Arthur S. Cook, Complainant,v.John E. Potter, Postmaster General, United States Postal Service, Agency.

Equal Employment Opportunity CommissionJul 11, 2002
01A15414 (E.E.O.C. Jul. 11, 2002)

01A15414

07-11-2002

Arthur S. Cook, Complainant, v. John E. Potter, Postmaster General, United States Postal Service, Agency.


Arthur S. Cook v. United States Postal Service

01A15414

July 11, 2002

.

Arthur S. Cook,

Complainant,

v.

John E. Potter,

Postmaster General,

United States Postal Service,

Agency.

Appeal No. 01A15414

Agency No. 1E-837-1011-95

DECISION

Complainant timely initiated an appeal from a final agency decision

(FAD2) concerning his claim for compensatory damages, which stems

from his original complaint of unlawful employment discrimination in

Title VII of the Civil Rights Act of 1964 (Title VII), as amended, 42

U.S.C. � 2000e et seq. and Section 501 of the Rehabilitation Act of 1973

(Rehabilitation Act), as amended, 29 U.S.C. � 791 et seq. The appeal

is accepted pursuant to 29 C.F.R. � 1614.405.

In the underlying complaint, complainant alleged he was discriminated

against on the bases of disability (arthritic knee and back injury) and

reprisal (prior EEO activity), when he was not hired for the permanent

position of Mail Processor in June 1995. Complainant filed his formal

complaint on August 10, 1995. Following an investigation, he requested

a FAD, which the agency issued, finding no discrimination as to either

basis. Complainant appealed to the Commission and on May 9, 1996,

the Commission reversed the agency's finding of no discrimination based

on disability, and affirmed the agency's finding of no retaliation.

The Commission ordered the agency to take remedial action, including

issuing a decision, after investigation, pertaining to complainant's

entitlement to compensatory damages.

Complainant filed a petition for enforcement stating that the agency

had not complied with portions of the Order. On April 30, 1999, the

Commission granted the petition and found that the agency had not complied

with portions of the Order. The Commission ordered the agency to: (1)

place petitioner in the position of Mail Processor or a similar position;

(2) determine the appropriate amount of back pay, with interest, and

other benefits due petitioner; (3) take all steps necessary to determine

whether petitioner requires reasonable accommodation; (4) issue a FAD

on compensatory damages; (5) provide comprehensive EEO training; and

(6) submit a report of compliance.

In FAD2, in response to complainant's claim for $43,782.03 for medical

bills, the agency concluded that complainant did not seek compensatory

damages for himself. The agency concluded that complainant sought to

recover monies paid by his daughter's trust. The agency noted that

to support his claim, complainant submitted an extensive packet of

information detailing the medical expenses incurred by his daughter

and paid by the trust. The agency concluded that complainant was not

entitled to compensatory damages because he did not seek compensatory

damages for himself and that the �collateral source rule� did not apply

to complainant's claim.

On appeal, complainant contends that the agency did not comply with the

Commission order. Complainant contends that the claim for compensation

is in the process of being settled, but not through any effort by

the agency. The federal employee Blue Cross program, his health

insurance, has made payment to the medical providers and those providers

are in the process of repaying complainant's daughter's guardianship.

Complainant further contends that these actions do not relieve the agency

of its responsibility to remedy its discrimination action. Complainant

contends that the agency must comply with the Commission order. Also,

complainant contends that the agency's allegation that complainant's

daughter's guardianship is a third party is invalid.

Complainant further contends that the agency calculations of back pay and

overtime are not accurate. Specifically, complainant contends that he

is entitled to three weeks of pay, plus interest. Complainant contends

that the agency claims that complainant was not paid for the second

half of pay period 12 and none of pay period 13, because he was unable

to work due to a back injury during those periods. Complainant alleged

that this is inaccurate. Complainant contends that the question here

must be determined by focusing on what options would have been available

if the original act of discrimination had never occurred. Complainant

also contends that he documented 1,500 hours overtime, equaling more

than $40,000 in wages. Complainant contends that the total amount in

dispute exceeds $100,000, plus interest. Complainant finally contends

that this is a benefit to which he is entitled, but which the agency

has deliberately denied.

ANALYSIS AND FINDINGS

Complainant has appealed the agency's decision that complainant is not

entitled to any damages. Specifically, the agency denied complainant

compensatory damages of $43,782.03 in medical expenses, and, in

this decision, we consider his request for monetary and compensatory

damages. Complainant seeks monetary damages for back pay, including back

pay from pay period 12 and 13, 1999; and overtime from June 1995 until

August 9, 1999.

I. EQUITABLE MONETARY RELIEF

Monetary relief, such as back pay and interest on back pay, is equitable

relief and consists of monetary damages for loss of earnings, including

all fringe benefits. See Section 706(g), 42 U.S.C. 2000e-(5)(g); 42

U.S.C. 1981A(b). Such relief is not compensatory damages, and complaining

parties may recover equitable relief without limitation. Enforcement

Guidance: Compensatory and Punitive Damages Available under 102 of the

Civil Rights Act of 1991, No. N 915-002 (July 14, 1992) (Guidance) at 2.

A. Back Pay

"Generally, a Title VII plaintiff can recover back pay only for the

period the plaintiff is 'available and willing to accept substantially

equivalent employment' elsewhere; courts exclude periods where a plaintiff

is unavailable to work, such as periods of disability, from the back pay

award." Latham v. Department of Children & Youth Servs., 172 F.3d 786,

794 (11th Cir.1999) (quoting Miller v. Marsh, 766 F.2d 490, 492 (11th

Cir.1985). The agency argues that complainant was unable to work between

pay period 12 in 1999 and entire pay period 13 in 1999, and that he is

therefore not entitled to an award of back pay for that period because

his disability meant that he was not ready, willing, and able to perform

his postal job. Complainant responds that he was in fact ready, willing,

and able to work. Specifically, complainant argues that he underwent

a number of medical exams for his return to work during the time in

question, all which found him capable of a full range of motion. The

Commission resolution of this issue depends on whether complainant was

unable or unwilling to work, which in turn depends on what the essential

functions of complainant's job were.

Because the agency failed to establish that complainant was not ready,

willing, and able to work from pay period 12 to pay period 13 in 1999,

we find that complainant is entitled to back pay from the second week

in pay period 12, and the entirety of pay period 13. Complainant is

also entitled to the payment of interest on the back pay.

Optional Overtime

Complainant argues that the agency erred in calculating his overtime.

Specifically, complainant argues that the agency based its calculations

on the overtime worked by a comparison employee and that the use of a

comparison employee contradicts the agency's own regulations. Complainant

requests that the compliance officer require the agency to document the

average overtime desired lists, for tour three, from June 1995 until

August 9, 1999. The agency responded that all available overtime that

was worked by the comparison employee was afforded to complainant.

The agency also argued that the agency used the fairest method.

The Commission has held that the precise amount of back pay a complainant

is entitled is to be calculated by taking the average amount of overtime

worked by similarly situated agency employees. The Commission has

consistently used the pay of similarly situated employees in making

overtime rate determination. Sanders v. United State Postal Service, EEOC

Petition No. 04990018 (April23, 2001); Sanchez v. United States Postal

Service, EEOC Appeal No. 01975022 (October 28, 1999); Hanns v. United

States Postal Services, EEOC Appeal No. 04960030 (September 18, 1997);

Allen v. Department of the Air Force, EEOC Petition No. 04940006 (May

31,1996). A review of the record establishes that the agency calculated

the overtime hours for purposes of back pay by considering the average

overtime hours actually worked by employees similarly situated to

complainant. As a result, we find that the agency's calculation of

overtime is correct and we decline to accept complainant's position on

this point.

II. COMPENSATORY DAMAGES

In Cook v. United States Postal Service, EEOC No. 01964367 (March

22, 2001), the Commission found discrimination, in part, and awarded

compensatory damages. We ordered the agency to conduct a supplemental

investigation to determine the amount of compensatory damages due to

complainant, if any, and issue a final agency decision. Therefore,

the issue before the Commission is limited to the appropriateness of

the amount for the award. In order to receive an award of compensatory

damages, a complainant must demonstrate that he has been harmed as a

result of the agency's discriminatory action; the extent, nature, and

severity of the harmed; and the duration or expected duration of the

harm. Rivera v. Department of the Navy, EEOC Appeal No. 01934156 (July

22,1994), request for reconsideration denied, EEOC Request No. 05940927

(December 11, 1995); Compensatory Damages and Punitive Damages Available

Under Section 102 of the Civil Rights Act of 1991, (Guidance) EEOC Notice

No. N 915.002 at 11-12, 14 (July 14, 1992).

�[C]ompensatory damage awards must be limited to the sums necessary

to compensate [a complainant] for actual harm, even if the harm is

intangible.� Id at 13 (citing Carter v. Duncan-Higgins, Ltd., 727 F 2d

1225 (D.C. Cir. 1984). The Commission has held that compensatory damages

are recoverable in the administrative process, including resolutions by

settlement. West v. Gibson, 527 U.S. 212 (1999); see Jackson v. USPS,

EEOC Appeal No. 01923399 (November 12, 1992), req. to reopen den., EEOC

Request No. 05930306 (February 1, 1993); see also Turner v. Department

of the Interior, EEOC Appeal No. 01956390 April 28, 1998) and Bever

v. Department of Agriculture, EEOC Appeal No. 01953949 (October 31,

1996). Questions of entitlement, types of relief, and proof required

in support are set out in the Commission's Guidance, supra. Briefly

stated, compensatory damages are awarded for losses and suffering due

to the discriminatory acts or conduct of the agency and include past

pecuniary losses, future pecuniary losses, and nonpecuniary losses that

are directly or proximately caused by the agency's conduct. Guidance

at 8. Objective evidence in support of a claim for pecuniary damages

includes documentation showing all actual, out-of-pocket expenses with an

explanation of the expenditure and, for nonpecuniary claims, statements

from the complainant and others, including family members, co- workers,

and medical professionals. Guidance at 9; Carle v. Department of the Navy,

EEOC Appeal No. 01922369 (January 5, 1993).

Section 102(a) of the Civil Rights Act of 1991 (CRA) authorized awards of

compensatory damages as relief for intentional discrimination in violation

of Title VII and the Rehabilitation Act. 42 U.S.C. 1981a. Recovery from

employers with more than 500 employees, such as the agency, is limited

to $300,000 for future pecuniary and non-pecuniary damages. Id. The

Commission has determined that the statutory language of the CRA provides

that "each complaining party" is eligible for damages up to the cap. See

Section 1981a(b)(3); Guidance at 6.

The Commission notes that complainant seeks reimbursement of medical cost

for his daughter that would have been covered by his health insurance if

he was not denied employment. The agency issued a decision and concluded

that complainant is not entitled to pecuniary damages for his daughter's

medical expenses and that the collateral source rule does not apply to

complainant's claim.

We find no basis to award compensatory damages. Complainant failed to

demonstrate that he suffered harm, as result of the agency's action.

Specifically, complainant failed to establish that he had incurred the

past pecuniary damages of her daughter's medical expenses. The evidence

shows that his daughter's medical expenses were paid by his daughter's

guardian. Therefore, complainant has not submitted any documentation of

his out-of-pocket expenses, but instead submitted evidence establishing

that his daughter's medical expenses were paid by his daughter's trust.

The agency is only responsible for those damages to complainant that

are shown to be caused by the agency's conduct. Carle v. Department of

the Navy, EEOC Appeal No. 01922369 (January 5, 1993); Fazekas v. United

States Postal Service, EEOC Appeal No. 01954627 (April 7, 1997); see

also Johnson v. Department of Interior, EEOC Appeal No. 01961812 (June

18, 1998). We find that the agency's discrimination did not caused any

harm to complainant regarding his daughter's medical expenses, because

those medical cost were not paid for by complainant.

We also agree with the agency that the collateral source rule does

not apply. The collateral source rule allows a complainant to recover

full benefits received from a source collateral to the responding agency

as they may not be used to reduce the agency's liability for damages

by payments made to complainant from a collateral source. Wallis ,

supra. This includes benefits such as medical costs and unemployment

benefits but does not apply to amounts received under FECA. Double

recovery is not an issue, because complainant's health insurer may

recover from him the monies it expended on his behalf. See Ward-Jenkins

v. Department of the Interior, supra. As we noted, complainant's

daughter's medical expenses were not paid by complainant, therefore,

complainant did not receive any payment from a collateral source in

order to mitigate the damages caused by the agency. Rather, we find

that his daughter's trust paid for his daughter's medical expenses.

The record also reveals that complainant admitted on appeal that

the federal employee Blue Cross program, his health insurance, has

made payment to the medical providers and those providers are in the

process of repaying complainant's daughter's guardianship. Therefore,

we conclude that complainant is not entitled to compensatory damages

because he failed to prove any loss from which he must be reimbursed.

CONCLUSION

Accordingly the agency's decision is AFFIRMED in part and MODIFIED in

part. The agency is directed to comply with the Order below in regard

to complainant's back pay claim.

ORDER

Within thirty (30) calendar days of the date ths decision becomes final,

the agency shall pay complainant the amount of back pay and interest from

the second half of pay period 12 and pay period 13, 1999. The agency

is further directed to submit a report that shall include supporting

documentation of the calculation of back pay, interest and evidence that

the corrective action has been implemented.

ATTORNEY'S FEES (H0900)

If complainant has been represented by an attorney (as defined by

29 C.F.R. � 1614.501(e)(1)(iii)), he/she is entitled to an award of

reasonable attorney's fees incurred in the processing of the complaint.

29 C.F.R. � 1614.501(e). The award of attorney's fees shall be paid

by the agency. The attorney shall submit a verified statement of fees

to the agency -- not to the Equal Employment Opportunity Commission,

Office of Federal Operations -- within thirty (30) calendar days of this

decision becoming final. The agency shall then process the claim for

attorney's fees in accordance with 29 C.F.R. � 1614.501.

IMPLEMENTATION OF THE COMMISSION'S DECISION (K0501)

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 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)

(1994 & Supp. IV 1999). If the complainant files a civil action, the

administrative processing of the complaint, including any petition for

enforcement, will be terminated. See 29 C.F.R. � 1614.409.

STATEMENT OF RIGHTS - ON APPEAL

RECONSIDERATION (M0701)

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 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 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).

COMPLAINANT'S RIGHT TO FILE A CIVIL ACTION (S0900)

You have the right to file a civil action in an appropriate United States

District Court within ninety (90) calendar days from the date that you

receive this decision. 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. If you

file a request to reconsider and also file a civil action, 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:

______________________________

Carlton M. Hadden, Director

Office of Federal Operations

July 11, 2002

__________________

Date