Reject Union's Defense
TWU Strike Fines Upheld on Appeal

By GINGER ADAMS OTIS

An appeal of the ruling that imposed $2.5 million in fines and the loss of dues checkoff rights on Transport Workers' Union Local 100 was dismissed by the Appellate Division for the Second Judicial Department Oct. 3.

MICHAEL A. CARDOZO: Can't justify striking.

The Appellate panel upheld Brooklyn Supreme Court Justice Theodore Jones's decision to impose those penalties after Local 100 violated the Taylor Law with a three-day strike last December. It denied the appeal that had been filed on behalf of Local 100 by its lawyers.

Indefensible Action

The court further ruled that the union didn't have any defense for its violation of the no-strike agreement.

Local 100 lawyers had argued on appeal that they were entitled to have a jury decide if they violated the Taylor Law by striking last year, and since they weren't given a jury trial, the fines had been illegally imposed. Lawyers also argued they weren't given sufficient time to prepare their case.

The Metropolitan Transportation Authority was represented by the New York State Attorney General's Office. The city Law Department also appeared before the Appellate panel to represent the interests of the city and its residents.

Corporation Counsel Michael A. Cardozo said he was "very pleased that the court affirmed the penalties imposed on the union for their illegal activity and reaffirmed that these matters may be swiftly heard by a judge without a jury. This is a very important precedent for the future."

He expressed satisfaction that the decision "reaffirmed that no defense existed for public employees going on strike. We hope that the MTA and unions can now focus on resolving their ongoing contract issues."

Reasons Behind Ruling

In reaching its decision, the Appellate court ruled that most of the fines imposed by Judge Jones were civil in nature and intended to force the unions to end a strike that was in violation of a court order as well as the Taylor Law. The union wasn't entitled to a jury trial on civil fines, the court said, nor was it entitled to a jury trial on sanctions imposed for punitive reasons.

The Appellate justices also noted that the $1 million-per-day fine spread among the membership amounted to approximately $30 per member. Considering the union's substantial assets, the panel said, the fines didn't constitute a hardship serious enough to warrant a jury trial.

It also dismissed Local 100's claim that MTA demands for a new pension tier for future hires constituted "extreme provocation," and denied union assertions that it didn't have time to prepare a reasonable defense.

Had Prior Warning

The court said that the time given to the union was reasonable because "the [union] really had no defense to offer," especially as it knew of Justice Jones's order not to strike at least a week before it called workers off the job.

Local 100 began making monthly payments on its $2.5 million fine in June. The money goes to the city. The union, which lost its automatic dues check-off rights in June, also agreed not to seek restoration of those rights for at least three months after it has paid its fines in full. The union leadership also has to make a statement to the court expressing its willingness to comply with the Taylor Law, including its prohibition against strikes.