[ v17 p40 ]
17:0040(13)CA
The decision of the Authority follows:
17 FLRA No. 13 DEPARTMENT OF THE NAVY PORTSMOUTH NAVAL SHIPYARD PORTSMOUTH, NEW HAMPSHIRE Respondent and PORTSMOUTH FEDERAL EMPLOYEES METAL TRADES COUNCIL, AFL-CIO Charging Party Case No. 1-CA-854 DECISION AND ORDER The Administrative Law Judge issued the attached Decision in the above-entitled proceeding, finding that the Respondent had engaged in certain of the unfair labor practices alleged in the complaint, and recommending that it be ordered to cease and desist therefrom and take certain affirmative action. Thereafter, the Respondent filed exceptions to the Judge's Decision. Pursuant to section 2423.29 of the Authority's Rules and Regulations and section 7118 of the Federal Service Labor-Management Relations Statute (the Statute), the Authority has reviewed the rulings of the Judge made at the hearing and finds that no prejudicial error was committed. The rulings are hereby affirmed. Upon consideration of the Judge's Decision and the entire record, the Authority hereby adopts the Judge's findings, conclusions and Recommended Order. See Department of Defense, Department of the Navy, United States Marine Corps, United States Marine Corps Air Station, Cherry Point, North Carolina, 15 FLRA No. 137 (1984). /1A/ ORDER Pursuant to section 2423.29 of the Federal Labor Relations Authority's Rules and Regulations and section 7118 of the Statute, it is hereby ordered that the Portsmouth Naval Shipyard, Portsmouth, New Hampshire shall: 1. Cease and desist from: (a) Failing and refusing to continue to implement Arbitrator William J. Fallon's January 31, 1981 arbitration award by discontinuing Environmental Differential Pay (EDP) payments to employees working in the Rubber Molding and Curing Area of Building 60 on July 27, 1981. (b) In any like or related manner interfering with, restraining or coercing employees in the exercise of their rights assured by the Statute. 2. Take the following affirmative action in order to effectuate the purposes and policies of the Statute: (a) Fully comply with Arbitrator William J. Fallon's January 31, 1981 arbitration award by paying the eight percent (8%) EDP ordered by the arbitrator to the appropriate employees working in the Rubber Molding and Curing Area of Building 60 and make whole any employee who worked in that area during the interim by paying EDP retroactive to July 27, 1981. (b) Post at the Portsmouth Naval Shipyard, Portsmouth, New Hampshire copies of the attached Notice on forms to be furnished by the Federal Labor Relations Authority. Upon receipt of such forms, they shall be signed by the Commander, or his designee, and shall be posted and maintained for 60 consecutive days thereafter, in conspicuous places, including all bulletin boards and other places where notices to employees are customarily posted. Reasonable steps shall be taken to insure that such Notices are not altered, defaced, or covered by any other material. (c) Pursuant to section 2423.30 of the Authority's Rules and Regulations, notify the Regional Director, Region I, Federal Labor Relations Authority, in writing, within 30 days from the date of this Order, as to what steps have been taken to comply herewith. Issued, Washington, D.C., February 26, 1985 Henry B. Frazier III, Acting Chairman William J. McGinnis, Jr., Member FEDERAL LABOR RELATIONS AUTHORITY NOTICE TO ALL EMPLOYEES PURSUANT TO A DECISION AND ORDER OF THE FEDERAL LABOR RELATIONS AUTHORITY AND IN ORDER TO EFFECTUATE THE POLICIES OF CHAPTER 71 OF TITLE 5 OF THE UNITED STATES CODE FEDERAL SERVICE LABOR-MANAGEMENT RELATIONS WE HEREBY NOTIFY OUR EMPLOYEES THAT: WE WILL NOT fail and refuse to continue to implement Arbitrator William J. Fallon's January 31, 1981 arbitration award by discontinuing Environmental Differential Pay (EDP) payments to employees working in the Rubber Molding and Curing Area of Building 60 on July 27, 1981. WE WILL NOT in any like or related manner interfere with, restrain or coerce employees in the exercise of their rights assured by the Statute. WE WILL fully comply with Arbitrator William J. Fallon's January 31, 1981 arbitration award by paying the eight percent (8%) EDP ordered by the arbitrator to the appropriate employees working in the Rubber Molding and Curing Area of Building 60 and make whole any employee who worked in that area during the interim by paying EDP retroactive to July 27, 1981. . . . (Agency or Activity) Dated: . . . By: . . . (Signature) This Notice must remain posted for 60 consecutive days from the date of posting, and must not be altered, defaced, or covered by any other material. If employees have any questions concerning this Notice or compliance with its provisions, they may communicate directly with the Regional Director, Federal Labor Relations Authority, Region I, whose address is: 441 Stuart Street, 9th Floor, Boston, MA 02116 and whose telephone number is: (617) 223-0920. -------------------- ALJ$ DECISION FOLLOWS -------------------- Case No. 1-CA-854 A. Gene Niro, Esq. For Respondent Richard D. Zaiger, Esq. Marilyn Roth, Esq. For General Counsel, FLRA Before: SAMUEL A. CHAITOVITZ Administrative Law Judge DECISION Statement of the Case This is a proceeding arising under the Federal Service Labor-Management Relations Statute, Chapter 71 of Title 5 of the United States Code, 5 U.S.C. 7101, et seq., 92 Stat. 1191 (hereinafter referred to as the Statute), and the Rules and Regulations of the Federal Labor Relations Authority (FLRA), 5 C.F.R.Chapter XIV, Sec. 2410, et seq. A charge was filed on July 29, 1981 and amended on September 30, 1981 by the Portsmouth Federal Employees Metal Trades Council, AFL-CIO (hereinafter called the Union and/or MTC), against Department of the Navy, Portsmouth Naval Shipyard, Portsmouth, New Hampshire (hereinafter called Respondent and/or Portsmouth Naval Shipyard). Pursuant to the above described charge and amended charge, the General Counsel of the FLRA, by the Director of Region I, issued a Complaint and Notice of Hearing on October 9, 1981 alleging that Portsmouth Naval Shipyard violated Sections 7116(a)(1), (5), and (8) of the Statute by failing to comply with an arbitrator's award. Respondent filed an Answer denying it had violated the Statute. A hearing in this matter was conducted before the undersigned in Portsmouth, New Hampshire. Respondent and the General Counsel of the FLRA were represented and afforded full opportunity to be heard, to examine and cross-examine witnesses, to introduce evidence and to argue orally. Post hearing briefs were submitted and have been duly considered. Based upon the entire record in this matter, my observation of the witnesses and their demeanor, and from my evaluation of the evidence, I make the following: Findings of Fact At all times material herein MTC has been the collective bargaining representative for a unit of ungraded and GS employees employed by the Portsmouth Naval Shipyard, with certain exclusions not here relevant, and MTC and Respondent have been parties to a collective bargaining agreement. Employees in the rubber molding and curing area are within the unit described above. Article 20 of the collective bargaining agreement provides that Respondent "shall assign environmental pay to unit employees engaged in hazardous work . . . to the extent permitted and prescribed by applicable regulations." Article 20 further provides for employees and the Union to grieve over any work situation that they feel meets the criteria for an environmental differential found in the regulations /1/ for which Respondent refuses to pay such a differential. MTC filed a grievance that raised many safety issues including, inter alia, the entitlement of employees in the rubber molding and curing area to environmental differential pay. The grievance was taken to arbitration and the matter was heard by Arbitrator William J. Fallon. The matter was presented to Arbitrator Fallon during 4 days of hearing, during which the parties had an opportunity and did submit evidence with respect to the various issues raised in the grievance. Arbitrator Fallon issued his Arbitration Decision on January 31, 1981. The Arbitration Decision stated, inter alia: "Since the decision will necessarily be based on the limited evidence presented, it should not be construed to limit the parties at any time in the future, from making a more particularized presentation with additional evidence on any of the health, safety or pay issues considered herein." /2/ . . . . "The Independent nature of these two subjects (Environmental Pay Differential and Positive Safety Action) is also confirmed by Article 29, Section 8 of the agreement . . . which indicates that when a health impairing condition is found, the remedy provided is not environmental pay, but rather a prohibition of further work until the unsafe condition has been corrected or until adequate protective clothing and/or devices have been provided to affected employees." /3/ . . . . "Finally, if the union is dissatisfied with a particular individual determination, the matter would be deemed grievable under Article 34, Section 1 a. . . . and subject to the various steps of the general grievance procedure, as described in Article 34, Section 2 - 5. Or, if the Union has a more generalized grievance, based on the belief 'that a work situation not listed in (Enclosure (2)) meets the criteria of an established environmental differential category found in Appendix J of FPM Supplement 532-1, that complaint shall be filed in accordance with Article 34, Section 5 . . .' (Article 20, Section 4, quoted below, p. A2)." /4/ "Having considered general engineering controls, there remains for our consideration particular controls, if any, warranted by the hazardous nature of the particular chemicals. With respect to ETU, the Arbitrator is prepared to accept the Employer's representation that NIOSH has concluded that the handling of encapsulated NA-22f results in no occupational exposure, because it is dustless. Nevertheless, the Arbitrator notes that the manufacturer (Dupont), with the concurrence of Mr. Athanasiou of the Industrial Hygiene Department, and Mr. Nelson, the Shop Instructor, still recommends that women of child-bearing potential should not work with that chemical. The Employer has not complied with this recommendation and should do so in the future. As noted above, NIOSH has recommended the monitoring of employee exposure to ETU. The Employer should also comply with that recommendation. Also, as noted above, even in its 'dustless', encapsulated form, when NA-22f is heated - as it is in the curing of rubber - it may be released in vapor form. These vapors should not be breathed, and, therefore, the Arbitrator has already recommended that this problem be controlled by isolation, ventilation and/or respiratory protection. The Employer has claimed that the vapors and smoke released in this area are harmless, having been measured and having produced no test reading in excess of established TLV's. Yet the smoke and vapors were tested for other chemicals-- and not ETU, which, in any event, does not appear to have an established TLV (or at least the Arbitrator is unable to find evidence as to any TLV). Thus the Employer's tests are not sufficient to prove that there are no ETU vapors being released, and therefore the manufacturer's recommendations should be followed." /5/ . . . . "Having considered control measures, there remains for our consideration the question of environmental pay. On the record before us, a high degree hazard differential should be paid to employees working in the molding and curing area at any times when molds were being opened and vapors and smoke, possibly including ETU, were being released. Given the lack of ventilation or personal respiratory equipment, there existed and continues to exist a potential for serious injury from exposure to ETU vapors or fumes, which has not been practically eliminated." /6/ As part of his award Arbitrator Fallon provided: "J. The Employer should monitor the exposure to Ethylene Thiourea of employees assigned to work with it, in accordance with applicable NIOSH monitoring procedures." /7/ . . . . "The Employer violated Article 20, Section 1 by failing to provide the 8% high degree poison (toxic chemicals) differential in the following instances: A. To employees working in the rubber molding and curing area when molds are or were being opened, and/or when vapors and smoke were being released, and ETU was a component ingredient of the rubber being manufactured." /8/ Arbitrator Fallon's award required compliance by Respondent by March 2, 1981. Respondent complied with the award by paying $150,000 in back pay to affected employees in the rubber molding area and by prospectively paying the eight percent environmental differential pay (EDP). Beginning March 2, 1981 Portsmouth Naval Shipyard started taking samples in the rubber molding area analyzing for airborne Ethylene Thiourea (ETU). These tests continued during much of March 1981. On March 5 MTC Chief Steward was officially advised of the described tests. No representative of MTC requested to participate in the testing procedures, but they did review documents relating to the sampling process and were given the NIOSH bulletin on the subject. A copy of the detailed report of the study was forwarded to MTC on June 10, 1981. The report concluded that ETU presence in the air of the rubber molding and curing area was not as high as the threshold limit established by the ETU manufacturer, DuPont. There is no official or government formulated or approved threshold limit for ETU in the air. By letter dated July 20, 1981 Portsmouth Naval Shipyard advised MTC that, as a result of the report, the use of ETU in Building 60 did not meet the criteria for toxic chemical pay as set forth in Appendix J of FPM Supplement 532-1, and, as a result, such pay " . . . to employees who are molding rubber in Building 60 will be paid on a case basis when it appears that exposure to ETU has occurred." On July 27, 1981 Respondent discontinued the eight percent EDP to employees in rubber molding and curing area. The actual job of the employees exposed to ETU in the rubber molding and curing area has not changed since the Arbitrator's Award. Portsmouth Naval Shipyard did not improve or otherwise change the ventilating system or other working conditions in the rubber molding and curing area since the arbitrator's award. The record does not establish that there has been any change in the exposure to airborne ETU of the employees in the rubber molding and curing area since the arbitrator's award. The Portsmouth Naval Shipyard did not file any exceptions to Arbitrator Fallon's Award and did not request a stay. Article 35 of the collective bargaining agreement provides that Respondent and the Union can file grievances. In the past when Respondent determined that it was unwarranted, Respondent would discontinue EDP and the Union would file a grievance to resolve the dispute. Discussion and Conclusions The General Counsel of the FLRA contends that by discontinuing the eight percent EDP for the employees in the rubber molding and curing area Respondent violated Sections 7116(a)(1), (5), and (8) of the Statute because it violated Arbitrator Fallon's award and Sections 7116(a)(1) and (5) of the Statute because Respondent unilaterally changed a term and condition of employment. The Statute provides a procedure for appealing to the FLRA if a party is dissatisfied with an arbitrator's award. Both pursuant to the collective bargaining agreement (Article 35 Section 6) and the Statute, if no exceptions are filed to an arbitrator's award, that award is final and binding. /9/ In the subject case, Respondent filed no exceptions to Arbitrator Fallon's Award and did not utilize the procedures provided by the Statute to secure review of the Award. Accordingly, Arbitrator Fallon's Award is final and binding. In the award Arbitrator Fallon found that "On the record before us a high degree hazard differential should be paid to employees working in the molding and curing area. . . . Given the lack of ventilation or personal respiratory equipment, there existed and continues to exist a potential for serious injury from exposure to ETU vapors or fumes, which has not been practically eliminated." Arbitrator Fallon was clearly making a finding that employees working in the rubber molding and curing area are entitled to EDP. He was not merely saying that in the past conditions existed that justified awarding EDP solely for times past. Rather he was clearly finding that employees working under the then existing conditions were entitled pursuant to the collective bargaining agreement to eight percent EDP. It is a decision that quite obviously continues to apply so long as the working conditions in the rubber molding and curing area remain unchanged. Arbitrator Fallon's Award concluded that Respondent violated Article 20 Section 1 of the collective bargaining agreement "by failing to provide eight percent high degree poison (toxic chemicals) differentials . . . to employees working in the rubber molding and curing area . . ." The entire thrust of the Arbitrator's Decision and Award is that pursuant to the collective bargaining agreement employees working in the rubber molding and curing area were and continue to be entitled to the eight percent EDP and that by failing to pay the eight percent Respondent was violating the contract. Accordingly, it is concluded that Arbitrator Fallon's Decision and Award was intended to and did have both retrospective and prospective effect. This is supported by Arbitrator Fallon's invitation to come back to him with additional evidence. This clearly was appropriate only because the Decision was to have prospective and continuing application. Portsmouth Naval Shipyard did not justify the discontinuance of the eight percent EDP ordered by Arbitrator Fallon on the basis of any change in working conditions in the rubber molding and curing area or because it had improved ventilation or provided the employees with personal respiratory equipment. Rather, Respondent justified its action because it performed studies which, it alleges, show that the ETU level in the rubber molding and curing area was not sufficiently hazardous to justify an eight percent EDP. This, however, was the very matter considered and decided by Arbitrator Fallon. Respondent, after losing the case before Arbitrator Fallon, recognized that it had not submitted sufficiently convincing evidence to persuade Arbitrator Fallon that the rubber molding and curing area was not hazardous. Accordingly, it is attempting to rectify that shortcoming by performing its own tests, making its own determination and then deciding not to comply with Arbitrator Fallon's Decision and Award. This defeats the very purpose of the arbitration process, which is to permit the parties to submit a dispute to an arbitrator of their own choosing and to have that dispute resolved with finality. The absence of finality would frustrate the entire purpose of going to arbitration. Respondent urges that it is entitled to refuse to comply with Arbitrator Fallon's Decision and Award and, if MTC was dissatisfied, MTC should file a new grievance and proceed to Arbitration again to seek a new determination of exactly what Arbitrator Fallon had already decided. Presumably if MTC prevailed again, Respondent would contend that Respondent could again refuse to pay EDP and, not being in noncompliance with the arbitrator's decision, require MTC to resort again to arbitration to enforce the very same right. This could, under Respondent's theory, be repeated over and over, until some arbitrator found in the favor of Respondent. Then, if Respondent is to be consistent, presumably MTC would not be bound by such an arbitrator's award and could file a new grievance over the very same employees and work. All of the above could occur, according to Respondent, with absolutely no change having taken place in the working conditions. Such an interpretation of the effect and result of an arbitration proceeding would render arbitration meaningless and does not permit the parties to establish, with any finality, their obligations. Respondent cites a number of authorities to the effect that an arbitrator's award is not precedential and that the principles, of stare decisis and res adjudicata do not apply to an arbitrator's award. These precedents are inapposite. In those situations the issues involved whether an arbitrator's interpretation of a contract clause is binding in subsequent arbitrations. That is not the situation in the subject case. In the subject case, the precise issue presented and resolved was whether employees in the rubber molding and curing area are entitled to the eight percent EDP. Arbitrator Fallon specifically determined that employees in the rubber molding and curing area are entitled to the EDP. Thus, Respondent's argument that because neither stare decisis nor res adjudicata attaches to arbitration decisions, Arbitrator Fallon's Decision has no prospective effect is rejected. This is further supported by Arbitrator Fallon's Decision wherein he recognized that the record made at the hearing was not as complete as it should have been. Thus he kept jurisdiction over the matter and invited the parties to submit additional evidence on any issue considered. Respondent chose not to abide by Arbitrator Fallon's Decision and not to submit its additional evidence in order to convince Arbitrator Fallon to change his decision. Rather, by discontinuing the EDP, Portsmouth Naval Shipyard chose not to continue to comply with Arbitrator Fallon's award and by so doing Respondent violated Sections 7116(a)(1), (5), and (8) of the Statute. Marine Corps Case, supra. Having concluded that Respondent failed to comply with Arbitrator Fallon's Decision and Award, I need not reach General Counsel of the FLRA's contention that, apart and distinct from the failure to comply with the arbitrator's award, there was a unilateral discontinuance of an existing working condition which violated Sections 7116(a)(1) and (5) of the Statute. /10/ Having found that Respondent violated Sections 7116(a)(1), (5), and (8) of the Statute by its failure to continue to comply with Arbitrator Fallon's Decision and Award, it is concluded that a status quo ante remedy is appropriate. Having found and concluded that Respondent violated Sections 7116(a)(1), (5), and (8) of the Statute, I recommend that the Authority issue the following: ORDER Pursuant to Section 2423.29 of the Federal Labor Relations Authority's Rules and Regulations and Section 7118 of the Statute, it is hereby ordered that Department of the Navy, Portsmouth Naval Shipyard, Portsmouth, New Hampshire shall: 1. Cease and desist from: (a) Failing and refusing to comply with the arbitration award of Arbitrator William J. Fallon issued on January 31, 1981 by failing and refusing to pay an eight percent Environmental to employees working in the Rubber Molding and Curing Area of Building 60. (b) In any like or related manner, interfering with, restraining or coercing employees in the exercise of rights assured by the Federal Service Labor-Management Relations Statute. 2. Take the following affirmative action in order to effectuate the purposes and policies of the Statute: (a) Comply with the arbitration award of Arbitrator William J. Fallon issued on January 31, 1981 by paying an eight percent Environmental Pay Differential to employees in the Rubber Molding and Curing Area of Building 60 and by making whole any employee in the Rubber Molding and Curing Area by making such Environmental Pay Differential retroactive to July 27, 1981. (b) Post at its facilities copies of the Attached notice marked "Appendix" on forms to be furnished by the Federal Labor Relations Authority. Upon receipt of such forms they shall be signed by an authorized representative and shall be posted and maintained for 60 consecutive days thereafter in conspicuous places, including all bulletin boards and other places where notices are customarily posted. Reasonable steps shall be taken to insure that the notices are not altered, defaced or covered by other material. (c) Notify the Federal Labor Relations Authority in writing within 30 days from the date of this Order as to what steps have been taken to comply with the Order. SAMUEL A. CHAITOVITZ Administrative Law Judge Dated: November 30, 1982 Washington, DC APPENDIX PURSUANT TO A DECISION AND ORDER OF THE FEDERAL LABOR RELATIONS AUTHORITY AND IN ORDER TO EFFECTUATE THE POLICIES OF CHAPTER 71 OF TITLE 5 OF THE UNITED STATES CODE FEDERAL SERVICE LABOR-MANAGEMENT RELATIONS STATUTE WE HEREBY NOTIFY OUR EMPLOYEES THAT: WE WILL NOT fail and refuse to comply with the arbitration award of Arbitrator William J. Fallon issued January 31, 1981 by failing to pay an eight percent Environmental Pay Differential to employees working in the Rubber Molding and Curing Area of Building 60. WE WILL NOT in any like or related manner, interfere with, restrain or coerce employees in the exercise of rights assured by the Federal Service Labor-Management Relations Statute. WE WILL comply with the arbitration award of Arbitrator William J. Fallon issued January 31, 1981 by paying an eight percent Environmental Pay Differential to employees in the Rubber Molding and Curing Area of Building 60 and by making whole any employee in the Rubber Molding and Curing Area by making such Environmental Pay Differential retroactive to July 27, 1981. . . . (Agency or Activity) Dated: . . . By: . . . (Signature) This Notice must remain posted for 60 consecutive days from the date of posting and must not be altered, defaced, or covered by any other material. If employees have any questions concerning this Notice or compliance with its provisions, they may communicate directly with the Regional Director of the Federal Labor Relations Authority, Region 1, whose address is: 441 Stuart Street, 9th Floor, Boston, MA 02116, and whose telephone number is (617) 223-1920. --------------- FOOTNOTES$ --------------- /1A/ In view of this conclusion, the Authority finds it unnecessary to determine whether the Respondent's conduct was also in violation of section 7116(a)(5) of the Statute. /1/ The regulations in question are appendix J of FPM Supplement 532-1. /2/ Page 21, Footnote 6 of the Arbitration Decision. /3/ Id of Page 23. /4/ Id at Page 43-44. /5/ Id at Page 64-65. /6/ Id at Page 66. /7/ Id at Page 100. /8/ Id at Page 102-103. /9/ I adopt the reasoning set forth in Department of Defense, Department of the Navy, U.S. Marine Corps, U.S. Marine Corps Air Station, Cherry Point, North Carolina, 4-CA-502, OALJ-82-71 (1982), (hereinafter called the Marine Corps Case) and the cases cited therein. /10/ If it is determined by the FLRA that this issue must be reached I would conclude that the EDP was an existing working condition; that Respondent did not give MTC appropriate advanced notice of its intent to change this working condition and that Respondent presented MTC with an already made and final decision. Accordingly, I would conclude Respondent violated Sections 7116(a)(1) and (5) of the Statute. Cf. Department of the Air Force, Scott Air Force Base, Illinois, 5 FLRA No. 2 (1981) and San Antonio Air Logistics Center (AFLC), Kelly Air Force Base, Texas, 5 FLRA No. 22 (1981). Respondent contends that in the past when it unilaterally discontinued EDP, MTC filed a grievance and therefore Respondent urges that somehow this constitutes a waiver of MTC's right to urge such changes as unfair labor practices. No such waiver was here present because MTC did not clearly and unequivocally waive its right, especially when it sought to protect its rights by other means. A party that seeks to protect its right by one means can hardly be interpreted to waive all other means. To so hold would be to unfairly burden a wronged party. Thus Respondent's contention that there was a waiver is rejected.