LA Parish Wants Firefighter Pay Dispute in Federal Court

Aug. 30, 2019
Lawyers for Houma firefighters, who are suing Terrebonne Parish over unexpected Social Security deductions, argue that the lawsuit should stay in the local court.

Defendants in a lawsuit involving a pay dispute with Houma firefighters are asking the case be moved to another court.

After being sued by Houma firefighters over wages cut by unexpected Social Security deductions, Terrebonne Parish filed a motion to kick the matter out of the local court and sent it to the federal court in New Orleans, records show.

The Houma Municipal Fire and Police Civil Service Board is also scheduled to address the matter on Wednesday, attorneys said.

The complaint, which was filed July 3 in the 32nd Judicial District Court, alleges the parish hired the firefighters for an agreed-upon wage and certain benefits such as retirement.

Firefighters were hired with the condition that they contribute to the Firefighters' Retirement System, which would be their only retirement system, according to the lawsuit.

However, on June 7, 2018, the parish told the Fire Department that Social Security taxes would start being withheld from its paychecks beginning on July 1, 2018. The cut in pay did not result from any change of law, the lawsuit argues.

Attorneys representing the Houma Firefighters Association said firefighters are suffering a major pay cut due to negligence.

"This sudden change, which constituted a breach of employment contract between petitioners and defendant, came as a result of an Internal Revenue System Audit of the defendant, which identified the defendant's negligent and reckless failure to comply with its own agreement with the State of Louisiana to include the firefighters as part of its coverage group and to provide the petitioners with Social Security coverage," the lawsuit reads.

The Social Security deduction has resulted in a 6.2-percent pay cut for firefighters, some of whom make only $9.44 per hour, the plaintiffs claim.

"Since it began making the deductions after negligently misrepresenting the petitioner's status as excluded from Social Security, the defendant has not adjusted any of the petitioner's wages," the lawsuit reads.

Since the parish never deducted Social Security taxes before, many firefighters are now forced to pay the tax but will never receive Social Security benefits because some of them are close to retirement or receive a pension, plaintiffs said.

Although the suit was filed in the local court, the defendants said U.S. District Court is a more "proper" venue to handle the case, according to Aug. 15 court filings.

"Furthermore, based on current information and belief, the amount in controversy, exclusive of interest and costs, exceeds $75,000," said Brian Marceaux, who represents Terrebonne Parish. "Venue is proper in this court pursuant (to law) because U.S. District Court, Eastern District of Louisiana, is the federal judicial district embracing the 32nd Judicial District Court, Terrebonne Parish, Louisiana, where the state court action was originally filed."

However, the plaintiffs opposed the motion and requested the case be kept in the local court's jurisdiction.

"The plaintiffs in this matter seek damages directly from the defendant for claims governed by Louisiana law," New Orleans attorney Blake Arcuri wrote in a Tuesday court filing. "Federal question jurisdiction does not exist, and thus this motion should be granted and the matter should be remanded to state court for all future proceedings."

Acuri also asks the federal court to order the defendant to pay court costs and other expenses. A federal judge is expected to rule on the matter in the next several weeks, said attorney Laura Rodrigue, who represents the Houma Firefighters Association, along with Arcuri.

The Civil Service Board is also expected to decide whether it has jurisdiction to hear the case or whether it must go straight to court, Rodrigue said. That hearing is scheduled to begin at 5:30 p.m.

Parish President Gordy Dove said he had been willing to negotiate with firefighters without resorting to the courts.

"The IRS came back and said the Fire Department has to start paying Social Security," Dove said in a recent interview. "I'm not the federal government. I can't tell the federal government not to charge them Social Security. They told me about this a year ago then all of a sudden file a lawsuit. It's the most ridiculous lawsuit I've seen. We're supposed to sit down together and work these things out. I know they're on limited salaries. I'm willing to work with them, but nobody came to us to work it out. All they had to do was come to me. This lawsuit is a waste of money."

The plaintiffs have offered to meet with parish officials to resolve the matter but have not received a response, Rodrigue said.

The Houma Fire Department has about 60 employees and averages around 1,900 service calls per year.

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©2019 The Houma Courier, La.

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