAL. COUNSEL:
J. M. Aubry and J. M. Mabbutt for (defend- ant) (appellant).
L. Caron for (plaintiff) (respondent). SOLICITORS:
Deputy Attorney General of Canada for (defendant) (appellant).
L. Caron, Quebec City, for (plaintiff) (respondent).
The following is the English version of the reasons for judgment delivered orally by
PRATTE J.: Respondent was an employee of the Department of Public Works in Ottawa when he was told, on September 29, 1975, that his employ ment had ended pursuant to section 27 of the Public Service Employment Act, R.S.C. 1970, c. P-32,' as the Deputy Minister of Public Works had declared, in the manner provided for in that section, that he had abandoned his position. This appeal is against the decision of the Trial Division [[1979] 2 F.C. 642], which allowed an action
' This provision reads as follows:
27. An employee who is absent from duty for a period of one week or more, otherwise than for reasons over which, in the opinion of the deputy head, the employee has no control or otherwise than as authorized or provided for by or under the authority of an Act of Parliament, may by an appropriate instrument in writing to the Commission be declared by the deputy head to have abandoned the position he occupied, and thereupon the employee ceases to be an employee.
brought by respondent against Her Majesty, and held that the declaration of the Deputy Minister that respondent had abandoned his position was invalid, that respondent still occupied his position and that he was entitled to the salary and other monetary benefits of which he had been deprived as a result of the Deputy Minister's declaration.
Respondent began work for the Department of Public Works in 1970, first in Ottawa and then in Montreal. After a certain time, an atmosphere of hostility arose between respondent and his superior in Montreal, a Mr. Laurendeau. Respondent believed he had reason to complain of Laurendeau and the latter appeared to have a grudge against his subordinate. In 1975, as a result of unfavour able reports made by Laurendeau, the Deputy Minister of Public Works recommended to the Public Service Commission that it dismiss respondent for incompetence pursuant to section 31 of the Public Service Employment Act. Respondent appealed from this recommendation, as he was entitled to do under subsection 31(3), and the Board hearing his case allowed his appeal. As a consequence of this decision in respondent's favour, the administrators of the Department decided to transfer him to Ottawa. On July 30, 1975 they wrote to tell him of this decision; a few weeks later he began work in Ottawa.
On September 17, 1975 respondent's immediate superior in Ottawa, a Mr. Légaré, wrote him to tell him that he had been absent from work with out leave on September 16, and to ask him not to do so again in future.
On September 26, as the result of fresh unau thorized absences by respondent, Mr. Légaré wrote him again to the same effect.
After September 29, respondent no longer reported to work. It would appear that he sought by this means to protest against his transfer to Ottawa, which he regarded as unlawful and unjus tified, and against the harassment by his immedi ate superiors of which he alleged he was the victim. On October 16, Mr. Légaré wrote him to tell him that it was not possible to comply with his wish for another transfer to a position in Montreal, to ask him for reasons for his absence since Sep- tember 30, and finally, to warn him that if he did not return to work before October 23 he would be
regarded as having abandoned his position. Respondent took no action as a result of this letter. He did not attempt to explain his absence and did not return to work. However, he telegraphed the Deputy Minister to ask that he be given back his position in Montreal. In view of this, the Executive Secretary of the Department wrote respondent on October 29 to tell him that as of that date the Deputy Minister had exercised the power con ferred on him by section 27 and declared that he had abandoned his position.
Respondent appears to have first submitted a grievance against this decision by the Deputy Min ister. As this grievance was dismissed, on Decem- ber 5, 1977 he instituted against appellant the action allowed by the Trial Division. In his state ment of claim, respondent stated that from the start of his employment he had been a victim of injustice, harassment, and wrongful and malicious acts by appellant's servants; specifically, he alleged that his transfer from Montreal to Ottawa was unjustified, unlawful and void, and that he accord ingly still held his position in Montreal; he further alleged that, after his transfer, he continued to be a victim of harassment, injustice and unlawful disciplinary action; finally, he stated that all these unlawful acts had caused him considerable injury, for which he claimed compensation. He concluded by asking the Court to cancel his transfer to Ottawa, and to vacate "any instrument which may be contrary to the rights of plaintiff ... or impede plaintiff's return to his position in the Department of Public Works in Montreal", and asking that appellant be ordered to reinstate him in his duties and to compensate him for the injury sustained.
The Trial Division allowed this action. Its judg ment [at page 650] reads as follows:
. I find that the declaration that the position had been abandoned was not validly made, and that plaintiff has not ceased to occupy his position since September 30, 1975, that he still occupies it and that he is entitled to all wages, wage increases and fringe benefits as if there had never been an alleged abandonment of the position, and to interest on these amounts from the date on which each was due.
If the parties cannot agree on the amount of the wages, wage increases, fringe benefits and damages to which plaintiff is entitled with interest, the Court shall determine the amount thereof.
The action is allowed with costs.
Two preliminary observations may be made. The first is that it is surprising that the Trial Judge, who had before him an action seeking primarily a declaration that the decision of respondent's superiors to transfer him from Mon- treal to Ottawa was unlawful, nowhere ruled on this point, giving a decision simply on the legality of the declaration of abandonment of position, which was not even expressly alleged in the state ment of claim. The second observation prompted by the judgment concerns the Judge's refusal to decide immediately the amount owed to respond ent. When the Trial Division has before it an action for damages, the Judge in rendering judg ment must (except for cases covered by Rule 480 and those in which the parties expressly consent to some other procedure) arrive at a decision not only as to defendant's liability but as to the amount of damages owed as well; the Judge may not simply decide part of the action which the parties have submitted to him. I should at once point out that these two irregularities are of no great significance in the circumstances. Only respondent would have any reason to complain of them, and his counsel expressly assured the Court at the hearing that he was entirely satisfied with the Trial Judge's deci sion, which held that it was not necessary to determine the quantum of the damages, and which correctly interpreted his action as being directed primarily, if not exclusively, against the declara tion of abandonment of position dated October 29, 1975.
Was the Trial Judge correct in deciding that the Deputy Minister improperly exercised the power conferred on him by section 27, and that respond ent accordingly had not lost his employment as a result of the declaration of abandonment of posi tion dated October 29, 1975? This is the funda mental question presented by this appeal.
Section 27 provides that a public servant loses his position and ceases to be employed when the following three conditions are all present:
(1) the employee has been absent from work for a period of one week or more;
(2) the deputy head is of the opinion that the reasons for this absence were within the employee's control; and
(3) the deputy head has sent the Commission an instrument in writing stating that the employée has abandoned the position he occupied.
The Trial Judge had to determine whether, in the case at bar, these three conditions were all present. It appears from the reasons he gave in support of his decision that he considered that the existence of the first and last of the three condi tions had been established. He held that respond ent had been absent from his work for over a week, and that the Deputy Minister had submitted to the Commission the written declaration required by section 27. If despite this he concluded that respondent had not lost his position, he did so for reasons relating to the second condition mentioned in section 27, namely the opinion of the Deputy Head that the employee had been absent from work for reasons which were within his control. The grounds given in the judgment a quo are not easy to summarize. As I understand them, these grounds are essentially contained in the following propositions, which I take for the most part from the Trial Judge's reasons for judgment:
1. "In essence, the issue is whether the facts established ... allowed the Deputy Minister of Public Works to exercise fairly, equitably and reasonably the discretion he is given under sec tion 27 of the Public Service Employment Act, R.S.C. 1970, c. P-32, to determine whether the reasons for plaintiff's absence were beyond his control .. "•
2. "... the Deputy Minister cannot rely on this section [section 27] if he does not know all the reasons for the employee's absence .... If the Deputy Minister exercises his discretion without knowing all the reasons for the absence, it cannot be said that this discretion has been exercised fairly, equitably and reasonably";
3. in the case at bar, the Deputy Minister based his opinion on the information which had been given to him by his subordinates, who were respondent's immediate superiors: "... the Deputy Minister did not feel he should himself ask plaintiff the reasons for his absence. If a Deputy Minister does not make inquiries of the employee as well as of his superiors, I cannot really believe that he is able and in a position to
exercise his discretion fairly, equitably and rea sonably .. "•
4. the evidence established that, as a result of the harassment he had suffered, plaintiff was "at the end of his tether" and, accordingly, his absence was not within his control; the Deputy Minister was not aware of all these facts, and so was unable to validly exercise the discretion conferred on him by section 27;
5. resort was had to section 27 as a "device" to get rid of respondent, after having unsuccessful ly tried to dismiss him for incompetence.
On the basis of these considerations the Trial Judge concluded that the Deputy Minister had not, in the case at bar, properly exercised the power conferred on him by section 27.
In my view this decision is incorrect. It appears to rest on errors both in law and in assessment of the facts.
First, assessment of the facts: I see nothing in the evidence that can be a basis for concluding that the Deputy Minister acted here with bad faith, as suggested by the word "device" used by the Trial Judge. Nor do I find anything in the evidence to support the assertion that respondent was a victim of so many injustices and such harassment that he was "at the end of his tether" and could not report to work on that account. The findings of the Trial Judge in this regard seem to be inaccurate; in my view, the evidence shows clearly that respondent deliberately failed to report to his employment as a protest, primarily against his transfer from Montreal to Ottawa.
I now turn to the law.
The Trial Judge appears to have considered that the Deputy Minister exercises a discretionary power by formulating an opinion on the employee's reasons for absence. This is incorrect: section 27 confers on the Deputy Minister the power to declare that an employee has abandoned his posi tion. The Deputy Minister's opinion on the causes for his subordinate's absence is only one pre-condi tion necessary for the exercise of this power.
The Trial Judge apparently based his decision primarily on the principle that a discretionary
power must be exercised fairly and equitably. To the extent that it exists, this principle means only that administrative powers must be exercised in a manner, that is to say in accordance with a proce dure, which is in conformity with the law and with justice; it does not mean that an administrative power is improperly exercised solely because the result of its exercise is to create a situation which the Judge finds to be unfair. The only question for determination by the Trial Judge was, therefore, as to whether the Deputy Minister had exercised his power in accordance with the requirements of section 27 and the general principles of adminis trative law.
The Trial Judge appears to have considered that the Deputy Minister could not exercise the section 27 power without having first inquired from his employee as to the causes for his absence. It is not necessary to examine the merits or otherwise of this proposition here as, in the case at bar, respondent had been warned of the Deputy Minis ter's intention to exercise his power under section 27, and required, by the letter sent to him on October 16 by Mr. Légaré, to indicate the reasons for his absence. If respondent chose not to reply to this letter because he was challenging the author ity of the person writing it, he has only himself to blame, and his silence certainly cannot invalidate the otherwise legally undertaken action of the Deputy Minister.
Finally, the provisions of section 27 do not require that the Deputy Minister, before validly exercising his power, should know all the reasons for his subordinate's absence; and I know of no principle of law on the basis of which the exercise of the Deputy Minister's power can be made sub ject to such a condition. If it were otherwise, an employee could at any time, by concealing the reasons for his absence from his superiors, prevent his employment being terminated under section 27.
In my view the Trial Judge's reasons are without foundation.
Counsel for the respondent, however, put for ward another argument which, in her opinion, might be a basis for the Trial Division's judgment, namely that the evidence presented at the trial does not conclusively demonstrate that the Deputy
Minister ever sent to the Commission the docu ment mentioned in section 27. If this document was not sent to the Commission, counsel for the respondent contended, the Deputy Minister did not validly exercise his power and it follows that the judgment a quo is correct.
I am not persuaded by this argument. In his action, respondent asked the Court to cancel the declaration of abandonment of position made pur suant to section 27. In order to succeed, he had to establish either that this declaration had not been made or that it had not been sent in accordance with law. That was not proven. The mere fact that we do not know whether the document referred to in section 27 was sent to the Commission is not a basis for concluding that the document was not thus sent.
For these reasons, I would allow the appeal with costs, set aside the judgment a quo and dismiss the action of respondent with costs.
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LE DAIN J. concurred.
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HYDE D.J. concurred.
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