Mylan Pharmaceuticals Inc. v. United Steel, Paper & Forestry, Rubber, Manufacturing, Energy, Allied Industrial & Service Workers International Union, Local 8-957

471 F. Supp. 2d 667, 2007 U.S. Dist. LEXIS 4895
CourtDistrict Court, N.D. West Virginia
DecidedJanuary 23, 2007
DocketCivil Action 1:06CV30, 1:05CV35
StatusPublished
Cited by1 cases

This text of 471 F. Supp. 2d 667 (Mylan Pharmaceuticals Inc. v. United Steel, Paper & Forestry, Rubber, Manufacturing, Energy, Allied Industrial & Service Workers International Union, Local 8-957) is published on Counsel Stack Legal Research, covering District Court, N.D. West Virginia primary law. Counsel Stack provides free access to over 12 million legal documents including statutes, case law, regulations, and constitutions.

Bluebook
Mylan Pharmaceuticals Inc. v. United Steel, Paper & Forestry, Rubber, Manufacturing, Energy, Allied Industrial & Service Workers International Union, Local 8-957, 471 F. Supp. 2d 667, 2007 U.S. Dist. LEXIS 4895 (N.D.W. Va. 2007).

Opinion

MEMORANDUM OPINION AND ORDER

KEELEY, District Judge.

Before the Court are the parties’ cross motions for summary judgment in each of the above captioned cases. 1 The plaintiff, *670 Mylan Pharmaceuticals (“Mylan”), is a pharmaceutical company that develops, manufactures and distributes a variety of generic prescription drugs. The defendant, United Steel, Paper and Forestry, Rubber, Manufacturing, Energy, Allied Industrial and Service Workers International Union, Local 8-957 (the “Union”), is the exclusive bargaining agent for approximately 730 production and maintenance employees working at Mylan’s Morgan-town, West Virginia facility.

In these cases, Mylan seeks the vacation of two arbitration awards each authorizing the reinstatement of grievant and bargaining unit member Irma Brooks (“Brooks”), after Mylan twice terminated her employment for acts of misconduct. By contrast, the Union seeks to enforce the awards and their respective findings that Mylan did not have “just cause” to terminate Brooks. For the reasons that follow, the Court DENIES Mylan’s motions for summary judgment, GRANTS the Union’s motions for summary judgment, and UPHOLDS Arbitrator Rimmel’s and Arbitrator Zob-rak’s awards, respectively.

I. Background

Sometime in July, 2002, Mylan employed Brooks as a Slat Counter Operator. In her position, Brooks was responsible for setting up and operating slat counter machines that fill empty bottles with manufactured pharmaceutical tablets and capsules as they progress down the packaging line. One of Brooks’ essential job functions as a Slat Counter Operator was to “[p]erform[] job functions in accordance with current Good Manufacturing Practice regulations, Mylan’s Standard Operating Procedures, and OSHA safety requirements.” (R-143). 2

Sometime during her January 7, 2004 shift, Brooks stopped the packaging line, placed three pieces of gum into an empty prescription pill bottle, and restarted the line. According to Brooks, she intended to share the gum with a coworker who was positioned further down the packaging line. When Brooks realized that her coworker had not retrieved the bottle containing the gum, she again stopped the line and asked her coworkers to help her locate the then sealed and packaged bottle. After approximately 10 to 20 minutes, the bottle containing the gum was found and discarded and production resumed.

After conducting an investigation of the incident, on January 14, 2004, Mylan terminated Brooks’ employment for the above misconduct. In its notice of termination, Mylan informed Brooks that her “actions interfered [sic] and adversely affected the Company’s efficient operation of its business.” (1:06CV85, R-140). Thereafter, pursuant to the terms of the parties’ collective bargaining agreement (“CBA”), the Union filed a grievance with Mylan for Brooks’ “improper discharge.”

On August 6, 2004, an arbitration hearing on the grievance was held before Arbitrator Rimmel, FMCS case # 040303-04190-A. During the hearing, Brooks testified that, prior to the January 7, 2004 incident, she had also placed a piece of candy in a bottle on the packaging line and written a message on a bottle on the packaging line. According to Brooks, both of those instances took place during one shift soon after she was employed, and in both instances the coworker for whom the candy and message were intended removed the bottles from the line as they came by.

On December 3, 2004, Arbitrator Rim-mel issued a written opinion reducing *671 Brooks’ termination to a 10-day suspension and required Mylan to reinstate Brooks with back pay. In making his decision, Arbitrator Rimmel first outlined the contractual (CBA) provisions he found relevant to the issue of whether Mylan had “just cause” to terminate Brooks. He also examined relevant portions of Mylan’s Code of Conduct, promulgated pursuant to authority reserved to Mylan in the CBA, including the four levels of offenses outlined in the Code. Pursuant to the Code’s terms, termination is warranted only when a first-time offense is at a Level IV.

In his decision, Arbitrator Rimmel found that Brooks’ offense did not constitute a Level IV offense. Instead, he found that the Code’s Level III standard “concisely covers grievant’s violative conduct on 7 January 2004.” (L05CV35, R-235). The Arbitrator then directed Mylan to reinstate Brooks after she served a ten day suspension from work, the most stringent disciplinary measure applicable for the first-time commission of a Level 3 offense. Notably, Arbitrator Rimmel did not address Brooks’ prior acts of placing a piece of candy in a bottle and writing on a bottle, to which she admitted during the arbitration hearing, because “the limited record before [him] simply [did] not allow for final adjudication of the matter.” (R-237).

Prior to her ordered reinstatement, on December 10, 2004, Mylan again terminated Brooks, effective August 6, 2004, the date on which it had learned of her earlier misconduct. Again, the Union filed a grievance challenging this second termination as an improper discharge. Like the first grievance, the Union’s second grievance regarding Brooks proceeded to arbitration under the terms of the CBA.

On August 19, 2005, an arbitration hearing was held on the grievance before Arbitrator Zobrak, FMCS case # 050210-53204. Thereafter, on November 21, 2005, Arbitrator Zobrak issued his decision, which emphasized the fact that the acts underlying the arbitration dispute before him had occurred prior in time to any acts involved in the proceedings before Arbitrator Rimmel. As such, he characterized Brooks’ acts of placing a piece of candy in a bottle and writing a message on a bottle on the production line as a first-time offense.

As did Arbitrator Rimmel, Arbitrator Zobrak looked to Mylan’s Code of Conduct in evaluating whether Mylan had “just cause” under the CBA to terminate Brooks. He also heard the testimony of several witnesses, including experts on FDA regulation and policy, and found that Brooks’ acts constituted multiple violations of Mylan’s Standard Operating Procedures (“SOPs”) and various Good Management Practices (“GMPs”) promulgated by the United States Food and Drug Administration (“FDA”). He further found, however, that “[n]one of the Group IV rules mentions violations of SOPs or GMPs or specifically addresses any of the conduct engaged in by the Grievant.” (Doc. 9, Ex. A at 10). Rather, Arbitrator Zobrak concluded, the failure to follow SOPs and GMPs is designated in the Code of Conduct as a Level II offense, for which a first-time offender is subject to a final written warning. Thus, Arbitrator Zobrak directed Mylan to reinstate Brooks’ and reduced her termination to a final written warning.

II. Relevant Procedural History

On February 24, 2005, Mylan filed its complaint in Civil Action # L05CV35, seeking to vacate Arbitrator Rimmel’s award. Similarly, on February 16, 2006, Mylan filed its complaint in Civil Action # L06CV30, seeking to vacate Arbitrator Zobrak’s award. The Union filed counterclaims to both complaints seeking enforcement of the respective awards.

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471 F. Supp. 2d 667, 2007 U.S. Dist. LEXIS 4895, Counsel Stack Legal Research, https://law.counselstack.com/opinion/mylan-pharmaceuticals-inc-v-united-steel-paper-forestry-rubber-wvnd-2007.