Moschetti v. Chicago, Cent. & Pacific R. Co., 96-3792

• Decision Date: 11 July 1997
• Docket Number: No. 96-3792,96-3792
• Citation: 119 F.3d 707
• Parties: 74 Fair Empl.Prac.Cas. (BNA) 444, 71 Empl. Prac. Dec. P 44,867 James MOSCHETTI, Appellant, v. CHICAGO, CENTRAL & PACIFIC RAILROAD COMPANY, Appellee.
• Court: U.S. Court of Appeals — Eighth Circuit

Page 707

119 F.3d 707

74 Fair Empl.Prac.Cas. (BNA) 444,

71 Empl. Prac. Dec. P 44,867

James MOSCHETTI, Appellant, v. CHICAGO, CENTRAL & PACIFIC RAILROAD COMPANY, Appellee.

No. 96-3792.

United States Court of Appeals Eighth Circuit.

Submitted June 11, 1997.

Decided July 11, 1997.

Michael J. Carroll, Des Moines, IA, argued, for appellant.

Edward J. Krug, Cedar Rapids, IA, argued, for appellee.

Before MURPHY, HEANEY, and JOHN R. GIBSON, Circuit Judges.

MURPHY, Circuit Judge.

James Moschetti sued his former employer, Chicago, Central & Pacific Railroad Co. (CCP), for retaliatory dismissal in violation of Title VII, 42 U.S.C. § 2000e et seq. (1997), and the Iowa Human Rights Act, Iowa Code § 216, et seq. (1997), for his support of an African American employee. The district court granted summary judgment to CCP because it accepted the company's articulated non-discriminatory business reason for his termination without squarely considering whether it was the real reason or a pretextual explanation for intentional discrimination. We reverse and remand.

In December 1992, Moschetti was working as CCP's Chief Mechanical Officer when he hired Emmitt Forte, an African American, to work under him as a manager. Subsequently Moschetti complained to his direct supervisors on numerous occasions about what he perceived to be unfair and racially motivated treatment of Forte. For example, Moschetti told his supervisors he did not think they adequately handled incidents near Forte's office involving a fake bomb and racially derogatory graffiti. Moschetti also repeatedly sided with Forte when he had disputes with other employees. When Moschetti demoted a white worker named Jay Claus in May 1993, one supervisor told him that he could not believe he had demoted Claus while retaining that "black bastard."

Shortly after this last incident, in June of 1993, Moschetti's responsibilities were substantially curtailed. CCP states this demotion was because Moschetti failed to adhere to departmental budgets, traveled excessively, made decisions which led to labor difficulties, and was not completely candid about his interest in a job opening with another employer. Moschetti alleges his demotion was part of the retaliation he suffered for his support of Forte.

Forte was dismissed in August of 1993 and later filed a race discrimination claim against CCP. ¹ After Forte was dismissed, Moschetti wrote a positive letter of recommendation for him. Moschetti claims that his supervisors expressed their displeasure to him when they learned of this letter.

In 1990-92 and again in 1994, CCP was responsible for the improper release of oil from two of its railyards. The clean up costs for CCP were approximately $35,000. CCP contends that Moschetti was primarily responsible for monitoring the systems that failed in each spill, that he did not fulfill this responsibility adequately, and that he failed to communicate with engineering staff to determine if the systems were functioning properly. CCP states that Moschetti was not disciplined for the first spill, but that the second spill (known as the Virden Creek spill), combined with the earlier problems which had led to his demotion, resulted in his discharge in October 1994.

Moschetti contends that his discharge was based on his support of Forte. He disputes whether his department was primarily responsible for the Virden Creek spill and the extent of his knowledge about the systems that failed. He also argues that he took appropriate steps to monitor the oil systems and that other employees had not been terminated after even more egregious accidents.

Under Title VII an employer is prohibited from discriminating against an employee who has "opposed any practice made an unlawful employment practice" by the statute, or who has "made a charge, testified, assisted, or participated in any manner in an investigation, proceeding, or hearing" under the statute. ² 42 U.S.C. § 2000e-3(a) (1997). The order and allocation of the burden of proof in this type of case is laid out in McDonnell Douglas Corp. v. Green, 411 U.S. 792, 93 S.Ct. 1817, 36 L.Ed.2d 668 (1973).

At the first stage, the plaintiff bears the initial burden of establishing a prima facie case of discrimination. The prima facie case, in the absence of an explanation from the employer, creates a presumption that the employer unlawfully discriminated against the employee. If the plaintiff establishes a prima facie case, the burden of production shifts at the second stage to the defendant, who must articulate some legitimate, nondiscriminatory reason for the adverse employment action. If the defendant carries this burden of production, the presumption raised by the prima facie case is rebutted and drops from the case. The burden then shifts back at the third and final stage to the plaintiff, who is given the opportunity to show that the employer's proffered reason was merely a pretext for discrimination. The plaintiff retains at all times the ultimate burden of persuading the trier of fact that the adverse employment action was motivated by intentional discrimination.

Rothmeier v. Investment Advisers, Inc., 85 F.3d 1328, 1332 (8th Cir.1996) (citations omitted); see also, Ryther v. KARE 11, 108 F.3d 832, 836 (8th Cir.) (en banc), cert. denied, --- U.S. ----, 117 S.Ct. 2510, 138 L.Ed.2d 1013 (1997). The key inquiry is whether Moschetti has...