Adkins v. Labor Ready, Inc.

185 F. Supp. 2d 628, 2001 WL 1782607
District Court, S.D. West Virginia·Decided September 28, 2001·No. Civ.A.2:00-0884·Published·Cited by 12 cases

Opinion

ORDER

COPENHAVER, District Judge.

This matter is before the court on defendant’s motion to compel arbitration and stay proceedings, filed November 8, 2000. 2

I. Background

Plaintiff filed this proposed class action 3 in the circuit court of Kanawha County, West Virginia, on August 16, 2000, alleging that defendants Labor Ready, Inc., a temporary employment agency, and Labor *631 Ready Mid-Atlantic, Inc., its wholly owned subsidiary (collectively “Labor Ready”) 4 violated “federal and state wage and hour laws and wage payment collection laws” by failing to pay for “call time, training time, travel time, [and] overtime.” (Pl.’s Am. Compl. at XXX, XXXI.) While plaintiffs amended complaint, filed in state court on September 12, 2000, does not identify the “wage and hour laws” under which he proceeds, the plaintiff has since clarified that his claims are made pursuant to the Fair Labor Standards Act (“FLSA”), 29 U.S.C. § 216(b), as well as West Virginia’s Minimum Wage and Maximum Hours Standards for Employees, (“Minimum Wage Act”) West Virginia Code section 21-5C-1 et. seq., and West Virginia’s Wage Payment Collection Act, West Virginia Code section 21-5-1 (“Wage Payment Act”). (Pl.’s Mem. in Suppt.Mot.Amend Compl. at 3-4.) 5

On November 8, 2000, Labor Ready filed a motion to compel arbitration and stay proceedings, on the basis of an arbitration agreement signed by Adkins and each other Labor Ready job applicant. Before potential employees are assigned work through Labor Ready, they must complete an application upon which they “state their work experience and trade skills, authorize Labor Ready to contact previous employers, consent to drug/alcohol testing in the event of work-related injury or illness, sign a release of claims against Labor Ready’s customers, promise to follow Labor Ready’s rules and acknowledge and agree to Defendants’ ‘Poli *632 cy Regarding Dispatch Procedures, Employment and Arbitration.’ ” (Pl.’s Opp.Motion Compel Arbitration at 2.) The arbitration provision is contained within an enclosed box on the employment application, entitled “Policy Regarding Dispatch Procedures, Employment, and Arbitration.” The policy states in its entirety:

I understand that I am not required to work on any particular day and whether I report in to the LABOR READY, INC. dispatch hall is always my choice. Whenever I wish to register my availability to work, I will visit the dispatch hall and sign in. I know that LABOR READY, INC. is not required to find work for .me and is not required to contact me in any way in order to make work available to me. If I do not report to the dispatch hall and sign in, LABOR READY, INC. may assume that I am not available for work on that day.
I understand that after receiving a job assignment, I am free on my own time to leave the dispatch hall and do as I wish until the job assignment starts. I understand the importance of never being late for a job assignment.
If I have a REPEAT TICKET (defined as a request to return to the same job at a later date), I know that I am required to report my availability to LABOR READY, INC. in the manner indicated by the dispatcher at least one (1) hour before the scheduled start time and that if I do not, then LABOR READY, INC. may assume that I am not available to return to work.
I understand that my employment with LABOR READY, INC. is on a day-today basis. That is, at the end of the work day, I will be deemed to have quit unless and until I request and receive a work assignment at a later date.
I agree that any disputes arising out of my employment, including any claims of discrimination, harassment or wrongful termination that I believe I have against Labor Ready and all other employment related issues (excluding only claims arising under the National Labor Relations act or otherwise within the jurisdiction of the National Labor Relations Board) will be resolved by arbitration as my sole remedy. The arbitration shall be conducted by the American Arbitration Association under its Commercial Arbitration Rules and the decision of the arbitrator shall be final and binding. I understand that Labor Ready also agrees to arbitrate in the same manner any claims which the company believes it has against me.
I HAVE READ AND AGREE TO THE ABOVE STATEMENTS

(Def.’s Mot.Compel Arbitration, Exhibit 1, final full paragraph of policy hereinafter “Arbitration Agreement.”) (capitalization in original). Labor Ready contends that the arbitration agreement is valid, covers the plaintiffs claims, and should be enforced.

Plaintiff has filed numerous “consent forms” 6 by current and former employees *633 of Labor Ready who wish to join as plaintiffs in this action. The individuals who have filed consent forms are hereinafter referred to as “opt-in plaintiffs,” as distinguished from named plaintiff Adkins. The consent forms, with the first filed November 26, 2000, and the most recent filed on September 21, 2001, are approximately sixty-three in number.

Plaintiff filed, on December 4, 2000, and December 26, 2000, respectively, a motion for leave to amend the amended complaint, and a supplement to that motion, seeking to add as defendants sixty-four businesses for whom the opt-in plaintiffs worked through Labor Ready (hereinafter “Labor Ready’s customers” or “proposed additional defendants”), on the basis that the proposed additional defendants are “joint employers” of the plaintiff and opt-in plaintiffs along with Labor Ready. The plaintiff contends that because he and the opt-in plaintiffs performed substantially all their work under the control and supervision of Labor Ready’s customers and on their work sites, Labor Ready’s customers are joint employers with Labor Ready pursuant to the “economic reality test.” 7 (Id. at 3-4.)

Both plaintiff and defendant have filed various other motions which are not material to the issue of whether Labor Ready can compel arbitration of the plaintiffs claims against it. 8

II. Discussion

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Adkins v. Labor Ready, Inc., 185 F. Supp. 2d 628, 2001 WL 1782607 (S.D.W. Va. 2001).

185 F. Supp. 2d 628 (Adkins v. Labor Ready, Inc.) — published by Counsel Stack Legal Research, free access to 12M+ legal documents.

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