Collins v. Dollar Tree Stores, Inc.

788 F. Supp. 2d 1328, 2011 U.S. Dist. LEXIS 45061, 111 Fair Empl. Prac. Cas. (BNA) 1834, 2011 WL 1496006
CourtDistrict Court, N.D. Alabama
DecidedMarch 31, 2011
DocketCivil Action 2:08-cv-01267-AKK
StatusPublished
Cited by1 cases

This text of 788 F. Supp. 2d 1328 (Collins v. Dollar Tree Stores, Inc.) is published on Counsel Stack Legal Research, covering District Court, N.D. Alabama primary law. Counsel Stack provides free access to over 12 million legal documents including statutes, case law, regulations, and constitutions.

Bluebook
Collins v. Dollar Tree Stores, Inc., 788 F. Supp. 2d 1328, 2011 U.S. Dist. LEXIS 45061, 111 Fair Empl. Prac. Cas. (BNA) 1834, 2011 WL 1496006 (N.D. Ala. 2011).

Opinion

MEMORANDUM OPINION

ABDUL K. KALLON, District Judge.

Before the court are Defendant Dollar Tree Stores, Inc.’s (“Dollar Tree” or “Defendant”) Motion to Decertify, (doc. 165), and Motion to Strike, (doc. 176), and Plaintiffs Cynthia Ann Collins and Beryl Dauzat’s (“Plaintiffs”) Motion to Strike, (doc. 186). Defendant asserts that decertification is warranted here because Plaintiffs are statutorily limited to claims involving employees from their individual stores. In its discretion, the court DENIES the parties’ respective motions to strike, and, after considering the parties’ submissions and as stated more fully below, the court GRANTS, in part, Defendant’s motion to decertify. 1

I. BACKGROUND

A. Statutory Background

Plaintiffs allege that Defendant pays its female store managers less than its male store managers, in violation of the Equal Pay Act of 1963, 29 U.S.C. § 206(d) (“EPA”), 2 an amendment to the Fair Labor Standards Act of 1938, 29 U.S.C. §§ 201 et seq. (“FLSA”). The EPA provides, in relevant part, that:

(1) No employer having employees subject to any provisions of this section shall discriminate, within any establishment in which such employees are employed, between employees on the basis of sex by paying wages to employees in such establishment at a rate less than the rate at which he pays wages to employees of the opposite sex in such establishment for equal work on jobs the performance of which requires equal skill, effort, and responsibility....

29 U.S.C. § 206(d) (emphasis added). The EPA also provides several non-discriminatory grounds employers can base disparate pay on without violating the EPA. See id.

Plaintiffs assert their EPA claims on behalf of those similarly situated pursuant to FLSA § 216(b), which includes a provision for employees to bring collective ac *1331 tions against employers who violate any of the provisions of § 206 or § 207, which includes the EPA, by “any one or more employees for and in behalf of himself and other employees similarly situated.” See 29 U.S.C. § 216(b). A collective action gives “plaintiffs the advantage of lower individual costs to vindicate rights by the pooling of resources. The judicial system benefits by efficient resolution in one proceeding of common issues of law and fact arising from the same alleged discriminatory activity.” Hoffmann-La Roche Inc. v. Sperling, 493 U.S. 165, 170, 110 S.Ct. 482, 107 L.Ed.2d 480 (1989). These two provisions, § 206(d) and § 216(b), provide the underpinning of Plaintiffs’ claims and set the backdrop for the motion for decertification.

B. Procedural Background

At an earlier stage of this case, Judge William B. Acker, Jr. conditionally certified Plaintiffs’ collective action to facilitate notice to a nationwide class of opt-in plaintiffs. See doc. 67. “With some trepidation,” Judge Acker concluded that Plaintiffs might be able to show that they were similarly situated and that the relevant EPA establishment was larger than a single Dollar Tree store, but such a showing could only be made after discovery. Doc. 66 at 7-8. Thereafter, Chief Judge Sharon Blackburn ordered limited discovery on the “establishment issue” on November 10, 2009. Doc. 149. Both Judge Acker and Chief Judge Blackburn viewed the “establishment issue” as a necessary and crucial component to Plaintiffs’ ability to proceed with a collective action because it helped illustrate whether Plaintiffs could satisfy § 216(b)’s “similarly situated” requirement. See Anderson v. Cagle’s, Inc., 488 F.3d 945, 952-54 (11th Cir.2007) (affirming the decertification of a class after its conditional certification where discovery showed that the plaintiffs were not “similarly situated” with respect to various defenses available to the defendant and the plaintiffs’ disparate employment settings).

Plaintiffs want this court to revisit the bifurcation of discovery and not limit the evidence to only the establishment issue, but instead allow farther discovery to help ascertain whether the opt-in plaintiffs are, in fact, similarly situated, regardless of their physical location. See doc. 172 at 56. While the parties acknowledge that an analysis of the proper “establishment” typically arises to identify a plaintiffs possible comparators, see docs. 166 at 38; 172 at 10, Judge Acker and Chief Judge Blackburn agreed to limit discovery initially to the establishment issue. This bifurcation is sufficient for the court to rule on Defendant’s present motion.

C. Factual Background

(i) Management Structure

Defendant operates over 3,900 discount retail stores in 48 states. McDearmon Decl. at ¶ 3 (doc. 166-1). The stores vary in size, ranging from 2,500 to 33,711 square feet, and sales volume, from $400,000 to $6,300,000, and have anywhere from 5 to 72 employees. Id. at ¶ 5. The stores are organized into 318 Districts, 10-15 stores per District, and 25 Regions, with about 13 Districts per Region, and those Regions are divided into four Zones. Id. at ¶ 6. Each store is run by a Store Manager (“SM”), who superases assistant managers and hourly employees and performs a variety of duties in his or her store. Id. at ¶¶4-5. Each district is headed by a District Manager (“DM”), who supervises and trains the SMs, often with the help of an Area Manager, who assists the DM while awaiting his or her own promotion to DM. Id. at ¶ 7. Each region is headed by a Regional Director (“RD”), who oversees the DMs in his or her region, *1332 and each zone is headed by a Zone Vice President (“VP”), who supervises the RDs and reports to the VP of Operations at Defendant’s headquarters in Virginia. Id. at ¶ 8.

(ii) Hiring and Placing Store Managers

When a SM position opens, the DM for that district recruits and selects the group of candidates appropriate for the particular store that has the opening. Lewis Decl. ¶¶ 4,10 (doc. 166-12); Head Dep. pp. 29-35 (doc. 171-4); Becker Decl. ¶ 9 (doc. 166-5). The DM interviews the SM candidates and makes the hiring decision for each store in his or her district, even if he or she includes the RD or a member of Human Resources (“HR”) in the decision-making process. Felix Dep. p. 81 (doc. 166-7); Risiott Decl. ¶ 4 (doc. 166-3); Kennedy Dep. pp. 43-45 (doc. 166-6); Head Dep. pp. 29-35 (doc. 171-4); Lewis Decl. ¶¶ 4, 10 (doc.

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788 F. Supp. 2d 1328, 2011 U.S. Dist. LEXIS 45061, 111 Fair Empl. Prac. Cas. (BNA) 1834, 2011 WL 1496006, Counsel Stack Legal Research, https://law.counselstack.com/opinion/collins-v-dollar-tree-stores-inc-alnd-2011.