No. 27781 -- John Taylor, et al. v. Mutual Mining, Inc., Island Creek Coal Company, Island
Creek Corporation, Consol, Inc., and Laurel Run Mining Company
Starcher, J., dissenting:
I dissent to the majority opinion's refusal to allow the plaintiffs a remedy under
the Wage Payment and Collection Act (the Act), so that they may collect wages and fringe
benefits that their employer refused to pay.
The Act, specifically W.Va. Code, 21-5-1(c), defines wages as
compensation for labor or services rendered by an employee, whether the amount is
determined on a time, task, piece, commission or other basis of calculation.See footnote 1
1
Under this
statute, the employer and employee can agree on a way to calculate wages (e.g., $5.25 in
cash per hour worked). Once the employee performs and provides services or labor, then the
employer must respond and compensate the employee pursuant to the contract.
W.Va. Code, 21-5-1(c) specifically says that the term wages shall also
include then accrued fringe benefits capable of calculation and payable directly to an
employee[.] A fringe benefit includes such things as vacation, holidays, sick leave, or
production bonuses. W.Va. Code, 21-5-1(l).See footnote 2
2
Hence, under the statute, an employer and an
employee
can also agree on a way to calculate
fringe benefits that are payable just like
wages (e.g., 1.5 days of sick leave for each month worked).
Again, once the employee
performs and provides services or labor, then the employer must respond and compensate the
employee with the fringe benefit pursuant to the means of calculation set forth in the
contract.
The statute says that wages include fringe benefits capable of calculation and
payable directly to an employee. Calculate means to ascertain or determine beforehand,
esp. by arithmetic, while payable means due . . . owed, owing, outstanding, unpaid,
receivable. Oxford Desk Dictionary and Thesaurus, American Edition (1997).
Hence, the term wages in W.Va. Code, 21-5-1(c) includes vacation and sick
leave that can be arithmetically determined before services are rendered by the employee,
and which are due, owing, and as yet unpaid to an employee who has provided services.
These fringe benefits became part of the plaintiff-employees' overall compensation earned
during their periods of employment.
There is nothing in the Wage Payment and Collection Act that requires an
employer to offer fringe benefits. Nothing in the Act compels an employer to give his
employees time off for vacation, or for holidays, or for sick leave. Employers choose to offer
fringe benefits because it appeals to employees, and makes the job more enticing.
But, once an employer makes the choice to offer a fringe benefit, then W.Va.
Code, 21-5-1(c) takes over and ensures that if the employee performs the specified work in
expectation of receiving the fringe benefit, then the employer may not make the earned
benefit illusory.
The instant case
contains repeated instances where the employer offered wages
and fringe benefits as part of a wage package to its employees, and the employees showed
up for work expecting to receive the wages and fringe benefits. After the employees
performed their part of the bargain -- after the wages and fringe benefits became due and
payable directly to an employee -- the employer reneged on the bargain and refused to pay.
For example, in the Parkinson arbitration matter, the appellees showed up for
work and, as part of their wages, were to receive vacation pay. The employers, who received
a benefit from the appellees' labor, refused to pay the wages due and owing. Under the
Wage Payment and Collection Act, the unpaid vacation pay constituted wages, and the Act
provides a mechanism for the collection of those unpaid wages. Similarly, in the Tanzman
arbitration award, the employees were promised a daily wage for showing up to work and
being retained at the job on the basis of seniority. The employee at issue, John Taylor, lived
up to his end of the bargain. The employer laid him off in favor of a less senior employee
and deprived him of his daily wage, a wage that was subsequently ordered to be paid by an
arbitrator.
Each employee in this consolidated case rendered services to the employer
expecting to receive agreed-upon wages, wages that are required to be paid under the Wage
Payment and Collection Act. Each employee was wrongfully denied his wages, and was
forced to resort to legal action to collect those wages.
The majority opinion unfairly denies the employees their right to a remedy
under the Wage Payment and Collection Act. I therefore respectfully dissent.
I am authorized to state that Justice McGraw joins in this dissent.