Smith v. F.W. Morse Co., Inc.

March 8, 1996     UNITED STATES COURT OF APPEALS
                            UNITED STATES COURT OF APPEALS
                      FOR THE FIRST CIRCUIT
                                FOR THE FIRST CIRCUIT

                                             

No. 95-1556

                           KATHY SMITH,

                      Plaintiff, Appellant,

                                v.

                     F.W. MORSE & CO., INC.,

                       Defendant, Appellee.

                                             

                           ERRATA SHEET
                                     ERRATA SHEET

     The  opinion of this court  issued on February  12, 1996, is
corrected as follows:

On  page 21,  line 15,  change "(1st  Cir. 1995)"  to  "(1st Cir.
1996)"


                  UNITED STATES COURT OF APPEALS
                      FOR THE FIRST CIRCUIT

                                             

No. 95-1556

                           KATHY SMITH,

                      Plaintiff, Appellant,

                                v.

                     F.W. MORSE & CO., INC.,

                       Defendant, Appellee.

                                             

           APPEAL FROM THE UNITED STATES DISTRICT COURT

                FOR THE DISTRICT OF NEW HAMPSHIRE

           [Hon. Norman H. Stahl, U.S. District Judge]
                                                               
         [Hon. Steven J. McAuliffe, U.S. District Judge]
                                                                 

                                             

                              Before

                      Selya, Circuit Judge,
                                                    

                  Bownes, Senior Circuit Judge,
                                                        

                    and Boudin, Circuit Judge.
                                                       

                                             

     Debra  Weiss  Ford,  with whom  Edmond  J.  Ford, Eileen  L.
                                                                           
Koehler,  and  Ford,  Ford &  Weaver,  P.A.  were  on brief,  for
                                                     
appellant.
     Raymond P.  Blanchard, with whom Taylor,  Keane & Blanchard,
                                                                           
P.A. was on brief, for appellee.
              

                                             

                        February 12, 1996
                                             


          SELYA,  Circuit Judge.  In this  appeal, the  plaintiff
                    SELYA,  Circuit Judge.
                                         

invites  us to  overrule  the district  court's adverse  decision

under Title  VII of the  Civil Rights Act  of 1964, 42  U.S.C.   

2000e-2000e-17 (1988)  (Title VII),  and to reinstate  her common

law  causes  of  action  for  breach  of  contract  and  wrongful

discharge.  We decline the invitation in all its aspects.

I.  BACKGROUND
          I.  BACKGROUND

          We  chronicle the  events that  preceded the  filing of

suit and then recount what transpired thereafter.

                    A.  Chronology of Events.
                              A.  Chronology of Events.
                                                      

          Damar  Plastics  &  Metal  Fabricators,   Inc.  (Damar)

operated  a job  shop  in Somersworth,  New  Hampshire, where  it

crafted  custom  components  for   high-technology  applications.

Plaintiff-appellant Kathy Smith joined Damar in 1976 and advanced

steadily through  the ranks  until she  reached  the position  of

production  manager  almost a  decade later.   In  that capacity,

Smith scheduled production  runs and coordinated delivery  dates.

In late  1987, after an  imbroglio with Darrol  Robinson (Damar's

owner   and  general   manager),   she  requested   and  obtained

reassignment  to a  different post  having no  responsibility for

production scheduling.

          On December  23, 1988, defendant-appellee F.W.  Morse &

Co., Inc. (Morse), a  firm owned by Chris Bond,  acquired Damar's

business  and assets.  Damar then had fewer than forty employees,

including seven managers reporting directly to Robinson:  Michael

Hickman  (production  control);  Robert  Lane  (shipping); Ronald

                                3


Paradis (production/machining);  Marc Shevenell (production/sheet

metal); Gary Bickford (engineering);  Michael Seeger (sales); and

Smith.    Though  not  titled,  Smith  testified  that   she  was

considered  to  be a  de facto  manager  who, largely  because of

Hickman's  inadequacies,  performed many  of  the  duties of  the

production control manager.

          Bond promptly concluded that  Damar had too many chiefs

and  too few  Indians.   Within  days of  the  closing, he  fired

Hickman.   Then, in concert with Maryann Guimond, the new general

manager  (who  had  authority   to  hire,  fire,  and  discipline

personnel),  he  interviewed  a  number  of employees,  including

Smith.   In the aftermath  of this review,  the company cashiered

Lane.   To  fill  the void  created  by the  two  executive-level

departures, Morse promoted Smith to the newly created position of

materials manager, consolidating responsibilities for scheduling,

production  control, inventory control, purchasing, shipping, and

receiving that had previously been spread among three managers.

          All  told,  Morse's   initial  reorganization   efforts

substituted  Guimond  for   Robinson  and  pared   second-echelon

management  from  seven to  five.   In  addition to  Guimond, the

reconfigured  management  team  comprised   Paradis  (machining);

Shevenell  (sheet metal); Bickford (engineering); Seeger (sales);

and  Smith  (materials).   In  recognition  of Smith's  increased

responsibilities, Morse  twice hiked her pay (once in January and

again in March),  thus increasing her  weekly stipend by  roughly

twenty-five percent.

                                4


          At about the time of the takeover, Smith informed  Bond

that  she had become pregnant  and would need  a maternity leave.

Morse,  a tiny  company,  had no  formal maternity  leave policy.

Bond nonetheless honored Smith's request and assured her that her

position  was "secure."  In preparation for her leave, Smith held

several  meetings  with Guimond,  Shevenell,  and  Paradis.   The

company temporarily distributed her managerial duties among other

supervisors  and  arranged  for a  newly-hired  secretary,  Kelly

Gilday,  to  perform her  clerical  functions.   Along  the  way,

Guimond informed  Smith that  either Paradis or  Shevenell likely

would  be discharged,  and told  her that  she would  be promoted

again  upon  her  return  from  maternity  leave.   Guimond  also

indicated that,  in all  probability, Bickford would  be demoted,

and Smith  would  be asked  to assume  a portion  of his  duties.

While   these   changes   presumably  would   warrant   increased

remuneration, Guimond did not mention an amount.

          On  April 7,  1989,  Smith began  her maternity  leave,

planning to  return to work in approximately six weeks.  She gave

birth two weeks later.  Meanwhile, Guimond, expecting the "sky to

fall," held  regular "reality check" meetings  with Shevenell and

Paradis.   To  her  surprise, the  plant  functioned very  well.1

Guimond reported the good news to Bond.

          Smith visited the plant on  May 1 and informed  Guimond

that  she  wished  to  return  to  work  one  week  earlier  than
                    
                              

     1During  this same  time frame,  the company  eliminated the
engineering manager's position.  However, Bickford remained  with
Morse in a lesser capacity.

                                5


originally  anticipated.   Guimond inquired  about whether  Smith

desired  more children,  and  Smith replied  affirmatively.   The

following day, Guimond queried  Karen Vendasi, Smith's sister and

co-worker,  about Smith's plans to have a larger family.  Vendasi

relayed this conversation to Smith and told her of nascent rumors

to the effect that she might not return to work.  Smith contacted

Guimond  and  demanded  an   explanation.    Guimond  denied  any

knowledge  of the rumors, dismissed them as idle buzznacking, and

again  assured Smith that her  job was secure.   Guimond repeated

these assurances during a chance meeting on May 4.

          A few days later,  Guimond concluded that the materials

manager's position  was superfluous and decided  to eliminate it.

She told Smith of her decision on May 11.   During this telephone

conversation, Guimond asked Smith if  she preferred people to  be

told that she  had decided to stay at home  with her infant child

rather than that  she had  been discharged.   Smith rejected  the

suggestion.  Nevertheless, a  Morse employee repeated this canard

to several customers.2

          Following Smith's  severance, Guimond gave  most of her

duties  to Paradis  in his  new capacity  as operations  manager.

Shevenell assumed the role of manufacturing manager (in charge of

both  machining and sheet metal work).  Guimond also promoted two

lower-ranking  employees, Peter  Lapanne  and  Brian Hoffman,  to

assistant  manager  positions (though  evidence adduced  at trial

                    
                              

     2The company  reprimanded the employee  and trial  testimony
tended to establish that Morse had not authorized the comments.

                                6


demonstrated that Lapanne  had been an  assistant manager as  far

back   as  1984,   and   that  neither   man   assumed  any   new

responsibilities or received  any salary  increase in  connection

with  his new title).   Gilday continued to  perform the clerical

functions  associated with  Smith's  former position.   When  the

second round  of the  reorganization wound  down,  the plant  had

three second-echelon managers    Paradis (operations);  Shevenell

(manufacturing); and  Seeger (sales)    in lieu  of the  original

seven.

                     B.  Procedural History.
                               B.  Procedural History.
                                                     

          Smith  sued  Morse  in  a  New  Hampshire  state  court

alleging,  inter   alia,  wrongful  discharge   based  on  gender
                                 

discrimination, intentional infliction of emotional distress, and

breach of contract.   Morse removed the case to  federal district

court on the ground  that Smith's claim "arose under"  Title VII,

thus prompting federal question  jurisdiction.  See 28  U.S.C.   
                                                             

1331,   1343(c)(3),  1441,  1446;  see  also  28  U.S.C.     1367
                                                      

(conferring  ancillary  jurisdiction  over   appended  nonfederal

claims).   Smith thereafter filed an amended  complaint that made

her Title VII claim explicit.

          Early  in the  proceedings,  Morse  moved  for  partial

summary judgment.   The  district court  (Stahl, J.) granted  the

motion  on  the  common  law  wrongful  discharge  and  emotional

distress claims.  See  Smith v. F.W. Morse  & Co., No.  90-361-S,
                                                           

slip op. at 12 (D.N.H. Sept. 26, 1991) (unpublished) (Smith I).
                                                                       

          Several  years later, the  parties simultaneously tried

                                7


the Title VII  claim to the bench (McAuliffe,  J.) and the breach

of contract  claim to a jury.3   At the close  of the plaintiff's

case, the district court entered  judgment as a matter of law  in

the  defendant's  favor on  the  breach  of  contract  claim  and

disbanded  the jury.   The  Title VII  case proceeded  before the

district judge.   Morse asserted  that it scrapped  the materials

manager's  position  and laid  off the  appellant  as part  of an

overarching   strategy  to  streamline   a  top-heavy  managerial

structure, and that even if Smith had not been on maternity leave

she would have been flattened by the downsizing steamroller.  The

district  court agreed  and  entered judgment  accordingly.   See
                                                                           

Smith v.  F.W. Morse  & Co.,  901 F. Supp.  40, 45  (D.N.H. 1995)
                                     

(Smith II).  This appeal ensued.
                   

II.  THE TITLE VII CLAIM
          II.  THE TITLE VII CLAIM

          The crown jewel of the appellant's asseverational array

is her contention that  the district court erred in  finding that

Morse  did not discriminate against her  on the basis of her sex.

Our appraisal of this contention is in three parts.

                     A.  Standard of Review.
                               A.  Standard of Review.
                                                     

          Following a  bench trial, the court  of appeals reviews
                    
                              

     3The Civil Rights  Act of 1991, Pub. L. 102-166,    102, 105
Stat. 1071, 1073  (1991) (codified at  42 U.S.C.    1981a(c)(1)),
authorizes trial  by jury in  Title VII cases.   Since the events
that  form the basis of  the appellant's claim  occurred prior to
the effective date of  the 1991 Act, she  had no right to  a jury
trial on her  Title VII claim.  See Landgraf  v. USI Film Prods.,
                                                                           
Inc., 114  S. Ct. 1483, 1487 (1994) (holding that the 1991 Act is
              
not retroactive).  By like token,  the Price Waterhouse framework
                                                                 
for proof  of "mixed-motive"  discrimination that we  describe in
Part II(B), infra, is  somewhat changed under the 1991  Act.  See
                                                                           
Fuller v. Phipps, 67 F.3d 1137, 1142 (4th Cir. 1995).
                          

                                8


the trier's factual determinations  for clear error, see Cumpiano
                                                                           

v. Banco Santander P.R.,  902 F.2d 148, 152 (1st Cir. 1990); Fed.
                                 

R.  Civ.  P. 52(a),  but affords  plenary  review to  the trier's

formulation  of  applicable legal  rules,  see  Johnson v.  Watts
                                                                           

Regulator  Co.,  63  F.3d  1129,  1132  (1st  Cir.  1995).    The
                        

jurisprudence of clear error  constrains us from deciding factual

issues anew.   See, e.g., Jackson v. Harvard Univ., 900 F.2d 464,
                                                            

466  (1st  Cir.), cert.  denied, 498  U.S.  848 (1990);  Keyes v.
                                                                        

Secretary  of  the Navy,  853 F.2d  1016,  1019 (1st  Cir. 1988).
                                 

Indeed,  we may  not disturb  the district  court's record-rooted

findings of fact unless on the whole of the evidence we reach the

irresistible conclusion  that  a  mistake  has been  made.    See
                                                                           

Cumpiano,  902 F.2d at 152;  RCI Northeast Servs.  Div. v. Boston
                                                                           

Edison Co., 822 F.2d 199, 203 (1st Cir. 1987).
                    

          This deferential  standard extends not only  to factual

findings  simpliciter  but  also  to inferences  drawn  from  the

underlying facts.   See Cumpiano,  902 F.2d at  152.   Similarly,
                                          

findings regarding an actor's  motivation fall within the shelter

of  Rule 52(a), and, therefore,  if the trial  court's reading of

the record on such an issue is plausible, appellate review  is at

an end.  See Foster v.  Dalton,71 F.3d 52, 56-57 (1st Cir. 1995);
                                        

Anthony v. Sundlun, 952 F.2d 603, 606 (1st Cir. 1991).
                            

               B.  The Jurisprudence of Title VII.
                         B.  The Jurisprudence of Title VII.
                                                           

          Title VII  provides, inter alia, that it is an unlawful
                                                   

employment practice  for an  employer to discharge  an individual

because of  her sex.  See  42 U.S.C.   2000e-2(a)(1).   After the
                                   

                                9


Supreme  Court  held  that  this phraseology  did  not  proscribe

discrimination on the  basis of pregnancy, see  General Elec. Co.
                                                                           

v. Gilbert, 429 U.S. 125, 145-46 (1976), Congress augmented Title
                    

VII  by enacting the Pregnancy  Discrimination Act of 1978 (PDA),

Pub. L. 95-555,   1,  92 Stat. 2076, 2076 (1978) (codified  at 42

U.S.C.   2000e(k)).  The PDA made clear that:

          The terms  "because of sex" or  "on the basis
          of sex"  include,  but are  not  limited  to,
          because  of or  on  the  basis of  pregnancy,
          childbirth,  or  related medical  conditions;
          and women affected by  pregnancy, childbirth,
          or  related  medical   conditions  shall   be
          treated the same  for all  employment-related
          purposes, including receipt of benefits under
          fringe benefit programs, as other persons not
          so affected  but similar in their  ability or
          inability to work.

42  U.S.C.   2000e(k).  Thus, at  the time Smith and Morse parted

company,  Title VII's  ban on  gender  discrimination encompassed

pregnancy-based discrimination.

          Like other  Title VII plaintiffs, an  employee claiming

discrimination on the basis of pregnancy may proceed under either

a  disparate  treatment  or  a  disparate  impact  theory.    See
                                                                           

generally Furnco Constr. Corp. v. Waters, 438 U.S. 567, 575, 579-
                                                  

80  (1978)  (explaining  the  dichotomy).   Here,  the  appellant

alleged disparate treatment.  Consequently, she had the burden of

proving that the defendant purposefully terminated her employment

because of her pregnancy.

          In cases  predating the Civil  Rights Act of  1991, see
                                                                           

supra   note   3,   the   framework   for   proving   intentional
               

discrimination  varies depending  on  the availability  of direct

                                10


evidence.   See Fields  v. Clark Univ.,  966 F.2d 49,  51-52 (1st
                                                

Cir.  1992), cert. denied, 113  S. Ct. 976  (1993); Cumpiano, 902
                                                                      

F.2d at 153.   Absent  the evidentiary equivalent  of a  "smoking

gun," the plaintiff must attempt to prove her case by resort to a

burden-shifting framework.  See  Texas Dep't of Community Affairs
                                                                           

v. Burdine,  450 U.S. 248, 254-56 (1981); McDonnell Douglas Corp.
                                                                           

v. Green,  411 U.S.  792, 802  (1973).  Under  this framework,  a
                  

plaintiff  can   establish  a  prima  facie   case  of  pregnancy

discrimination  by  showing that  (1)  she  is pregnant  (or  has

indicated  an   intention  to  become  pregnant),   (2)  her  job

performance   has  been  satisfactory,   but  (3)   the  employer

nonetheless  dismissed her from her position  (or took some other

adverse employment  action against  her) while (4)  continuing to

have her duties performed by a comparably qualified person.  See,
                                                                          

e.g., Cumpiano, 902 F.2d  at 153; Lipsett v. University  of P.R.,
                                                                          

864 F.2d 881, 899 (1st Cir.  1988).  Establishing the prima facie

case raises a rebuttable presumption  that discrimination sparked

the adverse employment action, see Cumpiano, 902 F.2d at 153, and
                                                     

imposes upon the employer  a burden to put forward  a legitimate,

nondiscriminatory motive for  the action.  See  Burdine, 450 U.S.
                                                                 

at 254-55;  Lipsett, 864  F.2d at 899.   If the  defendant clears
                             

this modest hurdle, the  presumption of discrimination vaporizes,

see  Mesnick v. General  Elec. Co., 950  F.2d 816, 823  (1st Cir.
                                            

1991), cert.  denied, 504  U.S. 985  (1992),4  and the  plaintiff
                              
                    
                              

     4Mesnick  is a case brought under  the Age Discrimination in
Employment  Act (ADEA), 29  U.S.C.    621-634,  rather than under
Title VII.   The same burden-shifting  framework applies in  both

                                11


(who  retains the ultimate burden  of persuasion on  the issue of

discriminatory  motive  throughout)  must  then  prove  that  the

employer's   proffered    justification   is   a    pretext   for

discrimination,  see St. Mary's Honor  Ctr. v. Hicks,  113 S. Ct.
                                                              

2742, 2749 (1993); Mesnick, 950 F.2d at 823-24.
                                    

          On the  relatively rare occasions when a smoking gun is

discernible   that is, when a  plaintiff produces direct evidence

that  the protected characteristic was a motivating factor in the

employment   action      the  McDonnell   Douglas  framework   is
                                                           

inapposite.  See Fields, 966 F.2d at 52.  In  those cases, direct
                                 

evidence  of discriminatory  motive    say, an  admission by  the

employer that it explicitly  took actual or anticipated pregnancy

into account in reaching an employment decision   serves to shift

the burden of persuasion  from employee to employer.   The latter

must  then affirmatively prove that  it would have  made the same

decision even if  it had not  taken the protected  characteristic

into account.  See Price Waterhouse v. Hopkins, 490 U.S. 228, 258
                                                        

(1989) (plurality op.); id. at 265-67 (O'Connor, J., concurring).
                                     

          The seeming  neatness of this dichotomy  is illusory in

certain  respects,   for   evidence   rarely   comes   in   tidy,

geometrically precise packages.  In many cases, the  line between

McDonnell Douglas, on  one hand,  and  Price  Waterhouse, on  the
                                                                  

other  hand, is  blurred.   In  those situations,  classification

                    
                              

instances; therefore, ADEA cases have solid precedential value in
Title  VII litigation.  Hence, we  cite herein interchangeably to
Title VII  and ADEA  cases, often without  distinguishing between
them.

                                12


depends on  both the  quantity and quality  of the  proof that  a

court  deems   sufficient  to   constitute  direct   evidence  of

discriminatory animus.

          Discretion is  sometimes the better part  of valor, and

courts  often wisely  decide  to sidestep  difficult  theoretical

questions  if answers  to them  are not  essential to  the proper

resolution of a given case.  We have here a good example  of such

a  prudential approach.   The  trial  court largely  bypassed any

differential  direct  evidence/circumstantial evidence  tamisage,

preferring to go directly to a  finding that, on the totality  of

the   evidence   presented,   Morse   had   proven  that   gender

discrimination did not trigger the firing.  See Smith II, 901  F.
                                                                  

Supp. at 44-45.  This approach negates any need for  us to pursue

the question of an analytic  framework to a definite  conclusion.

While we  agree with our concurring colleague that the decisional

process  is  important,  there comes  a  point  at which  slavish

insistence upon process for its own sake serves only to exalt the

trappings  of justice  over its  substance.   Here, the  district

court's finding on causation,  if sustainable, resolves the Title

VII claim whether  the appellant's prima facie  case arises under

the  McDonnell Douglas or Price  Waterhouse paradigm.   And as we
                                                     

illustrate  below, see  infra  Part III(C),  that finding  passes
                                       

muster.

                         C.  The Merits.
                                   C.  The Merits.
                                                 

          Consistent  with the  district court's  approach, Morse

must be assumed to have  had the burden of proving that  it would

                                13


have taken the  same action    the elimination  of the  materials

manager's  position     whether   or  not  the  appellant  became

pregnant,  took  a  maternity  leave,  or  planned  to bear  more

children.    The court  found that  Morse  carried the  devoir of

persuasion on  this  pivotal issue.   It  concluded that  Morse's

decision was  "motivated by business judgment  and represented an

effort to economize  by placing the  most qualified personnel  in

the fewest number  of managerial positions possible, and  was not

based on  plaintiff's gender, pregnancy, or  her expressed desire

to have more children."  Smith II, 901 F. Supp. at 44.  The court
                                           

also  concluded  "that  even  if   Guimond  is  assumed  to  have

considered impermissible gender-based  factors, the same decision

to  eliminate plaintiff's position would  still have been made at

the same  time" for reasons of business necessity.  Id.  The crux
                                                                 

of our inquiry is whether these findings are clearly erroneous.

          There is little doubt that an employer, consistent with

its business judgment, may  eliminate positions during the course

of a  downsizing without  violating Title  VII even  though those

positions are held by members of protected groups (pregnant women

included).  See, e.g., LeBlanc v. Great Am. Ins. Co., 6 F.3d 836,
                                                              

844-45 (1st Cir.  1993), cert.  denied, 114 S.  Ct. 1398  (1994);
                                                

Goldman v. First  Nat'l Bank,  985 F.2d 1113,  1118-19 (1st  Cir.
                                      

1993);  Montana v. First  Fed. Sav. &  Loan Ass'n, 869  F.2d 100,
                                                           

105, 107 (2d Cir.  1989); Dister v. Continental Group,  Inc., 859
                                                                      

F.2d  1108, 1115 (2d Cir. 1988); Pearlstein v Staten Island Univ.
                                                                           

Hosp.,  886 F. Supp. 260, 268-69 (E.D.N.Y. 1995).  This is merely
               

                                14


a  reflection  of a  central  theme that  permeates  the relevant

jurisprudence:   insofar as Title  VII is concerned,  an employer

can hire or fire one employee instead of  another for any reason,

fair or unfair, provided that the employer's choice is not driven

by   race,   gender,   pregnancy,   or   some   other   protected

characteristic.   See Foster, 71  F.3d at 56; Keyes,  853 F.2d at
                                                             

1026; see  also Freeman v. Package Mach. Co., 865 F.2d 1331, 1341
                                                      

(1st Cir.  1988) (elucidating similar proposition  in ADEA case).

The flip  side of  the  coin, however,  is that  an employer  who

selectively cleans house cannot hide behind convenient euphemisms

such as "downsizing" or "streamlining."   Whether or not trimming

the fat  from  a  company's  organizational chart  is  a  prudent

practice in  a particular  business  environment, the  employer's

decision to eliminate specific positions must not be tainted by a

discriminatory  animus.    See Goldman,  985  F.2d  at  1118 n.4;
                                                

Maresco v. Evans  Chemetics, 964  F.2d 106, 111  (2d Cir.  1992);
                                     

Mesnick, 950 F.2d at 825; Pearlstein, 886 F. Supp. at 268-69.
                                              

          Against this  backdrop,  we believe  that the  evidence

adequately supports the trial court's findings.  When Morse  took

over, Damar had an inordinately high ratio of managers to workers

and the  managers' responsibilities  overlapped.5  Both  Bond and

Guimond testified  that from  the very  start they believed  that

Damar's  sprawling  organizational  structure  defied   rhyme  or

reason.   Accordingly,  they  set out  to  compress some  of  the
                    
                              

     5To  cite an  example,  Damar split  the responsibility  for
manufacturing  between two  managers  (Shevenell and  Paradis), a
situation that, in appellant's own phrase, caused daily "chaos."

                                15


sprawl.  The district court credited their intention, noting that

the witnesses' actions  matched their stated objective.   More to

the point,  Guimond testified  that she terminated  the appellant

"because  I had  a position that  I no  longer felt  needed to be

filled."   Bond testified in  the same vein,  indicating that he,

too, had  become convinced that Smith's  position was expendable.

The court  accepted this evidence, concluding  that the materials

manager's  position would  have been  eliminated within  the same

time frame whether or not Smith had taken a maternity leave.

          In our view, this determination,  while not inevitable,

is supportable.  In the first place, the record strongly suggests

that, in fact, the position was expendable.  In the second place,

any other  choice  would  have entailed  a  loss  of  engineering

expertise that Damar could ill afford.6  In  the third place, the

court's  view is  bolstered by  the reception that  the appellant

originally received from  the new  ownership.   Bond and  Guimond

apprised  her   of  the  planned  downsizing   and  assigned  her

significant  new   responsibilities  when  other   managers  were

dismissed.     They   also   promoted  her   and  increased   her

compensation.  These actions, undertaken with full knowledge that

the  appellant  was  pregnant  and  would  be  taking a  six-week

maternity leave,  are inconsistent  with a bias  against pregnant

                    
                              

     6Bond  testified  that he  purchased  Damar  to acquire  its
engineering talents.   Paradis and Shevenell  were highly trained
and experienced  engineers, while Smith had  no such credentials.
When Morse  discovered  that  it  could function  with  one  less
manager,  the  decision  to  retain Paradis  and  Shevenell,  and
dismiss Smith, seems quite plausible.

                                16


employees.  In the  fourth place, the district judge,  sitting as

the trier of fact,  had the right to credit Bond's testimony that

the "maternity leave never  played a role in itself"  because the

same  decision "would have been made in a very close time frame,"

and Guimond's testimony  to like effect.  In a  bench trial, such

credibility judgments are the  judge's prerogative.  See Anthony,
                                                                          

952 F.2d at 606.

          To be sure,  the record could support a  less innocuous

conclusion.   The chronal proximity of  Guimond's questions anent

Smith's plans to have more children and her dismissal,  Guimond's

ill-advised suggestion that customers  and employees be told that

Smith  decided to  stay at  home  to care  for her  daughter, and

Smith's  termination while on maternity  leave are troubling   so

much so  that  we, if  free  to write  a palimpsest,  might  have

characterized   the  impetus   behind   the  appellant's   ouster

differently.  But  whether the  trial court could  have drawn  an

inference  of discriminatory intent is not the test.  See Foster,
                                                                          

71 F.3d at 55; Keyes,  853 F.2d at 1027.   As long as a  contrary
                              

inference is also supportable   and  that is the situation here  

then it is for the trial court, not the court of appeals, to call

the tune.   After all, "when there  are two permissible  views of

the  evidence, the  factfinder's  choice between  them cannot  be

clearly erroneous."  Johnson, 63 F.3d at 1138 (citing Anderson v.
                                                                        

City of Bessemer City, 470 U.S. 564, 574 (1985)).
                               

          In  an effort to evade the force of this principle, the

appellant hauls two further  arguments from her bag.   First, she

                                17


asseverates that Morse  did not in  fact eliminate her  position,

and that the district court's contrary finding, see Smith II, 901
                                                                      

F. Supp. at 43,  is itself clearly erroneous.   This asseveration

leads down a blind alley.

          When  an employer defends  an employment discrimination

case on the ground of position elimination, the position may not,

like a Dali painting, fade from one image to another only for the

first  image to reemerge  at the blink  of an eye.   See Gallo v.
                                                                        

Prudential Residential  Servs., Ltd.  Partnership, 22  F.3d 1219,
                                                           

1226-28 (2d Cir. 1994); LeBlanc, 6 F.3d at 846; Barnes v. GenCorp
                                                                           

Inc., 896 F.2d 1457, 1465 (6th Cir.),  cert. denied, 498 U.S. 878
                                                             

(1990).   Yet,  a  position elimination  defense is  not defeated

merely  because  another employee,  already  on  the payroll,  is

designated  to  carry out  some or  all  of the  fired employee's

duties  in addition  to  his own,  or  because those  duties  are

otherwise  reallocated  within  the  existing work  force.    See
                                                                           

LeBlanc,  6  F.3d  at  846;  Barnes,  896  F.2d  at  1465.    The
                                             

elimination of a position signifies the employer's belief that it

can get by with one less helper; it does not necessarily convey a

belief  that the work the employee had been doing was superfluous

and need not be performed at all.

          Here, the undisputed evidence before the district court

indicates that  after Guimond dismissed Smith,  the position that

Smith  had occupied    materials  manager   fell  into desuetude.

There is no basis in the record for a suggestion  that Lapanne or

Hoffman  assumed  any of  the  appellant's  former duties;  those

                                18


duties, which Paradis, Shevenell, and Gilday had performed during

Smith's leave, continued to  be performed by them (or,  at least,

by Paradis  and  Gilday).   In  short, the  second round  of  the

reorganization  (which  cost  Smith  her  job)  bore  a  striking

resemblance to the first round (which gave Smith her promotion to

materials  manager).   Given  these facts,  the district  judge's

determination that Morse eliminated  the appellant's position  is

unimpugnable.

          The  appellant next  endeavors  to  surmount the  sharp

escarpment of the clearly erroneous rule by casting a hook at the

legal  standard  applied  by   the  trial  court.    This   is  a

theoretically  sound  way  to  climb  the  mountain,  see,  e.g.,
                                                                          

Reliance Steel Prods.  Co. v.  National Fire Ins.  Co., 880  F.2d
                                                                

575, 577 (1st Cir. 1989) (explaining that appellate courts review

questions of law de novo, even  after a bench trial), but in this

case  the hook  does  not hold.   The  appellant's  thesis is  as

follows.   She  says that  Title VII  prohibits an  employer from

dismissing  an employee while she  is on maternity  leave even if

the  employer, in  the process of  rationalizing its  work force,

discovers that  her position is  redundant and eliminates  it for

that reason.

          Refined  to bare  essence, this  thesis suggests  that,

since Morse would not have discovered the redundancy at that time

(if ever) but for the fact that Smith took a maternity leave, the

                                19


leave brought about the  firing.7  And the appellant  attempts to

drive this point  home by citing Bond's  testimony that "because"

Smith was out on maternity leave, Morse was able to discover that

her  position  was expendable     testimony  which the  appellant

optimistically equates with an admission that Morse dismissed her

"because" of her pregnancy.   With respect, we believe  that this

argument, which seeks to apply a  black-letter legal principle in

a  totally   mechanical  fashion,  plays  mischievously   on  the

mendacity of language by substituting sound for sense.

          It  is settled under Title VII that an employer may not

discharge  an  employee based  on  the  categorical fact  of  her

pregnancy.  See Newport News Shipbuilding & Dry Dock Co. v. EEOC,
                                                                          

462 U.S. 669, 684 (1983); Cumpiano, 902 F.2d at 153.  By the same
                                            

token, since a short-term inability to work is  bound up with the

very  nature of  pregnancy and  childbirth, that disability  is a

pregnancy-related  condition within  the meaning  of 42  U.S.C.  

2000e(k),  and   Title  VII  thus  prohibits   an  employer  from

dismissing an  employee in  retaliation for taking  an authorized

maternity leave.  Nevertheless, under the PDA, pregnancy does not

confer total  immunity.8  An  employer may discharge  an employee
                    
                              

     7We  note  in  passing  that the  appellant's  reasoning  is
hopelessly  circular.   Morse demonstrated  a firm  commitment to
downsizing and actively sought ways to streamline its operations.
Consequently,  there is no  basis for surmising  that Morse would
have failed to realize that the materials manager's position  was
superfluous whether or not Smith took a maternity leave.

     8We stress that  this case  is brought pursuant  to, and  is
governed  by,  Title VII.   If  the  recently enacted  Family and
Medical  Leave  Act  of 1993,  P.L.  103-3,  107  Stat. 6  (1993)
(codified at 29 U.S.C.    2601-2654) were applicable, a different

                                20


while  she is  pregnant  if it  does  so for  legitimate  reasons

unrelated  to  her pregnancy.   See,  e.g.,  Troupe v.  May Dept.
                                                                           

Stores Co., 20 F.3d 734, 738 (7th Cir.  1994); Pearlstein, 886 F.
                                                                   

Supp.  at 268-69; see also Lipsett, 864 F.2d at 899 (holding that
                                            

an employer may  dismiss an employee who is in  a protected class

for a  nondiscriminatory reason); Johnson v. Allyn & Bacon, Inc.,
                                                                          

731  F.2d 64,  70 (1st Cir.  1984) (similar).   It follows, then,

that an  employer may  discharge an  employee while  she is  on a

pregnancy-induced  leave so  long as  it does  so for  legitimate

reasons unrelated to her gravidity.

          Harmonizing these  principles  leads to  the  following

conclusions.  Title  VII mandates  that an employer  must put  an

employee's pregnancy (including her departure on maternity leave)

to one side in making its employment decisions    but the statute

does not command  that an employer bury its head  in the sand and

struthiously  refrain from implementing business judgments simply

because they affect a  parturient employee.  See Troupe,  20 F.3d
                                                                 

at 738  (holding that the PDA "requires the employer to ignore an

employee's  pregnancy, but  . .  . not  her absence  from work");

Crnokrak v. Evangelical  Health Systems Corp., 819  F. Supp. 737,
                                                       

743  (N.D. Ill.  1993)  (stating that  "the  PDA does  not  force

employers to  pretend that absent employees  are present whenever

their absences are caused  by pregnancy").  At bottom,  Title VII

requires  a causal nexus between the employer's state of mind and

the  protected trait  (here,  pregnancy).   The mere  coincidence
                    
                              

set of rules would obtain.

                                21


between that trait and  the employment decision may give  rise to

an inference of discriminatory animus, see St. Mary's, 113 S. Ct.
                                                               

at 2747, but it is not enough to establish a per  se violation of

the statute (at least when, as now, the justification advanced by

the employer in support of the employment decision is on its face

legitimate and nondiscriminatory).9

          To sum up, an employee (pregnant or not) runs a risk of

suffering  the  ordinary  slings  and  arrows  that  suffuse  the

workplace  every day  she goes to  work and  every day  she stays

away.  Title  VII is neither a shield against this broad spectrum

of employer actions nor a  statutory guaranty of full employment,

come what  may.   Applying the PDA  as the  appellant asks  would

eliminate   an  employer's  business  necessity  defense     long

recognized  under Title VII    and cripple  industry's ability to

manage workers in  keeping with nondiscriminatory considerations.

That is not the law.  See Bowen v. Valley Camp of Utah, Inc., 639
                                                                      

F. Supp. 1199, 1204 (D. Utah 1986) (explaining that Title VII, as

amended  by  the  PDA,  does   not  "preclude  an  employer  from

articulating legitimate nondiscriminatory reasons for terminating

a woman while she was on maternity leave"); see generally Blackie
                                                                           
                    
                              

     9Say,  for   example,  a  Jewish  employee,   in  charge  of
maintaining  corporate records, stays home  for a week to observe
Passover.  In her absence, her employer rummages through the file
drawers that she maintains in search of  a particular memorandum.
The employer  finds a packet of  heroin.  The  employer would not
have had the occasion  to look through the  file drawers but  for
the  fact  that the  employee was  on  religious leave;  he would
simply  have  asked  the   employee  for  the  memo.     In  such
circumstances,  we think it is  clear that the  employer can fire
the  employee for  introducing drugs  into the  workplace without
violating Title VII's ban on religious discrimination.

                                22


v. Maine,     F.3d     ,     (1st  Cir. 1996) [No. 95-1777,  slip
                  

op. at 13]  (suggesting, in retaliation case,  that "[a] contrary

rule would mummify the status quo").

          Here, the  district  court found  the  requisite  nexus

lacking  between  the  employer's  mindset  and  the   employee's

gravidity.    In the  court's  estimation,  Morse discharged  the

appellant for nondiscriminatory reasons.  The record permits that

view  of the  facts.   That the  discharge took  place while  the

appellant   was  on   maternity   leave  possessed   considerable

evidentiary   significance      but  that   circumstance  neither

transformed the  character of the employer's  action nor rendered

it per se unlawful under Title VII.  The district court therefore

did not apply an erroneous legal standard.

III.  THE BREACH OF CONTRACT CLAIM
          III.  THE BREACH OF CONTRACT CLAIM

          We turn  now to the appellant's  partially tried breach

of contract claim.   At the  close of her  case, the trial  court

took  this claim from the jury  and directed a verdict in Morse's

favor.  The appellant assigns error.

                     A.  Standard of Review.
                               A.  Standard of Review.
                                                     

          The  court of appeals reviews the grant of a motion for

judgment  as a  matter of  law de  novo, applying the  same legal

principles  that inform  the trial  court's ruling.    See Rolon-
                                                                           

Alvarado  v. Municipality of  San Juan, 1  F.3d 74, 77  (1st Cir.
                                                

1993).   Accordingly, we "examine the evidence and the inferences

reasonably extractable therefrom in  the light most hospitable to

the  nonmovant."  Fashion House,  Inc. v. K  Mart Corp., 892 F.2d
                                                                 

                                23


1076,  1088  (1st  Cir. 1989).    If the  proof,  eyed  from this

standpoint,  permits  a reasonable  factfinder  to  reach only  a

conclusion favorable  to the movant,  then the court  must remove

the issue from the jury's consideration.  See id.
                                                           

          While  this  approach  does  not  allow  the  court  to

"consider  the  credibility of  witnesses,  resolve conflicts  in

testimony, or evaluate the weight of  the evidence," Wagenmann v.
                                                                        

Adams, 829  F.2d 196, 200 (1st  Cir. 1987), neither does  it pave
               

the way for every case, no matter how sketchy, to reach the jury.

Thus, "a mere  scintilla of evidence is not enough to forestall a

directed verdict, especially on a claim or  issue as to which the

burden  of proof belongs to the objecting party."  Fashion House,
                                                                          

892 F.2d at 1088.

                         B.  The Merits.
                                   B.  The Merits.
                                                 

          The  parties   who concur  on very little  else   agree

that  New  Hampshire law  governs the  breach of  contract claim.

Under  that law, the at-will status of an employment relationship

is  "one of prima facie  construction."  Panto  v. Moore Business
                                                                           

Forms,  Inc., 547  A.2d 260, 267  (N.H. 1988).   That  is to say,
                      

unless an  employment  relationship  explicitly  provides  for  a

definite duration, it is presumed to  be at-will.  See Butler  v.
                                                                       

Walker  Power, Inc., 629 A.2d 91, 93 (N.H. 1993) (explaining that
                             

the at-will presumption "is a gap filler for determining duration

when  the parties'  contract of  employment is  silent as  to its

expiration").   This  is  critically important  when an  employee

challenges her ouster; an employer can give an at-will employee  

                                24


even one who has been a stellar performer   her walking papers at

any  time,  for any  reason or  no  reason, unless  a  statute, a

collective bargaining agreement, or  some aspect of public policy

proscribes firing the employee on a particular basis.  See Panto,
                                                                          

547 A.2d at 267.

          Of course,  an employer and  an employee may  alter the

at-will status of the  employment relationship.  See  Butler, 629
                                                                      

A.2d  at  93; Panto,  547  A.2d  at  267.   Such  a  modification
                             

sometimes may  be accomplished  if the  employer makes  a binding

offer that the employee can accept by remaining on the  job.  See
                                                                           

Panto, 547 A.2d  at 265.  Standard  contract formation principles
               

govern  the creation and construction of such contracts.  See id.
                                                                           

at 264.  Thus, the "offer must  be so definite as to its material

terms or require such  definite terms in the acceptance  that the

promises  and  performances  to be  rendered  by  each  party are

reasonably certain."   Chasan v.  Village Dist.  of Eastman,  523
                                                                     

A.2d16, 21 (1986) (quoting Restatement of Contracts   32 (1932)).

          Definiteness, like beauty, is  frequently in the eye of

the beholder.   At best, it  involves matters of degree.   In the

last  analysis,  the   standard  is  reasonable   certainty,  not

mathematical precision.   See Sawin  v. Carr, 323  A.2d 924,  926
                                                      

(N.H.  1974).    The  provisions  of  a  contract  need  only  be

"sufficiently  certain to allow  claims of breach  to be resolved

readily,  and  to  enable  a reasonably  certain  computation  of

damages."  Panto, 547  A.2d at 264 (internal  citations omitted);
                          

accord  Phillips v. Verax Corp.,  637 A.2d 906,  910 (N.H. 1994);
                                         

                                25


Sawin, 323 A.2d at 926.
               

          In this  instance, the appellant takes  bits and pieces

of  various conversations  that  she had  with Guimond  and Bond,

pastes them together,  and argues that  a rational jury,  mulling

the  ensuing  patchwork, could  conclude  that  Morse offered  to

reinstate and  promote her  following her  maternity  leave.   By

continuing  her  employment in  the  wake of  such  promises, her

thesis runs, she accepted the offer.   The district court did not

buy  the patchwork, remarking in  its ore tenus  ruling that "the
                                                         

promises   described   by  the   evidence  are   of  insufficient

definiteness  to  be  enforceable,  do  not  modify  the  at-will

employment relationship,  [and are such] that  any calculation of

damages or any identification of breach would be impracticable if

not impossible."  We agree with the lower court that the terms of

the alleged contract are too indefinite to raise a jury question.

          We start by attempting  to decipher the true  nature of

the appellant's claim.   Her lawyers tell us that  the disjointed

statements  made to her (e.g., "don't worry, we will manage while

you are on maternity leave, your job is secure," "you will assume

more  responsibilities on  your return,"  you are  "wanted back")

created  a contract to reinstate her  following the completion of

her maternity leave.  Yet, the appellant concedes that Bond's and

Guimond's statements  did not  alter the durational  component of

the at-will  employment relationship.  A contract to reinstate an

at-will employee to  an at-will  position (from  which she  could

immediately be removed without cause) is no contract at all.  See
                                                                           

                                26


Light v. Centel Cellular Co., 883 S.W.2d 642, 645 n.5 (Tex. 1994)
                                      

(holding that, as long as the at-will character of the employment

relationship  remains  unchanged,  any  "promise made  by  either

employer  or employee  that depends  on an  additional  period of

employment is  illusory because it is  conditioned upon something

that is  exclusively within  the control  of  the promisor");  E.

Allan  Farnsworth,   Contracts      2.13,  2.14   (2d  ed.  1990)
                                        

(explaining that promises to maintain an at-will relationship are

illusory); cf.  Butler, 629 A.2d  at 94 (terming  an analytically
                                

equivalent argument "a thin reed").

          Nor  is  this  the  only shortcoming  in  the  supposed

contract for reinstatement.  The evidence also fails to establish

either the  nature of  the position  Smith was  to assume or  her

proposed  rate  of  pay.    These  gaps   seemingly  foreclose  a

reasonably certain computation of damages.

          Concluding,  as we  do, that  the alleged  contract for

reinstatement is  too indefinite  to be actionable  does not  end

this   phase  of  our  inquiry.     In  stark   contrast  to  the

reinstatement theory  proffered by her  counsel, the  appellant's

own testimony  indicates that she understood  the statements made

to  her   as  promises  of  employment   "indefinitely,"  and  as

constituting an abiding "commitment  to a permanent position with

F.W. Morse  that would never  end."   If, by this,  she means  to

suggest  a  contract  for  lifetime employment,  her  claim  also

founders.

          Although tangentially related New  Hampshire precedents

                                27


exist, the  state supreme court has not  explicitly addressed the

contours  of   contracts  for   lifetime  employment.     We  are

nonetheless confident  that the court would  adopt the prevailing

view  of such matters.   See generally Kathios  v. General Motors
                                                                           

Corp.,  862  F.2d 944,  949 (1st  Cir.  1988) (explaining  that a
               

federal  court, called upon to determine state law in the absence

of direct in-state precedent,  may look, inter alia, to  cases in
                                                             

other jurisdictions);  Moores v.  Greenberg, 834 F.2d  1105, 1107
                                                     

(1st Cir. 1987) (similar).   That view regards such  contracts as

out  of  the ordinary,  and insists  that  an offer  for lifetime

employment must be expressed in clear and unequivocal terms to be

enforceable.   See, e.g., Williamson  v. Sharvest Mgmt.  Co., 415
                                                                      

S.E.2d 271, 274 (W. Va. 1992); Rowe v. Montgomery Ward & Co., 473
                                                                      

N.W.2d 268, 273 (Mich. 1991);  Vance v. Huff, 568 So.2d 745,  749
                                                      

(Ala.  1990); Shebar v. Sanyo Bus. Sys. Corp., 544 A.2d 377, 381-
                                                       

82 (N.J. 1988); Degen v. Investors  Diversified Servs., Inc., 110
                                                                      

N.W.2d  863, 866 (Minn. 1961).   Measured by  this yardstick, the

representations made by  Morse do not stand  sufficiently tall to

confer lifetime employment.  See, e.g., Williamson, 415 S.E.2d at
                                                            

275-76 (finding employer's statement that it would "take care of"

employee  insufficiently definite  to alter  at-will employment);

Skagerberg v. Blandin Paper  Co., 266 N.W. 872, 874  (Minn. 1936)
                                          

(finding   that   the   terms   "permanent   employment,"   "life

employment," and  "as long  as the employee  chooses" established

only an at-will contract); Aberman v.  Malden Mills Indus., Inc.,
                                                                          

414 N.W.2d 769, 771-72 (Minn. Ct. App. 1987) (concluding that the

                                28


statement "we are  offering you security"  only indicated an  at-

will employment relationship).

IV.  THE WRONGFUL DISCHARGE CLAIM
          IV.  THE WRONGFUL DISCHARGE CLAIM

          The  district court terminated the appellant's wrongful

discharge claim  in advance of trial  under the aegis of  Fed. R.

Civ. P. 56.  The appellant presses her objection.

                A.  The Summary Judgment Standard.
                          A.  The Summary Judgment Standard.
                                                           

          The  Civil  Rules  empower  a court  to  grant  summary

judgment   "if    the   pleadings,   depositions,    answers   to

interrogatories,  and  admissions  on  file,  together  with  the

affidavits, if any, show that there is no genuine issue as to any

material fact and that the moving party is entitled to a judgment

as a  matter of law."  Fed.  R. Civ. P. 56(c).   We have explored

the  nooks and crannies  of this rule  in a  compendium of cases,

see, e.g. McCarthy v. Northwest Airlines, Inc., 56 F.3d 313, 314-
                                                        

15  (1st Cir. 1995); National Amusements, Inc. v. Town of Dedham,
                                                                          

43  F.3d 731,  735  (1st Cir.),  cert.  denied, 115  S. Ct.  2247
                                                        

(1995); Pagano v. Frank, 983 F.2d 343, 347 (1st Cir. 1993); Wynne
                                                                           

v.  Tufts Univ.  Sch. of  Med., 976  F.2d 791,  793-94 (1st  Cir.
                                        

1992), cert. denied, 113 S. Ct. 1845 (1993); United States v. One
                                                                           

Parcel of Real Property (Great Harbor Neck, New  Shoreham, R.I.),
                                                                          

960 F.2d 200, 204 (1st Cir. 1992); Griggs-Ryan v. Smith, 904 F.2d
                                                                 

112,  115-16  (1st  Cir.  1990); Medina-Munoz  v.  R.J.  Reynolds
                                                                           

Tobacco Co., 896  F.2d 5,  7-8 (1st Cir.  1990); Garside v.  Osco
                                                                           

Drug,  Inc., 895 F.2d  46, 48-49  (1st Cir.  1990), and  it would
                     

serve no useful purpose to rehearse that jurisprudence here.

                                29


          For the nonce, we think it is sufficient to repeat that

"summary  judgment's role  is to  pierce the  boilerplate of  the

pleadings  and assay  the  parties' proof  in order  to determine

whether trial is  actually required."   Wynne, 976  F.2d at  794.
                                                       

Thus, a Rule 56 motion may end the case unless the party opposing

it can identify a genuine  issue as to a material fact.   In this

regard,  "genuine" means that the  evidence on the  point is such

that  a  reasonable  jury, drawing  favorable  inferences,  could

resolve the fact in the manner urged by the nonmoving party.  See
                                                                           

One Parcel,  960 F.2d  at 204.   By like token,  "material" means
                    

that a contested fact  has the potential to alter the  outcome of

the suit  under  the governing  law  if the  dispute  over it  is

resolved favorably to the nonmovant.  See id.
                                                       

          When the summary judgment  record is compiled the trial

court must scrutinize  it "in  the light most  hospitable to  the

party  opposing  summary   judgment,  indulging  all   reasonable

inferences  in that party's favor," Griggs-Ryan, 904 F.2d at 115,
                                                         

but disregarding "conclusory allegations,  improbable inferences,

and unsupported speculation," Medina-Munoz, 896 F.2d at 8.  If no
                                                    

genuine  issue  of  material  fact is  discernible,  then  brevis
                                                                           

disposition ordinarily follows.

          Because  the summary  judgment standard  requires legal

reasoning  as  opposed  to  differential  factfinding,  appellate

review  of summary judgment orders  is plenary.   See Pagano, 983
                                                                      

F.2d at 347; Garside, 895 F.2d at 48.
                              

                         B.  The Merits.
                                   B.  The Merits.
                                                 

                                30


          New  Hampshire  law controls  Smith's  pendent wrongful

discharge claim.  Under that law, even an at-will employee cannot

be cashiered for a reason that offends public policy because such

an  employment decision  "is  not in  the  best interest  of  the

economic system or the pubic good and constitutes a breach of the

employment contract,"  Monge v. Beebe  Rubber Co., 316  A.2d 549,
                                                           

551 (N.H. 1974).  The appellant urges that her severance offended

the state's  policy against gender-based discrimination.   In the

court below,   Judge Stahl ruled that  when a statutory remedy is

available, New  Hampshire courts would not  entertain a complaint

that  an  at-will  employee  had been  wrongfully  discharged  in

violation of  public policy.   Therefore, the  appellant's common

law   claim  for  wrongful  discharge  failed  because  pregnancy

discrimination is redressable under Title VII.  See Smith I, slip
                                                                     

op. at 9-10.

           In reaching  this conclusion, the district  court drew

heavily upon the teachings of Howard v. Dorr Woolen Co., 414 A.2d
                                                                 

1273 (N.H.  1980).  The appellant  strives to convince  us that a

later New Hampshire  case, Cloutier v.  Great Atlantic &  Pacific
                                                                           

Tea Co.,  436 A.2d 1140  (N.H. 1981), defenestrates  the district
                 

court's reading of Howard.  We are not persuaded.
                                   

          In  Howard,  the plaintiff  alleged  that  he had  been
                              

discharged because  of  age.   The  New Hampshire  Supreme  Court

construed  its seminal decision in Monge, 316 A.2d 549, "to apply
                                                  

only  to a situation where  an employee is  discharged because he

performed an act  that public policy would encourage,  or refused

                                31


to do that which public policy would condemn."  Howard, 414  A.2d
                                                                

at  1274.   A  discharge due  to  age fell  outside  this "narrow

category" inasmuch  as  the  "proper  remedy for  an  action  for

unlawful age  discrimination is  provided for  by statute."   Id.
                                                                           

(listing state and federal statutory remedies).  In Cloutier, the
                                                                      

court synthesized  these cases, holding  that to come  within the

judicially created public policy exception a plaintiff "must show

that the  defendant  was  motivated  by  bad  faith,  malice,  or

retaliation in  terminating [her] employment," 436  A.2d at 1143,

and  must also  "demonstrate  that [s]he  was discharged  because

[s]he performed  an act  that public  policy would  encourage, or

refused to do something that public policy would condemn," id. at
                                                                        

1144.   Cloutier did not answer, however, the question of whether
                          

such a  cause of action lies where, as here, the public policy at

stake is codified  in a  statute that itself  provides a  private

right of action to remedy transgressions.10

          A recently decided  case makes the import of  the state

supreme court's earlier decisions pellucid and speaks directly to

                    
                              

     10In Cloutier,  the defendant  argued that  there must  be a
                            
statutory expression of a  public policy, and that  a generalized
assertion of a public policy (loosely based on a federal statute)
is insufficient  as a  matter of  law to  meet the  public policy
prong of a wrongful  discharge claim.  See Cloutier, 436  A.2d at
                                                             
1144-45.    The  court  disagreed, observing  that  it  had  "not
restrict[ed  the] holding  in  Howard to  situations involving  a
                                               
public policy enunciated in a statute.  Public policy  exceptions
giving  rise to wrongful discharge  actions may also  be based on
non-statutory  policies."  Id. at  1144.  This  language means no
                                        
more than that a  plaintiff can utilize a statutory  provision to
prove the  existence of a public policy;  it does not address the
more sophisticated issue  of whether  a plaintiff may  rely on  a
statute that provides a remedy for its violation.

                                32


the question that  confronts us here.  In  Wenners v. Great State
                                                                           

Beverages, Inc., 663  A.2d 623 (N.H. 1995),  the plaintiff relied
                         

on a section of the Bankruptcy Code to  establish a public policy

against the termination of his employment.  See id. at  625.  The
                                                             

court held that "[w]hile a plaintiff  may not pursue a common law

remedy  where  the  legislature intended  to  replace  it  with a

statutory  cause of  action," a  wrongful discharge  action could

proceed if  the relevant  statutory provision did  not provide  a

private  cause  of  action  for its  violation.    Id.  (internal
                                                                

citations  omitted).  We deem  this holding to  be dispositive of

Smith's contention.11

          Title VII  not only codifies the  public policy against

gender-based  discrimination  (including,  but  not  limited  to,

pregnancy  discrimination) but  also creates  a private  right of

action to remedy  violations of  that policy and  limns a  mature

procedure  for  pursuing  such an  action.    Under Wenners,  the
                                                                     

existence  of  such a  remedy  precludes  the  appellant, in  the

circumstances of this case, from asserting a common law claim for

wrongful  discharge.   It follows that  the district  court acted

impeccably in granting summary judgment on this claim.12
                    
                              

     11To  the   extent  that  either  Kopf   v.  Chloride  Power
                                                                           
Electronics,  Inc., 882 F. Supp.  1183, 1189-90 (D.N.H. 1995), or
                            
Godfrey v.  Perkin-Elmer Corp., 794  F. Supp. 1179,  1187 (D.N.H.
                                        
1992), hold otherwise, Wenners consigns them to the scrap heap.
                                        

     12We acknowledge some  apparent tension between this  ruling
and  our earlier opinion in  Chamberlin v. 101  Realty, Inc., 915
                                                                      
F.2d 777, 786-87 (1st Cir. 1990).  We set Chamberlin  to one side
                                                              
for a  pair of reasons.   First, the parties there  did not raise
the  issue of statutory preclusion, and the panel did not address
that  issue.   Second,  Wenners makes  a dispositive  difference.
                                         

                                33


V.  CONCLUSION
          V.  CONCLUSION

          We  need go  no further.   On  the factbound  Title VII

claim, this case presents a close question.  In the end, however,

we must uphold the district court's judgment because the standard

of review is generous and there  is enough evidence in the record

to  support the trier's findings.   On the two common law claims,

our task is  appreciably easier; both  claims raise questions  of

law, not of fact, and  the district court   albeit in  the person

of two different district judges   correctly resolved them.

Affirmed.
          Affirmed.
                  

                    Concurring opinion follows  
                              Concurring opinion follows  

                    
                              

When  the highest court of a state  disposes of an issue of state
law contrary to the resolution of the issue theretofore suggested
by  a federal  court,  the  latter ruling  must  give  way.   See
                                                                           
Williams  v. Ashland  Eng'g  Co., 45  F.3d  588, 592  (1st  Cir.)
                                          
(permitting   relaxation  of   stare   decisis  principles   when
"controlling  authority,  subsequently announced,"  undermines an
earlier decision), cert. denied, 116 S. Ct. 51 (1995).
                                         

                                34


            BOWNES, Senior Circuit Judge, concurring.  Although
                      BOWNES, Senior Circuit Judge, concurring.
                                                              

  I  am  compelled by  the  deference  due  a district  court's

  findings  of  fact to  concur in  the  final result,  I write

  separately because  I am  troubled  by the  analysis used  in

  deciding  the Title  VII claim.   The  majority applauds  the

  district court's  failure to fully analyze  Smith's claims as

  "prudential."   I, however, am convinced  that Smith produced

  direct evidence of  intentional discrimination  and that  the

  district court  was  obligated to  fully analyze  plaintiff's

  case under the framework of Price  Waterhouse v. Hopkins, 490
                                                                    

  U.S. 228  (1989).   Additionally, I think  that the  majority

  mischaracterizes   the   law   relevant  to   the   causation

  requirement  under Title VII and Morse's position-elimination

  defense.   Its  opinion  could erroneously  be  viewed as  an

  invitation to use that defense as a cover  for discrimination

  against women who take or plan to take maternity leave. 

  I.  The District Court's Analytical Process  
            I.  The District Court's Analytical Process 

            The basic  facts are undisputed.   My first concern

  arises  from the  district  court's  abbreviated analysis  of

  plaintiff's  claim.   The Supreme  Court has  established two

  analytical frameworks that courts  reviewing Title VII claims

  must  follow.    Where  the evidence  produced  at  trial  is

                               -35-
                                          35


  "direct,"  the  Price Waterhouse  framework  applies.13   See
                                                                         

  Fields v. Clark Univ.,  966 F.2d 49, 51-52 (1st.  Cir. 1992),
                                 

  cert.  denied,  113  S.Ct.  976  (1993);  Cumpiano  v.  Banco
                                                                         

  Santander P.R., 902 F.2d 148, 152 (1st Cir. 1990); Jackson v.
                                                                         

  Harvard Univ.,  900 F.2d 464,  467 (1st Cir.),  cert. denied,
                                                                        

  498 U.S. 848 (1990).  

            If the  evidence of  discrimination is  indirect or

  circumstantial,  the  burden-shifting framework  of McDonnell
                                                                         

  Douglas  Corp. v. Green, 411  U.S. 792 (1973),  governs.  See
                                                                         

  McDonnell Douglas Corp. v. Green, 411  U.S. 792 (1973); Texas
                                                                         

  Dep't of Community  Affairs v. Burdine, 450 U.S.  248 (1981);
                                                  

  St. Mary's Honor Ctr. v. Hicks, 113 S.Ct. 2742 (1993).  These
                                          

  basic  rules  have  been  followed,  as  they  must,  by this

  Circuit.  See, e.g.,  Cumpiano, 902 F.2d at 152; Jackson, 900
                                                                    

  F.2d at   467; Chamberlin v.  101 Realty, 915  F.2d 777,  782
                                                    

  n.7. (1st Cir. 1990).  

            Yet,  the   district   court  found   that   gender

  discrimination played  no part  in the decision  to terminate

  the  plaintiff's employment without determining whether there

  was direct evidence under Price Waterhouse or even mentioning
                                                      

                      
                                

  13.  The  plurality  opinion  in Price  Waterhouse  does  not
                                                              
  itself  require  direct  evidence  of  discrimination.    The
  reference to direct  evidence appears  in Justice  O'Connor's
  concurrence in that  case.   See, e.g., 490  U.S. at  270-74.
                                                  
  This  court first adopted  Justice O'Connor's conclusion that
  direct evidence is required in mixed-motives cases in Jackson
                                                                         
  v. Harvard Univ., 900 F.2d 464 (1st Cir. 1990), cert. denied,
                                                                        
  498 U.S. 848 (1990).

                               -36-
                                          36


  McDonnell Douglas.   See Jackson,  900 F.2d  at 467  (holding
                                            

  that  a  finding of  direct  evidence  renders the  McDonnell
                                                                         

  Douglas framework inapplicable).  The majority compounds this
                   

  analytical omission  by praising  the district court  for its

  "directness"   and   for   having   "largely   bypassed   any

  differential    direct    evidence/circumstantial    evidence

  tamisage."   A  district court's  decision to  circumvent the

  analytical  processes  Supreme  Court  and  circuit precedent

  require should be criticized, not praised.  

            This is particularly true where Title VII cases are

  concerned.   The discrimination  that  plaintiffs like  Kathy

  Smith face in the workplace is frequently as subtle  as it is

  invidious.   It is in recognition of this hard truth that the

  Supreme   Court  established  an   analytical  process  which

  district courts, in my opinion, are required to follow.  See,
                                                                        

  e.g.,  McDonnell   Douglas,  411  U.S.  at   801  ("[I]n  the
                                      

  implementation  of [employment]  decisions, it  is abundantly

  clear  that Title  VII  tolerates no  .  . .  discrimination,

  subtle or  otherwise."); see also Price  Waterhouse, 490 U.S.
                                                               

  at 271.   The Court's jurisprudence stands for  the principle

  that  the unlawfulness  of the  employment actions  typically

  challenged  in  Title VII  cases  is best  exposed  through a

  process of inquiry.  See, e.g., Burdine, 450 U.S.  at 255 n.8
                                                   

  ("In a Title VII case, the  allocation of burdens and the . .

  . prima facie case [requirement] [are] intended progressively

                               -37-
                                          37


  to sharpen the inquiry  into the elusive factual  question of

  intentional  discrimination.").    Because  I  stand by  that

  principle, I would ordinarily suggest a remand in a case such

  as this.

            I have come to the conclusion, however, that remand

  would not be  meaningful in this  case.   This does not  mean

  that  I  agree with  the  district court's  finding  that the

  evidence produced by Smith  was not compelling.  I  concur in

  the  result because I am  bound by Supreme  Court and circuit

  precedent.   And in this area, that precedent, unfairly in my

  opinion, imposes too  heavy a burden on plaintiffs  trying to

  prove the  ultimate issue  in discrimination cases:  that the

  employer intentionally discriminated against her on the basis

  of a Title  VII-protected trait.   I believe  that Smith  has

  produced  enough evidence  to meet  her initial  burden under

  Price  Waterhouse or  McDonnell  Douglas, but  agree that  it
                                                    

  would have been plausible for  a factfinder to conclude  that

  Morse   proved   its   position-elimination  defense   by   a

  preponderance  of the  evidence or,  alternatively,  that the

  facts   established  were   insufficient  to   show  pretext.

  Although  it did so without adhering to the process Title VII

  requires, the  district court  decided the ultimate  issue in

  the case and, although I disagree with it, I  cannot say that

  decision was clearly erroneous.  

                               -38-
                                          38


  II.  Direct Evidence Under Price Waterhouse
            II.  Direct Evidence Under Price Waterhouse
                                                       

            In  light  of  my  concurrence  in  the  majority's

  ultimate  holding   on  Smith's  Title   VII  claim,   issues

  pertaining to the  nature of the  evidence Smith produced  at

  trial are, admittedly, moot.  Nevertheless, I want to explain

  my belief that Smith produced direct evidence and  that Price
                                                                         

  Waterhouse controls  this case.   This  is important for  two
                      

  reasons.    First,   the  availability  of  direct   evidence

  determines  whether a  case  should be  analyzed under  Price
                                                                         

  Waterhouse or McDonnell Douglas.  Direct evidence renders the
                                           

  McDonnell  Douglas framework inapposite and imposes a heavier
                              

  burden  of proof on the employer.   Fuller v. Phipps, 67 F.3d
                                                                

  1137, 1141 (4th Cir. 1995).

            Second,  the determination of  whether the evidence

  produced at trial is direct, though cast in procedural terms,

  affects  the substantive  outcome in  Title VII  cases.   See
                                                                         

  Deborah  C. Malamud,  The  Last Minuet:  Disparate  Treatment
                                                                         

  After Hicks,  93 Mich. L.  Rev. 2229, 2229  (1995)("Title VII
                       

  jurisprudence  cloaks substance  in  the  'curious  garb'  of

  procedure.").   This observation is of less import in Smith's

  case because, at the  time the events giving rise  to Smith's

  suit  occurred, the  law provided that  an employer  shown to

  have unlawfully discriminated could avoid Title VII liability

  by  demonstrating by  a  preponderance of  evidence that  the

  adverse employment decision  would have been the same even if

                               -39-
                                          39


  discrimination  had played no role.  Lam v. Univ. of Hawai'i,
                                                                        

  40  F.3d  1551, 1564-65  (9th Cir.  1994).   In  other words,

  direct  evidence of  discrimination,  without more,  was  not

  enough to impose liability on Morse.  Id.  
                                                     

            Under today's applicable law, however,  a plaintiff

  producing  direct  evidence  of  discrimination  under  Price
                                                                         

  Waterhouse  may have a Title VII remedy.   Id. at 1565 n. 24.
                                                          

  The Civil Rights Act of  1991 "modified the Price  Waterhouse
                                                                         

  scheme"  and made "mixed-motives  treatment more favorable to

  plaintiffs."  Fuller, 67  F.3d at 1142; see Civil  Rights Act
                                                       

  of  1991,  Pub.  L. 102-166,     107,  105  Stat. 1071,  1073

  (1991)(codified  at 42 U.S.C.   2000e-2).  Section 107 of the

  Act provides that Title VII is violated whenever an  employer

  takes sex  or pregnancy  into account, regardless  of whether

  other  considerations  independently   explain  the   adverse

  employment decision.   Id.; see 42  U.S.C.   2000e-2(m)("[A]n
                                           

  unlawful   employment  practice   is  established   when  the

  complaining  party demonstrates  that race,  color, religion,

  sex,  or  national origin  was  a motivating  factor  for any

  employment practice, even though other factors also motivated

  the practice.").  Prevailing mixed-motives plaintiffs, at the

  very least,  are now  entitled to declaratory  and injunctive

  relief and attorney's fees.  See Kerr-Selgas v. Am. Airlines,
                                                                        

  69  F.3d 1205, 1210 (1st Cir. 1995)(citing 42 U.S.C.   2000e-

  5(g)(2)(B))(where  an employer in a mixed-motives case proves

                               -40-
                                          40


  that it would  have made  the same  decision, the  prevailing

  plaintiff is entitled to attorney's fees, and declaratory and

  injunctive relief, but not  damages or reinstatement).  Thus,

  what  constitutes direct  evidence  is a  critical issue  for

  Title VII plaintiffs.

            The majority makes  repeated references to "smoking

  gun" evidence.  Using  this term only obscures the  fact that

  this  Circuit  has yet  to  clearly  define what  constitutes

  direct evidence of gender discrimination.  On prior occasions

  we have held  that "[d]irect evidence  is evidence which,  in

  and  of itself, shows  a discriminatory animus."   See, e.g.,
                                                                        

  Jackson,  900 F.2d at 467.   But, this  reasoning is circular
                   

  and does  not further  understanding  of the  term.   Justice

  O'Connor,  in her  concurring  opinion  in Price  Waterhouse,
                                                                        

  defined  the term  in  the negative,  explaining that  direct

  evidence   "exclude[s]  'stray  remarks  in  the  workplace,'

  'statements   by   nondecisionmakers',   or  'statements   by

  decisionmakers unrelated to  the decisional process itself.'"

  Price Waterhouse, 490 U.S. at 277 (O'Connor concurring).  
                            

            I contend that the evidence Smith produced at trial

  was direct and, therefore,  warranted full application of the

  Price Waterhouse  framework.   The evidence shows  that Smith
                            

  was pregnant,  and   requested and received  unpaid maternity

  leave.   After being on  leave several weeks,  Smith notified

  Morse's general  manager, Guimond, that she  wanted to return

                               -41-
                                          41


  to  work  on  May 15,  1989,  a  week  earlier than  planned.

  Guimond  approved  the  earlier start time  and assured Smith

  that her  job was secure.   She also asked Smith  whether she

  intended  to have  additional children; Smith  indicated that

  she did. 

            On  May 2,  1989, the  day after  this conversation

  occurred,  Guimond also  questioned Vendasi,  Smith's sister,

  about Smith's future  childbearing plans.   Smith  confronted

  Guimond  about this behavior and the rumor that she would not

  be returning to  work because  she had decided  to stay  home

  with her child.  Guimond denied any knowledge about the rumor

  and reiterated that Smith's job was secure; she repeated this

  guarantee two days later.   Despite these assurances, Guimond

  terminated Smith on May  11, 1989, one week after  their last

  conversation and four days before Smith was slated  to return

  to work.   Guimond requested permission  to tell people  that

  Smith  failed to return to  work because she  decided to stay

  home to care for her child, but Smith refused to give it.  

            There  is  precedent holding  that  statements like

  those  Guimond made  to Smith  and Vendasi  constitute direct

  evidence.   For  example, in  the Eighth  Circuit, statements

  made by an employer can be direct evidence of discrimination,

  if  made during  a key  decisional process.   In  Beshears v.
                                                                         

  Asbill, 930 F.2d 1348,  1354 (8th Cir. 1991), the  court held
                  

  that  an  employer's oral  statement,  "older employees  have

                               -42-
                                          42


  problems adapting  to changed  and new policies,"  was direct

  evidence of age discrimination.  930 F.2d at 1354.  Two years

  later,  the court  expanded its  Beshears holding  to include
                                                     

  written statements.   Radabaugh v. Zip Feed  Mills, Inc., 997
                                                                    

  F.2d  444,   449-50  (8th  Cir.  1993),   held  that  written

  statements included in corporate planning documents were also

  direct evidence of discrimination.   

            Other  circuits  have   included  statements   made

  outside of the decisional process in the definition of direct

  evidence.    In 1994,  the  Seventh Circuit  held  that post-

  discharge   statements  made  by  a  supervisor  were  direct

  evidence of age bias, even though they were not reflective of

  an  express  intent to  discriminate.   See  Robinson  v. PPG
                                                                         

  Indus., Inc., 23 F.3d 1159, 1165 (7th Cir. 1994).  Similarly,
                        

  the  Eleventh Circuit  has  held that  statements made  by an

  employer   to   third   parties   are   direct  evidence   of

  discriminatory animus.   In  EEOC v. Beverage  Canners, Inc.,
                                                                        

  897  F.2d 1067, 1070 (11th  Cir. 1990), the  court found that

  racially biased statements made by a supervisor to workers in

  his plant were direct evidence of racial animus and a hostile

  environment under Title VII.  

            Guimond's statements to both Smith and Vendasi fall

  well within the definition  of direct evidence established by

  cases such  as Beshears and  Beverage Canners.   Guimond  was
                                                         

  solely  responsible  for Morse's  personnel  decisions.   Her

                               -43-
                                          43


  questions about Smith's childbearing plans were neither stray

  nor  random and  evinced  a concern  about future  pregnancy.

  Additionally,  Guimond began  asking questions  about Smith's

  childbearing  plans   during  what  she  admits   was  a  key

  decisional period.   Finally, the facts show  that the timing

  of  the decision  to  terminate Smith  was  suspicious.   Cf.
                                                                         

  Troupe v. May Dep't Stores, 20 F.3d 734, 736 (7th Cir. 1994);
                                      

  Josey v.  Hollingsworth  Corp., 996  F.2d 632,  639 (3d  Cir.
                                          

  1993).  Within two  weeks of learning about Smith's  plans to

  have more children, Guimond  decided to terminate Smith, even

  though  she had  repeatedly assured  Smith  that her  job was

  secure.

            This evidence of discrimination is direct and clear

  even if it does not reach the status of a  smoking gun.  That

  some inferences must be drawn from what was said and  done to

  reach   this  conclusion  does   not  make  Smith's  evidence

  indirect.   As  the Seventh  Circuit recognized  in its  1991

  decision, Visser  v. Packer Eng'g Assoc., Inc., 924 F.2d 655,
                                                          

  659 (7th Cir. 1991), "all knowledge is inferential."  Because

  judges are not mind-readers and cannot reach into the mind of

  a Title VII defendant,  a certain amount of inference-drawing

  is necessary in any  case, whether the evidence is  direct or

  indirect.  The ultimate issue in disparate treatment cases  -

  - whether the employer intended to discriminate --  cannot be

  established  by  purely  direct  evidence.   See  Charles  A.
                                                            

                               -44-
                                          44


  Sullivan,  Accounting For Price Waterhouse: Proving Disparate
                                                                         

  Treatment Under  Title  VII, 56  Brook.  L. Rev.  1107,  1138
                                       

  (1991)("'[D]irect evidence' of intent cannot exist, at  least

  in the sense of evidence which, if believed, would  establish

  the  ultimate issue  of intent  to discriminate.");  Tyler v.
                                                                         

  Bethlehem  Steel Corp.,  958  F.2d 1176,  1183-84 (2d  Cir.),
                                  

  cert. denied, 113 S.Ct. 82 (1992).
                        

            Rather   than   adhering   to   the   colorful  but

  meaningless requirement of a  smoking gun, I think we  should

  adopt  a  definition of  direct evidence  in Title  VII cases

  which satisfies  the  minimum negative  requirements  Justice

  O'Connor  set out  in Price  Waterhouse:   "exclude[s] 'stray
                                                   

  remarks in the workplace,' 'statements by nondecisionmakers',

  or 'statements by decisionmakers  unrelated to the decisional

  process  itself.'"    Price   Waterhouse,  490  U.S.  at  277
                                                    

  (O'Connor  concurring).  In accord  with the Civil Rights Act

  of 1991, this definition  preserves the mixed-motives case as

  a  viable  option  in  Title  VII  suits.    Cf.  Michael  A.
                                                            

  Zubrensky,  Despite  The  Smoke,  There  Is  No  Gun:  Direct
                                                                         

  Evidence  Requirements In Mixed-Motives  Employment Law After
                                                                         

  Price  Waterhouse  v. Hopkins,  46  Stan.  L. Rev.  959,  969
                                         

  (1994).   It lowers the high hurdle of "smoking gun" evidence

  to  reasonable  limits  so  that  plaintiffs   in  employment

  discrimination cases  can receive all  the protections  Title

  VII was intended to give.   

                               -45-
                                          45


            Even if my  definition of  Price Waterhouse  direct
                                                                 

  evidence  is rejected, however, it is irrefutable that  Smith

  made out a prima facie case of discrimination under McDonnell
                                                                         

  Douglas: that after being directly so asked, she expressed an
                   

  intention  to  become  pregnant   in  the  future;  that  her

  performance at work was more than satisfactory; that  she was

  terminated  after  repeated  assurances   that  her  job  was

  "secure;"  and that her  duties continued to  be performed by

  comparably qualified individuals.   See Cumpiano, 902 F.2d at
                                                            

  153;  Lipsett v. Univ. of  P.R., 864 F.2d  881, 899 (1st Cir.
                                           

  1988).  

            Smith's  reiteration  of   these  facts  on  appeal

  complied  with Supreme  Court and  circuit precedent.   Smith

  proved  that she was fired  even though she  was an excellent

  manager  and that  her  duties continued  to be  performed by

  other  employees.  In my view, this is all McDonnell Douglas'
                                                                        

  prima  facie  case  burden  requires.    See, e.g.,  Byrd  v.
                                                                         

  Ronayne, 61  F.3d 1026, 1031 (1st  Cir. 1995)("[T]he required
                   

  prima  facie showing  is not  especially burdensome.")(citing

  Woodman  v. Haemonetics Corp.,  51 F.3d 1087,  1091 (1st Cir.
                                         

  1995)).    The district  court  should  have shifted  to  the

  McDonnell Douglas framework  before finding Smith's  evidence
                             

  deficient.

  III.  Causation Under Title VII
            III.  Causation Under Title VII

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                                          46


            In   addressing  the   question  of   causation  in

  disparate  treatment  cases,  the  majority  stresses that  a

  "coincidence"  between  pregnancy  leave  and  an  employment

  decision does  not prove intentional discrimination.   It may

  not in  all cases, but  it arguably  did in this  case.   The

  majority's discussion of causation completely disregards this

  possibility.  Its blanket  contention that pregnancy does not

  give  plaintiffs  "total  immunity"  from  adverse employment

  actions  ignores the  extent to  which maternity  leave gives

  employers  an   opportunity  to  discharge   women  who  take

  maternity  leave or who express  an intention to  have one or

  more children.

            The evidence arguably shows that the position Smith

  held  would  have  been  eliminated even  if  Morse  had  not

  considered her  pregnancy or intention to  become pregnant in

  the future.    It  does not  necessarily  follow  from  this,

  however, that  Smith  would have  been  fired had  Morse  not

  considered  her  maternity  leave  or  desire  to  have  more

  children.  In their conversations before Smith took maternity

  leave,   Bond,  Morse's  president,   and  Guimond  discussed

  eliminating the  materials manager  position, but  not Smith.

  The record shows both that Bond initially intended to  retain

  Smith because  of her excellent  skills and that  he admitted

  that Smith would still be employed at Morse had she not taken

  maternity leave.

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                                          47


            Had Smith  refused to  disclose or even  lied about

  her intention to have more children, she would probably still

  have a  job at Morse.   The facts show that  Guimond was very

  concerned  about the  disruption Smith's absence  would cause

  and suggest that  she would  have taken steps  to avoid  such

  disruption in  the future.   The majority  completely ignores

  the probability  that Smith's  expressed desire to  have more

  children was the motivating factor in her  discharge and that

  her temporary absence on maternity leave gave her employer an

  opportunity to find  a reason  to discharge her.   I  contend

  that the evidence Smith  produced was sufficient to establish

  intent and causation.

            The two  examples the majority gives  to illustrate

  the need  for a causal  connection between pregnancy  and the

  adverse employment  action challenged in  disparate treatment

  cases  are both  inapposite and  unfair.   Footnote 9  of the

  court's opinion analogizes Smith's dismissal during maternity

  leave  to an  employee who  is discharged while  on religious

  leave  because heroin is discovered in her  desk.  It is true

  that  in  both  cases  the  employee's  absence  enabled  the

  employer to make  the discovery resulting in  discharge.  But

  here the analogy breaks down.  

            The  possession of heroin  is illegal; its presence

  in the employee's desk was  a fact that could not  be refuted

  (although an explanation  might be made).   The employer  did

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                                          48


  not  have to make any determination  as to the quality of the

  employee's  work or her capabilities.   She had  to be fired.

  In the  case of maternity  leave, however, an  employer would

  have  to  make  a  judgment  as  to  whether  eliminating the

  position made  good business  sense.  Considerations  such as

  the  employee's  prior  performance and  future  childbearing

  plans would  be part  of the  employer's position-elimination

  decision.   At least in part, that decision would be "because

  of" pregnancy, present and future.   It could not be made  in

  the vacuum the majority's hypothetical presupposes.

            Similarly,  the cases the majority cites to support

  its  view obscure  the causation  issue and  unfairly compare

  Smith  to employees  who are placed  on probation  because of

  poor  attitudes or  who are  discharged because  of unexcused

  absences.  Cases such as Troupe  v. May Dep't  Stores Co., 20
                                                                     

  F.3d  734 (7th  Cir.  1994), Crnokrak  v. Evangelical  Health
                                                                         

  Systems Corp., 819 F. Supp. 737 (N.D. Ill. 1993), and Johnson
                                                                         

  v. Allyn & Bacon, Inc., 731 F.2d 64 (1st Cir.), cert. denied,
                                                                        

  469  U.S.  1018  (1984),  involved  discharge,  not  position

  elimination.   In Troupe, the employee's  pre-maternity leave
                                    

  dismissal  was  motivated  by   her  tardiness  and  frequent

  absences.   Crnokrak involved a plaintiff  who was terminated
                                

  after  returning from maternity  leave later  than originally

  expected, whereas  Johnson dealt with an  employee who lacked
                                      

  supervisory skills and  who was fired  after being placed  on

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                                          49


  probation because of a poor work attitude.  The one position-

  elimination case  the  majority cites,  Pearlstein v.  Staten
                                                                         

  Island  Univ. Hosp.,  886 F.  Supp. 260  (E.D.N.Y. 1995),  is
                               

  similarly  inapposite; it  involved adoption,  not pregnancy,

  and  an  employee  who gave  short  notice  of  her need  for

  maternity  leave.  And in that case, the evidence showed that

  the plaintiff  was accidentally  overpaid, that  her employer

  was  experiencing  financial difficulties,  and that  she had

  received no assurances about the security of her job.     

            These cases  do not directly  address the causation

  issues  presented  here.    In contrast  to  Pearlstein,  the
                                                                   

  evidence  in this  case  shows that  Smith received  repeated

  assurances about her job, that the raise she received  before

  taking  maternity leave  was  intentional,  and that  Smith's

  termination was not due  to economic hardship.  Additionally,

  the evidence does  not show that Smith  was fired for  a poor

  attitude,  that she had ever  been on probation,  or that she

  lacked  supervisory skills.    The fact  that Smith  received

  regular promotions and  that few  people at  the Morse  plant

  exceeded  her level  of  education or  experience belies  any

  suggestion  that Smith's  performance and  skills were  below

  par.  

            Finally,     Smith  received   permission  for  her

  maternity leave,  shortened the  duration of that  leave, and

  was fired before  she could  return to work,  not before  she

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                                          50


  left.   Smith's maternity leave, thus, did not pose a problem

  for  Morse  in  the  same  way  that  the  Troupe  employee's
                                                             

  unexpected illness or the Crnokrak plaintiff's extended leave
                                              

  did  for their employers.  The crux of Morse's defense, after

  all,  is  that Smith  was fired  because  her absence  had no

  effect whatsoever on Morse's operations. 

            My point  is simple:   just  as pregnancy does  not

  fully  shield  plaintiffs  from  adverse  employment actions,

  business judgment  or  necessity does  not  totally  immunize

  employers  from  Title  VII's  sanctions.    The   majority's

  discussion of causation understates  this important point.  I

  believe  that, more  often  than not,  a correlation  between

  pregnancy  and  position elimination  during  maternity leave

  will exist.   It is naive to think that an employer would not

  take an employee's pregnancy  or intention to become pregnant

  in  the  future  into  consideration during  the  process  of

  determining   whether  the  employee's   position  should  be

  eliminated.14

  IV.  The Position-Elimination Defense
            IV.  The Position-Elimination Defense

                      
                                

  14.  I am, of course, aware that the Family and Medical Leave
  Act  of 1993, P.L. 103-3,  107 Stat. 6  (1993)(codified at 29
  U.S.C.     2601-2654) addresses  a number  of the  concerns I
  raise.  That Act,  however, does not apply in  pre-1993 cases
  and does  not, moreover, correct  the problems I  perceive in
  the majority  opinion's analysis and  posture towards Smith's
  discrimination claim.  

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                                          51


            The majority upholds  the district court's  finding

  that  Morse made  out a  position-elimination defense  on two

  grounds: that  Morse reduced its  management-level staff  and

  that  Smith's  duties  were  shifted to  employees  who  were

  already on the Morse payroll.  Though I concur in the holding

  that  Morse  arguably proved  the  facts  necessary to  rebut

  Smith's gender discrimination claim, I think the scope of the

  position-elimination defense is considerably more narrow than

  the majority's  interpretation of the facts suggests.  That a

  company is  able to manage in  the absence of one  of its key

  employees  will not  always be  proof of  a nondiscriminatory

  purpose, contrary to what the  court's opinion implies.  Were

  that so,  every woman who took maternity leave would do so at

  risk of losing her job.

            Moreover,  the conclusion  that  Morse reduced  its
                                                                    

  management staff is not supported by the evidence.  Morse did

  not, as the court's exposition of the  facts suggests, reduce

  its  management  team  from seven  to  three.    The majority

  reached this conclusion by  eliminating Bond and Guimond from

  its final count, even though they each donned  one of the two

  hats formerly  worn by  Darryl Robinson, Damar's  founder and

  chief officer.  It also erroneously included Smith in Damar's

  original  management team,  even though  she did  not have  a

  management title  at that time.  And it failed to include the

  two  assistant manager  positions  in its  final count,  even

                               -52-
                                          52


  though  the  individuals   holding  those   slots  did   have

  management  titles.   If  the individuals  excluded from  the

  majority's  calculations  are  added,  the  size  of  Morse's

  management  team was  the same at  the end  as it  was in the

  beginning -- seven.15

            The facts demonstrate that Morse mainly reorganized
                                                                         

  its  management   team.     It  consolidated   positions  and

  eliminated titles,  but  did not  decrease  the size  of  its

  management.   Because  it would  have been plausible  for the

  district court  to interpret this  reorganization as position

  elimination,  I  concur in  the court's  holding.   I  do not

  agree,  however,  that  reorganizations  of  the  sort  Morse

  carried  out will  be enough to  rebut claims  of intentional

  discrimination in every  case.  For me,  whether the district

  court was clearly erroneous in its findings on this issue was

  a very close call.

            The court's  holding that Smith  was not  replaced,

  that  her  duties  were  merely transferred  to  other  Morse

                      
                                

  15.  Post-acquisition    of   Damar,    Morse's   upper-level
  management team  included the  following seven people:   Bond
  (president); Guimond (general manager);  Paradis (machining);
  Shevenell  (sheet  metal);  Bickford   (engineering);  Seeger
  (sales);  and Smith (materials).   I do not  include Lane and
  Hickman  in  this  number  because  they  were  fired  almost
  immediately after Damar's acquisition, partially due to their
  poor performance.  After Smith was fired, Morse's upper-level
  management  team  still  included  seven  individuals:   Bond
  (president); Guimond (general manager); Paradis (operations);
  Shevenell (manufacturing); Seeger (sales); Lapanne (assistant
  manager); and Hoffman (assistant manager).

                               -53-
                                          53


  employees,  is based on our  holding in LeBlanc  v. Great Am.
                                                                         

  Ins. Co., 6 F.3d 836 (1st Cir. 1993), cert. denied, 114 S.Ct.
                                                              

  1398  (1994).    LeBlanc  holds  that  a position-elimination
                                    

  defense is not  defeated by  the claim that  an employee  was

  only "replaced"  because  "another employee [was] assigned to

  perform the  plaintiff's duties in addition  to other duties,

  or  [because]  the  work   [was]  redistributed  among  other

  existing employees already performing  related work."  6 F.3d

  at 846; see  also Barnes  v. GenCorp., Inc.,  896 F.2d  1457,
                                                       

  1465 (6th Cir.), cert. denied, 498 U.S. 878 (1990).  
                                         

            To  the extent  that Morse's defense  comports with

  Leblanc at all,  it does so on the basis  of the first prong,
                   

  not the second.   In analogizing Morse's first reorganization

  to the  reorganization which  occurred after  Smith's firing,

  the  majority  opinion gives  the  impression  that LeBlanc's
                                                                       

  second   prong,  the  "related   work"  requirement,  can  be

  satisfied  by demonstrating  that  a plaintiff's  duties were

  simply transferred to someone working in the same company.  I

  disagree.   I contend that LeBlanc's related-work requirement
                                              

  cannot  be met unless the employer proves that it shifted the

  plaintiff's duties  to employees who were  already performing

  some of the plaintiff's duties or, at least, duties that were

  very similar.  This did not occur in this case.  

            In the first reorganization, Smith was promoted  to

  materials manager and  asked to officially assume some of the

                               -54-
                                          54


  duties  she  had  already  been  performing  because  of  the

  inadequacies of other  managers.  Smith at that  time assumed

  duties which,  in my opinion, constituted  related work under

  LeBlanc.   In  contrast,  the second  reorganization did  not
                   

  shift Smith's  responsibilities to  managers who had  already

  been performing  her  job.    After Smith  was  fired,  those

  managers  took  on  what  were essentially  new  duties;  the

  majority's own contention that Paradis and Shevenell were far

  more experienced than Smith and responsible for the technical

  aspects  of  Morse's  business bears  this  out.   That  they

  performed those duties for some period before Smith was fired

  was  only   because  Smith  was  on  maternity  leave.    The

  nonpregnancy-based    explanation   for    their   additional

  responsibilities did not kick in until after Smith's firing.

            If Title VII's protections  against pregnancy-based

  discrimination are to  have any force, the relevant period of

  inquiry for determining whether the duties formerly performed

  by  a plaintiff  were assumed  by someone  already performing

  related work under LeBlanc  should not be during  a maternity
                                      

  leave.   The relevant period  of inquiry must  be before that

  leave  began.   Using the  time period when  the woman  is on

  maternity leave creates a perverse  incentive to discriminate

  against  pregnant women by firing  them when they  are not at

  their  jobs and  when  it will  almost  always be  true  that

  someone  else is performing their  duties.  In  this case, if

                               -55-
                                          55


  Smith had not become pregnant and  taken maternity leave, she

  would still be a valued Morse employee.

  V.  Conclusion
            V.  Conclusion

            William James once said that an idea's "validity is

  the process  of its valid-ation."   Accordingly, I  concur in

  the  outcome  reached in  this  case,  but  not  the  process

  employed,  because  I disagree  with  the  view of  pregnancy

  discrimination  cases taken by the majority.  I think it only

  plausible that gender was not the  motivation for the adverse

  employment action  taken against  Smith, not "true."   And  I

  agree  only that  position elimination  can be  a defense  in

  Title VII cases, not that it will be a defense in every case.

  For  me, the  process employed  in reaching  a result,  which

  includes the hypotheticals drawn and examples given, matters.

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                                          56