Although the plaintiffs argued that they were owed the benefits under the Uniformed Services Employment and Reemployment Rights Act (USERRA), U.S. District Judge Mark Pittman sided with American Airlines in his summary judgement ruling.
Judge Pittman determined that the sick and vacation time accruals and bonuses based on operations were not seniority-based benefits. Therefore, Judge Pittman determined the pilots were not entitled to these benefits under USERRA.
Plaintiff John Hoefert filed the American Airlines class action lawsuit in 2017, alleging that he was denied seniority-based benefits while on military leave for the U.S. Army Reserve.
Hoefert argued that operation-based bonuses qualified as seniority benefits and that these bonuses should accrue even while pilots are away on military leave.
The American Airlines class action argues that pilots on leaves of absence were granted these benefits if they were on jury duty, union service, sick leave, FMLA leave, or vacation. Despite this, American Airlines reportedly denies the same benefits to their pilots on military leave.
American Airlines sought summary judgement on this issue, arguing that the benefits were not seniority-based and therefore were not owed to the pilots on military leave. Judge Pittman agreed with this argument, finding that the sick time, vacation time, and bonus accruals were based on services or work performed opposed to seniority.
Judge Pittman determined that “the real nature of the sick-time accrual at issue is for actual work performed rather than a reward for length of service.” He also ruled that “the disputed vacation days accrue not to incentivize long-term employment, but rather to compensate and provide a respite from American’s pilots’ past efforts.”
The monthly bonuses brought up in the American Airlines class action received a similar ruling. The bonuses in question are paid to American Airlines employees when the company secured a first place ranking in on-time arrivals, baggage performance, and other U.S. Department of Transportation metrics.
Although Hoefert argued that these bonuses were seniority based, Judge Pittman determined that the bonuses are “intended to incentivize employee performance to help American achieve its objectives each month” and therefore “are tied to actually performing services on behalf of American.”
Did you have benefits withheld from you due to military leave? Share your experiences in the comment section below.
The plaintiff and proposed Class are represented by Gene J. Stonebarger and Crystal L. Matter of Stonebarger Law APC; Brian J. Lawler of Pilot Law PC; Jonathan Suder of Friedman Suder & Cooke PC; and Charles M. Billy.
The American Airlines Military Benefits Class Action Lawsuit is Hoefert v. American Airlines Inc., et al., Case No. 4:18-cv-00466, in the U.S. District Court for the Northern District of Texas.
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