Bechtel Power Corp.Download PDFNational Labor Relations Board - Board DecisionsApr 16, 1976223 N.L.R.B. 925 (N.L.R.B. 1976) Copy Citation BECHTEL POWER CORP. 925 Bechtel Power Corporation and Paul H. Robertson International Brotherhood of Electrical Workers, Lo- cal 322 , AFL-CIO and Paul H . Robertson. Cases 27-CA-4359 and 27-CB-897 April 16, 1976 DECISION AND ORDER BY MEMBERS FANNING, PENELLO, AND WALTHER On October 16, 1975, Administrative Law Judge Richard D. Taplitz issued the attached Decision in this proceeding . Thereafter, Respondents Bechtel Power Corporation and International Brotherhood of Electrical Workers , Local 322, AFL-CIO, filed ex- ceptions and supporting briefs . The Charging Party filed limited cross -exceptions and an answering brief. Pursuant to the provisions of Section 3(b) of the National Labor Relations Act, as amended , the Na- tional Labor Relations Board has delegated its au- thority in this proceeding to a three -member panel. The Board has considered the record and the at- tached Decision in light of the exceptions and briefs and has decided to affirm the rulings , findings, and conclusions of the Administrative Law Judge to the extent consistent herewith and to adopt his recom- mended Order as modified herein. 1. We agree with the Administrative Law Judge's disposition of the 8 (a)(3) and ( 1) and 8(b)(1)(A) and (2) issues presented by the Case.' We disagree 2 only with his conclusion that the record fails to support a finding that Steve Hudspeth was unlawfully denied 1 Member Fanning joins in finding violations of Sec. 8(a)(3) and (1) and 8(b)(I)(A) and (2) herein because he is satisfied that Respondent Union failed to refer to Bechtel nonmembers of the Union despite their availability and registration with the Union 's hiring hall , and denied the named discrim- inatees the use of the hiring hall for referral purposes because of their non- membership in the Union. Consequently, when Respondent Union invoked the "temporary employee" clause as to gate hires by Bechtel to include the discriminatees , and Bechtel acquiesced therein, they violated Sec . 8(b)(I)(A) and (2) and 8(a)(3) and ( I), respectively . It is readily apparent that the unfair labor practices committed here resulted from Respondent Union's failure to allow the referral provisions of the contract to operate , not from their operation . Accordingly, Member Fanning deems it unnecessary to reach the question whether those provisions are unlawful, and he does not join in so much of the Decision and Order that finds them to be unlawful. 2 Member Walther , contrary to his colleagues , would adopt the Adminis- trative Law Judge's dismissal of the complaint as to Hudspeth . Hudspeth did not testify. and thus there is no direct evidence that he was ever em- ployed or laid off by the Employer. While my colleagues are willing to rely upon the hearsay testimony of other employees as to the reason Hudspeth was laid off, if he was. I am not . Furthermore, as the Administrative Law Judge found, there is no evidence that Hudspeth ever sought referral from the Union. And I cannot accept a finding that such application by him would have been futile without evidence , which only Hudspeth could sup- ply. that Hudspeth did not simply abandon the whole enterprise. employment because of the hiring hall arrangement between Respondents. Although Hudspeth did not testify, he was a named discriminatee. The testimony of discriminatees Loeffler and Zinke reveals that Hudspeth was, indeed, a gate hire working with them on Paul Certain's crew, that Hudspeth was laid off by Respondent because he held the same status as the other discriminatees, and that discriminatees Coates and Zinke, along with Hudspeth, spoke to Bechtel 's labor representative, Farquhar, about their layoff. Although there is no direct evidence that Hudspeth sought referral from Respondent Local 322, the reasonable inference to be drawn from the facts of this case is that if Hudspeth had such an act would have been futile. See, e .g., the Administrative Law Judge's findings with respect to discriminatee Olschewski. On these bases, we conclude, contrary to the Administrative Law Judge, that sufficient evi- dence exists on the record to support our finding that Hudspeth was unlawfully denied employment. Ac- cordingly, we amend paragraph 5 of the Administra- tive Law Judge's Conclusions of Law and paragraphs A, 2(a) and B, 2(a) of his recommended Order to include the name of Steve Hudspeth among the names of the discriminatees listed therein. 2. Paragraphs A, 1(f) and B, 1(d) of the Adminis- trative Law Judge's recommended Order are amend- ed to delete the phrase "In any like or related man- ner" and to substitute, therefor, the phrase "In any other manner." See Springfield Dodge, 218 NLRB 1429, footnote 2 (1975). ORDER Pursuant to Section 10(c) of the National Labor Relations Act, as amended, the National Labor Re- lations Board adopts the recommended Order of the Administrative Law Judge, as modified below, and hereby orders that Respondent International Broth- erhood of Electrical Workers, Local 322, AFL-CIO, Casper, Wyoming, its officers, agents, and represen- tatives, and Respondent Bechtel Power Corporation, San Francisco, California, its officers, agents, succes- sors, and assigns, shall take the action set forth in said recommended Order, as so modified: 1. In paragraphs A, 2(a) and B, 2(a), insert the name "Steve Hudspeth" between the names "Virgil Brown" and "Richard Loeffler." 2. In paragraphs A, 1(f) and B, 1(d) delete the phrase "In any like or related manner" and substi- tute therefor the phrase "In any other manner." 3. Substitute the attached notices for those recom- mended by the Administrative Law Judge. 223 NLRB No. 131 926 DECISIONS OF NATIONAL LABOR RELATIONS BOARD APPENDIX A NOTICE To MEMBERS POSTED BY ORDER OF THE NATIONAL LABOR RELATIONS BOARD An Agency of the United States Government WE WILL NOT maintain , enforce, or otherwise give effect to an exclusive hiring hall contractual arrangement with Bechtel Power Corporation which gives preference in referrals and employ- ment opportunities to applicants for employ- ment who have previously worked for employers who had collective-bargaining agreements with US. WE WILL NOT maintain, enforce, or otherwise give effect to an exclusive hiring hall contractual arrangement with Bechtel Power Corporation which is operated in such a manner as to ex- clude nonunion members from the hiring hall or which requires nonunion members to be hired only as temporary employees. WE WILL NOT cause or attempt to cause Bechtel Power Corporation to discharge or dis- criminate with regard to the retention of em- ployment of any employee because that employee is not a member of a union. WE WILL NOT refuse to allow any employee access to our exclusive hiring hall because that employee is not a member of a union. WE WILL NOT operate our hiring hall in such a manner as to cause or attempt to cause any em- ployer subject to the Board's jurisdiction to deny employment to any employee or applicant for employment because of lack of union member- ship. WE WILL NOT in any other manner interfere with, restrain, or coerce employees in the exer- cise of their rights guaranteed in Section 7 of the Act. WE WILL notify Bechtel Power Corporation in writing that we have no objection to the immedi- ate and full reinstatement of Carl Coates, Virgil Brown, Steve Hudspeth, Richard Loeffler, Paul Robertson, Gene Olschewski, and Val Zinke to their former jobs or, if those jobs no longer exist, to substantially equivalent positions, without prejudice to their seniority or other rights and privileges, and furnish those employees with a copy of such notification. WE WILL, jointly and severally with Bechtel Power Corporation, make the above-named em- ployees whole by paying them backpay with in- terest at 6 percent. WE WILL register Harold Hudson at our exclu- sive hiring hall and make him whole by paying him backpay that may be due with interest at 6 percent. INTERNATIONAL BROTHERHOOD OF ELEC- TRICAL WORKERS , LOCAL 322, AFL-CIO APPENDIX B NOTICE To EMPLOYEES POSTED BY ORDER OF THE NATIONAL LABOR RELATIONS BOARD An Agency of the United States Government WE WILL NOT maintain, enforce, or otherwise give effect to an exclusive hiring hall contractual arrangement with International Brotherhood of Electrical Workers, Local 322, AFL-CIO, which gives preference in referrals and employment opportunities to applicants for employment who have previously worked for employers who had collective-bargaining agreements with that Union. WE WILL NOT maintain, enforce, or otherwise give effect to an exclusive hiring hall contractual arrangement with said Union which is operated in such a manner as to exclude nonunion mem- bers from the hiring hall or which requires non- union members to be hired only as temporary employees. WE WILL NOT discharge or discriminate with regard to the retention of employment of any employee because that employee is not a mem- ber of a union. WE WILL NOT in any other manner interfere with, restrain, or coerce our employees in the exercise of their rights guaranteed in Section 7 of the Act. WE WILL offer Carl Coates, Virgil Brown, Steve Hudspeth, Richard Loeffler, Paul Rob- ertson, Gene Olschewski, and Val Zinke imme- diate and full reinstatement to their former jobs or, if those jobs no longer exist, to substantially equivalent positions, without prejudice to their seniority or other rights and privileges. WE WILL, jointly and severally with Interna- tional Brotherhood of Electrical Workers, Local 322, AFL-CIO, make the above-named employ- ees whole by paying them backpay with interest at 6 percent. BECHTEL POWER CORPORATION BECHTEL POWER CORP. 927 DECISION STATEMENT OF THE CASE RICHARD D. TAPLITZ, Administrative Law Judge: This case was heard at Rock Springs, Wyoming, on June 24 and 25, 1975. The charge in Case 27-CA-4359 was filed by Paul H. Robertson, an individual, on December 17, 1974. A complaint in that case as issued on February 28 and amended' on June 6, 1975, alleges that Bechtel Power Cor- poration, herein called Bechtel or the Company, violated Section 8(a)(1) and (3) of the National Labor Relations Act, as amended. The charge in Case 27-CB-897 was filed by Robertson on December 17, 1974. The complaint in that case as issued on February 28 and amended on June 6, 1975, alleges that International Brotherhood of Electrical Workers, Local No. 322, AFL-CIO, herein called Local 322 or the Union, violated Section 8(b)(l)(A) and 8(b)(2) of the Act. By order dated March 4, 1975, the Regional Direc- tor for Region 27 of the National Labor Relations Board consolidated the two cases for hearing. argue orally, and to file briefs. Briefs which have been care- fully considered were filed on behalf of the General Coun- sel, Bechtel, Local 322, and the Charging Party. Upon the entire record of the case, and from my obser- vation of the witnesses and their demeanor, I make the following: FINDINGS OF FACT 1. THE BUSINESS OF BECHTEL Bechtel is a Nevada corporation which maintains its principal office and place of business in San Francisco, California. It is engaged in the construction of the Jim Bridger Power Plant at Point of Rocks, Wyoming. At its Jim Bridger project it annually purchases and receives ma- terials valued in excess of $50,000 directly from places out- side of Wyoming. Bechtel is an employer engaged in com- merce within the meaning of Section 2(6) and (7) of the Act. II. THE LABOR ORGANIZATION INVOLVED ISSUES The primary issues are whether Bechtel violated Section 8(a)(1) and (3) and Local 322 violated Section 8(b)(1)(A) and (2) of the Act: 1. By maintaining and enforcing a collective -bargaining agreement which provided for an exclusive hiring hall un- der which applicants for referral who had prior employ- ment with employers who had a contract with Local 322 were given certain preferences. 2. By maintaining and enforcing that contract in such a manner as to cause the layoff of certain employees 2 who had been hired as temporary employees because they were not referred from the hiring hall, under circumstances where they could not obtain that referral for the reason that they were not members of a local of the International Brotherhood of Electrical Workers , AFL-CIO. 3. By the Union 's causing Bechtel not to hire and by Bechtel's refusal to hire Harold Hudson because of his lack of membership in a local of the International Brotherhood of Electrical Workers , AFL-CIO. All parties were given full opportunity to introduce rele- vant evidence , to examine and cross-examine witnesses, to 1 The amendment to the complaint appears to allege that the Wyoming Chapter , National Electrical Contractors Association (Casper Division), herein called NECA, and employers who signed letters of assent to be bound by a collective-bargaining agreement in effect between Local 322 and NECA have engaged in certain unlawful conduct. However , counsel for the General Counsel stated on the record that the amendment was intended to establish the fact of a contract between NECA and Local 322, and that the General Counsel did not allege NECA or any of its members as respon- dents. The General Counsel also stated that it was not seeking a remedy against any of the members of that Association who were not named in the complaint and that the only party to the contract named in the complaint was Bechtel. 2 The employees named as discriminatees in the complaint are Paul H. Robertson , Virgil Brown, Carl Coates , Steve Hudspeth, Richard Loeffler, Gene Olschewski and Val Zinke . The complaints also allege that other per- sons whose names are known to the Respondents have been discriminated against. Local 322 is a labor organization within the meaning of Section 2(5) of the Act. III. THE ALLEGED UNFAIR LABOR PRACTICES A. The Setting Bechtel is building a major power plant , known as the Jim Bridger Power Plant, at Point of Rocks, Wyoming. In the course of this construction Bechtel requires the services of large numbers of electricians . Bechtel is a party to an International agreement with the International Brother- hood of Electrical Workers, AFL-CIO, herein called the IBEW , under which Bechtel agrees to be bound by local agreements when it performs work within the jurisdiction of any local of the IBEW . Those local agreements are con- tracts that the locals of the IBEW have with various em- ployers . Local 322 is a local of the IBEW having jurisdic- tion in the area in which the Jim Bridger Power Plant is being built . Local 322 was a party to a collective-bargain- ing agreement , which was effective by its terms through August 31 , 1975, with the Wyoming Chapter , National Electrical Contractors Association (Casper Division). That agreement covered members of the Association who signed a letter of assent to be bound by the agreement and also covered any other individual employers who employed workmen under the terms of the agreement and who signed a letter of assent authorizing the Association as their bar- gaining agent for all matters contained in the contract. Both Bechtel and Local 322 accepted that contract as binding on them pursuant to Bechtel 's International agree- ment with the IBEW. Bechtel and Local 322 maintained and enforced that contract with regard to the operation of the Jim Bridger power project. Article V of that contract provided for an exclusive hir- ing hall . The hiring hall provision established four groups for referrals . The first priority in referral went to the first group, next to the second , and so on. The qualifications for 928 DECISIONS OF NATIONAL LABOR RELATIONS BOARD the groups as set forth in the contract were: Section 5.06 Group I All applicants for employment who have four (4) or more years experience in the trade , are residents of the geographical area constituting the normal construc- tion labor market, have passed a Journeyman 's exami- nation given by a duly constituted Local Union of the IBEW, and who have been employed for a period of at least one ( 1) year in the last four (4) years under a collective bargaining agreement between the parties of this Addendum. Section 5.07 Group II All applicants for employment who have four (4) or more years experience in the trade , and who have passed a Journeyman 's examination given by a duly constituted Local Union of IBEW. Section 5.08 Group III All applicants for employment who have two (2) or more years experience in the trade, are residents of the geographical area constituting the normal construc- tion labor market and who have been employed for at least six (6) months in the last three (3) years in the trade under a collective bargaining agreement be- tween the parties to this Addendum. Section 5.09 Group IV All applicants for employment who have worked at the trade for more than one (1) year. The referral procedure allowed an employer to hire tem- porary employees "at the gate" when the hall could not send applicants within 48 hours of the employer 's request. The contract provided: Section 5.10 If the registration list is exhausted and the Union is unable to refer applicants for employment to the Em- ployer within 48 hours from the time of receiving the Employer's request, Saturdays , Sundays and Holidays excepted, the Employer shall be free to secure appli- cants without using the referral procedure , but such applicants , if hired, shall have the status of temporary employees . The Employer shall notify the Business Manager promptly of the names and Social Security numbers of such temporary employees, and shall re- place such temporary employees as soon as registered applicants for employment are available under the re- ferr at procedure. B. Bechtel 's Need for Electricians and the Union Referrals 1. The need for electricians before December 10, 1974 There are many major construction projects in the Rock Springs, Wyoming, area . Local 322 has a membership of about 360 but during 1974 alone , it referred more than 3,200 electicians to various employers . During 1974, 1,398 referrals were made to Bechtel's Jim Bridger project. With the competition for electricians for various proj- ects , there has been a substantial turnover in Bechtel 's elec- trician employee complement . Bechtel has complained to the Union that the Union did not refer enough electricians and the Union has responded that it was not responsible if Bechtel could not hold its employees. Since 1973, Bechtel has had difficulty in maintaining a full work force of electricians. In early 1973, Bechtel began the arduous process of obtaining permission to hire Cana- dian nationals. In order to do so, Bechtel had to verify that there was a local as well as national shortage of electri- cians, show intensive recruiting efforts among U.S. nation- als, and receive written permission from Local 322, the State Employment Office, the U.S. Department of Labor, and the AFL-CIO. In addition, it had to have a written order for manpower placed with the local employment of- fice. Bechtel secured a letter from Local 322 agreeing that Canadians could be hired, and also obtained all the other necessary clearances . In late spring or early summer of 1973, Bechtel began recruiting Canadians and a number of them were hired. Bechtel's procedure in obtaining electricians from the re- ferral hall was to notify the Union in advance of its pro- jected employee requirements and then to place specific orders with the Union for immediate needs. By July 1974, Bechtel came to the conclusion that the Union was not supplying enough electricians through the hall to meet its requirements. About that time, Bechtel's labor relations representative, Kenneth E. Farquhar, spoke to Local 322 Business Manager Westling and Assistant Business Man- ager Appleby and complained that Bechtel's orders that had been in for some time had not been filled. The union representatives answered that Local 322 had sent more men than were needed to fill the jobs and it was not the Union's fault if Bechtel could not prevent the high rate of turnover. On July 24, 1974, Bechtel notified Local 322 in writing that it intended to seek electricians outside the hir- ing hall. That notification read: Pursuant to our telephone conversation this date our current manpower request placed with your locas [sic] is for 91 journeymen electricians. Unless substantial progress is achieved in filling our manpower require- ments, Bechtel Power Corporation will find it neces- sary to seek applicants for employment from other sources pursuant to Article 5, Section 5.10 of the cur- rent collective bargaining agreement . This action will be taken July 26, 1974. At that time, Bechtel employed approximately 200 elec- tricians and had unfilled orders placed for about 90 more. After notifying the Union of its intention to hire outside the hall, Bechtel placed advertisements in a number of newspapers in the Rocky Mountain area. Replies to the ads were given to Bechtel's electrical superintendent, Clay Lampman, who evaluated the qualifications of the appli- cants . Bechtel sent form letters to those applicants who were qualified. The letters instructed the applicants to re- port to a State Fire Marshall's office in Cheyenne to pick up a State permit and then to report directly to the jobsite.3 Farquhar sometimes talked to applicants who called 3W yoming requires certain electricians to hold either a temporary State permit or a State license . Bechtel has taken the position that this State requirement does not apply to the construction of a power plant for a public BECHTEL POWER CORP. 929 concerning the jobs. He told them that the project was going to last 1-1/2 or 2 years. If the applicants specifically asked how long they were going to work, Farquhar told them that he couldn't guarantee them a job for any length of time .4 Some of the applicants asked Farquhar whether they had to go to the union hall. Farquhar answered in the negative and said they could report directly to the jobsite. Beginning about the first of August 1974, a number of the applicants who had answered the advertisements were hired at the jobsite. The parties referred to these hires as "gate hires." 2. The hiring hall records A number of the Company's hiring hall records are in evidence. The records for group I referrals indicate refer- rals from May 13, 1974, through February 28, 1975. There are approximately 300 names on the group I referral list for that period. All of those listed are members of a local of the IBEW. With a relatively small number of exceptions, all of these group I applicants were referred for employment within a matter of days after their names appeared on the referral list. These records show that the last group I appli- cant hired from the referral hall at Bechtel's Jim Bridger project was on November 20, 1974.5 The hiring hall records in evidence showing group II referrals set forth from June 13, 1974, through February 24, 1975. These records list approximately 2,200 names. All of those listed are members of a local of the IBEW. With a relatively small number of exceptions, all of these group II applicants were referred for employment within a few days after their names appeared on the list. These records show that the last group II applicant hired from the referral hall at Bechtel's Jim Bridger project was on December 3, 1974. The Union's group III referral list shows referrals from July 10, 1974, through February 26, 1975. The forms used by the Union in making up the group III and IV lists are significantly different than those used to make up the group I and II lists . Both the group I and II lists have a column for union affiliation. There is no such column for the group III or the group IV list. The group III list con- tains approximately 135 names and the group IV list ap- proximately 40. The union affiliation of some 2,500 appli- cants (those listed in groups I and II) are meticulously specified in the hiring hall records. In this context, the fact that the approximately 175 applicants (those listed in groups III and IV) were not shown on those records to utility. The State initially disagreed with Bechtel 's contention , but the mat- ter has not been finally decided. Bechtel has used the State permit system as a means of checking on electricians ' qualifications but has never discharged or laid off an employee because of a lack of a permit or license . Bechtel has hired some electricians who did not have a permit or license. Some of the applicants testified that they understood Farquhar to tell them that their jobs would last for a protracted length of time. The above finding is based upon the credited testimony of Farquhar . It is likely that some of the applicants asked in general terms about the length of employ- ment and assumed that Farquhar 's remark concerning the length of the project indicated the length of their expected employment. The records list "Bechtel (J.B.)" which appears to refer to the Jim Bridg- er project . There are other listings for American Bechtel and Bechtel FMC which appear to refer to different projects with which this case is not con- cerned. have any union affiliation warrants the inference that the Union considered them to be nonunion. The records indi- cate that referrals were made from the group III list be- tween July 10 and September 4, 1974, but that since Sep- tember 4 there have been only two referrals from that list. One was on October 1, 1974, and the other was on Febru- ary 26, 1975, for an applicant who was listed as " marine." After September 4, 1974, approximately 90 applicants signed the group III list. At all times since that date there have been applicants on the list who have not been re- ferred. Of all the names appearing on the group III referral list, 14 were referred to Bechtel's Jim Bridger project. Elev- en of these were referred on July 29, 1974. The other three had special qualifications as welders. Two of those welders were referred on August 26 and one on September 3, 1974. It thus appears that after about August 1, 1974, when Be- chtel began hiring at its gate, Local 322 did not refer any applicants from its group III list (except for three specially qualified welders) to Bechtel's Jim Bridger project, even though Bechtel had outstanding orders for electricians. Be- chtel was hiring at its gate because of a lack of referrals from the hall, and the group III list contained the names of many applicants who could have been referred. The group IV referral list shows referrals from May 31, 1974, through February 20, 1975. That list contains the names of approximately 40 applicants. Of those 40 only 7 were referred for employment. None were referred to Bechtel's Jim Bridger project. 3. The decline in the need for electricians and the layoffs By late November 1974, Bechtel had in its employ at the Jim Bridger project approximately 400 electricians. These electricians had been hired both by referral from the hall and at the gate. About that time Bechtel was informed by the public utility for whom it was doing the construction work that a cash flow problem existed, and that there had been an extension of the schedule for completion of the work with a reduction in the budget. Bechtel's labor rela- tions representative, Farquhar, spoke to Westling and Ap- pleby of Local 322 about the need to reduce the force of electricians. Both Westling and Appleby told Farquhar that the gate hires who were employed under section 5.10 of the contract were temporary employees and had to be laid off first. The Canadian electricians were required to have visas in order to work in the United States. Those visas were about to expire within the 60 days after Bechtel decided to lay off electricians. The Canadian electricians were selected as the first to be laid off and Bechtel began laying them off on December 6, 1974. On December 10, 1974, Local 322 referred five or seven electricians to Bechtel at the Jim Bridger project. When the applicants reported at the brass shack (the building at which hires were made and identification was given), Far- quhar told them that Bechtel was reducing manpower and they would not be hired. Shortly thereafter, Appleby called Farquhar and asked why the men had been refused em- ployment. Farquhar told him that Bechtel was reducing manpower and could not hire any other electricians. Ap- pleby then said that as long as there were temporary em- 930 DECISIONS OF NATIONAL LABOR RELATIONS BOARD ployees on the jobsite Bechtel had to accept qualified ap- plicants from the referral hall. Farquhar replied that Ap- pleby was correct, but that the temporary employees would be laid off by the end of the day. On that day Bechtel did lay off all but two of the gate hires. In addition, two electri- cians who had been referred from the hall were laid off that day. On December 11, 1974, five other electricians who had been sent from the hall were laid off . On Decem- ber 12, one more electrician who had been sent from the hall was laid off, in addition to the two remaining gate hires.6 The layoffs continued from December 1974 through June 1975 , and at the time of the trial Bechtel employed approximately 130 electricians. Except for five apprentice electricians who were hired in January, Bechtel did not do any hiring of electricians after December 6, 1974. Farquhar credibly testified that he put the gate hires on the layoff list before the employees who had been referred to the hall because of the contractual requirements in sec- tion 5.10 of the contract. The layoffs among the employees who had been referred from the hall were based solely on an ability criteria. C. The Alleged Discriminatees 1. Carl A. Coates 2. Virgil H. Brown In early August 1974, Virgil H. Brown, a nonunion elec- trician with 4-1/2 years' experience, answered one of Bechtel's newspaper advertisements in the Denver Post. He received a response saying that he was qualified and ac- cepted. A few days later he called Bechtel on the telephone and Farquhar confirmed the job offer. Brown asked if it was a union job and Farquhar answered that it was. Brown then asked if he needed to go to the union hall to sign in. Farquhar replied in the negative. He told Brown to report to the jjobsite and that he (Farquhar) would notify the Union. Brown reported to the jobsite and was put to work on August 29, 1974. On December 10, 1974, Brown was laid off. On Decem- ber 13, 1974, Coates told Brown of his conversation with Appleby in which he had given Appleby the false informa- tion concerning his union affiliation. Brown went to the hiring hall on December 13 in the company of Steve Hud- speth S and spoke to Appleby. Brown and Hudspeth asked if there was any work available. Appleby replied that the job situation was bad, that people were laid off, and others were going to be laid off, and that if they had any other place to go they should go there. Carl A. Coates, a nonunion electrician with 16 years' experience , applied for work as an electrician after reading Bechtel's advertisement in a Cedar Rapids, Iowa , newspa- per. He wrote to Bechtel stating his experience . Bechtel replied that he had the qualifications for the position that was open and told him to report to the jobsite. After receiv- ing Bechtel 's letter, Coates called Bechtel and spoke to Farquhar, who gave him information concerning the job and reaffirmed the job offer. Coates came to the Rock Springs area on August 26, 1974. Before reporting to the jobsite, he obtained Local 322's telephone number from the phone book and called the Union 's office . Coates asked to speak to the union business agent and the person who answered the phone at the union office identified himself as the business agent . Coates asked what the procedure was for being sent out of the hall . Coates also gave his name and qualifications and said that he was not a union member . The man at the union hall who had identified himself as the business agent told Coates that there was nothing he could do for him. The next morning Coates went to Bechtel 's Jim Bridger project where he was put to work. On December 10, 1974, Coates' supervisor, Paul Certain, told him that the gate hires on the crew were to be laid off at 4 o'clock that day. Coates was laid off the same day. On December 13, 1974, Coates called Local 322 and spoke to Assistant Business Manager Appleby. Coates used an assumed name and told Appleby that he was a member of Local 288, IBEW, on his way back to Califor- nia and that he needed a few days' work. Appleby told Coates to come to the union hall to sign the book . Appleby also said that he thought he could send Coates out. 6 Farquhar credibly testified that the last two gate hires were laid off on December 13 rather than December 10 because of an oversight on his part. 3. Richard Loeffler and Paul H. Robertson Richard Loeffler, a nonunion electrician, and Paul H. Robertson, a nonunion electrician with more than 20 years' experience, read one of Bechtel's ads in a Salt Lake City newspaper. In early October 1974, they drove to Rock Springs, Wyoming, where they reported to the State Unem- ployment Office. At that office they were told to go to the union hall to speak to Appleby. They drove together to the union office where Robertson asked Appleby if there were jobs available in the area. Appleby responded by asking them what their union affiliation was. Robertson replied that they were both nonunion. Appleby replied that he had not white ticketed any people out of the hall for months. (Appleby credibly testified that the term "white ticket" is used to refer to any electrician who is not a member of a local of the IBEW and that the term "yellow ticket" is used to refer to any electrician who is a member of such a local.) In the course of this conversation, Robertson said that he had seen ads in the Salt Lake City papers advertising for electricians with Bechtel and another firm named Lum- mus. Appleby responded That those firms were not hiring other than union electricians. Robertson told Appleby that he intended to drive out and contact those firms to find out what the story was, because he felt someone was lying. Robertson then asked Appleby for a referral to contact those firms. Appleby responded that Robertson would be 7 Brown testified that Farquhar told him that he (Farquhar ) would put him in the Union. Farquhar averred that he never told any applicant that he would help them get into the Union and that he simply told the applicants that he would notify the Union pursuant to the contract. None of the other witnesses for the General Counsel who testified to conversations with Far- quhar averred that Farquhar said anything about putting them in the Union. I believe that Brown misinterpreted Farquhar's remark and I credit Farquhar. 8 Hudspeth is named in the complaint as a discriminatee. BECHTEL POWER CORP. wasting his time and gas to drive out to those firms. No referral was given. Robertson and Loeffler then reported back to the State Unemployment Office, where they were told that Bechtel and Lummus were hiring at the gate. They were given the names of people to see at those companies. After leaving the State Unemployment Office, Rob- ertson and Loeffler went to Bechtel's Jim Bridger project where they spoke to Supervisor Oscar Johnson. Robertson told Johnson that he had been refused referral at the hall, and he asked Johnson if Bechtel was able to hire. There was mention of the 48-hour clause in the agreement. John- son replied that he could hire and that he had done so the previous morning . Johnson offered jobs to both of the men and said that they could go to work that day. Loeffler ac- cepted the job and went to work the following Monday. Robertson expressed some hesitation because he wanted to give notice to the employer he was working for at the time. That evening, Robertson spoke on the telephone to an- other Bechtel supervisor, Clay Lampman. Robertson ex- pressed his interest in the job and Lampman said that Be- chtel could hire at the gate. The following morning, October 14, 1974, Robertson went to the Bechtel Jim Bridger project together with an- other alleged discriminatee, Gene Olschewski. Robertson introduced Olschewski to Lampman and Johnson and said that Olschewski might be interested in work. Olschewski was offered a job. Robertson said that he would be back when he had lived out his 2 weeks' notice. Lampman or Johnson spoke of the influx of electricians from other states and said that there could be no assurance of a job at a later date. On October 21, 1974, Robertson, in the company of 01- schewski and Craig Wells, went to the brass shack on the project. The clerk there asked Robertson for his referral. Lampman, who was present, said that he was their referral and told the clerk to hire them. All three were then hired. The same day Larry Thompson, a superintendent for Bechtel , told Robertson not to mention the fact that he was nonunion . When Thompson introduced Robertson to Gen- eral Foreman Evans, Thompson said that the only thing wrong with Robertson was that he was a gate hire. Both Loeffler and Robertson were laid off on December 10, 1974. 4. Gene Olschewski Olschewski, a nonunion electrician with more than 8 years' experience, went to Bechtel's Jim Bridger project with Paul Robertson on October 14, 1974, and was offered a job at that time. Unlike Robertson, Olschewski did not go to the union hall before seeking work at Bechtel. 01- schewski credibly testified that he did not go to the union hall because Robertson had told him that he (Robertson) and Loeffler went to the hall and it didn't do any good. Olschewski was hired by Bechtel on October 21 and went to work on October 23, 1974. Oschewski was laid off on December 10, 1974. 9 These findings are based on a composite of the credited testimony of Loeffler and Robertson. 5. Val Zinke 931 Val Zinke, a nonunion electrician with 5 or 6 years' ex- perience, began seeking work in the Rock Springs area in April or May 1974. At that time, he placed a telephone call from Denver to the Rock Springs office of the Union. An unidentified man answered the call at the union office. Zinke asked if there was work available in the Rock Springs area. The man replied by asking Zinke if Zinke was from the local in Denver. Zinke said that he was nonunion and that he had heard that there was work in the area. The man replied that he did not know where Zinke had heard that and there was nothing there that he could help him with. Zinke tried again in the last part of August. He called the union hall, identified himself, and asked if there was any work available in the area. The man who answered the phone in the union office asked if Zinke was out of the local in Denver and once again Zinke said that he was not. The man then said that there was no work available. Zinke said that he had seen an ad in the Denver Post. After the second inquiry of the Union, Zinke responded by letter to Bechtel's ad. Bechtel replied with a letter saying that work was available, that he seemed qualified, and that he was to report to the jobsite. After receiving the letter, Zinke called Bechtel on the telephone and asked if the job was still available. He was told that he had the job. On September 4, 1974, Zinke reported to the brass shack on the project and was told by a woman named Judy to go to Rock Springs to be referred out of the union hall. He went to the union hall and spoke to Appleby. Zinke told Appleby that he had a job with Bechtel and that a woman at Bechtel had sent him to be referred out. Appleby asked to see his paid up book and Zinke answered that he didn't have one. Appleby then said that there was nothing he could do for Zinke. Zinke went back to the Bechtel project and told the woman what had happened. Zinke was then put to work. On December 10, 1974, Zinke was laid off. 6. Steve Hudspeth Steve Hudspeth is named in the complaints as a discri- minatee. However, he did not take the witness stand and there is little evidence concerning him in the record. Virgil H. Brown credibly testified that Hudspeth was with him on December 13, 1974, when he (Brown) asked Appleby whether there was work available and Appleby replied that there was none. No other evidence was offered with regard to Hudspeth. 7. Harold M. Hudson The complaints state that all of the alleged discrimina- tees other than Hudson were unlawfully discharged on De- cember 10, 1974. As to Hudson, the complaints allege that he was unlawfully refused hire on January 27, 1975. Hudson went to the State Unemployment Office on Jan- uary 27, 1975. At that office he saw a job order from Bech- tel that stated that all journeymen inside wiremen had to 932 DECISIONS OF NATIONAL LABOR RELATIONS BOARD have current IBEW status.10 The first person Hudson spoke to in the office was a woman named Sally Skiles, who told him that the only work she was aware of was for electricians in an underground mine . Hudson spoke to an- other woman in the office who referred him to two employ- ers, one of whom was Bechtel. Hudson then went to the Bechtel Jim Bridger project where a guard brought him to see a woman in the brass shack. The guard told the woman to call Farquhar. The woman made the telephone call to Farquhar, who asked her if Hudson had been referred from the Union.l t The woman then asked Hudson if he was an IBEW member and Hudson said that he was not. The woman spoke to Farquhar on the phone again and then told Hudson that there were no jobs available . She asked him if he had been sent by the State Unemployment Office and he said that he had been. She said that all the Company's referrals were from the hall, that there had been a layoff the previous month, and that she did not know what the job possibilities were at that point. After leaving the Jim Bridger project, Hudson went to the union hall and spoke to Appleby. He told Appleby that he had come looking for work. Appleby replied that he had not sent a white ticket out for 6 months and that it would be several months more before he saw any chance of send- ing anyone out. Hudson stated that he had been a member of Local 591 in California and asked if it would help if he reinstated that membership. Appleby said that it would be up to Local 591 but that he didn't think it would do any good in the Rock Springs area.12 10 Resp. Company Exh . I is a job order form from Bechtel which was on file with the unemployment office which stated in part: "$11.00 a day sub- sistence . At Jim Bridger site . Must have current papers (journeyman [unin- tellilgiblel IBEW." 1 Farquhar credibly testified that he made that inquiry of the woman because Bechtel did not have anybody on order from the hiring hall and if the Union was sending in people, he was going to contact the Union and tell them not to do it again . As is set forth in detail above , Bechtel had made substantial cutbacks in its electrician complement and it was not doing any hiring of electricians at that time. 12 The findings with regard to the conversation between Hudson and Ap- pleby are based upon the credited testimony of Hudson . Appleby, in his testimony , acknowledged that the conversation took place, but he did not testify concerning anything being said about a white ticket. Hudson's ver- sion of the conversation is consistent with the testimony of other witnesses who credibly averred that Appleby spoke of not referring white ticket men. I credit Hudson. Appleby was in charge of Local 322's suboffice and hiring hall in Rock Springs during the period in question . He testified that he had no specific recollection of any conversations with the alleged discriminatees other than with Hudson . In general , he averred that he did not tell anyone coming into the hall with a letter from Bechtel that there was nothing that he could do for them. He testified that his general procedure was to explain to any applicant what work is available , how many people were on the books, and how long the applicant would have to wait . He also testified that his general procedure when he received a phone inquiry about work was to determine what category the applicant would be in and then advise the applicant how long it would take for the referral and whether there was any need for the person to come in. The findings above with regard to Appleby's statements to the alleged discriminatees are, with the exception of Hudspeth . based on the credible testimony of those alleged discriminatees . That testimony was in large measure mutually corroborative . The Union's own hiring hall rec- ords show a pattern which lends credence to the testimony of the alleged discriminatees . Where that testimony is inconsistent with that of Appleby, I do not credit Appleby. D. Further Findings, Analysis, and Conclusions 1. The priority in referrals to applicants who had prior employment with employers having a collective-bargaining agreement with Local 322 The agreement that was maintained and enforced be- tween Bechtel and Local 322 provided for an exclusive hir- ing hall and gave first priority in referrals to "group I" applicants . Under that contract , in order to qualify for group I status , an applicant had to "have been employed for a period of at least one (1) year in the last four (4) years under a collective bargaining agreement between the par- ties of this Addendum." To obtain "group III" status and therefore third priority in referral , an applicant had to "have been employed for at least six (6) months in the last three (3) years in the trade under a collective bargaining agreement between the parties to this Addendum." The contract by its terms was between Local 322 and the Cas- per Division of the Wyoming Chapter, NECA, Inc., "on behalf of its members who employ workmen under the terms and conditions contained herein , and who have signed a Letter of Assent to be bound by this Agreement .." The contract by its terms also provided that it "shall also apply to other individual employers who em- ploy workmen under the terms of this Agreement and by virtue of signing a similar Letter of Assent, authorize the Casper Division of the Wyoming Chapter NECA as their collective bargaining agent for all matters contained herein or affecting this agreement ...." Thus, the term "parties to this addendum" as used in the groups I and III referral criteria includes not only members of the Casper Division of the Wyoming Chapter, NECA, Inc., who have signed a letter of assent, but also any other individual employers who sign similar letters of assent. The term "parties to the addendum" as used in the hiring hall clauses included not only the members of the bargaining unit covered by the contract, but also any other employer who used the hall and rode along with the bargaining unit by signing the proper letter of assent. As Bechtel and Local 322 have interpreted and applied that contract , there is also a third category of employers who are bound by the con- tract and are therefore "parties to this addendum ." Within that category are employers who have signed an Interna- tional agreement with the IBEW and are covered by the Local 322 contract when that employer is doing work with- in the jurisdiction of Local 322 . Bechtel is such an employ- er and , though Bechtel is not part of the multiemployer bargaining unit covered by the Local 322 contract, it is bound by that contract . Under these circumstances, the preference given to applicants who have prior employment with "parties to this addendum" is not based on seniority with an employer within the multiemployer bargaining unit . Rather, it is a preference based on prior employment with an employer , whether within or without the bargain- ing unit in question who had a collective -bargaining con- tract with Local 322. In International Photographers of the Motion Picture In- dustries, Local 659 of the IATSE (MPO-TV of California, Inc.), 197 NLRB 1187, 1188-89, enfd . 477 F.2d 450 BECHTEL POWER CORP. 933 (C.A.D.C., 1973), cert. denied 414 U.S. 1157 (1974),13 the Board held that an employment referral list was invalid where it prevented "an applicant from obtaining initial em- ployment unless he has had prior employment at which he was represented by the Union." 14 In finding a violation, the Board held: In determining whether an employee is eligible to be placed on the roster, his work experience with employ- ers other than those who signed one of the aforemen- tioned agreements is not considered. Thus, qualifying experience is generally limited to experience with em- ployers having a collective-bargaining agreement with Respondent and/or IATSE. There can be no doubt that the actions of Respon- dent in applying the roster restrained and coerced employees in the exercise of rights guaranteed in Sec- tion 7 of the Act. In part, Section 7 gives employees the right to bargain collectively through representa- tives of their own choosing, or to refrain therefrom, subject of course to majority rule. Respondent's ac- tions penalize employees for having exercised their statutory right to refrain from bargaining collectively through Respondent in the past, while rewarding those employees who have chosen to work in units repre- sented by Respondent. [Footnotes omitted.] In Nassau-Suffolk Chapter of the National Electrical Con- tractors' Association, Inc., 215 NLRB No. 125 (1974), the Board applied the logic of the MPO-TV case to an exclu- sive hiring hall situation where preference in referral was granted to applicants who had prior employment "under a collective-bargaining agreement between the parties of this Referral Procedure." In substance, it was held that "the parties of this Referral Procedure" included both employ- ers within the bargaining unit and employers outside of the bargaining unit who had collective-bargaining agreements with that union. The Board adopted the Administrative Law Judge's conclusion that the priority in employment was granted to applicants not based on length of service with an employer, but rather on the basis of prior employ- ment at which the applicant was represented by the union." The Board concluded that, by maintaining and enforcing the contract, the union violated Section 8(a)(1)(A) and (2) of the Act and the company violated 8(a)(1) and (3) of the Act. The instant case is controlled by the decisions in MPO- TV and Nassau-Suffolk. Bechtel and Local 322 have main- tained and enforced a collective-bargaining agreement containing an exclusive hiring hall arrangement under 13 See also Directors Guild of America, Inc. (Association of Motion Picture & Television Productions , Inc.), 198 NLRB 707, enfd. 494 F.2d 692 (C.A. 9. 1974). 14 The Board distinguished that situation from one in which the parties to an agreement lawfully make seniority depend on the date of hire in a bar- gaining unit and therefore give inferior seniority ranking to employees transferred from another unit. 15 Section 8(f) of the Act states that it shall not be an unfair labor practice for an employer engaged in the construction industry to make an agreement which "provides for priority in opportunities for employment based upon length of service with such employer .. .. In Nassau-Suffolk it was held that the priority in referral was not based on length of service (seniority) with the employer, but rather on prior employment at which the applicant was represented by the Union. which preference in referral was given to applicants who had prior employment at which they were represented by Local 322. That representation was not merely something that coincided with seniority based on employment with an employer who was a member of a multiemployer bargain- ing unit. Preference in referral was based on prior employ- ment with an employer having a contract with Local 322 whether or not that employer was part of the multiemploy- er bargaining unit. As in the MPO case, the collective- bargaining agreement "penalize[d] employees for having exercised their statutory right to refrain from bargaining collectively through (the Union) in the past, while reward- ing those employees who have chosen to work in units rep- resented by (the Union)." I find that by maintaining and enforcing those provisions of the collective-bargaining agreement, Bechtel violated Section 8(a)(1) and (3) of the Act and Local 322 violated Section 8(b)(1)(A) and (2) of the Act. 2. The operation of the hiring hall and the layoffs of Coates, Brown, Loeffler, Robertson, Olschewski, and Zinke An exclusive hiring hall gives a great deal of authority over the hiring process to a union, but such authority is not in itself violative of the Act.16 However, under such a hir- ing hall system, except under circumstances not present here, a union cannot lawfully refuse to refer an applicant because of union considerations.'? Where an employer has contracted to use and does use a union's exclusive hiring hall, the employer will be held to have violated the Act when the union unlawfully refuses to refer an applicant because of union considerations.'s A violation also occurs where an exclusive hiring hall is operated in such a manner that union members who are referred from the hall can "bump" (or obtain job retention rights over) temporary nonunion employees who are hired at the gate. Article V of the contract provides for the hiring hall. Section 5.10 appears within article V and is an integral part 16 Local 357, International Brotherhood of Teamsters, Chauffeurs, Ware- housemen and Helpers of America [Los Angeles-Seattle Motor Express] v. N.L.R.B., 365 U.S. 667 (1961). 17 Seafarers International Union of North America, Atlantic, Gulf, Lakes & Inland Waters District, AFL-CIO (Ismthian Lines, Inc.), 202 NLRB 657 (1973), enfd. 496 F.2d 1363 (C.A. 5, 1974 ); International Brotherhood of Electrical Workers, AFL-CIO, Local 82 (National Electrical Contractors Assn.), 182 NLRB 59 (1970), and International Brotherhood of Electrical Workers, AFL-CIO, Local 648 (Foothill Electrical Corp.), 182 NLRB 66 (1970), enfd. 440 F.2d 1184 (C.A. 6, 1971). A union may enforce a lawful union-security clause in the operation of its hiring hall and also may condi- tion referral on payment of a reasonable nondiscriminatory hiring hall fee. Boston Cement Masons and Asphalt Layers Union No. 534 (Duron Maguire Eastern Corp.), 216 NLRB 568 (1974). However, there is no issue concerning union-security clauses or hiring hall fees in this case. 18 Castleman and Bates, Inc., 200 NLRB 477, enfd. 502 F.2d 1161 (C.A. I, 1974). As the Second Circuit Court of Appeals held in Morrison-Knudsen Company, Inc., 275 F.2d 914 (1960), cert. denied 366 U.S. 909 (1961): But regardless of the extent of their knowledge we agree with the Board that an employer may not avoid liability for violations of the Act by the hiring hall when he has turned over to it the task of supplying the men to be employed. The Local acted as agent for the petitioners in select- ing the men to be hired. Its discriminatory acts, which unlawfully en- courage membership in Local 545, are properly chargeable to the agent's principal as discriminatory acts by it. 934 DECISIONS OF NATIONAL LABOR RELATIONS BOARD of the hiring system. That section provides that, where the union is unable to refer applicants within 48 hours of an employer's request, the employer may secure applicants without using the referral procedure . It also provides that such applicants may be hired only as temporary employ- ees, that the employer shall notify the union of the names of such hires, and that temporary employees are to be re- placed whenever applicants are available from the hiring hall. In the instant case the record establishes that at least by August 1, 1974, when Bechtel began hiring at the gate, Bechtel needed electricians and had outstanding orders at the hiring hall for their referral; that the Union had on its referral lists nonunion electricians ; that the Union did not refer the nonunion electricians ; that the Union would not refer nonunion applicants who made inquiries at the hiring hall; that nonunion applicants who could not secure refer- ral from the hall were hired by Bechtel as temporary em- ployees pursuant to the terms of the contract; that the Union insisted that those temporary employees be laid off before any employees who had been referred from the hall; and that a number of Bechtel 's employees were laid off on about December 10, 1974 , pursuant to the contract, be- cause they had the status of temporary employees. On July 24, 1974, Bechtel notified the Union in writing that it had unfilled orders with the hiring hall for 91 electri- cians and that it intended to hire at the gate pursuant to its right to do so under the contract.19 Under the contract, Bechtel had the right to hire at the gate only when the Union did not supply enough electricians through the re- ferral hall. The Union did not supply enough electricians through the hall and Bechtel did hire at the gate beginning about August 1, 1974. Though there were a number of non- union electricians on the groups III and IV referral lists, none, with the exception of three electricians from the group III list who had special qualifications as welders, were referred to Bechtel after August 1 when Bechtel start- ed hiring at the gate. The Union continued to refer union electricians from the groups I and II lists and the remain- der of Bechtel's needs were obtained from gate hires, who had the status of temporary employees . The effect of this system was to have union electricians referred from the hall as regular employees and nonunion electricians hired at the gate as temporary ones , who were subject to dismiss- al when the hall could supply enough union electricians to meet Bechtel's needs . The temporary employees were also subject to dismissal before any electrician who had been referred from the hall could be laid off. Coates, Brown, Loeffler, Robertson, Olschewski, and Zinke were all effectively barred from referral from the hall because of their nonunion status. They all obtained tempo- rary employment from Bechtel as gate hires and they were subsequently all laid off because of their status as tempo- rary employees so that employees who had been referred from the hall could retain their jobs when a reduction in force was called for. 19 The Union's contention that it was Bechtel 's fault that Bechtel could not keep the electricians that had already been referred from the hall does not detract from the conclusion that Bechtel had openings for and desired to hire a large number of electricians. The conclusion that these employees had no access to referral from the hall is warranted both by an examination of the hiring hall records and the testimony of those em- ployees. Coates spoke on the telephone to a person at the union hall who identified himself as a business agent. Coates said that he was not a union member and that man informed Coates that there was nothing he could do for Coates with regard to referral. Yet at that time Bechtel needed a man of Coates' qualifications and Coates was put to work as a gate hire the following day. Coates was laid off on December 10, 1974. On December 13, Coates called the Union' s assis- tant business manager, Appleby. Coates used an assumed name and said that he was a member of a California local. Appleby told Coates to come to the hall and sign the book and that he thought he could send Coates out. ° Brown did not have any direct contact with the Union. However, when Bechtel's labor relations representative, Farquhar, offered a gate hire to Brown, Brown asked if he needed to go to the union hall to sign in. Farquhar replied that he need not go and that he (Farquhar) would notify the Union. As an agent of Bechtel, Farquhar was in a posi- tion to know the workings of the agreement between Be- chtel and the Union concerning hiring. When he told Brown that Brown need not go to the Union, Farquhar was accurately reflecting the fact that it would not do Brown any good to go to the Union because Brown would not be referred out. In light of the Union's hiring hall records and the testimony of Coates and the other employees described below, it is quite apparent that Brown would have been engaging in a futile act if he had contacted the Union. When, after Brown's layoff, he did go to the Union seeking referral, Appleby told him the job situation was bad and that he should go some place else. That conversation took place shortly after Appleby told Coates, who had repre- sented himself as a union member, that Coates should sign the book and that he (Appleby) thought that he could send Coates out. Loeffler and Robertson did go to the hiring hall where they spoke to Appleby. After ascertaining that they were nonunion, Appleby said that he had not white ticketed any people out of the hall for months. White tickets refer to nonunion electricians. Appleby also told them that they would be wasting their time and gas to try to find jobs themselves . Both Loeffler and Robertson were hired at the gate by Bechtel. Olschewski did not have any direct contact with the Union. Olschewski did not go to the union hall because Robertson and Loeffler recounted their experience to him 20 The Union contends that it had no obligation to refer Coates and other applicants who had already been promised gate hires by Bechtel. That con- tention is without substance . Gate hires were temporary employees who were subject to bumping by applicants who were referred from the hall. The only route to regular employee status was through the referral hall. The Union cannot insist that union referrals from the hall displace nonunion temporary employees and at the same time deny the right of the nonunion temporary employees to achieve regular status by referral. In addition, the Union's assistant business manager, Appleby, acknowledged in his testimo- ny that a number of people who had letters from Bechtel offering them employment came to the union hall, were put on the referral books, and as their names came up were referred out. Appleby also acknowledged that where possible he granted employee preference with regard to where the employee wanted to be sent. BECHTEL POWER CORP. 935 and said that it didn't do any good. Under those circum- stances, Olschewski reasonably concluded that it would be futile for him to seek referral from the hall. Olschewski was also hired at the gate by Bechtel. Zinke made a number of efforts to secure referral from the hall. In April or May 1974, he spoke on the telephone to someone at the union office who asked if Zinke was union. When Zinke replied that he was not, he was told that there was nothing that could be done to help him. Zinke tried again the last part of August. Again, he was asked if he were union and when he responded in the nega- tive, he was told that there was no work available. On Sep- tember 4, 1974, Zinke reported to the hiring hall and said that he had a job with Bechtel. Appleby asked to see his paid up book and when Zinke replied that he didn't have one, Appleby said that there was nothing he (Appleby) could do for him. Thereafter, Zinke was hired by Bechtel as a gate hire. On December 10, 1974, Bechtel refused to hire a number of electricians who were referred from the hall. When this matter was reported to Appleby, Appleby called Farquhar and told him that as long as there were temporary employ- ees on the jobsite, Bechtel had to accept qualified appli- cants from the referral hall. That day the gate hires named above were laid off. Farquhar admitted that he put the gate hires on the layoff list before the employees who had been referred from the hall because of the contractual require- ments in Bechtel's contract with the Union. In sum, I find that Coates, Brown, Loeffler, Robertson, Olschewski, and Zinke were effectively precluded from us- ing the exclusive hiring hall because of their nonunion sta- tus; that because of that nonunion status and their inability to use the hiring hall, they were hired by Bechtel as tempo- rary rather than regular employees; that the hiring hall provisions of the contract required the temporary employ- ees to be laid off before the regular employees; and that pursuant to that contract, they were laid off on December 10, 1974. Bechtel and the Union so interpreted and en- forced the hiring hall provisions of their contract that those employees were given temporary employee status because of their nonunion membership and that temporary status led to their layoffs. By such action, the Union violated Section 8(b)(1)(A) and (2) and Bechtel violated Section 8(a)(1) and (3) of the Act. 3. Steve Hudspeth The complaints name Hudspeth as one of the discrimi- natees who was laid off on December 10, 1974. Hudspeth did not testify and there is no evidence in the record with regard to him other than the testimony of Brown that Hud- speth was with him on December 13, 1974, when Appleby told them that there was no work available. The evidence in the record does not support a finding that Hudspeth was laid off in violation of the Act. It does not even establish that he was employed or laid off by Bechtel. The complaint alleges that on or about December 10, 1974, seven named employees and "other employees whose names are known to Respondent" were terminated in violation of the Act. While the complaint is broad enough to allow the General Counsel to develop evidence with regard to particular peo- ple other than the named discriminatees, I do not believe that Respondents have been put on notice that they have to defend against a class action running to the benefit of all gate hires who were laid off by Bechtel.21 Thus, even if Hudspeth could show at a backpay hearing that he was a member of that class (laid off gate hires), I do not believe that Hudspeth would be entitled to relief under this com- plaint. I shall therefore recommend the dismissal of that portion of the complaint which alleges that Hudspeth was terminated in violation of the Act. 4. Harold Hudson On January 27, 1975, Hudson saw a job order from Be- chtel stating that all journeymen inside wiremen had to have current IBEW status. When he inquired for work at Bechtel, he was told that all the Company's referrals were from the hall and there were no jobs available.22 Hudson then went to the hiring hall where he was told by Appleby that Appleby had not sent out a white ticket for 6 months and that it would be several months more before there was a chance of sending anyone out. When Hudson asked whether it would help to reinstate his membership in a sister local, Appleby replied that he didn't think it would do any good. As found above, Bechtel continued to lay off employees from December 1974 through June 1975. Except for five apprentice eletricians who were hired in January 1975, Be- chtel did not do any hiring of electricians after December 6, 1974. Hudson attempted to secure a job with Bechtel while Bechtel was engaging in a major reduction in force. On December 10, 1974, Bechtel refused to hire electricians that had been referred from the hall. As Bechtel was doing no hiring of employees in Hudson's classification at the time that Hudson was seeking employment, it cannot be found that Bechtel refused to hire Hudson because he had not been referred from the Union or that the failure of the Union to refer Hudson resulted in Bechtel's refusal to hire him. However, as is manifest from Appleby's statement to Hudson that Appleby had not sent a white ticket out for 6 months, Hudson was effectively denied access to the hiring hall procedure. Appleby did not ask Hudson to sign the referral list or inform him of his right to participate in the hiring hall procedure for whatever work became available in the future. Consistent with his conduct toward the other discriminatees named above, Appleby barred the use of the hiring hall procedure by nonunion applicants such as Hud- son. In Utility and Industrial Construction Company and Local 1076, International Laborers Union of North America, AFL- CIO, 214 NLRB 782 (1974), the Board held: The Administrative Law Judge reasoned that, be- cause the Respondent Company never again request- 21 Cf. Georgia, Florida, Alabama Transportation Company, 219 NLRB 656 (1975). 22 Though the woman Hudson spoke to at Bechtel asked him if he was an IBEW member, I do not believe that that evidence indicates that Hudson was denied employment at that time because of his nonunion status. Before that date, Bechtel had made substantial cutbacks in its work force and it was doing no hiring of any kind. 936 DECISIONS OF NATIONAL LABOR RELATIONS BOARD ed any employees from the Respondent Union 's refer- ral system , the violation was merely a theoretical one and dismissed the allegations of the complaint in re- gard thereto . This conclusion must be rejected. We have consistently held that to establish a violation, it is unnecessary to show that jobs were available at the time of the request for referral . [Footnote omitted.] The stated reason for the Union 's refusal to register and refer was nonmembership . Hence , we find that by refusing . . . to register and refer [the applicant], the Respondent Union violated Section 8(b)(1)(A) and 8(b)(2) of the Act. In that case, the Board ordered the Union to register the discriminatee immediately and make him whole for any loss of earnings by reason of lost opportunity for referral "during the period March 1, 1974, to the present." The Board went on to hold : "the record reveals that there were no possible referrals from March 1, 1974, until the time of hearing . Whether there was a loss because of any opportu- nities after that must be ascertained at the compliance stage of the proceedings." In the instant case , I find that Hudson was denied access to the referral procedure because of his nonunion status. The Union thereby violated Section 8 (b)(1)(A) and (2) of the Act . While the record reveals that Bechtel did no hiring of employees in Hudson 's classification , from the date of Hudson 's attempt to use the hiring hall until the date of hearing , and that therefore there was no loss of earnings by Hudson up to the date of hearing that are attributable to the refusal of the Union to allow him to use the hiring hall, I shall recommend that the Union be ordered to make Hudson whole in the manner set forth in Utility and Indus- trial Construction Company, supra. IV. THE EFFECT OF THE UNFAIR LABOR PRACTICES UPON COMMERCE The activities of Bechtel and the Union , as set forth in section III , above , occurring in connection with the busi- ness operations of Bechtel set forth in section I, above, have a close , intimate, and substantial relationship to trade , traffic, and commerce among the several States and tend to lead to labor disputes burdening and obstructing commerce and the free flow of commerce. V. THE REMEDY Having found that Bechtel has engaged in unfair labor practices within the meaning of Section 8 (a)(1) and (3) of the Act , and that the Union has engaged in unfair labor practices within the meaning of Section 8(b)(1)(A) and (2) of the Act , I shall recommend that they be ordered to cease and desist therefrom and to take certain affirmative action designed to effectuate the policies of the Act. Having found that Coates , Brown , Loeffler , Robertson, Olschewski , and Zinke were unlawfully terminated on De- cember 10, 1974 , because of the unlawful operation of the hiring hall arrangement between Bechtel and the Union, I shall recommend that the Union be ordered to notify Bechtel , in writing , with a copy to each of those employ- ees, that it has no objection to their immediate and full re- instatement to their former jobs or, if those jobs no longer exist , to substantially equivalent positions without preju- dice to their seniority or other rights and privileges . I shall also recommend that Bechtel be ordered to offer each of those employees immediate and full reinstatement to their former jobs or, if those jobs no longer exist , to substantially equivalent positions without prejudice to their seniority or other rights and privileges . I shall further recommend that the Union and Bechtel be ordered jointly and severally to make those employees whole for any loss of earnings they may have suffered as the result of the discrimination against them by payment to each of them of the amount each normally would have earned from December 10, 1974, which was the date of their discharges , to the dates set forth hereafter , less net earnings , to which shall be add- ed interest at the rate of 6 percent per annum , in accor- dance with the formula set forth in F. W. Woolworth Com- pany, 90 NLRB 289 (1950), and Isis Plumbing & Heating Co., 138 NLRB 716 (1962). In the case of the Union, its backpay liability shall terminate 5 days after it notifies Be- chtel and those employees that it has no objection to their reinstatement , as provided above . In the case of Bechtel, its backpay liability shall terminate on the date that those em- ployees are offered reinstatement. Having found that the Union unlawfully refused access to its hiring hall to Hudson, I shall recommend that it be ordered to register Hudson immediately and to make him whole for any loss of earnings he may have suffered by reason of lost opportunity for referral to Bechtel during the period January 27, 1975 , to the present 23 I shall further recommend that Bechtel be ordered to preserve and, upon request , make available to the Board or its agents , for examination and copying, all payroll records, social security payment records , timecards , personnel rec- ords and reports , and all other records necessary to analyze the amount of backpay due. In addition , I shall recom- mend that the Union be ordered to preserve all hiring hall records and, upon request, make them available to the Board or its agents for the purpose of analyzing the amount of backpay due. As the unlawful conduct of the Union indicates a pur- pose to limit the lawful rights of applicants for employ- ment , and the danger of its continued further commission is reasonably foreseen , I shall also recommend that the Union be ordered to cease and desist from operating its exclusive hiring hall in such a manner as to cause or at- tempt to cause any employer subject to the Board 's juris- diction to deny employment to any employee or applicant for employment because of lack of union membership. CONCLUSIONS OF LAW 1. Bechtel is an employer engaged in commerce within the meaning of Section 2(6) and (7) of the Act. 23 The record reveals that Bechtel did no hiring of employees in Hudson's category from January 27, 1974, until the time of hearing . Whether there was a loss because of any opportunities after that must be ascertained at the compliance stage of the proceeding. See Utility and Industrial Construction Company, supra. BECHTEL POWER CORP. 937 2. The Union is a labor organization within the meaning of Section 2(5) of the Act. 3. By maintaining, enforcing, and otherwise giving ef- fect to an exclusive hiring hall contractual arrangement which gives preference in referrals and employment oppor- tunities to applicants for employment who have previously worked for employers who had collective-bargaining agree- ments with the Union, the Union violated Section 8(b)(1)(A) and (2) of the Act and Bechtel violated Section 8(a)(1) and (3) of the Act. 4. By maintaining, enforcing, and otherwise giving ef fect to an exclusive hiring hall contractual arrangement which was operated in such a manner as to exclude non- union members from the hiring hall and require nonunion members to be hired only as temporary employees, the Union violated Section 8(b)(1)(A) and (2) of the Act and Bechtel violated Section 8(a)(1) and (3) of the Act. 5. By maintaining, enforcing, and otherwise giving ef- fect to an exclusive hiring hall contractual arrangement in such a manner as to require the discharge of Coates, Brown, Loeffler, Robertson, Oschewski, and Zinke because as nonunion employees they were hired as temporary em- ployees, and by the discharge of those employees, the Company violated Section 8(a)(1) and (3) of the Act and the Union violated Section 8(b)(1)(A) and (2) of the Act. 6. By refusing to allow Hudson access to its exclusive hiring hall because Hudson was not a member of a union, the Union violated Section 8(b)(1)(A) and (2) of the Act. 7. The aforesaid unfair labor practices are unfair labor practices affecting commerce within the meaning of Sec- tion 2(6) and (7) of the Act. Upon the foregoing findings of fact, conclusions of law, and upon the entire record, and pursuant to Section 10(c) of the Act, I hereby issue the following recommended: ORDER24 A. Respondent, International Brotherhood of Electrical Workers, Local No. 322, AFL-CIO, Casper, Wyoming, its officers, agents, and representatives shall: 1. Cease and desist from: (a) Maintaining, enforcing, or otherwise giving effect to an exclusive hiring hall contractual arrangement with Bechtel Power Corporation which gives preference in refer- rals and employment opportunities to applicants for em- ployment who have previously worked for employers who had collective-bargaining agreements with said Union. (b) Maintaining, enforcing, or otherwise giving effect to an exclusive hiring hall contractual arrangement with Be- chtel Power Corporation which is operated in such a man- ner as to exclude nonunion members from the hiring hall or which requires nonunion members to be hired only as temporary employees. (c) Causing or attempting to cause Bechtel Power Cor- 24 In the event no exceptions are filed as provided by Sec. 102.46 of the Rules and Regulations of the National Labor Relations Board , the findings, conclusions , and recommended Order here shall, as provided in Sec . 102.48 of the Rules and Regulations , be adopted by the Board and become its findings, conclusions , and Order , and all objections thereto shall be deemed waived for all purposes. poration to discharge or discriminate with regard to the retention of employment of any employee because that em- ployee is not a member of a union. (d) Refusing to allow any employee access to its exclu- sive hiring hall because that employee is not a member of a union. (e) Operating its exclusive hiring hall in such a manner as to cause or attempt to cause any employer subject to the Board's jurisdiction to deny employment to any employee or applicant for employment because of lack of union membership. (f) In any like or related manner restraining or coercing employees in the exercise of their rights guaranteed in Sec- tion 7 of the Act. 2. Take the following affirmative action which is neces- sary to effectuate the policies of the Act: (a) Notify Bechtel Power Corporation, in writing, that it has no objection to the immediate and full reinstatement of Carl Coates, Virgil Brown, Richard Loeffler, Paul Rob- ertson, Gene Olschewski, and Val Zinke to their former jobs, or if those jobs no longer exist, to substantially equiv- alent positions, without prejudice to their seniority or other rights and privileges, and furnish those employees with a copy of such notification. (b) Jointly and severally with Bechtel Power Corpora- tion make the above-named employees whole for any loss of earnings they may have suffered as a result of the dis- crimination against them in the manner set forth in the section of this Decision entitled "The Remedy." (c) Register Harold Hudson at its exclusive hiring hall and make him whole for any loss of earnings he may have suffered by reason of lost opportunity for referral to Bechtel Power Corporation in the manner set forth in the section of this Decision entitled "The Remedy." (d) Preserve and, upon request, make available to the Board or its agents, for examination and copying, all hiring hall records necessary to analyze the amount of backpay due. (e) Post at its business offices, hiring hall, and meeting places, copies of the attached notice marked "Appendix A." 25 Copies of said notice on forms provided by the Re- gional Director for Region 27, after being duly signed by its authorized representative, shall be posted by it immedi- ately upon receipt thereof, and be maintained by it for 60 consecutive days thereafter, in conspicuous places, includ- ing all places where notices to members are customarily posted. Reasonable steps shall be taken by it to insure that said notices are not altered, defaced, or covered by any other material. (f) Deliver to the Regional Director for Region 27 signed copies of said notice in sufficient numbers to be posted by Bechtel Power Corporation in all places where notices to employees are customarily posted. (g) Notify the Regional Director for Region 27, in writ- ing, within 20 days from the date of this Order, what steps it has taken to comply herewith. 25 In the event that the Board's Order is enforced by a Judgment of a United States Court of Appeals, the words in the notice reading "Posted by Order of the National Labor Relations Board" shall read "Posted Pursuant to a Judgment of the United States Court of Appeals Enforcing an Order of the National Labor Relations Board" 938 DECISIONS OF NATIONAL LABOR RELATIONS BOARD B. Respondent, Bechtel Power Corporation, San Fran- cisco, California, its officers , agents, successors , and as- signs, shall: 1. Cease and desist from: (a) Maintaining, enforcing, or otherwise giving effect to an exclusive hiring hall contractual arrangement with In- ternational Brotherhood of Electrical Workers, Local No. 322, AFL-CIO, which gives preference in referrals and em- ployment opportunities to applicants for employment who have previously worked for employers who had collective- bargaining agreements with that Union. (b) Maintaining, enforcing, or otherwise giving effect to an exclusive hiring hall contractual arrangement with said Union which is operated in such a manner as to exclude nonunion members from the hiring hall or which requires nonunion members to be hired only as temporary employ- ees. (c) Discharging or discriminating with regard to the re- tention of employment of any employee because that em- ployee is not a member of a union. (d) In any like or related manner interfering with, re- straining , or coercing its employees in the exercise of their rights guaranteed in Section 7 of the Act. 2. Take the following affirmative action which is neces- sary to effectuate the policies of the Act: (a) Offer Carl Coates, Virgil Brown, Richard Loeffler, Paul Robertson, Gene Olschewski, and Val Zinke immedi- ate and full reinstatement to their former jobs or , if those jobs no longer exist, to substantially equivalent positions, without prejudice to their seniority or other rights and priv- ileges. (b) Jointly and severally with International Brotherhood of Electrical Workers, Local No. 322, AFL-CIO, make the above-named employees whole for any loss of earnings they may have suffered as a result of the discrimination against them in the manner set forth in the section of this Decision entitled "The Remedy." (c) Preserve and, upon request , make available to the Board or its agents , for examination and copying, all pay- roll records, social security payment records , timecards, personnel records and reports , and all other records neces- sary to analyze the amount of backpay due. (d) Post at its Jim Bridger Power Plant project copies of the attached notice marked "Appendix B." 26 Copies of said notice , on forms provided by the Regional Director for Region 27, after being duly signed by its authorized representative, shall be posted by it immediately upon re- ceipt thereof , and be maintained by it for 60 consecutive days thereafter , in conspicuous places , including all places where notices to employees are customarily posted. Rea- sonable steps shall be taken by it to insure that said notices are not altered , defaced, or covered by any other material. (e) Deliver to the Regional Director for Region 27 signed copies of said notice in sufficient number to be post- ed by International Brotherhood of Electrical Workers, Local No. 322, AFL-CIO, in places where notices to mem- bers are customarily posted. (f) Notify the Regional Director for Region 27, in writ- ing, within 20 days from the date of this Order , what steps have been taken to comply herewith. C. IT IS FURTHER ORDERED that those allegations in the complaints as to which no violations have been found are hereby dismissed. 26 See In . 25, supra. Copy with citationCopy as parenthetical citation