VHS University Laboratories, Inc. v. Local 283 of the International Brotherhood of Teamsters

54 F. Supp. 3d 827, 2014 U.S. Dist. LEXIS 151217, 2014 WL 5394292
CourtDistrict Court, E.D. Michigan
DecidedOctober 24, 2014
DocketNo. 13-cv-13780
StatusPublished

This text of 54 F. Supp. 3d 827 (VHS University Laboratories, Inc. v. Local 283 of the International Brotherhood of Teamsters) is published on Counsel Stack Legal Research, covering District Court, E.D. Michigan primary law. Counsel Stack provides free access to over 12 million legal documents including statutes, case law, regulations, and constitutions.

Bluebook
VHS University Laboratories, Inc. v. Local 283 of the International Brotherhood of Teamsters, 54 F. Supp. 3d 827, 2014 U.S. Dist. LEXIS 151217, 2014 WL 5394292 (E.D. Mich. 2014).

Opinion

OPINION AND ORDER REGARDING CROSS-MOTIONS TO VACATE AND TO ENFORCE ARBITRATION AWARDS

GERALD E. ROSEN, Chief Judge.

I. INTRODUCTION

This matter arises out of a dispute over the payment of fees for the arbitration of 24 grievances concerning holiday pay submitted by Teamsters Local 283 (“the Union”) on behalf of laboratory technicians at the Detroit Medical Center- (the “DMC”) pursuant to the DMC-Local 283 collective bargaining agreement. DMC University Laboratories, a wholly-owned subsidiary of the DMC,1 filed this action seeking an order vacating the arbitration awards in which the DMC was defaulted and the holiday pay grievances upheld based upon the DMC’s non-payment of required grievance arbitration fees. The Union cross-moved for a summary judgment ruling enforcing the arbitration awards. Responses and reply briefs have been filed.

Having reviewed and considered the parties’ briefs and supporting evidence, the Court has determined that the relevant allegations, facts and legal arguments are adequately presented in these submissions, and that oral argument would not substantially aid the decisional process. There[829]*829fore, the Court will decide this matter “on the briefs.” See Eastern District of Michigan Local Rule 7.1(f)(2). This Opinion and Order sets forth the Court’s ruling.

II. FACTUAL BACKGROUND

Teamsters Local 283 represents laboratory technicians and senior technicians employed at the Detroit Medical Center and other DMC facilities pursuant to a collective bargaining agreement (“CBA”) entered into by Local 283 and the DMC on January 1, 2012.2

The dispute that eventually led to this action arose shortly after Memorial Day 2013 when 24 DMC lab technicians filed grievances under the CBA on issues related to the Memorial Day holiday. Some senior DMC lab technicians asserted that the DMC had breached the contract by denying them the right to bid on a schedule that would allow them to work the holiday thereby denying them the ability to earn holiday overtime pay. [See Declaration of Local 283 President Steve Hicks, Defendant’s Ex. 5, ¶ 7]. Of those lab employees who actually worked the holiday, some asserted that the DMC had breached the contract by forcing them to take another day off later in the bi-weekly pay period, which had the effect of giving .them only 72 hours worked and 76 hours of pay (instead of pay for a full 80 hours of work plus overtime pay). Id. ¶ 8. Some employees also asserted that the DMC breached the contract by failing to post the holiday work schedules seven or more days in advance as called for under the CBA. Id. ¶ 9.

The DMC claimed that the grievances should have been filed as a “group grievance,” and denied all 24 grievances on one “Grievance Response Form.” [See Defendant’s Ex. 6.]3 After receiving the DMC’s response, Local 283’s President Steve Hicks proposed to Hakim Berry, the DMC’s Director of Labor Relations, that the parties agree to taking four of the grievances to arbitration and that they let those four grievances set the pattern for the other 20. Berry rejected that proposal. Therefore, pursuant to the collectively-bargained grievance procedure, the Union appealed all 24 grievances to the Industrial Board Arbitration Committee (the “Board”). [Hicks Deck, ¶¶ 11-13.]

The CBA’s Grievance/Arbitration Provisions

The Grievance and Arbitration procedure applicable to the DMC union employees involved in this dispute is set forth in Article VI, Section 3 of the DMC-Local 283 Agreement. The first two steps of the four-step procedure (i.e., the submission of the grievance in writing and a timely decision by the supervisor or other DMC man[830]*830agement designee) are not at issue here. The issue here concerns the third step of the procedure which is as follows:

Step 3. Industrial Board Arbitration Committee

If the grievance is not satisfactorily-resolved in Step 2 above, it may be submitted to the Industrial Board at the request of the Union. A request to submit the grievance to arbitration must be made, in writing, to the Employer’s Director of Labor Relations and/or designee not later than thirty (80) calendar days from the date of the answer in Step 2. If the union fails to request to advance to the Industrial Board within this time limit, the grievance shall be deemed settled on the basis of the answer in Step 2.
(B) In the event of a refusal by either party to submit or appear at the Industrial Board hearing, the Industrial Board shall have jurisdiction to proceed ex-parte and make an award. The decision of the Industrial Board shall be rendered without undue delay. All settlements made in the grievance procedure, including the decision of the Industrial Board shall be final and binding on all parties (EXCEPT AS OTHERWISE INDICATED IN THIS ARTICLE), including the employees involved for grievances.
(C) The cost of the Industrial Board to the Employer shall be annual dues in the amount of six hundred ($600.00) dollars. The Employer shall also pay in advance at the Secretary’s office, the sum of sixty ($60.00) dollars for each grievance placed on the docket of the Board. The Employer must send a signed copy of the current Agreement to the Secretary’s office.
(D) The Industrial Board shall have the sole and exclusive power and jurisdiction to determine whether or not a particular grievance, dispute or complaint is arbitrable to the Board under the terms of the Agreement.
(E)With the exception of terminations and, [sic] any award by the Industrial Board against the employer with [a] cost of ten thousand ($10,000) or less shall be final and binding on the parties.

Step A Final Arbitration

The Employer only may appeal to final and binding arbitration any award of the Industrial Board with a cost to the Employer of over ten thousand ($10,000), decisions involving group grievances/class actions or matters involving termination. The request to arbitrate must be made within twelve (12) days of the Industrial Board decision. In the event [final] arbitration is requested, an arbitrator may be selected from a mutually agreed upon panel of arbitration. ...

CBA, Art. VI, §§ 3, 4 (emphasis added).

The Industrial Board Arbitration Committee

The Industrial Board Arbitration Committee (the “Industrial Board”) referred to in Step 3 of the DMC-Local 283 Grievance Procedure is an arbitration committee composed of representatives of various local unions and employers who sit as a whole and decide grievances that are presented to them that have not been settled at the local level. [See Industrial Board Arbitration Committee Rules of Procedure, Complaint Ex. 3, p. 1.] It is similar to the “joint committees” that exist throughout the trucking and other industries where the employees are represented by the Teamsters. Approximately 105 to 110 employers with Teamsters locals use the [831]*831Industrial Board Arbitration Committee as a step in their grievance procedures. [See 11/22/13 Deposition of Barry Solomon, p. 11J

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54 F. Supp. 3d 827, 2014 U.S. Dist. LEXIS 151217, 2014 WL 5394292, Counsel Stack Legal Research, https://law.counselstack.com/opinion/vhs-university-laboratories-inc-v-local-283-of-the-international-mied-2014.