Meier & Frank Co., Inc.Download PDFNational Labor Relations Board - Board DecisionsMay 4, 195089 N.L.R.B. 1016 (N.L.R.B. 1950) Copy Citation -In the Matter of MEIER & FRANK COMPANY, INC. and RETAIL DEPARTMENT & VARIETY STORE EMPLOYEES UNION, LOCAL No. 1572, A.F.L. Case No. 36-CA-64.-Decided May 4, 1950 DECISION AND ORDER On December 30, 1949, Trial Examiner Thomas S. Wilson issued his Intermediate Report in the above-entitled proceedings, finding that the Respondent had engaged in and was engaging in certain unfair labor practices and recommending that it cease and desist therefrom and take certain affirmative action, as set forth in the copy of the Intermediate Report attached hereto. The Trial Examiner also found that the Respondent had not engaged in certain other unfair labor practices and recommended dismissal of those allegations of the complaint. Thereafter, both the Respondent and the General Counsel filed exceptions to the Intermediate Report and supporting briefs. The Board has reviewed the rulings of the Trial Examiner at the hearing and finds that no prejudicial error was committed. The -rulings are hereby affirmed.' The Board has considered the Interme- ,diate Report, the exceptions and briefs, and the entire record in this case and hereby adopts the findings, conclusions, and recommenda- tions of the Trial Examiner insofar as they are consistent with this Decision and Order. 1. We unanimously agree with the Trial Examiner that the Re- spondent's present no-solicitation rule is not reasonably related to the prevention of disruptions in the Respondent's business and we find therefore, that it is violative of Section 8 (a) (1) of the Act. How- -ever, unlike the Trial Examiner, in so finding we rely exclusively on ' The Respondent contends that the complaint should be dismissed insofar as it alleges interrogation by the Respondent of its employees regarding union activities and union affiliation , upon the ground that the charge did not specifically include this allegation of the complaint . We find no merit in this contention . There is ample authority to the effect that the contents of the charge do not limit the scope of the complaint and the complaint may properly be broader than the charge. A respondent is not prejudiced by the failure of the charge to include unfair labor practices , so long as the respondent had ample notice and opportunity to defend and the charges were actually litigated . In the instant case, the Respondent does not contend that either element was lacking . Cathey Lumber Com- pany, 86 NLRB 157; Columbia Pictures Corporation . Pt at.. 82 NLRB 568. 89 NLRB No. 114. 1016 METER & FRANK COMPANY, INC. 1017 the fact that the Respondent's no-solicitation rule as enunciated by it in its Daily Bulletin of April 9, 1946, and as detailed in the record, is too broad in its scope. It would prevent any solicitation of em- ployees during nonworking hours away from the selling floors of the store. The Board has previously decided that a department store may prohibit union solicitation on its selling floors, even during employees' off-duty time, because of the fact that department stores, unlike industrial establishments, are frequented by customers of the employer, and union solicitation on the selling floors is, therefore, likely to be disruptive of the employer's business 2 However, a rule like the Respondent's which apparently would prohibit union solicita- tion off the selling floors outside of working time, such as before and after work and during luncheon and rest periods, does not bear a rea- sonable relationship to efficient operation of the Respondent's business and therefore constitutes unwarranted interference with the em- ployees' rights under the Act.3 We find that the Respondent's rule is violative of the Act insofar as it prohibits union solicitation off the selling floors during nonworking hours .4 But a majority of the Board 5 does not. agree with the Trial Exam- iner that the Respondent's refusal to allow union organizers to make engagements with employees on company time and property "without more," was an unreasonable and discriminatory enforcement of its no-solicitation rule. The record shows that on several occasions a union organizer approached an employee on the selling floor and invited the employee to meet the organizer for lunch, for the express purpose of explaining the benefits of unionism. Apparently, on at least one occasion, such a conversation was interrupted by a store de- tective. The Trial Examiner apparently predicates his view that this aspect of the no-solicitation rule is illegal upon the ground that all employee could make a luncheon engagement with anyone other than a union organizer and that under the method adopted here, the organizer was merely effectuating the very results that the Respori- ent desired to accomplish through its no-solicitation rule. The Respondent, in its brief, contends that the Trial Examiner is being unrealistic in adopting this approach to the problem. We be- lieve there is merit in the Respondent's position. In the instances 2 Goldblatt Bros., Inc., 77 NLRB 1262: May Department Stores Company, 59 NLRB 976; J. L. Hudson Company, 67 NLRB 1.403; Marshall Field & Company, 34 NLRB 1. May Department Stores Company, footnote 2, supra. • The Trial Examiner recommended that the Respondent be required to cease and desist Prom enforcing any no-solicitation rule unless and until a new, definite, and explicit rule against solicitation is first promulgated and published. In view of our above finding, we do not adopt the Trial Examiner's recommendation, but shall order the Respondent to rescind immediately its rule against solicitation insofar as it prohibits union solicitation off the selling floors during nonworking hours. Chairman Herzog and Members Reynolds and Murdock. 1018 DECISIONS OF NATIONAL LABOR RELATIONS BOARD where union organizers attempted to make luncheon appointments .with employees, it cannot reasonably be said that such engagements were being arranged for "without more"; for on none of those occasions were the discussions merely limited to arranging for lunch. On the contrary, employees were requested to have lunch with union organ- izers for the express purpose of discussing possible membership in the union or the benefits of unionism. Contrary to our dissenting col- leagues, we believe it unrealistic to assume that contacts between organizers and employees would be limited to a simple invitation to lunch and an acceptance or refusal, rather than broadening into .extended discussions about the merits of the union which would neces- sarily interfere with store operations. Under the circumstances, the invitations to lunch, qualified as they were by the clear indication of their purpose, were tantamount to a form of solicitation. The Board has indicated that it will broadly construe the application of a no- solicitation rule to cover all types of union solicitation on the selling floor of a store, regardless of whether or not such solicitation takes place during nonworking hours. Accordingly, we believe that the no-solicitation rule was reasonably applicable to the form of solicita-. tion presented here.6 Moreover, in our opinion, an employer has the right to keep union organizers If the selling floors when, as here, .they appear upon the premises in performance of their duties as representa- tives. We find, therefore, that the Respondent's refusal to allow union organizers to make luncheon engagements under these circumstances was not violative of Section 8 (a) (1) of the Act. We find, as did the Trial Examiner, that the conduct of Detective Lamberty in trailing an organizer and an employee of the Respondent outside the Respondent's store was violative of Section 8 (a) (1). 2. We unanimously agree with the Trial Examiner that the Re- spondent interfered with, restrained, and coerced its employees in the exercise of the rights guaranteed in Section 7 of the Act and thus violated Section 8 (a) (1) of the Act, as amended, by the following statements and conduct : (a) The Cooper-Walker-Halleck waste receptacle episode; (b) Department Manager Anderson's interrogation of employees 7 with respect to their attendance at a union meeting and Anderson's order that they report immediately to her if they were approached by the Union or saw anyone they "thought was talking union"; 8 'The record supports the Trial Examiner 's statement that the Respondent permitted drives in behalf of the Community Chest , the Red Cross, and the March of Dimes. It does not support his further statement that the Respondent has permitted drives to be con- ducted for any other organizations from which the Union was discriminatorily excepted. Namely, Inez Elvira Slack , Gladys B . Annan , and Nora McNeil. Premier Worsted Mills, 85 NLRB ' 985 ; Standard -Coosa-Thatcher Company , 85 NLRB 1358. MEIER & FRANK COMPANY, INC. 1019 (c) Department Manager Fuller's order to one of the employees under her supervision that "if anyone talked to [her] about the union, no matter what they said about it," the employee was to report to Fuller immediately ; (d) Detective Hamner's inquiry of employee Johnston as to whether the organizers had been talking union to her and if they had convinced her.;9 (e) Department Manager, Hamner's interrogation of employee Maurer as to whether he had been giving names of employees to the Union and otherwise assisting it; also, Hamner's statement to Maurer that it might be a good policy "to keep his nose out of it"; (f) Department Manager Gil.baugh's interrogation of employee Walker as to how she felt about the Union and Gilbaugh's statement that the store management knew who had joined the Union and that it "would be too bad" for those who had joined; (g) The timing of Respondent's announcement on the change in hours and wages." 3. We unanimously agree with the Trial Examiner that the sys- tematic interrogations to which Respondent's employees were sub- jected by the Respondent's supervisors, who based their inquiries on matters contained in the questionnaires given to them by the Respond- ent, and the subsequent interviews of employees by the Respondent's superintendent violated Section 8 (a) (1) of the Act. In its brief, the Respondent contends that the inquiry in the questionnaire as to whether the particular employee has been solicited for membership in a union does not constitute an invasion by the Respondent of the employee's rights under the Act, because it is not an interrogation as to the employee's union activities, affiliations, or sympathies. We find no merit in this contention; for as the Trial Examiner points out, being solicited for membership in a union constitutes one of the original steps in an employee's union activities. It is as much an interference with the employee's rights and a violation of the Act for an employer to inquire about the first union activity of an employee as it is to inquire about any other. Inquiries of this character have an inherently restraining effect on employees, and we have consistently held them to be per se violations of the Act " In the Respondent's questionnaire, explanation of the employees' rights was restricted exclusively to their right to refrain from joining and assisting unions free from coercion and restraint by -unions, and made no mention of their corresponding rights to join and assist 9 Elwood M. Jenks, 81 NLRB 707, 708. 10 See Minnesota Mining J Manufacturing Company, 81 NLRB 557. 11 Jacksonville Motors , Inc., and Redmond Company, Inc ., 88 NLRB 181; Standard- 'Coosa-Thatcher Company, footnote 8, supra. 1020 DECISIONS OF NATIONAL LABOR RELATIONS BOARD unions if they so desired. In the Trial Examiner's opinion, when an employer thus assumes to explain to his employees their rights under this Act, it is incumbent upon such employer to explain to the em- ployees all their rights in a fair, complete, and unbiased manner. The Trial Examiner believes that a failure or refusal to do so leads to the conclusion that the employer is attempting to use certain portions of the Act as a method of coercing its employees into refraining from joining any union. We disagree. We have held that an employer is not required to remain neutral by not indicating his preference with respect to the unionization of his employees.12 As a corollary thereto, we believe that an employer is privileged under Section 8 (c) to advise his employees of some of their rights under this Act without informing them as to all their rights, so long as the employer's expressions contain no threat of reprisal or promise of benefit. We all specifically reject, therefore, the Trial Exaniner's conclusion in this matter. 4. We all find, as did the Trial Examiner, contrary to the conten- tion of the General Counsel, that the speech of the Respondent's president was privileged under Section 8 (c) of the Act, in that it contained no threat of reprisal or force or promise of benefits. ORDER Upon the entire record in the case, and pursuant to Section 10 (c) of the National Labor Relations Act, as amended, the National Labor Relations Board hereby orders that the Respondent, Meier & Frank Company, Inc., and its officers, agents, successors, and assigns, shall: 1. Cease and desist from : (a) Interrogating its employees concerning their union affiliations, activities, or sympathies, including the question of their solicitation for membership or any other aspect of their union activities; (b) In any other manner interfering with, restraining, or coercing its employees in the exercise of their right to self-organization, to form labor organizations, to join.or assist Retail Department & Variety Store Employees' Union, Local No. 1572, A. F. L., or any other labor organization, to bargain collectively through representatives of their own choosing, and to engage in concerted activities for the purpose of collective bargaining or other mutual aid or protection, and to refrain from any and all such activities, excepting to the extent that such right may be affected by an agreement requiring membership in a labor organization as a condition of employment, as authorized in Section 8 (a) (3) of the Act. 12 See Chance Fought Aircraft Division of United Aircraft Corporation, 85 NLRB 183; Louisville Title Agency, 85 NLRB 1344. MEIER & FRANK COMPANY, INC. 1021 2. Take the following affirmative action which the Board finds will effectuate the policies of the Act : (a) Rescind immediately its rule against solicitation insofar as it prohibits union solicitation off the selling floors during nonworking hours, and immediately publish notice of such rescission in its Daily Bulletin, and post notice of such rescission in conspicuous places throughout its department store, including all places where notices to employees are customarily posted ; (b) Publish a copy of the notice attached hereto and marked Appendix A in the Daily Bulletin and distribute it to the employees ; (c) Post at its retail department store in Portland, Oregon, copies of the notice annexed hereto marked Appendix A.13 Copies of said notice, to be furnished by the Regional Director for the Nineteenth Region, shall, after being duly signed by a representative of the Re- spondent, be posted by said Respondent immediately upon receipt thereof and maintained by it for a period of sixty (60) consecutive days thereafter, in conspicuous places throughout the store, including all places where notices to employees are customarily posted. Reason- able steps shall be taken by the Respondent to insure that said notices are not altered, defaced, or covered by any other material; (d) Notify the Regional Director for the Nineteenth Region in writing within ten (10) days from the date of this Order, what steps the Respondent has taken to comply herewith. IT IS FURTHER ORDERED that in all other respects the complaint here- in be, and it hereby is, dismissed. MEMBERS HOUSTON and STYLES, dissenting in part : While we agree with our colleagues that the Respondent's no- solicitation rule is too broad in scope and, therefore, violative of the Act, we cannot concur in their further finding that the Respondent did not discriminatorily enforce that rule when it refused to allow Organizer Maine to invite employees to lunch in order tQ discuss the Union. The underlying purpose of legalizing reasonable ho-solicitation rules, although they tend to circumscribe the rights of employees to engage. in union activities guaranteed by Section 7 of the Act, is to prevent unnecessary disruptions in an employer's business. Insofar as department stores are concerned, we have recognized that discus- sions concerning the.advantages and disadvantages of unionism on the selling floors, whether during working or nonworking hours of the employees involved, may have such a disruptive effect. In the instant case, however, we are not confronted with that situation. Here we 13 In the event that this Order is enforced by decree of a United States Court of Appeals, there shall be inserted in the notice , before the words , "A DECISION AND ORDER" the words, "A DECREE OF THE UNITED STATES COURT OF APPEALS ENFORCING." r 1022 DECISIONS OF NATIONAL LABOR RELATIONS BOARD have merely a routine conversation in the form of a luncheon invita- tion. The vice of the situation, according to our colleagues, appears to be that the conversation was had by a union organizer with an employee. However, luncheon invitations to employees by identified union organizers even when qualified by a "clear indication of their purpose," are not likely to disrupt the Respondent's business operations any more than would routine conversations between employees and ether individuals. Indeed, it is unrealistic to conclude that the mere :mention of the word "union" in the course of stating the purpose of a luncheon invitation transforms that conversation into a discussion of the advantages or disadvantages of unionism, and renders it tanta- mount to solicitation. The issue, therefore, is whether the Respondent may, under the guise of a no-solicitation rule, prevent contacts between its employees and union organizers, for the . purpose of making luncheon engage- ments and, at the same time, permit contacts between employees and other individuals for the same purpose. Such disparate treatment bears no reasonable relation to the efficient operation of the Respond- ent's business. Moreover, it is apparent that the only purpose, and the necessary result, of all such action is to prevent contact by union or- ganizers with employees solely because they are union organizers and thereby to interfere unreasonably with the rights guaranteed to em- ployees by Section 7 of the Act. For these reasons, as well as those mentioned by the Trial Examiner, we would find, as did the Trial Examiner, that the Respondent's refusal to allow union organizers to :make luncheon engagements with employees on the selling floors con- stituted a discriminatory application of the Respondent's no-solicita- tion rule and therefore violated Section 8 (a) (1) of the Act. APPENDIX A NOTICE TO ALL EMPLOYEES Pursuant to a Decision and Order of the National Labor Relations :Board, and in order to effectuate the policies of the National Labor Relations Act, we hereby notify our employees that : WE WILL NOT interrogate our employees concerning their union interest, sympathy, affiliation, or activities. AVE WILL NOT in any manner interfere with, restrain, or coerce our employees in the exercise of their right to self-organization, to form labor organizations, to join or assist RETAIL DEPARTMENT & VARIETY STORE EMPLOYEES UNION, LOCAL No. 1572, A. F. L ., or any other labor organization, to bargain collectively through rep- resentatives of their own choosing, and to engage in concerted MEIER &. FRANK COMPANY, INC. 1023 activities for the purposes of collective bargaining or other mutual aid or protection , and to refrain from any and all such activities. except to the extent that such right may be affected by an agree - ment requiring membership in a labor organization as a condition of employment , as authorized in Section 8 (a) (3) of the Act. MEIER & FRANK COMPANY, INC., Employer. By ----------------------------- (Representative ) .(Title) Dated -------------------- This notice must remain posted for 60 days from the date hereof, and must not be altered, defaced, or covered by any other material. INTERMEDIATE REPORT. Messrs. Patrick H. Walker and Hubert J. Merrick, for the General Counsel. Mr. Herbert B. Galton, of Portland, Oreg., for the Union. Mr. Abe Eugene Rosenberg, of Portland, Oreg., for the Respondent. STATEMENT OF THE CASE Upon a charge filed on March 29, 1949, by Retail Department & Variety Store Employees Union, Local No. 1572, A. F. L., herein called the Union, the General Counsel of the National Labor Relations Board, herein respectively called the, General Counsel' and the Board, by the Regional Director for the Nineteenth Region (Seattle, Washington), issued a complaint dated August 17, 1949, against Meier & Frank Company, Inc., herein called the Respondent, alleging that the. Respondent had engaged in, and was engaging in, unfair labor practices affecting commerce within the meaning of Section 8 (a) (1) and Section 2 (6) and (7) of the Labor Management Relations Act; 1947, 61 Stat. 136, herein called the Act. Copies of the complaint and charge, together with notice of hearing thereon, were duly served upon the Respondent and the Union. With respect to the unfair labor practices, the complaint in substance alleged. that the Respondent on and after February 7, 1949, interfered with, restrained,. and coerced its employees in the exercise of their right to self-organization, to- form, join, or assist labor organizations, to bargain collectively through repre- sentatives of their own choosing by various enumerated activities of Respondent. and its agents. On August 26, 1949, the Respondent filed its answer wherein it admitted certain. allegations of the complaint but denied the commission of any unfair labor prac- tices. In addition, this answer set forth certain affirmative defenses which will' be considered hereinafter. On the same date the Respondent filed a motion to dismiss the Board's complaint based upon an alleged variance between the charge and the complaint and upon the fact that the charge allegedly was not signed under oath. Pursuant to notice, a hearing was held from September 6 to September 15, 1949,. inclusive, at Portland, Oregon, before the undersigned, the Trial Examiner duly designated by the Chief Trial Examiner. The General Counsel, the Respondent, and the Union were represented by counsel. All participated in the hearing and ' This term specifically includes the attorneys for the General Counsel at the hearing. 1024 DECISIONS OF NATIONAL LABOR RELATIONS BOARD were afforded full opportunity to be heard, to examine and cross-examine wit- nesses, and to introduce evidence pertaining to the issues. At the opening of the hearing, counsel for the Respondent argued the motion to dismiss at length. The motion was denied.' Counsel for the Respondent thereupon filed motions to re- voke the Subpoenas and subpoenas duces tecum previously served upon Aaron M. Frank and J. D. Swenson, president and superintendent respectively of the Re- spondent. These motions were denied. During the course of the hearing at the request of counsel for the Respondent, a subpoena duces tecum was issued to Her- bert B. Galton, who thereupon filed a petition to revoke said subpoena. The undersigned allowed the petition and revoked the subpoena. At the close of the hearing, the Respondent renewed its motion to dismiss the complaint which is hereby denied. Extended oral argument was heard and thereafter briefs were received from all parties except the Union. Upon the entire record and from his observation of the witnesses, the under- signed makes the following : FINDINGS OF FACT 1. THE BTJSINESS OF THE RESPONDENT Meier & Frank Company, Inc., a corporation duly organized under and existing by virtue of the laws of the State of Oregon, operates a retail department store at Portland, Oregon. At said department store the Respondent annually sells merchandise valued in excess of $20,000,000, of which 50 percent has its origin in localities outside the State of Oregon. The Respondent admits that it is engaged in commerce within the meaning of Section 2 (6) and (7) of the Act, and the undersigned so finds. If. THE LABOR ORGANIZATION INVOLVED Retail Department & Variety Store Employees Union, Local No. 1572, A. F. L., is a labor organization within the meaning of Section 2 ( 5) of the Act. III. THE UNFAIR LABOR PRACTICES A. Interference, restraint, and coercion 1. Chronology of events The undersigned believes that a short chronology of events will be helpful to a correct understanding of the issues raised in the complaint which will be dis- cussed in greater detail subsequently. While the parties are in almost complete agreement as to the facts herein, they are in equally complete disagreement as to the conclusions which are to be drawn from these facts. In the latter part of January or early February 1949, the Union began, or renewed,' a campaign to organize the unorganized employees at the Respondent's 15-story retail department store covering a solid block in downtown Portland, where approximately 3,000 employees are employed in the Respondent's retail operations. Although the Respondent has a number of oral and written agree- ments with unions representing employees engaged in various craft occupations such as the printers, teamsters, warehousemen, painters, carpenters, elevator operators, et cetera, its selling personnel and the large majority of its nonselling 2 See Cathey Lumber Company, 86 NLRB 157 , 24 LRRM 1608 , and cases there cited. 3 From the testimony, it appears that the Union has been attempting for a number of years to organize the employees of the Respondent. MEIER & FRANK COMPANY, INC. 1025 personnel remain unorganized despite the fact that the Union apparently has made various and sundry attempts in the past to organize these employees. From the early part of 1949, paid organizers, both outsiders and employees, began soliciting the Respondent's employees to become members of the Union. Such solicitation occurred both on the selling-floor in the store during working hours and also away from the Respondent's premises during nonworking hours. The Respondent soon became aware of this activity and of the identities of the organizers. Store detectives commenced openly and notoriously to trail, or fol- low, these organizers whenever and wherever seen in the store and to prohibit or prevent all communication between these known organizers and employees in the store. The Respondent justifies this conduct on the basis of a store rule of long standing prohibiting any solicitation of store employees on store premises. On March 2, 1949, the Union published and distributed to the Respondent's employees, as they reported for work at the Alder Street entrance to the store, a leaflet or dodger urging them to join the Union. On the morning of Friday, March 4, the Union distributed a second organizational dodger entitled "First Friday Surprise," a title suggested by the celebrated and highly advertised "Friday Surprise Sales" conducted weekly by the Respondent. On this occa- sion, Building Superintendent Sam Cooper placed a large waste receptacle just inside the entrance to the store in which the union dodger could be deposited by the employees.' Subsequently the Union distributed other dodgers to the em- ployees outside the store without let or hindrance from the Respondent. On March 12, 1949, the daily house organ distributed by the Respondent to its employees entitled, the "Daily Bulletin," was distributed as usual to the em- ployees. This particular issue contained the one large printed word, "Loyalty!" surrounded by various types of script appearing to be excerpts from letters con- taining laudatory comments regarding the store and Aaron Frank, its president, and pledging the continued loyalty of the employees to both. This bulletin con- cluded with the large printed words "Thank You" followed by the signature "A. M. Frank." Also, on March 12, a second issue of the Daily Bulletin announced to the employees the institution on March 14, 1949, of the 5r/•_,-day workweek through- out the year except for the period from Thanksgiving to Christmas, in lieu of the Respondent's former practice of a 6-day workweek except during the months of July and August when the store closed on Saturdays at 1 p. in. This con- stituted a reduction of the employees' hours from 44 to 40 per week without any similar reduction in wages. It conformed the Respondent's hours of employ- ment to those of the other major Portland stores. -Prior to the opening of the store on the morning of March 24, Aaron Frank gave one of his rare speeches on the store premises to which all of the employees of the store had been "invited." A few days thereafter, all those employees who had been unable to accept this invitation were invited to hear a transcription of Frank's speech in the store during store hours. According to Frank, this speech was intended to answer "attacks" which had been made upon the Re- spondent by "outsiders." On March 29, 1949, the Union filed with the Board a charge that the Respondent had engaged in unfair labor practices. On or just before the middle of April 1949, the Respondent's department man- agers were instructed by the Respondent to, and did, interview each and every 4 This episode, as all the others cited. herein, will be treated more comprehensively hereinafter. 1026 DECISIONS OF NATIONAL LABOR RELATIONS BOARD employee in the store during working hours for the purpose, according to the Respondent, of informing the employees of their rights under the Act, of deter- mining whether the employees had been solicited for membership in the Union and if so, whether the Union had coerced or restrained the employees during that solicitation. In addition to this mass interrogation, there had been other sporadic instances of interrogation of individual employees by the supervisory and detec- tive force. 2. The complaint filed herein The complaint in this matter alleged that the Respondent had interfered with, restrained, and coerced its employees in their right to form, join, and assist labor organizations of their own choosing by : (1) Trailing organizers both in and outside the store and keeping under close observation and surveillance contacts between the union representatives and the employees; (2) interrogating employees regarding their union affiliations and activities; (3) decreasing the number of work hours per week and increasing the lunch hour; (4) a speech by Aaron Frank promising benefits.' These charges will now be considered in detail in the order above listed. 3. Trailing organizers ; observing their contacts with employees ; the "no solicitation" rule It has long been recognized that, in the operation of a: retail merchandising business such as that of the Respondent, it is necessary for efficient operation that the employees must not be subjected to unnecessary interruptions and dis- turbances which impede the employees in the discharge of their duty to sell merchandise to customers promptly, efficiently, and courteously. Therefore, department stores may promulgate and enforce reasonable rules prohibiting the solicitation of their employees for any purpose during working hours on the selling floor, provided that those rules are reasonably adapted to prevent the evils indicated and are uniformly enforced without discrimination. This rule is a compromise between the guarantee contained in the Act that the employees may freely engage in union activities without fear or coercion from any source and the right of the employer to conduct his business efficiently and profitably. In his testimony, the union representative candidly acknowledged the necessity for such a rule in the Respondent's business. Any such rule which purports to prevent any solicitation of employees during nonworking hours away from the selling floor of the store is not reasonably adapted to prevent disruptions in the efficient operation of the business and therefore illegal. Does the Respondent have such a "no solicitation" rule and, if so, what is the rule? The answer to the first part of the question is easy. The Respondent had. such a rule and it had been in effect for along time. The answer to the second half of the question is not so easy. Admittedly, the rule has never been pub- lished. Although the Respondent's training department is entrusted with the duty of informing new employees of all store rules on the employee's first day of employment, it was clear from the testimony of witnesses both for the General Counsel and for the Respondent that many of the employees, as well as super- visors, had never heard of any such rule. It was also obvious from the testimony of the Respondent's president, its superintendent, various supervisors, and mem- bers of its detective force who have the duty of enforcing the rule, that the rule was so indefinite in its application as to subject, person, time, place, and manner 5 This allegation was added by amendment during the hearing and over the objection of the Respondent. MEIER & FRANK COMPANY, INC. 1 027 that its enforcement depended upon the personal whim of the enforcing agent.. Aaron Frank's own explanation of the limitations of the rule was replete with guesses and conjectures. The most explicit enunciation of the rule appeared in the issue of the Daily Bulletin of April 9, 1946, where it stated : Our old established regulation of preventing solicitation of any kind in our store is well founded and should be strictly adhered to. This regu- lation is of vital importance to our customers and to our employees. The last announcement of the rule appeared as the lead article in the Daily Bulletin of March 3, 1949, the day following the distribution of the first union circular to the employees, and read as follows : BEWARE AND BE CAUTIOUS It has been reported that solicitors have been in various departments of the store, speaking to our co-workers, stating they have been sent by the store management or some other authorized party to solicit our employees.. These statements are False-Untrue-Beware of them-their annoyance. should be reported immediately to department managers or other executives Clearly, therefore, the rule was intended to apply to solicitation by the Union.. However, it was admitted that drives in behalf of the Community Chest,. the Red Cross, the March of Dimes, and for any other organizations or causes. which the store management saw fit to authorize were permitted in the store.. Respondent's management determined in each individual case who could solicit its employees, where, when, and how. The Union never requested permission of the Respondent to solicit the employees to become members of the Union on store premises. Superintendent Swenson's testimony at the hearing was unequivocal that such request, if made by the Union, would have been denied. Each of the Respondent's officials and enforcing agents gave individual and conflicting interpretations as to whether the rule applied during an employee's time off and rest periods, whether such employees could solicit others off duty, whether the rule was restricted to the selling floor, whether the public sidewalk used by Respondent as a loading depot was considered a part of the store, whether the rule applied in the employees' restaurant and rest room. Some of the interpretations were so broad as to exclude solicitation of one employee by another employee during their off-duty time away from the selling floor. Such a rule would be too broad a prohibition and therefore illegal under the Act. The Respondentts "no solicitation" rule, therefore, is so indefinite and is insufficiently explicit in its limitations as to subject, person, time, place, and manner as not to be understandable to either management, employees, or or- ganizations desiring to solicit. Because of these defects, the rule can obviously be enforced by the Respondent in such a discriminatory manner as to nullify the rights of the employees to engage in union activities guaranteed by the laws of the United States. For the protection of all parties concerned, the undersigned will, therefore, recommend that the Respondent be required, if it desires in the future to enforce such a "no solicitation" rule, to promulgate and publish a reasonable, definite, and explicit rule against such solicitation O Interestingly enough, there appeared at the bottom of the same issue of the Daily Bulletin , an announcement of the appointment of additional floor captains soliciting mem- bership in the Red Cross. 889227-51-vol. 89-66 1028 DECISIONS OF NATIONAL LABOR RELATIONS BOARD which will be reasonably adapted to prevent unnecessary disruptions in the efficiency of its store operations reasonably to be anticipated from such solici- tation. The present rule is too indefinite to be enforced fairly and impartially depending as it does upon individual interpretations. The Board and the courts have long held that, after a fair and reasonable no-solicitation rule has been adopted by a retail merchant, that rule must be enforced uniformly and in a nondiscriminatory manner so that the guarantees of the Act that employees may freely engage in union activities may not be nullified by discriminatory enforcement by the employer. How was the Respondent's rule enforced in the instant case? As soon as the union organizational drive began, organizers began soliciting the employees during their working hours on the selling floor as well as during .their non- working hours away from the store premises. The identities of the organizers were soon known to the Respondent. As soon as a known organizer was seen in the store, the detective force, composed of three women, followed or trailed the organizer and crowded into any conversation the organizer might attempt to hold with an employee, thus preventing any and all conversations by an organizer with an employee. This trailing was open and, notorious and was designed to, and did, prevent conversations between organizers and employees. The detective force had orders from the superintendent to prevent any and all solicitation for union memberships in the store. For some months the detec- tive force was so busy following organizers around the store that they had little, if any, time for their usual police activities. In early February 1949, this game became so complicated that, on one occasion, a union organizer was being tailed around the store by a store detec- tive who, in her turn was being followed by the union business agent who, in his turn, was being shadowed by the supervisor of the store detectives. This adult game of "cops and robbers" finally ended when the business agent stopped around one corner and there confronted the supervisor who then told the busi- ness agent that the Respondent would not permit union organizers to contact employees or to solicit membership for the Union in the store. Similar state- ments were made by various store detectives to'other organizers. In order to maintain efficient service and to prevent interruptions in serving .customers, it is obviously a reasonable requirement that organizers should not solicit memberships in the Union from employees on the selling floor of the store with the usual concomitant explanations and arguments which frequently ensue from such a solicitation. Such prohibition is reasonably adapted to prevent dis- ruptions in efficient handling of sales and service to customers. Although there is little direct evidence on the question in the instant matter, it appears that the union organizers, no doubt, were actually interfering with the conduct of the Respondent's business on the selling floor during some of their solicitations and, therefore, despite the lack of an explicit, definite rule against solicitation, the undersigned is not convinced that, under the circumstances present here, the Respondent committed an unfair labor practice in tailing the organizers around the store. This precaution may well have been necessitated by the actions of the union organizers themselves. However, on the other hand, in the case of Organizer Jeanie Maine, Detective Lamberty attempted to prevent her from even speaking to an employee on the selling floor in the store even though Lamberty herself testified, regarding the only thin,,; she had ever heard Maine say in the store, as follows : "I heard her say to [employees] that she wanted them to go to lunch with her and that she wanted to tell them about the Union and they [she] would be able to explain MEIER & FRANK COMPANY, INC. 1029 it to them if they would go with her to lunch." No doubt Lamberty justified this type of interference on the Respondent's instruction that employees were not to be "contacted in the store by organizers." However, it is apparent from Lamberty's own testimony that Maine was engaged in making an engagement for lunch and was not engaged in solicitation. The store has no rule preventing its employees from making luncheon engagements with anyone-except organ- izers-while they are on the selling floor during working hours. A rule which prevents a union organizer, merely because he is an organizer, from making an engagement with an employee on company time and property, even though the purpose of that engagement may be to explain and solicit union membership, is unreasonable and not designed to prevent the evils that no- solicitation rule is supposed to eliminate especially where, as here, the employees are permitted to make luncheon engagements, to receive personal mail and phone calls at the store. The undersigned cannot conceive that the Respondent would make any objection if a customer were to make a luncheon engagement with an employee while that employee was at work. Furthermore, it appears that the organizer in this instance was attempting to secure exactly the same results which the Respondent desired through the no-solicitation rule by meeting the employee away from his work and on his own time to explain to the employee the benefits of unionism and to solicit his membership therein. Surely an invitation to an employee to go to lunch, even by a union organizer for the purpose of soliciting the membership of that employee, does not constitute the type of activity which can reasonably be banned for the reason that such an invitation will not interfere with or interrupt Respondent's business. The enforcement of this rule in this manner proves that the rule was being enforced by Respondent not for legitimate business purposes but, on the contrary, in an effort to isolate the employees from union organizers solely because they were union organizers. The undersigned, therefore, finds that the Respondent's refusal to allow union organizers to make engagements, without more, with employees on com- pany time and property unduly restricts'the right of the employees to freely form, join, and assist labor organizations as guaranteed by the Act, is unreason- fable in that it bears no relationship to the business problems the "no solicitation" rule is designed to eradicate and the enforcement of that rule in such fashion against labor organizers, merely because they are organizers, discriminates against the rights of the employees to engage in union activities. By such dis- criminatory enforcement the Respondent interfered with, restrained, and coerced its employees in the exercise of the rights guaranteed to them by Section 7 of the Act. Another matter must be mentioned here. This matter is one of the very few -disputed facts in the present case. Two of Respondent's employees, then being paid to help the Union in its organizing campaign, testified that on one occasion Detective Lamberty trailed an organizer and an employee of the Respondent outside the Respondent's store as the organizer and the employee walked together on the public streets to lunch at a public restaurant outside the store. Although Lamberty denied that she had ever tailed this particular organizer, or any other, outside the store premises and although, in the opinion of the undersigned, Lamberty was a witness worthy of credence, the undersigned credits the testi- mony as stated above of the two organizer-employees who also appeared to be very credible witnesses. The undersigned rejects Lamberty's denial for the reason that the tailing of persons outside the Respondent's store was a daily routine occurrence in the line of her regular duties and thus easily forgotten 1030 DECISIONS OF NATIONAL LABOR RELATIONS BOARD while, to the employee-organizers, the discovery of such surveillance was' both. unique and novel and thus memorable. Of course, such surveillance of union organizers and of employees beyond store premises is a definite interference with the employees' guaranteed right to. engage in union activity and organization and thus a violation of Section 8 (a) (1) of the Act. The undersigned so finds. There is still one more partially disputed matter to be discussed under this- topic. On March 4, 1949, the Union handed to the employees, as they entered the store for work that morning, its second organizational leaflet entitled "First Friday Surprise." In the morning all employees enter at one entrance to the store consisting of some six separate outer doors and, after passing through a second similar set of inner doors, walk a few steps to where they receive their copy of the store's Daily Bulletin and then proceed to their individual assign- ments throughout the building. On this particular Friday morning Building- Superintendent Cooper, after knowledge of the Union's organizing attempt, placed a large receptacle for waste in such a position that the employees had to walk past it on their way to secure the Daily Bulletin and thence to their assignments. For a considerable period of time Cooper stood by this receptacle urging the employees to discard the Union's pamphlet in the receptacle. There was credible testimony which the undersigned credits that Cooper urged the employees to, throw "that trash" (referring to the leaflet) away and not to read it. Such! statements only expressed Cooper's actions in words. On the other hand Cooper testified that his only interest was in preventing- the building from becoming littered up with discarded union leaflets thus causing extra work for the janitors under his supervision. His testimony indicated that he only spoke to those employees who were about to throw the union bulletin on the floor to request them to discard the leaflet in the receptacle rather than on the floor. However, after the years of daily training which the employees had undergone in receiving the Daily Bulletin and discarding it elsewhere than, upon the floor, the undersigned was not impressed with Cooper's explanation,, especially as he was the only person who noted any undue amount of debris upon the floor. As. Ruby Walker, an employee whom Cooper knew personally, although the friendship between the two appeared a bit strained at least on Walker's part at the time of the hearing, went past Cooper with a union pamphlet in,her hand, Cooper said to her : "Drop them in here. They are all trash. Throw them away." When Walker walked past the receptacle still retaining her union circular, Cooper called after her : "So you won't do it, eh, Red?" ° About 3 p. in. that same day Walker was called to Department Manager Halleck's office where Halleck, her supervisor, for the first and only time in Walker's 4 years of employment, criticized her work, her failure to be in store dress 8 and for visiting too much with other employees. This incident in Halleck's office was too fortuitous to have been accidental. It was an attempt to discourage Walker in her interesti in the Union. Although Cooper never again appeared on the days the Union distributed leaflets, the waste receptacle was generally present as a reminder to the employees. The Respondent made no other attempt to interfere with the Union's distribution of leaflets. The undersigned believes, and therefore finds, that this whole Cooper- Walker-Halleck waste receptacle episode was intended by the Respondent to, T Cooper testified that he did not "recall " seeing Walker that day. "Red " was Walker's usual nickname around the store. 8 Her failure was due to her doctor 's orders and was subsequently excused. MEIER & FRANK COMPANY, INC. 1031 interfere with the employees' rights to engage in union activities and to coerce the employees into abandoning those rights in violation of Section 8 (a) (1) of the Act. 4. Interrogation of employees a. Isolated interrogations Throughout this whole period of organizing by the Union there were a few isolated instances of individual interrogation of employees by the Respondent's supervisors and detectives. Sometime early in February 1949, Department Manager Anderson' called various employees working under her supervision for personal interviews. With employee Slack, Anderson commenced by slating, as a fact, that Slack had at- tended a union meeting the night before10 When Slack denied that fact, Anderson inquired "are you sure?" and then stated that there were union organizers in the store and that, if Slack were contacted, she was immediately to inform Anderson. Anderson had very similar interviews with two other employees under her supervision except for the fact that with one, Anderson asked if the employee had attended the meeting and with the other, Anderson stated that she knew the employee had not attended. These employees were then ordered to report immediately to Anderson if they were approached by the Union or saw anyone they "thought was talking union." 11 There was no limitation as to time or place in this order. In early April, Department Manager Fuller 12 also spoke to one of the employees under her supervision in the stockroom and ordered that "if anyone talked to [her] about the Union, no matter what they said about it," the employee was to report to Fuller immediately. These interviews conducted by both Anderson and Fuller invaded the employees' right of privacy by the inquiries regarding the employees' union membership, sympathy, and activities, a subject matter in which the Respondent had no legitimate interest, especially as the inquiries were not restricted to activities occurring on the store premises, and were de- signed to create among the employees a fear of even being solicited by the Union and of engaging in conversations about the Union off the Respondent' s selling floor, a definite violation of Section 7 of the Act. On another occasion, Detective Hammer, while engaged in a telephone con- versation, noticed two known organizers speaking to employee Johnston in the Respondent's Book Department. As soon as Hamner had completed her tele- phone conversation which occurred after the organizers had departed, Hamner inquired of Johnston, who was selecting a book for her supervisor, if the organizers had been talking Union to her and if they had convinced her. In this instance, Hamner was inquiring about the employees' union membership .and her interest in union organization, which is a definite violation of the guarantees contained in the Act. ' .° Of the Children ' s and Infants ' Department. 10 As a matter of fact, Slack had been at the Union ' s office the previous evening with two other employees. As they left the union office that evening, they noted the presence of another of Respondent 's employees who, to them , appeared to be keeping the office building under surveillance. However, the testimony at the hearing indicated that, while this employee had been standing outside the building , she had been merely waiting for a street car. No surveillance was proved in this instance. 11 These findings are made upon the credible testimony of the three employees involved which remained largely undenied by Anderson , whose denial of knowledge of any such union "meeting" was not impressive. 12 Of the Lower Level Girl 's Wear Department. 1032 DECISIONS OF NATIONAL LABOR RELATIONS BOARD In early February 1949, Department Manager Hamner 13 asked employee Maurer if he had been giving names of employees to the Union and otherwise assisting it.. When Maurer admitted his assistance to the Union, Hamner told him that it might be good policy. "to keep his nose out of it." The interrogation in this instance was directed to the employees' activities on behalf of a union. It was. also intended to be coercive and prevent further union activities. On both counts it is violative of Section 8 (a) (1) of the Act 14 Early in March, Department Manager Gilbaugh asked employee Walker how she felt about the Union. After Walker answered that it did not matter to her,. Gilbaugh informed Walker that the store management knew who had joined the Union and that it "would be too bad" for those who had joined. The coercion of this is too clear to require any discussion.16 Even with a legitimate, explicit "no solicitation" rule in effect, the inquiries made of the employees by the Respondent's supervisors and detectives, in this section of the report, cannot be justified. They are all in. violation of Section 8 (a) (1) of the Act. Even so, standing alone, the undersigned might be inclined to dismiss these violations if they had been mere sporadic and isolated instances. But they were not. b. Systematic interrogations The Union on March 20, 1949, filed its unfair labor practice charge against the Respondent. Thereafter and while the organizing campaign was still in- full swing, the Respondent prepared and issued to each of its department managers the follow- ing instruction sheet : INSTRUCTIONS [You are instructed to read to each of your employees Individually all of the following, except the portions entitled, "Instructions"] "The National Labor Relations Act is a federal law now in effect." "Section 7 of said law provides : employees shall 'have the RIGHT TO RE- FRAIN from' joining or assisting unions." "Section 8 (b) of said Act provides: 'It shall be an unfair labor practice for a labor organization or its agents to restrain or coerce employees in the exercise of the rights guaranteed in section 7."' "This Law as stated gives any employee the absolute right NOT to join a union." "Any threats or intimidation or coercion practiced upon an employee by a union or its representatives is a violation of that right." "In order to determine whether there has been any violation of your rights I want to ask you a few questions." "1. Have you been solicited for membership in a union, either personally, by phone, or letter?" 13 Not to be confused with Detective Hamner. 14 At approximately this time Maurer began receiving $15 per week from the Union for assisting it. There is no showing that Respondent knew this fact at the time of the above episode. Even if it had such knowledge, it would not constitute a defense to the violation. 15 Respondent introduced evidence that Gilbaugh was on a buying trip at the time of the hearing and thus unavailable as a witness. Respondent made no request to find means to place Gilbaugh's testimony in the record. In view of this and of the undersigned's esti- mate of Walker as a witness worthy of credence, the undersigned credits the testimony of Walker as found above. MEIER & FRANK COMPANY, INC. 1033 [INSTRUCTION : If any employee answers, "No," make the following statement.] "If you should be so approached and there is any intimidation, restraint or coercion practiced upon you by the union or its agents in any way whatso- ever it is requested that you report the same to me immediately." [INSTRUCTION : If any employee answers, "Yes," ask the following question.) "2. Was any intimidation, restraint, or coercion practiced upon you in any way by the union or its agent?" "3. Did the union or its agents inform you- "(a) That if you did not join NOW the union in the future would not take your application for membership, " (b) Or, that you would have to pay a higher initiation fee, "(c) Or, that you could not get a job in some other store, or similar words of like import and effect?" [INSTRUCTION : if such statements have been made by the union or its agents immediately report to Mr. Swenson the employee's name, together with a brief statement as to what the employee said, signed by you.] NOTE : Portion entitled, "Instruction" in boxes, not to be read-that's for YOU only. NOTE : Do not read question 2 or 3 if the answer to question 1 is "NO." NOTE: Do not hand or deliver this to any employee. READ it as instructed only. NOTE: Return this to me with your comments after you have carried out the instructions. c Division Head 16 Thereafter, each Department Manager interviewed each of the employees under his supervision in accordance with the above instructions.l7 The Respondent contends vigorously that it was within its rights in sub- jecting the individual employees to this interview and interrogation. The under- signed cannot agree. First, the Respondent argues that, in the first half of the interview at least, it was merely informing the employees of their rights under the Act. The under- signed cannot agree. The Respondent restricted its explanation of the "em- ployees' rights" exclusively to their right to refrain from joining and assisting unions free from coercion and restraint by unions. The Respondent omitted to make any mention of the right of the employees to form, join, and assist labor organizations of their own choosing free from any interference, restraint, and coercion by the employer, a right which, even since 1947, has been numerically, at least, more important than the right which the Respondent stressed. When an employer, voluntarily and for purposes of his own, assumes to explain to his 16 Emphasis as in the original. 27 Those employees who were already represented by a union In collective bargaining with the Respondent were not subjected to this inquiry. 1034 DECISIONS OF NATIONAL LABOR RELATIONS BOARD employees "their rights" under this Act, it is incumbent upon such employer to explain to the employees all their rights, even those against the employer, in a fair, complete, and unbiased manner. A failure, or refusal, to do so leads to the conclusion that the employer is attempting to use the negative and the 8 (b) portions of the Act, setting forth the unfair labor practices by unions, as a means or method of interfering with the correlative right of the employees to form, join, and assist labor organizations without interference from the employer himself and as a method of coercing its employees into refraining from joining any union. Especially is this so where, as in the instant case, the employer attempts to set himself up in the eyes of his employees as the guardian of their freedom and rights. In the present case the employer explained the reason for interrogating the employees by stating that he was asking those questions "in order to determine whether there has been any violation of your [the employee's] rights." There is nothing in the Act nor in its legislative history which indicates that Congress intended, by adding the sections dealing with unfair labor practices by unions, to make the employer the guardian of the rights of the employees nor to give him a weapon with which to coerce his employees into refraining from union activities. As to the bona fides of the Respondent's pretext for asking these questions of the employees, it is significant that the Respondent also forgot to inform the employees of their own individual right to file charges with the Board in order to protect themselves from coercion by the union-or from co- ercion by the Respondent. The Respondent next argues that, in the second half of the interview, it was merely attempting to ascertain whether or not the Union had actually com- mitted unfair labor practices so that, if it had, the Respondent could file charges against the Union. No doubt that is partially true. No such charges, in fact, were filed by the Respondent. As indicated above there is nothing in the Act nor its legislative history indicating any intention that employers were to be- n come the guardians of their employees' rights under the Act. Such unfair labor practices by the Union, even if proved, would constitute no defense to the unfair labor practices charged against this Respondent. Even in labor relations two wrongs do not make a right. The crux of the second part of the interview appears in question No. 1 asked of each employee individually by his supervisor : "Have you been solicited for membership in a union, either personally, by phone or by letter?" 18 Although the Respondent candidly admits that it would have been an unfair labor practice for it to have inquired of its employees if they had become mem- bers of the Union, it contends that it did not violate this rule because it only required if the employee had been solicited for membership and further argues that, by this question concerning solicitation, it was not inquiring about the union activity of the employee because only the solicitor is engaged in union activity at the time of the solicitation and not the person solicited. The undersigned cannot agree with this hyper-technical argument. Being solicited for member- ship in a union is one of the original steps of an employee in union activities and is, therefore, protected by the right of privacy created by the Act preventing inquiry in that field by the employer. It is as much an interference with the employees' right of privacy and a violation of the Act for an employer to inquire about the first union activity of an employee as it is to inquire about any other. The activities and sympathies of an employee in the field of labor organization is none of the employer's business. 18 It is to be noted that this question has no limitation as to time or place MEIER & FRANK COMPANY, INC . 1035 Although the case does not involve the exact question asked here, the Board in the recent case of Standard-Coosa-Thatcher Company, 85 NLRB 1358, set forth the law and rationale applicable in interrogation cases as follows : . . . We again affirm the position the Board has consistently taken that Section S (a) (1) of the Act is violated when an employer interrogates his employees concerning any aspect of union activity. . . . The express purpose of the Act is to protect the "exercise by workers of full freedom of association, self organization, and designation of represent- atives of their own choosing for the purpose of negotiating the terms and conditions of their employment or other mutual. aid or protection." Con- sonant with this objective, Section 7 of the Act declares that employees have the "right" to engage in organization and association, and Section 8 (a) (1) makes it an unfair labor practice for employers to "interfere with, restrain, or coerce" employees in the exercise of that right. The language and the legislative history of Section 8 (a) (1) shows that Congress intended the terms "interfere," "restrain," and "coerce" to have separate and distinct meanings. In banning "interference" Congress clearly meant to proscribe any employer activity which would tend to limit em- ployees in the exercise of their statutory rights. Inherent in the very nature of the rights protected by Section 7 is the concomitant right of pri- vacy in their enjoyment-"full freedom" from employer intermeddling, in- trusion, or even knowledge. Like the Trial Examiner, we believe that interrogation of employees as to union matters constitutes, at the very least, interference with the rights protected by Section 7. Whenever an employer directly or indirectly at- tempts to secure information concerning the manner in which or the extent to which his employees have chosen to engage in union organization or other concerted activity, he invades an area guaranteed to be exclusively the business and concern of his employees. This Board, with the approval of the courts, has long recognized this right to privacy in condemning as unlawful interference such indirect attempts by an employer to secure information about the union activities of employees as resort to espionage or surveillance. When espionage is successfully con- cealed, "restraint" and "coercion" may perhaps be absent, but the con- duct is nevertheless vulnerable on the ground of "interference," if on no other. So it is in the case of interrogation. The employer may not legally seek information on those subjects which the statute makes the sole concern of his employees. Interrogation by an employer not only invades the employee's privacy and thus constitutes interference with his enjoyment of the rights guar- anteed to him by the Act. Its effect on the questioned employee, like that of open surveillance of union activity, is to "restrain" or to "coerce" the employee in the exercise of those rights. The employee who is interrogated concerning matters which are his sole concern is reasonably led to believe that his employer not only wants information on the nature and extent of his union interests and activities but also contemplates some form of re- prisal once the information is obtained. The finger which espionage might merely direct to him is actually pointed at him by the inquiry from his em- ployer. He fears that a refusal to answer or a truthful answer may cost him his job. He is also in effect warned that any contemplated union ac- tivity must be abandoned, or he will risk loss of his job. Weighing these 1036 DECISIONS OF NATIONAL LABOR RELATIONS BOARD "subtle imponderables," the Board early characterized direct interrogation as "a particularly flagrant form of intimidation of individual employees." Our experience demonstrates that the fear of subsequent discrimination which interrogation instills in the minds of employees is reasonable and well-. founded. The cases in which interrogated employees have been discharged or otherwise discriminated against on the basis of information obtained through interrogation are numerous. These cases demonstrate conclusively -that, by and large, employers who engage in this practice are not motivated by idle curiosity, but rather by a desire to rid themselves of union adherents. In prohibiting interrogation, therefore, we are not only preserving the em- ployees' right to privacy in their union affairs; we are not only removing .a subtle but effective psychological restraint on employees' concerted activ- ities ; but we are also seeking to prevent the commission of the further unfair labor practice of discrimination by condemning one of the first steps leading to such discrimination. * * * * * * * Finally, we again reject the contention that interrogation is protected by Section S (c) of the amended Act. Interrogation cannot be considered an expression of "views, arguments, or opinion," within the meaning of that provision. Moreover, the purpose of that section is to permit an employer to express his. views, not to license him to extract those of his employees. The employer is explicitly accorded a right to "influence" his employees by verbal appeals to reason, but not to fear.19 Through the question asked in the instant case of the employees individually 20 the Respondent learned about one aspect of the employee's union activity, it learned the extent of the Union's organizing effort, it further learned the extent to which its employees were choosing to engage in organizational activities, and it learned the identity of many of its employees who had joined or were interested in joining the Union. The question as framed in the instruction sheet is in violation of the Act. During the argument the Respondent made much of the fact that its super- visors, according to the evidence, carefully restricted themselves to the instruc- tion sheet and asked no questions beyond those contained on the sheet. The undersigned cannot agree. The instruction sheet was designed to secure more informtion that a mere "yes" or "no" answer to the questions posed. It is note- worthy that in two places in the instructions the supervisor is requested : First, to report to the management the name of the employee solicited "together with a brief statement as to what the employee said," and second, to return the ques- tionnaire to management "with your comments" after completion of the inquiry. The obvious intention of the questionnaire, therefore, was to determine more facts than the were answers to the questions propounded. It is also noteworthy. that nowhere on the questionnaire is the employee instructed that he or she may answer the questions in the affirmative or in the negative only. Anderson was the only supervisor who had conducted the inquiries examined at the hearing. Her examination was most revealing. She reported the names of three of her employees but could only definitely remember the answers of one of such employees. However, she could well remember the attitude of the employees during the interview. Therefore, she reported three individuals who 19 The copious citations of authority are omitted. 10 The Respondent' s emphasis , not the undersigned's. MEIER & FRANK COMPANY, INC. 1037 :answered the questions in an "antagonistic or slurring fashion." One of these employees gave her the "antagonistic" answer that she knew all about the Union and had worked for it previously. Another was reported, even though Anderson could not recall her answers to the questions, because, in Anderson's own words, "you could always tell in the attitude of a person's voice, the way they answer and little Jeanie has a very definite expression that we all know when she is antagonized and I could tell from her answer that she had." Even assuming that the supervisors had restrained their natural curiosity and restricted themselves to the answer given, the evidence proves that Superintendent 'Swenson did not. He sent for the girls reported by Anderson following the inter- rogation and, in his interview, attempted to expand upon the matters reported by the supervisor and to reduce them to affidavit form. One employee interrogated by Swenson asked if she had to answer his questions. His answer was "No, - it is a free country." He then proceeded to determine the name of the organizer involved by the clever method of having the employee deny that the organizer was various individuals whom Swenson named until he arrived at the correct individual person. In all, Swenson admitted interviewing 10 or 12 employees as a result of the mass interrogation. From the "comments" etc. requested in the questionnaire and from Swenson's .subsequent interview with those employees reported to him by the supervisors, it is clear that the object was to provide the Respondent with as much informa- tion regarding the activities of the Union and of the individual employees engaged therein, as well as the extent of the organization and the interest of the individual employees, as it could secure. The calling of individuals to Swenson's office for subsequent interviews after the original interrogation is of itself coercion in violation of Section 8 (a) (1) of the Act. By means of these systematic interviews and interrogations on the mass scale by the supervisors and by the Respondent's superintendent, as well as by the spo- radic individual interrogations found previously herein, the Respondent inter- fered with and restrained its employees in the exercise of the rights guaranteed to them in Section 7 of the Act and coerced said employees into refraining from the exercise of those rights in violation of Section S (a) (1) of the Act. 5. Decrease in working hours Prior to 1947 the employees of all the major Portland stores including the .Respondent worked a 0-day week. In that year these stores agreed upon and placed in effect a plan whereby the stores closed at 1 p. m. on Saturdays during the months of July and August thus granting the employees a 51 -day workweek during the summer months. After further consultations in 1948 the stores could not agree. The Respondent retained the 1947 plan. announcing its decision so to do on May 19, 1948. Two days later all the other major stores announced that they had installed a 51/2-day workweek throughout the year with the exception of the period between Thanks- giving and Christmas but would remain open on Saturday afternoons during the summer. No reduction in pay was made. Soon after the May 21 announcement a number of the Respondent's employees urged that the Respondent adopt the same plan as the employees preferred the shorter workweek and as they did not like losing the Saturday afternoon sales during the summer to the other stores. While these requests continued through- out the period, they increased in volume, according to Frank, after 1949 began. However, Superintendent Swenson determined by September or October that Respondent was going to be forced for business reasons to follow the plan of the 1038 DECISIONS OF NATIONAL LABOR RELATIONS BOARD other stores as Respondent could not afford to lose the summer Saturday after- noon sales. He desired to make such a determination and announcement by January 1 but apparently could not interest the other executives as no decision or announcement was made. Then the Union's organizing drive began in earnest with the usual cry for higher wages and shorter hours. 0 "Very, very shortly," according to the testimony, before March 12, 1949, the Respondent decided to adopt the year around 51/2-day workweek in conformity with the plan adopted by the other major stores some 9 months previously. Through the medium of the Daily Bulletin the Respondent announced this deci- sion to its employees on March 12, 1949. The change meant a reduction from 44 to 40 hours per week for the employees and, as there was no corresponding reduction in take-home pay, a consequent hourly wage increase. This announce- ment over Frank's name concluded with the following statement : Over the years it has been gratifying to have the confidence of so many employees who have personally spoken to me and made known matters pertaining to the store and the employees' welfare. I have always endeav- ored to carry out the ideals of the founders to make this store the best place in which to work as well as to shop, and I pledge to you my continuing best. efforts, asking only your loyalty and cooperation. [Emphasis supplied.] The regular issue of the Daily Bulletin for that same day was unique. In its; usual format the space generally reserved for news items on this occasion con- sisted of the one large printed word "Loyalty !" in the center surrounded by numerous pledges of loyalty to, and laudatory comments regarding, Frank and, the store printed in varying types of script appearing to be excerpts from original letters received from employees. At the bottom margin appeared in large type the words "Thank you" and the facsimile signature "A. M. Frank." The above changes in hours did not apply to those employees engaged in. craft occupations working under either an oral or written labor agreement be- tween the Respondent and the employees' union. In those cases the Respond- ent chose to honor the agreement according to its letter and spirit. The dis- parity of Respondent's treatment between the organized and unorganized groups is apparent. In fact Frank himself referred to it inferentially in his speech when he assured the employees: "I would never force you to join a union. Nor will we ever grant any advantages to members of the union that are not given to non-members." In his speech of March 24, 1949, while commenting at length upon the benefits which the Respondent had conferred upon its employees with a concluding: remark after each such as "Will an outsider do that for you?" Frank took occasion again to refer to the shortened hours as follows : "When we ascertained for various reasons a substantial number of employees preferred a short day out of six, we met that too." The rhetorical question posed after describing this benefit was "Is this important?" Respondent argues that this change in hours was forced upon the Respondent so that it could compete with the other stores on Saturday afternoons. This argument fails to conform to the facts. Swenson had been unable to create any interest in the problem with his fellow executives on its purely business angles. Interest in the problem arose only after the union organizing campaign became intensified with the usual union arguments of higher wages and shorter hours. Very, very shortly thereafter the Respondent made this unilateral grant of shorter hours and higher wages. The suppositions reasonable employees reading the last paragraph of the hour announcement, the "Loyalty" Daily Bulletin to- MEIER & FRANK COMPANY, INC. 1039 gether with Frank's comments, would reach the reasonable conclusion that the Respondent had granted the shorter hours to the unorganized employees as a reward for their having remained unorganized and as proof that the employees would be economically better off by placing their "confidence and trust in the Respondent and Frank" than by "placing their future in the hands of paid organizers." " Although the undersigned realizes that the Respondent would ultimately have had to put itself in a competitive position, he is convinced and, therefore, finds that the decision and announcement on hours and wages were made at the par- ticular time as part of Respondent's effort to prevent the unionization of its employees and to interfere with, restrain, and coerce its employees in the exer- cise of the rights guaranteed them by the Act and in violation of Section 8 (a) (1) of the Act. 6. Frank's speech of March 24 A few days before March 24, Frank decided that it was of sufficient importance for him to "answer" the "attacks" being made upon "us" by "outsiders" for him to make one of his infrequent addresses to the assembled "store family." When this "coy" language, as it was referred to by counsel during the hearing, is translated it means that Frank considered it to be of sufficient importance for him to answer the arguments being advanced to the employees by the Union for him to address the store employees. These speeches are reserved for only the most important matters, according to Frank. After the speech had been prepared for delivery by Frank in consultation with his advisers, the superintendent's office instructed the control switchboard operator to notify each supervisor that Frank would speak to the assembled employees the following morning at 9 a. in. and for the supervisors to so advise the employees. This instruction was obeyed and the employees informed. Frank spoke to the assembled employees in the store from approximately 9 a. in, to shortly after the store opened at 9: 35 a. in. The invitees were present on their own time and were not paid for the time they were in attendance. A few days thereafter, those employees who were unable, or had failed, to hear the speech on March 24 were notified that a recording of the speech would be played in the store the following day before work. Most, if not all, of the employees heard either the original speech or its replay. No employee received pay for his attendance. In his speech, Frank first identified himself and the employees as a "store family" and then stated : "Now, there have been some attacks made upon this family in recent days, and I consider it my duty as head of this family to have a heart to heart talk with you so that we can understand whether these attacks are justified or not." After keynoting his speech with the statement that the Respondent's success could be summed up in the one word, "loyalty," Frank pro- ceeded to enumerate the benefits resulting to the employees from that loyalty. He cited the "record" of what the Respondent had done in employee advance- ment, employee security, employee conveniences, employee welfare funds, em- ployee good fellowship, store hours,' employee wages, and community loyalty, 21 Paraphrased from Frank's speech of March 24. 22 On the question of reduction of hours, Frank had the following to say : "Store hours- hours, over the years, have gradually been reduced to meet the changing need of the times. Meier & Frank Company met this need and desire responsively as it arose. We pioneered for Saturday closing two years ago in the summer months, and you will remember , practi- cally went on it alone last year. When we ascertained for various reasons a substantial number of employees preferred a short day out of six , we met that too." 1040 DECISIONS OF NATIONAL LABOR RELATIONS BOARD ending this citation of the record in each instance with a rhetorical question such as "Will an outsider do that for you?" Frank then stated: "We have in the past, and will continue to do everything possible because what is good for- you is good for us, and there are no two ways about that. Our success is your success and vice versa. They say to you, `United we stand.' :3 You know that and we know that. We have been united for almost 100 years. Their object is to divide us." Frank then expounded upon his claim that the Union was. interested in "creating a barrier, a spirit of antagonism, a spirit of distrust between you and me." Then Frank came to the crux of his plea when he stated: "I will. never shirk my responsibilities to you. That is why I am before you today. To put it directly-bluntly, that is exactly what I am asking, a vote of confidence. The decision is yours, if you please. (Applause) You must make up your minds as to whether you want to place your future in the hands of paid organizers-[who]. then treat you not as Meier & Frank Company have done but as a regimented group-a dues-paying number on the books of the Union, not as individuals." Frank turned his attention to what he called the "standard arguments" " which he assumed the Union had used "to shove" the employees into, membership and proceeded to state what he referred to as "the true facts, the real facts and the honest facts" to demonstrate the Union's arguments to be either illegal or untrue. Frank really ended with this solicitation : "And I want also- and this is a selfish point-I want to feel that I have your confidence and your trust. I want your expressions of confidence in me, and I want you to feel that all I have said indicates beyond any doubt that Meier & Frank Company is not only the type of store in which you like to work,'but that your management is- the type of management that you want. So, if you don't want the Union, don't be embarrassed to say, `No' when you are asked to sign a card. No one can. compel you to sign." In short, Frank expressed his opinion as the head of the store family that the employees should remain individuals loyal to the store and himself asp members of the store family and should not become a regimented number in the Union. He became a protagonist for the antiunion forces in the campaign to. decide whether the employees should or should not become members of the Union. He solicited the employees not to join the Union. This solicitation was on store- property. Section 8 (c) of the Act permits the expressing of any views, arguments, or opinion if such expressions contain "no threat of reprisal or force or promise of benefit." Although the whole theme and tenor of the speech was that the employees would do better to place their faith and reliance in him than to, put their future into the hands of paid organizers, the undersigned finds no, threat of reprisal or force or promise of benefits expressed in the speech. There- fore, the speech is protected under the above-mentioned section of the Act. The General Counsel contends, however, that irrespective of the contents of the speech, the fact that the employees were compelled by the employer to listen to a speech on union matters on their own time and on the Respondent's property- is of itself an unfair labor practice. The General Counsel admits that the Board has ruled against his contention, when employees are compelled to listen on company time'but contends that the rule is different when employees are compelled to listen on their own time. The 23 A reference to a union leaflet. 24 So far as the record shows these "standard arguments" were the figment of the- Respondent's imagination. Subsequently each employee of the store was asked if the- Union bad used these arguments upon him. MEIER & FRANK COMPANY, INC. 1041 undersigned finds it unnecessary to decide that legal question on the facts, presented here. Were the employees here "compelled" to attend Frank's speech? The Re- spondent refers to the notification regarding the speech to the employees as an "invitation." The General Counsel appears to consider that notification in the nature of a command performance, a requirement or an order coming from the employer. The undersigned is of the opinion that whether this notification was an invitation implying a freedom of choice to accept or reject on the part of the invitee or as an order or command performance without such freedom of choice is a question of fact to be proved by evidence unless the undersigned may infer or presume a force or compulsion preventing a choice from the fact that the notification came from an employer. Today, especially in view of the obvious congressional intent expressed in the amendment to the Policy Section of the National Labor Relations (Wagner) Act deleting the phrase regarding the "inequality of bargaining power between employees-and employers," the undersigned feels that such an inference or presumption against an employer because he is an employer would not be justified and that the matter is subject to proof in each individual case. The testimony in the instant case on that phase is meager. One supervisor,, in telling an employee of the speech, stated : "Everybody goes to Mr. Frank's speeches." Perhaps everybody goes because of Mr. Frank's forensic ability,. his wit, his personality, or some other reason not related to compulsion. Another supervisor changed an employee's half-day off, contrary to the. employee's wishes, so that she would be sure to hear the transcription. Although this definitely indicates a command performance type of invitation, it is the only such evidence in the record. In a store with 3,000 employees, the under- signed would not feel justified in finding compulsion on that evidence alone. Perhaps all but one attended voluntarily. The undersigned, therefore, finds that the Respondent committed no unfair labor practice in the method of giving the speech of March 24, 1949, or in the contents thereof. Iv. THE EFFECT OF UNFAIR LABOR PRACTICES UPON COMMERCE The activities of the Respondent set forth in Section III, above, occurring in. connection with the operations of the Respondent's business described in See- tion 1, above, have a close, intimate, and substantial relation to trade, traffic,, and commerce among the several States and tend to lead to labor disputes. burdening and obstructing commerce and the free flow of commerce. V. THE REMEDY Having found that the Respondent has engaged in, and is engaging in, unfair labor practices, it will be recommended that it cease and desist therefrom and take certain affirmative action designed to effectuate the policies of the Act. It having been found that the Respondent's rule against solicitation is so indefinite as to subject , person, time , place, and manner as to be unworkable and fraught with the possibility of discriminatory treatment between various organizations engaged in solicitation, the undersigned will recommend that, if the Respondent desires to enforce a "no solicitation" rule in the future, it promulgate and publish a clear, definite,.and explicit rule so that the Respondent, the employees, and the various organizations may clearly and definitely know their rights thereunder. This iule is to be reasonably adapted to prevent. 1042 DECISIONS OF NATIONAL LABOR RELATIONS BOARD interruptions or disturbances affecting the efficient operations of the Respondent's store. It having also been found that the Respondent has enforced this "no solicita- tion" rule in a discriminatory fashion in the past so as to interfere with the union activities of the employees, the undersigned will recommend that the Respondent cease and desist therefrom and, in the future, enforce any new rule against solicitation in.a uniform and nondiscriminatory fashion. Upon the basis of the above findings of fact, and upon the entire record in the case, the undersigned makes the following: CONCLUSIONS OF LAW 1. Retail Department & Variety Store Employees Union, Local No. 1572, A. F. L. is a labor organization within the meaning of Section 2 (5) of the Act. 2. By interfering with, restraining, and coercing its employees in the exercise of the rights guaranteed in Section 7 of the Act, the Respondent has engaged in and is engaging in unfair labor practices within the meaning of Section 8 (a) (1) of the Act. 3. The aforesaid unfair labor practices are unfair labor practices affecting ,commerce within the meaning of Section 2 (6) and (7) of the Act. 4. The Respondent has not engaged in unfair labor practices by trailing union organizers throughout its store. RECOMMENDATIONS Upon the basis of the above findings of fact and conclusions of law, it is recommended that the Respondent, Meier & Frank Company, Inc., Portland, Oregon, its officers, agents, successors, and assigns shall : 1. Cease and desist from : (a) Interrogating the employees concerning their union affiliation, activities, or sympathies including the question of their solicitation for membership or any other aspect of their union activities ; (b) Enforcing any "no solicitation" rule unless and until a new, definite, and explicit nondiscriminatory rule against solicitation reasonably adapted to pre- vent unnecessary interruptions and disruptions of the store's efficiency on the selling floor is first promulgated and published ; (c) In any other manner interfering with, restraining, or coercing its em- ployees in the exercise of their right to self-organization, to form labor organiza- tions, or to join or assist Retail Department & Variety Store Employees Union, Local No. 1572, A. F. L., or any other labor organization, to bargain collectively through representatives of their own choosing, and to engage in concerted activities for the purpose of collective bargaining or other mutual aid or protection. . 2. Take the following affirmative action which it is found will- effectuate the policies of the Act : (a) Publish the notice to all employees attached hereto, and marked Appendix A, in the Daily Bulletin and distribute to the employees ; (b) Post at its retail department store in Portland, Oregon, copies of the notice attached hereto marked Appendix A. Copies of said notice, to be fur- nished by the Regional Director for.the Nineteenth Region, shall, after being signed by the Respondent's representative, be posted by the Respondent and main- tained by it for sixty (60) consecutive days thereafter in conspicuous places, in- i 1EIER & FRANK COMPANY, INC. 1043 eluding all places where notices to employees are customarily 'posted. Reason- able steps shall be taken by the Respondent to insure that said notices are not altered, defaced, or covered by any other material; (c) Notify the Regional Director for the Nineteenth Region in writing, within twenty (20) days from the date of service of this Intermediate Report, what steps the Respondent has taken to comply herewith. It is further recommended that the complaint herein be dismissed' insofar as it alleges that the Respondent committed unfair labor practices by trailing union organizers inside the store and by an address by Aaron Frank promising benefits. As provided in Section 203.46 of the Rules and Regulations of the National Labor Relations Board, any party may, within twenty (20) days from the date of service of the order transferring the case to the Board, pursuant to Section 203.45 of said Rules and Regulations, file with the Board, Washington 25, D. C., an original and six copies of a statement in writing setting forth such exceptions to the Intermediate Report or to any other part of the record or proceeding (in- cluding rulings upon all motions or objections) as he relies upon, together with the original and six copies of a brief in support thereof ; and any party may within the same period, file an original and six copies of a brief in support of the Intermediate Report. Immediately upon the filing of such statement of exceptions and/or briefs, the party filing the same shall serve a copy thereof upon each of the other parties. Statements of exceptions and briefs shall designate by precise citation the portions of the record relied upon and shall be legibly printed or mimeographed, and if mimeographed shall be double spaced. Proof of service on the other parties of all papers filed with the Board shall be promptly made as required by Section 203.85. As further provided in said Section 203.46 should any party desire permission to argue orally before the Board, request therefor must be made in writing to the Board within ten (10) days from the date of service of the order transferring the case to the Board. In the event no Statement of Exceptions is filed as provided by the aforesaid Rules and Regulations, the findings, conclusions, recommendations, and recom- mended order herein contained shall, as provided in Section 203.48 of said Rules and Regulations, be adopted by the Board and become its findings, conclusions, and order, and all objections thereto shall be deemed waived for all purposes. Dated at Washington, D. C., this 30th day of December 1949. TIIoMAS S. WILSON, Trial Examiner. APPENDIX A NOTICE TO ALL EMPLOYEES Pursuant to the recommendations of a Trial Examiner of the National Labor Relations Board, and in order to effectuate the policies of the National Labor Relations Act, we hereby notify our employees that: WE WILL NOT interrogate our employees concerning their union interest, sympathy, affiliation, or activities. WE WILL NOT in any manner interfere with, restrain, or coerce our em- ployees in the exercise of their right to self-organization, to form labor or- ganizations, to join or assist RETAIL DEPARTMENT & VARIETY STORE EM- PLOYEES UNION, LOCAL No. 1572, A. F. L., or any other labor organization, to bargain collectively through representatives of their own choosing, and to engage in concerted activities for the purpose of collective bargaining or 889227-51-vol. 89-67 1044 DECISIONS OF NATIONAL LABOR RELATIONS BOARD other mutual aid or protection . All our employees are free to become or remain members of this union , or any other labor organization. METER & FRANK COMPANY, INC., Employer. Dated ---------------------------- By ------------------------ (Representative) (Title) This notice must remain .posted for 60 days from the date hereof, and must not be altered, defaced, or covered by any other material. Copy with citationCopy as parenthetical citation