This Division of the Adjustment Board has jurisdiction over the dispute involved herein.
In its present iteration, the Union Pacific Railroad Company is comprised of several former freight railroads, including the Missouri Pacific Railroad Company (MP) and the Southern Pacific Transportation Company (SP). Several other railroads were merged to form the SP, including the Southern Pacific Chicago St. Louis Railroad (SPCSL). The SPCSL itself was formed by SP's purchase of a portion of the former Chicago, Missouri & Western Railway Company (CM&W).
On July 5, 1997, the Union Pacific reached an Agreement with the Brotherhood of Maintenance of Way Employes representing employees on the SPCSL that settled outstanding Section 6 Notices on the SPCSL. With two exceptions, the July 5, 1997 Agreement abrogated the Agreement in effect between the BMWE and CM&W and made the Collective Bargaining Agreement between the BMWE and the Missouri Pacific applicable on the SPCSL.
The July 5, 1997 Agreement consolidated the SPCSL into the Illinois Division, Eastern District and System Seniority territories. Employees on SPCSL rosters were dovetailed onto the appropriate Illinois Division, Eastern District and System Seniority rosters. They were given prior rights to positions headquartered on the former SPCSL territory.
As observed above, the July 5, 1997 Agreement abrogated the CM&W Agreement that was in effect for maintenance of way employees on the SPCSL with two exceptions. One of these exceptions provided that:
On November 7, 1997, four months after the Agreement with the BMWE committee representing SPCSL employees was entered into, the Carrier negotiated an Implementing Agreement with that committee and four other BMWE committees. The Implementing Agreement was entered into pursuant to Article I, Section 4, of the New York Dock Conditions. It became effective on January 1, 1998.
The November 7, 1997 Implementing Agreement consolidated the Collective Bargaining Agreements and seniority territories of the five railroads, including the SPCSL, into the erstwhile Missouri Pacific. The SPCSL Agreement was abrogated except the July 5, 1997 Agreement was retained for former SPCSL employees who were on the SPCSL roster as of July 5, 1997.
On November 7, 1997, the five BMWE - committees also reached an understanding with the Carrier to adjust the rates of pay of various positions, effective January 1, 1998. However, an issue arose concerning those employees who were assigned to positions whose rates were being adjusted down. It was agreed that those employees assigned to positions on January 1, 1998, who were making more than the new rates for those positions would retain their existing rates.
It is this Agreement and the July 5, 1997 Agreement applicable to the former SPCSL employees that are fundamental to this dispute. On July 5, 1997, the Illinois Division consisted of two separate territories - the former SPCSL and the former Chicago & Eastern Illinois (C&EI). Employees on the former SPCSL had seniority rights only on the SPCSL territory and former C&EI employees only had seniority on the C&EI territory. The November 7, 1997 Implementing Agreement consolidated these territories and allowed employees to bid on the entire Illinois Division.
This dispute arose when the Claimant, an employee from the former SPCSL territory, bid on a position on the former C&EI territory of the Illinois Division. On August 27, 1990, the Claimant established seniority as a Trackman on the former CM&W. He was on the SPCSL roster on July 5, 1997. On January 1, 1998, the Claimant was a Machine Operator on SPCSL Gang 8192. On June 11, 1999, he was awarded the position of Truck Driver Laborer on Gang 1386 headquartered at Villa Grove, Illinois, on former C&EI territory. Form 1 Award No. 37848
It is the Organization's position that the Claimant's rate of pay in effect on June 30, 1997, was preserved by the July 5, 1997 Agreement and he is entitled to this rate of pay on any position he takes on the Illinois Division. On the other hand, the Carrier maintains that the Claimant's rate of pay was only preserved while he occupied a position on the former SPCSL.
Contrary to the Carrier's contention, the November 7, 1997 Implementing Agreement did not abrogate the July 5, 1997 Agreement with the former SPCSL. Rather, it explicitly retained that Agreement. What must be decided herein is whether the July 5, 1997 Agreement followed former SPCLS employees when they take positions off former SPCSL territory. The Board finds that that Agreement only applies to positions on erstwhile SPCSL territory.
The Board recognizes that Section 2(a) off the July 5, 1997 Agreement does not, on its face, contain any restrictions. It simply states that "Rates of pay in effect on June 30, 1997, will be preserved for employees on the roster as of that date." However, we find that the intent of this provision was to preserve the SPCSL rates off pay in effect on June 30, 1997, for employees who were on the SPCSL roster as of that date. The rate preservation clause could not apply to any territory other than the SPCSL because SPCSL employees did not have seniority rights on other territories until the November 17, 1997 Implementing Agreement was negotiated four months later.
The November 7, 1997 Implementing Agreement consolidated the SPCSL and C&EI seniority territories, among others, and gave former SPCSL employees seniority rights on the former C&EI territory. Rates of pay were also adjusted for various positions, effective January 1, 1998. The rates of pay for some positions were adjusted down. In order to ensure that no employees had their pay decreased by this adjustment, it was agreed that those employees assigned to positions on January 1, 1998, who were earning more than the new rates, would retain their existing rates.
On January 1, 1998, the Claimant was a Machine Operator. If his Machine Operator rate of pay on January 1, 1998 was higher than the new rate for this position he would retain his rate of pay. However, this provision was inapplicable to Form 1 Award No. 37848