Canadian HR Reporter is the national journal of human resource management. It features the latest workplace news, HR best practices, employment law commentary and tools and tips for employers to get the most out of their workforce.
Issue link: https://digital.hrreporter.com/i/745917
CANADIAN HR REPORTER November 14, 2016 FEATURES 23 CHECK-UP on your Workplace Health Find out how your employee wellness program stacks up, discover new ways to improve it or learn how to get started. It's easy! It's free! It takes 5 minutes. Visit our website and take the Workplace Check. It's a fact, a healthy workplace is good for business. LABOUR RELATIONS Discount program leads to violations United Airline workers' 'no evidence' motion rejected by arbitrator in B.C. case By John Dujay E mployee discounts were in the spotlight recently when four United Airlines workers in Vancouver were ter- minated because they were said to have unethically benefited from the company's fare system. An anonymous email was re- ceived Dec. 16, 2010, alleging two employees, Jennifer acker and Tony Scott, were overdoing it with the company's "waivers and favours rule," whereby an employee can purchase airline tickets for friends and family at a discount. Toni Salvato-Pinto, senior in- vestigator with corporate secu- rity, began an investigation into the allegations, and found one ticket purchased Dec. 31, 2008, by acker from Vancouver to San Francisco was scheduled to depart Jan. 14, 2009, but was then changed to Jan. 13, which meant the 14-day advance purchase discount was no longer in force. It was also rerouted to Chicago, then to Las Vegas. The ticket was modified twice in a two-week period, but no fees were charged for the modifications. Another flight booked for Scott's parents included a 20 per cent employee discount. Again, it was modified though no extra fees were charged and the employee discount remained intact. It was also given an "invol" (involuntary) classification, which only happens if a flight is cancelled, usually due to weather. However, Salvato-Pinto said this should never happen a month before the flight is sched- uled, which it was. When a ticket is marked as involuntary, all of the relevant codes are overridden and further changes can easily be made. In all, 63 violations of the rule were discovered by Salvato-Pinto in her investigation. In the collective agreement under "rules of conduct for (In- ternational Association of Ma- chinists and Aerospace Workers) IAMAW-represented employ- ees," it stated violations of certain rules may result in discharge. One of the rules called for no "inap- propriate waiving of a fare rule or restriction." It also stated, "When provid- ing travel services for yourself or your friends and family, any un- authorized deviation from estab- lished rules for pricing, issuance, exchange or refunding of tickets; any waiving of travel restrictions or other terms affecting the ap- plicability of discount fares; and inappropriate upgrades of call-of-service; or any use of our computerized reservation sys- tem to improperly remove seats from inventory or block space on United or any other carrier is prohibited." In February 2011, seven employ- ees were interviewed about their actions, and four were found to have committed violations. Excuses, excuses During the initial investigation, Ada Li, another employee, was found to have conducted 31 trans- actions that waived fees. Scott was questioned about 13 transactions, including one for acker. Katerina Sliacky was grilled over 10 trans- actions. And acker was probed about 29 airline ticket transactions. All the employees testified they didn't have adequate training on the ticket purchasing system, which they contended may have contributed to the lack of fees charged. Salvato-Pinto was also advised by the workers that "everyone else was doing the same thing" so the fare manipulation shouldn't be punishable. One of the reinstated workers, identified only as "M.R.," said she felt "pressured" by acker, Sli- acky and Li not to add the differ- ences in fees and service costs on various ticket purchases. But a cheat sheet provided to ticket agents stated that employ- ees must never "authorize fare- rule waivers," except in a case of an error made by a ticket agent. In dismissing the four workers, a June 2011 letter from Vancouver manager Nigel Newsome read, in part: "You were involved in ticket transactions for either yourself or co-workers and friends. Tickets were purchased, and then subse- EMPLOYEES > pg. 25 In all, 63 violations of the rule were discovered.