Howard Style Shops

National Labor Relations Board - Board Decisions

Sep 7, 1979

244 N.L.R.B. 913 (N.L.R.B. 1979)

HOWARD STYLE SHOPS
Howard Style Shops, Inc. and Chicago and Central
States Joint Board, Amalgamated Clothing and
Textile Workers Union, AFL-CIO. Case 13-CA
18595
September 7. 1979
DECISION AND ORDER
BY CHAIRMAN FANNING AND MEMBERS JENKINS
AND MURPHY
Upon a charge filed on April 3. 1979, by Chicago
and Central States Joint Board, Amalgamated Cloth-
ing and Textile Workers Union, AFL-CIO, herein
called the Union, and duly served on Howard Style
Shops, Inc., herein called Respondent, the General
Counsel of the National Labor Relations Board, by
the Regional Director for Region 13, issued a com-
plaint on May 4, 1979, against Respondent, alleging
that Respondent had engaged in and was engaging in
unfair labor practices affecting commerce within the
meaning of Section 8(a)(5) and (1) and Section 2(6)
and (7) of the National Labor Relations Act, as
amended. Copies of the charge, complaint, and notice
of hearing before an administrative law judge were
duly served on the parties to this proceeding. Respon-
dent failed to file an answer to the complaint.
With respect to the unfair labor practices, the com-
plaint alleges, in substance, that at all times since at
least 1965 by virtue of successive collective-bargain-
ing agreements between Respondent and the Union,
the most recent of which is effective from September
1, 1978, to March , 1982, the Union has been and is
now the exclusive representative of Respondent's em-
ployees in an appropriate unit for the purposes of
collective bargaining with respect to rates of pay,
wages, hours of employment, and other terms and
conditions of employment. The complaint further al-
leges that since on or about January 2, 1979, and
continuing to date, Respondent has refused and con-
tinues to refuse to bargain collectively with the Union
as the exclusive representative of the employees in an
appropriate unit, and has modified the terms of the
existing collective agreement without the consent or
the agreement of the Union in that:
(a) On or about January 2, 1979, Respondent
unilaterally changed existing terms of employ-
ment, by refusing to forward to the Union the
periodic dues and initiation fees which it is re-
quired to deduct from the wages from its em-
ployees upon their consent, and by refusing to
contribute insurance premiums on behalf of its
employees to the Amalgamated Social Benefits
Association.
(b) Since on or about February 13, 1979. Re-
spondent has refused to recognize the Union as
the exclusive bargaining representative of its em-
ployees, and has abrogated the existing collective
bargaining agreement and unilaterally changed
existing terms and conditions of employment by
refusing to discuss grievances arising out of the
application or interpretation of the current col-
lective bargaining agreement.
(c) On or about March 1. 1979. Respondent
unilaterally changed existing terms and condi-
tions of employment by refusing to grant a
twenty cent (20 cent) per hour increase to em-
ployees, provided for in the current collective
bargaining agreement.
Subsequently, on June 21. 1979, the Board issued
an order transferring the proceeding to the Board and
a Notice To Show Cause why the General Counsel's
Motion for Summary Judgment should not be
granted. Respondent has filed no response to Notice
To Show Cause and, accordingly. the allegations of
the Motion for Summary Judgment stand uncontro-
verted.
Pursuant to the provisions of Section 3(b) of the
National Labor Relations Act, as amended, the Na-
tional Labor Relations Board has delegated its au-
thority in this proceeding to a three-member panel.
Upon the entire record in this proceeding, the
Board makes the following:
Ruling on the Motion for Summary Judgment
Section 102.20 of the Board's Rules and Regula-
tions, Series 8, as amended, provides:
The Respondent shall, within 10 days from the
service of the complaint, file an answer thereto.
The respondent shall specifically admit, deny or
explain each of the facts alleged in the com-
plaint, unless the respondent is without knowl-
edge, in which case the respondent shall so state,
such statement operating as a denial. All allega-
tions in the complaint, if no answer is filed, or
any allegation in the complaint not specifically
denied or explained in an answer filed, unless the
respondent shall state in the answer that he is
without knowledge, shall be deemed to be admit-
ted to be true and shall be so found by the
Board, unless good cause to the contrary is
shown.
According to the uncontroverted allegations of the
Motion for Summary Judgment, Respondent failed to
file an answer to the complaint. Moreover, as no an-
244 NLRB No. 134
913
DECISIONS OF NATIONAL LABOR RELATIONS BOARD
swer had been filed, on June 5, 1979, Respondent was
informed by telegram by counsel for the General
Counsel that it had failed to comply with Section
102.20 of the Boaid's Rules and Regulations and that,
unless an answer was filed within I week, the initi-
ation of summary judgment proceedings would be
recommended. A copy of the counsel's telegram was
attached to the Motion for Summary Judgment as
Exhibit 5. Although Respondent was thus addition-
ally warned about the consequences of failing to file
an answer to the complaint, Respondent further de-
clined to file such an answer and further failed to file
a response to the Notice To Show Cause. No good
cause to the contrary having been shown, in accord-
ance with the rule set forth above, the allegations of
the complaint are deemed to be admitted and found
to be true. Accordingly, we grant the Motion for
Summary Judgment.
On the basis of the entire record, the Board makes
the following:
FINDING(S OF FACT
I. THE BUSINESS OF RESPONDENT
Respondent is, and has been at all times material
herein, a corporation duly organized under, and exist-
ing by virtue of, of the laws of the State of Illinois.
Respondent, at all times material herein, has main-
tained an office and place of business at 1259 South
Halsted Street, Chicago, Illinois, where it is engaged
in the retail sale of clothes. During the past calendar
or fiscal year, a representative period, Respondent, in
the course and conduct of the operation of the retail
clothing store, has received gross revenues in excess of
$500,000, and has purchased and received goods and
materials valued in excess of $5,000 from enterprises
located within the State of Illinois, which enterprises
have received said goods and materials directly from
enterprises located outside the State of Illinois.
We find, on the basis of the foregoing, that Respon-
dent is, and has been at all times material herein, an
employer engaged in commerce within the meaning
of Section 2(6) and (7) of the Act, and that it will
effectuate the policies of the Act to assert jurisdiction
herein.
II. THE LABOR ORGANIZATION INVOLVED
Chicago and Central States Joint Board, Amalga-
mated Clothing and Textile Workers Union, AFL
CIO, is a labor organization within the meaning of
Section 2(5) of the Act.
III. I'HE UNFAIR ABOR PRA(II('CES
A. The Collective-Bargaining Representative
1. The unit
The fillowing employees of' Respondent constitute
a unit appropriate for collective-bargaining purposes
within the meaning of Section 9(b) of' the Act:
All regular full-time employees scheduled for
thirty-five (35) hours of more on a regular basis.
and all regular extra employees scheduled for
more than twenty-four (24) but less than thirty-
five (35) hours on a regular basis employed by
Respondent at its present location at 1259 South
Halsted Street, Chicago, Illinois; but excluding
professional employees, confidential employees,
employees covered by existing collective bar-
gaining agreements, store managers, security em-
ployees, and supervisors as defined in the Act.
2. The bargaining history
At all times since at least 1965, by virtue of succes-
sive collective-bargaining agreements between Re-
spondent and the Union, the current contract being
by its terms effective from September 1, 1978, to
March 1, 1982, the Union has been the exclusive rep-
resentative for the purposes of collective bargaining
of the employees in an appropriate unit and, by virtue
of Section 9(a) of the Act, has been and is now the
exclusive representative of all the employees in said
unit for the purposes of collective bargaining with re-
spect to rates of pay, wages, hours of employment,
and other terms and conditions of employment.
B. The Refusal To Bargain
Since on or about January 2, 1979, Respondent has
unilaterally changed existing terms and conditions of
employment by refusing to forward to the Union the
periodic dues and initiation fees which it is required
to deduct from the wages of its employees upon their
consent, and by refusing to contribute insurance pre-
miums on behalf of its employees to the Amalga-
mated Social Benefits Association. Since on or about
February 13, 1979, Respondent has refused to recog-
nize the Union as the exclusive bargaining represent-
ative of its employees, has abrogated the existing col-
lective-bargaining agreement, and has unilaterally
changed existing terms and conditions of employment
by refusing to discuss grievances arising out of the
application or interpretation of the current collective-
bargaining agreement. On or about March 1, 1979,
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HOWARD STYLE SHOPS
Respondent unilaterally changed existing terms and
conditions of employment by refusing to grant a 20-
cent-an-hour increase to employees as provided for in
the current collective-bargaining agreement. By uni-
laterally changing existing terms and conditions of
employment, by refusing to recognize the Union as
the exclusive bargaining representative of its employ-
ees, and by abrogating the existing collective-bargain-
ing agreement as described above, Respondent has
refused and is continuing to refuse to bargain collec-
tively with the representative of its employees and,
furthermore, by each of said acts, Respondent has
interfered with, restrained, and coerced, and is inter-
fering with, restraining, and coercing, its employees in
the exercise of the rights guaranteed in Section 7 of
the Act. Accordingly, we find that Respondent has
engaged in, and is engaging in, unfair labor practices
within the meaning of Section 8(a)(5) and (1) of the
Act.
IV. THE EFFECT OF THE UNFAIR LABOR PRACTICES
UPON COMMERCE
The activities of Respondent, set forth in section
III, above, occurring in connection with its operations
described in section 1, above, have a close, intimate,
and substantial relationship to trade, traffic, and com-
merce among the several States and tend to lead to
labor disputes burdening and obstructing commerce
and the free flow of commerce.
V. THE REMEDY
Having found that Respondent has engaged in and
is engaging in unfair labor practices within the mean-
ing of Section 8(a)(5) and (1) of the Act, we shall
order that it cease and desist therefrom, and take cer-
tain affirmative action designed to effectuate the poli-
cies of the Act. Respondent will be required to for-
ward to the Union the periodic dues and initiation
fees which it is required: (1) to deduct from the wages
of employees who have given their consent thereto,
with interest on such amounts to be computed in the
manner prescribed in Florida Steel Corporation, 231
NLRB 651 (1977);' (2) to pay to the Amalgamated
Social Benefits Association the appropriate insurance
premiums on behalf of its employees; 2 (3) to grant a
I See, generally, Isis Plumbing & Heating Co., 138 NLRB 716 (1962).
To insure against a windfall to the Union, Respondent's dues-reimburse-
ment obligation shall not apply to employees, if any, who valuntarily paid
dues to the Union during any or all of the pertinent period. Ogle Protection
Services. Inc., 183 NLRB 682, 683 (1970).
2 The question of whether interest, if any, shall attach to the back insur-
ance premium contributions shall be left to the compliance stage of this
proceeding. Merryweather Optical Company, 240 NLRB 1213 (1979).
20-cent-an-hour increase to employees, as provided
for in the collective-bargaining agreement retroactive
to March 1, 1979: (4) to recognize and, upon request.
bargain with the Union in good faith: (5) to discuss
grievances arising out of the application or interpreta-
tion of the collective-bargaining agreement with the
Union as the exclusive representative of Respondent's
employees within the appropriate unit; and (6) to
post appropriate notices.
The Board, upon the basis of the foregoing facts
and the entire record, makes the following:
Conclusions of Law
I. Howard Style Shops, Inc., is an employer en-
gaged in commerce within the meaning of Section
2(6) and (7) of the Act.
2. Chicago and Central States Join Board, Amal-
gamated Clothing and Textile Workers Union, AFL-
CIO, is a labor organization within the meaning of
Section 2(5) of the Act.
3. All regular full-time employees scheduled for 35
hours or more on a regular basis and all regular extra
employees scheduled for more than 24 but less than
35 hours on a regular basis, employed by Respondent
at its location at 1259 South Halsted Street, Chicago,
Illinois, but excluding professional employees, confi-
dential employees, employees covered by existing col-
lective-bargaining agreements, store managers, secu-
rity employees and supervisors as defined in the Act.
constitute a unit appropriate for the purposes of col-
lective bargaining within the meaning of Section 9(b)
of the Act.
4. Since 1965, by virtue of successive collective-
bargaining agreements between Respondent and the
Union, the above-named labor organization has been
and now is the exclusive representative of all employ-
ees in the aforesaid appropriate unit for the purpose
of collective bargaining within the meaning of Section
9(a) of the Act.
5. Since on or about January 2, 1979, Respondent
has failed and refused to forward to the Union the
periodic dues and initiation fees which it is required
to deduct from the wages of its employees upon their
consent, and has failed and refused to contribute in-
surance premiums on behalf of its employees to the
Amalgamated Social Benefits Association. Since on
or about February 13, 1979, and continuing to date,
Respondent has refused to recognize the Union as the
exclusive bargaining representative of its employees
in the appropriate unit, has abrogated the existing
collective-bargaining agreement effective from Sep-
tember , 1978, to March 1, 1982, and has refused to
discuss grievances arising out of the application or
interpretation of the above-described collective-bar-
915
I) t(CISIONS OF NATIONAL LABOR RELATIONS BOARD
gaining agreement. Commencing on or about March
1. 1979, Respondent has refused to grant a 20-cent-
an-hour increase to its employees in the appropriate
unit as provided i'or in the current collective-bargain-
ing agreement. By the acts described above, Respon-
dent has modified, without the consent or agreement
of the Union, the terms of the existing collective-bar-
gaining agreement. By these acts, Respondent has en-
gaged in and is engaging in unfair labor practices
within the meaning of Section 8(a)(5) of the Act.
6. By the aforesaid conduct, Respondent has inter-
f'ered with, restrained, and coerced, and is interfering
with, restraining, and coercing, employees in the exer-
cise of the rights guaranteed them in Section 7 of the
Act, and thereby has engaged in and is engaging in
unfair labor practices within the meaning of Section
8(a)( 1) of the Act.
7. The aforesaid unfair labor practices are unfair
labor practices affecting commerce within the mean-
ing of Section 2(6) and (7) of the Act.
ORDER
Pursuant to Section 10(c) of the National Labor
Relations Act, as amended, the National Labor Rela-
tions Board hereby orders that Respondent, Howard
Style Shops, Inc., Chicago, Illinois, its officers, agents,
successors, and assigns, shall:
1. Cease and desist from:
(a) Refusing to bargain collectively concerning
rates of' pay, wages, hours, and other terms and con-
ditions of employment with Chicago and Central
States Joint Board, Amalgamated Clothing and Tex-
tile Workers Union, AFL-CIO, and abrogating the
current collective-bargaining agreement.
(b) Refusing to forward to the Union the periodic
dues and initiation fees which it is required to deduct
from the wages of employees upon their consent.
(c) Refusing to contribute insurance premiums on
behalf of its employees to the Amalgamated Social
Benefits Association.
(d) Refusing to discuss grievances arising out of
the application or interpretation of its collective-bar-
gaining agreement with the Union.
(e) Refusing to grant wage increases to its employ-
ees as provided for in the current collective-bargain-
ing agreement with the Union.
(f) In any like or related manner interfering with,
restraining, or coercing employees in the exercise of
the rights guaranteed them in Section 7 of the Act.
2. Take the following affirmative action which the
Board finds will effectuate the policies of the Act:
(a) Recognize and, upon request, bargain with the
above-named labor organization as the exclusive rep-
resentative of all employees in the aforesaid appropri-
ate unit with respect to rates of pay, wages, hours,
and other terms and conditions of employment and
implement the terms and conditions of the current
collective-bargaining agreement.
(b) Forward to the Union the periodic dues and
initiation fees which it is required to deduct from the
wages of its employees who have given their consent
thereto, retroactive to January 2. 1979.
(c) Contribute insurance premiums on behalf of its
employees to the Amalgamted Social Benefits Associ-
ation retroactive to January 2. 1979.
(d) Upon request, discuss with the Union any
grievances arising out of the application or interpreta-
tion of the current collective-bargaining agreement.
(e) Grant to its employees in the appropriate unit a
20-cent-an-hour increase, as provided for in the cur-
rent collective-bargaining agreement retroactive to
March 1, 1979.
(f) Post at its South Halsted Street, Chicago, Illi-
nois, location copies of the attached notice marked
"Appendix. " - Copies of said notice, on forms pro-
vided by the Regional Director for Region 13, after
being duly signed by Respondent's representative,
shall be posted by Respondent immediately upon re-
ceipt thereof, and be maintained by it for 60 consecu-
tive days thereafter, in conspicuous places, including
all places where notices to employees are customarily
posted. Reasonable steps shall be taken by Respon-
dent to insure that said notices are not altered, de-
faced, or covered by any other material.
(g) Notify the Regional Director for Region 13, in
writing, within 20 days from the date of this Order,
what steps have been taken to comply herewith.
I In the event that this Order is enforced by a Judgment of a United States
Court of Appeals, the words in the notice reading "Posted by Order of the
National Labor Relations Board" shall read "Posted Pursuant to a Judgment
of the United States Court of Appeals Enforcing an Order of the National
Labor Relations Board."
APPENDIX
NOTICE TO EMPLOYEES
POSTED BY ORDER OF THE
NATIONAL LABOR RELATIONS BOARD
An Agency of the United States Government
WE WIL. NOT refuse to recognize and bargain
collectively concerning rates of pay, wages,
hours, and other terms and conditions of em-
ployment with Chicago and Central States Joint
Board, Amalgamated Clothing and Textile
Workers Union, AFL-CIO, or abrogate the cur-
rent collective-bargaining agreement covering
the employees in the bargaining unit described
below.
916
HOWARD STYLE SHOPS
WE WILL NOT refuse to forward to the Union
the periodic dues and initiation fees which we
are required to deduct from the wages of em-
ployees upon their consent.
WE WILL NOT refuse to contribute insurance
premiums on behalf of our employees to the
Amalgamated Social Benefits Association.
WE WILL NOT refuse to discuss grievances aris-
ing out of the application or interpretation of our
collective-bargaining agreement with the Union.
WE WILL NOT refuse to grant wage increases to
our employees as provided for in the current col-
lective-bargaining agreement with the Union.
WE WILL NOT in any like or related manner
interfere with, restrain, or coerce employees in
the exercise of the rights guaranteed them in Sec-
tion 7 of the Act.
WE WILL, upon request, recognize and bargain
with the above-named labor organization as the
exclusive representative of all employees in the
aforesaid appropriate unit with respect to rates
of pay, wages, hours, and other terms and condi-
tions of employment and implement the terms
and conditions of the current collective-bargain-
ing agreement. The bargaining unit is:
All regular full-time employees scheduled
for thirty-five (35) hours or more on a regular
basis, and all regular extra employees sched-
uled for more than twenty-tbur (24) but less
than thirty-five (35) hours on a regular basis
employed by us at out present location at 1259
S. Halsted Street, Chicago, Illinois. hut exclud-
ing professional employees, confidential em-
ployees, employees covered by existing collec-
tive bargaining agreements, store managers,
security employees, and supervisors as defined
in the Act.
WE WILL forward to the Union the periodic
dues and initiation fees that we are required to
deduct from the wages of our employees who
have given their consent thereto, retroactive to
January 2, 1979.
WE WII1.L contribute insurance premiums on
behalf of our employees to the Amalgamated So-
cial Benefits Association retroactive to January
2. 1979.
WE WILL upon request. discuss with the
Union any grievances arising out of the applica-
tion or interpretation of the current collective-
bargaining agreement.
WE Wl.I. grant to our employees in the appro-
priate unit a 20-cent-an hour increase as pro-
vided for in the current collective-bargaining
agreement retroactive to March 1,. 1979.
HOWARD SIYI.E SO()PS, IN .