Arbitration pursuant to Article I - Section 11 of the
employee protective conditions developed in New York
Dock Ry.-Control-Brooklyn Eastern Dist., 360 I.C.C.
60 (1979) as provided in ICC Finance Docket No. 30,000
PARTIES UNION PACIFIC RAILROAD COMPANY )
MISSOURI PACIFIC RAILROAD COMPANY )
CASE N0. 3
TO AND )
DECISION
UNITED
TRANSPORTATION UNION (C&T) )
DISPUTE )
QUESTION AT ISSUE:
BACKGROUND:
Was the November 1, 1985 transfer of the SalinaE1 Dorado local from the UP to the MP pursuant to
Implementing Agreement dated May 7, 1985, a transaction within the meaning of New York Dock?
a.
History of Dispute
On October 20, 1982 the Interstate Commerce Commission (ICC)
served its Decision in Finance Docket No. 30,000 approving the merger of
the Union Pacific Railroad (UP), the Missouri Pacific Railroad (MP) and
the Western Pacific Railroad (WP). The ICC in its Decision imposed
conditions for the protection of employees set forth in
New York Dock
Ry. - Control - Brooklyn Eastern District, 350 I..C.C. 60 (1979) (New York
Dock Conditions).
On March 21, 1984 the UP and MP served notice pursuant to
Article I, Section 4 of the New York Dock Conditions upon their respective
General Chairmen. Among other things the notice provided that the "[Tjhe
present UP Salina-McPherson Local and the present MP McPherson-E1 Dorado
Local may be combined into a single local operating Salina-E1 Dorado."
The notice also estimated that three UP and three 1P employees would be
affected, one conductor and two brakemen on each Carrier.
The parties entered into negotiations for an implementing
agreement as also provided in Article I, Section 4 of the New York Dock
Conditions. Certain threshold issues could not be resolved, and the
matter was submitted to, arbitration as further provided in Article I,
Section 4. After the arbitration award issued resolving those questions
the parties again entered into negotiations which resulted in agreement
on May 7, 1985.
The implementing agreement provided for the abolishment of the
two existing MP and UP locals and for the establishment of a SalinaE1 Dorado Local. The agreement further provided that the UP and MP
employees would share equitably in the manning of the new local. MP
employees were granted the right to man the new local seven months of the
year, and UP employees were granted the right to man it the remaining
five months of the year. However, UP employees were granted operational
rights for the first five months. Under the agreement jobs were to be
bulletined and vacancies filled from the extra board of the railroad from
which the employees filling the assignments came.
Effective June 1, 1985 the UP and MP locals were abolished
and the Salina-E1 Dorado Local established. All employees on the UP
and MP locals and everyone in the chain of displacements were afforded
protection under the New York Dock Conditions. Three UP employees bid to
and were assigned the Salina-El Dorado Local. Another UP employee bumped
to the brakemen's extra board.
The Salina-El Dorado Local operated from June 1 through
October 31, 1985 with UP extra crews. During that time there was one
regularly assigned local, and a second was operated as needed. The
regular local was abolished on October 31, 1985 at which time the SalinaEl Dorado Local was assigned to MP crews who operated it through May 31,
1986.
On January 13, 1986 the UP General Chairman claimed protection
under the New York Dock Conditions for six UP employees who were displaced
as a result of the turnover of the Salina-El Dorado Local to MP employees
on November 1. The General Chairman also sought protective benefits for
all employees in the chain of bumping initiated by the six affected UP
employees. By letter of January 27, 1986 the Carrier denied the claim.
The parties agreed to place the dispute before this Arbitration
Committee crated pursuant to Article I, Section 11 of the New York
Dock Conditions. Hearing in this case was held on April 15, 1986 in
Omaha, Nebraska. The parties filed prehearing submissions and presented
oral arguments at the hearing. The parties agreed to extend the time
within which this Committee would render its decision.
b.
Parties' Positions
The Organization maintains that a transaction occurred on
November 1, 1985 when the Salina-E1 Dorado Local was turned over to MP
employees. The Organization argues that as a result of that transaction
three employees who worked the assigned local and three employees who
regularly worked the extra local lost their positions. The bumping
generated by these six employees eventually resulted
in three employees
being dismissed and fifteen displaced to positions where they suffered
diminished earnings.
The Organization emphasizes that no UP employees were affected
on June 1 when the UP and HP locals were abolished and the Salina-E1 Dorado
Local established because under the implementing agreement UP employees
operated the newly established local for the first five months from
June 1 through October 31, 1985. Thus, urges the Organization, the effect
of the transaction on UP employees was postponed until November 1, 1985
when, pursuant to the implementing agreement, the Salina-El Dorado Local
went to MP employees for seven months. The Organization contends that
although the Carrier protected the three UP employees who lost their
positions on June 1, 1985 as the result of the abolishment of the UP
Salina-McPherson Local, those employees actually were not adversely
affected at that time inasmuch as the Salina-E1 Dorado Local was
established immediately and they successfully bid positions on the new
Local.
The Organization points out that under Article I, Section 1(a)
of the New York Dock Conditions a transaction covers any action taken
pursuant to ICC authority. The Organization urges that the November 1,
1985 transfer of the Salina-E1 Dorado Local to MP employees fits that
definition.
The Carrier argues that no transaction occurred on November 1,
1985. The Carrier contends that the transfer on that date resulted from
the implementing agreement. The Carrier urges that the transfer was not
an action taken pursuant to authority granted by the ICC and thus does
not come within the definition of a transaction in Article I, Section l(a)
of the New York Dock Conditions. The only action meeting that definition,
the Carrier urges, occurred on June 1, 1985 when the UP and MP locals were
abolished and the Salina-E1 Dorado Local established. The Carrier points
out that the June 1 changes were the subject of the Carrier's notice and
the implementing agreement governed by Article I, Section 4 of the New
York Dock Conditions.
The Carrier argues that the Organization has failed to meet its
burden of proof under Article I, Section 11 (e) of the New York Dock
Conditions which provides that:
In the event of any dispute as to whether or not a
particular employee was affected by a transaction, it
shall be his obligation to identify the transaction
and specify the pertinent facts of that transaction
relied upon. It shall then be the railroad's burden
to prove that factors other than a transaction affected
the employee.
The Carrier urges that there is no evidentiary support for the Organization's
contention that the transfer of the Salina-El Dorado Local on November 1,
1985 was a transaction.
The Carrier maintains that although the November 1, 1985 transfer
of the Salina-E1 Dorado Local to MP employees was accomplished pursuant
to a collective bargaining agreement which implemented the transaction of
June 1, 1985, the November 1 transfer was not a transaction itself as
the Organization argues. The Carrier contends that if the Organization's
argument should prevail it would lead to the absurd result that the Carrier
would have to serve notice and negotiate an implementing agreement pursuant
to Article I, Section 4 of the stew York Dock Conditions each time the
Salina-E1 Dorado Local was transferred between HP and UP employees
pursuant to the implementing agreement.
FINDINGS:
The question the parties have placed before this Board is whether
the transfer of the Salina-E1 Dorado Local from UP employees to HP employees
on November 1, 1985 was a transaction. We believe the record in this case
requires a positive answer to that question.
Article I, Section 1(a) of the New York Dock Conditions defines
a transaction as any action taken pursuant to ICC authority. In the
instant case the ICC authorized the consolidation of two separate UP
and MP locals into the Salina-E1 Dorado Local. That transaction was
implemented by an agreement pursuant to Article I, Section 4 of the Conditions.
We believe the November transfer was an action taken pursuant to the
consolidation authorized by the ICC,and as such it meets the definition
of a transaction in Article I, Section 1(a).
In this regard we do not believe the Carrier's point is well
taken that it is required to serve notice and negotiate an implementing
agreement under Article I, Section 4 of the Conditions each time the SalinaE1 Dorado Local is transferred. Rather, we agree with the Organization
that the matter is sufficiently covered by the implementing agreement and
no further notice and/or agreement would be required.
Even if the November 1, 1985 transfer was not itself a
transaction under the New York Dock Conditions, we are persuaded that the
displacements and dismissals suffered by UP employees as the result of the
November 1 transfer were the result of the consolidation of the UP and NP
locals on June 1, 1985. The Organization's point is well taken that these
employees simply did not suffer adverse effect because it was postponed
due to the fact that UP employees operated the.Salina-El Dorado Local for
the first five months from June 1 to October 31, 1985. MP employees who
lost their positions as a result of the abolishment of the
HP
McPhersonE1 Dorado Local on June 1, 1985, and MP employees who were in the chain of
bumping initiated by that event, received full protection. Although the
Carrier protected UP employees in June in fact those employees did not
suffer a loss of positions or earnings and set forth a chain of bumping
until November 1, 1985 when the local was transferred to MP employees.
The fact that adverse effect on UP employees of the June 1 transaction
was postponed does not change the fact that adverse effect resulted from
the consolidation of the UP and MP locals on June 1. That the November 1
transfer was a creature of agreement between the parties is a factor
supporting the Organization. That agreement was entered into pursuant
to Article I, Section 4 of the New York Dock Conditions to implement the
consolidation of the UP and MP locals. In our opinion that very agreement
provides the causal nexus between the consolidation and the adverse effect
upon UP employees.
We must conclude that the Organization has met its burden of
proof under Article I, Section 11 (e) of the New York Dock Conditions. It
has identified two transactions either of which have resulted in adverse
effect upon UP employees. This case is distinguishable from Cases 1
and 2 decided by this Committee. In those cases the adverse effect
upon employees was caused by the operation of working agreements unrelated
to a transaction. In the instant case the adverse effect was caused by
the operation of the agreement entered into pursuant to Article I, Section 4
of the New York Dock Conditions which implemented the transaction.
We deem it important to emphasize that our ruling in this case
is confined to the November 1, 1985 transfer of the Salina-E1 Dorado Local and
the adverse effect resulting from that specific transfer. Nothing in our
ruling should be construed as support, expressly or impliedly, for the
proposition that any subsequent transfer of the Salina-E1 Dorado local would
constitute a transaction under the New York Dock Conditions or that the
protective benefits of those conditions would be available for any adverse
effect resulting from such transfer. We find no support for that proposition, and we reject any implication as to its validity.
?WARD
The Question at Issue is answered in the affirmative. c'
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William E. Fredenberger, Jr.
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Chairman and Neutral Member
W. E.. Naro
Carrier Member
DATED : ~~,Z
. Thoraton
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ployee Member