NMB CASE NO. MW-32586
UNION CASE NO.
COMPANY CASE NO.
PUBLIC LAW BOARD NO. 6086
PARTIES TO THE DISPUTE
:
TERMINAL RAILROAD ASSOCIATION
OF ST. LOUIS
- and -
BROTHERHOOD OF MAINTENANCE
OF WAY EMPLOYEES
STATEMENT OF CLAIM
:
(1) The Agreement was violated when the Carrier assigned outside forces
(Annex) to perform Maintenance of Way and Structures Department work (replacing
bridge ties, pulling spikes, etc.) on the MacArthur Bridge beginning July 6, 1994 and
continuing (System File 1994-37/013-293-14).
(2) The Agreement was further violated when the Carrier failed to make a goodfaith effort
to
reduce the incidence of contracting out scope covered work and
increase the use of their Maintenance of Way forces as required by the December 11,
1981 Letter of Understanding.
(3) As a consequence of the violations referred to in Parts (1) and/or (2) above,
furloughed Bridge and Building Sub-Department employes S. Millard, A. Ramirez,
J. King, furloughed Track Sub-Department employes W. Wiley, J. Gatlin, D. Bean,
Track Foreman W. Bailey and MTO-TMO O. Rodriguez and J. Wilson shall each be
allowed pay, at their respective rates, for ten (10) hours per day [eight (8) hours at the
applicable straight time rate and two (2) hours at the applicable time and one-half
rate], four (4) days a week beginning July 6, 1994 and continuing until the violation
ceased.
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OPINION OF BOARD: On April 28, 1994 Carrier Chief Engineer Maintenance, Signals and
Communications sent the Organization the following advisory:
Under provisions of Article IV of the May 17, 1968 Agreement, this will serve to advise of Carrier's
intention to contract out to Benchmark Rial Group, Inc., the following work at North Approach
junction on the MacArthur Bridge: -
1. Install approximately 900 bridge timbers
2. - Install approximately 630 switch ties
3. Install approximately 820 linear feet of steel walkway
4. Install approximately 3,300 feet of wooden outer guard rail
Carrier is not well equipped to perform a project of this magnitude within the time frame
required. Due to all the other work on the property that our Maintenance of Way employees,
equipment and supervisors are already committed to, Carrier desires to contract out this deck work
commencing around June 1, 1994.
Should you desire a conference to discuss this, I am available at your convenience.
The General Chairman responded to Carrier's notice, requesting a conference and asserting
the following:
1. CarrierB&B employees have showathatworkofthismagnitude
is not beyond their capability, and these employees have
performed several jobs for Carrier, in the past, on this same
structure.
2. Carrier has not maintained, hired or tried to reduce any
contracting as described in the 1981 National Agreement Letter
of Understanding to reduce contracting.
3. I have reviewed the equipment Carrier has, as well as the
manpower, and the Carrier is still well equipped to perform this
work.
4. This is work that is classified under the current working
agreement and is work that has always been performed with the
B&B forces.
I have been advised that this project went out for bidding prior to your notice. I will ask that this
information is allowed prior to conference.
A conference between the Parties was held on May 24, 1994 during which Carrier advised
the General Chairman that no contract with Benchmark Rail Group, Inc. had been signed previous
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to Carrier's April 28, 1994 notice. Subsequently, Carrier proceeded to contract out the work in
dispute to Annex when Benchmark was unable to accept the assignment. Thereafter, the General
Chairman filed the instant dual basis claim on August 29, 1994, asserting a violation of the "goodfaith" requirements in this contracting out and claiming that the work of "replacement of ties and
pulling of spikes", started by the subcontractor on July 6, 1994, was reserved to Agreement-covered
employees by a custom, practice and tradition of performance spanning many years.
At various stages of handling on the property, the General Chairman made the following
detailed assertions of fact, none of which have ever been effectively answered or repudiated by
Carrier in the handling of this case: 1) "On this Bridge, the Bridge employees and the three that are
presently laid off replaced over (10) ten thousand ties in 1991 and again in 1992" (Letter of May 2,
1994 requesting conference); 2) "It was only two years ago that the carrier awarded the B&B
department with awards for doing such a fine job replacing ties on this bridge, in 1991 and 1992 we
replaced over 20,000 bridge ties on this bridge" (claim letter of August 29, 1994); 3) "Some of the
work these contractors did was nothing more than spiking of ties, bolting up wood guard rail and
replacement of 1,530 ties, the same work that our employees have performed on the Merchants
Bridge ...as well as other locations on the property". . . as I stated in my claim, it was only in 1990-92
that over 30,000 (thirty thousand) ties were put in with the B&B forces, as well as miles of steel
walkway and miles of wooden outer guard rail" (letter of April 19, 1995 rejecting final denial).
At no point in the handling of this claim on the property did Carrier ever address, let alone
effectively contradict, the fact that Agreement-covered employees had performed tie replacement,
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steel walkway and outer guardrail bridgework on Carrier-owned bridges, including this very bridge,
identical to that which is the subject matter of the instant case.
A belated, generic and unsupported assertion in the final denial letter that "the disputed work
is of a character customarily and historically contracted out" does not suffice to rebut the
Organization's specific and detailed claim that Agreement-covered employees previously performed
identical work. In that connection, Carrier denied the claim at all levels of handling by reasserting
the reasons for contracting out this particular work advanced by Chief Engineer Trice's letter of
October 27, 1994. In that letter, he questioned the status of several of the named claimants and
asserted the following grounds for the subcontracting decision: 1) "Carrier was not well equipped
to perform a project of this magnitude"; 2) "Carrier's supervisors, employees and equipment were
already committed to the other projects for the remainder of this year"..
In this case, just as in the claim decided in our Award No. 13, the Organization has made out
on this record a
prima facie
case that the work on the MacArthur Bridge which Carrier contracted
out to Annex, Inc., pursuant to its Article IV letter of April 28, 1994, was identical to work regularly
and consistently performed in the past by Agreement-covered employees.
See
NRAB Third Division
Awards 32748 and 29007. Carrier did not effectively dispute that fact on this record and offered no
reason recognizable under the controlling contract language as justification for unilaterally
outsourcing this particular work without the concurrence of the Organization.
See
Third Division
Award 28998.
As this Board held in Awards 3, 6 and 13, citing NRAB Third Division Awards 28998,31756
and 32748, between these same Parties, there is ample precedent for requiring Carrier to make the
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named Claimants whole for the proven violation of the Scope Rule in this case. There is a __
divergence of authority on this property concerning payment of monetary damages to "fully
employed Claimants", but forreasons articulated by the Third Division in Awards 31756 and 32748,
we find such damages appropriate in this case.
Cf.,
Third Division Awards 29938 and 30829. As
in Third Division Award 31756, we will remand the matter to the property for the Parties to
determine the number ofhours outside contractor forces spent performing the work described in the
notice letter of April 28, 1994, which is the subject matter of this claim. Once the final
determination is -made as the number of such hours and damages have been calculated at the
applicable wage rates, we further order that the liquidated damages be divided equally among the
employees named as Claimants in the instant case (including Claimant Ramirez, unless Carrier can
show that he released or waived this claim)
AWARD
1) Claim sustained to the extent indicated in the Opinion.
2) Carrier shall implement this Award within thirty (30) days of its execution by a
majority of the Board.
Dana Edward Eischen, Chairman
Signed at Spencer, NY on August 26, 2000
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Union Amber
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