Royal Oak Mines Incorporated was a
gold
Gold is a chemical element; it has chemical symbol Au (from Latin ) and atomic number 79. In its pure form, it is a brightness, bright, slightly orange-yellow, dense, soft, malleable, and ductile metal. Chemically, gold is a transition metal ...
mining company, founded in 1990 by Margaret "Peggy" Witte (now known as Margaret Kent) in Kirkland,
Washington
Washington most commonly refers to:
* George Washington (1732–1799), the first president of the United States
* Washington (state), a state in the Pacific Northwest of the United States
* Washington, D.C., the capital of the United States
** A ...
.
The company held numerous gold and
base metal
A base metal is a common and inexpensive metal, as opposed to a precious metal such as gold or silver. In numismatics, coins often derived their value from the precious metal content; however, base metals have also been used in coins in the past ...
properties in
Canada
Canada is a country in North America. Its Provinces and territories of Canada, ten provinces and three territories extend from the Atlantic Ocean to the Pacific Ocean and northward into the Arctic Ocean, making it the world's List of coun ...
, including the
Giant Mine
The Giant Mine was a gold mine located on the Ingraham Trail, north of Yellowknife, Northwest Territories. Giant Mine was within the Kam Group, a part of the Yellowknife greenstone belt. Gold was discovered on the property and mineral claims ...
in the
Northwest Territories
The Northwest Territories is a federal Provinces and territories of Canada, territory of Canada. At a land area of approximately and a 2021 census population of 41,070, it is the second-largest and the most populous of Provinces and territorie ...
, the Pamour Mine in
Ontario
Ontario is the southernmost Provinces and territories of Canada, province of Canada. Located in Central Canada, Ontario is the Population of Canada by province and territory, country's most populous province. As of the 2021 Canadian census, it ...
, the Hope Brook Mine in
Newfoundland
Newfoundland and Labrador is the easternmost province of Canada, in the country's Atlantic region. The province comprises the island of Newfoundland and the continental region of Labrador, having a total size of . As of 2025 the population ...
, the
Colomac Mine in the
Northwest Territories
The Northwest Territories is a federal Provinces and territories of Canada, territory of Canada. At a land area of approximately and a 2021 census population of 41,070, it is the second-largest and the most populous of Provinces and territorie ...
, and the
Kemess Mine
The Kemess Mine was an open-pit copper and gold mine, located just northeast of the foot of Thutade Lake, at the head of the Finlay River, in the Omineca Mountains of the Northern Interior of British Columbia, Canada. It was operated by Royal Oak ...
in
British Columbia
British Columbia is the westernmost Provinces and territories of Canada, province of Canada. Situated in the Pacific Northwest between the Pacific Ocean and the Rocky Mountains, the province has a diverse geography, with rugged landscapes that ...
. The company also had significant interests in minerals in China through Asia Materials (44% share) and Highwood Resources (39% share). The company reported nearly
US$
The United States dollar (Currency symbol, symbol: Dollar sign, $; ISO 4217, currency code: USD) is the official currency of the United States and International use of the U.S. dollar, several other countries. The Coinage Act of 1792 introdu ...
600 million in assets, and a loss of $4.4 million on revenues of US$187 million for fiscal 1996. Its Hopebrook and Colomac mines were closed in 1997. Low gold prices of 1997-1998 caused Royal Oak to go bankrupt in April 1999, and its mining assets were liquidated.
Labour dispute
Royal Oak Mines' operations at the
Giant Mine
The Giant Mine was a gold mine located on the Ingraham Trail, north of Yellowknife, Northwest Territories. Giant Mine was within the Kam Group, a part of the Yellowknife greenstone belt. Gold was discovered on the property and mineral claims ...
in
Yellowknife
Yellowknife is the capital, largest community, and the only city in the Northwest Territories, Canada. It is on the northern shore of Great Slave Lake, about south of the Arctic Circle, on the west side of Yellowknife Bay near the outlet of t ...
became infamous in Canada during the 1990s as the site of a protracted and violent industrial relations dispute that lasted eighteen months. The declining price of gold led to Witte demanding pay cuts, which the Canadian Association of Smelter and Allied Workers union (CASAW) Local 4 refused, arguing that the company was also lax on safety.
The company
locked out the union and flew in
strikebreakers
A strikebreaker (sometimes pejoratively called a scab, blackleg, bootlicker, blackguard or knobstick) is a person who works despite an ongoing strike. Strikebreakers may be current employees ( union members or not), or new hires to keep the org ...
.
On September 18, 1992, at the height of the labour dispute, an explosion in a drift of the mine, 750 ft (230 m) underground, killed nine strikebreakers/replacement workers riding in a man-car.
For 13 months after the blast, the RCMP interrogated hundreds of strikers, their families, and supporters, wiretapping their telephones and searching their houses. Owner Margaret Witte said that there would be no negotiations with the union unless an arrest was made.
Criminal charges
Union member and dismissed miner
Roger Warren later confessed to and was convicted by a jury of nine counts of second degree murder, being sentenced to life imprisonment. In 2004, he blamed Royal Oak Mines, the security company, and his union. He argued that a simple screen and padlock over a broken window would have dissuaded him, and that he was only capable of the bombing because replacement workers had been "dehumanized" by his union.
CAW members Al Shearing and Tim Bettger were sentenced to two and a half and three years in prison, respectively. Both were convicted of painting anti-strikebreaker graffiti and setting an explosion in a ventilation shaft on June 29, 1992. Bettger was sentenced to six more months in prison for blowing a hole in a television satellite dish Sept. 1 of that year.
Civil suit (''Fullowka v. Royal Oak Ventures Inc.'')
The workers' compensation board, on behalf of the surviving family members of the killed replacement workers, launched a $10 million lawsuit against several parties involved in the strike, including Royal Oak Ventures,
Pinkerton's of Canada (the security firm hired by Royal Oak), the union (Canadian Association of Smelter and Allied Workers union (CASAW) Local 4), and the Government of the
Northwest Territories
The Northwest Territories is a federal Provinces and territories of Canada, territory of Canada. At a land area of approximately and a 2021 census population of 41,070, it is the second-largest and the most populous of Provinces and territorie ...
. The compensation board had already paid out a similar amount of funds to the deceased miners' families.
At trial, the
Supreme Court of the Northwest Territories The Supreme Court of the Northwest Territories is the name of two different superior courts for the Canadian territory of the Northwest Territories, which have existed at different times.
The first Supreme Court of the North-West Territories was cr ...
found the defendants liable. Pinkerton security was held responsible for 15% of damages, for failing to adequately secure the mine. The
Canadian Auto Workers
The National Automobile, Aerospace, Transportation and General Workers Union of Canada, commonly known as the Canadian Auto Workers (CAW), was one of Canada's largest labour unions. In 2013, it merged with the Communications, Energy and Paperwork ...
(CAW) was found to have breached its duty of care by doing nothing to stop illegal acts during the strike, paying fines and legal fees for striking miners, providing a person to assist the striking union who prolonged the strike, and failing to bargain in good faith. The court ruled that the cumulative effect of these breaches of the duty of care were found to have materially contributed to
Roger Warren's bombing of the mine. (The unionized miners were part of Local 4 at the time of the strike, and merged into the CAW in May 1994.) The company was found to be 23% responsible for the damages assessed, as they maintained mine operations during the strike, refused to bargain in good faith, and for failing to ensure the safety of the replacement workers.
On appeal to the
Court of Appeal for the Northwest Territories
A court is an institution, often a government entity, with the authority to adjudicate legal disputes between parties and administer justice in civil, criminal, and administrative matters in accordance with the rule of law.
Courts genera ...
, the trial decision was overturned and the defendants were found to not owe the plaintiffs a duty of care.
A further appeal to the
Supreme Court of Canada
The Supreme Court of Canada (SCC; , ) is the highest court in the judicial system of Canada. It comprises nine justices, whose decisions are the ultimate application of Canadian law, and grants permission to between 40 and 75 litigants eac ...
was heard in May 2009. In February 2010 the appeal was dismissed. The Court found that although the security firm and the government owed a duty of care to the replacement workers, that duty was not breached.
Royal Oak Mines v. Canada (Labour Relations Board)
The employer's steadfast refusal to discuss grievance arbitration for these and other dismissed employees constituted the single largest sticking-point in the negotiations. The Canada Labour Relations Board intervened several times during the bargaining process and eventually forced Royal Oak Mines to return to the negotiation table with a previously withdrawn proposal. Royal Oak Mines sought judicial review of this order, with the dispute winding its way through the court system during the first half of the 1990s. This set the stage for significant changes in Canadian labour law as evident in the Supreme Court's 1996 decision in ''Royal Oak Mines v. Canada (Labour Relations Board)'',
996
Year 996 ( CMXCVI) was a leap year starting on Wednesday of the Julian calendar.
Events
By place
Japan
* February - Chotoku Incident: Fujiwara no Korechika and Takaie shoot an arrow at Retired Emperor Kazan.
* 2 March: Emperor ...
1 S.C.R. 369. In his majority decision Mister Justice
Peter Cory
Peter deCarteret Cory, (October 25, 1925 – April 7, 2020) was a puisne judge of the Supreme Court of Canada, from 1989 to 1999.
Early life and education
Born in Windsor, Ontario, the son of Andrew and Mildred (Beresford Howe) Cory, he was educ ...
formulated a distinction between the subjective and objective aspects of the duty to bargain. A 'good faith' requirement forms the subjective aspect of this duty. In contrast, a requirement to 'make every reasonable effort' to conclude a
collective agreement
A collective agreement, collective labour agreement (CLA) or collective bargaining agreement (CBA) is a written contract negotiated through collective bargaining for employees by one or more trade unions with the management of a company (or with a ...
injects an objective standard into the analysis. In this decision Royal Oak Mines was compelled to return to the bargaining table on the basis that its refusal to discuss grievance arbitration with the Canadian Association of Smelter and Allied Workers, Local No. 4, constituted an unreasonable limitation on the bargaining process and thereby represented a lack of good faith. In coming to this conclusion the Court observed that grievance arbitration for dismissed employees was a nearly universal characteristic of collective agreements in Canada.
[The Labour Law Casebook Group, ''Labour and Employment Law: Cases Materials and Commentary'' 7/e. Toronto: Irwin law, 2004 at p. 414.]
References
{{Reflist, 33em
Defunct mining companies of the United States
Canadian Auto Workers
Mining in Canada
Defunct mining companies of Canada
1900 establishments in Washington (state)
Mass murder in Canada
Mass murder in 1992
1990s murders in Canada
1992 crimes in Canada
1992 murders in North America