Federal Manager's Daily Report

The U.S. Court of Federal Claims has denied pay to a group

of airport security workers at the level they were promised

when they were appointed by the Transportation Security

Administration, finding that even though TSA “made promises

it couldn’t keep,” the workers did not have enforceable

contracts with the federal government.


According to the decision, the plaintiffs sued for breach

of contract, seeking lost wages and benefits. The government

filed to dismiss for lack of subject matter jurisdiction,

arguing that because the plaintiffs were appointed, the

court lacks jurisdiction over them as conditional appointees.


However, the plaintiffs said they were hired under contract

and were “third party beneficiaries of a breached contract

between TSA and their former employer,” a company paid by

TSA to continue screening operations while the fledgling

agency got on its feet.


Most of the plaintiffs accepted had offers of conditional

appointment, and some were promised pay at the rate they

received in their former positions, but wound up getting

about $2,000 less, while others were promised supervisor

positions paying $13,000 more than the screener positions

they wound up with.


The court concluded that the plaintiffs were appointees and

so could not compensate them, citing a ruling 20 years ago—

in Shaw v. United States – that stated, “federal officials

who by act or word generate expectations in the persons

they employ, and then disappoint them, do not ipso facto

create a contract liability running from the federal

government to the employee, as they might if the employer

were not the government.”

www.uscfc.uscourts.gov