National Treasury Employees Union, Chapter 72 (Union) and United States, Department of the Treasury, Internal Revenue Service, Austin Service Center, Austin, Texas (Agency)

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58 FLRA No. 105

NATIONAL TREASURY EMPLOYEES
UNION, CHAPTER 72
(Union)

and

UNITED STATES
DEPARTMENT OF THE TREASURY
INTERNAL REVENUE SERVICE
AUSTIN SERVICE CENTER
AUSTIN, TEXAS
(Agency)

0-AR-3528

_____

DECISION

April 2, 2003

_____

Before the Authority: Dale Cabaniss, Chairman, and
Carol Waller Pope and Tony Armendariz, Members [n1] 

I.     Statement of the Case

      This matter is before the Authority on an exception to an award of Arbitrator Don B. Hays filed by the Union under § 7122(a) of the Federal Service Labor-Management Relations Statute (the Statute) and part 2425 of the Authority's Regulations. The Agency filed a response to the Union's exception.

      The Arbitrator sustained the grievance and awarded the grievant backpay. However, the Arbitrator limited interest on the backpay to the period from the time the grievance was filed until the date the arbitration hearing began. We find that the interest payment ordered by the Arbitrator is deficient, and we modify the award to comport with the Back Pay Act, 5 U.S.C. § 5596(b)(2)(B)(i), and implementing regulations, 5 C.F.R. § 550.806(a)(2).

II.     Background and Arbitrator's Award

      The parties submitted to arbitration the issue of whether the grievant had performed sufficient higher-graded duties to be entitled to a temporary promotion under the parties' collective bargaining agreement. The Arbitrator determined that she had and awarded her backpay "for the period from January 1, 1993, through September 30, 1998." Award at 23. With respect to interest on the awarded backpay, the Arbitrator ordered as follows: "However, the claim for interest on such amount shall be calculated only for the period from the time the grievance was filed until the original date arbitration began (June 21, 2000)." Id. at 24 (emphasis in original).

III.     Positions of the Parties

      The Union contend