Joseph v. Federal Trade Commission

505 F.3d 1380, 182 L.R.R.M. (BNA) 3298, 2007 U.S. App. LEXIS 25693, 2007 WL 3243928
CourtCourt of Appeals for the Federal Circuit
DecidedNovember 5, 2007
Docket2007-3073
StatusPublished
Cited by78 cases

This text of 505 F.3d 1380 (Joseph v. Federal Trade Commission) is published on Counsel Stack Legal Research, covering Court of Appeals for the Federal Circuit primary law. Counsel Stack provides free access to over 12 million legal documents including statutes, case law, regulations, and constitutions.

Bluebook
Joseph v. Federal Trade Commission, 505 F.3d 1380, 182 L.R.R.M. (BNA) 3298, 2007 U.S. App. LEXIS 25693, 2007 WL 3243928 (Fed. Cir. 2007).

Opinion

FRIEDMAN, Senior Circuit Judge.

An unsuccessful applicant for a specific federal position contends that the agency’s procedure in filling the vacancy denied him his veterans’ preference rights. The Merit Systems Protection Board (“Board”) rejected this contention, as do we.

I

A. Federal agencies generally use two types of selection to fill vacancies: (1) the open “competitive examination” process and (2) the “merit promotion” process. See 5 C.F.R. §§ 330.101, 332.101, 335.103 (2007).

The open competitive examination generally is used for employees seeking to join the competitive service and often is used for reviewing applicants outside the agency. Under this process, applicants for employment are given a numerical rating and placed on a list of qualified personnel for appointment. 5 C.F.R. § 2.1. The applicants with the three highest ratings are submitted to the appointing official, who is ordinarily required to select one of them. 5 U.S.C. § 3318(a) (1978).

Veterans seeking such employment are given special advantages. Five or ten points are added to their competitive score to determine their final rating. See 5 U.S.C. § 3309; 5 C.F.R. § 337.101(b). They are ranked ahead of others with the same score. See 5 U.S.C. § 3313; 5 C.F.R. § 332.401. If a veteran has the highest numerical rating on the list, the agency must appoint that individual, unless the agency seeks and receives from the Office of Personnel Management (“OPM”) *1382 written authority to appoint someone ranking below the veteran. 5 U.S.C. § 3318(b); see Scharein v. Dep’t of Army, 91 M.S.P.R. 329, 334 (2002).

The merit promotion process is used when the position is to be filled by an employee of the agency or by an applicant from outside the agency who has “status” in the competitive service. See 5 C.F.R. § 335.103(b)(1); see also Perkins v. United States Postal Serv., 100 M.S.P.R. 48, 51 (2005).

Veterans’ point preferences under the competitive appointment process do not apply in the merit promotion process. Perkins, 100 M.S.P.R. at 51. Congress has provided, however, that “for all merit promotion announcements ... veterans ... are eligible to apply.” 5 U.S.C. §§ 3304(f)(3)-(4). Veterans “may not be denied the opportunity to compete for vacant positions for which the agency making the announcement will accept applications from individuals outside its own workforce under merit promotion procedures.” 5 U.S.C. § 3304(f)(1). Congress further provided, however, that the latter provision does not “confer an entitlement to veterans’ preference that is not otherwise required by law.” 5 U.S.C. § 3304(f)(3).

B. In 2004 the Federal Trade Commission (“Commission”) announced that it would appoint a paralegal and invited applications for the position. Joseph v. Fed. Trade Comm’n, 103 M.S.P.R. 684, 685-86 (2006). The announcement stated that the Commission could consider applicants under both merit promotion and open competitive procedures if they either submitted two applications or indicated they wanted to be considered under both procedures. Id. at 686.

The petitioner Devon Joseph, a veteran employed by another federal agency, applied for the position and requested that he be considered under both procedures. Id. The Commission evaluated and rated all of the applicants under both procedures. Id. The Commission then prepared a merit promotion list that alphabetically listed the four applicants with the highest numerical ratings. Id. Joseph and Cheryl Thomas, a Commission employee whom the agency ultimately selected for the position, were among the four. Id. The Commission also listed the three top applicants rated under the competitive process. Id. Joseph was ranked first on that list — a ranking that reflected a ten point veterans’ preference. Id. Ms. Thomas was not listed on the competitive list. Id.

The Commission decided to make the appointment from the merit promotion list. It interviewed the four candidates on that list, including Joseph, and selected Ms. Thomas, a non-veteran. Id.

After unsuccessfully challenging his non-appointment before the Department of Labor, pursuant to 5 U.S.C. § 3330(a)(1), as violating his veterans’ preference rights, Joseph appealed his non-selection to the Board. Because he was a Board employee, the Board referred the complaint to the National Labor Relations Board for adjudication by one of that agency’s administrative law judges. In his initial decision the administrative law judge sustained Joseph’s contention and ordered his selection. The Board, however, reversed. The Board held that Joseph

received veterans’ preference in the competitive examination that the agency used to assess external candidates for the Paralegal Specialist position. The appellant did not receive veterans’ preference in the concurrent assessment that the agency conducted under merit promotion procedures, but as explained above, an individual is not entitled to veterans’ preference under merit promotion procedures. See Perkins, 100 M.S.P.R. 48, ¶ 9. The ALJ committed a *1383 clear error of law in concluding that the appellant’s veterans’ preference rights were violated.

Id. at 688.

II

Joseph does not challenge the Commission’s simultaneous use of the open competition examination process (in which his veterans’ ten-point preference was recognized) and the merit promotion process (in which that preference was not recognized) to fill a single position. He challenges only the way the Commission used the two processes to make its selection. He contends that having conducted the open competition process, in which he was at the top of the list after receiving a ten point veterans’ preference, the Commission could not then make its selection from the merit process list, which did not reflect his veterans’ preference. Such selection, he contends, denied him his preference rights.

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505 F.3d 1380, 182 L.R.R.M. (BNA) 3298, 2007 U.S. App. LEXIS 25693, 2007 WL 3243928, Counsel Stack Legal Research, https://law.counselstack.com/opinion/joseph-v-federal-trade-commission-cafc-2007.