CP Rail worker paid for slow clerical process

Engineer started side business to make ends meet

Hoping the second time would prove the charm, a Canadian Pacific Railway employee filed a grievance against the national railroad concerning compensation during an investigation.

The grievor, referred to only as Mr. Fossum, was held out of service pending an investigation pertaining to his 2011 tour of duty as a locomotive engineer. Fossum booked off sick at the end of that tour and his misconduct on that tour subsequently led to his discharge.

Fossum was then on medical leave and eventually given the go-ahead to return to work in April 2012 . The company’s internal processes, however, did not clear his return until late July 2012.

The discharge was settled, but there remained a dispute as to the compensation owed.

Hence this second grievance, filed by the Teamsters Canada Rail Conference union, which sought compensation for the time period Fossum was medically cleared to work and when the company gave the green light.

But CP Rail argued its employee did not make an honest attempt to mitigate wage loss post-discharge.

In 2010, Fossum began a side business — a coffee truck — to supplement income. However, as with most new ventures, Fossum said it was not until 2013 that he started to see profits.

According to the union, Fossum’s discharge led to a period of "depression, frustration and anger," that caused his business to slump and nearly go under. The Teamsters noted Fossum took out loans, sold his CP Rail stock, his car, and dipped into his line of credit.

CP Rail said Fossum could have done more, pointing to Alberta’s fecund job market at the time.

In her decision, arbitrator Christine Schmidt agreed, in part, and therefore ordered his compensation reflect the circumstances.

Fossum received compensation for the period he was cleared medically to return to work and his actual return, in June 2014.

But because he did not demonstrate a sufficient effort to secure other financial support, Schmidt reduced the grievor’s wage compensation by 40 per cent, for his failure to mitigate, and any income from his business is to be subtracted from the total wage calculation.

"By the spring of 2013, the grievor’s game plan should reasonably have changed. Having regard to the economic climate in Calgary at the time, the grievor should have then begun a search for alternate employment," Schmidt said in her decision. "Had he done so with reasonable diligence, some of his losses after that point could probably have been avoided."

Reference: Canadian Pacific Railway Company and the Teamsters Canada Rail Conference. Christine Schmidt — arbitrator. M. Moran for the company, M. Church for the union. Jan. 29, 2015.

Latest stories