Local 369, Bakery & Confectionery Workers International Union of America, Afl-Cio v. Cotton Baking Company, Inc.

514 F.2d 1235, 89 L.R.R.M. (BNA) 2665, 1975 U.S. App. LEXIS 14133, 77 Lab. Cas. (CCH) 10,944
CourtCourt of Appeals for the Fifth Circuit
DecidedJune 18, 1975
Docket74-3111
StatusPublished
Cited by17 cases

This text of 514 F.2d 1235 (Local 369, Bakery & Confectionery Workers International Union of America, Afl-Cio v. Cotton Baking Company, Inc.) is published on Counsel Stack Legal Research, covering Court of Appeals for the Fifth Circuit primary law. Counsel Stack provides free access to over 12 million legal documents including statutes, case law, regulations, and constitutions.

Bluebook
Local 369, Bakery & Confectionery Workers International Union of America, Afl-Cio v. Cotton Baking Company, Inc., 514 F.2d 1235, 89 L.R.R.M. (BNA) 2665, 1975 U.S. App. LEXIS 14133, 77 Lab. Cas. (CCH) 10,944 (5th Cir. 1975).

Opinion

GEWIN, Circuit Judge:

The appellant local of the Bakery & Confectionery Workers International Union of America, AFL-CIO (the Union) seeks reversal of the district court’s order modifying an arbitrator’s award of damages against an employer. See 377 F.Supp. 1172 (W.D.La.1974). Because we conclude that under the decisions in the Steelworkers trilogy 1 the parties are bound by the arbitrator’s decision in this case, we reverse.

The facts are undisputed. The Union and the Cotton Baking Company (the Company) are parties to a collective bargaining agreement which explicitly provides for a grievance procedure to cover “any grievance or dispute whether on the part of the Union or the Employer.” Should the parties fail to settle the grievance, the matter “may be submitted to an arbitrator for the final and binding arbitration thereof.”

The basis of the union’s complaint was the company’s alleged assignment of work to members of another union in violation of the collective bargaining agreement. The job in question was the unloading of old bread from relay trucks when they returned to the company’s bakery at the end of each day. The union, claiming that member dock porters were entitled to perform this work, challenged the company’s assignment of the unloading to the relay truck drivers, members of another union. The union filed a grievance petition with the company, and when that failed, submitted the matter to “final and binding arbitration” pursuant to the contract. The arbitrator found that the union had exclusively unloaded the trucks at the company docks for at least four years prior to the execution of the present contract and that this arrangement concerning work assignments thereby became incorporated in the collective bargaining agreement. Under the disputed work assignment policy in this case, one dock porter remained in his original capacity while a second one was transferred to another job which actually commanded a higher salary. The arbitrator nonetheless concluded that the union was damaged by the denial of a work opportunity:

While the job is the lowest paid classification in the Agreement, all employees have a contractual right under the seniority provisions to bump down to that job should a layoff occur. The fact that there is one less job to bump down to, erodes the bargaining rights provided for in the agreement. Moreover, there is no question that there is presently one less job for the members of the union. The transfer resulted in the loss of a job by the unit which seriously affects the job security of its members Whether it is one job or many, a contract is a contract and rights there under need be enforced. Otherwise, the jobs of a Union under the Agreement could be taken away one by one and a greater percentage of the jobs under its jurisdiction ultimately eroded.

The arbitrator thus concluded that the company had violated the contract by denying dock unloading tasks to union members and he awarded monetary damages to the union in the amount of one year’s wages for a dock porter. In *1237 this Section 301 2 action to enforce the arbitrator’s award, the company does not dispute the determination that the union members are entitled to this job. Rather it challenges the remedy as an imposition of punitive damages and consequently beyond the scope of the arbitrator’s power. The district court accepted the company’s argument and reduced the damages award to $78.00, the amount of dues lost by the union because of the work loss. We reverse because we find that the arbitrator’s decision was rendered pursuant to authority granted by the collective bargaining agreement and because we recognize that the judiciary owes considerable deference to the decisions of labor arbitrators.

The controlling standards for federal judicial scrutiny of labor dispute arbitration are articulated in the Supreme Court’s Steelworkers trilogy. A dominant theme of these cases is that the federal judiciary must, in instances in which the arbitrator is acting within the bounds of his contractual authority, 3 defer to the arbitrator’s decision on the merits of the dispute.

The function of the court is very limited when the parties have agreed to submit all questions of contract interpretation to the arbitrator. It is confined to ascertaining whether the party seeking arbitration is making a claim which on its face is governed by the contract. Whether the moving party is right or wrong is a question of contract interpretation for the arbitrator.

United Steelworkers of America v. American Mfg. Co., supra, 363 U.S. at 568-69, 80 S.Ct. at 1346, 4 L.Ed.2d at 1407. See also International Union of Dist. 50, U.M.W. v. Bowman Transportation, Inc., 421 F.2d 934 (5th Cir. 1970); Gulf States Telephone Co. v. Local 1692, International Brotherhood of Electrical Workers, 416 F.2d 198 (5th Cir. 1969) and cases cited in fn. 4; Safeway Stores v. American Bakery & Confectionery Workers Intemat’l Union, Local 111, 390 F.2d 79 (5th Cir. 1968). Furthermore, the arbitrator must also be left free to decide more than which party is right or which party is wrong. Having found a contract violation, he must fashion a remedial order to bring the parties’ actions in conformity with the contract and make reparation for past infringements. A collective bargaining agreement may not specify the relief required for every conceivable contractual violation, so the arbitrator must often rely on his own experience and expertise in formulating an appropriate remedy. In view of the variety and novelty of many labor-management disputes, reviewing courts must not unduly restrain an arbitrator’s flexibility:

When an arbitrator is commissioned to interpret and apply the collective bargaining agreement, he is to bring his informed judgment to. bear in order to reach a fair solution of a problem. This is especially true when it comes to formulating remedies. There the need is for flexibility in meeting a wide variety of situations.

United Steelworkers of America v. Enterprise Wheel & Car Corp., 363 U.S. at 597, 80 S.Ct. at 1361, 4 L.Ed.2d 1428. See also United Steelworkers of America v. United States Gypsum Co., 492 F.2d 713 (5th Cir. 1973); International U. of Dist. 50, U.M.W. v. Bowman Transportation, Inc., supra; Lodge No. 12, Dist. No. 37, Inti. Assn. Machinists v. Cameron Iron Works, 292 F.2d 112, 119 (5th Cir. 1961), cert. denied, 368 U.S. 926, 82 S.Ct. 361, 7 L.Ed.2d 190 (1961); Tobacco *1238 Workers Int. U., Local 317 v.

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Bluebook (online)
514 F.2d 1235, 89 L.R.R.M. (BNA) 2665, 1975 U.S. App. LEXIS 14133, 77 Lab. Cas. (CCH) 10,944, Counsel Stack Legal Research, https://law.counselstack.com/opinion/local-369-bakery-confectionery-workers-international-union-of-america-ca5-1975.