William Adam, Robert L. Aiken, Eugene P. Balda, William Brown, Don Cunningham, Al Dore, Marie MacKenzie Stan McNeff Jim O'neill, Cal Shepherd, Tom Smith, William Steel, Bruno Walczak, and Marjorie Wright v. Ethyl Corporation, and Calvin C. Shepherd v. Ethyl Corporation

902 F.2d 32, 1990 U.S. App. LEXIS 25653
CourtCourt of Appeals for the Sixth Circuit
DecidedApril 26, 1990
Docket88-2154
StatusUnpublished

This text of 902 F.2d 32 (William Adam, Robert L. Aiken, Eugene P. Balda, William Brown, Don Cunningham, Al Dore, Marie MacKenzie Stan McNeff Jim O'neill, Cal Shepherd, Tom Smith, William Steel, Bruno Walczak, and Marjorie Wright v. Ethyl Corporation, and Calvin C. Shepherd v. Ethyl Corporation) 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
William Adam, Robert L. Aiken, Eugene P. Balda, William Brown, Don Cunningham, Al Dore, Marie MacKenzie Stan McNeff Jim O'neill, Cal Shepherd, Tom Smith, William Steel, Bruno Walczak, and Marjorie Wright v. Ethyl Corporation, and Calvin C. Shepherd v. Ethyl Corporation, 902 F.2d 32, 1990 U.S. App. LEXIS 25653 (6th Cir. 1990).

Opinion

902 F.2d 32

Unpublished Disposition
NOTICE: Sixth Circuit Rule 24(c) states that citation of unpublished dispositions is disfavored except for establishing res judicata, estoppel, or the law of the case and requires service of copies of cited unpublished dispositions of the Sixth Circuit.
William ADAM, Robert L. Aiken, Eugene P. Balda, William
Brown, Don Cunningham, Al Dore, Marie MacKenzie, Stan
McNeff, Jim O'Neill, Cal Shepherd, Tom Smith, William Steel,
Bruno Walczak, and Marjorie Wright, Plaintiffs-Appellants,
v.
ETHYL CORPORATION, Defendant-Appellee.
and
Calvin C. SHEPHERD, Plaintiff-Appellant,
v.
ETHYL CORPORATION, Defendant-Appellee.

Nos. 88-2154, 88-2158.

United States Court of Appeals, Sixth Circuit.

April 26, 1990.

Before KEITH and MILBURN, Circuit Judges, and CONTIE, Senior Circuit Judge.

PER CURIAM.

Discharged employees appeal from the summary judgment dispositions of their actions against their former employer.

I.

Adam, et al. v. Ethyl Corp.

Ethyl Corporation (Ethyl), the appellee in both actions, is a large corporation which conducts business worldwide. Ethyl's diverse business interests include petroleum products, plastics, industrial chemicals, pharmaceutical chemicals, and insurance. The Detroit Research Laboratories were part of Ethyl's Research and Development segment headquartered in Baton Rouge, Louisiana.

The instant action was filed by sixteen former employees of Ethyl's Detroit Research Laboratories: William Adam, Robert L. Aiken, Eugene P. Balda, William Brown, Ken Christenson, Don Cunningham, Al Dore, Russ Fargo, Marie MacKenzie, Stan McNeff, Jim O'Neill, Cal Shepherd, Tom Smith, William Steel, Bruno Walczak, and Marjorie Wright. The appellants alleged that they were terminated because of their ages, and, alternatively, that they were terminated in violation of implied employment contracts. On October 17, 1985, the district court dismissed the employees' claims under the Age Discrimination in Employment Act (ADEA), under the United States and Michigan Constitutions, and under the common law, as well as their claims for intentional infliction of emotional distress, mental anguish, and punitive damages.

The claims of two plaintiffs, Russ Fargo and Ken Christenson, were dismissed by stipulation of the parties. The claims of a third plaintiff, Marie MacKenzie, were dismissed in an order granting Ethyl's motion for summary judgment on June 6, 1986. Because Marie MacKenzie's dismissal was not timely appealed, she is not an appropriate appellant in the instant action. Furthermore, the district court dismissed the breach of contract and pension claims asserted by appellants Stan McNeff and Calvin Shepherd in an order dated June 10, 1986. Therefore, thirteen appellants remain asserting claims for breach of implied employment contracts and for age discrimination under Michigan law.

Petroleum Chemicals Research (PCR) and Automotive Research and Applications (ARA) were the two primary components of the Detroit Research Laboratories in the early 1980's. Because PCR was primarily engaged in chemical research, most of its employees were professionals (chemists and chemical engineers) holding advanced degrees. ARA, meanwhile, performed automotive research for the Petroleum Chemicals Division (PCD) of Ethyl. PCD, in effect, funded ARA's automotive research operations. ARA employed engineers (professionals) and technicians (nonprofessionals) who blended fuels, ran climate chambers, performed emissions tests, and ran automotive fleet tests.

Much of the Detroit Research Laboratories' research involved the production of lead additives for gasoline, specifically tetraethyl lead (an "anti-knock" additive). The Detroit Research Laboratories flourished for decades until the federal government tightened its regulations regarding lead additives. The Detroit facility, once employing nearly 500 workers at the peak of Ethyl's lead additive business, employed less than 200 by the end of 1982 due to substantial reductions in the production of "anti-knock" products. Ethyl's declining tetraethyl lead production was directly attributable to increasingly severe government regulations.

Ethyl's drastic decline in tetraethyl lead production resulted in substantial work force reductions throughout the company including Ethyl's decision to close the Detroit Research Laboratories, the Baton Rouge tetraethyl lead production facility, and a tetraethyl lead production facility in Greece. Much of the work force reduction was accomplished through involuntary layoffs. Between 1982 and 1986 nearly 2100 employees lost their jobs at the Petroleum Chemicals Division, and the closing of the Baton Rouge plant resulted in the loss of over 1500 jobs.

The Detroit Research Laboratories' operations were significantly reduced, and ultimately eliminated, due to the declining tetraethyl lead market and PCD's withdrawal of research and development funding. Ethyl Corporation decided to move PCR from Detroit to Baton Rouge to consolidate its operations. Some, but not all, of the PCR professional employees were transferred to Baton Rouge by the summer of 1983. Two of the appellants, Bruno Walczak and Eugene Balda, were among the several PCR chemists who were not offered transfers to Baton Rouge. Walczak transferred to ARA in Detroit (as an experimental fuel coordinator) on December 15, 1982. Balda's employment was terminated on June 30, 1983.

Nonprofessional employees, including chemical technicians, were not transferred to Baton Rouge. The appellee claims that it has a long-standing policy of not transferring nonprofessional employees due to significant moving expenses and the ease of hiring locally to fill nonprofessional job vacancies. Furthermore, Ethyl claims that public relations and union considerations favor the hiring of local job applicants.

The decision to move PCR from Detroit to Baton Rouge resulted in the elimination of the nonprofessional chemical technician classification in Detroit on December 15, 1982. Eleven chemical technicians were affected by the classification elimination including Stan McNeff and Cal Shepherd who are appellants in this action. Three of the eleven chemical technicians were terminated on December 15, 1982, and the remaining eight were given various job assignments in the Detroit facility including maintenance and security assignments. The three chemical technicians who were terminated on December 15, 1982, were younger, and had fewer years of service with Ethyl, than McNeff and Shepherd.

No chemical technicians were hired in Baton Rouge to perform the work previously performed by the Detroit Research Laboratories' chemical technicians. The chemical technicians' responsibilities were now being performed by the PCR professionals, and by lab assistants, in Baton Rouge. The appellees maintain that the Detroit chemical technicians could not have been transferred to Baton Rouge to work as lab assistants because the lab assistants in Baton Rouge were unionized employees represented by the Allied Oil Workers Union who, similarly, faced severe layoffs. Indeed, over seventy-five percent of the Baton Rouge lab assistant work force was laid off between 1982 and 1985.

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Bluebook (online)
902 F.2d 32, 1990 U.S. App. LEXIS 25653, Counsel Stack Legal Research, https://law.counselstack.com/opinion/william-adam-robert-l-aiken-eugene-p-balda-william-brown-don-ca6-1990.