286
Neb. 755
Service
Employees International Union (AFL-CIO) Local 226, appellant and cross-appellee,
v.
Douglas
County School District 001, Appellee and
cross-appellant.
No.
S-13-009
Supreme
Court of Nebraska
November
1, 2013
1.Commission of Industrial Relations: Appeal and Error.
In reviewing an appeal from the Commission of Industrial Relations in a
case involving wages and conditions of employment, an order or decision of the
commission may be modified, reversed, or set aside by an appellate court on one
or more of the following grounds and no other: (1) if the commission acts
without or in excess of its powers, (2) if the order was procured by fraud or
is contrary to law, (3) if the facts found by the commission do not support the
order, and (4) if the order is not supported by a preponderance of the
competent evidence on the record considered as a whole.
2.
Labor and Labor Relations. Nebraska's
Industrial Relations Act requires parties to negotiate only mandatory subjects
of bargaining.
3.
___. Mandatory subjects of bargaining include the scale of wages, hours of
labor, or conditions of employment.
4.___. Management prerogatives, such as the right to hire,
to maintain order and efficiency, to schedule work, and to control transfers
and assignments, are not mandatory subjects of bargaining.
5.
___. A matter which is of fundamental, basic, or essential concern to an
employee's financial and personal concern may be considered as involving
working conditions and is mandatorily bargainable
even though there may be some minor influence on educational policy or
management prerogative.
6.
___. Vacation is a mandatory subject of bargaining.
7.
Commission of Industrial Relations:
Labor and Labor Relations. An employer subject to the Industrial Relations
Act may implement unilateral changes to mandatory subjects of bargaining only
when three conditions have been met: (1) The parties have bargained to impasse,
(2) the terms and conditions implemented were contained in a final offer, and
(3) the implementation occurred before a petition regarding the year in dispute
is filed with the Commission of Industrial Relations.
8.
Labor and Labor Relations: Employment
Contracts: Waiver. A clear and unmistakable waiver of a statutory right may
be found in the express language of a collective bargaining agreement, or it
may even be implied from the structure of an agreement and the parties' course
of conduct.
9.
Labor and Labor Relations: Waiver:
Proof. An employer bears the burden of establishing that a clear and
unmistakable waiver of a statutory right in a collective bargaining agreement
has occurred.
10.
__: __: __. To establish waiver of the right to bargain by union inaction, the
employer must first show that the union had clear notice of the employer's
intent to institute the change sufficiently in advance of actual implementation
so [286 Neb. 756] as to allow a reasonable opportunity to bargain about the
change. In addition, the employer must show that the union failed to make a
timely bargaining request before the change was implemented.
11.
Labor and Labor Relations: Notice. Once
a union has notice of a proposed change in a mandatory bargaining subject, it
must make a timely request to bargain. A union cannot charge an employer with
refusal to negotiate when it has made no attempts to bring the employer to the
bargaining table.
12.
Commission of Industrial Relations:
Courts: Evidence: Appeal and Error. The Nebraska Supreme Court will
consider the fact that the Commission of Industrial Relations, sitting as the trier of fact, saw and heard the witnesses and observed
their demeanor while testifying and will give weight to the commission's
judgment as to credibility.
13.
Appeal and Error. An appellate court
is not obligated to engage in an analysis that is not necessary to adjudicate
the case and controversy before it.
Appeal
from the Commission of Industrial Relations.
Timothy S. Dowd, of Dowd, Howard & Corrigan, L.L.C., for
appellant.
David J. Kramer and D. Ashley Robinson, of Baird Holm, L.L.R,
for appellee.
Heavican, C.J., Wright, Connolly, Stephan, McCormack,
and Cassel, JJ.
Wright, J.
I. NATURE OF CASE
Service
Employees International Union (AFL-CIO) Local 226 (Local 226) appeals from the
finding of the Commission of Industrial Relations (CIR) that Douglas County
School District 001 (District) did not commit a prohibited practice under the
version of the Industrial Relations Act (IRA) then in effect, Neb. Rev. Stat.
§§ 48-801 to 48-838 (Reissue 2010). Local 226 argues that the District
unilaterally changed its vacation accrual policy, declared the issue
nonnegotiable, and failed to bargain on a mandatory subject of bargaining.
We
conclude the District unilaterally changed its vacation accrual policy but
presented Local 226 with opportunities to give input on the policy changes and
request negotiations before implementation of the changes. Local 226 failed to
take advantage of those opportunities. It negotiated and signed new collective
bargaining agreements (CBA's) for the school year in which the new vacation
accrual policy would take effect without requesting negotiations on the new
policy. In doing so, Local 226 waived its right to negotiate on the matter of
vacation accrual. We affirm the order of the CIR.
II. SCOPE OF REVIEW
In
reviewing an appeal from the CIR in a case involving wages and conditions of
employment, an order or decision of the CIR may be modified, reversed, or set
aside by an appellate court on one or more of the following grounds and no
other: (1) if the CIR acts without or in excess of its powers, (2) if the order
was procured by fraud or is contrary to law, (3) if the facts found by the CIR
do not support the order, and (4) if the order is not supported by a
preponderance of the competent evidence on the record considered as a whole. Employees United Labor Assn. v. Douglas Cty., 284 Neb. 121, 816 N.W.2d 721 (2012).
III. FACTS
Local
226 is the duly certified exclusive bargaining agent for the District's office
personnel, educational paraprofessionals, and operations division. For the
2010-11 and 2011-12 school years, Local 226 and the District entered into
separate CBA's for each of those three bargaining units. The current dispute
over vacation accrual arose while Local 226 and the District were negotiating
the CBA's for the 2011-12 school year, but during the
time the CBA's for the 2010-11 school year were still in effect.
For
the past 20 years, article 9 of the relevant CBA's has set forth the amount of
vacation to which each employee was entitled. But the CBA's have never
"outlined the manner and method of accrual and distribution of the agreed
upon amount of vacation." Rather, at all times relevant to this case, the
distribution of vacation was governed by section 4.21 of the District's
"Policies and Regulations." The entire policies and regulations were
incorporated by reference into article 2 of the CBA's. Article 2 also provided
that the District could make changes to the policies and regulations at any
time. The District has made changes to section 4.21 at least 10 times over the
past 52 years, both with and without Local 226's approval.
When
the District and Local 226 entered into the CBA's for the 2010-11 school year,
section 4.21 of the policies and regulations provided that employees were
granted their full vacation allotment for the year in a single lump sum on
August 1, 2011--the start of the school year. If an employee terminated
employment or transferred to a position in which he or she was not eligible for
vacation, any unused vacation days would be paid out in the final paycheck. If
a new employee was hired or an employee transferred to a vacation-eligible
position after August 1, he or she would receive prorated vacation days based
on the date of hire or transfer.
Both
parties have stipulated that at their meetings on February 9 and March 2, 2011,
the District advised Local 226 that the District was "going to make"
changes to section 4.21. Under the proposed changes to section 4.21, employees
would accrue vacation throughout the school year instead of being granted their
vacation allotment in a single lump sum at the beginning of the school year.
On
May 16, 2011, the Omaha Public Schools Board of Education adopted the
amendments to section 4.21, to be effective August 1. Local 226 did not appear
at the board of education meeting to oppose the changes.
On
May 17, 2011, the members of Local 226 were notified of the changes adopted by
the board of education. In response, Local 226 sent a letter to the District
requesting that it "cease and desist from implementing [the vacation
accrual] policy." Local 226 characterized the District's action in
implementing the new policy as a "unilateral change of a mandatory subject
of bargaining^] which is a prohibited practice." It asked the District to "advise as to [the District's] intentions within the next
seven (7) calendar days."
In
a reply letter, the District asserted that it "has the right to change its
Policies and Regulations so long as those policies don't violate the terms of
the [ CBA's]" and that the amendments to section 4.21 were within its
authority under the CBA's and not in violation of the provisions of the CBA's
addressing vacation. The District closed by noting, "We remain open . . .
to working with Local 226 to address any concerns about the practical
application of the revised policy."
Beginning
in February 2011 and continuing throughout the summer, the District and Local
226 were engaged in substantive negotiations of the CBA's for the 2011-12 school
year. During those negotiations, Local 226 did not
propose any changes to the new vacation accrual policy that was scheduled to
take effect on August 1.
On
September 13 and October 10 and 19, 2011, the District and Local 226 signed the
CBA's for the 2011-12 school year for the operations
division, paraprofessionals, and office personnel, respectively. The CBA's were
effective retroactively to August 1, 2011.
In
January 2012, following implementation of the new vacation accrual policy,
Local 226 filed petitions with the CIR on behalf of each of the three
bargaining groups. It alleged that the District had engaged in "a
prohibited practice of bad-faith bargaining in violation of Nebraska Revised
Statute §48-824(1) (Reissue 2004)." Local 226 asserted that the District
"failed and refused to negotiate or agree to negotiate regarding the [v]acation [a]ccrual [p]olicy and said unilateral action on the part of the
[District] constitutes a change in the terms and conditions of employment with respect
to a mandatory subject of collective bargaining." It prayed that the CIR
order the District "to cease and desist from its continued unilateral
actions" and to maintain the previous vacation accrual policy "until
or unless [Local 226] has agreed to the same" or the CIR issued an order
altering the obligations of the parties. The District filed answers generally
denying that it had committed a prohibited practice.
The
CIR held a consolidated trial on the petitions. The parties adduced evidence
regarding whether past practices between the parties created an implied
contractual term regarding the manner and method of vacation accrual, whether
Local 226 had an obligation to initiate negotiations after learning of the new
vacation accrual policy, and whether Local 226 consented to the new vacation
accrual policy by entering into the CBA's for the 2011-12 school year, among
other things. Significantly, the parties presented differing accounts of the
level to which the District involved Local 226 in the development of the new
vacation accrual policy.
The
District adduced evidence that it notified Local 226 and the other unions that
it was considering making changes to section 4.21 of the policies and
regulations. Dr. Germaine Huber, chief negotiator for the board of education,
testified that she "talked with all the unions" about the new
vacation accrual policy. According to Huber, during those discussions, the
unions expressed concerns about not having vacation early in the school year,
in response to which the District incorporated into the new policy the option
of applying for an advancement of up to 5 vacation days. As to Local 226, Huber
did not specifically describe the District as having "negotiated"
with Local 226 over the changes to section 4.21, but maintained that they
"had discussions."
Local
226 presented a differing account of the events leading to adoption of the new
vacation accrual policy. Suzanne Anderson, president of Local 226, testified
that at the February 9 and March 2, 2011, meetings, the District told Local 226
that the vacation accrual policy "was going to happen" and "was
going to go through." According to Anderson, Local 226 protested the
proposed changes and told the District that it "wanted to negotiate [the
new policy], " but the District "said it was not negotiable."
Anderson conceded that the District allowed Local 226 to provide feedback on
the issue of advance vacation days, but asserted that advancement was the only
issue about which it was given the opportunity to provide feedback. She said
that Local 226 did not make any suggestions at the meetings other than voicing
that Local 226 "wanted to negotiate [the new policy] because we did not
want that."
On
December 6, 2012, the CIR entered an order finding that the District had not
engaged in a prohibited practice. It first concluded that the District had
"a duty to bargain over any changes to the vacation accrual policy"
because vacation leave was a mandatory subject of bargaining under the IRA. The
CIR then turned to the question whether the District had fulfilled its duty to
bargain, noting that "the evidence as a whole does not support the notion
that [the District] was not willing to have discussions with [Local 226] about
the vacation accrual policy." Rather, the CIR found, based on the
evidence, that the District had given Local 226 "sufficient notice"
of the proposed change such that Local 226 had an obligation to "make a
timely request to bargain." It found the evidence demonstrated that Local
226 failed to negotiate to impasse on the matter. Therefore, the CIR found that
Local 226 had failed to prove that the District committed a prohibited practice
under § 48-824(1) and dismissed all three petitions.
Local
226 timely appeals, and the District cross-appeals.
Pursuant to our statutory authority to regulate the dockets of the appellate
courts of this state, we moved the case to our docket. See Neb. Rev. Stat. §
24-1106(3) (Reissue 2008).
IV. ASSIGNMENTS OF ERROR
Local
226 generally assigns that the CIR was clearly wrong and acted contrary to law
in finding that the District did not commit a prohibited practice by
unilaterally implementing changes to section 4.21 of the policies and
regulations. More specifically, Local 226 assigns that the CIR was clearly
wrong and acted contrary to law in finding that Local 226 had an obligation to
bargain to impasse over the District's unilateral change to a mandatory subject
of bargaining.
On
cross-appeal, the District assigns that the CIR erred in failing to rule that
(1) the terms of the CBA's clearly and unambiguously granted the District the
right to unilaterally modify section 4.21, (2) the District has an established
past practice of modifying section 4.21 during the term of the CBA's, and (3)
the District's established practice of modifying section 4.21 formed an implied
contract term.
V. ANALYSIS
1. Prohibited Practice
(a) Background
Local
226' s appeal raises one fundamental question: whether
the District committed a prohibited practice under § 48-824(1) by changing
section 4.21, and thereby adopting a new vacation accrual policy, without
negotiating with Local 226. Section 48-824(1) provided that "[i]t is a prohibited practice for any employer, employee,
employee organization, or collective-bargaining agent to refuse to negotiate in
good faith with respect to mandatory topics of bargaining."
The
IRA requires parties to negotiate only mandatory subjects of bargaining. Scottsbluff Police Off. Assn. v. City of
Scottsbluff, 282 Neb. 676, 805 N.W.2d 320
(2011). Mandatory subjects of bargaining include " 'the scale of wages, hours of labor, or conditions of
employment.' " Douglas Cty. Health Ctr.
Sec. Union v. Douglas Cty., 284 Neb. 109, 114,
817 N.W.2d 250, 255 (2012) (quoting § 48-818). "[Management prerogatives,
such as the right to hire, to maintain order and efficiency, to schedule work,
and to control transfers and assignments, are not mandatory subjects of
bargaining." Scottsbluff
Police Off. Assn. v. City of
Scottsbluff, 282 Neb. at 683, 805 N.W.2d at 328. A
matter which is of fundamental, basic, or essential concern to an employee's financial
and personal concern may be considered as involving working conditions and is
mandatorily bargainable even though there may be some
minor influence on educational policy or management prerogative. Metro. Tech. Com. Col. Ed. Assn.
v. Metro. Tech. Com. Col. Area, 203 Neb. 832, 281 N.W.2d 201 (1979).
Vacation is a mandatory subject of bargaining. See, e.g., El Paso Elec. Co. v. N.L.R.B., 681 F.3d 651 (5th Cir. 2012); Tanforan Park Food Purveyors Council v. N. L. R. B.,
656 F.2d 1358 (9th Cir. 1981); Adams
Potato Chips, Inc. v. N. L. R. B., 430 F.2d 90 (6th Cir. 1970). See, also, FOP Lodge 41 v. County of Scotts
Bluff, 13 C.I.R. 270 (2000).
Because
of § 48-824(1),
an employer subject
to the IRA may implement unilateral changes to mandatory subjects of bargaining
only when three conditions have been met: (1) The parties have bargained to
impasse, (2) the terms and conditions implemented were contained in a final
offer, and (3) the implementation occurred before a petition regarding the year
in dispute is filed with the CIR.
Scottsbluff Police Off.
Assn. v. City of Scottsbluff, 282
Neb. at 686, 805 N.W.2d at 330. If any of these three
conditions are not met, then the employer's unilateral implementation of [286
Neb. 763] changes in mandatory bargaining topics is a per se violation of the
duty to bargain in good faith. Id.
With
that background, we now turn to the facts and issues in the instant case.
(b) District's Obligation to Negotiate
in Good Faith
We
first note that the District acted within its authority under the CBA's to
amend section 4.21 of the policies and regulations and thereby adopt a new
vacation accrual policy. Article 2 of the CBA's for the 2010-11 school year
provided:
Each and every
provision of the Policies and Regulations
incorporated by specific reference herein, and made a part of this
Agreement, shall be binding upon both parties hereto, in their language as of
the date hereof, throughout the term of this Agreement, notwithstanding that
the School District may act to change Policies
and Regulations after the effective date of this Agreement.
Under that
language, the District had the authority to make changes to the policies and
regulations while the CBA's for the 2010-11 school year
were in effect, but such changes, although permissible, would not be binding
upon Local 226 for the 2010-11 school year. Rather, the policies and
regulations in effect when the parties entered into the CBA's would continue to
bind the parties "in their language as of the date hereof, throughout the
term of this Agreement." Thus, under the CBA's with Local 226, the
District had the authority to make changes to the policies and regulations but
could not enforce those changes against Local 226 until after July 31, 2011.
The District acted pursuant to that authority when it proposed and adopted
changes to section 4.21 of the policies and regulations for the 2011-12 school year. Both parties agree that the District did not implement
the changes to section 4.21 until August 1, 2011--after the CBA's for the
2010-11 school year had expired.
However,
despite acting within its powers under the CBA's, the District was still
required by the IRA to negotiate regarding the new vacation accrual policy,
because it related to a mandatory subject of bargaining. Therefore, under §
48-824(1), the District was required to negotiate in good faith with Local 226
about the new vacation accrual policy.
The
District and Local 226 agree that no formal negotiations on the new vacation
accrual policy took place before the new policy was implemented on August 1,
2011. The parties also agree that the District was not permitted to unilaterally
implement the new policy on the ground that they had negotiated to impasse,
because the parties had not in fact negotiated to impasse. Accordingly, unless
Local 226 waived its right to negotiate, the District had committed a
prohibited practice and a per se violation of its duty to bargain in good faith
by implementing the new vacation accrual policy without first engaging in
negotiations with the union.
(c) Waiver by Local 226
(i)
Preliminary Matters
Generally,
the possibility of waiver can be considered only after we have determined that
the dispute was not covered by the relevant collective bargaining agreement. See Douglas Cty. Health Ctr. Sec. Union v. Douglas Cty., 284 Neb. 109, 817 N.W.2d 250 (2012).
In conducting such an inquiry, we examine whether the collective bargaining
agreement "'fully defines the parties' rights'" as to the topic in
issue. Id. at 117, 817
N.W.2d at 257.
In
the instant case, the rights of the parties were not defined by the CBA's. The
implementation of the new vacation accrual policy was effective August 1, 2011.
The CBA's expired July 31, 2012. It is true that by law, the expired CBA's
would continue to govern the parties' obligations to one another. See Employees United Labor Assn. v. Douglas Cty., 284 Neb. 121, 816 N.W.2d 721
(2012). But the parties are governed by the expired CBA's only to the extent
that the conditions of employment previously set forth need to be maintained. Seeid. Because the alleged prohibited practice
would have occurred after the CBA's had expired, there were no agreements which
would determine the parties' rights regarding vacation accrual. It is thus
appropriate to consider if Local 226 waived its right to bargain regarding the
accrual of vacation. See Douglas Cty. Health Ctr. Sec. Union v. Douglas Cty., supra.
(ii) Finding of Waiver in CIR's Order
On
appeal, Local 226 does not directly address the question of waiver. Local 226
asserts that the CIR determined "Local 226 did not waive its right to
bargain" and based its decision that the District did not commit a
prohibited practice on Local 226's failure to bargain to impasse. See brief for
appellant at 14. At the end of its order, the CIR stated that "[t]he
reasons given for [Local 226's] failure to bargain to impasse ... do not
constitute a convincing basis for [Local 226's] claim that [the District]
committed a prohibited practice." Based on that statement, Local 226
argues that it should not have been required to negotiate to impasse before
filing petitions against the District. That focus on the CIR s mention of
negotiating to impasse is unfounded.
Considering
the CIR’s order in its entirety, it is clear that the decision was based upon
Local 226's failure to request negotiations. In its order, the CIR stated that
the District provided notice to Local 226 of the proposed changes to the
vacation accrual policy, at which point Local 226 became obligated to request
negotiations if it objected to the changes. Before reaching the point at which
bargaining to impasse was an issue for either party, Local 226 had to request
negotiations. The CIR found that Local 226 did not.
Once
the CIR concluded that Local 226 failed to even request negotiations, any
discussion of negotiating to impasse was extraneous to the CIR s ultimate
conclusion. Indeed, it was only in rebutting Local 226’s allegations why it did
not request negotiations that the CIR addressed the matter of impasse. Implicit
in the CIR's order was that Local 226 waived its right to bargain on the issue
of vacation accrual by failing to request negotiations. As this finding was the
basis of the CIR's decision that the District did not commit a prohibited
practice, it is this finding of waiver that we review on appeal.
(iii)
Legal Requirements for Waiver
It
is possible for employees or their representatives to waive the right to
bargain on mandatory subjects of bargaining. A clear and unmistakable waiver of
a statutory right may be found in the express language of a collective
bargaining agreement, or it may even be implied from the structure of an
agreement and the parties' course of conduct. Hogelin v. City of Columbus, 274
Neb. 453, 741 N.W.2d 617 (2007). An employer bears the burden of
establishing that a clear and unmistakable waiver of a statutory right in a
collective bargaining agreement has occurred. Id. In the instant case, the District had to establish that Local
226 waived its right to bargain on the change in the vacation accrual policy.
Although
there is little Nebraska case law discussing waiver of the right to bargain
under the IRA, the federal courts have extensively discussed waiver under the
National Labor Relations Act, 29 U.S.C. §§ 151 to 169 (2006) (NLRA). The same
standard for waiver exists under the IRA and the NLRA. Compare Hogelin v. City of Columbus, supra, with Intern. Broth. ofElec. Workers
v. N.L.R.B., 706 F.3d 73 (2d Cir. 2013).
And "decisions under the [NLRA] are helpful in interpreting the IRA, but
are not binding." Scottsbluff
Police Off. Assn.
v. City of Scottsbluff, 282 Neb. 676, 681, 805
N.W.2d 320, 327(2011).
The
NLRA provides that a union can waive its right to bargain by failing to request
bargaining or otherwise inform the employer that the union wishes to bargain.
Shortly after the NLRA was enacted, the U.S. Supreme Court explained that an
employer cannot be held liable when the employees have failed to act:
Since there
must be at least two parties to a bargain and to any negotiations for a
bargain, it follows that there can be no breach of the statutory duty by the
employer--when he has not refused to receive communications from his employees--without
some indication given to him by them or their representatives of their desire
or willingness to bargain. In the normal course of transactions between them,
willingness of the employees is evidenced by their request, invitation, or
expressed desire to bargain, communicated to their employer.
However
desirable may be the exhibition by the employer of a tolerant and conciliatory
spirit in the settlement of labor disputes, we think it plain that the statute
does not compel him to seek out his employees or request their participation in
negotiations for purposes of collective bargaining ....
The employer cannot, under the statute, be charged with refusal of that which
is not proffered.
Labor Board v. Columbian Co., 306 U.S. 292, 297-98, 59 S.Ct. 501, 83 L.Ed.
660 (1939).
Since
the NLRA's enactment, many of the federal circuit courts have similarly
recognized the possibility of a waiver by employees or their representatives of
the right to bargain on mandatory subjects of bargaining. See, e.g., Intern. Broth, of Elec. Workers v. N.L.R.B., supra;
N.L.R.B. v. Solutia, Inc., 699 F.3d 50 (1st Cir. 2012); N.L.R.B. v. Seaport Printing & Ad
Specialties, 589 F.3d 812 (5th Cir. 2009); Regal Cinemas, Inc. v. N.L.R.B., 317 F.3d 300 (D.C. Cir. 2003); N.L.R.B. v. Oklahoma Fixture Co., 79
F.3d 1030 (10th Cir. 1996); N.L.R.B. v.
Unbelievable, Inc., 71 F.3d 1434 (9th Cir. 1995); Intermountain Rural Elec. Ass'n v. N.L.R.B., 984
F.2d 1562 (10th Cir. 1993); N.L.R.B. v.
Pinkston-Hollar Const. Services, Inc., 954 F.2d
306 (5th Cir. 1992); N.L.R.B. v. Island
Typographers, Inc., 705 F.2d 44 (2d Cir. 1983); N. L. R. B. v. Alva Allen Industries, Inc., 369 F.2d 310 (8th Cir.
1966); N. L. R. B. v. Rural Electric
Company, 296 F.2d 523 (10th Cir. 1961). Under that case law, "the duty
of an employer to recognize and bargain collectively with a union as the
collective bargaining representative of employees does not arise until after
the union requests the employer to bargain." N. L. R. B. v. Rural Electric Company, 296 F.2d
at 524. The employer must give the union notice that it intends to make
changes to the conditions of employment. See, e.g., Intern. Broth, of Elec. Workers v. N.L.R.B., supra; N.L.R.B. v.
Unbelievable, Inc., supra; N.L.R.B. v. Island Typographers, Inc., supra.
But once notice is given, it places an obligation upon the union to request
bargaining so as not to waive the employees' right to bargain. See, e.g., N.L.R.B. v. Solutia, Inc., supra;
N.L.R.B. v. Seaport Printing & Ad Specialties, supra; Regal Cinemas, Inc.
v. N.L.R.B., supra; N.L.R.B. v. Oklahoma Fixture Co., supra; N.L.R.B. v.
Unbelievable, Inc., supra; Intermountain Rural [286 Neb. 768] Elec. Ass'n v.
N.L.R.B., supra; N.L.R.B. v. Pinkston-Hollar Const.
Services, Inc., supra; N.L.R.B. v. Island Typographers, Inc., supra; N. L. R.
B. v. Alva Allen Industries, Inc., supra; N. L. R. B. v. Rural Electric
Company, supra.
The
union must act with "due diligence in requesting bargaining." N.L.R.B. v. Pinkston-Hollar Const. Services, Inc., 954
F.2d at 310. Any less diligence amounts to a waiver by the
bargaining representative of its right to bargain. Id. "[A] union cannot simply ignore its responsibility to
initiate bargaining over subjects of concern and thereafter accuse the employer
of violating its statutory duty to bargain." N.E.R.B. v. Island Typographers, Inc., 705 F.2d at 51. However, "'[a]
union is "not required to go through the motions of requesting bargaining[]" ... if it is clear that an employer has
made its decision and will not negotiate.'" N.L.R.B. v. Solutia, Inc., 699 F.3d at 64 (alteration and ellipsis
in original) (quoting Regal Cinemas, Inc.
v. N.L.R.B., supra).
Under
federal case law, as under Nebraska law, the burden of proving waiver rests on
the employer:
To establish
waiver of the right to bargain by union inaction, the employer must first show
that the union had "clear notice of the employer's intent to institute the
change sufficiently in advance of actual implementation so as to allow a
reasonable opportunity to bargain about the change." ... In addition, the
employer must show that "the union failed to make a timely bargaining
request before the change was implemented."
N.L.R.B. v. Unbelievable, Inc., 71 F.3d at 1440-41 (citations omitted)
(quoting American Distributing Co., Inc.
v. N.L.R.B., 715 F.2d 446 (9th Cir. 1983) (amended and superseded on denial
of rehearing)). See, also, Hogelin v. City of Columbus, 274 Neb. 453, 741 N.W.2d
617 (2007). Nonetheless, it is important to remember that "[t]he negotiations
of [an employer] must be measured in the light of surrounding circumstances,
which include corresponding attempts at good faith negotiation by the
Union." N. L. R.
B. v. Alva Allen Industries, Inc., 369 F.2d 310, 321 (8th Cir. 1966).
As the Eighth Circuit has explained,
[a] union cannot
charge an employer with refusal to negotiate when it has made no attempts to
bring the employer to the bargaining table. . . . Nor is a union in a good
position to charge an employer with bargaining in bad faith when the union
itself has exhibited little, if any, real desire to reach a bona fide contract
benefitting the members of the bargaining unit which it, by law, is required to
represent.
Id. (citations
omitted).
(iv) Application to Present Appeal
In its order, the CIR concluded that Local 226 waived its right to bargain on
the subject of vacation accrual, because Local 226 had not made a timely
request to bargain. In doing so, the CIR followed its holding in F.O.P., Lodge No. 21 v. City of Ralston, NE,
12 C.I.R. 59, 66 (1994) (quoting N.
L. R. B. v. Alva Allen Industries, Inc., supra), in which the CIR adopted
the following proposition:
Once a union
has notice of a proposed change in a mandatory bargaining subject, it must make
a timely request to bargain. "A union cannot charge an employer with
refusal to negotiate when it has made no attempts to bring the employer to the
bargaining table."
As noted
above, this proposition is widely enforced throughout the federal courts. We
agree with the CIR’s adoption and continued enforcement of waiver in such a
fashion.
Applying
that standard of waiver to the facts in this case, we conclude that after
receiving notice of the District's intended changes to the vacation accrual
policy, Local 226's failure to make a timely request to bargain over the new
vacation accrual policy changes constituted a waiver of Local 226's right to
bargain on what would otherwise be a mandatory subject of bargaining. By
showing that Local 226 received notice of the District's plans to implement a
new vacation accrual policy but failed to request bargaining on the issue, the
District proved a clear and unmistakable waiver by Local 226.
a. Notice to Local 226
The
evidence adduced before the CIR clearly showed that the District provided
sufficient notice to Local 226 that it intended to make changes to the vacation
accrual policy. Huber testified that she notified Local 226 and the other
unions that the board of education was considering making changes to section
4.21 of the policies and regulations. She explained that the provision of the
new policy allowing employees to take up to 5 days advance vacation was
explicitly added to address concerns raised by the unions when she talked with
them.
Anderson,
president of Local 226, agreed that the District gave her "advanced
information about policies and regulations that [it was] considering making
changes to, " including the changes to the vacation accrual policy in
2011. She also confirmed Huber's testimony that the provision allowing for the
advancement of vacation days was "a result of issues and concerns
expressed by Local 226 to [the District] as [it was] contemplating changes to
the policy." In addition to providing advance notice that it was
contemplating changes to section 4.21, the District held two meetings with
Local 226 to discuss the changes. As noted above, the parties stipulated that
on February 9 and March 2, 2011, the District met with Local 226 "to
advise Local 226 of the changes [the District] was going to make" to the
vacation accrual policy.
The
evidence demonstrated that after learning of the proposed changes, Local 226
had multiple opportunities to request negotiations with the District. The
District engaged Local 226 and the other unions in discussions about changes to
the vacation accrual policy prior to adopting those changes. The District
contacted the unions with advance information about the possible changes and
held meetings in February and March 2011.
Anderson
testified that at those meetings, the policy was presented as
"nonnegotiable." However, that testimony is contradicted by
Anderson's testimony that at the meetings, Local 226 was allowed to give
"feedback" that was later incorporated into the new policy. As
Anderson admitted, the provision allowing for advance vacation days was added
in response to the concerns of Local 226 and other unions.
On
May 16, 2011, the board of education considered and adopted the new vacation
accrual policy at a public meeting. Anderson testified that after the adoption
of the new policy but before it took effect on August 1, the District talked
with Local 226 about concerns it had with the policy. She stated that the
District indicated it would work with Local 226 to address any concerns.
On
May 17, 2011, the District distributed a letter to its employees informing them
of the new vacation accrual policy adopted on May 16. Letters were also sent to
employees on August 12 and 22 to advise them of their vacation allotment. The
District's benefits specialist testified that all of the letters were submitted
to Local 226 for review prior to being sent. All three letters also invited
employees to contact the District's benefits specialist if they had any
questions.
Local
226 had numerous opportunities to express its concerns about the new vacation
accrual policy while negotiating with the District about the CBAs for the
2011-12 school year. Local 226 and the District met
for negotiations no less than 15 times between the time when Local 226 was
informed of the proposed changes and when the changes were implemented. Because
there were many negotiations scheduled before implementation of the new vacation
accrual policy, Local 226 had multiple opportunities to raise any concerns that
it had and to add the new policy to the agenda for negotiations.
b. Request to Bargain
Local
226 did not request negotiations over the new vacation accrual policy. Rather,
it consistently passed over the opportunity to do so. At the February and March
2011 meetings with the District, Local 226 did not raise any concerns other
than those relating to vacation advancement. Local 226 did not protest the new policy
at the board of education meeting on May 16 before it was adopted. And despite
the District's indication that it would work with Local 226 to address its concerns,
Local 226 did not raise any specific concerns or request negotiations on the
subject of vacation accrual.
On
June 10, 2011, Local 226 did send a letter to the District, alleging that the
new vacation accrual policy was a prohibited practice. Local 226 requested that
the District "cease and desist from implementing [the vacation accrual]
policy." Local 226 asked the District to "advise
as to [the District's] intentions." When the District responded on June
17, it stated, "We remain open ... to working with Local 226 to address
any concerns about the practical application of the revised policy." Local
226 did not respond. Rather, Local 226 used its letter of June 10 as an excuse
not to negotiate, because it had already expressed its objections.
Despite
alleging on June 10, 2011, that the District had committed a prohibited
practice, Local 226 did not file petitions with the CIR based on that
prohibited practice until 7 months later, on January 27 and 30, 2012. It
entered into negotiations with the District and ultimately signed new CBA's for
the 2011-12 school year well before filing this
action. In the face of a full negotiation schedule and the prospect of adopting
the CBA's that would make the new policy binding on its members, Local 226
still did not raise the matter of vacation accrual. Indeed, Huber testified
that Local 226 did not make any substantive proposals regarding vacation
accrual during negotiations of the CBA's for the 2011-12 school year. Anderson admitted that Local 226 "did not bring
it to the table."
At
the conclusion of these scheduled negotiations, Local 226 did in fact enter
into new CBA's with the District. These CBA's explicitly incorporated the
entire policies and regulations, including the new vacation accrual policy.
Thus, upon entering into these new CBA's, the vacation accrual policy to which
Local 226 objected was made binding upon Local 226 and its members.
Local
226 argues that it did request negotiations with the District and maintains
that the District presented the vacation accrual policy as nonnegotiable. The
CIR considered and rejected those claims. After mentioning Anderson's testimony
that Local 226 requested negotiations about the new vacation accrual policy,
the CIR found that the District did not commit a prohibited practice precisely
because Local 226 failed to request negotiations. In so finding, the CIR
explicitly rejected Local 226's contention that it requested negotiations and
implicitly rejected the testimony upon which the claim was based. Furthermore,
the CIR rejected much of Anderson's testimony attempting to explain why Local
226 did not negotiate. Significantly, the CIR found that Anderson's testimony
that the District considered the vacation accrual policy non-negotiable was not
supported by the other evidence in the case. Taken as a whole, the CIR's order
concluded that the evidence supported the District's version of the facts over
that of Local 226.
This
court will consider the fact that the CIR, sitting as the trier
of fact, saw and heard the witnesses and observed their demeanor while
testifying and will give weight to the CIR's judgment as to credibility. Crete Ed. Assn. v. Saline Cty. Sch.
Dist. No. 76-0002, 265 Neb. 8, 654 N.W.2d 166
(2002). As an appellate court, we do not reweigh testimony. See Henderson v. City of Columbus, 285 Neb.
482, 827 N.W.2d 486 (2013). The testimony before the
CIR presented two versions of the facts surrounding the new vacation accrual
policy. Per our scope of review, we give weight to the CIR s acceptance of one
version of the facts over the other.
c. Conclusion as to Waiver
We
conclude Local 226 was put on notice of the proposed changes and consequently
became obligated to request bargaining if it had any concerns about the new
policy. Local 226 was given more than sufficient opportunity to express
concerns about the new vacation accrual policy and negotiate regarding it.
Those opportunities were available before the policy went into effect and
before it became binding upon Local 226.
Considering
the evidence as a whole and giving deference to the CIR's weighing of the
evidence, we conclude that Local 226 did not request to bargain. Instead, the
preponderance of the competent evidence before the CIR clearly demonstrated
that Local 226 sat on the knowledge that the District planned to make changes
to the vacation accrual policy and signed new CBA's that made those changes
binding on Local 226's members. Such evidence established a clear and unmistakable
waiver of Local 226's right to negotiate.
By
showing that Local 226 failed to request bargaining after being placed on
notice of the proposed changes, the District proved clear and unmistakable
waiver by Local 226 of the right to negotiate. Because Local 226 waived such
right, the District did not commit a prohibited practice by failing to
negotiate with Local 226 about the new vacation accrual policy. The CIR did not
err in so finding.
2. Cross-Appeal
In
the event that we did not affirm the CIR's finding that Local 226 failed to
bargain, thereby precluding a ruling that the District committed a prohibited
practice, the District's cross-appeal provided three alternate routes by which
the CIR could have reached the same result. The District argues that the CIR
erred in not finding against Local 226 for one of those three reasons and asks
that we affirm the ultimate decision of the CIR.
Having
affirmed the CIR's decision, we do not reach the District's errors on
cross-appeal. An appellate court is not obligated to engage in an analysis that
is not necessary to adjudicate the case and controversy before it. Holdsworth v. Greenwood Farmers Co-op,
ante p. 49, 835 N.W.2d 30 (2013).
VI. CONCLUSION
For
the aforementioned reasons, we affirm the CIR's order finding that the District
did not commit a prohibited practice and dismissing Local 226's petitions.
Affirmed.
Miller-Lerman, J., not
participating.