United States Information Agency v. Federal Labor Relations Authority

895 F.2d 1449, 283 U.S. App. D.C. 27, 133 L.R.R.M. (BNA) 2587, 1990 U.S. App. LEXIS 2124, 1990 WL 11058
Court of Appeals for the D.C. Circuit·Decided February 13, 1990·No. No. 88-1898·Published·Cited by 3 cases

Opinions

Opinion for the Court filed by Circuit Judge HARRY T. EDWARDS.

Circuit Judge MIKVA concurs in the result.

Concurring opinion filed by Circuit Judge WILLIAMS.

HARRY T. EDWARDS, Circuit Judge:

This case concerns the permissible scope of collective bargaining for “prevailing rate” employees in the federal sector. The United States Information Agency, Voice of America (“Agency”) challenges an order of the Federal Labor Relations Authority (“FLRA”) requiring the Agency to bargain over the substance of its decision to reduce the preparation and cleanup times for radio technicians. The FLRA concluded that, because the matter had been the subject of negotiations prior to enactment of the Prevailing Rate Systems Act of 1972 (“PRSA”), Pub.L. No. 92-392, 86 Stat. 564 (1972) (codified as amended at 5 U.S.C. §§ 5341-5349 (1988)), preparation and cleanup time was a subject of bargaining pursuant to the “grandfather” provisions of the PRSA. The FLRA thus found that the Agency’s failure to negotiate over the substance of its decision constituted an unfair labor practice in violation of section 7116(a)(1) and (5) of the Federal Service Labor-Management Relations Statute, 5 U.S.C. §§ 7101-7135 (1988). See United States Information Agency Voice of America v. National Fed’n of Fed. Employees Local 1418, 33 F.L.R.A. 549, 549-50 (1988).

The FLRA rejected the Agency’s contention that “it cannot be required to bargain over the continuation of preparation and cleanup times unless those practices are current prevailing practices in the broadcast industry,” as being inconsistent “with the broad purpose of section 9(b) of the [Prevailing Rate Systems] Act and section 704” of the Civil Service Reform Act of 1978 (“CSRA”) — the “grandfather” provisions. See id. at 559; PRSA § 9(b), 5 U.S.C. § 5343 note (1988); CSRA § 704, 5 U.S.C. § 5343 note.

We reject the Agency’s contention that under section 704 an agency is required to bargain over a term or condition of employment that was negotiated prior to August 19, 1972, only when the union’s demand is consistent with current prevailing practices in the industry. We also disagree with the [29] FLRA’s interpretation of section 704, because it fails to distinguish between bargaining over subject matters governed by subsection 704(a) — terms and conditions of employment — and bargaining over subject matters governed by subsection 704(b)— pay and pay practices. Because the bargaining rights afforded by subsection 704(b) are narrower than those afforded by subsection 704(a), we will remand this case for the FLRA to determine whether preparation and cleanup time is a “pay and pay practice[ ]” or, rather, a “term[ ] and condition[] of employment” or “other employment benefit[].”

I. Background

A. Statutory Framework

The radio technicians involved in this case are “prevailing rate” employees. See VOA v. NFFE, 33 F.L.R.A. at 550. “Prevailing rate employees are a category of federal workers whose wages are not determined by the federal General Schedule. Rather, their wages generally are determined by the wages'prevailing in the industry in which they work, pursuant to a wage survey mechanism.” United States Dep’t of Energy v. FLRA, 880 F.2d 1163, 1164 n. 2 (10th Cir.1989). The Prevailing Rate Systems Act establishes a mechanism by which the rates of pay of prevailing rate employees can be “fixed and adjusted from time to time as nearly as is consistent with the public interest in accordance with prevailing rates.” 5 U.S.C. § 5341. However, in section 9(b) of the PRSA, Congress specifically preserved the rights of parties to collective bargaining agreements in effect on August 19, 1972, to negotiate “with respect to the various items of subject matter of negotiations on which” those contracts were based. PRSA § 9(b)(3). Similarly, in enacting the Civil Service Reform Act in 1978, Congress again provided for the protection of bargaining rights for prevailing rate employees. See CSRA § 704.

Thus, sections 9(b) and 704 serve to “grandfather-in” bargaining rights for prevailing rate employees with respect to subjects that might otherwise be non-negotiable “management rights” under 5 U.S.C. § 7106 or non-negotiable pay provisions reserved to agency regulation. Cf. Department of the Navy, Military Sealift Command v. FLRA, 836 F.2d 1409, 1419 (3d Cir.1988); Department of the Treasury v. FLRA, 838 F.2d 1341, 1343 (D.C.Cir. 1988) (per curiam) (adopting the reasoning and analysis of Sealift). In section 704, however, Congress distinguished between bargaining over terms and conditions of employment and bargaining over pay and pay practices — a distinction not extant in section 9(b).

B. Factual and Procedural History

It is undisputed that the radio technicians in this case are prevailing rate employees to whom section 9(b) of the Prevailing Rate Systems Act applies. See VOA v. NFFE, 33 F.L.R.A. at 555. From about 1965 until October 1986, the Agency allowed the radio technicians fifteen minutes at the beginning of their shifts for preparation or setup time, and fifteen minutes at the end of their shifts for cleanup or breakdown time. See id. at 552. During the twenty-two years from 1965 to 1986, the Agency adhered to this practice except in emergencies. See id. at 551. The FLRA found that, on the basis of meeting notes of labor-management discussions during 1966 and 1967 and a specific provision concerning preparation and cleanup in a 1971 agreement, the parties had negotiated over preparation and cleanup times prior to August 19, 1972. See id. at 556.

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United States Information Agency v. Federal Labor Relations Authority, 895 F.2d 1449, 283 U.S. App. D.C. 27, 133 L.R.R.M. (BNA) 2587, 1990 U.S. App. LEXIS 2124, 1990 WL 11058 (D.C. Cir. 1990).

895 F.2d 1449 (United States Information Agency v. Federal Labor Relations Authority) — published by Counsel Stack Legal Research, free access to 12M+ legal documents.

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