Michael Schatz, Etal, V State Of Washington

Court of Appeals of Washington·Decided November 19, 2013·No. 42332-4·Published

Opinion

FILED

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IN THE COURT OF APPEALS OF THE STATE OF W N STA E OIAAIiN

DIVISION II

MICHAEL SCHATZ; DANI KENDALL; and No. 42332 -4 -II JOSEPH MINOR, as individuals and as class representatives for all others similarly situated,

Respondents,

V.

STATE OF WASHINGTON; DEPARTMENT PUBLISHED OPINION

OF SOCIAL AND HEALTH SERVICES; DEPARTMENT OF PERSONNEL; and

DOES 1 - 10 in their official capacities,

PENOYAR, J. — Psychiatric security nurses and psychiatric security attendants' who work in the forensic wards at the state' s psychiatric hospitals filed this suit against the Department of Social and Health Services ( DSHS), the Department of Personnel ( Personnel), and officials of

both agencies,

2

seeking an increase in their salary ranges. The employees alleged that the State

rights, violated the comparable worth statutes, and acted violated their equal protection

arbitrarily and capriciously by setting their salary ranges lower than their counterparts in the civil commitment wards. The trial court agreed with the employees and, following a bench trial,

found that the State had violated the employees' equal protection rights and their rights under the comparable worth statutes. The State appeals the trial court' s verdict and award of attorney fees to the employees, arguing that ( 1) there is a rational basis for paying forensic and civil nurses differently, ( 2) the employees have no right to adjustment of their wages under the comparable

granted a writ of certiorari, ( 4) the trial court erred worth statutes, ( 3) the trial court improperly

We refer to the plaintiffs collectively as the employees.

2 We refer to the defendants collectively as the State.

42332 -4 -II

by finding that the State was collaterally estopped by a 1983 order, and ( 5) the trial court erred

by awarding the employees attorney fees under both the common fund doctrine and fee -shifting statutes. The employees cross appeal, arguing that the trial court erred by finding that they are

not entitled to double damages under RCW 49. 52. 070.3 Because it is reasonable for the State. to pay employees the salaries they collectively bargained for, the employees' equal protection claim fails. Additionally, the employees are not entitled to any relief under the 1980s era comparable worth statutes. We reverse and hold that

the employees are not entitled to attorney fees because they did not prevail.

FACTS

I. BACKGROUND

This appeal arises from pay disparities between nurses ( PSNs) and nursing attendants

PSAs) in the forensic wards of Eastern and Western State Hospitals and their counterparts in the civil commitment wards —licensed practical nurses ( LPNs) and mental health technicians

MHTs). Practical nurses on both the forensic and civil wards share similar duties and responsibilities, but there are a few administrative differences. The LPN series has 3 levels: Is,

2s, and 4s. LPN4s are designated lead workers on the civil wards. There is only one LPN4 on

duty per shift. By contrast, there is only one level of PSN, and each shift has multiple PSNs who share the LPN4 responsibilities. As of 2007, when the complaint was filed in this case, PSNs

3 Some of the statutes in our opinion have been amended since the employees filed their claim. A few of the amendments were minor and did not affect the substance of the statute or our analysis. Unless otherwise noted, we cite to the current version of the statute.

42332 -4 -II

were in the same salary range as LPN2s. 4 The PSNs argue that their salary range should at least match LPN4s' salary range.

Attendants on both the forensic and civil wards also share similar duties and responsibilities. Like the practical nurses, the attendants on the civil wards —MHTs —have

different levels: Is, 2s, and 3s, while the forensic attendants — PSAs —have only one level. MHT3s have additional administrative duties beyond those assigned to MHT2s and MHT1 s. For example, MHT3s are responsible for placing work orders and ordering supplies and they serve as ward fire marshals. 5 PSAs perform these same tasks, but they are shared among multiple PSAs.

As 2007, PSAs were one range above MHT2s and two ranges below MHT3s. PSAs of salary

argue that their salary range should at least match MHTs' salary range. II. HISTORY OF PSN AND PSA SALARY SETTING In 1973, Personnel adopted the PSN and PSA classifications for nurses and attendants

working in the mental health unit of corrections institutions. Personnel placed forensic PSNs and PSAs in higher salary ranges than civil LPNs and hospital attendants in recognition " of the

danger involved in felons the criminally insane." Ex. 40 at 2.

added dealing with and

In 1976, the State moved the mental health units from corrections institutions to state

hospitals and reclassified PSNs and PSAs as LPNs and hospital attendants. The psychiatric

former PSNs and PSAs petitioned Personnel to reallocate them to their former, higher -

paying,

classifications. The Personnel Board denied their request and the employees sued. The superior

4 From 1993 to 2006, PSNs were in a lower salary range than LPN2s.

5 MHT3s are fire marshals for day shifts, and MHT2s may be fire marshals on evening shifts. 6 Hospital attendants were reclassified to MHTs.

42332 -4 -II

court ordered the employees reallocated back to PSNs and PSAs and awarded them back pay for the time they were misclassified as LPNs and hospital attendants.

In 1985, the legislature ratified a broad settlement agreement implementing comparable worth. The agreement calculated an average salary line and provided incremental raises for state employees in job classifications that were below the average line. LPNs and MHTs

received raises under comparable worth because their salary ranges were below the average salary line. PSNs and PSAs did not receive raises under comparable worth because their salary ranges were already above the average salary line. As a result, LPN4s and MHT3s are now in a

higher salary range than PSNs and PSAs.

Statutory changes mandated that, in 2004, the employees, through their union, would the governor over their salary ranges. See RCW 41. 80. 001, begin collectively bargaining with

RCW 41. 80. 010( 1), RCW 41. 80. 020( 1) ( providing the matters subject to bargaining, including

bargaining negotiations. RCW wages). The governor represents DSHS during collective

41. 80. 010( 1).

III. PROCEDURAL HISTORY

Two PSNs and a PSA filed a class action complaint with the superior court alleging that,

by paying PSNs and PSAs less than their LPN and MHT counterparts, the State violated their equal protection rights, acted arbitrarily and capriciously, and violated the comparable worth

doctrine. The employees sought declaratory relief directing the State to pay them at the same rate as comparable job classes, double damages for lost wages, and attorney fees.

7 " Comparable worth" is defined as " the provision of similar salaries for positions that require or judgments, knowledge, skills, and conditions." Former impose similar responsibilities, working

RCW 41. 06. 020( 5) ( 1993).

42332 - -II 4

Following a bench trial, the trial court concluded that the State violated the employees'

equal protection rights, violated their rights to comparable pay under the comparable worth statute, and acted arbitrarily and capriciously. The trial court ordered the State to adjust the

PSNs' pay range to match the LPN4s' pay range and to adjust the PSAs' pay range to match the 16, 2004, The trial court MHT3s' pay range beginning on May and continuing prospectively.

granted the employees prospective relief under 42 U. S. C. § 1983 and back pay under its inherent

authority to compel other branches of government to comply with the law.

The trial court denied the employees' request for double damages, but awarded them

attorney fees and costs. The trial court awarded employees' counsel one -third of the employees'

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