CAROL E. JACKSON, District Judge.
Plaintiff brings this action claiming that the defendants terminated his employment because of his age, in violation of the Missouri Human Rights Act (MHRA), MO. REV. STAT. § 213.010, et seq. (Count I), and the Age Discrimination in Employment Act (ADEA), 29 U.S.C. § 623 (Count II). Before the Court is the motion for summary judgment filed jointly by defendants Lou Fusz Automotive Network, Inc. and Lou Fusz Dodge Company. Plaintiff opposes the motion and the issues have been fully briefed.
Defendants have also filed a motion to strike the affidavit of Bill Beattie submitted by plaintiff with his response to the summary judgment motion. Because the disputed affidavit does not affect the Court's ruling, defendants' motion to strike is moot.
Defendant Lou Fusz Automotive Network, Inc. owns and operates multiple automotive dealerships in and around St. Louis, Missouri, including defendant Lou Fusz Dodge. Plaintiff was employed by Lou Fusz Dodge from January 2002 until May 5, 2008. From September 2007 until his discharge, plaintiff was one of three finance managers. His primary duties included assisting customers with vehicle financing options, arranging financing, and selling optional maintenance and warranty products. During the same time period, Lou Fusz Dodge also employed a "subprime manager" who was responsible for the sale and financing of pre-owned vehicles to customers with credit problems. Plaintiff's monthly compensation as a finance manager was based on commissions he earned on the sale of financing products minus a $2,500 monthly draw. As a finance manager plaintiff could also earn bonuses for the sale of certain extended warranty products and hazard insurance.
The defendants kept track of the finance managers' productivity through monthly "PinPoint" reports. Included in the reports were a finance manager's total income and net income resulting from the sale of financing products and the percentage of products sold, all calculated on a per car basis. Based on a side-by-side comparison of the reported data, plaintiff's per unit gross and per unit net averages ranged from 35% to 80% lower than those of all the other Lou Fusz Dodge finance managers for each month during the period January 2006 to April 2008. For example, during March and April, 2008, plaintiff generated an average of $490 per transaction while the other two finance managers, Corey Bush and Luke Purewal, averaged $988 and $1143 per transaction, respectively. (Doc. 40-1, Exh F). The reports also show that plaintiff's monthly averages for the number of transactions handled ("units delivered") either equaled or exceeded those of the other finance managers during the period January 2007 to May 2008. However, it was the practice at Lou Fusz Dodge that transactions brought to the finance department by the sales staff were rotated between the finance managers such that each handled roughly the same number of transactions each month.
In September 2007, Lou Fusz Dodge moved from its Kirkwood, Missouri location to an expanded facility in O'Fallon, Missouri. It was anticipated that the move to a larger market would result in increased sales of as much as 150-200 cars per month. However, during the period September 2007 to April 2008, Lou Fusz Dodge sold an average of 113 cars per month.
After experiencing decreasing auto sales, Mark Mercer, the general manager of Lou Fusz Dodge, concluded that the dealership "didn't need three business managers to handle the number of customers we were selling to," and decided to eliminate one of the finance manager positions. (Doc. 35-4, p. 67). On May 5, 2008, Mercer, told plaintiff that he was being removed from his position as finance manager. Mercer offered plaintiff alternative employment as a car salesman at Lou Fusz Dodge, but plaintiff declined the offer. The compensation plan for salespersons consisted of a monthly draw of $1,250, commissions and bonuses. The commission rate of salespersons was higher than that of finance managers.
Shortly after his termination, plaintiff met with Lou Fusz, Jr., president of the Lou Fusz Automotive Network. Fusz told plaintiff that he supported Mercer's decision, and offered plaintiff a position as a salesman. When plaintiff expressed concern about his ability to sell cars, Fusz offered him a sales position at the Lou Fusz Saturn dealership. It was believed that plaintiff would not need the skill set typically required of car salesmen because the Saturn vehicle prices were fixed and non-negotiable. Plaintiff again declined the offer of an alternative position.
Plaintiff was 68 years old when his employment was terminated. He was the oldest of the three finance managers employed by Lou Fusz Dodge.
On the same day that plaintiff was terminated, Rick Hagar, a finance manager at the Lou Fusz Mazda dealership, was transferred to Lou Fusz Dodge. Hagar, who was 47 years old, had worked as a subprime manager at two other Lou Fusz Automotive Network locations. After transferring to Lou Fusz Dodge, Hagar performed finance manager and subprime manager duties. During the month of May 2008, Hagar handled eight transactions compared to four handled by plaintiff and 42 and 39 handled by finance managers Bush and Purewal, respectively. Hagar worked for Lou Fusz Dodge for three weeks before quitting. No one was hired to replace him.
Edwin Ellinger, a former finance manager for Lou Fusz Dodge, testified that he heard Mercer state that plaintiff "was too old, could not keep up with the pace and it would be addressed." (Doc. #35-13, p. 60). In an affidavit, Ellinger states that Mercer made this and other statements about plaintiff's age and slow pace during two meetings that he attended in January 2008. The dates on which the meetings occurred are unknown, but According to Ellinger, at one of the meetings Mercer asked him and another finance manager if they thought plaintiff was too old and too slow to keep up with the customers. Ellinger testified that both he and the other manager responded in the negative. Ellinger related Mercer's statements to plaintiff after plaintiff was terminated. Plaintiff testified that, before hearing of the statements, he had no reason to think that his termination was age-related. Plaintiff also testified that in the months just prior to his termination, Doug Bowers, the general sales manager of Lou Fusz Dodge, mentioned to him several times that he should retire and move to the Virgin Islands with his son. Plaintiff acknowledged that Bowers had no authority with respect to plaintiff's employment or compensation.
Rule 56(a) of the Federal Rules of Civil Procedure provides that summary judgment shall be entered if the moving party shows "that there is no genuine dispute as to any material fact and the movant is entitled to a judgment as a matter of law." In ruling on a motion for summary judgment the court is required to view the facts in the light most favorable to the non-moving party and must give that party the benefit of all reasonable inferences to be drawn from the underlying facts.
Under the ADEA, plaintiff may defeat defendants' motion for summary judgment by putting forth either (1) strong or "direct" evidence
Under the
Viewing the evidence in a light most favorable to plaintiff, the Court finds that plaintiff has satisfied three of the four elements required for establishing a prima facie case of discrimination. The first element is established in that plaintiff was 68 years old at the time his employment was terminated. As to the third element, plaintiff has presented evidence that he suffered an adverse employment action in that significant terms of the sales positions offered to him were less favorable than those of the finance manager position. The fourth element is established by plaintiff's evidence of a remark attributed to a decision maker that plaintiff was "too old and too slow."
Plaintiff, however, cannot establish the second element of the prima facie case: that he was qualified for the position in that he was meeting defendants' legitimate performance expectations. Plaintiff asserts that the increases in his commission-based salary and the reports showing that his monthly transactions average was equal to or higher than that of his peers establish that he was otherwise qualified for the finance manager position. Because the finance managers handled roughly the same number of transactions brought to them by the sales staff each month, it would not be unusual for plaintiff's numbers to equal or sometimes exceed those of his peers. However, the defendants' productivity assessment was not based on the number of transactions handled. Rather, productivity was based on the income realized by the finance manager from the sale of financing products on the transactions handled. As discussed above, it is undisputed that plaintiff's averages were consistently and significantly lower than those of his peers for each of the 16 months preceding his termination. A plaintiff claiming employment discrimination cannot establish that he was meeting expectations simply by pointing to certain performance categories in which he succeeded while failing to address the categories in he was undisputedly deficient.
Plaintiff's assertion that defendants never criticized his performance or put him on notice that he was underperforming is unavailing. Plaintiff offers no evidence that it was defendants' policy or practice to conduct employee performance reviews or to notify an employee of poor performance.
Even if the Court were to find that plaintiff has established a prima facie claim of age discrimination, the evidence is insufficient to show pretext. "In some cases, a strong factual showing that the employer's proffered reason is `unworthy of credence' may, when combined with a strong prima facie case, create an inference of age discrimination."
Here, plaintiff has failed to show that defendants' proffered reason for terminating his employment is false. As discussed above, the evidence establishes that Lou Fusz Dodge fell short of its sales goals following the move to a larger facility in September 2007. Because there were fewer car sales, fewer finance managers were needed. Plaintiff's position was identified as the one to eliminate because he had been generating significantly less income than the other finance managers for more than a year.
Additionally, the transfer of a younger employee, Hagar, to the Lou Fusz Dodge finance department is not evidence of pretext. Hagar handled traditional transactions and subprime transactions —work that plaintiff did not do. Also, Hagar was not placed in the same rotation with other finance managers as evidenced by the comparative number of transactions he handled. Finally, the evidence establishes that Lou Fusz Dodge did not employ more than two full-time finance managers after plaintiff's employment terminated, and no one was hired to replace Hagar after he quit.
Plaintiff's contention that defendants have given "shifting explanations" for his termination is without merit. In the administrative proceedings before the Equal Employment Opportunity Commission, the defendants identified market considerations as a factor in the decision to reduce the number of finance managers.
Direct evidence of discrimination may be shown by "conduct or statements by persons involved in the decisionmaking process that may be viewed as directly reflecting the alleged discriminatory attitude . . . sufficient to permit the factfinder to find that attitude was more likely than not a motivating factor in the employer's decision."
Here, the statements attributed to Mercer, when taken in context, are insufficient to create a reasonable inference that plaintiff's age was the "but for" cause of his discharge.
While federal courts will often address state and federal discrimination claims together,
In recent years, the analysis for a claim under the MHRA has diverged significantly from the analysis applied to comparable federal anti-discrimination statutes.
Here, there is no diversity of citizenship of the parties. Accordingly, the Court will decline to exercise supplemental jurisdiction over plaintiff's age discrimination based on the MHRA. 28 U.S.C. § 1367(c). That claim will be dismissed without prejudice.
For the reasons set forth above,