District Council of Carpenters of Portland

National Labor Relations Board - Board Decisions

Jul 12, 1979

243 N.L.R.B. 416 (N.L.R.B. 1979)

DECISIONS OF NATIONAL LABOR RELATIONS BOARD
District Council of Carpenters of Portland & Vicinity;
Oregon State Council of the United Brotherhood of
Carpenters and Joiners of America; and Southwest
Washington District Council of the United Brother-
hood of Carpenters and Joiners of America; Ore-
gon-Columbia Chapter, the Associated General
Contractors of America, Inc. and Pacific Northwest
Chapter of the Associated Builders & Contractors,
Inc. Case 36 CE 15
July 12, 1979
DECISION AND ORDER
BY CHAIRMAN FANNING AND MEMBERS PENELIO
AND TRUESDALE
On April 26, 1978, Administrative Law Judge Wil-
liam J. Pannier I1 issued the attached Decision in
this proceeding. Thereafter, Respondents, the Charg-
ing Party, and the General Counsel all filed excep-
tions accompanied by supporting briefs.
Pursuant to the provisions of Section 3(b) of the
National Labor Relations Act, as amended, the Na-
tional Labor Relations Board had delegated its au-
thority in this proceeding to a three-member panel.
The Board has considered the record and the at-
tached Decision in light of the exceptions and briefs,
and has decided to affirm the rulings, findings,' and
conclusions of the Administrative Law Judge and to
adopt his recommended Order.
ORDER
Pursuant to Section 10(c) of the National Labor
Relations Act, as amended, the National Labor Rela-
tions Board adopts as its Order the recommended Or-
der of the Administrative Law Judge and hereby or-
ders that the Respondents, Oregon-Columbia
Chapter, The Associated General Contractors of
America, Inc., Portland, Oregon, its officers, agents,
successors, and assigns; and District Council of Car-
penters of Portland & Vicinity, Oregon State Council
of the United Brotherhood of Carpenters and Joiners
In adopting the Decision of the Administrative Law Judge, we rely on
the rationale enunciated in the Board's Decision in Carpenters Local No. 944.
United Brotherhood of Carpenters and Joiners of America, AFL-CIO; and
Carpenters Local No 235, United Brotherhood of Carpenters and Joiners of
America, AFL-CIO (Woelke and Romero Framing, Inc.), 239 NLRB 241
(1978), in finding that the clauses herein would otherwise be protected by the
construction industry proviso to Sec. 8(e) but for the self-enforcement as-
pects of those subcontracting clauses. See International Union of Operating
Engineers, Local No. 701. AFL-CIO, Oregon-Columbia Chapter, The Associ-
ated General Contractors of America. Inc. (Pacific Northwest Chapter of the
Associated Builders & Contractors. Inc.), 239 NLRB 274 (1978).
Chairman Fanning dissents from his colleagues' conclusion that the
clauses herein are outside the protection of the proviso to Sec. 8(e) because of
self-enforcement provisions. Accordingly, he would dismiss the complaint
herein. See his dissenting opinion in Pacific Northwest Chapter, supra.
of America, and Southwest Washington District
Council of the United Brotherhood of Carpenters and
Joiners of America, Portland, Oregon, their officers,
agents, and representatives. shall take the action set
forth in said recommended Order. except that the at-
tached notices are substituted lor that of the Adminis-
trative Law Judge.
APPENDIX A
No-ICE To EMPLOYIES
POSTED BY ORI)DR OF TIlE
NAIIONA LABOR RII.AlIONS BOARI)
An Agency of the United States Government
WE W.I. NOt enter into, maintain, give effect
to, or enforce those portions of article XIII, B,
section 5, permitting "such action as [deemed]
necessary," and of articles XIV through XVII,
requiring workers to be withheld from contrac-
tors who fail to make proper contributions to
trust funds, and allowing any economic action
deemed necessary to be taken against employers
who fail to make trust fund contributions, to the
extent that such actions are authorized to main-
tain, give effect to, or enforce the subcontracting
clause, article IV, of our collective-bargaining
agreement with District Council of Carpenters of
Portland & Vicinity; Oregon State Council of the
United Brotherhood of Carpenters and Joiners
of America; and Southwest Washington District
Council of the United Brotherhood of Carpen-
ters and Joiners of America. and to the extent
that articles XIII through XVII violate Section
8(e) of the Act.
OREGON-COLUMBIA CHAPTER. IHE ASSO(ci-
A1TEI) GENERAL CONIRAC'TORS OF AMERICA,
IN(C.
APPENDIX B
NOTICE To MEMBERS
POSTED BY ORDER OF THE
NATIONAL LABOR RELATIONS BOARD
An Agency of the IJnited States Government
WE WILL NOT enter into, maintain, give effect
to, or enforce those portions of article XIII, B,
section 5, permitting "such action as [deemed]
necessary," and of articles XIV through XVII,
requiring workers to be withheld from contrac-
tors who fail to make proper contributions to
trust funds, and allowing any economic action
deemed necessary to be taken against employers
who fail to make trust fund contributions, to the
extent that such actions are authorized to main-
tain, give effect to, or enforce the subcontracting
243 NLRB No. 66
416
DISTRICT COUNCIL OF CARPENTERS OF PORTLAND
clause, article IV, of our collective-bargaining
agreement with Oregon-Columbia Chapter, The
Associated General Contractors of America,
Inc., and to the extent that articles XIIl through
XVII violate Section 8(e) of the Act.
DISTRICT COUNCI OF CARPENTERS OF
PORTLAND & VICINITY
OREGON SAITE CO)UN(II. OF IiE UNITED
BROTHERHOOD OF CARPENIERS ANIJ JOIN-
ERS OF AMERI( A
SOUTHWEST WASHIINGTON DISTRICT COtN-
CIL OF THE UNITED BROTHERII)OD OF CAR-
PENTERS AND JOINERS OF AMERICA
DECISION
SIATEMENI OF HE CASE
WIL.IAM J. PANNIER III, Administrative Law Judge:
This case was heard by me in Portland, Oregon, on Decem-
ber 6, 1977. On September 14, 1977, the Regional Director
for Region 19 of the National Labor Relations Board issued
a complaint and notice of hearing, based upon an unfair
labor practice charge filed on April 26, 1977. alleging that
District Council of Carpenters of Portland & Vicinity: Ore-
gon State Council of the United Brotherhood of Carpenters
and Joiners of America; and Southwest Washington Dis-
trict Council of the United Brotherhood of Carpenters and
Joiners of America, herein collectively called Respondent
Unions,' had violated Section 8(e) of the National Labor
Relations Act, as amended. 29 U.S.C.. Sec. 151. et seq..
herein called the Act. On September 20. the said Regional
Director issued an amended complaint and notice of hear-
ing, adding Oregon-Columbia Chapter. the Associated
General Contractors of America, Inc.. herein called Re-
spondent Employer, as a respondent.
All parties have been afforded full opportunity to appear,
to introduce evidence. to examine and cross-examine wit-
nesses, and to file briefs. Based upon the entire record, upon
the briefs, and upon my observation of the deameanor of
the witnesses, I make the following:
FINDINGS OF FACT
Washington, and, additionally, admit that, at all times ma-
terial. Respondent Employer has been an employer within
the meaning of Section 2(2) of the Act, engaged in com-
merce within the meaning of Section 2(6) and (7) of the Act.
However, Respondent Unions deny the allegations that
employer-members of Respondent Employer have dele-
gated their collective-bargaining authority to Respondent
Employer for the purpose, inter alia, of negotiating and en-
tering collective-bargaining contracts on behalf of its em-
ployer-members with the bargaining representatives of their
employees, including Respondent Unions. The testimony
left no dispute that one function of Respondent Employer
was to negotiate collective-bargaining agreements with the
representatives of employees in basically six crafts, includ-
ing Respondent Unions, on behalf of its employer-mem-
bers. Thus, the current agreement between Respondent
Unions and Respondent Employer, effective from June 1,.
1975, to May 31, 1980, contains a list of employer-members
on whose behalf Respondent Employer had been negotiat-
ing. although this list has since been modified by additions
and withdrawals. Each employer-member has executed a
document, entitled "ASSIGNMENT OF BARGAINING
RIGHTS." which authorizes Respondent Employer to act
as its exclusive agent for the purpose of collective bargain-
ing. Under the terms of the assignments. signatory employ-
ers agree "to conform to and be bound by" the existing
labor agreement with Respondent Unions and to any new
agreements reached by Respondent Employer with Re-
spondent Unions until rescinding such authority in the
manner prescribed in the Assignments.
In these circumstances, I find. contrary to Respondent
Unions' contention, that there has been a delegation of au-
thority by employer-members to Respondent Employer.
Moreover, Respondent Employer has exercised that au-
thority to execute a single contract on behalf of all its em-
ployer-members who employ carpenters. Accordingly, a
multiemployer bargaining group, with a single overall unit,
exists, and jurisdiction can be asserted over all employers in
that group on the basis of their combined operations. Mar-
ble Polishers. Machine Operators and Helpers. Local No.
121, AFL-CIO (Miami Marble & Tile Compan'v), 132
NLRB 844. 845, fn. 1 (1961).
Therefore. the facts support the allegation, admitted by
Respondent Unions, that at all times material Respondent
Employer, including its employer-members, has been an
employer within the meaning of Section 2(2) of the Act,
engaged in commerce within the meaning of Section 2(6)
and (7) of the Act.
I. JURISDICTION
Respondent Unions admit that Respondent Employer is
an association of employers engaged in all types of con-
struction work throughout the entire State of Oregon and
the five counties in the southwestern portion of the State of
Washington. They also admit that during the past year the
employer-members of Respondent Employer, in the course
and conduct of their businesses, purchased goods, materi-
als, and supplies valued in excess of $50,000 which were
shipped to said employer-members directly from States in
the United States other than the States of Oregon and
I The names of the Unions appear as amended at Ihe hearing.
II. 1tHE I.ABOR ORGANIZATIONS INVOI.VED
At all times material. Respondent Unions have each been
labor organizations within the meaning of Section 2(5) of
the Act.
Ill. ISSUE
Whether the subcontracting restrictions of the collective-
bargaining agreement between Respondent Employer and
Respondent Employer and Respondent Unions violate Sec-
tion 8(e) of the Act.
417
DECISIONS OF NATIONAL LABOR RELATIONS BOARD
IV. IE All.E(;GlD NFAIR ItABOR PRA( I( F
A. The Collective-Bargaining Agreement
As noted above, this agreement is effective from June 1,
1975, to May 31. 1980. It contains the following provisions
pertinent to this proceeding:
Article IV
cooperation in following the Grievance Procedures set
forth herein.
(b) Saturdays, Sundays and holidays shall be ex-
cluded from the time limit specified in taking proce-
dural steps and/or complying with the results thereof.
Section 4. In the settlement of grievances arising out
of the interpretation or application of this Agreement,
the following procedures shall be followed. It is under-
stood that the following procedures will be halted at
any Step when mutual agreement is reached.
SUB(ONTRA('IORS (I.AUSIS
If an employer, bound by this Agreement, contracts
or subcontracts. any work covered by this Agreement
to be done at the job site of the construction, alteration
or repair of a building, structure, or other work to any
person or proprietor who is not signatory to this Agree-
ment. the employer shall require such subcontractor to
be bound to all the provisions of this Agreement. or
such employer shall maintain daily records of the sub-
contractors employees job site hours, and be liable for
payment of these employees wages, travel, Health-
Welfare and Dental, Pension, Vacation and Appren-
ticeship contributions in accordance with this Agree-
ment.
The Union agrees to notilf the employer, person or
proprietor with thirty (30) calendar days of any delin-
quent payment tor wages, travel. Health-Welfare and
Dental, Pension, Vacation and Apprenticeship contri-
butions owed by the subcontractor. and to further is-
sue a certificate to the employer when these payments
have been made. (Clarification: With respect to fringes
the 30 day period starts on the day after the report is
due to the trust administrator.)
No work will be let by piecework. contract or lump
sum direct with a journeyman, apprentice or trainee
for labor services.
Article XIII
SElTI.EMENI ()R I)SPUIFS SI'RIKEIS AND) I()('KO()IS
B. N()N-JUlRISDIC(TIONAI DISPII ES
Section I. The jurisdiction of the Board of Arbitra-
tion shall be confined in all cases exclusively to ques-
tions involving the interpretation and application of
any existing clause or provision of this Agreement.
Section 2. It is mutually agreed that there will be no
strikes or lockouts, or cessation of work, by either
party, for the duration of this Agreement, and all non-
jurisdictional disputes arising under this Agreement
shall be submitted to the procedure for the settlement
of disputes as hereafter provided in Sections 4 and 5.
Section 3. No dispute, complaint, or grievance shall
be recognized unless called to the attention of' the As-
sociation and the Union within thirty (30) calendar
days after the alleged violation was committed.
(a) In case of a dispute or difference arising out of
this Agreement, both parties pledge their immediate
Section 5. Should the parties involved in the dispute
fail to comply with Steps 2, 3 and 4 as provided herein,
upon presentation to them of the written decision, then
all means of arbitration shall be considered exhausted.
Either part in such case may take such action as they
deem necessary, which action will not be considered in
violation of any part of this Agreement.
In addition, there are specific provisions in the agreement
relating to each of the funds referred to in article IV:
health-welfare and dental (art. XIV), pension (art. XV), va-
cation (art. XVI), and appenticeship (art. XVII). In each of
these articles, there are subsections which read:
It shall be a violation of this Agreement for the
Union to allow workmen covered by this Agreement to
work for an employer who fails, after due notice, to
make the proper contributions to the [appropriate
name Fund in accordance with the provisions of this
Agreement.
In the event an employer fails to make the monetary
contributions in conformity with this Article of the
Agreement, the Union is free to take any economic
action against such employer it deems necessary, and
such action shall not be considered a violation of this
Agreement.
B. Section l(h)
Although the agreement was executed in 1975, and thus
outside the 6-month period prior to the filing of the charge
on April 26, 1977, the words "enter into" in Section 8(e) of
the Act are not construed to mean "only the initial execu-
tion of a proscribed agreement." Dan McKinnev Co., et al.
137 NLRB 649, 653 (1962). Rather, this language is con-
strued broadly and encompasses the concepts of "mainte-
nance, enforcement and reaffirmation." International Or-
ganilation of 1Masters, Mates and Pilots, AFL-. CO1 (Cove
Tankers Corporation), 224 NLRB 1626 (1976); Dan McKin-
nel, Co., supra at 654. Consequently, where a party enforces
such a clause or requests adherence to its provisions, its
conduct satisfies the "enter into" language of Section 8(e) of
the Act. General Teamsters', Warehousemen and Helpers'
Union, Local No. 890 (San Joaquin alley Shippers' Labor
Committee, et a.), 137 NLRB 641, 644 (1962); Local 1149,
United Brotherhood of Carpenters and Joiners of America,
AFL--CIO (American President Lines, Ltd.), 221 NLRB 456,
In. 2 (1975).
In the instant case. Respondent Employer admits in its
answer that "to minimize the potential liability of its mem-
418
DISTRI('T ('OtiN('II OF ('ARPF NTFRS ()F '()ORII.AND
hers for breach of Article IV, it intends to continue giving
effect to that article until it is ordered by the Board or a
court not to do so." Moreover. during the 6-month period
prior to the filing of the charge. Respondent Unions have
sent several letters to Respondent l'mployer, notifying it of
members who have "subcontracted work coming under the
jurisdiction of the Brotherhood of Carpenters to a non-sig-
natory subcontractor" and then restating. in hace verba, the
above-quoted portion of article IV. While both Donald C.
Staudenmier, executive secretary-treasurer of District
Council of Carpenters of Portland & VicinitN, and Roy W.
Coles, executive secretary of Oregon State Council of the
United Brotherhood of Carpenters and Joiners of America,
denied that these letters constituted grievances and denied
that article XIII applied to article IV, the act of sending
such letters to, as Staudenmier testified. "notify the individ-
ual contractor within 30 calendar days so that they have
knowledge of it" satisfies the requirement of "maintenance,
enforcement and reaffirmation."
Moreover, their denials of article Xlll's application to
article IV were neither convincing nor supported by other
evidence. To the contrary, these denials were controverted
directly by their own correspondence. Thus, Staudenmier's
notices regarding the presence of nonsignatory subcontrac-
tors closed with the sentence, "looking forward to an early
response or if possible a meeting at a mutually agreed upon
time and location to discuss compliance over the above
mentioned grievance." (Emphasis supplied.) More specifi-
cally, similar letters, concededly authored on behalf of
Coles, opened with the sentences, "This communication
from the Union is to serve notice in accordance with Article
IV Subcontractor Clause and Article XIII, B. Non-Jurisdic-
tional Disputes, Carpenters Labor Agreement." Further, it
is conceded that at no point have Respondent Unions ever
sought to amend the contract to make clear the purported
inapplicability of article XIII. which by its very terms
grants to the board of arbitration jurisdiction over "ques-
tions involving the interpretation and application of anm
existing clause or provision of this Agreement," (emphasis
supplied) to article IV. Finally, while Coles claimed to have
told the "membership" that article XIII did not apply to
article IV, no witnesses were called to corroborate his testi-
mony in this regard. Absent an explanation for this failure,
it is fairly inferrable that Coles' testimony could not be cor-
roborated. Kaiser Foundation Hospitals. et al.., 228 NLRB
468 (1977).
In these circumstances, I find that article XIII applies to
article IV and that both Staudenmier and Coles were seek-
ing enforcement of article IV by their letters with respect to
nonsignatory subcontractors sent during the 6-month pe-
riod prior to the filing of the charge. Therefore, I find that a
preponderance of the evidence shows that there has been
"maintenance, enforcement and reaffirmation" of article IV
during the 10(b) period which satisfies the "enter into" lan-
guage of Section 8(e) of the Act.
C. The Nature of.4rticle I'. Primarn or Secondary
Section 8(e) of the Act prohibits unions and employers
from entering into agreements which allow the latter to re-
fuse, inter alia, to do business with any other person. The
object of its enactment was to overrule and reverse the prior
interpretation ot the Act permitting such agreements. 8
Kheel. l.abor law, Sec. 39.02 (1975). However. notwith-
standing the breadth of its proscription. Section 8(e) does
not prohibit every agreement to which it could be applied
literally. "Congress, in enacting §8(e), had no thought of
prohibiting agreements directed to work preservation." Na-
tional 1, oodwork Manufaclurers A4ssociation, et al. v.
NV. 1. R. B., 386 II.S. 612. 640(1967). The most obvious illus-
tration of such a nonprohibited clause is one which pro-
scribes subcontracting absolutely. Although literall an
agreement not to do business with another person. it s not
of itself'. a violation of Section 8(e) of the Act, since it serves
to protect the work of employees in the unit represented by
the union. See. e.g.. Service and M1aintenancet Emplloee.'
Utnion. Local No. 399, .4 FL CIO (Kal E/ron. dh a Sluperor
Soul'enir Book (ompanlv), 148 NLRB 1033, 1034 35 (19641.
A major problem. however, arises once the parties go
beyond this point and allow the employer to subcontract
work, but restrict the terms upon which it can do so. In
such situations, a distinction must be drawn between re-
strictions which protect the union's "legitimate interest in
preventing the undermining of work opportunities and
standards of employees in a contractual bargaining unit
.... e.g., a primary or work preservation objective, and
restrictions which go beyond that valid objective by con-
trolling "the employment practices of firms which seek to
do business with the employer...." General Teamstlers Lo-
cal 386. International Brotherhood of Teamsters, ('hallu#urs.
Warehousemen and Helpers of Anerica (Construction Mate-
rial.s Trucing. Inc.). 198 NLRB 1038 (1972). "The question
is whether the contract provisions in question extend be-
yond the employer and are aimed really at the union's dif-
ference with another employer." Local No. 636, United As-
sociation o/' Journemnen and Apprentices of Plumbing and
Pipe Fitting Industr of United States and Canada., 4FL
C'10 Detroit Edison C(o.] v. N.L.R.B. 278 F.2d 858. 864
(D.C. Cir. 1960). To satisfy the primary or work preserva-
tion purpose. the clause must be "limited to requiring that
subcontractors observe 'the equivalent of union wages,
hours, and the like.' " Local 437, International Brotherhood
of Electrical Workers., 4 FL CIO (Dimeo Construction Co. ).
180 NL.RB 420. 421 (1969).
Article IV, section 3. of the agreement in the instant case
provides that Respondent Unions are recognized as the rep-
resentative of"all workmen falling within the jurisdiction of
the agreement .... " While the record shows that Respon-
dent Employer's employer-members do not employ such
"workmen" on all sites and at all times, even on sites where
they are employed, they do employ employees covered by
the agreement. Consequently, there is a "principal work
unit" whose wages and job opportunities Respondent
Unions have a valid interest in protecting. American Feder-
ation of Television and Radio Artists (.4FTR.4), Ve York
Local ('estinghouse Broadcasting Conpany, Inc. (Del.)),
160 NL.RB 241. 246 247 (1966). They have chosen to do
this through article IV. Since that article permits unit work
to be subcontracted, its legality must be measured by
whether the conditions imposed therein are "limited to re-
quiring that subcontractors observe 'the equivalent of union
419
DECISIONS OF NATIONAL LABOR RELATIONS BOARD
wages, hours. and the like.' " Local 437. IBEW (Dinico (on-
struclion Co.), supra.
Under the terms of article IV, employer-members of Re-
spondent Employer can subcontract work to a subcontrac-
tor not signatory to the agreement only if one of two alter-
native conditions are satisfied: Either the subcontractor
must agree "to be bound to all the provisions of this Agree-
ment" or the employer-member must be liable bfor payment
of the "wages, travel. Health-Welfare and Dental. Pension.
Vacation and Apprenticeship contributions in accordance
with this Agreement." as measured by the hours worked by
subcontractors' employees.2 Inasmuch as the first alterna-
tive is not restricted to economic matters, cf. Teamsters Lo-
cal 386 (Construcrtion Materials Trucking. Inc.), supra, but
extends to "all the provisions" of the agreement between
Respondent Unions and Respondent Employer. it would
encompass such matters as recognition. union security.
grievance procedure, and other noneconomic terms. Yet.
agreement to such matters is not needed to preserve the
work opportunities and standards of "workmen" in the
principal work unit. Accordingly, on its face, this alterna-
tive exceeds the bounds of restriction necessary to protect
their interests. Local 437, IBEW (Dimeo Construction Co.),
supra; Teamsters Local 386 (Construction Materials Truck-
ing, Inc.), supra; J. K. Barker Trucking Co., et al., supra, 181
NLRB at 518 (1970). It is a secondary provision.
Nor does the second alternative stand in a better light.
For, if a nonsignatory subcontractor does not agree to "be
bound to all the provisions" of the agreement. the em-
ployer-member must make the payments to the benefit
funds' automatically and without regard to whether the
subcontractor is already paying equivalent costs and bene-
fits to its employees. Consequently, the requirement that the
employer-member pay the $1.93 per hour exceeds the
bounds necessary to protect Respondent Unions' work
standards. Moreover, as found in Walsh, supra, the pay-
ments made to the funds would not be used for the benefit
of employees of the nonsignatory contractors, but, as Coles
conceded, would be used for benefit of the general member-
2 This interpretation of the second alternative is the one confirmed by the
Supreme Court in Walsh v. Schlecht. et al.. 429 U.S. 401, 409-410 1977).
Contrary to Respondent Unions' assertion, the Court did not resolve the
issue of whether art. IV was lawful under Sec. 8(e) of the Act, nor, so far as
the opinion discloses, did any party raise the issue of the legality of art. IV
under Sec. 8(e) of the Act in arguing the matter before the Court. Accord-
ingly, the Court's decision is not dispositive of the issue presented in the
instant case. Neither, contrary to Respondent Union's contention, was the
primary nature of art. IV resolved in Griffith Company et al. v. N.L.R.B.. 545
F.2d 1194 (9th Cir. 1976). True, the circuit court did refer to art. IV as
providing "a less coercive method ... given tacit approval by the Supreme
Court .... " Id. at 1203, fn. 14. However, this reference was made in the
context of the court's discussion of the means by which the union in that case
had chosen to collect from delinquent employers-that is. withholding em-
ployee services from a contractor who, essentially, was obliged to accept
liability for the trust fund delinquencies of a subcontractor with whom that
contractor had subcontracted. Thus the court's reference to "a less coercive
method." It is settled that placing the general contractor in the position of
surety for the benefits' payments of a nonsignatory subcontractor is not in-
herently a secondary objective-in the proper circumstances and so long as
such liability is not enforced by improper methods. General Teamsters.
Chauffeurs. Warehousemen and Helpers. Local 982, etc., et al. (J. K. Barker
Trucking Co.. e al.), 181 NLRB 515. 520 (1970). But the court did not
consider the extent to which this could be done.
At the time of the hearing. this amounted to $1.93 per hour for each
employee.
ship participating in the funds. Thus, the payment of these
amounts is "strictly a penalty." Orange Belt District C(ouncil
Oa Painters 48. AFL-CIO. e al. (C'alhoun Drwall Conm-
pan'), 153 NLRB 1196. 1200-01 (1965). In short, the sec-
ond alternative is also a secondary provision.
Therefore, contrary to the contention of Respondent
Unions, article IV is a secondary clause which violates Sec-
tion 8(e) of the Act. However, this does not end the inquiry
in this matter, for Respondent Unions further urge that.
even if secondary. article IV is protected by the first proviso
to Section 8(e) of the Act: "That nothing in this subsection
(e) shall apply to an agreement between a labor organiza-
tion and an employer in the construction industry relating
to the contracting or subcontracting of work to be done at
the site of the construction, alteration, painting, or repair of
a building, structure, or other work .... " In response. the
other parties argue that this proviso is inapplicable because
it does not apply to situations where a party, such as Re-
spondent Unions, is entitled to resort to nonjudicial self-
help to enforce its provisions and, further, that since it is
not carefully tailored to apply only to sites and times when
employees in the principal work unit are employed along-
side the subcontractors' employees, it is not entitled to the
protection of the proviso under the Supreme Court's deci-
sion in Connell Construction Co. Inc. v. Plumbers and
Steamfitters Local Union No. 100, etc., .421 U.S. 616 (1975).
D. The Selj:Help Provisions
It is settled that "although a contract within the construc-
tion industry proviso to Section 8(e) is exempt from the
operation of that section, it may be enforced only through
lawsuits and not by threats, coercion, or restraint pro-
scribed by Section 8(b)(4)(B)." Ets-Hokin Corporation, 154
NLRB 839. 842 (1965). enfd. sub norn. N.L.R.B. v. Interna-
tional Brotherhood of Electrical Workers, A FL -CIO, Local
No. 769. 405 F.2d 159. 162 163 (9th Cir. 1968), cert. denied
395 U.S. 921 (1969). This is so because Congress. in leaving
lawful certain onsite "hot cargo" agreements, did not in-
tend to change the law prohibiting nonjudicial enforcement
of such contracts. Local Union No. 48 of Sheet Metal Work-
ers Intermtional A.ssociation v. The Hardiy Corporation, 332
F.2d 682. 686 687 (5th Cir. 1964). The policy underlying
that proscription, in turn, was based upon "practical judg-
ment on the effect of union conduct in the frame work of
actual labor disputes and what is necessary to preserve to
the employer the freedom of choice that Congress had de-
creed." N.L.R.B. v. Local 1976, United Brotherhood of Car-
penters and Joiners of A merica, A FL [Sand Door & Plywood
Co.], et al., 357 U.S. 93, 107 (1958). Thus. if such self-help
clauses were held valid, they could be enforced b judicial
action with the result that "the courts could be used to
protect the very self-help action in support of a construction
site 'hot cargo' clause that Congress clearly intended to pro-
hibit." Muskegon Bricklayers Union 5. Bricklavers, Ma-
sons and Plasterers International Union of America, (AFL-
CIO) (Greater Muskegon General Contractors Association).
152 NLRB 360. 365 (1965). enf'd. 378 F.2d 859 (6th Cir.
1967). 4
' There was. of course. no self-help resorted to in the instant case. But, this
is not significant. since Sec. 8(b(4XB) of the Act applies to situations where
self-help occurs, while Sec. 8(e) applies where it is permitted b an agree-
ment.
420
I)ISTRI(T (COtNCI. 01F (CARPFNTERS OF PORTLAND
the circumstances specified in the proviso. Yet. Section 8(e)
of the Act and its first proviso represent an effort to balance
the policy of preventing "top-down" organizing with that of
mitigating jobsite friction. The choice is one which Con-
gress has made. In an effort to avoid potential jobsite fric-
tion, it in effect placed a limitation on the scope of the basic
proscription, thereby limiting the extent to which "top-
down" organizing is prohibited by Section 8(e) of the Act.
Nonetheless, "Congress could reasonably take one firm step
toward the goal of eliminating ["top-down" organizing
without accomplishing its entire objective in the same piece
of legislation." C/alino v. Jobhr. 98 S.Ct. 95, 101 (1977).
It is equally clear that the subcontracting restriction in
Respondents' agreement will not insure, to a certainty. that
Respondent Unions' members will never have to work
alongside nonunion personnel. Nor is that restriction con-
fined to sites and times at which Respondent Unions' mem-
hers will he working. Again. however. this is the result of a
choice which Congress has made as to the means hby which
its purpose of mitigating potential site friction is to he at-
tained. Congress could have chosen another method. But. it
selected one whereby each union is permitted to have a
restrictive subcontracting clause with the contractor w hose
employees that union represents. The collective effect of
such individual agreements each between a union repre-
senting employees in a principal work unit and the contrac-
tor or subcontractor employing those employees is a re-
duced potential for union and nonunion personnel working
on the same site.' Thus, the fact that Respondent Unions do
not have members working on all sites or at all times does
not negate the applicabilit of the proviso to article IV. F-or
that article tends to insure that the work of the principal
work unit will he perfbrmed b: union emploNees and,. to
that extent, tends to insure that tranquilitv on the site vwill
not he disturbed by the presence of nonunion "workmen"
performing the work of Respondent Jnion's hargaining
unit. In this manner, article IV promotes the objective
sought by Congress in enacting the proviso.
Conversely, the fact that the subcontracting clause does
not insure against other subconlractors, whose employees
perform work other than that perftrmed hby employees in
Respondent Unions' principal work unit, employing non-
union employees on sites where Respondent Ulnions' mem-
bers are working does not render the proviso inapplicable
to article IV. Certainly there can he no doubt that Respon-
dent Unions would like to provide such assurance. Hlow-
ever, in the proviso. Congress did not require unions to seek
clauses applying to nonunit work. Nor. to invoke the pro-
tection of the proviso, did Congress require the contracting
parties to condition their agreements on the union status of
employees by other contractors and subcontractors. In-
stead, in an effort to mitigate potential jobsite friction, (Con-
gress imposed no requirements beyond those specified in
the proviso. That these requirements do not insure ahso-
lutely against the possibility of union and nonunion person-
nel working side by side on jobsites is not fatal to subcon-
* No evidence has been presented to show that any significant number 1
siles on which employer-members Aork aire other than wcommn sites. e .
siles on which the) are noi working alone. but in which other emplo.Nee.
employed by oher contractors and subcontrlactors are also working
tracting agreements negotiated pursuant to the proviso.
since Congress can enact legislation which takes only "one
firm step" in that direction without having to accomplish
"its entire objective in the same piece of legislation." C/li-
/iveo v. ,/ohsi, suxtpr.
In sum I find that the rationale of Connell is not appli-
cable to situations. such as that presented here. where there
is a principal work unit for which the union is the bargain-
ing representative. the subcontracting clause pertains to the
subcontracting of' unit work, the subcontracting clause is
part o a collecti e-bargaining agreement with the contrac-
tor who employs the employees in the principal work unit,
and there is no evidence that the subcontracting clause is
being used as a device to achieve ulterior purposes unre-
lated to that collective-bargaing relationship.
V. Ill I-:( I ()1 II t Ft t NFAIR I BOR PRAi tIE S I PON
( ()MIN tR(
The activities of' Respondent IUnions and Respondent
mniplo er set fiorth abhoe, occurring in connection with Re-
spondent mployer's operations described in section 1I
above, have a close. intimate, and substantial relationship
to trlide, traflic, and commerce almong the several States
and tend to lead, and have led, to labor disputes burdening
and ohsilrucinlg commerce ,and the free flow of commerce.
('()i( i t SIliNS (t LAV,
I regon-('oluHm1bila Chapter, 'lhe Associated (ieneral
('onr;lctors of Anierica. Inc.. and its emplover-mnmbers, is
an employer w ithin the meanlng of' Section 2(2) ofl the Act,
enalged in commerce and in a business tafectinlg commerce
within te meaning of Sectlion 2(6) and (7) of the Act.
2. I)islnict ('cuicil o( arpenters of Portland & Vicinits
Oregon State (ouncll of the [Inited Brotherhood of (Car-
penlers ad ointers ol Anmerical and Southwest NWashing-
ton )istrict (Council ol the nited Brotherhood of ('arpen-
ters and oiners oft America are each a labor organization
within the llmealig of( Section 2(5) of the Act.
3. B entering into, mialnlaning, and giving effect to seli'-
help proxisions applicable to article IV of' their 1975-80
collective-bargaining agreement, Oregon-Columbia ('hap-
ter. The Associated (ieneral ('ontractors of America, Inc.:
District ('ouncil of Carpenters of Portland & Vicinit Ore-
gon State ('ouncil of' the United Brotherhood of (Carpenters
and Joiners of America: and Southwest Washington Dis-
trict C'ouncil of the nited Brotherhood of C'arpenters and
Joiners of America have violated Section 8(e) of the Act.
4. No other aspects of the agreement mentioned in ('Con-
clusion o I.aw 3, above, violate Section 8(e) of the Act.
Tini Ri-u Mi)-
Elaving found that Oregon-('Columbia Chapter, The Asso-
ciated General Contractors of America Inc.: I)istrict
C'ouncil of (Carpenters of Portland & Vicinit; ()Oregon State
Council of the nited Brotherhood of Carpenters and Join-
ers of America: and, Southwest Waslhington [)istrict Coun-
cil of the l'nited Brotherhood of C('arpenters and Joiners of
America. engaged in certain untir labor practices, I shall
423
DECISIONS OF NATIONAL LABOR RELATIONS BOARD
recommend that they be ordered to cease and desist there-
from and that they take certain affirmative action to effec-
tuate the policies of the Act.8
Upon the foregoing findings of fact, and conclusions of
law, and upon the entire record, and pursuant to Section
10(c) of the Act, I hereby issue the following recommended:
ORDER 9
Oregon-Columbia Chapter, The Associated General
Contractors of America, Inc., its officers, agents, successors,
and assigns, and District Council of Carpenters of Portland
& Vicinity; Oregon State Council of the United Brother-
hood of Carpenters and Joiners of America: and Southwest
Washington District Council of the United Brotherhood of
Carpenters and Joiners of America. their officers, agents,
and representatives, shall:
1. Cease and desist from entering into, maintaining, giv-
ing effect to, or enforcing the self-help portions of articles
XIII through XVII insofar as they apply to the subcon-
tracting clause, article IV, found in their collective-bargain-
ing agreement, to the extent found unlawful herein and to
the extent that they violate Section 8(e) of the Act.
2. Take the following affirmative action designed to ef-
fectuate the policies of the Act:
(a) Oregon-Columbia Chapter, The Associated General
Contractors of America, Inc.. shall post at its business of-
fice(s) and mail to its employer-members copies of the at-
tached notice marked "Appendix A."10 Copies of said no-
tice, on forms provided by the Regional Director ibr
Region 19, after being duly signed by an authorized repre-
sentative of Oregon-Columbia Chapter, The Associated
General Contractors of America, Inc., shall be posted and
I Absent a showing of special need for extraordinary relief. the standard
Board remedy for violations of the type committed here shall be provided.
' In the event no exceptions are filed as provided by Sec. 102.46 of the
Rules and Regulations of the National Labor Relations Board, the findings.
conclusions, and recommended Order herein shall, as provided in Sec. 102.48
of the Rules and Regulations, be adopted by the Board and become its
findings, conclusions, and Order, and all objections thereto shall be deemed
waived for all purposes.
10 In the event that this Order is enforced by a Judgment of a United
States Court of Appeals, the words in the notice reading "Posted by Order of
the National Labor Relations Board" shall read "Posted Pursuant to a Judg-
mcnt of the United States Court of Appeals Enforcing an Order of the Na-
tional Labor Relations Board."
mailed immediately upon receipt thereof, and those posted
shall be maintained for 60 consecutive days thereafter, in
conspicuous places, including all places where notices are
customarily posted. Reasonable steps shall be taken by Ore-
gon-Columbia Chapter, The Associated General Contrac-
tors of America, Inc., to insure that said notices are not
altered, defaced, or covered by any other material.
(b) District Council of Carpenters of Portland & Vicin-
ity; Oregon State Council of the United Brotherhood of
Carpenters and Joiners of America: and Southwest Wash-
ington District Council of the United Brotherhood of Car-
penters and Joiners of America shall post at their business
offices and meeting halls and shall mail to their constituent
member locals on whose behalf they negotiated the current
collective-bargaining agreement copies of the attached no-
tice marked "Appendix B."" Copies of said notice, on
forms provided by the Regional Director fbr Region 19.
after being duly signed by authorized representatives of
District Council of Carpenters of Portland & Vicinity: Ore-
gon State Council of the United Brotherhood of Carpenters
and Joiners of America: and Southwest Washington Dis-
trict Council of the United Brotherhood of Carpenters and
Joiners of America. as applicable. shall be posted and
mailed by them immediately upon receipt thereof" and
those posted shall be maintained by them for 60 consecu-
tive days thereafter. in conspicuous places, including all
places where notices to members are customarily posted.
Reasonable steps shall be taken by District Council of Car-
penters of Portland & Vicinity: Oregon State Council of the
United Brotherhood of Carpenters and Joiners of America:
and Southwest Washington District Council of the United
Brotherhood of Carpenters and Joiners of America to in-
sure that said notices are not altered, defaced, or covered by
any other material.
(c) Deliver to the Regional Director for Region 19 signed
copies of the notices which each signs in sufficient number
for posting by Pacific Northwest Chapter of the Associated
Builders & Contractors, Inc., they being willing, at all loca-
tions where notices are customarily posted.
(d) Notify the Regional Director for Region 19, in writ-
ing, within 20 days from the date of this Order, what steps
have been taken to comply herewith.
IT IS FURTHER ORDERED that the complaint herein be, and
it hereby is, dismissed insofar as it alleges violations of the
Act not found herein.
" See fn. 10, supra.
424