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Stone v. Nu-Car Carriers, Inc., 86-STA-16 (ALJ Dec. 29, 1988)


U.S. Department of Labor
Office of Administrative Judges
1111 20th Street, N.W.
Washington, D.C. 20036

Date: DEC 29 1988

Case No.: 86-STA-16

In the Matter of:

KEITH STONE
    Complainant

    v.

NU-CAR CARRIERS, INC.
    Respondent

BEFORE: ANASTASIA T. DUNAU
    Administrative Law Judge

AMENDED DECISION AND ORDER ON REMAND1

    I issued my original Recommended Decision herein on October 8, 1986. After appeal by Respondent the Secretary remanded that decision to me for the taking of further evidence on the issue of the credibility of Complainant. On April 1, 1987 after considering the additional evidence as ordered by the Secretary, I issued a Recommended Decision on Remand in which I affirmed my original holding that Respondent had discharged Complainant in violation of § 405 of the STAA and was therefore obligated to reinstate him without loss of pay or benefits from the time of his discharge to the time of his reinstatement. I noted in this order that the


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record before me was insufficient to permit me to calculate the back wages due.

    Respondent again appealed. On that second appeal Respondent for the first time raised the issue that Complainant should not be ordered reinstated because (1) he was physically incapable to fill his job of truckaway driver (2) he is taking a prescription drug, Flexuril, which incapacitates him from driving a truck. On July 29, 1987 the Secretary affirmed my Recommended Decision of April 1, 1986 and remanded the case to me solely for the purpose of determining the damages due Complainant.

    Respondent moved for Reconsideration of that part Secretary's order which ordered reinstatement. On December 27, 1987 the Secretary denied that motion and ordered me to carry out his July 29, 1987 Order to determine the damages due Complainant.

    After due notice I held hearings on the damage issue in Washington, D.C. on February 23 and 24, 1988. All parties appeared and were permitted to adduce testimony and documentary evidence. After the hearing the Assistant Secretary and Respondent submitted briefs.2

    Upon due consideration of the entire record and especially of the record provided at the damage hearings on February 23, and 24, 1988 and the briefs submitted in connection therewith I make the following.

FINDINGS OF FACTS AND CONCLUSIONS OF LAW

    The facts leading up to and surrounding Complainant's discharge are fully set forth in my Recommended Decisions of October 8, 1986 and April 1, 1987 and will not be repeated here. After his discharge on October 1, 1985 Complainant filed a grievance with Teamster Local 557 grieving his discharge under the contract Respondent had with that Local. Thereafter he filed a complaint with the Secretary of Labor that his discharge violated § 405 of the STAA. He also filed for unemployment compensation (UE).

    Complainant's claim to UE was contested by Respondent. Complainant retained an attorney to represent him in the UE matter and also in the proceedings under the STAA. There were several hearings on Complainant's entitlement to UE in which the Complainant participated. Complainant started receiving UE in


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November 1986 and continued to receive the same until September 1987 when he became reemployed. See infra.

    After Local 557 failed to settle the grievance in the two initial steps provided by the agreement between Respondent and Local 557 the grievance was referred to the Joint Grievance Arbitration Committee which held a hearing in chicago in February 1986. Complainant actively participated in all stages of Local 557's attempt to get him reinstated. He conferred with Local officials and he made notes in preparation for the February 1986 hearings and testified at the hearing. Early in March 1986, the Joint Grievance Arbitration Committee refused to proceed further with the grievance. This refusal made Complainant's dismissal final under the grievance procedure.

    On April 9, 1986 the Secretary of labor issued a Preliminary order finding that Complainant had been discharged in violation of the STAA and ordering his reinstatement with back pay. The Respondent requested that a hearing be held before an Administrative Law Judge and the complaint was assigned to me. Complainant met and conferred with his attorney and with the attorney for the Department of Labor before this hearing. He took a very active part in the hearing held a July 1 and 2, 1986. As previously stated I ordered reinstatement with back pay on October 8, 1986.

    Until the March 1987 decision of the Joint Grievance Arbitration Committee, which had let Complainant's discharge stand, Complainant engaged in only a very limited amount of active employment search. As required by UE regulations he had signed up with the Maryland Employment Service holding himself out as available for work. He also signed up with Maryland's Veterans Employment Service. He received no job referrals or jobs from these sources. He also told Tsambikas, the business agent for the truckaway drivers of Local 557 to let him know if employment opportunities came up. He was not informed of any.

    After the final turn-down of the grievance Complainant asked Tsambikas to put him on the list of laid-off truckaway drivers maintained by the truckaway driver section of Local 557, which under the Eastern Conference Area Agreement with Respondent covers Respondent's drivers. Drivers from this list are to be given consideration before other drivers are hired. Complainant also started to visit the union office once a week or every 10 days to see whether employment was available. He attended the


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weekly meetings of the truckaway members of Local 557 where he questioned union officials and other drivers about the availability of work. He was not informed of job opportunities and received no work offers from these sources during the entire period of his unemployment.

    In July 1986 Complainant personally visited various freight hauling companies including Preston Trucking and Baltimore Tank Lines to inquire about the availability of trucking work. When informed at these companies that no work was then available Complainant left without filing an application that might be considered by the prospective employer should work become available. Complainant received no job offers as the consequence of these visits.

    Also in July 1986 Complainant applied for a job as a civilian electrician at Fort Meade, Maryland. He was turned down for that job.

    Complainant did not utilize the services of the hiring hall Local 557 maintains for members seeking work as freight haulers, as distinguished from truckaway drivers the group to which Complainant belongs. To be referred out by this hiring hall a driver must report in between 6:30 and 9:00 A.M. in the day he wishes to drive.3 If he is referred out he may work for the employer to whom he is referred for a maximum of 10 days, but such employment can be as little as one day. At the end of the 10 days the driver's name goes back to the bottom of the list maintained by Local 557. Employment during this employment of ten days or less does not count in the driver's seniority. Local 557 charges $26 a month fee for this service. Sometimes the temporary employment obtained through his hiring hall resulted in the employer retaining the driver on a permanent basis.

    Respondent put into evidence classified advertisements from the Baltimore Sun from October 6, 1985 through February 7, 1987 in which employers advertise for tractor-trailer drivers. Complainant still had a valid tractor-trailer driver's license at the time of the February 1988 hearing.

    In September 1986 Complainant talked with the foreman of the C.W. Wright Construction, a subcontractor for Baltimore Gas and Electric Company, which was doing some work in his neighborhood.


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When the foreman inquired whether Complainant knew of any good workers interested in a job Complainant offered his own services and was hired on September 18, 1986. Complainant terminated this work on February 16, 1987 and began work for Baltimore Gas and Electric Company on February 17, 1987 as a lineman without losing a day's work. He was so employed at the time of the February 1988 hearing.

    Complainant's work of lineman requires occasional climbing, some driving and, according to him, is physically demanding. His knee has given him no problems in this work nor in that for C.W. Wright Construction. Complainant has taken Flexuril only once or twice since his discharge in October 1985.

    After an administrative investigation by the Maryland Department of Employment it was determined on November 11, 1987 that Complainant had committed fraud in obtaining UE and that he was to return $7,175 the UE paid to him during his entire period of unemployment. This decision was pending appeal at the time of the February 1988 bearing.

ISSUES

I. Is Respondent relieved from its obligation to pay Complainant back wages because:

(a) Complainant can no longer perform his former job because he is physically incapable of doing so and/or, because he on occasion takes a prescription drug, Flexuril, which in capacitates him from driving.

(b) He failed to mitigate Respondent's damages.

II. How are the wages due to Complainant between October 1, 1985 the date of discharge and December 31, 1987 to be computed4 ;

III. What, if any, contributions to the Pension Fund must Respondent make from October 1985 to September 31, 1987;

IV. Is Complainant due any money for medical expenses incurred and paid by him after his discharge.


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DISCUSSION

I. Reinstatement

    a. Fitness for Service. The issue of reinstatement was essentially disposed of by the Secretary in the July 29, 1987 Order and in his Order of December 2 denying reconsideration of his previous Order. In both Orders the Secretary found that both the question of whether the state of Complainant's knee and of whether his taking Flexuril, a drug prescribed by his physician for the pain in his knee, would preclude reinstatement should have been raised at the initial bearing before me and could not be raised on appeal to the Secretary. Nevertheless the Secretary considered the reinstatement issue on its merits and found that there were none. She ended her Order denying the Motion for Reconsideration as follows:

Respondent cannot repeatedly try to raise objections and exceptions after passing the proper place and time for such issues. It would be unconscionable to order an additional hearing and decision for each item which Respondent neglected to bring up on time . . . The ALJ shall carry out the July 29, 1987 remand order.

    Despite these strong words and direct order of the Secretary, Respondent now, in effect, urges me to disregard both and to reopen the question of Complainant's fitness for reinstatement. This I cannot and will not do.

    The only possible eventuality that might lead me to reconsider the fitness for reinstatement issue, would be for Respondent to have produced evidence at the February 1988 hearing which would indicate that Complainant became disqualified from driving a car carrier sometime after the July 2, 1986 hearing. No such evidence was produced. Respondent relies entirely on materials which were in the record for the initial hearing.5

    Complainant testified at the February 22, 1988 hearing that he had used Flexuril once or twice since his discharge on October 1,


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1985. I credit this testimony. Even, if the Respondent had shown, which it did not, that this ingestion of Flexuril took place after the July 2, 1986 hearing, such ingestion would not establish that Complainant is disqualified from operating a truck under § 392.4 of the Regulations. The need for a very rare taking of a prescription drug that would preclude a driver from driving does not establish that a person is permanently unqualified from employment as a truck driver. Here Complainant established that he would not drive a load after he had taken Flexuril and that the need to take Flexuril arose very, very rarely. The Respondent even failed to establish that Complainant still had a valid Flexuril prescription at the time of the February 23 and 24, 1988 hearing.

    For the reasons set forth above I conclude that Complainant still is entitled to be reinstated as of the time of his discharge and that except for the deduction of wages he earned after September 18, 1986, back wages are due in full from October 1, 1985 and to the date Respondent offers reemployment.

    (b) Mitigation of Damages. The Respondent urges that Complainant is not entitled to any back wages because he failed to mitigate Respondent's damages by engaging in a diligent job search after his discharge. I do not agree.

    Before it can be determined whether a Complainant failed his duty to mitigate damages by not obtaining a job after his discharge it must be established that "suitable" jobs existed which an appropriate search would have discovered. The Respondent has the burden of establishing that such a job exists. Ramisas v. Michigan Department of Public Health, 714 F.2d 614 (6th Cir. 1983) cert. denied 466 U.S. 950 (1984). N.L.R.B. v. Laborer's Union of North America 748 U.S. 1001 (5th Cir. 1985) at 1005. A suitable job has been defined as . . . the substantial equivalent of the position from which the claimant was discriminatorily terminated and must afford the claimant virtually identical promotional opportunities, compensation, job responsibilities, working conditions, and status. Ramises supra at 624, citing Ford Motor Co. v. EEOC 458 U.S. 219, 102A S.Ct. 3057 (1982). In the latter case the Supreme Court held that while an employee's duty to mitigate damages required the acceptance of a substantially equal job it did not require that the employee "go into another line of work." Id. at 458 U.S. at 232-33, 102A S.Ct. 3057.


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    The Respondent relies on the following to establish the existence of suitable jobs (1) the testimony of George Long, the dispatcher for the freight hauling drivers' part of Local 557 (2) the testimony of representatives of two local freight hauling companies and (3) advertisements from the Sunday Baltimore Sun from October 6, 1985 to February 7, 1987. None these lobs are shown to be substantially equal to the job Complainant had with Respondent and therefore cannot establish the existence of suitable jobs.

    The job opportunities offered by the Local 557 dispatch service for freight hauling drivers certainly is not the substantial equivalent of Complainant's regular job with Respondent which was permanent and offered considerable fringe benefits. The dispatch service for Local 557 freight hauling drivers is primarily designed to provide temporary jobs, it does not seek to place drivers permanently. Moreover, its rules for referring a driver to such temporary employment are onerous. Drivers have to pay a $26 monthly fee. The service requires early reporting at the Union hall each day for which work is sought with no guarantee that work will be available that day. A driver wishing work must return daily until he is placed. Once employment is obtained through this service it can last as little as one day, it cannot exceed more than 10 days, after that the driver has to return to the dispatch office and the bottom of the list again to report daily until he is again sent out. While there is a possibility that an employer might eventually give permanent employment to a temporary driver hired through the Local 557 dispatch, this is only a possibility which the employer can only make actuality by notifying the Union after a driver has completed his 10 day stint as a temporary employee. No specific examples or estimates of the frequency of the temporary permanent conversions were given.

    A driver cannot accrue seniority during the temporary dispatch, from Local 557. According to Complainant, the drive from his home to Local 557 dispatch office require a 2 hour drive, which in view of the 6:30 A.M. roll call would necessitate his leaving his house at 4:30 A.M. The work offered by the Local 557 dispatch service is clearly not a suitable substitute for the job from which Complainant was discharged in violation of the STAA.

    Operations Manager Hatfield for Baltimore Tank Lines, operator of petroleum tankers testified that his company had been hiring tractor-trailer drivers between October 1985 and


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September 1986, although they usually did not hire many between June and September. The drivers of Baltimore Tank Lines are represented by an in-house union and on the average made between $23,000 and $26,000 a year in 1987. The Assistant Secretary's exhibits show that in 1987, the year concerning which Hatfield testified the three employees above Complainant in the seniority list and the three below him earned an average of $42,742 annually.6 There is no showing that Baltimore Tank Lines employees receive health and pension benefits similar to the ones negotiated by the Teamsters' for Respondent's employees. Considering all of the above I conclude that Respondent has failed to establish that employment with Baltimore Tank Lines would constitute suitable alternate employment.

    Similarly no suitable alternate employment was available to Complainant at Preston Trucking Company, a company employing tractor-trailer drivers to make local deliveries. While these drivers were represented by the Teamsters they were paid by the hour rather than by the trip. The hourly rate was $14.71 which would produce an annual income of $30,597 assuming a 40 hour work week and 52 annual work weeks. This figure is considerably below the $42,742 average received by employees of Respondent with similar seniority. Moreover, Greg Frost, Preston's sales manager testified that Preston's drivers generally worked less than 40 hours a week, that they were mostly casual employees and that work at Preston was seasonal with slow periods. Moreover, first year employees received only 70% of the hourly rate which would make their annual rate of pay $21,418 on a 40 hour a week 52 weeks a year basis. Clearly the Respondent has failed to establish-h that the pay of Preston's employees is at all comparable to the pay employees in Stone's position receive at Respondent's terminal. Thus Respondent has not proved that Complainant would have had anywhere near sufficient earnings at Preston to establish that a Preston job would have constituted suitable employment.

    Lastly the advertisement's in the Baltimore Sun must be considered. As these advertisements do not give sufficient information concerning the wages and benefits available the prospective applicants they cannot establish that the wages and benefits are the substantial equivalent of the job Complainant held with Respondent. Moreover, some of the jobs so advertised would require relocation by Complainant as they are located outside Maryland and outside the Baltimore metropolitan area where


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Complainant lives. Thus these advertisements do not establish the availability of suitable jobs, their considerable bulk merely clutters the record.

    For the reasons set forth above I conclude that Respondent has not established that suitable employment for Complainant existed which he could have found by an appropriate search. Respondent therefore has not established that Complainant failed to mitigate its damages.

    However, even if Respondent had established that suitable jobs existed, I would have to find on the basis of the record here that Complainant acted reasonably to mitigate damages and that Respondent cannot have its obligation for lower pay eliminated or reduced by Complainant's alleged failure to engage in an appropriate job search.

    The Assistant Secretary does not contest that an unjustifiably discharged employee is under some duty to mitigate damages. It is the nature of that duty that is in dispute here.

    In determining the nature of the duty to mitigate damages I must be guided by the view expressed by the Secretary who is the initial reviewing authority under the STAA. In Hufstetler v. Roadway Express, Inc. 85 STA 8, the Secretary pointed out that while the whistleblower provisions of STAA, in violation of which Complainant was discharged, were patterned after the National Labor Relations Act (NLRA) these two statutes differ in that the remedial provision of the NLRA only require the payment of back wages whereas the STAA provides for compensatory damages in addition to back pay. Because the policy of STAA is to promote public safely the Secretary likened its violation to a willful tort in which the injured person can recover unless he "intentionally or heedlessly failed to protect his own interests" citing Restatement (Second) of Torts § 912. Complainant has been actively attempting to get reinstatement either through the Local 557 or through the Department of Labor. Had such reinstatement been granted Respondent would have incurred no further liability to Complainant. Instead Respondent had Complainant escorted off its premises by security police when he presented himself for reinstatement after the Secretary's unstayed and unappealed order of July 29, 1988.

    Complainant's activities in attempting to get reinstatement may, in this instance, be viewed as an attempt to mitigate


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Respondent's damages. Complainant's role in attempting to obtain reinstatement was not a passive one of just filing the complaint and grievance but he very actively persued his remedies by retaining an attorney, by conferring with that attorney, with Local 557 and with Department of Labor officials, by participating in Local 557 proceedings, including a hearing in Chicago and the Department or Labor hearings in Washington. Not only are such activities difficult to combine with an active job search, but also with any job that might result from such a job search.

    Complainant had been successful in obtaining reinstatement via the Union grievance machinery only three months prior to his discharge so it was reasonable for him to assume that he could do so again. Under these circumstances I find that Complainant's extensive efforts to obtain reinstatement prior to the denial of his grievance in early March 1986 constituted a sufficient effort to fullfill his duty to mitigate Respondent's damages. Moreover, to the extent that Complainant might be deemed to be under an obligation to mitigate damages while his grievance was pending by using means in addition to his strenuous efforts to obtain reinstatement I conclude that Complainant met this obligation during the period prior to the final denial of his grievance by registering with the Maryland and the Veteran's Employment Service in connection with his application for unemployment.7

    After the turndown of his grievance Complainant in March 1986 took more active steps to seek reemployment. Complainant testified that in his experience the most efficaious way to obtain employment was by word of mouth which would enable him to be in the right place at the right time and that this is the method he used in searching for post discharge employment. Thus he requested that business agent Tsambikas put him on the list of laid-off union members which would entitle him to preferential hiring by other car haulers. He made similar requests of other officials of the car haulers part of Local 557. Somewhat later he extended his search to other freight haulers in the Baltimore Area by making personal inquiries at John Hock, Reliance Contracting, Preston Truck and Baltimore Trucking. Upon being informed by each of these companies that no work was available he left without filing an application. He also unsuccessfully applied for work as a civil electrician at Fort Meade, Maryland.

    In September 1987, about five months after the grievance


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was dropped, Claimant's method of job hunting paid off, he became employed by C.W. Wright Construction Company to install power lines for Baltimore Gas and Electric Company. Thus if proof of the pudding be in the eating Complainant has proved his pudding.

    It is Respondent's position that the pudding came too late, that a more diligent job hunt would have returned Complainant to the rolls by the gainfully employed much sooner. In making this argument Respondent entirely disregards that under Hufstetler, supra Complainant is only under an obligation to refrain from "intentionally and heedlessly" increasing his damages. While Complainant's job hunt might have been somewhat more efficacious if undertaken along the lines suggested by Respondent, i.e., leaving applications and reading and following up want ads, it certainly cannot be described as heedless and intended not to produce results.

    Even if the more stringent, "reasonable diligence" test see Hufstetler, Ramisas and Ford Motor, supra were to be applied here, Complainant's job search e forts would meet that test. The diligence required by that test is "reasonable" not "utmost" or "great". Complainant used a method of job hunting he had found successful in the past. This method was successful within five months after he started using it, a not unreasonable length of time, considering that according to Complainant, a young man in his late twenties or early thirties, he was trying to locate a job with a future to take the place of the well paying permanent job from which he had been wrongfully discharged.

    For the reasons set forth above I conclude that complainant adequately met his duty to mitigate damages between October 2, 1985 and September 18, 1986 and that Respondent is not entitled to a reduction of its obligation to pay damages accrued during that period.

    Respondent argues that Complainant failed in his duty to mitigate damages by accepting the jobs with C.W. Wright Construction and Baltimore Gas and Electric Company because those jobs allegedly paid less than those of tractor trailer drivers and that therefore Respondent should be relieved of its obligation to pay Complainant the difference in wages he would have earned as a


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trailer truck driver and the wages he received at C.W. Wright. This argument is utterly without merit. Complainant had tried for 5 months to get employment as a driver of a tractor trailer and had been unsuccessful. His unemployment compensation had ended. He located a fairly well paying job in a different line of work and took it. Had he failed to take up this offer Respondent would surely argue that such failure amounted to a failure to mitigate damages. Moreover the C.W. Wright Company job directly lead to the better paying job with its contractor Baltimore Gas and Electric Company.

    To argue, as does Respondent, that the Baltimore Gas and Electric job pays so little that by taking it Complainant forfeits his right to the differential between that pay and what Respondent pays its truckaway drivers, verges on the ridiculous. In the 46 weeks Complainant worked for Baltimore Gas and Electric Company he earned $26,164. This extrapolates to an annual salary of $29,610. This is more then he could have earned as a driver for Baltimore Tank Lines and almost as much as the most unlikely maximum he could have earned as a driver for Preston Trucking, the very jobs which Respondent insists Complainant should have pursued more diligently in order to meet his obligation to minimize damages. Apparently Respondent feels that consistency in these matters is of the foolish variety that is the hob goblin of little minds. For the reasons previously stated Complainant not only had a right but an obligation to take this job. Accordingly, I find that Complainant by accepting this job with Baltimore Gas and Electric fully met his duty to mitigate damages.

    For the reasons set forth above I conclude that Claimant has fully met his obligation to mitigate languages and that the damages found due to him must be paid in full.

II. Determination of Wages Due

    The determination of back wages due Complainant is complicated by the fact that truckaway drivers are not paid a fixed rate but by the trip. These drivers also work no set hours except that the total hours they may work a day and/or a week are limited by Department of Transportation regulations. Trips are picked by driver seniority and each driver exercises his seniority to select the type of trip he prefers such as long run versus short run. Because of this earnings of drivers vary, even though they may be close each other on the seniority roster.


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    The Assistant Secretary urges that averaging the wages for the last quarter of 1985 and for all of 1986 and of 19878 of the three drivers above and the five drivers below Complainant on the seniority roster would mimize difference in wages due to individual drivers' preference and the average so obtained would constitute a reasonable approximation of what Complainant would have earned had he continued to work for Respondent. Because of the variation in the earnings of individual drivers Respondent urges that the only earnings be considered in calculating the back pay due are those of Complainant himself. These annual earnings of Complainant from 1983 through 1985 were considerably less than those of the drivers above and below him un the seniority roster during those years.

    While the method proposed by Respondent sounds logical and certainly would be preferable if Respondent had presented usable figures, Respondent's failure to produce such figures precludes the use of its method. Thus the 1983 and 1984 earnings figures are based on the contract preceding the contract which went into effect an June 1, 1985. That latter contract provided for substantial pay increases. There is no breakdown of the 1985 figures to show how much any driver earned after June 1, 1985. Complainant was hurt in an industrial accident in 1983 and much of his reduction in pay in 1983 and 1984 was due to his absence from work because of his work related injury. Complainant was also discharged twice. Grieving these discharges through the grievance machinery resulted in his reinstatement without back pay and without loss of seniority.9 As neither an industrial accident nor absence from work while a grieved discharge remains unresolved are indicative of indolent work habits I will not reduce the average earnings the drivers above and below Complainant for the purpose of calculating the back wages due to Complainant.

    The Assistant Secretary's method calculating back wages is reasonable under the conditions here and uses a formula which has had court approva NLRB V. S.E. Nichols of Olno, Inc., 704 F.2d 921 (6th Circ. 1983) cert. denied 104 S.Ct. 275. According to this formula Complainant's earnings from Respondent would have been $8,869 in 1985, $42,487 in 1986 and $42,742 in 1987.

    Evidence in the record confirms the appropriateness of this formula. Respondent advertised truckaway drivers job in September


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1986 as paying "$45,000 plus". In 1984, the only year for which a Complainant's complete attendance record is available, Complainant missed 30 weeks of work because of his industrial accident. Projecting the $15,134 he earned in the remaining twenty-two weeks, which included absences due to illness, discipline and unexcused ones over the entire year results in an annual wage of $35,771. only two drivers of the twelve drivers on the Respondent's list of drivers with comparable seniority earned more then that (Respondent's Brief p. 10).10 Accordingly I conclude that Respondent must pay Complainant back wages for October 1, 1985 through December 31, 1985, $683.77 a week for a total of $8,889, for the period of January 1, 1986 through September 17, 1986 the sum of $817.06 a week for a total of $30,231.22 for the period of September 1 through December 31, 1986 the sum of $485.90 a week for a total of $7,288.50; for the period of January 1, 1987 through February 16, 1987 the sum of $491.29 a week for a total of $3,439.02; for the period of February 17, 1987 through December 31, 1987 $239.85 a week for a total of $10,793.29.11

III. Calculation of Pension Benefits

    The 1985 agreement between Respondent and Local 557 provides for a contribution by Respondent to the Welfare and Pension Fund of .395 an hour per employee hour worked increasing gradually to .47 an hour. Respondent's total contribution per employee is limited to forty hours a week multiplied by the appropriate hourly figure. The Assistant Secretary seeks a contribution to the Local 557 Pension Fund of $9,551.00 for the period of October 1, 1985 through January 1, 1987. This amount is based on the assumption that the Complainant would have worked a forty hour week during that time, i.e. that the Respondent must make the maximum per employee contribution to the Welfare and Pension on behalf of Complainant.

    Respondent objects to using the forty hour a week multiplier on the ground that the Assistant Secretary produced no evidence to establish that Complainant or any other driver in its employ worked a forty hour week. According to the contract Supplement to the National Master Automobile Transporters Agreement to which Respondent is a signatory the basic work week is forty hours. Exterpolating from the $42,487 average annual wage for 1986 and $42,742 annual average for 1987 the amount hourly pay of the drivers during these years amounts to $20.43 and of $20.55


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for 1986 and 1987 respectively. In view of the fact that the hourly rate for truckaway drivers during 1986 and 1987 was $14.10 and $14.70 respectively these extrapolated hourly pay figures are a clear indication that overtime was worked, i.e. that the drivers worked an average of more than forty hours a week. Given these figures and the irregularity of the hours worked the Assistant Secretary's method is reasonable. Respondent who must make contributions based on the hours worked and keep the logs required by the Department of Transportation of the hours worked by each driver has the correct information available and could have produced it to contradict the accuracy of the Assistant Secretary's assumption. It failed to do so. Moreover as Respondent does not deny that it made contributions to the Pension Fund on behalf of Complainant while he was in its employ it would be inequitable to let it benefit from its wrong by relieving it totally from any contribution to that fund on Complainant's behalf during the period of Complainant's unlawful discharge.

    Respondent also urges that it should not be required to make contributions to the Pension Fund on behalf of Complainant after February 18, 1986, the date Claimant was hired by Baltimore Gas and Electric Company and became a participant in the pension fund of that employer. Respondent's argument that past February 18, 1987 payments into the Local 575 Pension Fund would amount to dual coverage is not well taken. If Complainant accepts the offer of reinstatement Respondent has been ordered to make such reinstatement must be without any diminishment of rights and privileges he would have had had Respondent not wrongfully discharged him. His right to participate in the Pension Fund is one of these privileges. To relieve the Respondent of the obligation to make the appropriate contribution during all of Complainant's absence from the payroll due to his unlawful discharge by Respondent would deprive Complainant from obtaining the same pension rights he would have had but for his discharge, a result inconsistent with the concept of making Complainant whole for Respondent's unlawful act. As Baltimore Gas and Electric Pension Fund does not vest until an employee has been employed for ten years Complainant's acceptance of reinstatement with Respondent would end his interest in Baltimore Gas and Electric Fund, i.e. to the extent that there is double coverage such coverage inures to the benefit of Baltimore Gas and Electric Fund and not to that of Complainant. It is therefore immaterial that Baltimore Gas and Electric made contributions to its pension fund on behalf of Complainant.


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    However the picture would change should Complainant refuse Respondent's offer of reinstatement. In that event Complainant would have been covered by a pension fund since February 17, 1987 and contributions to another fund would not serve the purpose of compensating Complainant for a loss caused by his unlawful discharge. Neither would that purpose be served by ordering Respondent to make any contributions to the Local 557 Pension Fund in behalf of Complainant if Complainant does not accept an offer of reinstatement. Complainant was not employed by the Respondent until 1983 so that even if contributions to the fund were made until 1988 Complainant would have no vested rights thereto.

    This does not mean, however, that Respondent would be relieved of all obligations in the pension area should Complainant chose not to be reinstated. Because of Respondent's wrongful action Complainant would lose 16 1/2 months of opportunity to achieve vested rights in a pension fund and to have any wages earned during that period included in calculating his eventual pension. Thus in order to afford Complainant the compensation for damages to which he is entitled under of the STAA and the July 29, 1987 Order of the Secretary I shall order that in the event Complainant refuses reinstatement by the Respondent moneys that would have been contributed to the Local 557 Pension Fund on behalf of Complainant from October 1, 1985 to February 17, 1987 calculated in the manner set forth above shall be paid to Complainant directly rather than into the fund. I find such a payment necessary and appropriate to compensate Complainant for the fact that Respondent deprived him for 16 1/2 months from participating in any pension fund.

IV. Medical Expenses

    The parties are agreed that Respondent need not make any contribution to the Local 557 Health Fund for the period between Complainant discharge on October 1, 1985 and the date of his eventual reinstatement but that Respondent is responsible for any out-of-pocket medical expenses Complainant may have incurred personally during the period of his discharge which would have been covered by the Local 557 Health Plan and which were not covered by the health plan of either C.W. Wright Contruction Company or that of Baltimore Electric.

    Complainant testified credibly and without contradiction


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that he incurred dental expenses which were not covered by the health plan in effect by his new employer, Baltimore Gas and Electric, but which would have been covered under the Local 557 plan. This is sufficient to make a prima facie case that Respondent is obligated to compensate Complainant for his $90.00 expenses. In its brief Respondent argues the point that there is no evidence to support Complainant's claim. The evidence consists of Complainant's testimony, which, while admittedly weak, was never contradicted on the record. Respondent presented no testimony or other evidence to contradict Complainant and to establish that under the Local 557 plan Complainant would also have been liable for the $90.00 payment.

    Accordingly I find that Respondent shall pay Complainant $90 for dental services Complainant received in 1987 provided that Complainant presents proof that he paid for these services.

    By letter of March 4, 1988 James Culp, Esq. of the Office of the Solicitor, U.S. Department of Labor, counsel for the Assistant Secretary informed me that except for the $90.00 dental fee Complainant had waived all rights to medical reimbursement until December 31, 1987 but was not waiving any medical expenses after that date. To this date no claims for any additional medical treatment have been made or substantiated. I therefore consider the matter closed for now. If Complainant has any post February 24, 1988 medical bills for which the Respondent is responsible, Complainant shall make demand on the Respondent for payment and if Respondent refuses Complainant shall request the office of Administrative Law Judges to reopen the record for the purpose of determining the validity of his claim.

ORDER

    The Respondent, Nu-Car Carrier, shall make Complainant Keith Stone whole for any loss of wages and other benefits he suffered by reason of his unlawful discharge in violation of § 405 STAA by taking the following action in conformance with my Recommended Orders of April 1, 1987 and october 8, 1986 as affirmed by Orders of the Secretary of Labor of July 29, 1987 and December 27, 1987:

I. Making payments to Keith Stone

    A. For Wages Lost


[Page 19]

1. For the period of October 1, 1985 through December 31, 1985 $683.77 a week for the total sum of $8,889.00.

2. For the period of January 1, 1986 through September 17, 1986 the sum of $817.06 a week for a total of $30,231.22.

3. For the period of September 18 through December 31, 1986 the sum of $485.90 a week for a total of $7,288.50.

4. For the period of January 1, 1987 through February 16, 1987 the sum of $491.20 a week for a total of $3,439.02.

5. For the period of February 17 through December 31, 1987 the sum of $239.85 a week for a total. of $10,793.29.

6. Interest from the date the wage payments directed above became due to Complainant to the date such payments are actually made. The rate of interest shall be that prescribed by 28 U.S.C. § 1961 which on this date is 8.55 percent.12

7. For the period from Janaury 1, 1988 to the date of Complainant's reinstatement or unconditional offer thereof wages and interest calculated in the same manner as those set forth in § A(1) through (6) of this order.

    B. For Medical Expenses

    Ninety ($90.00) dollars for dental expenses incurred in 1987 provided Complainant submits proof that he has paid for these services.

II. Making Contributions to the Welfare and Pension Trust Fund of Local 557 in the Following Manner

    A. Pay to the Welfare and Pension Trust Fund of Local No. 557 the sum of $9,551.00 on behalf of Complainant Keith Stone for the period of October 1, 1985 through December 31, 1987 provided, however, that should Complainant refuse the reinstatement ordered herein, no contributions to the Pension and Welfare Fund of Local 557 shall be made on Complainant's behalf after February 16, 1987 and all contributions to such Fund which would have been made on Complainant's behalf from october 1, 1985 through February 16, 1987 shall be paid to Complainant directly.


[Page 20]

    B. Pay to the Welfare and Pension Trust Fund subject to to be provisions of § II A of this Order such other amounts, calculated in the manner set forth on pages 15-16 above, as may be necessary to reinstate Complainant as a beneficiary of such Fund without any los of benefits as of the time of his reinstatement or unconditional offer thereof.

       ANASTASIA T. DUNAU
       Administrative Law Judge

ATD/tjp

Washington, D.C.

[ENDNOTES]

1A Decision and order in this case was issued on November 30, 1988. It appears that page 12 was missing from the Decision and Order. This Amended Decision and order is issued to correct the error but is otherwise the same as the Decision and order issued on November 30, 1988. It is the date of this Amended Decision and order which is the effective date for the final disposition of this matter.

2The Assistant Secretary submitted GX 38A through E, 39A through F, 18W and 18X. These exhibits are hereby admitted into the record.

3If he has not signed up the previous day he must report by 6:30 A.M.

4The Assistant Secretary limited the wage computation to that date.

5On the other hand Complainant established that he had no problems performing his current physically demanding job of an electric lineman.

6I have not used Complainant's own earnings because his working record reflects an unusual large number of absences due to an industrial accident and disciplinary suspensions. See infra.

7Respondent makes much of the fact that the Maryland Department of Employment & Training has requested that Complainant return all the unemployment compensation he received between the time of his discharge and the time of his employment by C.W. Wright Construction Company. I am not persuaded that this action by the Maryland Department and Training establishes that Complainant's job search was not as represented by him at the hearing before me because (1) the Maryland action had been taken after an administrative inquiry without hearing and the matter was pending appeal at the time of the hearing before me (2) I credit Complainant's testimony that he filled out the forms about his work availability, his industrial injury and job search as instructed by Maryland Department of Training officials and (3) I also credit Complainant's description of his early March 1986 job search and (4) the requirements for the intensity of a job search and what job an applicant take must do to support an unemployment compensation award in Maryland may differ from what a Complainant must do to mitigate a respondent's damages in an STAA suit.

8The Assistant Secretary only seeks an order for recovery of wages lost up to December 31, 1987.

9Complainant, according to his uncontradicted testimony, did not seek back pay because he had a private suit pending against Respondent.

10Respondent also objects to the selection of the drivers used by the Assistant Secretary to obtain his average. As these drivers are the same as the Respondent uses to calculate its averages I have disregarded these objections.

11I have calculated the wages due Complainant during the periods he was employed by C.W. Wright Construction Company and by Baltimore Gas and Electric Company by taking the total Complainant would have been paid by Respondent during the period designated, deducting from such total the amount Complainant was paid by his other employer during the same period and dividing the result of that calculation by the number of weeks covered by the designated period.

12For the purposes of this Order wages become due on each Friday of each week covered by this Order at the weekly wage rate appropriate for that week under this Order.



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