18:0638(76)CA - Navy, Washington, DC and Service Employees International Union Local 556 -- 1985 FLRAdec CA

[ v18 p638 ]
The decision of the Authority follows:

 18 FLRA No. 76
 Charging Party
                                            Case No. 8-CA-30006
                            DECISION AND ORDER
    This matter is before the Authority pursuant to the Regional
 Director's "Order Transferring Case to the Federal Labor Relations
 Authority" in accordance with section 2429.1(a) of the Authority's Rules
 and Regulations.
    Upon consideration of the entire record, including the stipulation of
 facts, accompanying exhibits and the parties' contentions, the Authority
    The complaint herein alleges that the Respondent, Department of the
 Navy, Washington, D.C., promulgated a directive effective October 1,
 1982, which instituted a change in the established policy of hand
 delivering paychecks to employees located at four of its activities, (1)
 United States Navy, Submarine Force, U.S. Pacific Fleet, Pearl Harbor,
 Hawaii, (2) United States Navy, Naval Submarine Base, Pearl Harbor,
 Hawaii, (3) United States Marine Corps, Marine Barracks, Pearl Harbor,
 Hawaii, and (4) United States Navy, Naval Supply Center, Pearl Harbor,
 Hawaii, hereinafter referred to collectively as the Naval Activities,
 without affording the employees' exclusive representative, Service
 Employees International Union, Local 556, AFL-CIO (the Union), an
 opportunity to bargain over the change, thereby interfering with the
 bargaining relationships between the Union and the individual Naval
 Activities in violation of section 7116(a)(1) and (5) of the Statute.
    The stipulated record shows that the Union is recognized as the
 exclusive representative for units of employees located at the Naval
 Activities which are subordinate activities of the Respondent.  Each
 Activity has a collective bargaining agreement with the Union covering
 these employees.  Prior to October 1, 1982, all employees had the option
 of paycheck hand delivery.  On October 6, 1981, the Respondent issued
 SECNAV Instruction 7200.17, a directive applicable to the Naval
 Activities, establishing a policy that civilian pay for all newly hired
 employees be distributed by direct deposit to a financial institution or
 by mail to a nonwork address.  The directive specifically established
 that the policies regarding pay services were "(t)o distribute civilian
 pay by PDQ/Direct Deposit or mail upon entry of all civilian employees
 hired within DON(,)" and "(w)here feasible, to discontinue hand delivery
 of pay and leave earnings statements for current civilian personnel." In
 addition, the SECNAV Instruction required addressees to "take
 appropriate action to ensure that all activities under their command
 comply with this instruction and with the implementing procedures . . ."
 and take direct responsibility for "(s)upporting the establishment . . .
 by PDQ/Direct Deposit or mail upon entry of all civilian employees hired
 by any DON activity on and after 1 October 1982(.)"
    On July 1, 1982, the Respondent issued a CNO Message to the Naval
 Activities regarding "Policy for Military and Civilian Pay Services,"
 referencing SECNAV Instruction 7200.17, which required the Naval
 Activities to take appropriate action to inform all new hires beginning
 October 1, 1982, that their pay would be forwarded to a designated
 financial institution or mailed to a nonwork address along with leave
 and earnings statements.
    On August 4, 1982, the Naval Activities notified the Union by letter
 that the Respondent had directed that all new hires, beginning October
 1, 1982, be informed that their pay would be forwarded to a designated
 financial institution or mailed to a nonwork address.  The August 4,
 1982, letter solicited the Union's comments by August 20, 1982, prior to
 the implementation of the new policy.
    On August 9, 1982, the Union made a request to bargain with the Naval
 Activities on the substance of t