Filtron Co., Inc.Download PDFNational Labor Relations Board - Board DecisionsDec 29, 1961134 N.L.R.B. 1691 (N.L.R.B. 1961) Copy Citation FILTRON COMPANY, INC. 1691 a natural and probable consequence of the picketing . Nothing said by the pickets, union agents, or by the signs and handbills , either before or after the election, urged Employer's employees to join Retail Clerks.14 Neither the employees ' nor Employ- er's rights were interfered with. Retail Clerks never claimed to represent Employer's employees . It never demanded recognition as collective ^bargaining representative. It did not claim that any of Employer 's employees were members of Retail Clerks. In the circumstances of this case , it cannot be inferred or presumed , juridically, that Retail Clerks continued picketing after the election with "an object" of "forcing or requiring" the employees of Employer "to accept or select" Retail Clerks "as their collective bargaining representative ." The direct evidence adduced by Retail Clerks as to the sole "object" of the picketing cannot be discredited in the absence of con- vincing evidence to the contrary. Therefore, I find that General Counsel failed to prove the alleged unlawful conduct by a preponderance of the testimony.15 CONCLUSIONS OF LAW 1. Employer is an employer within the meaning of Section 2(2) of the Act; and, is engaged in commerce within the meaning of Section 2 ( 6) and (7) of the Act. 2. Meat Cutters and Retail Clerks are labor organizations within the meaning of Section 2(5) of the Act. 3. Retail Clerks have not picketed in violation of Section 8(b) (7) (B) of the Act as alleged in the complaint. [Recommendations omitted from publication.] 14 Oliver testified that she was asked to "resign" [ sic] She however admitted she was a member of Retail Clerks whose request for withdrawal from that organization had been denied 15 This legal conclusion notwithstanding that it is difficult to conceive that Retail Clerks were motivated by a purely altruistic objective But, predilection and speculation have no evidentiary value From another viewpoint it is difficult to visualize reason for continuing picketing in the face of protections afforded a certified collective -bargaining agent by the Act, the Board's Rules and Regulations, and case law (especially the contract-bar rule). Any possibility that Retail Clerks can legally become bargaining agent in the near future appears remote Filtron Company, Inc. and International Union of Electrical, Radio and Machine Workers of America , AFL-CIO and Filter Workers Group , Party to the Contract Filter Workers Group and International Union of Electrical, Radio and Machine Workers of America, AFL -CIO and Filtron Company, Inc., Party to the Contract . Cases Nos. 2-CA-7792 and 2-CB-3118. December 29, 1961 DECISION AND ORDER On September 5, 1961, Trial Examiner Fannie M. Boyls issued her Intermediate Report in the above -entitled proceeding , finding that the Respondents had engaged in and were engaging in certain unfair labor practices and recommending that they cease and desist therefrom and take certain affirmative action , as set forth in the Intermediate Report attached hereto . Thereafter, both the Respondent Employer and the General Counsel filed exceptions to the Intermediate Report and supporting briefs. Exceptions were also filed by the Charging Party. No exceptions were filed by the Respondent Union. 134 NLRB No. 158. 1692 DECISIONS OF NATIONAL LABOR RELATIONS BOARD Pursuant to the provisions of Section 3 (b) of the Act, the Board has delegated its powers in connection with this case to a three- member panel [Members Rodgers , Fanning, and Brown]. The Board has reviewed the rulings of the Trial Examiner made at the hearing and finds no prejudicial error was committed. The rul- ings are hereby affirmed. The Board has considered the Intermediate Report, the exceptions and the briefs, and the entire record in the case, and hereby adopts the findings, conclusions, and recommenda- tions 1 of the Trial Examiner except as modified herein. 1. The General Counsel excepts, inter alia, to the Trial Examiner's failure to find specifically that article III, section D, of the contract between the Respondents is unlawful. We find merit in this excep- tion. Article III, section D, provides in part that : ... management will review new employees before they become Union members (60 days) and if management has promised an increase when hired, management will carry out such promise the same week the first month's dues are taken out of the em- ployees' pay. Not later than 50 days after employment, the Union will notify the Personnel Department in writing whether or not a new em- ployee is acceptable. We agree with the General Counsel that this provision in the contract is unlawful in that it permits the Respondent Union to reject any person as a permanent employee and links any promised wage in- creases with the deduction of dues to the Respondent Union. Accord- ingly, we find that by entering into and maintaining this provision in the contract, the Respondent Employer and the Respondent Union violated Section 8(a) (1), (2), and (3) and Section 8(b) (1) (A) and (2) of the Act respectively. 2. The General Counsel also excepts to the Trial Examiner's find- ing that article XVII, section A, of the Respondents' contract is not unlawful. This provision in the contract reads : The first sixty (60) days of employment shall be a trial or pro- bationary period during which new employees may be discharged without recourse by the Employer or the Union. In finding no violation here, the Trial Examiner relied on a statement of counsel for the Respondent Union made during his closing argument that this provision as worded was the result of an error in draftsman- I Absent exceptions , we adopt pro forma the Trial Examiner's finding that the following provisions in the Respondents' contract are unlawful : article II ; article III, section C, subsection 1 ; article XIII, sections A and B ; and article XVII , section B. Also in the absence of exceptions, we adopt pro forma the Trial Examiner 's findings : ( 1) that the Respondents by their practice of furnishing new employees at time of hire with application- checkoff cards violated the Act; and ( 2) that the Respondents did not enforce the unlawful provisions in their contract. FILTRON COMPANY, INC. 1693 ship. The Trial Examiner held on this basis that the word "to" had been inadvertently omitted; and that the provision should be read to state that after the first 60 days of employment "employees may be discharged without recourse by the Employer or to the Union." As the General Counsel contends, no evidence was introduced at the hear- ing upon which the Trial Examiner's finding could be based? We therefore find, in agreement with the General Counsel, that the clause must be read to state precisely what the language says. So read, the clause gives the Respondent Union a right to discharge probationary employees-a right not accorded unions by the Act. Accordingly, we find that by entering into and maintaining this provision in the con- tract, the Respondent Employer and Respondent Union violated Sec- tion 8(a) (1), (2), and (3) and Section 8(b) (1) (A) and (2) of the Act, respectively. 3. The Trial Examiner found, and we agree, that the Respondent Company by coercively interrogating employees in regard to their union activities, and by warning and informing employees that it knew of their activities in behalf of the Union seeking to organize its plant, engaged in unfair labor practices within the meaning of Sec- tion 8 (a) (1) of the Act. We, also find, as the General Counsel con- tends, that this conduct constituted unlawful assistance to the Re- spondent Union, and was therefore violative of Section 8(a) (2) of the Act. The record discloses that these acts took place at a time when the International Union of Electrical, Radio and Machine Workers of America, AFL-CIO, was seeking to organize the Company's plant. Evidence was adduced to show that tension was high among the em- ployees, and that the illegal conduct occurred at a time when cards for the IUE were being distributed and signatures solicited, when the IUE meetings were being held, and about the time that a petition for representation by the IUE was filed with the Board. The Respondent Employer's illegal conduct, coming at the height of IUE's organiza- tional campaign, could not help but lend support to the Respondent Union. 4. To remedy the violations found, we shall require, inter alia, that the Respondent Company withdraw recognition from the Respondent Union as the representative of its employees and that it cease giving effect to any agreement with the Respondent Union, unless and until the Respondent Union shall have determined its exclusive majority 2 The Trial Examiner found that the unlawful provisions in the Respondents ' contract were contained in an old contract form adopted by the negotiators , and "were carried over trom one contract term to another without any thought being given to them and without any intention" of discriminating against employees . Here again, the basis of this finding was statements made by counsel for the Respondent Union alone. No evidence was adduced at the hearing supporting those statements Therefore , we do not adopt this finding of the Trial Examiner. 1694 DECISIONS OF NATIONAL LABOR RELATIONS BOARD representative status pursuant to a Board-conducted elections We consider this remedy particularly appropriate here where the Re- spondent Employer, in addition to having unlawfully assisted the Respondent Union in the manner found by the Trial Examiner, also violated Section 8(a) (2) by threatening and interrogating employees' with respect to their efforts to replace the incumbent Respondent Union with another union. Such conduct clearly assisted Respondent Union in maintaining its representative status and interfered with the employees' right to freely choose a representative of their choice. It would not effectuate the policies of the Act under the circumstances of this case to permit Respondent Union to retain a representative status maintained, at least in part, by such unlawful employer assistance' ORDER Upon the entire record in this case, and pursuant to Section 10(c) of the National Labor Relations Act, as amended, the National Labor Relations Board hereby orders that : A. The Respondent Filtron Company, Inc., its officers, agents, suc- cessors, and assigns, shall : 1. Cease and desist from : (a) Entering into or maintaining any arrangement with Filter Workers Group whereby Respondent Filtron Company, Inc., issues to employees at time of hire applications for membership in Filter Workers Group or dues and initiation fee checkoff authorization cards. (b) Recognizing or in any other manner dealing with the above- named Union, or any successor thereto, as the exclusive collective- bargaining representative of its employees unless and until such organization shall have been certified as such representative by the Board. (c) Maintaining or giving effect to its agreement of February 3, 1961, with the aforesaid Union, or to any modification, extension, supplement, or renewal thereof, or to any other contract, agreement, or understanding entered into with said labor organization or any successor thereto, unless and until said labor organization shall have been certified by the National Labor Relations Board, provided, how- ever, that nothing herein shall be construed to require the Respondent Filtron Company, Inc., to vary or abandon any wage, hour, seniority, or other substantive feature of its relations with its employees which the Respondent Company has established in the performance of this 8 Member Rodgers would not require a withdrawal of recognition, but would adopt the Trial Examiner 's recommendation that the parties be ordered to cease maintaining and giving effect to the unlawful provision in their contract. 4 Wah Chang Corporation, 124 NLRB 1170. FILTRON COMPANY, INC. 1695 agreement, or to prejudice the accretion by the employees of any rights acquired thereunder. (d) Discouraging membership of its employees in the Interna- tional Union of Electrical, Radio and Machine Workers of America, AFL-CIO, or in any other labor organization, by laying off or in any other manner discriminating in regard to their hire or tenure of em- ployment or any term or condition of their employment. (e) Interrogating employees as to their union membership or activ- ities in a manner constituting interference, restraint, or coercion in violation of Section 8 (a) (1) of the Act. (f) Making statements to its employees about its knowledge of their activities in behalf of International Union of Electrical, Radio and Machine Workers of America, AFL-CIO, in a manner or under circumstances reasonably causing the employees to fear reprisals for engaging in such activities. (g) In any other manner interfering with, restraining, or coercing its employees in the exercise of the right to self-organization, to join or assist the International Union of Electrical, Radio and Machine Workers of America, AFL-CIO, or any other labor organization, to bargain collectively through representatives of their own choosing, and to engage in other concerted activities for their mutual aid or pro- tection, or to refrain from any or all such activities, except to the ex- tent that such right may be affected by an agreement requiring mem- bership in a labor organization as a condition of employment as authorized by Section 8(a) (3) of the Act, as modified by the Labor- Management Reporting and Disclosure Act of 1959. 2. Take the following affirmative action which the Board finds will effectuate the policies of the Act : (a) Withhold all recognition from the Filter Workers Group, or any successor labor organization, as the exclusive representative of its employees for the purpose of collective bargaining unless and until said organization shall have been certified by the Board as such representative. (b) Offer to Angelo Charles Izzo and Armando Beniamino im- mediate reinstatement to the same employee status, rights, and privi- leges they would have enjoyed but for the discrimination against them and make them whole for any loss of earnings suffered as a result of such discrimination, all in the manner more particularly described in the section of the Intermediate Report entitled "The Remedy." (c) Preserve and, upon request, make available to the Board or its agents, for examination and copying, all payroll records, social se- curity payment records, timecards, personnel records and reports, and all other records necessary for the determination of the amount of backpay due under the terms of this Order. 1696 DECISIONS OF NATIONAL LABOR RELATIONS BOARD (d) Post at its plant in New York, New York, copies of the notice attached hereto marked "Appendix A." 5 Copies of said notice, to be furnished by the Regional Director for the Second Region, shall, after being duly signed by an authorized representative of Respondent Filtron Company, Inc., be posted by said Respondent 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 Filtron Company, Inc., to insure that said notices are not altered, defaced, or covered by any other material. (e) Post at the same places and under the same conditions as set forth in (d) above, as soon as they are forwarded by the Regional Di- rector, copies of the Respondent Union's notice attached hereto marked "Appendix B." (f) Notify the Regional Director for the Second Region, in writ- ing, within 10 days from the date of this Order, what steps Respondent Filtron Company, Inc., has taken to comply herewith. B. The Respondent Filter Workers Group, its officers, representa- tives, agents, successors, and assigns, shall: 1. Cease and desist from : (a) Entering into or maintaining any arrangement with Filtron Company, Inc., where the Company issues to employees at time of hire applications for membership in Filter Workers Group or dues and initiation fee checkoff authorization cards. (b) Maintaining or giving effect to its current agreement with Filtron Company, Inc., or to any extension, renewal, modification, supplement, or other contract with said Company, unless and until it shall have been certified as exclusive bargaining representative by the Board. (c) In any like or related manner restraining or coercing any em- ployees of Respondent Filtron Company, Inc., in the exercise of their rights guaranteed by Section 7 of the Act, except to the extent that such rights may be affected by an agreement requiring membership in a labor organization as a condition of employment, as authorized in Section 8(a) (3) of the Act, as modified by the Labor-Management Reporting and Disclosure Act of 1959. 2. Take the following affirmative action which the Board finds will effectuate the policies of the Act : (a) Post at places where notices to its members are customarily posted copies of the notice attached hereto marked "Appendix B." I Copies of said notice, to be furnished by the Regional Director for the Second Region, shall, after being duly signed by an authorized 5 In the event that this Order is enforced by a decree of a United States Court of Appeals, there shall be substituted for the words "Pursuant to a Decision and Order" the words "Pursuant to a Decree of the United States Court of Appeals, Enforcing an Order " ° See footnote 5, supra. FILTRON COMPANY, INC. 1697 representative of Respondent Union, be posted by said Respondent immediately upon receipt thereof, and be maintained by it for 60 consecutive days thereafter. Reasonable steps shall be taken by Re- spondent Union to insure that said notices are not altered, defaced, or covered by any other material. (b) Mail to the Regional Director for the Second Region signed copies of the notice attached hereto marked "Appendix B," to be posted by the Respondent Company. Copies of this notice, to be fur- nished by the Regional Director, shall be returned to the Regional Di- rector forthwith after being signed by the Respondent Union's representative. (c) Notify the Regional Director for the Second Region, in writing, within 10 days from the date of this Order, what steps it has taken to comply herewith. IT IS FURTHER ORDERED that the allegations of the complaint that Re- spondents Filtron Company, Inc.,, and Filter Workers Group violated Section 8 (a) (3) and 8 (b) (2) of the Act, respectively, by enforcing the illegal provisions ,of their collective-bargaining agreement be, and they hereby are, dismissed. APPENDIX A NOTICE TO ALL EMPLOYEES Pursuant to a Decision and Order of the National Labor Relations Board, and in order to effectuate the policies of the National Labor Relations Act, as amended, we hereby notify you that : WE WILL NOT enter into or maintain any arrangement with Filter Workers Group providing for issuance to employees at time of hire applications for membership in Filter Workers Group or dues and initiation fee checkoff authorization cards. WE WILL NOT give effect to any agreement or contract, or sup- plements thereto or modifications thereof, or any superseding contract with the Filter Workers Group. WE WILL withdraw and, withhold recognition from the above- named labor organization, or any , successor thereto, unless and until it shall have demonstrated exclusive majority representative status pursuant to a Board-conducted election among our employees. WE WILL NOT lay off or otherwise discriminate in regard to the hire or tenure of employment or any terms or conditions of em- ployment of any of our employees because of their membership or activities in behalf of International Union of Electrical, Radio and Machine Workers of America, AFL-CIO, or any'other labor organization. 630849-62-vol. 134-108 1698 DECISIONS OF NATIONAL LABOR RELATIONS BOARD WE WILL NOT interrogate our employees as to their union mem- bership and activities in a manner constituting interference, re- straint, or coercion in violation of Section 8 (a) (1) of the Act. WE WILL NOT make statements to our employees about our knowledge of their activities in behalf of any labor organization in a manner or under circumstances reasonably causing our em- ployees to fear reprisals for engaging in such activities. WE WILL offer to Angelo Charles Izzo and Armando Beniamino immediate reinstatement to the employee status, rights, and priv- ileges which they would have enjoyed absent any discrimination against them, and make them whole for any loss of earnings they may have suffered by reason of the discrimination against them. All our employees are' free to become or remain, or to refrain from becoming or remaining, members of any labor organization, except to the extent that this right may be affected by an agreement requiring membership in a labor organization as a condition of employment as authorized in Section 8 (a) (3) of the National Labor Relations Act, as modified by the Labor-Management Reporting and Disclosure Act of 1959. We will not discriminate in regard to hire or tenure of employment, or any other condition of employment, against any em- ployee because of membership in, or activities on behalf of, any such labor organization. FILTRON COMPANY, INC., Employer. Dated---------------- By------------------------------------- (Representative) (Title) This notice must remaid posted for 60 days from the date hereof, and must not be altered , defaced , or covered by any other material. APPENDIX' B To ALL MEMBERS OF THE FILTER WORKERS GROUP AND TO ALL EMPLOYEES OF FILTRON COMPANY, INC. Pursuant to a Decision and Order of the National Labor Relations Board, and in order to effectuate the policies of the National Labor Relations Act, as amended, we hereby notify you that : WE WILL NOT enter into or maintain any arrangement with Filtron Company, Inc., providing for issuance to employees at time of hire applications for membership in Filter Workers Group or dues and initiation fee checkoff authorization cards. WE WILL NOT give effect to our current agreement, or to any ,other contract covering employees of the above-named employer, unless and until we shall have demonstrated our majority repre- FILTRON COMPANY, INC. 1699 sentative status pursuant to a Board-conducted election among said employees. WE WILL NOT in any like or related manner restrain or coerce any employees of Filtron Company, Inc., in the exercise of their rights guaranteed by Section 7 of the Act, except to the extent that such rights may be affected by an agreement requiring membership in a labor organization as a condition of employment, as authorized in Section 8(a) (3) of the Act, as modified by the Labor-Management Reporting and Disclosure Act of 1959. FILTER WORKERS GROUP, Labor Organization. Dated---------------- By------------------------------------- (Representative) (Title) This notice must remain posted for 60 days from the date hereof, and must not be altered, defaced, or covered by any other material. INTERMEDIATE REPORT STATEMENT OF THE CASE This proceeding, with all parties represented, was heard before Fannie M. Boyls, the duly designated Trial Examiner, in New York, New York, on June 5, 6, 8, 9, and 10, 1961, on a consolidated complaint issued by the General Counsel and amended by him at the hearing and upon the answers of Respondents. The complaint alleged that Respondent Filtron Company, Inc., herein called Filtron, engaged in unfair labor practices within the meaning of Section 8(a),(1), (2), and (3) of the National Labor Relations Act, as amended (61 Stat. 136), and that Respondent Filter Workers Group, herein called the Filter Workers, engaged in unfair labor practices within the meaning of Section 8(b)(1)(.A) and (2) of the Act. At the conclusion of the hearing, all parties argued orally before me. Thereafter counsel for both Respond- ents filed briefs which I have duly considered. Upon the entire record and from my observation of the witnesses, 'I make the following: FINDINGS OF FACT 1. THE BUSINESS OF RESPONDENT FILTRON Respondent Filtron is a corporation organized under the laws of the State of New York. It maintains its principal office and place of business in New York City where it is engaged in the manufacture, sale, and distribution of electronic com- ponents and related products. During the year 1960, Respondent manufactured products valued in excess of $500,000 which were shipped from its plant in New York City to points outside the State. Respondent concedes, and I find, that it is engaged in commerce within the meaning of the Act. I also find that it will effec- tuate the policies of the Act to assert jurisdiction herein. II. THE LABOR ORGANIZATIONS INVOLVED The International Union of Electrical , Radio and Machine Workers of America, AFL-CIO, the Charging Party, and the Filter Workers Group , one of the Respond- ents herein , are each labor organizations within the meaning of Section 2 ( 5) of the Act. III. THE UNFAIR LABOR PRACTICES ALLEGED A. Background and issues For a number of years prior to 1961, Respondent Filtron had been operating under a collective-bargaining agreement with Respondent Filter Workers Group, an un- affiliated labor organization. The complaint alleges that since October 11, 1960- a date 6 months prior to the filing and serving of the amended charge-Respondents Filtron and Filter Workers maintained in effect and enforced a collective-bargaining agreement containing certain unlawful provisions. On February 3, 1961, Filtron 1700 DECISIONS OF NATIONAL LABOR RELATIONS BOARD and the Filter Workers entered into a new contract, to be effective on April 3, 1961, by the terms of which the old contract was to remain in effect with certain amend- ments, none of which affected the alleged illegal provisions. One of the amend- ments, it is alleged, added another illegal provision to the contract. The execution of the new agreement and the maintenance and enforcement of the illegal provisions of the new and old agreements were alleged to constitute violations of Section 8(a)(1), (2), and (3) of the Act by Respondent Filtron and violations of Section 8(b) (1) (A) and (2) by Respondent Filter Workers. In January 1961, International Union of Electrical, Radio and Machine Workers of America, AFL-CIO, herein called the IUE, was engaged in an organizational campaign at Filtron's plant. The complaint alleges that during the course of this campaign, Respondent Filtron interrogated its employees regarding their IUE mem- bership, sympathies, and activities; threatened them with discharge and other re- prisals if they joined or assisted the IUE; informed its employees that their IUE activities were being kept under surveillance; and, finally, on January 31, 1961, laid off two employees, Angelo Charles Izzo and Armando Beniamino, because of their IUE membership and activities; thereby violating Section 8(a) (1) and (3) of the Act. The issues, except those relating to the terms of the collective-bargaining agree- ments and how the checkoff and union-security provisions were enforced, are for the most part, in sharp dispute and present credibility problems for resolution. B. The alleged illegal contract provisions and practices under the contracts The complaint alleges both that the collective-bargaining agreements contained provisions unlawful on their face and that these unlawful provisions were enforced. Respondent Filtron, neither in its oral argument nor in its brief, has attempted to defend the specific provisions of its contract with the Filter Workers which the Gen- eral Counsel attacks. It argues only that in practice no employee was required to join or pay union dues or initiation fees prior to 60 days after he was hired. Re- spondent Filter Workers, while conceding that some of the language in its contract was "inartfully" drawn, contends that a reading of the contract as a whole shows an intent by the parties to abide by the restrictions of Section 8(a)(3) of the Act and that there was nothing unlawful in the practices followed by the parties in actually administering the contract. Before setting forth the evidence regarding Respondents' practices in operating under the union-security provisions of their contract, I shall consider the contract terms themselves which are under attack. 1. The contract provisions under attack There can be no question but that in ascertaining the meaning of any provision of a contract , that provision should be read in the light of the contract as a whole, not in isolation , and that each provision, if possible , should be interpreted so as to harmonize with the other provisions.' It is also true , of course , that parties, by main- taining in effect unlawful union-security , checkoff, and other discriminatory provi- sions, engage in conduct proscribed by the Act even though such provisions are not actually enforced . Red Star Express Lines of Auburn, Inc. v. N.L.R.B., 196 F. 2d 78, 81 (C.A. 2); N.L.R.B. v. Gottfried Baking Co., Inc., et al., 210 F. 2d 772, 779- 780 (C.A. 2). Representatives of both Respondents conceded that all provisions of their contract were "in effect." I shall first set forth below each of the alleged unlawful provisions of the con- tract in effect prior to April 3 , 1961 , the terms of which were carried over in the new agreement effective on that date . I shall also add , in brackets, such further pro- visions as appear relevant to a fair understanding of the meaning of those alleged to be objectionable. ARTICLE TI Union Membership A. All present production Employees and those who in the future enter the bargaining unit shall be and shall continue to remain members of the Union in good standing as a term and condition of employment. B. The Employer agrees that upon application for a job, the new Employee will file an application for membership in the Union. [After sixty (60) days the new Employee shall become a member in good standing of the Union. Prior to the end of the sixty (60) day period, however, the Employer may terminate the services of the new Employee at any time, for any reason.] 1 12 Am. Jur. 772-775 and cases cited therein. FILTRON COMPANY, INC. 1701 ARTICLE III Wage Rates D. TRAINEES All trainees shall receive a minimum of $1.00 per hour. After 30 days of continuous employment they shall receive a 5¢ increase . Upon completing 90 days of continuous employment the minimum wage rate of trainees will be $1.10 per hour. All trainees of Filtron Company, Inc. shall be classified on or before com- pleting 90 days of continuous service. Further, management will review new employees before they become Union members ( 60 days ) and if management has promised an increase when hired, management will carry out such promise the same week the first month's dues are taken out of the employees' pay. Not later than 50 days after employment, the Union will notify the Personnel Department in writing whether or not a new employee is acceptable. * * * * * * * ARTICLE XIII Deduction of Union Dues A. As of the first payday, after the 15th day of each month, the Employer shall deduct from the wages of all employees an amount equal to the monthly Union dues of such Employees. B. An Employee who is hired and starts work before the 15th day of the month shall have dues deducted for that month. An employee who is hired and starts work after the 15th day of the month shall have dues deductions start with the following month. * * * * * * * [D. No dues will be deducted by the Employer unless authorized in writing by the Employee, which authorization shall be delivered to the Payroll Depart- ment by the Union Representative.] * * * * * * * ARTICLE XVII Discharge and Discipline A. The first sixty (60) days of employment shall be a trial or probationary period during which new employees may be discharged without recourse by the Employer or the Union. B. Employees who have completed their trial period shall be discharged only for just cause. The Union shall promptly consider any claim that an Employee who has completed his trial period has been unjustly discharged, and may present the matter as a grievance to be settled in accordance with the estab- lished procedure for settlement of grievances. The management of the plant and the direction of working forces, including the right to hire, suspend, or discharge for proper cause, and the right to re- lieve Employees from duty because of lack of work or for other legitimate reasons is vested exclusively in the Company, provided that this will not be used for the purpose or purposes of discrimination against any member of the Union. In the event that a member of the Union shall be discharged from his em- ployment from and after the date hereof, and he believes he has been unjustly dealt with, such discharge shall constitute a case arising under the methods of adjustment of grievances herein provided. In the event it should be decided under the rules of this Agreement that an injustice has been dealt the Employee with regard to the discharge, the Com- pany shall reinstate such Employee and pay full compensation for all time lost at the Employee's regular rate. The new contract, effective from April 3, 1961, to April 3, 1963, carried forward, without change, the above-quoted provisions. In addition, it contained a "General Increase" provision (identical to one in the expired contract except as to dates) which is also alleged to be unlawful. It reads: 1702 DECISIONS OF NATIONAL LABOR RELATIONS BOARD ARTICLE III WAGE RATES C. General Increase 1. All union employees and employees who have applied for union member- ship prior to April 3, 1961, shall receive a five (.05¢) increase on that date, and the April 3, 1961 review will be skipped.2 Article II, relating to "Union Membership" clearly provides that all present em- ployees and those subsequently hired shall, as a condition of employment, be and continue to remain members of the Union and that new employees, upon applying for a job, will file applications for membership in the Union. These provisions, considered alone, would appear to require employees to join prior to the 30-day delay period guaranteed employees under the first proviso to Section 8(a)(3) of the Act. However, read in conjunction with the remainder of article II which provides for union membership after 60 days, these provisions appear merely to contemplate that employees, upon being hired, shall, by signing an application foi union membership, signify their willingness to join upon the expiration of 60 days as provided in the contract. That the parties intended that new employees not be required to join the Union until 60 days after being hired is further indicated in article III, D of the contract, relating to trainees . The third paragraph provides: "Further, management will review new employees before they become Union members (60 days) . My conclusion that "upon application for a job" an employee is required by the contract only to sign an application for membership and that he need not become "a member in good standing" of the Filter Workers until after 60 days of employ- ment does not mean that the application requirement is lawful. The Board, with one member dissenting , ruled in Argo Steel Construction Company, 122 NLRB 1077, 1082, that such a requirement constitutes unlawful discrimination against the employee. In language equally applicable here, the Board stated: There is nothing in the Act which sanctions such a provision. The Act legal- izes, as a maximum , union-security provisions which require employees to join unions on or after the thirtieth day following the beginning of their employ- ment . The instant provisions enlarge upon the maximum sanctioned by the Act. Under them, persons who may be unwilling to signify an advance intent to join the union cannot be employed. The Act requires no such signification of advance intent; it gives employees 30 days of employment before they can be compelled to make a choice. Accordingly, we find these causes to be illegal as exceeding the permissive bounds of the statute. The Board's decision in this respect was approved in N.L.R.B. v. Argo Steel Con- struction Company, et al., 289 F. 2d 491 (C.A. 6). I am bound by that decision In view of my conclusion reached above, I must also find that article III, section C, subsection 1, of the 1961 agreement, granting a wage increase to all "union employees and employees who have applied for union membership prior to April 3, 1961 ," is likewise unlawful, for this provision clearly discriminates against non- union employees in a manner which has the natural consequence of encouraging them to apply for union membership at a time when they may not legally be re- quired to make that choice. I now turn to article XIII of the contract, relating to "Deduction of Union Dues." Sections A and B of that article clearly contemplate that the employee will be required to pay dues for the first months of his employment .3 The Filter Workers 2 The basic contract between the parties, entitled "Hourly Unit Agreement," was, by its terms, in effect only from February 11, 1957, to April 4, 1959, but its provisions, except as expressly thereafter amended, were carried forward and adopted in all subsequent con- tracts. Article III, C, 1 of this 1957 contract did not purport to discriminate between employees on the basis of whether they were union members or had applied for union membership ' It might be argued that article III, section D, providing that management will review new employees "before they become Union members (60 days)" and that any promise of increase at the time of hiring will be carried out "the same week the first week's dues are taken out of the employee's pay" is inconsistent with the provisions of article XIII, con- sidered above, because, at least by implication, dues would not be deducted until after 60 days of employment However, it can hardly be urged (and Respondents have not urged) that the implication contained in article III has the effect of nullifying the clear provisions of article XIII FILTRON COMPANY, INC. 1703 points out in its brief that section A refers merely to the deduction of "an amount equal to the monthly Union dues of such Employees," thus implying that only sup- port money for the Union, not dues, was to be deducted during the first 30 days of an employee's tenure. But, aside from the fact that even the exaction of support money prior to the 30th day of employment appears prohibited under the Act,4 section B of article XIII makes it plain that it is the deduction of dues, not merely support money, that is contemplated. These dues, as provided by section D, were to be deducted only upon the written authorization of the employee but implicit in section B's provision that "An employee who is hired and starts work before the 15th day of the month shall have dues deducted for that month," is a requirement that the employee shall sign the requisite checkoff authorization . I find that article XIII, sections A and B, are not permissible under Section 8(a) (1), (2), and (3) and under Section 8 (b) (2) and (I) (A) of the Act .5 - The General Counsel contends that Article III, D of the contract which provides, inter alia, that "Not later than 50 days after employment, the Union will notify the Personnel Department in writing whether or not a new employee is acceptable," is not permissible under the statute because it may reasonably be interpreted as per- mitting the Union to reject a person as an employee. He argues , moreover, that if the language be interpreted as referring to acceptance by the Union of an employee as a union member, then the preceding provision of article III, D becomes objection- able because, upon a rejection by the Union of any employee as a member, he would be deprived of any promised wage increase which such preceding provision says will be paid when the first month's dues are taken out of the employee's pay. The pro- visions under attack are, to say the least, ambiguous. I believe they may be reason- ably interpreted in the manner pointed out by the General Counsel. The Filter Workers, through its president and through its counsel, asserted at the hearing that the requirement that the Union notify the personnel department within 50 days whether an employee is acceptable means acceptable as a union member but, in view of other ambiguous provisions of the contract-such as article XVII, section A, discussed below-this interpretation is open to question. And it still leaves unex- plained the provision linking the payment of a promised wage increase with the deduction of the first month's dues. The ambiguity in article XVII, section A, to which I have just referred, is conceded by the Filter Workers' counsel. He contends that as the result of a typographical error, the word "to" was omitted and that the provision should read that after the first 60 days of employment "employees may be discharged without recourse by the Employer or to the Union." I am willing to accept this explanation as to what the intent was. The contract provision in question, however, should be amended to disclose this intent for as it now reads, it is reasonably interpreted as permitting the Union to discharge an employee during the first 60 days of his tenure. Section B of article XVII, which the General Counsel also attacks, refers to the discharge and discipline of employees who have completed their 60-day trial period and who, incidentally, unless rejected by the Union, have become union members. The General Counsel argues that the third and fourth paragraphs of section B pro- vide special protection for union members, to the exclusion of nonmembers, against discriminatory or otherwise unjust discharges . In considering this argument, I have carefully examined the whole of section B and also article XII which describes the grievance procedure. The first paragraph of section B provides that the Union shall promptly consider any claim that an employee who has completed his 60-day trial period (members of the Union and nonmembers alike) has been unjustly discharged and may present the matter as a grievance to be settled in accordance with the established procedure for settlement of grievances ." [Emphasis supplied.] The established grievance procedure set forth in article XII provides for arbitration as a final step and that the arbitration panel "is delegated full discretion to reinstate with or without back pay without reinstatement in all cases." [Emphasis supplied.] The next to last paragraph of article XVII, section B , now under consideration, also refers to the right of the arbitration panel to reinstate "with or without back pay" when referring to all employees who have completed their trial or probationary period. The third and fourth paragraphs of section B, however, provide that if "a member of the Union" believes he has been unjustly discharged, such discharge "shall" constitute a case arising under the grievance procedure and that if it is decided that the employee has been unjustly discharged, "the Company shall reinstate such Employee and pay full compensation for all time lost." In may well be that the 4 Cf. The Radio Officers' Union etc (A IT Bull Steamship Company ) v N L R.B , 347 U.S. 17; General Motors Corporation , 13'0 NLRB 481. 5 N.L R.B . v. Cadillac Wire Corp, et al, 290 F 2d 261 , 263 (C.A 2). 1704 DECISIONS OF NATIONAL LABOR RELATIONS BOARD parties to the contract intended no different treatment for members of the Union and nonmembers; but in view of those clearly discriminatory provisions of the contract, such as that requiring that union dues for the first month of employment be deducted from the employee's pay, other provisions of the contract may understandably be read more critically than would otherwise be warranted . And, reading section B with a critical eye , I conclude that an employee could reasonably believe that discriminatory treatment of employees whose applications for union membership might be rejected was intended. 2. Respondent's practices in operating under the union-security provisions of their contract Respondents assert that although all terms of their contract are "in effect," they have not operated under such contract in such a way as to require union membership or the payment of union dues prior to the expiration of 60 days from the date of hire and have not otherwise discriminated against nonmembers. It is undisputed that at the time an employee is hired, Personnel Director Elsa Nottmeyer gives him several forms, including a "checkoff card," to be filled in and returned to her later. The checkoff card, which also serves as an application for membership in the Filter Workers,6 reads as follows: I hereby authorize and direct The Filtron Company, Inc., to deduct Union dues of $2.00 per month and to pay above said sums to the Filter Workers Group. Also after ten weeks of employment, I hereby authorize and direct The Filtron Company, Inc., to deduct Initiation fee of $5.00 of which $2.S0 is to be taken out of the first week and $2.50 the second week. Date Miss Nottmeyer testified, and I find, that when she hands the new employee this card, she usually tells him, "this explains your union dues and your initiation fee," and that "generally," but not always, he fills out this card and other forms given to him before he goes to work. The card, along with other forms, then goes to the pay- roll department and from there the card goes to Filter Workers president, Piliero. As Sid Barry, chairman of Filtron's board of directors, explained, "The understand- ing was that as a courtesy or convenience to the Union, we would hand the employee the card along with all of the other Company record cards after he was hired, but we would accept no responsibility for its return or signature , nor would we make any dues deductions until the signed card was in our Payroll Department." Piliero testified , and I find, that he retains the application-checkoff card for at least 6 weeks , then seeks out the new employee and talks to him. He further testi- fied, "Then it is required by me to either initial it and say it is okay , or either put a protest." In practice he has always approved the application and sent it, with his initials on it, to the payroll department . Upon the expiration of 60 days from the date of hire, half of the initiation fee is deducted from the employee 's pay; during the following week, the other half is deducted; and during the succeeding months dues are deducted . When the first installment of the initiation fee is deducted , the em- ployee is considered a union member and Piliero or the Union 's secretary delivers to the employee a card certifying that he is a member in good standing . At the same time he is given a copy of the Filter Workers ' bylaws and bargaining agreement. If an employee on his own initiative fails to sign and return the application -checkoff card to the personnel director , Piliero seeks him out after about 6 weeks and asks him to sign . No employee has ever refused to sign. On the basis of the above testimony, I find that in practice no employee has even been required to join the Filter Workers or pay dues or an initiation fee to it prior to the expiration of 60 days of employment. -In view of the fact, however, that Respondent Filtron furnishes to each employee at the time he is hired an application- checkoff card, which has been supplied to him by the Respondent Filter Workers for that purpose ; that the personnel director usually tells the new employee that the card itself explains the dues and initiation fee; that such card does not state when the employer will start deducting dues, as distinguished from initiation fees, 6 Miss Nottmeyer testified that she never heard of any application for membership in the Filter Workers and Anthony Piliero, president of the Filter tiVorkers, insisted, when called as a witness by the General Counsel, that there was no such thing as an application for membership . Later, however, when recalled as a witness for his union, he testified that he and his union considered the checkoff card as also an application for membership. I shall so consider it FILTRON COMPANY, INC. 1705 or when his application for membership' will become effective; and that the employee generally signs the card before starting to work , I find that the natural consequence of Respondents' practice is to cause the employee to believe, as provided in the contract, that he must apply for union membership upon being hired and submit to the deduction of union dues prior to a time when he may be legally required under the statute to do so. I therefore find, in accordance with the Board's decision in Argo Steel Construction Company, 122 NLRB 1077, and Cadillac Wire Corpora- tion, et al., 128 NLRB 1002, that Respondent Filtron has furnished support to the Filter Workers within the meaning of Section 8(a)(2) of the Act and that Re- spondents Filtron and Filter Workers have subjected employees to restraint and coercion within the meaning of Section 8 ( a)(1) and 8 (b) (1) (A), respectively. Because, however, no actual discrimination in regard to hire or tenure of employ- ment or any term or condition of employment has resulted from these practices, I do not find that a violation of Section 8(a)(3) or 8(b)(2) is involved. Cf. Alaska Salmon Industry, Inc., et al., 122 NLRB 1552,1555; New Orleans Laundries, Inc., 114 NLRB 1077, 1089. C. The alleged discriminatory discharges of IUE adherents Izzo and Beniamino and other acts of interference, restraint, and coercion by Respondent Filtron About January 10, 1961, the IUE commenced distributing leaflets in front of the Filtron plant and seeking to organize the employees. Employee Angelo Charles Izzo (usually called Charlie) soon thereafter joined the IUE and began soliciting other employees to join. He personally obtained applications for IUE membership from all employees of the stockroom, in which he worked, and in addition, signed up several employees outside his department. Also among those active in behalf of the IUE was Armando Beniamino (sometimes called Nino), employed as a floor- walker in the short order and sample department. He joined the IUE on January 23, 1961, and thereafter gave an application card to another employee, discussed the IUE with a number of other employees in the plant, attended an IUE meeting on the night of January 30, and brought membership application cards to the plant the next morning . Both Izzo and Beniamino were laid off on January 31 and had not been recalled at the time of the hearing in June. The General Counsel con- tends that they were laid off because of their prominence in the IUE organizational campaign . Respondent Filtron denies this and asserts that it was motivated solely by economic considerations and that the employees will be recalled when business conditions improve sufficiently to warrant their recall. The General Counsel also contends that prior to the layoffs in question, Filtron coercively interrogated and threatened its employees and engaged in surveillance of their union activities in order to discourage their membership in the IUE. I set forth below the evidence relating to these alleged unfair labor practices. 1. Vice President George Barry seeks assistance of Manager Weinstein in ascertaining whether Izzo is an IUE "agitator" According to the undenied and credited testimony of Robert Weinstein who, at all relevant times, was Filtron's material and production control manager,? Vice President George Barry about 5 p.m. on January 30 called Weinstein aside and told him that Izzo "was suspected of being a union agitator for the IUE" and that man- agement "didn't know what they were going to do about it." Barry explained that someone in the Filter Workers had informed him about Izzo. Weinstein volunteered to try "to find out if this was the truth, if he was an agitator or not." Barry ad- monished him to "please find out be be careful, don't . . . ask questions where they would incriminate the company." Barry also stated that he was going to discuss Izzo 's alleged IUE connections with someone else. On the following day, January 31, Weinstein sought out Izzo at his place of work in the stockroom and, according to his undenied and credited testimony, corroborated in part by Izzo, the following took place: Well, I [Weinstein ] told him I had heard that he was suspected of being a union agitator and I though I had treated him very fairly in the past and I thought it was his, more or less a friendly gesture or a responsibility to tell me what was going on. He said first that nothing was going on and that he didn't understand what was happening because Mr . Sid Barry had been in the stockroom several mo- ments before and had asked him several questions in this context with the union, 4 Weinstein voluntarily left Filtron's employ on March 16, 1961. 1706 DECISIONS OF NATIONAL LABOR RELATIONS BOARD I believe. . He said he [Barry] asked him did he work at General Steel and he said yes. He asked him did he know a certain politician and he said yes. He asked him would he cross that politician and Izzo's answer was no. In answer to my question about the union agitator, he said no, he wasn't a union agitator, he was for this union . . . the TUE. I interpreted this as an expression of opinion. Weinstein later reported to George Barry that he had not found out anything except that Izzo was in sympathy with the IUE. 2. Supervisor Coleman's request that employee Shavers warn Beniamino about Filtron's knowledge of the IUE activities of Beniamino and Izzo Prior to Weinstein's talk with Izzo on the morning of January 31, other events took place which should be mentioned at this point. According to the undenied and credited testimony of Walter Shavers, at about 9 or 9:30 that morning, Stock- room Supervisor William Coleman stopped him and asked him to warn "Nino" Beniamino that his name, along with Izzo's, had been turned in that morning for having passed out cards "from the other Union," the IUE, to Filtron workers.8 He testified that he passed along this warning to Beniamino at about 10 o'clock that morning and to Izzo about 3:15 or 3:30 that afternoon.9 3. Board Chairman Sid Barry's talk with Izzo About 10:30 on the same morning, Sid Barry, chairman of Filtron's board of directors and father of Vice President George Barry, sought out Izzo at his place of work in the stockroom. There is substantial disagreement between Sid Barry and other witnesses as to what was said at that time. To understand the testimony as to what was allegedly said, I shall backtrack at this point to explain that Izzo had formerly worked for General Steel whose owner or "boss" was Tom Kearns; that Sid Barry hired Izzo in February 1960 at the request of and as a personal favor to one Cosmo (Gus) Cavalusso, who held a political job as a district captain of one section of New York City; and that during Izzo's 60-day probationary period, he was about to be discharged because of absenteeism, when Barry, having in mind Cavalusso's friendship for and interest in Izzo, personally interceded and saved Izzo's job. Izzo's version of what occurred on the occasion in question is as follows: As Barry entered the stockroom, he inquired, "Who is Charlie?" Izzo identified himself, whereupon Barry asked whether he was the Charlie who had worked for General Steel for 71/z years and with Tom Kearns and whether he knew Cavalusso. Izzo replied in the affirmative to each of these questions. Thereupon, Barry asked, "You wouldn't cross me, would you?" and walked away. Robert Dunnenfeld, a stock cleark and group leader, was at his place of work in the front of the stockroom at the time Barry visited Izzo. He testified that Barry 8I find, despite Filtron's challenge of Coleman's supervisory status, that he was a super- visor within the meaning of Section 2(11) of the Act He was in immediate charge of the two stockrooms and had seven employees, including a group leader, under him It was his duty, in connection with receiving and storing materials, shipping component parts to the production floor and processing raw materials, to have the bills of materials posted to the stock records, cheek the availability of materials, make purchasing requests for any in short supply schedule the work among employees under him, and work with them in meet- ing time schedules for supplying materials to the assembly line. He was consulted by Material and Production Control Manager Weinstein in connection with the grant of wage increases and the retention or firing of probationary employees and his recommendations were usually followed He reprimanded employees under him and, upon occasions, made recommendations for discharges or the transfer of employees and those recommendations were generally followed _ Prior to being made stockroom supervisor, he was a member of the Filter Workers, but nursuant to Filtron's policy against participation by supervisors in union affairs, resigned his membership e According to Reniamino's credited testimony, Shavers told him, "They have your name and Charlie's in Sid Barry's office.". Izzo testified, and I find, that Shavers told him that his and Beniamino's names were on' a list in the office to be laid off "for having attended an IUE meeting." Izzo placed this warning as having been received before 8 a in but I am convinced that he was mistaken as to the time and that it occurred in the afternoon, as Shavers testified. To the extent that Shavers' warning to Beniamino and Izzo went beyond that communicated by Supervisor Coleman to Shavers, I do not, of course, attribute responsibility therefor to Respondent Filtron FILTRON COMPANY, INC. 1707 went toward the back of the stockroom and "asked for Charlie"; that he did not hear all of Barry's conversation with Izzo but did hear Barry say, as he was leaving: "Gus Cavalusso recommended you for the job. You wouldn't want to do anything to cross him, would you?" Sid Barry's account of his talk with Izzo was quite different and in most respects irreconcilable with the accounts of Izzo and Dunnenfeld. He testified that when he entered the stockroom, he asked "Where's Charlie," not "Who is Charlie," as claimed by Izzo.10 With respect to the substance of his talk with Izzo, Barry testified: "I told him that I had done my best to keep him as an employee in spite of lateness and absentee reports on him and grievances, but that due to the general decrease in busi- ness and the absolute necessity of decreasing our payroll we were going to have to lay off some people and his seniority position was reached and I could not fight with the Union about it. Therefore, I just had to put through his recommendation as being the next one to go out of that section of work in the plant." Barry conceded that Cavalusso's name was mentioned in his talk with Izzo but denied that he asked Izzo whether he knew Cavalusso, whether he was the Charlie who had worked for General Steel for 71/z years or whether he had worked under Tom Kearns. Barry also denied saying to Izzo, "You wouldn't cross me, would you?" or "You wouldn't cross him, would you?" Barry did not explain in what connection Cavalusso's name was mentioned. A resolution of these conflicting versions as to what Barry said to Izzo has not been an easy task. I am, however, convinced from the testimony of Dunnenfeld, who particularly impressed me as an honest and conscientious witness, that Barry, among other things, remarked that Cavalusso had recommended Izzo for his job and stated in substance to Izzo, "You wouldn't want to do anything to cross him, would you?" That this remark was interpreted by Izzo as a warning against engaging in IUE activities is evidenced by his statement to Material and Production Control Manager Weinstein a few minutes later when Weinstein inquired about the rumors that Izzo was an TUE agitator. As Weinstein testified, Izzo, in responding to Wein- stein's inquiry, said that "he didn't understand what was happening because Mr. Sid Barry had been in the stock room several moments before and had asked him several questions in this context with the union." In all the circumstances, I find that Izzo reasonably interpreted this remark and that Barry intended by the remark to warn Izzo that because of his IUE activities, his friendship with Cavalusso would no longer save him from layoff or discharge. The above conclusion, however, does not mean that Barry did not also inform Izzo of the probability of an imminent layoff and of the fact that because of Izzo's lack of seniority and the Filter Workers' insistence on seniority being followed, Izzo would be the next stockroom employee selected for layoff. Although Barry may not have made this as clear to Izzo as his testimony might indicate,1 am convinced even from Izzo's own testimony that Barry said something to him about the possibility of his being laid off. Thus, Izzo testified that at noon on the day Barry talked to him, he sought out Piliero who, as president of the Filter Workers, always received advance notice of the employees scheduled for layoff. Izzo spoke to Piliero, he testified, because "I wanted to find out what was the idea of Mr. Barry addressing me as such" and Piliero told him: "Don't pay it no mind. It is probably only a rumor." Piliero was responding to what Izzo had reported and the "rumor" must have had reference to a proposed layoff. Indeed, except to ascertain whether his name had been furnished Piliero in connection with a proposed layoff, it seems unlikely that Izzo, a leader of the TUE group, would have sought out Piliero, head of the opposition group, to discuss his problem. 4. Sid Barry's talk to the assembled employees on the afternoon of January 31 At about 4 o'clock in the afternoon on January 31, Filtron's approximately 150 employees were summoned to a meeting and addressed by Sid Barry. Employees Izzo, Beniamino, Dunnenfeld, and Shavers, Supervisor Coleman, Manager Wein- stein, and Barry himself testified with respect to the speech. Dunnenfeld and Shavers remembered very little of what was said and none of the others were in complete agreement . Nevertheless, except for Barry, most of the others were in substantial accord as to the speech as a whole. I have carefully weighed the testimony of each 10 In this respect, Barry's version appears more reasonable, for Barry had spoken to Izzo on one or more prior occasions and it is likely that he remembered which employee was Izzo On the other hand, it is quite probable that laze misunderstood Barry's initial inquiry 1708 DECISIONS OF NATIONAL LABOR RELATICNS BOARD of the witnesses and set forth below an account of the speech which I believe to be substantially accurate-based on the testimony I consider most reliable and giving due weight to Barry's denials and explanations. In his opening remarks Barry commented that the IUE was distributing leaflets or attempting to organize the plant again, as it did practically every year, but that it never had any success. He stated that the IUE had promised to bring in more busi- ness and, if that was the case, he would welcome it; that he did not care which union was in the plant so long as it brought the Company more business. He had with him three IUE leaflets-colored green, blue, and yellow-and displayed them to the group as he remarked, "The next one will probably be a pink one." He then tore the leaflets up and threw them on the floor. He told the employees, "We have been doing all right with our union for the past 8 years." Barry informed the employees that he knew which of them were "pushing" the IUE or were "agitators" for it. He stated that he had a "grapevine" that was as good as anybody's. He illustrated his point by telling them that a lady could be polishing her nails at one end of the plant and people at the other end would know about it and also that he learned through the grapevine that "Blue Cross-Blue Shield" had refused to ,pay a hospital and medical bill of one of the employees and that he had interceded and caused it to be paid. He added that Filtron had voluntarily supplied the employees with this insurance, without any cost to them, and had pro- vided for it in the contract with the Filter Workers, though the latter had not asked for it. Barry also informed the employees that Filtron had been operating at a loss of about $300,000 during the preceding year; that it was then carrying on its payroll 30 or 40 more employees than it really needed; but that he was leaving within a few days on a 6- to 7-week trip to the South Seas where he hoped that he would get enough new business to warrant retaining these people. Finally, he stated that he hoped a new contract with the Filter Workers could be signed by the end of the week, before he left on his trip, because he thought this would relieve the tension among the employees caused by the dispute between the two unions." The General Counsel contends that in his speech Barry informed the employees that Filtron was engaging in surveillance of their IUE activities and that he so informed them for the purpose of intimidating them and discouraging their IUE membership and activities. I do not regard Barry's reference to having a "grape- vine" as the equivalent of an announcement that Filtron was engaging in surveillance of the employees' union activities but Barry clearly intended that the employees be aware of the fact that he knew about everything that went on at the plant, and his pointed observation that he knew which of the employees were pushing, or were agitators, for the IUE was unquestionably coercive in character. This remark, in the context of his subtle ridicule and disparagement of the IUE, could hardly have failed to cause those employees who had been active in behalf of the IUE to fear job reprisals and it therefore constituted a violation of Section 8 (a)( I) of the Act. 5. The layoffs of Izzo and Beniamino Filtron's contract with the Filter Workers requires it to give reasonable notice in writing, when practicable, of all proposed layoffs. Prior to giving such written notice Filtron usually also notifies the Union's president orally and affords him an oppor- tunity to object. This procedure was followed in the cases of Izzo and Beniamino. Sometime after 2 p.m. on January 31, Personnell Director Nottmeyer delivered to Filter Workers' president, Piliero, a memorandum informing him of the proposed layoff of Izzo and Beniamino that same day. Piliero had already been informed by Vice President George Barry of the scheduled layoffs and had discussed them with both Barry and Plant Superintendent Joe Lametta, who shared the same office. The executive committee of the Filter Workers met at about 4 p.m., while Sid Barry was addressing the other employees, and discussed and approved the proposed layoffs. According to Filter Workers' secretary, Mooney, the committeemen "all agreed that because of their absneteeism and the least seniority in their departments," man- agement was warranted in selecting Izzo and Beniamino for the layoffs. Beniamino, in fact, was not the least senior in his department, and although Izzo was the least n The then-current contract was not to expire until April 3, 1961 , but, under its terms, the parties were to meet between November 15 and December 15, 1960, to negotiate the terms of a new contract. FILTRON COMPANY, INC. 1709 senior in the stockroom, he was not lowest in plant seniority, the criterion provided in the Filter Workers' contract for layoffs.12 Within a few minutes after the conclusion of Sid Barry's address to the employees, Personnel Director Nottmeyer informed Izzo and Beniamino that they were being laid off. According to Izzo, the reason assigned to him. was his absenteeism. Accord- ing to Beniamino, the reason assigned to him was his attendance record. Nottmeyer, on the other hand, testified that she told Izzo .that she laying him off because he had the least seniority in his department and business was slow and that she told Beniamino he was being laid off because his position was being eliminated and busi- ness was slow. This, according to Barry, was in accordance with directions which he gave Nottmeyer earlier that day. On the basis of all the evidence, I will assume that she assigned to Izzo and Beniamino both the reasons about which she testified and those about which they testified.13 Sid Barry testified that for the fiscal year ending July 1, 1960, Filtron suffered a loss of $255,000 and that for the first half of the next fiscal year its loss was between $12,000 and $15,000; that at a meeting in July 1960 between company officials, their accounting firm, and their legal firm, it was decided that in view of the business losses, some employees should be laid off. No layoffs, however, were to be effected until after Labor Day when it could be determined how many employees would fail to return from their vacations. Barry testified that in determining who should be selected for layoff, it was decided that first consideration would be given to seniority, as provided in the union contract, but that seniority would not be followed so rigidly as to strip one department of too many employees, and that due consideration was to begiven to management "grievances" (written complaints) against the em- ployees. Thereafter 15 employees were laid off on November 18, 1960; 1 on Novem- ber 21; 7 on December 2; 1 on Decmeber 10; 2 on January 10, 1961; 23 on Janu- ary 19; 2 (those here in issue ) on January 31; 3 on March 17; and 6 on April 18. Barry testified that the layoffs of Izzo and Beniamino on January 31 were motivated by the same business considerations as those resulting in the other layoffs and that the selection of these two employees was on the basis decided upon during the preceding July. He conceded, however, that departmental seniority, rather than plant seniority provided by the contract, was followed in selecting Izzo. He also conceded that seniority was not followed in the selection of Beniamino for layoff. As to him, Barry stated, "It was just a matter of finding which jobs through the plant could be eliminated." Ex-Material and Production Control Manager Weinstein also testified that Filtron had been suffering a decrease in its business and that he had discussed general lay- offs, and specific employees to be effected, with Vice President George Barry during the late fall and early winter of 1960 to 1961. He had not, however, been consulted about the January 31 layoffs even though Izzo was under his general supervision. He expressed the opinion that because of the decrease in business , layoffs were 12 The contract (article XIV) provided that : . .. Where reduction in the working force becomes necessary because of fluctuations in business or other conditions beyond the control of the Employer, the Employer shall give proper recognition to the length of the employee's service . .. Seniority shall apply to length of employment with the Company regardless of departments . In case of layoff, senior qualified Employees shall receive preference in remaining on jobs, so far as practicable. The Employer shall have the right to make such deter- mination, subject to grievance only where the Union charges management with arbi- trary or discriminatory conduct. On [sic] case of layoffs, senior Employees shall be retained if they have "ability and competence" to perform remaining jobs. By ability is meant "aptitude to learn the job in the normal or given training period two (2) weeks," and by competence is meant "efficiency and proficiency or capacity to perform the job with few instructions after a short trial or breaking in period. . . . That in case of layoff, that is, a reduction in the work force, Employees shall be permitted to bump workers with less seniority provided they are capable of performing the work without any additional training. 13 Evidence was adduced to show that due to Izzo's excessive absenteeism during the first 60 days of his employment, management issued a "grievance" against him which, because it occurred during his probationary period, would have resulted in his discharge but for Sid Barry's intervention; but that thereafter Izzo's attendance record improved substan- tially. There is also evidence that Beniamino had received two management grievances for being late to work but that he, too, had thereafter improved. 1710 DECISIONS OF NATIONAL LABOR RELATIONS BOARD "called for," and stated that if a layoff for business reasons was decided upon, Izzo, on a departmental seniority basis, would be a logical person to select. I am convinced, on the basis of all the evidence, that the layoff of two employees, and perhaps more, on January 31 was economically justifiable. Indeed, I have no doubt, as Sid Barry informed the employees on January 31, that Filtron was carrying 30 or 40 more employees on its payroll than were needed and that more reductions in force than those already effected were to be expected if Barry's business trip abroad did not result, as he hoped, in more business. These conclusions, however, do not resolve the issue before me, which is whether Izzo and Beniamino would have been laid off on January 31 but for their IUE activities. Why, if those activities were not the determining factor, did George Barry on January 30 call Weinstein aside, tell him of the report that Izzo was an "agitator" for the IUE, and invite his assistance in confirming the report. And why did Barry, in referring to the fact that Izzo was suspected of being an IUE agitator, state that management representatives "didn't know what they were going to do about it." George Barry, though not shown to be unavailable, was not called to explain his conduct. What, too, is the explanation for Supervisor Coleman's request early on January 31 that Shavers warn Beniamino that his and Izzo's names had been turned in for distributing IUE cards to Filtron employees. Filtron has not attempted to answer these and other puzzling questions which reflect upon the sincerity of its professed motivations. Despite Sid Barry's asserted ignorance of the IUE activities of Izzo and Beniamino prior to their layoffs, I am convinced that he and other management representatives responsible for the layoffs did know of such activities. The IUE activities of both Izzo and Beniamino were open and known to both their supervisors and to a number of the employees. Jack Metzger, supervisor of the short order and sample depart- ment where Beniamino worked, testified, and I find, that he had reprimanded Beniamino on at least two occasions prior to January 31 for talking about the IUE during working hours-once just after the IUE started distributing leaflets and again on January 30.14 Moreover, on the morning of January 31, according to the credited testimony of Beniamino, after he observed Metzer talking to employee Shavers and pointing to Beniamino, the latter asked what was wrong and Metzger replied, "I don't want you to talk about any union, whether you are on the break, lunch or anywhere near the plant." 15 Supervisor Coleman also admittedly knew of the IUE activities not only of Izzo and others in the stockroom but of Beniamino too. He heard Beniamino discussing the IUE when he came to the stockroom; knew that all stockroom employees had signed IUE cards; heard Dunnenfeld tell Izzo on the morning of January 31 that the IUE needed six or seven more cards signed before there could be an election to decide which union the employees wanted; 16 heard Georgiana Trachulec, the Filter Workers' treasurer, accuse Izzo, on the morning of January 31, of attending the IUE meeting held on the night before; and knew that Dunnenfeld and Shavers had attended that meeting and that Izzo had denied attend- ing it. Coleman further testified, and I find, that discussion of the IUE was at its peak about January 30, that "everybody" was talking about union activities at the 14 Metzger was clearly a supervisor within the meaning of Section 2(11) of the Act. He has between 7 and 12 employees under him and is paid a salary about twice the amount received by most of those under him He is responsible for seeing that the work in his department is done correctly and that time schedules are met. In meeting time schedules, he obtains authorizations for overtime work when necessary and designates the employees who are to work overtime. At the request of the personnel director, he interviews appli- cants for employment and his recommendations with respect to their employment or rejec- tion are customarily followed. He distributes and assigns work in accordance with his evaluation of the employees' capabilities. He channels employee requests for promotion, with his recommendations attached. He also reprimands employees under him and main- tains order in his department. He checks the employees' timecards, initials their over- time cards, and sees that the employees are present in their work areas Like Coleman, he resigned as a member of the Filter Workers upon being made a supervisor 13 According to Beniamino's undenied and credited testimony, Metzger during the after- noon came into the laboratory, complaining that everyone was giving him trouble that day, and explained that he had just come out of Sid Barry's office and "I won't be surprised if most of you get fired by tomorrow " When Beniamino inquired why, Metzger replied, "Absence or lateness, that's reason enough " I draw no conclusion, however, on the basis of this incident, that Metzger had informed Barry of Beniamino's IUE activities or that Barry informed Metzger of his decision to lay Beniamino off 16 This statement apparently was in reference to the Board's requirement in Section 101.18 of its Statements of Procedure (Series 8) that a union must be designated by at least 30 percent of the employees before the Board will process a representation petition. FILTRON COMPANY, INC. 1711 plant, and that he discussed it with the employees and with his immediate supervisor, Weinstein. Whether or not Supervisors Coleman and Metzger informed higher management of the IUE activities of Izzo and Beniamino, I have no doubt, in view of all the evidence, that management, as Sid Barry told the employees, had a good "grapevine" and knew which employees were "pushing" the IUE. I am further convinced, and find, on the basis of the whole record, that the layoffs of Izzo and Beniamino on January 31 were discriminatorily motivated. It is obvious from the testimony even of Sid Barry that despite the fact that Filtron on January 31 was carrying at least 30 more employees on its payroll than were needed, no decision had been made prior to that date to effect the two layoffs in question. The decision, I believe, was precipitated by Filtron's discovery that Izzo, who, because of his political connections, had received preferred treatment in the past, was among those "agitating" for the IUE-conduct obviously considered as disloyalty to Filtron and Izzo's sponsor. So concerned was Vice President George Barry with the report he had received about Izzo's IUE activities that on January 30, he sought Weinstein's assistance in confirming the report, at the same time expressing indecision as to "what they were going to do about it"; and Sid Barry on the next day could not resist expressing his chargin by remarking to Izzo, "You wouldn't cross him [Cavalusso], would you?" Moreover, Supervisor Coleman's attempt early in the morning on January 31 to get word to Beniamino that his and Izzo's names had been turned in to management for having distributed IUE cards to Filtron workers and Super- visor Metzger's admonition that morning to Beniamino not to discuss a union any- where near the plant, whereas on prior occasions he had merely requested Beniamino not to discuss the IUE during working hours, suggest to me that these supervisors had recently acquired some knowledge of possible recriminations against such employees and were seeking to protect them. Accordingly, despite the fact that economic justification for the layoff of 30 or 40 employees on'January.31 may have existed, I find that Filtron would not have laid off Izzo and Beniamino on January 31, but instead, would have retained them as it did the others except for the IUE member- ship and activities of Izzo and Beniamino . Their layoffs, therefore, were in violation of Section 8(a) (3) and (1) of the Act. In view of my conclusion stated above, I find it unnecessary to and do not decide whether, absent a discriminatory motivation, Filtron would thereafter have laid off Izzo and Beniamino . This question can more readily be determined at the compli- ance stage of this proceeding, when, taking into account the pattern followed by Filtron in other layoffs since its retrenchment program started on November 18, 1960, the extent to which Filtron followed the plant seniority provisions of its con- tract will be more apparent. IV. THE REMEDY Having found that Respondents Filtron and the Filter Workers have engaged in certain unfair labor practices, my Recommended Order will direct that they cease and desist therefrom and take certain affirmative action designed to effectuate the policies of the Act. I have found that the collective-bargaining agreements which Respondent have entered into and maintained in effect contain certain unlawful union-security and other provisions which discriminate against employees on the basis of whether or not they have joined or applied for membership in the Filter Workers. These pro- visions, as the Filter Workers' counsel explained, were in an old contract form adopted by the negotiators, and I am convinced that the illegal provisions were carried over from one contract term to another without any thought being given to them and without any intention of requiring union membership or the payment of union dues or initiation fees prior to the expiration of 60 days from the date of employment or otherwise discriminating against nonunion employees. In practice, no one was permitted to join before he had been employed for 60 days and no initiation fee or dues was ever deducted prior to that time. Moreover, if an em- ployee left the Company's employ before the expiration of 90 days, it was the Filter Workers' practice to refund to him any initiation fee or dues which had been de- ducted from his pay. In these circumstances, although Respondents must be re- quired to clean up their contract by eliminating the illegal provisions hereinbefore pointed out, I do not believe that it would effectuate the policies of the Act to set aside the entire contract or condition Filtron's recognition of the Filter Workers on the latter's certification in a Board-conducted election, as is usually, required where a union has been unlawfully assisted.17 Here, the illegal contract provisions are 17 See Pan Atlantic Steamship Company , 132 NLRB 868 ; Argo Steel Construction Com- pany, 122 NLRB 1077. 1712 DECISIONS OF NATIONAL LABOR RELATIONS BOARD severable from the remainder of the contract and, in the interest of industrial peace and stability, I do not believe it necessary to disturb the long-established contractual relationship between the parties in order to protect the employees' rights. Nordberg- Selah Fruit, Inc., Nordberg-Westbrook Fruit, Inc., 126 NLRB 714; N.L.R.B. v. International Association of Machinists, Lodge No. 113, Guided Missile Lodge 1254 (Convair, a Division of General Dynamics Corp.), 241 F. 2d 695 (C.A. 9). To be sure, employees were given application-checkoff cards, along with other forms to be signed, at the time they were hired, and if any employee had not signed by the end of 6 weeks of employment, Piliero sought him out and asked him to sign, thus reasonably causing such employee to believe that he was required at the outset to signify his willingness to join at the expiration of 60 days from date of employ- ment and perhaps to pay dues before that time. But in view of the fact that no employee was in practice required or even permitted to join or pay dues or initiation fees in the Filter Workers prior to 60 days of employment or was otherwise dis- criminated against because of his nonmembership in the Filter Workers, I cannot view the premature request, or even requirement, that an employee sign the appli- cation-checkoff authorization card as a serious breach of statutorily protected em- ployee rights. An order requiring Respondents to cease and desist from this practice should be sufficient. In view of my finding that Filtron was discriminatorily motivated in laying off employees Izzo and Beniamino on January 31, 1961, my Recommended Order will require Filtron to place them, insofar as possible, in the same situation they would be in had the discrimination not occurred. Although, as I have found, they would not have been laid off on January 31 but for the discriminatory motivation, it is possible, in view of Filtron's retrenchment program, that they would in any event have been laid off at a subsequent date. To order them reinstated at this time to their old or substantially equivalent jobs might result in unwarranted preference being accorded them,to the detriment of other employees who would have retained their jobs even in the absence of discrimination against Izzo and Beniamino. My Recommended Order will therefore require Filtron only to offer them reinstatement to the same employee status, rights and privileges they would have enjoyed but for the discrimination against them and to make them whole for any loss of pay suffered by reason of such discrimination.18 In other words, if at the compliance stage of this proceeding, it appears from an examination of the pattern followed by Filtron in effecting other layoffs during the retrenchment period beginning on November 18, 1960, and from other relevant factors, that Izzo and Beniamino would not yet have been reached for layoff, then Filtron shall be required to offer them immediate reinstatement to their old or substantially equivalent positions; but if it appears that, in any event, they would have been reached for layoff at some date subsequent to January 31, then Filtron will merely be required to retain Izzo and Beniamino on its list of employees to be recalled and to recall them in a nondiscriminatory manner in accordance with its established practice of recalling its laid-off employees. In making Izzo and Beniamino whole for any losses of pay suffered by reason of the discrimination against them, my Recommended Order will require Filtron to pay to each of them a sum of money equal to that which he would normally have earned in Filtron's employ from the date of his layoff to the date upon which he is offered reinstatement or would have been reached for layoff on a nondiscriminatory basis in accordance with the formula established by the Board in F. W. Woolworth Company, 90 NLRB 289. CONCLUSIONS OF LAW 1. By entering into and maintaining in effect a collective -bargaining agreement which requires, as a condition of employment, that an employee, upon applying for a job, shall file an application for membership in the Filter Workers Group, which requires the deduction by Filtron of union dues prior to the 30-day delay period re- quired by the statute for valid union-security agreements, and which otherwise dis- criminates against employees on the basis of their membership or lack of member- ship in the Filter Workers Group, Respondent Filtron has violated Section 8(a).(1), (2), and (3) of the Act and Respondent Filter Workers has violated Section 8(b)(1)(A) and (2 ) of the Act. 2. By supplying each new employee at the time he is hired with a dues checkoff authorization card without making it clear to him that he is not required to apply for membership in the Filter Workers or pay dues to it prior to a date when he may be legally required under the collective-bargaining agreement to join the Filter Workers, Respondent Filtron has furnished support to the Filter Workers, in viola- 18 Cf. N.L R.B. v. Biscayne Television Corporation , 289 P 2d 338 (C A. 5). INTERNATIONAL UNION OF ELECTRICAL, RADIO, ETC. 1713 tion of Section 8(a)(2) of the Act, and has interfered with, restrained , and coerced employees in the exercise of their rights guaranteed under Section 7 of the Act, thereby violating Section 8 ( a)(1) of the Act; and Respondent Filter Workers, by supplying to Filtron the dues checkoff authorization cards for the purpose of dis- tribution in the manner above described , has restrained and coerced employees in the exercise of their Section 7 rights, in violation of Section 8(b)(1)(A) of the Act. 3. Respondent Filtron, by coercively interrogating employees in regard to their union activities , and by warning and informing employees that it knew of their activities in behalf of the Union seeking to organize its plant, thereby making veiled threats of reprisal against employees engaging in union activities , has engaged in unfair labor practices within the meaning of Section 8 (a) (1) of the Act. 4. Respondent Filtron, by laying off employees Izzo and Beniamino because of their IUE membership and activities , has discriminated against them within the meaning of Section 8 ( a) (3) and (1) of the Act. 5. The aforesaid unfair labor practices affect commerce within the meaning of Section 2 (6) and (7) of the Act. 6. Respondents Filtron and the Filter Workers have not, as alleged in the com- plaint, violated Section 8( a)(3) and 8( b)(2), respectively, by enforcing the unlawful provisions of their collective-bargaining agreement. [Recommendations omitted from publication.] International Union of Electrical , Radio and Machine Workers, AFL-CIO, and its Agent, Robert J. Danckert ; International Union of Electrical , Radio and Machine Workers, AFL-CIO, Local Union 905, and its Agents, Johnie Locke , Albert Cox, Lee Roy King, and Neal Reece and The Sperry Rubber & Plastics Company. Case No. 25-CB-450. December ^?9, 1961 DECISION AND ORDER On October 6, 1961, Trial Examiner Thomas N. Kessel issued his Intermediate Report in the above-entitled proceeding, finding that the Respondents had engaged in and were engaging in certain unfair labor practices, and recommending that they cease and desist therefrom and take certain affirmative action, as set forth in the Intermediate Report attached hereto. Thereafter, the Respondents filed exceptions to the Intermediate Report and a supporting brief. Pursuant to the provisions of Section 3(b) of the Act, the Board has delegated its powers in connection with this case to a three- member panel [Members Leedom, Fanning, and Brown]. The Board has reviewed the rulings made by the Trial Examiner at the hearing and finds that no prejudicial error was committed. The rulings are hereby affirmed. The Board has considered the Intermediate Report, the exceptions and brief, and the entire record in this proceeding, and hereby adopts the findings, conclusions, and recommendations of the Trial Examiner. ORDER The Board adopts as it Order the Recommendations of the Trial Examiner with the modification that provision (2) read: "Notify the 134 NLRB No. 165. 630849-62-vol. 134-109 Copy with citationCopy as parenthetical citation