Cornwell Co., Inc.Download PDFNational Labor Relations Board - Board DecisionsMay 13, 1968171 N.L.R.B. 342 (N.L.R.B. 1968) Copy Citation 342 DECISIONS OF NATIONAL LABOR RELATIONS BOARD Cornwell Company , Inc. and Maynard N. Whitney and United Furniture Workers of America, AFL-CIO. Cases 25-CA-1912, 1952, 2106, and 2185 May 13, 1968 SUPPLEMENTAL DECISION AND ORDER On June 10, 1966, the National Labor Relations Board issued its Decision and Order in the above- entitled proceeding,' finding, inter alia, that Respondent violated Section 8(a)(3) of the Na- tional Labor Relations Act, as amended, by failure to rehire June Hopper, and to recall Joy Longest after layoff, and by discharging and refusing to rein- state Ernest Dale Edwards and Troy Kennedy, because of their union affiliation and activity. The Board ordered reinstatement with backpay for the four discriminatees. Pursuant to a backpay specification and ap- propriate notice issued by the Regional Director for Region 25, a hearing was held before Trial Ex- aminer Robert Cohn on April 4 and 5, 1967, for the purpose of determining the amounts due the four claimants. On July 21, 1967, the Trial Examiner issued the attached Supplemental Decision, in which he awards backpay to the four claimants. Thereafter, the General Counsel filed exceptions, with support- ing briefs, to the Trial Examiner's Supplemental Decision, and the Respondent filed an answering brief. The Board has reviewed the rulings of the Trial Examiner made at the backpay hearing and finds that no prejudicial error was committed. The rulings are hereby affirmed. The Board has con- sidered the entire record in these cases, including the Trial Examiner's Supplemental Decision, the exceptions and the briefs, and hereby adopts the findings, conclusions, and recommendations of the Trial Examiner except as modified herein.' 1. The backpay period of Joy Longest runs from November 12, 1964, to September 6, 1966. Lon- gest reported weekly at the Indiana Employment Security Division Office (I.E.S.D.) in English, Indi- ana, from the day after she was laid off, Oct 'ber 7, 1964, until April 27, 1965. On or about May 27, 1965, Longest applied for work at two companies in New Albany, Indiana, and also called at the I.E.S.D. office where she requested factory work. In June 1965, she returned to New Albany where she .gain sought employment at the same two compa- nies and also once more called at the employment office. In April 1966, she applied for employment at the English Furniture Company in English, Indi- ana. On the basis of this evidence, the Trial Ex- aminer recommended that Longest be awarded backpay for November 1964 through June 1965 and for the month of April 1966, to which the Respondent does not except. The Trial Examiner found, however, that there was no substantial evidence that Longest sought work from July 1965 until April 1966, and there- fore recommended tolling backpay for the last two quarters of 1965 and the first quarter of 1966. The Trial Examiner found further that Longest did not diligently pursue her search for alternative employ- ment after April 1966, and he recommended that backpay also be tolled from May 1966 to August 24, 1966, when Respondent offered to reinstate her. The General Counsel excepts to the Trial Ex- aminer's failure to award backpay for the periods from July 1965 to April 1966, and from May 1966 to August 24, 1966. We find merit in these excep- tions for the reasons set out below, and award backpay for the entire period of November 12, 1964, to September 6, 1966. Regarding her search for work during the period from July 1965 to April 1966, Longest testified as follows: She applied for work at Hoffman Products in Orleans, Indiana, during the winter of 1965. Three or four weeks after her initial application, she returned and was told there was still no open- ing, but that she would probably be called soon. Several weeks later Longest informed her daughter, who worked at Hoffman, that she had been to Hoff- man in an attempt to secure employment. Her daughter said she would talk to her boss to see if she could obtain a job for Longest. Her daughter made inquiry of Hoffman and was told that Hoff- man was going to hire some employees in its cabinet room. Upon being so informed, Longest went to Hoffman for a third time, but was told that Hoffman still did not have a place for her. Some- time after this last visit to Hoffman, Longest asked her union agent about openings at the Paoli Chair Factory, but he told her that Paoli Chair was not hiring women at that time. The Trial Examiner did not discredit Longest's testimony regarding her search for employment 159 NLRB 42 z The Trial Examiner states in his decision that " the rule appears to be that generally it is the responsibility of the General Counsel to produce the discriminatees and have them to testify with respect to their search for employment during the backpay period " However, the rule, as adopted by the Board, is that the General Counsel's function in producing backpay claimants for examination by Respondent is merely advisory and cooperative Brown and Root, Inc , 132 NLRB 486, enfd 327 F 2d,958 (C A 8), Mooney Aircraft, Inc, 148 NLRB 1057, enfd. 366 F 2d 809 (C A 5), Florence Printing Company, 158 NLRB 775, enfd 376 F 2d 216 (C A 4) 171 NLRB No. 43 CORNWELL COMPANY, INC. 343 during this period of time, but nevertheless found, incorrectly in our opinion, that "there is no sub- stantial evidence in the record" that a search for work was made from July 1965 to April 1966. Moreover, by this finding, the Trial Examiner ap- pears to have relieved the Respondent from the burden which the law imposes on it to prove a will- ful loss of earnings and to have incorrectly shifted to the General Counsel the burden of establishing the contrary. As the Board stated in Mastro Plastics: [ W ]bile the general burden of proof is upon the General Counsel to establish the damage which has resulted from Respondent's established discriminatory discharge, i.e., the gross backpay over the backpay period, the burden of proof is upon the Respondent as to diminution of damages, whether from the will- ful loss of earnings by the failure to either look for or keep a substantially equivalent job or from the unavailability of a job at Respon- dent's plant for some reason unconnected with the discrimination.3 In this case, it is clear that the General Counsel has carried his burden of establishing the gross backpay over the backpay period, and Respondent does not except to the Trial Examiner's findings in that regard. Therefore, the burden passed to the Respondent to establish that the gross backpay should be diminished due to a willful loss of earnings by the discriminatee. And if the theory as- serted to prove the necessity for diminution of backpay was that Longest was chargeable with will- ful loss of earnings through failure to look for suita- ble alternate employment, it was incumbent upon Respondent to demonstrate by a fair preponde- rance of evidence that Longest did not make reasonable efforts, when considered in the light of all the surrounding circumstances, to seek out work that might have been available to her. On the record taken as a whole, we find that Respondent has not met that burden. We note preliminarily that the Trial Examiner tolled backpay for specific quarters in which he found that there was "no substantial ev;:... nce that Longest applied for work." But in treating each quarter as a completely severable period, divorced from all others, for the purpose of determining the reasonableness of Longest's job seeking efforts, the Trial Examiner adopted and applied an incorrect standard. From the fact alone that in a given quarter a discriminatee has made no specific job application, it does not necessarily follow that the discriminatee during that particular quarter has abandoned efforts to find suitable employment and in effect has withdrawn from the labor market. A discriminatee who has otherwise made reasonable efforts to seek out new employment is not required in each specific quarter to repeat job applications which from her past efforts she knows are foredoomed to futility in order to protect her claim of backpay for that particular quarter. Rather, the entire backpay period must be scrutinized to deter- mine whether throughout that period there was, in the light of all surrounding circumstances, a reasonable continuing search such as to foreclose a finding of willful loss. Looking at the entire backpay period, we are unable to conclude on the strength of the evidence recited above that Longest did not make a reasona- ble search for work during that entire period, or during any part thereof. The record shows that at intervals throughout that period Longest made recurrent but fruitless efforts to find employment. The reasonableness of her efforts must be assessed in the context of the conditions affecting her search for work. Considering that Longest was a woman of 61 years of age at the time4 and that she resided in an area in which, as found by the Trial Examiner, there was a lack of employment opportunities open to women with her particular skills and experience, it appears to us that she made as reasonable an ef- fort as could be expected under the circumstances.5 On all the record we are of the opinion that the claim of willful loss in Longest's case has not been affirmatively established by a preponderance of the evidence. Accordingly, we reverse the Trial Ex- aminer to the extent he found otherwise and award Longest backpay for the entire period of November 12, 1964, to September 6, 1966. Thus, we find the backpay due Longest to be $7,523.12.6 2. The Trial Examiner found that discriminatee a Mastro Plastics Corp, 136 NLRB 1342, 1346, enfd 354 F 2d 170 (C.A 2J, cert denied 384 U S 972 The Trial Examiner found that Longest was 63 years old in the spring of 1965 The evidence shows that she was 61 at that time and 63 at the time of the hearing 5 Mastro Plastics , supra, W C Nabors Co , 134 NLRB 1078 6 The following chart shows the backpay due Longest Gross Net Net BaT Interim Bacuay 1964-IV $ 347.49 -0- $ 347.49 1965-I 890.64 -0- 890.64 Gross Net Net Backp Interim Backnay 1965-11 1186.34 -0- 1186.34 1965-M 885.87 -0- 885.87 1965-IV 983.89 -0- 983.87 1966-I 1082.95 -0- 1082.95 1966-II 1236.04 -0- vcn 144.00 8 4 -0- 1380.04 1966-111 76 .90 765.90 344 DECISIONS OF NATIONAL June Hopper (Clark) sought alternate employment from the beginning of her backpay period (October 1, 1964) through June 1965 and recommended that she be awarded backpay for this period. No excep- tions were filed to this finding and recommenda- tion, and they are hereby adopted. However, the Trial Examiner found further that the testimony respecting her search for work during the last half of 1965 and the first quarter of 1966 was vague and indefinite, and recommended that she be denied backpay for such period, to which the General Counsel excepts. The Trial Examiner noted, how- ever, that Hopper could recall "for certain" that she applied at Hoffmans in July 1965. This testimony was neither discredited nor contradicted. Although we agree with the Trial Examiner that the record evidence is too vague and indefinite to warrant awarding backpay to Hopper for the entire period of July 1965 to April 1966, in light of our determination that a strict quarterly approach should not be followed in determining willful loss, we, in disagreement with the Trial Examiner, find that the evidence that she did search for employ- ment in July warrants an award of backpay for at least that month. Accordingly, we also award backpay for the month of July 1965 in the amount of $278.76.' SUPPLEMENTAL ORDER Pursuant to Section 10(c) of the National Labor Relations Act, as amended, the National Labor Relations Board hereby orders that the Respondent Cornwell Company, Inc., Paoli, Indiana, its officers, agents, successors, and assigns, shall pay to the em- ployees involved in this proceeding, as net backpay, the amounts set forth in the Trial Examiner's Recommended Order, as modified hereinabove. ' This figure represents gross backpay for 4 weeks ($906 divided by 13 equals 69.69 times 4). SUPPLEMENTAL TRIAL EXAMINER'S DECISION STATEMENT OF THE CASE ROBERT COHN, Trial Examiner: On June 10, 1966, the National Labor Relations Board issued its Decision and Order in this case ' in which , inter alia, it ordered the Cornwell Company, Inc., Respon- dent herein , to offer to Ernest Dale Edwards, Troy Kennedy , Joy Longest, and June Hopper immediate ' 159 NLRB 42. 2 The Trial Examiner notes the following errors in the transcript as being worthy of correction : p. 41, 1. 13, change Sept. 26 to Sept . 6; p. 133, 1. 24, change formal to former. 9 The Respondent disclaimed knowledge of some of the discriminatees' LABOR RELATIONS BOARD and full reinstatement to their former positions, and to make them whole for any loss of pay they may have suffered by reason of the discrimination against them. A controversy having arisen over the amount of backpay due, the Regional Director of the Board for Region 25, pursuant to authority conferred upon him by the Board, did on February 17, 1967, issue a backpay specification and notice of hearing, and caused it to be served on the Respondent. By its duly filed answer, Respondent admitted certain allegations of the backpay specification particularly' insofar as such specification identified the backpay periods, job classifications, and gross backpay of the discriminatees. Respondent disclaimed knowledge regarding the interim earnings and ex- penses alleged, and affirmatively averred that it was not obligated to make the net payments alleged because " the discriminatees failed to make reasonable attempts to secure interim employment during their respective backpay periods, they were unavailable for such employment, and in various ways failed to mitigate their damages as required." Upon the issues so stated, a hearing was held be- fore me in Orleans, Indiana, on April 4 and 5, 1967, in which all parties participated, were af- forded full opportunity to examine the witnesses, and to introduce evidence pertinent to the issues. At the close of the hearing; all parties waived oral argument. Posthearing briefs have been received from the General Counsel and the Respondent, which have been extremely helpful in the con- sideration of the evidence and resolution of the is- sues. Upon the entire record2 and from my observation of the demeanor of the witnesses while testifying, I make the following: FINDINGS AND CONCLUSIONS 1. THE ISSUE As previously noted, the only issue to be resolved, with respect to each discriminatee, is whether he or she made a reasonably diligent search for alternative, desirable employment during his or her respective backpay period, the Respon- dent not having contested: (1) the Regional Director's method of computing gross backpay or (2) the length of the backpay periods.3 On this is- sue, the law is well settled that, after gross backpay has been shown by the General Counsel, the bur- den shifts to the Respondent ". . . to establish facts which would negative the existence of liability to a given employee or which would mitigate that liabili- ty. "4 Stated another way, the rule appears to be claimed interim expenses which would normally be deducted from any in- terim earnings. ' United States Air Conditioning Corporation, 141 NLRB 1278, 1280, and cases cited. CORNWELL COMPANY, INC. 345 that generally it is the responsibility of the General Counsel to produce the discriminatees and have them testify with respect to their search for employ- ment during the backpay period, but " . . . the bur- den of proof is upon the Respondent as to diminu- tion of damages, whether from the willful loss of earnings by the failure to either look for or keep a substantially equivalent job or from the unavaila- bility of a job at Respondent's plant for some reason unconnected with the discrimination."5 With the foregoing principles in mind, we ap- proach the evidence in this case respecting each discriminatee: II. ERNEST DALE EDWARDS It was stipulated by the parties that this em- ployee's backpay period began March 15, 1965, and ended September 6, 1966.6 On March 16, 1965, Edwards, accompanied by discriminatee Troy Kennedy, registered with the In- diana Employment Security Division at Salem, Indi- ana. However, neither received an offer of employ- ment at that time. On March 22, 1965, both men went together to New Albany, Indiana, and secured employment at a company named Breese Plywood. However, after working there one night, they figured that the low wage scale extant at that com- pany, taken with the relatively long-distance driv- ing, would not pay them to continue employment there , so they quit the same night. The record establishes that Edwards diligently sought employment during the remainder of the first quarter of 1965, but was unsuccessful. He secured employment at Hoffman Products Com- pany in Orleans, Indiana, on April 12, 1965, com- mencing work on April 13 . He worked there until May 28, 1965, at which time he left to secure a more remunerative job with Bolin Industries, a small woodworking plant located approximately 4 miles west of Paoli, Indiana.8 Edwards worked continuously at Bolin from June 1, 1965, until August 18, 1966, at which time he left under circumstances which vary according to whose testimony one believes; i.e., whether he quit as contended by Respondent or whether he was ter- minated as contended by General Counsel. In any event, he was not further employed until he received his offer of reinstatement and returned to work for the Respondent on September 6, 1966. Respondent does not contend that Edwards' gross backpay should be tolled for failure to seek work prior to his employment at Bolin; rather, its conten- tion is that he incurred willful losses in that: (1) he did not work full time while there; and (2) he quit his employment on August 18, 1966. The record (Resp. Exh. 10) shows that Edwards, performed no work: (1) during the weekly payroll period ending July 24, 1965; (2) during the 7-week period from September 18 through October 30, 1965; and (3) during the weekly payroll period ending April 16, 1966. Respondent further contends that additional deductions from gross backpay should be made as a, result of Edwards' "willful failure to work Saturday mornings while employed at Bolin Industries, and his highly irregular attendance." The available record evidence shows that Bolin regularly scheduled a 44-hour workweek (8 hours for 5 days and 4 hours on Saturday).10 The record further establishes that during the 64 weeks of his employ- ment Edwards worked only 5 Saturdays although Mr. Bolin, owner of the company, credibly testified that Edwards was regularly asked to work, but sel- dom complied." It is true that Edwards had difficulty reaching his employment at Bolin because he lived in an essen- tially rural community and, as previously noted, Mastro Plastics Corporation, 136 NLRB 1342, 1346, enfd. on this point 354 F.2d 170 (C.A. 2), cert. denied 384 U.S. 972 The Second Circuit set forth in fn 3 of its opinion its concept of what constitutes a willful loss of earnings: What constitutes a willful loss of earnings is a concept that has been developed in a large number of cases since the Phelps Dodge decision It is accepted by the Board and reviewing courts that a discriminatee is not entitled to back pay to the extent that he fails to remain in the labor market , refuses to accept substantially equivalent employment, fails diligently to search for alternative work, or voluntarily quits alter- native employment without good reason. 0It was further stipulated that all four discrimmatees ' backpay ter- minated on September 6, 1966 , since the Respondent , on August 23, 1966, mailed to each a letter offering reinstatement to take effect as of Sep- tember 6 , and that this letter was received by all the claimants on August 24,1966. ' The distance one way from Edward' s home in Hardinsburg , Indiana, to New Albany is approximately 30 miles ' At Bolin , Edwards received a starting salary of $1.75 per hour ( as con- trasted with $ 1 46 per hour at Hoffman ), which was raised to $2 per hour on July 5, 1965. The record established that the reason for the failure to perform work from September 18 through October 30, 1965, was due to a back injury, the record is silent as to the reason for failure to work the other 2 weeks General Counsel , in his brief, concedes that gross backpay should be disal- lowed for the 7 weeks Edwards was unavailable due to a back injury. 10 The payroll records of Bolin indicate that on only 8 of the 64 weeks in which Edwards was employed were there no employees who worked on Saturday 71 General Counsel contends that I should not credit Bolin because of certain contradictions between his testimony and the records. While Bolin impressed me as a person who was given to some exaggeration , it is per- fectly natural that his recollection would not always correspond exactly with the figures depicted on his records, and he otherwise impressed me as being a candid and forthright witness On the other hand , while Edwards appeared generally truthful with respect to the other aspects of his testimony regarding seeking of employment, expenses , etc., he appeared quite reluctant and evasive with respect to the reasons for his clear failure to work on Saturday and the circumstances of his exit interview. I have also considered , as bearing upon the reliability of Bolin's testimony , that regu- larly he asked Edwards to work on Saturday, the fact that Edwards was a "spray man" and was the sole employee of Bolin in this classification ex- cept for his leadman or supervisor. It is therefore entirely reasonable and consistent with Bolin 's testimony that Edwards would be requested to come to work on Saturdays along with the other employees. Finally, I have considered, as bearing upon the reliability of the testimony con- cerning Edwards' propensity for working on Saturday, the finding of the Trial Examiner in the principal case that Edwards was absent from work on 4 of the last 6 Saturdays prior to his discharge. (See TXD at section 111, C, 7, paragraph 3 ) 346 DECISIONS OF NATIONAL LABOR RELATIONS BOARD Bolin Industries was located approximately 4 miles west of Paoli, Indiana. During the first 9 weeks of his employment there, he rode with an employee (who came out of his way to pick him up) at a cost of $5 a week. After that, until April 1966, when the employer helped him to purchase a car, Edwards rode from his home with an employee who worked at Respondent ( also in Paoli), and from there he either had to catch a ride or a taxicab, the latter which cost him a dollar a trip each way.12 This rather hazard means of reaching work no doubt was a causative factor resulting in Edwards' not working a full 40 hours during many of the weeks of his em- ployment at Bolin . Another causative factor, as testified to by President Bolin , related to Edwards" problem with alchohol which, indeed, was directly responsible for Edwards' ceasing work at Bolin. Thus, on August 18, 1966, according to Edwards' testimony, his termination came about in the fol- lowing manner: I was sick that morning, and I worked up until nine o'clock, went to him and asked him if I could go to a doctor, and he made a wisecrack, if I went to the doctor, he would just pay me off, and I said I was going to a doc- tor because I didn't feel like working, so he went and wrote my check out and that ended it. On the other hand, Bolin testified: Well, he had been off the week before. I don't remember exactly how many days, but he had been off and about 10:00 in the morning at break-time he came to me and asked if I would loan him some money to go to the doctor, and I had a five, three ones, and a 20 dollar bill in my pocket, and when he asked me for money to go to the doctor, well, I asked him what was the matter with him and he said he was cramp- ing and he was sick, and I said the same thing that makes you sick makes me sick, makes everybody sick, referring to his drinking; and I held the money out and was going to give him eight dollars. I thought that was enough to take him to the doctor. He reached over my hand and took the 20 dollar bill out and I just reached out and grabbed his arm and took the 20 dollar bill away from him and he didn't like that. I told him that I would give him the money, the money that I wanted him to have. I thought I was giving him enough money to go to the doctor with, eight dollars, and he told me what 12 He estimated his average expenses during this period as $ 8 per week In my computation (infra ), I have given him credit for all traveling expen- ses to his interim employment , as per his testimony , to the extent to which such expenses exceeded his traveling expenses while working at Respon- dent's (The Richard W Kaase Company, 162 NLRB 1320, TXD section 11, E) " In addition to other factors, I consider persuasive Respondent 's argu- ment that President Bolin had done everything in his power to retain Ed- wards as an employee, including assisting him in the purchase of an au- I could do with the rest of that money, and he left. For reasons heretofore cited, I credit Bolin's testimony respecting this conversation. 13 Concluding Findings as to Edwards As heretofore noted, I agree with Respondent that Edwards' failure to work regularly on Saturday mornings at Bolin on his own volition constitutes willful loss of earnings. Thus I agree with the Com- pany's contention that "it should not be charged with gross backpay based on a 5-1/2-day work schedule on the one hand and not be credited with Edwards' refusal to work Saturday mornings for Bolin on the other." However, the record is not clear that work was available for Edwards on every Saturday during his employment at Bolin, or, in- deed, that he was requested to work on every Satur- day. Under all circumstances, I am in agreement with the formula proposed by Respondent that it is reasonable to conclude that Edwards would have been asked to work, and should have worked, on every Saturday when at least three employees of Bolin actually worked. I therefore will recommend that the backpay of Edwards be docked 4 hours for all weeks in which at least three or more Bolin em- ployees worked Saturday mornings, and which Ed- wards failed to work.14 On the other hand, I am unable to agree with Respondent's contention that Edwards should be charged an additional 139 hours of work for the 16 weeks he worked for Bolin in which he worked less than 40 hours. In the first place, the gross backpay figures were a computation based on average earnings of comparable employees at Respondent's plant during the backpay period. The raw figures which were used to compute these averages are not in the record, but it may be reasonably assumed that since they are "averages," the workers whose workweeks formed the basis for the computations also probably worked less than 40 hours during some workweeks. Thus, the knife cuts both ways: that is to say, I have heretofore agreed with Respondent that it should not be charged with Ed- wards' failure to work a 44-hour week when the gross backpay was computed on a 44-hour week basis; Respondent should neither reap the benefit of charging Edwards with working less than a 40- hour week when the averages upon which gross backpay was computed might very well contain in- stances when the workers worked less than a 40- hour week. tomobile, and therefore I consider it highly unlikely that such a person would tell a sick man that he could not go to the doctor , as Edwards would have us believe I therefore find that Edwards' unemployment from August 18 through August 23 constituted a willful loss of earnings 14 This amounts to 32 weeks computed as follows 3 weeks, 4 hours at $ 1 75 per hour $21 00 18 weeks, 4 hours at $2 00 per hour 144 00 11 weeks, 4 hours at $3 00 per hour 132 00 Total $297 00 CORNWELL COMPANY, INC. Moreover, the record further establishes, through testimony of both General Counsel's and Respon- dent's witnesses , that Edwards' failure to con- sistently work a regular 40-hour week was not a result of malingering but rather a result of natural causes emanating from the location of the plant relative to his house and the failure of his being able to secure adequate and reliable transportation at all times . Clearly, his attempt to get to work by various means which included hitchhiking, the tak- ing of taxicabs, and finally the purchase of an au- tomobile does not reflect an intent of willfully refusing to regularly perform services on the basis of less than 40 hours per week. Accordingly, I re- ject Respondent's contention in this regard and find that it has not sustained its burden of proof of Ed- wards' willful loss of earnings in this respect. Respondent further contends that Edwards' backpay should be denied during the period from August 24 to September 6, 1966 (the period fol- 347 lowing receipt of Respondent's offer of reinstate- ment), because of "General Counsel's failure to make a prima facie showing of a diligent search for work ...."15 I do not agree. It seems highly un- realistic and certainly not in accord with industrial practice to require an applicant for employment to seek alternative work when he knows in advance that the time limitation on his retention of such work is a period of 2 weeks. Clearly, any such em- ployment opportunity would be limited to the most sporadic or highly seasonal type of work which would not be appropriate or relevant to the circum- stances here involving a skilled employee in the woodworking industry. I therefore conclude that Edwards' backpay should not be diminished for the period between August 24 and September 26, 1966.16 In summary, I find the backpay due Edwards to be $2,003.34, computed as follows: Calender Gross Interim Interim Net 'Quarter Backpay Earnings Expenses Backpay 1965 - I $ 209.30 $ 13.97 $ 8.00 $203.33 1965 - II 1,451.17 680.64 21.50 792.03 1965 - III 762.79 1/ 784.00 40.50 19.29 1965 - IV 835.84 2/ 608.00 47.30 275.14 1966 - 1 1,188.36 936.00 63.80 316.16 1966 - II 1,459.27 3/ 928.00 11.00 542.27 1966 - III 720.12 4/ 568.00 152.12 Total $2300.34 Less overtime not worked 297.00 Backpay due $2,003.34 1/ This represents the gross backpay of $1,101.83 less average earings for week of July 24, 1965, and the last 3 weeks of the quarter, when Edwards was unable to work. (Respondent's computation of amounts to be deducted from gross backpay in quarters 1965 --- III and IV, and 1966 --- II and III /see its brief at p. 31/ appear to be erroneous.) 2/ This represents the gross backpay of $1,207.32 less average earnings for the first 4 weeks of the quarter, when Edwards was unable to work. 3/ This represents the gross backpay of $1,580.88 less average earnings for the week of April 16, 1966, when Edwards was unable to work. 4/ This represents the gross backpay of $800.12 less average earnings for the 1 week (August 18 --- 24), which elapsed between the time Edwards quit and the offer of reinstatement by the Respondent. 15 Resp . brf., pp . 29-30. Respondent argues in its brief that certain moving expenses of Edwards 16 See , e.g., Mastro Plastics Corporation , 136 NLRB 1342 at 1352 ( Sgwl- set forth in the specification ( third quarter , 1966) should not be allowed. lante ). In any event , it appears from Edwards ' testimony that he , in fact , General Counsel concedes to his brief that these expenses were not proved looked for work during this period but was not interrogated as to specifics. and therefore should not be allowed I so find This could hardly be equivalent to a showing of lack of diligence or willful loss. 348 DECISIONS OF NATIONAL LABOR RELATIONS BOARD III. TROY KENNEDY I cannot agree with Respondent on leis issue. The Board has held, with court approval, that the mere acceptance of a "so-called permanent job" does not, without more, toll backpay; the dis- criminatee is still "entitled to the difference between what he earns at the new job and what he would have earned at Respondent's plant; neither the policy nor the letter of the Act deprives him of his claim. Only if the evidence supports a finding that the claimant would have left Respondent's plant for the same reason that he left the interim ob or in order to obtain this particular new job is his claim from that time disallowed."17 Applying the foregoing principles to the facts in this case, Kennedy left his employment at the powerline company for the job at the Feed Mill, al- beit at a lower rate per hour, because the latter of- fered more regular employment. This is certainly a justifiable reason for changing jobs, and industrial experience teaches that he may very well have had to indicate to his new employer that he considered the job permanent in order to secure it. In any event, he had been discharged (discriminatorily) for a period exceeding a year, and, absent a more expressive and direct indication of waiver, I find that he was (`entitled to a valid offer of reinstate- ment from the Employer before making an election as to whether he would return to the [Respondent] or earn a living in some other field.""' Accordingly, I find and conclude that Kennedy's backpay should, not be tolled on May 9, 1966, but should continue until September 6, 1966. In summary, I find the amount of backpay due Kennedy to be $1,779.87, computed as follows: It was stipulated by the parties that this em- ployee's backpay period began March 15, 1965, and ended September 6, 1966 . He did not accept the Respondent 's offer of reinstatement. Kennedy commenced his search for employment the day following his discharge on March 15, 1965, and succeeded in securing several jobs during the backpay period , as reflected in the specification. Respondent does not contend that Kennedy failed to make a diligent search for work but argues: (1) that gross backpay should be diminished from Au- gust 6 , 1965, to September 7, 1965 , when Kennedy was unable to work due to an injury ; and (2) that he should be disqualified for backpa y from on or about May 9, 1966 , when he quit a job at a power- line company to accept work at Magic Feed Mills, Paoli , Indiana , where he was still employed at the time of the hearing herein . General Counsel agrees with the Respondent with respect to the former but disagress as to the later. Concluding Findings as to Kennedy Respondent contends that the disqualification on May 9 should be effected because it was on that date that Kennedy commenced work at the Feed Mill upon the representation that he would be a permanent employee, thereby evidencing an intent not to return to work for Respondent. The fact that Kennedy subsequently refused the August 23 offer of reinstatement , argues Respondent , confirms this theory of waiver. Calendar Gross Interim Quarter Backpay Earnings 1965 - I $ 166.81 $ 13.97 1965 - II 1,181.40 688.40 1965 - III 659.97 */ 373.91 1965 - IV 1,023.00 864.26 1966 - I 988.76 851.17 1966 - II 1,225.50- 1,066.36 1966 - III 678.37 772.12 Interim Net Expenses Backpay $ 3.00 $155.84 93.50 **/ 586.50 70.40 356.46 104.00 262.74 104.00 241.59 17.60 176.74 None None Total $1,779.87 */ This figure represents gross backpay of $953.29 less average weekly earnings for 4 weeks during the quarter when Kennedy was unable to work. **/ This figure (and subsequent figures in the Interim Expenses column) represents the difference in mileage (16 miles per day or 80 miles per week) which Kennedy was required to travel to Hoffman than to Respondent's plant. Kennedy is entitled to 10 cents per mile for this mileage. See The Richard W. Kaase Company, 162 NLRB No. 122, section II, E of the TXD. " Mastro Plastics Corporation , 136 NLRB 1342 , 1349-50. See also East manent it was not necessary for him to make a final choice between the two Texas Steel Castings Company, Inc., 116 NLRB 1336, 1344 , enfd . 255 F. 2d employments until he had been offered reinstatement. 284 (C.A. 5), in which the Board found that although a discriminatee " See The Richard W. Kaase Company , 162 NLRB 1320, section 11, H, 1, (Jones ) began to entertain an idea of making his interim employment per- paragraph 9, of the Trial Examiner 's Decision IV. JOY LONGEST CORNWELL COMPANY, INC. 349 Longest's backpay period runs from November 12, 1964 (the date of Respondent's discriminatory refusal to recall her from layoff), until September 6, 1966. She had been employed by Respondent as a "wash coat sander" at a rate of $1.44 per hour, and was laid off on October 7, 1964. On the follow- ing day she registered with the Indiana Employment Security Division in English , Indiana . She thereafter reported at the employment office weekly until April 27, 1965, and on each occasion the person at the unemployment office asked her if she was able and available for work and if she had had any earnings for that week . She responded affirmatively to the first question and negatively to the latter question on each occasion . She did not apply for work at any company during this period. On or about May 27, 1965, Longest traveled to New Albany , Indiana , where she applied for work at two companies neither of which offered her em- ployment . She also , on that day , visited the Indiana Employment Security Division office at New Al- bany requesting factory work. She was told that the only positions open at that time were for telephone operators or office work , and that most of the fac- tories had an age limit of 35 to 45 . 19 The lady at the unemployment office advised Longest that if any jobs for which she was qualified came up they would let her know . However , she has not heard from the employment office since that time.20 The following month , in June 1965 , she returned to New Albany and again sought employment at the same two factories there and stopped by the unem- ployment office . However , she was unsuccessful in securing employment at either location. The record contains no substantial evidence that Longest applied for work from that time until April 1966.21 At that time, Longest, having read a newspaper advertisement that the English Furniture Company in English , Indiana , was taking applica- tions for women employees (for the first time in its history ), placed an application there . However, she was not hired 'either on that occasion or when she returned to that company around the last of April or the first part of May. This was the last applica- 19 Longest was 63 years old at the time. 20 Longest testified that , in all of her work experience , she had never been a telephone operator or worked in an office. " She testified that she applied at Hoffman Products Company in Orle- ans, Indiana , during her backpay period . However, when asked when she applied there she answered: I don't know . I believe that was back in '65, along up in in the winter . I just don 't remember the date it was I was there. Although she testified that she filed a new application for work while she was there , the personnel supervisor of Hoffman Products testified that there were no applications on file from her. However , the supervisor also indicated that such applications are periodically destroyed, accordingly, I do not impeach Longest 's credibility on that particular point. Nevertheless, I find the evidence , under all the circumstances , insubstantial with respect to Longest 's seeking employment from June 1965 until April 1966. " She testified that on one occasion she asked her union agent if they were hiring any women at the Paoli Chair Factory, but he answered in the negative . On another occasion her daughter , who worked at Hoffman tion for employment that Longest made prior to her receipt of the offer of reinstatement from Respon- dent in August 1966.22 Concluding Findings as to Longest The essential issue to be resolved with respect to backpay due Longest is whether or not, under all circumstances, she made a diligent search for alter- native, desirable employment during the backpay period. In reaching a conclusion on this issue I have credited Longest as to the efforts she made and the locations she visited seeking employment. I have considered with respect to the availability of such employment the essentially rural character of her environs in that section of Southern Indiana and the resulting, relative lack of employment opportunities for women factory workers, especially for women past 60 years of age.23 Although Respondent, in its brief, calls my attention to an Indiana statue24 which makes it an unfair employment practice to refuse to employ a person "solely because of his age if such person has attained the age of 40 years and has not attained the age of 65 years," I find more relevant to the facts of industrial life the statement of the agent of the Indiana employment office who told Longest that most factories had an age limit of from 35 to 45 years. Thus given Longest's infirmity resulting from her age, plus the relative lack of employment opportu- nities in the- immediate area open to women with her particular skills and experience (practically all of which related to the woodworking industry), it could not be accurately said that there was an abundance of employment opportunities open to such a person .25 Nevertheless , I do not believe that she was reasonably diligent in seeking employment during all of her backpay period, as hereafter detailed. Respondent argues that she should receive no backpay during the period from November 12, 1964, through April 2, 1965, when her sole effort in seeking employment was registration at the Indi- ana unemployment office . It is true that in Southern Silk Mills, Inc., 116 NLRB 769, the Board receded from its earlier position taken in Harvest Queen Products, volunteered to inquire from her supervisor concerning employ- ment for Longest, but nothing came of that 23 Although one employer called as a witness by Respondent testified that he did not regard age as per se disqualifying , another employer testified that none of the women employed at his plant were over 60 years of age 24 Ind . Acts 1965, c 386, Burns ' Ind Ann Stat 1965, §40-2319 sa Respondent , in its brief (pp 35-37), points to a number of plants in the surrounding area (some of which are somewhat remote from the im- mediate vicinity of Longest 's home ) which assertedly hire women It argues therefore that Longest's (and Hopper 's) failure to apply at these plants reflects a failure on their part "to make a reasonable search for employ- ment " Such a contention has previously been advanced and rejected in W C. Nabors Company, 134 NLRB 1078, 1093. The fact that Adams did not exhaust every job possibility , even assum- ing that he would be qualified or eligible or that he was aware of every job possibility , does not necessarily disqualify him. The criterion here is not success, it is whether , all factors considered, the individual in- volved made an honest good-faith effort [Citing cases. ] 350 DECISIONS OF NATIONAL LABOR RELATIONS BOARD Mill & Elevator Company, 90 NLRB 320, that regis- tration with the United States Employment Service or a similar State office shall be conclusive evidence that a reasonable search for employment has been made. In Southern Silk, the Board stated: . we shall no longer give conclusive weight to registration with such agencies in determin- ing the issue of reasonable search, but shall treat such registration as a factor to be given greater or less weight depending upon all the circumstances in each case.26 Respondent, in his brief, relies on two cases27 in support of its argument that "registration and nothing more" does not fulfill the obligation of making a reasonable search for work. Although, as previously noted, Respondent's position accurately reflects existing law, I find the factual situation in both of those cases to be distinguishable from that in the case at bar. Thus, in Rice Lake Creamery, the Trial Examiner found that the discriminatee (Carl Wicken), although registering at a State employ- ment service during the critical period involved, removed himself, in effect, from the labor market inasmuch as during such period he not only did not seek other employment, but, at the same time, picketed the Respondent's plant and repaired his house for sale in preparation for moving from Wisconsin to Seattle, Washington. The Trial Ex- aminer rejected the Respondent's contention that Wickert was not entitled to backpay after the move to Seattle, finding that ". . . Wicken promptly un- dertook a search for employment, and thus reen- tered the employment market." The Trial Examiner further found that Wicken did not regard registra- tion with the State employment service "as an ef- fort to obtain employment." There is no evidence here that Longest did not regard registration with the employment service as a quest for employment, or that she engaged in any activities during registra- tion from which an inference might be reasonably drawn that she did not regard such registration as a means of seeking employment. Indeed, as previ- ously noted, she visited the employment offices in New Albany on the same day she called upon two other factories in the area seeking employment, thus indicating that she regarded the employment service as a source of possible work.28 In Missouri Transit, the Trial Examiner found that the discriminatee (Wagner), a physically fit, 42-year-old male, made only two definite steps dur- ing his entire backpay period to secure employ- ment. These were registrations at the United States Employment Service and at his union office. The Trial Examiner, considering the success of other claimants similarly situated with respect to finding 26 Id at 770 2] Rice Lake Creamery Company, 151 NLRB 1113, and Missouri Transit Company, Inc, 125 NLRB 1316 28 I have not overlooked the contention of Respondent that one of the employer witnesses testified that his company seldom contacts the employ- ment service in an effort to fill positions However, I do not think it reasonable to expand this evidence of a single instance into a generalization of experience in the industry in this locality Moreover , the record reflects work and Wagner's admission "of willful indif- ference," found that the Respondent sustained its burden of proof. However, those facts are substan- tially different from the instant case where there is no evidence of "willful indifference" on the part of' Longest, or the success in securing employment by some other female of similar age, ability, and ex- perience. In sum, after a consideration of all of the forego- ing factors, including particularly the relative lack of alternative employment opportunities available in the area to a person of her age, capacities, and infirmities, I find that Longest's registration at the Indiana Employment Security Division was in furtherance of a search for employment, and that, under the particular circumstances of this case, the Respondent did not sustain its affirmative burden of proving that the period of Longest's registration at the Division represented either a failure on her part to "remain in the labor market" or to fail "diligently to search for alternative [employment] . . . ." 29 I also find that Longest made a reasonable search for alternative employment during the months of May and June 1965. However, there is no substan- tial evidence in the record that she made a quest for work from July 1965 until April 1966 and I will therefore recommend that backpay be tolled during the last two quarters of 1965 and the first quarter of 1966. I find that, by applying for work at the En- glish Furniture Company in April 1966, she reen- tered the labor market, but thereafter did not diligently pursue her quest for alternative employ- ment until the end of her backpay period. I will therefore recommend that backpay be tolled as to her from May 1966 until August 24, 1966, when she received the offer of reinstatement from Respondent. In summary, I find the backpay due Longest to be $3,101.97, computed as follows: Gross Net Interim Net Backpay Earnin ;,s Backpay 19,4 - IV $ 347.49 $ 347.49 19:5 - I 890.64 890.64 1965 - II 1,136.34 1,186.34 1965 - III None 1965 - IV None 1966 - I None 19(6 - II plus 380.32 */ 524.32 vcn. 144.00 524.32 1966 - III 153.18 **/ 153.18 $3,101.97 */ This figure represents gross backpay for 4 weeks ($1,236 divided by 13 equals 95 08 times 4) **/This figure represents gross backpay for 2 weeks (765 90 di- vided by 10 equals 76 59 times 2) that the Indiana employment service did refer some of the discriminatees herein to employment opportunities 29 N L R B v Mastro Plastics, 354 F 2d at 174 Like the Board in the cited case , I regard Longest 's search for work during this period as reflect- ing "as reasonable an effort to obtain employment as could be expected from a [woman ) of [her] age " 136 NLRB at 1347 See also W C Nabors Company, 134 NLRB 1078, 1097 (McNeese), enfd 323 F 2d 686 (C A 5) CORNWALL COMPANY, INC. V. JUNE HOPPER (CLARK) 30 Hopper's backpay period extended from October 1, 1964, until September 6, 1966. Her previous em- ployment at the Respondent had been in the job classification known as "packer," at an hourly wage rate of $1.57. Hopper's registration card at the Indiana Em- ployment Security Division indicated that she re- gistered on October 1, 1964, and, beginning Oc- tober 13 of that year, continued to register weekly through March 9, 1965. During this period of time she also applied for employment at Hoffman Products and Robert's Brass Company, as well as at the Respondent's plant, without success. At the time she drew her last unemployment check (in March 1965), Hopper was advised by the agent of the Indiana Employment Security Division that the Radio Corporation of America at Bloomington, In- diana, was giving tests for employment at that loca- tion. However Hopper testified that her husband refused to allow her to go to Bloomington because "it was too far and too dangerous. "31 In the light of all the foregoing circumstances, I find that, contrary to Respondent's contentions, Hopper made a reasonable effort to secure alterna- tive, desirable employment during the last quarter of 1964 and the first quarter of 1965.32 During the second quarter of 1965, I find that Hopper sought employment, albeit unsuccessfully, at Hoffman Products, at Robert's Brass , at Corn- well (the Respondent), and at Smith Cabinet.33 However, Hopper's testimony respecting her search for work during the last half of 1965 and the first quarter of 1966 is quite vague and indefinite. Thus, during this whole period of time the only place she could recall "for certain" where she applied for '0 It was stipulated among the parties that the June Hopper named in the backpay specification is now named June Hopper Clark. However, for pur- poses of this Decision I shall refer to this person as she was named in the Board Decision and in the backpay specification. " The standard highway map indicates that Bloomington is approximate- ly 30 miles from Hopper 's home at Mitchell , Indiana. " I do not agree with Respondent 's contention that Hopper improperly rejected possible future employment at RCA by acquiescing in her husband 's desire that she not travel that far in order to take the test for em- ployment . Respondent argues that Bloomington was not substantially farther from Hopper 's home than Salem , Indiana , where she applied for a job at Smith Cabinet Company. However the mileage as shown by a stan- dard automobile map indicates that Bloomington is approximately 30 miles from Mitchell while Salem is approximately 20. Under all the circum- stances , including the possible disruptive effect on family relationships that might have ensued had Hopper made the application for the test (cf Florence Printing Company v. N.L.R.B., 376 F.2d 216 (C.A. 4),1 find that Hopper did not forfeit her right to backpay by declining to take the RCA 351 work was at Hoffman's in July 1965. I do not con- sider this one application to be sufficient to satisfy the obligation to make a reasonable and diligent search for alternative employment during this period. I will therefore recommend that Hopper's gross backpay be tolled during the last half of 1965, the first quarter of 1966, and the first 3 weeks of the second quarter of 1966.34 In summary, I find the backpay due Hopper to be $3,282.88, computed as follows: Gross Interim Net Backpay Earnings Backpay 19(4 - IV $ 570.30 $ 570.30 1965 - I 935.97 935.97 1965 - II 1,149.43 1,149.43 1965 - III None 19(5 - IV None 1966 - I None 1966 - II plus 918 .76 35/ 534.19 vcn. 108.00 1,026.76 492.57 1966 - III 751.81 581.20 134.61 Total $3,282.88 RECOMMENDED ORDER Upon the basis of the foregoing findings and con- clusions , it is ordered that the Respondent, Corn- well Company, Inc., its officers, agents, successors, and assigns , shall pay to the employees involved in this proceeding, as net backpay,36 the amounts set forth opposite their names: Ernest Dale Edwards $2,003.34 Troy Kennedy 1,779.87 Joy Longest 3,101.97 June Hopper (Clark) 3,282.88 test " The foregoing findings are based upon Hopper's credited testimony. In the absence of a showing that Hopper's efforts to secure work at Respon- dent were frivolous and not in good faith, I cannot agree with Respondent's contention that I may not consider such efforts as evidence of Respon- dent 's refusal to rehire her since this was "the basis of the discrimination finding in the first place" (Resp brf., p. 36, fn 15) " She applied for and secured employment at Robert's Brass Company on or about April 25, 1966, and continued to work there throughout the remainder of the backpay period. "This figure represents gross backpay of $1,194.37 less average earnings for 3 weeks prior to Hopper 's making application for, and secur- ing, employment at Robert 's Brass Company. " Interest is to be added at the rate of 6 percent per annum on the respective amounts of backpay, computed quarterly, in the manner prescribed in Isis Plumbing & Heating Co, 138 NLRB 716. The net backpay awards are to be reduced by such tax withholdings as are required by Federal and State laws Copy with citationCopy as parenthetical citation