Eustice v. Federal Cartridge Corporation

• Decision Date: 13 June 1946
• Docket Number: Civ. No. 843.
• Parties: EUSTICE v. FEDERAL CARTRIDGE CORPORATION.
• Court: U.S. District Court — District of Minnesota

66 F. Supp. 55

EUSTICE v. FEDERAL CARTRIDGE CORPORATION.

Civ. No. 843.

District Court, D. Minnesota, Third Division.

June 13, 1946.

Daniel S. Feidt, of Minneapolis, Minn. (Dwain M. Ewing and Fred A. Ossanna, both of Minneapolis, Minn., on the brief), for plaintiff.

Victor E. Anderson, U. S. Atty., and Linus J. Hammond, Asst. U. S. Atty., both of St. Paul, Minn., and Henry F. Simons, of Minneapolis, Minn., for defendant.

DONOVAN, District Judge.

Plaintiff commenced this action in behalf of himself and some 59 other persons similarly situated, to recover from defendant unpaid wages, overtime compensation, liquidated damages, and attorneys' fees, under the provisions of the Fair Labor Standards Act of 1938. 52 Stat. 1060, 29 U.S.C.A. § 201 et seq. Plaintiff and said persons similarly situated will be referred to hereinafter as "plaintiffs" for convenience.

Plaintiffs claim there is due them as "unpaid wages and overtime" the aggregate sum of $140,157, and to this they ask that a like sum be added as liquidated damages, together with costs and a reasonable attorneys' fee.

Defendant's answer puts in issue all the allegations of the complaint. The case was submitted to the Court on an agreed statement of facts and oral testimony. By stipulation of counsel, the only issue for decision in the case at bar at this time is this: What hours, if any, were hours worked by plaintiffs within the meaning of the Act, and for which plaintiffs were not compensated as provided by the Act?

Plaintiffs were employed by defendant in its fire department (privately owned and operated) at the Twin Cities Ordnance Plant at or near New Brighton, Minnesota.

Defendant, a Minnesota corporation, was engaged, during all times herein, in manufacturing small arms ammunition at said plant. Production commenced there on March 9, 1942, and from that time on it is undisputed that the parties to this preceeding were engaged in interstate commerce, or in the production of goods for interstate commerce, and were subject to and entitled to the benefits and protection of said Act.

The Twin Cities Ordnance Plant comprised an area of 2,425 acres, lying north of the cities of St. Paul and Minneapolis. As a part of defendant's plant and operations connected therewith it maintained a fire-fighting unit or department, made up of two fire stations and a personnel of approximately one hundred fire-fighters, all of which was manned and equipped in the same manner as the ordinary municipally-operated fire department.

Defendant operated said plant as a cost-plus-a-fixed-fee contractor with the United States government, manufacturing ordnance for the United States Army, and in this process large amounts of high explosive powder were used.

Prior to March 19, 1944, plaintiffs worked for defendant in shifts of eight hours or more per day, forty-eight or more hours per week, and defendant maintained said fire-fighting service and facilities twenty-four hours per day, seven days per week, employing three alternate shifts per day of approximately eight hours each.

Commencing March 19, 1944, a two-platoon system was established at defendant's plant, and from the last-named date on, plaintiffs worked for and were paid by defendant on that basis.

The nearest well-equipped fire unit was at the nearby city of Minneapolis, sufficiently remote to warrant the maintaining of the two fire stations on the premises of defendant at New Brighton. Station No. 1 was of brick construction, and Station No. 2 was constructed of wood. Sleeping quarters for firemen, of the dormitory type, were provided by defendant in each of the stations.

By petition dated July 7, 1943, ninety-two members of defendant's fire department (among whom were forty-five of the present plaintiffs) requested the installation "of the so-called two-platoon system". The plan was submitted to the United States Department of Labor, and defendant was told by the Acting Regional Director in a letter dated August 31, 1943, that defendant's proposal was "a `reasonable computation of working hours' within the meaning of section 7 of * * * Interpretative Bulletin Number 13 * * *".

The employees affected were represented by Federal Labor Union No. 23328, A.F. of L., and on January 11, 1944, entered into a contract with defendant governing proposed hours of employment, rates of pay and working conditions, and which, among other things, provided:

"Section 1. This article covers Fire Captains, Lieutenants, Fire Motor Operators, and Firemen.

"Section 2. Under a two-platoon system, Fire Captains, Lieutenants, Fire Motor Operators and Firemen will be stationed at the fire stations for intervals of twenty-four (24) consecutive hours during `on station' periods, beginning at the same time as production or officer workers. The `on duty' hours worked will be sixteen (16) hours out of the twenty-four (24) hour period.

"Section 4. During the `on station' period, Lieutenants, Fire Motor Operators and Firemen will not be paid unless called to `duty'. If called to `duty' during the `on station' period, they will be paid time and one-half for all hours in excess of forty (40) hours per week.

"Section 5. Fire Captains, Lieutenants, Fire Motor Operators, and Firemen will be alternately `on station' twenty-four (24) hours and off twenty-four (24) hours. However, the days off on each platoon will be scheduled that each member will work three (3) sixteen-hour `on duty' periods each week."

Three of the plaintiffs to this action signed for the employees, and one William F. Wright signed for the Union.

Following the execution of the last-named contract, and on February 11, 1944, Honorable William R. McComb, Deputy Administrator, by letter advised Lieutenant Colonel William J. Brennan, Jr., Chief, Labor Section, Office of the Chief of Ordnance, War Department, that he had examined the proposed plan of the two-platoon system and approved it, saying: "The operation of this plan appears to be unobjectionable under the Fair Labor Standards Act, and you may so advise the contractor-operator."

The two-platoon system had been in vogue in nearby municipalities for years prior to its adoption here. It is conceded that it improved the morale and eliminated possibility of suspension of members of the fire unit. All of the employees connected with defendant's fire department voted in favor of the change to the two-platoon system and complied with it in all respects without complaint, up to the time of the commencement of this action.

Under the two-platoon system the plaintiffs normally worked three sixteen-hour on duty shifts, and three eight-hour on call shifts, each week. For the three sixteen-hour shifts they were paid straight time for all hours up to forty, and time and one-half for all hours over forty hours per week. Captains and Assistant Fire Chiefs were not included, however, as they were paid weekly salaries regardless of hours worked. With a thought to keeping the time worked so as not to exceed forty-eight hours per week, the fire department employees were given three consecutive days off every second week. Except when expressly permitted to be off the premises the plaintiffs were required to remain in and about the fire stations, on inspection of different parts of the plant or within call, at all times.

Plaintiffs were required to punch the time clock at 7:48 a.m. and to answer roll call at 7:55 a.m., and to remain on the premises continuously for a twenty-four hour period. This gave defendant a like period of fire protection, added efficiency, and required less personnel. It is undisputed that defendant operated its plant on a twenty-four hour day, made up on a three-shift basis, and that under the two-platoon system plaintiffs furnished defendant's plant with fire protection on a twenty-four hour day basis.

The sixteen-hour, on-duty shifts were spent in the performance of different tasks in and about the fire station, and in activities of plaintiffs' own choosing, restricted, however, to the premises. It is undisputed that less than half of the time from 7:55 a.m. to 9:55 p.m. was devoted to active duty. The balance of the time, made up of inactive hours, could be spent by plaintiffs in reading, playing cards, engaging in games of volley ball, pitching horse shoes, and preparing food in the kitchen of the fire station. The active duties were made up primarily of checking equipment, making up the beds in the station dormitories, drilling, and in general clean-up work in the morning. In addition to this, at different times, two of the plaintiffs would be assigned to inspection work.

Plaintiffs received no compensation for the eight hours of sleeping time, unless called to attend a fire, perform ambulance service, or serve as relief dispatcher. These "on call" hours were from midnight until 8:00 a.m., and were not remunerated for as hours worked unless plaintiffs actually performed work between midnight and 8:00 a.m. on emergency calls or as relief dispatchers. They were paid for such extra work.

During the eight "on call" sleeping hours spent by plaintiffs in the fire stations, the only duty required of them was to be present and available to answer fire calls. If a fire call did come in plaintiffs had no choice but to respond if the particular rig to which they were assigned was dispatched. In other words, if their truck was dispatched, plaintiffs were required to answer the fire alarm. If their truck was not dispatched, the only work plaintiffs would have to do would be to close the doors, whereupon they would retire to their beds and be in readiness to respond to the next alarm. No compensation was paid the plaintiffs who got up, dressed and reported for action, unless their truck was dispatched to the fire and they actually accompanied it, or the ambulance.

Plaintiffs contend they should recover overtime for (a) the eight "on call" sleeping hours between midnight and 8:00 a.m., and (b) the time devoted to...