Republic Steel Corp. v. Maddox

delivered thé opinion of the Court.

Respondent Maddox brought suit in an Alabama state court against his employer, the Republic Steel Corporation, for severance pay amounting to $694.08, allegedly owed him under the terms of the collective bargaining *651agreement existing between Republic and Maddox’ unión. Maddox had been laid off in December 1953. The collective bargaining agreement called for severance pay if thé layoff was the result of a decision to close the mine, at which Maddox worked, “permanently.” 1 The agreement also contained a three-step grievance procedure to be followed by binding…