Maryland Classified Employees Ass'n v. Schaefer

599 A.2d 91, 325 Md. 19, 30 Wage & Hour Cas. (BNA) 1156, 1991 Md. LEXIS 208
CourtCourt of Appeals of Maryland
DecidedDecember 12, 1991
Docket50, September Term, 1991
StatusPublished
Cited by30 cases

This text of 599 A.2d 91 (Maryland Classified Employees Ass'n v. Schaefer) is published on Counsel Stack Legal Research, covering Court of Appeals of Maryland primary law. Counsel Stack provides free access to over 12 million legal documents including statutes, case law, regulations, and constitutions.

Bluebook
Maryland Classified Employees Ass'n v. Schaefer, 599 A.2d 91, 325 Md. 19, 30 Wage & Hour Cas. (BNA) 1156, 1991 Md. LEXIS 208 (Md. 1991).

Opinion

ORDER

PER CURIAM.

For reasons to be stated in an opinion later to be filed, it is this 17th day of July, 1991

ORDERED, by the Court of Appeals of Maryland, that the judgment of the Circuit Court for Anne Arundel County be, and it is hereby, affirmed. Costs in this Court and in the Circuit Court for Anne Arundel County to be paid by the Petitioners. Mandate to issue forthwith.

MURPHY, Chief Judge.

This case involves the validity of an Executive Order promulgated by the Governor of Maryland, which increased the work week for substantial numbers of State Executive Branch employees from 35V2 hours per week to 40 hours, without additional compensation.

I.

Governor William Donald Schaefer, by Executive Order dated February 27, 1991, decreed that “[t]he normal work week for State employees [in the Executive Branch of Government] shall be 40 hours effective July 1, 1991.” 1 The Executive Order directed the Secretary of Personnel and the appointing authorities to “take all actions necessary or desirable to implement this directive.” In his order, the Governor stated that “[t]he federal government, most pri *22 vate and public sector employees, and one-third of State employees presently work 40 hours a week”; that it was prudent “[djuring these difficult fiscal times ... to search for savings for the taxpayers of this State”; and that a standardized “40 hour work week for State government will achieve cost containment through increased productivity and employee development.”

Two separate declaratory judgment actions were thereafter instituted in the Circuit Court for Anne Arundel County to declare the Governor’s Executive Order void ab initio. The first action was filed by the Maryland Classified Employees Association, Inc., and various of its employee members; the second action was filed by the American Federation of State, County and Municipal Employees and a number of classified employees. Named as defendants were the Governor, the State of Maryland, the Secretary of Personnel, and the Board of Regents of the University of Maryland.

The plaintiffs in each suit (hereinafter collectively the plaintiffs) averred that the Code of Maryland Regulations (COMAR) 06.01.01.42A(1)(a) defined a full-time work week as “5 work days, and at least 35V2 hours up to a maximum of 40 hours”; that the appointing authorities are authorized by law to designate the work week for all positions under their control; that for many years the appointing authorities have designated 35V2 hours as the normal work week for Executive Branch employees; and that, as the Governor is not the appointing authority, his Executive Order cannot lawfully change the work week hours. The plaintiffs further alleged that Maryland Code (1985 Repl.Vol., 1990 Cum. Supp.), Article 100, § 76 provides that “every State employee who works in excess of the normal work week ... shall receive extra compensation for such hours worked in excess of that time”; that the Governor’s order violates this law and requires Executive Branch employees to work an additional 4.5 hours without paying the additional compensation mandated by § 76; and that the Governor is not empow *23 ered, absent legislative authorization, to make changes that are inconsistent with the existing law. 2

In their suits, the plaintiffs claimed that, as classified State employees, they have “a property right in their employment [which] cannot be taken from them without due process of law”; and that the Governor’s order deprives them of their wages by requiring that they work greater hours without additional pay or benefits. In this regard, the plaintiffs asserted that the Governor and the other defendants, through their actions, violated the “separation of powers” provisions of Article 8 of the Maryland Declaration of Rights by attempting to execute a legislative function, specifically the regulation of overtime pay in conflict with the provisions of § 76. The plaintiffs claimed that because they “accepted jobs with compensation established on a 35V2 hour work week, ... worked at those jobs for many years, ... made child care, home and family commitments based on the State’s promise of a 35V2 hour work week, [they] have acquired a vested right ... in the continuation of a 35V2 hour work week, and compensation for hours worked in excess of 35V2 hours.” Moreover, based upon these alleged facts, the plaintiffs averred that they have an express or implied contract with the State to work a 35V2-hour work week, with overtime or compensatory time for all hours worked in excess of 35V2 hours; and that as a result of the Governor’s order, their contract with the State has been breached and will cause them monetary and nonmonetary damages.

The plaintiffs also asserted that the Governor’s order violated provisions of Code (1988 RepLVol., 1991 Cum. Supp.), Article 64A (the State’s Merit System Law), pursuant to which the Secretary of Personnel promulgated the State’s “Salary Plan.” As to this, the plaintiffs stated that, *24 under § 27 of Article 64A, the Secretary must recommend to the Governor a pay plan for State employees “to the end that all positions in the service involving comparable skills, knowledge, effort, responsibility, and working conditions shall be paid comparable salaries in accordance with the relative value of the services to be performed.” The plaintiffs alleged that the Secretary’s Salary Plan has the force of law and includes a rule that the rate of pay for any employment classification cannot be changed except as authorized by the Legislature; and when the salary plan became effective, the duties and classifications of the plaintiffs were those performed within a 35V2-hour work week. Consequently, they averred that “the salaries and compensation for the classifications in the salary plan were established by the Secretary and approved by the Governor fully recognizing that the compensation rates were a 35y2 hour work week and that the employees would receive additional overtime compensation for all hours worked in excess of 35*/2 hours per week.” According to the plaintiffs’ suits, to increase the hours of the work week results in lowering the rate of pay for positions within the salary plan, an action that cannot lawfully be initiated except by the Secretary in accordance with the provisions of § 27 of Article 64A; that the pay plan cannot otherwise lawfully be amended; but that “the Secretary and Governor failed to act as required by said section which requires that the amended pay plan be reported to the General Assembly by the 15th day of a regular session which was not done.” Because of this failure, the plaintiffs asserted that the Governor’s Executive Order, which in effect altered the salary plan, was not within his lawful authority and was therefore invalid.

The parties entered into a detailed stipulation of facts which, inter alia, stated that the Governor’s order was actually implemented by the appointing authorities; and that 33,438 State employees in the Executive Branch, who work 35:/2 hours per week, were thereby affected.

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Bluebook (online)
599 A.2d 91, 325 Md. 19, 30 Wage & Hour Cas. (BNA) 1156, 1991 Md. LEXIS 208, Counsel Stack Legal Research, https://law.counselstack.com/opinion/maryland-classified-employees-assn-v-schaefer-md-1991.