Case Name: Edward COWARD, Appellant, v. ADT SECURITY SYSTEMS, INC., Appellee
Court: United States Court of Appeals for the District of Columbia Circuit
Jurisdiction: United States
Decision Date: 1999-11-12
Citations: 194 F.3d 155
Docket Number: No. 98-7230
Parties: Edward COWARD, Appellant, v. ADT SECURITY SYSTEMS, INC., Appellee.
Judges: Before: EDWARDS, Chief Judge, WALD and WILLIAMS, Circuit Judges.
Reporter: Federal Reporter 3d Series
Volume: 194
Pages: 155–164

Head Matter:
Edward COWARD, Appellant, v. ADT SECURITY SYSTEMS, INC., Appellee.
No. 98-7230.
United States Court of Appeals, District of Columbia Circuit.
Argued Oct. 6, 1999.
Decided Nov. 12, 1999.
H. Vincent McKnight, Jr., argued the cause and filed the briefs for appellant.
Max H. Lauten argued the cause and filed the brief for appellee.
Before: EDWARDS, Chief Judge, WALD and WILLIAMS, Circuit Judges.
. Presumably, the majority also affirms the grant of summary judgment in ADT’s favor on Coward's retaliation claim.

Opinion:
Opinion for the Court filed by Chief Judge HARRY T. EDWARDS.
Opinion filed by Circuit Judge STEPHEN F. WILLIAMS concurring in part and dissenting in part.
HARRY T. EDWARDS, Chief Judge:
Appellant, Edward Coward, alleges that, in violation of 42 U.S.C. § 1981 (1994), his employer, ADT Security Systems, Inc. ("ADT"), intentionally discriminated against him by paying him less than similarly situated white employees who hold the same job titles. The District Court, however, found Mr. Coward's allegations baseless. As a result, it granted ADT's motion for summary judgment.
This marks the second time that the District Court has granted summary judgment in ADT's favor. When the case was first heard, the District Court ruled that Mr. Coward had failed to make out a prima fade case of discrimination. See Boling v. ADT Sec. Sys., No. 95-2062, 1997 WL 198111 (D.D.C. Apr.11, 1997). On appeal, this judgment was reversed, and the case was remanded to the District Court for further proceedings. See Coward v. ADT Sec. Sys., 140 F.3d 271 (D.C.Cir.1998) ("Coward I").
On remand, the District Court recognized that there was no longer a question as to whether Mr. Coward had met the burden of establishing a prima facie case. See Coward v. ADT Sec. Sys., Civ. Act. No. 95-2062, Mem. Op. at 3, 7 (D.D.C. Nov. 18, 1998), reprinted in Joint Appendix ("J.A.") 142,204, 142,208. The District Court also recognized that there were at least three genuine issues of fact before it: whether similarly situated white employees were better compensated than the plaintiff; whether the plaintiffs salary grade reflected wage discrimination; and whether the plaintiff was still in fact working as a Telecommunications Network Facilities Manager ("TNFM") even after being reclassified to a lower position title. See id. at 3, reprinted in J.A. 142,204. However, the District Court noted that the decision in Coivard I referred only to "genuine issues of fact, not genuine issues of material fact." Id. at 4, reprinted in J.A. 142,205. Thus, the District Court assumed that the "materiality" of these factual issues remained to be determined. The District Court also was convinced that the judgment of the Court of Appeals did not compel a jury trial; this made sense, because the decision in Coivard I merely directed the trial court to complete the summary judgment inquiry prescribed by McDonnell Douglas Corp. v. Green, 411 U.S. 792, 93 S.Ct. 1817, 36 L.Ed.2d 668 (1973), to determine whether ADT could proffer a nondiscriminatory reason for Mr. Coward's lower salary and grade, and whether Mr. Coward could rebut such a proffer. See Coward I, 140 F.3d at 276.
After reviewing the evidence before it, the District Court concluded that Mr. Coward had failed to show that his duties were comparable to those of other TNFMs and that there was no evidence to indicate that the reduction in his job grade was motivated by race. See Mem. Op. at 9, reprinted in J.A. 142,210. In short, the District Court held that "the plaintiff failed to introduce any evidence or even argue any rationale for finding the defendant's reasons merely a pretext for discrimination." Id.
On appeal, Mr. Coward again asserts that the trial judge has usurped the jury's fact-finding function in resolving material issues of fact. Mr. Coward's most compelling argument is that ADT failed to offer a reasonable business justification for the salary and grade disparities that occurred before April 19, 1995, ie., before the date when he was reclassified and demoted from an E-9 to an E-8 salary grade. On this point, Mr. Coward notes that only the District Court, not the defendant, proffered the explanation that any disparities between Mr. Coward and white employees who were also classified as TNFMs must have been attributable to the fact that Mr. Coward's duties were "narrower" than those of the other TNFMs. See Initial Br. of Appellant at 18-19; see also Mem. Op. at 7-8, reprinted in J.A. 142,208-09 (providing the District Court's "logical inference" that ADT's proffered justification extended to the pre-reclassification period).
On the record at hand, we have no choice but to reverse and remand again for further proceedings before the District Court. Although the District Court was correct in concluding that ADT's justification for salary and grade disparities between Mr. Coward and TNFMs during the post-reclassification period was not pretex- tual, the court erred in reaching the same conclusion with respect to the period from March 1994 to April 19, 1995, when Mr. Coward was promoted to and worked as a TNFM. As the District Court apparently-recognized, ADT offered no justification whatsoever for the salary and grade disparities that existed during this period. Thus, it was not for the District Court to "infer" a justification where none was forthcoming from the employer. The case must be remanded for a precise determination as to whether ADT can proffer a nondiscriminatory reason for Mr. Coward's lower salary and grade during the pre-classification period, and whether Mr. Coward can rebut such a proffer, or whether the case must proceed to trial. ❖ # #
In reviewing the District Court's grant of summary judgment, this court reviews the evidence de novo. See Hall v. Giant Food, Inc., 175 F.3d 1074, 1077 (D.C.Cir.1999). Indeed, "a party is only entitled to summary judgment if the record, viewed in the light most favorable to the nonmoving party, reveals that there is no genuine issue as to any material fact." Id. (quoting Aka v. Washington Hosp. Center, 156 F.3d 1284, 1288 (D.C.Cir.1998) (en banc)) (internal quotation marks omitted). Of particular importance in this case, if material facts are susceptible to divergent inferences, summary judgment is not available, because all inferences must be drawn in favor of the non-moving party. See Alyeska Pipeline Serv. Co. v. United States Envtl. Protection Agency, 856 F.2d 309, 314 (D.C.Cir.1988). In addition, "summary judgment will not lie if . the evidence is such that a reasonable jury could return a verdict for the nonmoving party." Giant Food, 175 F.3d at 1077 (quoting Aka, 156 F.3d at 1288) (internal quotation marks omitted). We review the record in this case with these standards in mind.
ADT has employed Edward Coward, an African-American male, since October 3, 1974. A supplier of electronic security systems and services, ADT maintains a salary grade structure consisting of grades E-3 through E-20. Each grade has five salary steps. Salary ranges between grades overlap. ADT assigns job titles, codes, and grades to every employee. Employees with the same job title may have different codes, different grades, and even different duties; together, all of these factors determine salary. Job titles generally reflect duties performed and serve as an important factor in setting salary. See Coward I, 140 F.3d at 272-73.
An E-8 for most of the last 18 years, Mr. Coward was briefly promoted in March 1994 to a TNFM job, in a position purportedly carrying a grade of E-9. Approximately one year later, on April 19, 1995, ADT reclassified him from E-9 back to E-8, later changing his title to "Technical Support." In his reclassified grade and position, Mr. Coward earned less than most TNFMs, all of whom were white; however, he earned more than most Technical Support staff. See id. at 273. The main point is that, following his reclassification, Mr. Coward's job duties were narrower than those of employees then working as TNFMs. Not surprisingly, ADT proffered that, during the post-reclassification period, Mr. Coward earned less than the cited white employees because he had fewer job responsibilities. Mr. Coward offered nothing sufficient to refute this or to otherwise suggest that the explanation was pretextual.
The problem with this case arises with respect to the pre-reclassification period, i.e., the period when Mr. Coward admittedly was assigned to the position of TNFM. Mr. Coward claimed he was never given an E-9 grade and was never given a salary commensurate with that grade upon promotion. ADT argued otherwise. The District Court noted that the parties disagreed over these points, and the record offers no clear answers.
Mr. Coward says that, in any event, he was paid less than white TNFMs during the cited pre-reclassification period. This hardly seems surprising, because if Mr. Coward was concededly paid less than white TNFMs immediately after his reclassification, he undoubtedly was paid less immediately before the reclassification. In Coward I, we said that, "[h]aving identified eight higher-paid white employees, the majority of TNFMs, Coward has satisfied the minimal requirements of a prima facie case." Id. at 276. An ADT manager acknowledged in his deposition that there were company records available to address salary disparities during the pre-reclassifi-cation period, yet none were offered. See Deposition of Edward B. Pictroski at 86-87, reprinted in J.A. at 141,624-25. And ADT did not assert before either the trial court or this court that Mr. Coward was fabricating or otherwise wrong in his claim that his salary was below what was'being paid to other TNFMs during the period when he was promoted to that position.
The District Court sought to escape the problem of ADT's failure to explain the pre-reclassification period by finding a "logical inference" to support a conclusion that Mr. Coward's duties always have been narrower than other TNFMs. Mem. Op. at 7-8, reprinted in J.A. 142,208-09. We reject this approach as entirely unacceptable under McDonnell Douglas and its progeny.
First, under the McDonnell Douglas framework, a party alleging discrimination must establish a prima facie case of prohibited discrimination. See 411 U.S. at 802, 93 S.Ct. 1817. Once he has done so, the burden shifts to the employer to articulate legitimate, nondiscriminatory reasons for the challenged employment decision. See id. If the employer presents such reasons, then the complainant (who always carries the burden of persuasion) has the opportunity to discredit the employer's explanation. See id. at 804-05, 93 S.Ct. 1817. In this case, Mr. Coward has established a prima facie case-that is no longer in issue. ADT was required to respond. And the District Court should not have responded on behalf of ADT.
Second, as the District Court plainly recognized, there was a significant difference between the alleged salary disparities in the pre- and post-reclassification periods. In other words, each period warranted a legitimate, nondiscriminatory reason for the challenged employment practices. And the District Court also recognized, as do we, that ADT offered an explanation only for the post-reclassification period.
Third, the District Court's purported "logical inference" that Mr. Coward's duties always have been narrower than other TNFMs does not survive scrutiny. For one thing, it does not follow that because Mr. Coward earned a salary below the rate paid to TNFMs after he was demoted to a lesser grade and a different title he necessarily should have been paid at a lower rate during a period when he was assigned to the higher TNFM position. The record here indicates that job title carries weight in the assignment of job grades and salaries, presumably because a job title denotes something about job responsibilities.
Furthermore, there is at best confusion on the record here as to whether Mr. Coward's job duties changed after he was reclassified. Compare Deposition of Edward B. Pictroski at 75, reprinted in J.A. 141,613 (observing that when Mr. Coward's job changed from TNFM to Technical Suppori^SSO, his duties changed), and Deposition of Edward Coward at 66, 124-25, reprinted in J.A. 141,862, 141,872 (recounting that Mr. Coward was' excluded from supervisory meetings after his reclassification), with id. at 60, reprinted in J.A. 141,861 (noting Mr. Coward's statement that he was "basically doing the same job" after he was demoted from his TNFM status). It appears that ADT's management officials viewed Mr. Coward as being in a lesser position after reclassification and that Mr. Coward's supervisory position in the company changed. Thus, even if his day-to-day duties remained steady, his status and responsibilities were diminished. If, as appears to be the case, Mr. Coward's position diminished after reclassification, then there is no way to draw a "logical inference" about what he should have been paid as a TNFM performing greater duties before reclassification.
There is another potential material issue of fact yet to be resolved on this record. As noted above, the District Court recognized that the parties disagreed over whether Mr. Coward actually received his E-9 grade when he was promoted to the TNFM position. The District Court dismissed this question as "immaterial," on the assumption that the "defendant has introduced evidence that plaintiffs duties were narrower in scope than employees at the E-9 salary grade." Mem. Op. at 8, reprinted in J.A. 142,209. However, just as there is no proffer from ADT to explain salary disparities during the pre-reclassification period, there is also no proffer explaining why Mr. Coward may not have received the E-9 grade. Indeed, the District Court's observations on this point are perplexing, because ADT argues that it did in fact promote Mr. Coward and then later reclassified him to a lower grade and title. And it surely cannot be said that a higher job grade is insignificant, for, although some salaries overlap two grades, higher grades carry higher scales of pay. Thus, Mr. Coward, like any employee, obviously would have been better off with a higher than with a lower salary grade.
The District Court was correct in concluding that ADT offered a legitimate business justification for salary and grade disparities between Mr. Coward and TNFMs during the post-reclassification period, and that Mr. Coward failed to show that this justification was a pretext for unlawful discrimination. However, the court erred in reaching the same conclusion with respect to the period from March 1994 to April 19, 1995, when Mr. Coward was assigned to work as a TNFM. If there is an explanation to be offered for the pre-reclassification period, it must come from ADT, not the District Court.
As indicated above, our review of the record reveals material issues of fact yet to be resolved in the trial court. This might require a trial of the issues, but we are not sure about this. In candor, it appears that the record in this case is a bit of a muddle, so we do not know whether this matter is still susceptible to disposition pursuant to summary judgment. The problem now is that ADT has failed to proffer explanations with respect to practices occurring during a specific time period, and Mr. Coward has had no occasion to respond to any such proffers. It is possible that this can be done after the parties are permitted to supplement the existing record before the District Court and then offer appropriate motions. However, if the material issues of fact survive supplementation and any new motions for summary disposition, the case will have to proceed to trial.
For the reasons given herein, the judgment of the District Court is affirmed in part and reversed in part. The case is hereby remanded to the District Court for further proceedings consistent with this opinion.
So ordered.