Parties to said dispute waived right of appearance at hearing thereon.
Claimants M. Hoffman and A. Law have established and hold seniority as Bridge and Building (B&B) Foreman and Assistant Foreman, respectively. Claimants C. Bush, D. Dempsey and D. Dry have established and hold seniority as B&B Carpenters. Claimants were regularly assigned and working as such when this dispute arose.
On June 27, 1990, the roof on the P&M Building at carrier's Houston, Texas, location sustained damage during the course of a storm. Parts of the roof, including rafters, nailing runners and tin roofing were damaged. Some three weeks later, on July 17, 1990, Carrier sent the organization Notice No. 9 which stated:
On the same day it sent the General Chairman the notice informing the organization of its intent to contract out the work at issue, Carrier signed a contract with Houston Waterproofing Company, Inc. to perform the repairs at Houston. On the next day, July 18, 1990, the outside contractor commenced the work. Form 1 Award No. 30976
On August '10, 1990 the Organization submitted a claim on behalf of Messrs. Hoffman, Law, Bush, Dempsey and Dry alleging violation of the aforementioned Agreement Rules, Article 36 of the Agreement and the December 11, 1981 Letter of Agreement. Carrier denied the claim maintaining that the work which the contractor performed is "not reserved exclusively to the B&B Department," and that contractors had been used for this type of work in the past. Carrier further maintained that Claimants did not suffer "any loss of earnings as a result of the work performed by the contractor."
Article 36 stipulates that Carrier will give the General Chairman "as far in advance as is practicable and in any event not less than fifteen (15) days advance written notice" of any plan to contract out scope covered work. The notice given in this case falls far short of the good faith standard required under Article IV and reiterated in the December 11, 1981 Letter Agreement. Carrier not only neglected to afford the Organization proper notice and discussion, it signed a contract with Houston Waterproofing Co. Inc. on the very day it sent the purported notice. The work at issue commenced the day after notice was served, supporting the conclusion that the subcontracting was a fait accompli and the notice was merely cosmetic.
Carrier defended its actions on grounds that the roof damage and necessary repairs constituted an "emergency situation." The three week lapse of time between the date of the storm and Carrier's simultaneous subcontracting and notice to the Organization on July 17, 1990, undermines Carrier's "emergency" defense. Due to the blatant and unjustified violation of Article 36 and the December 11, 1981 Letter, Parts 1 and 2 of the claim must be sustained. The rationale in Third Division Award 29912 relative to damages in such cases applies with equal force here and leads us to sustain Part 3 of the claim as well.
This Board, after consideration of the dispute identified above, hereby orders that an award favorable to the Claimant(s) be made. The Carrier is ordered to make the Award effective on or before 30 days following the postmark date the Award is transmitted to the parties.
NATIONAL RAILROAD ADJUSTMENT BOARD By order of Third Division