Ill. Troopers Lodge No. 41, Fraternal Order of Police v. Ill. Labor Relations Bd.

2018 IL App (1st) 171382, 113 N.E.3d 213
CourtAppellate Court of Illinois
DecidedOctober 5, 2018
Docket1-17-1382 & 1-17-2003 cons.
StatusUnpublished

This text of 2018 IL App (1st) 171382 (Ill. Troopers Lodge No. 41, Fraternal Order of Police v. Ill. Labor Relations Bd.) is published on Counsel Stack Legal Research, covering Appellate Court of Illinois primary law. Counsel Stack provides free access to over 12 million legal documents including statutes, case law, regulations, and constitutions.

Bluebook
Ill. Troopers Lodge No. 41, Fraternal Order of Police v. Ill. Labor Relations Bd., 2018 IL App (1st) 171382, 113 N.E.3d 213 (Ill. Ct. App. 2018).

Opinion

PRESIDING JUSTICE DELORT delivered the judgment of the court, with opinion.

¶ 1 The State of Illinois Department of Central Management Services (State) filed an unfair labor practice charge before the Illinois State Labor Relations Board, State Panel (Board), against Illinois Troopers Lodge 41, Fraternal Order of Police, a union representing a unit of state police officers (the union). The Board dismissed the unfair labor practice charge and denied the union's motion for sanctions against the State. Both the Board and the union have sought direct administrative review of the decision in this court. We affirm both the Board's dismissal of the unfair labor practice charge and the Board's decision not to impose sanctions against the State.

¶ 2 BACKGROUND

¶ 3 The union is the bargaining unit for about 1500 state police officers. Because of the nature of their work, the officers in the union are not allowed to strike. 5 ILCS 315/2, 14, 17 (West 2016). This court has explained how the bargaining process operates with respect to groups of employees who may not strike:

"Mandatory subjects of bargaining are those matters that neither party can refuse to negotiate. [Citation.] If an agreement cannot be reached, impassed mandatory subjects must be decided by the arbitrator. [Citation.] On the other hand, permissive subjects of bargaining are terms that the parties are not required to negotiate, but if one side proposes negotiation on those matters, the other side may voluntarily negotiate. [Citation.] A party cannot insist on bargaining over a permissive subject to the point of impasse and negotiation can be cut off at any time without recourse. [Citation.] Permissive subjects of bargaining are not to be decided by the arbitrator."
*216 Skokie Firefighters Union, Local 3033 v. Illinois Labor Relations Board, State Panel , 2016 IL App (1st) 152478 , ¶ 6, 412 Ill.Dec. 100 , 74 N.E.3d 1023 .

¶ 4 Pursuant to the State Employees Group Insurance Act of 1971 ( 5 ILCS 375/1 et seq. (West 2016) ) (Group Insurance Act), the State administers a plan providing health insurance coverage to about 350,000 state employees, dependents, and retirees, including the police officers who are members of the union. Section 7 of the Illinois Public Labor Relations Act (Labor Relations Act) requires the State and union to collectively bargain with employee unions over matters concerning "wages, hours and other conditions of employment." 5 ILCS 315/7 (West 2016). However, the State is not required to bargain over matters that are "matters of [the State's] inherent managerial policy" as defined in section 4 of the Labor Relations Act ( id. § 4).

¶ 5 The Labor Relations Act has long contained a "supremacy clause" providing that it takes precedence over conflicting state laws. Id. § 15(a). In 2004, the State of Illinois enacted Public Act 93-839, which amended both the Labor Relations Act and the Group Insurance Act. Pub. Act 93-839 (eff. July 30, 2004). Public Act 93-839 excised benefits provided under the Group Employees Insurance Act from the Labor Relations Act's "supremacy clause". Section 15(a) of the Labor Relations Act now provides: "In case of any conflict between the provisions of this Act and any other law ( other than Section 5 of the State Employees Group Insurance Act of 1971 * * *), executive order or administrative regulation relating to wages, hours and conditions of employment and employment relations, the provisions of this Act or any collective bargaining agreement negotiated thereunder shall prevail and control." (Emphasis added.) 5 ILCS 315/15(a) (West 2016).

¶ 6 With that legal backdrop in place, we proceed to explain the facts of the case now before us. The record is 21,909 pages long, so we have omitted large portions of background and facts that are not relevant to our ultimate disposition. To avoid repetition and provide reading continuity, we will set forth some additional facts later in the Analysis section of this opinion. The following chronology and recitation of facts is taken from the pleadings, exhibits, affidavits, and other evidence in the record, most of which was adduced at a 10-day hearing before a Board administrative law judge on the unfair labor practice charge.

¶ 7 In 2015, the State and the union were in the process of bargaining a successor collective bargaining agreement to replace an existing agreement set to expire on June 30, 2015. Two union officials, Bruce Bialorucki and Michael Powell, negotiated the union's 2012-2015 collective bargaining agreement with the State. Health insurance was a significant issue during that bargaining. The parties exchanged various proposals aimed at saving the State some of its health insurance costs. No agreement was reached, and the union filed an unfair labor practice charge against the State. The Board's general counsel issued a declaratory ruling that health insurance was a mandatory subject of bargaining. An arbitrator awarded the health insurance plan that the State had previously implemented unilaterally.

¶ 8 Bialorucki, who is an attorney, also participated in negotiations for the successor 2015-2019 collective bargaining agreement. Once again, the parties exchanged numerous written proposals regarding health insurance. Bialorucki testified regarding those negotiations as follows. The State never contended that it was not required to bargain over health insurance during the negotiation sessions, at the bargaining table, or before interest arbitration.

*217 There being no agreement on the issue, interest arbitration began before a three-member panel consisting of Bialorucki as the union representative, Joseph Hartzler representing the State, and a neutral arbitration panel member, Daniel Nielsen. The panel had over a dozen sessions beginning in late 2015 and ending in April 2016. Bialorucki attended every session. Both the union and State submitted health insurance proposals to the panel. Both sides stipulated to the arbitration panel's jurisdiction over health insurance, and the State did not object to arbitrating health insurance issues until the "final submissions" stage at the very end. The "process" in place required each party to submit final offers. The other party could submit an objection to that final offer, and the submitting party could file something to "cure or fix" its final offer. However, because the union was waiting for certain information, the parties agreed to submit final offers on all issues except health insurance first, to be followed by final offers on health insurance only.

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Bluebook (online)
2018 IL App (1st) 171382, 113 N.E.3d 213, Counsel Stack Legal Research, https://law.counselstack.com/opinion/ill-troopers-lodge-no-41-fraternal-order-of-police-v-ill-labor-illappct-2018.