Cen-Vi-Ro Pipe Corp.Download PDFNational Labor Relations Board - Board DecisionsDec 16, 1969180 N.L.R.B. 344 (N.L.R.B. 1969) Copy Citation 344 DECISIONS OF NATIONAL LABOR RELATIONS BOARD Cen-Vi-Ro Pipe Corporation and Robert E. Johnson and Northern California District Council of Laborers; Construction and General Laborers Union Local No. 73, AFL-CIO, Parties to the Contract Northern California District Council of Laborers; Construction and General Laborers Union Local No. 73, AFL-CIO and Robert E. Johnson and Cen-Vi-Ro Pipe Corporation, Party to the Contract . Case 20-CA-5228 and 20-CB-1926 December 16, 1969 DECISION AND ORDER BY MEMBERS FANNING, BROWN, AND ZAGORIA On July 17, 1969, Trial Examiner E. Don Wilson issued his Decision in the above entitled proceeding, finding that Respondents had engaged in and were engaging in certain unfair labor practices and recommending that they cease and desist therefrom and take certain affirmative action, as set forth in the attached Trial Examiner's Decision. Thereafter the Respondents filed exceptions to the Trial Examiner's Decision and supporting briefs. The General Counsel filed a brief in support of the Trial Examiner's Decision. Pursuant to the provisions of Section 3(b) of the National Labor Relations Act, as amended, the National Labor Relations Board has delegated its powers in connection with this case to a three-member panel. The Board has reviewed the rulings of the Trial Examiner made at the hearing and finds that no prejudicial error was committed. The rulings are hereby affirmed. The Board has considered the Trial Examiner's Decision, the exceptions and briefs, and the entire record in this case, and hereby adopts the findings, conclusions, and recommendations of the Trial Examiner as modified herein. As part of the remedy, the Trial Examiner recommended that Respondent Employer's employees be reimbursed for initiation fees, dues, assessments and other monies paid pursuant to the illegal union security clause. Such reimbursement is appropriate only to those employees whose payments were made under the coercion of the illegal clause.' Consequently the Trial Examiner's reimbursement order will be modified to be applicable only to those employees who were not members of the Union in good standing as of their date of hire by Respondent Employer. ORDER Pursuant to Section 10(c) of the National Labor Relations Act, as amended, the National Labor Relations Board hereby adopts as its Order, the 'Meyers Bros . of Missouri. Inc. 151 NLRB 890, 891. Recommended Order of the Trial Examiner, as modified herein, and hereby orders that Respondent, Cen-Vi-Ro Pipe Corporation, Lockeford, California, its officers, agents, successors, and assigns, and Respondents' Northern California District Council of Laborers, and its Local Union No. 73, Construction and General Laborers Union, AFL-CIO, their officers, agents, and representatives, shall take the action set forth in the Trial Examiner's Recommended Order, as so modified. 1. Insert in paragraph 2(c) of the Order against the Company and in the last indented paragraph of "Appendix A" the words "who were not members of the Union in good standing at the time of their hire" between the words "former employees" and "for." 2. Insert in paragraph 2(c) of the Order against the Unions and in the last indented paragraph of "Appendix B" the words "who were not members of the Union in good standing at the time of their hire" between the words "of the Employer" and "for." TRIAL EXAMINER'S DECISION STATEMENT OF THE CASE E. DON WILSON , Trial Examiner : Pursuant to due notice a hearing in these consolidated cases was held before me on May 13 and 14 , 1969, at Stockton, California. An order consolidating cases, consolidated complaint and notice of hearing was issued by the General Counsel of the National Labor Relations Board , herein the Board , on March 12 , 1969, upon charges filed by Robert E . Johnson against Cen-Vi-Ro Pipe Corporation, herein the Employer , on October 3, 1968, and amended March 6 , 1969, and filed by Johnson against Northern California District Council of Laborers, herein the Council , and against Construction and General Laborers Union Local No. 73, AFL-CIO, herein the Local, on October 3 , 1968, and amended on March 6 , 1969, both labor organizations being herein referred to as the Unions or the Union. The consolidated complaint variously alleged that the Employer violated Section 8(a)(3), (2) and (1) of the National Labor Relations Act, herein the Act, and that the Unions jointly violated Section 8(b)(1)(A) and (2 ) of the Act and that the Local also individually violated Section 8(b)(1)(A) and (2) of the Act by other independent action . Each of the parties, other than Johnson who did not choose to enter an appearance, fully participated . Briefs received from the participating parties were received on June 9 , 1969, and have been considered. Upon the entire record and my observation of the witnesses , I make the following: FINDINGS OF FACT L THE EMPLOYER'S BUSINESS At all times material, the Employer has been a Delaware corporation with a place of business at Lockeford, California, where it is engaged in the business of manufacturing cement mortar lined and coated steel pipe, steel pipe fittings, concrete pipe and machinery. In the conduct of its business in the past year, the Employer 180 NLRB No. 69 CEN-VI-RO PIPE CORP. sold and shipped goods and products valued in excess of $50,000 to customers located outside California. At all times material the Employer has been engaged in commerce within the meaning of the Act. 11. THE LABOR ORGANIZATIONS Each of the Unions is a labor organization within the meaning of the Act. III. THE UNFAIR LABOR PRACTICES A. The Issues The issues include the following: (1) Did the Employer and the Unions violate the Act by entering into and enforcing an illegal union security contract at a time when neither nor both Unions represented a majority of the Employer's employees; (2) Did the Unions illegally cause the Employer to unlawfully discharge certain employees? B. Background The Employer commenced operations at Lockeford, California, in March 1961 with approximately 20 employees. By the end of 1961, there were about 90 employees. Thereafter, as the Employer completed contracts the number of employees varied from 5 to 50. After the peak loads in latter 1961, the average work force was about 20. Between 1961 and 1964, when there were no contracts by the Employer for work, there were several periods when there was no production for 2 weeks to 2 months. Charles H. Brannen, the Employer's president, testified that one of the Employer's competitors has been closed for 4 years and another was shut down for 6 years. Another competitor was closed down from 2 weeks to 6 months. At the time the Lockeford plant was erected, the Employer spent extra money so that the main building of the Employer could be dismantled and moved and reerected, and if necessary brought back to Lockeford to be used. In early 1961, the Employer entered into contracts with the Unions and a third contract was executed effective May 1, 1963. By its terms, this agreement was to remain in effect to May 1, 1964. Another agreement was entered into on May 1, 1964, which was to remain in effect until May 1, 1966, in the absence of notice from either party. Very shortly after the 1964 contract was executed, the plant was shut down by the Employer. For a couple of months before the shutdown, there were 12 to 18 employees and 6 months prior, there were about 24. At the time of the shutdown there were just a couple of employees.' LeGrand A. Pendrey was in charge of the Lockeford operation for the Employer, at the time of the shutdown. The shutdown was because of lack of business and no "formal decision" was made that the Employer would ever resume production at Lockeford, according to Pendrey. Because of lack of work Pendrey decided "to terminate" the operations at Lockeford. To Pendrey's knowledge, the shutdown followed a discussion between himself and the president which took place 2 or 3 weeks before the shutdown. Pendrey told the Unions' business agent that the Employer had no business and there was going to be a shutdown and "his2 members would no longer work at the job." No recall list was made up to be used in the event of a possible resumption of production. No specific time for reopening was considered. "It was simply a matter for the indefinite future that business 345 conditions might change and [the Employer] might possibly reopen." Pendrey had made no decision to reopen at any particular time. There was a "possibility" of reopening at some "unforseeable date." The plant was shut down about June 28, 1964, and the number of employees had decreased from 11 on May 3 to 1 as of June 28. There was no discussion with the Unions or the employees about any severance pay or recall. Pendrey, who was in charge of the operations when they shut down, testified that he learned some of the equipment and facilities of Lockeford would be moved to Texas in the summer of 1963. It was transferred in "the spring of 1964." The building which could be dismantled, and which was the biggest at Lockeford and the place where the machinery was kept and operated and where 50 to 60 percent of the work was done, was dismantled and moved to Texas. In the meanwhile, some work continued. There is no evidence of any announcement to employees or the Unions about prospects for future employment prior to the shutdown. From about June 28, 1964, until May 1, 1968, there was no production of any kind at the Lockeford plant Such buildings as remained at Lockeford were mainly used for storage. From time to time, during this interval, the Employer saw to it that the remaining plant equipment was maintained in good working condition. No effort was made to sell the remaining equipment or real estate. Pendrey testified it was expected and hoped that the equipment which had been moved to Texas would return to Lockeford. During the shutdown, the Employer subcontracted some of its work. The Employer did not bargain with the Unions about this subcontracting. There was no communication between the Employer and the Unions during the shutdown until mid-April 1968. In May 1967, Pendrey received an inquiry from the utility company as to whether the Employer intended to reactivate the Lockeford plant. Pendrey replied it did. When a couple of ex-employees inquired of Pendrey as to when the Lockeford plant would reopen, he told them, "I didn't know." Brannen had left the employment of the Employer in 1963, and returned as president in October 1966. He was interested in reopening the Lockeford plant and was told by his superiors to gather estimates of costs and forecasts of profits. He rehired Kenneth Line in November 1966, and Line engaged in work involving estimates of costs and profits among other duties. The portable building which had been moved to Texas in 1964 was returned and stored at the Lockeford property in 1967. In April 1968, the Employer began reerecting the building on its original footings and foundations. Definite permission of the Employer's Board of Directors to resume production at Lockeford was obtained in early 1968. On May 1, 1968, the Employer was still in the process of reconstructing the large building, and according to Brannen, had only one or two production employees as a beginning crew. Brannen testified that in February or March 1968, he instructed Line to let some of the old employees and other people in the community know that they were looking for employees to come to work, with a day in May as a possibility. He estimated that as of May 1968, his starting force to complete his first large contract in October 1968, would be "approximately 20 people." He believed that was the size of the crew necessary to accomplish the contracts they then knew about. The Employer did not 'Perhaps one. 'The Unions' representative's 346 DECISIONS OF NATIONAL LABOR RELATIONS BOARD "actually start hiring until April the 30th." Between February and April 30, Line contacted about four or five employees.' They expressed a desire to return to work for the Employer. On May 1, 1968, there was one employee who had been hired that day, one other having been hired on April 30, who did not come to work. By the end of May, there were eight, by the end of June, thirteen, and by the end of August, there were thirty-eight employees., It will be remembered that the last contract prior to May 1, 1968, was executed in 1964, prior to the shutdown. By its terms, it was effective to May 1, 1966, and thereafter from year to year in the absence of 60 days notice No notice was given by any party. C. The 1968 Contract In mid-April of 1968, a representative of the Employer contacted Mr. W. J. Billingsley, the business manager of the Union Local, tQ inform him of the Employer's plans to resume production. Representatives of the Employer and Billingsley and his assistant met at the Local's headquarters in Stockton about this time and there was a discussion as to what revisions should be made in the 1964 contract. The parties, in substance, agreed to adopt the terms of the 1964 agreement with the exception of wages and fringe benefits. They "had a complete oral agreement at that time."' At that time there were no production or maintenance employees of the Employer to be covered by the agreement. There was no discussion about the Union representing a majority of the employees.' The contract was reduced to writing with an effective date of May 1, 1968. The contract contains a union security clause requiring employees to become members of the Unions on or immediately following the 31st day of employment and further provides that upon written notice from the Union' that an employee has failed to complete the required membership in the Union or tender periodic dues, the Employer shall discharge said employee. In evidence as General Counsel's Exhibit 3 is a list of hires between April 30 and September 3, 1968, as prepared under the direction of Line. Lisle D. Hitchcock is listed as having been hired on April 30, 1968, but Line testified, "He did not report for work." The second employee listed as being hired was Fred Zulin, who was hired on May 1, 1968. No other employee was hired until May 3, 1968. Thus, it is obvious that at the time the Employer and the Unions negotiated the contract in mid-April 1968, there were no employees and on the effective date of the contract, May 1, 1968, there was only one employee. At the time of the hearing herein, there were about 28 or 29 employees. General Counsel's Exhibit 3 reveals that between April 30 and September 3, 1968, the Employer hired about 53 employees of whom about 29 were terminated by October 1968. At all material times, during interviews of applicants for employment, they were told that the Employer had a contract with the Unions and that it contained a union security clause and that by no later than the 31st day after employment they would have to pay the Union initiation 'He no doubt spread the word in the community. ,Brannen testified that the payroll was kept for the Lockeford operations at the Employer 's Shafter plant during this time . Lockeford began to have a payroll about September 1968. 'Including the union security clause 'Of course , there had been none since June 1964 'The preamble of the contract refers to both Unions as "the Union " fee and dues.' Vice President Pendrey testified that the Employer terminates an employee who doesn't maintain his membership in the Union, even though there is no letter from the Union. D. Concluding Findings as to the Validity of the 1968 Contract Respondents' argue that the Unions should be presumed to have had a continuing majority in 1968, because at the Employer's insistence the Unions established their majority in 1961. This ignores the fact that there were no employees at all for the Union to represent or bargain for at the Employer's Lockeford plant for about 4 years. Four years, in the circumstances of this case , is much different than a seasonal layoff or a temporary shutdown of 2 weeks or 6 months where there are plans for reopening in the forseeable future and a reasonable expectation of reemployment by the laid off employees. Here, Pendrey told the Union's representative at about the time of the shutdown in 1964, that "his members would no longer work at the job." They were through - finished, as of the time of the shutdown. No recall list was prepared. Obviously this would be so because, according to Pendrey, no "formal decision ever to resume production, was made at the time of the shutdown." True, a "possibility" existed, but no specific time for resuming operations was even considered. "It was simply a matter for the indefinite future that business conditions might change and [the Employer] might possibly reopen." There is no evidence of any discussion with either the employees or the Unions about even the possibility of reemployment of the terminated employees who had been covered by the 1964 contract. It took President Brannen from 1966 to 1968 to persuade the Employer's Board of Directors of the desirability of reopening the Lockeford plant. There was not a word of communication between the Employer and the Unions between 1964 and mid-April 1968. In the 1964 contract the Employer recognized the Union as the representative of its employees " in its premises." (Emphasis supplied.) From 1964 until May 1, 1968,10 there were no employees in the Employer' s premises and the Unions could not have been recognized as the bargaining representative of no employees." Respondents argue that the 1964 contract, by its terms, automatically renewed itself on May 1, 1966, and again on May 1, 1967, and that consequently the Unions continued to be the representatives of the Employer's employees at Lockeford. The whole trouble with this argument is that on each of these dates the Employer had no employees at Lockeford. Any alleged contracts between a union and an employer covering wages, hours and working conditions of non-existent employees' 2 are a nullity. From the time of the shutdown in 1964, there is no evidence that there were any employees who had even an unreasonable expectancy of recall. It was not even finally decided until 1968 to rebuild and reopen the plant. In 1966 and 1967, there was still only a possibility that the plant might reopen in the unforseeable future. I find it most unrealistic to conceive that labor contracts covering 'About $110 and $10 per month , respectively. 'I have considered their briefs jointly as well as individually "When there was one employee "It is obvious that there were no employees who had a reasonable expectancy of recall. "With no reasonable expectancy of recall. CEN-VI-RO PIPE CORP. wages , hours and working conditions , between unions and an employer who had no employees and might never have any, kept on renewing themselves . The Employer was not an "employer" at Lockeford in 1966 and 1967. The Unions were not the collective-bargaining representative of nonexistent employees. The Employer and the Unions could not have had collective-bargaining agreements covering the wages, hours and working conditions of no employees. As Pendrey told the Unions' representative shortly prior to the 1964 shutdown, "his members would no longer work at the job." Since there were no employees in 1966 and 1967, not only was the Employer not an "employer" but the Unions were obviously not a majority representative of the non-existent employees. Thus we come to mid-April 1968, when the Employer still had no employees and the Employer and the Unions orally came to a "total agreement" for wages, hours and working conditions for the Employer's employees, including a union security clause. At least as of 1966 and 1967, the Unions had ceased to be the representative of any of the Employer's employees." Such was equally true in mid-April 1968, when the Employer still had no employees. The oral agreement was consequently an empty shell as of that time. In evidence is the 1968 written agreement between the Unions and the Employer. It spells out that it was "made and entered into ... on the 1st day of May, 1968." I have already noted President Brannen's testimony that his crew to complete his first large contract by October 1968 would be "approximately 20 people." In fact, according to General Counsel's Exhibit 3, between May 1, 1968 and September 3, 1968, the Employer hired 53 production and maintenance employees and terminated 29 of these by October 1968. Thus, by October 1968, there were about 24 employees although more may have been hired between September 3, and October 1968. Line, the Employer's production manager , testified that there were about 28 or 29 such employees on May 13, 1969, at the time of the hearing. There is no evidence that between September 3, 1968 and the date of the hearing, the Employer's employees ever dropped below 24 in number and, of course, that number has been exceeded. Thus, since its normal complement of employees since September 1968 has exceeded at least 20, the Unions did not represent a majority of the Employer's employees when the Unions made and entered into their written collective-bargaining agreement on May 1, 1968. On that date there was only one employee, Zulin. It is true that General Counsel's Exhibit 3, prepared by Line's direction, lists Hitchcock as having been hired by the Employer on April 30, 1968, but Line testified at the hearing, "he did not report for work." It is obvious that the Unions could not have been the collective - bargaining representative on the date that the May 1, 1968 written contract was entered into. It is likewise obvious that the Employer did not have a substantial and representative complement of employees on May 1, 1968. There is no evidence that on that date production or maintenance had even started. The Employer and the Unions both knew on this date that there would be a substantial expansion in personnel. The numerous job classifications referred to in the contract did not even exist on May 1, 1968. That Line contacted former employees, some of whom may have been union members, prior to May 1, 1968, and inquired if they would like to return to work and received "There being none. 347 favorable replies, did not make such former employees, "employees" on May 1, 1968, since they were not hired until a subsequent time. '° May 1, 1968, is the controlling date. The Unions did not represent a majority of the representative work force on that date. Indeed, the only testimony as to Zulin's membership is that of Line who testified that Zulin was sent to the Employer by the Union. The Union might have sent a nonmember. I note that in many instances , Line exhibited an uncertain memory and was frequently vague. While I credit Line's testimony that Hitchcock did not report for work, I was unfavorably impressed by Line's demeanor. I find that by entering into and giving force and effect to the May 1, 1968, collective- bargaining contract, containing a union security clause, the Employer violated Section 8(a)(1), (2) and (3) of the Act and the Unions violated Section 8(b)(1)(A) and (2) of the Act. I find that the Employer gave unlawful assistance and support to the Unions by granting them recognition before it had a representative work force and at a time when the complement of personnel was in the process of a planned rapid expansion according to the testimony of Brannen and the facts as they developed in the entire record. The union security clause requiring employees to pay initiation fees and dues to Unions not of their own choosing, on penalty of discharge, resulted in discrimination with respect to the terms and conditions of their employment and thus encouraged membership in the Unions within the meaning of Section 8(a)(3) of the Act. Thus has the Employer interfered with, restrained and coerced its employees in violation of Section 8(a)(1) of the Act." It needs no extended discussion to find that the Unions which did not represent a majority of a representative number of the Employer's employees on May 1, 1968, violated Section 8(b)(1)(A) and (2) of the Act by entering into the union security contract on that date and entering into the oral agreement in mid -April 1968. I find that the union security clauses of the May 1, 1968, contract were illegal under the Act and could not be lawfully enforced. E. The Discharges The complaint lists seven employees as having been discharged by the Employer at the Local's request for failure to comply with the illegal union security clauses. They are Eddie V. Edgerly, Terry D. Mulka, Kenneth W. Bryant, Billy L. Ellis, Keith M. Shelstead, William H. Linsley, and Doyle G. Harris. 1. Linsley The General Counsel states in his brief that he does not now contend that the record evidence supports a finding of a discriminatory discharge of Linsley. Thus, I find no violation by the Local or the Employer in the termination of Linsley. It is to be noted that the complaint alleges violations with respect to causing or attempting to cause individual discharges only by the Local and not by the Council. Thus, I find no violations by the Council with respect to any of the terminations by the Employer. "Only 5 of the 32 employees employed by the Employer m the 3 months preceding the shutdown were rehired during the first 4 months of the Employer 's 1968 operation. "Cf. A. 0. Smith Corporation , 122 NLRB 321. 348 DECISIONS OF NATIONAL LABOR RELATIONS BOARD 2. Bryant Bryant was hired by the Employer on August 14, 1968. He, as well as all other new employees, was told he would have to join the Union in 31 days as a condition of employment. He did not pay his $110 initiation fee and dues within the prescribed time. About three weeks later, Foreman Jim Hardesty" reminded Bryant that he was due to pay his dues the following week. Bryant replied, "Fine." On the day the initiation fee and dues were due, Hardesty reminded him again and Bryant said he didn't have the money but could probably pick it up the following week. Hardesty said, "Fine." Shortly thereafter, Hardesty told him he would have to pay his initiation fee or his employment would be terminated. This was on a Tuesday or a Wednesday and Hardesty told him he "had till Friday to pay it or out I went." On Friday, Bryant told Hardesty he couldn't see any future in either the shop or the Union and couldn't see the sense in paying the money to the Union. Bryant said he was going to quit and look for work in another area. Hardesty had told Bryant that he had received a letter from the Union seeking Bryant's termination for failure to comply with the union security clause. I do not consider this as substantial evidence that the Union did send such a letter. The May 1, 1968 contract provides for written notice from the Union for failure to pay initiation fee and dues. In the absence of substantial and probative evidence of any such written notice by the Union in the case of Bryant, I find insufficient evidence of any violation by the Union in the case of Bryant. Bryant testified he is not interested in going back to work for the Employer. He did not like his job with the Employer and one of the reasons for his quitting was that he didn't think the $110 initiation fee would get him job security, after he left the Employer. He testified that the requirement of the Employer that he pay the $110 to the Union entered into his decision to quit. He considered himself a welder and he didn't see any sense in joining the Union which he thought could do nothing for him as a welder. He quit because "this union thing stuck right in my craw." He further testified that he did very little welding on the job and that he would not have quit if he had been doing the work he wanted to do. He subsequently testified that the fact the contract required him to join the Laborers Union had "something" to do with his quitting. I cannot ignore the testimony of Bryant that he would not have quit his job if he had been doing the work he wanted to do. Based on this testimony, I find he quit because he didn't like his job which didn't include enough welding. In light of this testimony, I do not credit his other testimony that he quit rather than join the Union as the contract and the Employer required him to. I can only conclude that the illegal union security clause had nothing to do with his termination and that there is insufficient probative evidence that the Employer violated the Act with respect to Bryant's termination. In making this finding, I note that I have previously found that in enforcing the union security clause the Employer does not necessarily wait for a written notice from the Union. 3. Doyle Harris Harris was hired by the Employer in July 1968. After he had worked there 30 days or more, he paid his initiation fee and dues as he was told by the Employer "A supervisor within the meaning of the Act was required. He ceased paying his dues. Line testified in effect that the Employer lived up to its agreement with the Union and if it got a notice from the Union that an employee didn't pay his initiation fees or dues and should be terminated, the Employer saw to it that the employees paid up or terminated them. He would get a letter from the Union and tell the employee he had to pay his dues or quit, "because you can't work here if you don't pay your dues." On November 8, 1968, the Union wrote a letter to the Employer asking that Harris be terminated unless he again became a member of the Local, since he had failed to remain a member of the Local. The Employer terminated Harris on November 12. Harris didn't pay his dues because he thought he wasn't being represented by the Union and he didn't think the Union could get him a job if he was laid off. When he was terminated, Supervisor King showed him the letter from the Union and told him he had to catch up on all his dues or penalties or he would be terminated. He wouldn't pay up and he was terminated. By its demand for Harris' termination, the Local violated Section 8(b)(1)(A) and (2) of the Act. By terminating Harris because he wouldn't pay the dues required by the illegal union security contract, and at the demand of the Local, the Employer violated Section 8(a)(3) and (1) of the Act 4 William (Billy) Ellis Ellis was hired by the Employer on September 3, 1968. When he was hired he was told he had 30 days to pay $110 to the Union or lose his job. He did not pay the initiation fee or dues. On October 18, Foreman Jim Hardesty gave him until noon of that day to pay up. Ellis said he would try but he couldn't. That morning Hardesty told him that if he didn't settle up with the Union, "that was the end of the job." Hardesty had told him earlier around October 6 or 7 that he had to pay dues. In an affidavit he gave to a Board agent, he stated that on the afternoon of October 18 he spoke to the Employer's secretary, Lucy Brandt, and told her he was quitting. He testified this was not true, adding that when he gave the statement he was awakened from bed after only 2 hours' sleep. I credit his explanation. However, even if he had told Brandt he was quitting, it would have been the only alternative to the failure to pay the unlawful initiation fee and dues. He was told in the morning that if he didn't pay up that day the job was through. On October 4, 1968, the Union wrote the Employer a letter requesting the termination of Ellis. I find the Union violated 8(b)(1)(A) and (2) of the Act by requesting the termination of Ellis on October 4, and that the Employer violated Section 8(a)(3) and (1) of the Act by terminating him on October 18., 5. Keith M. Shelstead Shelstead was hired by the Employer on August 20, 1968. When he was hired he was told he'd have to pay the Union $110 at the end of 30 or 31 days. He didn't do so because he couldn't afford it. Hardesty told him his 30 days were up and Shelstead told him he was having some personal problems and couldn't afford it. Hardesty told him to try to get paid up. Some time later Hardesty told him they had received a letter from the Union and if Shelstead wasn't paid up by Friday morning, they would have to let him go. He didn't pay up and told Hardesty he couldn't because of personal financial problems. On that CEN-VI-RO PIPE CORP. Friday, October 18, Hardesty told him he'd have to let him go. Hardesty terminated him. If Shelstead had had the money, he would have paid. On September 30, the Local wrote the Employer stating that Shelstead hadn't paid his dues, and requesting his termination. I find the Employer violated Section 8(a)(3) and (1) of the Act by terminating Shelstead and the Union violated Section 8(b)(l) (A) and (2) of the Act by requesting his termination. 6. Eddie Edgerly Edgerly did not testify. Line testified that if the Employer got a notice from the Union that an employee should be terminated for failure to comply with the union security agreement, the Employer would either see that the employee complied or terminated him. Line testified that on September 10, the Union wrote a letter to the Employer and on September 16, Edgerly received his last check. Edgerly filed for unemployment in Idaho and on November 4, the Employer wrote to the Department of Employment, State of Idaho, saying that Edgerly may very well have quit because he couldn't pay the Union the sum of $110.25. Line testified that one of the reasons listed in his personnel file for his termination was, "that he was not paying his dues." In its letter to the Department of Employment, the Employer stated that the contract with the Unions required payment of initiation fee, dues and life insurance, obviously as a condition of employment. I find from the context of the entire record that the Union's letter of September 10, was a request for Edgerly's discharge in default of his complying with the illegal union security requirements. As General Counsel correctly points out, that an employee chose to quit rather than be fired does not relieve Respondents of their liability for setting in motion the illegal forces that caused him to quit. I find the Employer violated Section 8(a)(3) and (1) of the Act in connection with the termination of Edgerly and the Local violated Section 8(b)(l)(A) and (2) of the Act. 7. Terry D. Mulka On August 26, the Local wrote the Employer saying that Mulka hadn't paid his dues and the Employer should terminate him. Mulka was terminated by the Employer on September 27. According to G.C. 3, Mulka was hired on July 24, 1968. Line testified that Mulka's personnel file stated that a reason for his leaving his employment was "personal problems." This testimony means nothing to me. The fact is, as testified to by Line, that the Union demanded Mulka' s termination by letter on August 26 and he was terminated on September 27. The "personal problems" may well have been that he didn't pay his initiation fee and dues. I find the Local violated Section 8(b)(1) (A) and (2) of the Act and the Employer violated Section 8(a)(3) and (1) of the Act in the termination of Mulka. W. THE EFFECT OF THE UNFAIR LABOR PRACTICES UPON COMMERCE The activities of the Unions and the Employer set forth in section III, above, occurring in connection with the operations of the Employer described in section I, above, 349 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 Unions and the Employer have engaged in certain unfair labor practices, I shall recommend that they cease and desist therefrom and take certain affirmative action designed to effectuate the policies of the Act. It has been found that the Employer discriminated with respect to the employment of Harris, Ellis, Shelstead, Edgerly and Mulka to encourage union membership, pursuant to an illegal union security agreement, in violation of Section 8(a)(3) and (1) of the Act and that its employees were interfered with, restrained and coerced thereby in the exercise of rights guaranteed by the Act. Respondent Local has been found to have illegally caused the Employer to engage in the above-noted proscribed conduct. It will be recommended that the Local send written notice to the discriminatees and the Employer that it has withdrawn its objection to their employment by the Employer. The notice to the Employer' should also request the Employer to offer the discriminatees immediate and full reinstatement to their former or substantially equivalent positions, without prejudice to seniority or other rights and privileges. It will also be recommended that the Employer offer the discriminatees immediate and full reinstatement to their former or substantially equivalent positions, without prejudice to their seniority or other rights and privileges. Also, it will be recommended that the Local and the Employer, jointly and severally, make each of the above discriminatees whole for any loss of earnings sustained by reason of the discrimination against each, by the payment to each of a sum of money equal to the amount each would have earned in the Employer's employ between the date each was discriminatorily terminated and the date of an unconditional offer of reinstatement by the Employer, less his net earnings during the interim. Backpay shall be computed in accordance with the Board's formula stated in F. W. Woolworth Co., 90 NLRB 289, together with 6-percent interest as provided in Isis Plumbing & Heating Co., 138 NLRB 716. The Local's liability for backpay shall be terminated in the case of each discriminatee by sending the written notices referred to above. Absent such notices the Local should remain jointly and severally liable with the Employer for all backpay that may accrue. It will also be recommended that the Employer preserve and, upon request, make available to the Board and its agents all pertinent payroll and other records. It shall be further recommended that the Employer cease and desist from assisting the Unions or any other labor organization; discriminating against employees; interfering with, restraining or coercing its employees in the exercise of their rights guaranteed-by Section 7 of the Act; recognizing or contracting with the Unions or either of them unless and until certification by the Board; giving effect to the May 1, 1968 contract with the Unions or any modification or renewal thereof; or in any other manner interfering with , restraining , or coercing its employees in their Section 7 rights because the Employer' s violations strike at the heart of the Act. It shall further be recommended that the Employer, jointly and severally with the Unions and each of them, reimburse all its present and former employees since May 350 i DECISIONS OF NATIONAL LABOR RELATIONS BOARD 1, 1968, for all initiation fees , dues , assessments and other monies paid to the Unions or either of them as a condition of employment pursuant to the illegal union security agreement , with interest at 6 percent. It shall further be recommended that the Employer post notices , hereinafter to be set forth. It shall further be recommended that the Unions, and each of them , shall cease and desist from acting as collective -bargaining agent for any of the Employer's employees unless and until certified by the Board ; giving effect to their contract with the Employer dated May 1, 1968, or any modification or renewal thereof ; or in any other manner restraining or coercing employees in the exercise of rights guaranteed by the Act. It shall further be recommended that the Unions, and each of them , jointly and severally with the Employer reimburse present and former employees of the Employer for all initiation fees, dues , assessments and other monies paid to them, or either of them , as a condition of employment by the Employer, since May 1, 1968, with interest at 6 percent , and that the Unions , and each of them, preserve and make available to the Board and its agents, upon request , for examination and copying, all membership , initiation fees , dues, and other records necessary to compute the monies illegally exacted from the Employer 's employees since May 1, 1968. It shall further be recommended that the Unions post notices, hereinafter to be set forth. It shall further be recommended that the Local, jointly and severally with the Employer , as set forth above, make whole Harris , Ellis, Shelstead , Edgerly , and Mulka for any losses of pay they may have suffered as a result of the discrimination against them , with interest at 6 percent. CONCLUSIONS OF LAW Upon the basis of the foregoing findings of fact, and upon the entire record in this proceeding , I make the following conclusions of law: 1. The Employer is an employer engaged in commerce within the meaning of the Act. 2. The Council and the Local are , each, labor organizations within the meaning of the Act. 3. By attempting to cause and causing the Employer to terminate Harris , Ellis, Shelstead , Edgerly, and Mulka for discriminatory reasons , in violation of Section 8(a)(3) of the Act, the Local has violated Section 8 (b)(1)(A) and (2) of the Act. 4. By terminating Harris, Ellis , Shelstead , Edgerly, and Mulka for failing to comply with the requirements of an illegal union security clause in its unlawful contract with the Unions , the Employer violated Section 8(a)(3) and (1) of the Act. 5. By entering into , performing and maintaining and giving force and effect to a collective-bargaining agreement containing a union security clause since May 1, 1968, when the Unions did not represent an uncoerced majority of the Employer 's employees and by discharging the above-named discriminatees because of their lack of membership in the Local and their lack of compliance with the illegal union security clause , the Employer violated Section 8(a)(3), (2 ), and (1) of the Act. 6. By entering into, performing and maintaining and giving force and effect to a collective-bargaining agreement with the Employer , containing a union security clause since May 1, 1968, when the Unions did not represent an uncoerced majority of the Employer's employees , the Unions , each , violated Section 8(b)(I)(A) and (2 ) of the Act. 7. By causing or attempting to cause the Employer to discharge Harris , Ellis, Shelstead , Edgerly, and Mulka because of their lack of membership in the Local, and their failure to comply with the terms of the illegal union security agreement , the Local violated Section 8(b)(1)(A) and (2 ) of the Act. 8. The aforesaid unfair labor practices are unfair labor practices affecting commerce within the meaning of Section 2(6) and (7) of the Act. RECOMMENDED ORDER Upon the basis of the foregoing findings of fact and conclusions of law , it is recommended that the Employer, its officers , agents , successors , and assigns , shall: 1. Cease and desist from: (a) Assisting the Unions or either of them or any other labor organization , by entering into a collective -bargaining agreement with both or either of them or any other labor organization , at a time when neither nor both nor any represent a majority of the Employer ' s employees. (b) Encouraging membership in either or both of the Unions by terminating employees because they are not members of the Local or have not complied with the terms of an illegal union security clause, or by discriminating against them in any other manner in regard to their hire or tenure of employment , or any other term or condition of their employment , except to the extent permitted by Section 8(a)(3) of the Act. (c) Interfering with , restraining , or coercing employees, or prospective employees , in any other manner in the exercise of their right to self-organization, to form, join, or assist labor organizations, to bargain collectively through representatives of their own free choice and to engage in other concerted activities for the purposes of collective bargaining and other mutual aid and protection, or to refrain from any and all such activities except to the extent that such rights may be affected by an agreement requiring membership in a labor organization, as a condition of employment as authorized in Section 8(a)(3) of the Act. (d) Recognizing or contracting with the Unions or either of them unless and until the Unions or either of them are certified by the Board as the majority representative of its employees. (e) Giving effect to or performing , maintaining or giving force to its May 1, 1968, contract with the Unions or any modification or renewal thereof, or any superseding agreement , except that any benefits now enjoyed by the Employer ' s employees are not to be diminished by such action on the part of the Employer. 2. Take the following affirmative action necessary to effectuate the policies of the Act: (a) Offer to Harris, Ellis, Shelstead , Edgerly, and Mulka immediate and full reinstatement to their former or substantially equivalent positions , without prejudice to their seniority or other rights and privileges previously enjoyed by them. (b) Jointly and severally with the Local, make whole Harris , Ellis, Shelstead , Edgerly , and Mulka for any loss of pay they may have suffered by reason of the discrimination practiced against them , in the manner set forth in "The Remedy" section of this Decision. (c) Jointly and severally with the Unions , and each of them , reimburse its present and former employees for all initiation fees, dues , assessments and other monies paid to the Unions, or either of them , as a condition of CEN-VI-RO PIPE CORP. 351 employment, since May 1, 1968, with 6 percent interest. (d) Preserve and make available to the Board or its agents, upon request, for examination and copying, all payroll records, social security payment records, timecards, personnel records and reports, and all other records necessary to analyze the amount of backpay due and the rights of employment under the terms of this Decision. (e) Post at its offices and those places where notices to employees customarily are posted copies of the attached notice marked "Appendix A."" Copies of said notice, to be furnished by the Regional Director for Region 20, shall, after being duly signed by an authorized representative of the Employer, be posted immediately upon receipt thereof, and be maintained by it for a period of 60 consecutive days thereafter in conspicuous places, including all places where notices to employees are customarily posted. Reasonable steps shall be taken by the Employer to insure that said notices are not altered, defaced, or covered by any other material. (f) Post at the same places and under the same conditions as set forth in (e) above, and as soon as they are forwarded by the Regional Director, copies of the joint Unions' notice herein marked "Appendix B." (g) Mail to the Regional Director for Region 20 signed copies of the notice attached hereto marked "Appendix A" for posting by the Local and the Council at their offices where notices to members and other persons using their respective facilities are customarily posted. Copies of said notice, to be furnished by the Regional Director, shall, after being duly signed by an authorized representative of the Employer, be forthwith returned to the Regional Director for such posting. (h) Notify the Regional Director for Region 20, in writing, within 20 days from the receipt of this Decision what steps the Employer has taken to comply herewith." IT IS FURTHER RECOMMENDED that the Unions, the Local, and the Council, and each or either of them, as set forth herein, their officers, representatives, agents, successors , and assigns, shall: 1. Cease and desist from: (a) Giving effect to or performing, maintaining, or enforcing their May 1, 1968, contract with the Employer, or any modification or renewal thereof, or any superseding agreement. (b) Acting as collective- bargaining agent for any employees of the Employer, unless and until either or both are certified by the Board as majority representative. (c) The Local, in particular, shall cease and desist from causing or attempting to cause the Employer to terminate or otherwise discriminate against any employees in violation of Section 8(a)(3) of the Act because they are not members of the Local or the Council, or otherwise, except to the extent permitted by Section 8(a)(3) of the Act. (d) The Unions, individually and jointly, shall cease and desist , in any other manner, from restraining or coercing "In the event that this Recommended Order is adopted by the Board, the words "a Decision and Order" shall be substituted for the words "the Recommended Order of a Trial Examiner " in the notice . In the further event that the Board 's Order is enforced by a decree of a United States Court of Appeals , the words "a Decree of the United States Court of Appeals Enforcing an Order " shall be substituted for the words "a Decision and Order." "In the event that this Recommended Order is adopted by the Board, this provision shall be modified to read : "Notify the Regional Director for Region 20, in writing , within 10 days from the date of this Order, what steps it has taken to comply herewith." employees of the Employer, in the exercise of their rights as guaranteed by Section 7 of the Act, except to the extent that such rights may be affected by an agreement requiring membership in a labor organization as a condition of employment, as authorized by Section 8(a)(3) of the Act. 2. Take the following affirmative action, which, I find, will effectuate the policies of the Act: (a) The Local shall send written notice to the Employer, with copies thereof furnished to Harris, Ellis, Shelstead, Edgerly and Mulka, that it has withdrawn its objections to their employment, and that it has no objection to their employment or that of any other person, based upon lack of membership in or lack of payment of any monies to either or both of the Unions. (b) The Local shall, jointly and severally with the Employer, make whole Harris, Ellis, Shelstead, Edgerly, and Mulka for any loss of pay they may have suffered as a result of the discrimination practiced against them, in the manner set forth in the section of this Decision entitled "The Remedy." (c) The Unions, each and both, shall, jointly and severally with the Employer, reimburse all present and former employees of the Employer for all initiation fees, dues, assessments , and other monies paid to them or either of them as a condition of employment under the illegal union security clause, liability therefor to begin on May 1, 1968, with interest at 6 percent. (d) The Unions, each and both of them, shall preserve and make available to the Board and its agents, upon request, for examination and copying, all membership, initiation fees, dues, assessments and all other records necessary to compute the monies illegally exacted from employees of the Employer since May 1, 1968. (e) Each and both of the Unions shall post at their offices, in conspicuous places, including all places where notices to members are customarily posted, copies of the attached notice marked "Appendix B."19 Copies of said notice, to be furnished by the Regional Director for Region 20, shall, after being duly signed by authorized representatives of each Union, be posted immediately upon receipt thereof and be maintained by each Union for 60 consecutive days thereafter. Reasonable steps shall be taken by each Union to insure that said notices are not altered, defaced or covered by any other material. (f) Post at the same places and under the same conditions as set forth in (e), above, and as soon as they are forwarded by the Regional Director, copies of the Employer's notice herein marked "Appendix A." (g) The Unions, and each of them, shall mail to the Regional Director for Region 20 signed copies of "Appendix B" for posting by the Employer as provided herein . Copies of said notice, to be furnished by the said Regional Director, shall, after being signed by each of the Unions' representatives, be forthwith returned to the Regional Director for such posting. (h) Each Union shall notify the Regional Director for Region 20, in writing , within 20 days from the receipt of this Decision, as to what steps each Union has taken to comply herewith. S° "In the event that this Recommended Order is adopted by the Board, the words "a Decision and Order" shall be "substituted for the words "the Recommended Order of a Trial Examiner" in the notice. In the further event that the Board 's Order is enforced by a decree of a United States Court of Appeals, the words "a Decree of the United States Court of Appeals, Enforcing an Order" shall be substituted for the words "a Decision and Order " "In the event that this Recommended Order is adopted by the Board, 352 DECISIONS OF NATIONAL LABOR RELATIONS BOARD this provision shall be modified to read : "Notify the Regional Director for Region 20, in writing , within 10 days from the date of this Order, what steps each Union has taken to comply herewith." other monies paid to the Unions or either of them as an illegal condition of employment, since May 1, 1968, together with interest at 6 percent. APPENDIX A NOTICE TO ALL EMPLOYEES Pursuant to the Recommended Order of a Trial Examiner of the National Labor Relations Board and in order to effectuate the policies of the National Labor Relations Act, as amended , we hereby notify our employees that: WE WILL NOT assist either Northern California District Council of Laborers, herein the Council, or Construction and General Laborers Union Local No. 73, AFL-CIO, herein the Local, or both of them, herein the Unions , by entering into or maintaining or enforcing or giving effect to a collective- bargaining agreement with either or both of them at a time when neither nor both represent a majority of our employees. Our employees are free to join or not to join any union or unions of their own free choice. WE WILL NOT assist or encourage membership in either or both of the above Unions by terminating employees because they are not members of the Local or by discriminating against them in any other manner in regard to their hire or tenure of employment, or any other term or condition of their employment , except to the extent that such conditions of employment may be lawfully established by an agreement executed in conformity with Section 8(a)(3) of the Act. WE WILL NOT interfere with , restrain or coerce our employees in any other manner in the exercise of their right to self-organization , to form, join or assist labor organizations , to bargain collectively through representatives of their own free choice , and to engage in other concerted activities for the purposes of collective bargaining and other mutual aid and protection , or to refrain from any and all such activities except to the extent that such rights may be affected by an agreement requiring membership in a labor organization , as a condition of employment as authorized in Section 8(a)(3) of the Act. WE WILL NOT recognize or contract with either the Local or the Council or both of them unless and until both or either of them are certified by the Board as the representative of the majority of our employees. WE WILL NOT give effect to or perform or maintain or give force to our May 1, 1968, contract with the Unions or any modification or renewal thereof or any superseding agreement , except that any benefits now enjoyed by our employees will not be diminished by such action on our part. WE WILL offer to Doyle G. Harris, Billy L . Ellis, Keith M. Shelstead , Eddie V. Edgerly , and Terry D. Mulka immediate and full reinstatement to their former or substantially equivalent positions, without prejudice to their seniority or other rights and privileges previously enjoyed by them. WE WILL, jointly and severally with the Local, make whole Harris , Ellis, Shelstead , Edgerly, and Mulka for any loss of pay they may have suffered by reason of the discrimination we practiced against them at the request of the Local, together with 6 percent interest. WE WILL, jointly and severally with each and both of the Unions , reimburse all our present and former employees for all initiation fees , dues, assessments and Dated By CEN-VI-Ro PIPE CORPORATION (Employer) (Representative ) (Title) Note: WE WILL notify the above-named employees if presently serving in the Armed Forces of the United States of their rights to full reinstatement upon application in accordance with the Selective Service Act and the Universal Military Training and Service Act, as amended, after discharge from the Armed Forces. This notice must remain posted for 60 consecutive days from the date of posting and must not be altered, defaced, or covered by any other material. If employees have any question concerning this notice or compliance with its provisions, they may communicate directly with the Board's Regional Office, 13050 Federal Building , 450 Golden Gate Avenue, Box 36047, San Francisco, California 94102, Telephone 556-0335. APPENDIX B NOTICE TO ALL MEMBERS OF NORTHERN CALIFORNIA DISTRICT COUNCIL OF LABORERS ; CONSTRUCTION AND GENERAL LABORERS UNION LOCAL No. 73, AFL-CIO AND TO ALL EMPLOYEES OF CEN-VI-Ro PIPE CORPORATION Pursuant to the Recommended Order of a Trial Examiner of the National Labor Relations Board and in order to effectuate the policies of the National Labor Relations Act, as amended, we hereby notify you that, WE, the Council and the Local, WILL NOT give effect to or perform or maintain or enforce our May 1, 1968 contract with Cen-Vi-Ro Pipe Corporation, the Employer, at Lockeford, California, or any modification or renewal thereof, or any superseding agreement. WE WILL NOT, nor either of us, act as collective- bargaining agent for any employees of the Employer, unless and until either or both of us are certified as such agent by the National Labor Relations Board. The Local, in particular, WILL NOT cause or attempt to cause the Employer to terminate or otherwise discriminate against any employees of the Employer, in violation of Section 8(a)(3) of the Act, because they are not members of the Local or the Council, or both, or because they have not paid monies to either or both of the Unions, except to the extent permitted by Section 8(a)(3) of the Act. CEN-VI-RO PIPE CORP. WE, the Council and the Local, individually and jointly, WILL NOT, in any other manner , restrain or coerce employees of the Employer in the exercise of their rights as guaranteed by Section 7 of the Act, except in a manner in conformity with Section 8(a)(3) of the Act The Local WILL send written notice to the Employer, with copies thereof to be furnished to Doyle G. Harris, Billy L. Ellis, Keith M. Shelstead, Eddie V. Edgerly, and Terry D. Mulka, that it has withdrawn its objection to their employment and that it has no objections to their employment or that of any other person, based upon lack of membership in or lack of payment of any monies to both the Local and the Council or either of them. WE, the Local, WILL, jointly and severally with the Employer make whole Harris, Ellis, Shelstead, Edgerly, and Mulka for any loss of pay they, or any of them, may have suffered as a result of the discrimination against them by the Employer at our request , together with interest at 6 percent. WE, the Local and the Council, and each of us, WILL, jointly and severally with the Employer, reimburse all present and former employees of the Employer for all initiation fees, dues, assessments and other monies paid to us, or either of us , as a condition 353 of employment, liability therefor to begin on May 1, 1968, together with interest at 6 percent. Dated By Dated By NORTHERN CALIFORNIA DISTRICT COUNCIL OF LABORERS (Labor Organization) (Representative ) (Title) CONSTRUCTION AND GENERAL LABORERS UNION LOCAL No. 73, AFL-CIO (Labor Organization) (Representative) (Title) This notice must remain posted for 60 consecutive days from the date of posting and must not be altered, defaced, or covered by any other material. Persons having any question concerning this notice or compliance with its provisions, may communicate directly with the Board's Regional Office, 13050 Federal Building, 450 Golden Gate Avenue, Box 36047, San Francisco, California 94102, Telephone 556-0335 Copy with citationCopy as parenthetical citation