The Facts: Enzo and Marie have come to your office for some business organization advice. They plan to set up a flower shop. Enzo will work in the store. Marie will invest the original operating capital of $100,000. They want to share management authority, profits and losses equally. They plan to distribute all of the profits from the business to themselves as they are earned.
(1) List TWO benefits a member-managed Limited Liability Company (LLC) would provide Enzo and Marie based on the fit between the basic business planning characteristics of such an LLC and their expressed business objectives. (Worth 5 points)
(2) Assuming they elect to do business as an LLC, what advice would you give Enzo and Marie about signing any agreements with third parties before the LLC is formed? (Covered this problem in class and made a statement about it) (Worth 5 points)
(3) When does the LLC's existence begin? (Worth 2 points) (
4) Gerard is an incredible candy maker and would like to go into business for himself, but he needs some money to get started. His parents want to help him get his feet on the ground and start his career. They agree to invest in his business; however, they don’t want to be involved in any part of the business, they are just trying to help him out. Gerard asks your supervising attorney for advice on how to organize his business. The task is assigned to you. What business form would suit the needs of Gerard? Why? What are the advantages of this business form?
5) Gerard may have two different business forms that could be used. Name each and provide a brief description of the benefits and detriments of each one. Then which of those two would you recommend and why? (Worth 10 points)
In: Operations Management
Assume that Product Z is made of two units of A and three units of B. A is made of three units of C and four of D. D is made of two units of E.
Lead times for purchase or fabrication of each unit to final assembly are: Z takes two weeks; A, B, C, and D take one week each; and E takes three weeks.
Fifty five units OF Product Z are required in Period 10. (Assume that there is currently no inventory on hand of any of these items.)
b. Develop an MRP planning schedule showing gross and net requirements and order release and order receipt dates. (Leave no cells blank - be certain to enter "0" wherever required.)
| Period | 1 | 2 | 3 | 4 | 5 | 6 | 7 | 8 | 9 | 10 | |
| Item Z OH = 0 LT = 2 SS = 0 Q = L4L |
Gross requirements | ||||||||||
| Scheduled receipts | |||||||||||
| Projected available balance | |||||||||||
| Net requirements | |||||||||||
| Planned order receipts | |||||||||||
| Planned order releases | |||||||||||
| Item A OH = 0 LT = 1 SS = 0 Q = L4L |
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| Scheduled receipts | |||||||||||
| Projected available balance | |||||||||||
| Net requirements | |||||||||||
| Planned order receipts | |||||||||||
| Planned order releases | |||||||||||
| Item B OH = 0 LT = 1 SS = 0 Q = L4L |
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| Projected available balance | |||||||||||
| Net requirements | |||||||||||
| Planned order receipts | |||||||||||
| Planned order releases | |||||||||||
| Item C OH = 0 LT = 1 SS = 0 Q = L4L |
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| Scheduled receipts | |||||||||||
| Projected available balance | |||||||||||
| Net requirements | |||||||||||
| Planned order receipts | |||||||||||
| Planned order releases | |||||||||||
| Item D OH = 0 LT = 1 SS = 0 Q = L4L |
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| Projected available balance | |||||||||||
| Net requirements | |||||||||||
| Planned order receipts | |||||||||||
| Planned order releases | |||||||||||
| Item E OH = 0 LT = 3 SS = 0 Q = L4L |
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| Projected available balance | |||||||||||
| Net requirements | |||||||||||
| Planned order receipts | |||||||||||
| Planned order releases | |||||||||||
In: Operations Management
The Facts: Linda and Michael are the only shareholders of Investors, Inc. The corporation purchases property suitable for commercial development as shopping centers, office buildings or apartment complexes. It holds each property for a period of time to let it increase in value. It then sells the property for a profit to an unaffiliated commercial developer.
Investors, Inc. was properly formed as a corporation in full compliance with applicable law four (4) years ago. The Articles of Incorporation are silent concerning the corporation’s purpose and powers. One thousand (1000) shares of common stock are authorized. Linda owns 50 shares and Michael owns 50 shares. Linda and Michael are the only two members of the Investors, Inc. Board of Directors. At the organizational meeting of the Board of Directors Linda and Michael both voted as directors in favor of electing Linda as President and expressly giving her the authority to purchase commercial properties for the corporation. Michael was elected as Treasurer and Secretary.
The corporation is located in Duluth, Minnesota. It maintains its own offices, has separate records and accounts, letterhead and other corporate indicia. Linda and Michael are careful to always observe all corporate formalities, including holding regular directors and shareholder meetings. They consistently advise corporate creditors they are acting in their corporate capacities. Neither Linda nor Michael takes any salary. Distributions are only made to them if the corporation’s operating reserves after the distribution will cover at least three (3) months of normal operating expenses.
The corporation has funded all its property purchases through loans from Big Bank, located in Duluth, Minnesota. Each loan was negotiated and signed on behalf of Investors, Inc. by Linda as President. The property to be purchased serves as collateral (by mortgage) for the related purchase loan. Additionally, Linda and Michael have each given Big Bank a valid and binding personal guarantee. The guarantees state Linda and Michael are each individually unconditionally and primarily liable for all valid and binding indebtedness of Investors, Inc. to Big Bank.
The corporation has been very successful. It has already bought and sold five (5) different commercial properties, all located in Duluth, at a substantial profit. The corporation currently holds three (3) additional commercial properties, all also located in the Duluth.
This is the largest number of properties the corporation has ever held at one time. All three (3) properties have increased considerably in value since being purchased. At the most recent meeting of the Board of Directors, held one week ago, Linda said she believed the properties would continue to increase in value and the corporation should not sell any of them at the present time. Michael agreed. Michael reported that the corporation’s finances were sound. He explained that although the total loan balance with Big Bank was the highest it have ever been because of the unusually large property holdings, the corporation had substantial cash reserves and he expected no problem meeting the regular loan payments to due Big Bank.
Claude is putting together a project to purchase a large piece of undeveloped land 35 miles north of Duluth. He does not know either Linda or Michael. He does know they are the owners of Investors, Inc. Because he is aware of Investors, Inc.’s past success, Claude calls Linda to inquire whether she would be interested in making a personal investment in Claude’s project. He explains that although the land is currently zoned only for agricultural use, he believes there is a good chance it can be successfully re-zoned in the future to permit commercial uses thereby substantially increasing its value. The parcel of land is three times larger than any piece of land previously purchased by Investors, Inc. Without telling Michael, Linda personally invests and becomes a 30% owner in Claude’s project.
The Questions: Based on the above facts and limiting consideration to business organization and agency law, please discuss the following issue. When discussing the issues please explain concisely how you arrived at your conclusions through application of the relevant law to the facts presented.
(1) One year after Linda and Claude bought this land, it has been sold for a $300000 profit. Michael has now found out about that purchase and sale, and has caused Investors, Inc. to sue Linda for a share of that of that $300000 profit. Will Investors Inc. win or lose and why? You must provide a full explanation for your answer. (Worth 10 points)
(2) Assume that instead of investing personally, Linda, without telling Michael, makes the investment by purchasing the 30% interest in Claude’s project for Investors, Inc. Linda finances the investment by obtaining an additional loan from Big Bank. Because Investors does not own the property itself, Big Bank takes a security interest in the 30% interest in Claude’s project as collateral for repayment of the loan. All the documents relating to the investment and the loan are signed by Linda as President on behalf of Investors, Inc. Claude’s project fails and Big Bank sues Investors, Inc. on the loan. Will Big Bank win this lawsuit against Investors Inc. for the loss? Why or why not, you must provide a full explanation. (Worth 10 points)
In: Operations Management
Frederico owns a local bakery. With the recent Covid 19 pandemic he has had to restrict his store hours and limit his employees’ shifts. He is not sure he’ll be able to stay in business if it goes on much longer. He has eight long-time employees and isn’t sure whether he can keep them employed. Frederico wants to know what his options are in relation to keeping on or getting rid of his employees in terms of employment law issues we have studied in this course.
In: Operations Management
Develop a testing plan on a new education system
write a 2-page paper addressing the topics/questions below
-What were your main learnings from your testing?
-What worked? What didn’t work?
-What could be improved?
-Any new ideas results from testing? If yes, how can you use them?
-How will you use your test results to improve your solution?
In: Operations Management
when sourcing internationally a buyer should consider what?
In: Operations Management
Part A Understanding Consumers Consumer decision-making processes can be complicated because there are many factors (internal and external) that influence this process. For example, there are individual internal factors like personality and external factors including household structures, society and culture. Some decision making processes are linear and others are more emotional. For your report, you need to identify and explain how the concept of motivation affects consumers' likelihood of buying your product
Part B Segmentation
Define and describe the theoretical concept and purpose of segmentation. Identify and define the key segmentation variables (i.e. demographics, psychographic etc), be sure to present this information with market data evidence (i.e. tables/graphs/statistics from sources such as ABS/ Roy Morgan etc) ; and Using the different segmentation variables, describe a likely primary segment for your organisation and create your "Typical Consumer" profile (see template in i2)
Part C Targeting strategies
Define and describe the theoretical concept of targeting strategies; and Outline the most appropriate strategy for your product, given the competition and market analysis (from Assessment Two) and its likely segment described in your consumer profile
In: Operations Management
In: Operations Management
what are your views on the targeting of products to children in today's world? discuss the issue of targeting to children from the traditional perspective below: 1. that of a brand manager who is responsible for the profitability of a child-oriented product.
In: Operations Management
QUESTION 5
The owner of a leased property conveys possession of the property to the tenant providing them with uninterrupted us of the property without interference from the owner. This is known as
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consideration |
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quiet enjoyment |
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sole use |
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tenant improvement |
QUESTION 6
_________ property leases contain a clause that indicates the purpose for which a space may be used.
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residential |
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commercial |
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rural |
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suburban |
QUESTION 7
For apartment leases, what is the industry standard for the lease term?
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6 months |
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1 year |
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2 years |
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there is no industry standard |
QUESTION 8
The _______ is the amount a landlord agrees to spend to build out or refurbish the space to meet the needs of the tenant's business.
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tenant concessions |
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owner consideration |
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tenant improvement allowance |
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expense stop |
QUESTION 9
Rent for U.S. commercial properties is typically quoted as a(n)
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dollar amount per month |
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dollar amount per year |
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monthly cost per square foot |
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Annual cost per square foot |
QUESTION 10
The amount paid by retail tenants in percentage leases regardless of the level of the sales generated by the tenant's business is
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flat rent |
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base rent |
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percentage rent |
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graduated rent |
QUESTION 11
Shopping center leases often include a clause that ties total rent payments to the tenant's sales revenue. This type of rent is known as
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flat rent |
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base rent |
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percentage rent |
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graduated rent |
QUESTION 12
Rent that has specified increases over the term of the lease is called
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flat rent |
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base rent |
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percentage rent |
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graduated rent |
QUESTION 13
A lease in which the owner pays all of the property's operating expenses is called a
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net lease |
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gross lease |
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net net lease |
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triple net lease |
QUESTION 14
A lease in which the tenant pays the property taxes and insurance is called a
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net lease |
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gross lease |
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net net lease |
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triple net lease |
QUESTION 15
In which type of lease is the tenant responsible for all operating expenses?
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net lease |
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gross lease |
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net net lease |
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triple net lease |
QUESTION 16
Which of the following would typically be considered an operating expense controllable by the owner?
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general maintenance |
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property taxes |
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insurance payments |
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utility expenses |
QUESTION 17
Lease clauses that reduce the cost of the lease to the tenant and therefor provide an incentive for the tenant to lease the space are called
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common area clauses |
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concessions |
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alterations |
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assignments |
QUESTION 18
When ALL of a tenant's rights and obligations are transferred to another party, what has occurred?
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sublease |
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lease option |
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lease renewal |
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lease assignment |
QUESTION 19
Lease clause that gives the tenant the right, but not the obligation, to renew the lease.
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cancelation option |
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renewal option |
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expansion option |
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|
lease option |
QUESTION 20
Lease clause that obligates the property owner to find space for the tenant to expand the size of their leased space is called a(n):
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cancelation option |
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|
renewal option |
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expansion option |
||
|
lease option |
In: Operations Management
In: Operations Management
ETHICS EXERCISE SEVENTEEN
Jan Fields is leaving her office to start her daily round of sales calls when the telephone rings. Her plans for the morning go awry as the angry voice on the other end of the line demands to know the status of an order. The order represents Jan’s biggest sale to date and the first her company has made with a major franchise.
Jan quickly contacts Ken McBride. Ken feels his breath catch in his chest. As he had predicted earlier in the month, production has fallen behind schedule. Now he has a unique part on hand that is needed for two different orders. He has to decide whether to use it to fill a regular customer’s order, which is legitimately far ahead of the one in question and urgently needed, or to honor Jan’s frantic request.
Ken could reduce his immediate stress level and save Jan’s day by bumping the regular customer’s order. This move would cause a serious problem for the valued old customer. However, no business would be lost, of course, because the old customer would have no way of knowing that its order has been set aside to accommodate a new customer in the hope of generating future sales.
[“Boxed In, An Ethical Dilemma”; Business Communication, Strategies and Skills; 4th Ed., The Dryden Press, 1991]
Assignment:
How could the company reduce or avoid such situations in the future?
In: Operations Management
The CIO of Independence Medical Center, a Vila Health hospital, wants to create positions to support its data management and governance plan. You have been asked to spearhead the project and identify three key positions.
In: Operations Management
Donald Trump railed against NFL players who protested at Thursday night's preseason games, saying the players are outraged about "something that most of them are unable to define."
"The NFL players are at it again - taking a knee when they should be standing proudly for the National Anthem. Numerous players, from different teams, wanted to show their 'outrage' at something that most of them are unable to define. They make a fortune doing what they love," he tweeted from his Bedminster golf club on Friday morning, the ninth day of his vacation.
On Thursday, as the preseason games officially kicked off, several players took a knee, raised a fist, or did not take to the field while the National Anthem was played before a dozen preseason games across the country.
NFL players have said the protests, which began in 2016, are intended to draw attention to what they see as systematic bias against people of color.
"It's not necessarily about the anthem, that's where everybody's messing up," Tennessee Titans star defensive end Jurrell Casey told CNN last month. "The way that the justice system treats minorities is the issue that we have."
Trump has previously expressed an understanding of the reasoning behind the protests.
"I am going to ask all of those people to recommend to me -- because that's what they're protesting -- people that they think were unfairly treated by the justice system," Trump told reporters in June before boarding Marine One. "And I understand that. And I'm going to ask them to recommend to me people that were unfairly treated -- friends of theirs or people that they know about -- and I'm going to take a look at those applications. And if I find, and my committee finds that they are unfairly treated, then we will pardon them or at least let them out."
The President sees the issue as a political winner, using the protests to fire up his base. He told attendees of a private dinner last year, "It's really caught on. It's really caught on."
In another tweet, Trump also reiterated his belief that players, who don't stand for the National Anthem should be penalized.
He wrote, "Be happy, be cool! A football game, that fans are paying soooo much money to watch and enjoy, is no place to protest. Most of that money goes to the players anyway. Find another way to protest. Stand proudly for your National Anthem or be Suspended Without Pay!"
NFL players, in fact, do not take home a majority of the revenue from games. According to Sports Illustrated, in the current collective bargaining agreement, players get a lesser share than NFL team owners, calculated around 47 to 48%.
The NFL said it won't punish the players who took part in Thursday's protests, noting it had shelved what was supposed to be a new policy on anthem conduct until it reaches an agreement with the NFL Players Association.
Trump has slammed the NFL players since the protests began, suggesting the players be kicked out of the country and praising sports he says are more patriotic.
1. Discuss in detail discuss and analyze your core beliefs and origins of the core beliefs. The discussion should provide greater depth and clarity of your core beliefs.
2. Identify the theory or theories involved in the scenario and accurately explain the details of the theory and how it relates to the scenario.
In: Operations Management
This matter of arbitration stems from an indictment of Thomas Allen for one count of arson– first degree and ten counts of burglary in Quitman County, Mississippi, on March 28, 1999. In a letter dated March 30, 1999, Billy Como, postmaster, wrote: This is written notice that you have been removed from employment with the Postal Service. This action is being taken in accordance with Article 16 of the Agreement. There is reasonable cause to believe you have committed a crime for which a sentence of imprisonment may be imposed. Specifically, by the indictment dated March 28, 1999, you were indicted in the Superior Court of Quitman County for one count Arson–First Degree and ten counts of Burglary. These aforementioned charges are so egregious in nature that retaining you in postal employment would not be in the best interest of the Service. In a letter dated April 9, 1999, Mr. Jesse G. Bolton, attorney for Mr. Allen, wrote to Walter E. Flatten, human resources manager: I have been asked to assist Mr. Allen in regard to his removal from the Postal Service. Although there has been an indictment of Mr. Allen by the Superior Court of Quitman County, MS, it is probable that the indictment has overstated the underlying facts and it is also possible that some or all of the charges could be dropped or minimized. The arraignment date in the case was set for March 28th, 1999, and this was suspended or continued on an indefinite basis. Mr. Allen is 47 years old and has never been charged with any criminal offense involving moral turpitude. He has only had one speeding ticket, in the year 1968, while in the service of the United States Air Force. His character and reputation in the community in which he lives are exceptional, and there is a reasonable possibility that a sentence of imprisonment will not be imposed. From the earliest days of the charges, restitution was made by the subjects and accepted by the affected party or parties. The hunting cabin for which the one count of arson was made, according to my information, was unoccupied at the time, and restitution for damage to that house has largely been accomplished by and through the replacement of the house and acceptance of the same by the owner. The only reason that rebuilding the cabin has been delayed is because the accused parties have been doing all the physical labor themselves.
On April 13, 1999, Mr. Allen filed the following Grievance:
1. Nature of Grievance: (Be specific: what, where, when, etc.) This is a Step 2 Appeal filed on behalf of Thomas Allen, a reg. carrier at the Marks, Mississippi, post office, from an adverse decision rendered at Step 1. Mr. Allen was issued a Notice of Removal on March 30, 1999 in accordance with Article 16 of the National Agreement. Mr. Allen received the letter on April 4, 1999.
2. Contract Violation: This action is a violation of Article 16 of the National Agreement.
3. Corrective Action Requested: The Union respectfully requests that the Notice of Removal be rescinded and the Grievant be made whole for all lost wages and benefits. The facts do not reveal reasonable cause to believe the Grievant is guilty. On April 21, 1999, Mr. Flatten wrote the following letter to Mr. Bolton. This letter stated: In accordance with Article 1, Section 1 of the National Agreement, the Rural Carriers’ Union is the exclusive bargaining representative for Mr. Allen. As such, I cannot grant your request for a summary outline of the evidence the Postal Service has obtained. In accordance with Article 15, Section 3, Step 1 of the National Agreement, Mr. Allen has a contractual right to file a grievance on any action taken by the Postal Service. In the event Mr. Allen exercises this right, he would be represented by the Rural Carriers’ Union.
Issue
Relevant Articles of the Agreement Article 16—Discipline Procedure
Section 1. Statement of Principle In the administration of this Article, a basic principle shall be that discipline should be corrective in nature, rather than punitive. No employee may be disciplined or discharged except for just cause such as, but not limited to, insubordination, pilferage, intoxication (drugs or alcohol), incompetence, failure to perform work as requested, violation of the terms of this Agreement, or failure to observe safety rules and regulations. Any such discipline or discharge shall be subject to the grievance-arbitration procedure provided for in this Agreement, which could result in reinstatement and restitution, including back pay. When there is reasonable cause to believe an employee is guilty of a crime for which a sentence of imprisonment can be imposed, the advance notice requirement shall not apply and such an employee may be immediately removed from a pay status.
Position of the Parties- The Agency:
Management stated that Mr. Allen was indicted on one count of arson in the first degree and 10 counts of burglary by a Grand Jury of Quitman County, Mississippi, on March 28, 1999. Each of the eleven counts carries a maximum sentence of 20 years’ imprisonment as provided by Mississippi State Law. The total would equate to 220 years’ imprisonment for the alleged crimes if he were convicted and given the maximum sentence. The Postal Service obtained a copy of this indictment and questioned Mr. Allen. After he was removed from employment, a letter from Mr. Jesse G. Bolton, attorney at law, on Allen’s behalf was forwarded to Mr. Flatten. TManagement stated that Billy Como, postmaster, had obtained a copy of the indictment on the advice of Labor Relations. Allen was given an opportunity to respond to the indictment and did not deny any of the charges. Mr. Como testified that he had copies of two newspaper articles from adjoining counties that pertained to Allen’s situation before issuing him his removal notice.
Management admitted that Mr. Como initially testified that he had been directed by Management to take this action and would not have done so if he had not been directed. On cross-examination, Como was asked for whom he worked. Under oath, he said his boss was Mr. Jimmy Whitestone, manager of Post Office Operations. Whitestone directed Como in the performance of his duties to do what was expected of him. Labor Relations has a responsibility to advise Management officials of the proper procedures to take in disciplinary matters that are consistent with postal policies and contractual procedures. Mr. Como stated that Labor Relations advised him on how this type of situation is normally handled. Mr. Como read Article 16 in the National Agreement, and he was satisfied that he complied with Article 16. Mr. Como testified that he felt like Allen and other employees of the Marks Post Office were family. This explained Como’s reluctance to remove Allen. Como stated that he had no problem upholding Postal Service’s policies once it was explained to him that the action taken was consistent with the postal policy on how to handle situations wherein an employee had been indicted for a crime for which a sentence of imprisonment may be imposed. Como issued the removal based on the indictment after he gave Allen an opportunity to respond.
Management stated that this Grievance should still be denied if this higher form of just cause is applied. Arbitrators have ruled consistently that the ‘‘reasonable cause’’ standard is the only proof required before removing an employee for criminal considerations. Arbitral jurisprudence has established the reason for the position taken by Management. Management closed by stating: Management has stated consistently that management based its decision to remove the grievant on an indictment. Proof of the grievant’s guilt, innocence, former standing in the community, or whether restitution has been made is irrelevant to this proceeding. What is relevant is, whether Management had substantive information in hand, prior to removing the grievant. Based on arbitral precedent, an indictment has been deemed to be the proper information on which one should base a decision of this nature.
The Union:
The Union claimed that Billy Como, postmaster and Allen’s immediate supervisor, testified that it was not his decision to remove Thomas Allen. Como testified that he did not notify the Labor Relations office in Jackson, Mississippi, after Allen was indicted. The Labor Relations office was informed about the indictment by a relative of Mr. Flatten, who attended a church service in Marks. When the Labor Relations office learned of Mr. Allen’s indictment, it directed Como to obtain a copy of the indictment and forward it to Jackson. Como dutifully obtained a copy of the indictment, which is public record. Como testified that, if it had been up to him, he would not have removed Allen, and Allen would still be working. Como testified that he did not draft the notice of removal; he was told by the Labor Relations office to sign and deliver it to Allen. Como clearly indicated that this entire matter was handled by the Labor Relations office in Jackson, Mississippi. The Union stated that where the imposition of discipline is not recommended or initiated by the employee’s first-line supervisor, the discipline cannot stand. When higher-level authority does more than advise and when it takes over the decision-making role and eliminates the contractual responsibility of local supervision—and then concurs in its own decision—a substantive due process violation occurs. Such violation cannot be overlooked as a mere technicality. The bi-level disciplinary procedure provides a unique protection for employees. It cannot legitimately be disregarded, and the employer’s neglect to follow it creates a breach of contractually established due-process requirements of such importance as to require that the resulting discipline be overturned. The Union argued that the Postal Service did not have just cause to remove Thomas Allen. The record reflects that the Postal Service did not carry its burden in showing that just cause existed for Allen’s removal. Throughout the Grievance Procedure and at the hearing, the Postal Service took the untenable position that, because Allen had been indicted, the Postal Service was privileged to remove him pursuant to Article 16 of the National Agreement. Article 16 only allows the Postal Service to immediately remove an employee from pay status when there is ‘‘reasonable cause to believe an employee is guilty of a crime for which a sentence of imprisonment can be imposed.’’ The Postal Service has taken the position that standards of just cause did not apply to this case, and the Postal Service made no serious efforts to show that just cause existed.
The Postal Service was unable to show that Allen’s indictment poses a threat to himself, his co-workers, or his customers or that the image of the Postal Service will be tarnished by his employment. Mr. Allen is well liked, the community wants him back on his route, and the image of the Postal Service will not suffer if he remains on the job. The Union presented three witnesses on behalf of Mr. Allen. Mr. Willie Andrews, a psychiatric social worker and Quitman County Board of Education member, testified that Allen was an excellent carrier who often went beyond the call of duty. Andrews stated that he was happier with his mail service when Allen was carrying the route. Mr. Andrews had known Allen for 10 or 15 years and stated that he was shocked when he learned of Allen’s arrest and indictment. He indicated that the Postal Service’s image would be improved if Allen were returned to work. Mayor E.L. Elton testified that he has known Allen all of his life and was in disbelief when told that Allen had been indicted. Mr. Elton was a very satisfied customer and would like to see Allen return to his duties. As mayor, Mr. Elton was in a unique position to gauge community sentiment and testified credibly that there was ‘‘very strong support’’ for Allen’s return to work. He believes that the image of the Postal Service will not be tarnished if Allen returns to work. Ms. Hortense Balk, a lifelong Marks resident, owned the property that was destroyed in the fire that Allen is accused of intentionally setting. The destroyed property was a hunting cabin that Ms. Balk rented to hunters. Ms. Balk was shocked when she learned that Allen had been indicted because she had known Allen all of his life. Ms. Balk testified that she did not press charges against Allen and noted that Allen had already rebuilt the hunting cabin. Ms. Balk testified that he did such a great job that she thought about moving into it. The Union noted that the fact that Allen made restitution to Ms. Balk should not be construed as an admission that he is guilty of a crime for which a sentence of imprisonment can be imposed. If anything, Allen’s gesture reflects favorably on his character. Despite the personal loss felt by Ms. Balk, she does not believe that Allen should lose his job. The Postal Service did concede that if the indictment is dropped or Allen is acquitted in a trial, he will be returned to work immediately. The Postal Service must do its part in managing its employees and imposing discipline where appropriate. The Postal Service has ceded all judgment to the criminal process and to a district attorney who has sat on this indictment for almost ten months with no specific date set for trial. During these ten months, Mr. Allen has been an effective postal employee, and no other employee’s performance has been affected. The Union stated that the Postal Service had an affirmative duty to investigate on learning of the indictment but did not. The Postal Service is required in cases of alleged off-duty misconduct to determine whether that alleged misconduct would affect the integrity of the operations of the Postal Service. If the Postal Service had been able to offer credible testimony in this regard, it may have met its burden under just cause. However, the Postal Service made no efforts to address these issues.
The Union concluded:
The removal of Thomas Allen was not properly initiated by Mr. Allen’s supervisor, Postmaster Como. Instead, the removal was forced on Postmaster Como by the Labor Relations office in Jackson. This is a clear violation of Article 16 of the National Agreement. There is no exception that allows the Postal Service to ignore the judgments and desires of its front line supervisors, even in cases where employees have been indicted for off-duty misconduct. The record reveals that the Postal Service failed to meet its burden to show that it had ‘‘reasonable cause to believe that Mr. Allen was guilty of a crime for which the sentence of imprisonment could be imposed.’’ The Postal Service also failed to show that removal was for just cause. The record reflects that Thomas Allen is an Air Force veteran and an exemplary 18-year postal employee. He does not pose a threat to his postmaster, his coworkers, or his customers. Indeed, these people want him back on the route. The Postal Service never had and does not now have a valid reason for removing Allen. The Union requested that the Arbitrator hold the Postal Service to its contractual promise that all removals be supported by just cause. As none exists here, it is requested that the grievance be granted and that Mr. Allen be reinstated with full back pay with interest and benefits to the date of his removal.
Questions
7. What level of proof should be used in this matter? Why?
8. Weigh the evidence and consider the burden of proof and the levels of proof. Be the arbitrator and support your decision.
In: Operations Management