Equal Employment Opportunity Commission v. Chas. Schaefer Sons, Inc.

703 F. Supp. 1138, 1988 U.S. Dist. LEXIS 15384, 50 Empl. Prac. Dec. (CCH) 39,008, 49 Fair Empl. Prac. Cas. (BNA) 475
CourtDistrict Court, D. New Jersey
DecidedDecember 22, 1988
DocketCiv. A. 88-1142
StatusPublished
Cited by6 cases

This text of 703 F. Supp. 1138 (Equal Employment Opportunity Commission v. Chas. Schaefer Sons, Inc.) is published on Counsel Stack Legal Research, covering District Court, D. New Jersey primary law. Counsel Stack provides free access to over 12 million legal documents including statutes, case law, regulations, and constitutions.

Bluebook
Equal Employment Opportunity Commission v. Chas. Schaefer Sons, Inc., 703 F. Supp. 1138, 1988 U.S. Dist. LEXIS 15384, 50 Empl. Prac. Dec. (CCH) 39,008, 49 Fair Empl. Prac. Cas. (BNA) 475 (D.N.J. 1988).

Opinion

OPINION

LECHNER, District Judge.

I. Introduction

The Equal Employment Opportunity Commission (the “EEOC” or “plaintiff”)) has brought this action pursuant to Title VII of the Civil Rights Act of 1964, 42 U.S.C. § 2000e, et seq. (“Title VII”), on behalf of Billy McDowell (“McDowell”), a former employee of defendant Chas. Schaefer Sons, Inc. (the “Company” or “defendant”). It appears this court has jurisdiction over the parties and the subject matter of this action. The Company is an employer within the meaning of Title VII. McDowell, who is black, asserts that his involuntary separation from the Company constituted disparate treatment in violation of Title VII.

In addition to pretrial conferences, the matter was before the court for decision on the merits following a bench trial held November 7, 9, 10 and 14, 1988. Immediately before commencement of trial and during trial both the EEOC and the Company indicated which paragraphs of opposing counsel’s proposed findings of fact were admitted and which were denied. The statement of facts set forth below contains all of the facts which were stipulated to by the parties. These stipulations have been perfected and are properly reflected in the trial record.

The statement of facts contains a number of factual findings (concerning disputed or unresolved factual issues) which I have made upon completion of the bench trial. In addition to considering the facts stipulated by the parties, I have had the opportunity to examine the submissions of the parties and have determined the credibility of the several witnesses after observing their demeanor and considering their relative interests, if any, in this matter. Together with the stipulated facts, my find *1140 ings are entered as Findings of Fact pursuant to Fed.R.Civ.P. 52(a). 1

II. Statement of Facts

The Company is a New Jersey corporation doing business in the State of New Jersey and has corporate offices, packaging operations and warehouse facilities located in the Township of Union, Union County, State of New Jersey. The Company is in the business of wholesale distribution and repackaging salt and industrial chemicals.

It is useful to begin with an introduction to the several individuals involved in this case. James Barbour was hired by the Company as Vice President on April 1, 1978 to learn the business and assume general management responsibilities. Barbour was intimately familiar with the finances of the Company and participated in the annual salary review process. He was promoted to Executive Vice President and Chief Operating Officer in 1983 and became President of the Company in December, 1986.

Charles Boeddinghaus was hired by the Company on May 15,1978 to manage financial matters. His responsibilities included the finance payroll, scheduling, and the hourly workers of the Company. In 1981 Boeddinghaus was promoted to Vice President and Controller of the Company and he became Executive Vice President on January 1, 1987.

F.W. Schaefer, Jr. and Laurence F. Schaefer, formerly President and Vice President of the Company, both retired on December 31,1986. In December 1986, the Company was sold by F.W. and Laurence Schaefer to Barbour and Boeddinghaus, who remain the current owners of the Company.

Ronald Sepscik was hired on June 20, 1982 and was responsible for the daily operation of the physical plants in Union and Woodbridge, New Jersey and Louisiana. He is still Plant Manager.

McDowell, on whose behalf this action was brought, was hired by the Company on June 10, 1970 as a warehouse employee. He was promoted in 1973 to warehouse supervisor, 2 the position he held prior to the time Barbour and Boeddinghause were hired by the Company and until the time he was terminated. The EEOC stipulated that as warehouse supervisor, McDowell’s responsibilities included supervising all of the warehouse department employees when they were not specifically assigned to and performing work for other foremen. In other words, according to the EEOC’s stipulations, McDowell was responsible for supervising unassigned warehouse employees even if they were not assigned to perform, or were actually performing, tasks for McDowell. 3 (EEOC Stip., ¶[¶ 8, 9)

McDowell was the only foreman who had certain hiring and firing responsibilities with regard to the warehouse department employees. These responsibilities, however, ceased after the Company hired a plant manager. Prior to that time, McDowell hired Charles Alford, John McDowell, *1141 Robert Dempsey, Mario Joassaint, Richard Williams and Lonnie Murphy as warehouse department employees of the Company. These individuals, together with Clarence Jackson, are sometimes referred to herein as the “Seven Warehouse Employees.” Robert Dempsey and John McDowell are both cousins of McDowell. It appears that McDowell was friendly with these men.

When Barbour joined the Company, McDowell was receiving a salary that was at least equal to or somewhat greater than the other foreman at the Plant site. According to the EEOC’s stipulations, and as Barbour testified, after he arrived, Barbour reviewed the relative salaries and responsibilities of the foremen and concluded McDowell had greater responsibilities than the other foremen. These responsibilities included making work assignments for all warehouse department employees at the Plant site throughout the course of the work day, supervising all such workers when they were not specifically assigned to and performing work for other foremen, and hiring and firing warehouse department employees. (EEOC Stip., 1Í13)

Barbour maintains that based upon these extra responsibilities, he recommended to F.W. Schaefer, Jr. that, starting with the 1979 pay adjustments, McDowell receive certain raises which would result in his being paid substantially more than the other foremen. 4 F.W. Schaefer, Jr. accepted Barbour’s recommendations that McDowell receive these raises and the first raise was effective in 1979. The EEOC stipulated that although Schaefer gave his final approval, it was Barbour who recommended that McDowell receive “substantially” more money than the other foremen. (EEOC Stip., ¶ 14)

Set forth below are financial data taken from a chart prepared by the Company which give the compensation history for McDowell and another foreman, Charles Magee, at the Company.

Salary History Salary as of Increase May 1st Bonuses McDowell Magee McDowell Magee McDowell Magee

1975 11,000.00 1.500.00 $1,200.00

1976 12.500.00 1.500.00 2,000.00

1977 14.000.00 12.283.00 1.500.00 1.717.00 2,000.00 700.00

1978 15.500.00 14.000.00 1.500.00 1.500.00 2,000.00 1,000.00

1979 17.000.00 15.500.00 3.000.00 1.500.00 2,000.00 1,000.00

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703 F. Supp. 1138, 1988 U.S. Dist. LEXIS 15384, 50 Empl. Prac. Dec. (CCH) 39,008, 49 Fair Empl. Prac. Cas. (BNA) 475, Counsel Stack Legal Research, https://law.counselstack.com/opinion/equal-employment-opportunity-commission-v-chas-schaefer-sons-inc-njd-1988.