Office of Administrative Law Judges Seven Parkway Center - Room
290 Pittsburgh, PA 15220
(412) 644-5754 (412) 644-5005 (FAX)
DATE ISSUED: October 12, 2000
CASE NO. 1999-STA-5
In the Matter of:
DANNY JOHNSON,
Complainant
v.
ROADWAY EXPRESS, INC.,
Respondent
APPEARANCES:
Paul O. Taylor, Esq.
For the Complainant
Sally J. Scott, Esq.
For the Respondent
BEFORE: RICHARD A. MORGAN
Administrative Law Judge
RECOMMENDED DECISION AND ORDER ON
REMAND
I. PROCEDURAL HISTORY
On July 21, 1999, I issued a Recommended Decision and Order in this case
which had been brought under the "whistleblower" employee protection provisions
of Section 405 of the Surface Transportation Assistance Act of 1982 ("STAA" or
"the Act"), 49 U.S. C. § 31105 (formerly 49 U.S.C. app. § 2305), and
the applicable regulations at 29 C.F.R. Part 1978. The Act protects employees who report
violations of commercial motor vehicle safety rules or who refuse to operate vehicles in violation
of those rules.
[Page 2]
On March 29, 2000, the Administrative Review Board,
("ARB" or "the Board"), remanded the matter for further consideration.
The Board affirmed my findings of liability, that Roadway violated the STAA, and affirmed my
order of reinstatement. The Board remanded the matter for consideration of the award of back
pay, stating that Roadway did not sustain its burden of proving that Johnson did not use due
diligence in pursuing suitable employment or that the Burlington truck driver position he
declined to accept was substantially equivalent to his truck driver position with Roadway. The
Board directed me to determine when and if Johnson's back pay entitlement was tolled and the
benefits, medical expenses, vacation pay and holiday pay to which Johnson is entitled.
As a preliminary matter, the mandate of the Administrative Review Board
(the "Board") must be ascertained. In its "Conclusion", the Board stated
it affirmed the award of back pay and benefits and was remanding the matter "to the ALJ to
recalculate the back pay award and Johnson's entitlement to other benefits discussed in Part III D
of this decision." (Decision and Order of Remand ("D&OR")). In section III
B, regarding back pay, the Board found that Roadway failed to prove either that comparable jobs
were available or that Johnson failed to exercise due diligence in finding substantially equivalent
and otherwise suitable employment. It also found Roadway did not prove Johnson failed to
exercise due diligence in mitigating his damages when he declined a position with Burlington
Truck Lines. (D&OR at 15). The Board further found although the burden had not shifted to
him because of the employer's failure of proof, Johnson had, in any case, demonstrated he had
exercised reasonable diligence. (D&OR at 16 n. 14).
The Board then stated, "[I]n light of our conclusion that Johnson's
refusal to take the Burlington Truck Lines job did not terminate his entitlement to back pay, it is
necessary to remand this case to the ALJ to determine if or when Johnson's back pay
entitlement was tolled." (D&OR at 17)(emphasis added). It observed reinstatement
would toll the running of the back pay entitlement. Finally, the Board wrote, "[T]he ALJ
should also determine whether the discharge by Landstar Poole affects back pay
entitlement."2 (D&OR at 17).
I find that Mr. Johnson had justifiable reasons for leaving his employment
at Arrowhead Construction, Celadon Trucking, EVI Services, DOT Leasing, Aaron's Limousine,
and Laura Stewart. I find that Mr. Johnson's reasons for leaving work because he was not being
paid, the companies had a shortage of work, and he relocated, are legitimate reasons which do
not toll the back pay award.
Rate of Pay
per month times (x) the total months liable
Pension
Contribution*
Vacation in excess
of 3 wks**
Sick Leave, Five days per contract year
Total
1995
Johnson was terminated from Roadway on 3-29-95. Therefore, Roadway is liable for 9
months of back pay in 1995.
$5,155 x 9 =
$46,395
38.97 wks for $103/wk =
$4,013.91
Used all of his vacation. (TR 327, 329).
Used all of his sick days.
(TR 327, 329)
$50,408.91
1996
$5,430 x 12 =
$65,160
$103/wk for 12.99 wks=
,337.97
$114/wk for 38.97 wks=
$4,442.58
1 wk =
,253
$18.08/hr x 40 hrs =
$723.20
$72,916.75
1997
$5,261 x 12 =
$63,132
$114/wk for 12.99wks =
,480.86
$128/wk for 38.97 wks=
4,988.16
1 wk =
,214
$18.48/hr x 40 hrs =
$739.20
$71,554.22
1998
Johnson was terminated from Landstar on 3-7-98. Therefore, Roadway is liable for 2
months of back pay in 1998.
$5,382 x 2 =
$10,764
$128/wk for 8.66 wks=
,108.48
2 wks =
$2,484
$18.75/hr x 40 hrs =
$750.00
$15,106.48
* I assume that there are 4.33 weeks in a month. The parties stipulated to the pension contributions per week. The pension
year runs from April 1 of the first year to March 31 of the next year at the listed rate.
** The parties stipulated that employees entitled to more than three weeks vacation may receive compensation for the fourth and
fifth weeks if they do not take the vacation days. Employees do not receive vacation pay in lieu of vacation for the first three
weeks of vacation. Vacation is determined by working 60% or more of the total working days of the prior anniversary year.
Vacation time is calculated based on 1/52 of the employee's earnings for the twelve month period preceding the vacation period.
Rate of Pay per month times (x)
the total months liable
Pension Contribution*
Vacation
in excess
of 3 wks**
Sick Leave, Five days per contract year
Total
1995
Johnson was terminated from Roadway on 3-29-95. Therefore, Roadway is liable for 9 months of back pay in 1995.
$5,155 x 9 =
$46,395
38.97 wks for $103/wk =
$4,013.91
Used all of his vacation. (TR 327, 329).
Used all of his sick days. (TR 327, 329)
$50,408.91
1996
$5,430 x 12 =
$65,160
$103/wk for 12.99 wks=
,337.97
$114/wk for 38.97 wks=
$4,442.58
1 wk =
,253
$18.08/hr x 40 hrs =
$723.20
$72,916.75
1997
$5,261 x 12 =
$63,132
$114/wk for 12.99wks =
,480.86
$128/wk for 38.97 wks=
$4,988.16
1 wk =
,214
$18.48/hr x 40 hrs =
$739.20
$71,554.22
1998
$5,382 x 12 =
$64,584
$128/wk for
52 wks=
$6,656.00
2 wks =
$2,484
$18.75/hr x 40 hrs =
$750.00
$74,474
1999
Johnson was reinstated at Roadway on August 2, 1999.
$5,681 x 7 =
$39,767
$128/wk for 12.99 wks=
,662.72
$140/wk for
17.32 wks=
$2,424.80
2 wks =
$2,622
$18.75/hr x 40 hrs =
$750.00
$47,226.52
* I assume that there are 4.33 weeks in a month. The parties stipulated to the pension contributions per week. The pension
year runs from April 1 of the first year to March 31 of the next year at the listed rate.
** The parties stipulated that employees entitled to more than three weeks vacation may receive compensation for the fourth and
fifth weeks if they do not take the vacation days. Employees do not receive vacation pay in lieu of vacation for the first three weeks
of vacation. Vacation is determined by working 60% or more of the total working days of the prior anniversary year. Vacation time
is calculated based on 1/52 of the employee's earnings for the twelve month period preceding the vacation period.
Therefore, if Johnson's conduct was found not to be "gross" or
"egregious" he would be awarded in $225,594 back pay and $27,007 would be paid to
the Teamsters Local 710 Pension Fund for the account of Danny K. Johnson. In addition, Johnson
and the Pension Fund would be entitled to interest.
[ENDNOTES]
1 The "mandate rule," i. e., the duty of
lower court to follow what has been decided by the higher court at an earlier stage of the litigation, is a specific application of the
doctrine commonly known as the law of the case. Fed. Rules App. Proc. Rule 41(a), City of Cleveland, Ohio v. Federal
Power Commission, 561 F.2d 344 (DC 1977). The "law of the case" doctrine applies within administrative
agencies. When the Board has ruled on a question of law, the doctrine binds an administrative law judge acting after a remand of the
case. Stephenson v. NASA, ARB Case No. 98-025 (July 18, 2000); see e.g., Ruud v. Westinghouse Hanford Co., No
1988-ERA-33, ALJ RD&O on Remand, Dec. 8, 1988, at 5.
2 While the ideal time and vehicle for clarifying
the Board's mandate may have been on a Petition for Reconsideration or by a motion for recall of its mandate, at least one scholar
has observed that the matter may be resolved upon "appeal from the judgment rendered after completion of the proceedings
from which the case was remanded." James Wm Moore, Moore's Federal Practice, Vol. 1B, Section 0.404[10] (1988).
3 In light of my opinion below that the Board's
comments concerning Johnson's efforts to rejoin the workforce are dicta, one must ask whether such dicta can fall within this
"necessary inference" rule.
4 In footnote 14, D&OR, the Board referred to
evidence of record establishing Johnson satisfied the reasonable diligence test, such as frequently contacting his union business
agent, applying with unionized Yellow Freight Systems, checking want ads, calling all over the country, taking jobs outside the
trucking industry, and looking for non-union trucking jobs. The Board observed these efforts demonstrated his "'continuing
commitment to be a member of the work force.'" However, since the Board held that Roadway had not met its burden and
since the issue of "when and if" the entitlement was tolled was not resolved, these comments concerning Johnson's
efforts are likely mere dicta.
5 The following abbreviations are used for
reference within this opinion: JX- Joint Exhibits; CX- Claimant's Exhibit; DX-Director's Exhibit; EX- Employer's Exhibit; TR-
Hearing Transcript; Dep.- Deposition.
6 According to the W-2, the official name of the
employer is Professional Drivers. (TR 39).
7 "Hooking their own freight" is to
hook the tractor and trailers together. (TR 151).
8 A satellite bid driver and a district bid run
driver are the same position. (TR 198).
9 Although I permitted Mr. Roberts to testify
about the employment records over a hearsay objection, I find the testimony of little consequence because I ultimately find that
Roadway has failed to establish that Johnson did not make sufficient efforts to mitigate his damages.
10 Johnson testified at the hearing that he left
Chieftain to go to Saturn because Saturn offered better pay and benefits. (TR 36, 42-44).
11 "Egregious" is defined as
extremely or remarkably bad; flagrant. BLACK'S LAW DICTIONARY, p. 534 (7th Edition 1999).
12 In Thurman v. Yellow Freight,
the court found that the employee did not act intentionally when he drove a truck under an overpass that was too low. Therefore, the
employer did not establish the employee committed a gross or egregious wrong.
13 I found Johnson's conduct and termination
from Landstar "gross" and "egregious" sufficient to toll his backpay liability. Assuming that Johnson's
conduct was not sufficient to toll back pay liability, under Cook v. Guardian Lubricants, Inc., 95 STA-43 (ARB May 30,
1997), a failure to mitigate damages through the retention of employment will reduce the employer's back pay liability in that the
back pay award will be reduced by no less an amount than that which the complainant would have made had he remained in the
interim employment throughout the remainder of the back pay period. If I had not found Johnson's conduct "gross" or
"egregious" he would be entitled to back pay until he was reinstated at Roadway less the amount he would have earned
had he remained employed at Landstar. Johnson asserts that he earned $679 per week and the employer argues Johnson earned $713
per week at Landstar. I find that Johnson worked six weeks at Landstar, from January 23, 1998 through March 7, 1998 and earned
$4,278. Therefore, his wages would be reduced by $713 per week had I not found Johnson's conduct "gross" or
"egregious." Appendix A sets forth the calculations assuming Johnson's back pay award was not tolled upon
his termination from Landstar
14 The interim wages are the wages Johnson
earned between the time he was terminated from Roadway on March 29, 1995 and when he terminated from Landstar on March 7,
1998.
15 Claimant agreed that $11,930.40 should
be deducted from any damage award. (TR 331).
16 In Complainant's Brief After Hearing On
Remand, complainant agrees that any amount in pension contributions should be paid to the Teamsters Local 710 pension fund for
the account of Danny K. Johnson.
17 Prejudgment interest on a back pay award
under the STAA should be calculated in accordance with 26 U.S.C. § 6621. Park v. McLean Transportation Services,
Inc., 91-STA-47 (Sec'y June 15, 1992).
18 Johnson was terminated from Landstar on
March 7, 1998 and rehired at Roadway on August 2, 1999. Therefore, one year and five months passed, (73 weeks), between the
time Johnson was terminated from Landstar and rehired at Roadway.
19 Claimant agreed that $11,930.40 should
be deducted from any damage award. (TR 331).