City of Dayton v. Afscme, Ohio Council 8, Unpublished Decision (12-2-2005)
City of Dayton v. Afscme, Ohio Council 8, Unpublished Decision (12-2-2005)
Opinion of the Court
{¶ 2} In its sole assignment of error, AFSCME contends the trial court erred by vacating rather than confirming the arbitration award. In support, the Union advances four arguments. First, the Union contends the trial court erred in substituting its interpretation of the applicable collective bargaining agreement ("CBA") for that of the arbitrator. Second, the Union asserts that the trial court erred by redetermining facts decided by the arbitrator. Third, the Union claims the trial court erred in finding that the appropriate discipline for Milem was not an issue submitted to the arbitrator. Fourth, the Union maintains that the trial court erred in finding the arbitrator's award to be in violation of public policy.
{¶ 3} As set forth more fully below, we agree that the trial court erred in vacating the arbitration award. Under the parties' CBA, the arbitrator had the discretion to determine whether just cause existed to discipline Milem and, if so, whether termination was appropriate. In our view, the arbitrator's decision addressing these issues drew its essence from the CBA. In addition, the arbitrator's reinstatement order did not violate any explicit and well-defined public policy. As a result, the trial court lacked authority to vacate the award, which should have been confirmed. Accordingly, we will reverse the trial court's judgment and remand the cause for the trial court to confirm the arbitration award.
{¶ 5} The Union grieved Milem's discharge, and the matter went to arbitration. Following a hearing on the matter, the arbitrator found that the City had just cause to discipline Milem but that the punishment imposed was too severe for the offense. As a result, the arbitrator ordered Milem reinstated with back pay less a thirty-day suspension. The trial court subsequently reversed the arbitrator's decision and upheld Milem's termination. This timely appeal followed.
{¶ 7} The trial court made several findings to support its determination that the foregoing standard had been satisfied here. First, the trial court found that the arbitrator improperly had imposed a progressive-discipline policy on the City. Second, the trial court found that the arbitrator erroneously had applied a non-existent due process requirement. Third, the trial court found that the arbitrator had overlooked "obvious" distinctions between Milem's misconduct and the actions of other City employees who had received less severe discipline. Finally, the trial court held that the arbitrator's reinstatement award would violate public policy embodied in R.C. §
{¶ 8} Upon review, we conclude that the trial court erred in vacating the arbitrator's reinstatement order under R.C. §
{¶ 9} This is so because a court's review of an arbitrator's award is limited. "Because the parties have contracted to have disputes settled by an arbitrator chosen by them rather than by a judge, it is the arbitrator's view of the facts and the meaning of the contract that they have agreed to accept. Courts thus do not sit to hear claims of factual or legal error by an arbitrator as an appellate court does in reviewing decisions of lower courts. To resolve disputes about the application of a collective-bargaining agreement, an arbitrator must find facts and a court may not reject those findings simply because it disagrees with them. The same is true of the arbitrator's interpretation of the contract. The arbitrator may not ignore the plain language of the contract; but the parties having authorized the arbitrator to give meaning to the language of the agreement, a court should not reject an award on the ground that the arbitrator misread the contract. So, too, where it is contemplated that the arbitrator will determine remedies for contract violations that he finds, courts have no authority to disagree with his honest judgment in that respect." UnitedPaperworkers,
{¶ 10} In light of the deference owed to an arbitrator's decision, a court is "limited to determining whether an arbitration award is unlawful, arbitrary, or capricious and whether the award draws its essence from the CBA. An award draws its essence from the CBA when there is a rational nexus between the CBA and the award." Southwest Ohio Reg. Transit Auth. v.Amalgamated Transit Union, Local 627,
{¶ 11} In the present case, we conclude that the arbitrator's award draws its essence from the CBA and is not subject to vacation under R.C. §
{¶ 12} At the outset of his written decision, the arbitrator properly identified the questions before him as follows: "Did the Employer violate the Contract and act without just cause in the termination of the Grievant? If so, what is the appropriate relief[?]" In resolving these issues, the arbitrator divided his analysis into three issues: (1) whether Milem had "prior notice that his action could result in discipline including immediate termination"; (2) whether there "was a thorough and complete investigation conducted prior to implementing disciplinary action"; and (3) whether Milem's "punishment was befitting the rule infraction[.]"
{¶ 13} With regard to the first issue, the arbitrator noted that various parts of the CBA, civil service rules, and workplace rules identified a range of potential penalties for different forms of misconduct. The arbitrator found, however, that none of these authorities made reference to the use of progressive discipline or summary discharge. The arbitrator also found no evidence that the City had informed Milem or the Union that it was considering summary discharge as punishment for his actions. As for the second issue, the arbitrator found that the City had performed an extensive investigation of Milem's misconduct. Based upon the investigation, the arbitrator concluded that Milem had committed one inappropriate act and was subject to discipline. With regard to the third issue, the arbitrator noted Milem's lack of prior discipline. The arbitrator also determined that "similar" misconduct such as threats, intimidation, and harassment by other employees had not resulted in termination. The arbitrator then reasoned as follows:
{¶ 14} "The Grievant's act in entering the anonymous message was admitted by all parties [to be] improper and in bad taste. The choice of words allowed the reader to extract different meaning[s]. The record clearly indicates the Grievant's message was not the only such message entered on the system. The Employer offers no evidence or testimony of any attempt to recall and determine who entered such `inappropriate' messages.
{¶ 15} "There is a past pattern of discipline related to threat, harassment, and intimidation. None resulted in a disciplinary penalty of discharge, let alone summary discharge.
{¶ 16} "The Grievant used poor judgment in entering this message. Such action is subject to discipline, but such penalty should be less than discharge."
{¶ 17} The arbitrator then held that the appropriate punishment for Milem's misconduct was a thirty-day suspension.
{¶ 18} In vacating the arbitrator's award, the trial court reasoned that the civil service rules and workplace rules, which the CBA incorporated by reference, authorized the City to discharge a worker for conduct unbecoming an employee, the unauthorized use of public equipment, the violation of any law, and engaging in threatening or abusive behavior. We do not dispute this proposition. The civil service rules and workplace rules did identify dismissal as one potential form of punishment for such offenses, along with other less severe sanctions such as demotion or suspension. Moreover, the CBA gave the City authority to "[s]uspend, discipline, demote or discharge for just cause[.]"
{¶ 19} It does not follow, however, that management effectively "reserved the right" to discharge Milem under the facts of this case, as the City argues on appeal. The fact that the civil service rules and workplace rules identify a range of potential penalties, including discharge, that may be imposed for misconduct of the type at issue here does not mean that the arbitrator was precluded from second-guessing the City's punishment of choice. To the contrary, any sanction for the violation of a rule adopted by management remains subject to the just-cause standard set forth in the CBA. Stated differently, management's right to make and enforce workplace rules and regulations does not carry with it an unreviewable right to determine that a violation of those rules warrants discharge for just cause. See, e.g., Southwest Ohio Regional Transit Auth.,
{¶ 20} The essence of the arbitrator's ruling is that Milem's misconduct did not warrant discharge in light of his clean disciplinary record and the City's failure to impose such severe punishment for what the arbitrator found to be similar acts of misconduct. Regardless of whether we agree with this assessment, we are not at liberty to overturn it. As we explained above, a court has no authority to reject an arbitrator's findings even if it disagrees with his reading of the CBA and his legal and factual conclusions. See, e.g., United Paperworkers,
{¶ 21} We also disagree with the trial court's finding that the arbitrator exceeded his authority by imposing a non-existent due process requirement on the City and ordering Milem reinstated due to a perceived violation of that requirement. This issue stems from the arbitrator's observation that "[n]o documentation indicates the Grievant or the Union was advised that the Employer was considering summary discharge as an appropriate discipline for the Grievant's rule infraction on May 9, 2003." The trial court found that any inadequacy of due process was not an issue submitted to the arbitrator. A review of the arbitrator's ruling, however, persuades us that he addressed the question of notice as part of his just-cause analysis — an issue that was properly before him. See, e.g., United Paperworkers,
{¶ 22} We reach the same conclusion about the arbitrator's comparison of Milem's punishment to the sanctions imposed in what the arbitrator perceived as similar cases. In its decision, the trial court concluded that Milem's discharge did not constitute disparate treatment because the instances of misconduct by other employees were plainly distinguishable. In our view, however, the similarity or dissimilarity of Milem's actions to those of other employees who were punished less severely was a largely factual matter for the arbitrator to decide. It is undisputed that the City's personnel policies call for "consistent" discipline, which "means that the penalties are similar under similar circumstances." The City's own personnel policies also recognize that the determination of what is "similar" requires judgment on the part of management. We find this to be equally true with regard to the arbitrator's assessment of Milem's misconduct vis-a-vis the infractions of other employees. Thus, even if we accept the trial court's opinion that Milem's conduct was distinguishable, we nevertheless reject its conclusion that the arbitrator exceeded or so imperfectly executed his authority such that vacation of his award is warranted under R.C. §
{¶ 23} We also disagree with the trial court's finding that Milem's reinstatement violates public policy embodied in R.C. §
{¶ 24} The statute cited by the trial court, R.C. §
{¶ 25} "(A) No person shall threaten to commit or threaten to cause to be committed a specified offense when * * *:
{¶ 26} "(1) The person makes the threat with purpose to do any of the following:
{¶ 27} "(a) Intimidate or coerce a civilian population;
{¶ 28} "(b) Influence the policy of any government by intimidation or coercion;
{¶ 29} "(c) Affect the conduct of any government by the threat or by the specified offense.3 * * *".
{¶ 30} For present purposes, we do not dispute that this statute embodies a public policy against terroristic threats. It is far from clear, however, whether Milem's conduct — which the arbitrator characterized as merely being in "bad taste" and showing "poor judgment" — qualifies as a terroristic threat under the statute. Even assuming, arguendo, that it does, we stress again that the issue is not whether Milem's conduct violates the public policy found in the statute but whether thearbitration award ordering his reinstatement with a thirty-day suspension violates the public policy reflected in R.C. § 2902.23. Southwest Ohio Regional Transit Auth.,
{¶ 31} Although making terroristic threats may violate explicit and well defined public policy found in R.C. §
{¶ 32} Finally, we conclude that the arbitrator acted within the scope of his power and discretion when he found a thirty-day suspension to be the appropriate punishment. It is well settled that "[a]n arbitrator has broad authority to fashion a remedy" when a CBA violation has occurred. Queen City Lodge No. 69 v.City of Cincinnati (1992),
Fain, J., and Grady, J., concur.
Reference
- Full Case Name
- City of Dayton v. Afscme, Ohio Council 8
- Cited By
- 6 cases
- Status
- Unpublished