An employer has had a long standing practice of paying a certain benefit that is not contained in the collective agreement. The employer has decided to cut costs and stop paying the benefit.
A) The union may grieve and will likely be successful due to the principle of estopple.
B) The company may reduce costs in this way under management rights.
C) The union will not be successful with the grievance as they have signed the collective agreement.
D) The company must negotiate this change with the union.
E) a and d

Question

Quizplus · Accepted Answer

The principle of estoppel can prevent the employer from denying the benefit due to the long-standing practice, and any significant changes like this should typically be negotiated with the union, making both A and D correct.

An Employer Has Had a Long Standing Practice of Paying