Boeing Airplane Co.Download PDFNational Labor Relations Board - Board DecisionsDec 24, 194246 N.L.R.B. 267 (N.L.R.B. 1942) Copy Citation In the Matter of BOEING AIRPLANE COMPANY, WICHITA DIVISION and INTERNATIONAL UNION, UNITED AUTOMOBILE, AIRCRAFT & AGRICUL- TUAL IMPLEMENT WORKERS OF AMERICA` (UAW-CIO), AFFILIATED WITH/THE CONGRESS OF INDUSTRIAL ORGANIZATIONS In the Matter of BOEING AIRPLANE COMPANY, WICHITA DIVISION and INTERNATIONAL ASSOCIATION OF MACHINISTS, AFFILIATED WITH THE - AMERICAN FEDERATION OF LABOR Cases Nos . C-2287 and C-2288, respectively.-Decided December 24, 1942 Jurisdiction : airplane manufacturing industry Unfair Labor Practices Interference, Restraint, and Coercion: declaration of preference for bargaining individually rather than collectively through medium of alleged neutrality letters ; anti-union statements ; distribution of scurrilous anti-union handbills, not effectively dissipated by employer. Discrimination: demotion and discharge of supervisory employees by -discrimi- natory enforcement of neutrality rule; discharge of non-supervisory employees by discriminatory enforcement of rule prohibiting union activity on company time; charges of, dismissed as to one employee. - Remedial Orders : cease and desist unfair labor practices; reinstatement and back pay awarded. DECISION AND ORDER Upon complaint issued -pursuant to charges duly filed by Inter- national Union, United Automobile, Aircraft & Agricultural Imple- ment Workers of America (UAW-CIO), affiliated with the Congress of Industrial Organizations, herein called the C. I. 0., and by International Association of Machinists, affiliated with the American Federation of Labor, herein called the A. F. of L., against Boeing Airplane Company, Wichita -Division, Wichita, Kansas, herein called the respondent, a hearing was held before a Trial Examiner in Wichita;' Kansas, from June 8 to 12, 4942, in which the Board, the respondent, the C. I. 0., and the A. F. of L. participated by their representatives. The- Board has reviewed the rulings of the Trial Examiner made on motions and on objections to the admission of evidence and finds that no prejudicial error was committed. The rulings are hereby affirmed. - 46 N. L R B.. No. 35. 267 268 DECISIONS OF NATIONAL LABOR RELATIONS BOARD On August 5, 1942, the Trial Examiner issued his Intermediate Report, finding that the respondent had engaged in violations of the Act. Exceptions to the Intermediate Report were thereafter filed by the respondent, the C. I. 0., and the A. F. of L. The respondent and the C. I. O. also filed briefs in support of their exceptions. Oral argument was held before the Board at Washington, D. C., on October 22, 1942. - The Board has considered the Intermediate Report, the exceptions and briefs, and the entire record, and hereby adopts the findings, conclusions, and recommendations of the Trial Examiner, except 'insofar as they are inconsistent with our decision hereinafter set forth. The record is clear and we are convinced that, except as indicated below, the respondent engaged in the unfair labor practices alleged in the complaint. On January 17, 1941, shortly after the C. I. O. and the A. F. of L. had begun ,their organizational activities among the respondent's employees, the respondent, by J. G. Schaefer, its vice president and general manager, sent a letter to all its employees, stating the respondent's neutrality with respect to labor organizations and setting forth certain "employee obligations." The letter con- cluded as follows : You are free to report to- the management any violation of the foregoing principles as you are to report violations of any com- pany rules. With the idea of maintaining harmony and maxi- mum efficiency for the discharge of our National Defense obliga- tions, I urge your cooperation in ' carrying out the letter and spirit of this entire letter and to that end suggest that the points herein set forth, be freely and openly discussed between any element of the management and the employees-between you and your supervisor, between you and ,your foreman, or between you and the Plant Superintendents, or any. Department heads • you choose, and finally between you and myself if you wish. It is not necessary to discuss labor organization "behind one's back". The management is willing and anxious to discuss with any em- ployee, singly or in groups, any of the points herein set forth. or any other matter which may tend toward a closer employer- employee, relationship and understanding. The intervention or interference of third parties for such a 'purpose is unnecessary. The Trial Examiner found that the statements above set forth were not violative of the Act and accordingly recommended that the alle- gation •in the complaint, that the respondent advised "its employees, to discuss grievances with it directly rather than through their unions and union representatives," be dismissed. The C. I. O. excepted to the Trial Examiner's finding and recommendation. We think the BOEING, AIRPLANE COMPANY 269 exception well taken. Viewed against the respondent's entire course of conduct, including the unfair labor practices subsequently engaged in by the respondent, we are of the opinion and find that the state- ments above quoted were intended to indicate and necessarily did indi cate to the respondent's employees its preference for the discussion of grievances with the employees directly, rather than with the collec- tive bargaining representatives of the employees, and interfered with their free designation of a bargaining representative. The respond- ent's effort to discourage its employees in seeking outside representa- tion is further evidenced by the testimony of employee Arthur Alexan- der,'whom we find to be a credible witness, as did the Trial Examiner, that in September 1941, he was informed by Assistant Plant En- gineer Allen Steele that "he had went up and got us boys a five cent raise and if I had any more difficulties, not to go to those boys down- town, to talk to him and we would iron it out." We find that the respondent by the foregoing statements has interfered with, re- strained, and coerced its employees in the exercise of the rights guaran- teed in, Section 7 of the Act. Anti-union statements were found by the Trial Examiner to have been made by Assistant Plant Engineer Allen Steele, Assistant Fore- man Ed ' Tettenho;rst, 'Senior Supervisory Inspector Lester Wells, Plant Engineer Otto Plagens, and Maintenance Foreman Robin Hill. We agree with the Trial Examiner's resolutions of conflicting testi- mony in connection with this'aspect of the case, and confirm his find- ings thereon. On or about July 22, August 1, and September 19, 1941, and Jan- uary 12, 1942, vituperative anti-union handbills were distributed to the respondent's employees at the gates of the plant. On July 29, 1941, the respondent posted notices on its bulletin boards, expressly disavowing any responsibility for the handbill distributed in July. The respondent contends that a notice attached to every employee's pay check on October 1, 1941, and stapled in the handbooks given to all new employees thereafter, constituted a repudiation of the August and September handbills. However, at no time did the respondent ever post or distribute notices disavowing the scurrilous anti-union handbill distributed in January 1942. Furthermore, the record indi- cates that the respondent never made any attempt to determine the authorship of the anti-union handbills. In February 1942, a repre- sentative of the Board investigating the case learned that Assistant Foreman Dave Reiswig, Foreman Harold Stancer, Assistant Fore- man Ed Tettenhorst, Assistant Tool Superintendent Thomas Babb, Crew Chief John Parks, Leadman Walter Schauf, and employee Clem Kreuter were responsible for the anti-union handbills, which fact was called to the management's attention. Aside from a talk with the 270 DECISIONS OF NATIONAL LABOR RELATIONS BOARD respondent's attorney, who, according to the testimony of Reiswig, "sort of laughed about it," no official of the respondent reprimanded, censured, or disciplined these employees for their flagrant violation of the respondent's union-neutrality rule.' On the contrary, the respondent thereafter promoted Stancer, Babb, and Schauf to the more responsible positions of assistant superintendent, tool superin- tendent, and crew chief, respectively. We concur with the Trial Ex- aminer's finding that the respondent was under the duty of overcom- ing and dissipating the effects of the unneutral acts and statements of these supervisory employees, and we find that its statements to 'the supervisors and its notices to its employees were insufficient to fulfill this obligation. We find that the respondent, by advising its em- ployees to discuss grievances with it directly rather than through their bargaining representatives, by the distribution of the anti-union handbills, and by the acts and statements of Supervisors Steele, Plag- ens, Tettenhorst, Hill, and Wells, as above set forth, and also by its dis- crimination between employees engaging in anti-union conduct and those engaging in pro-union activities, as hereinafter set forth, has interfered with, restrained, and coerced its employees in the exercise of the rights guaranteed in Section 7 of the Act. . _ The Trial Examiner has found that the statements made by Fore- man Jordan to employees Homer Kelley and Dick Goss; and the de- motion of Marion Engel were not violative of the Act. Homer Kelley, who was president of the C. I. O. local, testified that in the latter part of February 1942, when he was employed as a leadmen with 5 or 10 employees working under his direction, Foreman Cecil Jordan told him that he would not be promoted to the position of crew chief be- cause of his union - affiliation. Jordan denied making the statement attributed to him by Kelley. Kelley was a leadm.an and was therefore in line for promotion to a crew chief's position, many of which were being created at that time by the rapid expansion of the respondent's plant. We credit Kelley's testimony in this respect, as did the Trial Examiner. Leadman Dick Goss, a member of the C. I. 0., testified that in March 1942, Foreman Jordan informed him that he had been recom- mended for a crew chief's position, but added, "According to Schae fer's memo you won't get it, but '... I turned it in anyway." There- after Goss attended the April 8, 1942, meeting of supervisory em- ployees addressed by Siefkin, attorney for the respondent. According to- Goss, about the middle of April he informed Jordan that he would be unable to accept the crew chief's position for the reason that "Mr. Siefkin said in order to be a crew chief we would have to stop all our union activities, and . . . under those conditions I couldn't accept the job." Goss testified that Jordan then- replied, "Well, I turned you BOEING AIRPLANE COMPANY .271 in a nickel raise .. . I will have to take that away from you and also the crew chief's job." Since Jordan's version was substantially the same as that given by Goss, we, like the Trial Examiner, accept the latter's testimony. The evidence with respect to Engel's demotion is, except as herein- after indicated, largely uncontroverted, and we, like the Trial Exam- iner, find it to be credible. Engel was hired by the respondent on October 14, 1940, as a laborer in the tool and die department at 70 cents-an hour. By August 1, 1941, after receiving several 'wage in- creases; f he was earning-85 cents an hour. On August 16, 1941, Engel was transferred to Department 59 at the same wage rate of 85 cents an hour, and sometime between October 1 and 15, 1941, he was pro- moted to the position of crew chief 1 but without an increase in pay. Engel joined the A. F. of L. on November 6, 1941, and thereafter wore a small union pin which bore the designation "A F. of.L Local 751" in letters so small that they could scarcely be read. Engel testified that on November 21, 1941, Foreman Jordan inquired as to the type of pin Engel was wearing. Engel informed him that it was an A. F. of L. insignia. According to Russell James, an industrial engineer attached to the respondent's personnel department, Jordan informed him that Engel was a member of a union and inquired as to the pro- priety of. a supervisory employee's belonging to a union in view of the respondent's policy of neutrality in regard to union affairs. James then conferred with Personnel Director George Trombold and Super- intendent W. E. McArthur, and since, according to James, it was established that Engel was a crew chief and wore his union badge in the plant, they decided "to demote Engle [sic] from crew chief in order to sustain our Company policy." Engel testified that on No- vember 25, 1941, James informed him. that inasmuch as Engel was wearing a union pin and attending union meetings, he was being de- Inoted' from the crew chief position, and 10 cents an hour was being cut from his wages, "because the Company has the policy that no crew chief may belong to the union and hold that job.. .." Engel further,, testified that, when Jordan then inquired whether Engel would have the opportunity iri the future of regaining a supervisory position, James replied, "not as long as he is a union member." Al- 1 The record discloses that crew chiefs generally direct the work of small groups of em- ployees, varying in number fiom 1 to 17 Crew chiefs, in general, relay orders from' their superiors, instruct, and lay out work for their subordinates, in addition to reading blue prints and writing material requisitions Some crew chiefs perform manual labor 't'hey are paid on an hourly basis, receiving an average of 5 cents an hour more than their highest paid subordinates, whereas foremen and assistant foremen are paid on a salary basis. It appears that crew chiefs have the power to recommend discharge, inasmuch as they are questioned by foremen and assistant foremen with regard to the efficiency of employees in the crews We find that crew chiefs are minor supervisory employees. We deem it un- necessary at this time to determine whether or not crew chiefs may properly be included in a unit of production and maintenance employees. - 272 DECISIONS OF NATIONAL LABOR RELATIONS BOARD though James could not recall the language he used when he informed Engel of the latter's demotion, he testified that he did.-not believe that he had made the statement attributed to him by Engel. Inasmuch as James admitted that he was uncertain at that time whether the re- spondent's policy prohibited -mere membership of a supervisory em- ployee in a labor organization, and in view of the definite testimony of Engel, who impressed the Trial Examiner as an honest and trust- worthy witness, the Trial Examiner credited the latter's testimony, and we concur. It appears that Engel's demotion to a non-supervisory position became effective on December 1, 1941, at which time his wage rate was reduced to 75 cents an hour. As indicated previously, Engel had received 85 cents an hour as a non-supervisory employee immediately before he became a crew chief. It is therefore clear that Engel, in addition to his demotion, also suffered a 10-cent reduction in his hourly wage rate, as compared with the wage rate last received by him as a non-supervisory employee. This wage reduction was never specifically rescinded, although Engel's rate of pay was increased as part' of a general wage in throughout the plant on December _1, 1941, and although his rate of -pay was again increased on March 1, 1942, to $1100 an hour. " Prior to Siefkin's meeting with the supervisory staff on April 8, 1942,.Jordan offered Engel a crew chief's position but instructed him to attend the meeting before acting on the offer. Within a few days after attending this meeting, Engel informed Jordan that he could not accept the position because, as he testified, "I was a member of the AFL at that time, and was taking an active part in it" ' Engel also testified that at the time of the hearing he was doing the same amount and type of work as.his crew chief, who received $1.05 per hour. - V Lela Roach was hired by the respondent as a seamstress on Febru- ary 17, 1937. She became a member of the C. I. O. on October 31, 1941. After receiving numerous increases and a promotion to the position of crew chief, she was summarily discharged on November 17, 1941. The respondent contends that she was discharged because she had violated the respondent's neutrality rule, prohibiting super- visory employees from engaging in pro-union or anti-union activities. Charles Cowan was hired by the respondent on September 16, 1939. For 1 week he was employed in the maintenance department, and then he was transferred to the stockroom where he thereafter worked as a stock clerk until his discharge on November 24, 1941. Cowan joined the A. F. of L. in August 1941, and wore an A. F. of L. union button in the plant until sometime in October 1941, when he changed his affiliation to the C. I. 0., and' thereafter wore a C. L.O. button. BOEING AIRPLANE COMPANY 273 Shortly after joining the C. I. 0., he became a member of the local's executive committee. Wallace E. Keller was hired by the respondent on July 14, 1939, and worked as a pipe fitter and general maintenance mechanic until. his discharge on February 12, 1942. Keller joined the C. I. O. about September 15, 1941, and shortly thereafter was elected vice president of the local. At times he wore his union button in the plant. It is undisputed that • both Cowan and Keller were competent workmen. The respondent contends that it discharged Cowan and Keller for violation of its rule prohibiting employees from engaging in activ- ities for or against labor organizations on company time. In addi- tion, it insists that Keller complained of working conditions and was abusive towards the respondent, its management, and employees. Our examination of the record convinces us that in the enforce- ment of its neutrality rule the respondent did not afford the same treatment to those employees who engaged in pro-union activities as it -did to those who evidenced anti-union sentiments. The case of Foreman Wayne Chastain is an example of such disparity of treat- ment. It is clear that Chastain, who had made favorable comments concerning one of the anti-union handbills to a class of student em- ployees, was given an opportunity to comply with,the respondent's neutrality rule and that he would not have been demoted if he had promised to abide by the respondent's regulations. Engel, on the other hand, was given no warning and no opportunity to comply with the neutrality rule then in effect, but instead was summarily demoted to a non-supervisory position at a rate of pay 10 cents lower than 'that which he had received before he became a crew chief. The most patent example of the respondent's discriminatory enforcement of its neutrality rule is its treatment of the supervisory employees responsible for the anti-union handbills, who were, in con- tradistinction to the demotion of Engel and the discharge of Roach, neither discharged, demoted, nor even seriously reprimanded. In fact, the respondent subsequently promoted three of those employees to more responsible supervisory positions. The respondent's discriminatory enforcement of its rule prohibiting activity by non-supervisory employees for or against labor organiza- tions on company time is well demonstrated by the Chase-Taylor inci- dent, in which the respondent sought to invoke the rule against an employee who made pro-union statements but took no steps against an employee who made anti-union statements and consequently was equally guilty of transgressing the rule. In addition, it is noteworthy that neither Cowan nor Keller was warned of his violation of the rule ; they were summarily discharged. 504080-43-col 46-18 274 DECISIONS OF NATION9L ILABOR--RELATIONS BOARD In its brief the respondent attempts to distinguish the Chastain demotion and to justify the summary nature of Roach's, Cowan's, and Keller's discharges on the ground that Chastain was demoted prior to, and Roach, Cowan, and Keller were discharged subsequent to, the distribution of a notice by the respondent on October,1, 1941, which stated in part, "Foremen, crew chiefs, -and other supervisory em- ployees, whether on or off the job, must maintain this neutral attitude at all times. Other employees must not, on company time, engage in activities for or against labor unions. In order that there be no mis- understanding, the Company desires to make it plain that any viola- - tion of this order is ground for immediate discharge." The record does not support the respondent's contention. Personnel Director George Trombold testified that Chastain's demotion became effective on October 16, 1941, explaining that "he may have been demoted prior to that . . . but the changes in rate became effective at the beginning of the next pay period." Pay-roll records of the respondent intro= duced into evidence at the hearing indicate that pay days fall on or about the first and sixteenth of each month. Therefore, it is reason- able to infer, and we find, that Chastain was demoted sometime be- tween October 1 and 16, 1941; after the publication and distribution of the above-mentioned notice on October 1, 1941. With regard to the application of the above-quoted notice to non- supervisory employees, it should also be noted that the respondent's attorney, Siefkin, when he instructed the supervisors as to their obligations under the Act, cautioned them both before and after October 1, 1941, against discharging their subordinates who discussed unions on company time without an advance warning. For example, at the meeting held on November 13, 1941, Siefkin said : The question is: if some of the men are going around with union cards or membership blanks, or something of that kind, what should be done about it? The soliciting of union membership ,on the job is forbidden by company rules and is ground for sum- mary discharge. I would warn the man that soliciting on com- pany time is a violation of company rules and is ground for discharge, and if they persist in the conduct there is nothing you can do but report it to the personnel officer. I don't like to have any man losing his job without first a warning. In view of the pattern of discrimination thus disclosed, we conclude and find that Engel was demoted and that Roach, Cowan, and Keller were discharged because of their union affiliation and activities and not because they had violated a rule of the respondent. For the pur- pose of this decision, we deem it unnecessary to determine whether 3OEIN G AIRPLANE COMPANY' 275 the respondent 's neutrality rule restricting the union activities of its supervisory employees was violative of the Act.2 We further conclude and find that the statements made by Foreman Jordan to Kelley and Goss, as set forth above , were part of the respondent 's discriminatory course of conduct against employees who were members of the C. I. O. and the A. F. of L., and that the respond- ent thereby 'interfered with, restrained , and coerced its employees in the exercise of the rights guaranteed by Section 7 of the Act 3 Christian White was employed by the respondent about October 22, 1941, as a jig builder . He joined the A. F. of L. on November 1, 1941, and thereafter wore his union button in the plant and regularly attended union meetings . On November 26, 1941, he was discharged. The respondent contends that he was discharged because, at the end 'of his 307day probationary period, it was discovered that his work was unsatisfactory . The credible evidence shows that ' White was a 'competent , average workman and that , Marion Engel and John .Simpson, respectively White's crew chief and leadman, were in- structed by Foreman Jordan to prepare a memorandum stating, "Big percentage of'White's work is insufficient [sic]. Has to be reworked," when, in fact, they had no reason to complain of his work . That the memorandum was a sham is clearly shown by Simpson 's 'testimony that 50 percent of the fittings and connections , the making of which is the chief work of jig -builders , must be reworked , because slight variations in temperature affect the accuracy of the work . We find, as did the Trial Examiner , that Christian White was discharged because of his union affiliation and not because of his alleged inefficiency. The Trial Examiner has found that Virgil Reeves was discharged for cause . We have reviewed the evidence and agree with the con- clusions of the Trial Examiner , and we shall dismiss the complaint with respect to Reeves. Upon the entire record, we find that the respondent , by demoting Marion Engel and by discharging Lela Roach, Charles Cowan, Wallace E . Keller, and Christian White, discriminated in regard to 2 We have held that supervisory employees may belong to labor organizations and yet be prohibited from engaging in conduct permitted non-supervisory employees ' See Mattel of Tennessee Copper Company and A. F. of L . Federal Union , No. 21,16¢, 9 N L R B. 117 ; Matter of Marshall Field & Company and Department Store Employees Union, Local 291 of United Retail Wholesale and Department Store Employees of America , C I. 0, 34 N L R. B. I; Matter of The Sherwin -Williams Company and Chemical Workers Union No 22215 , American Federation of Labor, 37 N L It. B. 260. 3 We find , as did the Trial Examiner. that the evidence does not support the allegations of -the -complaint that the respondent ( a) encouraged 'employees , who had joined or assisted labor organizations of their -own choos ng, to engage in conduct violative of company rules, thereby giving cause for demotion or discharge, and (b ) maintained surveillance over members of,the C 1.^0. and A. F of L ' 1 , 276 DECISIONS OF NATIONAL LABOR RELATIONS BOARD, ti their hire and tenure of employment, thereby discouraging member ship in the C. I. O. and the A. F. of L., and interfering with, restrain-' irig, and coercing its'employees in the exercise of the rights guaranteed in Section 7 of the Act. • ' THE REMEDY Having found that the respondent has engaged in unfair labor' practices, we shall order it to cease and desist therefrom and to take certain affirmative 'action' which we ,find necessary to effectuate the policies of the Act. We have found that the ' respondent discriminated in regard to the hire and tenure of employment 'of Marion Engel, Lela Roach, Charles Cowan, Wallace E. Keller, and Christian White. In order to effectuate the purposes and policies, of the Act, we • shall order that the respondent offer them immediate and full reinstatement to their former or substantially equivalent positions, without prejudice to their seniority and other rights and privileges, and make them whole for any loss of pay, they have suffered by reason of the dis- crimination by payment to each of them of a sum of money equal to the amount he" normally would have earned as wages during the period from the date of the discrimination against him to •the date of the offer of reinstatement, less his net earnings' during such period. Upon' the basis of the above findings of fact, and upon the entire record in the case, the Board makes the following: CONCLUSIONS OF LAW 1. International Union, United Automobile, Aircraft & Agricul- tural Implement Workers of • America (UAW-CIO), affiliated with the Congress of Industrial Organizations, and International Associa- tion of Machinists, affiliated with the American Federation of Labor, are labor organizations, within the meaning,of Section 2 (5) of the Act. 2. By discriminating in regard to the hire and tenure of employ- ment of Marion Engel, Lela Roach,' Charles Cowan, Wallace E. Keller, and Christian White, and thereby discouraging membership in International Union, United Automobile,' Aircraft &• Agricultural 4 By "net earnings" is meant earnings less expenses , such as for transportation, room, and board , incurred - by an employee in-connection with obtaining work and working elsewhere than for the respondent , which would not have been incurred but for his UD lawful, discharge and the consequent necessity of his ' seeking employment elsewhere . See Matter ,of Crossett Lambe'r Company and United Brotherhood of Carpenters • and Joiners of,America, Lumber and Sawnvill Workers Union, Local 2590, 8 N L R B . 440 , Monies received for work performed upon Federal , State , county , municipal , or other work-relief projects shall be considered as earnings . See Republic Steel Corporation Y. N. L. R B, 311'U. S. 7. I BOEING AIRPLANE COMPANY 27T Implement Workers of America (UAW-CIO), affiliated with, the, 'Congress of Industrial Organizations, and International Associa- tion of Machinists, affiliated with the American Federation' of Labor, the respondent has engaged in and is engaging in unfair labor practices, within, the meaning of Section 8 (3) of the Act: - 3. By interfering with, restraining, and coercing its employees in the exercise of the rights guaranteed in Section 7 of the Act, the respondent has engaged in and is engaging in unfair labor practices, within the meaning of Section 8 (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 discriminated with respect to the hire and tenure of employment of Virgil Reeves., ORDER Upon the basis-of the above findings of fact and conclusions of law, and pursuant to Section 10 (c) of the National Labor Re- lations Act, the National Labor Relations Board hereby orders that the respondent, Boeing Airplane Company, Wichita Division, Wichita, Kansas, and its officers, agents, successors, and assigns,' shall : 1. Cease and desist from : (a) Discouraging 'membership in International Union, United Automobile, Aircraft & Agricultural Implement Workers of America (UAW-CIO), affiliated with the Congress of Industrial 'Organizations, and International Association of Machinists, affili- ated with the American Federation of Labor, or any other labor organization of its employees, by discharging, demoting, or refusing to reinstate any of 'its employees, or in any other manner discrimi- nating 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 coerc ing its employees in the exercise of the right to self-organization, to form, join, or assist labor organizations, 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 Board finds will effectuate the policies of the Act : (a) Offer to Marion Engel, Lela Roach, Charles Cowan, Wallace E. Keller, and Christian White immediate and full reinstatement to their former or substantially equivalent positions, without preju- dice to their seniority and other rights and privileges; 0 0 278 DECISIONS OF NATIONAL LABOR RELATIONS BOARD (b) Make whole each of the employees named in the preceding paragraph for any loss of pay he may haver suffered by reason of the respondent's discrimination against him, .by payment to him of a sum of money equal to the amount which he normally would have earned as wages from the date of the respondent's discrimi- nation against him to the date of the respondent's offer of reinstate- ment, less his net earnings during such period; (c) Post immediately . in conspicuous places at its Wichita, Kansas, plant, and maintain for a period of. at least sixty (60) con-- secutive days from the date of posting, notices to its employees stating: (1) that the respondent will not engage in the conduct from which it is ordered to cease and desist in paragraphs 1 (a) and, (b) of this Order; (2) that-the respondent will'take the affirma- tive action set forth in paragraphs 2 (a) and (b) of this Order; andi (3) that its employees are free to remain or become members of' International Union, United Automobile, Aircraft & Agricultural Implement Workers of America (UAW-CIO), affiliated with the Congress of Industrial Organizations, or International Association of Machinists, affiliated with the American Federation of Labor; and that the respondent will not discriminate against any employee' because of membership or activity in those organizations; (d) Notify the Regional Director for the Seventeenth Region in writing, within ten (10) days from the date of this Order, what steps, the respondent has taken to comply herewith. IT IS HEREBY FURTHER ORDERED that the complaint be, and it hereby is, dismissed insofar as it alleges that the ' respondent has discrimi- natedin regard to the hire and tenure of employment-. of Virgil Reeves, INTERMEDIATE REPORT Mr. Paul Nachtman and Mr. Robert S. Fousek, for the Board. Foulston, Siefkin, Bartlett & Morris, by Mr. George Siefkin and Mr. George B. Powers, of Wichita, Kansas, for the respondent. Mr. Baron DeLouis, of Wichita, Kansas, for the C. I. O. Mr Cody Quinn, of Wichita, Kansas, for the A. F. of L. STATEMENT OF THE CASE Upon amended charges duly filed by International Union, United Automobile, Aircraft & Agricultural Implement Workers of American (UAW-CIO), affiliated with the Congress of Industrial Organizations, herein called the C. I. 0., and' International Association of Machinists, 'affiliated with the American Federation of Labor, herein called the A. F. of L, the National Labor Relations Board, herein . called the Board, by George J Bott, the Regional Director for the Seventeenth Region (Kansas City, Missouri). issued its complaint' dated May, 28, 1942, against Boeing Airplane Company, Wichita Division, Wichita, Kansas, herein edlled the 1 On May 7, 1942, the Board ordered that the cases arising from the charges filed herein by both unions be consolidated. I BOEING AIRPLANE COMPANY 27.9 respondent, alleging that the respondent had engaged in and was engaging in unfair labor practices affecting commerce within the meaning of Section 8 (1) and (3), and Section 2 (6) and (7) of the National Labor Relations Act, 49 Stat. 449, herein called the Act Copies of the complaint, accompanied by notices of hearing thereon,,were duly served upon the respondent and the unions With respect to the unfair labor practices, the complaint alleged in substance' that the respondent: (1) since on or about January 1, 1940, interfered with, restrained, and coerced its employees by: (a) intimidating aid threatening with discharge its employees who sought to affiliate or affiliated with the C. I. O. or the A. F of L.; (b) warmig employees who sought to affiliate or did affiliate with the C. I. O. or the A F. of L that they would be demoted, reduced in pay, or suffer other penalties, and has demoted, reduced in pay, or otherwise penalized certain employees pursuant to such warnings, (c) threatening to obtain affidavits from fellow employees against employees who affiliated or were about to affiliate with the C` I. 0 or the A F of L ; (c1) intimidating and threatening its employees because of their wearing C. I. 0 or A. F of L buttons or pins; (e) encouraging employees who joined or assisted labor organizations to engage in conduct viola- tive of company rules, thereby giving fictitious cause for demotion or discharge ; (f) preferring charges of infractions of company, rules and incompetency against its employees for the reason that they affiliated with the C. I O. or the A. F. of L.; (g) making statements prejudicial to or derogatory to the C. I O. and A F. of L, and the members or leaders thereof, (h) persuading its employees to refrain from joining the C I 0 and the A F of L.; (i) advising its employees to discuss grievances with it directly rather than through a union or union representatives; (j) threating employees with discharge unless saki employees executed improper affidavits against known members or leaders of the C I. 0 or A F of L ; (k) promising increases in pay, promotions and other benefits to employees who aban- doned their membership and activity in the C I. O. or the A. F. of L ; (1) main- taining surveillance over members of the C. I. 0 or the A. F. of L ; (in) causing to be printed, published, and circulated among its employees handbills and circu- lars vilifying and criticizing the C I 0 and the A F. of L, and the leaders and members'thereof; (2) discharged and thereafter refused to reinstate Lela Roach, Virgil Reeves, Charles M Cowan, and W. E. Keller because of their membership and activity in the C I. 0 ; and (3) discharged Christian W. White and demoted Marion Engel and thereafter refused to reinstate them because of their member- ship and activity in the A. F. of L. On or about June 3, 1942, the respondent filed its answer in which it admitted some of the allegations in the complaint but denied that it had engaged in any unfair labor practices Pursuant to notice, a hearing was held at Wichita, Kansas, from June 8 to June 12, 1942, before the undersigned. the Trial Examiner duly designated by the Chief Trial Examiner. The Board and the respondent were represented by counsel and the unions by their representatives, and participated in the hearing. Full opportunity to be heard, to examine and cross-examine witnesses, and to introduce evidence bearing on the issues was afforded all parties During the hearing, counsel for the Board moved to strike certain allegations and exhibits contained in the respondent's answer This motion* was denied He also moved to strike certain of-respondent's exhibits received in evidence over his objection. Decision on this motion was reserved Counsel for the respondent moved to strike certain testimony relative to certain Board Exhibits. This motion was denied At the conclusion of the hearing. Board's and respondent's counsel renewed the aforesaid motions and decision thereon was reserved ; they are now hereby denied. Board's counsel moved that the pleadings,be conformed to the proof This mot ton was 280 DECISIONS OF NATIONAL LABOR RELATIONS BOARD granted. The parties were afforded an opportunity to argue orally before, and to file briefs with, the undersigned ' None of the parties argued orally or filed briefs. Upon the record thus made and from his observation of the witnesses, the undersigned makes in addition to the above the following: FINDINGS OF FACT I. THE BUSINESS OF THE RESPONDENT The respondent, a Delaware corporation with its principal office in Seattle, Washington, is licensed to do business in the State of Kansas where it operates a plant in Wichita, known as the Wichita Division, which is the only plant here involved. At the Wichita plant the respondent is engaged in the manufacture, sale, and distribution of airplanes and parts. In excess of 95 percent of the air- planes and parts manufactured at the Wichita Division is sold and distributed in States of the United States other than the State of Kansas; in excess of'95 percent of the materials used in the manufacture of -airplanes and parts in the Wichita Division is shipped to that Division from and through States of the United States other than the State of Kansas. At the time of the hearing the respondent employed approximately 14,000 .employees. IT. THE ORGANIZATIONS INVOLVED International Union, United Automobile , Aircraft ,& Agricultural Implement Workers of America (UAW-CIO) is a labor organization affiliated with the 'Congress of Industrial Organizations admitting to membership employees of the respondent. International Association of Machinists is a labor organization affiliated' with the American Federation of Labor admitting to' membership employees of the respondent. Both unions admit to membership supervisory employees of the respondent known as crew -chiefs. III. THE UNFAIR LABOR PRACTICES A. Background; interference, restraint, and coercion Th record does not disclose the extent'of union organizational activities among the respondent's employees prior to January 1941, but that some such activities did, exist is evident from a notice posted by the respondent on its bulletin boards an or about August 1, 1938, and which remained posted until March 28, 1940.' This notice, after reciting Section 7 and Section 8 (1), (2), and (3) of the Act, continued as follows : The Stearman Aircraft Division 3 of the Boeing Airplane Company has not recognized the Stearman Employees Federation' or any other bargaining organization as a representative of its employees for the purpose of dealing 2 It is also evident from a charge that the A F. of L filed with the Board in March 1940, that that organization was attempting to organize the respondent's employees prior to January 1941 3 Now known as the Wichita Division, • No evidence was adduced at the hearing concerning the nature and existence of this organization, except that the stipulation settling the charges mentioned in footnote 2, supra, gave the A F. of L a right to re-file a charge "in the event Stearman Employees' Federation, the alleged company-dominated union returns to active existence." BOEING AIRPLANE COMPANY 281; with it concerning grievances, labor disputes, rates of pay, wages, hours of employment or other conditions of employment ; This company, intends to live up to the spirit as well as' the substance of the National Labor Relations Act. We interpret these provisions to mean • that every employee is free from any, interference or domination of the employer in any form with respect to the exercise of his individual judgment regarding labor organizations and that the employer must refrain from inter- fering with' the formation or administration of any and all, labor organizations. Each employee of this company should exercise his own individual judg- ment and the •Stearman Aircraft Division of the Boeing Airplane Company does not' desire or intend to influence any employee in the exercise of that judgment. ALL EMPLOYEES ARE PROHIBITED FROM DISCUSSING ANY LABOR OR LABOR ORGANIZATION MATTERS UPON THE COMPANY'S' TIME OR PROPERTY. In March 1940, the A F. of L filed charges with the Seventeenth Region of the Board charging that the respondent had violated certain sections of the Act This charge was disposed of by the respondent's posting of the following notice on its bulletin boards on April 2, 1940: Boeing Airplane Company does not approve or adopt any of the unfair labor practices charged against its predecessor, The Stearman Aircraft Company. Boeing Airplane Company guarantees to each of its employees all of the rights as set forth in the National Labor Relations Act which areas follows : [Section 7 and 8 of the Act were here set forth in full.] The Boeing Airplane Company, The Stearman Aircraft Division, Wichita, Kansas, hereby notifies all of its employees that it intends to live up to the spirit as well as the letter of the National Labor Relations, Act. Under this Act every employee is free to join any Union of his choice and this Company may not do anything to interfere with, restrain or coerce its employees in, the exercise of this right: Each employee should exercise his own individual judgment as to the joining or not joining of any Union and this notice is posted in order that each employee of this Company may be wholly free in the exercise of such, individual judgment as to the matters set forth herein. All supervisory employees of this Company are hereby instructed to make ,no statement and to take no action that will conflict herewith. All employees of this Company are hereby instructed that this notice is not to be removed, defaced or hidden by other notices in any manner and is to' remain posted in conspicuous places in the plant for a period of sixty (60)' days from this date. On January 17, 1941, , the respondent, bye J. C. Schaefer, its vice president and general manager, sent letter s to all of its employees which stated in part as follows : Some of the new employees have asked our opinion concerning unions and in order that this may be of record for everyone, the following is set forth : (1) The Company is operating under the provisions of the National Labor Relations Act. ' Maybe you are better acquainted with it as "The Wagner Act." It has always been the Company's intention to comply with all of the provisions of this Act in spirit and in practice. 282 DECISIONS OF NATIONAL LABOR RELATIONS BOARD (2) You do not need to be a member of a labor union to obtain or hold a job with,Stearman; neither will your union membership help or hinder you in obtaining such a Job or advancing with the Company, insofar as company management is concerned. You aie free to join or not join any church, lodge, political-party, labor union or social organization of your own choosing and your membership or non-membership in any such democratic organization will not'influence your job, in any -way These are rights flowing to every individual in our democracy and the management of this Company will go along with you in preserving them in every possible way. -(3) We cannot assist financially or otherwise in the promotion or forma- tion of any union or unions nor are we permitted to prevent the organization or formation of a union or unions so long as the activity is in accordance with the Wagner National Labor Relations Act . '. . (4) We will not act to influence, coerce or intimidate you or any employee into joining or not joining or continuing membership in any union or any other organization not inimicable to the National Defense. (5) All foremen and supervisory employees have been instructed and di- rected to abide strictly by-the rules hei ezn described and by the laws herein referred to. We not only ask you to report any deviation, however slight, fiom these raffles, but we urge you to do so What I have-just outlined as management obligations, has a counterpart in employee obligations. A few of. these obligations are listed in brief as follows : (1) You will not discuss during working hours Labor Union organizations, the advantages or disadvantages of joining a union or not joining a union, or any other matters which may pertain to unions or union activities. '(3) It is your privilege and your duty to consider for yourself the benefits or objections flowing from or incident to labor union membership , whatever may be the type of organization. (4) You should not coerce , or intimidate 'any other 'employes by word, act or deed , with the idea of compelling him to join or not join a labor union against his wishes . Neither are you to give active support for the accom- plishment of the same result by the same method to one not an employee. (5) Having ascertained the facts , it is your God -given unid constitutional privilege to act as your conscience and your own good judgment direct in joining or not joining any organization. (6) You are free to report to the management any violation of the fore- going principles as you are to report violations of any company rules With the idea of maintaining harmony and maximum efficiency for the discharge of our National Defense obligations , I urge your cooperation in carrying out the letter and spirit of this entire letter and to that end suggest that the points herein set forth , be freely and openly discussed between any element of the management and the employees-between you and your supervisor , between you and your foreman, or between you and the Plant Superintendents or, any Department ' heads you choose, and finally between you and, myself if you wish. It is not necessary to discuss labor organization "behind one 's back." The management is willing and anxious to discuss with any employee , singly or in groups , any of the points herein set forth, or any other matter which may tend toward a closer employer -employee relationship and understanding. BO> MNG AIRPLANE COMPANY 283 The intervention or interference of third parties for such a purpose is _unnecessary." [Emphasis added.] Sometime in January 1941, the A F of L started to organize the respondent's employees and held its first meeting in that month and thereafter continued to hold weekly meetings In February 1941, employee Homer A. Kelley discussed with an international representative of the C. I: O. plans for organizing the re- spondent's employees What steps were taken in this regard between then and September 1941 is not clear from the record, but it is clear that the first organiza- tional meetings took place between September 3 and 12, 1941. As a result of these activities, a chapter of the C. I. 0 known as Local 935 was established in October of 1941, and officers were elected, consisting in part of Kelley as president and Wallace E Keller as vice president.6 On March 13, 1941, J E. Schaefer, vice president and general manager of the respondent, notified all' the supervisory employees as follows : I inn again reminded to urge all foremen and crew chiefs to avoid every evidence of participation or prejudice in any unionization activities. Under prevailing law the officers of the company, department heads, foremen and crew chiefs are not permitted the privilege of advising or encouraging for or against any union. Employees activities in this connection are not to be indirectly or directly. interfered with so long as these activities do-not take place on company time. On July 22, 1941, the respondent posted on its bulletin boards copies of the following notice: 1 On March 13th and previous to that time, all foremen and crew chiefs were Asked to carefully avoid every evidence of participation or prejudice in connection with any unionizat>„on activities. I am again reminded to urge all foremen and crew chiefs to avoid participation in any unionization activi- ties either for or against C. I. 0., A. F of L. or an independent union. 2. -[Section 7 and Section 3 (1), (2), and (3) of the Act appeared, here.1 3. The National Labor Relations act is subject to many interpretations and many court decisions which govern anc] direct employees and manage- ment. It is important that these interpretations and decisions be thoroughly understood in order that everyones rights be properly and adequately pro- tected The crew chiefs and foremen are enjoined to familiarize themselves with their obligations under this act and not to take any steps which will place the company in an embarrassing light or in violation of the act. At about this time, scurrilous anti-union handbills were distributed to the respondent's employees at the gates of the plant.' On July 29, the respondent expressly disavowed any responsibility for the above handbills by posting notices on its bulletin boards which stated : The last paragraph of this letter foims the basis of an allegation in the complaint that the respondent advised "its employees to discuss gi levances with it directly rather than through their unioiis and union representatives " In view of the context in which the last sentence of this paragraph appeared and in view of other notices to the employees clearly expressing the respondent's neutrality as hereinafter discussed, and under all the circum- stances of this case, the undersigned finds this language, although susceptible standing alone of the interpretation claimed by the Board's counsel, not to he violative of the Act. 8 The cases of both Kelley and, Keller, allegedly discriminated against by the respondent, are described hereinafter. 4 Handbills of the same anti-union character attacking both the A F. of L. aiid the C I 0 were similarly distributed about August -1 and September 19, 1941, and about January 12. 1942 The words "WE THE LOYAL EMPLOYEES" appear at the bottom of each circular. The persons' responsible for this violent attack 'upon the unions and their relationship to the respondent are more fully described below. 284 DECISIONS OF NATIONAL LABOR RELATIONS BOARD You have been , instructed heretofore as to the attitude of the Management of your company with reference to labor organizations . 'Briefly restated, whether you join a union or do not, what union, if any, you may help pro- mote, organize or join is your own private business-the management cannot and will not take any part therein-and what you do will not affect your' employment. All supervisory employees have been instructed that they must not violate this established policy. Anything said or done by a supervisory employee which attempts , to give ' any different attitude of the Management than that of strictest ( sic) impaitsality is unauthorized and forbidden. There has recently appeared in the plant a handbill headed "Fellow Em- ployees", and signed "We The Loyal Employees ". The Management did not 'authorize and had no knowledge of this before its appearance ; it expressly disclaims any responsibility for either its writing , publication , or circulation. The Management does not desire to and will not interfere with the private life or lawful activities of any employee . Any of you , insofar as the com- pany is concerned ( excluding supervisory employees , who, because of official position might be thought to be voicing the attitude of the Management), may say or write or publish anything you choose on politics, religion, economics , labor organizations , ball-games , art (sic ) hard liquor, or any other subject under the sun at any time or place EXCEPT ON COMPANY PROPERTY OR DURING ACTUAL TIME OF EMPLOYMENT. Circulars, pamphlets , handbills, clippings or anything of that kind must not be dis- tributed on Company property at any time , regardless of the subject matter ; during working hours you must not discuss labor organizations or other like controversial matters. 'Help the Management maintain its impartial attitude Help us also to keep our National Defense job always ahead of schedule.' [Emphasis added.] On July 29, 1941 , Robert Siefkin, a member of the law- firm that represents the respondent , addressed three separate meetings of the respondent 's supervisory personnel concerning the respondent 's obligations under the Act and in that con- nection, the duties and the -responsibilities of the supervisory staff as repre- sentatives of the management. Siefkin read Sections 7 and 8 of the Act and 8 Following the distribution of the "We The Loyal Employees" handbills in August and September 1941, the respondent on about October 1, 1941, distributed notices to its employees which read as follows : You have been heretofore instructed, not only orally but by means of your handbook and also in various bulletins, of the attitude of the Management with regard to labor unions. To repeat, the Company cannot under the law, and will not, take any part in labor union activities, either for or against-its attitude must be one of absolute impartiality. Foremen, crew-chiefs, and other supervisory employees, whether on or off the job, must maintain this neutral attitude at all times Other employees must not, on com- pany time, engage in activities for or against labor unions ,In order that there be no misunderstanding, the Company desires to make it plain that any violation of this order is ground for immediate. discharge. The Management believes in and desires full and free discussion among its employees (who are not in a supervisory capacity) on labor matters. Free and full discussion means a discussion of facts, circumstances and happenings and should be based upon truth and nothing else-it should appeal to reason and not to prejudices-"name calling" and the use of abusive language-such as has been recently used, and which the Management expressly repudiates-is evidence of weakness and not of strength. If should not be resorted to. , We have but one lob to do-and it is a big one-to build airplanes Don;t let any act of yours interfere with that job. We ask your sincere and intelligent cooperation. i i BOEING AIRPLANE COMPANY 285 -emphasized that the respondent intended to live up to the letter-and spirit of the Act, and requested those present to maintain striet neutrality and not to do or say anything for or against unions either on or off the company's premises.' In his November and' March addresses to the supervisory employees, Siefkin described in detail several instances that came to the respondent's attention of supervisory employees who had violated the respondent's instructions to main- tain a neutral attitude by making statements either for or against the unions, and warned against a repetition of these violations. Siefkin stated that there had been comparatively few infractions considering the fact that the respondent employed over one thousand supervisory employees, and congratulated them on this achievement. Siefkin also stated that other complaints had been called to his attention by both the A. F. of L and C. I. 0. representatives which he did not think of sufficient importance to "warrant any action at all." That other super- visory employees did not maintain the neutral attitude requested by the re- spondent cannot be doubted." The Board introduced testimony revealing several A Siefkin also stated that supervisory employees could join a union but could not actively participate in its activities because then they would be indicating a preference He also stated as his belief that supervisors were not eligible for membership and was " positive they cannot participate in an election." As found above , however , both unions herein admitted the supervisory employees known as crew -chiefs to membership , despite Siefkin ' s remarks. This raises the problem of whether an employer can piohibit its supervisory employees from joining a union or to what extent , if any , it can restrict their activities on behalf of a union. This issue is squarely raised in some of the alleged discrimination cases discussed below, Within a period of a year just prior to the hearing , the respondent ' s personnel expanded from approximately 8,000 to 15,000 employees , and included 1,477 supervisory employees, 960 of whom were crew -chiefs Because of this rapid expansion , many of the employees were promoted to the position of crew -chiefs In order to keep the respondent ' s newly appointed supervisors advised of the iespondent ' s attitude toward unions and of their responsibilities as management representatives under the Act , Siefkin addressed them on - November 13, 1941, and on March 26 and April 8 , 1942 , and his remarks in 'substance were similar to those described above . That Siefkin himself was in doubt as to bow far the respondent could go in restricting the union membeiship or activities of its super- 'visoly employees is evident from all his speeches In his July address, Siefkin disposed of the problem by indicating that supervisory employees were not eligible for membership ; by November , however, ' he became aware that crew -chiefs were eligible for membership in either one or both of the unions and therefore stated "that a crew-chief should not-take any active part in union matters and should not talk concerning it," and "to be absolutely safe" he "would suggest that crew -chiefs not talk union matters even though they were working crew-chiefs, and that they not join a 'union " As far as employees who were union members before they became part of supervision were concerned , Siefkin advised them in effect, that they could retain their membership and pay their dues, but could not attend any meetings Again , in March, Siefkin advised the crew -chiefs that they had a right to join a union but "the company , of course, would prefer not to have you join because after you become in a supervisory capacity . you aie saying to the men under you in substance , 'I have joined the union . Maybe it would be; a good thing for you to join also ' " In regard to those who already were members of a union , Siefkih informed them that it was their privilege to continue such membership but stated : we ask that you do not attend union meetings where you become active in union affairs or become active in any other way so as to lead the employees under you or other, employees in the plant to saying "my foreman or,my crew -chief or supervisor belongs to the union , he acts in union matters , maybe that is the attitude of the company, maybe I should join the union too" ; or if you feel strictly * non-union, don't take a non -union attitude You had a right to do that yesterday when you were an employee , you don ' t have that right today. io Although requested by the respondent as stated above to inform it of any infractions of its rules by the supervisory staff, the employees to whom these statements were made did not do so. They testified that they repoited these infractions to'their respective unions Inasmuch as Siefkin stated that both the A. F of L. and C. I. 0 representatives called his attention to other alleged violations , it must be inferred and, the undersigned finds that these also were called to the attention of the respondent. 286 DECISIONS OF NATIONAL LABOR RELATIONS BOARD other violations on the part of a few supervisory employees f They will nowt; be discussed. W. E. Keller, vice president of the C. I. O. local, testified that on or about January 20, 1941, Assistant Plant Engineer Allen Steele accused him of dis- cussing unions on company time and said: "1 am not going to have any Union men in my department " Keller further testified that about September 30, 1941, his helper was removed and when he asked Steele the reason for this action, the latter replied : "Pat, I have warned you and warned you, . . You will have to get out of that thing you belong to, or else you are going to lose your job." On another occasion, while Keller was en route to the plant in the same auto- mobile with Steele and Plant Engineer Otto Plagens, the latter two individuals discussed unions: Keller testified as follows concerning the conversation he overhead : "Plagens made the remark, 'I wish there was an open season on Union men,' and Steele said he would get his share if there was."" In the latter part of August 1941, Steele called employee Arthur Alexander's attention to the respondent's rule prohibiting solicitation for unions on company time and warned him not to violate the rule, and stated that if lie had his way there would be no union in the plant. Steele further told Alexander that he had given him an increase ill wages. In September 1941, shortly after Steele had obtained the wage increase for Alexander, he reminded him of this fact and advised Alexander to come to him with his "difficulties" and,".not to go to those bobs downtown " For the reasons indicated above, the undersigned' credits Alex- ander's testimony over Steele's denials" In March 1941, several employees were discussing, during their luncheon period, unions and wages paid by other companies. Kelley, president of the C. I. O. local, remarked that other companies paid higher wages because they were unionized, and Assistant Foreman Ed Tettenhorst, who was also present, stated: "Anybody who would join a labor union should be shipped to Russia."^ About September 25, Maintenance Foreman Robin Hill told Kelley : "We don't want any labor union in here at this time because working conditions are too good." 14 11 Wbile Keller fixed, the time of this incident as September 1941, it no' doubt occurred sometime prior to May of that year , since both Plagens and Steele moved to within walking distance of the plant prior to May 1941. Flagens denied making the remark attributed to him, although admitting he may have discussed unions with Steele, while Steele testified he could not "remember" any such conversation The undersigned credits the testimony of Keller and finds that Steele and Flagons made the remarks ascribed to them. Steele denied making the other statements set forth above That Steele was opposed to unions is shown by the undenied, credible testimony of Keller that unbeknownst to Steele,' he overheard the latter say to employee Arden Strong • "That John L. Lewis ought to be killed, to hell with the God damn Union " Since, as described below, employee Arthur Alexander also attributed anti-union remarks to Steele, it is more plausible and likely that Steele did make the remarks described aboic and the undei signed so finds 12 Board's counsel also contended that Alexander was given more onerous work by Steele because of his union membership and activities Within several weeks after Alexander complained to Steele about his assignment , he was transferred to work more to his liking Furthermore, during the period from September to December 1941, Alexander received several increases raising his salary from 40 to'75 ' cents an hour Under all the circum- stances, the undersigned finds that Alexander was not discriminated against when transferred to work that he considered moie difficult 13 This finding is based upon Kelley's testimony which was denied by Tettenhorst. The latter was one of the six supervisory employees responsible for the -vicious anti-union hand- bills heretofore described In view of Tettenhorst's real feelings about unions and the fact that the undersigned was more favorably impressed by Kelley's demeanor than that of Tettenhorst's, be accepts the testimony of the foimer as being substantially accurate 14 This finding is based up"n Kelley's testimony which the undersigned accepts over Hill's denial , since the undersigned was more favorably impre. sed by the demeanor of Kelley BOEING AIRPLANE COMPANY 287 Employee Charles Cowan wore and A. F. of L. button in the plant but re- moved it when he decided to switch his allegiance to the C. I. 0. About Decem- ber 16, 1941, while Cowan wore neither an A. F. of L nor a C. 1. 0. button, Senior Supervisory Inspector Lester Wells said to Cowan:_ I am. surprised. I see you are not wearing your Union button, and I am glad to see that you have not joined up with a bunch of racketeers and gangsters, and glad to see you get that button oif15 Following the distribution of the loyal employee handbills on September 19, 1941, and January,12, 1942, the respondent neither posted nor distributed notices similar to those following the distribution of the August and September hand- bills. Assistant Foreman Dave Reiswig testified that he alone originated the idea for the circulars and discussed it with Assistant Superintendent Harold Stancer,16 and both believed it "a good idea . .. to see if we couldn't keep the [unions] out of the plant." 17 According to Reiswig, he alone was responsible for the preparation and editing of the circulars.11 Stancer, with the aid of 15 This finding is based upon the uidenied, ciedible testimony of Cowan Later in the day of the above incident, Carl Schoech, Cowan's crew-chief, apologized to Cowan for Wells' remarks and told hun not to think anything about it because Wells "let his tongue get away from him" and "he was wrong and soiry" Cowan also testified that his foreman. E. F. Belden, sometime in October 1941, congratulated him for his good work and told hun lie was getting a 5-cent an, hour increase, then pointed to his union button and said: ,"We want you to play ball with us, Charlie, you are a good man ' Belden admitted making the last quoted remark but denied pointing to Cowan's union button, and in explaining his remark stated that he wanted Cowan to cooperate with his crew-chief since Cowan had expressed the opinion that he deserved the crew-chief's job. While Cowan may have believed that Belden pointed to his union button, nevertheless, in view of the plausible explanation made by Belden, the undersigned finds that Cowan may have misinterpreted some innocent gesture of Belden's and therefore credits the latter's explanation 15 On April 1, 1941, Stancer was promoted to the position of "Dispatch Chief in Produc- tion" ; on October 1, 1941, to foreman of production, and on June 1, 1942, to assistant superintendent. 1' This quotation is from Stancer's testimony is Since Reisweg bad never gone beyond the first year in high school, a study of the grammatical construction, spelling, and terminology of the language used in the handbills persuades the undersigned of the truth of this testimony. Some excerpts from the handbills follow . BARNUM SAID- "There is a sucker born every minute." Evidently the Stearman employees who are the Stooges for the Labor Union racketeers havent forgotten what Barnum said, and now they aie trying to revive the old Myth In the first place who of us intends to work in Seattle, or caie whether the boys in Seattle contribute (sic) to a racket or not Why do these Un.on racketeers tell us about someone several thousand miles away? Why don't they tell us about Wichita? The A. F. 0. L. have a contract with Beech Aircraft Co. and they admit in their booklet that beginners get 40 cents per hour and a 5 cent per hour raise after every thousand (1,000) hours, and nowhere in the booklet do we find it wage rate of $1 15 per hour for anyone Brother Stooges-Why don't you distribute these booklets to the Stearman employees1 The reason is you dont care to admit that the Stearman employees have a BETTER deal without a Union than Beechcraft employees have with one All labor Unions aie very liberal with other peoples money but not with their own . . . Brother Stooges-it isnt necessary to sign your names to any of your literature because we all know who you are. We knew you when you used to Scab at the Railroad Shops and now you are Scabbing on us by trying to sell us out to a bunch of gangsters If you are so in love with a Union why don't you quit here and go to work where they have one and stop bothering us who know when we are well off. • • s * s s s The French Army was defeated by Hitler because they were betrayed by their Politicians and by the Racketeers who contiolled their Labor Unions who constantly called strikes i before the war for',any and every rediculous (sic) reasons and the production on armament a 288 DECISIONS OF NATIONAL LABOR RELATIONS BOARD Crew-Chiefs Walter Schauf "' and John Parks made arrangements for the dis- tribution of the handbills by certain farm hands at the respondent's gates'. In addition to these individuals, Assistant Foreman Ed Tettenhorst.and Tool Footnote 18-Continued. Footnote 19 on next page. bogged down. The French Army is still in Prison Camps while French Labor is reduced to cleaning Privie's, for their Nazi Masters and they can't strike, what a terrible lesson to a Proud Nation. America is traveling in the same direction, we have Lindberg and the Isolationist Sen- ators Our Labor Unions are a colossal rackett (sic) dominated by gangsters who call ,strikes against the wishes of its members, as an illustration, the Allis Chalmers strike was illegal because 40 per cent of the yes ballots were fraudulant, (sic) if you doubt this statement then read the August 30, 1941 issue of the Saturday Evening Post. The gangsters who control American labor Unions are the lowest creatures on 'earth, 'for example one Willie Piobb a west coast labor leader was recently returned to Chicago to finish a jail sentence as a Pander which means (Pimp), the Union has since forgiven him and he is back on the job, for further details read Pegler throws the book, in September issue of the Readers Digest We have a Jack Ass Brigade wearing Union buttons most of whom would never have passed beyond the third grade except for the tact that the school was crowded and someone else needed the seat. Its nise (sic) to know that ours is the only major Aircraft Factory where the boys choose to play ball with the management rather then (sic) surrender their liberties and pay tribute to Gangsters and Pimps. Labor Unions dont create jobs, they destroy them and when you lose (sic) yours, will the Union feed you while you look for another? The answer is if you cant pay dues they dont want to be bothered with you, so, Mr. Jack Ass what will you join when the big noise is over?????? FELLOW EMPLOYEES We are still being solicited by two rival groups of gangster Unions who wouldn't have any scrouples (sic) against selling America to the Japs or anyone else in, order to make a• profit for themselves and to spite each other. These gangsters are today in complete control of all Labor Unions, and collecting millions of dollars from the Suckeis who are stupid enough to pay tribute for the privilege of earning an honest living; These gangsters live in grand style everywhere, including the leading hotels in Wichita None of these gangsters are natives of the middle west. They are imported from elsewhere and are getting rich while a few stooges and Pug Uglies (sic) do the dirty work by constantly soliciting Boeing Employees to join the sucker list. Many of you have asked the question-"Who Are The Loyal Employees?" The answer is, "It is anyone employed by Boeing Airplane Company who is willing and anxious to give a day's work for wages that are fair, and one who would rather be loyal to the Boeing Airplane Company and the city of Wichita than to pay tribute to a bunch of gangsters and racketeers." It is the duty of every Loyal Employee to repoit to your Foreman or Personnell (sic) department anyone who solicits your membership for a Union ' It is the duty of everyone of us, especially the new employees to stich (sic) together and fight this' evil. We have kept them out in the past, so with the aid of our New Employees lets keep them out until we win the War, and after that we can thumb our noses at them. FELLOW EMPLOYEES Several years ago we the Employees of Stearnian Aircraft Co decided to organize a Union which would be Independent of any outside Influence and which would fulfill our particular needs at a dollar a, year per person. We mailed our petition for a charter to the Secretary of Labor at Washington, D. C., we didn't get a Charter and furthermore we did not receive a reply It is therefore very evident that Labor Unions as a whole are one colossal racket dominated by big time racketeers most of whom are Foreigners, Communists, ex-gangsters and plain parasites. We are now being solicited by two rival Unions who are very much interested in our welfare and are offering cut rate prices of three dollars entrance fee and' $1 50 per month dues, now by using some simple arithmetic it is easy to understand the motive of our would be benefactors If we' add three dollars and eighteen dollars for dues and entrance fee and, r, BOEING AIRPLANE COMPANY 289 Superintendent Thomas Babb 20 contributed sums of money to help finance the printing and distribution of the circulars. - The six supervisory employees testified in substance, that neither higher management officials nor the employees. were aware they were the individuals responsible for the handbills 21 It is the contention of the respondent that, it had no knowledge that any of its super- visory employees were responsible for the anti-union circulars above described until sometime in February 1942, when a representative of the Board informed it of this fact. The evidence so indicates. The record,also indicates however, that at no time did the respondent make an investigation to determine who was responsible for the "Loyal Employees" handbills. According to Reiswig, within a day or two after being exposed, the six supervisory employees in question decided to go to Sieflkin's office "to see what the score was, or what we should do about it," and "about getting some legal advice." Stancer testi- fied that Siefkin stated that he was surprised and somewhat shocked that supervisory employees had violated the respondent's instructions and intimated that they should be, discharged, but would wait for the advice of a representa- tive of the Board. , Reiswig, on the other hand, testified that Siefkin "sort of laughed about it," and said he had some of the handbills reprinted. At the hearing, Seifkin stated that he had 100 of, the first circulars reprinted and still had about 90 of them left, and there were "other people likewise interested in Labor troubles and I sent those circulars to them." Shortly thereafter, Sief- kin,conferred with representatives of the Board's Regional Office in Kansas City and the charges filed herein were discussed. Although the parties could not reach an agreement as to the disposition of the alleged discrimination cases, Siefkin agreed, on behalf of the respondent, to accept and post any "reasonable notice" in "strong language" concerning the anti-union handbills. It is the contention of the respondent-that the Board's representatives agreed to submit such a .notice, but instead of doing so forwarded to it a stipulation of settlement providing for the reinstatement of the discharged employees as well as the notice in question. This the respondent refused to sign, and contended that because of this situation it did not post its own notice that it had "in the course of preparation" at about that time22 Footnote 18-Continued. multiply by six thousand employees we arrive at, the staggering figure of $126,000 00 per year, boys, what gangster wouldn't fight for so much dough. ^' s t r s e • We are of the Middle West and why shouldnt we remain free and Independent and play fair with Our Employers who are at all times fair and willing to meet us more than half way, why take chances with parasites who hope to play us for suckers and who wont go hungry while we are out on strike, we have a duty to perform during a national emergency, lets do it the American way because when the Emergency is past most of us will be looking for` jobs and no Union (sic) on earth will help us then, so lets save the extra change and help ourselves '- Schauf was made a lead man in November 1941, and a crew-chief on January 16, 1942. The classification of lead man is not officially recognized by the respondent but is commonly used in the plant to designate an expert mechanic who has one or more helpers under his supervision. The duties of lead men are very similar to those of crew-chiefs with the exception that lead men perform manual work while crew-chiefs do not. That the respond- ent recognized lead men as having supervisory status is evidenced by the fact that they were invited to attend the meetings of supervisory employees addressed by Siefkin. ^ Babb was promoted to the position of a foreman on August 1, 1940, and sometime thereafter became assistant tool superintendent and' on April 1, 1942, was made tool superintendent. a So far as the record discloses, only one° non-supervisory employee, Clem Kreuter, was involved in this affair. Kreuter, on Reiswig's inquiry, recommended a printing firm, and thereafter the printer delivered the handbills to Kreuter's home. Kreuter also paid the printer with some of the money given him by Reiswig a This proposed notice, however, contained no reference to the violations of the respond- ent's instructions by its supervisory employees and, particularly, did not reveal that six of its supervisory staff were responsible for the anti-union handbills. 504086-43-vol. 46-19 r 290 DECISIONS OF NATIONAL LABOR RELATIONS BOARD It should be noted that, outside of what Siefkin may have told the six super- visors, no official of the respondent reprimanded, censured, or disciplined them for their flagrant violation of the respondent's rules. The respondent contended that although it considered discharging these supervisors, it did not do so because the Pearl Harbor incident of,December 7, 1941, had since intervened and our country was at war, and the • discharge of these men would have seri- ously impaired its production of airplanes, and because it was then in- doubt as to whether it could control the action of its supervisors while on their own time. The issue is now presented as to whether or not the respondent, by the notices to its employees and by its statements to its supervisors, all as described above, effectively disavowed the actions of its supervisory personnel who did not main-' taro the neutral attitude required by the Act and violated, the instructions in this respect. In the considered opinion of the undersigned, the total actions, of the respondent'did not operate as an effective repudiation. While-the respond- ent correctly interpreted its obligations under the Act in the notices to its employees and admonished its supervisory staff against any recurrence of partial acts or statements, once the violations herein described were called to the re- spondent's attention it never directly informed its employees that they were contrary to its policy. Despite the relatively few oral anti-union statements considering the large number of non-supervisory and supervisory employees in- volved, they were of sufficient number, taking into account the incidents of partiality mentioned by, Siefkin in his speech to the supervisors and those found above, to have had an effect upon the employees-which it was the respondent's duty to dissipate. An anticipatory notice by an employer that unneutral state- ments by his supervisory employees will not reflect his attitude and which are disavowed in advance, is not sufficient, without more, to overcome the effect of subsequent manifestations of partiality where the employer learns of such partiality.-'3 The obligation of the respondent to do more was particularly true when it ascertained that six of its supervisory employees were responsible for the circulation of a series of scurrilous anti-union bulletins. The failure of the Board's representatives tc send to the respondent the notice agreed upon and their insistence upon a full settlement of the charges filed herein, did not ab- solve the respondent from directly informing its employees that it repudiated ze Cf. In the Matter of the Nebraska Power Company, etc., 19 N. L. R. B 357 ; In the Matter of Chicago Apparatus Company, etc ., 12 N. L R. B 102. In H. J. Heinz Company v. N. L. If. B , 311 U. S 514, the Supreme Court, in commenting upon the liability of an em- ployer for the unauthorized actions of his supervisory employees, stated : We do not doubt that the Board could have found these activities to be unfair labor practices within the meaning of the Act if countenanced,by petitioner , and we think that to the extent that petitioner may seek or be in a position to secure any advantage from these practices they are not any the less within the condemnation of the Act because petitioner did not authorize or direct them . . . The question is not one of legal liability of the employer in damages or for penalties on principles of agency or respondeat superior, but only whether the Act condemns such activities as unfair labor practices so far as the employer may gain from them any advantages in the bargaining process of a kind which the Act proscribes To that extent we hold that the employer is within the reach of the Board's order to prevent any repetition of such activities and to remove the consequences of them upon the employees' right of self-organization, quite as much as if he had directed them. This is the more so here where petitioner, when advised of the participation of his supervising employees in the organization campaign, took no step, so far as appears, to notify the employees that those activities were unauthorized, or to correct the impres- sion of the employees that support of the Union was not favored by petitioner and would result in reprisals From that time on the Board could have found that peti- tioner was as responsible for the effect of the activities of its foremen and group leaders upon,the organization of the Association as if it had directed them in advance. BOEING AIRPLANE COMPANY 291' such action and would not tolerate its repetition24 In view of all the circum- stances herein described, the undersigned believes and finds that the respondent was under the duty of overcoming and dissipating the effects of the unneutral acts and statements of some of its supervisory personnel. The respondent, by the distribution of the anti-union handbills, and by the acts and statements of Supervisors Steele, Plagens, Tettenhorst, Hill, and Wells, all as described above, has interfered with, restrained, and coerced its employees in the exercise of the rights guaranteed by Section 7 of the Act. B. Alleged interference, restraint, and coercion; the demotion of Marton Engel Employees Dick Goss and Homer Kelley gave testimony in support of the- allegation in the complaint that the respondent "Promised increases in pay, promotions and other benefits to employees who abandoned their activity or membership in the C. I. 0 or A. F. of L." In the latter part of February 1942, at a time when Kelley was employed as a lead man with 5 to 10 men under him, Foreman Cecil Jordan' told Kelley that he could not make him a crew-chief because of his union affiliation2" Dick Goss joined the C. I. 0. in September 1941, and in March 1942, was a lead man.. At about the latter time, Jordan informed Goss that he had recommended him; for a- crew-chief's job but added, "According to Schaeffer's memo you won't get it, but, . . . I turned it in anyway." Thereafter Goss attended the April 8 meeting of supervisory employees addressed by Siefkin 29 Concerning what occurred about 2 weeks later, Goss testified as follows : I went to the crew chief's meeting and Mr. Siefkin said in order to be a crew chief we would have to stop all of our Union activities, and I told Mr. Jordan that under those conditions I couldn't accept the job. I told him I would like to have the job, but couldn't accept it under those con- ditions, and he said, "Well, I turned you in a nickel raise," he said, "I will have to take that away from you and also the crew chief's job. "'T 24 In view of the important part played by the respondent in fulfilling our war production needs and the natural desire of the respondent to retain its skilled supervisory personnel under such circumstances, the undersigned does not attempt to pass judgment upon the respondent 's decision not to discharge the instigators of the handbills However, the respondent 's disparate treatment of other supervisory employees who violated its instruc- tions to be impartial, as discussed below, also affected the employees' judgment of the asserted neutrality of the respondent and is one of the elements considered by the-under- signed in reaching the conclusions above. It should also be noted that since the fall of 1941, the organizational campaigns of both the A. F of L and the C. I 0. have retrogressed and this may fairly be attributed, at least in part, to the actions of the respondent' s super- visory employees as found above. Si This finding is based upon the testimony of Kelley. Jordan denied making the state- ment attributed to him by Kelley. The realities all point to Jordan's making this nemark- Kelley was a lead man and therefore in line for a crew-chief's job many of which were open- ing up at about this time due to the respondent's rapid expansion. The fact that Kelley was president of the C. I. O. local was undoubtedly known to Jordan and this alone, under the respondent's instructions to its supervisory staff, would have made Kelley ineligible for the crew-chief's position. The undersigned credits Kelley's testimony in this respect. 21 See footnote 9, supra. I - sz On cross-examination,by Siefkin, Goss testified as follows : Q. Then I went ahead and asked you and all other supervisory employees, in. order to maintain a fair attitude, not to be active in union affairs, didn't I? - A Yes , Q. And I asked if any party present who was a crew chief or supervisory employee; felt they could not take' that attitude, I would prefer they not take a crew-chief's-job; that, in substance? A That is the reason I didn't take it. - Since Jordan's version'was substantially the same'as that given by•Goss, the undersigned accepts the latter's testimony as being substantially in accord witli-the fac`ts. =-- -- •' 292 DECISIONS OF NATIONAL LABOR RELATIONS BOARD Marion Engel joined the A. F. of L. on November 6, 1941, at a time when he was a crew-chief, and from that day on wore a small union pin which bore the designation "A F of L Local 751" in letters so small as would scarcely be read with the naked eye. On November 24, 1941, Foreman Jordan inquired of Engel as to the type of pin he was wearing and the latter replied that it was an A. F. of L. insignia. Jordan then informed Russell James, an industrial engineer attached, to the respondent's personnel department, that Engel was a member of a union and inquired as to the propriety of a supervisory employee belonging .to a union in view of the respondent's policy of neutrality in regard to union affairs. James then conferred with Personnel Director George Trumbold and Superintendent W. E. McArthur,'and since; according to James, it was estab- lished that Engel was a crew-chief and wore his union badge in the plant, they, decided "to demote Engle (sic), from crew chief in order to, sustain our Company policy." According to Engel, on November 25, James informed him that inasmuch as he was wearing a union pin and attending union meetings, he was being demoted from the crew-chief position, and 10 cents an, hour was being cut from his wages "because the, Company has the policy that no crew- chief may belong to the union and hold that job . . ." Engel testified that Jordan then inquired whether Engel had the opportunity in the future of regaining his supervisory position, and James replied "not as long as he is a union member." 28 After Engel's demotion, and just prior to Siefkin's meeting with the supervisory staff on April 8, .1942, Jordan offered Engel a crew-chief's position but told him to attend the aforesaid meeting before acting on the offer. Within a few days after attending this meeting, Engel informed Jordan that he could not accept the position because, as he testified, "I was a member of the AFL at that time, and was taking an active part in it." 2B If, within the meaning of the Act, the respondent properly restricted the union activities of its crew-chiefs, then the statements made to doss and Kelley, and the subsequent demotion of Engel, all as described above, were not violative of the Act. The respondent's instructions to its supervisory personnel, as, attested by its notices and by Siefkin's speeches, were apparently. made with the purpose of protecting the primary right of the non-supervisory employees to freely decide for themselves whether they desired to join a labor organization. Since crew- chiefs hold supervisory positions, if unneutral statements concerning labor or- ganizations had been made by them both on or off the respondent's premises, the respondent under normal circumstances would be -held responsible for such actions. Regardless of the findings made herein that the respondent in other respects, violated the Act,.tile undersigned is convinced from the entire record that these executives of the respondent who controlled its labor relations policies wanted to remove from its supervisory personnel the power to do or say anything that might be violative of the Act so that any decision in that respect would be confined to the aforesaid officials. The, respondent's instructions, therefore, to the crew-chiefs were not primarily made for the purpose of interfering with the right of those employees to join a union. That these instructions, incidentally,' 28 Although' James could not recall the language he used when he informed Engel of his demotion , he did not believe that he used the words attributed to him above . Inasmuch as James admitted that he was uncertain whether the respondent 's restrictions at that time included mere membership of a supervisory employee in a labor organization , and 'in view of the definite testimony of Engel, who was an unquestionably honest, trustworthy witness, the undersigned credits the latter's testimony. 29 Since Jordan's version of this incident was substantially the same as that of Engel, the undersigned finds Engel ' s testimony to be in accord with the facts . Engel further testified that he ,refused the offer of the crew-chief ' s job because he interpreted Siefkin's instructions to, so limit his union activities as would make him only a nominal member, and for this reason refused the crew-chief's position. BOEING AIRPLANE COMPANY 293 had such an effect , however, cannot be doubted . It is now well , settled that super-' iisory employees are "employees" within the meaning , of Section, 2 (3) and Section 8 (3) of,the Act , and that any discrimination in regard ' to their hire' and tenure of employment because of their union activities constitutes unfair labor practices within the meaning of the Act.'° In this connection , the Circuit Court of Appeals for the Eighth Circuit stated : 81 It is first argued'that Eckert is not an employee within the meaning of the Act. The contention is that being a foreman he is an employer and not an employee . Section 2 ( 2) of the Act is relied upon wherein an "employer" is defined to include "any person acting in the interest of an employer." Section 2 (3) of the Act is ignored . It provides that "The term `employee' shall include any employee ." There is no inconsistency in these provisions when facts are taken into consideration . A foreman , in his relation to his employer , is an employee , while in his relation to the laborers under him he is the representative of the employer and within the definition of Section 2 (2) of the Act. Nothing in the Act excepts foremen from its bene- fits nor from protection against discrimination nor unfair labor practices of the master. Supervisory employees , despite their authority over other employees, may' be members of a legitimate labor organization to which non -supervisory employees are admitted , without the employer thereby violating the Act, provided such employees do not by statements or conduct bring the employer 's economic power and interest to bear upon employees or otherwise act for the employer in such a' , manner as to interfere with, restrain , or coerce employees in the exercise of the rights guaranteed by the Act3z To the undersigned , one of the considerations in determining the problem herein, is whether or not crew-chiefs belong in the same bargaining unit as employees ' who work under them. Where, there is a' history of rivalry among labor organizations claiming to represent employees, it is important that an employer be free from the imputation of coercing his • 80 Supervisory employees were held to have been discriminated against on account of their union activities within the meaning of Section 8 (3) of the Act in the following cases • a subforeman, National Labor Relations Board v. Fruehauf Trailer Company, 301 U. S .49 rev'g 85 F. (2d) 391 (C. C. A. 6) setting aside 1 N L. It B. 68; a foreman, National Labor Relations Board v. Skinner and Kennedy Stationery Co., 113 F. (2d) 667 (C. C. A. 8) and Matter of American Potash Company and Chemical Corporation and Borax-Potash Workers Union, 3 N. L. It. B. 140, enf'g 98 F. (2d) 488 (C C A. 9) ; a graduate chemist acting as director of research for a mining company, Eagle-Picker Mining .and Smelting Company V. National Labor Relations Board, 119 F (2d) 903, 911 (C C. A. 8) ;.Powerhouse chief engi- neer , Matter of Warfield Company and International Union of Operating Engineers, 6 N. L. It. B. 58; newspaper district and branch managers, Matter of Star Publishing Co. and Seattle Newspaper Guild, 4 N. L. It. B. 498 enf'd 97 F. (2d) 465 (C. C. A. 9). 11.National Labor Relations Board v. Skinner and Kennedy Stationery Co:, 113 F. (2d) 667 (C. C. A. 8). 11 See E. T. Fraim Lock Company eta., 24 N. L R B. 1190 In Matter of Tennessee Cop- per Company and A. F. of L. Federal Union, No 21,164, 9 N. L. R B 117, a question pie- sented itself whether foremen who were members of a legitimate labor organization could utilize the employer's economic power to gain adherents among employees for their organ- ization. The Board said : Membership of supervisory employees in a labor organization involved in a contro- versy over representation cannot confer on such employees a privilege to interfere, nor can the immunity guaranteed employees by the Act be impaired or diminished by the membership rules of any labor organization. The employees' right to a choice free from employer interference is absolute Supervisory employees, although eligible for membership in competing labor organizations, are forbidden by the Act, in their capacity as the employer's agents, to interfere in the selection of employee bargaining representatives, yet there need be no conflict by reason of their dual status. It is per- fectly consistent for supervisory employees to belong to labor organizations and yet be prohibited from conduct permitted non-supervisory employees. 294 DECISIONS OF NATIONAL LABOR RELATIONS BOARD employees in their choice of representatives. Here, both the A. F. of L. and the C-I. 0., in effect, contend that crew-chiefs not only are eligible for membership in their respective unions, but that they belong in the sanie bargaining unit as employees who work under them. Since crew-chiefs'have the right to recommend discharges and, are clearly identified with management, their participation in the controversy between rival unions, has led, in part, to charges of employer interference.39 Therefore, under the circumstances of this case, the undersigned is of the opinion that crew-chiefs do not belong in the same unit as other non- supervisory employees.84 Since the respondent in no way restricted the right of its supervisory employees to join or be active in a labor organization of their own choosing in an appropriate unit limited to supervisory employees, the under- signed finds, upon all the circumstances herein, that the prohibitions the re- spondent placed upon the union activities of its crew-chiefs were reasonable and not in violation of the Act. Therefore, the statements made to Kelley and Goss and the demotion of Engel, 'while normally under the interdiction of the Act, were not so under the facts above found." C. The discharges Lela Roach was hired by the respondent as a seamstress on February 17, 1937, and was discharged on November 17, 1941, at which time she was a crew-chief In the sewing room. Roach joined the C. I. O. on October 31, 1941, at which time she' was aware of the respondent's regulations that supervisory employees had to maintain a neutral attitude both on and off the company's premises. It is the respondent's contention that it discharged Roach for violating this rule. At the hearing, Roach admitted that, while in, the plant one morning just before the whistle announcing the commencement of the work day, she exhibited her union card to an employee that worked under her 86 On the evening Roach joined the G -31 See In the Matter of Rem Manufacturing Co., Inc., and A. F. of L. , Federal Local Union No. t0S93, 7 N L. R. B. 95. " See Matter of Union Collieries Company, etc., 41 N. L . R. B. No. 174 ; In the Matter. of Sherwin-Williams Company, etc , 37 N. L. R B. 260; Matter of General Motor Sales Cor- poration, etc., 34 N. L R B., 115; Matter of Marshall Field & Company , etc., 34 N. L. R. B.,' No. 1. The - undersigned reaches this conclusion despite evidence adduced at the hearing that crew-chiefs of the respondent 's Seattle Division were in the same appropriate bargain- Ing unit as non-supervisory employees , and that the respondent 's Seattle Division executed a contract with the same A. F. of L. union herein , recognizing the right of that union to bargain for crew-chiefs in that unit. 35 Since the Board either failed to produce evidence or the evidence adduced was insuffi- cient to support the allegations ' of the complaint that the respondent ( a) encouraged employees, who had joined or assisted labor organizations of their own choosing , to engage in conduct violative of company rules, thereby giving cause for demotion or discharge; (b) advised and exhorted its employees to discuss grievances with- it directly rather than through their .unions and union representatives ; ( c) warned employees who sought to affiliate or did affiliate with the C. I. 0. or the A. F. of L. that they would be demoted or reduced in pay or suffer other penalties , and has demoted , reduced in pay, or otherwise ' penalized other employees pursuant to such threats or warnings ; and (d ) maintained surveillance over members of the C. I. 0. and A F. of L, the undersigned will also recommend dismissal of these paragraphs of the complaint ' 33 Roach testified that on another occasion she asked an employee in her crew named Edith Long "if she was going to sign up" with the union. According to Roach, this occurred during the luncheon period after one of the employees had distributed union application cards to the girls . Long, a respondent ' s witness , testified , however, that about a week or 10 days prior to Roach's discharge , the latter , during working hours, asked her when she was going to join the C. I. 0 , and when Long exclaimed "You don't mean to tell me you did ," Roach replied that she had joined and exhibited her union card . Long did not inform the respondent of this incident until after Roach had been discharged. The undersigned finds it unnecessary to resolve this conflict in view of the finding made below, and because whether or not it occurred on company time , Roach was violating the respond- ent's instructions. BOEING AIRPLANE COMPANY 295 union she was accompanied by a member of her crew named Lila Melton who joined the union that evening. Melton attended this meeting at the invitation of Roach. Roach received no prior warning from the respondent that it believed she- was violating its regulations. She learned about it for the first time on November 17, when she was discharged by Employment Manager Ira Smith. The latter told Roach that the respondent had definite proof that she had been discussing labor organizations on company time and reminded her of the respond- ent's rule in that respect.' Roach told Smith that she had not discussed unions on company time but admitted doing so during luncheon period. Smith testified that he was instructed by Personnel Director Trumbold to discharge Roach because of her union activities on company time In view of the' propriety of the respondent's instructions to its supervisory personnel to maintain a neutral attitude, it must now be determined whether Roach was discharged because she violated these instructions or because she was active on behalf of the C. I.- O. It is pertinent in this respect to compare the treatment the respondent accorded Foreman Wayne Chastain for violating the same rule when he made anti-union statements to a group of non-supervisory employees. Sometime in September or October 1941, Chastain made favorable comments about one of the anti-union "Loyal Employee" handbills to a class of student employees. When the respond- ent learned of this violation, and the refusal of Chastain to abide by its instruc- tions in the sense that Chastain desired to continue to express himself against unions, -the ,respondent demoted Chastain to a non-supervisory position. In effect, Vice-President Schaefer testified that Chastain would not have been demoted if he had promised to abide by, the respondent's regulations.ss The respondent made no satisfactory explanation for the disparity of treatment accorded Roach as compared to, Chastain for a violation of the identical rule.8° ,In view of the above it is clear that the respondent discharged a supervisor who made pro-union statements but did not discharge one who made anti-union statements. The undersigned therefore finds that the respondent discharged and refused to reinstate Lela Roach because of her union affiliation and activities and not because she violated a rule of the respondent. Charles Cowan was hired by the respondent on September 16,1939, as a stock clerk and worked as such until his discharge on November 24, 1941. ' Stock chasers would bring requisitions for material to the stockroom where Cowan and other stock clerks would fill the orders. The nature of Cowan's work was such that he daily came into contact with many of the employees. Each stock clerk of the about 10 then in the respondent's employ filled an average of 50 to 100 requisitions a day, and usually there would be some conversation between the stock clerk and the employee who presented the requisition. Cowan joined the A. F. of L. in August 1941, and wore an A. F. of L. union button in the plant 37 Employees Mary Harsberg and Irene Harrell testified and the undersigned finds that Roach asked them to join the C. I 0 during working hours Only Harrell reported this incident to the respondent prior to Roach's discharge as On December 16, 1941, the respondent restored Chastain to the position of a foreman, and at the hearing stated that it did so because of the urgent need for a supervisor of his ability and upon Chastain's promise to abide by its rules. 3' Asked why the respondent had not demoted Roach rather than discharging her, in view of the treatment accorded Chastain, Schaefer replied, "That might have been a reasonable action to have, taken." As found above, the respondent justified its failure to discharge the six supervisory employees (two of whom were crew-chiefs) responsible for the anti- union handbills, because, of the war situation and its then legal doubts concerning the rights of supervisors while on their own time.. But, according to 'Schaefer's admission, Roach also became an indispensable employee after December 7, 1941, and when asked, in view of the changed policy of the cmnpany, why it had not offered reinstatement to Roach, Schaefer replied that Roach "became an issue :n this case, and we felt we should go through and find out what our position should be, on occasions of that kind." 296 DECISIONS OF NATIONAL LABOR RELATIONS BOARD until sometime in October 1941, when he switched his affiliation to the C. I. 0., and thereafter wore a C. I. 0. button. Shortly after joining the C. I. 0 , Cowan became' a member of the local's executive committee. It is the respondent's contention that it discharged Cowan for violating a rule prohibiting its employees from engaging on company time "in activities for or against labor unions."'0 The respondent did not prohibit its employees from discussing other subjects during working hours. However,' under the circum- stances described herein, the undersigned does not find that the institution of the rule prohibiting -discussion of union affairs during working hours was dis-' ucriminatory. The issue- to be determined therefore, in the case of Cowan, is similar to the one discussed in the case of Roach above, and that is, whether or not there was a discriminatory application of a non-discriminatory rule. Although Cowan admitted at the hearing discussing unions on company time, he contended that he never initiated such conversations but was constantly being asked questions pertaining to his union by fellow employees. The undersigned is convinced, however, and finds that in some instances such conversations were initiated by Cowan'° An important consideration in determining the issue herein is the fact that Cowan was never warned by the respondent about his violation of the rule. The respondent secured written, statements from some of the em- ployees mentioned above that Cowan had discussed unions with them on company time and then informed Cowan that he was discharged Siefkin, however, when he instructed the respondent's supervisors as to their obligations under the Act as described above, cautioned them against summarily discharging employees who discussed unions on company time without an advance warning' It must be borne in mind that the respondent's prohibitions concerning the discussion of unions applied to both pro and anti-union statements by employees during work- ing hours. It is therefore important to determine whether the respondent, in enforcing this rule, applied it equally to transgressors who were in favor of unions as well as those who were opposed to unions. An incident involving . 4° Another bulletin to the employees on the same subject stated : "During working hours you must not discuss labor organizations or other like controversial matters " 4; The employees were not prohibited from discussion of unions during their luncheon or smoke periods. - 42 This finding is based upon the credible testimony of several of respondent's witnesses, to wit, Russell Edson, Carl Schoech; James Arnold, Leslie Frank, Lynn Cowan, Kenneth Plaff, and Edward Bryant, who testified in substance that Cowan asked them on company time to attend union meetings. In crediting the testimony of these witnesses, the under- signed does not find that Cowan's efficiency was impaired or that his work suffered as a result of these conversations. Actually, Cowan was known to be;one of the fastest and most accurate stock clerks, and many of the stock chasers for this reason soueht to have Cowan fill their difficult requisitions Schoech, crew-chief over Cowan, testified that Cowan was a very good and fast worker. Shortly prior to Cowan's discharge, the latter' s fore- man, E F. Belden, recommended Cowan for a wage increase because of his excellent work in completing a difficult inventory. 43 For example, Siefkin at one of the July 29, 1941, meetings with the supervisory staff was asked the following question : "Suppose a man refuses to cease talking union activities during working hours, could he be discharged for that?" Siefkin replied : He could be because if he refuses'to obey orders it becomes an act of insubordination. I prefer, of course, that no man be discharged merely for talking on the job, but any labor organizer, or any man that knows about labor matters will instruct his people that they must not, unless the company Consents, discuss labor matters on company time and property, and he can be discharged for that if he continues it Any labor organizer will so inform you. That's purely,a matter'of judgment to be exercised by you on your recommendation. If a man persists in talking about union matters during working time, and after being warned about it, persisted in doing so, it is a ground for discharge. [Italics supplied ] Siefkin made similar statements in his other addresses. BOEING AIRPLANE COMPANY 297 employees L. Taylor and, Morris Chase throws some light on "the 'respondent's attitude in this respect., On or about May 9, 1942, Chase started 'to smoke just before the smoke period commenced and Taylor remarked about this to Chase. , When' Chase took his time in returning to work at the conclusion of the smoke interval, Taylor remarked, "what are you doing there working for Hitler?", and Chase replied, "Any, son-of-a-bitch will join a Union is working for Hitler," to which Taylor rejoined, "Any, son-of-a-bitch does not join the Union might be' working for Hitler,-about the first thing Hitler does is to break the Labor Unions."" This 'incident came to the attention of management through the complaint of Chase. At the request of Vice-President Schaefer, General Super- intendent A. Schupp investigated the matter. Schupp testified that Chase signed a statement and his gravamen was that Taylor had made the remarks set forth above. Taylor then presented his version of the incident to Schupp, but Chase still insisted on pressing the complaint and offered employee Clyde Ellis as a witness who would support his version of the incident. Concerning what occurred when he was called into Schupp's office, Ellis testified as follows : . . . he [Schupp] told me he wanted me to sign an affidavit against L. D. Taylor, that he was talking Union on the Company time, and I asked him what he wanted said in this affidavit, and what,theaf£idavit would be about, and he told me that Schaefer wanted an affidavit. Q. Did he hand you anything at that time? A. He handed me a piece of paper, which said that Taylor said if ,a son-of-a-bitch didn't join the Union he would work for Hitler, and I told him I heard more than that, and couldn't sign one without signing one against each party concerned. Q. What did he say,? A. Mr. Schupp told me one affidavit against each party concerned wouldn't do any good, and dropped the whole thing, "Just forget about it Q. What did you'do then? - A. Well, we were,dismissed, and as we were being dismissed, Mr. Schupp says, "I don't know how you stand on the Union," and I told him I was a,, Union member; and he said, "Well, let's just drop the whole thing," and we were dismissed then.' • - At about this time, Assistant Foreman Reiswig'asked employee Earl Scott if Taylor had solicited him to join the union on company time. Scott replied that Taylor had not done so. To the undersigned, the significance of the testimony surrounding the Taylor- Chase incident is'the unusual manner in which the respondent marshalled its 44 These facts are based upon the undenied, credible testimony of Taylor. - 45 Schupp's version varies somewhat from that` of Ellis. 'According to Schupp, Ellis refused to sign a statement against Taylor alone, ' stating that both men were at fault, whereupon Schupp turned to Chase and offered to'drop the whole matter if it was agreeable to Chase Schupp denied asking'Ellis about "the Union." Since the undersigned found Ellis to be an impressively honest witness, he credits his version. Schupp then took Taylor to Schaefer's office, and after the latter cautioned Taylor to abide by the respondent' s rules, Schaefer stated : . . . I am afraid that if you were saying such things that it might get out of hand and I just wanted to stop it now. I don't want . . . the CIO people, or the AFofL people to put charges against us that we are out of line. I don't want the men in the plant who are not interested in either union to be bothered with any membership solici- tation. I have to rely on you boys and thank God we still have a free country and I will go the limit with you in protecting your rights, but to express those rights under the law-you must do it off of company property. i 298 DECISIONS OF NATIONAL LABOR RELATIONS BOARD forces from the vice president, down for the purpose of acting upon the relatively minor complaint of an"employee who was himself the initial violator of the re- spondent's rule prohibiting union discussion on company time. The respondent's investigation revealed that Chase was equally guilty, if not more so, of violating the rule as was Taylor. But the record does not reveal that Chase likewise was called into Schaefer's -office and cautioned, or in any way censured for his part in the affair. Would the respondent have acted in the same manner if Taylor, had .complained that Chase had made an anti-union remark? Would Assistant Foreman Reiswig have questioned other employees whether Chase had been guilty of making anti-union remarks on company time? The undersigned believes not. The respondent's actions in the Roach case discussed above, and the inferences drawn from the disparity of treatment accorded a supervisory employee who made anti-union remarks, apply equally to this situation. However, it may appear from the facts found above that the respondent in other ways attempted to obey the,Act, when the showdown came, and the respondent's real desires came to the surface, it showed its hand. The undersigned therefore finds that the respondent was motivated by the desire to discriminate in the treatment of both supervisory and' non-supervisory employees for violations of its rules. The discrimination here applied to union as to non-union employees and involved an intent to distinguish in the treatment of employees on the basis of union affiliations or activities, thereby discouraging membership in labor organizations. Applying these conclusions to the Cowan case, the undersigned finds, in view of all the facts, that the respondent was motivated by the union affiliation and activities of Cowan in ordering his discharge rather than by his violation of its rule. Wallace E. Keller. The facts in Keller's case are in many ways similar to those of Cowan's. Keller was hired by the respondent on July 14, 1939, and worked as a pipe fitter and general maintenance mechanic until his discharge on February 12, 1942. Keller joined the C I. O. about September 15, 1941, and shortly thereafter was elected vice president of the local. Keller at'times wore his union button in the plant. The undersigned finds that his union membership and office in the local was known to the respondent. The respondent contends that it discharged Keller because lie violated the rule prohibiting the discussion of unions on company time and because "he complained constantly about the working hours and conditions, the tools which he'was furnished with which to perform his duties, found fault with the food served at the cafeteria and the price charged therefor, and, in general,, was abusive toward the company, the management,, the supervisory officers and the other employees with the respondent." At the hearing, Keller admitted that he may have made some casual remarks during working hours about unions to other employees, but, as a general rule, denied doing so outside of the lunch and smoke periods `e It was undisputed that Keller was a competent workman. 'B The undersigned finds that although Keller had violated the rule, he did not do so to ,the extent contended by the'respondent. This is borne out by the testimony of some of the respondent ' s own witnesses : Arden ' Strong, who worked , in the same department as Keller, .testified that Keller solicited him to join the C. I 0. so often that he complained to his foreman, Steele, who told him to report it to the personnel office Strong did so, but informed the respondent 's' officials that this solicitation did not take place on company time , James Haught testified that Keller constantly spoke about how the union would get more pay and better housing conditions and cheaper rent for the employees, and that Keller contended that respondent 's officials were "cheap skates " who refused to pass on ,some of their profits to the employees. However, Haught admitted that those remarks of Keller took place during the lunch and smoke periods but extended beyond those periods for a minute or two. Haught, also testified that on several occasions on company time, Keller casually remarked that there was going to be a union meeting that night and "be sure and be there ." The undersigned credits the testimony of Strong and'Haught . Clair Sneed testified that on one occasion during working hours Keller asked him about the union and 0 BOEING AIRPLANE. COMPANY 299 As found above, Keller's supervisor, Steele, warned Keller to withdraw from the C. I. O. or he would be discharged. As in the case of Roach and Cowan, the undersigned is of the opinion and finds that the respondent was motivated by the union affiliation and activities of Keller in ordering his discharge rather than by his violation of a company rule. Christian White was employed by the respondent about October 22, 1941, as a jig builder and was discharged on November 26, 1941. As a new employee, White had to serve a 30-day preliminary probationary period to determine whether he was assigned to the work he was most capable of doing or whether in all respects he was a, satisfactory employee. White joined the A. F. of L. on November 1, 1941, and thereafter wore his union button in the plant. White's only other union activity was in regularly attending union meetings. In its answer,-the respondent states that White was hired- ... as a probationary workman, and that near the end of the thirty-day probation period his work was checked, found to be unsatisfactory in that approximately one-third of the fittings and fixtures on which he worked had to be reworked ; that the subordinate supervisory officers of the company recommended that he be not employed as a regular employee because he was incompetent as a workman, and in consequence, his services were terminated on November 26, 1941. On the morning of White's discharge, Foreman Jordan informed the latter that work was slowing down and he would have to lay some men off, and wanted to know whether White "wouldn't just as soon quit as be laid off." When White replied that he had no reason to quit, Jordan then showed him a memorandum by White's crew-chief, Marion Engel, and his lead man, John Simpson, stating that, his,work was unsatisfactory.' Engel, the same individual whose case is discussed above, testified that Jordan spoke to him about White the day before the latter's discharge. Concerning this conversation, Engel testified as follows: Jordan, . . . said Mr. White's work is inefficient, or to that effect, and asked me to make a written statement to the office that he was inefficient and I told him he was as good as any of them with me with not much ex- perience and he said he had been complained on from the other shift, so he said "make out the statement and discharge him." ...He said for me and Simpson to get together and make up this paper for the office. Engel then conferred with Simpson and told him that Jordan wanted them to sign a written statement to the effect that White's work was unsatisfactory. Although both Simpson and Engel were reluctant to make such a statement, that at lunch he tried to get him to sign a union application card. Daniel Wooten testified that on one occasion on company time Keller spoke to him about the advantages of belong= ing to a union . The undersigned credits the testimony of Wooten and Sneed. The respond- ent relied upon the testimony of Fred Snavely in the main, in support-of its contention that Keller constantly complained about working conditions, the food and tools, and was abusive toward the respondent and its officials. Snavely testified, in substance, that Keller solicited him on many occasions during working hours to join the C. 1. 0. and was constantly com- plaining about the company, and working conditions ; that while eating lunch one day in the respondent's cafeteria, Keller stated : "Look at that God damn stuff. I could eat all of that up, this is the damndest place I ever seen." The undersigned was so unfavorably impressed by both the demeanor and testimony of Snavely, mainly because he was so obviously heightening and exaggerating his testimony that the undersigned finds it difficult to determine where the fact began and fiction ended. The undersigned therefore places little, if any, reliance upon the testimony of Snavely. He therefore finds that the respond- ent failed to support its contention that one of the reasons it discharged Keller was because of his constant complaints and abuse of the respondent and its working conditions. . 11 These facts are based upon White' s undenied , credible testimony. 300 DECISIONS OF' NATIONAL LABOR RELATIONS BOARD 'since it was not a fact;' they felt that they had no alternative but to obey Jordan's instructions, and therefore prepared a memorandum which read as follows : BOEING AIRPLANE COMPANY WICHITA DIVISION ' INTER OFFICE MEMORANDUM' FROM : Marion Engel TO: C. Jordan SUBJECT: 11-25, 1941. 59-132 Big percentage 'of White's work is insufficient (sic) Has to be reworked JOHN J. SIMPSON. Jordan testified that a lead man who worked in the jig department named Harry Jones, came to him towards the end of White's 30-day probationary period and called to his attention that White "was laying down on the jobs 9 According to Jordan, he then observed White and found that he was "definitely laying down on the job," and "didn't seem like he was wanting to work." Jordan testified, further„that he then requested Engel 'to talk to White and get him to attend to his work and if White would not do so he would discharge him. It is not clear from Jordan's testimony as to just when this alleged con- versation occurred, but it would appear therefrom that at this point Jordan was merely asking Engel to warn White to attend to his work. If this did occur, it is not clear from Jordan's testimony why, at apparently the same time, he asked Engel to prepare a memorandum which was used as a basis for dis- charging White. In other words, Jordan's testimony is clearly contradictory; for he contends that when he ascertained that White was not attending to his job, he asked Engel to prepare a memorandum which he used to discharge White and at the same time says that he asked Engel to warn White that unless White attended to his work that he would be discharged. Jordan also testified that when he informed Engel about White, Engel agreed that White "had been laying down on the job, that he was incompetent." Later on in his testimony, however, Jordan testified that Engel did not tell him that White was an in- competent, worker.' The undersigned does not credit Jordan's testimony, but he does credit the testimony of Engel since he found the latter to be an ex- ceedingly sincere, trustworthy witness. In crediting Engel's version, it becomes apparent that, when Jordan asked Engel to prepare a memorandum that White was inefficient, this was not the real reason why Jordan was seeking to discharge him, and since the under- signed believes Engel when he testified that White did not stall, this also was not the reason. The undersigned 'concludes and finds, therefore, that Jordan was motivated by the union affiliation of White in initiating his discharge. "Both Engel and Simpson testified that they found no fault with White's work, and found him to be an average workman. White worked directly under Simpson, and Engel was the crew-chief over both of them. As a result, both Engel and Simpson observed White daily and neither found fault with his work nor ever complained about him to Jordan. Both Engel and Simpson were members of the A F. of L. 49 Jones testified that he informed Jordan that White "stood around quite a bit and didn't seem to want to work " ' 60 Although the respondent's answer alleged that White was an incompetent worker, the testimony adduced by it applied only to White's stalling and not to his alleged incompe- tency. , For this reason, the undersigned recalled Engel as his own witness to inquire whether or not, to Engel's observation, White had stalled. Engel-testified that White had not done so, and the undersigned credits this testimony. - BOEING AIRPLANE, COMPANY 301, . Virgil, Reeves was hired by the respondent on October 21, 1941. Reeves worked in the jig building department under crew-chief Engel for about a week or 10 days when Jordan transferred him to the'welding department as a helper under, the 'supervision of Assistant Foreman Tettenhorst O1 On Friday, Novem- ber 7, 1941, Reeves asked Tettenhorst how he was doing in his work, and, when Tettenhorst commented favorably, Reeves requested 2 days leave so that he could move his family from Oklahoma to an apartment he had obtained in Wichita. Tettenhorst granted the request and Reeves returned to the plant on November 11. On November 18, Reeves joined the C. I. O. and wore his union button in the plant on November 19, and on the 20th he was discharged. In its answer the respondent states: That Virgil E. Reeves was employed on October 21, 1941, as a proba- tionary workman. That a check of his work near the end of the thirty- day probation period disclosed that on two occasions he had been found asleep while on the job, one occasion being when he was operating a power saw. That his speed was slow, his skill poor, and his services were ter- minated because he was an incompetent workman, and for no other reason. Tettenhorst testified that on an occasion when he assigned Reeves to file some two thousand-odd washers, Reeves fell asleep and he warned him not to let it happen, again. On a later occasion, according to Tettenhorst, Reeves fell asleep while operating a power saw. Tettenhorst could not recall whether these inci- dents occurred before Reeves took the leave of absence described above. William Reickel, a respondent's witness who worked as a welder in the same department as Reeves, corroborated the testimony of Tettenhorst. Reickel testified that on one occasion, Reeves was sitting on a bench with his head resting on his arm and remained in that position for "a couple of minutes" until someone hit the bench with a hammer and Reeves jumped up. Reeves, who denied ever being asleep on the job, testified that on this occasion he had a cold and head- ache and had taken some aspirin and "I laid my head an my hand on the vise to rest my head while it was aching and I heard the boys laughing and cutting up about my falling asleep at the switch, as they called it, and I wasn't asleep none of the time." On the second occasion, according to Reickel, Reeves was seated on a chair at the power saw (which operates automatically), and on this occasion observed Reeves' eyes which he says were shut, and that Reeves "finally got overbalanced and the chair turned over with hint and lie came out of it." The undersigned was favorably impressed by both the demeanor and testimony of Reickel and he therefore finds that, while Reeves may not have been asleep on the first occasion, he at least appeared to be by the bystanders, and finds that he was asleep on the second occasion. Tettenhorst, who initiated the discharge of Reeves, testified that Reeves was slow and would not have made a competent employee; that on the occasion when lie granted the leave of absence the latter had been under his supervision for, several days and he did not know then that Ile would turn out to be slow and incompetent. Although the undersigned is somewhat suspicious of the motives of Tetten- horst, since the latter was definitely opposed to unions, and was one of the clique of supervisors responsible for the series of anti-union handbills, and particularly since'Reeves was discharged within 2 days after he started wearing a union button, nevertheless, the evidence reveals that Reeves wits slow and was definitely asleep on at least one occasion. The undersigned therefore finds n Reeves did not catch on quickly in jig building work and Engel Informed Jordan that he would rather not have Reeves in his crew . Since Reeves had experience as a blacksmith; Jordan believed he would do better in the welding department. 302 DECISIONS OF NATIONAL LABOR RELATIONS BOARD that the Board failed to establish that Reeves was discharged for his union membership or activities.62 ' Upon the basis of the above facts and the entire record in the case, the under- signed finds that the respondent, by discharging Lela Roach, Charles Cowan, Wallace Keller, and Christian White, discriminated in regard to their hire and tenure of employment, thereby discouraging membership in the C. I. O. i and the A. F. of L., and interfered with, restrained, and coerced its employees in the exercise of the rights guaranteed in Section 7 of the Act. 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 of the respondent described in Section I above, have a close , intimate , and substantial relation 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 the respondent has engaged in certain unfair labor prac- tices, the undersigned will recommend that it cease and desist therefrom and take certain affirmative action in order to effectuate the policies of the Act. Having found' that the respondent discriminatorily terminated the employ- ment of Lela Roach, Charles Cowan, Wallace Keller, and Christian White, the undersigned will recommend that the respondent offer to these individuals immediate and full reinstatement to their former or substantially equivalent positions, without prejudice to their seniority and other rights and privileges, .and 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 which he (or she) normally would have earned as wages from the date of the respondent's discrimination against him (or her) to the date of the offer of reinstatement, less his (or her) net earnings,` during said period. 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. International Union, United Automobile , Aircraft & Agricultural Imple- ment Workers of America (UAW-CIO), and -International Association of Ma- chinists arerlabor organizations , within the meaning of Section 2 ( 5) of the Act. 52 After being discharged, Reeves went to a machine shop school for 6 weeks and on February 10, 1942, applied for a machinist's position at the respondent's personnel office. In filling out the form application furnished by the respondent' to applicants for employ- ment, Reeves did not state under the caption "Occupational History-Give Last Employ- ment First-Account for Last Ten Years," the fact that he had previously worked for the respondent. Reeves was hired by the respondent as a machinist and worked that day but on the following day was discharged when the respondent ascertained that he was the same Virgil Reeves who had previously been in its employ The iespondent accused Reeves of falsifying his employment application, but Reeves said he had merely left a question unanswered. Under these circumstances, the respondent was justified in discharging Reeves again. •53 By "net earnings" is meant earnings less expenses, such as for transportation, room, .and board, incurred by an employee in connection with obtaining work and working else- where than for the respondent, which would not have been incurred but for his unlawful .eldscbarge and the consequent necessity of his seeking employment 'elsewhere See Matter •pf,Crossett Lumber Company and United Brotherhood of Carpenters and Joiners of Amer- dca, Lumber and Sawmill Workers Union, Local 2590, 8 N. L R. B. 440 Monies received for work performed upon Federal, State, county, municipal, or other work-relief projects shall .Bee ,considered as earnings . See Republic Steel Corpos ation v. N. L. R. B., 311 U. S. T. BOEING AIRPLANE COMPANY 303 2. By'discriminating in regard to the hire and tenure of-employment of Lela Roach, Charles Cowan, Wallace Keller, and Christian White, the respondent has engaged in and is engaging in unfair labor practices, within the meaning of Section '8 (3) of the Act. t 3. By interfering with, restraining, and coercing its employees in the exercise of the rights guaranteed in Section 7' of the Act, the respondent has engaged in and is engaging in unfair labor practices, within the meaning of Section 8 (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.• By demoting Marion Engel and by. discharging Virgil Reeves, the respondent has not engaged in unfair labor practices, within the meaning of Section 8 (3) of the Act. ' 6. The respondent has not engaged in -unfair labor practices, within the meaning of Section 8 (1) 'of the Act insofar as the complaint alleged that it: (a) encouraged employees, who had joined or assisted labor organizations of their own choosing,; to engage in conduct violative of company rules, thereby giving cause for demotion or discharge; (b) advised and exhorted its employees to discuss grievances with it directly rather than through their union and union representatives; '(c) warned employees who sought to affiliate or who did affiliate with the C. ' I. O. or the A. F. of L. that they would be, demoted or reduced in-pay or suffer other penalties; and has demoted, reduced in pay, or otherwise penalized certain employees pursuant to such threats and warnings ;- and (d) maintained surveillance over members of the C. I. O. and A. F. of L. RECOMMENDATIONS Upon the basis of the above findings of fact and conclusions of law, the under- signed recommends that, the respondent, Boeing Airplane Company, Wichita Division, Wichita, Kansas, its officers, agents, successors, and assigns shall: 1. Cease and desist from : - , . - _ (a) Discouraging membership in International Union, United Automobile, Air-,-- craft & Agricultural Implement Workers of America (UAW-CIO), and Inter- national Association of Machinists, or any other labor organization of its em-, ployees, by. discharging or refusing to reinstate any of its employees, 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 em- ployees in the exercise of the rights to self-organization, to form, join, or assist labor organizations, 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 Lela Roach, Charles Cowan, Wallace Keller, and Christian White, immediate and full reinstatement to their' former or substantially equivalent positions; -without prejudice to their seniority and other rights and privileges, dismissing, if, necessary, all employees hired since they were discharged to perform work for which they were qualified ; - - . (b) Make whole each of the employees named in the preceding paragraph for any loss of pay he (or she) may have suffered by reason'of the respondent's discrimination against him (or her), by payment to him (or her)'of a sum of money equal to that which he (or she) normally would have earned as wages 304 DECISIONS OF NATIONAL LABOR RELATIONS BOARD from the time of the respondent's discrimination against him (or her) to the date of the respondent's offer of reinstatement, less his (or her) net earnings u during said period ; (c) Post immediately in conspicuous places at its Wichita plant, and maintain, for a period of at least sixty (60) consecutive days from the date of posting, notices to its employees stating: (1) that the respondent will not engage in the 'conduct from which it is recommended that it cease and desist in paragraph 1 (a) and (b) of these recommendations; (2) that the respondent will take the affirmative action, set forth in paragraph 2 (a) and (b) of these recommenda-' tions, and (3) that its employees are free to remain or become members of International Union, United Automobile, Aircraft & Agricultural Implement Workers-of America (UAW-CIO), affiliated with the C. I. 0., and International Association of Machinists, affiliated with the A. F. of L., and that the respondent will not, discriminate against any employee because of membership or activity' ,in those organizations; (d) File with the Regional Director for the Seventeenth Region within twenty (20) days from the receipt of this Intermediate Report, a report in writing setting forth in detail ,the manner and form in which the respondent has,com- plied with the foregoing recommendations. It is further recommended that unless on or before twenty (20) days from the receipt of this Intermediate Report, the respondent notifies said Regional, Director in writing that it will comply.with the foregoing recommendations, the' National Labor Relations Board issue an order requiring the respondent to take the action aforesaid. , It is further recommended that the complaint be dismissed insofar as it alleges that the respondent discriminatorily demoted Marion Engel and discrim- inatorily discharged Virgil Reeves, and insofar as it alleges that the respondent : (a) encouraged employees, who had joined or assisted labor' organizations of their own choosing, to engage in conduct 'violative of company rules, thereby giving cause for demotion or discharge; (b) advised and exhorted its employees to discuss grievances with it directly. rather than through their union and union representatives; (c) warned employees who sought to affiliate or who did affiliate with the C. I. O. or the A. F. of L. that they would be demoted or reduced in pay- or suffer other penalties ; and has demoted, reduced in pay, or otherwise' penal- ized certain employees pursuant to such threats or warnings; and (d) maintained surveillance over members of the C. I. O. and A. F. of L. As provided in Section 33 of Article II of the Rules and Regulations of the 'National Labor Relations Board, Series 2-as amended-any party may within thirty (30) days from the date of the entry of the order-transferring the case to the Board, pursuant to Section 32 of Article II of said Rules and Regulations, file with the Board, Shoreham Building, Washington, D. C., an original and four copies of a statement in writing setting forth such exceptions to the proceeding (including rulings upon all motions or objections) as he relies upon, together with the original and four copies of a brief in support thereof. As further provided in said Section 33, should any party desire permission to argue orally, before the Board, request therefor must be made in writing to the Board within twenty (20) days after the date of the order transferring the case to the Board. GEORGE BOKAT, Trial Examiner. Dated August 5, 1942. "See footnote , 53, supra. Copy with citationCopy as parenthetical citation