Granite State Machine Co., Inc.Download PDFNational Labor Relations Board - Board DecisionsNov 2, 194880 N.L.R.B. 79 (N.L.R.B. 1948) Copy Citation In the Matter Of GRANITE STATE MACHINE COMPANY, INC. and UNITED STEELWORKERS OF AMERICA (CIO) Case No. 1-C-2540.-Decided November ^? , 1948 DECISION AND ORDER On August 14, 1947, Trial Examiner James R. Hemingway issued his Intermediate Report in the above-entitled proceeding, finding that the Respondent had engaged in and was engaging in certain unfair labor practices, and recommending that it cease and desist therefrom and take certain affirmative action, as set forth in the copy of the Intermediate Report attached hereto.' The Trial Examiner further found that the Respondent had not engaged in other unfair labor prac- tices alleged in the complaint, and recommended that the complaint be dismissed in these regards. Thereafter, exceptions to the Inter- mediate Report were filed by the Respondent, together with a brief in support thereof. After the hearing, the Respondent moved that the Board examine the complete file of the Regional Director in this case to inform itself concerning the circumstances under which the witness, Hewitt, came into the case. This motion is denied, for the fact that Hewitt was a litigant in a personal suit against the Respondent, as alleged in the motion, was fully developed in the testimony before the Trial Exam- iner. The allegation in the motion concerning an alleged letter to the Regional Director from Hewitt's counsel largely concerns the credibil- ity, not of Hewitt, but of his counsel, whose testimony at the hearing, while not condoned, was nevertheless not directly material to the merits of the unfair labor practices herein concerned. The Board 2 has reviewed the rulings made by the Trial Examiner at the hearing and finds that no prejudicial error was committed. 3 Section 8 (1) and 8 (3) of the National Labor Relations Act, which the Trial Examiner found were violated , are continued in Section 8 (a) (1) and 8 (a) (3) of the Act, as amended by the Labor Management Relations Act, 1947. 3 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-man panel consisting of the undersigned [Chairman Herzog and Members Houston and Reynolds]. 80 N. L. R. B., No. 20. 79 80 DECISIONS OF NATIONAL LABOR RELATIONS BOARD The rulings are hereby affirmed. The Board has considered the Inter- mediate Report, the Respondent's exceptions and brief, and the entire record in the case, and hereby adopts the findings, conclusions, and recommendations of the Trial Examiner, with the following modifi- cations and additions. (1) The Trial Examiner found that the mass discharge of the complainants on May 4, 1945, was violative of Section 8 (3) of the Act. We agree. In addition to the reasons assigned by the Trial Examiner, our agreement is also based on the inconsistency of the Respondent's defenses and other circumstances set forth below. In May 1945, the Respondent sought to justify the discharges because of lack of work. As set forth in the Intermediate Report, the record fails to support this claim. Later, after the filing of charges and investigation by Board agents, the Respondent assigned not only lack of work, but also relative inefficiency, as the reason for the discharge of the complainants. It is of compelling significance that the Re- spondent's investigation of the relative inefficiency of the employees did not occur until the lay-offs had already taken place. The con- nection between the lay-offs and the post-lay-off studies is, therefore, so tenuous as to be unconvincing. After the issuance of the Inter- mediate Report, the Respondent in its brief to the Board sought to justify the lay-offs by the following statement: Those who were interfering with management's plan for work were selected for dismissal, not because they were for the union, but because of their demonstrated attitude toward their work. The union element was a mere condition, not a cause of their dismissal. The record fails to establish that after the advent of the Union the complainants became inefficient or neglectful of their work. It does appear, however, that shortly after the Respondent's application to the Wage and Hour Division of the Department of Labor for author- ity to install an incentive wage system, the Respondent' s employees organized and secured affiliation with the Union, and that the Re- spondent knew that men active in the organization effort were opposed to the incentive system. Only in that protected sense was it shown that the employees "demonstrated [an] attitude" which caused the Respondent to take unlawful retaliatory steps. As fully set forth in the Intermediate Report, the Respondent, inter alia, interrogated employees concerning the Union, conducted a poll to determine their group sentiment, and finally on May 4, precipitately effected a mass lay-off which affected only union members, including with unmistak- able design the men most active in bringing the Union to the plant with the one exception noted and considered by the Trial Examiner. GRANITE STATE MACHINE COMPANY, INC. 81 (2) The Respondent urges that the complaint should be dismissed on the following two grounds : It contends that, pursuant to the terms of a collective bargaining agreement executed by the Respond- ent and the Union on January 7, 1946, and according to representa- tions then made by the Union, the Union agreed to waive the instant charges involving the complainants, and have the issues resolved under the grievance procedure of the contract. We do not agree. The grievance procedure provisions of the contract fall short of having the effect of an agreement between the parties to waive pre- vious unfair labor practices. In addition to the express language of the contract, the record shows only that Board agents suggested that the case might be settled by agreement, and that after the execu- tion of the contract a union representative assured the Respondent that the Union would overlook previous charges. As the Board did not participate in any agreement to waive the previously filed charges it is, by long established precedent,' not precluded from determining in its own discretion whether, under the circumstances of the case, it will effectuate the purposes of the Act to give effect to any waiver, oral or otherwise, by the complainant. The Respondent further contends, in effect, that the delay in prose- cuting this case warrants application of the equitable defense of laches. The record shows that 5 days after the May 4, 1945, lay-offs, the Union filed a timely amended charge of which the Respondent promptly had notice. Thereafter, the Respondent knew that the Board was conducting an investigation, and that no order had ever been issued dismissing said charges, either before or after the execution of the above-mentioned collective bargaining agreement. While we deplore the fact that there was a lapse of approximately 2 years between the filing of the first amended charge and the issuance of the complaint herein, it is apparent that the delay was due to the difficulty experienced by Board agents in obtaining evidence with respect to the issues in question. Under the circumstances, we find that in this case the public interest requires that the wrongdoing finally revealed be fully remedied. Therefore, we shall adopt the Trial Examiner's recommended order as to all complainants, except Ames. Contrary to the Trial Examiner, we find that the Respondent offered him substantially equivalent employment in midsummer 1945, and that he refused it in order to retain the position he then held. We shall, therefore, not order the reinstatement of Ames, and shall order that he be made whole only 8 Matter of Kelly Springfield Tire Co., 6 N. L. R. B . 325, 347-348. 82 DECISIONS OF NATIONAL LABOR RELATIONS BOARD from the date upon which he was laid off to the date he declined the Respondent's offer of reinstatement. ORDER Upon the entire record in the case and pursuant to Section 10 (c) of the National Labor Relations Act, as amended, the National Labor Relations Board hereby orders that the Respondent, Granite State Machine Company, Inc., of Manchester, New Hampshire, and its officers, agents, successors, and assigns, shall: 1. Cease and desist from : (a) Discouraging membership in United Steelworkers of America (CIO), or in any other labor organization of its employees, by laying off, discharging, or otherwise discriminating against any of its em- ployees because of their union membership or activities; (b) In any other manner interfering with, restraining, or coercing its employees in the exercise of their right to self-organization, to form labor organizations, to join or assist United Steelworkers of America (CIO), or any other labor organization, to bargain collec- tively through representatives of their own choosing, and to engage in concerted activities for the purpose of collective bargaining or other mutual aid or protection, as guaranteed in Section 7 of the Act. 2. Take the following affirmative action, which the Board finds will ,effectuate the policies of the Act : (a) Offer George H. Camf, Stephen Chakas, Leo A. Dionne, Mau- rice E. Houle, Richard J. Labelle, Laurier Marquis, Lindsay L. McKee, and Howard W. Payne immediate and full reinstatement to the posi- tion which each occupied on May 4, 1945, or to a substantially equiva- lent position, without prejudice to their seniority and other rights and privileges; (b) Make each of said employees whole for any loss of pay he may have suffered by reason of the Respondent's discrimination against him, by payment to him of a sum of money equal to the amount which he normally would have earned as wages during the period from May 4, 1945, to the date of the Respondent's offer of reinstatement, less his net earnings during said period; (c) Make whole Forrest W. Ames for any loss of pay he may have suffered by reason of the Respondent's discrimination against him, by payment to him of a sum of money equal to the amount which he nor- mally would have earned as wages during the period from May 4, 1945, to the date on which he declined the Respondent's offer of reinstate- ment, less his net earnings during said period; GRANITE STATE MACHINE COMPANY, INC. 83 (d) Post immediately at its plant in Manchester, New Hampshire, copies of the notice attached hereto and marked "Appendix A." 4 Copies of said notice, to be furnished by the Regional Director of the First Region, shall, after having been duly signed by the Respondent's representative, be posted immediately upon receipt thereof and main- tained by it for sixty (60) consecutive days thereafter in conspicuous places, including all places where notices to employees are custom- arily posted. Reasonable steps shall be taken by the Respondent to insure that said notices are not altered, defaced, or covered by any other material; (e) Notify the Regional Director for the First Region, in writing, within ten (10) days from the date of this Order, what steps the Re- spondent has taken to comply herewith. IT IS FURTHER ORDERED that the complaint be, and it hereby is, dis- missed, insofar as it alleges that the Respondent has interfered with, restrained, or coerced its employees by taking away privileges previ- ously enjoyed by them, by preparing an anti-union petition and/or withdrawals from the Union to be signed by employees on the Re- spondent's time and premises, by exerting pressure on employees to sign a Respondent-prepared anti-union petition and/or withdrawals from the Union, by urging employees to vote against the Union at an election conceived and supervised by the Respondent on its time and premises, and by threatening to discontinue or discontinuing a proposed incentive plan to penalize its employees for selecting the Union as their bargaining representative. 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, we hereby notify our employees that : WE WILL NOT in any manner interfere with, restrain, or coerce our employees in the exercise of their right to self-organization, to form labor organizations, to join or assist UNITED STEEL- WORKERS OF AMERICA (CIO), or any other labor organization, to bargain collectively through representatives of their own choosing, and to engage in concerted activities for the purpose of collective bargaining or other mutual aid or protection. ' In the event that this Order is enforced by decree of a Circuit Court of Appeals, there shall he inseited before the words, "A Decision and Order" the words "Decree of the United States Circuit Court of Appeals Enforcing." 817:119-49-vol. 80-7 84 DECISIONS OF NATIONAL LABOR RELATIONS BOARD WE WILL OFFER to the employees named below immediate and full reinstatement to their former or substantially equivalent posi- tions without prejudice to any seniority or other rights and priv- ileges previously enjoyed, and make them whole for any loss of pay suffered as a result of the discrimination. George H. Camf Richard J. LaBelle Stephen Chakas Laurier Marquis Leo A. Dionne Lindsay L. McKee Maurice E. Houle Howard W. Payne WE WILL MAKE WHOLE Forrest W. Ames for any loss of pay he may have suffered by reason of the discrimination against him by payment to him of a sum of money equal to the amount which he normally would have earned as wages during the period from May 4, 1945, to the date he declined our offer of reinstatement, less his net earnings during said period. All our employees are free to become or remain members of the above-named union or any other labor organization. We will not dis- criminate in regard to hire or tenure of employment or any term or condition of employment against any employee because of member- ship in or activity on behalf of any such labor organization. GRANITE STATE MACHINE COMPANY, INC., Employer. By ------------------------------------------- (Repiesentative ) (Title) Dated ------------------------ 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 Mr Leo J. Halloran, for the Board. Mr. Louis E. Wyman, of Manchester, N. H., for the Respondent. Mr. Frederick- Cohen, of Grant and Angoff, Boston, Mass., for the Union. STATEMENT OF THE CASE Upon a second amended charge duly filed on March 28, 1947, by United Steel- workers of America ( C. I. 0.), herein called the Union, the National Labor Relations Board, herein called the Board, by its Regional Director for the First Region ( Boston, Massachusetts ), issued a complaint dated April 14, 1947, against Granite State Machine Company , Inc., herein called the Respondent , alleging that the Respondent had engaged in and was engaging in unfair labor practices affecting commerce within the meaning of Section 8 ( 1) and ( 3) and Section 2 (6) and (7) of the National Labor Relations Act, 49 Stat. 449, herein called the Act. Copies of the complaint and notice of hearing were served on the Respondent and the Union. GRANITE STATE MACHINE COMPANY, INC. 85 With respect to the unfair labor practices, the complaint alleged in substance: (1) that on May 4, 1945, the Respondent discharged nine named employees 1 because they had joined or assisted the Union or engaged in other concerted activities for the purposes of collective bargaining and other mutual aid and protection, and that thereafter the Respondent had refused to reinstate them for the same reason; (2) from about April 1, 1945, the Respondent had interfered with, restrained, and coerced its employees in the exercise of the rights guaranteed in Section 7 of the Act by various acts, including, but not limited by, the follow- ing: (a) interrogating employees relative to their union membership and activi- ties, (b) accusing employees of being trouble makers because of their union activities, (c) disparaging the Union and its officers for the purpose of dis- couraging its employees' loyalty to, and interest in, the Union, (d) stating to employees that the union officers were gangsters, (e) stating to employees that the Union was just a racket and a money-making organization, (f) stating that the dues paid by employees to the Union were improperly used by the union officers, (g) threatening to close down the plant if the Union became bargaining representative for its employees, (h) offering inducements to employees if they would refrain from joining the Union, (i) suggesting to employees that they form an independent organization for the purpose of undermining the organiza- tional efforts of the Union, (j) offering financial and other assistance to its employees to induce them to form an independent union, (k) urging employees not to join the Union, (I) penalizing employees for their attendance at union meetings by taking away privileges previously enjoyed by them, (in) threatening employees with loss of their positions unless they gave up their union actiN ities, (n) preparing an anti-union petition z to be signed by employees on Respondent's time and premises, (o) exerting pressure on employees to sign an anti-union petition 3 prepared by the Respondent, (p) conducting an election on Respondent's time and premises and under Respondent's supervision to determine if its em- ployees wanted the Union as bargaining representative, (q) urging employees to vote against the Union at an election conceived and supervised by the Respond- ent on its time and premises, (r) threatening to discontinue a proposed incentive plan in the plant if the Union became bargaining representative for the employees, (s) discontinuing a proposed incentive plan to punish its employees for selecting the Union as their bargaining representative, (t) seeking to have its discharged employees blacklisted from working in other plants as punishment for their union membership and activities, (u) committing economic reprisals on its discharged employees because of their union membership and activities (v) con- ferring with certain of its employees on Respondent's time and premises for the purpose of inducing them to give up their union membership and activities. The Respondent's answer, filed on April 22, 1947, admitted the discharges but denied that they were related to union membership or activities and alleged that they were made because of substantial cut-backs in contract work which required curtailment of employment. The answer further denied the remainder of the alleged unfair labor practices. Certain affirmative allegations of the answer, although not specifically so worded, are interpreted by the undersigned to raise the issue of laches and will be so treated. Pursuant to notice, a hearing was held at Manchester, New Hampshire, from May 19 to 23 inclusive and from May 26 to 29 inclusive, 1947, before the under- 1 Forrest W Ames, George H Camf , Stephen Chakas , Leo A. Dionne , Maurice E Houle, Richard J LaBelle , Laurier Marquis , Lindsay L McKee, and Howard W. Payne z Amended at the hearing to insert here "and/or withdrawals for the Union." Amended at the hearing to insert here "and/or withdrawals for the Union." 86 DECISIONS OF NATIONAL LABOR RELATIONS BOARD signed Trial Examiner, duly designated by the Chief Trial Examiner. The Board, the Respondent, and the Union were each represented by counsel, and all participated in the hearing. Full opportunity to be beard, to examine and cross-examine witnesses, and to introduce evidence bearing on the issues was afforded all parties. At the opening of the hearing, Board's counsel moved to amend the complaint as indicated in clauses (n) and (o) in the second para- graph above. The motion was granted. At the close of the Board's case, the Respondent moved to dismiss the complaint. The motion was denied, without prejudice to the right to make a like motion at the close of the evidence. At the close of the hearing, the undersigned granted a motion by counsel for the Board to amend the complaint to conform to the proof as to formal matters, and granted a motion by counsel for the Respondent to amend its answer to conform to the proof, specifically to change the word "discharge" to "lay-off for ineffi- .ciency" so far as the evidence made that expression applicable. On the Re- spondent's motion to dismiss the complaint, made at the close of the hearing, the undersigned reserved ruling. This motion is now denied, except to the extent indicated hereinafter, for the reasons herein set forth. Oral argument by coun- sel for the Board and the Respondent was heard and is part of the record. Briefs were filed with the undersigned by counsel for the Board, the Respondent, and the Union. On July 2, 1947, counsel for the Respondent filed with the undersigned a "Request for Findings and Rulings." As to the requested findings of fact, the undersigned grants in substance: No. 1, 2, 3, 5, 6, 10, 11, 22, and 24. Nos. 4, 7, 8, 12, 14, and 29 are granted only insofar as they are consistent with the findings herein. The following are rejected: Nos. 9, 13, 15 to 21 both inclusive, 23 to 28 both inclusive, and 30 to 34 both inclusive. The two requested rulings of law are rejected. Considerable conflicting testimony was given on certain important issues herein. The undersigned has not labored this report with lengthy explanations of the manner in which he resolved these conflicts. Suffice it to say that, in making the findings of fact herein, the undersigned has carefully considered the testimony of all the witnesses, bearing in mind their demeanor and expression as observed at the hearing, and has made a detailed study of the transcript of testimony and the voluminous exhibits. The undersigned has also considered the helpful arguments and briefs of counsel. Hence, from his observation of the witnesses and upon the entire record in the case, the undersigned makes the following : FINDINGS OF FACT I. THE BUSINESS OF THE RESPONDENT The Respondent, incorporated under the laws of the State of New Hampshire in 1940, was, in 1944 and 1945, engaged in the manufacture of machine parts principally in war production as a subcontractor for prime contracto s. Since the end of the war the Respondent has been engaged in the manufacture of machines, machine parts, and machine tools. The principal raw materials used by the Respondent in its operations are steel and alloys. During the calen- dar year 1946, the Respondent purchased raw materials of a value in excess of $50,000, of which about half came from outside the State of New Hampshire. During the sane period, the Respondent manufactured products of in value in excess of $100,000, of which 30 percent by value was shipped to points outside the State of New Hampshire. The Respondent concedes that it is engaged in commerce within the meaning of the Act. GRANITE STATE MACHINE COMPANY, INC. 87 II. THE ORGANIZATION INVOLVED United Steelworkers of America, affiliated with the Congress of Industrial Organizations, is a labor organization, admitting to membership employees of the Respondent. III. THE UNFAIR LABOR PRACTICES A. Interference, restraint, and coercion 1. Chronological events In February 1945, the Respondent engaged business engineers to install a cost system and make a study looking to installation of an incentive plan. On or about April 2, 1945, the Respondent submitted to the Wage and Hour Division of the War Labor Board a Form 10 application for approval of its wage incentive plan. The employees suspected, from the actions of the engineers, who timed men and machines, that the incentive system would result in a speed-up and, among themselves, expressed opposition to it. Commencing early in April 1945, employee Howard Payne, an all-around machinist, obtained the names of employees who favored a union. Having obtained about 35 names on the list, Payne, accompanied by employees George Camf, Laurier Marquis, and Roland Lesmerises' on Saturday, April 7, 1945, went to the union hall to see about getting a representative of an appropriate union.' On Monday morning, April 9, Edmond Allard, the Respondent's treasurer and general manager, called Marquis and Camf separately into his office' Allard told Marquis he knew that he and Payne and Camf had been to see Fecteau and asked why. Marquis told him they went to see about getting an organizer for a union. Allard told Marquis that they should not have gone before talking to him and that it was a sneaky, dirty trick. The interview of Camf was similar, Allard telling him that he already knew of the visit to Fecteau and asking him why he wanted a union and also asking Camf, who had been a foreman for a time before April 1945, why he was mixed up with a group of trouble makers. On April 11, at about 9 a. m., Superintendent Edmond L'Ecuyer, acting on instruction of Allard, told Payne to shut his machine off and to lock his tool box, that he was "all through." Payne asked L'Ecuyer the reason and L'Ecuyer said he did not know. Payne went to the office and questioned Allard who told Payne he could not use him any more and that he was laid off. Payne asked if his union activities had anything to do with his being laid off. Allard did not reply. After getting his pay, Payne returned to get his tools and took them to L'Ecuyer to be checked, and again asked L'E^uyer why he was laid off. L'Ecuyer again said he did not know, but he went to the tool crib with Payne * Lesmerises had been requested to but had not signed Payne's list. The others had signed it. ' Because there was no representative of an appropriate union in town , they talked with George Fecteau , Regional Director of the United Shoeworkers of America , C. I. 0. 6 Henry L. Hebert, president of the Respondent , came into the room while Camf was there and participated in questioning Camf . Lesmerises , who was called as a witness for the Respondent , testified that he was called to Allard 's office about a week after seeing Fecteau and was asked how he felt about the Union and about his meeting with Fecteau. Allard gave no testimony about the questioning of Camf, Marquis , or Lesmerises about the visit to Fecteau . No evidence was produced to show with certainty how Allard knew of that trip. 88 DECISIONS OF NATIONAL LABOR RELATIONS BOARD while the latter turned in his tool checks and, when Payne persisted in seeking a reason for his termination , L'Ecuyer indicated that if Payne had not been fooling around with the Union he would still be working! About noon on Thursday , April 12, 1945, Allard assembled the employees in the shop and told them that he knew they were trying to get the C. I. O. into the shop and that he wanted to hold a vote to see whether the employees wanted it. He then passed out prepared , typewritten ballots ,' which, after being marked by the employees , were collected in an open box and were counted by Marquis, Camf, and Foreman John Drescher. The vote, 28 to 18 in favor of the Union, was then announced to the reassembled employees by Allard, who said, "Let's be good losers ; let's be good sports ; let 's back it up 100 percent." Toward the end of the work day on April 12 following the election, Allard called the supervisors together in a meeting and told them that he did not want the CIO in the plant, that he would rather sell the plant than to have the Union in the plant controlling its activities, and that he would rather throw the $12,000 he had spent on the incentive plan out the window than have the incentive plan at the time the Union was taking over. On the morning of Friday, April 13, 1945, employees Origenes Fortier, Russell Roy ° and Donald Beaudet 10 canvassed the employees in the shop during working hours to influence them to sign a paper against the Union or in favor of a shop union. Employee William Dupuis, by agreement with the three foregoing em- ployees, was stationed in the tool crib with a sheet of paper. When the canvassers found someone who was willing to sign, they sent him to the tool crib to see Dupuis." Although supervisors were aware of such activities, they took no steps to stop them until the canvassers had nearly completed their canvassing. In contrast to this, two employees, Houle and Provost, were told by supervisors that same day not to leave their machines. Fortier approached employee Stephen Chakas among the last of those he canvassed, told him not to join the Union, and, if he was in it, to get out. This precipitated a noisy argument in which, according to Chakas, Fortier "got tough." Camf, who worked near Chakas, told Fortier to go back to his machine, that he had no business getting the employees to sign out of the Union, and that if he did not quit he would get into trouble. A few minutes after this incident, Fore- man Wilfred Gagnon,12 who had been laughing at the argument between Chakas and Fortier, went to the office, and, returning shortly thereafter, told Camf he 4 Another employee, Felix LaChance, was laid off the same day On April 16, 1945, a charge was filed by the Union alleging the discharge of Payne and a Felix Deschamps to be violations of the Act LaChance refused an offer of reinstatement in April 1945 At the hearing the Respondent conceded that Payne was discharged iathei than laid off 8 The ballots asked if the employees wanted the "C. I. 0 , yes or no." Camf objected to the "C. I 0 " on the ballot as they had not yet determined what union to join. Allard thereupon said to ignore it. It is not certain whether, after that statement , the voters understood the vote to be for just a union or for the C I. 0 ° Board's counsel contended that Roy was a foreman The undersigned finds that Roy's position at this time was not a supervisory one within the Board ' s definition 10 Beaudet was a truck drn er who occasionally, but not customarily , did some painting in the shop. It does not appear that Beaudet had any duties in the shop on this day. Fortier and Roy were operators "Allard was observed by Camf and Marquis at the tool crib while Dupuis was there 12 Gagnon testified that he was not a foreman but a leadman in April 1945 . The under- signed finds that the designation " leadman" was not used in 1945 But whatever his title, Gagnon did no work in production unless he felt like it, made decisions , and gave directions assigning operators to machines , reported directly to the superintendent , and attended foremen 's meetings . He is found to be a supervisor within the Board's definition. GRANITE STATE MACHINE COMPANY, INC. 89 was all through, to go to the office and draw his pay, and that Allard would explain. In his office Allard talked with Camf for about an hour and sought to induce Camf to convince the employees that they should have an inside union. Camf finally agreed with Allard to the selection of a committee to participate in further discussion. The committee, as agreed upon, consisted of Camf, Mar- quis (proponents of the Union), Dupuis (who had participated in the anti-union activities of that morning), Adrian Brodeur (a neutral at that time)," and Head Inspector Charles Thorp.14 Canif went and got these men, and Allard talked to them about the incentive plan and unions. Among other things, Allard expressed himself as opposed to the C. I. 0. He said that he would approve the A. F. of L, but that he preferred a shop union, and that he would get them a charter and back a shop union with money. He believed that the employees did not understand the incentive plan, and he asked the committee's permission to call the employees in to explain to them the incentive system and a shop union. The committee said it had no objection, but believed the men had already made up their minds. Allard said that that there was going to be a union meeting that night and that they should not sign up with the C. I. 0., that they should think it over and not act before they knew what they were doing.16 Before the committee left, Allard told them that they could go out and change the employees' minds and get them to agree on a shop union. Camf, not wishing to influence the men, said lie was going home. Allard stopped him and said that Camf was one of his key men whom he needed there. Camf, nevertheless, left and did not re- turn until later that day 16 Following this meeting, that afternoon, Allard called the employees to his office in groups 11 He talked to them about the incentive plan, questioned them about their union views, and urged them to form a shop union. He told them that, if the C. I. 0. came into the shop, business would fall off and there would have to be lay-offs, that he would not go out to get new orders and would close the shop down, that he had his tool box and would go out and get a job, that they would he better off with a shop union, that, if they would form a shop union, he could do more for them, that he would help them form a shop union, and that they should go to the union meeting that night but not sign up 18 At the union meeting that night a number of the employees signed cards for the Union. 13 Brodeur later joined the Union. 14 At that time Thorp was a part of management and had attended the foremen's meeting of the night before. Beaudet testified that, when he was canvassing employees, Superin- tendent L'Ecuyer told him to stop going around but that he did not completely stop until Thorp spoke to him. 15 The evidence is not clear as to how Allard learned that there was to be a union meet- ing, although Camf may have mentioned it during the course of his discussion with Allard. Chakas testified that Allard asked his group if there was going to be a union meeting, but he did not testify that the question was answered. 16 Camf did not work again that day, nor thereafter until the Respondent entered into a Board-approved settlement agreement with the Union By this agreement, Camf was rein- stated on April 23, 1945, and Payne was reinstated on April 26. Other employees laid off since April 11 were to be reinstated by April 30. 11 Some of the employees testified that they were called in on April 12, but the under- signed infers from all the evidence that they were confused as to the date 13 These findings are taken from the testimony of a number of the employees and, since all did not testify to the same things, it is likely that each statement was not made to each group that was called in. 90 DECISIONS OF NATIONAL LABOR RELATIONS BOARD At noon that same day, employees Maurice Houle and Edward Marchut left the plant and did not return and were apparently not among those who went to Allard's office.1° Marchut failed to punch his time card on leaving, and, although Houle punched out and did not return, his card was in some manner punched in for the afternoon. When Houle and Marchut reported for work on Monday, April 16, the next working day, they were discharged for being absent the previous Friday afternoon. Marchut, who was a veteran, was reinstated prior to April 20 following intervention of the Veterans Bureau and Marchut's promise to Allard not to fail to punch out thereafter. Houle was reinstated on April 30 as a result of an agreement between the Respondent and the Union. On April 16, in accordance with a notice posted by the Respondent, the working hours, which had been from 7 a. m. to 6 p. m. with a half hour for dinner at noon on a 5-day week were changed to 8 a. m. to 5 p. m. with an hour for dinner and 4 hours on Saturday morning. By the same notice the employees were told that under the insurance underwriters rule 2° the Respondent was enforcing the no-smoking rule.21 Despite the change in hours, some of the non-union employees were allowed to continue working from 7 a. m. to 6 p. m., and during the periods from 7 to 8 a. m. and 5 to 6 p. m., those employees were permitted to smoke. On an unfixed date after April 12, Allard called three of the lathe operators to his office, told them that they were the three best men on lathes, that he noticed a decrease in their production, and asked if it was because of unsatisfac- tory pay or if they were trying to buck him because he was opposed to the Union. They replied that they were slower because of the difficult nature of the job they were on. Allard said they were not doing right by having a union and that he would close the shop rather than have a union 22 He said he had quite a little money and would just as soon close the shop, and that he could always go back to music playing." On April 20, Allard visited the Board's Regional Office, explained that the lay- offs preceding that date were made because of lack of work, but indicated it was a temporary condition and that a prospective order might permit reem- ployment,24 and agreed to a cross-check of the Union's membership cards to determine whether the Union represented a majority of the Respondent's employees in an appropriate unit. As a result, a cross-check was conducted on April 24, the result of which showed 29 designations of 55 employees in the unit 15 1° Houle was one of those who signed a union card that evening . Marchut was a union proponent and became a member of the union negotiating committee. 20 The Respondent received a letter dated April 13, 1945, from the Insurance Depart- ment, States War Inspection Service of the State of New Hampshire , requesting curtail- ment of smoking in the Respondent ' s plant. 21 The change in rules is not found per se to constitute a violation of the Act. Only the disparity of the application of the rules is so regarded. 21 On one occasion when Brodeur was in Allard 's office, Allard said the Union was just a racket and that the dues were used by higher -ups for a life of leisure. 23 Allard had played in an orchestra and held an A. F. M. card. 24 As previously stated, a settlement agreement , settling the charge filed on April 16, was signed on April 23. Camf was reinstated on April 23; Payne, April 26; Marquis, who had been laid off on April 17, was reinstated on April 28; Marchut had already been reinstated , and LaChance had been offered and had refused reinstatement . Houle was reinstated on April 30. 2a Although Allard testified that he was satisfied with the result of the cross -check, he had an attorney petition for reconsideration thereof on July 14, 1945. Ultimately, on January 7, 1946, a contract was signed by the Respondent and the Union. GRANITE STATE MACHINE COMPANY, INC. 91 Between April 23 and May 4, members of the union negotiating committee, consisting of Camf, Payne, Marquis and Marchut, accompanied by one or two representatives of the Union, met with Allard a number of times, and a few discussions took place between Allard and Camf alone. During one or more of such meetings Allard made the following statements : that the C. I. O. organizers were a bunch of gangsters ; that the dues money would go out of the State ; that the money would be used by the organizers to live an easy life ; that he had spent $12,000 on the incentive plan, and that if the CIO came in, the incentive plan would go out the window.20 At one conference Allard stated that he was going to have to lay some employees off because of cut-backs on orders. The Union requested a seniority list and, when Allard prepared it, he and Camf went over it and agreed on two employees of low seniority as proper to be laid off.27 Both were laid off on April 30. During the noon dinner hour one day between April 30, when Houle was reinstated, and May 4, 1945, when he was again laid off, Gagnon approached Lim on the platform outside the shop and said that the Union would never get in because Allard would not allow it and that if Houle had connections with the Union he would not be working there long. B. The discriminatory lay-offs 1. The facts Between 10 and 10: 30 a. in. on May 4, 1945, without advance notice, 10 em- ployees, members of the Union, were laid off. They were : Payne, Camf, Marquis, Houle, Chakas, Forrest Ames, Leo Dionne, Richard LaBelle, Lindsay McKee, Ernest Poirier 28 Superintendent L'Ecuyer started at one end of the shop and Foreman Drescher at the other, designated the foregoing employees, and told them they were "all done" or "all through" or "laid off." Some of them asked for an explanation and were told they would learn the reason in the office. As they were starting toward the office, Gagnon said, "There goes the Union gang." The men laid off gathered in the corridor leading to the office while waiting for their pay-checks. Camf and Marquis went into the office and asked Allard for an explanation of the mass termination. Allard gave them no reason but told them that they would find out at the U. S. E. S. While the laid-off employees were still standing in the corridor, Production Supervisor Stanton Hewitt went into the shop and noticed Ames in the group in the corridor. Ames had been serving Hewitt as a stock-chaser, but Hewitt did not know of Ames' lay-off until he saw him in the corridor. Hewitt went into Allard's office and asked why Ames was laid off. Allard replied that he wanted to make a clean sweep of the union agitators. While Hewitt was there, someone entered Allard's room and told Allard that the laid-off men were talking of going to Leighton Machine Company to get jobs.29 Allard turned to the tele- 26 Contrary to the contention of the Board's attorney, the undersigned finds that this last statement did not constitute a threat to withhold benefits. It is interpreted to mean that Allard felt his $12,000 would be wasted because he believed the Union would oppose the incentive system. 27 The two were Walter Parenteau, hired April 2, 1945, and Fay Johnson, last hired on March 2, 1945. Both were classified as burrers. A turret lathe operator, Roger St. Gelais, hired on March 28, 1944, was also laid off on April 30. Four or five others were terminated or quit between April 10 and 28. 28 Poirier, a sweeper, was not named in the complaint. He was reemployed on June 21. 29 Some of the men had been talking in the corridor about working elsewhere and specifi- cally about getting jobs at Leighton Machine Company. 92 DECISIONS OF NATIONAL LABOR RELATIONS BOARD phone, made a call to a person he addressed as Monty, and told the party on the telephone that he had just laid more men off because they were union agita- tors, that he had heard that they were going "over to your place" to get jobs and that "I would not hire them if I were you." 30 The laid-off employees made a stop to see Fecteau and then went to the U. S. E. S. There they told the party who interviewed them that they did not know the reason for their discharge but apparently indicated that their union activities may have been the cause The local manager of that office telephoned Allard, told him some of the men from his plant were in his office, that they claimed there was labor trouble, and asked if it was so. Allard denied it and said they were laid off for lack of work. Of those laid off on May 4, 1945, and who were named in the complaint, Ames and Marquis were the only ones thereafter to be offered employment by the Respondent. Sometime during the summer of 1945, Allard called for Ames through the U. S. E. S. and was notified by them that Ames had another job and did not wish to return. The evidence does not disclose what kind of work was offered to Ames but the undersigned infers that it was not stock chasing, his former work. On the afternoon of May 4, 1945, when Marquis returned to the plant to get his pay, he was asked if he would be willing to come in for a few hours a week. He refused to return except on a full-time basis. 2. The contentions of the parties respective to the lay-offs The Respondent's contention is that cut-backs in contract work necessitated discharge or lay-off of employees and that the selection of men for discharge or lay-off was determined on a basis of efficiency of employees. The Board contends that there was sufficient work for all the men and that they were selected not because of inefficiency but because of their union membership and activities. 3. Evidence as to the amount of work available The amount of potential and existing work on May 4, 1945, is difficult to de- termine accurately " Testimony of employees laid off on that date and of Hewitt, production supervisor at that time, was that there was no lack of work. Orders and cut-backs introduced in evidence tend to show that, while there were no sub- stantial cancellations or cut-backs in April," the dollar value of new orders in March and April was substantially less than during the preceding months. But since deliveries of goods manufactured followed order dates by as much as 3 months or more,' the smaller amount of new business might not have been 30 This finding is based upon Hewitt's testimony. Hewitt impressed the undersigned as an exceptionally earnest and conscientious witness. He testified that Allard called the Leighton Machine Co. telephone number Si Allard, Hewitt, and others testified that the Respondent was doing work under an order from Davis and Furber, and Submarine Signal Company. Hewitt testified that the order fiom Submarine Signal Company was a large one No orders from either company were included among the written orders introduced in evidence, although all written orders were supposed to be in evidence. Thus, there is no evidence as to their relative size or the date of their placement 33 A substantial reduction in a January order occurred on May 11. 33 There was testimony that work was being done for Lombard Governor Co on May 4 A December 1944 order placed by that company was completed on May 15, 1945. Two mod- erate-size new oiders from Lombard were placed on May 4 Hewitt testified that on May 4, the Respondent had work on an order from Plymouth Machine Company. This order was placed in January and February 1945. The cut-back on May 11 of the Bigelow-San. ford order , which originally had been placed in January 1945, indicates that work had not been completed on it by May. GRANITE STATE MACHINE COMPANY, INC. 93 reflected in the work load until June or July. It is not improbable that Allard had sought no new orders because there was already enough work on hand. Delivery dates in evidence show that deliveries were being made throughout the period of May to July on orders placed in the period from December 1944 to May 1945. After the May 4 lay-offs, Allard telephoned Lombard Governor Company, for whom the Respondent was doing work, and said that he had had union trouble, that he wished they would play along with him, and that he was not going to be able to put out the work he did before for lack of labor.4 4. The Respondent's selection of employees for the May 4 lay-off Allard testified that he made the selection of employees for the May 4 lay-off after talking over with Superintendent L'Ecuyer the individual men and taking into account the kind of work they were on, whether they could be shifted to another machine, and their past performance. He also testified that he relied upon L'Ecuyer ' s appraisal of the men and what Hewitt had mentioned about some of the men. The qualifications of the men selected for lay-off in fact ranged from very good to poor. So far as the record reveals it, the following is a brief sketch concerning the men laid off: a. Forrest Ames Ames was hired on March 16, 1944. He was trained by Beaudet, the truck driver and painter, to snag and paint castings" From about February 1945 on, Ames was used by Hewitt as a stock chaser" A few days before Ames was laid off, Allard called him to his office and asked him, according to Hewitt, if he were a member of the Union. b. George Camf Camf was hired on January 11, 1943. He was first used on a lapping machine and later on drilling. From drilling he went to the inspection depart- ment. In the spring of 1944 he went into the assembly department and in July of that year, when the foreman of that department went into the service, Camf was made foreman. In March 1945, Camf asked Allard to be relieved of his foremanship. Camf said that if he was not relieved of his foremanship, he in- tended to return to painting (his trade prior to his employment at the Respond- ent's plant). Allard offered Camf a choice of a grinding job, assembly work as an operator , or a job on a small lathe. Camf chose the latter, and from that time until April 13 he operated a small lathe. Camf was one of the organi- zers, active proponents of the Union, and a member of the bargaining and griev- ance committee. 3 Later, a large quantity of bar stock was returned to Lombard at Lombard's request. The evidence does not disclose the reason for Lombard's request. The stock returned could have provided 2 or 3 months' work Stock was also returned to Davis and Furber 15 On one of the lists of employees furnished by the Respondent to Board's counsel, Ames is classified as "Maintenance and spray painter," on another as painter and stock chaser. i In mid-summer of 1945 Allard called for Ames through the U S E. S. when he had "a few castings come in." Ames declined. Since Ames ' work after February 1945 is found to have been principally stock-chasing , it is found that an offer of work snagging and paint- ing castings would not be an offer of reinstatement to his former or substantially equivalent position. 94 DECISIONS OF NATIONAL LABOR RELATIONS BOARD On April 13 Gagnon discharged Camf as previously related 3T When Camf was reinstated on April 23 he was not put on a small lathe again. He was put by himself in a small caged area, which had formerly been used as a carpenter shop, sanding washers. A few days later he was put back in the assembly department as an operator, remaining there until the mass lay-off of May 4. Hewitt testified that Camf turned out high quality work, that he was medium slow, and a little fussy. Allard's shifting and at times self-contradictory testimony, considered with all the evidence, makes it clear that Camf was laid off on May 4 because of his union activities. Allard testified that Camf "wasn't a bad worker" on assem- bly, that, as a matter of fact, he was so good that he was made foreman, that Camf had also been an efficient workman at burring and sanding, and that he had been made foreman of burring at one time. Allard also testified that there was work available in assembling on May 4 and that all employees in that department were retained. Yet he testified that Camf was released on May 4 for lack of work. Later in his testimony, however, Allard said that he did not keep Camf because the latter had said on April 13 that he wanted to return to painting and forget all about machine work 38 The undersigned does not credit either reason given for Camf's lay-off. There was enough work in the assembling department to have retained Camf and, obviously, if Camf had preferred painting to machine shop work, he would not have returned on April 23 and performed the less desirable jobs assigned to him. Instead of retain- ing Camf, the Respondent retained less experienced men. Of those retained in the assembly department only the foreman had greater seniority than Camf. One employee retained in that department had been with the Respondent for less than 2 months. When the Board's Field Examiner was investigating the charges in this case, she requested the Respondent to furnish information on the efficiency of Camf among others. Allard requested Hewitt to get the information. Because Camf had been a foreman when the work cards first came into use, there was little information on Camf's performance. Hewitt found only a few cards of Camf's operation on the lathe and the polishing or sanding job. Hewitt took the cards to Allard and told him they were the only records he could find on Camf but that he could not use them because the figures on the polishing job cards looked as though they had been tampered with 88 and that there were no comparative data on the lathe job. Allard told him to get a print of the lathe job and have a time study made, but Hewitt was unable to find a print and so reported. Allard told him to make a time study anyway. Hewitt replied that it was impossible to make a time study without a print. Allard told him that he did not see why he could not make one, that Hewitt was hired to make time studies and that he could make it look unfavorable.40 $T Although Allard, that day, told Camf he was one of his key men who could get the employees to change their minds and that he wanted Camf to stay, the undersigned finds that Camf was given to understand that he would not be discharged if he would aid Allard in stopping the union movement This is not a proper condition to be attached to Camf's employment . The undersigned therefore finds that Camf's discharge on April 13 was a violation of the Act. as Later Allard admitted that Camf might have spoken about returning to painting at the time he asked to be relieved of his foremanship. ao The quantity of pieces finished, according to Camf's card, appeared to have been greatly reduced, while that on the card of one Brassard whose work was going to be compared with Camf's appeared to have been raised. There was testimony that Brassard was one of the slowest workers. Hewitt testified that Camf had been very fast on the sanding job. 40 As a result of this incident, Hewitt resigned. GRANITE STATE MACHINE COMPANY, INC. 95 c. Stephen Chakas Chakas, a former shoe worker, was hired on November 9, 1943. He served about a year as a drill press operator, and then as burrer, polisher, and lathe operator." He was inexperienced on the lathe, as he had been on it only a short time before his lay-off on May 4, and consequently he was slower than experienced men. It was the argument between Fortier and Chakas which led to Camf's discharge on May 4. d. Leo Dionne Dionne was hired on February 23, 1942." Except for a short time spent on burring, Dionne operated a lathe for the full time of his employment. Such scant evidence as was offered of Dionne's speed indicates that he was not one of the faster operators. No data were offered to show the comparative quality of work the operators performed. e. Maurice Houle Houle was hired on February 3, 1944, and was classed as a miller operator, although he also operated other machines." He had had trade-school training at the University of New Hampshire and 3 years' experience with another com- pany before coming to the Respondent. He was one of the few in the shop who could make tools, and he was one of the two horizontal miller operators. He was apparently given little supervision and was a good enough machinist to get special jobs assigned to him. As previously related, Houle, an active union member, one of three employees named by Allard as having objected to the incentive plan, was discharged on April 16 because his time card was punched in for the afternoon of Friday, April 13," although he had left at noon and had not returned. His reinstate- ment on April 30 followed the settlement agreement as heretofore related.46 Allard testified that Houle was released on May 4 for lack of work, that Houle had been a miller on April 13 and prior to that had been a driller, that production drilling had run out, that he had observed Houle's work before April 13 and after April 30, that on the first day after his return Houle had been a little below standard, and that he got progressively worse until the fourth day, when he had almost tripled his time. Horizontal milling work in 1945 was "off and on" Allard testified. From June on, however, a horizontal miller operator who could make tools could have done jig boring. Houle's work cards for the periods of April 9 to 13 and April 30 to May 4 (con- tradicting Allard's testimony that there was no more drilling) show that he 41 He was given the lathe job as a result of his request for a better job "This made him fifth in seniority of the non-supervisory employees in the plant as of April 30, 1945. 48 Houle testified that he could operate a lathe, milling machine, grinder, drill press, radial drill, planer and shaper but that he could not operate a turret lathe. 44 It was on this day, when Fortier and others were soliciting signatures of opponents of the Union, that Foreman Drescher told Houle not to leave his machine. Houle denied that he had punched in that afternoon. There would have been no irregularity if Houle's card had been punched out at noon but not in again. Houle's discharge at this time has the appearance of being unusually harsh. ' During a conference between Allard, Jack Hurvitz, a representative of the Union, and members of the bargaining-grievance committee between April 16 and the date of the settle- ment agreement, Allard made the statement that he would never take Payne and Houle back. 96 DECISIONS OF NATIONAL LABOR RELATIONS BOARD was engaged in drilling and that his performance for May 3 and 4, contrary to Allard's testimony, was very fast, while for the preceding 3 days, it was com- paratively slow. Instead of his getting slower, therefore, he was speeding up. No record of Houle's work on the milling machine is in evidence. When Houle was laid off, the Respondent retained the only other horizontal miller operator, William Glod 4e Glod was the only employee with whom the Respondent had any appreciable absentee difficulty. Allard testified that this trouble with Glod continued all the time Glod was employed there and that the Respondent could never rely on his coming in the next morning.47 f. Richard LaBelle LaBelle was employed on May 24, 1944, and he was classed as a vertical miller operator. Prior to working for the Respondent he had been a shoe worker. There are no work cards of LaBelle in evidence from which his efficiency could be determined. The evidence is conflicting on the availability of work on the vertical miller machines. On direct examination Allard testified that there was no more work on such machines on May 4, 1945. On examination by the undersigned, Allard testified that the Respondent had production runs on the vertical milling ma- chines for the first 6 months or so in 1945. Two vertical miller operators were retained in the Respondent's employ on May 4.48 g. Laurier Marquis Marquis was hired on January 4, 1943, as a grinder operator. In the spring of 1944 he requested his release to take a higher paying job in another city, but Allard prevailed upon Marquis to stay by convincing him that his job with the Respondent would continue after the war. Marquis was one of the employees named by Allard as being opposed to the incentive system, and he was one of those questioned by Allard about the visit to Fecteau to start organization of the Union. He was on the bargaining- grievance committee. Marquis did not work from April 17 to April 30, 1945, except for 1.2 hours on Saturday, April 28. Allard testified that he told Marquis in April that there was not enough grinding to keep him going full time, that he offered Marquis part-time work, and that Marquis said he wanted to do some painting.49 Marquis' time cards show that he worked full time from May 1 to 4 until he was laid off. On the morning of Friday, May 4, at about 9 o'clock, Super- intendent L'Ecuyer asked Marquis if he had enough work to keep himself busy that day. Marquis replied that he had, and L'Ecuyer said he was glad to hear it because they had a special job coming up and did not want to see him "break up" before it came in. Yet at 10 or 10: 30 a. in., that morning, although he had work ahead at the time, he was laid off along with the others. 46 Whereas Glod had been classified as a miller operator on the exhibit showing the names of employees on the pay roll from January 1, 1942, to May 4, 1945, he was shown on the exhibit of employees who continued to work beyond May 4, as an engine lathe operator. 97 Allard testified that he was influenced in giving Glod employment by sympathy for Glod's wife and child . Glod 's efficiency could not fairly be determined from the work cards in evidence . The only available card showed his time on drilling to be slower than standard. ,s Both had greater seniority than LaBelle . Camf testified that on May 4, 1945, LaBelle was in the assembly department with him. LaBelle did not testify. 49 Marquis had been a painter before his employment with the Respondent. GRANITE STATE MACHINE COMPANY, INC. 97 Allard testified that after May 4 until September the Respondent had no full time grinder and that no one operated the grinding machine more than 3 or 4 hours a week . Work cards of all the employees for April and May on the few operations which formed the basis for Hewitt 's comparative performance chart are in evidence , but Marquis ' work cards for the week ending May 6 are not among them . From this , the undersigned concludes that he was working on one or more other jobs for which no work cards were produced . The cards in evidence, those on job number J 161, show that 58 hours ' grinding on that one job alone was performed by two operators during the rest of May after Marquis' lay-off. No one was hired specifically for grinding work, however , until September 10, 1945, when a new nian was hired. Allard gave testimony concerning poor work clone on a close tolerance grinding job in 1944 and attributed most of it to Marquis . He claimed he always had trouble with Marquis' keeping close tolerances . The undersigned finds , however, that Marquis did very little work on this job and that no complaints had ever been made to him. h. Lindsay McKee McKee, whose only prior experience was in forestry, was hired by the Re- spondent on May 8, 1944. He did hand-chisel and polishing work on a part designated as a knob for submarine assembly and also worked in assembling. Camf, under whose supervision McKee had worked on these jobs before Camf gave up his foremanship, testified that McKee was the best man on the chiseling and polishing job and that on assembly work he was faster and better than any other roan in the shop. On direct examination, Allard testified that there was not much for McKee to do on May 4. On cross-examination he testified that McKee was the only nian on the knob handle work for submarine assembly, and on examination by the undersigned he testified that there was more of such work to be done after May 4 but that anyone could do it. i. Howard Payne Payne was first employed by the Respondent in August 1942 for about 2 months. He was found satisfactory, and, when he left, Allard gave him a letter of recom- mendation which described Payne as a "capable and efficient workman." Ile was again employed on March 15, 1944, as a general machinist and was placed on a small lathe at first. About January 1945 Foreman Gagnon saw Payne with his eyes closed and believed him to be asleep. Payne was called to Allard's office, where he denied that he was asleep and claimed that his eyes were troubling him 50 As a conse- quence, Payne was transferred to a radial drill and later to an engine lathe. It has already been related how Payne signed up employees favoring a union, visited Fecteau on April 7, and was discharged on April 11. At a meeting between Allard and union representatives after Payne's discharge and before his rein- statement, Allard accused Payne of high-pressuring the employees to sign union cards and later referred to Payne as a troublemaker, and said that Payne would never be rehired. Payne was reinstated on April 26, only to be laid off again on May 4. 5 President Hebert testified that he recommended discharging Payne at this time, but Hewitt and L'Ecuyer told him of Payne ' s eye trouble and thought it best to try him in another department. 98 DECISIONS OF NATIONAL LABOR RELATIONS BOARD From all the evidence the undersigned deduces that Payne was a competent and experienced machinist but slower than a number of other experienced men. The undersigned is not convinced that he was the slowest." No evidence was offered of the comparative quality of his work with that of other operators. Lesmerises testified that early in April he had asked Allard for a raise, that Allard had said he could not give it, that he had asked Allard if the men who did the work should not get paid more than the ones who did not and that Payne was doing 3 pieces a day while he (Lesmerises) was doing 14. Allard testified that Lesmerises told him Payne had boasted of doing only 4 pieces and that Payne had called him a sucker for doing 13. While Lesinerises got his raise, Allard apparently did not speak to Payne about such an attitude nor did he discharge him immediately. Payne denied that he had had such a conversation with Les- merises as the one to which Allard testified, and the undersigned credits his denial. The work card records in evidence indicate that while Payne was a little slower on his operation during the first week in April than was Lesmerises on the same operation, there was not such a great difference as Lesmerises made out 01 Although Allard testified that Payne was discharged on April 11 because of an accumulation of incidents, the timing of Payne's discharge with relation to the time Allard discovered I'ayne's union activities make it obvious that it was the latter that prompted Payne's discharge. And Allard's statement thereafter that Payne was a troublemaker also obviously referred to Payne's efforts to organize the Union. 5. Conclusions respecting the May 4 lay-offs A study of all the evidence leads the undersigned to the conclusion that the press of work may have lightened to some extent in April in some types of opera- tions, and some lay-offs in April may have been justified ca But neither the actual nor prospective volume of work justified the mass lay-off on May 4" In mid- April, Allard informed the Board's attorney that the necessity for lay-offs was due to a temporary condition, that he expected an order which would enable him to "' George Brassard, one of the slowest lathe operators, was retained in employment after May 4. No production records of Brassard's work on lathes were in evidence Brassard's work record on the sander, following Camf, is not reliable as the work cards appear to have been radically altered 52 Payne was working at a pace of about an hour and a quarter per piece to Lesmerises' 55 minutes per piece during the first week in April. Pavne's work after April 26 cannot be fairly appraised because alterations in his work cards for such dates were not satis- factorily explained One of Payne's cards was missing Other work cards of Lesmerises in evidence are of no value since the cards failed to describe the operation he performed. Work cards in evidence show that the speed of individual operators varied considerably from one run to another For example, on one job. Lesmerises' average time per piece varied from 376 hours on one card to 1 09 hours on another; Dupuis' from 090 to 80 ; Fortier's from .036 to .140 A fair appraisal of an operator's work therefore could be made only by having records of a great amount of that operator's work ii An assembler and it bench lathe operator quit in the middle of April. Five burrers and an apprentice were laid off or terminated between March 30 and April 30. A turret lathe operator was laid off at the end of April. 64 In the spring of 1945 Allard consulted counsel Ni ith respect to making lay-offs and was advised to "divorce from his mind . . any question of negotiations or labor repre sentation and to treat the problem as an ordinary business proposition . . " If this advice came after the Regional Director's Report on Cross Check of April 24 it was ill advised Allard knew that the Union wished to negotiate on lay-offs and engaged in such negotiations respecting the April 30 lay-offs But he did not notify the Union that he was going to make the May 4 lay-offs Whatever the result might be if Allard had in good faith followed the advice given by counsel, the undersigned finds that the May 4 lay-offs were not made in good faith. GRANITE STATE MACHINE COMPANY, INC. 99 rehire men already laid off and keep them on, but that the expected order did not materialize. Considering the backlog of unfilled orders in April and Allard's exag- gerated testimony of the extent of March and April cut-backs, the undersigned finds that Allard's statement to Board's counsel did not express the true condi- tion of business at the time of the May 4 lay-offs. An examination of the records in evidence reveals that all through May, June, and July, 1945 deliveries were being made on orders placed in the period from December 1944 to May 4, 1945. The number of new orders increased in May. The assembly department con- tinued to work overtime in April and May, and the work in the shop generally increased in volume in May and succeeding months." After the May 4 lay-offs, Allard called the Lombard Governor Corp. and told them that because of union trouble and lack of labor, the Respondent would not be able to turn out the work it had before. In July, the work load had become so heavy that the Respondent had to reject work.66 Some orders placed in June were cancelled at the end of the War with no apparent work having been done on them. With the exception of Ames, none of the employees laid off on May 4 was offered employment by the Respondent after it became rushed with work in June and July 1945. No new employees were hired and no old ones were rehired. It is incredible that a manufacturer, having no ulterior motive, would fail to make an effort to rehire laid-off employees, or hire new ones when its business was so heavy that it could not handle it with its reduced staff 67 The only reasonable conclusion is that the Respondent failed to employ anyone in order to avoid rehir- ing the union men who were laid off on May 4. Even if business conditions had justified the lay-offs on May 4, the evidence is convincing that Allard made his selection of men for the lay-off discriminatively with reference to their union affiliations or activities rather than with reference to impartial and reasonable standards. It is notable that, in one sweep, three of the four union committee members were eliminated 5a Little attention was given to seniority, even where experience and ability were involved. For example, Camf and McKee, two good men in assembly work, of which there was no lack, were laid off, while others of less experience were retained. One man retained had been hired in March, less than 2 months before. Although the Respondent had not yet contracted to follow seniority in laying off employees, Allard had gotten up a seniority list at the request of the union 55 Whereas overtime work was reduced for some but not all employees on April 16, it was generally restored a month or so later. 56 On July 25, the Respondent cancelled an $11 000 AA1 priority order from Gage Bros. on which it had already commenced work because it was then "overloaded" with work. Allard testified that this order was cancelled because of a "directive" from Raytheon, a radar manufacturer for whom the Respondent was doing work, because of the press of work, and because a credit report on Gage Bros was not too favorable However, the credit report procured by the Respondent on Gage Bros was dated May 29, 1945, while the $11,000 order was dated June 2. Because of that, because the order was accepted and worked on until the latter part of July, because the order apparently contemplated semi-monthly pay- ments for deliveries made in that period (indicating that the Respondent would not be ex- tending a full $11,000 credit all at one time) and because the Respondent accepted from Gage Bros another order dated June 29 for $400 to $500, the undersigned finds that an "unfavorable" credit report was not the motivating reason for cancellation of the June 2 order. Rather, it was an insufficient number of employees for the volume of work. 67 Cf. Matter of Industrial Metal Fabricators, Inc, 63 N L. It. B. 46, enforced in 15$ F. (2d) 14. 0 As heretofore noted, Marchut. the other member of the committee, was a veteran. He had been reinstated after his April discharge following intervention of the Veterans Bureau, and he was not again laid off 817319--49-vol 80--S 100 DECISIONS OF NATIONAL LABOR RELATIONS BOARD committee and had followed it in making two of the earlier lay-offs. Despite the absence of any fixed policy, however, seniority normally plays some part in a fair and impartial evaluation of an employee's qualification, since long service in itself is an indication that the employee has performed satisfactorily. In the selection of 10 men for lay-off from a staff of 55 employees, of whom 29 had designated the Union as bargaining representative, one would expect that, in the absence of a discriminative motive some nonunion men would have been included. Yet all 10 men were union members. While in making a lay-off in which other than union considerations formed the basis for selection, it is not impossible that all those selected be union members, the improbability thereof is so strong where only 29 of 55 are union members as to give rise to a presumption of dis- criminative motive °B Beyond this, however, is the background of Allard's prior discriminative dis- charge of active union members, his unsuccessful efforts to arouse interest in an independent union, his statement to Hewitt that he was going to make a clean sweep of the union agitators, his statement after the lay-offs that he intended to give lack of work as the reason for the lay-offs, the interruption of the work in mid-morning on May 4 to lay off the union men,80 instead of letting each individually run out of work before he was laid off or at least letting the men scheduled to be laid off finish the day, and his recommendation to another employer not to hire the men he was laying off because they were union agitators. Considering the foregoing and the entire record in the case, the undersigned is convinced that there was no need for the May 4 lay-off, but even assuming that there was some economic cause for laying off more workers on May 4, the Respondent made a discriminative selection of men for such lay-off. The undersigned finds, therefore, that by laying off Forrest Ames, George Camf, Stephen Chakas, Leo Dionne, Maurice Houle, Richard LaBelle, Laurier Marquis, Lindsay McKee, and Howard Payne on May 4, 1945, because of their union membership and activities, the Respondent has discriminated in regard to their hire and tenure of employment and has interfered with, restrained and coerced its employees in the exercise of the rights guaranteed in Section 7 of the Act. C. Conclusions respecting interference, restraint, and coercion From all the foregoing, the undersigned concludes and finds that the Respond- ent has interfered with, restrained and coerced its employees in the exercise of the rights guaranteed in Section 7 of the Act, by questioning its employees con- cerning their union membership, sympathies, and activities,G1 by discharging Payne on April 11 and Camf on April 13,62 by encouraging organization of an 69 See Matter of F. W. Woolworth Company, 25 N. L. R. B 1362 at p. 1373, enforced as modified, 121 F. (2d) 658; Matter of Harold W. Baker Co., 71 N. L. R. B 44; N. L. R. B. v. Chicago Steel Foundry Company, 142 F. (2d) 306 at 308, Matter of Brown's Tie & Lumber Company, 66 N. L. It. B. 637. 66 No satisfactory explanation of the reason for this precipitate action having been given by the Respondent, the undersigned concludes that it was for the purpose of making an example of the union men laid off, a purpose orally epitomized in Gagnon's statement, "there goes the union gang " 61 See Matter of Wadesboro Full-Fashioned Hosiery Mills, Incorporated, 72 N. L. It. B. 185; N. L. R. B. v. Norfolk Southern Bus Corp., 159 F. (2d) 516, Matter of South Shore Packing Corp., 73 N. L. R. B 1116. 6' Although there is some cause to believe that the April discharges of Marchut and Houle were discriminations because of their union sympathies, the undersigned makes no finding thereon. GRANITE STATE MACHINE COMPANY, INC. 101 inside union with promises of assistance, by organizing or attempting to or- ganize an opposition movement to the Union, by countenancing the efforts dur- ing working time of anti-union employees to get other employees to sign against an outside union, while confining unions' sympathizers to their machines, by favoring non-union employees with overtime hours and pay while limiting union- favoring employees to the newly reduced regular hours, by countenancing smoking by such favored employees during their extra time while enforcing a no-smoking rule during regular hours, by threatening to close the plant and to refrain from getting new business, by making disparaging remarks about the Union and its organizers, by threatening employees with loss of jobs, by making the mass lay-off on May 4, 1945, and by seeking to prevent the employment else- where of the laid-off employees. Although the Respondent-conducted election was by secret ballot, the under- signed finds that by conducting such election the Respondent nevertheless vio- lated Section 8 (1) of the Act. If an employer were at liberty to assume juris- diction of the conduct of union elections he could, by precipitating the holding of an election when the union organization was scarcely started, frustrate further organization by making it appear that an unfavorable result was decisive. While there is no contention that Allard used the poll of employees to determine which ones favored the Union, knowledge of extent of organization, as much as know- ledge of proponents' identities, may be used to plan oppositional steps consti- tuting interference in violation of the Act. Whatever Allard's purpose was, the conducting of such an election under the circumstances of this case was per se an interference with the rights guaranteed in Section 7 of the Act.87 IV. THE EFFECT OF THE UNFAIR LABOR PRACTICES UPON COMMERCE The activities of the Respondent set forth in Section III, above, occurring in connection with the operations of the Respondent described in Section I, above, have a close, intimate, and substantial relation to trade, traffic, and commerce among the several States, and such of them as have been found to constitute unfair labor practices, tend to lead to labor disputes burdening and obstructing commerce and the free flow of commerce. V. THE REMEDY 84 Since it has been found that the Respondent has engaged in certain unfair labor practices it will be recommended that it cease and desist therefrom and take certain affirmative action designed to effectuate the policies of the Act. The undersigned is convinced and finds that the Respondent by the aforesaid con- duct has displayed an attitude of opposition generally to the purposes of the Act. The unfair labor practices heretofore found are persuasively related to the other unfair labor practices proscribed by the Act. The danger of their commission in the future is to be anticipated from the Respondent's conduct in the past 65 Unless the order is coextensive with the threat, the preventive purpose of the Act will be thwarted. In order, therefore, to make more effective the inter- 63 Matter of Parkside Hotel, 74 N L R. B. 809 64 The Respondent raised the issue of laches . It is found that there was no undue delay in prosecuting this case. In any event, the doctrine of lathes does not apply to an agency of the United States Government in proceedings which are an exercise of its public or governmental function . Matter of Standard Oil Company of California , 61 N. L. R. B. 1251. 65 N. L . R. B. v. Express Publishing Company, 312 U. S. 426. 102 DECISIONS OF NATIONAL LABOR RELATIONS BOARD dependent guarantees of Section 7 of the Act, to prevent a recurrence of the unfair labor practices, and thereby minimize industrial strife which burdens and obstructs commerce, and thus to effectuate the policies of the Act, the under- signed will recommend that the Respondent cease and desist from in any manner infringing upon the rights guaranteed in Section 7 of the Act. Since it has been found that the Respondent on May 4, 1945, discriminated in regard to the hire and tenure of employment of the nine employees named in the complaint by laying them off and thereafter failing to offer them reinstate- ment to their former or substantially equivalent positions , the undersigned will recommend that the Respondent offer the said nine men immediate and full reinstatement each to his former or substantially equivalent position,88 without prejudice to the seniority or other rights or privileges he may have enjoyed. It will also be recommended that the Respondent make said nine men whole for any loss which they may have suffered by payment to each of a sum of money equal to that which he would normally have earned as wages from May 4, 1945, to the date of the offer of reinstatement, less his net earnings f7 during said period. It will be further recommended that the complaint be dismissed insofar as. it alleges that the Respondent penalized employees for their attendance at union meetings by taking away privileges previously enjoyed by them, prepared an anti-union petition and/or withdrawal from the Union to be signed by em- ployees on Respondent 's time and premises ,68 exerted pressure on employees to, sign an anti-union petition and/or withdrawals from the Union prepared by the Respondent, urged employees to vote against the Union at an election conceived and supervised by the Respondent on its time and premises," and discontinued a proposed incentive plan to punish its employees for selecting the Union as their bargaining representative." Upon the basis of the foregoing findings of fact and upon the entire record in the case, the undersigned makes the following : CONCLUSIONS OF LAW 1. United Steelworkers of America, affiliated with the Congress of Industrial Organizations, is a labor organization within the meaning of Section 2 (5) of the Act. 2. By discriminating in regard to the hire and tenure of employment of Forrest Ames, George Camf, Stephen Chakas, Leo Dionne, Maurice Houle, Richard 88 In accordance with the Board's consistent interpretation of the term, the expression "former or substantially equivalent position " is intended to mean "former position wherever possible , but if such position is no longer in existence , then to a substantially equivalent position." See Matter of The Chase National Bank of the City of New Yoik, San Juan, Puerto Rico, Branch , 65 N L R B. 827 67 See Matter of Crossett Lumber Co., 8 N. L. R. B. 440, 497-8. 68 The Respondent abetted employees in soliciting opponents of the Union, but there is no evidence that the Respondent prepared a petition itself The participants in such solicitation are found to be non-supervisory. GB The Board 's case on preparation of withdrawal petitions and urging employees to vote against the Union at the Respondent-conducted election was based on the supposed supervisory status of Russell Roy The undersigned finds that he was not at that time a supervisor within the Board's definition 70 Failure to urge the Union to join it in requesting the W L. B's approval of the wage incentive plan after the Respondent had unsuccessfully sought such approval , is not, in the absence of evidence of a union request for such a plan , regarded by the undersigned as establishing that the Respondent was penalizing Its employees in view of the Respondent's belief that the Union was opposed to such plan. GRANITE STATE MACHINE COMPANY, INC . 103 'LaBelle, Laurier Marquis, Lindsay McKee, and Howard Payne, thereby dis- -couraging membership in a labor organization , the Respondent has engaged in .and is engaging in unfair labor practices within the meaning of Section 8 (3) of the Act. 3. By interfering with , restraining , and coercing its employees in the exercise of the rights guaranteed in Section 7 of the Act, the Respondent has engaged in and is engaging in unfair labor practices within the meaning of Section 8 (1) of the Act. 4. The aforesaid unfair labor practices are unfair labor practices affecting commerce within the meaning of Section 2 (6) and (7) of the Act. 5. The Respondent has not interfered with, restrained, or coerced its employees by allegedly penalizing employees for their attendance at union meetings by taking away privileges previously enjoyed by them, or allegedly preparing an anti-union petition and/or withdrawals for the Union to be signed by employees on Respondent's time and premises, or allegedly exerting pressure on employees to sign a Respondent-prepared anti-union petition and/or withdrawals from the Union, or allegedly urging employees to vote against the Union at an election -onceived and supervised by the Respondent on its time and premises, or allegedly threatening to discontinue or discontinuing a proposed incentive plan to punish its employees for selecting the Union as their bargaining representatives. RECOMMENDATIONS Upon the basis of the foregoing findings of fact and conclusions of law, and upon the entire record in this case, the undersigned recommends that the Re- spondent, Granite State Machine Company, Inc., of Manchester, New Hampshire, its officers, agents, successors, and assigns shall : 1. Cease and desist from : (a) Discouraging membership in United Steelworkers of America (CIO), or any other labor organization of its employees, by laying off, discharging, or otherwise discriminating against any of its employees because of their union membership or activities; (b) In any other manner interfering with, restraining, or coercing its em- ployees in the exercise of the right to self-organization, to form labor organ- izations, to join or assist United Steelworkers of America (CIO), or any other labor organization, to bargain collectively through representatives of their own choosing, and to engage in concerted activities for the purpose of collective bar- gaining or other mutual aid or protection as guaranteed in Section 7 of the Act. 2. Take the following affirmative action which the undersigned finds will ef- fectuate the policies of the Act : (a) Offer reinstatement to each of said nine men in the manner outlined in the section entitled "The remedy" above ; (b) Make each of said nine men whole by payment to each of a sum of money computed in the manner described in the section entitled "The remedy" above ; (c) Post immediately at its plant in Manchester, New Hampshire, copies of the notice attached hereto and marked "Appendix A." Copies of said notice, to be furnished by the Regional Director of the First Region (Boston, Massa- chusetts), shall, after having been duly signed by the Respondent's representa- tive, be posted immediately upon receipt thereof and thereafter be maintained by it for sixty (60) consecutive days thereafter, in conspicuous places, including all places where notices to employees are customarily posted Reasonable steps shall be taken by the Respondent to insure that said notices are not altered, defaced, or covered by any other material ; 104 DECISIONS OF NATIONAL LABOR RELATIONS BOARD (d) Notify the Regional Director for the First Region (Boston, Massachu- setts), in writing within ten (10) days from the date of the receipt of this Inter- mediate Report of what steps the Respondent leas taken to comply herewith. It is further recommended that, unless on or before ten (10) days from the date of this Intermediate Report, the Respondent notifies the said Regional Director in writing that it will comply with the said recommendations, the Na- tional Labor Relations Board issue an order requiring the Respondent to take the action aforesaid. It is also recommended that the complaint be dismissed as to the matters enumerated in paragraph 5 of the section entitled "Conclusions of Law" above. As provided in Section 203.39 of the Rules and Regulations of the National Labor Relations Board, Series 4, effective September 11, 1946, any party or counsel for the Board may, within fifteen (15) days from the date of service of the order transferring the case to the Board, pursuant to Section 203 38 of said Rules and Regulations, file with the Board, Rochambeau Building, Washington 25, D. C., an original and four copies of a statement in writing setting forth such exceptions to the Intermediate Report or to any other part of the record or pro- ceeding (including rulings upon all motions or objections) as he relies upon, together with the original and four copies of a brief in support thereof ; and any party or counsel for the Board may. within the same period, file an original and four copies of a brief in support of the Intermediate Report. Immediately upon the filing of such statement of exceptions and/or briefs, the party or counsel for the Board filing the same shall serve a copy thereof upon each of the other parties and shall file a copy with the Regional Director. Proof of service on the other parties of all papers filed with the Board shall be promptly made as required by Section 203.65. As further provided in said Section 203.39, should any party desire permission to argue orally before the Board, request therefor must be made in writing to the Board within ten (10) days from the date of service of the order transferring the case to the Board. JAMES R. HEMINGWAY, Trial Examiner. Dated August 14, 1947. APPENDIX A NOTICE TO ALL EMPLOYEES Pursuant to the recommendations of a Trial Examiner of the National Labor Relations Board, and in order to effectuate the policies of the National Labor Relations Act, we hereby notify our employees that: WE WILL NOT in any manner interfere with, restrain, or coerce our employees in the exercise of their right to self-organization, to form labor organizations, to join or assist UNITED STEELWORKERS OF AMERICA (C. I. 0.), or any other labor organization, to bargain collectively through representa- tives of their own choosing, and to engage in concerted activities for the purpose of collective bargaining or other mutual aid or protection. WE WILL OFFER to the employees named below immediate and full reinstate- ment to their former or substantially equivalent positions without prejudice to any seniority or other rights and privileges previously enjoyed, and make them whole for any loss of pay suffered as a result of the discrimination. Forrest Ames Leo Dionne Laurier Marquis George Cainf Maurice Houle Lindsay McKee Stephen Chakas Richard LaBelle Howard Payne GRANITE STATE MACHINE COMPANY, INC. 105 All our employees are free to become or remain members of the above-named union or any other labor organization . We will not discriminate in regard to hire or tenure of employment or any term or condition of employment against any employee because of membership in or activity on behalf of any such labor organization. GRANITE STATE MACHINE COMPANY, INC., Employer. By --------------------------------------- (Representative ) ( Title) Dated ------------------------ NOTE: Any of the above -named employees presently serving in the Armed Forces of the United States will be offered full reinstatement upon application in accord- ance with the Selective Service Act after discharge from the Armed Forces. This notice must remain posted for 60 days from the date hereof, and must not not be altered , defaced, or covered by any other material. Copy with citationCopy as parenthetical citation