Mutual Mining, Inc.

Plain-English summary

Mutual Mining had been found to have discriminatorily discharged five miners, and the ALJ had awarded back pay while deducting unemployment compensation. The Fourth Circuit affirmed the discrimination findings but reversed that deduction. The Commission remanded the cases to the ALJ to recalculate the back-pay awards without deducting unemployment compensation.

Decision snapshot

• Cited provision(s): 30 U.S.C. § 801, 30 U.S.C. § 815(c)
• Outcome: The Commission remanded the cases for recalculation of back pay without deducting unemployment compensation.
• Key point: The Commission followed the appellate court's ruling that unemployment compensation should not be deducted from these back-pay awards.

Full text (FMSHRC public release)

FEDERAL MINE SAFETY AND HEALTH REVIEW COMMISSION
1730 K STREET NW, 6TH FLOOR
WASHINGTON, D.C. 20006

                                      July 10, 1996

SECRETARY OF LABOR, :
MINE SAFETY AND HEALTH : Docket Nos. WEVA 93-394-D
ADMINISTRATION (MSHA), : WEVA 93-395-D
on behalf of CLETIS R. WAMSLEY, : WEVA 93-396-D
ROBERT A. LEWIS, JOHN B. TAYLOR, : WEVA 93-397-D
CLARK D. WILLIAMSON and : WEVA 93-398-D
SAMUEL COYLE :
:
v. :
:
MUTUAL MINING, INC. :

BEFORE: Jordan, Chairman; Holen, Marks and Riley, Commissioners

                                         ORDER

BY THE COMMISSION:

    This discrimination proceeding arises under the Federal Mine Safety and Health Act of

1977, 30 U.S.C.§ 801 et seq. (1994) (“Mine Act” or “Act”). Following an evidentiary hearing,
Administrative Law Judge Arthur J. Amchan concluded that Mutual Mining, Inc. (“Mutual”)
violated section 105(c) of the Mine Act, 30 U.S.C. § 815(c), when it terminated five miners.
Secretary of Labor ex rel. Wamsley v. Mutual Mining, Inc., 16 FMSHRC 1304, 1320 (June
1994) (ALJ). The judge assessed a civil penalty of $5,000 for the section 105(c) violation,
awarded the miners back pay, and directed that any unemployment compensation that the miners
received following their discharge be deducted from back pay. 16 FMSHRC 2371, 2372-73 &
n.1 (November 1994) (ALJ). The Commission thereafter denied petitions for discretionary
review filed by Mutual and the Secretary of Labor.

    Subsequently, Mutual and the Secretary filed petitions for review in the U.S. Court of

Appeals for the Fourth Circuit. On April 3, 1996, the court issued its decision affirming in part
and reversing in part the decision of the Commission. Secretary of Labor ex rel. Wamsley v.
Mutual Mining, Inc., Nos. 95-1130 and 95-1212 (4th Cir.). The court affirmed the judge’s
determination that the five miners were discriminatorily discharged in violation of section 105(c)
of the Mine Act. The court reversed the judge’s deduction of unemployment compensation from

the back pay awards.1

    On May 28, 1996, the court issued its Mandate, Opinion and Certified Judgment in this

matter, returning the case to the Commission’s jurisdiction.

   1
      Chairman Jordan and Commissioner Marks note that in reversing the back pay

determination, the court held that the Commission owed deference to the Secretary’s view on the
deductibility of unemployment compensation. Wamsley, slip op. at 6-9. The court disapproved
Meek v. Essroc Corp., 15 FMSHRC 606, 616-18 (April 1993), in which the Commission
announced a rule requiring the deduction of unemployment compensation from all back pay
awards, and Secretary of Labor ex rel. Nantz v. Nally & Hamilton Enterprises, Inc.,
16 FMSHRC 2208, 2216-20 (November 1994), which upheld Meek. Wamsley, slip op. at 8-9.
The court determined the Secretary’s interpretation to be a reasonable one that “effectuates the
health and safety goals of the Act.” Id. at 9-10.

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   Pursuant to the court’s order, we remand this matter to the judge to recalculate the

miners’back pay awards and we direct the judge not to deduct unemployment compensation
received by the miners from their awards.

                                        Mary Lu Jordan, Chairman




                                        Arlene Holen, Commissioner




                                        Marc Lincoln Marks, Commissioner




                                        James C. Riley, Commissioner




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