NATIONAL RAILROAD ADJUSTMENT HOARD
Award Number 21862
THIRD D]VISION Docket Number: MW-21327
Dana R. hisch,·n, 1;0'eree
PARTIES TO DISPUTE: (Brotherhood of Maintenance of Way ISnployes
(The Minnesota Transfer Railway Company
STATEMENT OF CLAIM: "Claim of the System Committee of the Brotherhood that:
(1) The Carrier violated the Agreement when it paid Mr. Willard
Ginkel in lieu of his 1974 and 1975 vacations on the basis
of the track laborer's rate instead of his guaranteed monthly
rate (System File MT-104/(SPUD) MW-38(r) Ginkel).
(2) Mr. Willard Ginkel be allowed an additional $885.00 because
of the violation referred to in Part (1) hereof."
OPINION OF BOARD: Claimant was employed
in
1952
and
promoted to
a
track foreman
in 1956
by St. Paul Union Depot Company. That Company was
involved in Amtrak consolidations and Claimant was displaced and transferred
to the Minnesota Transfer Railway Company- as a track laborer. Since July
1973 he had worked a regular assignment as track laborer and at times pertinent
to this case his hourly rate was $4,5719. However on October 13, 1973 he was
awarded by an arbitration board established under Amtrak Appendix C-1 a guaran
teed rate of track foreman, as a displacement allowance, in the amount of
$122'6,70. Thus each month Claimant received a total of $1286.70 comprising
two separate and distinct payments. 1) His earnings for work performed as
a track laborer at the rate of $4.5719 per hour and 2) a "claim" payment,
for which he had to file each month, in the amount of the difference between
whatever he earned as track laborer and his "guarantee" of $1286.70. This
went on until Spring 1974 when Claimant applied for a leave of absence under
Article 15 of the Agreement for which he was granted approval by both Carrier
and the Organization. Thereafter he went on leave May 31, 1974 and took a new
job as Federal Safety Inspector effective June 1, 1974,
Upon departing for his new job Claimant requested payment from
Carrier in lieu of 40 days vacation time he had earned but had not yet taken
as of May 31, 1974. Since no other contract language addresses the subject
of payments in lieu of vacation we must assume that Article 8, of the National
Vacation Agreement governs that transaction. In any event Carrier did pay
Claimant a lump sum in lieu of 40 days vacation he had earned for 1975. The
dispute occurs because Carrier paid him 40 days at the track laborer rate
($1463.00) and Claimant asserts that he was entitled to 40 days at the guaranteed rate($2348.80). Th
grounds that Carrier violated his rights under the Vacation Agreement.
Awnr'. Number 21862
Ticket Number MW-21327 Page 2
Carrier not unreasenably argues that this claim is outside our
jurisdiction since it involves interpretation and application of Appendix
C-1 and therefore is subject to the arbitration machinery established thereunder. We are compelled t
however,because,firstly,this claim on its face involves alleged violation
of the National Vacation Agreement and we are not reguire_d to turn to Appendix
C-1 to dispose of it;and secondly, because the machinery established by
Appendix C-1 is permissive and not exclusive. See A:aard`I'9859.
Turning to the merits of the case we find the crux of this dispute
lies in the application of the language of Articles 7 and
8
of the Vacation
Agreement to the particular facts before us. The question of the applicability
of Article
8
to a leave of absence was never raised on the property so we
take its application by the parties as given without specifically deciding
that point. Article 8 provides for lump sum payment "in lieu of" paid vacation
earned but not taken by an employe. The phrase "In lieu of" is synonymous
with "instead of" or "in place of". The question in this case is reduced to
"in place of what"? Is the Article 8 payment in place of the money he earned
on an hourly basis for working a regular assignment as a track laborer at the
contractually established rate of $4.5719 alone; or is it in place of those
earnings plus the additional payment of the displacement allowance flowing
from Appendix C-1 which went to make up a guaranteed monthly minimum of $1286.70?
(guphasis added). With the exception of some dicta in Award No. 298 of SBA
No. 605 which is of no help herein, the precedent awards have not approached
this question.
Nor is
the-axiom that vacation
pay
is earned day by day
-as part of the total compensation of an employee helpful in this particular
case. Such contract language as there is on the subject-is -found in
Article
7
and that is.the basis for the claim. We are constrained
to follow it. Article 7(a) speaks to calculation of vacation pay for an
employe having a "regular assignment" as the basis of the daily compensation
paid for such assignment. If arguendo Article 7(a) applies to Claimant, his
"regular assignment" was as track laborer. The language of 7(a) speaks of
assignments and not people. It is true that Claimant as an individual had
a personalized guarantee which was met by a combination of earnings from his
regular assignment and the displacement allowance payment. But for purpose
of the express language of 7(a) the daily compensation paid for the assignment
he held was the daily track laborer rate. Nor is there satisfaction on this
point for Claimant in Article 7(E). His average straight time compensation
"earned" was the track laborer rate even though his total monthly income was
guaranteed at a higher level. As we read the language of Article 7 it makes
no provision for inclusion of displacement allowances in the computation of
the "in lieu of vacation" payment to an employe taking leave of absence.
Award Number 21862 Page 3
Docket Number MW-21327
The record indicates that if Claimant had not taken his leave of absence but
rather actually enjoyed 20 days off in June 1974 and returned to work he would
have received vacation pay at the track laborer rate, which would have been
taken as an offset against his guarantee, plus a displacement allowance check
for the difference. But his receipt of the guaranteed sum of $1256.70 would
have been because of the totaling of his paid vacation and his displacement
allowance. In lieu of or in place of his paid vacation Claimant got vacation
pay at the track laborer9s rate but because he was no longer in service he could
not claim the displacement allowance. As we read the express language of
Articles 7 and 8 he got exactly what he was entitled to thereunder. Any
claimed overage flows from Appendix C-1 and not from the Vacation Agreement. We
are compelled therefore to deny the claim of violation of the Vacation Agreement.
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 Agreement was not violated.
A W A R D
Claim denied.
NATIONAL RAILROAD ADJUSTMENT BOARD
By Order of Third Division
ATTES:~
PaZ/Zr
Dated at Chicago, Illinois, this 31st day of January 1978.