Metro Temporaries v. Boyd

863 S.W.2d 316, 314 Ark. 479, 1993 Ark. LEXIS 578
CourtSupreme Court of Arkansas
DecidedOctober 25, 1993
Docket93-197
StatusPublished
Cited by6 cases

This text of 863 S.W.2d 316 (Metro Temporaries v. Boyd) is published on Counsel Stack Legal Research, covering Supreme Court of Arkansas primary law. Counsel Stack provides free access to over 12 million legal documents including statutes, case law, regulations, and constitutions.

Bluebook
Metro Temporaries v. Boyd, 863 S.W.2d 316, 314 Ark. 479, 1993 Ark. LEXIS 578 (Ark. 1993).

Opinion

Robert H. Dudley, Justice.

Damon Boyd applied for work with Metro Temporaries. Metro is an agency that assigns its applicants to work on a temporary basis for third party companies. Metro assigned Boyd to work four hours for Didier Nurseries. Boyd accepted the assignment and was injured while working on the job. The sole issue on appeal is the method of determining the amount of weekly disability benefits Boyd is entitled to receive under the applicable Workers’ Compensation statute.

The essential facts are that Boyd applied for work with Metro on March 21, 1990. The next day Metro assigned him to work at Fort Smith Plastics, and he received $3.80 per hour from Metro for that work. He worked on that job for approximately thirty hours a week over the next five weeks. On April 25, he suffered a compensable injury. On May 1, he was released to go back to work. Metro offered to reassign him to Fort Smith Plastics, but he refused to do the work. Under his application with Metro, he could refuse to work for a third party, and, even if he accepted an assignment, he was not bound to work any set number of hours. On May 10,1990, Metro assigned him to a job at Didier’s Nursery in Fort Smith. His job was to unload peat moss and his rate of pay from Metro was the same as in the previous job, $3.80 per hour. The Didier job was to last only four hours, and, while unloading peat moss, Boyd injured his knee. Metro, the carrier, and Boyd could not agree on the amount of the weekly permanent partial disability benefit to which Boyd was entitled.

At a worker’s compensation hearing, the parties stipulated to every issue except the amount of weekly disability benefits Boyd was to receive for his permanent partial disability. The administrative law judge considered the hours worked for Metro on both the Fort Smith Plastics and the Didier job assignments and found that Boyd’s benefit rate was $76.17 per week. Metro appealed to the Arkansas Workers’ Compensation Commission. The Commission ruled that Boyd’s “contract of hire in force at the time of the accident” was the four hour job at Didier’s Nursery at the rate of $3.80 per hour, and that, as a result, Boyd was only entitled to the statutory minimum of $20.00 per week. Boyd appealed to the court of appeals. The court of appeals reversed the Commission, and remanded for a determination of appropriate benefits. Boyd v. Metro Temporaries, 41 Ark. App. 12, 846 S. W.2d 668 (1993). We affirm the holding of the court of appeals.

The applicable statutes are as follows:

Ark. Code Ann. § 11-9-518, in part, provides:
Weekly wages as basis for compensation
(a)(1) Compensation shall be computed on the average weekly wage earned by the employee under the contract of hire in force at the time of the accident and in no case shall be computed on less than a full-time workweek in the employment. [Emphasis supplied.]

Ark. Code Ann. § 11-9-519(a) provides that the benefit for total disability shall be two thirds of the average weekly wage. Ark. Code Ann. § 11-9-501 provides the maximum and minimum benefits.

We first interpreted Ark. Code Ann. § 11-9-518(a)(1) and the benefits owing to injured workers who are assigned to temporary jobs in Travelers Ins. Co. v. Perry, 262 Ark. 398, 557 S.W.2d 200 (1977). In that case, Perry made himself available for work at Manpower, Inc., an employment agency similar to Metro in the case at bar, assigned him to work for a third party. Perry was on Manpower’s roll from May 27 through July 2,1975. During that entire time Perry only worked four days at different jobs. He was injured on the last job. The Commission held that Perry was entitled to be compensated for a forty-hour week since he had made himself available to work forty hours a week. The Commission relied on Gill v. Ozark Forest Products, 255 Ark. 951, 504 S.W.2d 357 (1974), in which a timberman’s widow was allowed to collect compensation for a full week even though the claimant frequently did not work a full forty-hour week. We distinguished Gill v. Ozark Forest Products and reversed because Gill was under contract to work forty hours at an agreed rate whenever work was available. We wrote, “In Gill, it was undisputed that the worker had a ‘contract of hire in force ’ which provided for a forty-hour work week at an agreed rate whenever work was available.” Perry, 262 Ark. at 400, 557 S.W.2d at 201 (emphasis supplied). Perry, however, was not bound under a contract of hire to be available for work forty hours a week, and, as a result, we held that he should only be compensated for the hours actually worked. Since Perry had worked only four days at $2.20 per hour he was entitled to only the statutory minimum regardless of whether his wages were averaged over his entire tenure with the employment agency or whether each temporary job was considered separately. We made no holding on whether each temporary job assignment might be considered a separate “contract of hire in force.”

In Ryan v. NAPA, 266 Ark. 802, 586 S.W.2d 6 (1979), we applied Ark. Code Ann. § 11-9-518(a) to a part-time employee and upheld the commission’s computation of a part-time employee’s benefits on a work week of twenty hours. The same statute has been applied repeatedly for part-time, seasonal, and relief employees. See Wright v. Tyson Foods, 28 Ark. App. 261, 773 S.W.2d 110 (1991); Mack Coal v. Hill, 204 Ark. 407, 162 S.W.2d 906 (1942).

The court of appeals more recently considered a case involving an injured worker who was temporarily assigned by an agency to a third party. In that case, TEC v. Underwood, 33 Ark. App. 116, 802 S.W.2d 481 (1991), the worker was assigned to a forty hour a week job with pay at the rate of $3.50 per hour. Shortly afterwards, she accepted an assignment to another forty hour a week job which paid $5.50 per hour. She worked on that job “at least three weeks, closer to a month.” The Commission computed her benefits based upon a forty-hour week at $5.50 per hour. On appeal to the court of appeals, TEC argued that the benefit should have been computed by averaging the wages she was paid on both jobs. The average hours worked was apparently not contested. The court of appeals rejected TEC’s argument and held that the Commission’s ruling on the average wage was supported by substantial evidence. The court’s opinion did not discuss the issue of the “contract of hire in force at the time of the accident.” Perhaps the statutory language was not argued by TEC in its brief, but, for whatever reason, it is significant that the issue was omitted from the opinion.

The the next case on the subject is the case at bar. In this case, the court of appeals considered Travelers Ins. Co. v. Perry and TEC v. Underwood and concluded that, under Travelers Ins. Co. v.

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Bluebook (online)
863 S.W.2d 316, 314 Ark. 479, 1993 Ark. LEXIS 578, Counsel Stack Legal Research, https://law.counselstack.com/opinion/metro-temporaries-v-boyd-ark-1993.