Opinion ID: 536496
Heading Depth: 2
Heading Rank: 3

Heading: The Relevance of Current Prevailing Practices to Negotiability Determinations Under Subsection 704(b)

Text: 21 We disagree, however, with the FLRA's conclusion that the sole determining factor in deciding the scope of bargaining under section 704[ (b) ] is whether the subject matter of a proposal had been negotiated by the parties prior to August 19, 1972. VOA v. NFFE, 33 F.L.R.A. at 561. When the subject for negotiation is pay and pay practices, rather than terms and conditions of employment, negotiability may depend on current prevailing practices in the industry. Subsection 704(b) provides: 22 The pay and pay practices relating to employees referred to in paragraph (1) of this subsection shall be negotiated in accordance with prevailing rates and pay practices without regard to any provision of-- 23 (A) chapter 71 of title 5, United States Code (as amended by this title), to the extent that any such provision is inconsistent with this paragraph; 24 (B) subchapter IV of chapter 53 [the Prevailing Rate Systems subchapter] and subchapter V of chapter 55 [the Premium Pay subchapter] of title 5, United States Code; or 25 (C) any rule, regulation, decision, or order relating to rates of pay or pay practices under subchapter IV of chapter 53 or subchapter V of chapter 55 of title 5, United States Code. 26 CSRA Sec. 704(b), 5 U.S.C. Sec. 5343 note. In subsection 704(b), in accordance with prevailing rates and practices defines the permissible range of outcomes of negotiations--not which subjects may be negotiated. 27 The House report accompanying the Civil Service Reform Act of 1978 supports this reading of section 704. The House report plainly distinguishes between the rights to bargain guaranteed under subsection 704(a) and those protected by subsection 704(b): 28 Section 704(d)(1) [now subsection 704(a) ] authorizes and requires the agencies to negotiate on any terms and conditions of employment which were the subject of negotiations prior to August 19, 1972, the date of enactment of [the PRSA]. Section 704(d)(1) may not be construed to nullify, curtail, or otherwise impair the right or duty of any party to negotiate for the renewal, extension, modification, or improvements of benefits negotiated. 29 Section 704(d)(2) [now subsection 704(b) ] requires the negotiation of pay and pay practices in accordance with prevailing pay and pay practices without regard to chapter 71 (as amended by this conference report), subchapter IV of chapter 53, or subchapter V of chapter 55, of title 5, United States Code, in accordance with prevailing practices in the industry. 30 H.REP. NO. 1717, 95th Cong., 2d Sess. 159 (1978), U.S.Code Cong. & Admin.News 1978, pp. 2723, 2893-2894. Indeed, it is hardly surprising that Congress would provide for a wider scope of bargaining on terms and conditions of employment than on pay and pay practices in a statute that establishes an elaborate mechanism for assigning wages in accordance with prevailing rates.