By Dorothy Atkins

Law360 (October 26, 2020, 6:50 PM EDT) -- A Giant Eagle Inc. grocery chain subsidiary has hit a union with a breach of contract lawsuit in Pennsylvania federal court, alleging that the union is supporting a workplace "slowdown" due to the coronavirus pandemic that allegedly violates their collective bargaining agreement.

In a 7-page, one-count complaint, which was dated Oct. 23 but filed Monday, the Pittsburgh-based OK Grocery Co. accuses Teamsters Local Union No. 636 of violating provisions of the CBA that prohibit workers from striking, which the company says includes "slowdowns and sick outs."

"636 employees are exploiting the temporary discipline suspension by not coming to work as scheduled and being excessively absent and in order to create a slowdown and/or sickout and, in the postings, have re-characterized the temporary discipline suspension as a 'COVID Call-Off Policy,'" the complaint says.

The suit comes after the store discovered seven signs posted in worker break and vending machine rooms on Sept. 15 that call on workers to boycott overtime and make "good use" of the company's COVID-19 call off policy, which the store implemented in March and which temporarily suspended discipline under its attendance policy due to the pandemic.

OK Grocery reviewed surveillance footage and discovered that union committee member Tim Basile posted the signs in an alleged attempt to initiate a "slowdown and sickout by his co-workers," the suit says.

On Sept. 18, the company sent a letter to the union stating that the signs violated the CBA and the company wouldn't tolerate an "illegal slowdown and/or sickout" or workers encouraging employees not to come to work or to be "excessively absent." The company also demanded that the union immediately repudiate the postings, but the union principal officer, Albert J. Waltz, refused, prompting the lawsuit.

The suit asks the court to declare that the union's actions run afoul of the CBA and to order the union to stop and to compensate the store for its losses attributable to "increased attendance and morale issues, loss of productivity, additional overtime and late deliveries to stores that would not have otherwise been incurred." It also seeks attorney fees plus costs of litigation.

Giant Eagle spokesperson Dick Roberts said Monday the company doesn't comment on active litigation.

Representatives for the union didn't immediately respond Monday to requests for comment.

The lawsuit is the latest in a bevvy of coronavirus-related litigation that has been filed in courts across the country over workplace conditions. Major employers, including McDonald's and Amazon, are facing litigation alleging dangerous working conditions during the pandemic, and many of those employers have in turn sued their insurance companies in court over COVID-19 related losses.

For its part, the Occupational Safety and Health Administration revised its guidance last month and announced a number of changes, including requiring businesses to report an employee's COVID-19 hospitalization only if the worker is admitted within 24 hours of workplace exposure. The revised guidance has faced a blowback from House democrats, who have criticized the changes for allegedly being unscientific and worsening the pandemic.

OK Grocery is represented by Elly Heller-Toig, James F. Rosenberg and Daniel J. Stuart of Marcus & Shapira LLP.

Counsel information for the union wasn't immediately available Monday.

The case is OK Grocery Co. v. Teamsters Local Union No. 636, case number 2:20-cv-01609, in the U.S. District Court for the Western District of Pennsylvania.

--Editing by Emily Kokoll.

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