B   M   W   E
JOURNAL
ONLINE VERSION VOLUME 107 - NUMBER 1 - FEBRUARY 1998
Circuit Court Reverses Decision On Travel Allowance
The U.S. Court of Appeals for the Seventh Circuit, by a 2-1 vote, reversed the judgement of the District Court which held that the BMWE's dispute with the carriers over the payment of travel allowances was a major dispute.

All three judges agreed that if you looked only at the plain language of Article XIV of the Agreement, the dispute is major. In the decision the majority stated, "we would hold the railroads' view 'frivolous or obviously insubstantial' and affirm the district court--if the act of interpretation were to stop at the four corners of the Agreement." But the majority held that they "must" look at evidence outside the agreement even if the agreement language is clear.

The dissenting judge stated in his dissent, "Article XIV makes no distinction between employees who travel with a 'district gang' and those who travel with a regional and system gang.' Either type of gang can travel considerable distances as the majority notes and as the record amply demonstrates. ... On this record, I agree with the district court that the railroads are trying to obtain a new and materially different travel allowance in the agreement..."

In early January the BMWE petitioned the court for a rehearing en banc (a request that all sitting judges on the Seventh Circuit hear the appeal). The petition stays the effectiveness of the circuit court's decision until it rules on the petition.
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