Kennicott v. Sandia Corp.

• Decision Date: 14 May 2018
• Docket Number: No. CIV 17–0188 JB/GJF,CIV 17–0188 JB/GJF
• Citation: 314 F.Supp.3d 1142
• Parties: Lisa A. KENNICOTT; Lisa A. Garcia and Sue C. Phelps, on behalf of themselves and a class of those similarly situated, Plaintiffs, v. SANDIA CORPORATION, Defendant.
• Court: U.S. District Court — District of New Mexico

314 F.Supp.3d 1142

Lisa A. KENNICOTT; Lisa A. Garcia and Sue C. Phelps, on behalf of themselves and a class of those similarly situated, Plaintiffs,

v.SANDIA CORPORATION, Defendant.

No. CIV 17–0188 JB/GJF

United States District Court, D. New Mexico.

Filed May 14, 2018

Anne Brackett Shaver, Michael Ian Levin–Gesundheit, Shira J. Tevah, Kelly Maureen Dermody, Lin Yee Chan, Tiseme Gabriella Zegeye, Lieff Cabraser Heimann & Bernstein, LLP, San Francisco, California, Adam T. Klein, Cheryl–Lyn Bentley, Elizabeth Stork, Outten & Golden LLP, New York, New York, Attorneys for the Plaintiffs

Grace E. Speights, Krissy A. Katzenstein, Michael S. Burkhardt, Morgan, Lewis & Bockius LLP, Washington, D.C., Scott D. Gordon, Jeffrey L. Lowry, Paola Viviana Jaime, Stephanie Latimer, Theresa W. Parrish, Rodey, Dickason, Sloan, Akin & Robb, P.A., Albuquerque, New Mexico, Attorneys for the Defendant

MEMORANDUM OPINION ¹

James O. Browning, UNITED STATES DISTRICT JUDGETHIS MATTER comes before the Court on the Defendant's Motion to Dismiss State Law Claims, filed March 17, 2017 (Doc. 14)("Motion"). The Court held hearings on June 12, 2017 and January 19, 2018. The primary issues are: (i) whether the federal enclave doctrine applies to state-law employment discrimination claims if the employer makes allegedly discriminatory decisions off the enclave; (ii) whether the federal enclave doctrine bars Plaintiffs Lisa A. Kennicott's, Lisa A. Garcia's, and Sue Phelps' claims against Defendant Sandia Corporation ("Sandia Labs") under the New Mexico Human Rights Act, N.M. Stat. Ann § 28–1–7(A) ("NMHRA"), and the New Mexico Fair Pay for Women Act, N.M. Stat. Ann. § 28–23–3(A) ("NMFPWA"); and (iii) whether Sandia Labs made the employment decisions underlying those claims on the Kirtland Air Force Base. The Court concludes that: (i) the federal enclave doctrine applies to state employment discrimination claims when a plaintiff works on a federal enclave, no matter where the employer makes the decisions underlying those claims; (ii) the federal enclave doctrine bars the Plaintiffs' NMHRA and NMFPWA claims, because the Plaintiffs worked on the Kirtland Air Force Base, and those state statutes do not apply in that federal enclave;² and (iii) Sandia Labs has not established that it made the employment decisions underlying the Plaintiffs' claims on Kirtland Air Force Base, so if the Court were to decide—which it does not—that the federal enclave doctrine applies only when the challenged employment decisions are made on an enclave, then the Plaintiffs' NMHRA and NMFPWA would survive the Motion. Accordingly, the Court grants the Motion and dismisses the Plaintiffs' NMHRA and NMFPWA claims with prejudice.³

FACTUAL BACKGROUND

In the Motion, Sandia Labs moves the Court to dismiss the Plaintiffs' NMHRA and NMFPWA claims for "failure to state a claim upon which relief can be granted." Fed. R. Civ. P. 12(b)(6). When deciding rule 12(b)(6) motions, the Court generally may not consider "matters outside the pleadings." Fed. R. Civ. P. 12(d). The parties have also done some discovery, however, and the parties have consented to the Court converting the Motion into one for summary judgment under rule 56 of the Federal Rules of Civil Procedure. Thus, the Court will give two factual sections. First, it will explain what the Complaint alleges as relevant background of the case. Second, it will set out the undisputed facts to help it determine whether there is a genuine dispute as to a material fact.

1. The Complaint's Facts.

Sandia Labs is a "federally-funded research and development contractor operating under contract for the Department of Energy." Class Action Complaint ¶ 2, at 1–2, filed February 7, 2017 (Doc. 1)("Complaint"). Kennicott worked for Sandia Labs as a member of Technical Staff from January, 1995, to February, 1998. See Complaint ¶ 50, at 11. She returned to Sandia Labs in 1999 as a Senior Member of Technical Staff, and, in 2005, was promoted to Principal Member of Technical Staff. See Complaint ¶ 50, at 11. She has a master's degree in computer science from the University of New Mexico and a master's degree from Harvard University. See Complaint ¶ 51, at 11.

Garcia started working at Sandia Labs in 1988 as a custodian, and advanced through the mailroom, the payment processing department, and the Radiation Protection department's administrative section. See Complaint ¶ 64, at 14. Eventually, she worked as a Health Physics Technologist in Dosimetry⁴ within Radiation Protection, was promoted to Senior Health Physics Technologist in Dosimetry, made a "lateral move" to Electromechanical Senior Technologist in Secure Transportation, and then made another lateral move to Electronics Senior Technologist in Satellites. Complaint ¶ 64, at 14. In 2008, she was promoted to Principal Technologist in Satellites, and, a year later, made a lateral move to Principal Technologist in Telemetry,⁵ where she still works. See Complaint ¶ 64, at 14. Garcia has a bachelor's degree in business from the College of Santa Fe and a Certificate in Electronics from what was then known as the Technical Vocation Institute of New Mexico.⁶ See Complaint ¶ 65, at 15.

Phelps began working at Sandia Labs in May, 1989, as a member of Technical Staff, Scientific Computing, and, in 1997, was promoted to Senior Member of Technical Staff, Scientific Computing. See Complaint ¶ 71, at 16. Since then, she has made several lateral movies, first to Senior Member of Technical Staff, High Performance Computing Research, then to "Senior Member of Technical Staff within the division of Defense Systems and department of Missile Defense," and then to "Senior Member of Technical Staff within the division of Defense Systems and department of Phenomenology & Sensor Sciences." Complaint ¶ 71, at 16. In 2013, she was promoted to Principal Member of Technical Staff in the Division of Defense Systems and Department of Phenomenology & Sensor Sciences, before retiring in 2016. See Complaint ¶ 71, at 16. Phelps has a B.S. in Mathematics from Purdue University, a master's degree in computer science from the University of Illinois, Champaign–Urbana, and a Ph.D. in computer science from the New Mexico Institute of Mining and Technology. See Complaint ¶ 72, at 16.

2. The Undisputed Facts.

Rule 12(d) of the Federal Rules of Civil Procedure states that, if a court considers matters outside the pleadings on a rule 12(b)(6) motion to dismiss, it must convert the motion to one for summary judgment under rule 56 of the Federal Rules of Civil Procedure. See Fed. R. Civ. P. Rule 12(d). In this Memorandum Opinion, the Court will consider matters outside the pleadings when determining whether Sandia Labs made its employment decisions on Kirtland Air Force Base, so it will convert the Motion into a rule 56 motion for summary judgment regarding that issue.⁷ Accordingly, the Court presents these undisputed of facts based on the parties' additional pleadings and evidence.⁸

Sandia Labs' Talent Acquisition group—also called Talent Acquisition & Strategies—"partner[s] with the compensation department as well as the hiring manager to set an appropriate salary based on experience and market."⁹ Deposition of Yvonne Baros at 216:8–12, (taken October 5, 2017)(Baros), filed October 24, 2017 (Doc. 61–2)("Baros Depo.").¹⁰ Talent Acquisition is located off the Kirtland Air Force Base. See Supp. Submission at 3–4; Human Resources Organization Chart at 10, filed October 24, 2017 (Doc. 61–1)("HR Chart") (stating that Talent Acquisition is located at "IPOC").¹¹ From February, 2012, to February 2013, Sandia Labs' Talent Management & Employee Engagement organization was located in Tech Area 1 on the Kirtland Air Force Base. See HR Chart at 1–5. From March, 2013, to June, 2014, the Talent Management & Employee Engagement organization was located off the Kirtland Air Force Base, at the Innovation Parkway Office Center ("IPOC"). HR Chart at 5–10. From July, 2014, to the present, the Talent Management & Employee Engagement organization was again located in Tech Area 1. See HR Chart at 10–12.

Talent Management & Employee Engagement trains Sandia Labs' employees on policies regarding antidiscrimination and investigating discrimination complaints. See Supp. Submission at 7.; Baros Depo. at 207:5–21, 208:7–11 (Levin–Gesundheit, Baros). From 2014 to 2015, a "subdivision of HR known simply as Human Resources" ("Human Resources Group") was located off the Kirtland Air Force Base. Supp. Submission at 3–4; HR Chart at 8–12 (indicating that the Human Resources Group was located at IPOC). Talent Management & Development and Talent Acquisition report to the Human Resources Group. See Division 3000 HR & Communications Organization Chart at 1, filed October 24, 2017 (Doc. 61–3)("HR. Org. Chart"); Baros Depo. at 199:8–11 (Levin–Gesundheit, Baros)(establishing that the HR Org. Chart's "vertical lines ... indicate reporting relationships").

HR & Communications is located on the Kirtland Air Force Base. See HR Chart at 1–20 (indicating that, for each month between January, 2012, to April, 2017, HR & Communications is listed as being on the Kirtland Air Force Base). In May, 2017, HR & Communications Vice President's location is not listed on the HR Chart. See HR Chart at 21.¹² In June, 2017, a HR & Communications Director was located at the IPOC. See HR Chart at 21.¹³ HR & Communications is listed two other times for that month, and both of those entries indicate that they were on the Kirtland Air Force Base. See HR Chart at 21. The Vice President of HR & Communications is tasked with final approval of "compensation policy," Baros Depo. at 104:23–105:1 (Baros), and "antidiscrimination policies," Baros Depo. at 107:20–23 (Baros), and is responsible "for the promotion, compensation, performance evaluations, antidiscrimination polices, including investigation of employee complaints," Baros Depo. at 108:2–11 (Baros).

The Compensation Group is located on Kirtland Air Force Base. See ...