Canada Labour Code (R.S.C., 1985, c. L-2)

Marginal note:Definitions

• 44 (1) In this section and sections 45 to 47.1,

  business

  business means any federal work, undertaking or business and any part thereof; (entreprise)

  provincial business

  provincial business means a work, undertaking or business, or any part of a work, undertaking or business, the labour relations of which are subject to the laws of a province; (entreprise provinciale)

  sell

  sell, in relation to a business, includes the transfer or other disposition of the business and, for the purposes of this definition, leasing a business is deemed to be selling it. (vente)

• Marginal note:Sale of business

  (2) Where an employer sells a business,

  • (a) a trade union that is the bargaining agent for the employees employed in the business continues to be their bargaining agent;

  • (b) a trade union that made application for certification in respect of any employees employed in the business before the date on which the business is sold may, subject to this Part, be certified by the Board as their bargaining agent;

  • (c) the person to whom the business is sold is bound by any collective agreement that is, on the date on which the business is sold, applicable to the employees employed in the business; and

  • (d) the person to whom the business is sold becomes a party to any proceeding taken under this Part that is pending on the date on which the business was sold and that affects the employees employed in the business or their bargaining agent.

• Marginal note:Change of activity or sale of a provincial business

  (3) Where, as a result of a change of activity, a provincial business becomes subject to this Part, or such a business is sold to an employer who is subject to this Part,

  • (a) the trade union that, pursuant to the laws of the province, is the bargaining agent for the employees employed in the provincial business continues to be their bargaining agent for the purposes of this Part;

  • (b) a collective agreement that applied to employees employed in the provincial business at the time of the change or sale continues to apply to them and is binding on the employer or on the person to whom the business is sold;

  • (c) any proceeding that at the time of the change or sale was before the labour relations board or other person or authority that, under the laws of the province, is competent to decide the matter, continues as a proceeding under this Part, with such modifications as the circumstances require and, where applicable, with the person to whom the provincial business is sold as a party; and

  • (d) any grievance that at the time of the change or sale was before an arbitrator or arbitration board continues to be processed under this Part, with such modifications as the circumstances require and, where applicable, with the person to whom the provincial business is sold as a party.