54:0700(73)AR - - Laborer's International Union of North America, Local 1376 and HHS, Public Health Service, Navajo Area Indian Health Service - - 1998 FLRAdec AR - - v54 p700



[ v54 p700 ]
54:0700(73)AR
The decision of the Authority follows:


54 FLRA No. 73

FEDERAL LABOR RELATIONS AUTHORITY

WASHINGTON, D.C.

_____

LABORERS' INTERNATIONAL UNION OF NORTH AMERICA

LOCAL 1376

(Union)

and

U.S. DEPARTMENT OF HEALTH AND HUMAN SERVICES

PUBLIC HEALTH SERVICE

NAVAJO AREA INDIAN HEALTH SERVICE

(Agency)

0-AR-3006

_____

DECISION

July 31, 1998

_____

Before the Authority: Phyllis N. Segal, Chair; Donald S.

Wasserman and Dale Cabaniss, Members.

Decision by Member Wasserman for the Authority.

I. Statement of the Case

This matter is before the Authority on an exception to an award of Arbitrator Gerry L. Fellman filed by the Union under section 7122(a) of the Federal Service Labor-Management Relations Statute (the Statute) and part 2425 of the Authority's Regulations. The Agency filed an opposition to the Union's exception.

The Arbitrator denied the Union's request for an award of attorney fees. We find that the Union fails to establish that the award is deficient. Accordingly, we deny the Union's exception.

II. Background and Arbitrator's Awards

In the underlying matter, the Arbitrator resolved the grievance over whether 15 employees were entitled to standby pay. Examining the facts and circumstances of each employee's claim, the Arbitrator sustained the grievance as to 8 of the 15 employees and awarded those employees backpay.

Thereafter, the Union filed a request for an award of attorney fees. The Arbitrator denied the Union's request. He concluded that an award of fees was not warranted in the interest of justice, as asserted by the Union. He determined that the Agency did not know and should not have known that it would not prevail on the merits. He found that this case was heavily fact intensive such that the Agency could not be reasonably certain what the determinative facts would be and to what extent they might differ from those found in a similar arbitration case between the parties.

The Arbitrator also determined that the grievance did not render a service to the Federal workforce or a benefit to the public so as to warrant an award of fees under either of these criteria, as set forth in Naval Air Development Center, Department of the Navy and American Federation of Government Employees, Local 1928, AFL-CIO, 21 FLRA 131 (1986) (NADC). He compared this case to NADC, where fees were warranted on the basis of a grievance to correct an environmental hazard affecting a segment of the workforce, and American Federation of Government Employees, SSA General Committee and Department of Health and Human Services, Social Security Administration, 48 FLRA 1055 (1993) (SSA), where fees were not warranted because the grievance only benefited a small group of employees. He determined that this case was more like SSA. He found that as a result of a new collective bargaining agreement, it was unlikely that similar disputes would arise between the parties. He also explained that the results in this case were very fact and case specific and that the benefits of the grievance were limited to the prevailing grievants. Consequently, he was not persuaded that the grievance served the Federal workforce or benefited the public sufficiently to justify the award of fees in the interest of justice within the meaning of NADC.

III. Positions of the Parties

A. Union's Exception

The Union contends that the award is contrary to law. The Union maintains that an award of attorney fees is warranted in the interest of justice in this case.

The Union argues that an award of fees is warranted in the interest of justice because the Agency knew or should have known that it would not prevail on the merits of the claims sustained by the Arbitrator because of the previous arbitration award between the parties finding employees in similar circumstances entitled to standby pay.

The Union also argues that an award of fees is warranted in the interest of justice because the grievance provided a service to the Federal workforce and a benefit to the public by establishing precedent that delineates basic issues in standby cases.

Finally, the Union claims that this is the type of case in which attorney fees ought to be awarded as a matter of equity in the public interest.

B. Agency's Opposition

The Agency contends that the Union's exception should be denied. The Agency argues that the Arbitrator's determinations on the interest of justice are fully consistent with law.

IV. Analysis and Conclusions

A. Standard of Review

When an exception to an award involves the consistency of the award with law, we review the questions of law raised by the award and the exception de novo. See National Treasury Employees Union, Chapter 24 and U.S. Department of the Treasury, Internal Revenue Service, 50 FLRA 330, 332 (1995). In applying a standard of de novo review, we assess whether the arbitrator's legal conclusions are consistent with the applicable standard of law. See National Federation of Federal Employees, Local 1437 and U.S. Department of the Army, Army Research, Development and Engineering Center, 53 FLRA 1703, 1710 (1998). In making that assessment, we defer to the arbitrator's underlying factual findings. See id.

B. Interest-of-Justice Standard

The Back Pay Act, 5 U.S.C. § 5596, requires that an award of attorney fees must be in accordance with the standards established under 5 U.S.C. § 7701(g). Section 7701(g)(1), which applies in this case, requires that an award of fees must be warranted in the interest of justice. When exceptions concern the interest-of-justice standard under section 7701(g)(1), we look to the decisions of the Federal Circuit and the Merit Systems Protection Board (MSPB) for guidance in determining whether the award is deficient. See U.S. Departmen