General Motors Corp.Download PDFNational Labor Relations Board - Board DecisionsDec 8, 1961134 N.L.R.B. 1107 (N.L.R.B. 1961) Copy Citation GENERAL MOTORS CORP., PACKARD ELECTRIC DIVISION 1107 ployees; but excluding office clerical employees, engineering clerks, and blueprint machine operators; design engineers, designers, de- tailers, and engineering apprentices in the measuray engineering de- partment; designers, detailers, and engineering apprentices in the mechanical and electrical engineering departments; laboratory tech- nicians in the pneumatic laboratory of the autometrology division ; engineering group leaders, design engineers, designers, detailers and engineering apprentices in the machine tool engineering department of the machine tool division; engineering group leaders, checkers, de- sign engineers, designers, detailers and engineering apprentices in the production engineering department of the gauge and instrument division; engineering group leaders, design engineers and designers in product engineering of contract manufacturing division; designer in special projects, modulab; and sales employees, co-op students, confidential employees, professional employees," guards, and super- visors as defined in the Act." [Text of Direction of Election omitted from publication.] MEMBERS LEEDOM and FANNING took no part in the consideration of the above Decision and Direction of Election. probationary employees of the Employer in the production and maintenance unit (The Sheffield Corporation, 123 NLRB 1454 , 1457 ) and the record herein shows that the em- ployment status of probationary employees has not changed We therefore find, for the reasons given in that decision , that probationary employees should be included in the unit and are eligible to vote. 11 We find, on the basis of the entire record, that the following employees are pro- fessional employees , and, in accord with the agreement of the parties , exclude them from the unit : electronic engineers in the electronic engineering department, auto- metrology division , and the cavitron department, machine tool division ; mechanical engineers in the pneumatic laboratory , autometrology division , physicists in the cavitron department , machine tool division; project engineers in special products , modulab; and the engineering group leader in the electrical engineering department , autometrology division. 12 The Petitioner at the hearing agreed to represent as broad a unit as the Board finds appropriate As the unit found appropriate is broader than that originally requested by the Petitioner , the Regional Director is instructed to conduct the election herein directed only after he has determined that the Petitioner has made an adequate showing of interest in the unit found appropriate. General Motors Corporation , Packard Electric Division and Donald T . Morris International Union of Electrical , Radio, and Machine Workers, AFL-CIO, Packard Local 717 and Donald T. Morris. Cases Nos. 8-CA-9d024 and 8-CB-418. December 8, 1961 DECISION AND ORDER On August 3, 1960, Trial Examiner Ralph Winkler issued his In- termediate Report in the above-entitled proceeding, finding that the 134 NLRB No. 116. 1108 DECISIONS OF NATIONAL LABOR RELATIONS BOARD 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. The Trial Examiner also found that the Respondents did not engage in certain other unfair labor practices and recom- mended that the complaint be dismissed with respect thereto. There- after the Charging Party, General Counsel, and Respondents filed exceptions to the Intermediate Report and briefs in support thereof. The Board has reviewed the rulings of the Trial Examiner made at the hearing and finds that no prejudicial error was committed. The rulings are hereby affirmed. The Board has considered the Inter- mediate Report , the exceptions and briefs, and the entire record in this proceeding,' and hereby adopts the findings, conclusions, and recommendations of the Trial Examiner , except as modified herein. 1. As found by the Trial Examiner, the Union requested the Com- pany to discharge Busefink pursuant to a valid union-security agree- ment between the Union and the Company , at a time when and solely because Busefink was delinquent in the payment of his dues. There- after, Busefink offered to pay the Union the amount of his delinquency, which offer the Union refused to accept ; and the Company thereafter discharged Busefink pursuant to the Union 's request . On these facts the Trial Examiner concluded that under the rule of the Alrwminum Workers case 2 the Respondent Company had violated Section 8(a) (3) and (1 ) of the Act and the Respondent Union had violated Section 8(b) (2) and (1) (A). The Union, in excepting to the finding of violations of Section 8(b) (1) (A ) and (2 ), urges the Board, inter alia, to overrule the A11tvmivnum Workers case insofar as it holds that a full and unqualified tender made any time prior to actual discharge , and without regard as to when the request for discharge may have been made, is a proper tender, and that a subsequent discharge based upon the request is unlawful . We find merit in this position. The legality of a discharge in the circumstances of this case is gov- erned by the provisions of Section 8(a) (3) and 8 (b) (2) of the Act. Section 8(a) (3) provides in pertinent part: . .. nothing in this Act, or in any other statute of the United States, shall preclude an employer from making an agreement with a labor organization . . . to require as a condition of em- ployment membership therein on or after the thirtieth day fol- lowing the beginning of such employment or the effective date of I As the record and briefs adequately present the issues and positions of the parties, the request by the Respondent Union for oral argument is denied. a Aluminum Workers International Union, Local No. 135 , AFL (The Metal Ware Corporation), 112 NLRB 619, 621, wherein the Board stated the general rule that "a full and unqualified tender made anytime prior to actual discharge, and without regard as to when the request for discharge may have been made, is a proper tender and a subsequent discharge based upon the request is unlawful." GENERAL MOTORS CORP., PACKARD ELECTRIC DIVISION 1109 such agreement, whichever is the later . . . : Provided further, That no employer shall justify any discrimination against an employee for nonmembership in a labor organization . . . if he has reasonable grounds for believing that membership was denied or terminated for reasons other than the failure of the employee to tender the periodic dues and the initiation fees uniformly required as a. condition of acquiring or retaining membership. Correspondingly, Section 8(b) (2) of the Act provides that it shall be an unfair labor practice for a union "to cause or attempt to cause an employer . . . to discriminate against an employee with respect to whom membership in such organization has been denied or terminated on some ground other than his failure to tender the periodic dues and the initiation fees uniformly required as a condition of acquiring or retaining membership." As reflected in the statutory language, the question to be determined is the reason underlying the discharge. As we have found, Busefink was delinquent in the payment of his dues at the time the Union re- quested his discharge and the request was made solely because of such delinquency; if the Company had discharged Busefink immediately upon receipt of the Union's request, the legality of both the request and the discharge could not have been questioned. In these cir- cumstances, to find that Busefink's offer of payment, subsequent to the request for his discharge but prior to his actual discharge, was suffi- cient to convert lawful action into unlawful action would mean that, despite the absence of any other evidence of unlawful purpose, an inference is to be drawn that the Union refused to accept his offer and continued to seek his discharge for some undisclosed reason other than his prior delinquency and that the Company had reasonable grounds for believing that such was the case. We do not believe that the fact of a tender belatedly made after a lawful request for dis- charge is sufficient standing alone to warrant such an inference. We believe, moreover, that the application of the Aluminum Work- ers rule is at odds with the congressional purpose of allowing parties to collective-bargaining relationships to enter into and effectively en- force union-shop agreements requiring membership in the union as a condition of employment. For, as illustrated by the circumstances of this case, there can be little if any union security if dissident mem- bers can frustrate the orderly administration of lawful collective- bargaining agreements by delaying payment of dues and fees they are lawfully obligated to pay until the last minute before their actual discharge. We shall therefore no longer apply the Aluminum Work- ers rule when the tender occurs after a lawful request, but shall in all such cases look to the record to determine the real reason for the parties' subsequent conduct.' 3 To the extent that they are inconsistent with our decision herein , the Aluminum WorLers case, supra, and cases relying thereon are hereby overruled In joining the 1110 DECISIONS OF NATIONAL LABOR RELATIONS BOARD As we are satisfied on this record that the Union requested the dis- charge of Busefink solely because of his delinquency in dues, and that the Company discharged him for such delinquency, as it was required to do by the valid union-security agreement in effect between them, we find that no violations of 8(a) (1) and (3) and 8(b) (1) (A) and (2) were committed by reason of the conduct of the Company and -the Union with respect to Busefink.4 We also find, contrary to the contention of the Charging Party, that the Union did not violate the Act by attempting to cause the discharge of employees Bendick, Bower, Burgess, Pukelis, and Ulam, as they were also delinquent at the time of the request for their discharge and, like Busefink, offered to cure their delinquency only after such request. 2. Under the circumstances of this case we agree with the Trial Examiner's disposition of the other allegations in the complaints. ORDER Upon the entire record in this proceeding, and pursuant to Section 10(c) of the National Labor Relations Act, as amended, the National Labor Relations Board hereby orders that the Respondent Union, International Union of Electrical, Radio, and Machine Workers, AFL-CIO, Packard Local 717, its officers, agents, representatives, successors , and assigns; shall: 1. To cease and desist from : (a) Seeking or threatening the discharge of employees for faliure to pay dues for a period not covered by a union-security contract. (b) In any like or related manner restraining or coercing em- ployees of General Motors Corporation, Packard Electric Division, in the exercise of their rights guaranteed in Section 7 of the Act, ex- cept as such rights may be affected by an agreement requiring mem- bership in a labor organization as a condition of employment, as au- thorized 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) Post at its business office in Warren, Ohio, copies of the notice attached hereto marked "Appendix." s Copies of said notice, to be furnished by the Regional Director for the Eighth Region, shall, after being duly signed by an official representative of the aforesaid Union, be posted by it immediately upon receipt thereof, and be main- tained by it for 60 consecutive days thereafter, in conspicuous places, majority in this case , Member Brown does not view the decision as determining whether the validity of the discharge action is contingent upon a specific request for discharge before a belated tender is made. A In view of our decision , we do not pass on the Trial Examiner 's recommendation that any dues which Busefink may have owed be offset against his backpay. 5In the event that this Order is enforced by a decree of a United States 'ourt 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." GENERAL MOTORS CORP., PACKARD ELECTRIC DIVISION 1111 including all places where notices to members are customarily posted. Reasonable steps shall be taken to insure that said notices are not altered, defaced, or covered by any other material. (b) Mail to the Regional Diretcor for the Eighth Region sufficient signed copies of the foregoing notice for posting, the Company will- ing, at its plant in Warren, Ohio, in conspicuous places, including all places where notices to employees, are customarily posted, and, if posted, reasonable steps shall be taken to insure that such notices are not altered, defaced, or covered by any other material. (c) Notify the Regional Director for the Eighth Region, in writ- ing, within 10 days from the date of this Order, what steps the Re- spondent Union has taken to comply therewith. IT IS FURTHER ORDERED that the amended complaint in Case No. 8-CA-2024 be dismissed in its entirety, and that the complaint in Case No. 8-CB-418 be dismissed insofar as it alleges that the Re- spondent Union has violated the Act otherwise than as found herein. MEMBER RODGERS took no part in the consideration of the above Decision and Order. APPENDIX NOTICE TO ALL MEMBERS OF INTERNATIONAL UNION OF ELECTRICAL, RADIO, AND MACHINE WORKERS, ' AFL-CIO, PACKARD LOCAL 717, AND TO ALL EMPLOYEES OF GENERAL MOTORS CORPORATION, PACK- ARD ELECTRICAL DIVISION 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 seek or threaten the discharge of employees for failure to pay dues for period not covered by a union-security contract. WE WILL NOT in any like or related manner restrain or coerce employees of General Motors Corporation, Packard Electric Di- vision, in the exercise of their rights guaranteed in Section 7 of the Act, except as such rights may be affected by an agreement re- quiring membership 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. INTERNATIONAL UNION OF ELECTRICAL, RADIO, AND MACHINE WORKERS, AFL- CIO, PACKARD LOCAL 717, 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. 1112 DECISIONS OF NATIONAL LABOR RELATIONS BOARD INTERMEDIATE REPORT STATEMENT OF THE CASE This consolidated proceeding was heard before the duly designated Trial Examiner in Warren, Ohio, on March 7 and 8, on an amended consolidated complaint of the General Counsel and separate answers of the respective Respondents. The issues litigated were whether Respondent Company violated Section 8(a)(1) and (3) of the Act and whether Respondent IUE, Local 717, violated Section 8 (b) (1) (A) and (2) of the Act. Briefs have been received and considered. I Upon the entire record in the case, and from my observations of all witnesses, I hereby make the following: FINDINGS AND CONCLUSIONS 1. THE BUSINESS OF RESPONDENT COMPANY General Motors Corporation, herein called the Company, is a Delaware corpora- tion with principal offices in Detroit, Michigan. It operates automobile manufactur- ing and assembling plants and other business establishments throughout the United States. Packard Electric Division, an unincorporated division of the Company, manufactures electrical systems for motor vehicles in a plant at Warren, Ohio; its annual interstate sales exceed $50,000. The Company is engaged in commerce within Section 2(6) and (7) of the Act. II. THE LABOR ORGANIZATIONS INVOLVED Respondent International Union of Electrical, Radio, and Machine Workers, AFL-CIO, Packard Local 717, herein called IUE, is a labor organization within Section 2(5) of the Act. Chapter 14, International Society of Skilled Trades, herein called Society, is a labor organization within Section 2(5) of the Act. 1111 . THE UNFAIR LABOR PRACTICES The complaint alleges in effect that the IUE and the Company required five employees,' as a condition of their employment, to execute checkoff authorizations for union dues and also to pay dues for a period not covered by a union-security contract; that the IUE caused the Company to discharge Herbert E. Busefink and that the Company did discharge Busefink for dues delinquency under a union-shop contract after Busefink had tendered the amount of dues owing under said contract; and that the Company suspended and then discharged Donald T. Morris for engaging in protected concerted activities. A. Sequence of events This case involves a plant of approximately 5,000 employees, and the IUE has been recognized as the certified bargaining representative for these employees since 1950. The Company and the IUE have had a series of collective-bargaining agree- ments covering this plantwide unit, the effective term of the present agreement ex- tending from October 21, 1958, until at least August 31, 1961. The prior contract ran from 1955 until May 28, 1958, and there was no operative agreement during the period from May 29, 1958, until the present contract went into effect on Oc- tober 21, 1958; this interval between contracts will be called the no-contract period. The present agreement, like the prior one, contains union-security provisions as well as a provision for checkoff of union dues. The General Counsel does not chal- lenge in any -respects the validity of these union-security and checkoff provisions. Insofar as is material here, the contract provides in this connection that all employees who were members of the IUE on October 21, 1958, shall continue such member- ship and that employees who were not members on that date shall become members within 90 days of that date and shall continue their membership. The contract defines a union member as one who is not more than 60 days in arrears of described union dues. This 60-day period begins running at the beginning of the month for which dues are payable; thus, an employee member who fails to pay his May dues 'Thomas F Bower, Norman J. Ulam, Robert D. Burgess, Stephen J. Bendik, Jr, and Stanley Pukells GENERAL MOTORS CORP., PACKARD ELECTRIC DIVISION 1113 is subject to discharge for such reason by June 30. The Company agrees, in the checkoff provision, to deduct monthly membership dues from the pay of each employee for whom it has on file an unrevoked checkoff authorization. The Society has been organizing and attempting to carve out a toolroom unit of approximately 250 employees from the established plantwide unit, and in June 1958 the Society filed a representation petition with the Board for such toolroom unit. This petition was dismissed on July 1, 1958, because of the inappropriateness of the requested unit. In November 1958 the Society instituted an action in the Ohio State courts to restrain the Company and the IUE from performing the checkoff provision of the current agreement . The court of common pleas dismissed the action and, on review , the court of appeals sustained the dismissal . In May 1958 , upon expira- tion of the prior agreement, employee proponents of the Society meanwhile had concertedly revoked their IUE checkoff authorizations and otherwise did not con- tinue their dues payments to the IUE during the mentioned no-contract period. These employees were not required to do otherwise by any existing contract, and the Company also advised all its personnel that union-security conditions were not in force during the no-contract period and that the Company would not, and it did not, checkoff IUE dues during this hiatus. All employees were required, however, to become IUE members (within the contract definition) no later than 90 days after the effective date of the current October 1958 agreement , as described above. Some employees who had not paid IUE dues during the no-contract period had failed to rejoin or perfect such member- ship within the contract prescription. On January 29, 1959, which was after the stated 90-day period, the IUE individually notified all such employees that it would request their discharge unless they became members of the IUE within 5 days from receipt of this notification. On February 9, 1959, and as it was entitled to do under the contract , the IUE accordingly requested the Company to discharge approxi- mately 80 named employees who still had not become IUE members as required; however , the IUE agreed with the Company to postpone the discharge requests until February 16, 1959 . The Company meanwhile interviewed each of the 80 employees and explained the union-security provisions of the contract . On February 11, 1959, an attorney representing employee members of the Society sent a check to the IUE in payment of initiation fees and the January and February dues for the mentioned 80 employees. It is recalled that many , if not all, Society proponents had revoked their 'IUE checkoff authorizations in May 1958 ; they did not execute new IUE checkoff au- thorizations under the October 1958 contract and their practice was to wait at least a month before paying each month 's dues. I am satisfied that such action was deliberate and taken in concert. Stephen Bendik , Thomas Bower, Robert Burgess , Stanley Pukelis, and Norman Ulam were long-time employees of the Company and they were among the Society members who had revoked their IUE checkoff authorizations in May 1958. They 2 were also among the aforementioned 80 Society members who failed to become IUE members within the 90 days required under the October 1958 agreement , who were interviewed and advised by the Company of their obligations under the contract, and who then belatedly paid their IUE dues and initiation fees in February 1959 as described above. These five employees also had not executed new checkoff cards, and also were among the mentioned Society members who followed the practice of delayed payment of IUE dues. None of these five employees had paid IUE May dues by June 22, 1959, and on that day the IUE advised them by individual letter that they would be in default under the contract unless they paid such May dues by June 30. All five employees chose to ignore the IUE's June 22 letter, and they did nothing about paying May dues within the required 60-day period. On July 2,3 IUE President Albert Fenton handed a letter to C. C. Alexander, the Company's director of labor relations , which letter demanded the immediate dis- charge of the mentioned five employees for being more than 60 days in arrears in dues. Alexander told Fenton he would have to make his own investigation of such claimed arrearages , and Fenton indicated in the ensuing conversation that he (Fenton) would be willing to talk to the affected men before final discharge would be taken . Alexander thereupon directed one of his personnel supervisors, Morey Webster, to interview the men and ascertain the facts respecting their purported de- fault and to remind them of their IUE membership obligations under the contract 2 Bendik was in layoff status from July until December 1958 3 Unless otherwise stated , all other events recounted here occurred in 1959. 1114 DECISIONS OF NATIONAL LABOR RELATIONS BOARD and to determine what the men intended to do about the matter. Alexander also directed Webster to have the men report back to Webster what action each had taken to straighten out the situation by July 6 and Alexander also directed Webster to report back to him on July 6. Webster thereupon proceeded to interview each man within the scope of Alexander's instructions; what he did was to refer to the IUE's letter of July 2 and to the membership requirement of the contract mentioned in the letter and to ascertain whether the men were more than 60 days in arrears. The men admitted their default to Webster and they indicated their desire to pay up their dues. The five men spoke with Fenton within the next few days and offered to pay their current arrearages. Fenton rejected their respective offers and he told them in effect that he would not withdraw the July 2 demand for their dis- charge unless they signed checkoff authorizations and paid all dues, including back dues for the mentioned no-contract period. Fenton told the men that the reason for insisting on the checkoff was to prevent continued recurrence of default in dues payments. No company representative was present at these conversations. Three or four (the number being immaterial) of the five men reported back to Webster on July 6, and they informed Webster of their aforementioned conversa- tions with Fenton. Webster's function at the time was, as indicated earlier, merely to ascertain facts and to report such facts to Alexander, and the reliable and credible testimony establishes that Webster did only what he was instructed to do. Webster testified and I find that he did not direct or advise or suggest to the employees that they should sign checkoff authorizations or that they should pay dues for the no- contract period; Webster did not state in any of these mentioned conversations either expressly or impliedly that the signing of checkoff authorizations or payment of no- contract dues was a condition of employment and he did not otherwise tell these employees that they would be discharged unless they signed a checkoff authorization or paid such dues. After the employees related their conversations with Fenton, Webster directed them to work and he told them that he would pass on the informa- tion to Alexander and that they would be notified of any further action. The five employees went to Fenton on or about July 6 and signed checkoff authori- zations and either paid or made arrangements to pay the mentioned back dues. Later that day Fenton advised Alexander that the IUE was withdrawing its request for the discharge of the five employees. The IUE retained possession of the five checkoff cards until August, and the Company deducted no dues thereunder until that time. In the evening of July 6, the Society convened a special meeting attended by approx- imately 40 Society members employed in the Company's machine shop, including Bower and Ulam of the five employees involved. Employee Donald T. Morris is director or president of the Society, and he presided. The meeting was called to discuss the checkoff cards executed by the fivementioned employees and the assem- bled group unanimously agreed at this meeting that there would be a "sitdown" at the plant the following day (July 7) "until [the aforementioned five] checkoff cards obtained through coercion are rescinded." The motion, as adopted, described the intended "sitdown" as "not open tool boxes or don aprons." The mentioned strike occurred the next day (July 7). Before discussing that inci- dent and in order to present the succeeding events in proper perspective, I shall inter- rupt the chronological recitation with a reference to some pertinent contractural pro- visions operative at the time. B. No-strike and other contract provisions Paragraph 99 of the current contract contains the following no-strike provision: During the life of this Agreement , the Union will not cause or permit its mem- bers to cause, nor will any member of the Union take part in, any sit-down, stay- in or slow-down, in any plant of the Corporation, or any curtailment of work or restriction of production or interference with production of the Corporation: The Union will not cause or permit its members to cause nor will any member of the Union take part in any strike or stoppage of any of the Corporation's operations or picket any of the Corporations ' plants or premises until all the bargaining procedure as outlined in the Agreement has been exhausted, and in no case on which the Umpire shall have ruled, and in no other case on which the Umpire is not empowered to rule until after negotiations have continued for at least five days at the Appeal step of the Grievance Procedure and not even then unless authorized by the International Union of Electrical, Radio & Machine Workers, AFL-CIO, and written notice of such intention to authorize has been delivered to the Personnel Staff of the Corporation subsequent to the Appeal step and at least five (5 ) days prior to such authorization. . In case a strike or stoppage of production shall occur, the corporation has the GENERAL MOTORS CORP., PACKARD ELECTRIC DIVISION 1115 option of cancelling the Agreement at any time between the tenth day after the strike occurs and the day of its settlement. The Corporation reserves the right to discipline any employee taking part in any violation of this Section of this Agreement. The contract provides, in part, as to dues checkoffs that the Company will not make such payroll deductions until the IUE delivers to it an authorization form properly executed by the employee, and the contract also provides in this connection that: Any dispute which may arise as to whether or not an employee properly exe- cuted or properly revoked an Authorization and Direction form, shall be re- viewed with the employe by a representative of the Local Union and a repre- sentative of local Management. Should this review not dispose of the matter, the dispute may be referred to the Umpire, whose decision shall be final and binding on the employe, the Union and the Corporation. Until the matter is disposed of, no further deductions shall be made. The contract also contains a multistep grievance procedure , the last step being an appeal to an impartial umpire. C. The strike and Morris' discharge Returning to the events of July 7 , the toolroom employees reported and went to their work stations at 7 o'clock that morning, the usual starting time; however, they just sat there and refused to perform their normally assigned duties. As started above, this stoppage was conceived at the Society meeting the evening before. The employees informed the foremen that they would not work until checkoff cards were returned; Industrial Relations Director Alexander did not learn until after the stop- page began that the cards in dispute were those of the five aforementioned employees. It is sufficient for purposes of this case to describe the further events of July 7 and 8 in broad outline. The stoppage was not authorized by the IUE, the statutory bargaining representative; it was in defiance of the Company and the IUE and in violation of the no-strike provision and both the IUE and the Company at all times sought to have the strikers return to work. Morris, the Society director, was one of the strikers and by virtue of that position he was a spokesman for the strikers and a focal point of their activity. Fenton informed the strikers that the IUE had the five checkoff cards, not the Company, and that the IUE alone was responsible for obtaining them. Meetings were held that day between the IUE, the Company, and representatives (including Morris) of the strikers and toward the end of the day the strikers were still demanding the return of the five checkoff cards and they also demanded that they be paid for time spent in striking and also that no discipline be imposed on striking employees. Alexander rejected the strike-pay demands and he stated that company decision respecting possible discipline would have to await consideration of the matter. The strikers returned to work about 3:30 that afternoon. About an hour after work began the following morning, individual employees again stopped working and Morris testified that they did so in protest against the Com- pany's refusal to pay them for the period of the strike the day before. Alexander asked what Morris' own intentions were concerning working. Morris replied that his action depended on whatever a majority of the men would decide. The work stoppage ended on July 8. The Company suspended Morris later that day pending a study of his participation in the strike. Morris thereupon requested and obtained representation of his IUE committeeman and he filed a grievance under applicable contract procedures. The Company finally terminated Morris on July 11, and he filed a second grievance; the TUE is processing this grievance and it is pres- ently before the impartial umpire. The Company also took disciplinary action against 95 other employees for strike participation. In August the IUE delivered to the Company a number of checkoff cards in ac- cordance with usual operating procedures under the contract. Among them, as al- ready indicated, were the five cards under consideration here. The Company has deducted dues since then, and none of the five employees has filed a grievance pro- testing such deduction or otherwise challenging the validity of their cards. D. Busefink's discharge ° The Company discharged Herbert Busefink in September 1959 at the IUE's request because of Busefink's failure to maintain his membership in the IUE as required by the contract; Busefink had approximately 10 years company seniority at the time. Busefink was among the group of Society proponents who concertedly had re- voked TUE checkoff authorizations in May 1958; and he was one of the same group who were in default under union-security provisions of the contract in January 1116 DECISIONS OF NATIONAL LABOR RELATIONS BOARD 1959, and whom the IUE thereupon advised to correct such situation within 5 days or be discharged. Busefink was also among the 80 or so Society members who were interviewed by the Company at the time and advised of the union-security conditions of employment and who still did not become such required member of the IUE until after the IUE had meanwhile requested his discharge for failing to achieve union membership status during the mentioned 5-day period. Busefink continued the practice of delaying payment of dues. On June 22, 1959, for example, the IUE notified Busefink that the 60-day period for payment of May dues would expire on June 30. Busefink thereupon paid his May dues a few days before the contractual deadline. But that was all he paid at the time, and on July 15 the IUE again notified him that he would be in default unless he paid his June dues by July 30. Busefink did nothing about this July 15 notification and an IUE officer called to advise Busefink on the last day of July that he would be in default unless his June dues were paid that same day. Busefink thereupon paid his June dues on that last day. Again Busefink paid only 1 month's dues, and on August 14 the IUE once more sent him a letter to the effect that he would be in default unless he paid his July dues by the end of August .4 Busefink did not pay the July dues, and by letter dated August 31 the IUE requested Busefink's discharge for nonpayment of dues within the 60-day period. Upon receipt of this letter on September 1, Webster (of Alexander's staff) suggested that Busefink attempt to straighten out his status with the IUE. Busefink called the IUE office and Fenton invited Busefink to appear before the union executive committee which he did on September 2. Busefink testified that he had forgotten to pay the July dues and he told the committee that his delinquency was a result of oversight rather than deliberate intention on his part and he offered to pay (but did not actually tender) the dues for July. The committee rejected his offer, where- upon Busefink offered to pay (but did not actually tender) his current dues and all arrearages and he also then offered to sign a checkoff authorization. The com- mittee refused and in effect informed Busefink that it would not withdraw the request for his discharge. The next day Busefink informed Webster of his meeting with the committee, including the comittee's rejection of his mentioned offers. The IUE did not withdraw its request for Busefink's discharge, and the Company thereupon discharged him on September 4 for failing to satisfy the union-security provisions of the contract. E. Contentions and conclusions 1. Checkoff cards and "no-contract" dues The General Counsel contends in effect that the Company and the IUE respectively violated the Act by requiring Bower, Ulam, Burgess, Bendik, and Pukelis to sign checkoff authorizations and to pay IUE dues for the no-contract period. It is hornbook law that an employee covered by a valid union-security agree- ment is obligated to comply with such terms as a legal condition of continued employment and that, failing such compliance, the bargaining representative is lawfully entitled to demand his discharge and the employer is lawfully entitled to effect his discharge. There was a valid union-security agreement and the record shows that the aforesaid five employees were part of an organized dissident group whose practice it was to willfully delay payment of union dues in order, I find, to harass the statutory bargaining representative; and the record further shows that these five were among the same group who only a few months earlier had in fact been in default under the contract. The employee body, this record shows, was accorded every consideration by the IUE and the Company in the performance of the union-security provisions of the contract; beginning with the events of January 1959, the Company fairly and patiently investigated each situation of claimed default and made certain that all employees understood the pertinent union conditions of employment and the IUE gave ample and frequent notice of dues delinquencies and approaching default and cooperated with the Company in avoiding peremptory action on legitimate discharge requests in that connection. If the IUE and/or the Company had desired to penalize employees for rival Society membership they had many opportunities to do so; rather, their conduct was marked by restraint and sympathetic understanding. The primary function of labor organizations is to represent employees and they must keep their house in economic order to carry out this purpose. A labor organization 4 Busefink testified that he did not receive this August 14 notification Whether or not he did is immaterial ; he testified, moreover, that he was aware in August that he would be in default unless he paid his July dues before the end of August GENERAL MOTORS CORP., PACKARD ELECTRIC DIVISION 1117 has initiation fees and dues because it takes money to maintain itself as an organiza- tion and to perform its proper functions, and it has current and long-term obliga- tion to meet. Considering the background of delayed payments and default, the IUE had reasonable grounds to believe that the only assured way to prevent recur- rence of default by the five men was to require a checkoff authorization. While the equities weigh heavily on the side of the Company and the IUE, the law on the subject supports their position in regard to the checkoff matter even apart from such considerations. The legal issue, in any event, is not reached so far as the Company is concerned for, as indicated above and as I find, the Company did not require and it had no part in requiring the five employees either to execute checkoff authorizations or to pay any dues for the no-contract period and it did not otherwise threaten the five employees in such connection. The General Counsel and the Charging Party cite several cases 5 in purported support of their proposition that it is unlawful to require an employee to sign a checkoff authorization or to attempt to seek an employee's discharge unless he executes such authorization. But the question in all these cited cases arose in context lacking a valid union-security agreement, either there was no union-security agreement at all or there was an agreement which was otherwise illegal. Indeed, the Bayly case cited by the General Counsel illustrates the critical importance of a valid union-security contract in resolving a checkoff issue: The Respondents in that case had required employees to sign checkoff authorizations during the operative period of an unlawful union-security agreement which was subsequently amended to conform with the requirements of the Act. The Board thereupon directed the Respondents to make whole the affected employees by reimbursing them for union dues deducted pursuant to such chcekoff; however, the Board limited such remedy only to the period of unlawful union-security conditions (103 NLRB 1342, 1372, 1373-1374). Employees do not have a protected right to refrain from paying union dues lawfully required under a valid umon-security contract or to be continually or willfully delinquent in such respect. The checkoff requirement as to the five em- ployees was merely incidental to the IUE's right to timely receipt of dues 6 and, I find in the circumstances of this case, that such measure was both reasonable and necessary to a fair administration of the contract with due regard for the rights of all parties concerned, namely, the Company, the IUE, and the employees. Even without considering the impact of the aforementioned grievance provisions dealing specifically with checkoff matters and without regard to the fact that none of the five employees availed themselves of such procedures, I accordingly con- clude that neither the Company nor the IUE violated the Act by conduct respecting checkoff cards of the mentioned employees . See Salant & Salant, Inc., 88 NLRB 816. And, as already stated, the Company in any event did not even engage in and was not otherwise responsible for the conduct complained about in this connection. Discussion is unnecessary, however, to sustain, as I do, the General Counsel's allegation that the IUE violated Section 8(b)(1)(A) and (2) by its conduct respecting the payment of back dues by the five employees for the no-contract period. See Montgomery Ward & Co., Incorporated, 121 NLRB 1552, 1557-1558; Public Utility Construction and Gas Appliance Workers of the State of New Jersey, Local 274, Plumbers, etc. (Public Service Electric and Gas Company), 120 NLRB 355, 357; NLRB v. Spector Freight System, Inc., et al., 273 F. 2d 272, 276 (C.A. 8), and cases cited therein. J 2. Morris' suspension and discharge The Company suspended and then discharged Morris for engaging in a strike in violation of a valid no-strike agreement. Strike action in breach of contract is generally not protected under the Act, and an employer is accordingly privileged to discharge or otherwise discipline any or all employees for participating in such unprotected conduct.? The General Counsel nevertheless contends that the 5 Bayly Manufacturing Company, 103 NLRB 1337; General Drivers, Chauffeurs and Helpers, Local Union No. 886, etc (Unit Parts Company), 119 NLRB 222, enfd 264 F. 2d 21 (CA 10). 6 "[The] legislative history clearly indicates that Congress intended to prevent utiliza- tion of union-security agreements for any purpose other than to compel payment of union dues and fees " The Radio Officers' Union, etc. (A. H. Bull Steamship Company) v. NLRB, 347 U S. 17, 41. 7 N L R B v Sands Manufacturing Co , 306 U S. 332, 355 ; Bechtel Corporation, 127 NLRB 891; California Cotton Cooperative Association, Ltd., 110 NLRB 1494, 1496-1497; 1118 DECISIONS OF NATIONAL LABOR RELATIONS BOARD strike was caused by the Company's allegedly unlawful requirement of checkoff authorization by the five mentioned employees, and he accordingly asserts the strike to be protected under the Mastro Plastics doctrine.8 Morris' case turns, therefore, on whether the strike was a protected activity. The strike was misdirected against the Company for, as I have found above, the Company did not have the authorizations and it had neither imposed nor threatened to impose checkoff requirements on the five employees involved. Mastro Plastics is therefore wholly inapplicable. Mastro Plastics is inapposite for the further reason , also found above, that such checkoff requirement was in any event not unlawful in the instant case. But I would find Mastro Plastics inapposite here for still another independent reason, even assuming, contrary to the fact, that the company had compelled checkoff authorizations and that such conduct were unlawful. Measured by the facts and circumstances of the Mastro Plastics case, such assumed violation in the present case would be slight indeed; the unfair labor practices causing the strike in Mastro Plastics were described there as a "willful, deliberate, widespread and grave" attack on a statutory bargaining repre- sentative which was party to a no-strike contract and that strike "was in protest of matters and actions not covered or in any respect demanded by the contract" (103 NLRB 511 at 513, 514). The strike in the instant case was in defiance of the incumbent statutory bargaining representative and in derogation of a no-strike agreement and established contract procedures for the handling of grievances, one such contract provision dealing specifically with disputes concerning checkoff authorizations. It may hardly be said, even viewing the situation from the stand- point of minority rival activity, and to require the five men to sign checkoff cards for the deduction of dues legally required to be paid, was a serious threat, if threat at all, to legitimate union activities or nonactivities. In fact, considering the way these five employees had comported themselves, there is more than a little reason to believe that a required checkoff was a means of protecting them from valid discharge for recurring failure to maintain such payment. An objective of this Act is to encourage industrial peace by compliance with lawful contractual obligations, and parties and employees covered by such contracts are accordingly to resolve their disputes through available contractual procedures without resort to the unsettling self-help stratagems of strikes and lockouts. Strikes in the face of no-strike commitments , are permitted under Mastro Plastics where self-help is reasonably necessary to maintain the status quo and to protest serious infringe- ments on statutory rights. However, the Mastro Plastics doctrine does not, I conclude, protect any or all breach-of-contract strikes caused by unfair labor prac- tices no matter how trivial the violation in the labor-relations context and irrespec- tive of outstanding contractual procedures and remedies.9 See Mid-West Metallic Products, Inc., 121 NLRB 1317, affd. 45 LRRM 2148 (C.A. 6), October 5, 1959. Upon all the foregoing and without relying on additional matters urged by the Company, I find that Morris participated in a strike which was unprotected on at least three separate grounds, that the Company suspended and discharged him for such reason , and that the Company did not thereby violate the Act. 3. Busefink's discharge Acknowledging that Busefink had been in default under valid union-security requirements for continued employment under the contract, the General Counsel contends that the IUE and the Company violated the Act by respectively causing and effecting Busefink's discharge at a time Busefink purportedly had tendered his dues for IUE membership within the contract definition of that term. The General Counsel cites as supporting authority the so-called Aluminum Workers 10 doctrine. Reversing then established law on the subject,ll the Board enunciated the rule in Aluminum Workers that, where an employee is in default for nonpayment of union dues lawfully required under a valid union-security agreement , it is unlawful to discharge such employee on the basis of a prior timely request therefor if, at Mineweld Company, Division of Rasco, Inc., 127 NLRB 1616. Cf. N.L R.B v Fansteel Metallurgical Corporation, 306 U S. 240, 259. 1 Mastro Plastics Corp., et al. v. N.L R B , 350 U S. 270, affg 214 F. 2d 462 (C.A. 2), enfg 103 NLRB 511. 9 For a fuller discussion of this point by Trial Examiner Funke, see Arlan's Department Store of Michigan, Inc., 133 NLRB No 56. " Aluminum Workers International Union, Local Union No. 135, AFL, 111 NLRB 411, 112 NLRB 619, enfd 230 F. 2d 515 (C.A 7). 11 Chisholm-Ryder Company, Inc., 94 NLRB 508. GENERAL MOTORS CORP., PACKARD ELECTRIC DIVISION 1119 any time before the discharge is effected, the employee makes "full and unqualified" tender of delinquent dues. Respondents' defense is threefold: first, that Busefink did not make "full and unqualified" tender; next, that the Aluminum Workers doctrine is unsound in law; and, lastly, that the particular circumstances involved here are sufficiently dis- tinguishable to remove this case from operation of the doctrine. While Busefink did not physically tender the amount of his arrearages, he did offer to pay such amount at the meeting with the IUE committee. It would have been pointless, upon the IUE's consequent refusal of this offer, to perform the physical act of tender. "The law does not require a futile tender" and I accord- ingly find that Busefink did everything necessary to satisfy the Aluminum Workers requirement of "full and unqualified" tender. N.L.R.B. v. Murphy's Motor Freight, Inc., et al., 231 F. 2d 654, 655 (C.A. 3). Respondents express their disagreement with Aluminum Workers. And, in noting the absence of any judicial support for the doctrine, Respondents point to the fact that, of the three circuit courts of appeals which have considered the proposition, the Second Circuit has rejected the theory "as an incorrect statement of the law," 12 the Ninth Circuit concurs with the Second Circuit,13 and the Seventh Circuit did not accept the doctrine in the Aluminum Workers case itself but enforced it on other grounds.14 With all respect for the views of the circuit courts, suffice it to say that the Board's own stated views are determinative here. We come to Respondent's final contention that the Aluminum Workers doctrine should in no event be applied where a dissident group has concertedly endeavored to undermine a binding contract relationship between an employer and a certified statutory representative and where, as one of its harassing tactics, this group has concertedly and deliberately skirted and at times overstepped the boundaries of de- fault under the contract by delayed payment of union dues and where the affected employee (Busefink) has joined such practice. Respondents thus would distinguish an accidental or innocent or isolated default situation from the case of willful and concerted practice involved here. Perhaps the present case does reveal an unintend- ed effect in the application of Aluminum Workers. If so, it is for the Board, not its examiner, to say so; for in my judgment, the logic of Aluminum Workers is too much a part of the case at bar for me to reach any result but consonant with Aluminum Workers. I accordingly find upon an Aluminum Workers theory, that the IUE unlawfully caused and the Company unlawfully effected Busefink's discharge, thereby respec- tively violating Section 8(b)(1)(A) and (2) and Section 8(a)(1) and (3) of the Act le IV. THE EFFECT OF THE UNFAIR LABOR PRACTICES UPON COMMERCE The activities of the Respondents set forth in section III, above, occurring in connection with the operations described in section I, above, have a close, intimate, and substantial relation to trade, traffic, and commerce among the several States, and tend to lead to labor disputes burdening and obstructing commerce and the free flow of commerce. V. THE REMEDY Having found that Respondents have engaged in certain unfair labor practices, I shall recommend that they cease and desist from such conduct and related conduct and that they take certain affirmative action designed to effectuate the policies of the Act. The facts of this case do not require more than a limited order. Ordinarily, the remedy for required payment of dues for a period not covered by a valid contract is restitution of the amount of such dues. However, at the time these five employees paid the dues for the no-contract period, they were not members of the IUE within the contract definition and the contract therefore required them to pay initiation fees as a condition of continued employment. The amount of dues for the no- contract period is presumably very little more than the initiation fees. Because of 12 The International Association of Machinists, et al (New Britain Machine Co ) v. N.L R B., 247 F. 2d 414, 418 (CA 2). 13 N.L R B v. Technicolor Motion Picture Corp , at al, 248 F 2d 348, 353 (C A 9) N.L R.B. v International Woodworkers of America, Local Union No 13-4S3, 264 F. 2d 649, 654-655 (C.A. 9). 14 230 F. 2d 515. 16 I reject the suggestion that Busefink 's discharge was in any respect motivated by reprisal for his Society membership. 1.120 DECISIONS OF NATIONAL LABOR RELATIONS BOARD the trivial amounts involved, under the circumstances I shall make no affirmative recommendation in this connection. I shall recommend that the Company offer immediate and full reinstatement to Busefink to his former or a substantially equivalent position without prejudice to his seniority and other rights and privileges, and that the Company and the IUE, jointly and severally, make Busefink whole for any loss of pay suffered as a result of the discrimination against him by paying him a sum of money equal to the amount he would have earned from the date of his discharge until offer of reinstatement, less net interim earnings, the backpay to be computed in accordance with F. W. Wool= worth Company, 90 NLRB 289. The IUE may terminate its liability for further accurate of backpay by notifying the Company that it does not object to Busefink's im- mediate reinstatement and that it requests such reinstatement , and the IUE shall not be liable for any backpay after 5 days from the giving of such notice. As a valid union- security contract has been in effect at all times since Busefink's discharge, the Com- pany and/or the IUE shall deduct from the net backpay the amount of IUE dues which Busefink owed under the contract to the IUE at the time of his discharge and the amount of all dues unpaid since then which Busefink would have been required to pay to maintain such membership as a condition of employment ; such amounts shall be paid over to the IUE by the Company and/or withheld by the IUE, and the IUE shall thereupon credit Busefink's membership account in such amount. No violation has been found in regard to the checkoff authorization of the five- mentioned employees . I nevertheless feel impelled to mention my disagreement with the suggestion that, should such violation be found, a proper remedy would in- clude reimbursement to these five employees of all dues withheld thereunder. A valid union-security agreement has been in effect at all times since the incident, and the agreement requires these five, as it does all other employees, to pay membership dues as a condition of employment. To order restitution of dues in these circum- stances would in my opinion , be nothing short of "a windfall to the employees and an unjust penalty" exceeding any authority granted under this Act. N.L.R.B. v. Ameri- can Dredging Company, 276 F. 2d 286, 288 (C.A. 3). See Republic Steel Corpora- tion v. N.L.R.B., 311 U.S. 7, 11-12; Consolidated Edison Co. of New York, Inc. v. N.L.R.B., 305 U.S. 197, 235-236. CONCLUSIONS OF LAW 1. The Company is engaged in commerce within the meaning of Section 2(6) and (7) of the Act. 2. The IUE and the Society are labor organizations within the meaning of Section 2(5) of the Act. 3. The Company has violated Section 8 (a) (1) and (3) of the Act by discharging Busefink. 4. The IUE has violated Section 8 (b) (1) (A) and (2), by causing the Company to discharge Busefink and by seeking and threatening the discharge of Bendik, Bower, Burgess, Pukelis, and Ulam unless •these employees paid back dues for a period not covered by a union-security contract. 5. The aforesaid unfair labor practices are unfair labor practices within Section 2(6) and (7) of the Act. 6. The Company did not violate the Act as to Morris, and neither the Company nor the IUE violated the Act in regard to the checkoff authorizations of Bendik, Bower , Burgess, Pukelis, and Ulam, and the Company also did not require or threaten to require these five employees to pay back dues for the no-contract period as a condition of employment. [Recommendations omitted from publication.] Robert P. Scott, Inc. and International Hod Carriers , Building and Common Laborers Union of America, Local No. 16, AFL- CIO. Case No. 08-CA-636 (formerly 33-CA-636). December 8, 1961 DECISION AND ORDER On November 29, 1960, Trial Examiner Howard Myers issued his Intermediate Report in the above-entitled proceeding, finding that 134 NLRB No. 120. Copy with citationCopy as parenthetical citation