Judgments

Decision Information

Decision Content

T-361-81
Raymond Armand Perras (Plaintiff)
v.
The Queen (Defendant)
Trial Division, Cattanach J.—Ottawa, February 22 and March 11, 1982.
Public Service — Postal worker convicted of criminal offences while on sick leave — Sentenced to incarceration — Released from employment as incapable of performing duties — Public Service Commission Appeal Board holding release unreasonable — Position subsequently declared abandoned for absence not authorized by statute — Issues being whether employee absent for reasons over which he had no control or under authority of an Act of Parliament — Whether general duty of fairness owed — If so, was duty discharged — Discussion of the four conditions set out in s. 27, Public Service Employment Act which justify deputy head in declar ing position abandoned — Criminal Code authorized impris onment, not employee's absence from work — Statutes to be construed so as to avoid absurdity — Meaning of words "incompetent" and "incapable" — Conduct of deputy head in proceeding under s. 27 of the Act after avenue of s. 31 blocked by adverse Board decision not constituting breach of principle of administrative fairness — Employee denied declaration that employment relationship not severed or that employment unlawfully terminated — Public Service Employment Act, R.S.C. 1970, c. P-32, ss. 27, 31, 32(3).
Action for a declaration that the plaintiffs employment relationship was not severed and that the plaintiff continued to be an employee of the defendant; for a declaration that the defendant acted unlawfully in terminating the plaintiffs posi tion and for damages. The plaintiff was convicted of criminal offences and sentenced to 15 months in prison while he was employed by the Post Office. The plaintiff was subsequently released from his employment pursuant to section 31 of the Public Service Employment Act on the ground that he was incapable of performing his duties. The Public Service Com mission Appeal Board held that the defendant's decision to recommend the plaintiffs release from employment was unrea sonable and the plaintiffs appeal was allowed. Subsequently, without applying for judicial review of the Board's decision pursuant to section 28 of the Federal Court Act, the deputy head declared, pursuant to section 27 of the Public Service Employment Act, that the plaintiff had abandoned his position. The plaintiff contends that the deputy head was wrong in concluding that the reasons for the plaintiffs absence were within his control. The defendant submitted that the plaintiffs incarceration, which was the reason for the plaintiffs absence from work, was the direct consequence of his own wilful and voluntary acts by which he committed the offences of which he was convicted. The plaintiff also submits that the deputy head acted unfairly by not applying to the Federal Court to review and set aside the decision of the Appeal Board, and by exercis ing his discretion under section 27 instead. The issues are
whether the requirements set forth in section 27 as conditions precedent to invoking section 27 are present and whether the general duty of administrative fairness has been complied with.
Held, the action is dismissed. Section 27 provides that a public servant loses his position when the conditions specified therein are present. These conditions are fourfold. First the employee has been absent from work for a period of one week or more. This condition existed. Second is that the deputy head is of the opinion that the reasons for the employee's absence were under the employee's control. The third condition is that the employee's absence was not authorized or provided for by or under the authority of an Act of Parliament. The fourth condition is that the deputy head may send to the Commission an instrument in writing stating that the plaintiff has aban doned the position he occupied. This was done. The second and third conditions are alternative. If the employee's absence is not authorized or provided for by or under an Act of Parliament, then no exemption from an absence from duty is available to the plaintiff, and it is not necessary to determine whether the opinion of the deputy head was unsupported by evidence or whether he erred in reaching the conclusion he did by applying the wrong legal test. The Criminal Code, under the provisions of which the plaintiff was imprisoned, does not authorize nor purport to authorize the absence of the plaintiff from his employment. The plaintiff falls precisely within the four cor ners of section 27. The deputy head acted in precise conformity with the three conditions precedent. Section 27 expresses the procedural requirements that have been complied with from which it would follow that so too has been procedural fairness. The deputy head did not breach the principle of administrative fairness. The requisite conditions precedent to the operation of section 27 were present. That being so the deputy head exer cised the power conferred upon him by section 27 in strict accordance with the provisions of that section. Therefore it cannot be said that the administrative authority conferred upon the deputy head was improperly exercised by him or that he exercised that authority unreasonably.
Morin v. The Queen [1981] 1 F.C. 3, applied. Emms v. The Queen [1979] 2 S.C.R. 1148, varying [1977] 1 F.C. 101, applied. Bates v. Lord Hailsham of St. Marylebone [1972] 1 W.L.R. 1373, agreed with. Grey v. Pearson [1857] 6 H.L. Cas. 61, agreed with. Cinnamond v. British Airports Authority [1980] 2 All E.R. 368, agreed with. Martineau v. Matsqui Institution Disciplinary Board (No. 2) [1980] 1 S.C.R. 602, referred to. Nicholson v. Haldi- mand-Norfolk Regional Board of Commissioners of Police [1979] 1 S.C.R. 311, referred to. Inuit Tapirisat of Canada v. Léger [1979] 1 F.C. 710, referred to. Francis v. Municipal Councillors of Kuala Lumpur [1962] 3 All E.R. 633, referred to.
ACTION. COUNSEL:
John B. West for plaintiff.
E. A. Bowie, Q.C. and D. J. Rennie for
defendant.
SOLICITORS:
Perley-Robertson, Panet, Hill & McDougall, Ottawa, for plaintiff.
Deputy Attorney General of Canada for defendant.
The following are the reasons for judgment rendered in English by
CATTANACH J.: Prior to trial counsel for the parties agreed upon a statement of facts and issues dated December 10, 1981. It is expedient to reproduce that agreement:
AGREED STATEMENT OF FACTS
For the purpose of facilitating the disposition of this action the parties have agreed on the following facts. It is agreed that neither party is precluded by this Agreement from adducing evidence not inconsistent therewith at the trial of this action.
1. FACTS
1. The Plaintiff was employed as a mail handler in the Post Office Department of the Government of Canada from Novem- ber 25th, 1971 to June 9th, 1975 where he worked for various temporary periods as a mail handler at the Ottawa Post Office. On June 9th, 1975, he was appointed to a position in the Post Office as a mail handler and as a regular employee pursuant to the provisions of the Public Service Employment Act, R.S.C. 1970, Chapter P-32, s. 8.
2. On February 28th, 1980, while in the employment of the Defendant, the Plaintiff took a period of sick leave without pay from his position at the Post Office. On March 21, 1980, while the Plaintiff was on sick leave as aforesaid, he was convicted of two criminal offences contrary to the Criminal Code of Canada and sentenced to a 15-month period of incarceration and one year of probation in respect of each offence, the two sentences to be concurrent. The convictions were not appealed, and the Plaintiff began to serve his sentence on March 21, 1980.
3. On March 21, 1980, the Plaintiff's wife requested 15 months' leave of absence without pay, on behalf of the Plaintiff, but did not disclose the reason for the request. The request was refused. The Plaintiff did not subsequently attend at his place of employment.
4. By a letter dated April 3rd, 1980, the Plaintiff was advised by an officer of the Defendant that pursuant to Section 31 of the Public Service Employment Act, he was being recommend ed for release from his employment with the Defendant on the ground that he was incapable of performing his duties.
5. Pursuant to Section 31 of the Public Service Employment Act, the Plaintiff appealed the decision of the Defendant to the Public Service Commission Appeal Board and by a decision dated May 16th, 1980, it was held that the Defendant's deci sion to recommend the Plaintiff's release from employment
with the Defendant was unreasonable and the Plaintiffs appeal
was allowed.
Appendix "A", Decision of
Public Service Appeals and
Investigations Branch
6. On August 27th, 1980, the Deputy Head, by his duly authorized delegatee, was of the opinion that the Plaintiff had been absent from duty continuously between March 21st and August 27th, 1980, otherwise than for reasons over which he had no control, and being of the opinion that his absence was not authorized or provided for by or under the authority of an act of Parliament, he by an appropriate instrument in writing to the Public Service Commission (dated September 8, 1980 and attached as Appendix B) declared the Plaintiff to have abandoned the position he occupied. The Plaintiff was so advised on August 27th, 1980 (attached as Appendix C).
7. The Plaintiff at no time advised the Defendant of his intention to abandon his employment with the Defendant and at all material times to this action the Defendant knew that it was the Plaintiffs intention to return to employment with the Defendant upon his release from incarceration.
II. ISSUES
8. As at March 21st, 1980, the date on which the Plaintiff was deemed to have abandoned his position with the Post Office Department, was the Plaintiff absent from employment for reasons over which he had no control by virtue of his convic tions and subsequent incarceration under The Criminal Code of Canada?
9. As at March 21st, 1980, the date on which the Plaintiffs employment with the Defendant was terminated, was the Plain tiff absent from duty under the authority of an Act of Parlia ment, namely, The Criminal Code of Canada, within the meaning of that expression as it is used in Section 27 of the Public Service Employment Act which would render the Plain tiffs absence from employment an authorized one?
10. Before terminating the Plaintiffs position did the Defend ant have an obligation to afford the Plaintiff a hearing and did the Defendant owe the Plaintiff a duty of fairness?
11. If the Defendant owed the Plaintiff a hearing and a duty of fairness were those duties met in the circumstances of this case?
12. Is the Plaintiff entitled to a declaration that his employ ment relationship with the Defendant was not severed at any time and the other relief as set out in the Statement of Claim?
13. Is the Defendant entitled to a declaration that the employ ment of the Plaintiff was lawfully terminated pursuant to Section 27 of the Public Service Employment Act as set out in the Defendant's Counterclaim?
14. In view of the Public Service Commission Appeal Board decision and in light of the circumstances in which the Plaintiff found himself, did the Defendant exercise the discretion avail able to it under Section 27 of the Public Service Employment Act in an improper, arbitrary or unreasonable manner?
The decision of the Public Service Commission Appeal Board mentioned in paragraph 5 of the statement of facts is included as Appendix A.
This decision was not the subject-matter of a reference to the Appeal Division of this Court under section 28 of the Federal Court Act, R.S.C. 1970 (2nd Supp.), c. 10.
Why this was not done was not known to coun sel for Her Majesty and accordingly he could not, in response to my enquiry, make that reason known to me. The matter did not become known to the officers of the Department of Justice until well after the time to so apply had long since expired from which the inference might well be drawn that the advice of the Department of Justice was not sought before the officials of Canada Post (one of the few instances of such a name being given to a Government department, as it then was, by stat ute) embarked upon the course of action which they did and with the consequences which follow when laymen see fit to act on their own initiative without first seeking competent legal advice.
This failure, as it is logical to assume existed, does have one practical advantage, unintended and not likely foreseen by its perpetrators, which is that the sole issue in this action, expressed in broad terms, is whether the release of the plaintiff pursuant to section 27 of the Public Service Employment Act, R.S.C. 1970, c. P-32, from the position to which he had been appointed in the Public Service was lawful.
This is the issue expressed with greater par ticularity and detail in paragraphs 8 and 9 of the agreed statement of facts under the heading,
ISSUES.
Paragraphs 10 and 11 of the agreed statement pose the questions as to whether there was an obligation upon the defendant to afford the plain tiff a hearing under section 27 of the Act, and if so, was that obligation met.
Counsel for the plaintiff conceded that a hearing was not required by the statute and that issue was abandoned.
But two further questions were posed in para graphs 8 and 9 which were not abandoned and remain extant. Those questions are whether the defendant owed the plaintiff the duty of fairness and if so was that duty of fairness discharged.
In Bates v. Lord Hailsham of St. Marylebone [1972] 1 W.L.R. 1373, Megarry J. set forth the applicable principles when he said at page 1378:
... that in the sphere of the so-called quasi-judicial the rules of natural justice run, and that in the administrative or executive field there is a general duty of fairness.
This statement by Megarry J. has found wide acceptance and is cited with approval by the Supreme Court of Canada in Martineau v. Mat- squi Institution Disciplinary Board (No. 2) [1980] 1 S.C.R. 602, Nicholson v. Haldimand- Norfolk Regional Board of Commissioners of Police [1979] 1 S.C.R. 311 and by the Appeal Division of this Court in Inuit Tapirisat of Canada v. Léger [1979] 1 F.C. 710.
Here there is no dispute that the action under section 27 is administrative to which the general duty of fairness attaches.
As previously stated the issue to be resolved is whether the release of the plaintiff under section 27 of the Act was lawful.
That involves the determination of whether all the requirements set forth in section 27 as condi tion precedent to the invocation of the section are present and superimposed thereon is whether the general duty of fairness in this administrative field has been complied with.
The plaintiff, in paragraph 11 of his statement of claim, seeks the following relief:
11. The Plaintiff claims as follows:
a) A declaration that the Plaintiff's employment relationship with the Defendant was not severed at any time and that the Plaintiff continued to be at all relevant times an employee of the Defendant;
b) A Declaration that the Defendant acted unlawfully in terminating the Plaintiff's position pursuant to Section 27 of The Public Service Employment Act;
c) Judgment in favour of the Plaintiff of money sufficient to compensate the Plaintiff for any wages, salary or other employment benefits or privileges to which the Plaintiff would have been entitled as of March 21, 1980 if the Defendant had not unlawfully purported to terminate the Plaintiff's position as set out herein;
d) The Plaintiff's costs of the within action.
Paragraph 11a) of the statement of claim is reiterated in paragraph 12 of the agreed statement of facts under the heading ISSUES.
In Emms v. The Queen [1977] 1 F.C. 101 a declaration was granted including the following language [at page 1151:
... the termination of the plaintiff's employment by Her Majesty is null and void and of no effect whatsoever and that the plaintiff still continues to be an employee of Her Majesty.
If a declaration in such terms is granted then a claim for damages is inconsistent therewith.
On appeal to the Supreme Court of Canada ([1979] 2 S.C.R. 1148) the judgment of the Trial Judge was confirmed but the declaration given was varied by the deletion of the words, "that the plaintiff still continues to be an employee of Her Majesty" the proper remedy being in damages.
Pigeon J. quoted with approval [at pages 1164- 1165] the statement in Francis v. Municipal Councillors of Kuala Lumpur [1962] 3 All E.R. 633 to the effect that where there has been a purported termination of a contract of service a declaration to the effect that the contract of ser vice still subsists will rarely be made unless special circumstances exist which will require making such a declaration and its making will normally be in the discretion of the court.
In my view there are no special circumstances present in this case which warrant the exercise of the discretion to make the declaration requested in paragraph 11a) of the statement of claim and accordingly no such declaration will be granted.
Wholly different considerations apply to para graphs 11b) and c) of the statement of claim. In my view it would have been more appropriate pleading if paragraphs 11b) and c) had been expressed as in the alternative to paragraph 11a).
I do not think that there can be any doubt that there was a de facto dismissal of the plaintiff by Her Majesty.
Paragraph 11b) seeks a declaration that Her Majesty acted unlawfully in terminating the plain tiff's position pursuant to section 27 of the statute.
If the declaration by the deputy head under that section that the plaintiff had abandoned the posi tion he occupied should be found to have been unlawfully made then there would be no impedi ment to making such a declaration.
If such declaration is made that would be tan tamount, in my view, to a finding that the plaintiff had been wrongfully dismissed from which it would follow that his remedy lies in damages which are being sought in paragraph 11c) of the statement of claim which is the logical culmination following upon paragraph 11b).
Thus, as previously stated, this action would be resolved on the determination of the question whether or not the declaration by the deputy head under section 27 that he had abandoned his posi tion with the consequence that the plaintiff ceased to be an employee was lawful.
Section 27 reads:
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.
The section provides that a public servant loses his position when the conditions specified therein are present.
These conditions are fourfold.
First the employee has been absent from work for a period of one week or more. This condition existed.
Second is that the deputy head is of the opinion that the reasons for the employee's absence were under the employee's control.
That the deputy head held that opinion is not disputed. What is contended on behalf of the plaintiff is that the deputy head, in forming the opinion that the reasons for the plaintiff's absence were within his control, was wrong in doing so.
In many instances administrative tribunals have been given legislative power to determine the limits of their own jurisdiction, that is to say, in a
matter collateral to be proven. The usual language employed in the statute is to the effect where the competent authority, "is satisfied", "is of the opin ion" or "whenever it shall appear" that such or such is so. If the decision on the collateral issue is not reviewable by the courts then that is tan tamount to saying the question is not collateral but is the essence of the issue. Put yet another way if the jurisdiction is conferred upon a body in subjec tive terms the courts are reluctant to review these subjective findings.
However the Court will usually be willing to interfere if the administrative tribunal:
(1) erred by applying a wrong legal test in determining the question, i.e., whether a fisher man is an employee or an independent contrac tor, or whether clay is a mineral, or
(2) has arrived at a conclusion wholly unsup ported by evidence.
What the deputy head, or his delegate, said in part to the plaintiff in a letter dated August 27, 1980 (Appendix C to agreed statement) addressed to him in prison, was: "You were incarcerated on March 21, 1980. You have been deemed to have abandoned the service as of that date .... This action is being taken under the authority of Sec tion 27 of the Public Service Employment Act."
It is open to the plaintiff to demonstrate that the opinion formed by the deputy head was manifestly against sound and fundamental principles.
That was the contention on behalf of the plaintiff.
On the other hand it was contended on behalf of Her Majesty that the plaintiff's incarceration (which was the reason for the plaintiff's absence from work) was the direct consequence of his own wilful and voluntary acts by which he committed the offences of which he was convicted and sen tenced to prison for 15 months and one year's probation. From that the contention is made that the plaintiff by his own voluntary act set in motion a chain of events which could foreseeably result in his detection, arrest, charges being laid, conviction
and confinement in prison culminating in his ina bility to attend at his place of work.
The third condition specified in section 27 is that the employee's absence was not authorized or provided for by or under the authority of an Act of Parliament.
The fourth condition provided in section 27 is that the deputy head may send to the Commission an instrument in writing stating that the plaintiff has abandoned the position he occupied.
This was done.
The first and fourth conditions have been com plied with.
The second and third conditions are alternative as is implicit from the pertinent language of sec tion 27 reading:
... 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 ....
The word "or" immediately following the words "the employee has no control" and immediately preceding the words "otherwise than as authorized or provided for", in this context, is disjunctive.
I know of no authority whereby "or" may be turned into "and" unless the context dictates that the meaning of "or" is "and", as in some instances it does, but not in this instance.
Therefore there are two distinct, separate and interchangeable conditions which provide for an exemption to an employee from an absence from duty when one or other is present.
I turn first to the third condition, that the employee's absence is authorized or provided for by or under an Act of Parliament. If this is not so then no exemption is available to the plaintiff and I am absolved from the necessity of considering the second condition, that is, whether the opinion of the deputy head was wholly unsupported by evidence or the deputy head erred in reaching the conclusion he did by applying the wrong legal test.
The plaintiff was convicted of an offence under the Criminal Code of Canada, R.S.C. 1970, c. C-34, which is an Act of Parliament. Having been convicted he was sentenced and being sentenced he must be confined in a penitentiary, prison or other place of confinement.
It is as a consequence of the provisions of the Code that the plaintiff was imprisoned and because he was imprisoned he cannot be elsewhere, to wit at his place of work, during the term of his imprisonment.
It was by virtue of the implementation of the Criminal Code that the plaintiff's imprisonment was authorized as provided.
But that is a far different thing than saying that the Criminal Code, which authorizes and provides for the imprisonment in the circumstances in which the plaintiff placed himself, "authorizes or provides for" the plaintiff's absence from his employment within the meaning of those words as used, in a different tense, in section 27.
Nowhere in the Criminal Code are there words which authorize or provide for the absence of a person convicted of a criminal offence and sen tenced to imprisonment from his usual work place although it is the inevitable consequence of impris onment that the prisoner cannot be at his work place.
The operation of the provision of the Criminal Code is the causa causans of the imprisonment of the plaintiff. The plaintiff's absence from his duty is but the causa sine qua non of the plaintiffs conviction and imprisonment under the Criminal Code.
Counsel for Her Majesty contended that to con clude otherwise would lead to an absurdity.
This is a cardinal rule in the interpretation of a statute expressed in Lord Wensleydale's Golden Rule in Grey v. Pearson [1857] 6 H.L. Cas. 61 at page 106. He said:
. in construing wills and indeed statutes, and all written instruments, the grammatical and ordinary sense of the words is to be adhered to, unless that would lead to some absurdity, or some repugnance or inconsistency with the rest of the instru ment, in which case the grammatical and ordinary sense of the words may be modified, so as to avoid that absurdity and inconsistency, but no farther.
There is no doubt about the universal accept ance of the general principle enunciated in the Golden Rule.
In my view this principle is of little help in this instance. There cannot be any controversy as to what the grammatical and ordinary sense of the words used in section 27 is.
It is as expressed above, that the absence of the plaintiff from duty is excusable if that absence has been "authorized" by or provided for under the authority of an Act of Parliament. The Criminal Code, under the provisions of which the plaintiff was imprisoned, does not authorize nor purport to authorize the absence of the plaintiff from his employment.
Counsel for Fier Majesty pointed to several statutory provisions illustrative of the authoriza tion or provision for leave of absence such as subsection 32(3) of the Public Service Employ ment Act itself in the instance of an employee of the Public Service being a candidate for election to the House of Commons, to the legislature of a province or the Council of the Yukon and North west Territories; to attend specified meetings of a union of which the public servant is a delegate and like circumstances all of which activities are far removed from the serving of a sentence of imprisonment.
The principle to which counsel for Her Majesty had resort was not that expressed in the Golden Rule but rather the method, in logic, of disproving an argument by showing that it leads to an absurd consequence. This is expressed in the Latin maxim, reductio ad absurdum.
This counsel did by citing the instance where an employee is sentenced to life imprisonment. If the Criminal Code should be construed as "authoriz- ing or providing" for the absence of that employee then section 27 could not be invoked to deem that the employee had abandoned his position. Simply to state the proposition is to demonstrate its absurdity. To countenance such an absurdity could not have been the intention of Parliament in enact ing section 27 of the Act in the terms that it did. The same would apply to lesser sentences of imprisonment in excess of one week.
For the foregoing reasons I have concluded that the plaintiff falls precisely within the four corners of section 27 of the Act but that does not end the matter.
The Appeal Division had recent occasion to consider section 27 of the Act in Morin v. The Queen [1981] 1 F.C. 3.
A public servant's employment was ended pur suant to section 27 of the Public Service Employ ment Act as the deputy head had declared that he had abandoned his position.
The Trial Judge [ [ 1979] 2 F.C. 642] concluded that the deputy head had not properly exercised the power under section 27 in formulating the opinion that the employee had been absent from work for reasons within his control.
The fundamental question on appeal was wheth er the Trial Judge was correct in deciding that the deputy head had improperly exercised the power conferred upon him by section 27.
Pratte J., in expressing the unanimous decision of the Court, said at pages 9-10:
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.
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 procedure, 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 administrative law.
For the reasons I have expressed I have conclud ed the deputy head in the present case acted in precise conformity with the three conditions prece dent which I have enumerated and which are the conditions precedent prescribed to his ultimate
declaration and transmission thereof in writing to the Commission.
In the present instance section 27 expresses the procedural requirements that have been complied with from which it would follow that so too has been procedural fairness.
Thus there remains for determination whether the deputy head had exercised his power in accord ance with "the general principles of administrative law".
Implicit in the words, "the general principles of administrative law" used by Pratte J. is "that in the administrative or executive field there is a general duty of fairness" not necessarily coincident with the rules of natural justice in the sphere of the quasi-judicial but there may be some overlap. The requirement of fairness must be balanced by the needs of the administrative process in question bearing in mind the nature of the authority, the nature of the power exercised by him and the consequences to the individual affected by the exercise of the power.
Paragraphs, 10 and 14 of the agreed statement under the heading, ISSUES, pose the questions for determination in this respect and for convenience I again reproduce these sections at this juncture.
Paragraph 10 reads:
10. Before terminating the Plaintiffs position did the Defend ant have an obligation to afford the Plaintiff a hearing and did the Defendant owe the Plaintiff a duty of fairness?
As previously intimated counsel for the plaintiff conceded there was no obligation upon the deputy head to afford the plaintiff a hearing, and that, in my view, includes an oral hearing or hearing in writing.
I am in agreement that, in the circumstances of the present matter, this concession was properly made.
In some instances where dismissal of an employee is involved, which is the exercise of a discretionary administrative decision, a hearing might be granted to hear the employee's explana tions which, if meritorious, might lessen the pun-
ishment although it was clear from the outset that punitive action was justified.
Lord Denning M.R. in Cinnamond v. British Airports Authority [1980] 2 All E.R. 368 said with respect to the possibility mentioned immedi ately above, at page 374:
1 can see the force of that argument. But it only applies when there is a legitimate expectation of being heard. In cases where there is no legitimate expectation, there is no call for a hearing.
In the present instance the reason for the plain tiff's absence from work was well known as was the duration thereof and accordingly no useful purpose would have been served by a hearing.
The remaining question posed in paragraph 10, "did the Defendant owe the Plaintiff a duty of fairness?" I have answered in the affirmative.
The circumstances put forward as constituting a breach of fairness are as outlined in paragraph 14 which I repeat:
14. In view of the Public Service Commission Appeal Board decision and in light of the circumstances in which the Plaintiff found himself, did the Defendant exercise the discretion avail able to it under Section 27 of the Public Service Employment Act in an improper, arbitrary or unreasonable manner?
It is expedient at this point to set forth in chronological order the events which took place.
February 28, 1980. The plaintiff was on sick leave without pay from the Post Office.
March 21, 1980. The plaintiff was convicted of two offences for which he was sentenced to 15 months' imprisonment and one year's probation. There is one-third off the moment he is confined leaving 10 months to serve.
March 21, 1980. The plaintiff's wife requests 15 months' leave of absence without pay for her husband without giving reasons. Refers enquirer to the plaintiff's lawyer. Such leave was refused as contrary to the terms of the trade union agreement.
March 25, 1980. The lawyer was reached who informed the enquirer that the plaintiff was sen tenced to 15 months' imprisonment but declined to give the reason for the sentence. The Post Office Security and Investigation Services Branch was asked to investigate.
April 1, 1980. The Post Office Security and Investigation Services Branch reports. The plain tiff's release is recommended.
April 3, 1980. The deputy head notifies the plaintiff of the recommendation for his release in accordance with subsection 31(2) of the Act.
April 14, 1980. The deputy head, pursuant to section 31 of the Act, recommends to Commission that the plaintiff be released.
May 14, 1980. The plaintiff's appeal to the Public Service Commission Appeal Board heard.
May 16, 1980. Appeal Board finds the deputy head's decision to recommend the plaintiffs release was unreasonable. The Board allows the plaintiff's appeal. Section 28 of Federal Court Act not invoked to review the decision of the Appeal Board.
August 27, 1980. The deputy head by instru ment in writing declares to the Commission that the plaintiff had abandoned his position and the plaintiff was thereupon released.
August 27, 1980. The plaintiff was advised by letter he had been deemed to have abandoned the service as of that date by action taken under the authority of section 27 of the Public Service Employment Act. The plaintiff did not reply to that letter.
January 21, 1981. The plaintiff was released from custody. He had served 10 months.
December 1, 1981. The plaintiff worked one day. He found the work uncongenial.
The plaintiff's income from his employment on the last day he worked there, i.e., February 28, 1980 was $6.30 per hour for a 40-hour week or
$252 per week. February 15, 1981 to January 27, 1982 the plaintiff received unemployment insur ance benefits at the rate of $294 every two weeks to the total amount of $7,350.
February 1982. The plaintiff received welfare benefits in the amount of $266.
This latter evidence is relative to the quantum of damages if the defendant is found liable therefor.
The contention advanced on behalf of the plain tiff as constituting unfairness was that upon the deputy head being frustrated by the decision of the Appeal Board to abort his recommendation to release the plaintiff, without applying to the Appeal Division of the Federal Court to review and set aside the decision of the Public Service Commission Appeal Board, bided his time from May 17, 1980 until August 27, 1980 (slightly over three months) when he then declared the plaintiff to have abandoned his position.
The question raised in paragraph 14 of the agreed statement is whether, in view of the deci sion of the Appeal Board, the deputy head exer cised the "discretion" available to him under sec tion 27 of the Act "in an improper, arbitrary or unreasonable manner".
There were two apparent options available to the deputy head under the Public Service Employment Act to rid the Post Office of this employee.
The first option was section 31 of the Act ranged under the heading of Incompetence and Incapacity. Under that section when the deputy head is of the opinion that an employee is incompetent or incapable of performing the duties of his position he may recommend to the Commis sion that the employee be appointed to a lower position or released.
The deputy head recommended to the Commis sion the plaintiff's release under this section.
In accordance with the section the deputy head notified the plaintiff in writing of the recommen dation made.
The employee has a right to appeal against the recommendation to a board established by the Commission and upon being notified of the board's decision the Commission shall act upon or not act upon the recommendation accordingly as the board's decision requires.
The reason given to the plaintiff for the recom mendation for his release in the letter of notifica tion was, "your inability to report for work due to your conviction of a criminal offence and subse quent incarceration for up to 15 months".
The plaintiff appealed. The Board concluded that the deputy head had acted hastily and unrea sonably. The Board reached that conclusion "because of the temporary and non-recurring nature of the incapacity" and that it was unreason able not to wait until an appeal against the sen tence had been rejected. The view was expressed that the plaintiff might well be able to be back on the job much before the expiry of the 15-month sentence.
I understand that no appeal was presented but if such an appeal had been launched and pursued it may well have resulted in an increase in sentence rather than a reduction.
There is an automatic statutory remission of one-third of a fixed term. Therefore the plaintiff at the most would serve 10 months.
That is the time the plaintiff actually served that is from March 21, 1980 to January 21, 1981. The possibility that the plaintiff would serve a lesser time was remote.
I entertain reservations whether in the circum stances of the plaintiff in this action that resort to section 31 by the deputy head was proper.
The heading, Incompetence and Incapacity, serves the same purpose in the interpretation of the section as does a preamble to a statute. The func tion of the heading in interpretation is to explain what is ambiguous in the sections and it may either restrain or extend as best suits the intention. There is no incompatibility between the words of the heading with the language of subsection 31(1)
where the words "incompetent" and "incapable" are used in the context.
None of those words have any technical mean ing nor are they related to an art or science in the context in which they are used. Accordingly being words of popular meaning they must be taken in their popular sense.
There is no suggestion that the plaintiff was incompetent in performing his duties but rather that he was incapable of performing these duties, the reason for such conclusion by the deputy head was that he was "incapable" because he was in jail.
In its ordinary sense "incapable" means lacking in the power, ability, fitness or faculty for a par ticular task.
In the heading the words, Incompetence and Incapacity are used. Lord Hale's maxim, noscitur a sociis, is to the effect that where words are used in association the meanings are limited by the association in which they are used.
The words "incompetence" and "incapacity" are sometimes used synonymously and each implies a mental connotation.
Thus the plaintiff was not unable to perform his duties due to any mental incapacity but rather by reason of his physical absence imposed by con straint upon him.
It is for these reasons that I entertain reserva tions as to the propriety of adopting the procedure provided for in section 31 of the Act but it is not incumbent upon me to decide if section 31 is not applicable to the circumstances of the plaintiff and I do not do so.
After a thorough examination of the circum stances the Security and Investigation Services Branch recommended, on April 1, 1980, the plain tiff's release. The departmental hierarchy then moved with alacrity through the process. The plaintiff was sentenced to imprisonment for 15 months on March 21, 1980. On April 3, 1980 the plaintiff was given notice in writing that a recom mendation was being made to the Commission for his release and a recommendation was made on
April 14, 1980. Hopefully Canada Post will exhibit a like promptitude in the delivery of mail.
As was his right the plaintiff appealed under subsection 31(3). By its decision given on May 16, 1980 the plaintiff's appeal was allowed by the Appeal Board obviously to the dissatisfaction of the employer as subsequent events have shown.
There was a remedy available to the employer and that was to move to set aside the decision of the Public Service Commission Appeal Board under section 28 of the Federal Court Act.
Resort was not had to this remedy.
Rather the remedy taken by the deputy head on August 27, 1980 when by an appropriate instru ment in writing he declared the plaintiff to have abandoned his position was by resort to section 27 of the Act.
This action, some three months after the deci sion of the Board, is susceptible of the interpreta tion that the Post Office had exhibited a complete disdain of the Board and its process and such interpretation, not without apparent justification, was placed on the action of the Post Office by counsel for the plaintiff who described it as arro gant, high-handed but more pertinently as unfair. The deputy head had taken two kicks at the can.
Of course the deputy head did just that. He started down the avenue of section 31 of the Act. There he met with the block of an adverse Board decision. He did not attempt to remove that ob stacle by the obvious means available to him.
He abandoned that avenue, reversed his course and took the avenue offered by section 27 of the Act. Perhaps the first route selected by him was the wrong one and he later chose the correct route to his destination.
The crux of the matter is whether the deputy head in taking this course of action did so in breach of the principle of administrative fairness or, as put in paragraph 14 of the agreed statement, was resort to section 27 of the Act done in such an improper, arbitrary or unreasonable manner as to be a breach of the duty of administrative fairness.
I do not think that the action of the deputy head constitutes such a breach.
For the reasons previously expressed the requi site conditions precedent to the operation of section 27 of the Act were present. The factual conditions were beyond dispute, and, in my view, the plaintiff's absence from work was not author ized by or provided for under the authority of any Act of Parliament.
That being so the deputy head exercised the power conferred upon him by section 27 of the Public Service Employment Act in strict accord ance with the provisions of that section.
Therefore it cannot be said that the administra tive authority conferred upon the deputy head was improperly exercised by him or that he exercised that authority unreasonably. Neither can the deputy head be said to have acted arbitrarily. He was constrained by the provisions of section 27 of the Act within which bounds he acted. It was conceded that a hearing was not required. In any event all relevant facts were known and the plain tiff could not entertain a legitimate expectation of a hearing. An oral hearing would have been impractical and a hearing need not be oral. The plaintiff was advised of the action taken by the deputy head by letter dated August 27, 1980. That letter was in the terms of an announcement and not an invitation to the plaintiff to make represen tations. But it did serve to alert the plaintiff to the action taken by the deputy head and did not elicit any representations contrary to that action being taken at that time.
The plaintiff is not entitled to the declaration sought by him in paragraph 11a) of the statement of claim to the effect that the plaintiff's employ ment relationship with Her Majesty has not been severed and that the plaintiff continues to be an employee of Her Majesty for reasons expressed orally at the conclusion of the hearing and which have been repeated herein.
Also for the reasons expressed herein the plain tiff is not entitled to the declaration sought in paragraph 11b) of the statement of claim that the
plaintiffs employment was unlawfully terminated under section 27 of the Public Service Employ ment Act.
Because the plaintiff is not entitled to the decla ration under paragraph 11b) of the statement of claim it follows that he was not wrongfully dis missed and is therefore not entitled to the damages sought in paragraph 11c) of the statement of claim.
The action is therefore dismissed and the plain tiff is not entitled to any of the relief sought thereby.
Her Majesty shall be entitled to her taxable costs.
 You are being directed to the most recent version of the statute which may not be the version considered at the time of the judgment.