Lead Opinion
In this аppeal, the plaintiff invites us to overrule the district court’s adverse decision under Title VII of the Civil Rights Act of
I. BACKGROUND
We chronicle the events that preceded the filing of suit and then recount what transpired thereafter.
A. Chronology of Events.
Damar Plastics & Metal Fabricators, Inc. (Damar) operated a job shop in Somers-worth, New Hampshire, where it crafted custom components for high-technology applications. Plaintiff-appellant Kathy Smith joined Damar in 1976 and advanced steadily through the ranks until she reached the position of production manager almost a decade later. In that capacity, Smith scheduled production runs and coordinated delivery dates. In late 1987, after an imbroglio with Darrol Robinson (Damar’s owner and general manager), she requested and obtained reassignment to a different post having no responsibility for production scheduling.
On December 28, 1988, defendant-appellee F.W. Morse & Co., Inc. (Morse), a firm owned by Chris Bond, acquired Damar’s business and assets. Damar then had fewer than forty employees, including seven managers reporting directly to Robinson: Michael Hickman (production control); Robert Lane (shipping); Ronald Paradis (production/maehining); Marc Shevenell (production/sheet metal); Gary Bickford (engineering); Michael Seeger (sales); and Smith. Though not titled, Smith testified that she was considered to be a de facto manager who, largely because of Hickman’s inadequacies, performed many of the duties of the production control manager.
Bond promptly concluded that Damar had too many chiefs and too few Indians. Within days of the closing, he fired Hickman. Then, in concert with Maryann Guimond, the new general manager (who had authority to hire, fire, and discipline personnel), he interviewed a number of employees, including Smith. In the aftermath of this review, the company cashiered Lane. To fill the void created by the two executive-level departures, Morse promoted Smith to the newly created position of materials manager, consolidating responsibilities for scheduling, production control, inventory control, purchasing, shipping, and receiving that had previously been spread among three managers.
All told, Morse’s initial reorganization efforts substituted Guimond for Robinson and pared second-echelon management from seven to five. In addition to Guimond, the reconfigured management team comprised Paradis (machining); Shevenell (sheet metal); Bickford (engineering); Seeger (sales); and Smith (materials). In recognition of Smith’s increased responsibilities, Morse twice hiked her pay (once in January and again in March), thus increasing her weekly stipend by roughly twenty-five percent.
At about the time of the takeover, Smith informed Bond that she had become pregnant and would need a maternity leave. Morse, a tiny company, had no formal maternity leave policy. Bond nonetheless honored Smith’s request and assured her that her position was “secure.” In preparation for her leave, Smith held several meetings with Guimond, Shevenell, and Paradis. The company temporarily distributed her managerial duties among other supervisors and arranged for a newly-hired secretary, Kelly Gilday, to perform her clerical functions. Along the way, Guimond informed Smith that either Paradis or Shevenell likely would be discharged, and told her that she would be promoted again upon her return from maternity leave. Guimond also indicated that, in all probability, Bickford would be demoted, and Smith would be asked to assume a portion of his duties. While these changes presumably would warrant increased remuneration, Guimond did not mention an amount.
On April 7,1989, Smith began her maternity leave, planning to return to work in approximately six weeks. She gave birth two weeks later. Meanwhile, Guimond, expecting the “sky to fall,” held regular “reality check” meetings with Shevenell and Paradis. To
Smith visited the plant on May 1 and informed Guimond that she wished to return to work one week earlier than originally anticipated. Guimond inquired about whether Smith desired more children, and Smith replied affirmatively. The following day, Gui-mond queried Karen Vendasi, Smith’s sister and co-worker, about Smith’s plans to have a larger family. Vendasi relayed this conversation to Smith and told her of nascent rumors to the effect thаt she might not return to work. Smith contacted Guimond and demanded an explanation. Guimond denied any knowledge of the rumors, dismissed them as idle buzznacking, and again assured Smith that her job was secure. Guimond repeated these assurances during a chance meeting on May 4.
A few days later, Guimond concluded that the materials manager’s position was superfluous and decided to eliminate it. She told Smith of her decision on May 11. During this telephone conversation, Guimond asked Smith if she preferred people to be told that she had decided to stay at home with her infant child rather than that she had been discharged. Smith rejected the suggestion. Nevertheless, a Morse employee repeated this canard to several customers.
Following Smith’s severance, Guimond gave most of her duties to Paradis in his new capacity as operations manager. Shevenell assumed the role of manufacturing manager (in charge of both machining and sheet metal work). Guimond also promoted two lower-ranking employees, Peter Lapanne and Brian Hoffman, to assistant manager positions (though evidence adduced at trial demonstrated that Lapanne had been an assistant manager as far back as 1984, and that neither man assumed any new responsibilities or received any salary increase in connection with his new title). Gilday continued to perform the clerical functions associated with Smith’s former position. When the sеcond round of the reorganization wound down, the plant had three second-echelon managers— Paradis (operations); Shevenell (manufacturing); and Seeger (sales) — in lieu of the original seven.
B. Procedural History.
Smith sued Morse in a New Hampshire state court alleging, inter alia, wrongful discharge based on gender discrimination, intentional infliction of emotional distress, and breach of contract. Morse removed the case to federal district court on the ground that Smith’s claim “arose under” Title VII, thus prompting federal question jurisdiction. See 28 U.S.C. §§ 1331,1343(a)(3), 1441,1446; see also 28 U.S.C. § 1367 (conferring ancillary jurisdiction over appended nonfederal claims). Smith thereafter filed an amended complaint that made her Title VII claim explicit.
Early in the proceedings, Morse moved for partial summary judgment. The district court (Stahl, J.) granted the motion on the common law wrongful discharge and emotional distress claims. See Smith v. F.W. Morse & Co., No. 90-361-S, slip op. at 12 (D.N.H. Sept. 26, 1991) (unpublished) {Smith I).
Several years later, the parties simultaneously tried the Title VII claim to the bench (McAuliffe, J.) and the breach of contract claim to a jury.
II. THE TITLE VII CLAIM
The crown jewel of the appellant’s assever-ational array is her contention that the district court erred in finding that Morse did not discriminate against her on the basis of her sex. Our appraisal of this contention is in three parts.
A. Standard of Review.
Following a bench trial, the court of appeals reviews the trier’s factual determinations for clear error, see Cumpiano v. Banco Santander P.R.,
This deferential standard extends not only to factual findings simpliciter but also to inferences drawn from the underlying facts. See Cumpiano,
B. The Jurisprudence of Title VIL
Title VII provides, inter alia, that it is an unlawful employment practice for an employer to discharge an individual because of her sex. See 42 U.S.C. § 2000e-2(a)(l). After the Supreme Court held that this phraseology did not proscribe discrimination on the basis of pregnancy, see General Elec. Co. v. Gilbert,
The terms “because of sex” or “on the basis of sex” include, but are not limited to, because of or on the basis of pregnancy, childbirth, or related medical conditions; and women affected by pregnancy, childbirth, or related medical conditions shall be treated the same for all employment-related purposes, including receipt of benefits under fringe benefit programs, as other persons not so affected but similar in their ability or inability to work.
42 U.S.C. § 2000e(k). Thus, at the time Smith and Morse parted company, Title VII’s ban on gender discrimination encompassed pregnancy-based discrimination.
Like other Title VII plaintiffs, an employee claiming discrimination on the basis of pregnancy may proceed under either a disparate treatment or a disparate impact theory. See generally Furnco Constr. Corp. v. Wafers,
In cases predating the Civil Rights Act of 1991, see supra note 3, the framework for proving intentional discrimination varies depending on the availability of direct evi
On the relatively rare occasions when a smoking gun is discernible-that is, when a plaintiff produces direct evidence that the protected characteristic was a motivating factor in the employment action-the McDonnell Douglas framework is inapposite. See Fields,
The seeming neatness of this dichotomy is illusory in certain respects, for evidence rarely comes in tidy, geometrically precise packages. In many cases, the line between McDonnell Douglas, on one hand, and Price Waterhouse, on the other hand, is blurred. In those situations, classification depends on both the quantity and quality of the proof that a court deems sufficient to constitute direct evidence of discriminatory animus.
Discretion is sometimes the better part of valor, and courts often wisely decide to sidestep difficult theoretical questions if answers to them are not essential to the proper resolution of a given case. We have here a good example of such a prudential approach. The trial court largely bypassed any differential direct evidence/circumstantial evidence tamisage, preferring to go directly to a finding that, on the totality of the evidence presented, Mоrse had proven that gender discrimination did not trigger the firing. See Smith II,
C. The Merits.
Consistent with the district court’s approach, Morse must be assumed to have had the burden of proving that it would have taken the same action — the elimination of the materials manager’s position — whether or not the appellant became pregnant, took a maternity leave, or planned to bear more children. The court found that Morse carried the devoir of persuasion on this pivotal issue. It concluded that Morse’s decision was “motivated by business judgment and represented an effort to economize by placing the most qualified personnel in the fewest number of managerial positions possible, and was not based on plaintiffs gender, pregnancy, or her expressed desire to have more children.” Smith II,
There is little doubt that an employer, consistent with its business judgment, may eliminate positions during the course of a downsizing without violating Title VII even though those positions are held by members of protected groups (pregnant women included). See, e.g., LeBlanc v. Great Am. Ins. Co.,
Against this backdrop, we believe that the evidence adequately supports the trial court’s findings. When Morse took over, Damar had an inordinately high ratio of managers to workers and the managers’ responsibilities overlapped.
In our view, this determination, while not inevitable, is supportable. In the first place, the record strongly suggests that, in fact, the position was expendable. In the second place, any other choice would have entailed a loss of engineering expertise that Damar could ill afford.
To be sure, the record could support a less innocuous conclusion. The chronal proximity of Guimond’s questions anent Smith’s plans to have more children and her dismissal, Guimond’s ill-advised suggestion that customers and employees be told that Smith decided to stay at home to care for her daughter, and Smith’s termination while on maternity leave are troubling — so much so that we, if free to write a palimpsest, might have characterized the impetus behind the appellant’s ouster differently. But whether the trial court could have drawn an inference of discriminatory intent is not the test. See Foster,
In an effort to evade the force of this principle, the appellant hauls two further arguments from her bag. First, she asseverates that Morse did not in fact eliminate her position, and that the district court’s contrary finding, see Smith II,
When an employer defends an employment discrimination case on the ground of position elimination, the position may not, like a Dali painting, fade from one image to another only for the first image to reemerge at the blink of an eye. See Gallo v. Prudential Residential Servs., Ltd. Partnership,
Here, the undisputed evidence before the district court indicates that after Guimond dismissed Smith, the position that Smith had occupied — materials manager — fell into desuetude. There is no basis in the record for a suggestion that Lapanne or Hoffman assumed any of the appellant’s former duties; those duties, which Paradis, Shevenell, and Gilday had performed during Smith’s leave,
The appellant next endeavors to surmount the sharp escarpment of the clearly erroneous rule by casting a hook at the legal standard applied by the trial court. This is a theoretically sound way to climb the mountain, see, e.g., Reliance Steel Prods. Co. v. National Fire Ins. Co.,
Refined to bare essence, this thesis suggests that, since Morse would not have discovered the redundancy at that time (if ever) but for the fact that Smith took a maternity leave, the leave brought about the firing.
It is settled under Title VII that an employer may not discharge an employee based on the categorical fact of her pregnancy. See Newport News Shipbuilding & Dry Dock Co. v. EEOC,
Harmonizing these principles leads to the following conclusions. Title VII mandates that an employer must put an employee’s pregnancy (including her departure on maternity leave) to one side in making its employment decisions — but the statute does not command that an employer bury its head in the sand and struthiously refrain from implementing business judgments simply because they affect a parturient employee. See Troupe,
To sum up, an employee (pregnant or not) runs a risk of suffering the ordinary slings and arrows that suffuse the workplace every day she goes to work and every day she stays away. Title VII is neither a shield against this broad spectrum of employer actions nor a statutory guaranty of full employment, come what may. Applying the PDA as the appellant asks would eliminate an employer’s business necessity defense — long recognized under Title VII — and cripple industry’s ability to manage workers in keeping with nondiscriminatory considerations. That is not the law. See Bowen v. Valley Camp of Utah, Inc.,
Here, the district court found the requisite nexus lacking between the employer’s mindset and the employee’s gravidity. In the court’s estimation, Morse discharged the appellant for nondiscriminatory reasons. The record permits that view of the facts. That the discharge took place while the appellant was on maternity leave possessed considerable evidentiary significance — but that circumstance neither transformed the character of the employer’s action nor rendered it per se unlawful under Title VII. The district court therefore did not apply an erroneous legal standard.
III. THE BREACH OF CONTRACT CLAIM
We turn now to the appellant’s partially tried breach of contract claim. At the close of her case, the trial court took this claim from the jury and directed a verdict in Morse’s favor. The appellant assigns error.
A. Standard of Review.
The court of appeals reviews the grant of a motion for judgment as a matter of law de novo, applying the same legal principles that inform the trial court’s ruling. See Rolon-Alvarado v. Municipality of San Juan,
While this approach does not allow the court to “consider the credibility of witnesses, resolve conflicts in testimony, or evaluate the weight of the evidence,” Wagenmann v. Adams,
B. The Merits.
The parties — who concur on very little else — agree that New Hampshire law governs the breach of contract claim. Under that law, the at-will status of an employment relationship is “one of prima facie construction.” Panto v. Moore Business Forms, Inc.,
Of course, an employer and an employee may alter the at-will status of the employment relationship. See Butler,
Definiteness, like beauty, is frequently in the eye of the beholder. At best, it involves matters of degree. In the last analysis, the standard is reasonable certainty, not mathematical precision. See Sawin v. Carr,
In this instance, the appellant takes bits and pieces of various conversations that she had with Guimond and Bond, pastes them together, and argues that a rational jury, mulling the ensuing patchwork, could conclude that Morse offered to reinstate and promote her following her maternity leave. By continuing her employment in the wake of such promises, her thesis runs, she accepted the offer. The district court did not buy the patchwork, remarking in its ore tenus ruling that “the promises described by the evidence are of insufficient definiteness to be enforceable, do not modify the at-will employment relationship, [and are such] that any calculation of damages or any identification of breach would be impracticable if not impossible.” We agree with the lower court that the terms of the alleged contract are too indefinite to raise a jury question.
We start by attempting to decipher the true nature of the appellant’s claim. Her lawyers tell us that the disjointed statements made to her (e.g., “don’t worry, we will manage while you are on maternity leave, your job is secure,” “you will assume more responsibilities on your return,” you are “wanted back”) created a contract to reinstate her following the completion of her maternity leave. Yet, the appellant concedes that Bond’s and Guimond’s statements did not alter the durationаl component of the at-will' employment relationship. A contract to reinstate an at-will employee to an at-will position (from which she could immediately be removed without cause) is no contract at all. See Light v. Centel Cellular Co.,
Nor is this the only shortcoming in the supposed contract for reinstatement. The evidence also fails to establish either the nature of the position Smith was to assume or her proposed rate of pay. These gaps seemingly foreclose a reasonably certain computation of damages.
Concluding, as we do, that the alleged contract for reinstatement is too indefinite to be actionable does not end this phase of our inquiry. In stark contrast to the reinstatement theory proffered by her counsel, the appellant's own testimony indicates that she understood the statements made to her as promises of employment "indefinitely," and as constituting an abiding "commitment to a permanent position with F.W. Morse that would never end." If, by this, she means to suggest a cdntract for lifetime employment, her claim also founders.
Although tangentially related New Hampshire precedents exist, the state supreme court has not explicitly addressed the contours of contracts for lifetime employment. We are nonetheless confident that the court would adopt the prevailing view of such matters. See generally Kathios v. General Motors Corp.,
IV. THE WRONGFUL DISCHARGE CLAIM
The district court terminated the appellant's wrongful discharge claim in advance of trial under the aegis of Fed.R.Civ.P. 56. The appellant presses her objection.
A. The Summary Judgment Standard.
The Civil Rules empower a court to grant summary judgment "if the pleadings, depositions, answers to interrogatories, and admissions on file, together with the affidavits, if any, show that there is no genuine issue as to any material fact and that the moving party is entitled to a judgment as a matter of law." Fed.R.Civ.P. 56(c). We have explored the nooks and crannies of this rule in a compendium of cases, see, e.g. McCarthy v. Northwest Airlines, Inc.,
For the nonce, we think it is sufficient to repeat that “summary judgment’s role is to pierce the boilerplate of the pleadings and assay the parties’ proof in order to determine whether trial is actually required.” Wynne,
When the summary judgment record is compiled the trial court must scrutinize it “in the light most hospitable to the party opposing summary judgment, indulging all reasonable inferences in that party’s favor,” Griggs-Ryan,
Because the summary judgment standard requires legal reasoning as opposed to differential factfinding, appellate review of summary judgment orders is plenary. See Pagano,
B. The Merits.
New Hampshire law controls Smith’s pendent wrongful discharge claim. Under that law, even an at-will employee cannot be cashiered for a reason that offends public policy because such an employment decision “is not in the best interest of the economic system or the public good and constitutes a breach of the employment contract,” Monge v. Beebe Rubber Co.,
In reaching this conclusion, the district court drew heavily upon the teachings of Howard v. Dorr Woolen Co.,
In Howard, the plaintiff alleged that he had been discharged because of age. The New Hampshire Supreme Court construed its seminal decision in Monge,
A recently decided case makes the import of the state supreme court’s earlier decisions pellucid and speaks directly to the question that confronts us here. In Wenners v. Great State Beverages, Inc.,
Title VII not only codifies the public policy against gender-based discrimination (including, but not limited to, pregnancy discrimination) but also creates a private right of action to remedy violations of that policy and limns a mature procedure for pursuing such an action. Under Wenners, the existence of such a remedy precludes the appellant, in the circumstances of this case, from asserting a common law claim for wrongful discharge. It follows that the district court acted impeccably in granting summary judgment on this claim.
V. CONCLUSION
We need go no further. On the faetbound Title VII claim, this ease presents a close question. In the end, however, we must uphold the district court’s judgment because the standard of review is generous and there is enough evidence in the record to support the trier’s findings. On the two common law claims, our task is appreciably easier; both claims raise questions of law, not of fact, and the district court — albeit in the person of two different district judges — correctly resolved them.
Affirmed.
Notes
. During this same time frame, the company eliminated the engineering manager’s position. However, Bickford remained with Morse in a lesser capacity.
. The company reprimanded the employee and trial testimony tended to establish that Morse had not authorized the comments.
. The Civil Rights Act of 1991, Pub.L. 102-166, § 102, 105 Stat. 1071, 1073 (1991) (codified at 42 U.S.C. § 1981a(c)(l)), authorizes trial by jury in Title VII cases. Since the events that form the basis of the appellant's claim occurred prior to the effective date of the 1991 Act, she had no right to a jury trial on her Title VII claim. See Landgraf v. USI Film Prods., Inc.,-U.S.-, -,
. Mesrdck is a case brought under the Age Discrimination in Employment Act (ADEA), 29 U.S.C. §~ 621-634, rather than under Title VII. The same burden-shifting framework applies in both instances; therefore, ADEA cases have solid precedential value in Title VII litigation. Hence, we cite herein interchangeably to Title VII and ADEA cases, often without distinguishing between them.
. To cite an example, Damar split the responsibility for manufacturing between two managers (Shevenell and Paradis), a situation that, in appellant's own phrase, caused daily "chaos.”
. Bond testified that he purchased Damar to acquire its engineering talents. Paradis and Shevenell were highly trained and experienced engineers, while Smith had no such credentials. When Morse discovered that it could function with one less manager, the decision to retain Paradis and Shevenell, and dismiss Smith, seems quite plausible.
. We note in passing that the appellant's reasoning is hopelessly circular. Morse demonstrated a firm commitment to downsizing and actively sought ways to streamline its operations. Consequently, there is no basis for surmising that Morse would have failed to realize that the materials manager's position was superfluous whether or not Smith took a maternity leave.
. We stress that this case is brought pursuant to, and is governed by, Title VII. If the recently enacted Family and Medical Leave Act of 1993, P.L. 103-3, 107 Stat. 6 (1993) (codified at 29 U.S.C. §§ 2601-2654) were applicable, a different set of rules would obtain.
. Say, for example, a Jewish employee, in charge of maintaining corporate records, stays home for a week to observe Passover. In her absence, her employer rummages through the file drawers that she maintains in search of a particular memorandum. The employer finds a packet of heroin. The employer would not have had the occasion to look through the file drawers but for the fact that the employee was on religious leave; he would simply have asked the employee for the memo. In such circumstances, we think it is clear thаt the employer can fire the employee for introducing drugs into the workplace without violating Title VII’s ban on religious discrimination.
. In Cloutier, the defendant argued that there must be a statutory expression of a public policy, and that a generalized assertion of a public policy (loosely based on a federal statute) is insufficient as a matter of law to meet the public policy prong of a wrongful discharge claim. See Cloutier,
. To the extent that either Kopf v. Chloride Power Electronics, Inc.,
.We acknowledge some apparent tension between this ruling ■ and our earlier opinion in Chamberlin v. 101 Realty, Inc.,
Concurrence Opinion
concurring.
Although I am compelled by the deference due a district court’s findings of fact to concur in the final result, I write separately because I am troubled by the analysis used in deciding the Title VII claim. The majority applauds the district court’s failure to fully analyze Smith’s claims as “prudential.” I, however, am convinced that Smith produced direct evidence of intentional discrimination and that the district court was obligated to fully analyze plaintiffs case under the framework of Price Waterhouse v. Hopkins,
I. The District Court’s Analytical Process
The basic facts are undisputed. My first concern arises from the district court’s abbreviated analysis of plaintiffs claim. The Supreme Court has established two analytical frameworks that courts reviewing Title VII claims must follow. Where the evidence produced at trial is “direct,” the Price Waterhouse framework applies.
If the evidence of discrimination is indirect or circumstantial, the burden-shifting framework of McDonnell Douglas Corp. v. Green,
Yet, the district court found that gender discrimination played no part in the decisiоn to terminate the plaintiffs employment without determining whether there was direct evidence under Price Waterhouse or even mentioning McDonnell Douglas. See Jackson,
This is particularly true where Title VII cases are concerned. The discrimination that plaintiffs like Kathy Smith face in the workplace is frequently as subtle as it is invidious. It is in recognition of this hard truth that the Supreme Court established an analytical process which district courts, in my opinion, are required to follow. See, e.g., McDonnell Douglas,
I have come to the conclusion, however, that remand would not be meaningful in this case. This does not mean that I agree with the district court’s finding that the evidence produced by Smith was not compelling. I concur in the result because I am bound by Supreme Court and circuit precedent. And in this area, that precedent, unfairly in my opinion, imposes too heavy a burden on plaintiffs trying to prove the ultimate issue in discrimination eases: that the employer intentionally discriminated against her on the basis of a Title VII-protected trait. I believe that Smith has produced enough evidence to
II. Direct Evidence Under Price Water-house
In light of my concurrence in the majority’s ultimate holding on Smith’s Title VII claim, issues pertaining to the nature of the evidence Smith produced at trial are, admittedly, moot. Nevertheless, I want to explain my belief that Smith produced direct evidence and that Price Waterhouse controls this ease. This is important for two reasons. First, the availability of direct evidence determines whether a case should be analyzed under Price Waterhouse or McDonnell Douglas. Direct evidence renders the McDonnell Douglas framework inapposite and imрoses a heavier burden of proof on the employer. Fuller v. Phipps,
Second, the determination of whether the evidence produced at trial is direct, though cast in procedural terms, affects the substantive outcome in Title VII cases. See Deborah C. Malamud, The Last Minuet: Disparate Treatment After Hicks, 93 Mich.L.Rev. 2229, 2229 (1995) (“Title VII jurisprudence cloaks substance in the ‘curious garb’ of procedure.”). This observation is of less import in Smith’s case because, at the time the events giving rise to Smith’s suit occurred, the law provided that an employer shown to have unlawfully discriminated could avoid Title VII liability by demonstrating by a preponderance of evidence that the adverse employment decision would have been the same even if discrimination had played no role. Lam v. Univ. of Hawai’i,
Under today’s applicable law, however, a plaintiff producing direct evidence of discrimination under Price Waterhouse may have a Title VII remedy. Id. at 1565 n. 24. The Civil Rights Act of 1991 “modified the Price Waterhouse scheme” and made “mixed-motives treatment more favorable to plaintiffs.” Fuller,
The majority makes repeated references to “smoking gun” evidence. Using this term only obscures the fact that this Circuit has yet to clearly define what constitutes direct evidence of gender discrimination. On prior occasions we have held that “[djireet evidence is evidence which, in and of itself, shows a discriminatory animus.” See, e.g., Jackson,
I contend that the evidence Smith produced at trial was direct and, therefore, warranted full application of the Price Water-house framework. The evidence shows that Smith was pregnant, and requested and received unpaid maternity leave. After being on leave several weeks, Smith notified Morse’s general manager, Guimond, that she wanted to return to work on May 15, 1989, a week earlier than planned. Guimond approved the earlier start time and assured Smith that her job was secure. She also asked Smith whether she intended to have additional children; Smith indicated that she did.
On May 2, 1989, the day after this conversation occurred, Guimond also questioned Vendasi, Smith’s sister, about Smith’s future childbearing plans. Smith confronted Gui-mond about this behavior and the rumor that she would not be returning to work because she had decided to stay home with her child. Guimond denied any knowledge about the rumor and reiterated that Smith’s job was secure; she repeated this guarantee two days later. Despite these assurances, Gui-mond terminated Smith on May 11,1989, one week after their last conversation and four days before Smith was slated to return to work. Guimond requested permission to tell people that Smith failed to return to work because she decided to stay home to care for her child, but Smith refused to give it.
There is precedent holding that statements like those Guimond made to Smith and Ven-dasi constitute direct evidence. For example, in the Eighth Circuit, statements made by an employer can be direct evidence of discrimination, if made during a key decisional process. In Beshears v. Asbill,
Other circuits have included statements made outside of the decisional process in the definition of direct evidence. In 1994, the Seventh Circuit held that post-discharge statements made by a supervisor were direct evidence of age bias, even though they were not reflective of an express intent to discriminate. See Robinson v. PPG Indus., Inc.,
Guimond’s statements to both Smith and Vendasi fall well within the definition of direct evidence established by cases such as Beshears and Beverage Canners. Guimond was solely responsible for Morse’s personnel decisions. Her questions about Smith’s childbearing plans were neither stray nor random and evinced a concern about future pregnancy. Additionally, Guimond began asking questions about Smith’s childbearing plans during what she admits was a key decisional period. Finally, the facts show that the timing of the decision to terminate Smith was suspicious. Cf. Troupe v. May Dep’t Stores,
This evidence of discrimination is direct and clear even if it does not reach the status of a smoking gun. That some inferences must be drawn from what was said and done to reach this conclusion does not make Smith’s evidence indirect. As the Seventh Circuit recognized in its 1991 decision, Visser v. Packer Eng’g Assoc., Inc.,
Rather than adhering to the colorful but meaningless requirement of a smoking gun, I think we should adopt a definition of direct evidence in Title VII cases which satisfies the minimum negative requirements Justice O’Connor set out in Price Waterhouse: “ex-elude[s] ‘stray remarks in the workplace,’ ‘statements by nondecisionmakers’, or ‘statements by decisionmakers unrelated to the decisional process itself.’ ” Price Waterhouse,
Even if my definition of Price Waterhouse direct evidence is rejected, however, it is irrefutable that Smith made out a prima facie case of discrimination under McDonnell Douglas: that after being directly so asked, she expressed an intention to become pregnant in the future; that her performance at work was more than satisfactory; that she was terminated after repeated assurances that her job was “secure;” and that her duties continued to be performed by comparably qualified individuals. See Cumpiano,
Smith’s reiteration of these facts on appeal complied with Supreme Court and circuit precedent. Smith proved that she-was fired even though she was an excellent manager and that her duties continued to be performed by other employees. In my view, this is all McDonnell Douglas’ prima facie ease burden requires. See, e.g., Byrd v. Ronayne,
III. Causation Under Title VII
In addressing the question of causation in disparate treatment cases, the majority stresses that a “coincidence” between pregnancy leave and an employment decision does not prove intentional discrimination. It may not in all cases, but it arguably did in this case. The majority’s discussion of causation completely disregards this possibility. Its blanket contention that pregnancy does not give plaintiffs “total immunity” from adverse employment actions ignores the extent to which maternity leave gives employers an opportunity to discharge women who take maternity leave or who express an intention to have one or more children.
The evidence arguably shows that the position Smith held would have been eliminated even if Morse had not considered her pregnancy or intention to become pregnant in the future. It does not necessarily follow from this, however, that Smith would have been fired had Morse not considered her maternity leave or desire to have more children. In their conversations before Smith took maternity leave, Bond, Morse’s president, and Gui-mond discussed eliminating the materials manager position, but not Smith. The record shows both that Bond initially intended to retain Smith because of her excellent skills and that he admitted that Smith would still be employed at Morse had she not taken maternity leave.
The two examples the majority gives to illustrate the need for a causal connection between pregnancy and the adverse employment action challenged in disparate treatment cases are both inapposite and unfair. Footnote 9 of the court’s opinion analogizes Smith’s dismissal during maternity leave to an employee who is discharged while on religious leave because heroin is discovered in her desk. It is true that in both cases the employee’s absence enabled the employer to make the discovery resulting in discharge. But here the analogy breaks down.
The possession of heroin is illegal; its presence in the employee’s desk was a fact that could not be refuted (although an explanation might be made). The employer did not have to make any determination as to the quality of the employee’s work or her capabilities. She had to be fired. In the case of maternity leave, however, an employer would have to make a judgment as to whether eliminating the position made good business sense. Considerations such as the employee’s prior performance and future childbearing plans would be part of the employer’s position-elimination decision. At least in part, that decision would be “because of’ pregnancy, present and future. It could not be made in the vacuum the majority’s hypothetical presupposes.
Similarly, the cases the majority cites to support its view obscure the causation issue and unfairly compare Smith to employees who are placed on probation because of poor attitudes or who are discharged because of unexcused absences. Cases such as Troupe v. May Dep’t Stores Co.,
These cases do not directly address the causation issues presented here. In contrast to Pearlstein, the evidence in this case shows that Smith received repeated assurances about her job, that the raise she received before taking maternity leave was intentional, and that Smith’s termination was not due to economic hardship. Additionally, the evidence does not show that Smith was fired for a poor attitude, that she had ever been on probation, or that she lacked supervisory skills. The fact that Smith received regular promotions and that few people at the Morse plant exceeded her level of education or experience belies any suggestion that Smith’s performance and skills were below par.
Finally, Smith received permission for her maternity leave, shortened the duration of that leave, and was fired before she could return to work, not before she left. Smith’s maternity leave, thus, did not pose a problem for Morse in the same way that the Troupe employee’s unexpected illness or the Cmok-rak plaintiff’s extended leave did for their
My point is simple: just as pregnancy does not fully shield plaintiffs from adverse employment actions, business judgment or necessity does not totally immunize employers from Title VII’s sanctions. The majority’s discussion of causation understates this important point. I believe that, more often than not, a correlation between pregnancy and position elimination during maternity leave will exist. It is naive to think that an employer would not take an employee’s pregnancy or intention to become pregnant in the future into consideration during the process of determining whether the employee’s position should be eliminated.
IY. The Position-Elimination Defense
The majority upholds the district court’s finding that Morse made out a position-elimination defense on two grounds: that Morse reduced its management-level staff and that Smith’s duties were shifted to employees who were already on the Morse payroll. Though I concur in the holding that Morse arguably proved the facts necessary to rebut Smith’s gender discrimination claim, I think the scope of the position-elimination defense is considerably more narrow than the majority’s interpretation of the facts suggests. That a company is able to manage in the absence of one of its key employees will not always be proof of a nondiscriminatory purpose, contrary to what the court’s opinion implies. Were that so, every woman who took maternity leave would do so at risk of losing her job.
Moreover, the conclusion that Morse reduced its management staff is not supported by the evidence. Morse did not, as the court’s exposition of the facts suggests, reduce its management team from seven to three. The majority reached this conclusion by eliminating Bond and Guimond frоm its final count, even though they each donned one of the two hats formerly worn by Darryl Robinson, Damar’s founder and chief officer. It also erroneously included Smith in Da-mar’s original management team, even though she did not have a management title at that time. And it failed to include the two assistant manager positions in its final count, even though the individuals holding those slots did have management titles. If the individuals excluded from the majority’s calculations are added, the size of Morse’s management team was the same at the end as it was in the beginning — seven.
The facts demonstrate that Morse mainly reorganized its management team. It consolidated positions and eliminated titles, but did not decrease the size of its management. Because it would have been plausible for the district court to interpret this reorganization as position elimination, I concur in the court’s holding. I do not agree, however, that reorganizations of the sort Morse carried out will be enough to rebut claims of intentional discrimination in every case. For me, whether the district court was clearly erroneous in its findings on this issue was a very close call.
The court’s holding that Smith was not replaced, that her duties were merely transferred to other Morse employees, is based on our holding in LeBlanc v. Great Am. Ins. Co.,
To the extent that Morse’s defense comports with LeBlane at all, it does so on the basis of the first prong, not the second. In analogizing Morse’s first reorganization to the reorganization which occurred after Smith’s firing, the majority opinion gives the impression that LeBlane’s second prong, the “related work” requirement, can be satisfied by demonstrating that a plaintiffs duties were simply transferred to someone working in the same company. I disagree. I contend that LeBlane’s related-work requirement cannot be met unless the employer proves that it shifted the plaintiffs duties to employees who were already performing some of the plaintiffs duties or, at least, duties that were very similar. This did not occur in this ease.
In the first reorganization, Smith was promoted to materials manager and asked to officially assume some of the duties she had already been performing because of the inadequacies of other managers. Smith at that time assumed duties which, in my opinion, constituted related work under LeBlane. In contrast, the second reorganization did not shift Smith’s responsibilities to managers who had already been performing her job. After Smith was fired, those managers took on what were essentially new duties; the majority’s own contention that Paradis and Shevenell were far more experienced than Smith and responsible for the technical aspects of Morse’s business bears this out. That thеy performed those duties for some period before Smith was fired was only because Smith was on maternity leave. The nonpregnancy-based explanation for their additional responsibilities did not kick in until after Smith’s firing.
If Title VH’s protections against pregnancy-based discrimination are to have any force, the relevant period of inquiry for determining whether the duties formerly performed by a plaintiff were assumed by someone already performing related work under LeBlane should not be during a maternity leave. The relevant period of inquiry must be before that leave began. Using the time period when the woman is on maternity leave creates a perverse incentive to discriminate against pregnant women by firing them when they are not at their jobs and when it will almost always be true that someone else is performing their duties. In this case, if Smith had not become pregnant and taken maternity leave, she would still be a valued Morse employee.
V. Conclusion
William James once said that an idea’s “validity is the process of its valid-ation.” Accordingly, I concur in the outcome reached in this case, but not the process employed, because I disagree with the view of pregnancy discrimination cases taken by the majority. I think it only plausible that gender was not the motivation for the adverse employment action taken against Smith, not “true.” And I agree only that position elimination can be a defense in Title VII cases, not that it will be а defense in every case. For me, the process employed in reaching a result, which includes the hypotheticals drawn and examples given, matters.
. The plurality opinion in Price Waterhouse does not itself require direct evidence of discrimination. The reference to direct evidence appears in Justice O’Connor’s concurrence in that case. See, e.g.,
. I am, of course, aware that the Family and Medical Leave Act of 1993, P.L. 103-3, 107 Stat. 6 (1993) (codified at 29 U.S.C. §§ 2601-2654) addresses a number of the concerns I raise. That Act, however, does not apply in pre-1993 cases and does not, moreover, correct the problems I perceive in the majority opinion’s analysis and posture towards Smith's discrimination claim.
. Post-acquisition of Damar, Morse's upper-level management team included the following seven people: Bond (president); Guimond (general manager); Paradis (machining); Shevenell (sheet metal); Bickford (engineering); Seeger (sales); and Smith (materials). I do not include Lane and Hickman in this number because they were fired almost immediately after Damar's acquisition, partially due to their poor performance. After Smith was fired, Morse's upper-level management team still included seven individuals: Bond (president); Guimond (general manager); Paradis (operations); Shevenell (manufacturing); Seeger (sales); Lapanne (assistant manager); and Hoffman (assistant manager).
