kr71 tr at :Cn Between
~:NI -Tip = RI~sXSPGRTAT:ON UNION
-and
CSX ':RANSPORTATION, INC.
aeeearances
?or the UTU:
Larry
R. Davis
Virgil V. Elswick
Randy Sargent
Howard S . Emerick
Patricia
a.
Madden
For the Carrier:
Questions at Issue:
Carrier's Questions:
Has the Organization sustained 'its burden of
proving that:
,1) a transaction as defined in I.C.C.-imposed
protective conditions has occurred?
2) employees have been adversely affected by
a transaction?
7-mployees' Questions:
1. Is the diversion o=
traffic
by CSXT
from the former Chesapeake and Ohio Railway
East/West route to a North/South thence East/
West route over from Ric=cnd, 'Fredericksburg
and Potomac, Western marvi and and Baltimore
and Ohio between
Richmond, vircinia
and
Chicago, Illinois a TR.ANSACTICN pursuant to
the authority granted by
=1e - . Z . C . in
Dockets
28905 and 31954?
2. If the answer to cuestion Number 1 is
in the affirmative, should _':q Carrier be =ezuired to restore the status z,-,o of 0ecember
12, _991, acolv the terms and =onditions =ecuired by -CC Finance 0oc:cets =9905 and 31954
and :rake whole all Employees who were af~eczed by the rerouting of traffic -from
c:&O to RF&P. :-TM and B&O routing?
,~,.
If the answer to questions Number
1 or"~tumber 2 is affirmative, are the afNfected Emplovees' as asserted by the
Organization and listed on Attachment "A"
entitled to the orotective benefits set
forth in I.C.C. Finance Dockets 31954 and
28905?
Background:
On September 25, 1980 the ICC, in Finance Docket 28905, approved
the application of CSX to acquire control of the railroad subsidiaries
of the Chessie System, Inc. and Seaboard Coast Line Industries (SCLI).
The Chessie System included the Chesapeake and Ohio Railway Co. (C&0),
the Baltimore and Ohio Railroad Co. (B&0) and the Western Maryland
Railway Co. (WM) along with other railroads. These subsidiary carriers were to remain as separate corporate entities. Although not
fully owned by CSX, it also acquired control of the Richmond,
Fredericksburg and Potomac Railroad Co. (RF&P) in Finance Docket 28905
by virtue of the fact that Chessie and SCLI each owned 40 percent o=
Richmond-Washington Co., a non-carrier holding company which owned
65.9 percent of the voting stock of RF&P. The RF&P was managed
separately after the effective date of 'Finance Docket 28905.
In Finance Docket 31954, with a service date of October 31, 199=,
the ICC granted CSX Corporation a ccrrorace family transaction exemption for the acquisition of the railroad assets and operation of RF&P
Railroad by the CSXT Loaned and owned RF&P Railway. In CS X' s aociLcation for this exemption it stated in cart:
... At some time following consummation
or
=::__ ?roposed acquisition of RF&P Railroad,
CSXT and RF&P Railwav may seek to take advantage oz opportunities =or operating e=ficiencies or cost savings that may become :pore
practicable to achieve as a result of CSXT's
acauisition of 100 percent control of R.F&P's
rail ocerations. These efforts may include
consolidation of certain administrative _unct;ons, closer coordination of train operations,
.--ainceaance of way, equipment repair and allocation, and other functions ....
(page 11)
...RF&P Railroad's main line between Richmond
and Arlington represents an important component of CSXT's north-south rail operations.
The proposed acquisition will enable CSXT to
exercise its existing control over RF&P =ail
operations more directly, and eliminate the
transactions and accounting costs associated
with its present exercise of less-thancomplete control through intermediate
corporate entities having substantial non-CSX
shareholders ....
(page 14 )
as
noted, CSX at present has not developed
plans for implementing any
significant changes
in RF&P rail operations or employment condi,tions following consummation of the proposed
transaction, but anticipates that some changes
eventually may result from efforts to take
advantage of post-consummation opportunities
for coordinating CSXT and RF&P Railway operations and achieving cost efficiencies. Neither
the scope of any such future changes in operations, nor the possible impact of these changes
on rail employees, can be assessed with any
degree of precision at this t=:me.
Nonetheless, CSX and its affiliates acknowledge that any present
R_r&P
Railroad employees
(or CSXT employees) who should be adversely
affected by such potential future operating
changes will be entitled to protections under
the New York Dock conditions to the extent that
the averse ez ects are proximately caused by
the transaction that is th.e subject of this
Notice of Exemption.
(page 1 6 )
In Finance Docket 31954 the =CC provided ;few York Jock protect-=
as follows:
As a condition to the use oz this exemption, anv emplovees adversely affected by the
transaction will be
protected
Zy
the condi-
tions set forth in
Yew
York Dock Rv.--Control
--Hrooklvn Eastern DisL., 360 I.C.C. 60 (1979)
Some three and one half weeks after the service date of Finance
Docket 31954, notice was served on RF&P, B&0 and
WM
general chair-men
oz the intent of CSXT and Richmond, Fredericksburg and Potomac Railway to coordinate the road fright operations and services between
Richmond, VA, Philadelphia, PA and Brunswick, MD and all road territory in between on or after February 1, 1992. The notice stated that
this transaction was covered by ICC Finance Docket Nos. 28905 and
31954 and related proceedings.
Six weeks after the service date of Finance Docket 31954, on
December 12, 1991, CSXT' s General Manager-Service Design, Mr. J. R.
Bradley, sent from Jacksonville, FL to operating officers the fol=ow-
ing memo, which stated in part:
Per the conference call held yesterday afternoon,.below you will find proposed profiles for
the first_phase of. the CSXT merchandise reroute
that will begin with-class tracking changes
going into effect on Monday, December 26 and
the profiles starting at each end of the railroad on Tuesday, December 27. In this phase
traffic between
Chicago,
Michigan, and Willard
pin to or from the Eastern Seaboard South of
Potomac Yard will be route via Cumberlan an
the former RF&P rather than via Russell and the
oTd
C&0 main stem. Phase two is planned to
start in mid-January and will move traffic
between the Northwestern part of CSX (St. Louis,
Louisville,
Chicago
and Michigan) and the former
Clinchfield and the Ohio River Chemical Belt via
Cincinnati rather than via Russell .... (emphasis
added)
On December 13, 1991 the Operations Center sent the followi..^.c
notice, which stated in part:
Reference c:zrresnondence in last several
days ccncerninc ~Ierczandise reroute
affecting
R~a_sil. There ^ave been proposed schedules
sent, however, there were some mistakes in
times as well as a change or tyro in the block
ing. These have been corrected and actual
schedules and class tracking changes will be
in the S&C chances `or this week. The =ollow
inc are some points that may be helpful next
week in implementing these changes:
8300-17 -actual operation should be from
Chicago to Columbus only with
Russell block moving on 8691. However, R-300's schedule will stay in
effect for several davs in case it
is necessary to operate the train
on thru to Russell or Richmond.
Note.. there will be no cars
schedule for R-300 south of
Columbus and this train will only
be used as an over=low.
R-301-17 -actual operation should be from
Columbus to Chicago with connections from 8690 at Columbus. R-690
from Russell will be handling
blocks that R-301 handled previously from Russell. These blocks
will be made up from connections
of 8303 which will include the auto
parts from South Charleston to
Janesville. Note.. R301's schedule
will retrain in place to operate if
necessary, but there are no cars
scheduled to train.
! ! ! ! Next week for a few
days is
may be necessary to operate 300 and 301 all the way between
Chicago and Richmond to get the traffic cleaned
up and be ready for
Holiday.
Supts and Senior
Managers Perf watch this c'ose and as soon as
traffic drops off annul these trains between
Columbus and Richmond and a:_e_ the Holidays if
all is ok then we will take them out of system.
I do not want 300 and 301 operated between
Rocky Mount 414-412-413 and 411 can take care
of this traffic!!!!...
As information, the above is only the 1st phase
of changes that will eventually result in t-he
manifest hump at Russell being closed. The 2nd
ohase will not take place until about mid
Januarv and will involve =ur_he= changes to
300, 30
I,
690, 691, 405 and ;06 (these two trains
will operate via Brunswick and t::e Old Main
Linel,~696,697,316,317,509 and 408 ....
The General Chairman of the UTU-C&0 Proper Committee was :.,=.,r-e~
of t^e contemplated discontinuance of T=ainc "os. R-300 and R-3C_ i:: a
telephone conversation with the Carrier's Senior Director of Labor
Relations on December 13, 1991. The General Chairman wrote to the
Senior Director, CSXT on January 2, 1992, stating in part:
As you are aware this traffic was formerly
routed C&O (Proper) between Richmond, Virginia
and Columbus, Ohio thence via the CSG-P/B&O/
C&O-N
coordinated territory
between Columbus
Ohio and Chicago and operated on a daily basis.
You should arrange to provide this office
with the following information:
I. Total number of cars handled by Train
R-300 each month beginning
with
December 1990.
2. Total number of cars handled by Train
R-301 each month beginning with
December 1990.
3. Total miles paid to former C&O Proper
employees operating Trains R-300 and
R-301 between Chicago and Richmond
beginning with December 1990.
4. The number of regular assignments
abolished and the employees displaced
and/or dismissed as a result thereof.
S . The number of pooled assignments
abolished and the employees displaced
and/or dismissed as a result thereof.
6 . Route that traffic now traverses
between Richmond and Chicago.
Furthermore, this transaction has resulted
in the displacement and/or dismissal of employees and the rearrangement o= forces throughout the Chicago /Richmond Route and you should
arrange to furnish this office with a complete
record of all displacements and/or dismissals
of the employees affected ....
The Senior Director Labor Relations responded in a fet=e=
January 18, 1992 that the
discontinuance
o_ Trains R-300 and
.not the result of a "transaction," but caused by a general
merchandis-& business that the Carrier is suffering, assoc
the recession. He further stated
... Trains R-300 and R-301's discontinuance
were part of an overall effort to utilize excess capacity on existing trains. The excess
capacity resulted "'ram the loss of traffic,
not
from
any effort on CSXT' s part to effect
any new consolidation or coordination of its
business. All traffic is moving by preexisting rights of the Carrier and we have,
therefore, not violated your agreement or
taken any action requiring notice ....
The Senior Director explained how the freight is to be handled;
and
pointed out:
... Additionally, :such of this freight going
through Willard can be t=aced to historic
3&0 traffic patterns. Therefore, this activit=y
cannot be
considered the rerouting of Cs0
freight and in turn a transaction as you imply
in your letter ....
He declined the General Chairman's request for information as follows:
There has been nor direct and predominating
relationship between this activity and the
cited Finance Dockets that would either recuire
the Carrier to serve notice under an I . C . C
Finance Docket or establish a basis for protective benefits for
employees who
may have been
involved in the discontinuance of T=sins R-300
and R-301.
Your request for certain data is also inappropriate ....
In CSXT's Employee News Service, Midweek Report, July 22, 1992 it
was reported:
RF&P INTEGRATION ALMOST :IVISiiED:
Integration
of the 113-mile RF&P Railway into CSXT is
virtually complete.
Merger
of the RF&P,
strategic line between Alexandria and
Richmond, Va., provides CSXT with an imrnediate i.'npact of nearly $25 million in
revenue and coat savings, as well as
significant operating ef=iciencies, said
Tom Schmidt,
RF&P Railway
president and
CSXT's vice president-engineering.
The RF&P was turned over to CSXT April 1,
providing an important link between the
northern and southern halves of the CSXT
rail network. Schmidt directed integration of the
RF&P
beginning in late 1991
and completed the merger in 5 1/2 months.
Acca Yard in Richmond, a major interchange
point between
RF&P
and CSXT for northsouth traffic, will continue to be used.
CSXT also plans to consolidate its roadway
equipment repair facilities at the Bryan
Park Terminal Shoos, RF&P's locomoative
and car repair shoos in Richmond.
Findings and Award:
Prior to Finance Docket 31954, traffic heading north -rpm Richmond
and south through Potomac Yard had to be interchanged with the RFSP, a
railway which CSX acquired control of in Finance Docket 28905 in '_980.
The RF&P, however, was under separate management; and there was less
than complete control because intermediate corpozate entities had s:iastantial non-CSX shareholders. CSX had to pay the RF&P overhead trac:cage rights: and interchange points were at Potomac Yard and Richmond.
As a result of Finance Docket 31954, with a service date of October
31, 1991, CSXT began the integration oz the RF&P into CSXT in late
1991, and according to CSXT's Emalovee News Service, the merger was
completed in some five and one half months, with an immediate impact
of some $25,000,000 in revenue and costs savings, as well as significant operating efficiencies. Presently, =or the first time in the
histor=r of CSX, former B&0 crews can be brought into Richmond and
orner RF&P emolovees can operate on the B&0. The B&0 and w'M never
had trackage rfights between Washington and
Richmond. ~.~.m--
hmORd.
AS 3 "°_5::
of =his coor~in anon =nit'_ated under authority of : -nance ~oc:ce_ ::cs.
38905 and 31954 with initial notice riven November 25, 1991, per-;
significant new operating rights and efficiencies now exist =or CS X'='.
On December 12, L991, some six weeks after the service date o-f
Finance Docket 31954, the CSXT spelled out the Afirst phase of its
"merchandise reroute." Traffic between Chicago and Willard, Ohio,
going to or from the Eastern Seaboard south of Potomac Yard, was
routed via Cumberland, :Maryland and the former RF&P rather t::an v·_a
Russell and the old C&O main stem. Finance Docket 31954 provided t-at
as a condition of the use of the exempt'-on, any employees adversely
affected by the transaction will be protected by the New
York Dock
conditions. Finance Docket 28905 also provided New York Dock protective conditions. The UTU-C&0 Proper Committee contends that its C&0
Proper employees adversely affected by t'.^.e transaction involving _::__
diversion of traffic over the RF&P,
WM
and B&0 from the C&0 ?--ooer
route are entitled to New York Dock protection. The Carrier disagrees.
Exhibit 1 to this award sets forth the routing of Trains 90 and
91 between Chicago, Illinois and Ric^.mond, Virginia, with this "historical" routing between Chicago and
Richmond
being over the C&0
through Cottage Grove, Cincinnati, Russell, Clifton Forge and Richmond.
Effective January 13, 1986 Trains 90 and 91 were rerouted between
Chicago and Russell, operating in part over former B&0 territory
through Willard and Columbus. Emmlcvees represented by the UTU whose
positions were abolished or who were displaced as a result of the L9°5
transaction were given test period averages, and allowed to file cla_as
under applicable protective conditicns. Trains 90 and 91 were renamed
R-300
and R-301
respectively in '989. Trains R-300 and R-301 we=e
cancelled in December of 1991 at the same l:.-ne the
Richmond-Chicago merchandise cars via Cumberland, Haryland and
.. F & a~ -her t. .. e 1 and hen over
tne
former ?. = the
yh than .~.'.^.=cug^ Columbus . Rusc 1
"-old C&0
main stem."
The Carrier, on pages 15 and 16 of its Submission, states:
The movement of certain freight through
Willard, thence over the RF&P, was a preexisting right of the Carrier. There is no
freight that belongs to =he former C&0 for its
exclusive handling. More importantly, there
was no joint action between CSXT and the RF&P
to effect the change. CSXT and the predecessor roads had used RF&P as a bridge route for
many nears. To route the cars over RF&P did
not require any new I.C.C. authority as UTU
infers. The "transaction" contemplated by the
parties in I.C.C. Finance Docket 31954 was not
a prerequisite to the merchandise freight restructuring and, therefore, was not a factor
entering into the Carrier's decisions associated therewith. Finance Docket 28905, forming CSX, likewise
did
not serve as the means
to effect the merchandise freight restructuring. The Carrier's right _o ;hake changes pre,dated that matter, and furthermore, no former
Seaboard lines are involved in the rerouting
that UTU argues provides "New York Dock" protective benefits for train se ^zice employees.
1. The Carrier states that there eras no joint ac=ion between CSXT
and the RF&P to effect the change. In =!:e arbitration pursuant to
Section 11 of New York Dock conditions and ICC Finance Docket 28905
between CSX Inc. (C&0) and LTTU and E_E ~CIuster) dated May 26, 1988,
substantial amount of traffic was _`_-;e:_ed or rerouted from C&0's
mountainous western corridor from =:_=:on Forge to Doswell and/or
Washington, where it interchanged ::=_z R-F&P, to its water-level eastern
corridor from Clifton Forge to ?tic =-ond, -here to be interchanged to
the RF&P for delivery to Washington o- -^ssun Point in order to save
uel and for greater
efficiency
c_' _=_:mct=ve usage. The
saw the issue as follows:
The issue is whether the "action" - in
his c=se, the diversion of
traffic
- Haas
taken because Cn, and RE&Z' ca,-..= under the
common control of CSX as a result of ICC Docket
28905, as alleged by the Organization; or
whether the action was an independent decision
of C&O for reasons not related to the ICC
authorization, not planned by or participated
in by CSX, and not taken in coordination with
RF&P, as alleged by the Carrier.
The Arbitrator determined in part that:
Other than the fact that RF&P is a subsidiary carrier of CSX, as C&O is, there is no
evidence that RF&P acted jointly with C&0 to
bring about the rerouting which gave rise to
this disoute. Nor is there evidence that CSX
exercised its overall control over both subsidiaries to bring about the rerouting as part
of a plan to benefit the CSX community.
Statements by RF&P and C&0 representatives are.
to the contrary ....
And,
the Arbitrator concluded:
There is insufficient evidence in the case
at hand to show that the rerouting was planned
and implemented by both the C&0 and the RF&P,
or by
CSX. Since
it is not established by substantive evidence, as contrasted with mere
inference, that the rerouting was a product of
joint action, taken pursuant to the authorization of CSX control in Docket 28905, the rerouting was not a transaction within the meaning
of Paragraph 1(a) of the New York Dock Conditions.
The
instant case is not one based on inference. The evidence :s
crystal clear that CSXT, in the
of the overall control over
the railroads, planned and directed the diversion of Chicago merchandise traffic from the C&0 main stem to the former RF&P, the wM and
the B&0 for the benefit of the CSXT community of interest. (Please
see the CSXT's General tanager-Service Design's December 12, i99'_
notice.) Absent the control by CSX': over the above stated rail==ate=
contemplated and sanctioned by Finance Dockets 28905 and 3195 ,
diversion of the Chicago merchandise traffic would not have 'ceen
cooperatively carried out by the above-mentioned carriers.
An assertion that joint action must be established between CSXT
and IRE&? in order to have a transaction is rejected. CSXT exercised
its overall control over the railroads involved in directing the
diversion in question, an action contemplated and
sanctioned by
the
Finance
Dockets 28905 and 31954.
2. It is recognized that RF&P was a bridge for north-south
traffic for many years and that certain fixed costs existed for c5X
resulting from shared responsibility for the operation and maintenance
of Potomac Yard. The record does not disclose that CSX routed Chicago
merchandise cars over the RF&P through C=Lberland to Chicago pier to
December 1991.
The operational rights and efficiencies accruing to the Car===r as
a result at
Finance
Docket 31954 are substantially improved from the
rights existing prior to Finance Docket 31954, when the RF&P
served
as
a bridge to north-south traffic and where CSX railroads had to interchange with the RF&P and pay overhead t. ackage rights to that cr.rr ie= .
Operational efficiencies stemming
==ca
t::e integration of the R.E&P
_4=3
CSXT under Finances Docket 31954 , _nc! udi:;g the right to initiate
coordination
pad later
the coordination itself of
`tee
RF&P, 3&O and
"4'H
road freight: operations between Ric:.nond and Brunswick, whica rights ac
present fruition allow for the
1.1rst
time in
the history o. CSX _-O:o__^_e;
B&0 crews to be
brought into
Ric^.,mend and ?,F&P crews
t;3
operate cn =.-.e
3&0. The CS X'. General
Manager-Serv;ce -'esign ad to have
knowledge of the ooe:at_onal ef='___e.^.c:es, both ac=ua;
a.-.c
potential, in the planning and application of the diversion or re-
routliael of the C-hlcagv -erchandise tars is question. CSXT -:hen, the exercise of its overall control of the railroads in question, the
RF&P,
'AM,
B&0 and the C&0, planned and directed the diversion of the
Chicago merchandise traffic from the C&0 main stem to the former RF&P,
WM and B&0 for the benefit of the CSXT community. Without the con
trol by CSXT over the above railroads contemplated and sanctioned by
ICC Finance Dockets Nos. 28905 and 31954, this diversion could not
have been carried out. Such was a transaction under Paragraph 1(a) of
the New York Dock conditions.
Answer to Employees' Question 1 and Carrier's Question 1
The answer to the Carrier's Question 1 is in the affirmative in
that a transaction as defined in ICC-imposed protective conditions
has occurred.
The answer to the Employees' Question 1.13 "yes." The diversion
of traffic by CSXT from RF&P, the WM and the B&O between Richmond and
Chicago is a transaction pursuant to authority granted by the ICC in
Docket Nos. 28905 and 31954.
Answer to Employees' Question 2
Employees' Question 2 asks that the Carrier be required to restore the status quo of December 12, 1991, apply New York Dock terms
and conditions and make all employees whole who were affected by the
transaction.
Under Section 4 of the New York Dock conditions, notice should
have been posted on bulletin boards for employees to see and Union
representatives should have been sent the notice by registered mail.
And the parties should have negotiated an implementing agreement or
obtained an arbitrated implementing agreement before the changes took
place. In the context of the record before me in this case, where
avoidance of
there has not been a demonstrated pattern of^ obligations under ICC
Finance Dockets, and a good faith dispute existed between the parties,
the answer to the Employees' Question 2 is that the Carrier need not
restore the status quo of December 12, 1991 during the limited period
of time during which it is following the procedures it is obligated to
follow under Section 4 of the New York Dock conditions, including the
notice, negotiating and, if need be, arbitration process to reach an
implementing agreement. The resulting implementing agreement must
contain a provision making whole all employees who were adversely af
fected by the transaction retroactive to the first date of the reroute
in December 1991; and such affected.-employees shall not be deemed to
have forfeited any rights or benefits as a consequence of decisions
made prior to the effective date of the implementing agreement.
Should CSXT itself decide to return tae Chicago merchandise traffic to
the C&0 main stem rather than pursue an implementing agreement under
Section 4, then all employees adversely affected by the diversion of
Chicago merchandise traffic in December of 1991 shall be made whole
for all time lost as a result of the Carrier's having affected a
transaction without following the provision of Section 4 of the New
York Dock conditions as was its obligation; anti standards applicable
to the resolution of New York Dock condit_ons shall apply.-
Answer to Emolovees' Question 3 and Carrier's Question 2
Carrier's Question 2 asks has the Organization sustained its burden of proof that employees have been adversely affected by a transaction? The Employees' Question 3 asks are the affected employees as
asserted by the Organization and listed in Attachment "A" entitled to
protective benefits set forth in ICC Docket Nos. 31954 and 28905?
Both parties cited a UTU and SSW (2-2486 O'Brien) arbitration
award in their Submissions. The Organization cited the case to show
that the Arbitrator stated that the "transaction" in question was the
diversion of trains froze one route to another. (Organization's Submission at page 20.) And, in that case the carrier itself served
notice under Section 4 of the protective conditions in question that
it was contemplating a diversion of two trains daily from one route
to another~route. CSXT submitted the case as authority for its position that the Arbitrator lacks authority to certify any employees who
have neither filed claims nor explained
why
they have been adversely
affected by any transactions in question. (Carrier's Submission at
pages 21 and 2 2 . )
This arbitration was set up by the parties to answer the questions
set forth under the Questions at Issue. The parties did not develop an
Arbitration Agreement for the instant arbitration: and the Arbitrator's
authority is limited to resolving the Questions at Issue.
The Organization sought certain information from the Carrier in
its January 2, 1992 letter. The Carrier declined to provide that
formation. Before the Arbitrator, the Carrier asserted that the
Organization had access to most of the
information, but
di=at=s t
-t
cne
so,_rce re;ied en by the Carrier for its
computer, only goes back some ninety days. The parties must now meet
and obtain an imolementing agreement under Section 4. It is anticipated that the requested information will be provided in the Section 4
process.
After the implementing agreement is in place and should a disaute
arise
under Section
11(e) as to whether or not an emelovee is
by the transaction
involving the
diversion of Chicago merchandise
traffic from the C&O main stem route to the former RF&P, WM and 3&0
route then, if the matter is taken to arbitration under Section 11(e),
the organization has the obligation of specifying the pertinent Laces
of that transaction relied upon as to each individual claimant. And,
it is
then the
burden of the railroad to prove that factors other
a transaction affected the employee. Many arbitration decisions se:
forth the obligations of the parties in this regard. In the 0
award, cited by the parties and discussed above, it was stated
i1
Via==:
... This Committee subscribes to the reasoning
pronounced by previous arbitration committees
that have been called upon to resolve disputes
under the New York Dock conditions. For instance, it has been held flat loss of earnings
and/or abolishment of positions, by themselves,
do not entitle employees to labor protective
benefits. Rather, it must '--e established that
there existed a causal nexus between a "transaction" and the adverse
impact
e.cperienced by
employees who are claiming .'.:e protective benefits set forth in the New York bock conditions.
In the absence of such causal nexus, the employees are not entitled =o the New York Dock
benefits even though they may have suffered
some loss of earnings: or that their positions
were abolished subsequent to _^e " Transaction"
in question. The test is pct whether the emolov_ ees were in the service o= the Carrier on
the date of the transaction, gut whether they
can demonstrate that they were adversely
affected by
it.
(0'qrien, ^a?es R end
_ In the context of the lack of information available to the Or7anization and the unfulfilled obligations under Section 4, and the lack
of ripeness under Section 11(e), no determination can be made as to
Question 3 on whether the employees listed in Attachment "A" of the
Employees' Submission are entitled to protective benefits as asked by
the Organization nor
should
a determination be made as to the Carrier's
Question 2 on whether the Organization has sustained its burden of
proof that employees have been adversely affected by a transaction.
S igned:
u-^~c~ ~/ 1
Davi P. TwomeJ, Arbit=~tor
Dated: 7-
1
A;z2 ?