Alabama Marble Co.Download PDFNational Labor Relations Board - Board DecisionsJun 6, 194983 N.L.R.B. 1047 (N.L.R.B. 1949) Copy Citation In the Matter of ALABAMA MARBLE COMPANY and CHARLES T. ADAIR, AN INDIVIDUAL In the Matter of ALABAMA MARBLE COMPANY and W. A. WILSON, AN INDIVIDUAL In the Matter of ALABAMA MARBLE COMPANY and W. A. ADAMS, AN INDIVIDUAL In the Matter of ALABAMA MARBLE COMPANY and C. M. KINSER, AN INDIVIDUAL In the Matter of ALABAMA MARBLE COMPANY and LocAL NUMBER 133, INTERNATIONAL ASSOCIATION OF MARBLE, SLATE AND STONE POL- ISHERS, RUBBERS AND SAWYERS , TILE AND MARBLE SETTERS HELPERS AND TERRAZZO WORKERS HELPERS, A. F. L. Cases Nos . 10-CA-86,10-CA-87, 10-CA-88, 10-CA-93, and 10-CA- 185, respectively .Decided June 6, 1949 DECISION AND ORDER On January 28, 1949, Trial Examiner Sidney L. Feiler issued his Intermediate Report in the above-entitled proceeding, finding that the Respondent had engaged in and was engaging in unfair labor practices and recommending that it cease and desist therefrom and take certain affirmative action, as set forth in the copy of the Intermediate Report attached hereto. He also found that the Respondent did not engage in other alleged unfair labor practices and recommended that allegations as to them be dismissed. Thereafter, the General Counsel and the Respondent filed exceptions to the Intermediate Report and supporting briefs. The request of the Respondent for oral argument is hereby denied, as the record, including the exceptions and briefs, in our opinion adequately present the issues and the positions of the parties. 83 N. L. R. B., No. 151. 1047 1048 DECISIONS OF NATIONAL LABOR RELATIONS BOARD The Board 1 has reviewed the rulings made by the, Trial Examiner at the hearing and finds that no prejudicial error was committed. The rulings are hereby i ffirmed. The Board has considered the Inter- mediate Report, the exceptions and briefs, and the entire record in the case, and hereby adopts the findings, conclusions, and recommenda- tions of the Trial Examiner, except as they are inconsistent with the additions, exceptions, and modifications hereinafter set forth. 1. We agree with the Trial Examiner that the Respondent dis- charged Charles T. Adair, W. A. Wilson, W. A. Adams, and C. M. Kinser because of their participation in the work stoppage of October 6, 1947; and that, although the work stoppage was in breach of a no- strikeclause contained in an existing contract, the Respondent waived or condoned such conduct by permitting them to return to work .2 The Respondent contends that there was no waiver because it had no knowledge, at the time that the Respondent agreed to allow these four union officers to resume work, of the role played by them in the work stoppage. We find no merit in this contention. At that time, the Respondent knew that the employees had engaged in a work stoppage in breach of contract; yet the Respondent agreed to permit all em- ployees to return to work without stipulating that it reserved to itself the privilege of disciplining any participating in the work stoppage. In any event, the Respondent's foremen had personal knowledge of the part played by the four union officers in the work stoppage at the time it occurred, and we attribute such knowledge to the Respondent. Accordingly we find, in agreement with the Trial Examiner, that the Respondent, by discharging Charles T. Adair, W. A. Wilson, W. A. Adams, and C. M. Kinser on October 16, 1947, and thereafter failing to reinstate them, discriminated with respect to their hire or tenure of employment, thereby discouraging membership in the Union, within the meaning of Section 8 (a) (3) of the Act as amended .3 We further find that the Respondent discharged these four employees and failed to reinstate them because of their concerted activities, thereby interfering with, coercing, and restraining the employees in the exer- cise of the rights guaranteed by Section 7 of the Act, in violation of Section 8 (a) (1) thereof. Whether the Respondent's discriminatory conduct be viewed as violative of Section 8 (a) (3) or Section 8 (a) ' Pursuant to the provisions of Section 3 (b) of the National Labor Relations Act, as amended, the National Labor Relations Board has delegated its powers in connection with ,this proceeding to a three -member panel [ Chairman Herzog and Members Houston and -Gray ] . 2In addition to the cases cited in the Intermediate Report, footnote 10, see Matter of .Colwmbia Pictures Corp., 82 N . L. R. B. 568. 6 We find that the conduct of the four union officers in instigating or sponsoring the work stoppage of October 6 constituted union , as well as concerted , activity within the meaning of the Act. ALABAMA MARBLE COMPANY 1049 (1), effectuation of the policies of the Act requires that the four em- ployees be reinstated with back pay. ' 2. For the reasons stated in the Intermediate Report, we agree with the Trial examiner that the Respondent did not unlawfully dis- criminate against John T. Stewart or Rex Gordon Stewart by refus- ing to reinstate them. 3. We agree with the Trial Examiner that the Respondent did not refuse to bargain collectively with the Union, in violation of Section 8 (a) (5) of the Act. As fully discussed in the Intermediate Report, the Respondent met and dealt with the Union, as the exclusive repre- sentative of its employees, whenever requested. The entire course of negotiations was marked by genuine interchanges of proposals and counterproposals and discussions thereof, leading to agreement on several important items. With respect to others still in dispute, there were indications that further agreement might have resulted had negotiations continued. Thus, Attorney Cook, the Union's principal negotiator at the last two conferences, volunteered the opinion in a telephone conversation with the Respondent's attorney, Smith, 4 days after Union Representative Mitchell filed the charges herein, that the two chief obstacles to agreement-the union shop and certain asserted management prerogatives-could have been worked out. Yet the Union made no further request for the resumption of bargaining. The General Counsel, however, contends that the Respondent's bad faith was reflected, among other things, by its demands to reserve to itself the right to change the number of working hours per day and the number of working days per week, and to determine the time when and what rate of wage increase, if any, an apprentice should receive, without consulting the Union. It is true, as the General Counsel urges, that matters affecting wages, hours, and conditions of employ- ment are proper subjects for collective bargaining. It is equally well settled that an employer's adamant insistence on reserving to himself the right to take unilateral action with respect to these matters, so as to preclude agreement thereon, is the negation of the collective bar- gaining envisaged by the Act.4 However, we are unable to conclude, on this record, that the Respondent's demands were beyond the negoti- ation stage and that an impasse had been reached on these proposals. Indeed, as indicated above, the Union's chief negotiator, Cook, himself recognized the possibility of resolving the disputed issues at a further conference, which the Union never sought. In these circumstances, 4 See, for example, Matter of Singer Manufacturing Company, 24 N. L. R. B 444, enfd. as mod. 119 F. (2d) 131 (C. A. 7), certiorari denied 313 U. S. 595; Matter of V-O Milling Company, 43 N. L . R. -B.-348 ; Matter of South Carolina Granite Company, 58 N. L. R. B.' 1448. 1050 DECISIONS OF NATIONAL LABOR RELATIONS BOARD we cannot view the Respondent's demands in question as reflecting on its good faith bargaining. Nor, like the Trial Examiner, do we agree with the General Counsel that the Respondent's bad faith was further demonstrated by filing a representation petition. It is clear- that the Respondent was prompted to file the petition by the impasse that was reached on the question of the inclusion of its watchmen in the plant unit, for which the Union was bargaining. Although the Union was willing to ex- clude guards as a class, it refused to commit itself as to the status of the Respondent's watchmen. To resolve the deadlock thus created by the Union, the Respondent resorted to representation proceedings. This was the only available means for determining the status of watchmen, which was necessitated by the amendments to the Act.' Accordingly, we find, as did the Trial Examiner, that the Respond- ent did not fail in its obligation to bargain collectively with the Union, as required by Section 8 (a) (5) of the Act. ORDER Upon the entire record in the case, and pursuant to Section 10 (c) of the National Labor Relations Act, as amended, the National Labor Relations Board hereby orders that the Respondent, Alabama Marble Company, Gantt's Quarry, Alabama, and its officers, agents, successors, and assigns, shall : 1. Cease and desist from : (a) Discouraging membership in Local Number 133, International Association of Marble, Slate and Stone Polishers, Rubbers and Sawyers, Tile and Marble Setters Helpers and Terrazzo Workers Helpers, affiliated with the American Federation of Labor, or any other labor organization of its employees by laying off, discharging, or refusing to reinstate any of its employees and from refusing to employ any member of that Union or in any other manner discrimi- nating in regard to their hire or tenure of employment or any term or condition of employment; (b) In any manner interfering with, restraining, or coercing its employees in the exercise of their right to self-organization, to form labor organizations, to join or assist the said Union, to bargain collec- tively through representatives of their own choosing, and to engage in concerted activities for the purpose of collective bargaining or other s The situation in the present case is unlike the situation in those cases where the Board has found an unlawful refusal to bargain because the employer was motivated in its insistence on a Board election, not by any bona fide doubt as to the union ' s majority, but rather by the rejection of the collective bargaining principle or by a desire to gain time within which to undermine the union. Cf. Matter of Artoraft Hosiery Company, 78 N. L. R. B. 333, and cases cited therein ; Matter of Atlanta Journal Company d/b/a Radio Station WSB, 82 N. L. It. B. 832. ALABAMA MARBLE COMPANY 1051 mutual aid or protection, and to refrain from any or all of such activi- ties, except to the extent that such right may be affected by an agree- ment requiring membership in a labor organization as a condition of employment as authorized in Section 8 (a) (3) of the amended Act. 2. Take the following affirmative action which the Board finds will effectuate the policies of the Act : (a) Offer to Charles T. Adair, W. A. Wilson, W. A. Adams, and C. M. Kinser, immediate and full reinstatement to their former or substantially equivalent positions without prejudice to their seniority or other rights and privileges; (b) Make whole Charles T. Adair, W. A. Wilson, W. A. Adams, and C. M. Kinser for any loss of pay each may have suffered by reason of the Respondent's discrimination against him by payment to each of them of a sum of money equal to the amount which each normally would have earned as wages from the date of their discharge to the date of the Respondent's offer of reinstatement, less the net earnings of each during said period; (c) Post at its plant at Gantt's Quarry, Alabama, copies of the notice annexed hereto marked "Appendix A." 6 Copies of said notice, to be furnished by the Regional Director for the Tenth Region, shall, after being duly signed by the Respondent's representative, be posted by said Respondent immediately upon receipt thereof and maintained by it for a period of sixty (60) consecutive days thereafter in con- spicuous places, including all places where notices to employees are customarily posted. Reasonable steps shall be taken by the Respond- ent to insure that said notices are not altered, defaced, or covered by any other material; (d) Notify the Regional Director for the Tenth Region in writing, within ten (10) days from the date of this Order, what steps the Respondent has taken to comply herewith. IT IS FURTHER ORDERED that the complaint in Case No. 10-CA-185 be,'and it hereby is, dismissed insofar as it alleges that the Respondent discriminated against John T. Stewart and Rex Gordon Stewart and refused to bargain collectively within the meaning of the Act. APPENDIX A NOTICE TO ALL EMPLOYEES Pursuant to a Decision and Order of the National Labor Relations Board, and in order to effectuate the policies of the National Labor Relations Act, we hereby notify our employees that : B In the event hat this Order is enforced by a decree of a United States Court of Appeals, there shall be inserted before the words, "A Decision and Order ," the words, "A DECREE OF THE UNITED STATES COURT OF APPEALS ENFORCING." 1052 DECISIONS OF NATIONAL LABOR RELATIONS BOARD WE WILL NOT in any manner interfere with, restrain, or coerce our employees in the exercise of their right to self-organization, to form labor organizations, to join or assist LOCAL NUMBER 133, INTERNATIONAL ASSOCIATION OF MARBLE, SLATE AND STONE POL- ISHERS, RUBBERS AND SAWYERS, TILE AND MARBLE SETTERS HELP- ERS AND TERRAZZO WORKERS HELPERS, A. F. L. or any other labor organization, to bargain collectively through representatives of their own choosing, and to engage in concerted activities for the purpose of collective bargaining or other mutual aid or protection, and to refrain from any or all of such activities, except to the extent that such right may be affected by an agreement requiring membership in a labor organization as a condition of employment as authorized in Section 8 (a) (3) of the amended Act. WE wmL OFFER to the employees named below immediate and full reinstatement to their former or substantially equivalent posi- tions without prejudice to any seniority or other rights and privi- leges previously enjoyed, and make them whole for any loss of pay suffered as a result of the discrimination : Charles T. Adair W. A. Wilson W. A. Adams C. M. Kinser All our employees are free to become or remain members of the above-named union or any other labor organization. We will not discriminate in regard to hire or tenure of employment or any term or condition of employment against any employee because of member- ship in or activity on behalf of any such labor organization. ALABAMA MARBLE COMPANY, Employer. Dated------------------ By -------------------------- (Representative ) ( Title) NOTE : Any of the above-named employees presently serving in the armed forces of the United States will be offered full reinstatement upon application in accordance with the Selective Service Act after discharge from the armed forces. This notice must remain posted for 60 days from the date hereof, and must not be altered, defaced, or covered by any other material. INTERMEDIATE REPORT William M. Pate, Esq ., for the General Counsel. John J. Smith, Esq., of Birmingham , Ala., and C. W. Stringer, Esq., of Talla- dega, Ala., for the Respondent. Messrs. Walter L. Mitchell ; of Birmingham , Ala., and B . C. Mitchell, of Childers- burg , Ala., for the Union. ALABAMA MARBLE COMPANY STATEMENT OF THE CASE 1053 Upon a charge filed by Charles T. Adair in Case No. 1O-CA-86, a charge filed by W. A. Wilson in Case No. 1O-CA-87, a charge filed by. W. A. Adams in Case No. 1O-CA-88, and a charge filed by C. M. Kinser, in Case No. 1O-CA-93, herein- after at times referred to as the individual complainants,' the General Counsel of the National Labor Relations Board,' by the Regional Director for the Tenth Regional (Atlanta, Georgia), issued a complaint, dated March 24, 1948, against Alabama Marble Company, Gantt's Quarry, Alabama, herein called the Respond- ent, alleging that the Respondent had engaged in and was engaging in unfair labor practices affecting commerce within the meaning of Section 8 (a) (1) and (3) and Section 2 (6) and (7) of the National Labor Relations Act, as amended, 49 Stat. 449, 61 Stat. 136, herein called the Act. Upon a charge filed by Local 133, International Association of 'Marble, Slate and Stone Polishers, Rubbers and Sawyers, Tile and Marble Setters Helpers and Terrazzo Workers Helpers, A. F. L., hereinafter referred to as the Union, the General Counsel of the Board, by the Regional Director for the Tenth Region, issued a complaint dated May 25, 1948, against the Respondent alleging that it had engaged in and was engaging in unfair labor practices affecting commerce within the meaning of Section 8 (a) (1) (3) and (5) and Section 2 (6) and (7) of the Act. On May 26, 1948, the Regional Director issued an order consolidating the cases of the individual complainants with that based on the charge filed by the Union. Copies of the complaints, the charges, and notice of hearing were duly served upon the Respondent, the individual complainants, and the Union. With respect to unfair labor practices, the complaint in cases 1O-CA-86, 87, 88, 93 alleges in substance that the Respondent, on or about October 16, 1947, dis- charged and thereafter failed and refused to reinstate Charles T. Adair, W. A. Wilson, W. A. Adams, and C. M. Kinser because of their membership in, and activities on behalf of, the Union, and because they engaged in concerted activities within the protection of the Act. The Respondent filed an answer and, on June 4, 1948, an amended answer to this complaint. The Respondent admits certain jurisdictional allegations, the discharges of the individual complaints, but avers that they were discharged for cause and that the Respondent had not thereby committed any unfair labor practice. The complaint in Case 1O-CA-185 alleges in substance that the Respondent committed the following unfair labor practices : (1) discharged and thereafter failed and refused to reinstate the four indi- viduals named above for the reasons there outlined ; (2) on or about September 6, 1947, and at all times thereafter refused and continues to refuse to bargain collectively with the Union as the exclusive collective bargaining representative of its employees in an appropriate unit; (3) on or about November 8, 1947, caused and prolonged a strike of its employees by its unfair labor practices; (4) on or about December 15, 1947, refused and since then has failed and refused to reinstate strikers John T. Stewart and Rex Gordon Stewart because of their union membership and activities. i On March 24, 1948, the Regional Director issued an order directing that the cases of the individual complainants be consolidated. 9 The General Counsel and the attorney representing him at the hearing are referred to as the General Counsel . The National Labor Relations Board is referred to as the Board. 1054 DECISIONS OF NATIONAL LABOR RELATIONS BOARD In its answer to the above complaint, dated June 8, 1948, the Respondent admits certain jurisdictional allegations; realleges its contention as to the dis- charges of Adair, Witson, Adams, and Kinser ; denies that it failed and refused to bargain with the Union, and denies that it discriminated against John T. Stewart and Rex Gordon Stewart. Pursuant to notice, a hearing was held at Talladega, Alabama, on June 8 and 9, 1948, and at Sylacauga, Alabama, from June 10 to 25, 1948, before the under- signed , Sidney L. Feiler, the Trial Examiner designated by the Chief Trial Ex- aminer. The General Counsel and the Respondent were represented by counsel ; the Union, by representatives. The individual complainants appeared and testified. Full opportunity to be heard, to examine and cross-examine witnesses, and to introduce evidence bearing on the issues was afforded all parties. At the outset of the hearing, the undersigned made the following rulings on motions filed by the Respondent; denied motions to dismiss each case because of alleged defects in the complaints, denied a motion to sever each of the five cases for trial, and to extend the date of the hearing. The Respondent also in a motion attacked the redundancy contained in the two complaints as to the allegations of the wrongful discharges of the individual complainants. The General Counsel thereupon moved to amend the complaint in Case No. l0-CA,- 185 by striking the allegations that by the four discharges the Respondent was engaging in unfair labor practices. The motion was granted without objection. The undersigned granted a motion by the Respondent to change the place of the hearing. The Respondent then moved for a bill of particulars which motion was granted in part. At the end of the General Counsel's case-in-chief, the Respondent moved to dismiss the complaints. The motion was denied. At the conclusion of the testimony the General Counsel moved to conform the pleadings to the proof as to formal matters. This motion, which was joined in by the Respondent, was granted as to all pleadings. The Respondent then renewed its motion to dismiss the complaints. Decision was reserved thereon and it is dis- posed of by the findings, conclusions, and recommendations herein. Oral argu- ment was presented by the General Counsel and the Respondent. Memoranda also were received from them. On the entire record and from his observation of the witnesses the under- signed makes the following : FINDINGS OF FACT I. THE BUSINESS OF THE RESPONDENT The Respondent is an Alabama Corporation. It maintains its principal office and place of business at Gantt's Quarry, Alabama, where it is engaged in the quarrying, processing and sale of marble and its byproducts. During the year ending March 1, 1948, the Respondent purchased materials valued in excess of $25,000, of which approximately 90 percent was purchased and shipped to the quarry of the Respondent from points outside the State of Alabama. During the same period, the Respondent sold finished products valued in excess of $500,000, of which approximately 75 percent was shipped to customers outside the State of Alabama. The Respondent does not deny that it is subject to the jurisdiction of the Board and the undersigned finds that at all times here relevant the Respondent was and is engaged in commerce within the meaning of the Act. II. THE ORGANIZATION INVOLVED Local Number 133, International Association of Marble, Slate and Stone Polishers, Rubbers and Sawyers, Tile and Marble Setters Helpers and Terrazzo ALABAMA MARBLE COMPANY 1055 Workers Helpers, affiliated with the American Federation of Labor is a labor organization admitting to membership employees of the Respondent. III. THE UNFAIR LABOR PRACTICES A. The discharges of Charles T. Adair, W. A. Wilson, W. A. Adams, and C. M. Kinser 1. Background At the time of the discharges of the individual complainants, the Respondent and the Union were signatories to a 1-year collective bargaining contract, dated November 7, 1946. The contract contained the following no-strike-no-lock-out clause: It is mutually agreed that, during the term of this agreement, there shalli be no lock-out by the Company, nor shall there be any slow-down or work- stoppage by the Union until after all the provisions of the grievance proce- dure have been complied with. The four dischargees all held positions in the Union. Kinser was its president, Adair was secretary and treasurer, the other two were committeemen. While their duties were not specified in detail, the testimony reveals that they repre- sented the Union in bargaining and grievance meetings with management and held positions of leadership among the union men at the quarry. 2. The events of October 3, 1947 On October 3, 1947, Houston Harris, a hand polisher, brought a radio to his place of work for the purpose of listening to a broadcast of a World Series baseball game that afternoon. During the morning, George Warren, foreman of the Finishing Department told Harris that General Manager H. M. King did not want radios brought in and that Harris should remove the radio. After some discussion among the group of band polishers, it was agreed that all 10 of them would remain away from work that afternoon and listen to the broad- cast. This decision was followed by all the men except Harris who returned to works Committeeman Aubrey Ellison was one of those who stayed away from work. King testified that he saw some of the hand polishers at a store during the afternoon listening to the baseball broadcast and that he then went to the Finishing Department and saw that all the hand polishers, with the exception of Harris, were not at work. He then ascertained from Warren that Warren had not given the men permission to absent themselves and that he had told Harris that King had forbidden the use of radios in the plant. On Monday morning, October' 6,' King sent word to all production foreman to discharge any- one who had wilfully absented himself from work without permission on the afternoon of October 3. 3. The work stoppage of October 6 Adair worked in the Finishing Department as an inspector and checker. Shortly before starting time, Warren showed him a letter which, as Adair s The general course of the occurrences leading to the discharge of the four individual complainants is not in dispute. The testimony of the witnesses ordinarily differed only in details which do not affect the conclusions to be drawn from the facts . Significant conflicts and discrepancies have been dealt with in detail; minor clashes have resolved as indicated in the narration of events. * All dates given are in 1947 , unless otherwise indicated. 1056 DECISIONS OF NATIONAL LABOR RELATIONS BOARD 0 recalled, was to the effect that nine hand polishers were discharged. Warren told Adair to tell the nine men to report to his office. Adair testified that he proceeded to carry out Warren's order. His account of what he did thereafter and what occurred is as follows : After he had notified several of the hand polishers of their discharge, word spread among the em- ployees of the Finishing Department and they did not begin working, the senti- ment being not to start work until "something was done" about the discharges. Adair' then went for committeemen Kirk and Wilson. He was unable to find them and left word for them to come to the Finishing Department. He then returned to the Finishing Department. Shortly thereafter Committeemen Kirk, Wilson, Robinson, and Ellison met at the Finishing Department. Adair did not take an active part in discussions they had among themselves and with the men. However, he talked with William Harrison, Jr., an employee and son of an official of the Company, and suggested` that Harrison bring King to the Finishing De- partment to see if some arrangements could not be worked out. King did not come to the Department nor did the men work the rest of the day. Committeeman Henry Robinson testified that he first learned of difficulties at the plant when Ellison came up to him before starting time and said there would be no work until something was done about the nine discharges. Robinson ob- tained further information from Warren and Adair. He later heard Cecil fiinser call men from the quarry and, like the others, he did no work that day. Cecil Kinser, president of the Union, testified that shortly after he started work he was told by another employee that there was trouble in the Finishing Department. He left his place of work in the quarry and went to the Finish- ing Department. Upon his arrival, he conferred with some of the committeemen, found out the cause of the trouble, and learned that it was the will of the com- mitteemen to call a work stoppage. He then called on the men present to vote on a motion that the quarry be shut down. The motion was carried Kinser then proceeded to the quarry and called the men out of its north end. He also instructed Committeeman Walter A. Adams to go to another section and call the men from, that end. The men from the quarry went to the Finishing Department. Kinser stayed at the plant most of the day. He admitted telling some men later in the day to go home and return the following day. Adams testified that he told some men to come out from their place of work at about 8 a. m. Committeeman W. A. Wilson testified that before starting time Adair spoke to him at his place of work at the sawmill and told him to come to the Finish- ing Department, that there was trouble over the discharge of nine men. At the Finishing Department he met Ellison and went with him to Warren. Then he returned to his place of work and reported to the employees that no one was working in the Finishing Department. Then, according to Wilson, one of the employees said, "Let's strike." Wilson replied, "All right, shut her down." Operations were then stopped. He then returned to the Finishing Department and was present when the vote was taken to close the quarry. The parties stiplated that on Monday, October 6, 1947, there was a complete work stoppage in the production operations of the Respondent brought about by employees represented by the Union. King testified that he learned of the work stoppage at about 7: 45 a. m. when Harrison reported to him that all work was stopped except at one place, that men were massing there, and that there might be trouble. King gave instruc- tions that work be stopped, but he did not personally go to the production area that day. ALABAMA MARBLE COMPANY 1057 Walter L. Mitchell, a representative of the Union, learned of the work stoppage during the morning of October 6. In the late afternoon he arrived at the plant accompanied by a Federal conciliator. A meeting1of company and union offi- cials was held that evening. King and Mitchell acted as spokesmen for the Company and the Union, respectively. Mitchell told King that he was not familiar with the circumstances under which the work stoppage had occurred, but that he was sorry that it had occurred and that he would order the men to return to work. Mitchell proposed that all employees, including the nine discharged hand polishers, be allowed to return to Work and that the discharges should be handled under the grievance procedure in the contract. King agreed that everyone could return to work but the nine hand polishers . As to them he stated that he was ready to go to arbitration. Mitchell asserted that the dis- charges should first be handled as grievances. King agreed and the following Saturday, October 11, was set as the date for a meeting to consider the discharges- under the grievance procedure. King refused to permit the hand polishers to- return to work in the meantime. During the meeting King declared that there had been a violation of the contract by the work stoppage and that it constituted gross insubordination and defiance of the Company and that he resented it. A meeting was held on October 11 at which time the hand polishers testified as to the occurrences on October 3.5 At the next meeting on October 15 King stated that the position of the Company as to the nine dischargees was as fol- lows: (1) one hand polisher could return to his job immediately without any loss of pay or seniority because the Company felt that he was absent because of the illness of his wife ; (2) seven other hand polishers could return to work immediately without loss of seniority but with loss of pay during the period they had been discharged; (3) Aubrey Ellison would remain discharged because the Company felt that he could have prevented the absences of October 3 and was partially responsible for the complete work stoppage which took place on October 6. Mitchell refused to accept this proposal. On behalf of the Union he proposed that all nine men be reinstated without any loss in pay or seniority. The dis- agreement could not be resolved and it was finally agreed to resort to the arbitra- tion procedures set out in the existing contract. 4. The October 16 discharges On the morning of October 16 the individual complainants Adair, Kinser, Wilson, and Adams were discharged. Each received a separation notice which gave the following reason as the cause for the discharge: Caused or provoked a complete work stoppage in production operations of the Company on Monday morning, October 6, 1947, in disregard of welfare of fellow workers and interest of Company and in violation of contract be- tween Company and Union. King gave the following account of the circumstances leading up to the dis- charges of the four men. During the latter part of the week of October 6 he had a talk with W. C. Kinser, foreman at the quarry. Foreman Kinser told King that during the morning of October 6 he heard Cecil Kinser tell Adams to go to 6 Mitchell testified that during the October 11 meeting he told Committeeman Robinson in' King's hearing , that the strike of October 6 had been settled and that King nodded his head. King denied that the incident had taken place. Robinson, in his testimony, did not recall any such incident. The undersigned credits King's denial that he heard Mitchell make the alleged statement. 1058 DECISIONS OF NATIONAL LABOR RELATIONS BOARD one end of the quarry and call the men from their places of work and that Cecil Kinser went to the other end and shortly thereafter the men came from the quarry.e King asked Foreman Kinser if he would make an affidavit to that effect and Kinser replied that he would. King also instructed him to obtain a statement from someone at the other end of the quarry who had seen Adams call men from their work. King also had a talk with Foreman E. I. Dison who told him that on the morning of October 6 Adair and Ellison had come up to him separately and told him to stop work at the rubbing beds which were in his charge. Men began to mass around those beds and Dison then closed them down. He agreed to furnish King with a statement. King, in further discussions with employees, was told that sawing operations were stopped at the direction of Wilson. On Monday, October 13, King instructed William Runge, Jr., an employee at the plant, to prepare affidavits reciting the substance of what had been related to King and that Runge should obtain signatures from the men who had promised to sign them. Five affidavits were received in evidence. In one affidavit Employee C. W. O'Neal stated that he saw Adams motion men to come out of the quarry. Employee A. J. Carden, in another statement, declared that he saw Kinser motion men to come out of the quarry. E. I. Dison, in his statement, affirmed that Adair and Ellison demanded that he shut down certain production operations and that he did so. W. C. Kinser stated in his written version of the facts that he heard Kinser direct Adams to call men out of the south end of the quarry, that Adams left in that direction and shortly thereafter men came out of the south end of the quarry. Employee J. W. Green stated that he shut down certain operations on the morning of October 6, 1947, at the direction of Wilson. Continuing his testi- mony King related that at about 5 p. in. on October 15 he had a meeting with the three other shareholders and directors of the Respondent, at which time the cases of the nine hand polishers and the four persons mentioned in the statements were discussed. Decision was reached as to the nine hand polishers as related hereto- fore. It was further decided that Adams, Wilson, Adair, and Kinser would be discharged for their activities in connection with the work stoppage on October 6. King further testified that during the meeting with union representatives on October 15 there was a recess at which management officials conferred among themselves and on this occasion King recommended that the decision as to the four individual complainants not be announced that evening. This recommenda- tion was followed. King stated that his reason for postponing the announcement of that decision was because everyone at the meeting was, in his words, "pretty well heated up" at that time. King further testified that his first thoughts after the work stoppage on October 6 were to get the plant back in operation and that he had no thought at that time of discharging anyone for participation in the work stoppage. However, he testi- fied, when he received information in the latter part of the week as to the identity of those who had caused the stoppage he decided to make the discharges or to recommend them to the directors. . There is a dispute between witnesses for the Company and witnesses for the General Counsel as to whether the arbitrators named pursuant to the contract provisions were also to consider the case of the four individual complainants. 6 Kinser testified that at a meeting before his discharge he had told King that he had called the men from the quarry. King denied this. Kinser could not fix the meeting at which the alleged statement was made and there is no proof that King, in any event, learned of Kinser's activities before his talk with Foreman Kinser. ALABAMA MARBLE COMPANY 1059 In any event , arbitration proceedings were not actually engaged in ' Adair, Wilson, and Adams filed individual charges dated the day after their discharges, Kinser's charge is dated October 20, 1947. Conclusions as to the October 16 Discharges The discharges of Adair, Kinser, Wilson, and Adams were based on their activity in the work stoppage on October 6. The testimony establishes that the work stop- page was directed by union leaders and supported by union members both by formal vote and by cessation of work. At the conference on the evening of Octo- ber 6 the Union, in effect, assumed responsibility for the stoppage and King placed responsibility for it on the Union. The work stoppage constituted concerted activities within the meaning of the Act and those who engaged in it would be entitled, under ordinary conditions, to protection against disciplinary action by their employer for engaging in that activity. However, where such a work stoppage is in violation of a contractual obligation an employer may impose penalties upon the strikers.' In the present case, the work stoppage resulted from the discharge of the nine hand polishers. The Respondent, as of October 6, had not committed any unfair labor practice. The work stoppage was in violation of the no-strike provisions of the contract since there had not yet been any resort to the grievance procedure as provided in the contract. The Respondent thus had the general right to im- pose disciplinary action on the strikers and their leaders. However, this right is not unlimited. As the Board has said in the Dorsey Trailers case,' "The employee status of strikers, within the meaning of the Act, is not automatically severed because a strike is in violation of their agreement ; but such status may be terminated by affirmative and timely action by their em- ployer." (Italics added.) It has been held that promise to reinstate strikers operates as a condonation of their strike activities and that an em- ployer may not thereafter repudiate such a promise without violating the Act.1° Restoration of a striker to employee status similarly operates as an effective con- donation even though strikers are discharged before they actually resume work, or are never reemployed thereafter." In the present case, the four dischargees were permitted to return to work and were allowed to continue to work for 10 days. Prior to their discharge, no notice was given by the Respondent that it intended taking disciplinary action against them or against any striker because of their participation in the work stoppage. The Respondent maintains that at the time of its conference with the Union on October 6 it did not have full information as to the work stoppage and the 'Arbitrators were appointed by both parties. The arbitrator selected by the Union became ill and could not act. The Respondent then asked the Union to name another arbitrator. The Union did not do so because it was felt that the existing contract would expire before the arbitrators could act. Its failure to attempt to complete arbitration does not constitute a defense to those proceedings . (Matter of Union City Body Company, Inc, 69 N. L R. B 172, 185.) ' N L. R. B. v. Sands Mfg. Co., 306 U. S. 332 ; Matter of Fafnir Bearing Company, 73 N. L. R. B. 1008; Matter of Joseph Dyson & Sons, Inc., 72 N. L. R. B. 445; Matter of Scullan Steel Company, 65 N. L. R B. 1294; Matter of National Electric Products Corp., 80 N. L R. B 995. 0 80 N. L. R. B. 478. 10 Matter of E. A. Laboratories, Inc., 80 N. L. R. B. 625; Matter of Victory Fluospar Mining Company, 72 N. L. R. B. 1356; Matter of The Fafnir Bearing Company, supra. "Matter of The Carey Salt Company, 70 N. L. R. B. 1098; Matter of Dorsey Trailers, Inc., supra. 1060 DECISIONS OF NATIONAL LABOR RELATIONS BOARD roles played by the dischargees, that when King received additional information approximately 4 days later he made further inquiries and that the Respondent acted with reasonable promptness in taking action on the reports it received. King entered the October 6 meeting with,knowledge of the work stoppage. According to his own testimony, he had not visited the production area during the day nor did he then know who the strike leaders were. However, the question of the return to work of the strikers was specifically raised and King expressly stated that all the strikers could return to work and only the 9 hand polishers who had previously been discharged, could not do so. The strikers did return to work the next day. King, according to his own testimony, gave no considera- tion to question of punishing the strikers until' the end of the week when he began receiving the reports previously mentioned. While there had been no formal settlement agreement on October 6, the agreement that all strikers could return to work constituted a disposition of the matter of disciplining the strikers for their strike activity. There is a public policy against upsetting such agree- ments." In any event, this agreement plus the actual return to work of the strikers, including the four complainants, the failure of the Respondent to initiate any action for several days, and its failure to take final action against the four former strikers until 10 days after the work stoppage, all constituted condonation of their strike activities. It did not take "affirmative and timely action" to enforce its rights to discipline the strikers. As indicated by the authorities cited the Respondent was under an obligation to take affirmative action against any strikers, or at least, effectively reserve that right 13 It could not wait, as the Respondent contends, until some time in the future when it might receive infor- mation in some manner of strike activity which it might find particularly objec- tionable and then proceed to take action against the employees concerned. In most cases, this would mean that employees who engaged in a work stoppage in violation of a contractual obligation would be in danger of discipline for such activity for an indefinite period of time. Precedents are in opposition to the creation of such a situation. The discharges of Adair, Kinser, Wilson, and Adams on October 16, 1947, for their activities in connection with the work stoppage of October 6, 1947, there having been prior condonation of such activities, were violative of the Act. B. The alleged refusal to bargain 1. The appropriate unit On October 4, 1946, the Board issued its Decision and Certification of Rep- resentatives in Case No. 10-R-2034 in which it certified as an appropriate unit a unit consisting of all employees of the Respondent including watchmen but excluding office and clerical employees, draftsmen, executives, and all super- visory employees with authority to hire, promote, discharge, discipline, or otherwise effect changes in the status of employees, or effectively recommend such action. It was stipulated that the unit described in the certification and the unit described in the contract during the effective period of the contract covered the same employees. It was further stipulated that there were not and never had been in the past any professional employees within the unit as de- scribed. It was finally stipulated that the Respondent at the time of the hearing 13 N L. R. B. v Aladdin Industries , Inc., 125 F. (2d) 377 (C. A. 7), cert. den. 316 U. S. 706; Stewart Die Casting Corp. v. N. L. R. B., 114 F. (2d) 849, (C. A. 7), cert. den. 312 U. S. 680. 13 Matter of Copperweld Steel Company , 75 N. L. R. B. 188 ; Matter of Socony Vacuum Oil Company, Inc., 78 N. L R B. 1185. ALABAMA MARBLE COMPANY 1061 employed four watchmen Previously they had been included in the bargaining unit. It was stipulated that such watchmen were in fact guards and should be excluded from the unit. The undersigned finds that all employees of the Re- spondent, excluding watchmen, office and clerical employees, draftsmen, execu- tives, and all supervisory employees as defined in the Act, constitute a unit appropriate for the purposes of collective bargaining within the meaning of Section 9 (b) of the Act. 2. Representation by the Union of a majority in the appropriate unit It was stipulated by the parties that during the period from September 6, 1947, through November 7, 1947, the Respondent had within the unit between 130 and 135 employees and that since that time there has been no substantial increase or decrease in that number. A record of dues collected by the Respondent from the salaries of union members pursuant to voluntary check-off authoriza- tions filed by them for the period September 21 to October 4, 1947, shows that there were such deductions from the salaries of 96 employees. A similar record for the period October 19 to November 1, 1947, lists 82 employees. Employees supported the strike which began on November 8, 1947, and operations were halted. When negotiations were begun for a new contract, the Respondent did not question the majority status of the Union. Detailed negotiations of the substantive provisions of the contemplated new contract were entered into and conferences were held both before and after the strike. The first time that the issue of majority status could be said to have been seriously raised by the Respondent was when it filed a representation petition after a meeting on Decem- ber 23, 1947. In view of the above circumstances the undersigned concludes that at all times here relevant the Union represented a majority in the appro- priate unit." The certification was then only 14 months old. It is well settled that such certification clothed the Union with status as exclusive bargaining agent, and that "under general principles and for the purposes of practical administration of the Act, such status is presumed to continue until shown to have ceased or until such time as circumstances arise which indicate that the presumption no longer holds true."" 3. The bargaining negotiations During the period when the discharges were taking place, negotiations were also under way for a renewal of the existing contract between the Respondent and the Union On September 2, 1947, the Respondent sent the Union notice that it did not wish the contract to continue beyond its expiration date. Copies of this letter were sent to the Board and the Federal Mediation and Conciliation Service. On Sepember 7, 1947, the Union sent the Company a notice giving the required 60-day notice of its intention to reopen the contract On October 2, 1947, the Respondent sent notice to the Federal Mediation and Conciliation Service that no agreement had yet been reached as to the provisions of a new contract. On October 6, 1947, the Union sent a similar notice to the Federal Mediation and Conciliation Service. Meetings were held between the parties from September 17 until the end of the year, at which contract proposals were discussed in detail. A meeting in the nature of a preliminary bargaining conference was held on September 17. " See Matter of Dorsey Trailers, Inc ., supra. 15 Matter of Bethlehem Steel Company, 73 N. L R B 277; Matter of Dorsey Trailers, Inc, supra. 844340-50-vol 83-68 1062 DECISIONS OF NATIONAL LABOR RELATIONS BOARD Mitchell suggested to King that there be a mutual exchange of proposed contracts. King would not agree to this and said that he would communicate with Mitchell later on a course of procedure . Mitchell asked King if he doubted the Union's majority. King replied that he did but also stated that he had no proof of this fact but merely surmised it. At no other conference was the question of the Union 's majority raised . An agreement was made to meet at a later date. On September 19, King sent Mitchell a letter stating in part that the Respondent proposed that the present agreement should serve as a starting point of negotia- tions rather than there be an exchange of proposed separate agreements. King further stated that it was the Respondent 's position that an entirely new agree- ment should be drafted in the forthcoming negotiations. Bargaining conferences were held on September 26, October 22, October 30, November 6, November 28, and December 23, except for the last two meetings, Mitchell appeared with a union committee and conducted the negotiations on behalf of the Union . In the last two meetings Harold Cook , attorney for the Union, acted as chief representative . John J. Smith , attorney for the Respondent, and King, together with other company of vials, represented the Respondent. Smith and King were . the chief spokesmen for the Respondent . Smith and Mitchell testified extensively as to the course of the negotiations , relying on memory and extensive notes made at the meetings . What disagreements there were in their testimony were generally of a minor character . The undersigned has based his findings as to the bargaining conferences primarily on their testi- mony and has resolved disagreements between them as indicated in the findings. On September 26, the Union submitted a memorandum of proposed changes to be incorporated in a new contract . The Respondent submitted a draft of two clauses and , at the end of the meeting , its counsel drew up a written memorandum of its position which was submitted to the Union. At the October 22 meeting, the Respondent submitted a complete draft of a new proposed contract. On No- vember 28 the Union submitted a draft contract and on December 23 the Union tendered written drafts of certain sections. The parties followed the pattern of referring to the 1946 contract and under each heading , discussing the proposals submitted . The following is a summary of the high lights of the discussion as to each clause; the headings being those in the 1946 contract . For further reference , a more detailed exposition of the negotiations at each meeting is annexed as "Appendix B." Introductory Clause The Respondent pointed out that there was a discrepancy between the con- stitution of the Unioii and the 1946 contract as to the exact name of the Union and asked for additional information and also proof that the American Federa- tion of Labor, the labor organization originally certified , had ceded jurisdiction to the Union . The Union agreed to furnish this information , but had not yet furnished it as of December 23. Recognition The Unit The 1946 contract set forth the unit as all employees except supervisory em- ployees, clerical employees , and draftsmen . At the final meeting on December 23, the Respondent referred to Board decisions concerning the status of watchmen under the Act. The Union was willing to amend the unit to exclude guards as defined in the Act , but was unwilling to commit itself specifically as to the status of the four watchmen employed by the Company. I ALABAMA MARBLE COMPANY 1063 Rights of management (Art. 1A) The 1946 contract provided that the Company had exclusive right to manage its business and included examples of the scope of this right. The Respondent, proposed a similar, but expounded, clause on October 22. The Union proposed a qualifying clause that the rights of management should not be inconsistent with other provisions of the proposed contract. This qualification was accepted by the Respondent at the meeting and both parties were in agreement on this clause. No Discrimination (Art. 1B) The 1946 contract provided that there should be no discrimination by the Com- pany or the Union against any employee because of his union membership. On October 22, the Respondent proposed that the clause be expanded to prohibit discrimination by the Company, the Union, or any employee against any em- ployee because of his membership or nonmembership in the Union. The Union objected to this proposal on the ground that it might be. liable for the acts of nonunion members. It suggested that the protection to nonunion members be eliminated. The Respondent maintained that there had been discrimination by union members against nonunion members in the past and insisted on its pro- posal No agreement was reached on this section although the Respondent indi- cated on November 28 that it might consider eliminating liability for the acts of individual employees. No-strike-No-lockout (Art. 1C) The 1946 contract contained a no-strike-no-lock-out clause prohibiting such action until the grievance procedure had been exhausted. The Union on Sep- tember 26 proposed that this clause be eliminated taking the position that under the Act it might be held responsible for unauthorized acts of third persons. The Respondent took the position that the Union should bear its full responsibility under the law. No agreement was reached on this clause, but there was addi- tional discussion of it in connection with the clause on Grievance Procedure. Presentation of Grievances On September 26, the Respondent submitted a proposal restating in substance the provisions of the Act permitting individual employees to present grievances and have them adjusted (Sec. 9 (a) ). On November 28, the Union submitted a redraft of this clause which was not agreed to. On December 23, the Union proposed that a provision for advance notice to the Union be inserted. No agreement was reached. Working Conditions (Art. 2) The workweek, standard day's work, and standard week's work (Art. 2A) There was agreement on these provisions including some minor modifications requested by the Respondent. Right to change starting and stopping time, hours per day and days per week The 1946 contract specified that the Company would fix the time to start and stop work, that one day's notice of proposed changes should be given, and that such changes might be made by mutual agreement between the Company and the Union. (Art. 2B). On October 30, the Respondent proposed that it have the right to initiate such changes and that it give notice to the Union after the 1064 DECISIONS OF NATIONAL LABOR RELATIONS BOARD changes were "determined upon." Similarly, the Respondent proposed that the 1946 contract provision permitting it to reduce hours per day and days per week if business required it upon 2 weeks' notice to the Union be changed by deleting the requirement for advance notice (Art. 2C). The Respondent maintained that these matters should be in the prerogative of management and, further, that the 2 weeks' notice requirement might entail financial loss to it. The Union opposed these changes insisting on some advance notice. At the December 23. meeting, the Un rn offered some concessions on the notice provisions, but these were not accepted. Holiday and Overtime Pay (Art. 2D) The Union initially proposed that the 1946 provision for time and one-half pay for hours worked in excess of 40 in every week and for hours worked on 5 named holidays and on Sunday be changed to provide for overtime after 8 hours. in any one day, 6 holidays with straight time pay if not worked and time and one-half in addition for hours worked, plus Sunday pay as provided in the old contract. The Respondent maintained that it could not pay the increased cost of this proposal and wished to reduce the 5 holidays previously listed to 4- On October 30, the Union offered to forego its demand for pay on holidays not worked. On December 23, the Union and the Respondent agreed to accept the holidays specified in the old contract. They were still in disagreement on the Union proposal for overtime after 8 hours in'any day and on a new proposal by the Union that there be 2 holidays with regular pay, though no work was performed on them. Contract Work (Art. 2E) The 1946 contract permitted the Respondent to make piece-work or contract arrangements with employees for certain work on condition that consent be obtained of the individual employee and the union committeeman for the depart- ment and that the employee make no less than the scale set up for that class of work. On September 26 the Union took the position that this arrangement be eliminated entirely ; the Respondent proposed that the new contract permit such agreements, but eliminate the role of the union committeeman. The Re- spondent contended that contract work aided production and that, in the past, committeemen had been unavailable or unwilling to approve these arrangements. On November 28, the Union offered to accept the clause in the 1946 contract, but the Respondent would not agree. Transfers (Art. 3) The Respondent, on September 26, proposed that transfers in general be left in its discretion. It proposed the removal of limitations that transfers should be made only in emergencies and that requests for permanent transfers, when made by the Union, should be granted if possible (Art. 3A, 3c). The Union proposed the elimination of a clause permitting supervisory employees to do the work of production workers in emergencies. There was no agreement on any of these proposals at that time. At the December 23 meeting, the Respondent agreed to retain the clause that transfers requested by the Union would be granted if possible. There was agreement as to the wage rates to be paid those tempo- rarily transferred. The Respondent also agreed to a union compromise proposal that supervisory employees should not do hourly work if it would cause a lay-off Otherwise there was disagreement. ALABAMA MARBLE COMPANY 1065 Apprentices (Art. 3H) The Respondent wished to change the existing apprentice regulations which provided that apprentices should be trained by the journeymen under whom they worked, that in case a journeyman teacher should be unsatisfactory, the Union and the Company would by mutual agreement take further action. The Respondent wished to have full control over the training of apprentices. The Union wished to retain the provisions in the 1946 contract except that it wanted to restrict the ages of apprentices. On December 23, the Union receded from the effort to restrict the ages of apprentices and proposed that the Respondent should have control over the training of apprentices subject to the Union resort- ing to the grievance procedure if it had any complaints as to any instructor. The proposed compromise was rejected. Seniority (Art. 4) The 1946 contract provided that "seniority rights on the basis of length of service with the Company will be the determining factor in making advancement and promotions, and in reducing the forces...." On September 26, the Re- spondent proposed that seniority should not only be based on length of service, but on skill, ability, and work performance as evaluated by it On November 28, the Union proposed that the Respondent and the Union jointly evaluate these factors. This proposal was not accepted. There was agreement on certain factors to be considered in evaluating seniority and counsel for the parties were to consult further on it. As to probationary employees, the Respondent wished to extend the existing provision for a 30-day probationary period to 90 days and to restrict the grievance procedure for those employees to the first step, namely, presentation of the griev- ance to the foreman. The Respondent maintained that a longer probationary period was necessary to properly evaluate the work of new employees. The Union opposed both proposals stating that the suggested chai,ges would mean that for a long period the Union would be unable to offer new employees any protection and thus would not be able to interest them in the Union. This dis- agreement never was settled. The Union wished to retain the 1946 provisions, .the Respondent sought the changes outlined above. Grievance Procedure (Art. 5) Both parties were in general agreement that the terminal point of the existing grievance procedure, arbitration, be eliminated. The Union also wished to make certain that it would have the right to strike if grievances were not settled by the prescribed procedure. To that end, it proposed the elimination of a no- strike-no-lock-out clause. The Respondent refused to agree to this. Actually the dispute here was over the interpretation and reconciliation of the proposed grievance and no-strike clauses. In the December 23 meeting, the Union pro- posed a return to arbitration procedure and the Respondent agreed to study the proposal. Vacations (Art. 6); Wages (Art. 8) The Union, on September 26, proposed that the vacation allowance be liberal- ized and that all employees be given a 25-cent an hour increase The Respond- ent opposed these proposals maintaining that it could not afford the increased expense. On November 28, the Union receded from its demand as to the vaca- 1066 DECISIONS OF NATIONAL LABOR RELATIONS BOARD tion allowance, but there was no agreement on wages except as to the one provi- sion dealing with the Wage Scale and Classification Table, though the Union halved its demand. Leave of Absence (Art. 7) Under the 1946 contract, it was agreed that union representatives be granted leaves for designated union business if the Respondent determined that they could be spared. There also was a provision for automatic leaves of absence in cases of illness. The Respondent proposed that the entire subject be left in its discretion, but the Union did not agree and wished to adhere to the prior provisions. Job Description (Art. 9) The 1946 contract referred to annexed job descriptions and provided that any question as to those provisions could be handled as a grievance. The Respond- ent proposed that the grievance provision be dropped, but the Union wished to retain the existing provision. Health and Sanitation (Art. 10) There was agreement on the reenactment of existing provisions as to equip- ment and physical conditions to be made available to employees. Shift Differential (Art. 11) Both parties agreed to continue the existing clause as to premium payments. Apprenticeship (Art. 12) The 1946 contract provided that the time and rate of increase of pay of apprentices should be fixed by the Union and the Respondent. Here again, the Respondent demanded that apprenticeship matters should be in its sole discretion. No agreement was reached. Reporting for Work (Art. 18) On September 26, the Respondent proposed that the provision allowing em- ployees at least 4 hours pay for reporting for work be modified to eliminate such pay if employees were unable to work for some cause not under its control. On October 30, it abandoned this proposal and agreed to the continuance of the existing provision. Union Security (Art. 14) The 1946 contract contained a maintenance-of-membership clause plus provi- sions for a voluntary check-off of dues. The Union on September 26 proposed a provision for a union shop and irrevocable check -off. The Respondent declared itself opposed to such a clause . The Union maintained that it needed such security in view of the changes proposed by the Respondent . On November 28, the Union proposed to relax its demand as far as present employees were con- cerned. The question was raised as to whether the Union was in compliance with the Act so that a union-shop referendum could be conducted among the employees . The union representatives were uncertain as to this and this matter was left open. ALABAMA MARBLE COMPANY 1067 Applicable Laws (Art. 15B) The 1946 contract provided that the invalidity of part of the agreement should not affect any other portion. On October 22, the Union proposed an addition to the clause that in the event of partial invalidity the parties would confer on substitute language and, if unable to agree, there could be resort to a "strike or lockout." The Respondent would not agree to this proposal. On December 23, the Union suggested that provision for resort to the grievance machinery be substituted. It was agreed that counsel for both parties would confer on this proposal. Bulletin Boards The Respondent agreed to furnish two bulletin boards as requested by the Union. Duration of Agreement (Art. 15) The parties were agreed on a 1-year term. However, the Union wished to con- tinue an existing provision providing for reopening the contract during its term as to wages, but the Respondent was opposed to any reopening. On December 30, 1947, Smith sent a letter to Mitchell, and forwarded a copy of it to Cook, informing Mitchell that the Company had filed a representation pe- tition with the Board. The letter further stated : It is believed that both the Company and the Union should do everything possible to expedite the holding of an election by secret ballot among the employees of Alabama Marble Company by the National Labor Relations Board at the earliest possible date. Also, it is believed that the National Labor Relations Board should be given the opportunity to act fully on the company's said petition ; that any further negotiations should he dependent upon the decision of the Board on the Company's said petition, together with the certified results of the said election to be held among employees of Alabama Marble Company The next day Smith had a conversation with Cook'8 Cook had, by that time received the copy of the letter Smith sent to Mitchell. Cook raised the question as to whether or not a meeting scheduled for January 2, 1948, should be held. Smith replied that the Company was willing to do so. It was agreed that neither party would "hold it against" the other if they did not attend the scheduled meeting. Smith also said in the conversation, "The Company is willing to bar- gain even, though it now doubts that the Union represents its employees." On January 5, 1948, Mitchel] filed a charge with the Board alleging that the Company had refused to bargain with the Union within the meaning of the Act. The charge was signed by Mitchell and also listed Cook as a person who could be reached on the matter. On January 9, Smith telephoned Cook and found out that the latter knew nothing of the charge and had had nothing to do with its preparation. Cook also stated, during the conversation, that he thought that the two chief obstacles to reaching an agreement had to do with the union shop and certain management prerogatives, and he felt that those could have been worked out. He also confirmed the arrangement made in the prior conversa- tion that neither party would hold the other to blame if they did not attend the ]U The findings as to Smith's discussions with Cook are based upon Smith's uncontra- dicted testimony . Cook did not testify at the hearing. ' f 1068 DECISIONS OF NATIONAL LABOR RELATIONS BOARD January 2 , 1948, meeting. No further conference or collective bargaining nego- tiations took place between the parties. Conclusions (a) The bargaining conferences It is undisputed that both the Respondent and the Union were desirous of changing the terms and conditions of the 1946 contract . Both sides submitted written proposals and, in general, discussed them in detail on the merits. No difficulties were encountered in setting the dat::s of meetings. The General Counsel concedes that the Respondent maintained the outward forms of bargaining in good faith, but contends that its effort to reserve to itself sole power over matters vital to the working conditions of the employees constituted a failure and refusal to live up to its obligations under the Act. The following clauses were referred to by the General Counsel in his argument : 1. Giving the Respondent sole authority to set the time for beginning and ceas- ing work , to lay off , and to set the hours per day and days of work per week without giving any advance notice. This differed from the provision in the old contract which required advance notice and also gave the Union a voice in fixing the time of starting and stopping work. 2. Eliminating the requirement that union committeemen have a voice in con- tract work arrangements. 3. Permitting the Respondent to make transfers in its discretion . It should be noted here that while the parties remained in disagreement on this proposal, certain other parts of the clause relating to transfers were agreed to by com- promise between the parties. 4. Eliminating the Union 's participation in the training of apprentices. 5. Insistence on a no-discrimination clause which would make the Union liable for the acts of individual employees . On November 28, the Respondent indicated that it might consider a modification of this clause . There was no further discussion of this point at the last meeting. 6. Injecting factors in the determination of seniority , other than length of service, and giving the Respondent sole power to evaluate them. During the course of negotiations , there was agreement on some additional factors and , at the last discussion of that subject the problem was referred to counsel for both parties for further study. 7. The elimination of the end step of the grievance procedure coupled with a refusal to make a clear indication of the Union 's right to strike if no agreement was reached . As has been indicated before, this issue involved an interpretation of the clauses on strikes and grievances . Also, the Union, on December 23, proposed a return to the arbitration provision and the Respondent agreed to study the proposal. When the Union and the Respondent began negotiations for a new contract they were far apart . A few clauses of a minor character were not in serious controversy. These were, Rights of Management , Wages ( not wage rates), Health and Sanitation , Shift Differential , and Bulletin Boards. The Respondent receded from its position on Reporting for Work , and agreed to accept the old clause. Concessions by both parties led to some progress in the clauses on Holiday and Overtime Pay and Transfers . Other clauses were still in an intermediate ALABAMA MARBLE COMPANY 1 O69 stage of negotiation and had either been referred to counsel for further study or had been resubmitted in modified form by one of the parties. However, there was deep and fundamental disagreement as to several key clauses such as no-discrimination, no-strike, working conditions, transfers, ap- prentices and seniority, as well as over new demands by the Union which, in practically every respect, were refused by the Respondent. Nevertheless, the undersigned is not persuaded that the Respondent, had not fulfilled its statutory duty to bargain collectively with the Union. Neither party was bound to continue the provisions of the 1946 contract. Both parties proposed substantial changes. In general, it might be said that the Respondent showed less willingness to recede from its original proposals than the Union. Yet it did make some concessions and agreement was reached on important points. There were indications that there might be further agreement if negotiations had continued. The Respondent, at all times, was willing and did discuss all pro- posals in detail and gave reasons why it advanced certain proposals ; why it would agree to certain clauses, and what local conditions caused it to oppose other proposals. As to those clauses specifically adverted to by the General Counsel as establishing bad faith, it should be noted that there was some agreement between the parties while as. to others, the parties were continuing efforts to reach a satisfactory settlement. Under these circumstances, the undersigned cannot conclude that the Respondent, in violation of the Act, did not enter into the bargaining discussions "with an open and fair mind, and a sincere pur- pose to find a basis of agreement touching wages and hours and conditions of employment...." Si There were deep differences between the parties and certain issues on which the Respondent adopted an adamant position. The record, however, does not support the conclusion that this intransigeance reflected an intention to avoid coming to any agreement, but rather that on certain points an impasse had been reached which did not reflect on the good faith of either party." (b) The representation petition After the December 23 conference the Respondent filed a representation petition with the Board. Such a petition raises questions concerning majority status and composition of the appropriate unit which are, under ordinary circumstances, properly raised in advance of the commencement of collective bargaining negotia- tions. The filing of a petition by an employer after several months of negotiations with a Union concerning a contract, generally speaking, raises strong doubts as to its good faith. However, there were circumstances here which lead to a different evaluation of the conduct of the Respondent. Section 9 (b) (3) of the Act provides that the Board shall not : ... decide that any unit is appropriate for such purposes if it includes, together with other employees, any individual employed as a guard to enforce against employees and other persons rules to protect property of the employer 11 Globe Cotton Mills v. N. L. R. B., 103 F. (2d) 91 , 94 (C. A. 5). See also N . L. R. B. V. Whittier Mills Co., 111 F. (2d) 474 (C. A. 5) ; N. L. R. B. v. Reed and Prince Manufac- turing Co., 111 F. ( 2d) 874 (C. A. 1), certiorari denied 313 U. S. 593. "See Matter of National Maritime Union of America, 78 N. L. R. B. 971 ; Matter of Burns Brick Company , 80 N. L. R. B. 389. 1070 DECISIONS OF NATIONAL LABOR RELATIONS BOARD or to protect the safety of persons on the employer's premises; but no labor organization shall be certified as the representative of employees in a bar- gaining unit of guards if such organization admits to membership, or is affiliated directly or indirectly with an organization which admits to member- ship, employees other than guards. The question whether watchmen were guards within the meaning of Section 9 (b) (3) was the subject of controversy until the decision of the Board in Matter of C. V. Hill & Company, Inc., 76 N. L. R. B. 158 (February 12, 1948) where the Board stated as to the watchmen concerned in that case: These employees have a duty to protect property of the Employer against theft, whether by employees or by "other persons" who might gain access to the plant. They therefore fall within the definition of the individuals whom the Board is now prohibited from including in units with other employees. In view of the terms of the declaration by Congress in Section 9 (b) (3), we have no choice but to disregard the agreement of the parties as to the watchmen, and exclude them, as well as the guards, from the production and maintenance unit 19 As' of December 23, 1947, when the Respondent first raised the question as to the inclusion of watchmen in the appropriate unit, that question had not been authoritatively settled and was a real, not frivolous, issue. The Respondent pointed out the problem to the Union. While the Union agreed to exclude guards from the unit, it was unwilling to specifically commit itself as to the 4 watch- men in the Respondent's employ. While the unit includes approximately 135 employees and these 4 employees would not substantially affect the composition of the unit, it cannot be said that the Respondent was foreclosed thereby from seeking a determination of the exact composition of the unit, there being an apparent deadlock between the parties on that point. All the circumstances herein indicate that the Respondent raised the issue in good faith and attempted to adjust it before filing its petition. It is true that it did not contest the com- position of the unit until bargaining had been in progress for over 2 months. However, in view of the novelty of the problems arising from the amendments to the Wagner Act and the general unfamilarity with the scope of the Act, as amended, the undersigned does not feel that the delay herein reflects on the motives of the Respondent. The record does not establish any violation by the Respondent of its bargaining obligation under the Act by its filing of the rep- resentation petition. (c) The discharges The General Counsel contends that the discharges of the four union officials furnishes additional evidence that the Respondent was not bargaining in good faith. On the theory that an employer cannot seek to destroy the majority status of a bargaining agent by its own unfair labor practices and then attempt to take advantage of the success of its efforts 2° In the instant case, the undersigned has found that the work stoppage of October 6 was the beginning of the chain of events leading to the discharges. The discharges were made early in the negotiation period and negotiations con- '9 See to the same effect Matter of Continental Industries , Incorporated, 76 N. L. R. B. 561; Matter of Brinks , Inc., 77 N. L. R. B. 1182. m Medo Photo Supply Corporation v. N. L. R. B., 321 U. S. 678 ; Matter of The Toledo Desk & Furniture Co., 75 N. L. R. B . 744; Matter of Karp Metal Products Company, 51 ' N. L. R. B. 621. ALABAMA MARBLE COMPANY 1071 tinned after they were effected. While union leaders were discharged, the cir- cumstances under which they were released do not indicate that the Respondent was motivated by a desire to weaken the Union's position at the bargaining table, to destroy its majority, or to avoid the Respondent's obligation to bargain. The undersigned concludes that the Respondent has not refused to bargain collectively within the meaning of Section 8 (a) (5) of the Act. C. The alleged discriminatory discharges On November 8, 1947, the day after the expiration of the contract between the Union and the Respondent, union members at the plant went on strike. A picket line was established and was maintained until December 12, when the members held a union meeting and voted to call off the strike.21 Mitchell and a union delegation met with King and other officials of the Company. King told Mitchell that the strikers would have to apply to him individually for reemployment, and that he would put them back to work as soon as he could. This plan was fol- lowed and eventually all the strikers were reemployed except John T. Stewart and Rex Gordon Stewart, his son. The failure to reemploy them is alleged in the complaint to have been in violation of the Act. Their cases will be considered separately. John T. Stewart John T. Stewart was a member of the Union. He joined in the strike and served as a picket-line captain. King saw him on the picket line three or four times and had at least two conventions with him. On December 12, when the union members voted to end the strike, Stewart was elected temporary presi- dent. Stewart applied for work on December 15th. At that time King told him that he was unable to put him back to work, saying that his case was different from that of the others. However, Stewart filled out a written application. Approximately a week later, Stewart again asked King for reemployment, and King then told him that other men in the plant thought that he had been disloyal to the Company. Approximately 3 days later, Stewart had another conversation with King in which King told him that some foremen thought that he should not be reemployed after having participated in the strike and going on the picket line. About 4 or 5 weeks after December 12, Stewart asked King for permission to take his tools. King told him that the situation was unchanged and that if he secured other employment, he would give him a good recommendation. Stewart never was recalled to work. King testified that he had seen Stewart on the picket line but denied that he knew that he was a picket captain. He also denied Mitchell's testimony that on December 12th the former told him that Stewart had been elected temporary president. He also denied receiving information as to Stewart's status in the Union at that time from Stewart. However, as to that point, he testified in part "Stewart said that he had put on new committee men, that he thought the men who had been fired would not be the proper persons for that committee and I agreed with him." The undersigned credits the version of Mitchell and Stewart on this point. King did admit that Stewart did tell him that he had been elected tem- porary president of the Union at some meeting, but after he had applied for 21 The complaint alleges that the strike was caused by the Respondent 's unfair labor practices . The timing of the strike, however, indicates that it was motivated by the fact that a renewal contract had not been signed before the expiration of the existing contract and that the strike was an economic strike. 1072 DECISIONS OF NATIONAL LABOR RELATIONS BOARD reinstatement . King further testified that he did not know that Stewart was an officer of the Union when the former applied for reinstatement . King also testified that he never made a decision not to reinstate Stewart, but that he did decide to delay his reinstatement for the reason that be received complaints from four foremen that they resented his membership in the Union and his taking an active part in the strike because they felt he was a foreman and should not have any allegiance to the Union . King testified that it was because of that sentiment that he decided to delay Stewart 's reinstatement until he could see if he could work the matter out. It is clear from King 's own testimony that Stewart was denied reinstatement because of his union membership and because of his engaging in protected union activities . If there were no other question , the undersigned would find that John T. Stewart had been discriminatorily denied reinstatement . The law is well settled that an employer , under circumstances such as existed in this case, cannot, at the request of a group of employees , discriminate against another employee for engaging in protected union activities . However, the Respondent contends that Stewart was a supervisory employee within the meaning of the Act and that he is not entitled or should not be given any relief in the circum- stances existing herein. Stewart began work for the Respondent in June 1943 At the beginning lie performed the duties of a machinist and had no regular helper . In July 1945 he was assigned a helper. There were increases in the staff from time to time and in November 1947, there were four other employees in the Machine Shop where he worked . Stewart originally had been paid by the hour. In November 1946, about the time the Union contract first went into effect , King told Stewart that he intended to cut out all overtime and that he proposed paying Stewart $75 per week so that his take-home pay would equal approximately what his previous earnings had been. Stewart agreed to this arrangement . Stewart testified in detail concerning his duties and responsibilities and the work in the machine shop . His testimony , in substance , was as follows : The primary task of the machine shop employees was to maintain all the machinery and equipment at the quarry and in other places in the plant . In October and November 1947, the staff at the machine shop consisted of Rex Gordon Stewart, who operated a lathe, another employee , Kirk , who did welding, another employee, Leslie, who generally did maintenance work outside of the shop, and a crane operator named Wise who worked part time in the machine shop. Stewart testified that he helped the others , and performed electrical repairs. Orders generally were given to Stewart who would tell the men what job should be done, when it should be done, gave them instructions when needed, checked the work of the other employees occasionally , and directed them to correct faulty work . Stewart also placed supply requests with the Respondent's employee in charge of purchasing. In the case of expensive machinery, Stewart would first discuss the matter with King and obtain his approval before asking the supply officer to purchase it. In the case of some special orders, a salesman would be sent to him to ascertain in further detail the specifications . King, on occasion , discussed with him contemplated purchases of expensive machinery and obtained his opinion as to these purchases . ' Stewart estimated that he spent about 90 percent of his time performing manual labor and about 10 percent in getting , material , placing orders and miscellaneous matters. Later in his testi- mony, he estimated that he spent 80"to J90 percent of his time in manual work. His pay-roll title was "Master Mechanic " and this title was listed in the contract ALABAMA MARBLE COMPANY 1073 as being in the unit. Also Stewart's union dues were checked off by the Respondent. Stewart testified that he was never told that he had the right to hire, discharge, or suspend employees, and that he did not at any time attempt to perform these personnel functions. However, in practice he did discuss certain personnel problems with King from time to time. Stewart gave several illustrations of matters handled in this way. According to Stewart, he had discussed the hiring of new employees with King from the time that new employees were hired for work in the machine shop. In July 1945, when King told Stewart that he would get a helper for him, Stewart recommended a Joe Kirk. Eventually, King did hire Kirk. Stewart recommended the employment of Lloyd Edmondson in 1944. He was eventually hired in January 1946. In March 1947, King asked him which of three applicants he thought best qualified for work in the machine shop, and Stewart replied that he thought one of them, Clyde Leslie, was the best able to qualify. Leslie was hired. Stewart also suggested that one em- ployee, Wise, might be assigned to the machine shop to work part time. This conversation took place approximately in June. 1946. King adopted that sug- gestion. On the other hand, Stewart made one or two other recommendations for hiring which were not followed by King. Stewart testified that King occa- sionally asked him how employees were performing their work. In July 1946, Stewart made an adverse report as to Edmondson and King took disciplinary action. Edmondson eventually was discharged by King several months later. Stewart denied that he recommended the discharge but admitted that he had had conversations cogcerning Edmondson with King. Stewart testified that Tom Guy, foreman of construction operations and the crusher was his supervisor. However, according to Stewart's own testimony, Guy did not direct the work of the men in the machine shop, and his main contact with Stewart was when they would discuss special jobs. As to overtime, Stewart assigned specific men to overtime after King had authorized the extra work. King testified that Stewart was in charge of the machine shop and the men assigned to it, and that in addition he gave suggestions as to the use and appli- cation of new machines designed and made some machines, and took a part in the moving and erection of other special machines, such as derricks. He testified that he considered Stewart foreman of the shop, but admitted that he never told Stewart that he had such a title. His testimony was to the effect that as a matter of practice, Stewart was in charge of the shop. In addition co his duties above mentioned, he ordered small parts without prior consultation with King and placed orders for special equipment and conferred with salesmen as to the orders after receiving prior authorization from King. As to hiring and firing, King stated that he consulted with Stewart on these matters, and while he did not always follow Stewart's recommendations, he gave those recommendations weight. King further testified that during Stewart's employment, as new men were hired, Stewart's manual work decreased. King denied that Stewart spent 90 percent of his time in manual work in his last year and estimated that the total was nearer 20 to 25 percent, although he admitted he could give no accurate figure on this point. The rest of the time, King maintained, Stewart supervised the work of other employees, laid out and designed equipment, ordered supplies, and consulted with him. Clyde Leslie was first employed in the Machine Shop in October 1947. He testified that he had received orders and instructions from Stewart, as well as overtime assignments . He estimated that Stewart spent about 25 percent of his 1074 DECISIONS OF NATIONAL LABOR RELATIONS BOARD time doing manual work. However, he admitted that he was not with Stewart all during the working day and did not know what Stewart did when they were not together. He further testified that after Stewart left no one was placed in charge of the machine shop, that the four or five workers who remained specialized,in certain types of repairs, and that if there was any question, they decided among themselves who should do a particular job. Rex Gordon Stewart testified that he received his orders and instructions from his father and esti- mated that his father spent most of his time doing manual work. His testimony was subject to the same qualification as that of Leslie's. Conclusions The undesigned, from his observation of the witnesses, credits Stewart's testi- mony to the extent of finding that he spent the major portion of his time in manual work or performing other tasks of a nonsupervisory character. How- ever, it is clear from Stewart's own testimony that he regularly spent a sub- stantial portion of his time directing the work of the other employees in the machine shop. He exercised wide discretion in directing the operations of the men and no other supervisory employee attempted to directly control the shop operations. Stewart requisitioned materials, assigned employees to their tasks, and passed judgment on their work. He was the only employee in the shop who received a fixed salary. It is clear, and the undersigned finds, that he was the recognized agent of the Respondent for the transmission of instructions to regular production employees-and was, in fact, immediately responsible for the degree of effective supervision required to assure the proper execution of the duties assigned to such nonsupervisory personnel. The undersigned concludes that John T. Stewart responsibly directed the work of employees 23 and can best be classified as a working foreman and supervisor within the meaning (t the Act.u The final question relating to Stewart's discharge is whether supervisors are afforded any protection under the Act against discharge for union membership or activities. In the case of National Labor Relations Board v. Edward G. Budd Manufacturing Company '21 the court in passing upon the discharge of a fore- man for membership in a union of foremen said : We believe it is clear that Congress intended by the enactment of the Labor Management Relations Act that employers be free in the future to discharge supervisors for joining a union, and to interfere with their union activities. The present case concerns the discharge of 'a supervisor for membership in and participation in the activities of a Union of production workers. However, in the opinion of the undersigned, the logic of the Budd case applies with equal force to the present case and renders unnecessary a detailed discussion of the legal arguments meriting consideration in the absence of binding precedent. 22 As to personnel recommendations made by Stewart , it is true, as the General Counsel points out , that he had made such recommendations almost from the time he was first employed . The undersigned has not given conclusive weight to this factor, but has relied primarily on the nature of Stewart's daily tasks. 23 See Matter of The Ohio Power Company, 80 N. L. R B. 1334. 24 Matter of Lloyd Corp., Ltd., 79 N. L. R. B. 1477; Matter of Steelweld Equipment Company, Inc., 76 N. L. R. B. 831; Matter of Farmville Mfg. Co., 76 N. L. R. B. 237, Matter of Norfolk Southern Bus Corp., 76 N. L. R. B. 488; Matter of Wasatch Oil Refinery Company, 76 N. L. R. B. 417. Stewart's pay-roll title and its inclusion in the union contract cannot be considered controlling in view of Stewart 's duties and responsibilites. See Matter of Chas. Eneu Johnson c6 Co ., 77 N. L. R. B. 41. 26169 F. (2d) 571 ( C. A. 6), on Remand from the Supreme Court of the United States, certiorari denied , 335 U . S. 908. ALABAMA MARBLE COMPANY 1075 It is therefore concluded that the Respondent has not discriminated against John T. Stewart within the meaning of the Act. Rex Gordon Stewart Rex Gordon Stewart was first employed by the Company in November 1943 as an apprentice ,machinist. His first period of employment ended-in-1Vlarch 1944. He was reemployed in June 1946 and continued working until the strike in November 1947. He was a member of the Union, and he participated in the strike, although not in a position of leadership. His union dues were checked off. At the conclusion of the strike, Stewart tiled an application for employment but was never recalled to work. The Respondent contended that Rex Stewart was not recalled because it did not need his services. During his entire period of employment, Stewart worked as an apprentice machinist and received his orders and instructions from his father. Stewart testified that he helped the other employees in the shop as his help was needed. No one was placed in charge of the machine shop after John T. Stewart was not recalled. According to the undenied testimony of employee Clyde Leslie each of the mechanics in the shop performed work in the field in which he was skilled and the employees settled among themselves differences over specific work tasks. No one was employed as an apprentice machinist following the failure to reem- ploy Rex Stewart. While there is a suspicion that the failure to recall Rex Stewart was linked to the similar treatment accorded his father, John T Stewart, the evidence does not affirmatively establish that connection Rather, it appears that after the strike there was no supervisor from whom an apprentice machinist could take orders and instructions, that no apprentice machinist was hired to replace Rex Gordon Stewart, and that there is no proof that the services of Stewart were needed after the strike. Accordingly, the undersigned concludes that the evi- dence does not support the allegation that Rex Gordon Stewart was discrimina- torily denied reinstatement. IV. THE EFFECT OF THE UNFAIR LABOR PRACTICES UPON COMMERCE The activities of the Respondent set forth in Section III, above, occurring in connection with the operations described in Section I, above, have a close, inti- mate, and substantial relation to trade, traffic, and commerce among the several States and such of them as have been found to be unfair labor practices tend to lead to labor disputes burdening and obstructing commerce and the free flow of commerce. V. THE REMEDY Since it has been concluded that the Respondent has engaged in certain unfair labor practices, it will be recommended that it cease and desist therefrom and take certain affirmative action which the undersigned finds will effectuate the policies of the Act. It has been found that the Respondent discriminatorily discharged Charles T. Adair, W. A. Wilson, W. A. Adams and C. M. Kinser. It will therefore be recommended that the Respondent offer them immediate and full reinstate- ment to their former or substantially equivalent positions 26 without prejudice to their seniority and other rights and privileges . It will be further recom- 21 Matter of The Chase National Bank of the City of New York, San Juan , Puerto Rico Branch, 65 N. L. R. B. 827. 1076 DECISIONS OF , NATIONAL LABOR RELATIONS BOARD mended that the Respondent make them whole for any loss of pay they may have suffered by reason of the Respondent ' s discrimination against them, by payment to each of them of a sum of money equal to the amount each would have earned as wages from the date of their discharge to the date of the Re- spondent 's offer of reinstatement , less the net earnings of each during that period24 The use of the method of discharges as a penalty for engaging in activity pro- tected under the Act has been recognized as a discrimination which "goes to the very heart of the Act ." R8 The scope of the illegal conduct discloses a purpose to defeat self-organization among the employees ' Such conduct reflects a de- termination generally to interfere with, restrain , and coerce the employees in the exercise of the right to self-organization , to form, join, or assist labor organ- izations , to bargain collectively through representatives of their own choosing and to engage in concerted activities for the purposes of collective bargaining or other mutual aid or protection and presents a ready and effective means of de- stroying self-organization among the employees . The undersigned is convinced that if the Respondent is not restrained from committing such conduct the danger of their commission in the future is to be anticipated from the conduct in the past and the policies of the Act will be defeated . In order, therefore, to make effective the interdependent guarantees of Section 7 of the Act , to prevent a recurrence of unfair labor practices , and thereby to minimize industrial strife, which burdens and obstructs commerce , and to thus effectuate the policies of the Act, the undersigned will recommend that the Respondent cease and desist from in any manner infringing upon the rights guaranteed in Section 7 of the Act. Upon the basis of the foregoing findings of fact and upon the entire record in the case the undersigned makes the following : CONCLUSIONS OF LAW 1. Local Number 133, International Association of Marble, Slate and Stone Polishers, Rubbers and Sawyers, Tile and Marble Setters Helpers and Terrazzo Workers Helpers, affiliated with the American Federation of Labor, is a labor organization within the meaning of Section 2 (5) of the Act. 2. By discriminating in regard to the hire and tenure of employment of Charles T. Adair, W. A. Wilson, W. A. Adams, and C. H. Kinser, thereby dis- couraging membership in the Union, the Respondent has engaged in and is engaging in unfair labor practices within the meaning of Section 8 (a) (3) of the Act. 3. By such discrimination, the Respondent has interfered with, restrained and coerced its employees in the exercise of the rights guaranteed in Section 7 of the Act, and has thereby engaged in and is engaging in unfair labor practices within the meaning of Section 8 (a) (1) of the Act. 4. The aforesaid unfair labor practices are unfair labor practices affecting commerce within the meaning of Section 2 (6) and (7) of the Act 5. The Respondent has not refused to bargain collectively with the Union within the meaning of Section 8 (a) (5) of the Act. 6. The Respondent has not discriminated in regard to the hire and tenure of employment of John T. Stewart and Rex Gordon Stewart within the meaning of Section 8 (a) (3) of the Act. 2' Matter of Crossett Lumber Co ., 8 N. L. R. B. 440 , 497-8. 28 N. L. R. B. v. Entwistle Mfg. Co., 120 F. ( 2d) 532, 536 (C. A. 4). ALABAMA MARBLE COMPANY 1077 RECOMMENDATIONS Upon the basis of the foregoing findings of fact and conclusions of law, the undersigned recommends that the Respondent, Alabama Marble Company, Gantt's Quarry, Alabama, its officers, agents, successors, and assigns shall : 1. Cease and desist from : (a) Discouraging membership in Local Number 133, International Association c.f Marble, Slate and Stone Polishers, Rubbers and Sawyers, Tile and Marble Setters Helpers and Terrazzo Workers Helpers, affiliated with the American Federation of Labor, or any other labor organization of its employees by laying off, discharging or refusing to reinstate any of its employees, and from refusing to employ any member of that Union or in any other manner discriminating in regard to their hire and tenure of employment or any term or condition of employment ; (b) In any other manner interfering with, restraining, or coercing its employees in the exercise of their right to self-organization, to form labor organizations, to join or assist the said Union, to bargain collectively through representatives of their own choosing, and to engage, in concerted activities for the purpose of collective bargaining or other mutual aid or protection as guaranteed in Section 7 of the Act. 2. Take the following affirmative action which the undersigned finds will effectuate the policies of the Act : (a) Offer to Charles T Adair, W. A Wilson, W. A. Adams, and C. M. Kinser, immediate and full reinstatement to their former or substantially equivalent positions without prejudice to their seniority or other rights and privileges; (b) Make whole Charles T. Adair, W. A. Wilson, W. A. Adams, and C. M. Kinser for any loss of pay each may have suffered by reason of the Respondent's discrimination against him by payment to each of them of a sum of money equal to the amount which each normally would have earned as wages from the date of their discharge to the date of the Respondent's offer of reinstatement, less the net earnings of each during said period ; (c) Post at its plant at Gantt's Quarry, Alabama, copies of the notice annexed hereto marked "Appendix A." Copies of said notice, to be furnished by the Regional Director for the Tenth Region, shall, after being duly signed by the Respondent's representative, be posted by said Respondent immediately upon receipt thereof and maintained by it for a period of sixty (60) consecutive days thereafter in conspicuous places including all places where notice to employees are customarily posted. Reasonable steps shall be taken by the Respondent to insure that said notices are not altered, defaced, or covered by any other material. It is also recommended that the Respondent file with the Regional Director for the Tenth Region, as an agent for the Board, within twenty (20) days from the date of the service of this Intermediate Report, a report in writing setting forth in detail the manner and form in which it has complied with the foregoing recommendations. It is further recommended that the complaint in Case No. 10-CA-185 be dis- missed insofar as it alleges that the Respondent in violation of the Act, discrim- inated against John T. Stewart and Rex Gordon Stewart and that it refused to bargain collectively with the Union within the meaning of the Act. All parties are advised, however, that any party may, within twenty (20) days from the date of service of the order transferring the case to the Board, file with 844340-50--vol. 83-69 1078 DECISIONS OF NATIONAL LABOR RELATIONS BOARD the Board, Rochambeau Building, Washington 25, D. C.-pursuant to Section 203.46 of the aforesaid Rules and Regulations-an original and six copies of a statement in writing setting forth such exceptions to the Intermediate Report, or to any other part of the record or proceeding (including rulings upon all mo- tions or objections) as he relies upon, together with the original and six copies of a brief in support thereof. Matters not included in the Statement of Excep- tions may not thereafter be urged before the Board, or in any further proceed- ing under the Act. Any party also may, within the same period, file an original and six copies of a brief in support of the Intermediate Report. Immediately upon the filing of such a Statement of Exceptions and supporting brief, or brief in support of the Intermediate Report, the party filing the same shall serve a copy thereof upon each of the other parties. Proof of service on the other parties of all papers filed with the Board shall be properly made as required by Section 203.85. Should any party desire permission to argue orally before the Board, request therefor must be made in writing to the Board, within ten (10) days from the date of service of the order transferring the case to the Board. The parties are further advised that, in the event no Statement of Exceptions is filed as provided by the aforesaid Rules 'and Regulations, and in the absence of compliance, all objections and exceptions to this Intermediate Report shall be deemed waived for all purposes-as provided in Section 203.48 of the afore- said Rules and Regulations—and the findings, conclusions, and recommendations contained herein shall be adopted by the Board and become its findings, conclu- sions, and order. Dated at Washington, D. C., this 28th day of January 1949. SIDNEY L. FEILER, Trial E.Taininer. APPENDIX A NOTICE TO ALL EMPLOYEES PURSUANT TO THE RECOMMENDATIONS OF A TRIAL EXAMINER of the National Labor Relations Board, and in order to effectuate the policies of the National Labor Relations Act, we hereby notify our employees that: WE WILL NOT in any manner interfere with, restrain, or coerce our em- ployees in the exercise of their right to self-organization, to form labor organizations, to join or assist LOCAL NUMBER 133, INTERNATIONAL ASSOCIA- TION OF MARBLE, SLATE AND STONE POLISHERS, RUBBERS AND SAWYERS, TILE AND MARBLE SETTERS HELPERS AND TERRAZZO WORKERS HELPERS, A. F. L., or any other labor organization, to bargain collectively through representatives of their own choosing, and to engage in concerted activities for the purpose of collective bargaining or other mutual aid or protection. WE WILL OFFER to the employees named below immediate and full rein- statement to their former or substantially equivalent positions without prejudice to any seniority or other rights and privileges previously enjoyed, and make them whole for any loss of pay suffered as a result of the discrim- ination. Charles T. Adair W. A. Wilson W. A. Adams C. M. Kinser ALABAMA MARBLE COMPANY 1079 All our employees are free to become or remain members of the above-named union or any other labor organization. We will not discriminate in regard to hire or tenure of employment or any term or condition of employment against any employee because of membership in or activity on behalf of any such labor organization. ALABAMA MARBLE COMPANY, Employer. Dated-------------------- By------------------------------- (Representative ) (Title) NOTE : Any of the above-named employees presently serving in the armed forces of the United States will be offered full reinstatement upon application in accordance with the Selective Service Act after discharge from the armed forces. This notice must remain posted for 60 days from the date hereof, and must not be altered , defaced , or covered by any other material. APPENDIX B THE BARGAINING NEGOTIATIONS Meeting of September 26 At the beginning of the meeting of September 26 Mitchell handed to Smith a one-page memorandum which contained an outline of various changes which the Union wished to make in the existing contract. It was then agreed that the old contract be reviewed clause by clause with each party stating its position thereon. Smith stated that definite proposals had not been prepared by the Company but would be submitted later. Smith did have two typewritten pages which he submitted to Mitchell. The first page was the formal introductory clause of the proposed contract. Smith pointed out that the name of the Union as shown in the contract differed from the name of the Union as printed on its constitution and requested Mitchell to furnish the correct name of the Union. Mitchell agreed to do so' The discussion on other clauses was as follows : Recognition.-Smith submitted a typewritten proposal on this clause which substantially reiterated Section 1 of the prior recognition clause with the addi- tion that it noted the certification of the Board and contained a clause providing for the presentation of grievances by individual employees as embodied in the present Act. There was tentative agreement on the first part of the clause but none on the clause dealing with the right of presentation of grievances by indi- viduals. The old contract contained a no-strike no-lock-out clause. Mitchell declared that under the Labor Management Relations Act of 1947 the Union might be held responsible in damages for unauthorized acts by third parties and that it was unwilling to agree to such a clause. Smith stated that the Union should be willing to bear full responsibility under the law. There was no agree- ment as to this clause. Working Conditions.-Mitchell proposed that overtime be paid for all work in excess of 8 hours in any 1 day instead of for work in excess of 40 hours in any week. He also proposed that there be 6 paid, holidays with additional compensa- tion for work performed on those days instead of an existing awarding compen- ' The name of the Union as listed in the contract did not include the categories of marble and mosaic helpers which categories were included in the name as noted on the constitution. 1080 - DECISIONS OF NATIONAL LABOR RELATIONS BOARD sation for work done on 5 named holidays and on Sundays. King, on the other hand, wished to cut down the number of holidays for which extra compensation would be paid from 5 to 4. He also stated that the Company could not stand the cost increase involved in the Union's proposal. No agreement was reached. There was agreement on a proposal by Smith that the contract state that the work-week would include 7 consecutive days of 24 hours each. Article 2C of the contract permitted the Company to reduce working hours and work days below the maximum stipulated on giving 2 weeks' notice to the Union. The Company wished to eliminate the requirement of the 2 weeks' notice ; the Union disagreed. Article 2E of the contract permitted the Company to make contract or piecework arrange- ments with individual employees for certain work on condition that the employees involved and the union committeeman for the particular department consented to the arrangement and that the employee would not make less per hour than the scale set up for the class of work involved. Smith proposed that in the new contract the Union should not have any voice in contract work arrangements. Transfers.-Smith proposed that a provision in the old contract limiting trans- fers to emergencies be eliminated. He also suggested that a clause allowing a union committee to suggest permanent transfers be eliminated. The Company also proposed that transfers from one classification to another or lay-offs should be left to the discretion of the Company provided seniority was not disturbed Mitchell did not agree to this proposal. The Union proposed that a contract pro- vision permitting a foreman or superintendent to do the work of an hourly paid employee during an emergency be eliminated, but the Company insisted that that provision be kept and no agreement was ever reached on it. With regard to the training of apprentices, the old contract provided that the teaching of appren- tices should be in the hands of skilled journeymen except where no journeyman was considered capable of teaching an apprentice, in which case it was agreed that the function should be performed by the supervisory staff. The Union pro- posed that the ages of apprentices be restricted to 16 to 18 years, otherwise it wished to leave the clause intact. King stated that the training of apprentices was a problem of management and that the Company wanted full control over the fixing of requirements for apprentices and their course of instruction. He also protested that a restriction of the age of apprentices would hamper the Company in enlarging its work force. No agreement was reached. Seniority.-Mitchell proposed that the old contract provisions be kept in any new contract with the addition of a clause stating that unless an employee was discharged for cause or quit without proper notice, his seniority should date from his first day of employment. Smith proposed that a new seniority clause be used providing that promotions would be based on skill, ability, work performance as evaluated by the Company, together with length of service. Mitchell refused to accept this proposal stating that, in the old contract seniority was a determining factor in promotion. No agreement was reached on this clause. The Company proposed that -the existing provision for a 30-day probationary period be extended to 90 days, King taking the position that the time was necessary for the evaluation of a new employee's prospective worth to the Company. Mitchell refused to accept this proposal, asserting that the proposal would permit the Company to discharge new employees during that period without furnishing any reason and that the Union would not be able to interest new employees in its program since it would be unable to give them any protection. He expressed the fear that the Union might be eliminated. in the plant by such a proposal. There was no agree- ment. The parties were still in disagreement as to the factors which should be considered in fixing the seniority of an employee , the Company taking the posi- ALABAMAMARBLE COMPANY 1081 tion that other factors besides length of service should be involved , the Union maintaining that that should be the principal factor. There also was disagree- ment as to how often seniority lists should be prepared but the disagreement as to what factors were involved in seniority was the fundamental obstacle to agreement. Grievance procedure.-Both parties were in apparent agreement that the exist- ing clause providing for arbitration as the terminal point of the grievance pro- cedure be dropped and that the last stage of dispute settlement be mediation. The proposal originated with the Union which conditioned its proposal upon the elimination of the no-strike, no-lock-out clause with the retention by the Union of the right to strike in case grievance remained unsettled . The Company insisted on the retention of the no -strike, no -lock-out clause . The Union also proposed a change in the existing procedure to permit members of the grievance committee to visit departments other than their own or union business involving the Company without existing limitations contained in the contract. Vacations.-The Union proposed a liberalization of the vacation allowance. King stated that the Company could not afford this and suggested retention of the existing provisions with some clarifying language. Leave of absence.-The Union proposed that existing language be retained. Smith stated that he would submit a new clause on that at a later meeting. Wages.-The Union proposed that clauses and scales in the existing contract be modified by adding two new job classifications and providing for a 25-cent an hour increase to all employees . King proposed that existing provisions and wage rates be retained in the new contract. Job description.-The existing contract provided that, if any question arose to job description contained in the contract that that question would be handled as a grievance procedure . The Company proposed that the provision for griev- ance procedure on such questions be dropped. Shift differential -The parties agreed to retain the existing clause providing for specified shift differential rates. The Company did raise a question on what it termed the pyramiding of overtime and stated that it wished language which would eliminate question concerning an employee 's receiving overtime pay and holiday pay for working on holidays . This matter was left open for later dis- cussion. Apprenticeship.-The existing clause contained regulations of apprentice rates of pay and a determination of the time and rate of increases . As afore-men- tioned, the Company wished to have full freedom in administering the appren- ticeship program. The Company maintained that apprentice training should be a prerogative of management. The Union maintained its position that the Union should have a voice in that program. Reporting for work.-The Union proposed that the clause in the existing contract providing for at least 4 hours' pay to employees reporting for work without prior notice from the Company not to do so should remain in the new contract . Smith proposed that that sum not be paid if the failure to work was caused by circumstances beyond the control of the Company . There was no agreement on this clause at the meeting. Union security.-The Union proposed that the existing clause providing for maintenance -of-membership with optional cheek-off should be revised to provide for a union shop and irrevocable check-off . King'declared that ' he was opposed to a closed shop and that employees should be free to join a Union or not. I He further suggested that the proposal be held in-abeyance since the Union had not yet qualified under the Taft-Hartley Act and an election to authorize a union- 1082 DECISIONS OF NATIONAL LABOR RELATIONS BOARD shop agreement could not be held. Walter Mitchell declared that in the absence of union security the proposals advanced by the Company would lead to the elimination of the Union from the plant. Duration of agreement -The Union proposed that the contract be for a 1-year term with provision for a reopening on 60 days' notice by either party. Smith stated that the Company desired a 1-year contract with no reopening provision. The meeting concluded at this point with the understanding that an additional meeting would be arranged later . At the conclusion of the meeting Smith gave Mitchell a written statement of the position of the Company on the various proposals discussed. The parties continued bargaining negotiations at a meeting on October 22. The Company 's proposals , which were submitted in detail , served as a basis of discussion . The trend of the discussion was as follows : Agreement -The question of the correct name of the Union still remained unsettled. Recognition.-There was agreement on the wording of part of this section. Right of Management -The Union was willing to accept this clause if language were added to the effect that the rights of management should not be inconsistent with other contract provisions. Smith deferred comment on this counterproposal. No Discrimination .-The Company proposed a clause stating in part that there should be no discrimination by the Company or the Union or any employee against any employee because of membership or nonmembership in the Union. Mitchell objected that the proposed clause would make the Union liable in damages for actions of employees, including nonunion members. He proposed that a change in the clause be made to eliminate such a liability and to eliminate the guarantee of protection against discrimination for non -membership in the Union. King, in the discussion, maintained that some employees had refused to help a nonunion worker in his work and that he wanted to prevent such practices in the future. No agreement was reached on this clause. Applicable Laws -The proposed clause stated in part that if any provision of the contract should conflict with any valid law, regulation, or directive the remainder of the contract should be kept in full force in effect. Mitchell proposed additional language to the effect that, in the contingency of the invalidity of any clause, the parties agreed to confer on modifications of any invalid clause and that, if there were no agreement , the Union would be free to strike and the Company could resort to lock-out tactics without incurring liability . No agreement was reached on this proposal. Discussion of other clauses in the proposed contract took place on October 30. The first clause discussed was "Working Conditions " which was divided into six subsections . The discussion was as follows : 1. Specified the workweek Smith explained that he wanted the clause for reasons connected with the Fair Labor Standards Act. After some discussion , the Union agreed to it and the next clause specifying an 8-hour day and 40 -hour week as standard. 3. Giving the Company the right to set the time for beginning and ceasing work and to change it from time to time, the Union to receive notice when changes were determined by the Company. Mitchell opposed this clause as being a change from the old contract which provided that changes should be made by mutual agreement . Smith maintained ALABAMA MARBLE COMPANY 1083 that this matter should be a prerogative of management. No agreement was reached. 4. Gives the Company the right to reduce the number of employees, hours or days per week, giving the union notice after its decisions are made. This clause differed from the previous contract in that provision for 2 weeks' advance notice was eliminated. Mitchell argued that the 2 weeks' advance notice was necessary to enable em- ployees to make other arrangements, that the Company knew of the need for reductions more than 2 weeks in advance, that even if it might not in some cases, it should run that risk in fairness to the employees. King maintained that the outlook for the future was such that there was a possibility that the advance notice provision might entail a financial loss through the obligation to pay unneeded personnel. 5. Provided for time and a half pay for hours in excess of 40 hours in any workweek, and work on 4 named holidays and on Sundays with a provision against pyramiding of overtime compensation (overtime compensation and premium pay for the same day's work). In addition to the proviso which was new this proposal cut down the prior list of holidays from 5 to 4. Mitchell advanced the Union's proposal previously made for overtime pay for hours worked in excess of 8 in any 24-hour period, 6 holidays with pay, with time and a half in addition for work on those days. He offered to forego pay for holidays not worked, but would not agree to the pyramiding formula. 6. Provided that the Company could enter into contract or piece-rate work arrangements with individual employees at the option of the employees and provided that an employee would not earn less than the hourly rate for the class of work involved. The clause in the old contract permitted contract work, but only with the consent of the union committeeman in the depart- ment involved. Mitchell stated that this proposal eliminated the Union from having any voice in contract work arrangements whereas the Union was to eliminate contract work altogether. King stated that contract work aided production. In response to an inquiry from Mitchell, he stated that in the past committeemen had some- times been unavailable or unwilling to approve contract work arrangements and that he felt that management should have the sole voice in this field. No agreement was reached on this clause in the meeting. There also was a brief discussion of the Union's proposal for weekly pay in- stead of semi-monthly payments. King promised to check on the ability of the office staff to make the change. . Transfers.-The Company's new proposal was contained in six subsections. The discussion on each part was as follows: 1. Provided that transfers would be made in the discretion of the Company as distinguished from the provision in the existing contract that transfers would be made in emergencies in the discretion of the Company. Mitchell took the position that the existing contract provision should be retained. Smith contended that transfers should be in the unfettered discretion of the Company. 2. This was an reenactment of the existing contract provision that em- ployees temporarily transferred to a job with a higher classification would receive the minimum rate for the classification. 1084 DECISIONS OF NATIONAL LABOR RELATIONS BOARD However , the parties disagreed as to the inclusion of the existing contract provision that when an employee would be transferred from his regular job, his regular job would not be operated until his return , unless the Union Com- mittee approved and that, at the conclusion of an emergency assignment, the employee would resume his regular job and pay. Mitchell took the position that the clause was necessary to protect union members against discrimination . Smith opposed it. Smith also was opposed to Mitchell 's demand for inclusion of the existing, clause that permanent transfers, when requested by the Union Committee, should be granted if possible. 3. The parties agreed to part of this section providing that an employee temporarily transferred to a job with a lower rate should receive his regular rate. They disagreed as tQ a new part which stated that an employee demoted to a job with a lower rate should receive that rate. 4. There was no disagreement over this provision which provided that in the event of a shortage of employees in one classification , those in a higher classification could be required to work in the lower paying job but receive their higher rate . A similar provision was contained in the existing contract., 5. The parties also were in agreement as to the reenactment of a provision permitting a laid-off employee to accept an offer of a lower rate job, if it did not disturb the seniority of the regular employee. 6. There was sharp controversy over the proposal of the Company that it should have the power to prescribe the training and instruction of apprentices. The Union wanted to continue the existing provision which stated that apprentices would be instructed by the journeymen under whom they were working, that if the journeymen were not interested in or incapable of teaching them the Union and the Company would consult on the action to be taken, and finally, that if no journeymen were capable of teaching, then the supervisory staff could instruct. King maintained that training should be a management function since it best knew the needs of the business and that it should be free to choose instructors and supervise them. Mitchell also advocated a new provision forbidding the use of foremen or superintendents to do the work of hourly employees. The existing contract per- mitted such work in emergencies . King stated that supervisors had only done work of hourly employees in emergencies or absences and refused to agree to the proposal. At this point, the parties considered the Union's proposal for a union shop with irrevocable check-off. King stated that the Company was opposed to a union shop. King then offered to modify the new proposal entitled "Reporting for work" to retain the existing provision that unless employees were notified the day before not to report the next day, they would be paid at least 4 hours pay for reporting for work . The proposed clause would have exonerated the Company on occasions when work was prevented by acts not in control of the Company. The final issue discussed at the meeting was the Union 's proposal of a wage increase. There was extensive discussion in which King reviewed the Company's business , past operations , and prospects . He stated that the Company could not afford to increase wages or liberalize vacation and holiday allowances. Mitchell advocated an increase to balance increases in costs of living and to boost morale. In the course of the discussion , King expressed dissatisfaction with the existing contract and the way it had worked out. The meeting adjourned soon after. ALABAMA MARBLE COMPANY 1085 The meeting of November 6 On November 6 a meeting took place arranged by Virgil Finch, a commissioner of conciliation of the Federal Mediation and Conciliation Service. Finch stated that he had called the meeting in an effort to assist the parties to settle the issues in dispute. Finch asked King to state the position of the Company as to wages. King restated the position he had taken at the preceding conference giving figures which he maintained prevented the granting of a wage increase . Mitchell restated the, position of the Union that an increase should be granted to cover higher living costs. The parties then discussed the Union 's proposal for union security . Mitchell took the position that a union shop with irrevocable check -off was necessary to maintain the Union in the plant in view of proposed changes which removed many matters from collective bargaining . King stated that the Company was opposed to union security provisions . He also said that the Company had pro- posed changes in good faith to clarify and avoid certain incidents in the past year. There was discussion of the problem of seniority in promotions , but no con- clusions were reached. Finch, after further discussion , proposed that the Company 's last offer be submitted to the employees for their approval or disapproval in a secret ballot. Mitchell refused to do so. - The meeting ended with no progress towards a resolution of the matters in dispute. On November 8 the Union began a strike which lasted until December 12 when the employees voted to end it. The Meeting of November 28 The chief spokesmen for the Respondent were again Smith and King. For the Union the spokesmen in addition to Mitchell were Hugh Brown, an A. F. L. official and Harold Cook , an attorney . Finch also was present . At Cook's request it was agreed that the old contract and the Company 's proposals should be reviewed and compared to ascertain areas of agreement and disagreement. The following discussion on the respective clauses took place : Introductory clause.-Smith reiterated his previous stand that the correct name of the Union should be furnished for description in the contract . He also asked that some proof be obtained from the American Federation of Labor to whom the original certification had run that it had ceded jurisdiction over employees in the plant to the Union herein . Cook agreed that that information would be furnished . He also submitted written proposals on behalf of the Union. This document was considered in the ensuing discussion together with the other two documents. Recognition.-The Union's proposal followed the language of the Company's proposal in describing the appropriate unit. However, a new clause on the rights of individual employees to present grievances was submitted by the Uniori. Cook maintained that it had the identical meaning with the clause submitted by the Company at the previous meeting. Smith expressed some doubt on this and there was no agreement on it. Right of Management.-The Union in its proposal adopted the clause proposed by the Company with the addition of language stating that the rights of manage- 1086 DECISIONS OF NATIONAL LABOR RELATIONS BOARD ment shall not be inconsistent with other terms of the agreement. There was agreement on this clause. No discrimination.-The Union proposed a clause similar in purpose to that in the expired contract providing that there should be no discrimination by the Company or the Union against any employee because of his membership in the Union. Smith refused to accept this proposal and argued for the proposal pre- viously advanced by the Company that there should be no discrimination by the Company, the Union or any employee against any employee of the Company because of his membership or non-membership in the Union. Cook raised the point that the Union under such a clause might be held responsible for the acts of individual employees. Smith replied that the Company might consider elimi- nating that part of the proposal. There was no agreement on this clause. Applicable Laws.-The parties were in agreement that if any clause in the proposed contract were to be ruled illegal the remainder would remain in full force and effect. They disagreed, however, as to what should be done in the event that part of the contract was ruled illegal or invalid. The Union proposed that in that event if there were no agreement on changes in the clause in question the Union should retain the right to strike and the Company the right to lock out employees . The Company as in the previous conferences was not willing to accept this proposal. Working Conditions.-The Union in its proposals adopted the language first proposed by the Company as to the definitions of the workweek and a standard workday. The Union also adopted the language of the Company that the time for beginning and ceasing work should be fixed by the Company. It added an additional requirement that at least 15 days' notice should be given to the Union before changes were placed into effect . There was discussion as to whether there should be any notice provision in the contract and this matter was by agreement held in abeyance . The Union also proposed reenactment of a clause in the old contract permitting the Company to make reductions in the operating force and the hours and days per week providing that 2 weeks' advance notice of any such contemplated change were given to the Union. A similar clause proposed by the Company provided that notice would be given to the Union after such decisions were made. Cook and Smith agreed to work on this clause. Mitchell also orally stated the Union's demand for overtime pay and for holiday pay as previously advanced . King reiterated the Company 's refusal to accept its demands and after some discussion it was agreed to pass this clause and hold it for further consideration. As to contract or piece-rate work the Union abandoned its posi- tion that this type of arrangement should be outlawed and instead proposed that the language in the old contract be adopted. That clause provided that such arrangements could only be entered into upon the consent of the individual employees and the Union committeemen for the particular department. The principal point of disagreement on this clause was whether or not the consent of the union committeemen should be a requirement. The Company felt that it should not be ; the Union took the contrary position. Transfers.-The Union proposed that the clauses relating to transfers in the old contract be reenacted in the proposed new one. The Company had previously submitted proposed changes in these clauses and a comparison was then made between the two proposals. Cook proposed that language be placed in the clause permitting the Company to make transfers in its own discretion to the effect that the transfers would not be used to discriminate against union members. Smith stated that the Company might agree to language prohibiting it from discriminating against any employee in the manner set forth in its proposed no- ALABAMA MARBLE COMPANY 1087 discrimination clause previously advanced . The parties , however, were not in agreement on that main clause. There was agreement to the proposal that a person temporarily transferred to a job with a higher classification should receive the minimum rate for the higher classification for the time worked therein, except that there was no agreement on the company proposal that an employee demoted to a job with a lower rate of pay should receive the pay for that classification. There also was agreement on a clause proposed by the Company , taken from the old contract , permitting a laid-off employee to accept a lower rated job from the Company if it did not disturb the seniority of a regular employee . However, the parties were still in fundamental disagreement over the provisions for the train- ing and instruction of apprentices and whether the Union should have any voice therein. The parties also could not agree on the question of whether a foreman or superintendent should be allowed to perform work of an hourly paid employee. Cook suggested as a compromise that that part of the clause in the old contract providing that a foreman or superintendent should not take over the work or duties of an hourly employee be amended to prohibit such work if it would cause production workers to be laid off . This proposal was taken under advisement. Seniority.-The Union proposed that the parties go back to the language in the old contract instead of the provisions suggested by the Company. The parties then examined the Company's proposals in detail. The Company proposed that each employee's seniority standing should be subject to the employee's skill, fitness, ability, performance, and cooperativeness with other employees as deter- mined by the Company. In the discussion King stated that the purpose of includ- ing cooperativeness was to avoid an occasion in the past when, he claimed union employees refused to cooperate with a nonunion employee Cook suggested that those factors should be left to or determined by agreement by the Company and union committeemen. Smith took the position that the Company should have sole voice in this matter with the Union retaining the right to present grievances if it was dissatisfied with any action taken by the Company. The Company proposed that when any employee was promoted from a lower classification to a higher classification if he failed to qualify to the satisfaction of the Company within 30 days for that position he should be returned to his former position and should not be eligible to try again for the particular job for 90 days. This provision was similar to one in the old contract. Cook proposed that the determi- nation of an employee's qualification for higher position should be left to a joint determination by the Company and union committeemen. Smith refused to agree to this proposal pointing out that the old contract did not have any such restric- tion. The parties did reach some agreement on other provisions in the seniority clause They were in deep disagreement as to the extent of probationary periods for new employees and the disposition of grievances relating to those employees. The Company asked, as it previously had, that the probationary period be extended from 30 to 90 days. The Union took the position that such a period was too long and that it should not be extended beyond the period originally provided of 30 days. King on behalf of the Company took the position that the Company needed more than the 30-day period in order to fully determine the capabilities of new employees . The parties next disagreed as to the method of handling grievances of probationary employees. The Company took the position that such grievances should not be processed beyond the first step of the griev- ance procedure, namely, to the employee's own foreman and that this was merely part of the right of selection of employees . The Union on the other hand contended that all steps in the grievance procedure should be available to probationary employees. 1088 DECISIONS OF NATIONAL LABOR RELATIONS BOARD Grievance Procedure.-The Union's proposal submitted in writing at this meet- ing was that the old contract clauses be adopted but that it would agree to leave out the arbitration procedures specified if after the provisions of the grievance procedure had been exhausted without agreement between the parties the Union would have the right to strike and the Company have the right to lock-out. The Company adhered to its previously expressed position that each party must bear its responsibility for strikes and lockouts. In a discussion of this clause Smith took the position that unless the Union expressly waived it, it would have the right to strike upon the exhaustion of the grievance procedure as provided in the contract and that the Union had previously taken the position that it wanted to be free from liability for strikes occurring without adherence to the grievance procedure. There was then a discussion of the detailed provisions of the grievance procedure as outlined in the Company's written proposals to the effect that all grievances must be presented in writing to the foreman of the department within 24 hours after their alleged occurrence and also that the facts relied upon as constituting the grievance should be fully stated in writing. The Union proposed that more time be given for presentation of a grievance. There also was discussion of how detailed a statement of a grievance would be required. No conclusions were reached as to these points but no fundamental disagreement was apparent. There was no disagreement as to the two intermediate steps pro- viding for discussion between the grievance committee and the superintendent of the plant and then between the grievance committee or other union representa- tives and the representatives of the Company. The provisions were taken from the existing contract. As to the final step of the grievance procedure, Cook stated that the Union proposed that that step either provide for arbitration or if the Company wished to leave out arbitration procedures then the parties should mutually be absolved from any liability for resort to strikes or lockouts. King expressed the opinion that disputes were better settled between the parties without resort to outside arbitrators. Smith expressed the opinion that when the grievance procedures were exhausted the Union would have the right to resort to strikes if it wished to. There was no further discussion of this provision of the proposed contract. The old contract provision provided that if it were proved through resort to the grievance procedure that any employee who had been discharged or demoted had been unjustly dealt with he should be reinstated to his former position without loss of seniority and pay. The Company's proposal set forth that such claims should be handled as grievances and should be finally determined by conferences between union representatives and those of the Company. No provision was inserted in this clause to settle any dispute still existing between the parties after resort to this step in the grievance procedure. The Company's proposal further provided that any employee found to have been wrongly discharged should be reinstated without loss of seniority and pay except that in a "doubtful" case there would be no compensation for pay lost. Cook took the position that the provision did not adequately cover cases where the Union and the Company would still be in disagreement. He further stated that the Union was opposed to the incorporation in the discharge clause of a provision reserving to the Company the right to discharge employees who engaged in unauthorized strikes or other labor activities forbidden or prohibited in the Act. Smith on the other hand found fault with the clause in the old contract in that it extended pro- tection to union members but not to nonunion members and stated protection should be afforded all employees. There was agreement to extend protection ALABAMA MARBLE COMPANY 1089 to employees claimed to have been discharged without proper or just cause as distinguished from the word proper which was in the Company's original proposal. The Company also indicated as it had in the discussion under the grievance procedure that it was willing to extend the 24-hour time limit for the presentation of this particular type of grievance. However, the parties did not agree on the substance of this clause. Work Stoppages.-The expired contract contained a provision that there should be no lock-out by the Company and no slow-down or work stoppage by the Union until after all the provisions of the grievance procedure had been complied with (Section I C). The Union at this meeting submitted a proposal which in addition to provisions similar to that in the old contract also drew a distinction between strikes and work stoppages authorized, caused, or called by the Union and those not so ordered. In the latter case there would be no liability on the part of the Union if it cooperated with the Company and sought to end such activity and that the Company, if combined efforts with the Union failed to end such unauthorized activity, would have the right to take disciplin- ary measures including discharge against employees who engaged in such ac- tivity. The Company's proposal submitted prior to this meeting contained a gen- eral prohibition against strikes, lock-outs and stoppages of work. Both parties stood by their proposals and this clause remained unsettled. Vacations.-The Union receded from its previous demand that vacation allow- ance be increased and suggested that the provisions of the old contract be re- tained. The Company's proposal was substantially a redraft of the similar clause in the old contract with no change in substance. There was apparent agreement on this clause although Mitchell indicated in his testimony that no formal agreement was reached Leaves of Absence.-The Union proposed that the clause in the old contract be retained. This clause provided that when in the opinion of the Company the services of a designated representative of the Union could be spared that em- ployee would be allowed time off without pay to attend to union duties relating to the Company or to other specified union matters. Another provision in the clause set forth that in case of illness the Company would automatically grant leave of absence to an employee. However, if he were absent 3 days or more the Company could require proof of illness. The Company's proposal was that leave of absence should be in the sole discretion of the Company. In the dis- cussion on this clause the Company maintained that a provision relating to ill- ness was incorporated in its proposals in the seniority clause and that the old clause on leave of absence left the decision in the hands of the Company and further that its proposal was not substantially different from that clause. The Union, however, did not agree to the proposal that it accept the new clause as drafted by the Company. Wages.-A general provision as to wages and the negotiation for new classifica- tions was agreed upon, both parties being satisfied with the language in the old contract. Job description.-The Union proposed the adoption of the clause in the old contract. This clause provided as did the Company's proposal that the attached job descriptions were intended to describe and explain only the more important qualifications for the various jobs listed and the duties for each job. However, the existing contract also provided that if any question arose under this clause that the matter would be considered a grievance and handled in accordance with the prescribed grievance procedure. Smith expressed the view on behalf of the 1090 DECISIONS OF NATIONAL LABOR RELATIONS BOARD Company that there should be agreement as to the various job descriptions with- out making any questions thereunder the subject of grievance proceedings and possibly a strike. No agreement was reached on this clause. Health and Sanitation .-The Union proposed that the old contract language be followed in this clause on health and sanitation . The Company also in its proposals had reiterated the old contract language. Shift Differential.-Both parties were agreed on the continuation of the clause in the prior contract for premium payments. Apprenticeship .-This clause dealt with the wages and increases of pay of apprentices and represented another phase of the disagreement between the Com- pany and the Union as to the entire program relating to apprentices. The Union desired the clause in the old contract which provided that the time and rate of increases of pay of apprentices should be determined every 3 months by the union committee and the Company. The Company proposed that it should have sole power to determine increases . In the discussion Cook indicated the Union would abandon its demand that there be an age limit for apprentices. Reporting for Work.-King indicated that the Company was willing to abandon its position that minimum pay not be given employees who reported for work and were not given work because of causes beyond the control of the Company. He stated that the old contract provision as desired by the Union was acceptable. Union Security.-The Union proposed a maintenance of membership for all employees who were or who in the future might become members of the Union. It was further provided that all new employees should join the Union after 30 days employment. Check-off were also provided This was a change from the provision in the old contract which contained a straight maintenance of member- ship clause and dues check-off provisions. However it represented a recession from the Union's demands as to union security. King expressed his opposition to the granting of union security and stated that each employee should decide for himself to join the Union. Smith raised the question as to whether the Union had complied with the provisions of the Act which would enable it to secure a Board-conducted election authorizing the signing of a contract with a union security provision in it. Mitchell was uncertain and suggested that the matter be left open. Saving Clause.-The Company raised no objection to a union proposed clause that in the event that the American Federation of Labor in the future grant the jurisdiction over any of the employees to another division of the American Fed- eration of Labor that division should become a party to the agreement and the agreement should remain in full force and effect. Bulletin Board.-The Company took under advisement a union proposal that two bulletin boards be provided for the use of the Union but indicated that it would have no substantial objection to this provision. Duration of Agreement.-The parties were in agreement that the contract should be for 1 year and should continue thereafter from year to year unless either party gave sixty (60) days written notice prior to any anniversary day of a desire for a change or termination of it but the Company would not agree to a provision for a reopening of the contract as to wage rates and classifications after the contract had been in force 6 months. A similar provision was in the old contract. Mitchell at this point proposed that the wage issue be compromised by a 121/2 cent an hour increase across the board for everyone . King replied that the Company could not afford this. The meeting ended soon after. ALABAMA MARBLE COMPANY 1091 The Meeting of December 23 The final bargaining conference between the parties took place on December 23rd. The Union had prepared certain new proposals and modifications which it presented at this meeting. As in previous meetings the parties started at the very beginning of the proposed contract and discussed the various clauses in the following order : Introduction .-Smith again asked for information as to the correct name of the Union and proof that the American Federation of Labor had delegated jurisdiction over the employees in the plant to the Union. Mitchell replied that he did not have the information as yet but would have it later on. Recognition.-The first paragraph of this clause set forth the bargaining unit. Smith raised the point that Board decisions had held that watchmen performing certain functions would be considered guards within the meaning of the Act. Mitchell stated that he was willing to amend the unit to exclude guards as defined in the Act. However, Smith pressed for a specific agreement as to the watchmen employed by the Company, but Mitchell refused to commit himself specifically as to those employees. There was also a brief discussion of the second paragraph in this clause providing, in the Company's proposal, that any individual employee or group of employees should have the right to present grievances to the Company and have them adjusted without the intervention of the Union. Cook suggested that a possible compromise would be to insert a provision for advance notice of such a meeting to the Union. No decision was reached. Rights of Management.-The parties were in agreement on this clause, that is they adopted the clause proposed by the Company as amended in two respects at the suggestion of the Union No Discrimination -The parties were unable to agree on this clause, each ad- hering to their positions as previously stated. Applicable Laws.-The parties were still in disagreement as to the rights of each in the event that they were unable to agree on changes in a clause declared invalid, the Union advocating a position allowing freedom of strike and lock-out in the event of such a contingency, the Company being unwilling to agree to this proposal Cook finally suggested that a possible compromise be to provide for resort to the grievance machinery to settle such disputes. It was agreed that Cook and Smith should confer with each other in an attempt to draft a satisfactory provision. Working Conditions.-The Union submitted a new proposed clause. The Union's proposal followed that of the Company in specifying the work week and the standard 8 hour day. It further provided that the Company in its discretion should fix the starting time for work each day, but between the hours of 6 a. in. to 9 a in. and that it should have discretion to fix the time for ceasing work but between the hours of 2 p in to 5 p. in., and further that if it wished to go outside these hours, the Union should be given at least 15 days' notice before the new schedule was placed in effect. King took the position that this proposal would bind and restrict the Company. Smith stated that this proposal was entirely different from that previously proposed by the Union and since the Union had changed its position, he would suggest on behalf of the Company a clause giving the Company full freedom in setting hours of work, increasing and decreasing its staff, and setting hours for each particular day. Cook rejected this proposal. The Union's proposal also included a pro- vision permitting the Company to make reductions in hours and days per week if business did not justify full-time operations, and that the Union would be 1092 DECISIONS OF NATIONAL LABOR' RELATIONS BOARD given specified advance notice-of such changes which, in certain instances, was less than the previous proposal advanced by the Union for a 2 weeks' notice of any such changes. However, Smith took the position that he had advanced in the discussion of the preceding provision, namely, that this was a new proposal and that therefore he, on behalf of the Company, would also advance a new proposal giving the Company full freedom in the matter. There was no agreement on this clause. As to holidays, the Union receded from its position that Election Day work should be paid at time and a half rates. The Company agreed to accept the list of holidays specified in the old contract for days on which work would be paid at time and a half rates Mitchell proposed that there be 2 holidays, Christmas Day and Labor Day, where straight time would be paid to employees who were not called to work on these days and time and a half would be paid to those who did work. The Company took this proposal under advisement. King suggested A adjournment at this point, but Mitchell refused to do so. As to contract work the Union's new proposal would permit it upon condition that the employees involved and the Union committeeman of the department consented to the arrangement. Cook pointed out that this was a recession from the Union's original demand that contract work be eliminated. King, however, reiterated the Company's previously expressed stand that it should have full freedom to negotiate with individual employees as to contract work without obtaining the consent of committeemen. Cook then suggested that perhaps arrangements could be worked out by which the Company might resort to the grievance procedure if a committeeman unreasonably blocked a contract work arrangement. This suggestion was not accepted. Transfers.-The Union submitted a new proposal on this subject consisting of eight subdivisions. The discussion as to each subdivision was as follows : (1) This provided that the Company should not discriminate against any individual because of his membership in or his activities on behalf of the Union. Smith maintained that this represented a change of position on the part of the Union and that there had been agreement on a different clause at the November 28 meeting. Cook stated that this paragraph spelled out the Union's position as to discrimination. In essence, the disagreement of the parties as to this subdivision was part of a larger issue of disagreement on a general no-discrimina- tion clause on which the parties had not agreed. (2) This clause was the same as the. Company's prior proposal that an employee temporarily transferred to a job with a higher classification would receive a higher rate of pay. (3) This dealt with the rights of an employee who was transferred to a job with a lower rate of pay. This clause was the same as the clause proposed by the Company previously and therefore there was no disagreement. (4) and (5) The Union's proposals here, dealing with the rights of employees assigned to work in lower classifications or offered jobs in the event of a lay-off, were the same as those proposed previously by the Company. (6) This subdivision dealt with the controversial subject of the training of apprentices. The Union's proposal provided that the Company should prescribe the training and instruction of apprentices, but that in the event that the journey- man teacher assigned did not show the proper interest or was not capable of giving instructions, the Union would have the right to take the matter up as a grievance. King stated that this proposal was unacceptable and that the Company should have full right to select and train apprentices and that the grievance procedure suggested would delay the Company in conducting its business. ALABAMA MARBLE COMPANY 1093 (7) The Company agreed to a proposed provision that permanent transfers, when requested by the Union Committee, would be granted if possible. (8) The Company also agreed to a provision that a foreman or superintendent should not take over the work of an hourly paid employee qualified for a job to the extent that the hourly employee would be laid off from work. Grievance Procedure.-The chief question on this clause was, as it always had been, what the end step of the grievance procedure would be. The Union now proposed that the final step be arbitration between a representative of the Union and a representative of the Company, that if they could not agree they should select a third member, that if there could be no agreement as to the third member, he should be chosen by the Director of the Federal Mediation and Conciliation Service. Smith agreed to take this proposal under advisement. As to the balance of the clause, there either was agreement or minor differences which it was agreed should be discussed and revised by counsel for the parties. At that point the meeting ended and a new meeting date was set for January 2, 1948. 844340--50-vol. 83-70 Copy with citationCopy as parenthetical citation