Charles Phillips, Complainant, and Clarence Littlejohn, Charles Phillips, Complainant, and Clarence Littlejohn, Complainant,v.Richard J. Danzig, Secretary, Department of the Navy, Agency.

Equal Employment Opportunity CommissionJun 8, 2000
01a01596 (E.E.O.C. Jun. 8, 2000)

01a01596

06-08-2000

Charles Phillips, Complainant, and Clarence Littlejohn, Charles Phillips, Complainant, and Clarence Littlejohn, Complainant, v. Richard J. Danzig, Secretary, Department of the Navy, Agency.


Charles Phillips, ) Appeal No. 01992787

Complainant, ) Agency No. 99-00181-009P

and )

Clarence Littlejohn, ) Appeal No. 01A01596

Complainant, ) Agency No. 99-00181-037P

v. )

)

Richard J. Danzig, )

Secretary, )

Department of the Navy, )

Agency. )

______________________________)

DECISION

The above captioned appeals present an issue of first impression.

At issue is the legitimacy of a Pilot EEO Dispute Resolution Program

(Pilot Program) designed by the agency to provide an alternative

means of processing EEO complaints. At the pre-complaint counseling

stage, both complainants elected to participate in the Pilot Program.

When alternative dispute resolution failed, they requested final agency

decisions which they now appeal. The Commission accepts and consolidates

the appeals pursuant to 64 Fed. Reg. 37,644, 37,659 (1999)(to be codified

at 29 C.F.R. � 1614.405).<1> For the following reasons, the Commission

finds that the Pilot Program fails to comport with 29 C.F.R. Part 1614;

vacates the final agency decisions; and remands both complaints for

further processing.

On November 9, 1999, the Commission issued revised regulations requiring

agencies to establish or make available an alternative dispute resolution

(ADR) program. 64 Fed. Reg. 37,644, 37,655 (1999)(to be codified at

and hereinafter referred to as 29 C.F.R. � 1614.102(b)(2)). The Equal

Employment Opportunity Management Directive for 29 C.F.R. Part 1614

(EEO MD-110), Chapter 3 (November 9, 1999) provides guidance for the

development of these programs. The Commission intends for the ADR

program to operate within the Part 1614 process, not to replace it.

The Commission requires that an ADR program not diminish an individual's

right to pursue his or her claim under the Part 1614 process should ADR

not resolve the dispute. For example, an ADR program may not require

an individual to waive his or her right to an investigation, a hearing

or an appeal to the EEOC. EEO MD-110, 3-2. After a thorough review

of the Pilot Program's guidelines and its operative consequences

on the underlying complaints at issue, the Commission finds that

the Pilot Program is not a method of alternative dispute resolution

which satisfies the regulatory requirements of 29 C.F.R. Part 1614.

See 64 Fed. Reg. 37,644, 37,656 (1999)(to be codified at and hereinafter

referred to as 29 C.F.R. � 1614.105). The Commission concludes that the

Pilot Program is actually a substitute procedure for the federal sector

EEO process and that, as such, it violates the policies, procedures and

guidance set forth in the EEO Management Directive.

The agency has structured the Pilot Program such that individuals who

wish to pursue an EEO matter have a choice to proceed pursuant to the

Part 1614 process or pursuant to the Pilot Program. If an individual

chooses to proceed under the Pilot Program, the agency requires the

individual to sign an agreement waiving his or her right to: (1) remain

anonymous; (2) request a hearing before an EEOC Administrative Judge;

and (3) "opt out" of the Pilot Program. Having signed the agreement,

the individual is given a choice between four forms of alternative

dispute resolution: conciliation; mediation; early neutral inquiry;

or a settlement conference. The Pilot Program provides that during the

forty-five day period the parties have to achieve resolution, a "factual

record" will be developed by a Dispute Resolution Specialist (DRS).

If the parties do not reach a satisfactory resolution, the agency is

then required to collect and incorporate any documentation to complete

the record upon which a final agency decision can be made should the

individual request one. The final agency decision is drafted by a

"reviewer" and forwarded to the agency's legal counsel for comment.

If dissatisfied with the final agency decision, the individual may

appeal to the EEOC or file a civil action.

By requiring an individual to waive his or her right to "opt out,"

the Pilot Program deprives the individual of the right to return to the

Part 1614 process should ADR not resolve the dispute to the individual's

satisfaction. Thus, the "opt out" requirement diminishes an individual's

rights under Part 1614 and violates a core principle of any successful

ADR program: voluntariness. EEO MD-110, 3-16. Furthermore, the revised

regulations provide that if a matter is not resolved either through

traditional counseling or the ADR process, the agency must ensure that

an EEO counselor's report is prepared and that the allegedly aggrieved

individual is given a final interview and informed of the right to file

a formal complaint. 29 C.F.R. � 1614.105(d). If the individual files

a formal complaint, the agency is required to conduct an impartial

and appropriate investigation and notify the individual of his or

her right to request a hearing before an EEOC Administrative Judge.

64 Fed. Reg. 37,644, 37,656-57 (1999)(to be codified at 29 C.F.R. �

1614.108). The Pilot Program rejects these regulatory requirements and

gives an individual two choices: either abandon the complaint or request

a final agency decision without a traditional investigation and without

a hearing.

The Commission finds that in designing the Pilot Program to eliminate the

hearing, the agency successfully avoids the most significant regulatory

change in the Part 1614 process: making decisions of EEOC Administrative

Judges binding on the parties. 64 Fed. Reg. 37,644, 37,657 (1999)(to

be codified at 29 C.F.R. � 1614.109(i)). Although the Pilot Program

preserves the individual's right to appeal the final agency decision

to the EEOC, the Commission finds that by depriving an individual

of a traditional investigation and the right to request a hearing,

there is no mechanism to ensure that if the individual files an appeal

to the Commission, the "factual record," which replaces the impartial

and appropriate investigation required by 64 Fed. Reg. 37,644, 37,656

(1999)(to be codified at 29 C.F.R. � 1614.106(e)(2)), will be sufficient

to make a determination on the merits of the underlying complaint.

The Pilot Program also fails to address how the agency will handle

a record that is deemed insufficient for review and remanded by the

Commission.

Furthermore, the role of the DRS, who is not only charged with providing

traditional pre-complaint counseling but is also responsible for

developing the "factual record," seriously undermines a second core

principle of a successful ADR program: neutrality. EEO MD-110, 3-16.

If the individual selects conciliation or early neutral inquiry,

the Pilot Program Guidelines provide for the DRS to participate.

If the individual opts for a settlement conference, no neutral third

party is present and the DRS conducts the conference. If ADR fails,

the DRS is then responsible for ensuring that the record is complete

should the individual request a final agency decision. The Commission

concludes that by requiring the DRS to participate in pre-complaint

counseling, the "factual development" of the record, and the ADR stage,

any semblance of neutrality is lost, and the promotion of trust between

the parties is severely compromised. EEO MD-110, 3-12. Moreover, these

three techniques, which require the DRS to keep a written record of the

proceedings, appear to violate a third core principle of a successful

ADR program: confidentiality.<2> EEO MD-110, 3-16,17. The Commission

requires that explicit limits be placed on the dissemination of

information concerning ADR proceedings in order to promote trust that such

information will not be later used against participating parties. Id.

The Pilot Program, in requiring the DRS to be present during the ADR

proceedings and to complete the "factual development" of the record

should ADR fail, invites the disclosure of the precise information the

confidentiality requirement is intended to protect.

The instant appeals are examples of how the Pilot Program operates

to disadvantage individuals whom ADR fails. In agency complaint

no. 99-00181-037P, complainant, a Police Officer, chose to participate in

conciliation. Complainant alleges that the agency refused to accommodate

his medical condition and assigned him to clean toilets. The record,

developed during both the conciliation process and after it failed,

contains the following documents: a position description; a performance

evaluation; a graphic of the chain of command; a computer generated list

of employees names, genders and disability codes; agency instruction

no. 12339.1 concerning medical determinations related to employability;

blank medical evaluations; and memos and notes describing how poorly the

conciliation meeting went and the fact that management had no information

to offer. There is one statement from complainant documenting his lack

of trust in the process wherein he alleged that portions of his intake

complaint remained incorrect and that the conciliation meeting was very

intimidating. We note that complainant abruptly left the conciliation

meeting whereupon it ended.

The record also contains a summary report from the Dispute Resolution

Specialist (DRS). The summary report describes the claims, lists the

names and titles of several so-called witnesses most of whom have no

knowledge of the incidents at issue, and contradictory evidence about

accommodations and toilet cleaning duty. The summary report fails

to indicate whether any of the presumably named comparative employees

were similarly situated to complainant and fails to follow up on one

witness' statement that complainant was essentially treated differently

from other officers. There were no sworn affidavits from anyone with

whom the DRS spoke. The final agency decision ignored the contradictory

evidence raised in the summary report and drew conclusions for which we

find no support in the above described record.

In agency complaint no. 99-00181-009P, complainant, a Sheet-Metal

Mechanic, chose to participate in mediation. Complainant alleges that

he was transferred from one job and reassigned to another. The factual

record developed includes a graphic of the chain of command of a project

management team; computer generated lists showing overtime worked by

comparative employees; copies of e-mail messages from the management

officials concerning the transfer; and the DRS' summary report. The final

agency decision found that complainant proffered "mere assertions" and

failed to rebut management's explanation for his transfer. We note that

after mediation failed, while gathering information for the issuance of

the final agency decision, the DRS sent an e-mail message to one of the

named responsible management officials stating, "We want to make sure the

Activity is seen in the appropriate light." The Commission finds that

the factual development of this record was not completed by a neutral,

disinterested individual.

The Commission concludes that if the Pilot Program had been in compliance

with the revised regulations and the EEO Management Directive, after ADR

failed to resolve the instant complaints, complainants would have received

a final interview and a notice of the right to file a formal complaint.

See 64 Fed. Reg. 37,644, 37,645 (1999); EEO MD-110, 3-8. Therefore, the

Commission remands both complaints for resumed processing in accordance

with 29 C.F.R. � 1614.105(d). The Commission further orders the agency

to immediately suspend the Pilot Program and take action consistent with

the ORDER set forth below.

ORDER

The Commission orders the agency to take the following action:

(1) The agency shall process the remanded claims separately in accordance

with 29 C.F.R. � 1614.105(d). Each complainant shall be informed in

writing by an EEO Counselor, no later than the thirtieth day after this

decision becomes final, of his right to file a formal EEO discrimination

complaint. The notice shall inform complainant of the right to file

his complaint within fifteen days of receipt of the notice, of the

appropriate official with whom to file a complaint and of complainant's

duty to inform the agency if he retains counsel or a representative.

(2) Upon receipt of this decision, the agency shall immediately

suspend the Pilot Program. The agency shall deem all complaints which

are currently being processed through the Pilot Program as unresolved,

and no later than the thirtieth day after this decision becomes final,

the agency shall notify all affected individuals whose complaints are

currently being processed through the Pilot Program of their right

to file a formal EEO discrimination complaint pursuant to 29 C.F.R. �

1614.105(d).

(3) Any ADR program which the agency establishes pursuant to 29 C.F.R. �

1614.102(b)(2) must satisfy the requirements of 29 C.F.R. Part 1614

and comport with EEO MD-110, Chapter 3 (November 9, 1999).

(4) The agency is directed to submit a report of compliance, as provided

in the statement entitled "Implementation of the Commission's Decision."

The report shall include evidence that the corrective action in

paragraphs (1) and (2) has been implemented.

IMPLEMENTATION OF THE COMMISSION'S DECISION (K1199)

Compliance with the Commission's corrective action is mandatory.

The agency shall submit its compliance report within thirty (30)

calendar days of the completion of all ordered corrective action. The

report shall be submitted to the Compliance Officer, Office of Federal

Operations, Equal Employment Opportunity Commission, P.O. Box 19848,

Washington, D.C. 20036. The agency's report must contain supporting

documentation, and the agency must send a copy of all submissions to the

complainant. If the agency does not comply with the Commission's order,

the complainant may petition the Commission for enforcement of the order.

29 C.F.R. � 1614.503(a). The complainant also has the right to file a

civil action to enforce compliance with the Commission's order prior

to or following an administrative petition for enforcement. See 64

Fed. Reg. 37,644, 37,659-60 (1999) (to be codified and hereinafter

referred to as 29 C.F.R. �� 1614.407, 1614.408), and 29 C.F.R. �

1614.503(g). Alternatively, the complainant has the right to file a

civil action on the underlying complaint in accordance with the paragraph

below entitled "Right to File A Civil Action." 29 C.F.R. �� 1614.407

and 1614.408. A civil action for enforcement or a civil action on the

underlying complaint is subject to the deadline stated in 42 U.S.C. �

2000e-16(c)(Supp. V 1993). If the complainant files a civil action,

the administrative

processing of the complaint, including any petition for enforcement,

will be terminated. See 64 Fed. Reg. 37,644, 37,659 (1999) (to be

codified and hereinafter referred to as 29 C.F.R. � 1614.409).

STATEMENT OF RIGHTS - ON APPEAL

RECONSIDERATION (M0300)

The Commission may, in its discretion, reconsider the decision in this

case if the complainant or the agency submits a written request containing

arguments or evidence which tend to establish that:

1. The appellate decision involved a clearly erroneous interpretation

of material fact or law; or

2. The appellate decision will have a substantial impact on the policies,

practices, or operations of the agency.

Requests to reconsider, with supporting statement or brief, MUST BE FILED

WITH THE OFFICE OF FEDERAL OPERATIONS (OFO) WITHIN THIRTY (30) CALENDAR

DAYS of receipt of this decision or WITHIN TWENTY (20) CALENDAR DAYS OF

RECEIPT OF ANOTHER PARTY'S TIMELY REQUEST FOR RECONSIDERATION. See 64

Fed. Reg. 37,644, 37,659 (1999) (to be codified and hereinafter referred

to as 29 C.F.R. � 1614.405); Equal Employment Opportunity Management

Directive for 29 C.F.R. Part 1614 (EEO MD-110), 9-18 (November 9, 1999).

All requests and arguments must be submitted to the Director, Office of

Federal Operations, Equal Employment Opportunity Commission, P.O. Box

19848, Washington, D.C. 20036. In the absence of a legible postmark, the

request to reconsider shall be deemed timely filed if it is received by

mail within five days of the expiration of the applicable filing period.

See 64 Fed. Reg. 37,644, 37,661 (1999) (to be codified and hereinafter

referred to as 29 C.F.R. � 1614.604). The request or opposition must

also include proof of service on the other party.

Failure to file within the time period will result in dismissal of your

request for reconsideration as untimely, unless extenuating circumstances

prevented the timely filing of the request. Any supporting documentation

must be submitted with your request for reconsideration. The Commission

will consider requests for reconsideration filed after the deadline only

in very limited circumstances. See 29 C.F.R. � 1614.604(c).

COMPLAINANTS' RIGHT TO FILE A CIVIL ACTION

(R0400)

This is a decision requiring the agency to continue its administrative

processing of your complaint. However, if you wish to file a civil

action, you have the right to file such action in an appropriate United

States District Court WITHIN NINETY (90) CALENDAR DAYS from the date

that you receive this decision. In the alternative, you may file a

civil action AFTER ONE HUNDRED AND EIGHTY (180) CALENDAR DAYS of the date

you filed your complaint with the agency, or filed your appeal with the

Commission. If you file a civil action, YOU MUST NAME AS THE DEFENDANT IN

THE COMPLAINT THE PERSON WHO IS THE OFFICIAL AGENCY HEAD OR DEPARTMENT

HEAD, IDENTIFYING THAT PERSON BY HIS OR HER FULL NAME AND OFFICIAL TITLE.

Failure to do so may result in the dismissal of your case in court.

"Agency" or "department" means the national organization, and not the

local office, facility or department in which you work. Filing a civil

action will terminate the administrative processing of your complaint.

RIGHT TO REQUEST COUNSEL (Z1199)

If you decide to file a civil action, and if you do not have or cannot

afford the services of an attorney, you may request that the Court appoint

an attorney to represent you and that the Court permit you to file the

action without payment of fees, costs, or other security. See Title VII

of the Civil Rights Act of 1964, as amended, 42 U.S.C. � 2000e et seq.;

the Rehabilitation Act of 1973, as amended, 29 U.S.C. �� 791, 794(c).

The grant or denial of the request is within the sole discretion of

the Court. Filing a request for an attorney does not extend your time

in which to file a civil action. Both the request and the civil action

must be filed within the time limits as stated in the paragraph above

("Right to File A Civil Action").

FOR THE COMMISSION:

June 8, 2000

_______________ _____________________

Date Frances M. Hart

Executive Officer

Executive Secretariat

1 On November 9, 1999, revised

regulations governing the EEOC's federal sector complaint process

went into effect. These regulations apply to all federal sector

EEO complaints pending at any stage in the administrative process.

Consequently, the Commission will apply the revised regulations found

at 64 Fed. Reg. 37,644 (1999), where applicable, in deciding the

present appeal. The regulations, as amended, may also be found at the

Commission's website at www.eeoc.gov.

2 The Pilot Program requires that mediation be a confidential proceeding,

but it is not clear whether the DRS participates. We note that mediation

is the only form of ADR which the Pilot Program demands that the neutral

third party be "impartial." However, the "neutral impartial third party"

has no decision making authority.