Metropolitan Distributors, Inc. v. Illinois Department of Labor

449 N.E.2d 1000, 114 Ill. App. 3d 1090, 70 Ill. Dec. 653, 26 Wage & Hour Cas. (BNA) 274, 1983 Ill. App. LEXIS 1835
CourtAppellate Court of Illinois
DecidedMay 24, 1983
Docket82-1020
StatusPublished
Cited by9 cases

This text of 449 N.E.2d 1000 (Metropolitan Distributors, Inc. v. Illinois Department of Labor) is published on Counsel Stack Legal Research, covering Appellate Court of Illinois primary law. Counsel Stack provides free access to over 12 million legal documents including statutes, case law, regulations, and constitutions.

Bluebook
Metropolitan Distributors, Inc. v. Illinois Department of Labor, 449 N.E.2d 1000, 114 Ill. App. 3d 1090, 70 Ill. Dec. 653, 26 Wage & Hour Cas. (BNA) 274, 1983 Ill. App. LEXIS 1835 (Ill. Ct. App. 1983).

Opinion

JUSTICE HARTMAN

delivered the opinion of the court:

The Illinois Department of Labor (Department) appeals from an order permanently enjoining it from conducting any further investigations into severance pay claims by former employees of Metropolitan Distributors, Inc. (Metropolitan). The issue presented for review is whether injunctive relief was properly granted under the circumstances presented.

Metropolitan’s complaint for injunctive relief asserts that it was an Illinois corporation engaged in warehousing and distributing various malt beverage products until September 4, 1981, when it went out of business. Metropolitan discharged all its employees, many of whom were members of the International Brotherhood of Teamsters, Local Union 794 (Union). The Union had entered into a collective bargaining agreement with Metropolitan which provided in relevant part that:

“Any permanent employee whose job is terminated because of *** [the discontinuance of a route,] who has more than one (1) year of employment shall be paid by his employer the average weekly earnings for the previous twelve (12) months prior to his termination, one (1) week for each year of employment up to a maximum of ten (10) weeks, same to constitute a severance allowance.”

Shortly before they were discharged, 91 of Metropolitan’s Union employees filed wage claim complaints with the Department claiming severance pay under the agreement. On January 14, 1982, the Department’s wage claim division conducted an initial hearing on the matter and scheduled another hearing for March 29, 1982. Metropolitan meanwhile brought this action to enjoin the Department’s further investigation and hearings. The Department’s motions to dismiss the complaint were denied, and the circuit court temporarily restrained the Department from conducting such further activities. An answer and affirmative defenses were filed by the Department. Certain exhibits were received by the circuit court and on April 19, 1982, the circuit court entered a permanent injunction, finding that severance pay claims are outside the purview of the Illinois Wage Payment and Collection Act (Ill. Rev. Stat. 1979, ch. 48, par. 39m — 1 et seq.) and beyond the jurisdiction of the Department to investigate.

The Department asserts, and we agree, that the initial determination of whether an agency has jurisdiction over a particular matter should be made by the agency itself. (Endicott Johnson Corp. v. Perkins (1943), 317 U.S. 501, 87 L. Ed. 424, 63 S. Ct. 339; Scott v. Association for Childbirth At Home, International (1981), 88 Ill. 2d 279, 430 N.E.2d 1012.) By substituting its judgment for that of the Department and determining that it lacked jurisdiction to conduct hearings on the severance pay claims of Metropolitan’s former employees, the circuit court exceeded its authority. The scope of judicial review before the circuit court was limited to determining whether the investigation was commenced for a lawful and authorized purpose and whether the information sought was relevant to this purpose. United States v. LaSalle National Bank (1978), 437 U.S. 298, 57 L. Ed. 2d 221, 98 S. Ct. 2357; Illinois Crime Investigating Com. v. Buccieri (1967), 36 Ill. 2d 556, 224 N.E.2d 236.

The Department also contends that the legislature intended to include severance pay claims among those which it authorized the Department to investigate and, if possible, amicably resolve under the Elinois Wage Payment and Collection Act (Ill. Rev. Stat. 1979, ch. 48, par. 39m — 1 et seq.) (present act). A brief review of the legislative history will be helpful, since it appears that this question is one of first impression in Elinois. The Act’s predecessor statute, the wage payment act of 1937 (Ill. Rev. Stat. 1959, ch. 48, pars. 39g through 39m) (1937 act) had been interpreted by the supreme court in Conlon-Moore Corp. v. Johnston (1961), 23 Ill. 2d 341, 178 N.E.2d 336, to exclude vacation pay from within the ambit of the statute, since the legislature had not defined the term “wages.” The court refused to construe wages to include vacation pay because the statutory language seemed to refer only to those sums “due and payable at regular intervals.” The court went on to say that if the term had been more broadly defined to include “every form of remuneration for personal services,” as defined in the Unemployment Compensation Act (Ill. Rev. Stat. 1959, ch. 48, par. 344), it might have concluded otherwise.

In April 1971, the Commission on Labor Laws (Commission) submitted a report to the General Assembly suggesting the revision of the 1937 act. Among the proposed revisions was that the term “wages” be broadly defined to include a variety of benefits, including vacation pay. The Commission’s proposals in this regard appear to have been accepted by the legislature. “Wages” are now defined as “compensation for labor or services rendered, whether the amount is determined on a time, task, piece, or any other basis of calculation.” (Ill. Rev. Stat. 1979, ch. 48, par. 39m — 2.) In addition, any contributions to an employee benefit, trust, or fund, which an employer is legally required to make under the terms of a collective bargaining agreement, are to be considered “wages” as well. (Ill. Rev. Stat. 1979, ch. 48, par. 39m — 8.) “Final compensation” is defined as “wages, salaries, earned commissions, earned bonuses, and the monetary equivalent of earned vacation and earned holidays.” (Ill. Rev. Stat. 1979, ch. 48, par. 39m — 2.) The statute directs the Department “to assist any employee *** in the collection of wages or final compensation due him ***.” (Ill. Rev. Stat. 1979, ch. 48, par. 39m — 6.) From the sweep of the foregoing provisions, the Department argues that severance pay claims should have been construed to fall within the purview of the statute.

In contraposition, Metropolitan insists that the foregoing statutory provisions demonstrate the absence of Department jurisdiction, citing statutory construction principles to the effect that the enumeration of certain things in a statute conclusively implies the exclusion of all others, citing People v. Dublin (1978), 63 Ill. App. 3d 387, 380 N.E.2d 31, People v. Schaffra (1975), 30 Ill. App. 3d 600, 332 N.E.2d 163, and In re Estate of Leichtenberg (1956), 7 Ill. 2d 545, 131 N.E.2d 487. Metropolitan also relies on In re Sneed (1977), 48 Ill. App. 3d 364, 363 N.E.2d 37, for the proposition that courts must accept the plain and ordinary meaning of words found in a statute and must reject a forced construction which would not give effect to the intent of the legislature. For those reasons, Metropolitan maintains that the legislature did not intend severance pay claims to come within purview of the statute.

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449 N.E.2d 1000, 114 Ill. App. 3d 1090, 70 Ill. Dec. 653, 26 Wage & Hour Cas. (BNA) 274, 1983 Ill. App. LEXIS 1835, Counsel Stack Legal Research, https://law.counselstack.com/opinion/metropolitan-distributors-inc-v-illinois-department-of-labor-illappct-1983.