Howard Manufacturing Co., Inc.Download PDFNational Labor Relations Board - Board DecisionsDec 16, 1969180 N.L.R.B. 220 (N.L.R.B. 1969) Copy Citation 220 DECISIONS OF NATIONAL LABOR RELATIONS BOARD Howard Manufacturing Company, Inc. and Southwest Regional Joint Board , Amalgamated Clothing Workers of America, AFL-CIO. Cases 26-CA-2965 and 26-RC-2957 December 16, 1969 DECISION AND ORDER BY CHAIRMAN MCCULLOCH AND MEMBERS JENKINS AND ZAGORIA On October 27, 1968, Trial Examiner Lowell Goerlich issued his Decision in the above -entitled proceeding , finding that the Respondent had engaged in and was engaging in certain unfair labor practices within the meaning of the National Labor Relations Act, as amended , and recommending that it cease and desist therefrom and take certain affirmative action , as set forth in the attached Trial Examiner ' s Decision . He further found that certain of the Union ' s objections to the election in Case 26-RC-2957 should be sustained and recommended that a bargaining order be issued . Thereafter, the General Counsel , the Respondent , and the Charging Party filed exceptions to the Trial Examiner's Decision and supporting briefs . The General Counsel also filed an answering brief to Respondent ' s exceptions , and the Respondent filed a brief answering the General Counsel ' s and Charging Party's exceptions. Pursuant to the provisions of Section 3(b) of the National Labor Relations Act, as amended, the National Labor Relations Board has delegated its powers in connection with these cases to a three-member panel. 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 Trial Examiner ' s Decision , the exceptions , and the briefs, and hereby adopts the findings , conclusions, and recommendations of the Trial Examiner , only to the extent consistent herewith. Following a stipulation for consent election, a Board-conducted election was held August 25, 1967, in which the Petitioner , Southwest Regional Joint Board , Amalgamated Clothing Workers of America, AFL-CIO, failed to receive a majority of the valid ballots cast . The Petitioner , thereafter , filed timely objections to conduct affecting the results of the election , and after investigation thereof by the Acting Regional Director , he issued and served on the parties his Report on Objections. The Regional Director recommended that all the objections, except 4 and 7, be overruled and that Objections 4 and 7 be sustained ; that the election be set aside and a new one directed . Alternatively he recommended a hearing to resolve issues raised by Objections 2, 4, 5, and 7, and the Board so duly ordered. Pursuant to charges of 8(a)(1) and (5) violations filed by the Union on January 3, 1968, a complaint issued in Case 26-CA-2965 which was thereafter consolidated with the representation proceeding 26-RC-2957. It is these cases which are now before us. 1. The Trial Examiner found that a notice of leave of absence policy posted by Respondent on its bulletin board on June 28, 1967, prior to the Board-conducted election of August 25, 1967, violated Section 8(a)(1) of the Act. The Trial Examiner, however, failed to note that the charge initiating the unfair labor practice proceeding was filed on January 3, 1968, more than 6 months after the notice was posted. Since Section 10(b) of the Act prohibits the issuance of a complaint based upon unfair labor practices occurring more than 6 months before the filing and service of the charge, it is evident that the notice of leave of absence policy cannot be found to have violated Section 8(a)(1). Similarly, since the subsequent restoration of seniority rights to an employee during the 10(b) period was inescapably grounded in the prior notice of leave of absence policy which was posted before the limitation period, we also find, contrary to the Trial Examiner, that it cannot be found to constitute a violation of Section 8(a)(1).' On the other hand, we agree with the Trial Examiner, for the reasons stated by him that Respondent's conduct in posting the notice of leave of absence policy on its bulletin board constituted objectionable conduct and affected the results of the election. 2. In section III, subsection Fourth of the Trial Examiner's Decision, the Trial Examiner found that employees were deprived of their right to a free choice of bargaining representative, and that the rights guaranteed under Section 7 of the Act were interfered with, by the nature of Respondent's references to the Union in its letters and speeches. We do not agree. In the earlier stages of the instant objections proceeding, the Regional Director considered the content of the campaign material alleged to have been improper and found the objections based thereon to be without merit. In the absence of exceptions to the Regional Director's dismissal of these objections, the Board sustained the Regional Director's action. The Respondent's campaign material was not alleged in the complaint to be violative of Section 8(a)(1) and no evidence supporting such violation was taken at the hearing. Accordingly, we agree with the Respondent that to find such campaign material at this stage of the proceeding either objectionable or illegal would be an abridgment of its procedural rights, and therefore do not adopt the Trial Examiner's findings in this regard. 3. Section III, subsection Fifth of the Trial Examiner's Decision: Like the Trial Examiner, we find that Supervisor Moore's questioning of 'See Durjee 's Television Cable Company , 174 NLRB No 98. 180 NLRB No. 47 HOWARD MANUFACTURING CO., INC. employee Haislip in the cafeteria as to "why [she] wanted a union ," in the circumstances detailed by the Trial Examiner, constituted objectionable conduct. However, as noted by the Trial Examiner, there is insufficient proof that this incident occurred after July 3, 1967, the 10(b) cutoff date, as opposed to June 28 or 29, 1967. Accordingly, we adopt his finding that the incident cannot be found to have constituted a violation of Section 8( a)(1). 4. We agree with the Trial Examiner that Supervisor Dixon 's interrogation of employee White concerning the Union, as described in section III, subsection Sixth of his Decision, was both violative of Section 8(a)(l) and conduct interfering with the results of the election. However, we do not adopt the Trial Examiner's finding that White's request to Hudson to "vote no for me" was a further violation of the Act, or objectionable. 5. We do not agree with the Trial Examiner's findings in section III, subsection Seventh, paragraphs numbered l and 9, that President Herzog by his statements to employees Carrigan and Tipton, respectively, that (a) "the union can cause trouble and was a pack of headaches" and (b) the union took (the employees') money and couldn't give them anything, violated Section 8(a)(1) of the Act. On the contrary, we find that these remarks were in the permissible area of fair comment and did not violate Section 8(a)(1). In agreement with the Trial Examiner, as set forth in the remaining paragraphs of subsection Seventh of his Decision, we find that Respondent violated Section 8(a)(l) by the remarks detailed therein.1 6. The Trial Examiner found that Respondent's supervisors on June 20 and 21 engaged in surveillance of its employees who accepted the Union' s literature . He found further that, on August 14, 1968, Respondent engaged in handbilling near the location being used by the Union for the same activity, thereby deterring employees from accepting such literature, in violation of Section 8(a)(1). The Trial Examiner also found that this conduct affected the results of the election. We deem it unnecessary to pass on whether Respondent's foregoing activities constituted objectionable conduct, inasmuch as sufficient findings of objectionable conduct have already been made and additional findings would merely be cumulative. Moreover, we do not reach the issue of whether Respondent's conduct of August 14 violated Section 8(a)(1), since , at the hearing , both the General Counsel and the Charging Party disavowed 'Member Zagoria, for the reasons set forth in his dissent in Graber Manufacturing Co. inc., 158 NLRB 244, would not find president Herzog 's remark to Carrigan , concerning the presentation of future grievances through the union , a violation of Sec 8 (axl); neither would he find Herzog ' s remarks to Butler , detailed in section III, subsection Seventh , paragraph numbered 12, to be violative of the Act Chairman McCulloch would not find that Herzog 's question to Carrigan, set forth in paragraph numbered 4 of sec . III, subsection Seventh , constituted unlawful interrogation. 221 alleging this activity as unlawful. As the Trial Examiner noted, Respondent's conduct of June 20 and 21 cannot be found to have violated Section 8(a)(1), since Section 10(b) precludes our finding unlawful any conduct by Respondent occurring before July 3, 1968. 7. We agree with the Trial Examiner that by June 12, 1967, the initial date of the Union's demand for recognition, the Union had been designated for the purposes of collective bargaining by a majority of Respondent's employees in an appropriate unit, and that Respondent violated Section 8(a)(5) by thereafter refusing to bargain with it. The record reveals that, for the payroll period from June 9 through June 23, 1967, there were 153 eligible employees in the unit and that as of June 16 the Union was in possession of 85 validly signed cards. In arriving at this figure we accept the Trial Examiner's findings that employees Hutson, Tipton, Butler, and Haislip signed their cards free of any misrepresentation by the Union as to the card's purpose. We also accept the Trial Examiner's finding that employee Carrigan's card, signed by another at her direction, was a valid designation of the Union as bargaining representative. We accept the Trial Examiner's finding that employee Coulter's card was valid for determining the Union's majority status, but we do so on the ground that the evidence taken at the hearing was sufficient to establish its validity without regard to the Trial Examiner's handwriting analysis. We accept the Trial Examiner's findings with regard to the validity of employee Hile's card. Respondent contends that employee Tollet's card is invalid, because of a representation made by the Union that the card did not obligate Tollett in any way. We find it unnecessary to reach this issue, or to count Tollett's card, in view of the Union's clear majority status based on the cards of other employees. We agree further with the Trial Examiner that, as of July 3, 1967, the Union had been designated as bargaining representative by 92 valid cards from employees in the unit. The record reveals that the total number of eligible employees in the appropriate unit for the June 23 through July 6 payroll period was 154. Thus the number of validly signed cards in the Union's possession was greatly in excess of the, number necessary to constitute a majority. In reaching this conclusion we accept the Trial Examiner's findings that the cards of employees Henderson and Wesson were valid because testimony taken at the hearing established that the witness saw these employees sign their cards at a union meeting on June 22. We have found, in agreement with the Trial Examiner, that on and after June 12, 1967, the date of the Union's formal demand for recognition, the Union had been designated by a majority of employees in an appropriate unit to act as their collective-bargaining representative. The Union filed 222 DECISIONS OF NATIONAL LABOR RELATIONS BOARD a petition for an election on June 16, 1967. Thereafter, as found by the Trial Examiner and affirmed substantially herein , Respondent engaged in numerous unfair labor practices , including interrogations , threats of reprisal , and a statement indicating that selection of the Union would be futile . In these circumstances , we believe it unlikely that any election conducted would be an accurate gauge of the employees ' true desires , and find that, on balance , employees ' desires as expressed through the authorization cards previously signed would be better protected by a bargaining order than by another election. Respondent contends that, since the Union's formal request for recognition and Respondent's letter of June 16, 1967, denying that request, occurred before the 10(b) cutoff date of July 3, 1967, any 8(a)(5) finding is barred by the limitation of Section 10(b). We do not agree . As we have found, the Union retained its majority through July 3, 1967, the beginning of the 10(b) period. Though the Union ' s initial request for recognition came on a date prior to this, on June 16, 1967, the Union filed a representation petition shortly thereafter indicating its continuing interest in representing the Respondent's employees. We construe the Union's demand of June 16 to have been a continuing one; in the light of Respondent 's peremptory refusal to bargain on June 16, and its subsequent unfair labor practices, any further demand by the Union for recognition would have been futile. Moreover, under the Supreme Court's decision in the Gissel Packing Co. case,' it is the Employer's contemporaneous and subsequent conduct which determines whether its earlier refusal to bargain was unlawful . Since it is these unfair labor practices which serve as the basis for an 8 (a)(5) finding under Gissel, we can hardly say that the 10(b) period started running before the unfair labor practices were committed ; i.e., before the unlawful refusal to bargain was established. As the Court of Appeals for the District of Columbia Circuit has indicated in a similar case , Respondent ' s active and unlawful antiunion campaign within the 10(b) period constituted a "continuing offense," a repetition of its earlier refusal to bargain .' Hence , we find the Respondent violated Section 8(a)(5) of the Act by refusing to bargain with the Union on and after July 3, 1967, and that such a finding is not barred by Section 10(b) of the Act. We shall issue a bargaining order.' ORDER Pursuant to Section 10(c) of the National Labor Relations Act, as amended , the National Labor Relations Board hereby orders that Respondent, Howard Manufacturing Company, Inc., Nashville, Arkansas , its officers , agents, successors, and assigns, shall: 1. Cease and desist from: (a) Refusing to recognize and bargain collectively with Southwest Regional Joint Board , Amalgamated Clothing Workers of America , AFL-CIO, the exclusive representative of the employees in the appropriate unit as set forth below. (b) Coercively interrogating employees about the Union in a manner constituting interference, restraint , and coercion within the meaning of Section 8(a)(1) of the Act. (c) Threatening employees , expressly or implicitly, that they may suffer reprisals for having engaged in union activities. (d) Indicating that selection of a bargaining representative will be futile. (e) In any like or related 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 Southwest Regional Joint Board, Amalgamated Clothing Workers of America, AFL-CIO, or any other labor organization, to bargain collectively through representatives of their own choosing , to engage in other concerted activities for the purpose of mutual aid or protection as guaranteed in Section 7 of the Act, and to refrain from any and all such activities. 2. Take the following affirmative action which the Board finds will effectuate the policies of the Act: (a) Upon request , bargain with Southwest Regional Joint Board , Amalgamated Clothing Workers of America, AFL-CIO, as the exclusive bargaining representative of all its employees in the appropriate unit , with respect to rates of pay, wages, hours of employment , and other terms and conditions of employment , and, if an understanding is reached , embody such understanding in a signed agreement . The appropriate unit is: All employees employed by Howard Manufacturing Company, Inc., including all production and maintenance employees , excluding all office clerical employees , guards and supervisors as defined in the Act. (b) Post at its Nashville, Arkansas , plant, copies of the attached notice marked "Appendix."[' ] Copies of said notice , on forms provided by the Regional Director for Region 26, after being signed by an authorized representative of Respondent, shall be posted by Respondent immediately upon receipt thereof, and be maintained by it for 60 consecutive days thereafter , in conspicuous places, including all places where notices to employees are customarily posted . Reasonable steps shall be taken by Respondent to insure that said Notices are not 'N.L.R.B. v. GLrsei Packing Co., 395 U.S. 575. See UA.W v. N.L.R B. (Aero Corp.), 363 F.2d 702 (C.A.DC.), cert. denied 385 U.S. 973. 'We find no warrant for the 90-day proof-of-majority requirement imposed by the Trial Examiner and do not adopt it. [6!n the event that this Order is enforced by a decree of a United States Court of Appeals, there shall be substituted for the words "a Decision and Order" the words "a Decree of the United States Court of Appeals Enforcing an Order "1 HOWARD MANUFACTURING CO., INC. altered, defaced, or covered by any other material. (c) Notify the said Regional Director, in writing, within 10 days from the date of this Decision, what steps have been taken to comply herewith. IT IS FURTHER ORDERED that the election held on August 25, 1967, be vacated and set aside and that the petition in Case 26-RC-2957 be dismissed. IT IS FURTHER ORDERED that the complaint herein be, and it hereby is, dismissed insofar as it alleges unfair labor practices not found herein. APPENDIX NOTICE TO ALL EMPLOYEES Pursuant to a Decision and Order of the National Labor Relations Board and in order to effectuate the policies of the National Labor Relations Act, as amended, we hereby notify our employees that: WE WILL NOT coercively interrogate employees about the union in a manner constituting interference, restraint, coercion within the meaning of Section 8(a)(l) of the Act. WE WILL NOT threaten employees, expressly or impliedly, that they may suffer reprisals for having engaged in union activities. WE WILL NOT indicate that selection of a bargaining representative will be futile. WE WILL NOT in any like or related 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 Southwest Regional Joint Board, Amalgamated Clothing Workers of America, AFL-CIO, or any other labor organization, to bargain collectively through representatives of their own choosing , or to engage in other concerted activities for the purpose of collective bargaining or other mutual aid or protection, or to refrain from any or all such activities. WE WILL, upon request, bargain collectively with Southwest Regional Joint Board, Amalgamated Clothing Workers of America, AFL-CIO, as the exclusive bargaining representative of all our employees in the bargaining unit described below with respect to rates of pay, hours of employment, and, if an understanding is reached, embody such understanding in a signed agreement . The appropriate unit is: All employees employed by Howard Manufacturing Company, Inc., including all production and maintenance employees, excluding all office clerical employees, guards and supervisors as defined in the Act. All our employees are free to become or remain, or refrain from becoming or remaining , members of Southwest Regional Joint Board, Amalgamated Clothing Workers of America, AFL-CIO, or any other union, except to the extent that this right may be affected by the provisions of the National Labor Relations Act. HOWARD MANUFACTURING COMPANY, INC. (Employer) 223 This notice must remain posted for 60 consecutive days from the date of posting and must not be altered, defaced, or covered by any other material. If employees have any question concerning this notice or compliance with its provisions, they may communicate directly with the Board's Regional Office, 746 Federal Office Building, 167 North Main Street, Memphis, Tennessee 38103, Telephone 534-3161, if they have any questions concerning this notice or compliance with its provisions. TRIAL EXAMINER'S DECISION STATEMENT OF THE CASE LOWELL GOERLICH, Trial Examiner Pursuant to a petition duly filed by the Petitioner, Southwest Regional Joint Board, Amalgamated Clothing Workers of America, AFL-CIO, herein referred to as the Union, on June 16, 1967, and a Stipulation for Certification upon Consent Election executed by the Union and Howard Manufacturing Company, Inc., the employer and Respondent herein, and approved by the Regional Director, Region 26, on July 12, 1967, an election by secret ballot was conducted under the direction and supervision of the Regional Director on August 25, 1967, among certain employees' of the employer. Fifty-seven votes were cast for the Petitioner, 75 votes were cast against the Petitioner, 1 vote was void, and 7 were challenged. On September 1, 1967, the Petitioner filed timely objections to conduct affecting the results of the election, a copy of which was duly served upon the employer. The Acting Regional Director caused an investigation of the objections to be made and thereafter, on October 13, 1967, issued and served on the parties his report on objections. In his report the Acting Regional Director recommended to the Board that Objections 1, 3, 6, 8, 9, 10, and 11 be overruled, that Objections 4 and 7 be sustained, and that the election be set aside and a second election be directed. He further recommended that in the event that these recommendations were not adopted, a hearing be held to resolve issues raised by Objections 2 and 5. On October 24, 1967, the employer filed timely exceptions to the Acting Regional Director's report and brief in support of exceptions. The Board duly considered the matter and was of the opinion that the issues raised with respect to Petitioner's Objections 2, 4, 5, and 7 could best be resolved by a hearing. Accordingly, the Board ordered that a hearing be held and the matter was referred to the Regional Director for the purpose of conducting such hearing and for the issuance of notice thereof. On August 5, 1968, the Acting Director issued an order consolidating cases, complaint, and notice of hearing. Among other things the Acting Regional Director ordered, pursuant to Section 102.33 of the Board's Rules and Regulations, Series 8, as amended, that Case 26-CA-2965 be consolidated with Case 26-RC-2957 for the purpose of hearing, ruling, and decision by the Trial Examiner on issues raised by Petitioner's Objections 2, 4, Dated By 'Included- All production and maintenance employees . Excluded- All (Representative) (Title) office clerical employees, guards, and supervisors as defined in the Act 224 DECISIONS OF NATIONAL LABOR RELATIONS BOARD 5, and 7 in accordance with the Board's order directing hearing dated December 14, 1967, and that thereafter Case 26-RC-2957 be transferred and continued before the Board in Washington, D.C., and that the provisions of Sections 102.46 and 102.69 of the above-mentioned Rules govern the filing of exceptions. The complaint issued in Case 26-CA-2965 was pursuant to charge filed by the Union on January 3, 1968, and served on the Respondent by registered mail on or about January 3, 1968. It was alleged in the complaint that the Respondent had engaged and was engaging in unfair labor practices affecting commerce within the meaning of Section 8(a)(1) and (5) of the National Labor Relations Act, as amended, herein called the Act. The Respondent filed timely answer denying that it had engaged in or was engaging in the unfair labor practices alleged. The cases came on to be heard on September 17, 18, 19, and 20 at DeQueen, Arkansas, and on September 24, at Little Rock, Arkansas. Each party was afforded a full opportunity to be heard, to call, examine and cross-examine witnesses, to argue orally on the record, to propose findings of fact and conclusions of law, and to file briefs. All briefs have been reviewed and considered by the Trial Examiner.' The General Counsel contends that the Respondent has violated Section 8(a)(1) and (5) of the Act, by failing to recognize the Union as a collective bargaining representative of its production and maintenance employees in that after the Union demanded recognition and offered to prove its majority status, the Respondent demonstrated its lack of good-faith doubt of the Union's majority status by engaging in certain unfair labor practices in violation of Section 8(a) (1) of the Act. The alleged violations of Section 8(a)(1) of the Act involved warnings of the futility of selecting the Union as employees' bargaining representative, unlawful interrogation of employees threats of plant closure, the creation of the impression of surveillance, the threat of job loss, and the institution of a new policy with regard to employees' leaves of absence, all of which the General Counsel claimed interfered with rights guaranteed employees under Section 7 of the Act. The Union's objections to the conduct affecting the results of the election which are before the Trial Examiner for consideration are: * * * * * 2. Agents of the Employer interrogated employees about their union sympathies and activities. * * * * * 4. Agents of the Employer engaged in surveillance of worker's who talked to Union organizers while said organizers were handing out leaflets in front of the plant. 5. Agents of the Employer told workers, during working hours, that the Union would not allow job transfers within the plant and that the Employer could not operate its factory without said job transfers, and that because of such Union limitation it would have to move the plant operation to another location; that the colored girls would be responsible for whatever happens; and that the Union would not allow job 'The Respondent and General Counsel filed carefully prepared and helpful briefs with the Trial Examiner . The Union faded to submit a brief to the Trial Examiner. transfers , in order that they might collect additional dues. * * * 7. Agents of the Employer, subsequent to the filing of the Union's representation petition and contrary to the practice previous, began to allow vacation and holiday benefits to those employees who had been away from work because of pregnancy, when otherwise qualified for said benefits. Upon the whole record' and upon his observation of witnesses the Trial Examiner makes the following: FINDINGS OF FACT AND CONCLUSIONS 1. THE BUSINESS OF THE RESPONDENT Respondent is now and has been at all times material herein an Arkansas Corporation with an office and place of business located in Nashville, Arkansas, where it is engaged in the manufacturing of men's and boy's robes under the brand name Roytex. During the past 12 months Respondent in the course and conduct of its business operation sold and shipped from its Nashville, Arkansas, plant products valued in excess of $50,000, directly to points located outside the State of Arkansas. The Trial Examiner finds, as is admitted by the Respondent, that at all times material herein Respondent is and has been an employer as defined in Section 2(2) of the Act engaged in commerce and operations affecting commerce as defined in Section 2(6) and (7) of the Act. II. THE LABOR ORGANIZATION INVOLVED Southwest Regional Joint Board , Amalgamated Clothing Workers of America, AFL-CIO, is now and has been at all times material herein a labor organization within the meaning of Section 2 (5) of the Act. III. THE UNFAIR LABOR PRACTICES First: The Union first handbilled the Respondent's Nashville, Arkansas, plant on March 31, 1967; thereafter the union organizers returned on April 13, 1967, and continued the Union's organizational campaign until the time of the election. By June 12, 1967, the Union had obtained 86 seemingly valid authorization cards from the Respondent's employees, at which time it transmitted to the Respondent a demand for recognition. Part of such demand read: "We stand prepared, at any reasonable time, to submit our signed membership cards for a check against a current Company payroll, by an impartial person, or persons, of public standing in the Nashville, Arkansas community, which person or persons would thereupon furnish both the union and your firm with sworn affidavits concerning the findings of said card check." The letter was received by the employer on June 14, 1967. On June 16, 1967, the Union filed its petition for an election. On the same day, but without knowledge of the 'The General Counsel moved to correct the transcript in the following particulars: p 259 , "Mary Ann Gray" be corrected to read "Mary Ann Ray"; and pp 258-260, the name of Avalee Tribble , one of the seven employees challenged during the election , to be included in the stipulation of the parties as properly excluded from the unit There being no opposition thereto , the motion is granted and the transcript is corrected accordingly. HOWARD MANUFACTURING CO., INC. Union's petition, the Employer replied to the Union's demand letter, which was received by the Union on July 19, 1967. In its reply letter, the employer refused to recognize the Union because, as stated by the Employer, "we doubt, in good faith, that you represent a majority of our employees in any appropriate unit."' The letter also included the paragraph: "As for your offer of a card check, it should be pointed out that a card check would not show the circumstances under which employees allegedly signed the cards; It would not show what inducements were made to the employees. It would not show what representations, misrepresentations or threats had been made to them. Therefore, we must also decline your offer of a card check since we do not believe it would provide a proper means of proving whether your organization represents a valid, uncoerced majority of the employees involved. The election processes of the National Labor Relations Board are available." The letter was signed by President Albert W. Herzog. Herzog testified that he personally drafted the reply based upon his "experience" in "other elections."' In respect to the good-faith doubt referred to in the employer's reply letter, Herzog at the hearing attributed it both to his prior experience and his lack of observation of any union activity "as far as a campaign to sign up the employees" was concerned.' He testified that he received the same reaction in regard to union activity from manager Charles W. Hornbuckle. Between July l and 9, 1967, the plant was closed for vacation. A day or two before the plant was closed, the Respondent's supervisors were called together by Herzog and Hornbuckle and were told that there was a union campaign going on in the plant. The supervisors were directed to advise their employees that there probably would be an election and that they would give them more information on that subject when it was available. Supervisors were further told, according to Herzog to tell the "employees that they had rights to go for a union or to be against the union . They had a right to go to a union meeting or not to go to a union meeting . They had a right to talk to union organizers in their homes, and if they didn't want to, they didn't have to, and most important of all, that if they had any questions at all about the union campaign , or about the union issues , [the Employer] would try to get the answers for them, and that they should just let their supervisors know, or let Mr. Hornbuckle or [Herzog] know, and [they] would try to answer their questions as best [they] could." Second: On June 28, 1967, shortly before the vacation period commenced, the Employer posted a notice on the bulletin board in which it was stated that there seemed to be some confusion and misunderstanding about the Company' s leave-of-absence policy. The notice made known among other things that "[ a]nyone can request a 30-day LEAVE OF ABSENCE (LOA) for a good reason such as pregnancy , sickness , an operation , etc.[;] [t]his LOA can be extended for two more 30-day periods or up to a total of ninety days. [;] .... [i]f you follow the above 'No grounds for good-faith doubt were mentioned in the letter. 'Herzog was a "principal" in the Meridian Manufacturing Company in Meridian , Mississippi , and was associated with another plant near Meridian . He testified that he, at these and other locations , had received similar demand letters from the same union and that " in those cases a majority was never shown , and the employees rejected the union as their bargaining agent...." 'Herzog testified that the only indication he had that the Union was present at the plant was that "previously the union had handbilled in front of the plant." 225 procedure and return to work . . . you will not loose any LENGTH OF SERVICE or the benefits that go with your LENGTH OF SERVICE." After the notice was posted, Herzog directed Hornbuckle to "go over each [employee's] case individually" and determine whether the employee "should have her length of service reinstated . . . for future benefits ... " During the election campaign period, Manager Hornbuckle awarded accumulated seniority not previously granted to Bonnie Haislip who had been absent from work due to two pregnancies. She had been previously returned to work as a new hire. The General Counsel maintains that the announcement of the leave policy on June 28, 1967, and the retroactive restoration of seniority interfered with the election and violated Section 8(a)(1) of the Act. The Respondent counters that the leave policy as announced and implemented during the critical election period was merely the embodiment of the current leave policy. There are several factors which persuasively convince the Trial Examiner that the Respondent's claim is without merit. There is no credible evidence that any of the employees or supervisors knew of the policy or that a manager had ever applied it, Dell Stone, the employee whose responsibility it was to record the leave granted employees in the Employer's personnel records, although she had commenced working for the Employer in January 1966, had never heard of the policy; the policy had never been posted; the publication of the policy stemmed from an employee's question as to whether she would be eligible for vacation benefits' asked during the critical election period (the employee had not been granted accumulated seniority when she returned to work after pregnancy); and the policy was given only prospective application.' Moreover, Herzog's testimony reveals that if there was a leave of absence policy in existence prior to June 28, 1967, it was not fixed, but was based "to some extent on practicality and common sense" and "at the discretion of the plant manager." Under the posted policy the employee had a right to accumulate seniority if he or she came within the policy. Prior to June 28, 1967, whether employees received the benefits described under the posted policy was a matter of happenstance.' The Trial Examiner concurs in the following remarks of the Acting Regional Director appearing in his report on objections; "It is further found that the Employer's leave of absence policy, while it may have been an established Company policy, was one not known to or received by the employees of the Nashville plant. The Employer's records show only two employees over a period of 6 years utilized or were granted this benefit. Under these circumstances, even if considered a correction to conform to Company 'Eligibility for vacation benefits was based upon length of accumulated service. 'The fact that the Employer did not retrospectively grant benefits which would have accrued to employees prior to June 28, 1967, based upon their restored seniority , indicates that the employees were not considered to be entitled to such benefits as a matter of right as was the case after June 28, 1967. 'Herzog's assigned reason for posting the notice , i e , "so that everybody would understand it, including the supervisors " and the language of the notice, i.e., "[t]here seems to be some confusion and misunderstanding" contributes to the conclusion that there was no announced fixed policy on leave of absence . Dell Stone testified that all she knew about leave of absence was that the manager told her orally that someone was on leave of absence and she made the notation . Stone knew of no policy nor had she made any personnel entries which allowed accumulated seniority for periods of pregnancy. 226 DECISIONS OF NATIONAL LABOR RELATIONS BOARD policy, the Employer's announcement of this previously unknown and unavailable to policy, shortly after the initial Union campaign, was subsequent granting of retroactive seniority and other benefits to employees as tantamount to the establishment of a new benefit program. Furthermore, no urgent need for the timing of the announcement of the correction has been shown. As the majority of the employees are female, such a benefit is found to be substantial and merit is found to this portion of the objection." The Trial Examiner finds that the granting of such benefits not only constituted an interference with the election but also was in violation of Section 8(a)(l) of the Act. See N L R.B. v. Exchange Parts Company, 375 U.S 405 The language of the Board in Fashion Fair, Inc, Cinbo, Inc , and Lois Price of Ohio, Inc., 157 NLRB 1645, is apposite: "To give employees sick pay as a matter of right, where theretofore it had been a matter of grace, was clearly to confer a benefit upon them." Pertinent also is the language from N L R.B. v. Newman-Green, Inc, 401 F.2d I (C.A. 7)• When the employer chose to announce the insurance program at the time and under the circumstances here [during an election campaign], it took the risk that its conduct could justify the inference the Board drew, that the preparation of the insurance plan and its promulgation was timed to induce, or did induce, votes against the Union. Third: Upon return from vacation the employer commenced a well-planned, intensive antiunion campaign. President Herzog was its spearhead. The supervisors and Manager Hornbuckle contacted the employees individually as many as four separate times during the campaign. Herzog, himself, talked individually with 70 or 75 employees on company time away from their normal work stations; with some he conversed for almost an hour Herzog, himself, wrote letters to the employees urging them to vote against the Union and spoke in the same vein to employees in three captive audiences on August 16, 21, and 24, 1967. Not only did Plant Manager Hornbuckle pass out handbills alongside the Union handbillers but he addressed the employees in a captive audience on August 23, 1967. E.D. Cramer, the Respondent's secretary and treasurer from New York, appeared before the employees on August 24, 1967, to tell them "why the company doesn't want a union." On the same date, Herzog addressed employees on "what is in store - for us - here at Howard." The Respondent even brought its attorney to address a captive audience on August 23, 1967, in order to set the employees straight as to those questions which lay in the legal field. In response to the Employer's solicitations, many questions were submitted by the employees which were answered either personally by Hornbuckle, Herzog, or the supervisors or by handbill, in captive audiences, or by letter.' Viewing the Respondent ' s intensive antiunion campaign as a whole and in the light of the credible record, the Trial Examiner is of the opinion that the Respondent, in its zeal to dissipate the strength of the Union and thwart "In respect to the employees' questions, the General Counsel has included a statement in his brief with which the Trial Examiner is wholly in accord: The Respondent's efforts to solicit questions from employees was only a ploy devised by the Respondent to gain lawfully what it could not gain otherwise; a forum on which to propagandize unsophisticated employees under the guise of only answering questions propounded to them union growth, overstepped the bounds of legitimate campaigning and created an atmosphere of fear incompatible with its employees' freedom of choice for a bargaining agent and, by its activities hereinafter detailed, interfered with, restrained , and coerced employees in the exercise of rights guaranteed by Section 7 of the Act and thereby violated Section 8(a)(1) of the Act. Fourth: It is apparent from Herzog's testimony, speeches, and written communications that he was no tyro in this business , but was experienced and well advised In comparison, the employees whom he confronted were as "babes in the woods."" Moreover, as president of the Respondent and a high emissary from the main office, he spoke as one with authority and the weight of his displeasure and his admonitions to employees, especially the black members of the union organizing committee, were not things to be taken lightly. There seems little doubt that his status commanded attention and his remarks, careful concern. Thus, as to the employees he addressed, his words partook of actuality rather than vaticination.'= Herzog left no doubt that his thoughts on the subject would be translated into action. The Trial Examiner is well aware that an employer does not commit an unfair labor practice if he expresses or disseminates "views, argument or opinion" whether in written , graphic, or visual form, if such expressions or disseminations contain "no threat of reprisal or force or promise of benefit." (See Section 8(c) of the Act.)" An employer may engage in noncoercive antiunion solicitation , a right which "is protected by the so-called 'employer free speech' provision of Section 8(c) of the Act." N.L R B. v. United Steelworkers of America, CIO [Nutone, Inc.J, 357 U.S. 357, 362. However, the Legislative History of Section 8(c) does not suggest that by the enactment of Section 8(c) it was intended that the realities of the industrial world be ignored, or that there be overlooked the salient fact that there is a distinct difference between the reaction of an employee to the statement of his employer, upon whom he depends for his daily bread, and that of the armchair strategist who sometimes applies connotations to the employer's language . As was said by Judge Frank, "Tough language barriers often exist between the man in the library or the judge and the man on the street...." Larson v. Jo Ann Cab Corp., 209 F.2d 929, 933 (C.A. 2). "What to an outsider will be no more than the vigorous presentation of a conviction , to an employee may be the manifestation of a determination which it is not safe to thwart." N.L.R B. v. Federbush Co., Inc., 121 F.2d 954, 957 (C.A. 2). "The Trial Examiner observed that while Respondent's employees were testifying they appeared little equipped to grasp the nice distinctions which are sometimes drawn between coercive and noncoercive communications "As was stated in N L R.B v W C Nabors Co , 196 F 2d 272, 276 (C.A. 5) When statements such as these are made by one who is a part of the Company management , and who has the power to change prophecies into realities, such statements, whether couched in language of probability or certainty , tend to impede and coerce employees in their right of self-organization , and therefore constitute unfair labor practices. "[W]ords must be judged by their likely import to [an employer's] employees ." Wausau Steel Corporation v N L R B.. 377 F.2d 369, 372 (C.A 7). See also N.L R.B. v. Trojan Powder Co., 135 F 2d 337, 339 (C.A 3), where effect was given to the employer 's statement as it was "capable of being understood [by the employees] . even though the words are chosen with a fine sense of Victorian delicacy " "" .. it may be said that the language of Section 8(c) of the National Labor Relations Act, as amended by the Labor Management Act of 1947, 29 U.S.C.A. Sec 141 et seq , 61 Stat 136, is no more than the restatement of the principle embodied in the First Amendment," N L R B HOWARD MANUFACTURING CO., INC. The Respondent commenced its antiunion campaign by directing its supervisors to personally converse with employees under their supervision on union topics and to solicit questions. On June 28, 1967, the Respondent published the leave policy above noted as an inducement for weaning employees from union affection. On August 14, 1967, by letter, the Respondent advised the employees, "[s]o that there will be no misunderstanding," that the Respondent did "NOT WANT THIS UNION IN HOWARD." In this letter Herzog set the tone for the remainder of the campaign. He declared that the advent of the Union was a "union attempt to destroy" the Company and turn "this work place into a battleground" which the Respondent would "defend to the end, with every legal means at [its] disposal."" He warned, that the "union could mean plenty of trouble" in that it was his belief that "this union is mad at us and has been trying to get even since 1956."I l He further warned, "For your sake we strongly recommend you do not vote for this union .. . He added that the "union organizers have nothing to lose," but the employees "have everything to lose." Then came Herzog's kickoff speech of August 16, 1967, wherein he called the Union's representatives, among other things, a bunch of "fast-talking sharpies" liars, stingers, and cheaters peddling a "worthless product."16 To which he added, " Regardless of how they try to sell you - we feel that they can't be of any help to you or to us." He commented further: "Unions are easy to get into and once they get their hands on your dues money they just don't want to let go . . . The more business they scrape up - the more dues they collect . . . . They're going to try and stir up trouble so that they can peddle it . . . . Between now and the election, they're going to try everything in the book - and probably somethings not in the book . Don't be surprised at any of their tall stories or slick tricks --- they have to do that - its's their v Bailey Co., 180 F.2d 278, 280 (C.A. 6), or , as expressed by the Supreme Court, "The remedial function of Sec. 8(c) is to protect noncoercive speech by employer and labor organization alike in furtherance of a lawful object. It serves that purpose adequately without extending its protection to speech . in furtherance of unfair labor practices . " International Brotherhood of Electrical Workers, Local 501 , et of v. N L R B., 341 U S 694, 704. '4Herzog wrote - ". . we will defend to the end , with every legal means at our disposal , this union attempt to destroy us by turning this work place into a battleground , like they tried before." "Cramer, in his August 22 speech , made reference to an unsuccessful violent strike conducted by the Union in 1956 at the Jersey City Plant which strike , according to Cramer , was over "whether we would hand our Meridian employees over on a silver platter to the Union ...." Employees were told that the Meridian plant was opened in October 1955 to meet nonunion competition and manufacture a popular priced robe line The Union protested and a strike ensued which Cramer blamed upon "irresponsible leadership ." Operations were discontinued in Jersey City, but were continued in Meridian. Thereafter , the Respondent opened its plant in Nashville , Arkansas. Herzog told the employees in his August 24 speech in regard to this event, "We came here because - here were to be found willing - industrious - fair minded - honest - church going people " He added , "We came here because we were hopeful we could find - and we think we did find - people who would not fall for the bunk and false claims of the union crowd ." The message here seems plain enough . In that the Respondent left Jersey City because of union trouble of a kind which was in the offing at Nashville and in that it choose Nashville because it did not think the people here would fall for union "bunk," it seems needless to say that the Respondent , if its employees fell for the union "bunk ," would seek a community elsewhere where employees would not be thus persuaded Cramer also echoed the thought expressed by Herzog above : "Should the ACW strike us to get even for all the past , then I must be honest with you. Roytex intends to continue in business, in spite of what ACW may intend to do about it." 227 stock in trade." On the same day (August 16, 1967), Herzog wrote the employees that the Respondent didn't want the union because it could mean plenty of trouble "for all of us." He reminded employees that there was no law in the land which forced the Company to agree to the Union's demand" and that if the Company says "No" to all demands which it does not believe are in its best interests or those of its employees, all the union can do is "pull" the employees "out on long and costly strikes." Herzog added, ". . . this company does not intend to be bulldozed under pressure of a union or an irresponsible strike." Moreover, he pointed out to the employees that "when they vote for a union they will [not] automatically get higher pay and other benefits," because the employees' "wages and benefits will be frozen while negotiations go on between the parties." Herzog closed his letter by promising that the employees could "count on without having to pay any union dues" that "[i]f things continue here without any outside union disruptions or troubles," the Company "intends to do everything in its power" to "continue to progress in the future as [it has] in the past with steady work and steady pay." In Herzog's letter of August 21, 1967, Herzog asked the rhetorical question: "What is it going to be for you and your family STEADY WORK OR UNION TROUBLE." Herzog explained that getting mixed up with the Union "could be the shortest and quickest route to destroying your security and steady work." He noted that if the Company does not agree with what the Union asks, the Union has only two choices. 1. The Union can take what the Company is willing to give (and if they do, what do you need them for) or 2. They can take the employees out on strike. Again Herzog emphasized that the employees could count on "progress as the Company progresses . without running the risk of union trouble - without having to pay union dues." He appealed, "Let's work together to solve our problems - without running the risk of strikes and lost jobs. Be sure and vote - and vote 'NO' to be sure." "Herzog charged. The kind of double talk [you are] hearing from the union is the kind of talk I hear from some of the fast -talking sharpies you sometimes meet in business They have a worthless product or service but they use high pressure talk - and promise you anything and everything - and try to tell you how they can do it - and the first time they have to do something - they can't Then they start crying it is not their fault - that they would have done it - except the other fellow said "No": So watch the sharpies with their double talk out of both sides of their mouth . That's the way we've sometimes gotten stung - that's the way you 'll be stung They're too slippery to be caught in a big lie, but they lie about a lot of little things - slips of the tongue that let the cat out of the bag - and if you 're keeping up to date on what's going on , you already know about how many lies they've slipped in this campaign to organize you - and the closer the election - the more desperate they'll become, and the more the union realizes they are losing ground, the wilder their charges and promises will become. [Emphasis supplied.] "In his August 21 speech Herzog said, "There is no law which requires a company to sign any contract just because the union proposes it." Hornbuckle in his speech to the employees on August 22 told them, "Mr Herzog told you the facts yesterday that there is no law that says the company must agree to any thing we are unable or unwilling to do" Continued emphasis on this point strongly suggests that the Respondent did not intend to agree on anything with the Union and that strike would surely result from choosing the Union as bargaining agent. 228 DECISIONS OF NATIONAL LABOR RELATIONS BOARD On the same date (August 21, 1967) Herzog again addressed the employees in a captive audience In this speech he continued his harsh depiction of the Union. He declared: "The security they're interested in is a secure part of your wages and benefits from your dues, fines, assessments . . . once you take them onto your backs, the liklihood is that you'll never get rid of them. . . . unions want trouble because without trouble there soon wouldn't be any unions . the only `security' these organizers mean is security for themselves. . . . There is nothing they can do other than drain off some of your earnings for the privilege of letting them control and regulate your lives." Herzog proponed the question- "They promise benefits and security - what can they deliver without trouble, strikes and picket lines." His answer to this question stresses the utter futility for an employee to choose the Union as his bargaining agent Herzog explained: If the organizers are honest - they will tell you that every contract they sign without a strike is settled on the basis of what the company offered. So why have a union when the truth of the matter is that the union cannot get you a single thing that you cannot get for yourself without the payment of union dues * * * * * This company did not stampede into yielding to this same union under the pressure of an irresponsible strike, You cannot assume that this same kind of situation will not happen again. Remember ! ! Only where there are unions, are there strikes. I never heard of a strike in a plant where there was no union. And the best way to guard against strikes is to vote "No" on Friday . as we see it and the fact is our relations with this union will be bad if the union is serious about what they talk about. * * * * * ... we feel that unions destroy friendly relations and set us all against each other as enemies instead of friends. * * * You won't be able to talk to us except through the union , and we won't be able to talk to you except through the union . But make no mistake about this the company owns this plant and not the union - the company is running this plant . . . not the union. I have been led to believe by certain people in here when I spoke to them - that if the union gets in here, they're going to darn well let us know who's boss and they're darn well going to tell us what to do and tell all the people in here what to do - they think - Well I think I have made it pretty clear who is going to run things union or not. Whether they try to tell you what to do is up to you and how you vote. That's why we say "Vote so you can decide things for yourself. Vote No!" * * * * * There is nothing they can do other than drain off some of your earnings for the priviledge of letting them control and regulate your lives. * * * * * I see no reason why any of these people can't change their feelings back to the company. We hope they will and we shall continue to have their interests and welfare at heart. There is no such thing as it's too late to change or I'm in it too deep to change now. You have a right to change your mind right up to the minute you make your X in the square of your choice. [Emphasis supplied.] * * * * We don't want a union ... * * * * * Your company dealt with this same union in New Jersey and our ability to take care of ourselves on matters of this kind is an historical fact.18 When it came time for a strike because of union demands - we took the strike - and when it came time to say "No" we said "No." * * * * * We never had to say "No" in Meridian - Because the people in Meridian said "No" to the union ... . * * * * * On Thursday we'll be together again and discuss what happened in Jersey City and why we don't want a union. On August 22, 1967, Manager Hornbuckle appeared before the employees, assembled in captive audience. He opened his remarks: "I am probably not as good a talker as the professional union organizers who have been trying to talk you into letting them dip their fingers in your pocket books and latch on to some of your money ... " Hornbuckle castigated the Union by charging the Union with trying to make trouble between the Company and its employees and "trying to breed suspicion and poison the whole atmosphere in the plant." He said the union organizers were dishonest and not to be trusted; they are "here today and if they can't latch onto some of your money they are gone tomorrow." He represented that the employees were "all important" to the Company and that it did not want them to get " `bilked' by any paid union agent from Kansas City, St. Louis or any other place who is interested in keeping his snap job, smoking cigars coming in regularly collecting dues from you." Hornbuckle suggested that he knew the Union from when he was manager in Tennessee and that he would not go "into all the details of how one sewing plant 20 miles north of [him] and another one 16 miles northeast of where [he] worked closed because [he was] not here to try and scare [the employees] or threaten [them]." Contributing to Herzog's theme that the employees did not need a Union, Hornbuckle spoke: "Cramer in his speech told the employees in respect to the New Jersey strike , " as far as I know they are still officially on strike because we never settled anything with them for there was nothing to settle there was no plant - there were no jobs in Jersey City " HOWARD MANUFACTURING CO., INC. If you have not taken the opportunity to express yourself on any of the things that are troublesome or annoying to you then I'm sure I want to say to you it is not necessary to seek outsiders to bring your problems to management. If there are still other improvements or adjustments in working conditions that you think should be given or made - you as an individual or any group of your co-workers are free to discuss such changes with me and be assured they will be given consideration and attention by me. Frankly I hope that you do not vote for the union. I do not believe a union in this plant would be beneficial to you or the business. It is my honest and sincere belief that your best interest and the best interest of the company is in our continued personal relationship without oursiders sticking their noses in. Hornbuckle continued his appeal: So I feel We ought to work as we have always worked directly with each other. It's my job to see that you get a fair shake. It's my job to see that you progress. It's my job to see that you get good working conditions. And if your vote says that I haven't been doing my job then I won't have any job. But I'm not worried about that because I know I can do a job - for you --- for the company - and for myself. If I had the chance. Frankly the one thing I'm sorry about all through this thing is that I feel I never really have had the chance to do my job. I got some telegrams with some names on them saying these people were on the organizing committee for the union. These people had a perfect right to do this but in the spirit of good [sportsmanship] and fair play and in the meaning of the good book lesson of "Do unto others as you would have them do unto you". I felt that if there were problems that these people had strong feelings about that they would have seen fit to have come to me first -- to give me a chance to work them [out] instead of going to outsiders. I always come to you when I have some problems that involve you and give you a chance not just one or two but most times more. In my case that did not happen. I believe that you do not hold me responsible for what went on before I came here that might have caused any of this because that was yesterday. What you and I are interested in is today and tomorrow. In any case I feel I didn' t get a chance. Maybe it was an oversight. Maybe the people didn't know that their names were going to be used in this way maybe somebody was promised something to discourage these people from coming to see me first. Because if any of you are voting for a union because of something we could work out together or if you are voting for a union because of something you haven't talked to me about then there is no need for all this because thank goodness it still isn 't too late. [Emphasis supplied.] If this was an oversight on fairplay then why not give Hornbuckle a chance to work out what ever problems we have. * * * 229 And if they did take the time even now I feel sure that most of them would find it in their hearts to do unto others as they would have others do unto them and vote "NO" along with the [people] who already don't want the union because they believe we [should] be given a chance to work out our problems with[out] outsiders putting their 2 cents worth in. In Herzog's letter of August 23, 1967, he again reminded employees that: Tomorrow is your day of decision! If you vote "Yes" - then you will get the union. If you vote "No" - then you will continue to progress as the company progresses - without paying money for things you can get by yourself without a union. * * * * * We do not think that joining a union can justify the cost to you. We do not believe you need a third person who charges you dues and fees to assure you of fairness in treatment - in job security - in wages - in benefits from us at Howard. We sincerely hope you agree and vote "No." Be sure to vote. Vote "No" to be sure. Secretary-Treasurer Cramer next addressed the employees on August 24, 1967. He likewise spoke of the Union in derogatory terms. On this subject he orated- Unions destroy friendly relations and set us all against each other as enemies, instead of friends. Unions don't want us friendly to employees. Unions don't want employees friendly to management. Unions want trouble because without trouble there soon wouldn't be any unions. Every statement and every action of this union is designed to whip up distrust in you, the employee, and undermine your feelings towards the company. * * * * We are convinced that the real interest the union has in our employees is their dues-paying ability. Cramer also stressed the lack of need for a union: ... We believe that if [the employees] join a union they will be paying dues and assessments for things they can get for themselves. We do not want a union at Howard because we sincerely believe that our people will not benefit by belonging to a union. * * * * * We have no plans to change our method of operation under normal circumstances either here or at Meridian. However, we also do not intend to loose production for a single day because of any strike which the union may be planning for us and for you-- should they get in. [Emphasis supplied.] * * * * * So forget what the union wants, forget what a handful of inside union pushers wants, forget what we want, you do what's best for you and yours because if you do what's best for you and yours it will likewise be the best for us, because I am sure you and your family want peace and progress and this is why we came here, 230 DECISIONS OF NATIONAL LABOR RELATIONS BOARD this is why we stay here, this is why we work here. [Emphasis supplied.] Cramer closed by saying: This leaves only one question of yours - that has not been fully covered - "what is in store for you - for us - here at Howard" - and for that story I'll ask Mr. Herzog to take over. On this subject Herzog took over and commented: You've asked "What is the company going to do for us in the future" - you've asked questions about working conditions - hours - vacations - wage inequities - hospitalization and insurance - holiday pay and a lot of other operational questions. * * * If we make a promise at a time like this prior to an election we are guilty of breaking the law. But, thank heavens - after tomorrow we'll have the right to talk to you freely. It's only natural for management to want to clean up all gripes as quickly as possible if not hampered by the union - [it's] good business for us to try to keep our employees happy. It has been our policy during this period of growth, to pay what business can afford and yet still stay in line with our competition. And when changes are due - changes will be made. [Emphasis supplied.] Herzog promised: We can provide a steady job - over which the union will have no say - harmony and cooperation and trust between us, means jobs for all of us. Outsiders mean - and have always meant - strife - strikes - loss of production for the company - and loss of work for the workers. He admonished: . there's no room for outsiders when you make your decisions - and no room for outsiders when we make our decisions. * * * * . They cannot lick us if we stick together. We know that most people are peace loving - they want work - so let's fight them off together - if it's steady work - steady pay you want - steer away from the union. * * * * * ... The company and its workers together can prosper and be secure only if we remain free from pressure brought on by outside interference - and a very few misguided union pushers from within. Herzog's final pitch was: Tomorrow is the election - from what I have seen and heard - there is no question in my mind that most of you will vote No - which is a vote against the union and victory for you. So make it a big one - a landslide victory against the union - this, for your company, will mean that we are all pulling together and that the kind of harmony we all need - is really here. Mr. Hornbuckle & I have tried to speak to everyone here personally to tell you how we feel about this & why. If we have missed anyone - or if anyone wishes to discuss this further before tomorrow afternoon - let us know. When you vote No we will know that you are voting confidence in your company, in your management and in Mr. Hornbuckle, in Mr. Cramer and myself personally - who have always had faith in you our workers, as willing, industrious, fair minded, honest church going folks - who prefer to live in peace with each other and with us. The Trial Examiner is of the opinion and finds that the Respondent 's use of derogatory, pernicious, and vituperative references to the Union in its letters and speeches and its pertinacious, .persistent, and massive vilification of the Union" permeating the Respondent's entire election propaganda, contaminated the atmosphere to the extent that employees were deprived of their right to a free and untrammeled choice of bargaining representative and interfered with rights guaranteed to employees under Section 7 of the Act. Cf. Aeronca Manufacturing Corporation, 118 NLRB 461. In the light of the entire record and in the context used, the Respondent violated Section 8(a)(1) of the Act by President Herzog 's communications to employees above detailed in which he related, among other things, that the Union's appearance was "an attempt to destroy" the Company and turn "this work place into a battleground"; the "Union could mean plenty of trouble"; " this union is mad at us and has been trying to get even since 1956"; "employees have everything to lose"; "the Union can't be of any help to you"; "the Union could mean plenty of trouble for all of us"; employees could "count on us without having to pay any union dues"; that if things continue here without outside union disruptions or troubles the Company "intends to do everything in its power to continue to progress in the future as [it] has in the past with steady work and steady pay"; getting mixed up with the Union "could be the shortest and quickest route to destroying your security and steady work"; there is "nothing [the Union] can do other than drain off some of your earnings for the privilege of letting them control and regulate your lives"; "the Union cannot get a single' thing that you cannot get yourself without the payment of union dues"; "our relations will be bad if the Union is serious about what they talk about"; "we feel the Union destroys friendly relations"; if you "vote 'No' then you will continue to progress as the Company progresses without paying money for things you can get yourself without a union"; "[w]e do not think that joining the Union can justify the cost to you. We do not believe you need a third person who charges dues and fees to insure you of fairness in treatment - in job security - in wages - and benefits - from us at Howard"; it "is only natural for management to want to clean up all gripes as quickly as possible if not hampered by the Union"; "outsiders mean and always meant - strikes - loss of production for the Company - and loss of work for workers"; "there is no room for outsiders when we make our decisions"; "if it's steady work - steady pay - you want - stay away from the Union"; and the "company and its workers together can prosper and be secure only if we remain free from pressure brought on by outside interference - and a very few misguided union pushers from within." In the light of the entire record and in the context used, the Respondent further violated Section 8(a)(1) of the Act by Manager Hornbuckle's speech to employees on August "The depth of the Respondent 's vilification of the Union is reflected in the Respondent's handbills reproduced as Appendixes A, B, and C. HOWARD MANUFACTURING CO., INC. 231 22, 1968 , in which he said among other things , that "[ i]t is not necessary to seek outsiders to bring your problems to management"; "[ i]f there are still other improvements or adjustments in working conditions that you think should be given or made - you as an individual or any group of your co-workers are free to discuss such changes with me and be sure they will be given consideration and attention by me"; " I do not think a union in this plant would be ;beneficial to you"; "[ i]t is my honest and sincere belief that your best interest and the best interest of the company is in our continued personal relationship without outsiders sticking their noses in"; " I can do a job for you [i]f I had the chance"; and "[b]ecause if any of you are voting for a union because of something we could work out together or if you are voting for a union because of something you haven ' t talked to me about then there is no ,need for all this because thank goodness it still isn't too l ate." 10 In the light of the entire record and in the context used, the Respondent further violated Section 8(a)(1) of the Act by Secretary -Treasurer Cramer ' s speech to employees on August 24, 1968 , in which he said, among other things, that "[w]e believe that if [the employees ] join a union they will be paying dues and assessments for things they can get for themselves"; "we sincerely believe that our people will not benefit by belonging to a union"; and "[w]e have no plans to change our operation under normal circumstances here ." In the entire context" of this case the Trial Examiner finds that the foregoing communications to employees were "calculated, and tended, to impress upon employees the futility of selecting ,a bargaining representative and to intimidate them into ..,. ,abandoning the Union ." See Brandenburg Telephone, Company, 164 NLRB No. 26.22 Fifth: On or about June 28 , 1967 (Supervisor Moore fixes the date as after the vacation period ), Bonnie Haislip , at the request of Supervisor Mary Moore, accompanied her to the cafeteria area where among other things Moore asked her "why [she] wanted a union." Haislip "mentioned about [her] seniority . and the notice on the board . . . that had been posted . . . about the sick leave." Moore said she would take the problem to Manager Hornbuckle. The day after vacation Moore reported to Haislip that Hornbuckle wanted to see her . Hornbuckle told Haislip that he would give her her "seniority back from '64." Moore denied that she had asked Haislip why she wanted a union but remembered the conversation about seniority 27 "The invitation of Hornbuckle to employees to bring their grievances to him indicates a concern that the Union ' s organizational drive might succeed because of employee dissatisfaction . By such invitation Hornbuckle unlawfully undertook a counteroffensive, offering direct dealings for the purpose of weaning away employees from Union adherence . Cf. R. W. Inc, d/b/a K-Mart Foods, 170 NLRB No. 67. "The Trial Examiner has set out above excerpts from the Respondent's communications to its employees . These excerpts have not been examined in isolation , but in the context of the communications in their entirety. Thus examined , the excerpts which are coercive in themselves take on an even greater aggravated aspect. ""An employer interferes with the right of self-organization when he emphasizes to his employees that there is no necessity for a collective bargaining agent." N.L.R.B. v. Bailey Co.. 180 F.2d 278, 279 (C A. 6). "Moore 's denial is discredited . As noted by the court in Hendrix Mfg Co., Inc. v. N.L.R.B.. 321 F.2d 100, 104 (C.A. 5). When, as done here , an employer sets out to campaign against a union, one of the risks is that out of zeal , ignorance , or otherwise, foremen, supervisors, and similar representatives in championing the anti-union cause will overstep the mark. and that she had gone to Hornbuckle and "[told] him that Bonnie had spoke to [her] about wanting her seniority back." The ostensible object of Moore's question put to Haislip was to elicit information which would be helpful for the administration of the Employer' s antiunion campaign. The information was so used and the employee was granted a benefit which interfered with her rights guaranteed under Section 7 of the Act. Likewise, the question put to Haislip interfered with her rights guaranteed under Section 7 of the Act and constituted unlawful interference with the election. 24 Sixth: As did other supervisors, Supervisor Muriel Dixon talked to employees working under her individually several times during the election campaign. Shortly after employees returned from vacation Dixon engaged in conversation with Jimmye Lee White about the Union. White was reluctant to discuss the Union but Dixon responded that "she was advised by the management to tell [her] about it." Dixon asked White whether she knew that "a union [was ] trying to get in the plant." White 'answered,"Yes." Dixon also asked her whether she had; "attended [union] meetings." When White answered "Yes," Dixon commented that "there were two sides to every story, the union's and the company's." Modean Hutson credibly testified that while riding in a car with Dixon, Dixon said to her, "[i]f you don't have any strong feelings, or if your feelings are not too strong for the union, I would like for you - I would like to ask you to vote no for me, because I can 't vote." The Trial Examiner finds that Dixon's interrogation of employee White was unlawful. The clear purpose of these questions was to assist the Employer in its antiunion campaign . White's reluctance indicated an apprehension of reprisal. Moreover, the Respondent has shown no proof that such questioning was pursuant to the Employer's legitimate business interests. Cf. Winchester Spinning Corporation v. N.L.R.B., 402 F.2d 299 (C.A. 4). Supervisor Dixon's request to employee Hutson to vote "No" for her interfered with rights guaranteed employees by Section 7 of the Act and was in violation of Section 8(a)(1) of the Act. Seventh: Among the employees contacted by President Herzog was a member of the Union' s organizing committee , Bessie Carrigan, a Negro. A conversation between Herzog and Carrigan took place in the shipping department on company time. Among other things Herzog commented that he knew that her name was on "the telegram " for the "union committee" and that the "union can cause trouble."" He called attention to the fact that he noticed that most of the "colored girls" names were on the union telegram and asked, "Did they promise you all any civil rights?"36 He received a negative reply. He further told her that if the Union prevailed, she would not be able to "go to the office and to [her] "The Trial Examiner has made no 8(axl) finding in respect to Moore's coercive interrogation in that, although Moore places the conversations with the employee after July 3, 1967, the last date within the 6-month limitation period, proof is not positive that the Haislip 's interrogation was not on June 28 or 29, 1967. "Herzog testified that he told Carrigan or at least told some employees that "the union caused plenty of problems and troubles for the company in running its plant , running its operation , and this was one of the reasons we didn 't want a union " "Although Herzog denied he had asked Carrigan the question, he said that he had told Carrigan "if the civil rights issue had been brought up in the campaign , it did not belong there ." Herzog 's denial is discredited 232 DECISIONS OF NATIONAL LABOR RELATIONS BOARD supervisor with any of [her] problems" but would have to go through the union stewards 27 He inquired whether there was anything that she disliked She answered, that there was too much favoritism in the plant ' Whereupon Herzog asked, ` Do you think that the union can solve that " She responded, I have my ideas about it He replied, The union can cause trouble " Shc asked, ' Who will the union hurt, the employees or the company7" Herzog answered, "The company,' and added that the Union was `a pack of headaches " 38 Herzog also told her that if the Union caused trouble she could be held responsible for it ' 29 Herzog talked for about 55 minutes with employee Tipton "about 12 feet away from the machines, by a storage bin,' about a month before the election Among other things Herzog asked her if she `was for the Union " Although he said that he was not supposed to ask such a question, she answered that she expected to vote for the Union He told her she should be 100 percent sure on something like this ' in that she was involving people in things that they might not want to be involved in " Among other things Herzog mentioned the strike in the New Jersey plant and commented that the people voted the union in, the company would not sign a contract They went on strike The Company obtained a court order to get their machinery out, and the `people wanted to come back as a non-union plant, but couldn't Herzog added that he wanted these people to come back but they couldn't because they had voted in the Union He observed that `the union could call a strike and the people not have anything to do about it," that the employees "could be out and lose a lot of work because of a strike and that "he didn't have to sign a contract 11 "Herzog testified One of the points that I tried to make was the fact that when you have a union this cuts down on communication between management and the employees to a certain extent and that any grievances that they had usually will have to go through a grievance committee rather than being taken up directly by the employee and the management "Herzog said he remembered employee Carrigan s complaining about favoritism in the plant He said that he responded to that by saying Well do you think the union can do anything about that ' He denied that he had indicated to her that the Union was a pack of headaches Herzog s denial is not credited "On this subject Herzog testified that he told Carrigan that because of her membership on the organizing committee she had an added responsibility more so than other people in the plant who were not on the organizing committee because it was obviously her intention to influence people in the plant to vote for the union therefore [he] told her that [he] felt she had this added responsibility making sure of the issues getting answers to all of her questions and being satisfied that those answers that they were correct as far as could be determined Herzog testified that he told members of the committee among other things that they would be responsible for whatever happened in the plant Herzog testified I told them they had a greater responsibility toward learning the facts and getting their questions answered and making sure that the answers they got were satisfactory that they evidently had an intention to influence people in the plant toward the union and that therefore this greater responsibility existed In his affidavit Herzog deposed I explained to these employees because they had signed the list that they would now be responsible for whatever happened in the plant regarding the union campaign "Such remark may not be disassociated with Herzog s comment in his speech of August 22 1967 to the effect that wages could be frozen during negotiations "Herzog agreed that there was a discussion about job switching and said that he explained that if we were not allowed to job switch there were people who would only have a partial days work or a partial weeks work Hornbuckle expressed the belief to employees in his speech of August 22 1967 that unions liked a nonswitch policy because it meant that they could collect more dues from more people Some people would Herzog also told Tipton that if the Union were voted in where [employees] work eight hours now, [they] would be working at least four hours' and if they `didn t have work at [their] machines [they] would have to be sent home, because [they] couldn't job switch "" Herzog further commented that the Union took [the employees] money and couldn't give [them] anything " Employee Jimmye Lee White was accosted by Herzog about the middle of July in the perma-press department Herzog asked her whether the Union had "promised [her] anything as far as civil rights was concerned " She answered, I cannot answer you " He further commented that "if the union got into the plant that there would always be a strike and the only thing that the union was interested in was our dues " He pointed out to her that `the union isn't giving you anything, the company is the one that is going to have to give it to you and this company isn't giving anything so that there will automatically be a strike " This point was aruged between Herzog and White and, according to White, Herzog kept "hollering strike, strike, strike, strike, like he was trying to drill it into [her] brain that the minute the union got in there the company would have to go on strike, that [the employees] wouldn't have anything to say about it that the union would just say strike, because [they] didn't get the things they wanted for [them] " Herzog repeated that all the union was interested in was [the employees] money The only thing they were after was dues " White reminded him that through the Union they would get higher wages, a paid vacation, holidays, off with pay, and a lower insurance plan " He responded that ' everything you get is coming from this company, and this company is not going to give anything, so it would automatically be a strike The union would take the people out on strike ' 12 Employee Bobbie Butler was approached by Herzog at her machine and was escorted to a place where a private conversation could be conducted 31 Herzog told her that he wanted to talk to her about the Union and that since her name was on the telegram that he thought it was very important that he talk to [her], since [she] was on the organizing committee " Herzog told her that ' if the union got in it would be nothing but trouble, and that all they were wanting was [the employees'] dues, the union dues " Herzog asked Butler what the Union dues would be and she told him that they were $3 75 a month He said ` Well, if you multiply that by approximately 150 people working here that comes to around $6,000 You know, that's a lot of money" Butler asked him `if he didn't think [the employees] had trouble there as it was Herzog answered, " we would work them out Herzog also told her "that if the union got in that [the employees] wouldn't be allowed to job switch, that they didn't work that way that they wanted him to hire more workers so they could collect those dues " At the conclusion of the conversation Herzog said "Well, Bobbie, I don t know how resourceful you are, but I hope for your be working and others would be laid off at different times but the union would collect from all the people all the time "Herzog denied that he said there would be an automatic strike if the Union got in and that he kept repeating the words strike strike strike Herzog s denial is discredited "By singling out employees for interviews away from their work stations and urging them to reject the Union the Respondent created and utilized a setting in which fear of employer reprisal if the employees choose the Union was the likely product HOWARD MANUFACTURING CO., INC. sake you are very resourceful."" During the election campaign Herzog also approached employee Bonnie Haislip and after taking her to an isolated spot told her that he noticed that her name was on the telegram that was sent to the Company and that "he noticed that most of the names on there were colored people." He asked "if [the colored people] were promised any civil rights benefits"; she told him "no." Reference was made to job switching. Herzog said that the "union wouldn't let you switch jobs" and if "they didn't have work, they would be sent home, and if they couldn't job switch they would have to find somewhere else . . . to move [the plant]." He explained that all the Union wanted was "your dues, and something about strikes." He asked her if she "had to work" and she told him "no."" Deronda Brown was also contacted by Herzog who told her that when she signed the telegram she "took on the responsibility not only for [herself], but for the entire plant." 16 The Trial Examiner finds, apropos of the environment created by the Respondent' s antiunion campaign, that the Respondent interfered with, restrained, and coerced employees in the exercise of rights guaranteed by Section 7 of the Act and thereby violated Section 8(a)(1) of the Act in the following particulars, to wit: 1. Herzog impressed upon employee Carrigan the futility of selecting the Union by stating, in the context used, that "the union can cause trouble and was a pack of headaches." 2. Herzog unlawfully interrogated employee Carrigan by asking her, "Did they promise you any civil rights?"" "Herzog agreed that he had had a conversation with Bobbie Butler sometime after the vacation period . He said he didn ' t remember the statements about union trouble and he could not remember specifically whether he spoke to Butler about dues . However, he said that he had "mentioned to people that this was big business for the union , that it meant a lot of money for them , and that they would have a vigorous campaign because of that, and [he ] proceeded to outline approximately what it would mean in that respect . [He] didn ' t know the exact amount, but [he] knew that probably dues would be somewhere between $3 or $4 a person With roughly 150 people in the plant, that would amount to a sizable sum of money for the union treasury." He said that he might have said that " the union was only interested in employees ' dues" Herzog said he had brought up the question of job switching to "quite a few people, and [he] pointed this out to them , that switching from job to job was important for production , it was important for balancing , and if we weren't allowed to do this, we would have to send people home, with either a partial day's work , or a partial week 's work ... The union was obviously objecting to this, and [he] felt it was a point that should be brought to their attention , and sometimes somebody asked [him ] why the union objected to this point, and [he] told them - why the union objected to job switching , as such , and [he] told them that the only reason [he] could think of was the fact that if [the employer wasn ' t] allowed to switch people from job to job and they were sent home with a partial day's work , or a partial week ' s work , [the employer ] would have to hire more people to do these particular operations that were being done by job switching, and this would provide more dues paying union members." "Herzog recalled a conversation with Bonnie Haislip and that he had told her what he told the others on the organizing committee , that he "felt they had an added responsibility , because they were on the organizing committee , of getting the facts and the issues straight , getting the information . If they were going to impart any information , they should be sure of the veracity as such , and if she had any questions she should be sure to get the answers , and she should ask herself plenty of questions about it." He denied that he had told her that if the Company could not switch jobs, it would move the plant. Herzog 's denials are discredited. "Herzog testified that he probably made the statement to her about the "added responsibility." "Herzog 's interest in civil rights matters manifested an attempt to procure information which would A ssist the Respondent in combating the 233 3. Herzog, suggesting that a substantial benefit would be curtailed, coerced employees by stating to employee Carrigan that if the Union prevailed, she would not be able "to go to the office and to your supervisor with any of your problems" but "would have to go through your stewards "18 4. Herzog unlawfully interrogated employee Carrigan as to whether there was anything she disliked. 5. Herzog unlawfully threatened employee Carrigan with reprisal by telling her that, if the Union caused trouble, she could be held responsible. 6. Herzog unlawfully threatened employees with reprisal by telling members of the organizing committee that they "would be responsible for whatever happened in the plant." 7 Herzog unlawfully interrogated employee Tipton, in the context used, as to whether she "was for the union." 8. Herzog restrained employees in their rights guaranteed by Section 7 of the Act by his statement to employee Tipton that if the Union were voted in, employees would be sent home if they didn't have work on their machines and that employees "couldn't job switch."" 9. Herzog impressed employee Tipton with the futility of selecting the Union by stating to her that "the union took [the employees'] money and couldn't give [them] anything." 10. Herzog unlawfully interrogated employee White as to whether the Union had "promised [her] anything as far as civil rights [are] concerned." 11. Herzog impressed employee White with the futility of selecting the Union by his statement to her that "this company isn't giving anything so that there will automatically be a strike." 12. Herzog restrained employees in their rights guaranteed by Section 7 of the Act by his statement to employee Butler that "if the union got in that [the employees] wouldn't be allowed to job switch, that they didn't work that way; that they wanted him to hire more workers so they could collect those dues." 13. Herzog restrained employees in their rights guaranteed by Section 7 of the Act by stating to employee Butler , a member of the. organizing committee, "Well, Bobbie, I don't know how resourceful you are, but I hope for your sake you are very resourceful." 14. Herzog unlawfully interrogated employee Haislip as to whether the "[colored people] were promised any civil rights benefits." 15. Herzog restrained employees in their rights guaranteed by Section 7 of the Act by his statement to employee Haislip that the "union wouldn't let [them] switch jobs" and that if "they didn't have work, they would be sent home, and if they couldn't job switch they would have to find somewhere else . . . to move [the plant]." Union 's organizational campaign by fathoming the reason for almost all of the black employees associating themselves with the union committee. Mentioning that 28 Negros out of 31 or 32 were on the union committee, Herzog testified that "the thing that hit [him] about it was that almost every Negro employed in the plant was a member of the organizing committee " "See Graber Manufacturing Co, Inc, 158 NLRB 244, 246; Standard Electric Co, Inc., 162 NLRB 1045 "In Wall Colmonoy Corporation , 173 NLRB No. 8, the Board held that it constituted interference with an election where an employer told an employee "that if the Union came in , classifications would be maintained and the employees would not be allowed to shift from one job to another, and that if there was insufficient work a layoff might result " 234 DECISIONS OF NATIONAL LABOR RELATIONS BOARD 16. Herzog restrained employees in the exercise of rights guaranteed by Section 7 of the Act by stating to employee Brown that she "took on the responsibility not only for [herself], but for the entire plant" when she signed the telegram listing the Union organizing committee. Each of the foregoing findings have not been considered in isolation but have been weighed upon the basis of the Respondent's entire course of conduct and evolved from the record as a whole. Eighth: On June 20, 1967, two representatives of the Union passed out handbills at the premises of the Respondent. On that day Manager Hornbuckle stood about 5 or 6 feet from Union Representative Jordan, who was passing out the handbills, for a period of about 10 minutes, in a position where he could observe the employees who were receiving handbills from Representative Jordan. On June 21, 1967, after handbilling, Representative Jordan met several factory workers of the Employer in the vicinity of the legion hut where employees sometimes held meetings . While she was standing there talking to these employees, Supervisor Walter Evans, a cutting room foreman, drove by in his automobile four times looking in the direction of the conversational ists. 11 During the week of August 14, 1967, Union Representatives Ruth Kincy and Agnes Jordan handbilled the Respondent's plant on two occasions. At the same time they were handbilling, Supervisor Henry Tanner and Manager Charles Hornbuckle also were handbilling at the same location. Tanner handbilled adjacent to Kincy, and Hornbuckle to Jordan. Tanner remarked to employees that he had some "literature for you today, we want you to read." While Hornbuckle passed out handbills, he said, "this is the one to read. This is the truth." He called many of the employees by name. One of the employees threw down the union handbills and said, "I want the one that's got the truth on it." The Trial Examiner is in agreement with the conclusion drawn by the Regional Director that the conduct above described interfered with the election. "As the Employer mailed several letters and leaflets to the plant employees, made numerous captive audience speeches the week of the election , the Employer 's explanation of this handbilling is rejected. It had effective methods of reaching the employees with its campaign messages inside the plant, and freely availed itself of those methods with no apparent apprehension that the Petitioner would demand `equal time.' Accordingly, it is found that the Employer's supervisors, in conducting its handbilling off its property, but next to Union Representatives engaged in the same activity, undertaking to ascertain the identity of employees who accepted the Union's literature , and were also endeavoring to deter by their presence, employees from accepting such literature. "However, even if it is concluded that the employer's handbilling was not conducted with the actual purpose of engaging in surveillance of the Union's handbilling, I find that the surveillance did in fact occur by virtue of the supervisors' close proximity to this Union activity. It is the Employer 's conduct which interferes with employees' rights rather than his motive ." See Wright & McGill Company, et at.. d/b/a Shays Point Fish Hook Company, 102 NLRB 1035. This testimony is uncontradicted. The Trial Examiner further finds that the conduct above detailed interfered with, restrained, and coerced employees in the exercise of rights guaranteed by Section 7 of the Act and was in violation of Section 8(a)(1) of the Act." "An impression of surveillance might well instill in the employee a fear of reprisal from the employer. Such conduct is violative of Section 8(a)(1) as it could inhibit the right of employees to pursue their union activities untrammeled by the fear of possible employer economic coercion or other forms of retaliation." N.L.R.B. v. Ralph Printing and Lithographing Company, 379 F.2d 687, 691 (C.A. 8). See also N.L.R.B. v. Community Motor Bus Co.. Inc., 335 F.2d 120, 122 (C.A. 4).°2 Ninth: The parties stipulated that the following unit was appropriate for the purposes of collective bargaining: All employees employed by the Respondent at its Nashville, Arkansas, plant, including all production and maintenance employees, excluding all office clerical employees, guards and supervisors as defined in the Act. For the purpose of determining the eligibility of employees for inclusion in the appropriate unit, three payroll sheets were submitted for the payroll periods June 9 through 22, 1967, June 23 through July 6, 1967, and July 7 through 20, 1967. As to these payrolls the parties stipulated that Henry Tanner, whose name appears on each payroll, should be excluded from the appropriate unit as a supervisor. Additionally, the parties stipulated that Janice Chambers, whose name appears on each payroll, should be included; that Lucille Jones, whose name appears on none of the payrolls, should be included; that Mary Ann Ray, whose name appears in the June 9 through 22, 1967 and the July 7 through 20, 1967, payrolls, should be included; that Ozella Reese, whose name appears on the June 23 through July 6, 1967 and July 7 through 20, 1967, payrolls, should be included; and that Marjorie Smith, whose name appears on each payroll, should be included. In addition to the above-mentioned exclusion and inclusions, it was stipulated that all employees appearing on each of the payrolls should be included as eligible for the computation of the majority status of the Union with the exception of those classified as supervisor. On the June 9 through 22, 1967, payroll appear the names of 159 employees, 8 of whom are supervisors including Tanner. Thus a total of 151 eligible employees appear on such payroll. To this number is added employees Lucille Jones and Ozella Reese whose names do not appear on this payroll but were included by stipulation of the parties. The total eligible employees hence during the payroll period June 9 through 23, 1967, are 153 employees. Eighty-six employees, " whose names aThe Trial Examiner 's findings of 8(axl) violations do not apply to incidents which occurred prior to July 3, 1967. "In Hendrix Manufacturing Company . Inc. v. N L R B. 321 F.2d 100, 104 (C.A. 5), fn. 7 , it was said: Surveillance becomes illegal because it indicates an employer's opposition to unionization , and the furtive nature of the snooping tends to demonstrate spectacularly the state of the employer 's anxiety. From this the law reasons that when the employer either engages in surveillance or takes steps leading his employees to think it is going on, they are under the threat of economic coercion, retaliation, etc. "The names of Roma A. Loftin , Edith Loney, and Martha E. Kidd, whose cards bear the dates of May 16, 1967, August 17, 1967, and May 9, 1967, respectively, do not appear on the payrolls for June 9 through 22, 1967, and June 23 through July 7, 1967. HOWARD MANUFACTURING CO., INC. 235 appear on this payroll, had signed unambiguous union designation cards" by June 12, 1967, the demand date. Of these cards the Respondent challenges the validity of 8 cards" for the purpose of establishing the majority status of the Union. Respondent contends that the cards of Modean Hutson, Earline Tipton, Bobbie Butler, and Bonnie Haislip are "invalid for proving the majority status because the union organizers or their agents misrepresented the cards' purpose to the employees to be related to obtaining of a representation election." Modean Hutson. Modean Hutson testified that she read the union designation card before she signed it. On cross-examination Hutson testified, "I was told it was an application for membership . . . that there would be no dues or anything like that . . . unless it was voted the union." When asked whether she was told that the purpose of the card was "to get this union election at the plant," she answered, "No. The only thing I recall was she said the more that signed them, the surer they were of how many votes they would get in an election." Earline Tipton. Earline Tipton received her designation card from Union Organizer Jordan at her home where she signed it and returned it to Jordan. Tipton had also signed the telegram designating the Union's organizing committee. Tipton testified that prior to the time she signed the card Jordan "discussed it to see if [she] was interested in it at all, to see if [she] did want the union to represent [her]." To a questionnaire submitted to Tipton by the Board's Regional Office she answered, "We were told it would not commit us, it would not necessarily have any affect on the way we would vote, but that the card was to show if we might be interested in the union." She "The card read: APPLICATION FOR MEMBERSHIP in the Amalgamated Clothing Workers of America AFL-CIO 209-1/2 W. SECOND FRankl 'm 46750 LITTLE ROCK, ARK I, the undersigned , hereby apply for membership in the Amalgamated Clothing Workers of America , and do hereby appoint and authorize the officers thereof, to represent and negotiate for me in all matters pertaining to wages , hours and other conditions of employment. Name (Please sign): Address: Telephone Number Company: Date. Department : Operation. "The Respondent contends that the cards of employees, Della Mae King Judy Rodgers Nancy Richards Pira Lee Scott Mary Crofton Ira Jean Thomas Mary Mims Eugenia Cassady Diane Tollett Lucie Wilson Earline Stuart Sharlotte Young Essie Dean Staggers Avis Graves Aline Hughes Laverne Johnson Cox Marie Lee White Florida McGhee Zether Deloney Kay Tollett Lorene Grundy should not be considered in that proof is lacking that the Union had these cards in its possession on the critical demand date. This contention fails for the reason that the cards of these employees , with the exception of the cards of Laverne Johnson Cox and Sharlotte Young , bear the "NLRB 26th Region-Memphis" stamp dated June 16, 1967 . The Respondent's response to the Union 's demand was likewise dated June 16, 1967 . Thus it is apparent that the Union , which submitted the cards together with its petition to the Board on June 16, 1967, possessed the cards on the critical date . Laverne Johnson Cox's card was dated June 29 , 1967, and Sharlotte Young 's card was dated July 10, 1967 . Both cards bear Regional Office stamps dated January 9, 1968 . These two cards are not included in the 86 cards above mentioned. further testified that she was told, "We didn't have to vote if there was a vote. We were signing the paper or the card for the purpose of seeing how many people was interested in having the union represent them." She testified that she was further told that "there would be an election if we could get at least 50 percent of the people to sign up the application blanks." She testified that she could not remember whether she heard the latter statements before or after she signed her card. Bobbie Butler. Bobbie Butler's name appeared on the telegram designating the Union's organizing committee. She was given her union card at her home where she signed it and returned it to a union organizer. Butler testified, "I don't know what she said, really. I just knew that I wanted to sign the card, and I did sign it." Bonnie Haislip. Bonnie Haislip's name also appeared on the telegram designating the Union's organizing committee. Haislip read the card before she signed it at her home. Haislip was told by the union organizer that the card "wasn 't for an election." In answering the Board's Regional Office's questionnaire she stated, "I was told the card was for application for membership in the union and the union was for better working conditions and higher wages. . . . If it won." Measured by the Board's rules as set forth in Levi Strauss & Co., 172 NLRB No. 57, and McEwen Manufacturing Company, and Washington Industries, Inc., 172 NLRB No. 99, the Trial Examiner finds the foregoing cards to be valid for the purpose of determining the union's majority status. Moreover, it is highly unlikely that Tipton, Butler, and Haislip should have served on the Union' s organization committee and not have designated the Union as their bargaining agent. The Respondent further objects to the validity of Bessie Carrigan's card which was signed by another at her direction. Carrigan testified that she had read the card before she had authorized the signing of it. Carrigan's name also appeared on the telegram designating the Union' s organizing committee. Carrigan testified of the card, . . the statement was made that I understood about the card where if we wanted the union to represent us, if we get in enough cards." In view of Carrigan's membership on the organizing committee, the Trial Examiner has no doubts that the procedure followed by Carrigan was sufficient to perfect a valid designation of the Union as her bargaining representative. The Respondent also objects to the validity of the card of Elrette Coulter on the ground that it was improperly authenticated. Employee Mary Crofton testified that she had given a card to Elrette Coulter which Coulter returned to her with Coulter 's signature on it. Coulter's W-4 Form was submitted for verification of her signature. It was agreed that the W-4 Form was supplied from the Company's records. The Trial Examiner has compared the signature on the W-4 Form with the signature appearing on the designation card offered into evidence, which was purported to be Coulter's card. The Trial Examiner is of the opinion that the same person wrote the signature appearing on the card and the W-4 Form. In reaching this conclusion the Trial Examiner relies upon the testimony of Crofton that Coulter handed her the card signed, the likeness of the signatures , and the lack of any credible proof that Coulter did not sign the card. In respect to the comparison of signatures , the Trial Examiner notes that in both signatures the written capital letter "E" is transcribed with a peculiarity which is not often observed in the written letter capital "E." A rather unique loop appears. 236 DECISIONS OF NATIONAL LABOR RELATIONS BOARD The Trial Examiner reserved ruling on the admission of Coulter's designation card, General Counsel Exhibit 3(H); it is hereby admitted. The Trial Examiner finds that Coulter's card is valid for the purpose of designating the Union's majority status. The Respondent objects to the card of Kay Tollett because she testified that "a union organizer misiepresented the effect of the card when she was asked to sign by telling her that the cards did not obligate the employee in any way." Kay Tollett testified that she read her designation card before she signed it and mailed the card to the Union She testified that before she signed the card a union representative came to see her and among other things told her that the card "didn't obligate" her "in any way"; "she said they were interested in finding out how many were interested." Tollett remembered nothing said about an election. Tollett later signed the card. The Trial Examiner does not believe that, even though Tollett had signed the card under the circumstances described, the card would have been invalid for designating the Union as Tollett' s bargaining agent. If the Trial Examiner were to hold the card invalid it would mean that a vote cast by an employee for a union, which may be cast without obligation in any way to the Union, would be likewise invalid. Thus, it would seem that a vote cast without obligation in any way to the Union or a designation signed on the same terms may validly designate the Union as the employee's bargaining agent. In fact the Act protects the employee's right to vote in favor of the union and yet refrain from becoming a member of the union. Finally, the Respondent contends that employee Stella Hile's card is invalid in that Organizer Jordan "attempted to authenticate its execution but admitted that she did not see Hile sign the card and did not remember if Hile or someone else signed the card." Organizer Jordan testified that Hile handed the card to her signed as it appeared as an exhibit. Such testimony is sufficient to establish the validity of the card under the rule of Levi Strauss Co, supra, and McEwen Mfg. Co., supra Thus on the demand date, June 12, 1967, the Union had been designated by 86 employees as their bargaining agent for the purposes of collective bargaining . A majority would have been 77. The Trial Examiner finds that on June 12, 1967, the Union had been designated for the purposes of collective bargaining by the majority of the Respondent's employees in the unit appropriate for such purposes and unless otherwise excused, the obligations of Section 8(a)(5) of the Act became fixed. On the June 23 through July 6, 1967, payroll appear the names of 160 employees, 8 of whom are supervisors including Tanner. Thus, a total of 152 eligible employees appears on such payroll. To this number are added employees Lucille Jones and Mary Ann Ray whose names do not appear on the payroll but were included by stipulation of the parties. The total eligible employees hence during the payroll period June 23 through July 6, 1967, are 154 employees. Ninety-two employees, whose names appear among the 154 employees, had signed unambiguous union designation cards by July 3, 1967, the date first within the Section 10(b) period.4' Of the 154 "At the hearing the Respondent moved to dismiss the Sec . 8(a)(5) allegations in the complaint on the ground that the "Unions bad faith refusal to bargain charge was filed on January 3 , 1968 (GC Exh. 1(d)) cards in addition to the 8 cards challenged above; the Respondent challenges the validity of the cards of Linda Henderson and Patsy Wesson. Union Representative Jordan testified that she saw these cards signed by the signers at the union meeting of June 22, 1967. The signatures of Patsy Wesson and Linda Henderson appear on the attendance sheet of such meeting. The Trial Examiner credits Jordan's testimony and finds the cards to be valid Thus on July 3, 1967, the Union had been designated by 92 employees as their bargaining agent for the purposes of collective bargaining . A majority would have been 78. The Trial Examiner finds that on June 12, 1967, and thereafter, 47 including July 3, 1967, the Union had been designated for purposes of collective bargaining by a majority of the Respondent's employees in the unit appropriate for such purposes and unless otherwise excused, the Respondent is under the extant requirement to recognize and bargain with the Union in accordance with Section 8(a)(5) of the Act. Tenth- The Respondent adopted these words, "because we doubt, in good faith," as the means of conveying its reason to the Union for declining to recognize the Union. By these words the Respondent attributed to itself both "doubt" and "good faith." Doubt is defined as "uncertainty of the mind ."48 In N L.R.B. v. The Richman Brothers Company, 387 F.2d 809 (C.A. 7), the court opined that industrial stability "requires that collective bargaining begin once a proper foundation is laid by the union ." Continued the court: "When all genuine doubt of the union 's majority status in an appropriate unit has been erased, the employer's duty to bargain collectively becomes fixed." The court held that the employer "could have no genuine, reasonable doubt of the union 's majority status" when the employer became "aware" of the union's majority status.49 Under such circumstances, the court further opined that it was unnecessary to determine whether "respondent's Sec. 8(a)(1) and (3) violations were alone sufficient evidence of bad faith." Thus the issue of good faith becomes relevant only if there is doubt or "uncertainty of mind." Where doubt as to the Union's majority status does not exist or under the circumstances cannot exist in the Employer' s mind , that is, if there can be no genuine, reasonable doubt, the Employer's duty to bargain collectively becomes fixed and his refusal to bargain is unlawful.30 which was in excess of six months from the critical date this violation must have as a matter of law occurred when Respondent received and answered the Union 's only noncontinuing offer of recognition on or about June 16, 1967." The Trial Examiner overruled the motion . In respect to this ruling the Trial Examiner has reviewed the entire credible record and adheres to the ruling. "There is no credible evidence that any employee withdrew his union designation. "Black 's Law Dictionary, 4th ed. "Each employee had affirmed his support for the union upon being questioned by the employer. "In N.L R B v Philamon Laboratories, Inc., 298 F 2d 176, 179 (C A 2), the court said The act imposes a duty to bargain in good faith upon request whenever a labor organization has been designated by a majority of employees in an appropriate bargaining unit The employer must recognize and bargain with such an organization whether or not it has been certified by the Labor Board . United Mine Workers of America v Arkansas Oak Flooring Co. 351 U.S. 62 . . (1956), N.L R B. v. Sunrise Lumber & Trim Corp, 241 F 2d 620 (2 Cir, 1957), cert. denied 355 U.S. 818 (1957 ). To be sure , an employer laboring under a good HOWARD MANUFACTURING CO., INC. 237 In the instant case the Employer rejected all methods of erasing doubt as to the majority status of the Union except through "the election processes of the National Labor Relations Board."61 It declined the Union's offer to prove its status through an impartial card check. While the Employer, in its response to the Union, rejected the proffered card check because it would not show "the circumstances under which employees allegedly signed cards," it would not show "what inducements were made employees" and it would not show what "representation, misrepresentations or threats" had been made to employees, the Employer neither came forward with any evidence nor did it make claim that it possessed any evidence which would prove that any of the cards had been invalidly procurred. Nor was such evidence produced by the Employer at the hearing in this matter. Moreover, the Employer made no attempt through permissible procedures to ascertain whether the employees had signed valid cards. Thus the Employer's objection to the card check must be deemed to have been specious. The Employer's point of view expressed in its rejection letter anticipated its subsequent course of conduct, and its adventure into bad faith, for it later advised its employees that "if you have signed cards - or telegrams or lists don't let that worry you - they are not binding and, because you have signed something , does not mean that you have to vote for them." The Employer's conviction that union designations were "not binding" (no suggestion having been made as to their invalidity) creates the strong inference that the Employer lacked a sincere conviction that the Union did not represent a majority of the Employer's employees. It would appear that without weighing the probabilities of majority status at all, the Employer closed its mind to designation cards in any form as proof of the uncoerced desires of its employees. The Employer's position was not that the Union may have lacked a majority of valid cards but that cards were immaterial as proof of majority status. In other words the Employer's good-faith doubt sprang from the conviction that it was entitled to test the Union's majority status by an election and not from a sincere conviction that the Union did not represent a majority of its employees." The Respondent's refusal to bargain did not relate to the, lack of union majority but, it seems clear, stemmed from its resistance to the law which does not limit an employer's laith doubt as to a union ' s majority status need not extend recognition Nevertheless , in the absence of such a doubt , the employer has no vested right to an election . N L.R B Y. Trimfit of California, 211 F.2d 206 (9 Cir., 1954). In N L R B v. Elliott-Williams Co , Inc , 345 F 2d 460, 464 (C. A. 7), the court stated: The duty to bargain is not dependent on a Board election and certification . An employer may refuse an unequivocal demand for recognition and bargaining only on the basis of a good faith doubt of the genuineness of the union 's claims, and the union does not withdraw or waive its demand by seeking an election when the employer makes it clear that it will not recognize the union. " In Bryant Chucking Grinder Co. v. N.L.R B. 389 F 2d 565, 568 (C.A. 2), the court , where the employer rejected a card check, cited, as lack of support for an employer's alleged good -faith doubt as to the Union's majority status, the announcement of its "very definite policy of refusing any evidence of representational rights other than a Board certification." "Herzog advised employees in his August 21 speech. In the union 's scheme of things the signed cards probably mean a lot, but as far as the election is concerned the card doesn ' t mean anything any more - because anything you may have signed - anything you may have said - any money you may have paid has nothing whatsoever to do with the way you vote. duty to bargain to a demonstration of the majority status of a union only by a representation election. The Employer's erroneous view of the law negates reliance upon good faith as a defense to a charge of a refusal to bargain. Old King Cole, Inc., v. N.L.R.B., 260 F.2d 530, 531 (C.A. 6) "It is well settled that prohibited conduct, that is, practices lawfully proscribed, cannot be justified on good faith misunderstanding of what the applicable law is or how it is to be applied." N.L.R.B. v. Bardahl Oil Company, 399 F.2d 365 (C.A. 8). A good-faith doubt as to a Union's majority status stems from a sincere conviction that the Union does not represent a majority of an employer's employees. Alleged good-faith doubt lacks sincerity and credence if it is accompanied by a rejection of the principles of collective bargaining or if it is put forward as an excuse to gain time in which to dissipate the Union's strength and stifle potential union growth. Good faith seized upon for such purpose is evidence of bad faith. The court has said in N.L.R.B. v. Economy Food Center, Inc . 333 F.2d 468, 472 (C.A. 7): "The existance of good-faith doubt, in light of all the circumstances, raises mainly a question of credibility "" Thus, the credibility of Herzog, the admitted source of the Respondent's alleged good-faith doubt, is germane. The Trial Examiner is of the opinion that Herzog was not a credible witness in respect to matters which were at issue in this proceeding. Herzog's approach to the instant case was another step to be taken in barring the Union from the Respondent's plant. Both Herzog's demeanor and his discernible cognizance of the exigencies facing the Respondent convince the Trial Examiner that he testified partially for the Respondent and colored and conformed his testimony in order to obtain the greatest advantage for the Respondent." Herzog planted his good-faith doubt upon (1) his prior experience that the Union's majority demands were not substantiated by election returns and (2) his lack of knowledge of any union organizational activity. Herzog's sincerity in respect to his grounds for good-faith doubt are suspect. First, Herzog, as experienced in this field, must have known that union elections are many times lost, although the Union may hold a majority of signed designations, because of the counter-campaign conducted by the Employer, as is illustrated in the instant case Indeed if the Employer applied the teachings of its other union campaigns to the instant campaign, it is reasonable to conclude that the employees voted sometimes in contradiction to their designations, for Herzog, in the instant campaign, impressed employees, repeatedly, with the idea that they had a "right to vote `No' and forget about the card [they] signed ." It would seem that unless the effectiveness of the Employer's counter-campaigns is totally discounted, "Cited with approval . The Colsan Corp. v. N L R B. 347 F.2d 128, 137-138 (C.A.8) "In drawing the credibility resolutions herein the Trial Examiner is not unmindful of the Supreme Court's observation in N L R.B v Walton Manufacturing Company, 369 U S. 404, 408: For the demeanor of a witness . may satisfy the tribunal, not only that the witness ' testimony is not true, but that the truth is the opposite of his story; for the denial of one , who has a motive to deny, may be uttered with such hesitation , discomfort, arrogance or defiance, as to give assurance that he is fabricating, and that , if he is, there is no alternative but to assume the truth of what he denies. Dyer v MacDougall , 201 F.2d 265, 269. 238 DECISIONS OF NATIONAL LABOR RELATIONS BOARD experience as a source for Herzog's good-faith doubt lacks credibility. As to the second ground , to credit Herzog ' s belief would disallow Herzog's experience in the field, for he must be deemed to have known that many union campaigns are commenced in secrecy in order to stymie potential employer reprisal and counter measures. But here the Respondent had been advised that out of a complement of about 150 employees , 28 out of 31 or 32 of the black employees, and 22 out of about 120 white employees, had registered their membership on the Union ' s organizing committee by signing their names to a telegram. With almost 100 percent of the black employees and almost 20 percent of the white employees (almost 35 percent of all employees) on the Union's organizing committee , it seems reasonable to conclude that Herzog must have had an idea that other employees who were not on the committee had also signed cards (as was the fact), all of which is significant in considering whether the Employer had a good-faith doubt. It is further significant that Herzog's reply letter did not cite reason for his good-faith doubt, although the letter was composed by an experienced author with careful concern, as evidenced by the letter's phrasings drawn assiduously within the letter of the law. Thus the reasons, omitted from the letter but later advanced in the hearing take on the character of afterthoughts rather than oversight." A finding of lack of good-faith doubt and the presence of bad faith is clinched by the Respondent's subsequent conduct. The Respondent immediately embarked upon an intensive antiunion campaign which embraced many individual solicitations, letters, handbills, and captive audience speeches. Such a concentrated effort to cause union defection is at odds with the idea that the Respondent believed that the union movement was unsubstantial . Moreover , the Respondent's campaign was keyed to persuading employees to foresake the Union. "You are perfectly free to vote `No' - no matter how many cards of other things you've signed.... because you have signed something, does not mean that you have to vote for them. . . . you have a right to vote `No' and forget about the card you signed . . . . as far as the election is concerned the card doesn't mean anything any more.... I see no reason why any of these people [card signers] can 't change their feeling back to the company." Herzog , commenting upon an employee who had changed his mind, said, "I'm real glad you changed your mind." Thus it is clear that the Respondent utilized the time following its refusal to recognize the Union to induce employees to forego union affection and repudiate their designation of the Union as their bargaining agent. To obtain such end the Respondent, as is set forth above, engaged in unfair labor practices embracing among other things the denigrations of the Union, projections of strikes, the stressing of the futility of union choice, the prying into the employees' feelings toward the Union," ""Good- faith doubt would have dictated immediate response stating candidly the Respondent 's position " N L.R B. v. The Howe Scale Co.. 311 F.2d 502, 505 (C.A. 7). ""[S]ystematic interrogation of employees about union activities during the sensitive initial stages of an organizing campaign and for no justifiable purpose ... is a type of activity which serves to impress upon employees their employer's hostility to union organization , and thus tends to restrain them in the exercise of the rights guaranteed by Section 7 of the Act." Koch Engineering Company, Inc, 155 NLRB 1272, 1273 threats of plant removal or closure ," assertions that no contract would be negotiated , grants of benefits, interference with the free distribution of union handbills, and strong suggestion that employees deal without the intervention of the Union ." These unfair labor practices were not matters to be treated lightly . They were not minor or borderline violations which had only a minimal effect upon the Union ' s majority . They were substantial and were of a kind which must necessarily have had as their objective the destruction of the Union ' s majority. The Respondent 's conduct refutes the contention that it in good faith intended to participate in an election in an atmosphere free of coercion and clearly evidences an intent on the Respondent ' s part to delay recognition for the purpose of dissipating or undermining the Union's majority status. "The case law squarely supports the proposition that when the refusal to bargain emanates from a desire to gain time to dissipate the majority status of the Union, the employer ' s refusal clearly violates Sec . 8(a)(5)." N.L.R.B. v. Comfort, Inc., 365 F.2d 867, 876 (C.A. 8). The employer' s unilateral grant of retroactive seniority and its offer through Manager Hornbuckle that it was not "too late" for employees to deal directly with the employer is convincing proof that the employer rejected the principles of collective bargaining. In the circumstances of this case the following language "On the subject of whether the plant would close if the Union prevailed, Herzog testified that employees were told "one has nothing to do with the other, or we can' t answer that question , or that question is not relevant to the situation... It could possibly close at anytime .... There is no way of knowing was usually the answer that was given ." In his speech of August 21 , 1967, Herzog told employees: All the talk that no matter what may happen we cannot close our plant and the talk the union has put out - that [it's] against the law for a company to close - is not true. A company has the right for good business reasons , and in good faith to close a plant entirely or in part at any time. It's just the same as if we were a farmer, or a grocery store, or a gasoline station. Ask any of them if they can close . Ask any of the people who worked in companies that closed right here in Arkansas But this is nothing to fool with. In N.L.R B v. Finesilver Mfg Co.. 400 F .2d 644 (C.A. 5), the court said "As for the statement that a company can close down completely for any reason at all, we need only look to the Supreme Court decision which established that proposition for confirmation of the rule that an employer cannot interfere with organization activities by threatening to close the plant. [Citations .] Considering the statement in the context of the antiunion hostility , we believe it constituted an unlawful threat to close the plant in the event of a union victory." The Board held in I.T.T. Semi-Conductors , Inc., 165 NLRB No. 98, that the threat to close a plant if the Union should be designated bargaining agent is by itself "sufficient to establish that the Respondent had as its purpose the rejection of the collective-bargaining principle or the desire to gain time within which to undermine the Union and dissipate its majority." "Manager Hornbuckle told the employees in his August 22 speech: If there are still other improvements or adjustments in working conditions that you think should be given or made - you as an individual or any group of your co -workers are free to discuss such changes with me and be assured they will be given consideration and attention by me. Because if any of you are voting for a union because of something we could work out together or if [you are ] voting for a union because of something you haven ' t talked to me about, then there is no need for all this because thank goodness , it still isn 't too late. The Board opined in Quaker Alloy Casting Company . 135 NLRB 805, 806, "its [the employer 's] directions and suggestions to employees that they bring their grievances directly to Respondent ' s officials, constituted violations of Section 8(a)( I)." HOWARD MANUFACTURING CO., INC. used by the Board in R. W. Inc., d/b/a K-Mart Foods, 170 NLRB No, 67, is singularly apposite: "As we view the situation, Respondent, concerned with the possibility that the Union' s organizing drive might succeed because of the high level of employee dissatisfaction undertook the counter offensive described above for the purpose of weaning employees away from union adherence. Where, as here, a union has established its majority status and a Respondent , disclosing a disposition to evade its obligation to bargain, has engaged in unfair labor practices which were aimed at destroying that majority and has deprived the union of a fair opportunity to prove its representative status in an election , an order to bargain, upon request, effectuates the policies of the Act and is plainly appropriate. Accordingly, we shall order Respondent to bargain, upon request, with the Union in the unit herein found appropriate." R. W. Inc., d/b/a K-Mart Foods, 170 NLRB No. 67 . See also Bauman Chevrolet, Inc., 173 NLRB No. 78; John P. Krystyniak, Red & White Super Markets, 172 NLRB No. 210. Since "[c]onduct violative of Section 8(a)(l) is a fortiori conduct which interferes with the exercise of a free and untrammeled choice in an election" (Dal-Tex Optical Company, Inc., 137 NLRB 1782, 1789), the representation election which was conducted on August 27, 1967, must be set aside and held for naught. The Employer's misconduct detailed above destroyed the atmosphere in which the Respondent's employees could register a free choice for a bargaining representative and was calculated to induce employees to forego union adherence and cast their ballots against the Union. Thus it is patent that the Respondent's failure to accord recognition to the Union was not inspired by a good-faith doubt but was advanced in bad faith. The Trial Examiner is persuaded that the Respondent had completely rejected the collective-bargaining principle and that it refused to recognize the Union in order to utilize additional time in which to profit by its unfair labor practices and to undermine the Union, further dissipate its majority and deter it from gaining additional strength . It is "idle to speak of good faith in an atmosphere of unlawfulness." Priced-Less Discount Foods, Inc., d/b/a Payless, 157 NLRB 1143, 1147. . the Board may properly decline to consider good faith as a defense to a section 8(a)(5) charge when the employer has exercised manifest bad faith in its other responses to the same attempt at unionization ." N.L.R.B. v. Primrose Super Market of Salem , Inc., 353 F.2d 675, 676 (C.A. I). In view of the Respondent's unfair labor practices as found above, and its refusal to recognize and bargain with the Union motivated not by good-faith doubt of the Union's majority but by a rejection of the collective- bargaining principle and by a desire to gain time in which to further destroy the Union's majority status, the Respondent violated Section 8(a)(5) and (1) of the Act. Webb Tractor and Equipment Company, 167 NLRB No. 46; Hammond & Irving, Incorporated, 154 NLRB 1071; Fabricators, Incorporated, 168 NLRB No. 21.69 "The General Counsel urges that "in the circumstances of this case in order not to permit the Respondent to benefit from its unlawful conduct and because a fair election has been rendered impossible , the facts of this case clearly indicate that a bargaining order under Sec. 8 (axl) of the Act is indeed appropriate ." The Trial Examiner finds merit in the General Counsel 's contention. Were the Trial Examiner to have found that because the Union 's request to bargain was made prior to the 10 (b) period a 8 (a)(5) finding was barred, IV. THE EFFECT OF THE UNFAIR LABOR PRACTICES UPON COMMERCE 239 The activities of the Respondent set forth in section II, above, occurring in connection with its operations described in section I, above, have a close, intimate, and substantial relationship 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 RECOMMENDED REMEDY Having found that the Respondent has engaged in unfair labor practices within the meaning of Section 8(a)(5) and (1) of the Act the Trial Examiner recommends that it cease and desist therefrom and upon request bargain collectively with the Union as the exclusive representative of all employees in the appropriate unit and, if an understanding is reached, embody such understanding in a signed agreement. As noted above the Trial Examiner received no brief from the Union. Such circumstance raises doubts as to whether the Union continues interest in this matter and will avail itself of the bargaining order herein recommended. Moreover, it is not contemplated in the Act that the government shall spin its wheels in accommodating the policies of the Act. Thus the Trial Examiner recommends that the bargaining order herein recommended be suspended and the Respondent released from the obligations thereof 90 days after the date of the posting of the notice herein recommended, unless the Union within such period of time has presented proof satisfactory to the Regional Director, Region 26, that the Union has been designated as the collective-bargaining representative by at least 30 percent of the employees employed in the unit herein found appropriate on the date the Notice recommended herein is posted. CONCLUSIONS OF LAW 1. The Respondent is an employer engaged in commerce within the meaning of Section 2(6) and (7) of the Act. 2. The Union is a labor organization within the meaning of Section 2(5) of the Act. 3. By interfering with, restraining, and coercing employees in the exercise of rights guaranteed them by Section 7 of the Act, Respondent has engaged in unfair labor practices within the meaning of Section 8(a)(1) of the Act. 4. By the commission of unfair labor practices the We would , nevertheless, in order to remedy the unfair labor practices herein found , recommend a 8(aX5 ) order. Even where a request to bargain has not been made and it is found that the Union represents a majority of the employees in an appropriate unit, as here , a bargaining order may be appropriate to remedy Section 8(axl) violations See N.L.R.B v. Joe Caldarera, et al. . d/b/a Falstaff Distributing Company, 209 F.2d 265, 268 (C.A. 8). See also Heck's Inc., 172 NLRB No. 255 The Union possessed a majority status and the Respondent engaged in unlawful conduct which prevented a fair election free of coercion. The Respondent thus evidenced an intent to delay recognition for the purpose of dissipating and undermining the Union' s majority status and it employed its unfair labor practices for such purpose . Thus a bargaining order is necessary as a proper remedy to preserve the status quo ante, and to prevent Respondent from benefiting from its own unlawful conduct in liolation of Sec. 8(aXt) of the Act. See Oleson 's Foods No. 4, Inc., 167 NLRB No. 69; Priced-Less Discount Foods, Inc., d/bla Payless, supra. 240 DECISIONS OF NATIONAL LABOR RELATIONS BOARD Respondent unlawfully interfered with the representation election conducted on August 25, 1967. 5. All employees employed by Howard Manufacturing Company, Inc., at its Nashville, Arkansas, plant, including all production and maintenance employees, excluding all office and clerical employees , guards and supervisors as defined in the Act constitute an appropriate unit for the purposes of collective bargaining within the meaning of Section 9(b) of the Act. 6. By refusing on and since July 3, 1967, and thereafter, to bargain with the Union as the exclusive bargaining agent of the employees in the appropriate unit, the Respondent has engaged in and is engaging in unfair labor practices within the meaning of Section 8 (a)(1) and (5) of the Act. 7. The aforesaid unfair labor practices are unfair labor practices within the meaning of Section 2(6) and (7) of the Act. [Recommended Order omitted from publication.] APPENDIX A HERE IS YOUR PAYCHECK The union doesn ' t have their hands on it yet ! Be sure they never do - VOTE NO! STOP! LOOK! LISTEN! This is your last paycheck before the election Take a good look at it there are no deductions for union dues , union fines or union assessments Keep it that way don ' t let the union gamble with your money with your future VOTE NO! APPENDIX B Sure Son , it's a good business . It's Big Business! You can figure it out for yourself. You tap each guy and gal for ? a month for dues . This doesn't count initiation fees , fines, and other assessments. The dues alone bring in thousands and thousands and thousands of dollars a year . And the best part of it is the union doesn ' t pay any taxes . The guy who pays the dues pays Uncle Sam. We leave some in the local treasury to make it look good and to take care of the guys fronting for us but we don ' t account to them for our expenses . You see, we're called a non -profit making organization so Mr Whiskers doesn ' t check our books too closely. How do you separate them from their money? First, get them to hate the Boss . No matter how much good he tries to do, cutting him, rip him , lie about him, call him names . Remember , if they like the boss they don't like you. Then all you got to do is promise more than they're getting - and keep on promising . Promise anything! You don't have to deliver - let the company worry about that! If the company won't deliver on your promise, take 'em out on strike! The workers (I love 'em ) will soon be so broke they'll go back to work for whatever the company will give - and you still got them hooked for dues. Yes Indeedy , Son, it sure is a fine, patriotic, honorable business! Good money, too!! PUT AND TAKE APPENDIX C ACW BANK 24 Hr Collections No Interest No Balance No Earnings No Withdrawals We arrange your payments for you!! (If you can't make regular visits ... we come to you!) HOWARD Employees Take Wages Home!! Not To Union Headquarters!! [Only the text of the handbills has been reproduced as Appendixes A, B, and C.] Copy with citationCopy as parenthetical citation