Akins v. Zeneca, Inc.

62 F.3d 1417, 151 L.R.R.M. (BNA) 2736, 1995 U.S. App. LEXIS 28976, 1995 WL 452087
CourtCourt of Appeals for the Sixth Circuit
DecidedJuly 27, 1995
Docket94-5132
StatusUnpublished
Cited by6 cases

This text of 62 F.3d 1417 (Akins v. Zeneca, Inc.) is published on Counsel Stack Legal Research, covering Court of Appeals for the Sixth Circuit primary law. Counsel Stack provides free access to over 12 million legal documents including statutes, case law, regulations, and constitutions.

Bluebook
Akins v. Zeneca, Inc., 62 F.3d 1417, 151 L.R.R.M. (BNA) 2736, 1995 U.S. App. LEXIS 28976, 1995 WL 452087 (6th Cir. 1995).

Opinion

62 F.3d 1417

151 L.R.R.M. (BNA) 2736

NOTICE: Sixth Circuit Rule 24(c) states that citation of unpublished dispositions is disfavored except for establishing res judicata, estoppel, or the law of the case and requires service of copies of cited unpublished dispositions of the Sixth Circuit.
Albert AKINS, et al., Plaintiffs-Appellants,
Tony Brock, et al., Plaintiffs,
v.
ZENECA, INC.; Rhone-Poulenc, Inc.; Rhone-Poulenc Basic
Chemicals Co,; Stauffer Chemical Co.; International Union of
Operating Engineers, AFL-CIO; Local 912 International Union
of Operating Engineers, AFL-CIO, Defendants-Appellees.

No. 94-5132.

United States Court of Appeals, Sixth Circuit.

July 27, 1995.

Before: CONTIE, MILBURN and SILER, Circuit Judges.

PER CURIAM.

Plaintiff Albert Akins and 39 co-plaintiffs, all members of the Local 912 International Union of Operating Engineers ("Local 912") and former employees of Rhone-Poulenc, Inc. ("R-P"), challenge the district court's grant of summary judgment, Fed. R. Civ. P. 56(c), and/or judgment as a matter of law, Fed. R. Civ. P. 50, to Defendants R-P, Zeneca, Inc. (formerly ICI Americas Inc. and hereafter "ICIA"), the International Union of Operating Engineers ("IUOE"), and Local 912 on plaintiffs' claims under Sec. 301 of the Labor Management Relations Act and state law. For the reasons stated herein, we affirm the decision of the district court.

I.

As determined by the district court, the following facts are not in dispute:

Stauffer Chemical Company owned and operated two chemical plants in Mt. Pleasant, Tennessee. One, which is commonly called the "furnace plant," produced phosphorous. The other, which is commonly called the "organic plant," produced herbicides and pesticides. Workers at both plants were represented by Local 912. These workers constituted a single collective bargaining unit with one common seniority list. One collective bargaining agreement ("CBA") governed the terms of employment for both plants.

In 1982, Stauffer proposed splitting the single collective bargaining unit into two separate units. Local 912 strongly objected to the proposal. However, after negotiations, the parties reached an agreement. Local 912 consented to divide the furnace plant and the organic plant employees into separate bargaining units, provided that Stauffer would permit workers at each plant to "cross-bump" to the other plant. This meant in the event of layoff at one plant, a senior employee from that plant could transfer to the other plant and displace a junior employee. The parties memorialized their bargain in a memorandum of agreement, commonly referred to as the "cross-bumping agreement."

At roughly the same time that they executed the cross-bumping agreement, Local 912 and Stauffer entered into two new CBAs: one for the furnace plant and the other for the organic plant. Each CBA provided that the cross-bumping agreement "shall be considered as supplemental to the [CBA] between the parties ... and shall remain in full force and effect during the period of such [CBA] unless modified by the parties in writing." These CBAs remained in effect for three years.

In 1985, Local 912 and Stauffer negotiated new three-year CBAs for the two plants, each providing that the cross-bumping agreement was supplemental and that it would remain in effect for the duration of the current CBAs. In July 1987, prior to the expiration of the 1985 CBAs, various corporate affiliates of a multinational corporation, Imperial Chemical Industries, P.L.C., purchased Stauffer. One of these affiliates retained the organic plant and merged into defendant ICIA. The other affiliates operated Stauffer's other facilities for a short period before selling them to unrelated companies near the end of 1987. Defendant R-P purchased the furnace plant in December 1987.

Upon the expiration of the 1985 CBAs, each of the new owners negotiated its own CBA with Local 912. During the negotiations, ICIA and R-P Basic tried to persuade Local 912 to delete all references to the cross-bumping agreement. The union, however, refused. The 1988 CBAs for both companies stated that the cross-bumping was considered supplemental and that it would remain in effect for the duration of the CBAs.

In June 1990, R-P Basic announced that it was going to close the furnace plant and that layoffs were expected to begin in February 1991. Anticipating that the organic plant employees and ICIA would seek to rescind the cross-bumping agreement, Local 912's business manager, James Kincade, sought the advice of the IUOE. In a letter dated June 26, 1990, Kincade wrote to Frank Hanley, General President of the IUOE, and inquired whether Section XXIV(11)(e) of the IUOE Constitution, which requires that proposed modifications to CBAs be "approved by the membership affected," would permit the organic plant bargaining unit to rescind the cross-bumping agreement without the consent of the furnace plant bargaining unit. President Hanley's reply did not answer Kincade's question.

On October 16, 1990, pursuant to the advice of its local counsel, Local 912 filed a declaratory judgment action in this Court against ICIA and R-P Basic, asking the district court to "declare whether employees from the R-P Furnace Plant have the right to bump employees in the ICI[A] organic plant pursuant to the [cross-bumping] agreement."

After commencement of the declaratory judgment action, R-P Basic indicated for the first time that the layoffs might be delayed. In fact, the first layoffs did not begin until July 1991. As the expiration of the organic plant CBA approached, the furnace plant employees became increasingly anxious that the organic plant employees would delete the cross-bumping agreement from their new CBA with ICIA. Nevertheless, Kincade assured them that nothing that ICIA might do could affect their right to transfer pursuant to the cross-bumping agreement.

On June 11, 1991, ICIA and Local 912 entered into a new CBA. As the furnace plant employees had feared, the parties deleted all references to the cross-bumping agreement. At a meeting with the furnace plant employees, Kincade informed them that he decided that ICIA could affect their transfer rights. He also indicated that Local 912 had dismissed the declaratory judgment action as moot. Upset with this news, several of the plaintiffs wrote to Frank Hanley, General President of the IUOE, seeking advice. Hanley responded that the matter was purely local and did not concern the IUOE.

In August, 1991, subsequent to some layoffs, Kincade assisted in filing a grievance with R-P. R-P denied the grievance, insisting that it had fulfilled all of its obligations under the the cross-bumping agreement. R-P then provided forms on which employees could request a job with ICIA and submitted the forms to ICIA. ICIA, however, returned the forms.

In November 1991, plaintiffs sued the defendants for violations of Sec. 301 of the LMRA, 29 U.S.C. Sec. 185; the union constitution; and state law.

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62 F.3d 1417, 151 L.R.R.M. (BNA) 2736, 1995 U.S. App. LEXIS 28976, 1995 WL 452087, Counsel Stack Legal Research, https://law.counselstack.com/opinion/akins-v-zeneca-inc-ca6-1995.