Court favors Smurfit in class action suit: arbitration avoided.(Smurfit-Stone Container Corp. )(Brief Article)

Official Board Markets, February, 2004

Smurfit-Stone Container Corp. had arbitration dismissed in a class action suit brought against the company by 34 unionized, hourly employees at the company's Carol Stream, Ill., plant. The suit, involving wage and hour claims for overtime pay, went to federal court, where a judge granted Smurfit-Stone's motion to dismiss the case.

The lawsuit was filed while a grievance concerning the overtime issue was pending within the company. Smurfit-Stone denied the grievance, and the employees' union, the Graphics Communications International Union, AFL-CIO, elected not to pursue the grievance to arbitration since the court case was pending. After the judge's decision to dismiss the case, however, the union requested the issue go to arbitration, but Smurfit-Stone's legal...

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