Rhine Ernest LLP

PRESS RELEASE

SOUTHERN DISTRICT OF ILLINOIS FINDS CAUSE OF ACTION FOR WORKERS DISCHARGED IN RETALIATION FOR FORMING LABOR UNION

Federal Court Declares that National Labor Relations Act does not preempt Illinois Retaliatory Discharge Law for Workers Improperly Discharged for Unionizing Efforts.

EAST ST. LOUIS, IL B Late last year, six former healthcare employees of the Robinson Illinois State Correctional Facility, located in Robinson, Illinois brought suit in the United States District Court for the Southern District of Illinois against their former employer, Wexford Health Sources, Inc. Wexford is a national private supplier of health care services to state prison and correctional facilities, based in Pittsburgh, Pennsylvania.

According to the Second Amended Complaint filed in the case, the employee-plaintiffs were employed by Wexford, pursuant to the privatization of healthcare services at the state administered correctional facility. Upset over working conditions imposed by Wexford, the employee, in 1996, began efforts to organize into a labor union. However, upon their successfully organizing, the employees were wrongfully discharged by Wexford in retaliation for their unionizing efforts.

Wexford sought to have the complaint dismissed, urging the Federal Court that the state-law based claim was preempted by the National Labor Relations Act due to the matter involving conduct which could arguably be considered an unfair labor practice under the National Labor Relations Act. Wexford further urged that the National Labor Relations Board held exclusive jurisdiction over the matter. Chief United States District Court Judge, G. Patrick Murphy disagreed. According to his ruling entered on October 18, 2002, the Plaintiffs state retaliatory discharge claim exists completely independent of any cause of action the Plaintiffs may have had against the employer under the National Labor Relations Act. According to the Court, Illinois possesses a clearly mandated public policy against preventing employees from associating with unions, which supports and provides a cause of action for Plaintiffs wrongful discharge under the state tort of retaliatory discharge.

This is a monumental decision, states Stanton D. Ernest who along with William C. Illingworth of the Mt. Carmel, Illinois law firm of Rhine Ernest LLP represent the employees in the matter. This decision provides a cause of action for those employees who are retaliated against by their employers for matters relating to their union activities. Ernest goes on to state, prior to this decision, employees so wronged limited to remedies provided by the National Labor Relations Act or a collective bargaining agreement. Now, these employees have garnered greater rights and remedies under Illinois law... this is a great victory for employees, employee rights organizations, and organized labor.

Wexford Health Sources, Inc. is incorporated in the State of Florida and has its main office in Pittsburgh, Pennsylvania. It began offering comprehensive health care services to the jail industry in 1992 and has contracts in more than 55 correctional facilities. It is a wholly owned subsidiary of the Bantry Group Corporation. Wexford is represented in this case by the Chicago, Illinois office of the law firm of Jackson Lewis LLP.

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