American Federation of Government Employees v. Nicholson

475 F.3d 341, 374 U.S. App. D.C. 332, 181 L.R.R.M. (BNA) 2133, 2007 U.S. App. LEXIS 846, 2007 WL 92696
CourtCourt of Appeals for the D.C. Circuit
DecidedJanuary 16, 2007
DocketNo. 05-5365
StatusPublished
Cited by27 cases

This text of 475 F.3d 341 (American Federation of Government Employees v. Nicholson) is published on Counsel Stack Legal Research, covering Court of Appeals for the D.C. Circuit primary law. Counsel Stack provides free access to over 12 million legal documents including statutes, case law, regulations, and constitutions.

Bluebook
American Federation of Government Employees v. Nicholson, 475 F.3d 341, 374 U.S. App. D.C. 332, 181 L.R.R.M. (BNA) 2133, 2007 U.S. App. LEXIS 846, 2007 WL 92696 (D.C. Cir. 2007).

Opinion

Opinion for the Court filed by Circuit Judge SENTELLE.

SENTELLE, Circuit Judge.

This case has its roots in a labor dispute between the Department of Veterans Affairs (“VA”) Medical Center in Asheville, North Carolina, and the American Federation of Government Employees, AFL-CIO, Local 446, (“the Union”), which represents operating room nurses who work at the Asheville Medical Center. The Union secured an arbitration award in favor of the Asheville nurses, but a subsequent decision by the VA’s Under Secretary for Health made it impossible for the Union to enforce that award. The Union filed this lawsuit against the Secretary of Veterans Affairs and the VA’s Under Secretary for Health to have that decision declared unlawful, so that the arbitration award could be enforced. The district court dismissed the Union’s lawsuit for lack of subject matter jurisdiction. On this appeal, the Union argues that the district court erred in dismissing the suit and should have ruled in its favor on the merits. For the reasons that follow, we hold that the district court did have jurisdiction over the Union’s complaint. On the merits, however, we hold that the district court should have ruled for the VA defendants.

I. Jurisdiction

A. Background

Title VII of the Civil Service Reform Act of 1978 (“CSRA”), which is codified at title 5, chapter 71 of the U.S.Code, authorizes most federal employees to collectively bargain over the “conditions of [their] employment.” See 5 U.S.C. § 7102(2). The collective bargaining rights of doctors and nurses employed by the VA, however, are more limited. In Colorado Nurses Ass’n v. FLRA, 851 F.2d 1486 (D.C.Cir.1988), we held that the Secretary of the VA had the authority to set the conditions of employment for these employees by regulation and that VA medical professionals did not have a right to mandatory collective bargaining. Colo. Nurses, 851 F.2d at 1492. Following that decision, in 1991 Congress passed a new statute providing that:

Except as otherwise specifically provided in this title, the authority of the Secretary to prescribe regulations under section 7421 of this title is subject to the right of Federal employees to engage in collective bargaining with respect to conditions of employment through representatives chosen by them in accordance with chapter 71 of title 5 (relating to labor-management relations).

[336]*336Department of Veterans Affairs HealthCare Personnel Act, Pub.L. No. 102-40, title II, § 202, 105 Stat. 187, 200 (1991), codified at 38 U.S.C. § 7422(a). Chapter 71 of title 5 governs federal employees’ labor relations generally, including grievance procedures under collective bargaining agreements. 5 U.S.C. §§ 7121-7123. In other words, 38 U.S.C. § 7422(a) gives VA medical professionals the right to bargain according to the rules set out in chapter 71 of title 5, subject to limitations “specifically provided” in title 38. Title 38 imposes three substantive limitations on the VA nurses’ bargaining rights under title 5:

Such collective bargaining (and any grievance procedures provided under a collective bargaining agreement) in the case of employees described in section 7421(b) of this title may not cover, or have any applicability to, any matter or question concerning or arising out of (1) professional conduct or competence, (2) peer review, or (3) the establishment, determination, or adjustment of employee compensation under this title.

38 U.S.C. § 7422(b). The third of these limitations — matters concerning employee compensation — is at issue in this case. In addition, Congress authorized the VA Secretary to determine whether a matter is subject to collective bargaining or instead falls under one of the three listed exceptions. As applicable to this case, the statute provides that “[a]n issue of whether a matter or question concerns or arises out of ... the establishment, determination, or adjustment of employee compensation under this title shall be decided by the Secretary and is not itself subject to collective bargaining and may not be reviewed by any other agency.” Id. § 7422(d). The VA Secretary has delegated this § 7422(d) authority to the Under Secretary for Health.

Pursuant to their collective bargaining rights under 38 U.S.C. § 7422(a) and chapter 71 of title 5, operating room nurses at the VA Medical Center in Asheville, North Carolina are represented by the plaintiff Union, AFGE Local 446. The Asheville Medical Center is subject to a nationwide collective bargaining agreement (“CBA”) between the American Federation of Government Employees and the VA. In February 1999 AFGE Local 446 filed a grievance. The Union claimed that, under the CBA, operating room nurses at the Medical Center were entitled to “premium pay” for any hours worked at night or on weekends. The Medical Center disagreed. The grievance went to arbitration, and in December 1999 the arbitrator ruled in favor of the Union. The arbitrator concluded that operating room nurses were entitled to premium pay for night and weekend work, and ordered appropriate back pay dating to the filing of the grievance. The details of the grievance, which are not relevant to the question of the district court’s jurisdiction over this lawsuit, are discussed at greater length in section II of this opinion.

An arbitrator’s award may be appealed to the Federal Labor Relations Authority (“FLRA”), but in this case the Medical Center waited too long before filing its appeal,1 and the FLRA dismissed the appeal as untimely. The Medical Center refused to recognize the award. It is an unfair labor practice (“ULP”) for a federal agency to fail to comply with a valid arbitration award, see Dep’t of Health & Human Servs. v. FLRA 976 F.2d 1409, 1413 (D.C.Cir.1992), so to enforce the award the Union filed a ULP charge with the FLRA. In September 2000 the FLRA [337]*337served a ULP complaint on the Medical Center.

Meanwhile, by letter of February 14, 2000, the Medical Center had requested a determination from the VA that the arbitrator lacked the authority to rule on the Union’s grievance, on the grounds that 38 U.S.C. § 7422(b) excludes matters concerning the determination of employee compensation from the bargaining and grievance process. Several months later, the VA Under Secretary for Health returned the Medical Center’s request for a § 7422 determination. The Under Secretary instructed the Center to first attempt to resolve the matter through consultation with the Union, pursuant to the collective bargaining guidelines then in effect between the AFGE and the VA. Negotiations failed, and in October 2000 the Medical Center again requested a ruling from the Under Secretary.

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Bluebook (online)
475 F.3d 341, 374 U.S. App. D.C. 332, 181 L.R.R.M. (BNA) 2133, 2007 U.S. App. LEXIS 846, 2007 WL 92696, Counsel Stack Legal Research, https://law.counselstack.com/opinion/american-federation-of-government-employees-v-nicholson-cadc-2007.