Williams v. Plum Creek Timber Co. Inc.

Decision Date01 November 2011
Docket NumberNo. DA 11–0026.,DA 11–0026.
Citation362 Mont. 368,2011 MT 271,264 P.3d 1090
PartiesRay WILLIAMS, Plaintiff and Appellant,v.PLUM CREEK TIMBER COMPANY, INC., and John Does 1 Through 5, Defendants and Appellees.
CourtMontana Supreme Court

OPINION TEXT STARTS HERE

For Appellant: Santana N. Kortum, Kortum Law Office, PLLC, Kalispell, Montana.For Appellee: Todd A. Hammer, Angela K. Jacobs, Hammer, Hewitt, Jacobs & Quinn, PLLC, Kalispell, Montana.Justice JAMES C. NELSON delivered the Opinion of the Court.

¶ 1 Ray Williams brought this action in the District Court for the Eleventh Judicial District, Flathead County, alleging that he was wrongfully discharged from Plum Creek Timber Company (Plum Creek). Plum Creek moved for summary judgment contending that it had good cause to terminate Williams. The court granted Plum Creek's motion and Williams appeals. We reverse and remand for further proceedings consistent with this Opinion.

¶ 2 Williams raises the following issue on appeal: Whether the District Court erred in granting Plum Creek's Motion for Summary Judgment based on its determination that Williams was not wrongfully discharged from his employment.

Factual and Procedural Background

¶ 3 Williams went to work for Plum Creek in its Columbia Falls mill in 1988. Over the next 18 years he held various positions and performed numerous tasks and assignments. In the spring of 2006, Plum Creek determined that it could no longer supply enough logs to run its Columbia Falls mill at eight hours production capacity per week. To keep the mill profitable and to avoid layoffs, Plum Creek decided to reassign 25 employees to other mills.

¶ 4 The determination as to which employees would be reassigned was based on a written pre-transfer evaluation form which graded employees in four categories: discipline, versatility, attendance and skill. Employees were given a score of one, two or three points in each category. The scores were then averaged and the employees with the highest averages were transferred to other mills or plants. While the reassigned employees retained their same rates of pay as well as their company seniority for vacation and retirement benefits, they lost their plant seniority.

¶ 5 The category of discipline was assessed as follows: employees with no disciplinary actions received one point; employees with a minor disciplinary action, such as a verbal warning, received two points; and employees with a major disciplinary action, such as a written warning or suspension, received three points. Williams received one point in this category.

¶ 6 The category of versatility was assessed as follows: employees who could operate three or more machines received one point; employees who could operate two or more machines or who could operate one machine and grade lumber or scale received two points; and employees who could not operate any machines, grade lumber or scale received three points. Williams received three points in this category which he asserts was error on Plum Creek's part. He contends that he should have received only one point in this category because he had experience grading lumber and he could operate seven machines including a planer hoist, feeder, sorter, paper wrapper, paper-wrapper feeder, fork lift and stacker.

¶ 7 The category of attendance was assessed as follows: employees who missed fewer than 16 hours in the preceding 12 months received one point; employees who missed between 16 and 32 hours in the preceding 12 months received two points; and employees who missed more than 32 hours in the preceding 12 months received three points. Williams received two points in this category; however, Plum Creek admits that it incorrectly assessed Williams' attendance record and that he should have received only one point.

¶ 8 And finally, the category of skill was assessed as follows: employees who were hourly supervisors, graders, stocker operators, head scalers, or primary sawmill operators received one point; employees who were machine operators received two points; and employees who were laborers, chain pullers or trim pickers received three points. Williams received three points in this category. He contends that this was error as he graded lumber everyday and he had the ability to operate at least seven different machines.

¶ 9 Williams was reassigned to Plum Creek's Evergreen Plywood Mill on April 11, 2006, where he was placed on a 90–day probationary period. Since he was a reassigned employee and had no seniority at the Evergreen mill, the only position he was eligible for was as a plugger operator. This position involves taking out defects and knots in sheets of plywood so that they will meet certain quality standards and grades. Williams had no experience in this job and, although he improved over time, he failed to perform at a fast enough pace to satisfy his supervisors. Plum Creek terminated Williams' employment at the end of his probationary period, July 12, 2006.

¶ 10 Williams brought this action under the Wrongful Discharge from Employment Act (Title 39, chapter 2, part 9, MCA) alleging that Plum Creek violated the express provisions of its written employment policies by failing to apply those policies consistently and equally to all employees. Williams further alleged that Plum Creek violated those policies by reassigning him to a new plant based on an erroneous evaluation, wrongfully demoting him to a position in which he had no experience, and, ultimately, terminating his employment.

¶ 11 Plum Creek moved for summary judgment contending that it had good cause to terminate Williams and that it did not violate its employment policies by doing so. In support of its contentions, Plum Creek points out that Williams' inability to meet production standards at the Evergreen mill was good cause for his termination. Plum Creek also points out that its Hourly Employee Handbook provides that although performance issues would be communicated to probationary employees, such employees could be terminated without progressing through every step set forth in the disciplinary guidelines.

¶ 12 The District Court granted Plum Creek's Motion for Summary Judgment on the basis that no wrongful discharge took place since Williams was discharged for good cause. Williams appeals the District Court's order and judgment.

Standard of Review

¶ 13 We review a district court's grant or denial of a motion for summary judgment de novo and apply the same criteria under M.R. Civ. P. 56 as applied by the district court. Stowers v. Community Medical Center, Inc., 2007 MT 309, ¶ 10, 340 Mont. 116, 172 P.3d 1252 (citing North 93 Neighbors, Inc. v. Bd. of County Com'rs, 2006 MT 132, ¶ 17, 332 Mont. 327, 137 P.3d 557). M.R. Civ. P. 56(c)(3) provides that summary judgment should only be granted when “the pleadings, the discovery and disclosure materials on file, and any affidavits show that there is no genuine issue as to any material fact and that the movant is entitled to judgment as a matter of law.”

¶ 14 Furthermore, the party moving for summary judgment must demonstrate that no genuine issues of material fact exist. Hickey v. Baker School Dist. No. 12, 2002 MT 322, ¶ 12, 313 Mont. 162, 60 P.3d 966 (citing Casiano v. Greenway Enterprises, Inc., 2002 MT 93, ¶ 13, 309 Mont. 358, 47 P.3d 432, overruled in part and on other grounds by Giambra v. Kelsey, 2007 MT 158, 338 Mont. 19, 162 P.3d 134). Once this has been accomplished, the burden then shifts to the non-moving party to prove by more than mere denial and speculation that a genuine issue of material fact does exist. Roy v. Blackfoot Telephone Co–op., 2004 MT 316, ¶ 11, 324 Mont. 30, 101 P.3d 301 (citing Fulton v. Fulton, 2004 MT 240, ¶ 6, 322 Mont. 516, 97 P.3d 573). “A ‘material’ fact is a fact that ‘involves the elements of the cause of action or defenses at issue to an extent that necessitates resolution of the issue by a trier of fact.’ Arnold v. Yellowstone Mountain Club, LLC, 2004 MT 284, ¶ 15, 323 Mont. 295, 100 P.3d 137 (citing Mountain West Bank, N.A. v. Mine and Mill, 2003 MT 35, ¶ 28, 314 Mont. 248, 64 P.3d 1048).

¶ 15 In evaluating a motion for summary judgment, the evidence must be viewed in the light most favorable to the non-moving party and all reasonable inferences must be drawn in favor of the party opposing summary judgment. Prindel v. Ravalli County, 2006 MT 62, ¶ 19, 331 Mont. 338, 133 P.3d 165 (citing Lopez v. Great Falls Pre–Release Services, 1999 MT 199, ¶ 16, 295 Mont. 416, 986 P.2d 1081). In addition, we review the legal conclusions made by a district court to determine whether the court erred. Andrews v. Plum Creek Mfg., LP., 2001 MT 94, ¶ 5, 305 Mont. 194, 27 P.3d 426 (citing Bruner v. Yellowstone County, 272 Mont. 261, 265, 900 P.2d 901, 903 (1995)).

Discussion

¶ 16 Whether the District Court erred in granting Plum Creek's Motion for Summary Judgment based on its determination that Williams was not wrongfully discharged from his employment.

¶ 17 Williams argues on appeal that the District Court erred in granting Plum Creek's Motion for Summary Judgment because questions of material fact still exist with respect to whether the pre-transfer evaluation form was part of Plum Creek's written personnel policy; whether Plum Creek violated its written personnel policy in demoting and transferring Williams; whether this allegedly wrongful demotion was directly related to Williams' termination; and, ultimately, whether Williams was wrongfully discharged. In response, Plum Creek asserts that Williams' reassignment to another mill had nothing to do with his subsequent discharge. Plum Creek maintains that Williams was discharged for good cause because he did not satisfactorily perform his job duties.

¶ 18 The Wrongful Discharge from Employment Act (WDEA) is the exclusive remedy for a wrongful discharge from employment in Montana. Mysse v. Martens, 279 Mont. 253, 267, 926 P.2d 765, 774 (1996) (citing § 39–2–902, MCA). The WDEA defines “disc...

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