Rottersman v. CBS, INC.

726 F. Supp. 484, 1989 U.S. Dist. LEXIS 14647, 52 Empl. Prac. Dec. (CCH) 39,677, 53 Fair Empl. Prac. Cas. (BNA) 1428, 1989 WL 148456
CourtDistrict Court, S.D. New York
DecidedDecember 7, 1989
Docket87 Civ. 7903 (PKL)
StatusPublished
Cited by4 cases

This text of 726 F. Supp. 484 (Rottersman v. CBS, INC.) is published on Counsel Stack Legal Research, covering District Court, S.D. New York primary law. Counsel Stack provides free access to over 12 million legal documents including statutes, case law, regulations, and constitutions.

Bluebook
Rottersman v. CBS, INC., 726 F. Supp. 484, 1989 U.S. Dist. LEXIS 14647, 52 Empl. Prac. Dec. (CCH) 39,677, 53 Fair Empl. Prac. Cas. (BNA) 1428, 1989 WL 148456 (S.D.N.Y. 1989).

Opinion

ORDER & OPINION

LEISURE, District Judge:

Plaintiff Henry Rottersman brings this action for alleged violations of the Age Discrimination in Employment Act (the “ADEA”), 29 U.S.C. § 621 et seq., by his former employer, defendant CBS Inc. Rottersman claims that he was unlawfully fired by CBS on account of his age, and he asks for whatever relief, monetary or injunctive, the Court thinks appropriate. Defendant answered, claiming in its third affirmative defense that the applicable two-year statute of limitations had run. Plaintiff filed a motion to strike defendant’s third affirmative defense, alleging that the Age Discrimination Claims Assistance Act of 1988, Pub.L. No. 100-283, 102 Stat. 78, applies to the instant case and increases the statute of limitations. Defendant opposed plaintiff’s motion and filed a cross-motion for summary judgment pursuant to Fed.R.Civ.P. 56, seeking to dismiss the complaint in its entirety.

BACKGROUND

A. Overview

On November 12, 1984, plaintiff Henry Rottersman was fired from his job as di *486 rector of special projects in the manufacturing division of the CBS Records plant at Milford, Connecticut. Rottersman, who was 62 years old at the time, contends that he was fired on account of his age. Defendant CBS argues in response that a broad economic retrenchment was responsible for the termination of Rottersman’s job, and that “his layoff was an objective component of a streamlining and consolidation of operations recommended by an outside management consultant.” Affidavit of Walter L. Dean, 1 sworn to on April 19, 1989, ¶ 5.

To survive a motion for summary judgment, a plaintiff in an age discrimination suit must demonstrate, among other things, that circumstances exist surrounding his discharge which give rise to an inference of age discrimination. Montana v. First Federal Savings and Loan Association of Rochester, 869 F.2d 100, 105 (2d Cir.1989). The detailed factual discussion which follows should be considered in light of this legal standard.

Rottersman points to a variety of circumstances which he claims strongly suggest discriminatory motives on the part of CBS. He contends that he was the only engineer laid off at the Milford, Connecticut plant at the time of the supposed retrenchment and that a younger man was hired in CBS’s New York office to take over his duties. Rottersman also puts forward evidence that CBS made no effort to relocate him in violation of its own policy manual, that the officer who fired him had in the past made remarks suggesting discriminatory motives, and that no officer of defendant has yet to take ultimate responsibility for making the decision to terminate his job. Finally, Rottersman points to a finding by the Equal Employment Opportunity Commission (the “EEOC”) that age was a factor in defendant’s decision not to relocate him. Rottersman argues that these circumstances, as well as others, create an inference of age discrimination.

B. The Economic Restructuring of CBS Records

A brief summary of the economic organization and recent history of the CBS Records plant at Milford, Connecticut is in order before relating the facts of plaintiff’s case. Throughout the 1970s, CBS Records, a division of CBS Inc., operated six plants in the United States. The Milford plant acted as a central administrative facility for the manufacturing operations at five regional plants. 2 Engineers at Milford conducted research and development on new technologies in the record industry and assisted the regional plants in applying these technologies to the manufacturing process. The record industry experienced strong growth and rising revenues during the 1960s and 1970s, and the Milford plant was fully engaged in modernizing the manufacturing capacities of CBS Records.

In 1979, sales in records and tapes began to decline, and the industry as a whole entered a period of stagnation. The parties are in dispute as to the extent of this stagnation and its effects on CBS Records. CBS emphasizes the fact that three of the five regional plants which Milford had serviced were closed during the next several years. 3 Because of these closings, CBS argues, the need for Milford’s central functions was diminished, and it was reorganized for “downsized manufacturing services.” Dean Aff., 1115. Rottersman claims that CBS has exaggerated its business slump and that the records division made its highest profits ever in 1984. He notes that CBS completed a new plant at Carroll-ton, Georgia during the same year. Rottersman also points out that the Hawthorne, New Jersey plant was closed not because the company no longer needed the jackets, labels, and components made *487 there, but because the decision was made to purchase these items from outside vendors. Affidavit of Henry Rottersman, sworn to on June 29, 1989, Till 38-40.

The largest area of dispute between the parties concerns the effects of the economic downturn on staffing needs at the Milford plant, specifically the decision to terminate Rottersman’s job. CBS emphasizes the findings of a report prepared by the outside management consulting firm of Cresap, McCormack and Paget Inc. (the “Cresap Report”). The Cresap Report advised that the staff at Milford be reorganized to better match authority and accountability. Cresap Report, Defendant’s Exhibit C, at III — 7. The Report recommended that “The Manufacturing unit [to which plaintiff belonged] would be composed of the plants [and] a small central staff group.” Id. at III-29. Walter Dean, executive vice president of CBS Records Operations, states that “[s]enior management reviewed the Cresap Report and finding it right on target, fundamentally restructured CBS Operations’ activities in Milford in line with the report’s recommendations.” Dean Aff., If 20.

Rottersman argues in response that the Cresap Report nowhere advocated any layoffs at the Milford plant, and that its recommendations are too general to be connected directly to his job loss. Rottersman Aff., ¶¶ 51-52. There is also evidence that key executives either did not rely on the Cresap Report in making staffing decisions or were not aware of it. Rottersman claims that Samuel Burger, the head of the Milford facility who fired him, has stated that he did not rely on the Cresap Report in reducing headcount at Milford. Rotters-man Aff., ¶ 47. William Almroth, vice president of manufacturing located in New York City, did not see the Cresap Report until the fourth quarter of 1984, after the decision to fire Rottersman had already been made. Rottersman Aff., H 48. Neither Walter Dean nor Howard Korchin, director of personnel services for the manufacturing division of CBS Records, can recollect relying on the Cresap Report to reorganize and downsize the Milford plant. Rottersman Aff., ¶¶ 49-50.

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726 F. Supp. 484, 1989 U.S. Dist. LEXIS 14647, 52 Empl. Prac. Dec. (CCH) 39,677, 53 Fair Empl. Prac. Cas. (BNA) 1428, 1989 WL 148456, Counsel Stack Legal Research, https://law.counselstack.com/opinion/rottersman-v-cbs-inc-nysd-1989.