Coburn v. Rockwell Automation, Inc.

238 F. App'x 112
CourtCourt of Appeals for the Sixth Circuit
DecidedJune 29, 2007
Docket06-3663
StatusUnpublished
Cited by24 cases

This text of 238 F. App'x 112 (Coburn v. Rockwell Automation, 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
Coburn v. Rockwell Automation, Inc., 238 F. App'x 112 (6th Cir. 2007).

Opinion

GRIFFIN, Circuit Judge.

Plaintiff-appellant James Coburn began working as a software engineer for defendants-appellees Rockwell Automation, Inc., and Rockwell Software, Inc. (collectively “Rockwell”) in 1979. In 2003, Rockwell laid off Coburn and six other employees as part of a reduction in force (“RIF”). In 2004, Coburn sued Rockwell in Ohio state court, asserting a claim for age discrimination pursuant to Ohio Rev.Code §§ 4112.02 and 4112.99; Rockwell removed the case to the United States District Court for the Northern District of Ohio (“the district court”) pursuant to 28 U.S.C. § 1441, and, in 2006, the district court granted summary judgment to Rockwell.

The district court determined that Co-burn had made out a prima facie case of age discrimination but failed to show a genuine issue as to whether Rockwell’s stated reasons for his inclusion in the RIF (the need to reduce the budget, and the determination that his functions could be eliminated or assumed by other employees with the least harm to the business) were a pretext for age discrimination. The district court granted summary judgment to Rockwell, and Coburn timely appealed. For the reasons that follow, we reverse.

I.

From 1979 until his layoff in 2003, Co-burn worked as a software engineer for Rockwell and its predecessor; at all times, he was an at-will employee. At the time of his layoff, Coburn was Director of Application Programs. Coburn reported directly to Tim Reckinger, with a “dotted line” report — whatever that is — to Steve Zink. Rockwell Automation created its subsidiary Rockwell Software in 1994, and Co-burn transferred to the subsidiary in 1998.

For the three years prior to Coburn’s layoff in 2003, he worked on a product called the Control Planner Simulator (“CPS”), which simulates the operation of a control system on a computer. Coburn also worked as product manager for the *114 Virtual PLC project (‘VPLC”), which had been jointly developed by Rockwell and Ford Motor Company (“Ford”). Coburn worked on a third Rockwell product called RS TestStand, which was similar to the CPS. In addition to helping to write the specifications for RS TestStand, Coburn was in charge of planning and marketing the project in the general marketplace, and he was the primary contact with Ford and RS TestStand’s other customers. Co-burn met his performance goals every year that he worked for Rockwell.

In late 2001, Rockwell Software President Rich Ryan told Coburn that business conditions warranted the termination of the VPLC project with Ford. Ryan, supervisor Reckinger, and Coburn met with Coburn’s Ford counterpart to discuss the issue.

Rockwell alleges that the shutdown of the VPLC project would have resulted in the termination of the jobs of Coburn and his subordinates, all of whom were younger than him, but ultimately it did not terminate the project.

In fiscal year (“FY”) 2001 and 2002, Rockwell Software did not meet its projected revenue and earnings targets, and, in August 2003, it identified a gap of $1.7 million between projected costs and earnings for FY 2004, which started on October 1, 2003.

Ryan convened meetings with Larry Brown, Ralph Lalone, Brandon Ekberg, John Baier, and Ralph Kappelhoff to discuss ways to make up the shortfall for FY 2004. They discussed eliminating or delaying incentive and bonus payments, requiring high-level employees to take a week without pay, and spreading out software development costs over the life of the product to reduce up-front expenses. Ryan and the team determined that these actions would reduce the FY 2004 gap only by $1.2 million, leaving $500,000 in anticipated shortfall.

President Ryan and the team determined that about seven people would be RIF’d (i.e., laid off as part of the reduction in force). Rockwell claims that it chose whom to RIF based on how the elimination of their positions would affect business continuity, skill sets, and cash flow. Rockwell claims that it began by analyzing which product lines were or were not generating cash, with an eye towards protecting the lines that were generating the most cash. According to GM Kappelhoff, the team’s second step was to consider the product lines that were not performing well, noting that in some cases the company had two people with the same job.

GM Kappelhoff asked the team to determine how reducing investment in the VPLC project would risk Rockwell’s minimum commitment to Ford, its partner in the project. The team informed Kappelhoff that Rockwell could not simply reduce its investment in VPLC to zero because the VPLC product was not yet functionally complete. The team then considered whether Rockwell could meet its commitment to Ford by just continuing the development of VPLC without doing much marketing; Reckinger concluded Rockwell could do so.

It is undisputed that Coburn’s main duties were in marketing the VPLC project. The record suggests that his responsibilities in terms of product development were largely supervisory; most of the actual work was done by his subordinates. Ryan states that the team concluded that others could assume Coburn’s supervisory duties in non-VPLC areas.

President Ryan and the cost-cutting team identified seven individuals to RIF: Coburn (who was 55 at the time of the RIF), David Kebbekus (47), Jeffrey Hamilton (46), Collins Gittings (45), David Lillie *115 (43), Sam Main (43), and Daniel Woodward (34). Rockwell laid off Coburn on September 29, 2003, two days before the start of FY 2004. Rockwell paid Coburn $54,000 in severance, including a bonus and five months salary.

The remaining development, relationship management, and other functions of Co-burn’s position were absorbed by Reckinger (42 at the time of the RIF), Zink (45), Felicia Moore (44), Sudhi Bangalore (39), and Myron Shawala (33).

After Rockwell laid Coburn off, he applied in November 2003 for two positions at Rockwell: Software Manager and Program Manager-Automotive Solutions. Mary McDonald, the hiring manager for the Software Manager position, conducted telephone screening of applicants for that position; she chose not to call Coburn for two reasons. First, McDonald found Co-burn’s qualifications to be inadequate because he lacked the necessary front-line sales experience, which she defined as “[a]etually being assigned to a sales office that daily communicates with field salespeople as well as customers.” Second, McDonald did not consider Coburn suitable because of her prior experience working with him. McDonald hired a 32-year-old external applicant named Michael Campbell.

Wiley Wolfe, the hiring manager for the Program Manager-Automotive Solutions position, compiled and posted a list of minimum qualifications and desired qualifications. Wolfe claims that he never became aware that Coburn had applied. Wolfe hired 43-year-old applicant John Diurba. Coburn concedes that Diurba was qualified, but alleges that Wolfe chose Diurba rather than him because of age discrimination.

According to Rockwell, its hiring process begins with its hiring manager providing a list of minimum qualifications and preferred qualifications to a recruiter, who then screens applications received online.

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238 F. App'x 112, Counsel Stack Legal Research, https://law.counselstack.com/opinion/coburn-v-rockwell-automation-inc-ca6-2007.