NATIONAL RAILROAD ADJUSTMENT BOARD
THIRD DIVISION Docket Number CL-21167
Walter C. Wallace, Referee
(Brotherhood of Railway, Airline and Steamship Clerks,
( Freight Handlers, Express and Station Employes
PARTIES TO DISPUTE:
(Robert W. Blanchette, Richard C. Bond and John H.
( McArthur, Trustees of the Property of
( Penn Central Transportation Company, Debtor
STATEMENT OF CLAIM: Claim of the System Committee of the Brotherhood (GL7795) that:
Wage Adjustment (Retroactivity Pay) scheduled for payment February
16, 1971.
OPINION OF BOARD: This dispute relates to baggage and mail handling em
ployes at Carrier's 30th Street Station in Philadelphia.
The increasing diversion of U.S. mails away from rail transportation made
these employes surplus. However, the 1968 merger agreement between the former
New York Central and Pennsylvania railroads afforded them protected status in
that the Carrier was obligated to continue them on current payrolls. In
effect, this obligation carried beyond the normal retirement age to an indef
inite future time so long as the employe was physically and mentally qualified
to do the work of his craft. There was no compulsory retirement agreement in
existence. The only alternative available to Carrier under the agreement was
to proffer to each employe the separation allowance applicable under the pro
tective merger agreement. Accordingly, the employes, under certain conditions,
were free to accept or decline the offer. In pursuit of this alternative, the
Carrier contacted the surplus baggage and mail handlers at the 30th Street Sta
tion in an effort to persuade them to resign in return for the separation allow
ance. Over one hundred employes, including these fifty-seven claimants, accep
ted the separation allowance during the period April to October 1970.
The fifty-seven employes here were not of retirement age and were
not entitled to the full annuity benefits; however, each of them made application to the Railroad Re
on an early retirement basis.
In February, 1971, the National Agreement covering these parties
provided for retroactive wage payments to employes and former employes except
those who voluntarily left the service of the Company other than to retire.
The essential substantive question raised here is whether these former employes left the service of
to obtain the proffered separation allowance?
Award Number 21542 Page 2
Docket Number CL-21167
This case involves a procedural question which must be
considered before the substantive issue can be reached. That issue
involves consideration of Rule 7-B-1(a) which provides:
"(a)
- Claims for compensation alleged to be due, may
be made only by an employe or by the 'duly accredited
representative' as that term is defined in this Agreement, on his behalf, and must be presented in w
to the employe's immediate Supervisor within 90 calendar
days from the date the employe received his pay check for
the pay period involved, except
...."
The Employes' position is that the Carrier waived the procedural
requirement insofar as the authorized carrier representative, the
Superintendent-Labor Relations, received, accepted and handled these claims
without objection. The assertion follows that thus Carrier waived the
requirement that claims must be filed with the immediate-supervisor.- We--,-hav
that this matter did not originate in accordance with the requirements of
Rule 7-B-1(a). It began with a letter dated March 1, 1971, Division
Chairman Salvatore wrote to W. L. Davidson, Carrier's Superintendent-Labor
Relations and, in effect, made an inquiry concerning Carrier's position,
stating in
part:
"We have endeavored our utmost to acquire some information
as to why employes who have accepted severance pay during
the interim period of 1970, were not included in this list of
eligible employes.
As of date of this letter, we have received no official
information as to whether the Carrier intends to include
these severed employes in the status of being eligible to
receive this wage adjustment, or whether they intend to
exclude them."
For its part, the Carrier's Superintendent-Labor Relations Davidson
answered on November 11, 1971 in terms of the 1971 Mediation Agreement denying
eligibility. On December 6, 1971, the Division Chairman answered,rejecting
this position.and stated they were prepared to enter into a joint submission
on the matter(a procedure permitted under the agreement). Accordingly, a
joint submission was made, dated May 3, 1973, that stated the respective positions of the parties on
the procedural question. Thereafter, while still on the property, the Carrier's appeals officer's le
1973, stated:
Award Number
21542
Page 3
Docket Number CL-21167
"Before considering the merits of the claim now being
asserted on behalf of the 57 named employes, we would
point out that claims on their behalf were never submitted to their 'immediate supervisor' nor were
claims made within the time limits as prescribed in
Rule 7-B-1(a) and are invalid."
In its submission to this Board, the Carrier advances the argument
that Section 3, First (i) of the Railway Labor Act requires that disputes
"shall be handled in the usual manner" and, briefly, failing that, deprives
this Board of jurisdiction. This approach, if followed, leads to the conclusion that a jurisdictiona
the Employes' contention that a waiver of this procedural requirement had
occurred here. We have reviewed the Awards cited and they go both ways on
the question whether a violation of a procedural rule is jurisdictional and
may not be waived. Those that seem to assert it as a jurisdictional matter
include: Third Division Award 15075 (No Referee); A-.yards 20976 and 20977
(Norris); Awards 19785 and 20165 (Sickles); Awards 19728, 20974 and 20752
(Lieberman); Second Division Award 1404 (Chappell); First Division Award 6798
(Simmons). Those following the view that procedural requirements may be
waived include: Third Division Awards 11752 (Hall); 12845 and 12846 (Ables);
14693 (Ives); 15798 (House).
We do not believe it is necessary to resolve this question under
the facts of this case. The issue to be considered first is whether or not
there was a waiver here. If there was no waiver, it follows that the failure
to comply with the rule will bar consideration of these claims.
On the matter of "waiver," almost all the Awards cited to this Board
by the Employes involved situations where the procedural question had not been
raised while the matter was still in progress on the property. See Award 11752
(Hall); Awards 12845 and 12846 (Ables); Award 14693 (Ives). In the latter
Award, this Board stated:
"This objection was not raised by Carrier on the property
and no reference was made to it until submission of this
dispute to the Board
...
Thus, Carrier will be deemed to
have waived objection to consideration of the merits of
the dispute."
In the case under consideration, the Carrier made its objection at
a late stage but still at a time when the matter was still on the property.
On this basis we cannot say the Carrier waived its right to object to this
procedural question under the aforementioned Awards. Clearly, it would have
Award Number 21542 Page 4
Docket Number CL-21167
been preferable if the question had been raised at an earlier stage in the
ad
justment process. It was not; nevertheless, we do not believe we are permitted
to depart from well-established principles of this Board and the agreement of
the parties in order to achieve what may appear to be an equitable result.
In-Award-11044 _(Dolnick) it was found the- Carrier had waived- the alleged
procedural issue even though it appears that objection was raised on the
property. This is the only Award cited that supports the Employes' conten
tion that a waiver could occur even though the objection was raised on the
property. We do not believe it should be followed here. We are inclined
to follow a later award by the same referee, Award 14608, which relied upon
Decision 5 of the National Disputes Committee, dated March 17, 1965 where
it was stated:
"If the issue of non-compliance with the requirements of
Article V is raised by either party with the other at any
time before the filing of a notice of intent to submit the
dispute to the Third Division, it is held to have been
raised during handling on the property."
It follows that the matter of non compliance with Rule 7-B-1 was
raised on the property and it was not, therefore, waived. Based upon the
record, we conclude the claims asserted here were never submitted to their
"immediate Supervisor"
and
they are barred.
We express no view concerning the merits of this issue.
FINDINGS: The Third Division of the Adjustment Board, upon the whole record
and all the evidence, finds and holds:
That the parties waived oral hearing;
That the Carrier and the Employes involved in this dispute are
respectively Carrier and Employes within the meaning of the Railway Labor
Act, as approved June 21, 1934;
That this Division of the Adjustment Board has jurisdiction over
the dispute involved herein; and
That the Claims are barred.
Award Number 21542 Page 5
Docket Number CL-21167
A W A R D
The claims are dismissed.
NATIONAL RAILROAD ADJUSTMENT BOARD
By Order of Third Division
ATTEST:
Executive Secretary
Dated at Chicago, Illinois, this
19th
day of May
1977.