Lodge No. 12, District No. 37, International Ass'n of Machinists v. Cameron Iron Works, Inc.

292 F.2d 112, 48 L.R.R.M. (BNA) 2516, 1961 U.S. App. LEXIS 4075
CourtCourt of Appeals for the Fifth Circuit
DecidedJune 27, 1961
DocketNo. 18716
StatusPublished
Cited by54 cases

This text of 292 F.2d 112 (Lodge No. 12, District No. 37, International Ass'n of Machinists v. Cameron Iron Works, 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
Lodge No. 12, District No. 37, International Ass'n of Machinists v. Cameron Iron Works, Inc., 292 F.2d 112, 48 L.R.R.M. (BNA) 2516, 1961 U.S. App. LEXIS 4075 (5th Cir. 1961).

Opinion

JOHN R. BROWN, Circuit Judge.

We deal here with the question of whether arbitration of a labor dispute pursuant to a collective bargaining agreement may comprehend an award of a money sum equivalent to back pay for time lost due to an unauthorized discharge. The District Court answered it in the negative. We disagree and reverse.

The case is here for the second time. On its former appearance, in there reversing the District Court, we held that [115]*115a grievance within the terms of the arbitration clause was presented concerning the discharge of 15 employees for misconduct during the preceding strike. Lodge No. 12, etc. v. Cameron Iron Works, Inc., 5 Cir., 1958, 257 F.2d 467, certiorari denied, 358 U.S. 880, 79 S.Ct. 120, 3 L.Ed.2d 110. On remand the Court, without a jury, heard the case. The Employer’s effort to establish that in the settlement of the strike the parties had expressly agreed not to arbitrate this controversy having failed,1 there was nothing left for the Court to do save order arbitration. This it did. But in so doing, the Court expressly directed that the “ * * * scope of arbitration, however, may extend only to the issue of reinstatement of the employees and may not include the award of back pay for time lost.” [183 F.Supp. 148.] The Court presumably had two things in mind. First, since the “ * ■ * * grievance sought to be arbitrated is the reinstatement of the employees * * * ” such controversy “ * * * may be settled by the board upon terms and conditions not necessarily involving the award of back pay.” Second, and more important, it held that there “ * * * is no clear authority in the contract for the award of back pay as a remedy in arbitration,” and “such a remedy cannot be implied from a grant of authority to arbitrate * * * ” any difference as prescribed in the collective bargaining agreement. The Judge cited and without a doubt relied heavily on our recent decision in Refinery Employees Union v. Continental Oil Co., 5 Cir., 1959, 268 F.2d 447, certiorari denied, Nov. 16, 1959, 361 U.S. 896, 80 S.Ct. 199, 4 L.Ed.2d 152.

The collective bargaining agreement reflected the mutual purpose of settling “problems or grievances.” 2 In contract terms which have been characterized as the standard clause, United Steel Workers v. American Manufacturing Co., 1960, 363 U.S. 564, at page 565, 80 S.Ct. 1343, 4 L.Ed.2d 1403, the parties bound themselves to arbitrate “ * * * any difference * * * between the Company and any employee as to the meaning, application or interpretation of the provisions of” the agreement.3 Arbitration machinery comprehended the selection of arbitrators and their function,4 the selec[116]*116tion of the disinterested member, and the powers of the Board of Arbitration so constituted.5

After the District Court announced its decision, the Supreme Court handed down the three Steel Workers opinions on June 20, 1960.6 The Union by timely motion for revision of findings, F.R.Civ.P. 59(e), 28 U.S.C.A., brought these to the attention of the Trial Court. Presumably the Court considered them of no substantial significance. We think their importance has been too much minimized and without attempting to cast it in terms of the impact of these cases upon our Continental Oil case, 268 F.2d 447, we think these intervening decisions point in a compelling way to a reversal.

The Employer insists in its brief that the 63 printed page contract with its minute details of rates of pay, hours of work, and conditions of employment is a “mundane and specific contract that seeks to spell out the details of the agreement.” Consequently, it urges it “is no broad and ‘generalized code of industrial self-government’ ” nor an “ambiguous and amorphous charter to bring into being an undefined ‘common law of the shop.’ ” But this is really no answer.

Of course the terms of the contract, and frequently their very precision will be relevant if not controlling. But the Supreme Court did not find the unique importance of such contracts either in their brevity or ambiguity. The Court’s approach is the one first articulated in Textile Workers Union v. Lincoln Mills, 1957, 353 U.S. 448, 77 S.Ct. 912, 1 L.Ed.2d 972, that § 301(a), 29 U.S.C.A. § 185(a) empowers federal courts to compel arbitration and that “ * * * the policy to be applied in enforcing this type of arbitration was that reflected in our national labor laws.” 363 U.S. 574, at pages 577-578, 80 S.Ct. 1347, at page 1350.7 The congressional policy on the setttlement of grievances is reflected in § 203(d), 29 U.S.C.A. § 173 (d). And “That policy can be effectuated only if the means chosen by the parties for settlement of their differences under a collective bargaining agreement is given full play.” 363 U.S. 564, at page 566, 80 S.Ct. 1343, at page 1346. Consequently the run of arbitration cases, e. g., Wilko v. Swan, 1953, 346 U.S. 427, 74 S.Ct. 182, 98 L.Ed. 168, is not relevant. “In the commercial case, arbitration is the substitute for litigation. Here arbitration is the substitute for industrial strife”; and “ * * * arbitration of labor disputes under collective bargaining agreements is part and parcel of the collective bargaining process itself.” 363 U.S. 574, at page 578, 80 S.Ct. 1347, at page 1351. That approach led to the express rejection of the thesis typified by a New York case 8 that “If the meaning of the provision of the contract sought to be arbitrated is beyond dispute, there cannot be anything to arbitrate and the contract cannot be said to provide for arbitration.” 363 U.S. 564, at page 567, 80 S.Ct. 1343, at page 1346. The [117]*117■Supreme Court categorically rejected this as “a principle that could only have 3 crippling effect on grievance arbitration.” 363 U.S. 564, at pages 566-567, 80 S.Ct. 1343, at page 1346.

Of course such factors so broadly declared do not solve the problem ■automatically. The Courts still have a role. “The Congress, however, has by § 301 * * * assigned the courts the duty of determining whether the reluctant party has breached his promise to ■arbitrate.

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292 F.2d 112, 48 L.R.R.M. (BNA) 2516, 1961 U.S. App. LEXIS 4075, Counsel Stack Legal Research, https://law.counselstack.com/opinion/lodge-no-12-district-no-37-international-assn-of-machinists-v-cameron-ca5-1961.