Fagen v. Iowa

301 F. Supp. 2d 997, 2004 U.S. Dist. LEXIS 1861, 2003 WL 23218524
CourtDistrict Court, S.D. Iowa
DecidedFebruary 11, 2004
Docket4:02-CV-90186
StatusPublished
Cited by3 cases

This text of 301 F. Supp. 2d 997 (Fagen v. Iowa) is published on Counsel Stack Legal Research, covering District Court, S.D. Iowa primary law. Counsel Stack provides free access to over 12 million legal documents including statutes, case law, regulations, and constitutions.

Bluebook
Fagen v. Iowa, 301 F. Supp. 2d 997, 2004 U.S. Dist. LEXIS 1861, 2003 WL 23218524 (S.D. Iowa 2004).

Opinion

MEMORANDUM OPINION AND ORDER

PRATT, District Judge.

Currently before the Court is a Motion for Summary Judgment by Defendants State of Iowa (“Iowa”) and the Department of Inspection and Appeals (“DIA”). On April 22, 2002, Plaintiffs, eight current and former employees of the DIA, filed a complaint in this Court against Defendants under the Equal Pay Act (“EPA”), 29 U.S.C. § 206(d). Plaintiffs claim that Defendants violated the Equal Pay Act by hiring a male, James Berkley, at a salary higher than that of Plaintiffs, to do substantially equal work. On May 14, 2003, upon Plaintiffs’ motion, the Court dismissed without prejudice three of the original Plaintiffs in this action. 1 The Court has subsequently granted Plaintiffs’ motions to add four additional Plaintiffs with the same claim against Defendants to the suit. 2

On August 15, 2003, Defendants filed a Motion for Summary Judgment. The motion was fully briefed by the parties, and oral argument took place on December 24, 2003. The matter is now fully submitted. *999 For the reasons discussed below, Defendants’ motion is denied.

I. FACTS 3

The Plaintiffs in this action are- all women, and all are current or former employees of Defendant Department of- Inspections and Appeals. Plaintiffs all hold or have previously held the position of Health Facilities Surveyor with DIA. Health Facilities Surveyors are inspectors who conduct on-site inspections of the care, treatment, and services provided to the residents and patients of the facilities that are licensed and certified by the Department of Inspection and Appeals. The education and training of Health Facilities Surveyors can vary. Some are registered nurses, some are dieticians, some are qualified mental health professionals, and some are qualified mental retardation professionals. Among those who are registered nurses, some possess a B.S.N. degree, while others are either associate degree or diploma nurses.

Plaintiffs were all hired for the Health Facilities Surveyor position either before November of 2000 or after May of 2001, and were granted a starting salary commensurate with step 1 on a six-step pay scale established by DIA. Plaintiffs were informed that they were required to start at step 1 and that their beginning salaries were non-negotiable. From the wage information contained in the record, it appears that, at least with respect to Health Facilities Surveyors who were in the lower steps of the pay grade, step increases were awarded approximately every year. 4

James Berkley, the male comparator in this case, was hired as a Health Facilities Surveyor with DIA in May of 2001. Immediately prior to taking the Health Facilities Surveyor job, Mr. Berkley had been employed as the Director of Nursing at a facility in Ankeny, Iowa, a position he had held since November, 1999. At the time of his hire, Mr. Berkley had approximately eight years of nursing experience. There is some evidence in the record to indicate that the offer Mr. Berkley initially received was higher than step 1. Upon receiving the job offer from DIA, Mr. Berkley informed DIA of his salary at his current job, $47,000, and indicated that he could not take a significant pay cut and do the extensive travel required by the job. DIA came back to Mr. Berkley with an offer of a step 6 starting salary, the highest level of pay for Health Facilities Surveyors. Mr. Berkley accepted the job.

In February, 2000, a little over one year before Mr. Berkley was hired by DIA, Marvin Tooman became Division Administrator of DIA’s Division of Health Facilities. At that time, the practice within the Division of Health Facilities had been that all Health Facilities Surveyors began their employment with DIA at a step 1 salary. Shortly after coming to DIA, Dr. Tooman sought and received approval from Kevin Techau, then the Director of DIA, to change this practice. Dr. Tooman’s desire to change the practice was largely based *1000 upon 1) the quality of people in the applicant pool for the HFS position; 2) prevailing market conditions (namely, a nursing shortage); and 3) DIA’s immediate need for qualified candidates. There is a dispute in the record as to when the new practice permitting individualized determinations of starting salaries for Health Facilities Surveyors took effect. Plaintiff Dorothy Riddle testified that in a meeting she had with Dr. Tooman he told her that the new policy began in August of 2000. Steve Young, Deputy Director of the DIA, testified that the new practice of allowing individualized assessments took effect in January of 2001.

By approximately June, 2001, however, Defendants had discontinued the practice. Only three people, Mr. BerMey and two other women, Gerry Braynard and Cynthia Franklin, were hired under the advanced salary appointments policy. Ms. Braynard was hired at a step 3 and Ms. Franklin was hired at a step 2. Another woman, Tammy Torstenson, was offered a Health Facilities Surveyor position at a step 2 salary but ultimately declined the offer. Mr. BerMey was the last person hired under the policy. According to Steve Young, at some point on or after April 11, 2001, DIA received a directive from the state informing state agencies of the need to implement steps aimed at achieving $10 million in budgeted reversions. These budgetary concerns, along with unspecified “other concerns,” caused the Department to “re-evaluate future individual advanced payment rate appointments.”

Starting in June of 2001, various Plaintiffs, along with other co-workers, met with DIA management personnel to discuss the issue of the disparity in pay between Mr. Berkley and the previously hired Health Facilities Surveyors. Bureau Chief Kathy Sutton explained that Mr. BerMey’s elevated salary was a result of DIA being turned down by candidates for the Health Facilities Surveyor position because of salary concerns, as well as a feeling that the nursing shortage required DIA to be competitive in salary with the private sector. Division Administrator Marvin Tooman justified Mr. Berkley’s higher starting wage by indicating that he had researched the issue of the nursing shortage and that he had attended a lecture indicating that the nursing shortage was likely to get much worse in the future. Dr. Tooman indicated that he would look into reclassifying the Health Facilities Surveyor position job grade in the future and that, depending on negotiations with the union, all Health Facilities Surveyors might get a raise of a step or two. At a later meeting, however, Dr. Tooman indicated that the department did not have the funds to increase salaries for all the current Health Facilities Surveyors. Bureau Chief Paul Vanderburgh indicated that Mr. BerMey’s higher wage was a result of the difficulty in finding qualified staff. DIA Director Kevin Techau indicated to Plaintiffs that the decision to hire Mr. BerMey at a higher starting salary was due to the market shortage of nurses.

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Bluebook (online)
301 F. Supp. 2d 997, 2004 U.S. Dist. LEXIS 1861, 2003 WL 23218524, Counsel Stack Legal Research, https://law.counselstack.com/opinion/fagen-v-iowa-iasd-2004.