Dove Restaurant, Inc.Download PDFNational Labor Relations Board - Board DecisionsOct 13, 1977232 N.L.R.B. 1172 (N.L.R.B. 1977) Copy Citation DECISIONS OF NATIONAL LABOR RELATIONS BOARD Coopco, Incorporated, d/b/a Dove Restaurant, Inc. and Julius Vizzi. Case 27-CA-5210 October 13, 1977 DECISION AND ORDER BY CHAIRMAN lFANNING AND MEMBERS PENELLO AND MURPHY On July 5, 1977, Administrative Law Judge Jerrold H. Shapiro issued the attached Decision in this proceeding. Thereafter, Respondent filed exceptions and a supporting brief. Pursuant to the provisions of Section 3(b) of the National Labor Relations Act, as amended, the National Labor Relations Board has delegated its authority in this proceeding to a three-member panel. The Board has considered the record and the attached Decision in light of the exceptions and brief and has decided to affirm the rulings, findings,' and conclusions of the Administrative Law Judge and to adopt his recommended Order, except that the remedy is modified so that interest is to be computed in the manner prescribed in Florida Steel Corporation, 231 NLRB 651 (1977).2 ORDER Pursuant to Section 10(c) of the National Labor Relations Act, as amended, the National Labor Relations Board adopts as its Order the recommend- ed Order of the Administrative Law Judge and hereby orders that the Respondent, Coopco, Incor- porated, d/b/a Dove Restaurant, Inc., Aurora, Colorado, its officers, agents, successors, and assigns, shall take the action set forth in the said recommend- ed Order, except that the attached notice is substitut- ed for that of the Administrative Law Judge. I Respondent has excepted to certain credibility findings made by the Administrative Law Judge. It is the Board's established policy not to overrule an Administrative Law Judge's resolutions with respect to credibility unless the clear preponderance of all of the relevant evidence convinces us that the resolutions are incorrect. Standard Dry Wall Products, Inc., 91 NLRB 544 (1950), enfd. 188 F.2d 362 (C.A. 3, 1951). We have carefully examined the record and find no basis for reversing his findings. 2 See. generally, Isis Plumbing & Heating Co., 138 NLRB 716(1962). APPENDIX NOTICE To EMPLOYEES POSTED BY ORDER OF THE NATIONAL LABOR RELATIONS BOARD An Agency of the United States Government WE WILL NOT discharge our employees or otherwise discriminate against them because they engage in protected concerted activities. WE WILL NOT threaten our employees with reprisals to discourage them from engaging in protected concerted activities, or interrogate them about their intentions to engage in protected concerted activities, or condition their employ- ment upon their promise to refrain from engaging in protected concerted activities. WE WILL NOT in any other manner interfere with, restrain, or coerce our employees in the exercise of their rights guaranteed under Section 7 of the Act. WE WILL offer to reinstate Julius Vizzi to his former job without prejudice to his seniority or other rights and privileges previously enjoyed, and WE WILL make him whole for any loss of earnings he may have suffered as a result of his discharge, plus interest. WE WILL make whole Timothy Milse for any loss of earnings he may have suffered as a result of his discharge, plus interest. COOPCO, INCORPORATED, D/B/A DOVE RESTAURANT, INC. DECISION STATEMENT OF THE CASE JERROLD H. SHAPIRO, Administrative Law Judge: The hearing in this case, held on May 12, 1977, was based upon unfair labor practice charges filed by Julius Vizzi on January 14, 1977, and a complaint issued on February 22, 1977, on behalf of the General Counsel of the National Labor Relations Board, herein called the Board, by the Regional Director of the Board, Region 27, alleging that Coopco, Incorporated, d/b/a Dove Restaurant, Inc., herein called Respondent, has engaged in unfair labor practices within the meaning of Section 8(a)(1) of the National Labor Relations Act, as amended, herein called the Act. Respondent filed an answer denying the commis- sion of the alleged unfair labor practices. Upon the entire record,' from my observation of the demeanor of the witnesses, and having considered the The record is not correct insofar as it indicates Respondent was denied access to Vizzi's pretrial affidavit for purposes of cross-examination. 232 NLRB No. 174 1172 posthearing briefs submitted by Respondent and General Counsel, I make the following: FINDINGS OF FACT I. RESPONDENT'S BUSINESS Respondent, Coopco, Incorporated, is a Colorado corporation with its principal place of business located in Aurora, Colorado, where it operates a restaurant under the name of Dove Restaurant. Respondent annually receives gross revenues in excess of $500,000, makes annual purchases directly from outside the State of Colorado in excess of $5,000 and admittedly is an employer engaged in commerce within the meaning of Section 2(6) and (7) of the Act. II. THE QUESTIONS PRESENTED The major questions for decision are whether Respon- dent on January 2, 1977, terminated two of its waiters, Julius Vizzi and Timothy Milse, because they engaged in activities protected by Section 7 of the Act and, if Vizzi's termination was unlawful, whether he would have been terminated on January 28, 1977, for a legitimate reason. Also to be decided is whether Respondent made oral statements to employees which tended to restrain or coerce them from engaging in the kind of activity protected by Section 7 of the Act. III. THE ALLEGED UNFAIR LABOR PRACTICES A. The Facts Vizzi and Milse, the alleged discriminatees, were em- ployed by Respondent as waiters at the Dove Restaurant. During the time material herein the restaurant employed approximately 19 waiters. Al DeCaprio manages the restaurant. Robert Rifkin is Respondent's president and part owner. Gerald Kernis is its vice president and part owner. Respondent's waiters meet monthly or bimonthly with Restaurant Manager DeCaprio. Rifkin and Kernis, who ordinarily do not attend these meetings, attended the one held December 18, 1976.2 Rifkin opened the meeting, which was attended by all the waiters, with the statement that Respondent realized that business had recently decreased but Respondent intended to increase business and explained how it intended to do this. Rifkin also asked the waiters to express their grievances. This request did not elicit a response. Vizzi and Milse told Rifkin that the waiters had expressed their grievances to DeCaprio at previous meetings, yet nothing had been done about them so it seemed futile to the waiters to discuss them any further. Rifkin again asked the waiters to voice their grievances and assured them no reprisals would be meted out if they complained. The majority of the waiters still 2 Various witnesses placed this meeting as taking place during the first part of December 1976, however. DeCapno dated his talk with waiters Calhoun and Milse, described infra, which occurred immediately following the meeting as taking place December 18. 3 The employees at the time of this meeting did not receive medical insurance coverage. DOVE RESTAURANT, INC. remained silent but a few, including Vizzi and Milse, voiced their grievances. Vizzi complained about the lack of medical insurance,3 and about the type of food being served the waiters, and asked that the restaurant pay the waiters a minimum hourly wage.4 Milse complained about the lack of a minimum hourly wage, the requirement that the waiters each pay $4 daily to the hostess and the requirement that if a customer neglected to sign a credit charge, the waiter must pay the charge. Of the employees who spoke up, it appears that Vizzi, in addition to being one of the most vocal, was regarded by Respondent as one of the most eloquent.5 Vizzi, not satisfied with management's response to the waiters' grievances, solicited the waiters to attend a meeting to be held at his home after work that morning to discuss their grievances. As a result, between 8 and 15 waiters met at Vizzi's home the morning of December 19. 1976. They discussed their grievances, tried to define them more precisely and attempted to formulate a course of action designed to remedy them, such as retaining an attorney or seeking assistance from governmental agencies. Milse was assigned the tasks of finding out if the waiters' grievances were of a kind that a governmental agency could remedy and to locate a lawyer with an expertise in labor matters. Thereafter, during the 2-week period ending December 31, 1976, Vizzi met on several occasions with other waiters informally after work and they discussed their employment grievances, decided upon a plan of action and decided to retain a lawyer. On December 18 at the end of the work shift, as he was leaving the restaurant to attend the meeting scheduled for Vizzi's house, Milse stopped to talk with DeCaprio. Milse told DeCaprio the waiters were having a meeting to discuss their grievances and expressed his opinion that the meeting held earlier that evening between management and the waiters had been completely unproductive. Milse indicat- ed, because of the unresolved grievances, that several of the waiters, whom he did not name, including himself, were considering staging a walkout. DeCaprio lost his temper and the conversation became heated, at which point Calhoun, a waiter, entered the room and calmed things down. On the subject of the walkout, DeCaprio warned Milse and Calhoun he would see to it that none of the waiters who walked out got a job with any other employer. Calhoun indicated he did not think the waiters would walk out. On the subject of the waiters' scheduled grievance meeting at Vizzi's residence, DeCaprio told Calhoun and Milse they should attend the meeting, but explained to them in substance that it had been his experience that the best way for employees to remedy their complaints was to meet with someone from management and stated that having an employee meeting without anyone from manage- ment present was not the way to go about getting their grievances resolved. He asked for an invitation to attend the meeting and suggested that the waiters appoint one or 4 The waiters received a flat fee of $2.50 per shift and a meal credit of $4 daily. 5 Rifkin testified "when Vizzi ] spoke up at the meetings he was very eloquent." The December 18 meeting, according to Vizzi's undenied and credible testimony, was the only one that Rifkin ever attended 1173 DECISIONS OF NATIONAL LABOR RELATIONS BOARD two persons as their representatives to meet with DeCaprio to discuss the waiters' grievances. 6 Milse and Calhoun rejected DeCaprio's requests. They told him they would just as soon not have him attend the waiters' meeting.7 During the aforesaid discussion about the waiters' meeting at Vizzi's, a waiter, Gino Maglione, who was on his way to the meeting, stepped momentarily into the room where DeCaprio was talking with Milse and Calhoun and DeCaprio stated to him "so, you're going to have a meeting." Maglione answered "no" and immediately left.8 The vice president and part owner of Respondent, Kernis, had heard rumors from persons employed at the restaurant that the waiters might stage a walkout and was also informed by DeCaprio that it was possible that the waiters would stage a walkout. On December 31, 1976, just before the start of the lunch shift, Kernis called Vizzi into his office and told Vizzi that he had heard the waiters were walking out and asked if that was true. Vizzi stated that he could only speak for himself, as he did not represent the other waiters, but, so far as he knew, the waiters did not intend to stage a walkout. Vizzi expressed the waiters' gratitude over the recent medical insurance program placed into effect by Respondent, but stated that the waiters were still not satisfied about the pay scale and that as far as Vizzi was concerned he would like to see Respondent pay the waiters a minimum hourly wage. Vizzi concluded the conversation by stating he enjoyed working at the restaurant and would like to continue working there and felt that the waiters and management could "iron things out." Kernis thanked him and Vizzi went to work.9 Vizzi and Milse were terminated by DeCaprio on January 2, 1977. DeCaprio told Vizzi he was laid off because business was slow and there would not be any work for him for at least the next 3 weeks and that thereafter Vizzi should contact DeCaprio about returning to work. DeCaprio told Milse that he was laid off for the month of January because business was slow. Vizzi and Milse were the only waiters Respondent laid off. On the same day that they were laid off for a lack of work Respondent hired three new waiters. On January 18, 1977, Milse, on his own initiative, visited DeCaprio and asked about returning to work. DeCaprio told him "nothing has changed" and explained to Milse "if you have a problem of any sort, come to me rather than bring it up at the meeting," that the waiters still paid the $4 daily to the hostess and paid the unsigned charges.'? DeCaprio repeated "there is no change" and told Milse "if you would like to come back on my terms" Respondent 6 Also shortly before this conversation Calhoun was informed by the restaurant's head waiter, Garry Cosper, that DeCaprio had told Cosper he would like to attend the waiters' meeting and would rather that the waiters met at the restaurant. I The description of what was stated during DeCaprio's talk with Milse and Calhoun is based upon a synthesis of the three witnesses' testimony to the extent it is not inconsistent. In those instances where DeCaprio's testimony does not jibe with Calhoun's and Milse's, I have credited their version for the reason that they impressed me as more credible and reliable witnesses. I The description of DeCaprio's remark to Maglione is based upon Maglione's testimony, who impressed me as an honest witness. DeCapno testified that in speaking to Maglione he used words to the effect "you are going to the meeting," which is not inconsistent with Maglione's testimony. 9 Kernis 4enies that the subject of a walkout was brought up at this meeting. He testified he called Vizzi into his office, told Vizzi he wanted to would reinstate him. Then, DeCaprio mentioned Vizzi's name and repeated the following statement three times: "If I were Julius [Vizzi] I'd watch out for myself." Milse accepted the offer of reinstatement and returned to work January 22, 1977." B. Ultimate Findings and Discussion 1. Vizzi's and Milse's discharge Vizzi and Milse were terminated January 2, 1977, by Restaurant Manager DeCaprio, who told them they were temporarily laid off due to a lack of business. Respondent, however, promptly hired new employees to replace them and admitted at the hearing that Vizzi and Milse were not temporarily laid off for economic reasons, but had been permanently discharged because Vizzi was observed stealing. Respondent presented three witnesses - the restaurant's manager, DeCaprio, Respondent's president, Rifkin, and its vice president, Kernis - who gave evidence in support of this defense. Their testimony follows: Kernis testified that Respondent's profit-and-loss state- ment for October 1976 indicated food costs had increased and the November statement, received December 15, 1976, indicated an additional 3-percent increase. Kernis conclud- ed the increase was caused by employees' stealing. After satisfying himself that the receiving clerk was not the thief, Kernis testified that commencing on or about December 21, 1976, he kept a close watch in the kitchen to determine whether kitchen employees or waiters were stealing. Between the time he began this surveillance and the end of the month, the only person he observed stealing was Vizzi, whom he observed stealing twice during the last week in December 1976.12 This, Kernis testified, was the reason for Vizzi's discharge. More specifically, he testified that he was standing with Rifkin in the restaurant's kitchen, 10 feet away from the pantry counter where waiters place and pick up customers' orders for appetizers and observed Vizzi take two or three appetizers from the pantry man without giving him a food ticket. Kernis further testified he observed the same occurrence 2 days later. The restaurant's policy, known to all personnel, is that absent a food ticket waiters are forbidden to take and the pantry man is forbidden to give appetizers to the waiters. A check of Vizzi's customers' billings, Kernis testified, failed to indicate that the appetizers taken by Vizzi, without a food ticket, were charged to any of his customers. Without confronting Vizzi about the thefts, Kernis consulted with Rifkin and they discuss Vizi's grievances and that the only matters discussed were Vizzi's wage complaint and the medical insurance. Vizzi impressed me as the more credible witness, thus I have credited his version, which is set forth in the text. i0 Milse had complained about the payment of "$4 to the door" and the payment for unsigned charges at the meeting of December 18. " DeCapno denies stating to Milse, "If I were Julius I'd watch out for myself." He testified that he simply told Milse that in the 3 weeks since Milse's layoff nothing had changed in the restaurant and that things were basically the same and further testified Milse indicated he wanted to return to work and asked DeCaprio about Vizzi's status. DeCaprio told him Vizzi was not coming back. Milse impressed me as the more credible witness, thus, I have credited his version, which has been set forth in the text. 12 Kernis was unable to specify on which days of the week the alleged thefts were observed. 1174 DOVE RESTAURANT, INC. decided to discharge him for stealing and decided to discharge Milse because he was a friend of Vizzi's, hence, there was an assumption he was also stealing. Kernis testified he told DeCaprio that Vizzi was being discharged for stealing but not to tell Vizzi this, rather to simply indicate to Vizzi he was laid off for economic reasons. The reason he instructed DeCaprio to lie to Vizzi, Kernis testified, was "there was a lot of money involved, and I felt that 2 appetizers were not going to satisfy the situation, I was hoping to find out how I was really losing this vast majority of money. I wanted to find out if it was just this department, or throughout the entire cooking line .... " Also, Kernis testified that the reason he did not speak to the pantry man, let alone discipline him, for giving Vizzi appetizers without a food ticket in violation of company policy was "I was hoping there might be a lot more people involved, if I did I felt maybe I'd never get to the bottom of this situation." 13 Ri/kin testified he was present with Kernis on the first occasion when Vizzi was seen taking two appetizers without a ticket, that this took place late in December 1976 and that Kernis and Rifkin were standing about 7 feet from where Vizzi was taking the appetizers and were looking in his direction. Rifkin, when asked what instruction was given to Manager DeCaprio about the discharges of Vizzi and Milse, testified "I wanted the reason given that it was an economic situation. I wanted, under no circumstances, any information given out concerning theft until I had an opportunity to break this ring up, which I was convinced there was." Rifkin testified Milse was discharged because Respondent thought "he would be involved too on account of his friendship with Vizzi." DeCaprio testified that Kernis told him Vizzi was observed taking appetizers that were not charged out, but that DeCaprio was to tell Vizzi he was being laid off for economic reasons. The foregoing is the extent of the evidence presented by Respondent that at the time of their discharges Respondent thought Vizzi and Milse were stealing and discharged them for this reason. I reject this evidence for these reasons. First, and most important, in testifying about the matters involving the alleged stealing and, in particular, about Vizzi's involvement, neither Kernis nor Rifkin nor DeCa- prio impressed me as honest witnesses. I received the impression, while observing them testify, they were not being truthful. Vizzi, who specifically denied having engaged in the misconduct attributed to him, impressed me as a sincere witness making a conscientious effort to testify accurately and honestly. In assessing Vizzi's credibility, I have carefully considered Respondent's contention that Vizzi lied in connection with his income tax returns. Respondent adduced evidence that during his 9 months of employment Vizzie for one particular 9-day pay period declared $235 in tips, whereas Respondent's attorney on cross-examination suggested to Vizzi that Respondent's records for that 9-day period showed that Vizzi received 13 Kernis testified he could not remember the name of the pantry man involved. I also note that even after Respondent. at the end of January 1977. supposedly did "get to the bottom of this situation" and discovered the identity of the employees responsible for stealing, it did not discipline the pantry man, despite the fact that without the cooperation of the pantry man, it was not possible for Vizzi to remove appetizers from the kitchen without a food ticket. $440.50 in tips, just from customers who paid their bills using credit cards. Respondent did not establish this was a fact. It did not produce these records or otherwise give the General Counsel an opportunity to examine such records. In any case, assuming arguendo, Respondent established Vizzi during his 9 months of employment understated his income for one 9-day period for the purpose of reducing his income taxes, while I do not condone this misconduct, I would still be constrained, based upon my observation of Vizzi while on the witness stand, to conclude that he was an honest witness making a sincere effort to tell the truth. I recognize that my conclusion that Respondent's witnesses have manufactured a story out of whole cloth is a harsh judgment and that no fact finder is an infallible observer when it comes to assessing the credibility of witnesses. There are, however, additional reasons, besides the unimpressive demeanor of Respondent's witnesses and Vizzi's impressive demeanor, for viewing Respondent's defense with incredulity. The circumstances tend to support Vizzi's denial. It is highly unlikely that Vizzi would steal from his employer in full view of owners Rifkin and Kernis who, when he supposedly committed his first observed theft, were allegedly looking directly at him from a distance of only 7 feet. Nor for that matter does it seem possible that the pantry man, who also must have been aware of the owner's immediate presence, would have allowed Vizzi to take the food without a food ticket. And, in connection with the role played by the pantry man, as noted supra, Respondent never disciplined or questioned him, even though a reasonable person would have assumed that the pantry man was a party to Vizzi's thefts, for, absent the cooperation of the pantry man, it was not possible for Vizzi, without a food ticket, to have removed appetizers from the kitchen. In addition, Respondent's defense smacks of an afterthought inasmuch as DeCaprio did not tell the Board during its investigation of Vizzi's unfair labor practice charge that Vizzi was discharged for stealing. On January 17, 1977, Respondent received a copy of the unfair labor practice charge filed in this case charging it with violating the Act by terminating Vizzi. The Board agent assigned to investigate the charge questioned DeCaprio about Vizzi's termination. Admittedly, DeCa- prio did not mention Vizzi's alleged stealing, rather he told the Board's agent Vizzi had been terminated because of a lack of work. When asked why he failed to tell the Board agent about Vizzi's stealing, DeCaprio was unable to offer an explanation, testifying "I don't know . . . I just didn't mention it to [the Board agent]." I find it difficult to believe that, if DeCaprio, as Respondent's witnesses claim, had been told that the real reason for Vizzi's discharge was for stealing, he would not have told this to an agency of the Federal government which was investigating a charge alleging that Respondent had violated the law by terminat- ing Vizzi.14 Rather, the inference is that the defense of stealing was an afterthought concocted by Respondent when it became apparent that the reason given to Vizzi and 14 There is no evidence DeCaprio was instructed not to tell the Board agent that Vizzi was discharged for stealing rather than temporarily laid off for a lack of work. In fact, as descnbed supra, DeCaprio was not able to explain why he lied to the Board agent. 1175 DECISIONS OF NATIONAL LABOR RELATIONS BOARD Milse for their terminations would not withstand the scrutiny of close examination inasmuch as Respondent had hired three new waiters on the day of their terminations. A further indication that the defense of stealing is an afterthought having no basis in reality is Respondent's treatment of Milse, who admittedly did not steal anything. He was discharged because, as Kernis and Rifkin testified, he was a friend of Vizzi's and Respondent tarred him with guilt by association. This is a bizarre reason for discharging an employee and it does not ring true. Moreover, Respondent's subsequent treatment of Milse indicates that stealing had absolutely nothing to do with the decision to discharge him. As described supra, on January 18, 1977, as the result of a conversation which Milse initiated, he was reinstated by DeCaprio. He was offered his job back, however, upon the condition that he no longer publicly voiced his grievances and agreed to follow Respondent's policy which required the waiters to pay the hostess $4 daily and to pay unsigned credit charges, policies which Milse had grieved about on December 18 at the waiters' meeting with management. Clearly any reservations Re- spondent had about Milse as an employee had nothing to do with a suspicion he was stealing, rather his reinstate- ment interview indicates a concern about his conduct of complaining about conditions of employment. Based on the foregoing, I find Vizzi did not engage in the misconduct of stealing attributed to him by Respondent's owners, Kernis and Rifkin. I also find that Respondent did not believe Vizzi had engaged in such misconduct nor did it believe that Milse was engaged in similar misconduct, rather the misconduct of stealing was attributed to Vizzi and Milse only when it became obvious that the initial reason advanced for their terminations was so palpably false that it would not withstand scrutiny. The question remains as to what was Respondent's real reason for discharging Vizzi and Milse. Where an employer, as is the case here, gives a false reason to employees for their terminations and thereafter, in an effort to justify the terminations, concocts yet another false reason, there is a basis for an inference that there was an unlawful motive for the discharges which the employer desired to conceal, at least where the surrounding circum- stances tend to reinforce that inference. Shattuck Denn Mining Corporation (Iron King Branch) v. N. L R.B., 362 F.2d 466, 470 (C.A. 9, 1966). The surrounding circum- stances in the present case provide substantial support for the inference that Vizzi and Milse were discharged for engaging in protected concerted activities. On December 18, 1976, as described in detail supra, Vizzi and Milse, in concert with other employees, at manage- ment's request, voiced their complaints to management about conditions of employment. The grievances expressed by the employees were of common concern to all employees. The grievances were not resolved to the i5 There is no direct evidence that DeCapno knew the employees were meetingat Vizzi's residence. It is a fair inference, however, that he knew this to be the case. Thus, DeCapno knew that the waiters had scheduled a gnevance meeting away from the restaurant and expressed a desire to at least three waiters - Cosper, Milse and Calhoun - to personally attend the meeting. '6 It is a fair inference that DeCapno also told Kernis that Milse was the waiter who gave him this information and told him that Milse also indicated he. Milse, was among those contemplating walking out. employees' satisfaction, so Vizzi and Milse and several other employees met at Vizzi's residence to discuss the grievances further and to devise a program to remedy them.' 5 Also, Milse informed DeCaprio that the waiters were not satisfied with management's response to their complaints and were meeting after work to discuss them and also told DeCaprio that, on account of the unresolved complaints, several waiters, including himself, were consid- ering staging a walkout. DeCaprio threatened Milse, and any other waiter who walked out, with economic reprisals and indicated he was opposed to the waiters holding a grievance meeting outside of DeCaprio's presence. Milse rejected DeCaprio's request that he be allowed to attend the waiters' grievance meeting. DeCaprio informed owner Kernis that some of the waiters might stage a walkout over their grievances 16 and on December 31, 1976, Kernis summoned Vizzi to his office and questioned him about whether the waiters intended to stage a walkout. Vizzi denied knowledge of this but told Kernis the waiters were still concerned about their rate of pay and that he, Vizzi, would like to see Respondent pay them a minimum hourly wage. This was Vizzi's and Milse's last day of employment. They were discharged January 2, 1977. Thereafter, DeCa- prio on January 18, 1977, when he agreed to reinstate Milse, told him he could return to work "on my terms" which DeCaprio defined as Milse's promise not to speak out in public about his grievances and to forget about his grievances concerning the Company's practices of waiters paying for unsigned charges and paying $4 daily to the hostess. In sum, the record establishes that Vizzi and Milse, in concert with other waiters, complained to Respondent about terms and conditions of employment which were of interest to all of the waiters, and that Respondent had knowledge that waiters, including Vizzi and Milse, were dissatisfied about the way management had handled their grievances and also knew that the waiters had held a further meeting at Vizzi's residence to discuss their grievances. The record also establishes that Respondent believed that Milse and Vizzi, with several other waiters, were contemplating staging a walkout from work because of their grievances and, as shown by DeCaprio's reaction, Respondent was strongly opposed to such a walkout.' 7 Milse and Vizzi were abruptly discharged shortly after Vizzi's interrogation by Kernis about whether the waiters intended to stage a walkout. Milse's reinstatement was in effect conditioned upon his refraining from speaking up about his grievances in public, in concert with his fellow waiters, and upon his refraining from continuing to press grievances which he had previously voiced. All of these circumstances, viewed in the context of the false reason given Vizzi and Milse for their discharges and the additional false reason thereafter concocted at the hearing in this matter to justify the discharges, establish that 17 Respondent's knowledge that the waiters met at Vizi's residence to discuss their grievances, Kernis' interrogation of Vizzi about the possibility of a walkout, and the fact that Respondent states it believed Vizzi and Milse were fnends who acted together establish that Respondent thought Vizzi was one of the waiters mentioned by Milse who were contemplating a walkout in connection with their grievances. 1176 DOVE RESTAURANT, INC. Respondent discharged Vizzi and Milse because they had acted together, and in concert with other employees, to present their grievances to Respondent about their terms and conditions of employment,' s and because Respondent thought that Milse and Vizzi together, and in concert with other waiters, intended to stage a walkout in support of their grievances.' 9 This conduct is protected by Section 7 of the Act. Accordingly, by discharging Vizzi and Milse, Respondent violated Section 8(aX I) of the Act. 20 2. The other alleged unfair labor practices (a) DeCaprio, the restaurant manager, as described in detail supra, remarked to waiter Maglione, "so, you're going to have a meeting." The complaint alleges that this conduct constitutes an unlawful impression that employ- ees' protected concerted activity was being kept under surveillance. I disagree. The remark, expressed during DeCaprio's conversation with waiters Milse and Calhoun, was a casual one which was made only after Milse had told DeCaprio that the waiters were holding a meeting to discuss their grievances. It appears to have been nothing but a spontaneous truthful reporting of information. Moreover, as the meeting appears to have been a matter of common knowledge throughout the restaurant, it cannot be said that the remark was reasonably calculated to lead Maglione to conclude that the employees' protected concerted activities had been placed under surveillance. For these reasons I shall recommend that this part of the complaint be dismissed. (b) There is insufficient evidence to support the allega- tion that DeCaprio interrogated employees concerning a protected concerted meeting, hence, I shall recommend the dismissal of this portion of the complaint. (c) The complaint alleges DeCaprio threatened employ- ees "he would see that none of them got other jobs elsewhere" if they engaged in protected concerted activity. In connection with this allegation the record establishes, as described in detail, supra, that DeCaprio warned waiters Milse and Calhoun that if the waiters staged a walkout from work over their unresolved grievances, he would see to it that no other employer hired any of the waiters who participated in such a walkout. I find that this threat tended to restrain or coerce employees Milse and Calhoun in the exercise of their right to strike over work-related grievances as guaranteed by Section 7 of the Act, hence, Respondent violated Section 8(a)( ) of the Act. is Respondent, pointing to Vizzi's statement to Kemrnis on December 31 that he could speak only for himself as he did not represent the other waiters, argues Vizzi was not engaged in concerted activity. I disagree. As described in detail supra, the record at the bare minimum establishes Vizzi and Milse acted together to correct conditions of employment which were of concern to themselves as well as to other waiters and that Respondent thought the two of them were acting together to remedy their gnevances. In addition, the record reveals that other waiters, in concert with Vizzi and Milse, expressed complaints to management and attempted to devise a program to remedy their complaints and that management thought that several of the waiters, Milse and Vizzi included, intended to stage a walkout from work over their grievances Under these circumstances, the employees' failure to designate either Vlzzi or Milse or any other person to speak on their behalf does not make the activity of Vizzi and Milse unprotected. Hugh H. Wilson Corporation, 171 NLRB 1040, 1046 (1968), enfd. 414 F.2d 1345 (C.A. 3, 1969); Carbet Corporarion, 191 NLRB 892 (1971). g1 Respondent contends that the walkout was unprotected activity because it was planned "to coincide with one of the restaurant's busiest and (d) The complaint alleges that Kernis, Respondent's vice president and part owner, "interrogated an employee as to the employee's protected concerted activities." In support of this allegation the record establishes, as described in detail, supra, that on December 31, 1976, Kernis sum- moned waiter Vizzi into his office and asked whether Vizzi, with other waiters, intended to go out on strike. In situations of this sort the Board measures the disputed conduct against the following legal principles (Mosher Steel Company, 220 NLRB 336 (1975)): . . . [Questions about employee strike intentions are not per se unlawful but must be judged in light of all the relevant circumstances. Thus, where the record shows that at the time the questions were asked the Employer had a reasonable basis to fear an imminent strike and merely sought to ascertain the chances for keeping his business open, such inquiries are lawful.... On the other hand, an employer cannot rely on unsubstantiat- ed rumor or mere speculation as a justification for questioning employees concerning their intentions in the event a strike is called. In the instant case the evidence does not establish that at the time of the interrogation Respondent had a reasonable basis to fear an imminent strike, nor is there evidence that by questioning Vizzi, Respondent merely sought to ascertain the chances for keeping its business open. On the other hand, the interrogation took place in the context of Respondent's unfair labor practices. Immediately after Vizzi's interrogation he was unlawfully discharged because Respondent thought that he intended to leave work with other waiters and strike over the waiters' work-related grievances and Manager DeCaprio had previously violated the Act by threatening waiters Milse and Calhoun with economic reprisals if they, and other waiters, engaged in a strike against Respondent over their work-related griev- ances. In view of these circumstances, I find that by interrogating Vizzi about his and other employees' strike intentions Respondent violated Section 8(aX)(I) of the Act. (e) The complaint alleges and the record establishes, as set out in detail, supra, that DeCaprio during his reinstate- ment interview with Milse mentioned Vizzi's name and told Milse "If I was [Vizzi] I'd watch out for myself." I have considered this statement, in the context in which it was uttered, and conclude it is too ambiguous to have led Milse to believe Vizzi was not being reinstated or had been most prestigious evenings of the year. New Year's Eve." I disagree. for. without deciding whether such a strike would have been unprotected, there is no evidence the waiters planned to strike on New Year's Eve. Quite the contrary, Vizzi on December 31. when questioned about the matter, told Kernis that the waiters did not intend to walk out and in fact no walkout ever occurred. 20 Respondent argues "it should also be remembered that other waiters took the opportunity to speak out at meetings," but only Vizzi and Milse were terminated. However, the record establishes that Respondent thought Vizz and Milse intended to participate in a walkout with other waiters over their grievances. There is no evidence that Respondent knew the identity of the other participants in the walkout. In any event, the fact that an employer does not discharge all known employees who engage in protected concerted activity is no defense because the discharge of less than all may well have an in terrorem effect on others and "the Board need not wait until a party commits a gross violation before it may find any violation at all." The Rust Engineering Company et al. v. N.LR.B., 445 F.2d 172, 174 (C.A. 6, 1971); Nachman Corporation v. N. LR B., 337 F.2d 421,424 (C.A. 7. 1964). 1177 DECISIONS OF NATIONAL LABOR RELATIONS BOARD discharged because of Vizzi's protected concerted activities or that the statement otherwise constituted a threat reasonably intended to restrain or coerce Milse in the exercise of his Section 7 rights. Accordingly, I shall recommend the dismissal of this allegation of the com- plaint. (f) The complaint alleges that DeCaprio told an employ- ee that if the employee had problems to see DeCaprio personally and not to bring them up at meetings. In support of this allegation the record, as described in detail, supra, establishes that when DeCaprio agreed to reinstate Milse, he conditioned the reinstatement on "terms" which DeCaprio defined as Milse's agreement not to speak out in public about his grievances and to forget about his grievances concerning the Company's practices of requir- ing waiters to pay for unsigned charges and requiring that they pay $4 daily to the hostess. In other words, DeCaprio conditioned Milse's reinstatement upon his agreement to stop engaging in protected concerted activities. By engag- ing in this conduct Respondent violated Section 8(a)(1) of the Act. Upon the basis of the foregoing findings of fact and the entire record, I make the following: CONCLUSIONS OF LAW 1. Coopco, Incorporated, d/b/a Dove Restaurant, Inc., the Respondent, is an employer engaged in commerce within the meaning of Section 2(6) and (7) of the Act. 2. By discharging Julius Vizzi and Timothy Milse because they engaged in protected concerted activities, Respondent has engaged in unfair labor practices within the meaning of Section 8(a)(1) of the Act. 3. By threatening employees if they engaged in protect- ed concerted activities that Respondent would cause other employers not to employ them, Respondent has engaged in unfair labor practices within the meaning of Section 8(a)( I) of the Act. 4. By interrogating an employee about his and other employees' intentions to engage in protected concerted activities, Respondent has engaged in unfair labor prac- tices within the meaning of Section 8(a)( ) of the Act. 5. By conditioning an employee's employment upon the employee's promise not to engage in protected concerted activities, Respondent has engaged in unfair labor practices within the meaning of Section 8(a)( ) of the Act. 6. The aforesaid unfair labor practices affect commerce within the meaning of Section 2(6) and (7) of the Act. 7. Respondent has not otherwise violated the Act. THE REMEDY Having found that Respondent has engaged in unfair labor practices violative of Section 8(a)(1) of the Act, I shall recommend that it cease and desist therefrom and 21 Respondent also adduced evidence from Michael Bloom that in September 1976, while working as Vizzi's busboy, Vizzi instructed him to go into the kitchen to get two appetizer orders, that Vizzi did not give him a food ticket for the appetizers, and that Bloom got the appetizers from the pantry man without a ticket. Bloom further testified that shortly thereafter the assistant manager of the restaurant, Filliette, asked whether Vizzi had take certain affirmative action in order to effectuate the policies of the Act. Having found that Respondent unlawfully discharged employee Julius Vizzi, I shall recommend that Respondent offer him immediate and full reinstatement to his former job, or, if that job no longer exists, to a substantially equivalent position, without prejudice to his seniority and other rights and privileges and make him whole for any loss of earnings he may have suffered by reason of such discharge, by payment of a sum of money equal to that which he normally would have earned working for Respondent from the date of his discharge to the date of said offer of reinstatement, less his net earnings during such period, with backpay computed on a quarterly basis in the manner established by the Board in F. W. Woolworth Company, 90 NLRB 289 (1950), and with interest thereon as prescribed by the Board in Isis Plumbing & Heating Co., 136 NLRB 716 (1962). Having found that Respondent unlawfully discharged employee Timothy Milse, I shall recommend that Respon- dent make him whole for any loss of earnings he may have suffered by reason of such discharge, by payment of a sum of money equal to that which he normally would have earned working for Respondent from the date of his discharge to January 22, 1977, the date he was reinstated to his former position, less his net earnings during such period, with backpay computed in the manner established by the Board in F. W. Woolworth Company, supra, and with interest thereon as prescribed by the Board in Isis Plumbing & Heating Co., supra. As the unfair labor practices committed were of a character which go to the very heart of the Act, I shall recommend an order requiring Respondent to cease and desist therefrom and to cease and desist from infringing in any other manner upon the rights of employees guaranteed by Section 7 of the Act. In recommending the above remedy I have considered, but rejected, Respondent's contentions that even if Vizzi's discharge were unlawful, "because of his documented involvement in a major theft ring he is not entitled to reinstatement or backpay" or, at the very least, reinstate- ment should be denied and backpay awarded only until January 28, 1977, when Vizzi would have been discharged for stealing. Regarding the contention that notwithstanding the unlawful discharge the usual remedy of reinstatement and backpay is inappropriate because Vizzi was involved in a "major theft ring," the only evidence supporting such a conclusion is the testimony of Rifkin and Kernis, supra, that in late December 1976 they observed Vizzi stealing appetizers on two occasions and their further testimony, infra, that on January 28, 1977, another waiter, McCoy, confessed that he, McCoy, had been stealing from Respondent and indicated Vizzi was also involved.21 The testimony given by Rifkin and Kernis that Vizzi stole appetizers twice in late December 1976, as found supra, was given Bloom a ticket to turn in for the appetizers and Bloom answered in the negative, whereupon Filliette walked toward the pantry where he was overheard by Bloom talking about appetizers with Manager DeCaprio. Assuming arguendo Bloom was testifying truthfully, about which I have serious doubts as he did not impress me as a trustworthy witness, it does not establish any misconduct on Vizzi's part. Neither DeCaprio nor Filliette 1178 DOVE RESTAURANT, INC. a fabrication. Likewise, as found infra, their testimony that waiter McCoy told them that Vizzi was a thief was also a fabrication. Vizzi, who impressed me as an honest witness, denied the specific thefts attributed to him and generally denied ever stealing from the restaurant. Based on the foregoing, I find the record does not establish that Vizzi was involved in a "theft ring" or otherwise was stealing from Respondent during his employment. The evidence relevant to Respondent's further conten- tion that the usual remedy of backpay and reinstatement would not be appropriate because Vizzi would have been legitimately discharged January 28, 1977, for stealing, can be briefly stated. On or about December 15, 1976, based upon figures contained in its profit and loss statements Respondent concluded the restaurant's employees were stealing and, as of that date, Respondent commenced an investigation which led to its discovery late in December 1976 that Vizzi, as described supra, was involved in the stealing. Thereafter, during the latter part of January 1977, waiter Bloom and expediter "Francis" revealed to Restaurant Manager DeCaprio how the employees were stealing and indicated to DeCaprio that waiters McCoy and Cordova were responsible for the thefts. DeCaprio communicated this information to Respondent's owners, Rifkin and Kernis, who, on January 28, 1977, summoned McCoy to the restaurant's office and, as Kernis testified, questioned him in the presence of two other witnesses. McCoy immediately confessed to having stolen over $500 from Respondent, explained how this was accomplished by him and, when asked why he did it, stated that Vizzi had suggested to him that they steal from the restaurant because Respondent had refused to pay them more money.2 2 In response to Rifkin's inquiry about whether any of the other employees were currently stealing, McCoy stated that waiters Cordo- va and Duquette had been doing some minor stealing. 23 McCoy was discharged immediately. Cordova never came to work after McCoy implicated him, and Duquette was discharged the next day when, upon being questioned by Rifkin, he refused to deny that he had been stealing. 24 All of the aforesaid evidence, pertinent to Respondent's argument that Vizzi would have eventually been dis- charged for stealing, is based upon the testimony of Rifkin and Kernis. Not one iota of corroborative evidence was presented. 25 This is an especially significant omission were called by Respondent to testify about this alleged incident and neither one ever spoke to Vizzi about the matter. Also it is admitted that. other than the two alleged acts of stealing which occurred in late December 1976 and the alleged confession by McCoy. infra. Respondent did not receive any information, as Rifkin testified. that Vizzi "had ever done anything else that was wrong." These circumstances, coupled with the fact that the pantry man allowed Bloom to walk off with two appetizer orders without a food ticket, a flagrant violation of company policy by both Bloom and the pantry man. strongly suggests that Bloom manufactured this story or that Vizzi had previously given the pantry man a ticket for the appetizers. 22 Vizzi credibly denied ever making such a statement to McCoy. 23 Rifkin's and Kernis' testimony about the McCoy conversation is inconsistent in certain significant respects. On direct and cross-examination Rifkin initially testified that McCoy mentioned Vizzi's name in the context. described above, of explaining why McCoy had stolen from the restaurant. Rifkin did not testify that Mccoy said Vizzi was actually involved in the stealing. Later during cross-examination, however. Rifkin testified that McCoy also said "Vizzi was ripping us off." On the other hand. Kernis. consistent with Rifkin's initial testimony. specifically testified that the sole mention of Vizzi's name by McCoy was when McCoy. as described above, stated that Vizmi had suggested they steal from the restaurant. because, as found supra, Rifkin and Kernis in order to justify Vizzi's January 2, 1977, discharge falsely testified he was a thief. Now, based solely on their self-serving testimony, I am asked to conclude that Respondent on January 28, 1977, was told by McCoy that Vizzi had indicated an intention to steal from Respondent and that based upon this Respondent would have discharged Vizzi. I reject this contention for the reason that I do not believe the testimony of Rifkin and Kernis. Rifkin's and Kernis' testimony concerning McCoy's implication of Vizzi, as well as their testimony about the pertinent events leading up to McCoy's confession, is without corroboration. In my opinion corroboration is essential in a situation such as this where the sole witnesses - Rifkin and Kernis - relied upon by Respondent to support its contention had previously falsely testified that Vizzi was discharged because he was a thief and who, when testifying about their conversation with McCoy, impressed me as more intent in giving evidence to support Respondent's case than in the truth. It is for these reasons that I reject Respondent's contention that on January 28, 1977, it discovered Vizzi was involved in stealing from the restaurant.26 Based on the foregoing, I reject Respondent's contention that the normal remedy of reinstatement and backpay is not warranted in Vizzi's case. Upon the foregoing findings of fact, conclusions of law, and the entire record, and pursuant to Section 10(c) of the Act, I hereby issue the following recommended: ORDER 27 The Respondent, Coopco, Incorporated, d/b/a Dove Restaurant, Inc., Aurora, Colorado, its officers, agents, successors, and assigns, shall: I. Cease and desist from: (a) Discouraging protected concerted activities of its employees by discharging or in any other manner discrimi- nating against them in regard to hire and tenure of employment or any condition of employment. (b) Threatening employees with reprisals to discourage them from engaging in protected concerted activities. (c) Interrogating employees about their intentions to engage in protected concerted activities. (d) Conditioning employees' employment upon their promise not to engage in protected concerted activities. 24 McCoy and Cordova worked at the Dove Restaurant. Duquette was employed at another restaurant operated by Respondent but previously. until September 1976, had worked at the Dove. 25 The pertinent profit-and-loss statements were not produced nor did either Bloom or "Francis" or DeCapno or the two unidentified persons who, with Rifkin and Kernis, witnessed McCoy's confession. corroborate Rifkin's and Kernis' testimony. 26 In view of the conclusion that Vizz never stole from the restaurant and the further conclusion that McCoy did not indicate to Respondent that Vizzi was a thief, I have not decided whether, assuming McCoy did so indicate, this would be sufficient in the circumstances of this case to establish that Vizzi would have been discharged on January 28. 1977. for nondiscnminatory reasons. 27 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 he deemed waived for all purposes. 1179 DECISIONS OF NATIONAL LABOR RELATIONS BOARD (e) In any other manner interfering with, restraining, or coercing its employees in the exercise of their rights under Section 7 of the Act. 2. Take the following affirmative action which is necessary to effectuate the policies of the Act: (a) Make Julius Vizzi and Timothy Milse whole for any loss of earnings suffered by reason of their discharges, in the manner set forth in the section herein entitled "The Remedy." (b) Offer Julius Vizzi immediate and full reinstatement to his former position, or, if this position no longer exists, to a substantially equivalent one, without prejudice to his seniority or other rights and privileges. (c) Preserve and, upon request, make available to the Board or its agents, for examination and copying, all payroll records, social security payment records, timecards, personnel records and reports, and all other records necessary to analyze the amount of backpay due and the right of reinstatement under the terms of this Order. 2R In the event that the Board's Order is enforced by a Judgment of a United States Court o' Appeals. the words in the notice reading "Posted by Order of the National l.abor Relations Board" shall read "Posted Pursuant (d) Post at its place of business in Aurora, Colorado, copies of the attached notice marked "Appendix." 28 Copies of said notice, on forms provided by the Regional Director for Region 27, after being duly signed by Respondent's representative, shall be posted by Respon- dent immediately upon receipt thereof and be maintained by it for 60 consecutive days thereafter, in conspicuous places, including all places where notices to employees are customarily posted. Reasonable steps shall be taken by Respondent to insure that said notices are not altered, defaced, or covered by any other material. (e) Notify the Regional Director for Region 27, in writing, within 20 days from the date of this Order, what steps have been taken to comply herewith. IT IS FURTHER ORDERED that the complaint be dismissed insofar as it alleges violations of the Act not specifically found. to a Judgment of the United States Court of Appeals Enforcing an Order of the National Labor Relations Board." 1180 Copy with citationCopy as parenthetical citation