Arbitration Services
| Published date | 31 January 2019 |
| Citation | 84 FR 614 |
| Record Number | 2018-27759 |
| Section | Proposed rules |
| Court | Federal Mediation And Conciliation Service |
Federal Register, Volume 84 Issue 21 (Thursday, January 31, 2019)
[Federal Register Volume 84, Number 21 (Thursday, January 31, 2019)]
[Proposed Rules]
[Pages 614-619]
From the Federal Register Online via the Government Publishing Office [www.gpo.gov]
[FR Doc No: 2018-27759]
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FEDERAL MEDIATION AND CONCILIATION SERVICE
29 CFR Part 1404
RIN 3076-AA14
Arbitration Services
AGENCY: Federal Mediation and Conciliation Service.
ACTION: Notice of proposed rulemaking.
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SUMMARY: The Federal Mediation and Conciliation Service (FMCS) is
proposing to revise the current arbitration regulation to clarify
existing provisions; eliminate redundancies and provisions that are
never used in practice; consolidate sections; update contact
information; reduce award submission requirements and reference an
apprenticeship alternative for joining the Roster after completion of
specified training; implement a modest increase in user fees that have
remained unchanged for more than 8 years, and remove section 1404.20.
DATES: Comments must be submitted to the office listed in the address
section below on or before January 19, 2019.
ADDRESSES: Submit written comments identified by RIN 3076-AA14, by mail
to Arthur Pearlstein, Director, Office of Arbitration Services, FMCS,
250 E Street SW, Washington, DC 20427. Comments may be submitted by fax
to (202) 606-8103 or electronically to apearlstein@fmcs.gov. Comments
may also be sent by electronic mail message over the internet via the
Federal eRulemaking Portal. See Federal eRulemaking Portal website
(http://www.regulations.gov) for instructions on providing comments via
the Federal Rulemaking Portal.
All comments will be available for inspection at 250 E Street SW,
Washington, DC 20427, Room 7113 (Reading Room) from 8:30 a.m. to 4:30
p.m. Monday through Friday, excluding legal holidays.
FOR FURTHER INFORMATION CONTACT: Arthur Pearlstein, Director, Office of
Arbitration Services, FMCS, 250 E Street SW, Washington, Dc 20427.
Telephone: (202) 606-8103.
SUPPLEMENTARY INFORMATION: The enabling legislation for FMCS provides
that ``the settlement of issues between employers and employees through
collective bargaining may be advanced by making available full and
adequate governmental facilities for conciliation, mediation, and
voluntary arbitration . . .'' 29 U.S.C. 171(b). Pursuant to the statute
and 29 CFR part 1404, FMCS has long maintained a roster of qualified,
private labor arbitrators to hear disputes arising under collective
bargaining agreements and provide fact finding and interest
arbitration. The existing regulation establishes the policy and
administrative responsibility for the FMCS Roster, criteria and
procedures for listing and removal, procedures for using arbitration
services, an option for expedited arbitration and, in the appendix, a
schedule of user fees.
FMCS is proposing to revise the current arbitration regulation to
(1) clarify and shorten existing provisions and naming conventions and
make other helpful style improvements; (2) eliminate redundancies and
provisions that are never used in practice; (3) consolidate sections
for ease of understanding and placement under appropriate headings; (4)
update contact information and provisions regarding the use of
technology; (5) reduce award submission requirements and reference an
apprenticeship alternative for joining the Roster after completion of
specified training; and (6) implement a modest increase in user fees
that have remained unchanged for more than 8 years. The increased fees
more accurately reflect FMCS's costs of maintaining the Roster and the
technology to support it, as well as responding to requests for
arbitrator panels and biographical data. The arbitrator listing fee
increase would only apply to arbitrators on the Roster for 5 or more
years, reflecting the greater likelihood for more experienced
arbitrators to be selected by parties.
Section-by-Section Analysis
1. In Sec. 1404.1, revise to make minor style improvements
2. In Sec. 1404.3, revise (b) to eliminate ``Services'' from the
Office title and use the abbreviated term ``Roster;'' revise (c) to
make minor style improvements and eliminate (c)(1)(v) as unnecessary so
that that it reads as follows:
3. In Sec. 1404.4, revise (b) for minor style improvements,
consolidate relevant portions of (d) and (e) to 1404.9 to place under
the relevant heading and reduce verbiage, and revise last paragraph to
renumber as (d) and eliminate redundant language.
4. In Sec. 1404.5, revise preamble to update contact information
and reflect that Director may designate someone to review Board
recommendations; revise (b) to clarify requirements; revise (d) to make
minor style improvements; specify in (3) that violations by arbitrators
are not limited to late awards; clarify in (5) that information about
arbitrator misconduct may come to the attention of FMCS in different
ways, and remove existing (6) as extraneous and never used; renumber
(7) as (6); and revise (f) for minor style improvements.
5. In Sec. 1404.6, revise for minor style improvements, eliminate
excess verbiage, and change language in (b) from ``are encouraged to''
to ``must'' to clarify requirement for arbitrators whose schedules do
not permit timely hearing.
6. In Sec. 1404.9, revise (a) to update contact information, and
the rest of the section to incorporate consolidations from 1404.4 and
1404.11, rearrange for clarity, and eliminate redundant language.
7. In Sec. 1404.11, moved existing (a) to 1404.9, and otherwise
eliminated redundant or extraneous language throughout.
8. In Sec. 1404.12, revised with minor style changes, eliminated
existing (b) due to redundant language, clarified ambiguous and
confusing language in existing (c) (new (b)), consolidated existing (d)
into new (b), and eliminated (f) for unnecessary language.
9. In Sec. 1404.13, revise with minor style improvement and
specify that hearings must conform to Code of Professional
Responsibility requirements.
10. In Sec. 1404.14, revise to make minor style improvements,
clarify language regarding delay and scheduling, clarify time for
submitting arbitrator report and fee statement, and change language
regarding consent for award publication to conform with requirements of
the Code of Professional Responsibility and industry practice.
11. In Sec. 1404.15, revise (a) to allow arbitrators to raise fees
with notice if a case continues for over two years after appointment,
(b) to allow arbitrators to specify multiple business addresses, and
(d) to clarify information on fee disputes.
12. In Sec. 1404.16, revise (a) to update for technology changes
and to require arbitrators to provide contact information in the event
they become incapacitated or deceased, and (b) to eliminate excess
verbiage.
13. In Sec. 1404.17, revise to eliminate excess verbiage.
14. In Sec. 1404.18, revise to make minor style improvements and
reduce words.
15. Remove Sec. 1404.20 as the language is unnecessary and has
never been applied.
16. Revise the Appendix to change fee schedules.
This rule is not a significant regulatory action for the purposes
of Executive Order 12866 and has not been reviewed by the Office of
Management
[[Page 615]]
and Budget. As required by the Regulatory Flexibility Act, I certify
that this rule will not have a significant impact on a substantial
number of small entities. This regulation does not have any federalism
or tribal implications.
List of Subjects in 29 CFR Part 1404
Administrative practice and procedures, Labor management relations.
For the reasons stated in the preamble, FMCS proposes to revise 29
CFR part 1404 to read as follows:
PART 1404--ARBITRATION SERVICES
Subpart A--Arbitration Policy; Administration of Roster
Sec.
1404.1 Scope and authority
1404.2 Policy
1404.3 Administrative responsibilities
Subpart B--Roster of Arbitrators; Admission and Retention
1404.4 Roster and status of members
1404.5 Listing on the roster, criteria for listing and removal,
procedure for removal
1404.6 Inactive status
1404.7 Listing fee
Subpart C--Procedures for Arbitration Services
1404.8 Freedom of choice
1404.9 Procedures for requesting arbitration lists and panels
1404.10 Arbitrability
1404.11 Nomination of arbitrators
1404.12 Selection by parties and appointment of arbitrators
1404.13 Conduct of hearings
1404.14 Decision and award
1404.15 Fees and charges of arbitrators
1404.16 Reports and biographical sketches
Subpart D--Expedited Arbitration
1404.17 Policy
1404.18 Procedures for requesting expedited panels
1404.19 Arbitration Process
Appendix To Part 1404--Arbitration Policy; Schedule of Fees
Authority: 29 U.S.C. 172 and 29 U.S.C. 173 et seq.
Source: 62 FR 34171, June 25, 1997, unless otherwise noted.
Subpart A--Arbitration Policy; Administration of Roster
Sec. 1404.1 Scope and authority.
This chapter is issued by the Federal Mediation and Conciliation
Service (FMCS) under Title II of the Labor Management Relations Act of
1947 (Pub. L. 80-101) as amended. It applies to all arbitrators listed
on the FMCS Roster of Arbitrators (the Roster), to all applicants for
listing on the Roster, and to all persons or parties seeking to obtain
from FMCS either names or panels of names of arbitrators listed on the
Roster in connection with disputes that are to be submitted to
arbitration or fact-finding.
Sec. 1404.2 Policy.
The labor policy of the United States promotes and encourages the
use of voluntary arbitration to resolve disputes over the
interpretation or application of collective bargaining agreements.
Voluntary arbitration and fact-finding are important features of
constructive employment relations as alternatives to economic strife.
Sec. 1404.3 Administrative responsibilities.
(a) Director. The Director of FMCS has responsibility for all
aspects of FMCS arbitration activities and is the final agency
authority on all questions concerning the Roster and FMCS arbitration
procedures.
(b) Office of Arbitration. The Office of Arbitration (OA) maintains
the Roster; administers subpart C of this part (Procedures for
Arbitration Services); assists, promotes, and cooperates in the
establishment of programs for training and developing new arbitrators;
and provides names or panels of names of listed arbitrators to parties
requesting them.
(c) Arbitrator Review Board. The Arbitrator Review Board (Board)
shall consist of a chair and members appointed by the Director who
shall serve at the Director's pleasure. The Board shall be composed
entirely of full-time officers or employees of the Federal Government
and shall establish procedures for carrying out its duties.
(1) Duties of the Board. The Board shall:
(i) Review the qualifications of all applicants for listing on the
Roster, interpreting and applying the criteria set forth in Sec.
1404.5;
(ii) Review the status of all persons whose continued eligibility
for listing on the Roster has been questioned under Sec. 1404.5;
(iii) Recommend to the Director the acceptance or rejection of
applicants for listing on the Roster, or the withdrawal of listing on
the Roster for any of the reasons set forth in this part;
(iv) At the request of the Director, or upon its own volition,
review arbitration policies and procedures, including all regulations
and written guidance regarding the use of Roster arbitrators, and make
recommendations regarding such policies and procedures to the Director
(2) [Reserved]
Subpart B--Roster of Arbitrators; Admission and Retention
Sec. 1404.4 Roster and status of members.
(a) The Roster. FMCS shall maintain a Roster of labor arbitrators
consisting of persons who meet the criteria for listing contained in
Sec. 1404.5 and who remain in good standing.
(b) Adherence to Standards and Requirements. Persons listed on the
Roster shall comply with FMCS rules and regulations pertaining to
arbitration and with such guidelines and procedures as may be issued by
OA pursuant to subpart C of this Part. Arbitrators shall conform to the
ethical standards and procedures set forth in the Code of Professional
Responsibility for Arbitrators of Labor Management Disputes, as
approved by the National Academy of Arbitrators, FMCS, and the American
Arbitration Association (``the Code'').
(c) Status of arbitrators. Persons who are listed on the Roster and
are selected or appointed to hear arbitration matters or to serve as
factfinders do not become employees of the Federal Government by virtue
of their selection or appointment. Following selection or appointment,
the arbitrator's relationship is solely with the parties to the
dispute, except that arbitrators are subject to certain reporting
requirements and to standards of conduct as set forth in this part.
(d) Rights of persons listed on the Roster. No person shall have
any right to be listed or to remain listed on the Roster. FMCS retains
its authority and responsibility to assure that the needs of the
parties using its services are served. To accomplish this purpose, FMCS
may establish procedures for the preparation of panels or the
appointment of arbitrators or factfinders that include consideration of
such factors as background and experience, availability, acceptability,
geographical location, and the expressed preferences of the parties.
Sec. 1404.5 Listing on the roster, criteria for listing and removal,
procedure for removal.
Persons seeking to be listed on the Roster must complete and submit
an application available online at https://www.fmcs.gov/services/arbitration/information-joining-arbitrator-roster/. Upon receipt of an
executed application, OA will review the application, ensure that it is
complete, make such inquiries as are necessary, and submit the
application to the Board. The Board will review the completed
application under the criteria in paragraphs (a), (b) and (c) of this
section, and will forward to the FMCS Director, or Director's designee,
its
[[Page 616]]
recommendation as to whether or not the applicant meets the criteria
for listing on the Roster. The Director shall make all final decisions
as to whether an applicant may be listed on the Roster. Each applicant
shall be notified in writing of the Director's decision and the reasons
therefore.
(a) General Criteria. (1) Applicants will be listed on the Roster
upon a determination that he or she:
(i) Is experienced, competent, and acceptable in decision-making
roles in the resolution of labor relations disputes; or
(ii) Has extensive and recent experience in relevant positions in
collective bargaining; and
(iii) Is capable of conducting an orderly hearing, can analyze
testimony and exhibits and can prepare clear and concise findings and
awards within reasonable time limits.
(iv) For applicants who are governmental employees, the following
criteria shall also apply:
(A) Federal Employees: These applicants must provide OA with
written permission from their employer to work as an arbitrator.
Federal employees will not be assigned to panels involving the Federal
Government.
(B) Governmental Employees other than Federal: These applicants
must provide OA with written permission from their employer to work as
an arbitrator as well as a statement of the jurisdiction(s) in which
the applicant is permitted to do this work.
(2) FMCS may identify certain positions relating to collective
bargaining that will substitute for the General Criteria. FMCS may also
identify periodic educational requirements for remaining on the Roster.
(b) Proof of Qualification. Unless waived under exceptional
circumstances wholly in the discretion of the Director, applicants
must:
(1) Submit five recent labor arbitration awards that are final and
binding, and prepared by the applicant while serving as an impartial
arbitrator of record selected by mutual agreement of the parties to
labor relations disputes arising under collective bargaining
agreements, or by direct designation by an administrative agency, or
(2) Successfully complete the FMCS labor arbitrator training course
and either submit one award as described above or complete an
apprenticeship that meets specifications that FMCS may, in its
discretion, provide. Applicants must also submit information
demonstrating extensive and recent experience in collective bargaining,
including at least the position or title held, duties or
responsibilities, the name and location of the company or organization,
and the dates of employment.
(c) Advocacy. Any person who at the time of application is an
advocate, as defined in paragraph (c)(1) of this section, must agree to
cease such activity before being recommended for listing on the Roster
by the Board. Except in the case of persons listed on the Roster as
advocates before November 17, 1976, any person who did not divulge his
or her advocacy at the time of listing or who becomes an advocate while
listed on the Roster and who did not request to be placed on inactive
status pursuant to Sec. 1404.6 prior to becoming an advocate, shall be
recommended for removal by the Board after the fact of advocacy is
revealed.
(1) Definition of Advocacy. An advocate is a person who represents
employers, labor organizations, or individuals as an employee,
attorney, or consultant, in matters of labor relations or employment
relations, including but not limited to the subjects of union
representation and recognition matters, collective bargaining,
arbitration, unfair labor practices, equal employment opportunity, and
other areas generally recognized as constituting labor or employment
relations. The definition includes representatives of employers or
employees in individual cases or controversies involving worker's
compensation, occupational health or safety, minimum wage, or other
labor standards matters.
(2) This definition of advocate also includes a person who is
directly or indirectly associated with an advocate in a business or
professional relationship as, for example, partners or employees of a
law firm. Individuals engaged only in joint education or training or
other non-adversarial activities will not be deemed to be advocates.
(d) Removal from the Roster shall be by decision of the Director of
FMCS based upon the recommendations of the Board or upon the Director's
own initiative. The Board may recommend for removal, and the Director
may remove, any arbitrator listed on the Roster for violation of this
part or of the Code. FMCS will provide to the affected arbitrator
written notice of removal from the Roster. Complaints about arbitrators
should be in writing and sent to the Director of OA. The complaint
should cite any specific section(s) of the Code or the FMCS rule the
arbitrator has allegedly violated. The following criteria shall be a
basis for the Board to recommend and/or the Director to initiate an
arbitrator's removal from the Roster:
(1) No longer meets the criteria for admission;
(2) Has become an advocate as defined in paragraph (c) of this
section;
(3) Has been repeatedly or flagrantly in violation of one or more
provisions of this Part;
(4) Has refused to make reasonable and periodic reports in a timely
manner to FMCS, as required in subpart C of this part, concerning
activities pertaining to arbitration;
(5) Has been the subject of a complaint by a party who uses FMCS
services, or engages in conduct inappropriate for an arbitrator which
otherwise comes to the attention of FMCS, and the Board, after
appropriate inquiry, concludes that cause for removal has been shown;
or
(6) Has been in an inactive status pursuant to Sec. 1404.6 for
longer than two years and has not paid the annual listing fee.
(e) Procedure for Removal. Prior to any recommendation by the Board
to remove an arbitrator from the Roster, the Board shall conduct an
inquiry into the facts of any such recommended removal. When the Board
recommends removal of an arbitrator, it shall send the arbitrator a
written notice. This notice shall inform the arbitrator of the Board's
recommendation and the basis for it, and that he or she has 60 days
from the date of such notice to submit a written response or
information showing why the arbitrator should not be removed. When the
Director removes an arbitrator from the Roster, he or she shall inform
the arbitrator of this in writing, stating the effective date of the
removal and the length of time of the removal if it is not indefinite.
An arbitrator so removed may seek reinstatement to the Roster by making
written application to the Director no earlier than two years after the
effective date of his or her removal.
(f) Suspension. The Director of OA may suspend, for a period not to
exceed 180 days, any arbitrator listed on the Roster based on any of
the criteria in paragraph (d) of this section. Arbitrators shall be
promptly notified of a suspension. The arbitrator may appeal a
suspension to the Board, which shall make a recommendation to the
Director of FMCS. The decision of the Director of FMCS shall constitute
the final action of the agency.
Sec. 1404.6 Inactive status.
(a) An arbitrator on the Roster who continues to meet the criteria
for listing on the Roster may request that he or she
[[Page 617]]
be put in an inactive status on a temporary basis.
(b) Arbitrators whose schedules do not permit cases to be heard
within six months of assignment must make themselves inactive
temporarily until their caseload permits the earlier scheduling of
cases.
(c) An arbitrator can remain on inactive status without paying any
annual listing fee for a period of two years. If an arbitrator is on
inactive status for longer than two (2) years, the arbitrator will be
removed from the Roster unless the arbitrator pays the annual listing
fee.
Sec. 1404.7 Listing fee.
All arbitrators will be required to pay an annual fee for listing
on the Roster, as set forth in the appendix to this part.
Subpart C--Procedures for Arbitration Services
Sec. 1404.8 Freedom of choice.
Nothing contained in this part should be construed to limit the
rights of parties who use FMCS arbitration services to jointly select
any arbitrator or arbitration procedure acceptable to them. Once a
request is made to OA, all parties are subject to the procedures
contained in this part.
Sec. 1404.9 Procedures for requesting arbitration lists and panels.
(a) The OA has been delegated the responsibility for administering
all requests for labor arbitration services. Requests must be made
online at fmcs.gov/services/arbitration/requesting-a-panel/, or via
email attaching a completed Form R-43 addressed to
arbitration@fmcs.gov.
(b) Upon request, OA will refer a randomly selected panel of seven
arbitrators to parties to an agreement to arbitrate or engage in fact-
finding, or where labor arbitration or fact-finding may be provided by
statute. A biographical sketch will be provided for each member of the
panel. This sketch states the background, qualifications, experience,
and all fees as furnished to OA by the arbitrator. The parties are
encouraged to make joint requests. However, a panel request, whether
joint or unilateral, will be honored. Requests for a panel of other
than seven (7) names, for a direct appointment of an arbitrator, and/or
for special qualifications or other service will not be honored unless
jointly submitted or authorized by both parties pursuant to mutual
agreement. The issuance of a panel--in response to either joint or
unilateral request--is nothing more than a response to a request.
Neither issuance of a panel nor appointment of an arbitrator signifies
the adoption of any position by FMCS regarding the status of an
arbitration agreement, arbitrability of any dispute, or the terms of
the parties' contract.
(c) FMCS has no power to:
(1) Compel parties to appear before an arbitrator;
(2) Enforce an agreement to arbitrate;
(3) Compel parties to arbitrate any issue;
(4) Influence, alter, or set aside decisions of arbitrators on the
Roster; or
(5) Compel, deny, or modify payment of compensation to an
arbitrator.
(d) OA may decline to submit a panel or to make an appointment of
an arbitrator if the request submitted is overly burdensome or
otherwise impracticable. OA, in such circumstances, may refer the
parties to an FMCS mediator to help in the design of an alternative
solution. OA may also decline to service any request from a party based
on the party's prior non-payment of arbitrator fees or other behavior
that constrains the spirit or operation of the arbitration process.
(e) Panel requests that contain certain special requirements not
found among the selections online, cannot be processed via the agency's
internet system; instead, parties must submit the pdf version of the R-
43 form via email to OA and specify the additional requirements agreed
to by both parties.
(f) As an alternative to a panel of arbitrators, OA will, upon
written request, submit a list of arbitrators and their biographical
sketches from a designated geographical area; the parties may then
select and deal directly with an arbitrator of their choice, with no
further involvement of FMCS with the parties or the arbitrator, and no
assigned case number. The parties may also request FMCS to make a
direct appointment of their selection. In such a situation, a case
number will be assigned.
(g) OA will charge a fee for all requests for lists, panels, and
other major services. Payments for these services must be received with
the request for services before the service is delivered and may be
paid by either labor or management or both. A schedule of fees is
listed in the appendix to this part.
Sec. 1404.10 Arbitrability.
OA will not decide the merits of a claim by either party that a
dispute is not subject to arbitration.
Sec. 1404.11 Nominations of arbitrators.
(a) All panels submitted to the parties by OA, and all letters
issued by OA making a direct appointment, will have an assigned FMCS
case number. All future communications with OA should refer to this
case number.
(b) OA will provide a randomly selected panel of arbitrators
located in geographical areas in proximity of the hearing site, as
specified in the request. The parties may jointly request special
qualification of arbitrators experienced in certain issues or
industries or that possess certain backgrounds, or a panel with no
geographic restrictions within the U.S. OA has no obligation to put an
individual on any given panel or on a minimum number of panels in any
fixed period. If at any time both parties request that a name or names
be included, or omitted, from a panel, such name or names will be
included, or omitted, unless the number of names is excessive. These
inclusions/exclusions may not discriminate against anyone because of
age, race, color, gender, national origin, disability, genetic
information, or religion.
(c) If the parties do not agree on an arbitrator from the first
panel, OA will furnish up to five additional panels to the parties upon
joint request, or upon a unilateral request if authorized by the
applicable collective bargaining agreement, and payment of additional
fees.
Sec. 1404.12 Selection by parties and appointment of arbitrators.
(a) After receiving a panel of names, the parties must notify OA of
their selection of an arbitrator or of the decision not to proceed with
arbitration. Upon notification of the selection of an arbitrator, OA
will make a formal appointment of the arbitrator. The arbitrator, upon
notification of appointment, shall communicate with the parties within
14 days to arrange for preliminary matters, such as the date and place
of hearing. Should an arbitrator be notified directly by the parties
that he or she has been selected, the arbitrator must promptly notify
OA of the selection. The arbitrator must provide OA with the FMCS case
number and other pertinent information for OA to make an appointment. A
pattern of failure by an arbitrator to notify FMCS of a selection in an
FMCS case may result in suspension or removal from the Roster. If the
parties settle a case prior to the hearing, the parties must inform the
arbitrator as well as OA. Consistent failure to follow these procedures
may lead to a denial of future OA services.
(b) Where the parties' collective bargaining agreement permits each
party to separately notify OA of its ranked order of preference, or is
silent on the manner of selecting arbitrators, FMCS will ask each party
to advise OA of its
[[Page 618]]
order of preference by numbering each name on the panel and submitting
the numbered list in writing to OA. Upon receiving the rank order from
one party, OA will notify the other party that it has fourteen (14)
days in which to submit its selections. Where both parties respond, the
name that has the lowest combined number will be appointed. If the
other party fails to respond, the first party's choice will be honored.
(c) OA will make a direct appointment of an arbitrator only upon
joint request or as otherwise provided by this Part.
Sec. 1404.13 Conduct of hearings.
All proceedings conducted by the arbitrators shall conform to the
contractual obligations of the parties, and to the Code. The arbitrator
shall comply with Sec. 1404.4(b). The conduct of the arbitration
proceeding is under the arbitrator's jurisdiction and control, and the
arbitrator's decision shall be based upon the evidence and testimony
presented at the hearing or otherwise incorporated in the record of the
proceeding. The arbitrator may, unless prohibited by law, proceed in
the absence of any party who, after due notice, fails to be present or
to obtain a postponement. An award rendered in an ex parte proceeding
of this nature must be based upon evidence presented to the arbitrator.
Sec. 1404.14 Decision and award.
(a) Arbitrators shall make awards no later than 60 days from the
date of the closing of the record, unless otherwise agreed upon by the
parties or specified by the collective bargaining agreement or law.
However, failure to meet the 60-day deadline will not invalidate the
process or award. A failure to render timely awards reflects upon the
performance of an arbitrator and may lead to removal from the FMCS
Roster.
(b) The parties should inform OA whenever a decision is delayed.
The arbitrator shall promptly notify OA if and when the arbitrator:
(1) Cannot schedule or hear a case, and/or render a decision
promptly and in accordance with time limits established in this part,
or
(2) Learns a dispute has been settled by the parties prior to the
decision.
(c) Within 15 days after an award and/or final invoice has been
submitted to the parties, the arbitrator shall submit an online
Arbitrator's Report and Fee Statement (Form R-19) to OA showing a
breakdown of the fee and expense charges.
(d) While FMCS encourages the publication of arbitration awards,
arbitrators must not publicize awards without the express consent of
the parties in conformance with the Code.
Sec. 1404.15 Fees and charges of arbitrators.
(a) Fees to Parties. Prior to appointment, the parties should be
aware of all significant aspects of the bases for an arbitrator's fees
and expenses. Each arbitrator's biographical sketch shall include a
statement of the bases for the arbitrator's fees and expenses, which
shall conform to this part and the Code. The parties and the arbitrator
shall be bound by the arbitrator's statement of the bases for fees and
expenses in the biographical sketch for two years from the date of
appointment unless they mutually agree otherwise in writing.
Arbitrators listed on the Roster may change the bases for their fees
and expenses for future appointments if they provide them in writing to
OA at least 30 days in advance.
(b) Two or more Addresses. Arbitrators with more than one business
address must bill the parties for expenses from the least expensive
business address to the hearing site.
(c) Additional Administrative Fee. In cases involving unusual
amounts of time and expense relative to the pre-hearing and post-
hearing administration of a particular case, the arbitrator may charge
an administrative fee. This fee shall be disclosed to the parties as
soon as it is foreseeable by the arbitrator.
(d) Fee Disputes. When a party believes the arbitrator has not
followed the requirements of this Part, it should promptly notify OA,
which may bring any complaint concerning the fees charged by an
arbitrator to the attention of the Board for consideration. Complaints
by arbitrators concerning non-payment of fees by a party may lead to
the denial of services or other actions by OA.
Sec. 1404.16 Reports and biographical sketches.
(a) Arbitrators listed on the Roster shall execute and return all
documents, forms and reports required by OA and be responsible for
updating their account and bio information online, including changes of
address, telephone number, and availability. They must also furnish to
OA the contact information for a person they know well whom OA may
contact if unable to reach the arbitrator, and who has agreed to
contact OA if the arbitrator has become incapacitated or deceased.
Arbitrators must contact OA directly when they engage, or are accused
of engaging, in any business or other connection or relationship
involving labor or employment relations and/or which creates or gives
the appearance of advocacy as defined in Sec. 1404.5(c)(1).
(b) OA reserves the right to decide and approve the format and
content of biographical sketches.
Subpart D--Expedited Arbitration
Sec. 1404.17 Policy.
In an effort to reduce the time and expense of some grievance
arbitrations, FMCS offers expedited procedures where the parties agree
on a streamlined process with short deadlines. Parties may also agree
on their own procedures if it is practicable for FMCS.
Sec. 1404.18 Procedures for requesting expedited panels.
(a) With the exception of the specific changes noted in this
Subpart, all FMCS rules and regulations governing its arbitration
services shall apply to Expedited Arbitration.
(b) Upon receipt of a joint Request for Arbitration Panel (Form R-
43) indicating that both parties desire expedited services, OA will
refer a panel of arbitrators which shall be valid for up to 30 days.
Only one panel will be submitted per case. If the parties are unable to
mutually agree upon an arbitrator or if prioritized selections are not
received from both parties within 30 days, OA will make a direct
appointment of an arbitrator not on the original panel.
(c) If the parties mutually select an arbitrator, but the
arbitrator is not available, the parties may select a second name from
the same panel or OA will make a direct appointment of another
arbitrator not listed on the original panel.
Sec. 1404.19 Arbitration process.
(a) Once notified of the expedited case appointment by OA, the
arbitrator must contact the parties within seven (7) calendar days.
(b) The parties and the arbitrator must attempt to schedule a
hearing within 30 days of the appointment date.
(c) Absent mutual agreement, all hearings will be concluded within
one day. No transcripts of the proceedings will be made and the filing
of post-hearing briefs will not be allowed.
(d) All awards must be completed within seven (7) working days from
the hearing. These awards are expected to be brief and concise, and to
not require extensive written opinion or research time.
Appendix to 29 CFR Part 1404--Arbitration Policy; Schedule of Fees
Annual listing fee for arbitrators who have completed less than
5 years on the Roster:
[[Page 619]]
$150 for the first address; $50 for each additional address.
Annual listing fee for arbitrators who have completed 5 or more
years on the Roster: $250 for the first address; $100 for each
additional address.
Request for panel of arbitrators processed by FMCS staff:
$70.00.
Request for panel of arbitrators on-line: $35.00.
Direct appointment of an arbitrator when a panel is not used:
$30.00 per appointment.
List and biographic sketches of arbitrators in a specific area:
$35.00 per request plus $.25 per page.
Dated: December 18, 2018.
Jeannette Walters-Marquez,
Attorney-Advisor.
[FR Doc. 2018-27759 Filed 1-30-19; 8:45 am]
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