Assignment 2:

BACKGROUND: The Picasso Company's paint gun factory includes three shifts of machinists who are represented by Lodge 821 of the International Association of Machinists and Aerospace Workers (IAM). Historically, the day shift did not have a leader position, unlike the second and third shifts. However, a group of first shift (day) employees presented management with a petition calling for a first shift leader. The employees also developed a list of qualifications for the job. After some investigation, the factory manager, Sharon Murphy, decided that this was a good idea and began the process of selecting an employee for first shift leader.

Murphy first developed her own list of qualifications for the position, which turned out to be quite similar to the employees' list. In particular, it was felt that the position required "a knowledgeable employee to whom others could turn for help and who would troubleshoot and offer suggestions, or do whatever else was necessary to make the operation run more smoothly and efficiently." Moreover, Murphy thought the position needed "a self-starter who did not need to be told what to do."

When the position was posted, there were two applicants: Machinist First Class Robert Elder (seniority date March 10, 1987) and Machinist Second Class Mary Younger (seniority date July 6, 1991). Younger was rated as qualified for machinist first class but had not received a promotion because of a lack of vacancies. Elder was a second and third shift leader for five years until he voluntarily resigned as leader to bump into a day shift position so that he could spend more time with his family. There was a $0.93 per hour pay differential between machinist first class and second class. Leaders received $0.43 per hour above the machinist first class rate. In the past, the second and third shift leader positions were awarded to the senior applicant the majority of the time. No grievances were ever filed when the less senior person was selected. There was no record of a second class machinist ever being promoted to leader.

Murphy interviewed both individuals and also dis- cussed the candidates with a supervisor, Rick Hatch. In the interviews Murphy asked questions regarding initiative, communication skills, decision-making abilities, and scheduling flexibility. Supervisor Hatch evaluated Younger higher than Elder: He felt Younger had better interpersonal skills and greater initiative (Younger would take it upon herself to act whereas Elder would wait to be asked).

Hatch also indicated some flexibility and communication concerns stemming from when Elder had been third shift leader. In particular, Hatch wanted Elder to arrive early enough to discuss instructions and problems with the second shift leader, but Elder rarely was able to because he was in a carpool. Elder never arrived late. In fact, Elder had never been disciplined and had achieved nearly perfect attendance. Hatch also communicated to Murphy that he encouraged Elder to operate a machine with a longer cycle time (in fact the same machine Younger used) when he was third shift leader so he could spend more time with other employees. Elder, however, felt it would be unfair to the other employees if he didn't rotate machines like everyone else. As the third shift leader, Elder was in possession of the building keys and alarm codes after the supervisor clocked out each night.

After her interviews with Elder and Younger and her conversations with Hatch, Murphy selected Younger for the first shift leader position. Her decision was based on "her assessment of Younger as having the edge in interpersonal skills, communication skills, initiative, and attitude in that Younger seemed to enjoy doing the kinds of things that would be required of a leader." She also felt "employees would be more comfortable going to Younger with their questions" and stated that "she considered seniority in making the decision."

Subsequently, Elder filed a grievance claiming the company violated the collective bargaining agreement by failing to give full consideration to Elder's seniority and qualifications and by promoting the more junior employee.

POTENTIALLY RELEVANT CONTRACT PROVISIONS

Section 20.1. Awarding a Job Bid. When job openings occur or there are vacancies in classifications covered by this agreement, excluding leader classifications, the corporation shall post on its bulletin boards a notice of such opening or vacancy, indicating the rate of pay for a period of three (3) days, in order to afford employees an opportunity to qualify for such open- ing or vacancy on the basis of seniority and ability to perform the available work. The corporation shall not be required to consider the bid of a probationary employee. At the end of the third (3rd) day, the job opening or vacancy shall be filled by the employee who qualifies as soon as possible, but not to exceed ten (10) working days.

Section 20.4. The provisions of this section, however, shall not be construed to prevent the corporation from immediately filling vacancies in order to maintain scheduled production requirements, subject to the posting provisions of this section. In filling vacancies in leader positions covered by this agreement, the corporation agrees to give full consideration to seniority and the qualifications of employees in filling such vacancies.

1. As the president of IAM Lodge 821, how would you try to convince an arbitrator that the selection of Mary Younger violated the collective bargaining agreement?

2. As the human resources manager, develop a case for your contention that the selection of Mary Younger did not violate the contract.

3. As an arbitrator, how would you rule? Why?