*1 COLE, al., Mae et Johnnie
Plaintiffs-Appellants, POULTRY, INC.,
FARM FRESH
Defendant-Appellee.
No. 86-7316.
United Appeals, States Court of
Eleventh Circuit.
Aug. *2 RONEY, Judge,
Before Chief JOHNSON, Judge, Circuit and *, Judge. ESCHBACH Senior Circuit ESCHBACH, Judge. Senior Circuit appeal plaintiffs-appellants this ar- gue judge that the district erred deter- mining defendant-appellee Farm (“Farm Fresh”) Poultry Fresh Inc. was entitled to the of the Portal-to-Por- benefit agree tal Act’s defense. We and will reverse and remand the case to the district court.
I operates process- a chicken ing plant City, in Alexander Alabama. plaintiffs Mae the other Johnnie Cole and Ala., George Longshore, Birmingham, C. work, work, in this action or did on the plaintiffs-appellants. for eviscerating plant. line at the The line Pack, Appellate Linda S. Counsel for Jan occasionally during must shut down Solicitor, Dept, Litigation, U.S. of Office working day due to mechanical failures D.C., Labor, Washington, for curi- amicus breakdowns, plant, delivery trucks’ and ae. the like. Prior to the time at issue in this action Farm Fresh instituted a “thir- Smith, Constangy, Terry Brooks & Price ty-minute rule” reliance the oral Katze, Atlanta, Ga., for de- and Edward advice of a officer for the fendant-appellee. Department and Hour Division of the
Labor,
interpretative
and
bulletin
by
issued
Under the
division.1
*
Eschbach,
Honorable Jesse E.
Senior U.S. Cir-
785.15
Circuit,
Judge
sitting by
cuit
designation.
for the Seventh
ON DUTY
stenographer
A
who reads a book while wait-
dictation,
ing
messenger
for
who
a
works
interpretative
The
bulletin was
to the
1.
puzzle
awaiting assignments,
crossword
while
management and
Farm Fresh
was entitled Inter-
plays
waiting
fireman who
checkers while
for
Bulletin,
pretive
Part
Hours
Under
Worked
factory
alarms and a
worker
talks to his
who
Labor Standards Act
as Amend-
the Fair
waiting
machinery
fellow
while
for
(the “Bulletin").
Interpretive
ed
repaired
working during
to be
are all
their
following provisions
of the Code
contained
periods
inactivity.
applies
The rule also
Regulations:
of Federal
plant.
away
who work
from the
§ 785.14
example,
repair
working
For
man is
while
waiting
Whether
time is worked under the Act
employer’s
get
for
he waits
his
customer
depends upon particular circumstances. The
premises
is
in readiness. The time work-
"scrutiny and con
determination involves
though
employee
time even
is allowed to
agreements
particu
struction of the
between
premises
job
during
leave the
or the
site
such
practical
parties, appraisal
con
lar
of their
during
periods
inactivity.
periods
working agreement by
struction of the
con
unpredictable. They
these occur are
which
duct, consideration of the nature of the ser
usually
are
of short duration.
In either event
time,
vice,
waiting
and its relation to the
and
employee
is unable to use the time effec-
may
Facts
show
all
circumstances.
belongs
tively
purposes.
to and
for his own
It
employee
engaged
they
to wait or
was
employer.
is controlled
In all of these
engaged."
may show that he waited to be
integral part
job.
cases
is an
(Skidmore
Swift,
(1944))
U.S.
65 S.Ct.
employee
engaged
to wait.
questions "must be
court’s decision.
serves
proper
elucidate the
defini
tion of whether
employer actually
*4
II
good
showed
faith under
objective
stan
required by
dard
appeal
plaintiffs-appellants
On
section
showing
259. The
objective
of
argue
good
that the district court
faith under such
invoked and
a stan
dard does
applied
satisfy
not
necessary
an incorrect rule of
the other
law deter
components of the
mining
E.g., Superior
that Farm Fresh
defense.
could invoke the
Pontiac-GMC,
80;
protection
good
F.2d at
of the
faith
see
defense of
1579 —
also, e.g., King
Education,
v. Board
This,
course,
section 259 to
bar
suit.
of
of
295,
(7th
F.2d
Cir.1970),
denied,
question
cert.
of law we
de
review
novo.
908,
402 U.S.
91 S.Ct.
good-faith
The
L.Ed.2d 649
defense of section 259 is an
(1971). A court must also find that
objective
test that bars actions for viola
employer acted “in actual conformity with
tions of
wage
the minimum
or overtime
and in reliance on” the
agency
written
in
compensation provisions of the
if
FLSA the
terpretation. 29 U.S.C. 259. The Second
§
pleads
proves
and
that the act or
Circuit has noted that
complained
(1)
omission
of was
taken in
good
(2)
This is not a
faith
of a showing
and was
of
conformity with
general good faith;
(3)
and
the Portal
reliance on a written
Act lan
administra
guage,
good
‘in
with,’
faith in
conformity
tive
by designated
agency.
precisely
question
links the
of
agency designated
faith
interpre
to
to an act in conformity,
if
and
there
tations of the
is no
FLSA is the Administrator of
conformity, general good faith in
Wage
other
and Hour Division
Depart
of the
respects
day.
cannot save the
ment of Labor.3 See 29 U.S.C.
e.g.,
Pontiac-GMC,
Superior
Inc.,
Olson v.
765 Equal Employment Opportunity Com
(11th Cir.),
F.2d
mission v. Home Insurance
modified
grounds
(1985);
other
Equal Employment
enable
Opportunity Com
him
to use the time
for his
mission v. Home
672 F.2d
Insurance
(2d Cir.1982),
purposes are not
provides
an in
hours worked.”
parallel.
guidelines pro-
structive
In
In C.F.R. 785.116. Thus the
that case Home
general
surance claimed
it relied
vided some
appropri-
that
two
advice about
published opinion
published
determining
ate
letters and a
factors to consider in
Pontiac-GMC, Inc.,
situations was particular
time
whether
FLSA,
(11th Cir.)
D.
they
(quoting
but
left
under the
compensable
Clifton
Wirtz,
in Mayfield,
Inc. v.
own devices
employers to their
individual
grounds
on other
(4th Cir.1969),
under all
determining compensable time
modified
(1985)).
specifical-
not
acted ‘in
with’
The second is that oral
statute,
obeyed the
advice cannot qualify
agency’s
tion he will have
as an
writ
Soler,
interpretation.
will be available
ten
E.g.,
F.Supp.
the Portal Act defense
615
only
Appalachian
does not need it.
at
Pilkenton v.
Region
when the
Hospitals,
F.Supp. 334,
(D.Va.
al
339
at
Home Insurance
672 F.2d
265.
1971); 29
(collecting sup
C.F.R.
790.13
§
sum,
In
Farm Fresh’s claimed re
porting
legislative history).
citations to the
liance on the
Bulletin’s
explicitly
Section
requires
that the em
compensable
accept the
time fails to
Bulle
ployer act “in conformity with and in re
language foreswearing any
tin’s own
at
liance
regu
on
written administrative
tempt
provide
correct determinations
lation, order, ruling, approval,
interpre-
or
time in
circum
tation_”
(emphasis
29 U.S.C.
§
stances, and it
also fails meet the re
added).
presented
Counsel has
argua
quirements
employer’s
that the
actions be
ignore
ble reason to
explicit
clear and
in
in
with and
reliance on the
Congress.
command of
We hold
that
interpretation.
administrative
qualify
order to
for the
defense
of section 259 the
statute’s
B. The Oral Advice
Compliance
agency interpretation
that the
writing
be in
Officer
obeyed.
Soler,
must be
Accord
argues
Farm Fresh also
that it re
747; Pilkenton,
F.Supp. at
lied
the oral advice of a
Hour Division
officer
estab
lishing
thirty-minute
its
rule. Farm Fresh
Ill
argues that
this advice constitutes the
opinion,
Pursuant
to this
the district
order,
regulation,
“written administrative
opinion
court’s
is REVERSED and the case
ruling, approval,
interpretation,
or
is REMANDED to the district court for
agency of the United
States”
the Por
further proceedings consistent with this
contemplates.
tal Act
Because we have
opinion.
already shown that the Bulletin did not
provide
interpretation upon
an
which Farm
RONEY,
Judge,
Chief
dissenting:
rely
satisfy
could
order to
section
I respectfully dissent
because
the cir-
argument
Farm Fresh’s
here must de
cumstances of this FLSA case the district
pend solely
compli
on the oral advice of the
court’s determination
es-
ance officer.
Compli
This oral advice of a
tablished the
Portal-to-Portal Act
ance Officer cannot
necessary
serve as the
defense,
faith
29 U.S.C.A.
is due to
po
written administrative statement of its
be affirmed.
reasons,
sition for two
both of which inde
qualify
order to
for the Portal Act’s
pendently
argument.
defeat Farm Fresh’s
good faith defense
must show
The first is
the case of the FLSA
complained
the act
inwas
the Administrator must
the written
faith, and in conformity with and reliance
interpretation in
order to
regulation,
written administrative
qualify for relief under section 259. 29
order, ruling, approval,
or
259(b);
790.19(b);
U.S.C.
see 29 C.F.R.
agency
of the United States. See Olson
Laundry
National Automatic
and Clean
Pontiac-GMC, Inc.,
Shultz,
ing
Council v.
(11th Cir.1985);
29 U.S.C.A.
(D.C.Cir.1971); United States v. Stocks
*8
259;
790.13(a).
29 C.F.R.
All of these
§
Inc.,
Lincoln-Mercury,
270-
elements are at issue in this case.
(10th Cir.1962)
71
(reviewing supporting
legislative
also,
history);
employer
The
e.g.,
see
Soler v.
satisfies the threshold
G & U, Inc.,
(S.D.N.Y.
good
615 F.Supp.
by acting
747
faith element
as a reason-
1985);
Corp.,
ably prudent employer
Ferrer v.
84
Waterman S.S.
would have acted
(D.C.
1949);
F.Supp.
Olson,
680
Puerto Rico
under similar circumstances.
790.15(a).
Anderson v. Arvey Corp., 84
F.2d at Although 1579-80. the elements of
good faith and conformity synon- are not
ymous, Olson, 765 F.2d at where the
agency sets forth “facts and circumstanc- standard,
es” conformity regulation if its action is reason- This is able. the most that the law can America, UNITED STATES of expect of the employer. Indeed, this is Plaintiff-Appellant, what the district court concluding held in defendant’s implementation “[b]ecause the thirty minute rule was a reasonable CORLEY, Patricia Defendant-Appellee. C.F.R. 785.14-785.- §§ No. 86-5693. 16, particularly Rushing’s Mr. advice ... has acted ... ‘in United Appeals, States Court of ” with’ regula- Eleventh Circuit. tions. Aug. 19, 1987. The court holds that Farm thirty- Fresh’s minute policy failed section 259’s conformi-
ty because district court
also found production
“need at least a one hour period in break
order to use the for their purposes, and, therefore, than less one hour in duration time under the Act.” As-
suming that the district one-hour court's
