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American Federation of Teachers v. Ledbetter

Citations: 387 S.W.3d 360; 2012 Mo. LEXIS 279; 2012 WL 5921069Docket: No. SC 91766

Court: Supreme Court of Missouri; November 19, 2012; Missouri; State Supreme Court

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The American Federation of Teachers, its St. Louis affiliate Local 420, and representatives Mary Armstrong and Byron Clemens appeal a trial court ruling that determined the Construction Career Center Charter School District's board of education has no obligation to negotiate in good faith with the union. Article I, section 29 of the Missouri Constitution guarantees all employees the right to organize and bargain collectively, which requires the board to engage in good faith negotiations with the union. The appellate court reverses the trial court's judgment and remands the case.

The union was recognized as the collective bargaining representative for teachers and met with the board 18 times from May 2008 to April 2009 to negotiate a collective bargaining agreement. A tentative agreement was reached in January 2009, excluding salary, pending ratification by both parties. However, the board rejected the agreement in February and decided not to negotiate on teacher tenure, unilaterally setting salaries for the 2009-2010 academic year without documenting the discussions. The union subsequently filed a petition alleging violations of the Missouri sunshine law and failure to bargain collectively. The trial court ruled that the Missouri Constitution does not impose a duty to negotiate in good faith, leading to the union's appeal.

The appellate court reviews the summary judgment de novo, assessing the trial court's decision based on the same criteria it should have applied initially, while viewing the record favorably towards the party opposing the judgment.

Summary judgment is granted when the moving party shows, based on undisputed facts, a legal right to judgment (Rule 74.04(c)(6)). In declaratory judgment cases, a trial court's decision is upheld unless unsupported by substantial evidence, against the evidence's weight, or erroneous in law application (Guyer v. City of Kirkwood, 38 S.W.3d 412). The union argues the trial court wrongly stated that employers lack a duty to bargain in good faith under article I, section 29 of the Missouri Constitution, asserting that this constitutional right entails a corresponding duty for the board to bargain in good faith. The board acknowledges a duty to meet with the union but denies a duty to bargain in good faith. Article I, section 29 guarantees employees the right to organize and collectively bargain, applicable to both public and private sectors (Independence-Nat. Educ. Ass’n v. Independence Sch. Dist., 223 S.W.3d 131). Missouri’s public sector labor law provides a procedural framework for collective bargaining but excludes certain professions, including law enforcement and teachers. Even without a codified framework, public employers still have a constitutional duty to negotiate with excluded employees. While employers can reject proposals, the right to bargain collectively necessitates negotiation on employment conditions. Unlike other states, Missouri does not have a statutory duty to bargain in good faith. The critical question is whether article I, section 29 imposes such a duty. Constitutional provisions receive broader construction, aiming to avoid unjust outcomes. Without an obligation to negotiate in good faith, the right to bargain collectively would be rendered ineffective, which is an unreasonable result. The ultimate goal of bargaining is to reach an agreement.

The primary purpose of collective bargaining is to achieve binding agreements between unions representing employees and their employers. Public employers must negotiate in good faith; failure to do so could undermine the collective bargaining process and reduce the constitutional right to bargain down to a mere right to petition for grievances, which is already protected by the First Amendment and Missouri Constitution. Historical discussions during Missouri’s constitutional convention emphasized that collective bargaining is distinct from rights of speech and petition. The term "collective bargaining" has traditionally included an implicit duty to negotiate in good faith, even without explicit statutory requirements. Legal precedent dictates that technical terms are to be understood in their established legal context unless indicated otherwise. The evolution of collective bargaining in the U.S. began in response to the economic demands of World War I, leading to the establishment of the War Labor Board, which advocated for recognition of workers' rights to bargain collectively. While early laws did not explicitly mandate good faith bargaining, the Railroad Labor Board interpreted collective bargaining as requiring a sincere effort to resolve disputes, indicating that a simple compliance with legal statutes was insufficient.

The National Industrial Labor Act, enacted by Congress in 1933, affirmed the right of employees to organize and bargain collectively, although it did not explicitly mandate good faith bargaining. The National Labor Board, in 1934, determined that good faith was an implicit requirement, emphasizing that collective bargaining involves more than mere meetings and must aim for a genuine agreement. The National Labor Relations Board (NLRB), established shortly after, reiterated that employers have a duty to negotiate in good faith, which includes making counter-proposals and earnest efforts towards reaching an agreement. Despite subsequent laws, including the National Industrial Recovery Act and the National Labor Relations Act of 1935, lacking explicit good faith requirements, the NLRB consistently recognized good faith as essential to collective bargaining. By 1938, it was established that collective bargaining involves sincere negotiations aimed at reaching an agreement, and that an employer's refusal to accept terms after genuine efforts is not illegal. The term "bargain collectively" became synonymous with good faith negotiations by 1945, and it wasn't until the 1947 amendment to the National Labor Relations Act that the obligation to bargain in good faith was explicitly stated in national labor law.

Missouri's constitution mandates that employers engage in good faith during collective bargaining. The U.S. Supreme Court emphasized in 1951 that collective bargaining requires employers to negotiate sincerely, offering counter-proposals and striving for agreement (N.L.R.B. v. American Nat’l Ins. Co.). Similarly, the New Jersey Superior Court affirmed that the right to bargain collectively imposes a duty on employers to negotiate in good faith, arguing that failing to do so would undermine the constitutional provision. Under Missouri law, good faith is defined as acting without deceit or pretense, embodying sincerity and trust. This principle is crucial in negotiations, as it ensures both parties genuinely attempt to reach an agreement. The inherent tension between an employer's right to reject proposals and the duty to negotiate seriously reflects the balance intended by voters in Missouri. Article I, section 29 of the Missouri Constitution not only grants public employees the right to collective bargaining but also requires public employers to engage in meetings regarding working conditions, thereby obligating them to act in good faith to prevent undermining the bargaining process. The trial court's conclusion that the board had no duty to negotiate in good faith was erroneous, as was its interpretation of "good faith" under federal law. The case is remanded for reevaluation under Missouri law regarding the board's good faith in negotiations, reversing the trial court's judgment.

The court includes Chief Justice Teitelman and Justices Russell, Stith, and Hartenbach, Sr. in concurrence, while Justice Fischer dissents, and Justice Draper does not participate. The American Federation of Teachers, Local 420, and its representatives are referred to as "the union," while the board of education of the Construction Career Center Charter School District and its members are termed "the board." The document references statutory provisions from RSMo 2000. The debates surrounding article I, section 29 of the Missouri Constitution do not clarify the specifics of the right to collective bargaining; they only affirm the intent to protect this right from legislative interference. The debates do not indicate whether the right entails an affirmative duty to bargain or merely a negative duty against obstructing union organization. Consequently, the court emphasizes the importance of interpreting the constitution based on the commonly understood meaning of its text, as voters endorsed the constitutional language rather than the debates. The union claims that Missouri's article I, section 29 reflects an intention to adopt federally recognized good faith bargaining duties, citing similarities with the National Labor Relations Act (NLRA), which predates Missouri's constitution. However, the NLRA excludes state employees from its provisions. While federal law can inform Missouri law to the extent of consistency, federal interpretations are not binding on Missouri case law.