New York Paper Cutters', Etc., Local Union No. 119Download PDFNational Labor Relations Board - Board DecisionsSep 25, 1964148 N.L.R.B. 1350 (N.L.R.B. 1964) Copy Citation 1350 DECISIONS OF NATIONAL LABOR RELATIONS BOARD secutive days thereafter , in conspicuous places, including all places where notices to employees are customarily posted . Reasonable steps shall be taken by the Respond- ent to insure that said notices are not altered , defaced, or covered by any other material. (d) Notify the Regional Director for Region 3, in writing, within 20 days from, the date of the service of this Decision , what steps it has taken to comply herewith 5' 'In the event that this Recommended Order be adopted by the Board , this provision shall be modified to read: "Notify said Regional Director , In writing, within 10 days from, the date of this Order , what steps the Respondent has taken to comply herewith " APPENDIX NOTICE TO ALL EMPLOYEES Pursuant to the Recommended Order of a Trial Examiner of the National Labor Relations Board , and in order to conduct our labor relations in compliance with, the National Labor Relations Act, we notify you that: WE WILL NOT unlawfully discourage you from being members of Local Union No. 445 , International Brotherhood of Teamsters , Chauffeurs, Warehousemen, and Helpers of America , or any other union. WE WILL NOT recognize or deal with the Over-the-Road Truck Drivers Grievance Committee as the representative of any of our drivers. WE WILL NOT maintain or give any effect to that part of Section 3 of our profit-sharing, plan which excludes from participation any employee represented' by a "recognized bargaining agent." WE WILL NOT threaten employees with reprisals or promise or grant benefits to discourage membership in any union. WE WILL NOT violate any of the rights you have under the National Labor Relations Act to join a union of your own choice or not to engage in union activities. WE WILL offer reinstatement to George Roe, and make him and James Al- lison , Michael Cusato, Henry Maier , and Henry Miller whole for any loss of pay caused by our discrimination against them. CHANNEL MASTER CORPORATION, Employer. Dated------------------- By-------------------------------------------(Representative ) ( Title) NoTE.-We will notify George Roe , if presently serving in the Armed Forces of the United States of his right to full reinstatement upon application in accord- ance with the Selective Service Act and the Universal Military Training and Serv- ice Act of 1948 , as amended , after discharge from the Armed Forces. • This notice must remain posted for 60 consecutive days from the date of posting, and must not be altered , defaced , or covered by any other material. Employees may communicate directly with the Board 's Regional Office, 120 Delaware Avenue , Buffalo, New York , Telephone No. TI. 6-1782 , if they have any questions concerning this notice or compliance with its provisions. New York Paper Cutters ' & Bookbinders ' Local Union No. 119, International , Brotherhood of Bookbinders , AFL-CIO and Automatic Sealing Service , Inc. Case No. 2-CC-791. Septem- ber 25,.1961 DECISION AND ORDER' On September 16, 1963, Trial Examiner Jolm P. von Rohr issued his Decision in the above-entitled proceeding, finding that the Re- spondent had engaged in and was engaging in certain unfair labor 148 NLRB'No. 132. ' NEW YORK PAPER CUTTERS', ETC., LOCAL UNION 119 1351 practices and recommending that it cease and desist therefrom and take certain affirmative action, as set forth in the attached Trial Examiner 's Decision. Thereafter, the Respondent filed exceptions to the Trial Examiner's Decision and a supporting brief, and the General Counsel filed a brief in answer to Respondent's exceptions. The Board has reviewed the rulings of the Trial Examiner made at the hearing and finds that no prejudicial error Was committed. The rulings are hereby affirmed. The Board has considered the Trial Examiner's Decision, the exceptions and briefs, and the entire record in this case, and hereby adopts the findings, conclusions, and recom- mendations of the Trial Examiner only to the - extent consistent herewith. In a related proceeding involving the identical conduct,' the Board resolved the underlying jurisdictional dispute and awarded the work in controversy to the employees of Automatic Sealing Service, Inc., the Charging Party in this case. In these circumstances, we deem it unnecessary to decide whether, as found by the Trial Examiner, Re- spondent's conduct also violates Section'8(b) (4) (B) of the Act. Ac- cordingly, we shall dismiss the complaint. [The Board dismissed the complaint.] MEMBER FANNING, dissenting : In an earlier case 2 involving these parties and this dispute I found that the issue was not cognizable under Sections 10(k) and 8(b) (4) (D).3 I was therefore of the opinion that the notice of hear- ing in that case should be quashed, leaving the dispute to be resolved by "the application of other provisions of the statute." The instant case arises under Section 8(b) (4) (B) and, in my opinion, is properly before the Board for determination. The facts with respect to this dispute are fully and adequately set forth in the Board's previous decision., Respondent Union represents a multiemployer unit of bindery employees. It is alleged to have en- gaged in unlawful secondary action to secure for its members the work of operating certain automatic sealing machines on the premises of the bindery employers. These machines are the property of Auto- matic Sealing Service,' Inc., the Charging Party. For more than 25 years the operation of these machines in the New York area has "See New York Paper Cutters' & Bookbinders' Local Union No. 119, International Brotherhood of Bookbinders, AFL-CIO, et al. (Automatic Sealing Service, Inc.), 146 NLRB 435, Member Fanning dissenting. a New York Paper Cutters' & Bookbinders ' Local Union No. .119, International Brother- hood of Bookbinders , AFL-CIO, et al., (Automatic Sealing Service, Inc.),,eupra. a See my dissenting opinions in Local 5, United Association of Journeymen and Appren- tices of the Plumbing and Pipefitting Industry of the United States and Canada, AFL-CIO ((Arthur Venneri Company), 137 NLRB 828;'145 NLRB 1586. , 1352 DECISIONS OF NATIONAL LABOR RELATIONS BOARD been the responsibility of employees employed by Automatic. The Union contends that its action is primary on the ground that its con- tract with the bindery employers covers the work in question. Ac- cordingly, the Union argues, it may lawfully strike or threaten to strike the contracting employers to assure the performance of unit work by unit employees. As I indicated in my previous opinion, I believe the Union has correctly framed the issue in this case. The question posed is a difficult one. After serious consideration I have reached a conclusion adverse to the Union's position. While the operation of these sealing machines obviously-is related to bindery work, Respondent's contract does not specifically include such work, and for more than a quarter of a century employees represented by Respondent have not performed the work now claimed to be included in the contract. Indeed, members of Respondent admittedly are not fully, qualified to operate such machines and would require an un- determined period of training to become proficient in these duties. Even assuming that the necessary skills could be acquired within- a reasonable period of time, the machines are the property of Auto- matic Sealing rather than the employers under contract to Respond- ent. There is no indication in the record that Automatic Sealing is prepared to permit employees, other than its own trained technicians, to be responsible for the operation of these machines. In those in- stances in which the contracting employers yielded to the Union's demands, members of Respondent were assigned merely to "cover" the work with employees of Automatic. Under these circumstances I find that the work of operating automatic sealing machines is not at the present time unit work for which the Respondent Union could lawfully strike. Accordingly, I would affirm the Trial Examiner's conclusion that Respondent's threats and strike inducements were violative of Section 8 (b) (4) (i) and (ii) (B). MEMBER LEEDOM, dissenting : Like Member Fanning and unlike my colleagues of the majority, I would affirm the Trial Examiner's findings that the Respondent violated Section 8(b) (4) (i) and (ii) (B) as alleged in the complaint. The facts are not in dispute. The Respondent, Local 119, herein also called the Union, represents employees of several binderies in the New York City area under contract with the League, an employer's association. In addition to the usual bindery operations, these binderies seal for mailing purposes pamphlets for customers. In the latter operation, they use an automatic sealing machine developed by the Charging Party, Automatic Sealing Service, Inc. In the New York City area, Automatic has retained ownership and possession of the machine, and it cannot be purchased or leased. Prior to March 15, 1963, on orders involving more than 50,000 pamphlets, NEW YORK PAPER CUTTERS', ETC., LOCAL UNION 119 1353 Automatic sent one of its machines to the requesting bindery together -with an employee of Automatic to operate it; on orders of less than 50,000 pamphlets, the binderies sent the pamphlets. to Automatic's plant to be done by Automatic's employees, who were not represented by any union.4 Thus, Automatic's employees had performed the seal- ing work for more than 25 years prior to the events in this case. On March 15, 1963, when Claps, the Respondent's shop chairman at the Charlton Company, a member of the League, found Lopez, an employee of Automatic working in the Charlton plant, Claps asked Lopez whether he was a union man. Upon receiving a negative an- swer, Claps told Lopez that he could not work in a union shop. Claps called Hellman, president of the Respondent, on the telephone and reported that a nonunion man was operating the Automatic seal- ing machine and asked "how come" this was permitted. Acting on Hellman's instructions, Claps notified Charlton that "a 119 man must operate the equipment if the equipment is to run." Apparently on the advice of the League "to go along" with the Union until the League could act, Charlton placed one of its employees, a journeyman member of Local 119, on the sealing machine. Lopez was permitted to remain to instruct the Charlton employee in the operation of the machine, but the machine was operated by the Charlton employee. In effect, Charlton had to pay for the services of two employees where only one was needed. Either on March 15 or 16, 1963, Hellman -telephoned Klein, an official of Automatic, and told Klein that, thereafter, although Auto- matic could send one of its employees along with the machine, the Union would require that any sealing machine sent by Automatic to any Local 119 shop be manned by a Local 119 journeyman and that the Union would not permit the bindery shops to send sealing work to Automatic's plant. Thereafter, the Respondent communicated this policy to its stewards, its members, and to the bindery employers, and threatened "to pull" bindery employees if any bindery employer did not comply, as more fully set forth in the Trial Examiner's Decision. The Respondent mainly contended that the object of its conduct was to protect the employment opportunities of the employees represented by it under its contract and, accordingly, the dispute here involved no more than a primary dispute with the bindery employers. Rejecting this defense, the Trial Examiner found that the Union's primary dispute was with Automatic. He reasoned that the primary dispute was not with the bindery employers because they did not have control over the assignment of employees to operate the automatic 4 In 1957, the Respondent sought through Automatic to organize Automatic 's employees without success. 1354 DECISIONS OF NATIONAL LABOR RELATIONS BOARD sealing machine inasmuch as Automatic retained exclusive control over the use and operation of its sealing machines. The Trial . Exx aminer recognized that, when confronted with the Union's demands; the bindery employers adopted the temporary expedient, apparently with the tacit assent of Automatic, of permitting a union member to operate the machine, but the Trial Examiner pointed out that in each instance an employee of Automatic was also assigned to the machine and it was required that he be paid for his services. The Trial Ex- aminer therefore concluded that this "fictional and costly" arrange- ment did not alter the fact that the control of this work assignment remained in the hands of Automatic, and that the bindery employers were neutral or secondary employers. He found further that the Union did not reasonably believe that the bindery employees were entitled to the work in question under the contract because they had never had the work in the past many years and because the contract, while specifying in great detail the operations covered, contained no reference at all to the operation of the sealing machine.' With these findings and conclusions of the Trial Examiner, I am in, agreement. In addition, further indicating that the primary dispute was with Automatic, there is undenied testimony, not men- tioned by the Trial Examiner, that the Respondent unsuccessfully sought in 1957 to organize Automatic's employees and that, in March 1963, the Respondent warned Automatic that it would not be allowed "to get away with this any longer," i.e., working in its own plant with unorganized employees on jobs sent over by union shops or working in union shops without the featherbedding arrangement. As the Union admittedly was interested in preserving work for its members, and in view of the way in which this dispute erupted in March 1963, namely, by the union representative's objection to a "nonunion man" working in Charlton's plant, it is clear that the Union would not have made these demands had Automatic's emp] oyees been union mem- bers. 'Thus, it is fair to conclude, as I do, that an object of the Union conduct was organization of Automatic's employees. My colleagues in the majority do not disagree with the Trial Ex- aminer's substantive findings and conclusions. They find it un- necessary to determine the merits of the case, dismissing the complaint on the sole ground that the Board has "found that a jurisdictional dispute existed and awarded the work in controversy to the employees of Automatic . . . ." However, the instant case presents the ques- tion of whether the Respondent engaged in unlawful secondary boy- 5 The Board has since , in a 10 ( k) proceeding , awarded the work to the employees of Automatic mainly because the Union's contract with the bindery employers did not assign the work to the bindery employees and in view of the practice of many years standing for the.Automatic's employees to'do the work See New York Paper Cutters' & Bookbinders' Local Union No 119, etc (Automatic Sealing Service , Inc ), supra. NEW YORK PAPER CUTTERS',-ETC., LOCAL' UNION 119 1355 ccott activity, and manifestly, this question was not disposed of by deciding in the 10(k) proceeding that the Respondent did not have a valid jurisdictional claim to the disputed work. Accordingly, as the Union's conduct tended to induce bindery em- ployees to withhold their services and included threats to bindery ,employers of strike action, all with an object of forcing the bindery em- ployers to cease ^ doing business with Automatic, like the Trial Ex- aminer, I would sustain the 8(b) (4) (i) and (ii) (B) complaint. TRIAL EXAMINER'S DECISION STATEMENT OF THE CASE Upon a charge duly filed on April 2, 1963 , the General Counsel for the National Labor Relations Board , for the Regional Director for Region 2 (New York, New York), issued a complaint on April 26, 1963, against New York Paper Cutters' & Bookbinders' Local Union No. 119 , International Brotherhood of Bookbinders, AFL- CIO, herein called the Respondent or the Union , alleging that it had engaged in cer- tain unfair labor practices affecting commerce within the meaning of Section 8(,b) (4) (i ) and (ii ) (B) of the National Labor Relations Act, as amended , 61 Stat. 136, herein called the Act . The Respondent 's answer denies the allegations of unlawful conduct alleged in the complaint. Pursuant to notice , a hearing was held in the New York , New York , on June, 27 and 28, 1963, before Trial Examiner John P . von Rohr . All parties were represented by counsel and were afforded opportunity to adduce evidence, to examine and cross- examine witnesses , and to file briefs. Briefs were subsequently filed by the General Counsel and by the Respondent and they have been carefully considered. Upon the entire record in this case , and from my observation of the witnesses, I hereby make the following: FINDINGS OF FACT AND CONCLUSIONS 1. THE EMPLOYERS The jurisdiction of the Board is not contested. Automatic Sealing Service , Inc., maintains its office and place of business in New York, New York, where it is engaged ,in performing sealing and related services in the graphic arts industry . It annually performs sealing services valued at ap- proximately $ 10,000 for persons located outside of the State of New York, and it annually ,performs sealing services valued in excess of $50,000 for persons located in the State of New York, which persons annually ship products valued in excess of $50,000 to points and places located outside of the State of New York. Printers League ' Section , Printing Industries of Metropolitan New York, Inc., is a New York membership corporation with its principal office and place of business located in New York, New York, where it functions as a trade association composed of approximately 200 employer -members, and is engaged in performing, inter alia, the function of negotiating and executing collective -bargaining agreements with various labor organizations , including the Respondent , and administering such collective -bargaining agreements on behalf of its employer -members. During the last calendar year , the employer-members in the course and conduct of their business operations performed services valued in excess of $50,000 of which services valued in excess of $50,000 were performed in and for various enterprises located in States other than the StaWin which they are located.' I find that Automatic Sealing Service, Inc., and the employer-members of the League are engaged in commerce , and in industries affecting commerce , within the meaning of Section 2(6) and (7) and Section 8 (b)(4)(i) and (ii)(B) of the Act and that it effectuates the policies of the Act to assert jurisdiction herein. 1 With respect to the alleged violations herein , the complaint specifically names the following employer -members of the Printers League Section- Trade Bindery , Fisher Book- binding Co , Inc , Standard Bookbinding Corporation , Sendor Bindery, Inc , and Bindrite Bindery, Inc At the hearing , the General Counsel amended the complaint to include the following named employers , all of whom are also members of the Printing League Section: S, M Charlton Company, Inc, McKenzie Service , Inc, and L & M Bindery, Inc. 1356 DECISIONS OF NATIONAL LABOR RELATIONS BOARD II. THE LABOR ORGANIZATION INVOLVED New York Paper Cutters' & Bookbinders' Local Union No. 119, International Brotherhood of Bookbinders, AFL-CIO, is a labor organization within the meaning of Section 2(5) of the Act. III. THE UNFAIR LABOR PRACTICES A. The facts The bindery employers involved in this case, all of whom are members of the Printers League Section, an organization whose function includes collective bargain- ing with labor organizations, are engaged in the binding and finishing of printed matter, principally books, pamphlets, catalogues, and the like. All employees of these employers who are engaged in the various binding operations are represented by Local 119, the Respondent herein, and each such employer is bound by a contract executed between the League and Local 119. In addition to performing the binding operations, the bindery employers are fre- quently called upon by their customers to have pamphlets and booklets sealed for mailing purposes. This function is accomplished by an automatic sealing machine which affixes a wafer seal to prevent the pamphlets from opening. Since the binderies themselves do not own or possess any automatic sealing machines, they call upon Automatic Sealing Service, Inc., the Charging Party herein, to provide this service.2 This service is furnished through two methods, viz, either the binders send the pamphlets to Automatic Sealing's plant for sealing or Automatic Sealing will send an automatic sealing machine to the binding company and this function will be performed in the latter's plant? In either case the operation of the automatic sealing machine is performed by an Automatic Sealing Service employee. Thus, when an automatic sealing machine is sent out of the plant it is accompanied by an employee of Automatic Sealing who will operate it at the bindery. It is undisputed that Automatic Sealing has performed the above-described sealing service for binderies, including the employer-members of the League, for approximately the last 25 years. Its employees are not represented by any labor organization. We turn now to the events which gave rise to the dispute upon which the alleged unfair labor practices herein are predicated. On March 15, 1963, Automatic Sealing commenced a job of 200,000 pieces at F. M. Charlton Company, Inc., the latter a bindery and a member of the Printers League. One Benigno Lopez, an employee of Automatic Sealing, was sent to operate the sealing machine at Charlton's plant. After Lopez had run about 500 pieces, John Claps, an employee of Charlton and shop steward of the plant for Respondent Local 119, stopped ,at the sealing machine and asked Lopez if he were a union man. Lopez replied that he was not. Claps thereupon told Lopez that he could not work in a union shop 4 and he thereupon left the area to telephone the Respondent Union's president, Joseph Hellman Claps told Hellman that a nonunion man was operating the automatic sealing machine and asked "how come" this was permitted.5 Hellman testified that his response was, "I told John Claps to inform his employer at Charlton Bindery that that machine would require a journeyman operator from that point on." Informed by Claps that "a 119 man must operate the equipment if the equipment is to run," 6 officials of Charlton capitulated to the Respondent Union's demand and placed one of its employees, a journeyman member of Local 119, 2 The evidence reflects that with one exception (Young Bindery), Automatic Sealing Service, Inc, is the only company in the Metropolitan New York area which owns auto- matic sealing machines and that it is the only company in this area able to perform this service It is apparent that Young Bindery maintains the sealing machine only for its own use and that it does not perform this service for others. 3 Generally the sealing machines are sent to the binderies' plants when larger jobs are involved h 'The credited testimony of Frieda Margolis, personnel manager of Charlton, who was present when the incident occurred. Claps' denial of having told Lopez that he could not work is not credited. Lopez, whose English speaking capacity was limited, testified that Claps told him, "I have to stop the machine because we are not from the union." s Claps and Hellman testified that on this occasion Claps also mentioned that Charlton's employees, members of Local 119, were "losing time " Credited testimony of Frieda Margolis. NEW YORK PAPER CUTTERS', ETC., LOCAL UNION 119 1357 on the sealing machine? In the meantime, Lopez called his employer and advised his what had occurred. When he returned to the machine he instructed the Charlton employee in its operation. The job took 5 days to finish. Lopez was permitted to remain with the machine and offer instructions as to its operations but the operation of the machine was performed by the Charlton employee. The end result was that Charlton in effect had to pay for the services of two employees- Lopez and its own employee-whereas only one employee was needed to operate the machine .8 On March 15 or 16, which was either on the day of the above-described Charlton incident or the day after, President Hellman telephoned Philip Klein, an officer of Automatic Sealing Service, Inc. It is undisputed that in this conversation Hell- man told Klein that from that day forward (1) the Respondent Union would "require" that any sealing machines sent by the Company to Local 119 shops be manned by a Local 119 journeyman, and that (2) the Respondent would "not permit" work to be farmed out, i e., as Hellman also testified, that "we would also restrict our shops from sending work to his place." 9 Also shortly after the Charlton incident, Arthur Grossman, vice president of the Respondent, made telephone calls to 50 or 60 bindery shops under contract with Local 119 where in some instances he talked to officials of the companies involved and in others to their employee shop stewards.10 Concerning these conversations Grossman testified, "Well, the standard conversation I had with all of them, telling them that if the automatic sealing machine came into their plant and was in opera- tion, it had to be covered by one of our journeymen. And I also told them that they could not send any work out to Automatic Sealing " Morris Weintraub, an official of L & M Bindery, Inc., testified that when Grossman informed him of the Union's position, he asked "what would happen" if he continued to send work to Automatic Sealing. According to Weintraub, Grossman replied that in such event "he would pull the shop." Although Grossman denied making the latter statement, I credit the testimony of Weintraub. Further examples disclosed in the record of com- munications by the Respondent to the employers and its stewards with respect to its demand, including in some instances such communications passed on by stewards to. the employers, are as follows: (1) Nathan Dennis, shop steward at Eff & Zee Bookbinding Co.,' Inc., told Sol Friedman, the Company's president, that "if you get an automatic sealing machine on the premises, you won't be able to run it unless a 119 operator is on it . . I just got a call from the union [Arthur Grossman] that's the only way that machine will be run." 11 (2) Donald Chiaffone, shop steward at Trade Bindery, Inc., advised Aaron Katz, the factory superintendent, that "he received orders from the Local that any opera- tions on an automatic sealing machine would have to be operated by a journeyman from Local 119." 12 (3) Jerry Neopolitano, shop steward at McKenzie Service, told Robert Mintzer, an official of the Company, that he had received a call from Local 119 and that the 7 Just prior to putting its employee on the machine, either ,Mrs. Margolis or her hus- band, the Company's president, called the League and notified it of the Union 's demand as transmitted to it by Claps. As noted hereinafter, the League subsequently took' this matter up with the Union. Presumably Margolis was advised by the League to go along with the Union until it could take further action in the matter. 8 The bindery companies, including Charlton, paid Automatic Sealing Service , Inc., a stipulated amount per 1,000 pieces. As has been indicated, this cost includes the services of an Automatic Sealing employee who operates the machine as well as the use of the machine itself. 9 With respect to item (1) above, Hellman added that he told Klein that Local 119 men would be required to operate the machines "in addition to anyone else he might send along with the machine." 10 Although Grossman testified that he made these calls on the day of the Charlton in- cident, the testimony of other witnesses' reflects that he made several further calls of similar content in the latter part of March. 11 The unrefuted and credited testimony of Friedman. 12 The credited and unrefuted testimony of Katz. Chiaffone , also called as a witness, testified that he received instructions to the above effect from Grossman and that he also passed these instructions on to the other employees in the plant. Chiaffone also told the employees that they were to let him know immediately if ever an automatic sealing machine came into the plant. 1358 DECISIONS OF NATIONAL LABOR RELATIONS BOARD Union "did not want us to allow Automatic Sealing to run their equipment in our place . . . if they did run it, they wanted one of our journeymen to cover the machine, and they did not want us to send work out to Automatic Sealing." 13 (4) About, the third week of March 1963, Grossman called David Posnanski, a, voting member of Local 119 who acts as bindery foreman for the Guide-Kalkhoff- Burr Corporation. 14 Posnanski testified, credibly, that on this occasion, "he [Gross- man] asked me if we had any sealing work in the plant. And I said we expect a job• in. And he told me that under no circumstances shall Automatic Sealing be allowed to run the machine unless we have one of our journeymen with the machine . he also said we shouldn't send it [the work] over [to Automatic Sealing]." Posnanski further testified that he reported the foregoing to Albert Bertoni, the plant. superintendent, and also that he told the employees (members of Local 119) "that nobody is allowed to operate the machine unless there was a union man with the machine." 15 Turning now to the reaction of the Printers League to the Respondent's demand, it is preliminarily noted that the Local 119-Printers League agreement provides for the establishment of a joint conference committee as one of the steps in the- grievance-arbitration procedure, such committee to consist of not more than five representatives to be designated by each the Union and the League. A meeting- of the joint conference committee having been previously scheduled for March 21, 1963, for the purpose of taking up other grievances, Matthew Kelly, secretary of the League, spoke to Hellman and advised that he would like to include the automatic sealing problem on the agenda. Pursuant to Kelly's request, the matter was taken, up at the March 21 meeting. Kelly acted asprincipal spokesman for the League as. did Hellman for the Respondent Union.18 Much of the discussion concerning the issue at hand is not in dispute and may be summarized as follows: The League, as Kelly put it, strenuously protested the Union's position that it had jurisdiction over the sealing machines; it pointed out that the practice of utilizing the services of the Automatic Sealing Company in the manner heretofore indicated had been in, existence for 25 to 30 years and that during this entire period the Union had there- tofore never raised any question about it; that in any event the Union was in violations of the grievance and arbitration provisions of the contract by not continuing the status quo until the matter was, as Kelly put it, "adjudicated." The Respondent, claiming that an unemployment problem existed in the industry since 1962, took the position, in the words of President Hellman, that "we never officially relinquished any jurisdiction over this machine because we have always taken the position that any work under contract to us, any binding work or finishing work certainly came under- the jurisdiction of the contract." Beyond this the Union refused to agree to arbitra- tion of the dispute and it refused to return the situation to the status quo, i.e., to• rescind its directives that the automatic sealing work be performed by its members. It is also uncontroverted that during the meeting Hellman stated that the rule ap- plicable to the automatic sealing work, which already had been communicated orally to the stewards,,was being published in the League's Bulletin which soon was to be- mailed to Respondent's membership. While there is no dispute as to all' of the fore- going, there is a dispute in the testimony as to whether Hellman stated anything which could be regarded in, the nature of a threat as to what would occur in the event the bindery employees did not comply, with Respondent's demand. Four employer representatives present at this meeting testified that a threat was made. Thus, Richman quoted Hellman as saying that, "the machine would not run and the men would not work unless it was covered by Local 119 when it came into a 119 shop. William Ginsberg testified that at this meeting, "Mr. Hellman stated that the auto- matic sealing .machine must be manned by a 1,19 man if it is to run . . . if it weren't 1a The credited and unrefuted testimony of Mintzer. '& In addition to binding , this company is engaged in general and commercial printing. 15 The company was expecting a sealing job at the time Posnanski reported Grossman's instructions to Bertoni Concerning the conversation between Posnanski and Bertoni at this time, Bertoni credibly testified as follows: "lie said to me that we are going to have some trouble with the sealing job because the union had called him and told him that we would not be allowed to have the Automatic Sealing people seal this job on our prem- ises . . . I told him, 'Well, we'll take the job and send it over to Automatic Sealing's plant.' And he said, 'You can't do that either."' 11 In addition to Hellman, Vice President Grossman and Business Representative Walter Bennett represented the Union. Other League representatives present were Mortimer Sendor of Sendor Bindery, Alvin Richman of Standard Bookbinding, William Ginsberg of Practical Bookbinding, William McDonald of National Law Press, and Leon Sigal of Trade Bindery. Additionally, employers Max Fisher of Fisher Bookbinding, Jack Russell of" Printers Bindery, and Attorney Richard Lyons also were in attendance. NEW, YORK PAPER CUTTERS', ETC., LOCAL UNION 119 1359 run by a 119 man , the men would not work.", Mortimer Sendor .testified, "Mr. Hell- man basically said that if a 119 journeyman was not present when the machine ran, the machine would not run." It was the testimony of Max, Fisher that Hellman stated "the men would not work" if a 119 journeyman was not put on the machine. Hellman denied making any of the foregoing statements and Grossman also denied hearing any statement made by Hellman to such effect. Hellman conceded that he may have • raised his voice during the discussion, but otherwise testified that he merely made an emphatic demand with respect to the assignment of the automatic sealing work to members of the Union.17 Matthew Kelly was called by the Respond- ent as a witness. Concerning the remarks attributed to Hellman by the other employer representatives, Kelly testified that he did not recollect Hellman stating in his presence that the shop would be pulled or the machine would be stopped if the employers did not follow the Union's position with respect to the automatic sealing machine. However, Kelly testified that he absented himself from the meeting on one or more occasions to take telephone calls.18 As indicated by Hellman, the discussion at this meeting was a heated one. It is clear from the record that Kelly was not the only spokesman, but that other employer-members also actively participated in the discussion. From my observation of the witnesses, and upon all the testimony, I credit the substantially corroborative testimony of Richman, Gins- berg, Sendor, and Fisher to the effect that during this meeting Hellman stated that the men would not work or the machines would not run if the machines were not covered or operated by members of Respondent Local 119.19 As has been noted, prior to the above meeting the Respondent had orally advised its stewards of its policy with respect to the automatic sealing machine work. In the April issue of "The Bulletin of 119," a monthly publication which Respondent sends to all of its members, the following directive appeared 20 URGENT! ATTENTION ALL MEMBERS The following directive is hereby issued to every member of the Union: All Automatic Sealing equipment (machine sealing of self-mailings) comes under the jurisdiction of Local 119's contract. All such machine work done in any of our shops must be covered by journeymen of Local Union 119. In the event any job is scheduled to be sent out from your_plant for sealing, notify your Union immediately. Every member of the Union will be held responsible for adhering to the fore- going mentioned directive in his respective shop. The identical notice as above set forth appeared in the May and June issues of this publication. B. Respondent 's defenses; conclusions Section 8(b) (4) (i) and (ii) (B) provides that: It shall be an unfair labor practice for a labor, organization or its agents- * * * * (4) (i) to engage in, or to induce or encourage any individual employed by any person engaged in commerce or in an industry affecting commerce to engage in, a strike or a refusal in the course of his employment to use, manufacture, process, transport, or otherwise handle or work on any goods, articles, materials, or commodities or to perform any services; or .(ii)" to threaten, coerce, or re- 17 Thus, Hellman testified that during the meeting he used language,to the following effect: That "this machine had to be covered by our people" ; "we expect it to run this way and it will run this way," "this is the way it was [sic] going to bell; "we were going to insist it be run this way." Concerning the tenor of this meeting Hellman also testified that "we did not leave in a jovial mood." is Kelly testified at length as to the discussion which took place during the meeting.. I note, however, that in his testimony he did not mention the rather significant state- ment made by Hellman during this meeting that the Union's policy with respect to the automatic sealing work would' be printed in' the Union's forthcoming bulletin which was shortly to be mailed to all its members. Moreover, Kelly further- testified that during this meeting, "Mr. Hellman indicated that its people would run the equipment, and to the, best of my recollection , he had indicated also that they had ways to see that it would be run" [Emphasis supplied ] ' 19 The above four employer witnesses impressed me as believable and reliable witnesses. I do not believe that their testimony was fabricated. 20 The April issue was mailed to the membership on March 29 1360 DECISIONS OF NATIONAL LABOR RELATIONS BOARD strain any person engaged in commerce in an industry affecting commerce, where in either case an object thereof is: (B) forcing or requiring any person to cease using, selling, handling, trans- porting, or otherwise dealing in the products of any other producer, processor, or manufacturer, or, to cease doing business with any other person ... . Respondent's first defense in this case is predicated upon the assertion that its object here is to protect the employment opportunities of the employees represented by it against "the attrition of contract-out" the automatic sealing work. Accordingly, argues the Respondent, the dispute involved is simply a primary one between it and the bindery employees under contract. In support of its position, Respondent principally relies upon International Longshoremen's and Warehousemen's Local Union No. 19, Independent, et al. (Pacific Maritime Association), 137 NLRB 119; and International Union of Operating Engineers, Local 545 (Syracuse Supply Company), 139 NLRB 778. As Judge Waterman stated in Carrier Corp. v. N.L.R.B.21 "The line drawn be- tween the two kinds of activity [primary and secondary] has been uncertain and wavering, involving distinctions `more nice than obvious.' " However, as to the instant factual situation, certain guidelines have been set forth in Board decisions which I believe are controlling here. Among such applicable decisions are the two cases cited by the Respondent, supra. However, I am of the opinion that the pertinent aspects of these decisions are more adverse to Respondent's position than they are in support of it. Without detailing the facts in these cases, it will suffice to note that the Union's activity in each of these cases necessarily had an effect of requiring one employer to modify or cease doing business with the other. However, in finding the activity to be primary rather than secondary, the Board in the Long- shoremen's case found the object of such activity was to require the employers to observe the work assignment provisions of their bargaining contract with the unions. Similarly, in Syracuse Supply, a majority of the Board found the dispute to be primary because "the Respondent Union reasonably believed that the employees whom it represented were entitled to the repair work in question on the basis of their collective bargaining contract," and, secondly, "because the bargaining unit em- ployees had in the past performed work of a similar nature." Neither of these ele- ments are present in the instant case., Thus, while Respondent's contract with the Employers specifies in great detail the various operations and wage rates covered by the contract, the contract contains no reference at all to the operation of the auto- matic sealing machine. Accordingly, it cannot be said that the Respondent's objective here was to require the employers to observe any work assignment provision in the collective-bargaining agreement. Similarly, the situation here does not fall within the second exception of Syracuse Supply, for the record is clear that Respondent's members have not in the past performed the operation of the automatic sealing machine22 To the contrary, this work has been performed by Automatic Sealing employees for the past 20 to 25 years. In short, while the Respondent at best may have some "color" of a claim to the work in question, I find that it had no such real claim to this work as 'was clearly present in the Longshoremen and Syracuse Supply cases. In my opinion the controlling factor in this case rests upon the fact that the bindery employers here do not have control over the assignment of the work at issue, i.e., the assignment of employees to operate the automatic sealing machine. As noted heretofore, these machines are owned by Automatic Sealing Service, Inc.; and whether the sealing operations are performed in its plant or on the premises of the bindery employers, this company alone has exclusive control over the use and operation of the sealing machines. It is true that when confronted with Respondent's demands the binding employers adopted the temporary expedient, apparently with the tacit assent of Automatic Sealing, of permitting a member of the Respondent to "cover" the sealing machine. But in each such instance, an employee of Automatic Sealing was also assigned to the machine and it was required that he be paid for his services. This fictional and costly arrangement does not, in my opinion, alter the fact that the control of this work assignment, that is, operation of the automatic sealing machine, remained in the hands of Automatic Sealing, not the bindery employer. The Board has held that where activity is directed against an employer who is powerless to control the assignment of work, such employer is the secondary or neu- tral employer and that the employer with power to resolve the dispute is the primary '311 F. 2d 135 (CA. 2). 22A possible exception is the situation at the Young Bindery, a matter which was not fully developed in the record But whatever the situation there, I regard it as too isolated to support any historical claim to this work NEW YORK PAPER CUTTERS', ETC., LOCAL UNION 119 1361 employer.23 Accordingly, I find that the primary dispute here is between Respondent and Automatic Sealing Service, Inc., and that the bindery employers involved are neutral or secondary employers 24 We turn now to Respondent's second defense, which is that whatever the objective of the Union, it did not engage in any unlawful conduct, i.e., either inducement or encouragement of individuals (Section 8(b) (4) (i) ), or restraint, threat, or coercion of persons engaged in commerce (Section 8(b) (4) (ii) ). I find Respondent's second defense also to be without merit. With respect to the inducement or encouragement contemplated by subsection (i), the Supreme Court has said that "the words `induce and encourage' are broad enough to include every from of influence of persuasion." I.B.E.W., Local 501, et al. (Samuel Langer) v. N.L.R.B., 341 U.S. 694, 701-702. In the light of all the circumstances in this case, it is my opinion, and I find, that the "directive" appearing in Respondent's publication "The Bulletin of 119" during the months of April, May, and June set forth in the preceding section, clearly constitutes inducement and encouragement of Respondent's members not to perform services for their employers for proscribed objectives in violation of Section 8(b) (4) (i) (B) of the Act. While I think the language of the directive itself reflects inducement and encouragement of employees, the effectiveness of such inducement is further emphasized when it is considered that article XII, section 9, of the Respondent's constitution and bylaws provide that "No member of this Union shall be allowed to work in any shop where anyone who is not a member of the Local Union is employed in any work which under the jurisdiction of this Union or any of its divisions; unless authorized by the Union." 25 uLocal 5, United Association of Journeymen and Apprentices of the Plumbing and Pepefitting Industry of the United States and Canada, AFL-CIO (Arthur Venneri Com- pany), 137 NLRB 82S; International Longshoremen's Association, AFL-CIO, et al., Local No 1691, (The Board of Harbour Commissioners), 137 NLRB 1178; Ohio Valley Car- penteis D ,strict Council, et al (Cardinal Indust, ,es, Inc ), 144 NLRB 91. 24 It might be added that the binding employers had no choice other than to resort to the costly arrangement of assigning a Respondent journeyman to the sealing machine together with an Automatic Sealing employee This is true because the evidence reflects that all automatic sealing machines in the New York area, with the single exception noted, are owned by Automatic Sealing Service, Inc., and it is quite clear that the bindery employers, even if willing, would be unable to obtain such machines elsewhere. In any event, the only choice open to the bindery employers here would be to seek some other means of having their sealing work performed or entirely stop doing business with Auto- matic Sealing. In this latter connection, I deem applicable the following statement by the Board in Local 3, International Brotherhood of Electrical 'Workers, AFL-CIO (New York Telephone Company), 140 NLRB 729: While it does not appear that Respondent explicitly demanded that the Company cancel the Delee contract if Delee refused to use its members, this was the only alternative the Company had if Delee continued to refuse replacement of its employees by members of Respondent We concluded, therefore, that Respondent's threat to the Company had an object of forcing the Company to cease doing business with Delee. Even assuming, arguendo, that Respondent did not consciously contemplate imposi- tion of this sanction, it is nonetheless clear that Respondent sought by its threat to require that the Company superimpose upon its existing agreement with Delee an added condition of performance, that the work had to be done by Respondent's mem- bers. Acceptance of this condition by Delee would require the Company to cease doing business with Delee on the basis of their original arrangement. The objective of causing such a disruption of an existing business relationship, even though some- thing less than a total cancellation of the business connection , is a "cease doing business" object within the meaning of Section 8(b) (4) (B) of the Act. 25 It must be borne in mind that the binding employers have two methods of doing busi- ness with Automatic Sealing Service. As I have concluded above, the Respondent's direc- tive constitutes a clear inducement and encouragement of employees not to perform serv- ices for the binding employers when an Automatic Sealing employee is brought with the machine to work at the binding employer's premises But with respect to any work which these employers may send to the Automatic Sealing Company, Respondent's directive re- quires the "Local 119 employees to notify your Union immediately" in the event of such infraction. While standing alone it may be technically argued that the requirement of merely having the employees give the Union notice of any infraction of its rule 1s some- thing less than an inducement and encouragement of them to withhold their services, the entire circumstances in this case lead me to conclude that the end result of this directive could but have the latter effect. 760-577-65-vol. 14 8-8 7 1362 DECISIONS OF NATIONAL LABOR RELATIONS BOARD Respondent's published directive, discussed above, in substance reiterated the oral directives which it previously had given to its stewards and various others of its mem- bers. With respect to such verbal communications, I find the inducement and encouragement required by subsection (i) to have been established in the following such instances: (1) Hellman's instructions to Union Steward John Claps, the latter an employee of the Charlton Company, that the automatic sealing machine "would require" a Local 119 journeyman operator from that time on (2) Grossman's admonitions to the employee shop stewards that the machines "had to be covered" by a Local 119 journeyman and that the bindery employers could not send any sealing work to Automatic Sealing Service, Inc.26 (3) Grossman's statement to Posnanski of Guide-Kalkhoff-Burr Corp., that "under no circumstances shall Auto- matic Sealing be allowed to run the machine unless we have one of our journeymen with the machine," including his instructions that his (Posnanski's) employer's work should not be sent to Automatic Sealing, Ine.27 (4) With respect to Grossman's instructions to Chiaffone, as set forth in (2) above, Chiaffone testified that he com- municated these instructions to other employees of Trade Bindery. Since Chiaffone was a shop steward acting as agent for the Respondent, I find that Respondent thereby also induced and encouraged these additional employees within the meaning of subsection (1).28 Accordingly, I find that in each of the instances set forth above, including the notice published in Respondent's bulletin, Respondent violated Section 8(b) (4) (i) ('B) of the Act by inducing and encouraging its member-employees employed by employer-members of the Printers League Section, Printing Industries of Metro- politan New York, Inc., to engage in strikes or refusals in the course of their em- ployment, to use, manufacture, process, transport, or otherwise handle or work on any goods, or to perform any services, with an object of forcing or requiring the said employers to cease doing business with Automatic Sealing Service, Inc. As to Respondent's contention that it did not restrain, threaten, or coerce persons (here employers) within the meaning of subsection (ii), this question, which prin- cipally is one of fact, has heretofore been decided adversely to the Respondent. Such actions by the Respondent included: (1) Grossman's statement to Weintraub that he would pull the shop if L & M Bindery, Inc., continued to send its sealing work to Automatic Sealing Service, Inc., and (2) Hellman's statement to the employers attending the March 21 meeting that the men would not work or the machines would not run if they were not covered or operated by members of Local 119. By such conduct I find that Respondent threatened, coerced, and restrained employer- members of the Printing League Section, Printing Industries of Metropolitan New York, Inc., with an object of forcing such employers to cease doing business with Automatic Sealing Service, Inc., in violation of Section 8(a) (4) (ii) (B) of the Act 29 26 As noted heretofore , Grossman conceded calling employers and employee shop stewards to advise them to this effect As also previously related. Shop Stewards Nathan Dennis (Eff & Zee Bookbinding), Donald Chiaffone (Trade Bindery), and Jerry Neopolitano (McKenzie Service) testified that they received instructions to such effect. 27 Although Posnanski Is a foreman of the Guide Company, it is clear that he is not a corporation officer or managerial representative and that hence he is an individual within the meaning of subsection ( 1). Sheet Metal Workers International Association, Local Union No. 299, AFL-CIO, et al. (S M. Kisner and Sons ), 131 NLRB 1196. Concerning the above found unlawful inducement of Posnanski it will be recalled that he is an active member of the Respondent and as such is bound by the Union's constitution and bylaws. See Local 1016, United Brotherhood of Carpenters & Joiners of America, et al. (Booher Lumber Co , Inc.), 117 NLRB 1739. 21 The effectiveness of Respondent's inducement of employees through its oral and pub- lished directives was cogently illustrated in the testimony of Chiaffone . Thus, when queried as to "what would have happened " if a sealing machine was brought in and was not manned by a journeyman of Local 119 , Chiaffone testified in reply that in such event "We had .orders that the machine must be manned by a 119 man . And chances are that the machine wouldn't have run " 20 At the hearing Respondent offered to prove that Automatic Sealing Service, Inc , and the Sea]-O-Matic Company, its subsidiary, entered into an agreement which is violative of the Sherman Act in that said agreement allegedly gives Automatic Sealing Service, Inc, a monopoly over the use or sale of automatic sealing machines in the New York area. By virtue thereof, Respondent contends, the issuance of a cease-and-desist order would thwart the purposes of the Act. I rejected the offer as beyond the purview of the hearing and as not constituting a defense to the violations alleged under the Act. PACKAGING CORP. OF AMERICA (DENVER CARTON PLANT) 1363 IV. THE EFFECT OF THE UNFAIR LABOR PRACTICES UPON COMMERCE The activities of the Respondent set forth in section III, above, occurring in con- nection with the operations described in section 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 It having been found that the Respondent has engaged in certain unfair labor practices, it will be recommended that it cease and desist therefrom and take certain affirmative action designed to effectuate the policies of the Act. Upon the basis of the foregoing findings of fact, and upon the entire record in this case, I make the following: CONCLUSIONS OF LAW 1. Automatic Sealing Service, Inc., and the employer-members of Printers League Section, Printing Industries of Metropolitan New York, Inc., are engaged in industries affecting commerce within the meaning of Section 8(b) (4) (ii) (B) of the Act. 2. New York Paper Cutters' & Bookbinders' Local Union No. 119, International Brotherhood of Bookbinders, AFL-CIO, is a labor organization within the meaning of Section 2(5) of the Act. 3. By threatening, coercing, and restraining employer-members of the Printers League Section, Printing Industries of Metropolitan New York, Inc., with an object of forcing or requiring them to cease doing business with Automatic Sealing Service, Inc., Respondent has engaged in and is engaging in unfair labor practices affecting commerce within the meaning of Sections 8(b) (4) (ii) (B) and 2(6) and (7) of the Act. 4. By inducing and encouraging employees of employer-members of Printers League Section, Printing Industries of Metropolitan New York, Inc., to engage in strikes or refusals in the course of their employment to perform services with the object of forcing such employer-members to cease doing business with Automatic Sealing Services, Inc., the Respondent has engaged in and is engaging in unfair labor practices within the meaning of Section 8(b) (4) (i) (B) of the Act. 5. The aforesaid unfair labor practices are unfair labor practices affecting com- merce within the meaning of Section 2(6) and (7) of the Act. [Recommended Order omitted from publication.] Packaging Corporation of America (Denver Carton Plant) and Richard D . Gabrys. Case No. 27-CA-1562. September 28, 1964 DECISION AND ORDER On July 9, 1964, Trial Examiner William E. Spencer issued his Decision in the above-entitled proceeding, finding that the Respondent had engaged in and was engaging in certain unfair labor practices within the meaning of the National Labor Relations Act, and recom- mending that it cease and desist therefrom and take certain affirma- tive action, as set forth in the attached Trial Examiner's Decision. Thereafter, the Respondent filed exceptions to the Decision and a sup- porting brief. Pursuant to the provisions of Section 3(b) of the Act, the Board has delegated its powers in connection with this case to a three-member panel [Members Leedom, Fanning, and Brown]. 148 NLRB No. 134. Copy with citationCopy as parenthetical citation