MacOmb County v. AFSCME Council 25 Locals 411 & 893
494 Mich. 65
| Mich. | 2013Background
- PERA requires public employers to bargain over terms and conditions of employment, including retirement benefit calculations.
- Macomb County Retirement Commission controls actuarial tables and joint-and-survivor benefit calculations under a Retirement Ordinance.
- For 24 years the system used a 100% female/0% male actuarial table, later blended to approximate actuarial equivalence.
- GRS proposed a 60% male/40% female blend; the Commission adopted it to apply to retirees after July 1, 2007.
- Eight CBAs expressly incorporate the Retirement Ordinance; one implicitly incorporates it; past practice and arbitration provisions shape dispute resolution.
- MERC rejected the charges; the Court of Appeals reversed; the Supreme Court granted review to decide if the past practice amended the CBA or if bargaining was required.
Issues
| Issue | Plaintiff's Argument | Defendant's Argument | Held |
|---|---|---|---|
| Whether actuarial-table changes are mandatory bargaining subjects. | Charging parties. | Respondents. | Yes; however, covered by CBAs. |
| Whether past practice amended the CBA to require bargaining for the 100% female table. | Past practice created a term independent of the CBA. | Past practice did not amend unambiguous CBA terms. | Past practice did not amend the contract; no new term. |
| Whether the grievance/arbitration process governs challenges to negotiated retirement benefits. | Dispute entitled to MERC ULP review. | Dispute should be arbitrated under CBAs. | Grievance/arbitration governs; MERC claims dismissed. |
Key Cases Cited
- Port Huron Ed Ass’n v Port Huron Area Sch Dist, 452 Mich 309; 550 NW2d 228 (1996) (1996) (set forth Port Huron framework for covered subjects and past practice limits)
- Detroit Police Officers Ass’n v Detroit, 391 Mich 44; 214 NW2d 803 (1974) (1974) (retirement-benefit computation as mandatory bargaining; past practice considerations)
- Port Huron Ed Ass’n v Port Huron Sch Dist, 452 Mich 309; 550 NW2d 228 (1996) (1996) (reiterates standard for when past practice modifies contract language)
- Gogebic Community College Mich Ed Support Personnel Ass’n v Gogebic Community College, 246 Mich App 342; 632 NW2d 517 (2001) (2001) (past practice vs. contract language when determining negotiated terms)