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B-180010.03 1 (1976-10-07)

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DECISION


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THE  COMPTFCLLEP GENERAL
01:  TH  UNIYED BTATF8
WASHINGTON, D.C. 20548


8-180010. 03


OATE:  October 7, 1cj'6


MATTER OF: Naval Air Rework Facility, Pt nsacola, Florida -
               Arbitration Awarls for Environmental Differential

DIGEST:     1.  Navy installation in separate grievances
               waa  ordered by two arbitrators to pay
               environmental  differentia' to certain em-
               ployees, which the installation began to
               pay.  Navy Headquarters,  however,
               concluded  the awards were ihconsistent
               with applicable re gulations and directed
               installation to terminate payments. Navy
               received an unfair labor practice ind
               seeks  a ruling on legality of the terminated
               awards.   GAO  holds that arbitrators'
               findings and ronclus ions -sat isf ied the
               regulatory criteria and that award may
               he implemented  with backpiy for period
               of termination.

            2.  Navy installation terminated two arbitration
               awards  for environmental differential for
               certain employees on 1:asis payments were
               improper.  Assistant Secreta.sy for Lwbor--
               Management   Relations cited the naval instal-
               lation with an unfair la)or practice and
               ordered  awards be reiistated vith backpay.
               To~ preclude ordering raymeits that may be
               illegal, GAO recommends   that Assistant
               Secretary state !n orders that payments
               shall be made consirtent with laws, regu-
               lations, arid deciisicns of the Comptroller
               General. 'This would permit agency to
               obtain decision from this Office.

    This decision was requested by letter of August 15, 1975, from
Joseph 'T. McCullen, Jr. , Assistant Secretaiy of the Navy for Man-
power and RE1serve Affairs, concerning the legality of implementing
two arbitration awards of environmental differential pay involving
the Nava) Air Rework Facility, Pensacola, Florid, alnd the Ame r -
ican -Federation of Government Em poyees (AFGE).  Local 1960.
Mr.  McCullen s'ates that, in the Navy's view, the arbitrator's awards
are illegal because they are inconsistent with applicable regulation;.
Because of its grave doubts as to whether the awards may properly


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