Thomas M. Durkin, United States District Judge.
Plaintiff Robert House, Jr. brings claims under the Fair Labor Standards Act ("FLSA"), 29 U.S.C. § 201 et seq., the Illinois Minimum Wage Law ("IMWL"), 820 ILCS § 105 et seq., and the Illinois Wage Payment and Collection Act ("IWPCA"), 820 ILCS § 115 et seq. House alleges that his employer, Illinois Bell Telephone Company, did not pay him overtime compensation for the time he worked before his shift started, during his lunch breaks, and after his shift ended. R. 14. Specifically, House alleges that since he began working for Illinois Bell on February 1, 2005, id. ¶ 16, he spent (1) 25 to 30 minutes before his eight-hour shift began, three to five days each week, cleaning his truck, checking for and ordering supplies, reviewing job assignments, talking with his manager and co-workers about work, and completing time sheets from the previous day ("pre-shift claims"), id. ¶¶ 17, 32-34; (2) 30 minutes during his mandatory lunch break, three days each week, securing job sites, monitoring testing equipment, and driving between job sites ("lunch break claims") id. ¶¶ 17, 35-37; and (3) 30 minutes after his eight-hour shift ended, three to five days each week, cleaning out his truck, checking and ordering supplies, reviewing blueprints, reviewing job assignments, talking with his manager and co-workers about work, and completing paperwork ("post-shift claims"), id. at ¶¶ 38-40.
Illinois Bell moves to dismiss House's FLSA claims to the extent they predate February 28, 2011 on the ground that they are time-barred. Illinois Bell also moves to dismiss House's IWPCA claim on the ground that House has not alleged a valid agreement on which to base those claims. Accepting all well-pleaded facts as true and drawing all reasonable inferences in House's favor, see Mann v. Vogel, 707 F.3d 872, 877 (7th Cir.2013), the Court grants in part and denies in part Illinois Bell's motion to dismiss House's FLSA claims, and grants Illinois Bell's motion to dismiss House's IWPCA claims.
The FLSA provides a two-year statute of limitations for ordinary claims and a three-year limitations period for willful violations. 29 U.S.C. § 255(a). The parties agree that House originally filed this action on February 28, 2014. Tinoco v. Ill. Bell Tel. Co., No. R. 2 (N.D.Ill.). Nevertheless, House seeks damages for nearly seven years, i.e., going back to August 5, 2008. R. 14 ¶ 12. House argues that the earlier-filed collective action Blakes v. Illinois Bell Co., No. 11-cv-336 (N.D.Ill.)
Judge Chang recently considered a similar motion in Wiggins v. Illinois Bell Telephone Company, No. 15-cv-02769, R. 19, 2015 WL 6408122 (N.D.Ill. Oct. 22, 2015). The Court adopts Judge Chang's well-reasoned opinion in Wiggins to deny in part and grant in part Illinois Bell's motion to dismiss House's FLSA claims here. For the reasons set forth in Judge Chang's Order:
The IWPCA permits recovery of all unpaid wages plus monthly accruing
House argues that his IWPCA claim for overtime compensation is based on any of three agreements between himself and Illinois Bell: (1) the Collective Bargaining Agreement ("CBA"); (2) the AT&T Code of Business Conduct; and (3) the "Reporting Time Worked" policy. R. 14 ¶¶ 21-23. Illinois Bell counters that an IWPCA claim based on the CBA is preempted by § 301 of the Labor Management Relations Act ("LMRA"), and that neither the Code of Conduct nor the time worked policy constitute "agreements" within the meaning of the IWCPA. The Court agrees with Illinois Bell.
Section 301 of the LMRA entirely preempts state law claims for violations of collective bargaining agreements. Baker v. Kingsley, 387 F.3d 649, 657 (7th Cir. 2004). However, not every dispute concerning employment that involves a provision in a collective bargaining agreement is preempted. Id. To determine whether a state-law claim is preempted, courts look at the "legal character" of the claim: "a question of state law, entirely independent of any understanding embodied in the collective bargaining agreement may go forward as a state-law claim, whereas a claim, the resolution of which is sufficiently dependent on an interpretation of the CBA, will be preempted." Id. (quotations and citations omitted). If a claim is preempted, it must be brought under the LMRA, which requires employees to exhaust grievance and arbitration procedures set forth in collective bargaining agreements before filing suit. See McCoy v. Maytag Corp., 495 F.3d 515, 524 (7th Cir.2007).
The operative CBAs between Illinois Bell and the International Brotherhood of Electrical Workers set forth a variety of provisions regarding overtime pay.
Illinois Bell cites to a number of cases in this circuit holding that overtime claims are preempted when, as here, they involve contractual formulas for compensation in collective bargaining agreements that exceed what the Illinois Minimum Wage Law ("IMWL")
House does not dispute that the overtime provisions of the CBA entitle him to more than what is guaranteed by law. Instead, he endeavors to avoid preemption by disclaiming any interest in these more generous provisions. R. 24 at 14, n. 8 ("Defendant attempts to obfuscate House's simple claim for unpaid overtime wages by citing various rights to compensation that are created by the CBAs. House, however, is not seeking to enforce these rights ... House only seeks to enforce rights guaranteed by Illinois law, rather than rights created by the CBAs."). In support of this position, he cites Bartlett v. City of Chicago, No. 14-cv-7225, 2015 WL 135286, at *5 (N.D.Ill. Jan. 9, 2015). At first blush, Bartlett suggests that an IWPCA claim may lie when a plaintiff seeks only to enforce a collective bargaining agreement to the extent of his statutory rights. But a look behind Bartlett to the case on which it primarily relies, Hawkins v. Securitas Security Services. USA, Inc., No. 09-cv-3633, 2011 WL 5122679 (N.D.Ill. Oct. 28, 2011), more clearly articulates the rule.
In Hawkins, Judge Feinerman explained:
Id. at *5. Critically, the claim the defendants argued was preempted in Hawkins was not an IWPCA claim; it was an IMWL claim. In holding that the plaintiffs could choose to forgo their contractual entitlements, Judge Feinerman was not permitting the plaintiffs to pick and choose which provisions of the collective bargaining agreement to enforce. Rather, he was acknowledging
On this point, the Supreme Court's opinion in Caterpillar Inc. v. Williams, 482 U.S. 386, 107 S.Ct. 2425, 96 L.Ed.2d 318 (1987), is particularly instructive. The question in Caterpillar was whether a state-law complaint for breach of an individual employment contract was preempted by the LMRA and properly removed to federal court. Id. In holding that it was not, the Court explained that "[a] plaintiff covered by a collective-bargaining agreement is permitted to assert legal rights independent of that agreement [in state court], including state-law contract rights, so long as the contract relied upon is not a collective bargaining agreement." Id. at 395, 107 S.Ct. 2425 (emphasis added). Here, House attempts to assert what is essentially a state law breach of contract claim based on the CBA. Such claims are preempted.
In summary, if House wishes to collect overtime compensation under the IWPCA pursuant to the CBA, he does so pursuant to all of the relevant terms.
In the alternative, House argues that the Illinois Bell Code of Business Conduct is another "employment agreement" upon which his IWPCA claim may rest. R. 24 at 11-12. At page two, just behind the cover, the Code contains the following disclaimer:
R. 20-1 at 39 (emphasis in original).
Finally, House attempts to base his IWPCA claim on Illinois Bell's Reporting Time Worked policy. The policy provides that "[n]on-exempt employees are eligible for overtime pay for all hours actually worked in excess of 40 hours in a workweek." R. 20-1 at 42. The policy expressly acknowledges that it is intended to implement the requirements of the FLSA and all applicable state and local laws. Id. It states generally that "[a]dditional provisions regarding overtime may apply to represented employees under applicable collective bargaining agreements." Id. House argues that by disseminating this policy, "Illinois Bell agreed to pay McNally [sic] at a rate of at least time and one-half (1 ½) of his regular hourly rate. R. 24 at 11. He notes that unlike the Code of Conduct, the Reporting Time Worked policy has no disclaimer. Id.
The Court is not persuaded. To survive dismissal, a plaintiff must point to an agreement that is "more than an allegation that the employer is bound by existing overtime laws." Brand, 2013 WL 1499008 at *6. The Reporting Time Worked policy does no more than memorialize Illinois Bell's commitment to abide by state and federal laws and applicable collective bargaining agreements. It is not an actionable employment agreement, and cannot sustain House's IWPCA claim.
For the reasons set forth above, Illinois Bell's motion to dismiss [R. 19] is granted in part and denied in part as to House's claims under the FLSA, and granted as to House's claim under the IWPCA. House is granted leave to replead his IWPCA claim within 14 days of the date of this Order if he can allege in good faith an actionable employment agreement entitling him to overtime pay for unreported work. The parties are directed to submit position papers on the tolling of the IMWL claims within 14 days of the date of this Order.
There was an IMWL claim pled in Blakes on January 17, 2011 that was voluntarily dismissed by the named plaintiffs on June 23, 2011. R. 14 ¶ 13. House seems to argue that for the roughly six month period the (perpetually accruing) IMWL claim was pending in Blakes, it was tolled. R. 24 at 9-10, n. 5. Illinois Bell does not dispute that the claim was tolled, but argues that it should only reach as far back as the date it was first asserted, January 17, 2011. R. 28 at 11, n. 12. Neither party expresses any opinion on whether the tolling should apply equally or differently to IMWL claims for pre-shift, lunch break, and post-shift work.
The Court does not attempt to resolve the matter now. The parties are to submit further briefing on this issue as set forth below.
In the fall of 2012, Illinois Bell sought a protective order in Blakes preventing discovery of information pertaining to performance evaluations. The plaintiffs requested the information in support of the theory (now advanced by House) that company productivity standards drove managers to impose unreasonable efficiency pressure on cable splicers. Judge Kim granted the protective order, barring any further discovery on the topic. In so holding, Judge Kim found the "efficiency theory" to be a "significant shift from" and "irrelevant to" the conditionally certified claims. Blakes v. Ill. Bell Tel. Co., 2012 WL 5862747, at *1 (N.D.Ill. Nov. 19, 2012). A year later, Judge Kim again rejected the plaintiffs' efforts to assert an "efficiency theory" of their lunch break claims. Blakes v. Ill. Bell Tel. Co., 2013 WL 6662831, at *9 (N.D.Ill. Dec. 17, 2013) (decertifying the lunch break claims).
The plaintiffs in Blakes requested leave to file a second amended complaint. Denying the request, Judge Kim reiterated that "venturing beyond allegations based on job-site maintenance [and] travel [over lunch breaks], and insufficient time to complete timesheets [post-shift] to include unreasonable efficiency standards, pre-shift work, and other post-shift activities changes the basic factual premise of the case." Blakes v. Ill. Bell Tel. Co., 75 F.Supp.3d 792, 803-04 (N.D.Ill.2014) (emphasis added).
This action reasserts the decertified lunch break claims and expressly pleads the pre and post-shift claims and the efficiency-pressure theory not pled in the Blakes action. R. 14.