White v. Associated Industries of Ala., Inc.
White v. Associated Industries of Ala., Inc.
Opinion
These are appeals from an order of the Circuit Court of Jefferson County holding that §
AIA, a trade organization composed of several hundred businesses, and industries in the state, and Bruno's, a private employer, filed suit against White, and several State officials, in the Circuit Court of Jefferson County challenging the constitutionality of §
Section
*Page 617§
31-2-13 . Service benefits for government employees, etc.
"(a) Military leave of absence. — All officers and employees of the state of Alabama, or of any county, municipality or other agency or political subdivision thereof, or officers or employees of any public or private business or industry who shall be active members of the Alabama national guard, naval militia or the Alabama state guard organized in lieu of the national guard, or of any other reserve component of the armed forces of the United States, shall be entitled to military leave of absence from their respective civil duties and occupations on all days that they shall be engaged in field or coast defense or other training or on other service ordered under the provisions of the National Defense Act, or of the federal laws governing the United States reserves, without loss of pay, time, efficiency rating, annual vacation or sick leave, but no such person granted such leave of absence with pay shall be paid for more than 21 working days per calendar year, and such persons shall be entitled, in addition thereto, to be paid for no more than 21 working days at any one time while called by the governor to duty in the active service of the state. This section shall apply to all schools and institutions of learning supported by state funds." (Emphasis added.)
Appellants assert that this section does not violate due process, equal protection, and obligation of contracts provisions of the U.S. and Alabama Constitutions. U.S. Const. Art. I, § 10, Amend. XIV; Ala. Const. Art. 1, §§ 6, 22.
The private employers' assessment of §
The statute provides benefits for a class, employees, while imposing the burden to provide those benefits on another class, employers. A classification made in legislation must be reasonable and not arbitrary in order to avoid violation of the due process clause of Art. I, § 6 of the Alabama Constitution because that document contains no equal protection clause as such.
"While the due process and equal protection guarantees are not coterminous in their spheres of protection, equality of right is fundamental in both. Each forbids class legislation, arbitrarily discriminatory against some and favoring others in like circumstances. . . . It is essential that the classification itself be reasonable and not arbitrary, and be based upon material and substantial distinctions and differences reasonably related to the subject matter of the legislation or considerations of policy, and that there be uniformity within the class. . . ." Opinion of the Justices,
252 Ala. 527 ,530 ,41 So.2d 775 ,777 (1949). (Citations omitted.)
One arbitrary group, National Guard and Reserve members, is singled out by the statute to receive double pay during the period of their Reserve or Guard duty. They are already receiving full compensation from the National Guard or Military Reserve for the services they render to the public at large. Other persons furnishing such services to the general populace do not receive this special compensation. Sufficient incentives to encourage initial or continued participation in the Guard exist in their Guard pay, retirement programs, training programs and the like. The amount of pay the Guard member receives is not reasonably related to the nature of the public service he renders nor his need of additional money to continue his Guard membership but is based on the salary he is receiving from his employer.
Another class of citizens, employers, is singled out to bear the whole burden of this double pay provision and in return they receive no corresponding special benefit for their peculiar contribution to the public welfare. The entire public reaps the benefits from the existence of the National Guard and Military Reserves — protection of *Page 618 their persons and property, aid in natural disasters, and much more. Yet, arbitrarily the cost of insuring the continuance of that protection has been imposed on only one segment of the benefiting group, employers. Even within this arbitrary class the assessment operates in a capricious fashion. What an employer must pay will depend on such factors as its wage scale, the extent to which it is a labor-intensive business, and the number of employees who have voluntarily chosen to participate in the National Guard or Reserve.
Courts in other states have considered and held unconstitutional similar statutes which arbitrarily imposed a peculiar burden on employers for beneficial services rendered to the general public. Those cases have held the statutes, based on impermissible classifications, violate both equal protection and due process provisions of the state constitutions as well as the federal constitution.
The Hawaii Supreme Court in Hasegawa v. Maui Pineapple Co.,Ltd.,
"The general public acting through its elected representatives has assumed the financial and administrative responsibility of having juries and public boards and commissions. These public functions, like the provision of police and fire protection, benefit all who live in the community. The cost of a proper state function conducted for the public benefit cannot be arbitrarily charged to one class in the society. . . . There is nothing in the position of private employers within our society which places them in a relationship to these public institutions different from the relationship of the general public to them. Therefore, we hold that by imposing liability for the cost of juries and public boards and commissions on private employers HRS § 388-32 works an invidious class distinction in violation of the equal protection clauses of both the Hawaii and Federal Constitutions." 475 P.2d at 683 (Citations omitted.)
In Heimgaertner v. Benjamin Electric Mfg. Co.,
"The relationship and reasonableness of the provision which permits each eligible voter to absent himself from his employment on election days has not, to our knowledge, ever been seriously questioned even though such absence might in itself cause substantial inconvenience and loss to an employer. Indeed, it is not questioned on this appeal. However, the further provision of the section which ordains that no deductions shall be made from any wages or salaries because of such absence, is not so easily justified. Whether pay-while-voting bears a real and substantial relation to getting out the vote is a matter of debate. In fact this was recognized by the dissenting justice in the Day-Brite case, who pointed out that a requirement to pay time-and-a-half, or double time, would do even better in swelling the vote. Whatever the relationship, however, we are of the opinion that the provision is a questionable means of attaining the desired end, and are in *Page 619 accord with the dissenting justice that [
342 U.S. 421 ,72 S.Ct. 409 ,96 L.Ed. 469 ] `to shift the whole voting burden from the voter to someone else who happens to stand in some economic relationship to him' is neither just nor reasonable." 128 N.E.2d at 696.
Not only did the court fail to discover a reasonable relationship, it also found arbitrariness in the one class of voters singled out to be paid for voting and in the class chosen to pay that class of voters, their employers. The court observed:
"The most arbitrary classification is that of those who are chosen to pay this arbitrary class of voters. The selection of payors is not related to anything connected with voting but rests solely on a chance economic relationship. Such a regulation, which applies to some cases and does not apply to other cases not essentially different in kind, cannot be sustained." 128 N.E.2d at 698.
The Kentucky Court of Appeals in Illinois Central RailroadCo. v. Commonwealth,
Statutes providing for jury and voter pay that have been upheld on federal constitutional grounds may be distinguished from §
Section
Employers in this state have policies governing employee leave time for National Guard and Reserve duty that are an integral part of the employment contract to which they and their employees have agreed. Different employers have policies which range from leave with full pay, leave without pay, or paying the difference between the employee's regular salary and his military pay, to permitting the taking of paid vacation time. In each case the policy agreed to is as important a contractual provision *Page 620 as sick leave, salary or vacation provisions. The requirement that employers pay their employees for 21 days a year Guard or Reserve service when they do not work not only impairs the employment contract provisions on military leave but also significantly alters working hours and pay provisions. It is impermissible for the legislature as a means to accomplish a legitimate end — continued public protection by encouraging participation in the Guard or Reserves — to enact a statute impairing the obligation of employment contracts. The means are not reasonably adapted to the beneficial end, thus the statute is in violation of constitutional provisions forbidding impairment of contracts.
The Constitution of Alabama provides certain fundamental safeguards separate and independent of the provisions of the U.S. Constitution. The private employers' assessment of §
AFFIRMED.
TORBERT, C.J., and BLOODWORTH, JONES, ALMON, SHORES, EMBRY and BEATTY, JJ., concur.
MADDOX, J., recuses himself.
Reference
- Full Case Name
- Benjamin White v. Associated Industries of Alabama, Inc. Stephen J. McConnell v. Associated Industries of Alabama, Inc. Charles A. Graddick, Etc. v. Associated Industries of Alabama, Inc.
- Cited By
- 5 cases
- Status
- Published