Korslund v. DynCorp Tri-Cities Services, Inc.

156 Wash. 2d 168 (2005) · Washington Supreme Court · December 22, 2005

Summary

The Washington Supreme Court reviews summary judgment in claims arising from alleged retaliation, harassment, and whistleblowing at the Hanford Nuclear Reservation. The court holds that the plaintiffs’ public-policy wrongful-discharge and retaliation claims are barred because the Energy Reorganization Act provides adequate alternative remedies, while allowing their claims for breach of promises of specific treatment in specific situations to proceed because material factual issues remain.

Court
Washington Supreme Court
Writing for the Court
Madsen, J.; Alexander, C.J.; C. Johnson, J.; Bridge, J.; Owens, J.; Fairhurst, J.; J.M. Johnson, J.
Jurisdiction
Washington
Decision date
December 22, 2005
Procedural posture
The Washington Supreme Court reviewed the trial court's grant of summary judgment for the employer in an employment dispute involving public-policy wrongful discharge, proposed wrongful-retaliation, and breach of promises of specific treatment in specific situations.
Standard of review
De novo review of summary judgment; facts and reasonable inferences are construed most favorably to the nonmoving party, and summary judgment is proper when no genuine issue of material fact exists and the moving party is entitled to judgment as a matter of law.
Precedential value
Published Washington Supreme Court opinion and binding state precedent.
Parties
Steven M. Korslund, Virginia A. Miller, John Acosta v. DynCorp Tri-Cities Services, Inc., Fluor Daniel Hanford, Inc.
Disposition
reversed_and_remanded

Topics

whistleblowerretaliationwrongful terminationemployment lawsummary judgment

Practice areas

employment lawemployment tortswhistleblower retaliationemployment contracts

Questions Presented

  1. Whether an employee who permanently leaves work on medical leave without formally quitting or resigning may bring a constructive-discharge claim for wrongful discharge in violation of public policy.
  2. Whether the Energy Reorganization Act's whistleblower remedies provide an adequate alternative means of protecting the public policy against retaliation for reporting nuclear-safety violations, thereby defeating the jeopardy element of Washington's public-policy tort.
  3. Whether Washington should recognize a separate tort for wrongful retaliation in violation of public policy under the circumstances presented.
  4. Whether a claim for breach of promises of specific treatment in specific situations is available without a discharge and to employees covered by a collective bargaining agreement or an at-will employment application.
  5. Whether the employer's policy materials and the plaintiffs' alleged reliance raised genuine issues of material fact on the specific-treatment claim.

Holdings

  1. An employee may, under some circumstances, establish constructive discharge by proving that the employer deliberately created intolerable working conditions that forced the employee to permanently leave the workplace on medical leave, even without a formal quit or resignation. Medical leave does not constitute constructive discharge if the employee remains an active employee, continues receiving employment benefits, or retains protected ability to return to work.
  2. A public-policy wrongful-discharge claim fails as a matter of law when an adequate alternative means exists to protect the public policy on which the claim is based.
  3. The court declined to recognize the proposed public-policy retaliation tort because the Energy Reorganization Act adequately protects the same public policy, preventing plaintiffs from establishing the jeopardy element.
  4. A Thompson claim for breach of promises of specific treatment in specific situations is not limited to cases involving discharge and is not automatically barred because the employee is covered by a collective bargaining agreement or signed an at-will employment application.
  5. The plaintiffs raised genuine issues of material fact concerning whether DynCorp made enforceable promises of specific treatment and breached them, and whether the plaintiffs justifiably relied on those specific promises; summary judgment was therefore improper on those claims.

Key quotations

Deliberately creating conditions so intolerable as to make the employee so ill that he or she must leave work permanently is functionally the same as forcing the employee to quit. (156 Wash. 2d at 180)
We conclude that the remedies available under the ERA are adequate to protect the public policy on which the plaintiffs rely. (156 Wash. 2d at 183)
Thus, the Court of Appeals erred insofar as it reasoned that a plaintiff does not have to show inducement. (156 Wash. 2d at 191)

Factual background

Korslund, Miller, and Acosta worked in the fire systems maintenance group at the Hanford Nuclear Reservation and reported alleged safety violations, overtime and work-hour abuses, misuse of government funds and property, fraud, and other misconduct. They alleged that management and coworkers responded with harassment, threats, discipline, diminished authority, and other retaliatory conduct; Korslund and Miller ultimately left work on medical disability. The employer's ethics and employee-concerns materials stated that employees reporting violations would not be harassed or subjected to retaliation and that disciplinary action would be taken against retaliating supervisors or employees.

Procedural history

The trial court granted DynCorp summary judgment, concluding that the plaintiffs had not shown constructive discharge and that the employer's policy manuals did not contain enforceable promises of specific treatment. The Court of Appeals reversed summary judgment on Korslund's wrongful-discharge claim and on the specific-treatment claims, affirmed dismissal of Miller's wrongful-discharge claim, and declined to recognize a public-policy retaliation tort. The Supreme Court granted discretionary review, affirmed summary judgment on the public-policy tort claims, and remanded the specific-treatment claims for further proceedings.

Remand instructions

Remand for further proceedings on the plaintiffs' claims for breach of promises of specific treatment in specific situations, including whether the plaintiffs were aware of the specific promises, whether those promises induced them to remain on the job and not seek other employment, and whether the promises were breached. Summary judgment remains proper on the public-policy wrongful-discharge and proposed public-policy retaliation claims.

Court Document

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