Smith v. Kingsport Press, Inc.

366 F.2d 416
CourtCourt of Appeals for the Sixth Circuit
DecidedSeptember 28, 1966
DocketNos. 16246-16249
StatusPublished
Cited by15 cases

This text of 366 F.2d 416 (Smith v. Kingsport Press, Inc.) 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
Smith v. Kingsport Press, Inc., 366 F.2d 416 (6th Cir. 1966).

Opinion

KENT, District Judge.

These are class actions brought by the plaintiffs-appellants who are officials of the various labor organizations which had collective bargaining agreements with the defendant, Kingsport Press, Inc., prior to March, 1963. Each action was brought under the provisions of Section 301 of the Labor Management Relations Act of 1947, 29 U.S.C. § 185. Each of the actions was originally commenced in the state courts of Tennessee and each was thereafter removed by the defendant to the United States District Court for the Eastern District of Tennessee. Each action was instituted for the purpose of obtaining, for the class of employees represented by the respective officers, the vacation pay which it is claimed was due and payable on March 23, 1963, under the term, i of the collective bargaining agreements in effect during the period for which the employees had worked prior to that date. Each of the collective bargaining agreements in question expired on January 30, 1963.

While attempting to negotiate the terms of new collective bargaining agreements the employees in question continued to work until they went out on strike on March 11, 1963. The court is advised that the strike continues to this date. (The date being the date on which the arguments were had in the cases which are now before us.) By its terms each of the collective bargaining agreements provided that vacation pay was due and payable on March 23, 1963, subject to certain conditions set forth in the agreements. In each case the district court concluded that the defendant was not liable for payment of the vacation pay as provided in the collective bargaining agreements because the employees went on strike on March 11, 1963, and continued on strike thereafter. The district court concluded that the employees in question had voluntarily terminated their employment as of the date of the commencement of the strike. 233 F.Supp. 643, 646.

The facts relative to the contracts in question, the contracts of earlier years, and the current disputes between the parties are discussed at length in the district court opinion. In essence we are asked in this appeal to construe language in the collective bargaining agreements which provide in part as follows:

“Section 1. Vacations with pay will be granted as follows:
All employees employed over one year but less than five years .. 5 days.
All employees employed five years but less than eleven years .... 10 days.
******
“Section 4. To receive this vacation allowance a member must be
a. On the payroll on the Fourth Friday in March;
b. Must have worked at least 40 full weeks during the 52 weeks immediately preceding the first Saturday in March. By a full week’s work is meant the time the employee is scheduled to work throughout any given week.
c. An employee’s status on the first Saturday in March will be used to de[418]*418termine his weekly rate and his seniority.”

The record establishes that each of the employees in question had been “employed for one year on the first Saturday in March.” Each of the employees in question had worked at least 40 full weeks during the 52 weeks immediately preceding the first Saturday in March.

The basic issue in these actions is whether the employees in question were “on the payroll on the fourth Friday in March.” Admittedly, all of the employees in question were employed by the defendant on the first Saturday in March, 1963, but the strike in which the employees in question were engaged commenced on the 11th day of March, 1963, and none of the employees in question were actually working on the 22nd day of March, 1963, which was the fourth Friday in March. The appellee did not pay the vacation pay as provided in the collective bargaining agreements to any of the employees who were on strike on March 22, 1963. There is nothing in the record before us which would have permitted the district court to conclude that any of the employees on strike had resigned and nothing which would permit the conclusion that a replacement had been employed by the appellee to fill the position of a striking employee as of March 22, 1963.

The Labor Management Relations Act of 1947, 29 U.S.C.A. § 152(3) provides:

“The term ‘employee’ shall include any employee, * * * and shall include any individual whose work has ceased as a consequence of, or in connection with, any current labor dispute * * •»»

The provisions of this section seem to be completely dispositive of the issue as to whether or not the plaintiffs-appellants were employees on the date in dispute.

Thus, we have remaining the principal issue, i. e., whether the employees in question were “on the payroll.” Obviously, alternative terms could have been used in the collective bargaining agreement. The most obvious of which would have been “on the active payroll” or “actually working on the fourth Friday in March.” The definition of possible alternatives is discussed in somewhat greater detail in the arbitrator’s decision in Springfield Foundry, 14 L.A. 1017. Another definition utilized by an arbitrator is found in West Virginia Paper Company, 15 L.A. 742 (1952), wherein the arbitrator stated. “The true intent of the words, ‘being on the payroll’ is usually intended to cover employees who are on the regular roster of employees who are accumulating seniority.” Dumphy Boat Company, 13 L.A. 880 (1950) is another case where the facts were somewhat similar to the one before us. In that action the arbitrator concluded the words ‘on the payroll’ meant that a person employed by another remains on the payroll of the employer until his employment has been finally and definitely terminated.

The defendant-appellee has cited cases which it is claimed are contrary to those discussed above, but an examination of the facts in each case so cited and an examination of the terms of the agreements in question in each case so cited demonstrates that the decisions are not contrary to the cases to which attention has been called previously. See Austin-Western Co., 2 L.A. 570; Whittet-Higgins Co., 15 L.A. 13; Ohringer Home Furniture Co., 33 L.A. 477.

The district court in its opinion and the appellee in its argument rely upon Miller v. Blue Ridge Glass Corp., 264 F.2d 634 (C.A.6, 1959). An examination of the opinion of the court in Miller v. Blue Ridge Glass, supra, will demonstrate that the terms of the collective oargaining agreement in that case varied substantially from the terms of the collective bargaining agreement which is now before us. As pointed out by the court at page 635: “The pertinent paragraph, 2, briefly summarized, is as follows: For one year’s service performed by November 30 of the current year if employee has worked from February 1 to November 30 of the current year and [419]*419at least 500 hours the preceding calendar year, he receives one week’s vacation. * * »

In Miller v. Blue Ridge Glass Corporation, supra, it appears that the plaintiff’s employees commenced striking on January 28, 1956. Thereafter, and at the time the case was heard in this court the plaintiff’s employees had not worked for the defendant company.

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Bluebook (online)
366 F.2d 416, Counsel Stack Legal Research, https://law.counselstack.com/opinion/smith-v-kingsport-press-inc-ca6-1966.