Banks v. Bethlehem Steel Corp.
| Decision Date | 20 March 1989 |
| Docket Number | No. 87-4028,87-4028 |
| Citation | 870 F.2d 1438 |
| Parties | 130 L.R.R.M. (BNA) 3005, 57 USLW 2595, 111 Lab.Cas. P 11,056 Johnny L. BANKS, Plaintiff-Appellant, v. BETHLEHEM STEEL CORPORATION, a corporation; Seattle Steel, Inc., a corporation; United Steelworkers of America, a labor organization, Defendants-Appellees. |
| Court | U.S. Court of Appeals — Ninth Circuit |
Abraham A. Arditi, Seattle, Wash., for plaintiff-appellant.
James R. Dickens and Cathy L. Parker, Karr, Tuttle, Koch, Campbell, Mawer, Morrow & Sax, P.S., Seattle, Wash., and Richard Brean, for defendants-appellees.
Appeal from the United States District Court for the Western District of Washington.
Before WRIGHT, WALLACE and HUG, Circuit Judges.
This case arises out of the controversy surrounding Bethlehem Steel's dismissal of Johnny Banks ("Banks") for fighting. Banks claims that his union, United Steelworkers of America ("the Union" or "the International"), breached its duty of fair representation by failing adequately to pursue his grievance. Banks further alleges that his discharge by Bethlehem was racially motivated. The district court granted the Union's motion for summary judgment on the fair representation claim. After a full bench trial, a magistrate likewise dismissed all claims based on allegations of racial discrimination. We affirm in part, reverse in part, and remand.
Johnny Banks was a steel mill worker employed by Bethlehem Steel Corporation ("Bethlehem" or "Bethlehem Steel") in its Seattle plant. Before the incident that led to his discharge, Banks had an unblemished employment record reflecting twelve years of exemplary service at Bethlehem. The assistant supervisor of mills rated him in the top 10 percent of all hourly employees. Further, Banks had accumulated the second highest number of overtime hours in his department and had only missed approximately five days in his last five years with the company. He was, in fact, slated to receive the first available foreman position in the 12"-10" mill, one of three rolling steel mills in Bethlehem's Seattle complex. This promotion would have made him the first black employee to hold a foreman position in that mill.
During three of the four days immediately preceding the altercation that precipitated his discharge, Banks worked double, 20-hour shifts. After logging a total of 70 hours in four days, Banks arrived home in the early morning on July 27, 1984, only to be called back almost immediately for another double shift that was scheduled to begin at 5:00 a.m. At first, Banks declined because he was simply too tired. But when Bethlehem called again at 10:00 a.m The 12"-10" mill reached temperatures of over 130 degrees in the summertime. Because Banks worked in proximity to hot steel, he had to wear several pairs of pants to keep from being burned. Under the terms of its collective bargaining agreement with the Union, Bethlehem was to ensure adequate ventilation in the mill. It did not, however, provide fans at every work station. Rather, workers apparently moved the fans from station to station as the need arose.
claiming that no other employee would work the extra shift, Banks agreed to return to the mill.
When Banks arrived at work on July 27, there was insufficient ventilation in his work area. He therefore decided to move a fan from a nearby work station. Although there is conflicting evidence as to whether the fan Banks decided to appropriate was in use, Banks claims that it was not even plugged into an outlet. Because the fan was large and unwieldy, Banks called an overhead crane to help with the move. As he was hooking a chain to the fan, James Davis ("Davis"), who apparently felt the fan was his, grabbed the chain in an attempt to stop the fan's relocation. Once again, the facts are in dispute. Banks may have pushed Davis or he may simply have let go of the chain after a short tugging match, causing Davis to stumble backwards. Regardless, the evidence is clear that Davis, a former boxer, retaliated by punching Banks so hard that he fell to the ground unconscious. The wound Banks received to his forehead required 32 stitches to close.
Under a Bethlehem policy against fighting, both Banks and Davis were automatically suspended with intent to discharge. The Union filed grievances on behalf of the two men and represented them throughout the grievance process. In preparation for Banks' discharge hearing, Warren Dorcas, then president of the local union and co-chair of its grievance committee, interviewed Banks and Davis. Both men admitted the fight, but each blamed the other for its escalation.
Dorcas represented Banks at his discharge hearing on August 16, arguing that Banks had been a good employee, that the incident was more a shoving match than a fight, and that Bethlehem was responsible for appropriate placement of the fans. Unmoved by Dorcas' arguments, Bethlehem rejected the Union's position and refused to reinstate Banks. With the help of Robert Cooper, local treasurer and Dorcas' fellow chairman on the grievance committee, Dorcas then carried Banks' complaint to a "step 3 hearing" held on September 4, 1984. At this hearing, Cooper and Dorcas reiterated many of the arguments previously asserted by Dorcas, but Bethlehem remained obdurate. A step 4 meeting was subsequently held in which Tom Hughes, a staff representative for the International, appeared on Banks' behalf. Although this meeting too ended in impasse, Hughes eventually engineered a settlement for Banks, agreeing to drop the dispute short of arbitration for $3,000 and a change of Banks' termination status from discharge to "voluntary quit." Hughes obtained an identical settlement for James Davis.
Vehemently objecting to the terms of the settlement obtained by Hughes, Banks brought this action against the Union, Bethlehem Steel, and Seattle Steel. 1 Banks claimed that the Union breached its duty of fair representation in handling his grievance. He further alleged that Bethlehem discharged him without just cause in violation of the terms of its collective bargaining agreement, and that his dismissal was motivated by racial animus in violation of Title VII, 42 U.S.C. Secs. 2000e to 2000e-17 (1982), 42 U.S.C. Sec. 1981 (1982), and Wash.Rev.Code ch. 49.60 (1962 & Supp.1989). The district court granted summary judgment to the Union on the fair representation claim, and the remaining parties proceeded to trial before a magistrate. The magistrate entered judgment for Bethlehem The district court directed the entry of a single judgment covering all claims. The judgment was entered, and Banks timely appealed. This court has jurisdiction pursuant to 28 U.S.C. Sec. 1291 (1982).
Steel and Seattle Steel on the race discrimination claims. The issue of whether Bethlehem Steel had just cause to terminate Banks' employment was not before the magistrate because of the earlier summary judgment on the claim against the Union for breach of its duty of fair representation. An employee subject to a collective bargaining agreement who makes his or her union the exclusive bargaining agent must prove that the union breached its duty of fair representation before a claim against the employer can be established. Hines v. Anchor Motor Freight, Inc., 424 U.S. 554, 570-72, 96 S.Ct. 1048, 1059-60, 47 L.Ed.2d 231 (1976).
We review de novo the granting of a motion for summary judgment. T.W. Elec. Serv., Inc. v. Pacific Elec. Contractors Ass'n, 809 F.2d 626, 629-30 (9th Cir.1987). The appellate court's review is governed by the same standard used by the trial court. Darring v. Kincheloe, 783 F.2d 874, 876 (9th Cir.1986). Thus, the appellate court must determine, viewing the evidence in the light most favorable to the nonmoving party, whether there are any genuine issues of material fact and whether the district court correctly applied the relevant substantive law. Ashton v. Cory, 780 F.2d 816, 818 (9th Cir.1986); see also Fed.R.Civ.P. 56(c).
Because labor unions operate as the exclusive voice for their membership, the courts have imposed upon them a duty of fair representation, calculated to ensure that the individual rights of their members are not unduly sacrificed in the pursuit of group goals. The Supreme Court has recently reiterated the purpose and scope of this duty, stating:
The duty of fair representation exists because it is the policy of the National Labor Relations Act to allow a single labor organization to represent collectively the interests of all employees within a unit, thereby depriving individuals in the unit of the ability to bargain individually or to select a minority union as their representative. In such a system, if individual employees are not to be deprived of all effective means of protecting their own interests, it must be the duty of the representative organization "to serve the interests of all members without hostility or discrimination toward any, to exercise its discretion with complete good faith and honesty, and to avoid arbitrary conduct."
DelCostello v. International Bhd. of Teamsters, 462 U.S. 151, 164 n. 14, 103 S.Ct. 2281, 2290 n. 14, 76 L.Ed.2d 476 (1983) (quoting Vaca v. Sipes, 386 U.S. 171, 177, 87 S.Ct. 903, 909, 17 L.Ed.2d 842 (1967)) (other citations omitted); see also Peterson v. Kennedy, 771 F.2d 1244, 1253 (9th Cir.1985) (quoting DelCostello ), cert. denied, 475 U.S. 1122, 106 S.Ct. 1642, 90 L.Ed.2d 187 (1986).
While recognizing the importance of a union's duty of fair representation, the Supreme Court simultaneously has acknowledged that unions must be given broad discretion to act in what they believe is their members' best interests. Johnson v. United States Postal Serv., 756 F.2d 1461, 1465 (9th Cir.1985); see also Ford Motor Co. v. Huffman, 345 U.S. 330, 337-38, 73 S.Ct. 681, 685-86, 97 L.Ed. 1048 (1953). Thus, the...
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