Form 1 NATIONAL RAILROAD ADJUSTMENT BOARD Award No. 29431
THIRD DIVISION Docket No. MW-29477
92-3-90-3-412
The Third Division consisted of the regular members and in
addition :Referee Hugh G. Duffy when award was rendered.
(Brotherhood of Maintenance of Way Employes
PARTIES TO DISPUTE:
(Union Pacific Railroad Company
STATEMENT OF CLAIM.: "Claim ): the System Committee of the Brotherhood that:
(1) the Agreement was violated when the Carrier assigned and/or
otherwise allowed outside forces to construct an office addition to the
mezzanine in the riesel Shen in North Platte, Nebraska on May 1, 2, 3, 4, 5,
8, 9, 10, 11, L=, i5, 16, 17, 18, 19, 22, 23, 24, 25 and 26, 1989 (System File
S-183/890630).
(2) The Agreement was further violated when the Carrier failed to
give the General Chairman prior advance written notice of its plans to contract out the work Involve
(3) .as a consequence of Parts (1) and/or (2) above, Nebraska Division Group 3 B&B Carpenter
allowed one hundred sixty (150) hours of pay at their respective straight time
rate."
FINDINGS:
The Third Division of the Adjustment Board upon the whole record
and all the evidence, finds that:
The carrier or carriers and the employe or employes involved in this
dispute are respectively carrier and employes within the meaning of the
Railway Labor Act as approved June 21, 1934.
This Division of the .adjustment Board has jurisdiction over the
dispute involved herein.
Parties to said dispute waived right of appearance at hearing thereon.
Between '!ay 1 and .'·ay 26, 1989, outside forces constructed an addition to the mezzanin
The Organization alleges that this work has customarily and traditionally been
assigned to and performed by employees of Group 3 of the Nebraska Division
Bridge and Building Subdepartment and that Carrier, without giving advance
notice as required by Rule 52, allowed the work to be performed by the outside
contracting force of North Platte Lumber Company.
Form 1 Award No. 29431
Page 2 Docket
'No.
MW-29477
92-3-90-3-412
The Carrier contends that it had no control over the disputed work,
since the work area is leased by the General Electric Corporation, which
contracted for and paid for the construction. It states further that due to
the unavailability of manpower and the time element involved, the Carrier
forces could not -ave performed this work had it been within their area of
responsibility. :t also states that a review of the payroll records shows
that both Claimants were fully employed when the work was performed.
Rule 52 reads as follows:
"RULE 52. c:0NTRACTING
(a; By Agreement between the Company and the
General Chairman work customarily performed by
emplo:ees covered under this Agreement may be let to
contractors .4nd performed by contractors' forces.
However,
Such
work may only be contracted provided
that ~?eciaL s<i__s not possessed by the Company's
rmplovees, special equipment not owned by the
Company, or special material available only when
applied or installed through supplier, are required;
or when work Ls such that the Company is not adequately equipped to handle the work, or when
einerbency time requirements exist which present
under :a kings not contemplated by the Agreement and
beyond the capacity of the Company's forces. In the
event =he Companv plans to contract out work because
of one of the criteria described herein, it shall
notifv the General Chairman of the Organization in
writ:-ig as far in advance of the date of the contracting transaction as is practicable and in any
event not less than fifteen (15) days prior thereto,
except in 'emergency time requirements' cases. If
the General Chairman, or his representative, requests
a meeting to discuss matters relating to the said
contracting transaction, the designated representative of the Company shall promptly meet with him
for that purpose. Said Company and organization
representative shall make a good faith attempt to
reach an understanding concerning said contracting
but i' no understanding is reached the Company may
nevertheless proceed with said contracting, and the
Organization may file and progress claims in connection -'ierewith.
(b) ';o thing contained in this rule shall affect
prior and existing rights and practices of either
party in connection with contracting out. Its
purpose is to require the Carrier to give advance
notice and if requested, to meet with the General
Chairman or his representative to discuss and if
possible reach an understanding in connection
therewith.
Form 1 Award
No.
29431
Page 3 Docket
No.
MW-29477
92-3-90-3-412
(c) Nothing contained in this rule requires that
notices be given, conferences be held or agreements
reached with the General Chairman regarding the use
of contractors or use of other than maintenance of
way employees in the performance of work in emer
gencies such as
wrecks,
washouts, fires, earthquakes,
Landsiides and similar disasters.
(d) Nothing contained in this rule shall impair the
Company's right to assign work not customarily per
formed by enployes covered by this Agreement to
outs:ae contractDrs
,while the Carrier ar;ues first that it would not in any event be
required to furnish advance r3tice because the Organization has not demonstrated its excl4sive ri4ht
consistently re,e--ted by the hoard in a long line of cases. In Third Division
Award 28622, the Board ~tatea:
.:ter consideration of this matter, it is our
view that Fhlrd Division Award 28619, is dispositive
Df
:he instint -ase. Pursuant to Rule 52(a) the
par::es have .igreed that
'work
customarily performed
by e=ployees' can oe contracted out in certain enum-
- eratea instances provided that the required advance
notice is provided. Whether or not Carrier ulti
mately prevails on the merits of the dispute, it is
our :wnclusion that it may not make a predetermin
ation on the suoject by ignoring the notice require
ment when t'iere :s a valid or colorable disagreement
as to whether the employees customarily performed the
work 3t issue. "iat was our conclusion in Award
28619, :is well
3s
Third Division Awards 26175 and
23573.'.
The record in this case demonstrates a mixed practice on this property with respect to the work
subject to the Agreement in tie past but has also been contracted out by the
Carrier in the past. Thus, while it could be contracted out under the provisions of Rule 52(b) and (
doing so.
We turn then to the affirmative defense raised by the Carrier that it
had no control over the dtsputed work. In determining whether the Carrier had
control, we are _iided by TSird Division Award 28919, where the Board held
that:
Form 1 Award No. 29431
Page 4 Docket No. MW-29477
92-3-90-3-412
where Carrier retained significant control or
the right of approval over the manner in which the
track was to be constructed, operated or maintained,
the Agreement was violated when no advance notice of
the work was given and the work was within the Scope
of the Agreement."
The Carrier states that GE leases that portion of the building in
question and it furnished a letter from the GE Service Manager stating that
the facility in question is a GE-operated unit independent of the Carrier and
that GE had contracted for and paid for the work.
The record Aeveloped )n the property contains a letter from the
General Chairman
:D
the Carrier dated May 7, 1990 which states:
"u·:
notes from the April 4, 1990 conference indicate you agreed to furnish a copy of the lease
agreement the Carrier purportedly has with the
General 7lectric -ompany. Further you informed me
that -eneraL =Lectric authorized and paid for completel: the work in question, and that you would
furnish the documents verifying same."
Despite too more written requests by the Organization, the Carrier
did not furnish ei_her a copy of the lease or the payment documentation.
Since the Carrier did not produce any of this documentation during
the handling of tie case on the property, we are unable to ascertain whether
or not the Carrier retained significant control or the right of approval over
how the new structure was to be constructed, operated or maintained. Since
the Carrier has the burden of proving as an affirmative defense that it had no
control over the disputed work (see Third Division Award 29017), we conclude
that it has failed to carry its burden of proof and is in violation of the
Agreement.
The only remaining issue is whether monetary damages should be
awarded. The record is undisputed that Claimants were fully employed and
suffered no monetary loss as a result of the action claimed. Accordingly,
Paragraphs 1 and 2 of the Statement of Claim are sustained, but Paragraph 3,
which requests a monetary remedy, is denied.
A W A R D
Claim sustained in accordance with the Findings.
Form 1 Award No. 29431
Page 5 Docket No. MW-29477
92-3-90-3-412
NATIONAL RAILROAD ADJUSTMENT BOARD
By Order of Third Division
Attest:
I',
If
4
ncy .:.
X
v - Executive Secretary
Dated at Chicago, LL1:nois, :-.is 21st day of October 1992.