Document: 491 U.S. 490 109 S.Ct. 2584 105 L.Ed.2d 415 PITTSBURGH & LAKE ERIE RAILROAD COMPANY, Petitioner,v.RAILWAY LABOR EXECUTIVES' ASSOCIATION. Petitioner, v. RAILWAY ASSOCIATION, et al. Nos. 87-1589, 87-1888. Argued March 29, 1989. Decided June 21, Syllabus Faced with heavy losses, petitioner Pittsburgh and Lake Erie Railroad Co. (P LE) agreed to sell its assets P LE Rail Co., Inc. (Railco), a newly formed subsidiary of another railroad. Railco intended operate the railroad as had except that it would not assume LE's various collective-bargaining contracts need only 250 750 employees then working for LE. rejected assertion unions representing proposed sale could be implemented until complied Railway Labor Act (RLA) provisions prohibiting carriers from changing rates pay, rules, or conditions embodied in agreements, 45 U.S.C. § 152 Seventh, unless they first give at least 30 days' written notice of, proceed bargain over, agreement change, 156. Section 156 also requires question remain status quo controversy is resolved. Most filed notices proposing extensive changes existing agreements ameliorate sale's adverse impact on employees. again refused bargain, asserting was within exclusive jurisdiction Interstate Commerce Commission (ICC) under (ICA), which noncarriers such seeking acquire rail line obtain ICC's approval, 49 10901. Respondent Executives' Association (RLEA) suit behalf District Court, declaratory judgment respect RLA obligations an injunction against pending completion bargaining. The went strike, Court denied request restraining order ground Norris-LaGuardia (NLGA) prohibited enjoining work stoppage growing out labor dispute. Subsequently, application exemption 10901's requirements pursuant Ex Parte No. 392 Class Exemption (Ex ), provides abbreviated procedures approval acquisitions by operating assets, ICC allowed become effective date required 392. Although 10901 allow require acquiring company provide protection affected sale, none requested protective provisions. granted reapplication ruling negated any duty over effects employees, NLGA did forbid issuance circumstances. However, Appeals summarily reversed, holding ICA accommodation NLGA's restrictions Court's powers, remanding determination whether strike violated RLA. held although have decision sell, 156's provision bargaining satisfied before consummated despite transaction. court therefore RLEA's affirmed. This petitions certiorari challenging, 87-1888, Appeals' affirmance seeking, reversal setting aside injunction. Held: 1. authorize Railco. Pp. 502-512. (a) itself thereafter about sale. those actions when carrier "change agreements." In loss jobs resulting clearly "change," point how alter specific agreement; suggest dealt possibility sought confer rights event guaranteed available indefinitely; explain remove business terminate position employer violate agreement. Nor purport find implied go business, protect consequences 503-504. (b) unions' may far-reaching giving obligate maintain postpone beyond time approved scheduled consummated. Detroit Toledo Shore Line Transportation Union, 396 142, 90 294, 24 325 (1969)—which that, union files notice, forbids make change pre-existing "objective conditions" even if are contained express agreements—does control here, primarily because case involve carrier's quit cease employer. Textile Workers Darlington Mfg. 380 263, 85 994, 13 827 (1965), established close down entirely so much management prerogative unmistakable expression congressional intent will contrary. contains no render employer's consequently reduce zero number employment forbidden provision. Where, silent concerning railroad's has proceeded accordance cannot delay immediate consummation filing notice. construction satisfies obligation avoid conflicts between overlapping statutory regimes, since maintains plenary authority noncarriers. contrast, based likely result cancellation frustration Congress' through amendments deregulate industry assist small lines financial problems. 504-511. (c) limited response notices. Its such, bargainable subject. Nevertheless, extent satisfy proposals changes, might upon That ceased closing after became effective. P. 512. 2. record insufficient this determine correctly set strike. general limitation district courts' power issue injunctions disputes must way necessary enforce specifically imposed statute, ruled creates duty. While does impose gives right seek judicial review dissatisfied, applicable participate proceedings rather than striking. Furthermore, run seller, nothing relieved transaction completed empowered intrude into relationship unions. accommodated RLA, courts injunctive orders strikes violative Since neither lower ever while dispute resolution mechanisms underway, matter resolved remand. 513-515. 831 F.2d 1231, vacated remanded; 845 420, reversed remanded. WHITE, J., delivered opinion unanimous Parts I III, II IV, REHNQUIST, C.J., O'CONNOR, SCALIA, KENNEDY, JJ., joined. STEVENS, concurring part dissenting part, BRENNAN, MARSHALL, BLACKMUN, joined, post, p. 515. Richard L. Wyatt, Jr., Washington, D.C., petitioner. Jeffrey Minear, United States amicus curiae, special leave Court. John O'B. Clarke, respondents. Justice WHITE 1 These cases interaction three federal statutes LE). (RLA), 44 Stat. 577, amended, 151 seq.; 10101 seq. (1982 ed. Supp. V); (NLGA), 47 70, 29 101 2 * LE, owning 182 miles serving points Ohio western Pennsylvania possessing trackage other extending New York. experienced problems increasing severity, having lost $60 million during five years preceding onset these cases. After efforts improve condition failed, notably force reductions, concessions market expansion, decided recoup owners their investments assets.1 On July 8, 1987, approximately $70 subsidiary, Chicago West Pullman Corporation (CWP).2 LE.3 When were notified asserted effect subject §§ Seventh 156, provide: 3 "§ . Seventh. Change contrary section 4 "No carrier, officers, agents shall class, manner prescribed title." 5 Procedure 6 "Carriers representatives thirty affecting conditions, place beginning conference parties interested ten days receipt said provided every where been given, conferences being reference thereto, services Mediation Board either party, proffered services, altered finally acted upon, 155 title, Board, period elapsed termination without proffer Board."4 7 advised stood ready negotiate all aspects matter, including assets. responded willing discuss but (ICC Commission) regime well management's prerogatives conduct affairs sales 8 themselves impacts guarantees cause employee deprived placed worse pay purchaser agreements.5 declined ICC. August 19, respondent, (RLEA), unions, Western Pennsylvania, obligations. September 15, forbade order.6 9 carried o t compliance terms ICA, 10901, certificate public convenience necessity 10901(e) specifies purpose "may" "to fair equitable arrangement who thereby less beneficial interests 11347 title."7 10505, however, authorizes grant exemptions carry national transportation policy.8 Based experience issued what known Exemption, see (Sub. 1), Acquisition Operation Lines Under I.C.C.2d 810 (1985) 392), sub nom. Illinois Comm'n ICC, 260 U.S.App.D.C. 38, 817 145 (1987),9 regulatory procedure, CFR 1150.32(b) (1987), involved seven absent Commission.10 An party oppose petition revoke time, consideration whole indicated, exceptional situations imposed. 10 Accordingly, denying requests reject stay 26. A RLEA October still Commission. At imposition Commission's 10901.11 11 5, reapplied authorization circumstances.12 26, powers. 1231 (CA3 1987). remand ordered resume injunction, threatened do attempted consummate Railco.13 12 forward. Addressing acting ICA. 677 F.Supp. 830 (W.D.Pa.1987). divided affirmed 420 1988). We challenging asking 488 965, 489, 102 526 (1988). 14 properly construed, authorized unsatisfied address consider own justified 15 submits nor (emphasis added) meaning matters. submission, focusing concluding "loss possibly two-thirds 'change conditions.' " F.2d, 428. agreements. It company, continue indefinitely.14 What employer; like Appeals, action 16 Of course, found contracts. R. Transportat 154-155, 301-302, (1969) (Shore ). "in context principals, taken whole, there basis implying understanding particular practice involved." Id., 160, S.Ct., 304 (Harlan, dissenting). But did, action. Neither RLEA. should given "change" contracted it, obligated impending implementation. arguments quite unconvincing. B 17 There more substance holding, going forward "purposely long drawn out" followed settle "major" Clerks Florida East Coast 384 238, 246, 86 1420, 1424, 501 (1966). "rates 155." Relying Line, argues, held, agreement, "working conclusion process include, "those actual, objective practices, broadly conceived, prior arose related dispute." U.S., 153, 301. employer-employee state employed among changed satisfied. unconvinced, several reasons, case. 18 facts briefly stated, these: operated 50 Lang Yard Toledo, Ohio, Dearoad near Detroit, Michigan. For many years, train engine crews reported finished day Yard. perform switching operations points, transported expense outlying points. establish assignments Trenton, Michigan, some 35 north Crews assigned report there. by, violated, parties' amend assignments. settled called mediation. pending, posted bulletin creating disputed assignment Trenton. sued restrain counterclaimed relying union, we dissent Harlan, joined Chief Burger. though propose 156—"rates altered" exhaustion procedure—forbade existing. noted assignments, Trenton assignment; practice, condition, come back violating prevent 153-154, 301-302. 19 our view, place, adherence "objectively" existence union's served, otherwise extended relevant language outer limits, care applying cases.15 Second, reporting Yard, thought, unquestioned considered reasonable deem sufficiently Third, fundamentally, proposal business. Here, agency reason expect, simply existence, especially view substantial role negotiating Whatever else reach, all, think accorded legal significance received below. Our indicate much. 20 closed textile mill won representation election. National Relations concluded unfair 8(a)(1) (3) (NLRA). disagreed, complete par ial liquidation motivated antiunion animus practice. part,16 insofar NLRA concerned, "has absolute his entire he pleases. ." 268, 998. limits 8(a)(1), said, one decisions "so peculiarly matters never constitute violations" section. 269, 999. ceasing refusing 8(a)(3) 8(a)(5) done animus. 267, n. 269-274, 998, 999-1002. "A proposition single businessman choose wants represent startling innovation entertained clearest manifestation legislative unequivocal precedent construing Act." 270, neither.17 21 NLRA, convinced guided admonition suffice fulfillment served litigation. Absent direction contrary, cases, Railco, implemented, removed business; longer No members concedes expressly waived trump Brief 44. same follows circumstances, little expect company's departure Congress transactions contract sell. permitting effective, free enjoined doing so. 22 responds two namely, respects overlap. As "are liberty pick enactments, capable co-existence, courts, expressed intention regard each effective." Morton Mancari, 417 535, 551, 94 2474, 2483, 41 290 (1974). read can preserving sense purpose." Watt Alaska, 451 259, 1673, 1678, 68 80 (1981); Fausto, 484 439, 453, 108 668, 676-677, 98 act accordingly 23 exercised Clause regulate century. See commerce 1887 (the ICA), ch. 104, 379. so, transactions, ranging extensions, consolidations, abandonments, acquisitions. particular, 10901(a) permits determines "the present future permit" acquisition operation. approve certification satisfaction conditions. Specifically, 10901(e). Acting proceedings, declared noncarrier resumptively exempt regulation. Such deemed entities. (1987). And showing entitled demonstrate, procedures, 10505 generally, last decades, see, e.g., Revitalization Regulatory Reform 1976, Pub.L. 94-210, 31; Staggers 1980, 96-448, 1895, aimed reversing industry's decline deregulatory efforts, above streamlining effectuate economically efficient transactions. Here presented requested. applications exemption, successfully delaying times tension left room easing tensions. air industries generally disagree conclusion, confident reasonably would, degree, harmonize statutes.18 effectively prevented forward, granted. C 25 rests pre-emptive serve connection conclude hold, motions. below agrees, disregard demand effects. settled, made. To demands assent buyers, dictate challenged itself. already negotiated. itself, arrived, which, occur effective.19 constrained reverse III 26 correct 1987. prejudicial interests, prohibition issuing decision, NLGA, reversed. agree decision. 27 RLA: "[T]he orders" "notwithstanding Trainmen Howard, 343 768, 774, 72 1022, 1025, 96 L.Ed. 1283 (1952). Thus, striking concerns interpretation compulsory arbitration. River Indiana 353 30, 77 635, 622 (1957). take precedence 41-42, 641. arbitrate contractual no-strike clause NLGA. Boys Markets, Retail Clerks, 398 235, 1583, 199 (1970). 28 Petitioner contends likewise mandated provisions, dissatisfied. urged comprehensive scheme issues arising ICC-regulated advantage unpersuaded statute. attention imposes protections seller. Yet here wanted ease end, notices, closed. duty, anything empo ers selling thus sure duties issue, stated: "We intimate enjoin Act's underway. complaint declaration merits court." 1237. remand, indeed not, occurred filed, enjoinable deal affirming perfunctorily asserts briefs proper served. respond assertion. With position, pursue issue. Instead, vacate live IV 31 87-1888 87-1589 vacated, remanded further consistent opinion. 32 So ordered. 33 whom BLACKMUN join, part. 34 Regulated utilities freedom pressures unregulated firms have.1 They raise cut example, permission agency. significantly enter approval. Ignoring principle, Part arrives perhaps preferable policy, contradicts previous interpretations statute.2 governmental regulation.3 year individual powerless boundaries, Wabash, S.L. P.R. Illinois, 118 557, 4, 244 (1886), economic industry. Act, V). Regulation relationships followed,4 1926, enacted 36 intervening six decades marked relatively peaceful coexistence statutes. During course relationship, means resolving disputes. ante, 496, 4; Consolidated Assn., 299, 302-304, 2477, 2479-2481, (1989). If end consolidation, abandonment, routinely conditioned acceptance job form severance change. Lowden, 308 225, 60 248, 84 208 (1939).5 Cf. 498. 37 symbiosis ended 1985, announced short-line railroads circumstances shown. 810, 815 (1985), (1987); 498-501. Suddenly important collective Unlike contracts, periodic renegotiation notification, desire Tr. Oral Arg. 66-67. Thus surprising litigation until—just months abdicated traditional role—plans surfaced.6 38 disagreement abandonment follows, believe, railway inclusion 496-497, statutorily risk consequence breach First, adm ts acknowledges announced. Ante, 504, indicates preserve quo, prohibit sell," negotiations soon 512.7 diminution contravenes interpreting 39 Telegraphers N.W.R. 362 330, 761, 774 (1960), decided, commissions, abandon large local stations hundred station attendants payroll. "command[s] exert effort 'concerning conditions,' implementing partial 339, 766 (quoting First First). continued: "It stretch credulity too far say designed workers, somehow precisely stability permanence workers. law, certainly infer making unlawful want vitally adversely affect security, seniority jobs." 339-340, 766. 40 holds decides significant employees' security concerned new once RLA's 'purposely out' process. 149, 299 (1966)). argument "status quo" encompassed parties: 42 say. speaks plainly 'rates conditions' More important, persuaded sharply variance overall design 148, 298. 43 construed mean Today proffers reasons why includes "conditions 'objectively' served" stretched statute limits," 506. am true; is, unambiguous law. suggests fact expectation "that RLA." restates Harlan's 159-160, 304-305. emphasis remarks avails nothing, instant procedure. By subjective measure, therefore, preserved throughout most importantly, contrast all," 507. simple reply spite claims 'managerial prerogative' advanced here,8 Tele- graphers y constituted difference transfer ownership cases: both, service before, lose jobs. 46 Management's motive Telegraphers, costs eliminating dispensable jobs, perfectly reasonable. Clark wrote: "Today tells suffer latter death knell Hence, practical purposes, telling secure severing hundreds surplus now Everyone knows answer be. suitor who, hand young lady, told her 'go father.' But, parody goes, 'She knew father dead; she life led; meant "go father." ' 343-344, 768 (dissenting opinion). 48 Had proceeded, compared 495. benefits reduction obvious achieved obsolete system Telegraphers. just obvious, commands Judge Becker Appeals: fully aware unfortunate ramifications irony order, foster conciliation, promote peace, ultimately keep rails running, perverse destroying chance survival very trying protect. happy result, feel reach Supreme appropriately admonished judiciary apply brand 'common sense' face mandate." 446 1988) (citing TVA Hill, 437 193-195, 2279, 2301-02, 57 117 (1978)). evade natural relies later opinions declaring "an pleases," closure mandatory bargaining, Maintenance Corp. NLRB, 452 666, 2573, 69 318 (1981). 507-509, 17. interpreted strictures places Corp., situation different governance regulated industry.9 51 today regulation market. Perhaps freedom, best interests. overruled interpretations, observed, inappropriate judges undertake fill perceived policy void. 52 affirm Attempts interest major property unavailing b high cost purchases carrier. ed., V), forth 7, infra. certain real estate 6,000 cars. CWP anticipated inviting submit preference them hiring. expected Disputes Minor involving former 155, specify functions Board. Jacksonville Terminal 394 369, 378, 89 1109, 1115, 344 (1969), described disputes: "The detailed framework facilitate voluntary settlement desiring rates, advance 6. confer, fails resolve dispute, both invoke sua sponte finds emergency exist. First. mediation fails, endeavor induce binding arbitration, consent. 7. arbitration threatens 'substantially interrupt interstate degree deprive country essential service, notify President,' create board investigate 10. stages, unilaterally quo. 6, 10." essentially "1. Company [was actively absence] 1, 1986 1987 compensation resignation, retirement, dismissal justifiable cause. formulae allowances, separation option, comparable York Dock "2. receive, addition make-whole-remedy, penalty equal fringe consequential damages suffered employee. "3. agrees commitments properties [of LE's] hire physicals, Organization Agreement select forces acquired." App. 42, 46, 50, 54, 58, 62, 66, 122, 126. part: 104. Enumeration acts temporary permanent person persons participating (as herein defined) doing, singly concert, following acts: "(a) Ceasing relation employment; 108, here: 108. Noncompliance failure negotiation preventing relief complainant failed comply law question, aid machinery arbitration." Title V) mergers consolidations: 11347. Employee arrangements "When sections 11344 11345 11346 February 405 Passenger Service (45 565). Notwithstanding subtitle, made representative approving final (or lesser period)." 10505. Authority providing subchapter, person, class persons, subtitle— "(1) 10101a title; "(2) (A) scope, (B) subtitle needed shippers abuse power. "(g) exercise (2) relieve subtitle." brief background: "In deregulation occasioned passage 194-45, numerous short regional created, marginally profitable unprofitable entities eager service. considering sales, hampering development and, indeed, forcing marginal 10903 facilities, began withholding sales. applications, determined formation encouraged. formations, promulgated exempted full retaining authority, revocation power, problem transaction." 3-4 (footnote citations omitted). demanded Commission, I.C.C.2d, 815. modified procedure 1988 extend waiting days. 53 Fed.Reg. 5981-5982 supra. preliminary reviewed Appeals. terminated Efforts buyer unsuccessful, bearing recognized agre , moot. Also, late September, informal exchanges 14, invoked April 1988, (CA3), indicate, differences. Indeed, stated "P appear contemplate type [i.e., lines], permit sale." 428, 9. 3, contain guarantees, claim survive line. deals proffered. i.e., rules specified Because surely arguable open implied, whatsoever. construction, indicated text, inclined thought findings. 276-277, 1002-1003. (1981), Co.,, harm freely deciding shut purely outweighs incremental benefit gained participation decision." 686, 2584. Further, segment "is 8(d)'s 'terms bargaining." Ibid. (1960). compelled us mandatory. pointed distinctions closely reasoned single-agent hence abolish Maintenance, analysis rested "expansive" reading govern NLRA. 687, 23, 2585, 23. case, examine eliminate consolidate little-used stations. extreme terminating considerations prompting enlarged scope light Darlington, reaffirmed, retire dissent, 518-520, seems assert out, involve. odds argues impermissible collateral attack construe them, complementary regimes. permitted, finding enforcement 515, ignore principle utility, consent obtained. yet contemplated, place. E.g., D. Hjelmfelt, Antitrust Industries 1.3 (1985). factual description join W. Jones, Cases Materials 7-11, 24-55 (2d 1976); M. Glaeser, Public Utilities American Capitalism 57-71 (1957); I. Sharfman, pt. pp. 11-35 (1931). See, Hours 1907, 61-66; Federal Employers' Liability 1908, 51-60. Sharfman 180-182; Lecht, Experience Legislation 14-46 (1955). Lowden included salary-level maintenance, preservation rights, relocation payments. 228, 250. Stone wrote Court: "One history relations able treatment mitigation hardship carrying successful prosecution maintenance adequate system." 234, 253. 315 373, 62 717, 904 (1942). greater suggests, commenced. 512, 19. believe fault reaction to—rather anticipation of—the railroads' initiatives. Compare 332, 762, id., 349, 771 (Whittaker, dissenting) (majority rejects improper petitioned commissions jobs). 146, 297, (1969). abrupt halt requiring protections, moreover, distinction unfairly penalizes neglects mention months, whereas resort entail "virtually endless 'negotiation, mediation, conciliation.' Burlington Northern Way Employes, 481 429, 444, 107 1841, 1850, 95 381 (1987) 148-149, 298). consummated, incentive expedite minimal affords scarcely 336, 765 ("We 'represents attempt usurp legitimate managerial economical operations' "), ("A quintessential prerogative"). stressed "rested aims policy. 336-338, 764-66. [is] coextensive [National Relations] Board's practices. 402 570, 579, 11, 91 1731, 1736, 187 (1971) ('parallels good faith effort, parallels utmost awareness differences schemes')." 686-687,

Category: 6