International Chemical Workers Union, Local No. 566 v. Mobay Chemical Corporation

755 F.2d 1107, 118 L.R.R.M. (BNA) 2859, 1985 U.S. App. LEXIS 29480
CourtCourt of Appeals for the Fourth Circuit
DecidedFebruary 27, 1985
Docket84-1050
StatusPublished
Cited by41 cases

This text of 755 F.2d 1107 (International Chemical Workers Union, Local No. 566 v. Mobay Chemical Corporation) is published on Counsel Stack Legal Research, covering Court of Appeals for the Fourth Circuit primary law. Counsel Stack provides free access to over 12 million legal documents including statutes, case law, regulations, and constitutions.

Bluebook
International Chemical Workers Union, Local No. 566 v. Mobay Chemical Corporation, 755 F.2d 1107, 118 L.R.R.M. (BNA) 2859, 1985 U.S. App. LEXIS 29480 (4th Cir. 1985).

Opinions

BUTZNER, Senior Circuit Judge:

Mobay Chemical Corporation appeals from a district court’s order denying its motion to dismiss the amended complaint of the International Chemical Workers’ Union, Local 566, for lack of jurisdiction. Mo-bay also assigns error to the district court’s entry of summary judgment vacating, on the ground that the arbitrator exceeded his authority, a part of the award that sustained the discharge of an employee. We hold that the district court had jurisdiction and that the award is valid.

I

Mobay and the union are parties to a collective bargaining agreement, which, among other things, provides for qualification of employees for production jobs, the right of management to discharge for just cause, and the arbitration of grievances. Sherri Hill, the grievant, had been hired as a chemical operator and, like other new employees, began on the utility crew.

Hill bid into the polycarbonate department in April, 1979, classified as a B operator, and remained there until March, 1980. She then bid into an A operator position in the iron oxide department. However, while training for this position, she disqualified herself and returned to the utility crew. When no one bid for an iron oxide B operator position in June, 1980, Mobay assigned Hill to that job. She failed a test to qualify for the position and returned to the utility [1109]*1109crew. She was subsequently assigned to an opening in the polyester I department.

Following the established testing procedure after 90 days on the job, Hill was given a test by her supervisor to determine her progress in the polyester I training. Hill failed that test, as well as a retest conducted at her request by a different supervisor in the presence of a union representative.

Mobay interpreted the bargaining agreement to authorize discharge after an employee was disqualified three times from performing production work. It sent Hill a discharge letter, which, after referring to her three disqualifications and the pertinent provisions of the bargaining agreement, concluded:

Therefore, in light of this third disqualification, whether due to either your inability or unwillingness to demonstrate job performance, you are separated from employment effective February 20, 1981. Hill and the union filed an unjust dis-

charge grievance. Mobay refused to alter its decision. The dispute resulted in arbitration proceedings before an impartial arbitrator with over 25 years of experience, selected by the parties from a panel furnished by the Federal Mediation and Conciliation Service.

The arbitrator held that the bargaining agreement did not authorize discharge for a third disqualification. Consequently, he ruled that Mobay’s letter did not provide an adequate basis for discharging Hill.

The arbitrator also held that all parties had consented to proceed in arbitration on the basis of additional specifications filed by Mobay disclosing Hill’s unsatisfactory work record. He found that the proof supported the specifications and that the evidence was sufficient for a just cause discharge. Inasmuch as the bargaining agreement recognized management’s right to discharge for just cause, he sustained the discharge. In reaching this conclusion, he found that a person with Hill’s deficiencies should not be working in the production phase of a potentially dangerous chemical plant. He also pointed out that reinstatement of Hill because of the inadequate discharge letter would not preclude prompt, justifiable discharge for cause.

The arbitrator concluded, however, that Hill’s discharge of February 20 should be made effective July 13, 1981, the date Mo-bay filed its specifications detailing the unsatisfactory work record that became the basis for the arbitrator’s decision. Accordingly, he awarded back pay.

The district court held that the discharge letter and Hill’s grievance constituted the entire scope of the submission to the arbitrator. In its view, Mobay’s specification of the employee’s deficiencies or “bill of particulars” was intended to be no more than an explanation of the disqualifications, and it was not an enlargement of the cause for discharge beyond the three disqualifications. The court concluded that the arbitrator went beyond the scope of the submission, contrary to his authority under the bargaining agreement. It upheld the award of back pay but vacated the part of the award that sustained the discharge.

II

Mobay’s assignment of error to the district court’s denial of its motion to dismiss for lack of jurisdiction is without merit. The union’s complaint alleged jurisdiction under section 301 of the Labor-Management Relations Act, 29 U.S.C. § 185 and the Arbitration Act, 9 U.S.C. § 10. It sought modification of the award and other appropriate relief. The union filed its complaint and gave notice within the three-month period prescribed by 9 U.S.C. § 12.

Mobay moved to dismiss on the ground that 9 U.S.C. § 10 authorizes vacation but not modification of the award. The court then granted the union leave to amend the prayer of its complaint to seek vacation of that part of the award that sustained Hill’s discharge.

Section 301 of the Labor-Management Act conferred jurisdiction on the court. Textile Workers Union v. Lincoln Mills, 353 U.S. 448, 77 S.Ct. 912, 1 L.Ed.2d 972 (1957); Textile Workers Union v. Ameri[1110]*1110can Thread Co,, 291 F.2d 894 (4th Cir. 1961). The court could grant the union the relief to which it was entitled even though specific demand was omitted from the original complaint. Federal Rule of Civil Procedure 54(c).

Moreover, the district court’s permission to amend eliminated any ambiguity about the relief the union sought. Although the amendment was filed after the three-months period specified in 9 U.S.C. § 12, it related back to the date of the original complaint because it arose out of the same occurrence and simply amplified the prayer for “other relief.” Rule 15(c). See 6 Wright and Miller, Federal Practice and Procedure § 1497 (1971).

Ill

The collective bargaining agreement reserved management’s right to discharge for cause. Consequently, the arbitrator did not stray beyond the bargaining agreement to find a contractual basis for Hill’s discharge. The critical issue is whether the parties’ submission empowered the arbitrator to invoke this clause. In short, did the parties submit to the arbitrator simply the issue involving three disqualifications, as the district court held? Or, did the submission include the issue involving specifications of Hill’s work record that disclosed just cause for discharge, as the arbitrator held?

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755 F.2d 1107, 118 L.R.R.M. (BNA) 2859, 1985 U.S. App. LEXIS 29480, Counsel Stack Legal Research, https://law.counselstack.com/opinion/international-chemical-workers-union-local-no-566-v-mobay-chemical-ca4-1985.