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DeCresci v. Lukens Steel Co., 87-ERA-13 (Sec'y Dec. 16, 1993)


                        U.S. DEPARTMENT OF LABOR
                           SECRETARY OF LABOR
                            WASHINGTON, D.C.



DATE: December 16, 1993
CASE NO. 87-ERA-13

IN THE MATTER OF

ALESSIO J. DECRESCI, JR.
          COMPLAINANT

     v.

LUKENS STEEL COMPANY,
          RESPONDENT.

BEFORE:   THE SECRETARY OF LABOR


                        FINAL DECISION AND ORDER

    When Lukens Steel lost its government contract for the
construction of sonarspheres for nuclear submarines in 1986, it
laid off Mr. DeCresci from his job as a weld inspector and Mr.
DeCresci filed a complaint under the employee protection
provision of the Energy Reorganization Act of 1974, as amended
(ERA), 42 U.S.C. § 5851 (1988), alleging he was laid off for
protected activities.  Although I do not agree with the
Administrative Law Judge (ALJ) that the type of internal
complaints made by Mr. Decresci are covered by the ERA, the
record in this case has been reviewed and I agree with the ALJ's
conclusion that Mr. DeCresci did not carry his burden of proving
that his layoff was motivated by retaliation.

     Mr. DeCresci was hired as a weld inspector in April 1986 and
received a layoff notice on November 6, 1986, effective November
8, 1986.  ALJ Recommended Decision and Order (R.  D. and 0.) at
2; Complainant's Exhibits (C)-3, 20.  In 1986, 90-95% of the work
in Lukens' welding department related to production of
sonarspheres for the Navy, T. (Transcript of hearing) 122, but
the contract for production of the next group of sonarspheres was


[PAGE 2] awarded to another company during the summer of 1986. T. 123; 125. Lukens decided to lay off two welding inspectors in November 1986, T. 128, and by the end of 1987 the entire welded products division had been dissolved. T. 131. Only one welding inspector with high seniority obtained employment in another division of Lukens. T. 132. Mr. DeCresci was next to last on the seniority roster of welding inspectors when he and the inspector with the lowest seniority were laid off. Respondent's Exhibit (R) -1. During the course of his employment, Mr. DeCresci raised a number of questions about welding procedures and rejected a number of welds on the sonarspheres as not meeting applicable standards. T. 39; 43; 50; 52-60. Lukens was licensed by the Nuclear Regulatory Commission to conduct x-ray or radiographic inspections of welds, C-29, but none of its other activities in the construction of the sonarspheres was regulated by the NRC, and Mr. DeCresci did not perform radiographic weld inspections at Lukens. T. 153. The ALJ held that because Lukens is licensed by the NRC, all of its employment actions are covered by the ERA, whether or not they allegedly were motivated by an employee's complaints about practices and procedures covered by the license. R. D. and 0. 3- 4.[1] In this case, the ALJ held Mr. Decresci's rejection of a number of welds on sonarspheres under construction were internal complaints protected by the ERA under Mackowiak v. University Nuclear Systems, Inc., 735 F.2d 1159 (9th Cir. 1984), even though neither the welds nor the sonarspheres were related in any way to activities regulated by the Energy Reorganization Act. I reject the ALJ's interpretation of the statute. The ERA provides that no covered employer may discharge or otherwise discriminate against any employee "because" the employee . . . commenced a proceeding (under the ERA) . . . testified . . . in any such proceeding or . . . assisted or participated in an manner in such a proceeding." 42 U.S.C. § 5851(a) (emphasis added). The Secretary has consistently held that internal complaints related to nuclear safety are protected by the ERA and with one exception the courts have upheld that interpretation. See Goldstein v. Ebasco Constructors., Inc., Case No. 86-ERA-36, Sec'y. Dec. Apr. 7, 1992, and cases discussed therein at 5-10, rev'd sub nom. Ebasco Constructors, Inc. v. Martin, No. 92-4576 (5th Cir. Feb. 19, 1993) (per curiam). A complainant in a whistleblower case under the ERA has the burden of proving that he engaged in protected activity and that an adverse action was taken against him motivated at least in part
[PAGE 3] by that protected activity. Dartey v. Zack Co, of Chicago, Case No. 82-ERA-2 Sec'y. Dec. Apr. 25, 1983, Slip op at 6-9. But the language of the statute and the Secretary's decisions make it clear that not every act of whistleblowing is protected under the ERA simply because the employer holds a license from the NRC. For example, an employee may complain that a government contractor such as Lukens retaliated against him for reporting that his employer has not complied with the requirements of Executive Order 11,246 which prohibits race and sex discrimination in employment, but his recourse would be to file a complaint with the Office of Federal Contract Compliance Programs under the Executive Order and its implementing regulations, 41 C.F.R. § 60-1.32 (1992), not a complaint under the ERA. A Complainant under the ERA must prove that retaliatory action was taken against him because he engaged in the conduct listed in 42 U.S.C. § 5851(a)(1) , (2) or (3), which the Secretary has interpreted broadly to mean any action or activity related to nuclear safety. A similar question arose in Aurich v Consolidated Edison Co of N.Y., Inc., Case No. 86-CAA-2, Sec'y. Dec. Apr. 23, 1987, in which the Complainant alleged he had been fired for complaining about the manner in which Con Ed handled asbestos in the workplace. The Secretary held that a complaint that an employer handled asbestos in a manner which violated Environmental Protection Agency regulations on release of asbestos into the surrounding air would be covered by the whistleblower provisions of the Clean Air Act (CAA), 42 U.S.C. § 7622(a). But if the safety complaints were limited to airborne asbestos as an occupational hazard, they would not be covered by the CAA employee protection provision. Aurich v. Consolidated Edison, slip op at 3-4. An analogous question arose under the federal employee Whistleblower Protection Act of 1989 (WPA), Pub. L. No. 101-12, 103 Stat. 16 (codified at scattered sections of Title 5, United States Code) in Ellison v. Merit Systems Protection Board, No. 92-3057, 1993 U.S. App. LEXIS 27786 (Fed. Cir. Oct. 26, 1993). An employee may not seek corrective action directly from the Merit Systems Protection Board, the court held, under the individual right of action established by 5 U.S.C. § 1221 (Supp IV 1992) by alleging nonselection for a job motivated by his having filed a grievance over his previous nonselection unless his earlier grievance disclosed "the type of fraud, waste or abuse that the WPA was intended to reach." Id., at *12.
[PAGE 4] Whistleblowers are protected under the ERA to further the Congressional purpose of the Act of protecting the public from the hazards of nuclear power and radioactive materials. By protecting whistleblowers "safety and quality problem in [the nuclear industry] will continue to the brought to light and resolved before accidents or injury occur." Hill and Ottney v. Tennessee Valley Authority, Case Nos. 87-ERA-23, 24, Sec'y. Dec. May 24, 1989, slip op. at 9-10. Mr. DeCresci's complaints here rejecting welds on and reporting failure to follow proper procedures in the construction of sonarspheres, were not related to nuclear or radiation safety, were not covered by the ERA. Even if Mr. DeCresci's complaints were covered by the ERA[2] , the record fully supports the ALJ's conclusion that Lukens laid off Mr. Decresci for economic reasons when it lost the Navy contract for construction of sonarspheres and Mr. DeCresci did not carry his burden of proving that his lay off was motivated in any way by his internal reports on the quality of construction of the sonarspheres. Accordingly, the complaint in this case is DISMISSED. SO ORDERED ROBERT B. REICH Secretary of Labor Washington, D.C. [ENDNOTES] [1] The ALJ appears to have confused the concepts of adverse action and discrimination. He held that "the act of discharge is discriminatory." R. D. and 0. at 4. Discharge alone is an adverse employment action, but without proof of retaliatory motive it is not an act of discrimination prohibited by the ERA. [2] When he was first hired, Mr. DeCresci complained that he was given another employee's radiation dosage badge. It was not clear from his complaint to the Department of Labor, however, that he claimed this incident was a motivating factor in his layoff. See ALJ Exhibit 1.



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