Salary Policy Employee Panel Office and Professional Employees International Union, Afl-Cio, Clc v. Tennessee Valley Authority

149 F.3d 485
CourtCourt of Appeals for the Sixth Circuit
DecidedOctober 22, 1998
Docket97-5560
StatusPublished
Cited by9 cases

This text of 149 F.3d 485 (Salary Policy Employee Panel Office and Professional Employees International Union, Afl-Cio, Clc v. Tennessee Valley Authority) is published on Counsel Stack Legal Research, covering Court of Appeals for the Sixth Circuit primary law. Counsel Stack provides free access to over 12 million legal documents including statutes, case law, regulations, and constitutions.

Bluebook
Salary Policy Employee Panel Office and Professional Employees International Union, Afl-Cio, Clc v. Tennessee Valley Authority, 149 F.3d 485 (6th Cir. 1998).

Opinion

MOORE, Circuit Judge.

Defendant-Appellant, Tennessee Valley Authority (“TVA”), appeals from an order of the district court granting partial summary judgment to plaintiffs-appellees, Salary Policy Employee Panel (the “Panel”) and Office and Professional Employees International Union, AFL-CIO, CLC (“OPEIU”) (together the “appellees”), in an action brought by appellees to compel TVA to submit a grievance to arbitration. The underlying dispute, the merits of which are not before this court, involves whether employees within a new job classification recently created by TVA belong in a bargaining unit represented by OPEIU or one represented by the International Brotherhood of Teamsters (the “Teamsters”). TVA has also appealed the lower court’s denial of its motion to dismiss the action for failure to join the Teamsters pursuant to Rule 19(a), Fed.R.Civ.P. For the reasons set forth below, we REVERSE the district court’s decision with respect to the arbitrability issue.

I. FACTUAL AND PROCEDURAL BACKGROUND

The TVA is a corporate body created pursuant to the Tennessee Valley Authority Act of 1933 for “the purpose' of maintaining and operating the properties now owned by the United States in the vicinity of Muscle Shoals, Alabama, in the interest of the national defense and for agricultural and industrial development, and to improve navigation in the Tennessee River and to control the destructive flood waters in the Tennessee River and Mississippi River Basins.” 16 U.S.C. § 831; see also Max M. Kampelman, TVA Labor Relations: A Laboratory in Democratic Human Relations, 30 Minn. L.Rev. 332, 333-35 (1946) (more extensive discussion of TVA’s background). With re-spéct to labor relations, TVA entered into its first collective bargaining contract in 1940 with the Tennessee Valley Trades and Labor Council, and in 1944 the Panel was formed. See id. at 355, 359. TVA’s experience with collective bargaining was widely praised in the decades to follow as a model for collective bargaining in the public sector. It is “the oldest example of continuous meaningful bargaining in the public sector, involving all categories of employees” including white-collar and professional employees. Michael L. Brookshire & Michael D. Rogers, Collective Bargaining in Public Employment 2 (1977); see also Natalie L. Griffin, The Wages of Federal Employees: Can We Talk?, 129 Mil. L.Rev. 141, 151 (1990) (relating how President Kennedy’s, Task Force on Employee-Management Relations in the Federal Service, established in 1961, found that “ ‘in the Tennessee Valley Authority ... relationships that [were] close to full scale collective bargaining between trade unions and management officials [had] been going on for years, to the complete satisfaction of all the parties concerned’”). TVA management has also been characterized as a strong believer in the idea that “employee organizations [are] essentially constructive forces rather than ... necessary evils” and as a successful practitioner of the principles of democratic management, bilateral accommodation, and employee-management cooperation. See Arthur A. Thompson, Collective Bargaining in the Public Service — The TVA Experience and Its Implications for Other Government Agencies, 17 Lab. L.J.' 89, 93 (1966). In general, TVA management allows employee organizations to play a fairly meaningful role in determining employee relations policies and procedures and gives these organizations much prestige, and these organizations in turn “serv[e] as a major channel of communication with employees, securing employee cooperation in matters of interest to both TVA management and the employees.” Id. at 93-95. It is thus not surprising that most of the TVA workforce is organized in unions. See Appellant’s Br. at vi.

TVA is a party to several' different collective bargaining agreements with different un *488 ions or union associations, the Panel 1 and the Teamsters being two such organizations. Historically, OPEIU which is a constituent union of the Panel has represented TVA’s office and related clerical employees (J.A. at 79 (Orr Aff. at 1)) while the Teamsters has represented TVA’s trades and labor employees whose work involved warehousing, material handling, and bulk hauling (J.A. at 255 (Hairston Aff. at 2)). In the traditional context, when OPEIU-represented employees 2 worked with Teamsters-represented employees 3 together in warehouses and storerooms, a clear separation existed between those performing clerical work and those physically handling materials and performing manual labor tasks. However, according to TVA, by the 1990s the use of bar-code technology and other computer-based techniques significantly reduced the need for separate clerical employees to receive, store, inventory, and issue materials since those employees handling materials could themselves now enter their actions directly into a materials accounting system using hand-held computers. Appellant’s Br. at 8; J.A. at 256 (Hairston Aff. at 3), 144 (Hairston May 26, 1995 Letter at 2). On May 26, 1995, TVA officially announced that it was creating a new job classification called “warehousemen/driver” or “material handler” which in essence combined these relevant clerical and physical handling duties. J.A. at 257 (Hairston Aff. at 4), 143-44 (Hairston May 26, 1995 Letter at 1-2). After discussions with OPEIU and the Panel in late 1994 and early 1995, it was further decided by Peyton Hairston, Jr., TVA’s Senior Vice President, Labor Relations, that those employees in this new position would be in the unit that was represented by the Teamsters, rather than in the unit represented by OPEIU. 4 J.A. at 145 (Hair-ston May 26, 1995 Letter at 3), 254, 257 (Hairston Aff. at 1, 4), 82 (Orr Aff. at 4).

The OPEIU immediately filed a grievance protesting this decision as a direct violation of the representation provisions of the Supplementary Agreements, which are a part of its collective bargaining agreement with TVA. J.A. at 147 (Grievance Form); 82 (Orr Aff. at 4). TVA’s collective bargaining agreement with the Panel and its constituent unions consists of three documents: (1) the “Agreement Recognizing Collective Bargaining Rights of Employees and Their Collective Bargaining Representatives,” (2) a series of “Articles of Agreement,” and (3) a series of “Supplementary Agreements”(“S.A.”) (together the “Collective Bargaining Agreement”). J.A. at 85-141 (Collective Bargaining Agreement). Insisting that the dispute concerned a jurisdictional matter involving two different collective bargaining agreements not subject to the grievance process, TVA refused to submit the disputed matter to arbitration. J.A. at 156 (Hairston Nov. 7, 1995 Letter). In response, the Panel filed suit on December 8, 1995 seeking to compel arbitration. 5 J.A. at 6 (Compl.).

The district court granted appellees’ motion for partial summary judgment, ordered arbitration, and denied TVA’s motion to dismiss for failure to join the Teamsters as a party pursuant to Rule 19. J.A. at 32 (Order).

Free access — add to your briefcase to read the full text and ask questions with AI

Related

Cite This Page — Counsel Stack

Bluebook (online)
149 F.3d 485, Counsel Stack Legal Research, https://law.counselstack.com/opinion/salary-policy-employee-panel-office-and-professional-employees-ca6-1998.