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Ass't Sec'y & Kerrick v. JLC Industries, Inc., 94-STA-33 (ALJ Oct. 13, 1994)



DATE:  OCTOBER 13, 1994  

CASE NO.:  94-STA-33

In the Matter of


DEE KERRICK,
           Complainant

      v.

JLC INDUSTRIES, INC.,
           Respondent    
 
   
Appearances:

Dee Kerrick, pro se

Steven D. Riskin, Esq.
         For the Prosecuting Party

H. Todd Bullard, Esq.
         For the Respondent
     
Before:  THOMAS M. BURKE
         Administrative Law Judge  

 RECOMMENDED DECISION AND ORDER

     Dee Kerrick ("Complainant") filed a complaint with the
Department of Labor on October 6, 1992, alleging that JLC
Industries, Inc. ("Respondent") took disciplinary action against
him in violation of section 405 of the Surface Transportation
Assistance Act of 1982, 49 U.S.C. § 2305 ("STAA").  The Acting
Regional Administrator of the Occupational Safety and Health
Administration in New York, New York, issued her determination on
March 23, 1994 for the Secretary of Labor, that complainant's
complaint had merit and Respondent's action violated section 405 of
the STAA.
     Respondent filed a written objection to the Acting Regional 

[PAGE 2] Administrator's determination on April 14, 1994 and requested a hearing. The Assistant Secretary of Labor for Occupational Safety and Health becomes the prosecuting party in this matter by operation of 29 C.F.R. §1978.107(a). The hearing was held on July 13, 1994 in Rochester, New York. Administrative Law Judge's exhibit No. 1 was admitted into evidence; Prosecuting Party's exhibits No. 1 through 5 were admitted into evidence; Respondent's exhibits No. 1 through 3 were admitted into evidence. Upon the conclusion of the hearing, the parties requested and were granted the opportunity to submit post- hearing briefs. The Respondent's brief was received on September 14, 1994. The Prosecuting Party's brief was received on September 15, 1994. FINDINGS OF FACT Complainant, Dee Kerrick, is a forty-four year old tractor trailer driver who was employed by Respondent, JLC Industries. Complainant has a Class A special license to drive a truck and has been a truck driver for over twenty years. Complainant was a full- time employee for Respondent from March 1992 to October 1992. Respondent is in the business of delivering cargo through out the United States. It operates a terminal at 545 Colfax Street, Rochester, New York. Respondent rents and leases many different types of vehicles from DeCarolis Rent-a-Truck ("DeCarolis"). During the last week of September 1992, Complainant was driving tractor 2180 which Respondent had rented from DeCarolis. Tractor 2180 is capable of hauling an 80,000 gross pound trailer. Complainant drove this tractor from Rochester, New York to Elk Grove, Illinois then to Monroe, Ohio. Complainant then returned to Rochester, New York on Sunday October 4, 1992 around 2:00 p.m. The Complainant testified that during his return trip, exhaust fumes began leaking into his cab. The Complainant explained that he could not sleep in the bunk of the cab with the motor running because the fumes came into the sleeper. Complainant had to drive back to Rochester with the windows open due to the fumes. Upon his return to Rochester, the Complainant filled out a driver's vehicle inspection report stating that his truck had an exhaust leak. Complainant left one copy of the vehicle inspection report inside the truck and placed two copies, along with other paper work, in a mailbox located on Respondent's premises.
[PAGE 3] Complainant explained that the mailbox is used when his supervisor is not at Respondent's premises to collect his paper work. Because the Complainant returned on Sunday afternoon, no one was present at Respondent's place of business to receive the report. Complainant testified that he called his supervisor, Joe DeBrock, on Monday morning, October 5, 1992. Complainant informed DeBrock that the truck had an exhaust leak. Complainant testified that DeBrock responded that the exhaust leak would be fixed. DeBrock also told the Complainant that his next trip would be that evening, October 5, 1992. Complainant was scheduled to make a delivery to Canton, Michigan using the same truck that had the exhaust leak. When Complainant arrived at work on that evening, he started his truck, and he noticed that exhaust fumes still leaked into his cab. Complainant turned off the truck, and because his supervisor was not working since it was late in the evening, he drove his own vehicle to DeCarolis to see if DeCarolis had worked on the truck. Complainant was informed that no work order was ever received on Tractor 2180. Complainant therefore filled out a second vehicle inspection report indicating that the truck had an exhaust problem. Complainant then returned home. The Complainant testified that on October 6, 1992, DeBrock called the Complainant at 7:00 a.m. and asked Complainant why he had not taken his delivery out. Complainant asked DeBrock why he had not fixed his truck; DeBrock failed to answer this question and hung-up the phone. About one half hour later, DeBrock called the Complainant and fired him for not making the delivery. Since being fired by Respondent, Complainant has worked as a truck driver hauling black top for an employer he could identify only as "Collins" and hauling containers for Bill Dewick. He worked for Collins from April 1993 to November 1993 before being laid off because the work was seasonal. He worked for Dewick for three weeks. He quit because he was not getting paid. Complainant has been unemployed since working for Bill Dewick. Complainant seeks the following remedies: reinstatement to his former position at the wage rate and with the benefits to which he would be entitled if he had not been discharged, recovery of back wages with interest adjusted by interim earnings, reinstatement of seniority, and expunging Complainant's employment records of information related to the Complainant's discharge by Respondent. Timothy Smith's Testimony
[PAGE 4] Timothy Smith testified on behalf of the Respondent. Smith is employed by DeCarolis as a service manager. Smith testified that DeCarolis' place of business is located in Rochester, New York, one block from Respondent's place of business. Smith testified that Respondent and DeCarolis are currently in their second five-year agreement whereby DeCarolis rents and leases many different types of vehicles to Respondent. Smith informed that DeCarolis operates a facility in Ohio and operates six other facilities in western New York. He testified that there are about 4,000 service vendors throughout the United States that service their vehicles. Smith explained that if a driver experiences an emergency, the driver can call an 800 number for instructions of where to go to have the problems fixed. This service is available seven days a week, twenty-four hours a day. Every vehicle rented by DeCarolis has a local telephone number for Rochester, New York and a 1-800 number located on the dash board in case of an accident or break-down. Smith explained that if one of their customers brings a rented or leased vehicle into DeCarolis' repair facilities, a determination is made whether the repair can be made in a reasonable amount of time. If the vehicle requires extensive repairs, the customer is offered a replacement vehicle. Smith testified that Complainant did not request a replacement vehicle on October 5, 1992. Smith testified that after a driver returns from a delivery, he is required to submits a driver's report. Repairs are made according to the submitted driver's report. Smith explained that normally Respondent's drivers bring the leased vehicles directly back to DeCarolis after completing a delivery. Smith informed that DeCarolis' shop is closed from 4:00 p.m. Saturday until 6:00 a.m. Monday morning. Smith testified that DeBrock brought tractor 2180 in for repairs on October 6, 1992 at 8:30 a.m.. Brian K. Campbell's Testimony Brian K. Campbell was employed by Respondent as a business manager from May 28, 1990 until June, 1993. Campbell testified that the chain-of-command for Respondent's company went from DeBrock to himself then to Jack Cannon, president of Respondent. Both Cambell and DeBrock had direct contact with the drivers.
[PAGE 5] Campbell testified that Respondent is an "on-time" trucking company which means that the Respondent provides next day delivery service. Respondent requires all drivers to fill out a safety and maintenance report prior to their departure. Respondent maintained an 800 number which was open twenty-four hours a day for a driver to call if he experienced mechanical problems. Campbell also testified that drivers could call him or DeBrock collect at any time if the driver experiences any problems. Campbell testified that Xerox was one of Respondent's biggest clients and that the October 5, 1992 load was a crucial one that had to be delivered. Campbell explained that if there is any mechanical problems with a vehicle, the driver normally calls the dispatcher which allows the dispatcher to notify Xerox that there will be a delay in delivery of its load and, if necessary, to attempt to find a replacement vehicle. Campbell testified that he did not receive any calls from Complainant requesting a replacement vehicle. The contract with Decarolis permitted Respondent to request a replacement vehicle if one of the rented DeCarolis' vehicles broke down. Campbell concluded that a driver's "dropping a load" or failure to deliver a load on time would be a cause for termination of his employment. Jack Cannon's Testimony Jack Cannon is the president of Respondent and Cannon Industry. He has been the president of Respondent for about seven years and the president of Cannon Industry for about fifteen years. Respondent and Cannon Industry share office space; Cannon Industry is the manufacturing division and Respondent is the transportation division. Cannon testified that in September and October 1992, Respondent owned about eight trucks. He explained that Respondent owned 60 percent of the vehicles it used, leased 40 percent of the vehicles it used, and rented 5 percent. Cannon explained that renting vehicles involves a short-term contract while leasing vehicles involves a long-term contract. Cannon testified that drivers are required to fill out a vehicle inspection report on a daily basis. If the driver experiences any safety or repair problem with the vehicle while driving a truck, the driver is instructed to call the office or the 800 number. If the driver can not reach anyone at the office, they are instructed to contact their supervisors through the chain-of- command which went from DeBrock to Campbell then to Cannon.
[PAGE 6] Cannon testified that DeCarolis had addition requirements with respect to its vehicles. DeCarolis requires the driver to fill out a pre-inspection report on the vehicle before it leaves the DeCarolis premises and the driver fills out an additional report when he returns the vehicle to DeCarolis. Cannon explained that DeCarolis vehicles are kept at DeCarolis' premises. If a driver experienced problems while driving a DeCarolis truck, the driver is instructed to call the dispatcher for Respondent. The driver is also instructed to call DeCarolis who has a mechanic on duty twenty-four hours a day. DeCarolis' mechanic would inform the driver of where to get the vehicle repaired. Cannon testified that if a driver has to deliver a load and his truck has mechanical problems, the driver is expected to notify dispatch. Cannon explained that this is required so that the customer is informed about any delays in shipping. If a vehicle needs repair, the driver is also instructed to call dispatch for instructions on getting the vehicle repaired or getting a replacement vehicle. Cannon explained that a DeCarolis truck is to be returned to DeCarolis at the completion of a trip. If the vehicle needs a repair, the driver is to explain the problem on the driver's inspection report which is left inside the truck. DeCarolis' mechanics will than check and repair the vehicle. Cannon testified that on October 6, 1992, he arrived at work about 6:00 a.m. Cannon observed a trailer in the yard which was to have been delivered. He informed DeBrock and DeBrock answered that he would investigate why the trailer was not delivered. Cannon received a call from a manager at Xerox inquiring about its load. DeBrock then informed Cannon that the truck left in the yard had Xerox's cargo. Cannon testified that Respondent is an "on-time" company. He explained that Respondent maintains a 97 to 98 percent on-time performance with its customers. Cannon explained that the proper conduct of a driver if he experiences a mechanical problem is to notify the Respondent's dispatch and take the vehicle to DeCarolis which is only one block away. Cannon testified that grounds for termination include leaving a load without calling dispatch. He emphasized that the refusal to drive a truck that is mechanically defective is not grounds for
[PAGE 7] termination. Cannon testified that he was not involved in the decision to terminate Complainant. DISCUSSION Section 405 of the STAA was enacted in 1983. This legislation is intended to promote safety of the highways by protecting employees from disciplinary action because of an employee's engagement in protected activity. Section 405(b) provides as follows: No person shall discharge, discipline, or in any manner discriminate against an employee with respect to the employee's compensation, terms, conditions, or privileges of employment for refusing to operate a vehicle when such operation constitutes a violation of any Federal rules, regulations, standards, or orders applicable to commercial motor vehicle safety or health, or because of the employee's reasonable apprehension of serious injury to himself or the public due to the unsafe condition of such equipment. The unsafe conditions causing the employee's apprehension of injury must be of such nature that a reasonable person, under the circumstances then confronting the employee, would conclude that there is a bona fide danger of an accident, injury, or serious impairment of health, resulting from the unsafe condition. In order to qualify for protection under this subsection, the employee must have sought from his employer, and have been unable to obtain, correction of the unsafe condition. 49 U.S.C. § 2305(b)(1983). In a case brought under section 405, the initial burden is on the Complainant to establish a prima facie case of retaliatory discharge. To do so, Complainant must establish: (1) that he was engaged in protected activity under the STAA; (2) he was the subject of adverse employment action and the employer was aware of the protected conduct when it took the adverse action; and (3) there was a casual link between his protected activity and the adverse action of his employer. Once Complainant establishes a prima facie case, raising the inference that the protected activity was the likely reason for the adverse action, the burden shifts to Respondent to demonstrate a legitimate non-discriminatory reason for its action. Even if Respondent demonstrates such a reason, Complainant may prevail by showing that the stated reason was pretextual. Moon v. Transport Drivers, Inc., 836 F.2d 226, 229 (6th Cir. 1987). If, however, the trier-of-fact decides that there were "dual motives" for the adverse action, that is, that the employer's action was motivated by both an illegal motive and a legitimate
[PAGE 8] management reason, the employer may prevail only by showing by a preponderance of the evidence that it would have taken the same action even if the employee had not engaged in the protected activity. Palmer v. Western Truck Manpower, 85-STA-6, Decision of the Secretary (January 11, 1987). Protected Activity The employee protection provision of the STAA provides that a refusal to operate a motor vehicle constitutes protected action "when such operation constitutes a violation of any Federal rules, regulations, standards or orders applicable to commercial motor vehicle safety" [when clause] or "because of the employee's reasonable apprehension of serious injury to himself or the public due to the unsafe condition of such equipment" [because clause]. 49 U.S.C. § 2305(b); see Boone v. TFE, Inc., 90-STA-7, Decision of the Secretary (July 17, 1991). a. When Clause To invoke protection under the "when clause" of section 2305(b), a complainant must prove that his assessment of the condition is correct. See Robinson v. Duff Truck Line, Inc., 86-STA-3, Decision of the Secretary (March 6 1987), aff'd Duff Truck Line, Inc. v. Rock, No. 87-3324 (6th Cir. 1988). In the instant case, the Complainant testified that on October 4, 1992 while on his return trip to Rochester, New York, exhaust fumes were coming into his cab.[1] He testified that he had to drive the truck with the windows down, and he was unable to sleep in the cab the previous evening with the motor running because of the exhaust fumes.[2] The Complainant filled out vehicle inspection reports describing the exhaust problem and left them with his truck and in Respondent's mail box on October 4, 1992.[3] He again filled out a vehicle inspection report on October 5, 1992 and submitted it to DeCarolis. The Complainant also called his supervisor Joe DeBrock on October 5, 1992 and informed him that the truck had an exhaust leak; DeBrock told the Complainant that the problem would be fixed.[4] In fact, the record shows that Respondent submitted a repair order to DeCarolis on October 6, 1992 to repair an exhaust leak and replace the muffler on the truck.[5] The operation of tractor 2180 by the Complainant on the evening of October 5, 1992 would therefore have violated 49 C.F.R. § 383.83 which provides in pertinent part: (e) the exhaust system of every truck and truck tractor shall discharge to the atmosphere at a location to the
[PAGE 9] rear of the cab or, if the exhaust projects above the cab, at a location near the rear of the cab. . . . (g) no part of the exhaust system shall leak or discharge at a point forward of or directly below the driver/sleeper compartment. The exhaust outlet may discharge above the cab/sleeper roofline. Complainant's testimony that tractor 2180 had an exhaust leak and violated the Department of Transportation regulations is corroborated by the repair order form which shows that the vehicle had an exhaust leak repaired and its muffler replaced on October 6, 1992. Accordingly, the Complainant has shown that his refusal to drive tractor 2180 constituted protective activity under the "when clause" of STAA. b. Because Clause Respondent's actions also violated the "because clause" of STAA. The purpose of this clause is the protection from employer discipline to employees who refuse to operate equipment they reasonably believe to be unsafe. Section 2305(b) provides the standard for the application of the "because clause" as follows: The unsafe conditions causing the employee's apprehension of injury must be of such nature that a reasonable person, under the circumstances then confronting the employee, would conclude that there is a bona fide danger of an accident, injury, or serious impairment of health, resulting from the unsafe condition. In order to qualify for protection under this subsection, the employee must have sought from his employer, and have been unable to obtain, correction of the unsafe condition. The Complainant drove his truck for an entire day with exhaust fumes escaping into his cab. He notified Respondent on October 4, 1992 and October 5, 1992 both in writing and orally of the problem. When he arrived at work on October 5, 1992, the exhaust leak on truck 2180 still had not been fixed. Clearly, exhaust escaping into a cab would cause a reasonable employee apprehension of danger to himself as well as to the public if the exhaust fumes caused him to lose control of the truck. Therefore, Complainant has established that his refusal to operate this truck also constituted protected activity under the "because clause" of STAA. Adverse Action
[PAGE 10] The Complainant testified that he refused to drive tractor 2180 on October 5, 1992 because the exhaust problem was not fixed by Respondent. Instead, Complainant drove his own vehicle to DeCarolis and inquired into why the truck was not repaired. Complainant was told that no work order for tractor 2180 was ever received by DeCarolis.[6] Complainant therefore filled out a second vehicle inspection report and went home.[7] The Complainant testified that on October 6, 1992 his supervisor, DeBrock, called the Complainant and asked him why he did not take out his load.[8] Complainant inquired into why the truck was not fixed; DeBrock did not answer Complainant's question and hung-up the phone.[9] About one-half hour later, DeBrock terminated Complainant for not taking his load out.[10] Respondent's actions constituted adverse action against Complainant. Further, the Respondent was aware of the protected activity when it took the adverse action. Complainant testified that he filled out two vehicle inspection reports and telephoned DeBrock informing him that the vehicle had an exhaust leak. In fact, Cannon, President of Respondent, testified that DeBrock had told him that the Complainant "refused to drive the truck . . . ."[11] Therefore, Complainant has established the second element of his prima facie case. Casual Link Between Adverse Action and Protected Activity In establishing a prima facie case a complainant need only raise the inference that his engaging in protected activity caused the adverse action. Stiles v. J.B. Hunt Transportation, Inc., 92-STA-34, Decision of the Secretary (September 24, 1993). The proximity in time between protected conduct and adverse action alone may be sufficient to establish the element of causation for purposes of a prima facie case. Deeneway v. Matlack, Inc., 88-STA-20, Decision of the Secretary (June 15, 1989). Complainant has presented sufficient evidence that raises the inference that the protected activity was the likely reason for the adverse action. The record shows that the Complainant was terminated from his employment within 24 hours of engaging in protected activity. Furthermore, the content of the two telephone conversations between the Complainant and DeBrock on October 6, 1992 establishes a causal link between the protected activity and the adverse employment action. Complainant testified that he asked DeBrock why his vehicle was not fixed; DeBrock failed to answer and hung-up the phone. DeBrock called Complainant one half hour later
[PAGE 11] and terminated Complainant's employment. Complainant's testimony concerning the telephone conversation is uncontradicted. Complainant has therefore established a prima facie case under STAA. Respondent's Defense If the complainant establishes a prima facie case, the burden shifts to the Respondent to rebut the presumption of disparate treatment by producing evidence that suggests the employer's action was motivated by legal nondiscriminatory reasons. However, the Respondent need only produce this evidence, the ultimate burden of persuasion is on the Complainant to show the action against him or her was discriminatory. McGavock v. Elbar, Inc., 86-STA-5, Decision of the Secretary (July 9, 1986). The Respondent argues that there were "several legitimate business reasons" for Complainant's termination. Respondent asserts that the major reason for Complainant's termination was the failure to deliver a load to Xerox which is one of Respondent's largest customers. Cannon, President of Respondent, testified that "leaving a load" is cause for termination. However, the consequence of Complainant's decision to refuse to drive Respondent's truck was the non-delivery of Xerox's load. Respondent's argument that Complainant was fired for failure to deliver a load is therefore not a distinct legal nondiscriminatory reason for Complainant's termination. Respondent also argues that Complainant failed to follow company procedure when he decided not to drive this vehicle. Respondent argues that Complainant failed to notify dispatch that the vehicle had mechanical failure which would allow dispatch to notify the customer that its cargo would not be delivered on time. Complainant filled out a motor vehicle inspection report on October 4, 1992 when he returned to Rochester, New York stating that the vehicle had an exhaust leak.[12] The Complainant left one copy of the report in the truck and another in a mailbox provided by Respondent.[13] On October 5, 1992, Complainant called DeBrock, who is the dispatcher for Respondent, and told him that the vehicle had an exhaust problem.[14] DeBrock told the Complainant that the vehicle would be repaired.[15] When the Complainant arrived at work on the evening of October 5, 1992, he discovered that the truck was not repaired. Complainant therefore filled out a second vehicle inspection report and submitted it to DeCarolis.[16] Complainant notified the Respondent in writing and orally that the vehicle needed to be repaired. The Respondent had an entire day to either have the vehicle repaired or get a replacement vehicle. The record
[PAGE 12] shows that Complainant adequately followed the Respondent's required procedures. Respondent also argues that Complainant could have taken the vehicle directly to DeCarolis where he would have received a replacement vehicle. However, the Complainant could not have done this when he returned from his delivery on Sunday October 4, 1992 because DeCarolis is closed from 4:00 p.m. Saturday until 6:00 a.m. Monday.[17] Furthermore, Campbell, a former business manager for Respondent, testified that if a DeCarolis vehicle experiences mechanical failure and a replacement vehicle is required, the driver could not on their own receive a replacement vehicle; the driver had "to give us [Cannon, DeBrock, or Campbell] the call so we could put everything in place."[18] Campbell emphasized that the driver "had to give us the opportunity."[19] The Complainant gave DeBrock the opportunity to get a replacement vehicle by filling out a vehicle inspection report on October 4, 1992 and by telephoning DeBrock on October 5, 1992. DeBrock, however, failed to obtain a replacement vehicle. The Respondent has failed to produce any evidence that shows its termination of Complainant was motivated by legal nondiscriminatory reasons. Even the president of Respondent testified that Complainant was terminated because he refused to drive the truck. Respondent's "legitimate business reasons" for Complainant's termination are not supported by the record. The record shows that Respondent terminated Complainant because he refused to drive a vehicle that leaked fumes from the exhaust system to the driver's cab. This dismissal was a violation of section 405 of STAA. CONCLUSIONS OF LAW 1. The Surface Transportation Assistance Act governs the parties and the subject matter. 2. Complainant has demonstrated that he was engaged in protected activity when he refused to drive tractor 2180 on October 5, 1992 because exhaust fumes were escaping into his cab, as the evidence shows operation of this vehicle would have violated 49 C.F.R. § 383.83 and the evidence shows Complainant had a reasonable apprehension of harm to himself and the public. 3. Complainant has demonstrated that his employment with Respondent was terminated as a result of his protected activity. 4. Respondent has not demonstrated a legitimate non- discriminatory reason for its termination of Complainant.
[PAGE 13] RECOMMENDED ORDER Based on the foregoing, the following order is recommended: 1. Respondent, JLC Industries, shall: a. Reinstate Complainant, Dee Kerrick, to his employment, effective immediately; b. Pay directly to Complainant back wages plus interest, adjusted by interim earnings; and c. Reinstate Complainant his seniority and expunge Complainant's employment records of information related to his October, 6, 1992 termination of employment. THOMAS M. BURKE Administrative Law Judge NOTICE: The Recommended Decision Order and the administrative file in this matter will be forwarded for review by the Secretary of Labor to the Office of Administrative Appeals, U.S. Department of Labor, Room S-4309, Frances Perkins Building, 200 Constitution Ave., NW, Washington, DC 20210. The Office of Administrative Appeals has the responsibility to advise and assist the Secretary in the preparation and issuance of final decisions in employee protection cases adjudicated under the regulations at 29 C.F.R. Parts 24 and 1978. See 55 Fed. Reg. 13250 (1990). [ENDNOTES] [1] N.T. p.9. [2] N.T. p.9. [3] N.T. pp. 10, 15. [4] N.T. p. 13. [5] Government's exhibit no. 2. [6] N.T. p. 14. [7] N.T. p. 15. [8] N.T. p. 16. [9] N.T. p. 16. [10] N.T. p. 16. [11] N.T. p. 153. [12] N.T. pp. 10-12. [13] N.T. p. 10. [14] N.T. p. 13. [15] N.T. p. 13. [16] N.T. pp. 15-16. [17] N.T. p. 103. [18] N.T. p. 126. [19] N.T. p. 126.



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