NATIONAL RAILROAD ADJUSTMENT BOARD
THIRD DIVISION Locket Number CL-25407
Herbert L. Marx, Jr., Referee
(Brotherhood of Railway, Airline and Steamship Clerks,
( Freight Handlers, Express and Station Employes
PARTIES TO DISPUTE:
(Bessemer and Lake Erie Railroad
STATEMENT OF CLAIM: Claim of the System Committee of the Brotherhood
(GL-9818) that:
w(1) Carrier violated the effective Clerks' Agreement when on and
after January 1, 1982, it permitted an outisde Company to perform work in connection
with major medical Claims which is work coming under the scope of the Clerks'
Agreement;
(2) Carrier shall now compensate the senior furloughed employe eight
(8) hours' pay at the straight time rate of the former postion of Salary Payroll
Clerk commencing sixty days prior to June 18, 1982, and
continuing for
each and
every workday thereafter that a like violation ocqurs.
OPINION OF BOARD: The Carrier maintains various types of insurance coverage
for eligible salaried employees through the United States
Steel and Carnegie Pension Fund (the ·Pension Corporation ·). Prior to January<
1, 1982, the Pension Corporation contracted certain insurance plans to the
Metropolitan Life Insurance Company. The Insurance company, in turn, arranged
to have major medical Claims processing work performed by the Carrier. The
Carrier assigned such work to one of two Salary Payroll Clerk positions. There
is no dispute that such work was properly assigned under the Organization's
Scope Rule (Rule 1) and under the bulletin establishing the position.
As of January 1, 1982, however, the Pension corporation ended its
contract with metropolitan and assigned the major medical benefits plan to the
Aetna Life Insurance Company. Aetna, in turn, determined that Claims processing
would be performed by the Insurance company, rather than having such work assigned
to the Carrier. The assigned Salary Payroll Clerk continued to be occupied in
January 1982, in completing the transfer of responsibilities. The Clerk remained
in the position, performing other duties, until May 14, 1982. Thereafter, on
June 18, 1982, the Organization raised the Claim here under review.
The Organization refers in particular to Rule 1 (d), which states:
"(d) Positions or work coming within the scope of this agreement
belong to the employees covered thereby and nothing in this agreement
shall be construed to permit the removal of positions or work from
the application of these rules, except by agreement between the
parties signatory hereto; . . . .
Award Number 25466 Page 2
Locker Number CL-25407
Under the facts as described here, the Board finds that the restrictions
of the Scope Rule are not applicable. The Carrier has convincingly demonstrated
that the processing of major medical Insurance Claims is under the control of
the Insurance company responsible for the coverage. The selection of the Insurance
coverage is under the control of the Pension Fund, not the Carrier. When the
Pension Corporation changed Insurance carriers, the new Insurance company determined
to process its own Claims. There is no showing that the Carrier participated
in any manner in the change of procedure. The 'work', in fact, was assigned at
the discretion of the Insurance company. Thus, 'the removal of work' prohibited
by Rule 1 (d) was not within the Carrier's control or by its initiative.
In view of these findings, the Board need not resolve the procedural
question as to whether the Claim was properly raised by the Organization under
Rule 21 (bl, involving
"continuing v
iolationm Claims, rather than Rule 21 (a),
requiring presentation within 60 days of the "date of the occurrence', which
the Carrier argues should be applicable here.
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 R A R D
Claim denied.
NATIONAL RAILROAD ADJUSTMENT BOARD
By Order of Third Division
Attest.
Nancy er - Executive Secretary
Dated at Chicago, Illinois this 23rd day of May 1985.