Paper Products and Miscellaneous Local 27Download PDFNational Labor Relations Board - Board DecisionsMar 28, 1974209 N.L.R.B. 883 (N.L.R.B. 1974) Copy Citation PAPER PRODUCTS AND MISCELLANEOUS LOCAL 27 Paper Products and Miscellaneous Chauffeurs, Ware- housemen and Helpers, Local 27, affiliated with International Brotherhood of Teamsters, Chauf- feurs, Warehousemen and Helpers of America and Jerome Amos and S . L. Wyandanch Corp., Quire Corp., Comet Industries , Inc., and Haja Container Corp., Joint Venturers, d/b/a Combined Container Industries, Party to the Contract. Case 29-CB-1371 March 28, 1974 DECISION AND ORDER By CHAIRMAN MILLER AND MEMBERS FANNING, JENKINS, AND PENELLO On May 31., 1973, Administrative Law Judge Ralph Winkler issued the attached Decision in this proceeding. Thereafter, Party to the Contract, Joint Venturers, d/b/a Combined Container Industries (herein called CCI), filed exceptions and a support- ing brief and the General Counsel filed limited cross- exceptions and a supporting brief. The Board has considered the record and the attached Decision in light of the exceptions and briefs and has decided to affirm the rulings, findings, and conclusions of the Administrative Law Judge only t(- the extent consistent herewith. The instant unfair labor practice charge, alleging violations of Section 8(b)(2) and 1(A) of the Act, was filed on or about November 24, 1972,1 and was served on Respondent Union on or about November 27. The 6-month cutoff date under the proviso to Section 10(b) of the Act is, therefore, is May 27. The complaint alleges that CCI orally recognized the Union as exclusive bargaining representative on or about March 24, and, that CCI and the Respon- dent executed a contract containing a union-shop provision on June 1. Contending that before March 24 CCI's superviso- ry personnel solicited and obtained the union authorization cards of a majority of its employees by the time of oral recognition and contract execution, counsel for the General Counsel argues that Respon- dent Union violated Section 8(b)(1)(A) and (2) of the Act by executing the union-shop agreement at a time it did not represent an uncoerced majority of CCI's employees. In response, CCI urges that the solicita- tion and recognition activity occurred outside the 10(b) period, and therefore cannot be the basis for invalidating the contract which was executed within the 10(b) period. The Administrative Law Judge found that Section 10(b) did not bar either considera- 1 Unless otherwise indicated , all dates are in 1972. 2 Local Lodge No 1424, International Association of Machinists, AFL-CIO [Bryan Manufacturing Co J v N.L R B, 362 U.S. 411 (1960). 209 NLRB No. 140 883 Lion of or findings on evidence respecting CCI's conduct in soliciting and obtaining Respondent Union's majority. He accordingly concluded that, as Respondent Union did not represent an uncoerced majority of CCI's employees when the contract was executed on June 1, Respondent violated Section 8(b)(1)(A) and (2). We agree with CCI's contention and shall, therefore, dismiss the complaint in its entirety. The Administrative Law Judge, in finding the violation as alleged, reasoned that under the teach- ings of Bryan Manufacturing Co., 2 while Section 10(b) bars an unfair labor practice finding based on events which occurred more than 6 months before the charge is filed, it does not preclude a review of such events to explain the alleged unlawful conduct occurring during the 10(b) period. Accordingly, he deemed it appropriate under the 10(b) proviso to consider the circumstances under which the employ- ees signed their authorization cards in order to "shed light" on the character of the cards in determining whether the cards on June 1 truly reflected the employees' authorizations for union representation. However, the Administrative Law Judge's reasoning disregards the fact that the Supreme Court in Bryan approved the use of such evidence in situations, unlike the present one, where occurrences within the 6-month limitation period in and of themselves may constitute, as a substantive matter, unfair labor practices.3 But, the sole occurrence in this case within the 10(b) period is the execution of the contract which is innocent on its face and can be found to be an unfair labor practice only through reliance upon an earlier time-barred unfair labor practice. This is precisely what Bryan forbids the Board to do; i.e., find that an unfair labor practice was committed outside the 10(b) period to establish that another unfair labor practice was committed within the 10(b) period.4 If this is the only way a violation of the Act within Section 10(b) can be established, the complaint must fail. In the instant case the alleged coercion of the employees by supervisors to sign authorization cards would be an unfair labor practice if committed within the 10(b) period. And, unless this unfair labor practice is established, which it cannot be, the unfair labor practice of executing the contract cannot be established. Nor does it help to say, as the Adminis- trative Law Judge does, that he is merely considering the circumstances under which the cards were signed to "shed light" on the validity of the cards in order to establish the unfair labor practice of executing the contract. This is not a case of "shedding light." This 3 Bryan Manufacturing Co, supra at 416. 4 Bryan Manufacturing Co., supra at 416, 417. 884 DECISIONS OF NATIONAL LABOR RELATIONS BOARD is clearly a case of finding a precedent unfair labor practice as the predicate for an unfair labor practice within the 10(b) period. The Administrative Law Judge concluded that the evidence tending to establish the manner in which Respondent secured its card majority is akin to evidence establishing an employer's motive at the time of an alleged discriminatory discharge. And, since in the latter situation the Board may look to an employer's pre-10(b) conduct to establish motive, the Administrative Law Judge reasoned that so, too, may the Board examine the manner in which a union acquired majority status outside the 10(b) period to determine whether it represented an uncoerced majority when it executed a union-security agree- ment within the 10(b) period. In our opinion, there is no comparison between the instant situation and the situation of an employee discharged within the 10(b) period allegedly for union activity where the Board reaches outside the 10(b) period not for the circum- stances of another overt act by the employer in and of itself an unfair labor practice, but merely for evidence in the nature of a statement to show the true motive for the overt act committed within the 10(b) period. Even with respect to the use of pre- 10(b) evidence to establish motive for an 8(a)(3), the Board insists that there be some evidence of an 8(a)(3) within the 10(b) period before it will use evidence of motive to explain the conduct of the employer in discharging an employee.-9 The Administrative Law Judge sought to distin- guish Bryan, supra, from the facts here on the ground that there the union-security agreement itself was signed outside the 10(b) period, while here it was executed within the limitations period. This distinc- tion is, in our opinion, without substance. For in both cases, the unions were accorded initial recogni- tion outside the 10(b) period and in both cases an attempt was made to show that the unions did not then represent uncoerced majorities of the employ- ees. In both cases, it would have been necessary to rely on unlawful conduct occurring outside the limitations period as the sole basis for finding that unfair labor practices were committed within the critical period. Our dissenting colleague erroneously intimates that we are here departing from the Board's established principle, cited with approval in the Bryan case, "that it is an unfair labor practice for an employer and a labor organization to enter into a collective bargain- ing agreement which contains a union security clause, if at the time of original execution the union does not represent a majority of the employees in the unit." We firmly adhere to that principle and would have found the violations alleged in this case if a timely charge had been filed. But the propriety of the recognition is not and cannot be in issue here, precisely because no timely charge was filed relating thereto. By relying on the foregoing quoted portion of the Court's opinion as dispositive here, our colleague assumes the answer to the very question which was then before the Court and which is once more posed here; namely, whether a labor organiza- tion's apparently valid majority status can be attacked solely by reliance upon pre-10(b) conduct. In Bryan, the Court held that we may not rely on pre- 10(b) conduct to find a violation within the critical period where, but for such reliance, no violation can be found. While we are as reluctant to don "10(b) blinders" as our colleague appears to be, we think that this is exactly what Congress intended us to do when it enacted that section of the Act. On the basis of the foregoing, we find that the General Counsel has failed to establish by competent evidence that Respondent violated Section 8(b)(2) and 1(a) of the Act. Accordingly, we shall dismiss the complaint in its entirety. ORDER Pursuant to Section 10(c) of the National Labor Relations Act, as amended, the National Labor Relations Board hereby orders that the complaint be, and it hereby is, dismissed in its entirety. CHAIRMAN MILLER, dissenting: I believe my colleagues err in dismissing this complaint on 10(b) grounds. They are correct in saying that the issue is whether Respondent entered into the union-security agree- ment in issue at a time when Respondent represented a majority of employees in an appropriate unit. But they err when they say that "It is undisputed that Respondent did, in fact, represent a majority of these employees when it was accorded recognition .. . and when it executed the union-security agreement." There is no such proof in the record, and, indeed, the proof is quite to the contrary. It is true that both at the time of recognition (pre-10(b)) and at the time of contract execution (post-10(b)) a majority had signed cards. But that is not the issue. The issue is whether the majority was a free and uncoerced majority-not simply whether a magic number of signatures, no matter how obtained, appeared on some pieces of paper or cardboard. There is no proof of genuine majority support at the time the contract was executed. Instead, all this record shows is that there were these signatures on the cards. To evaluate that evidence, it is essential to 5 See Southern Electronics Company, Inc, 131 NLRB 1411, enfd 302 F.2d 145 (C A. 6, 1962) PAPER PRODUCTS AND MISCELLANEOUS LOCAL 27 885 learn under what circumstances the cards were signed. I see no need for us to put on 10(b) blinders and thus to forsake that crucial inquiry. And if we look behind the 10(b) curtain, it is plain, as the Administrative Law Judge here found, that the "majority" is phony and not real-coerced and not free. To enter into and enforce a union-security agree- ment under those circumstances is to engage in a classic violation of our Act. Bryan is plainly distinguishable. The Court in Bryan4 said that "the entire foundation of the unfair labor practice charged was the Union's timebarred lack of majority status when the original collective bargaining agreement was signed." [Emphasis sup- plied.] And earlier in the decision the Court said at p. 413-414: . . . the Board has evolved the principle, not drawn in question here, that it is an unfair labor practice for an employer and a labor organization to enter into a collective bargaining agreement which contains a union security clause, if at the time of original execution the union does not represent a majority of the employees in the unit. [Emphasis supplied.] Since in this case, the Union clearly did not represent a free and uncoerced majority at the time of execution, which time is properly within the limitations period, the violation is established and the Administrative Law Judge's Decision should be affirmed. i Local Lodge No 1424, International Association of Machinists, AFL-CIO v N L R B [Bryan Mfg Co.], supra at 417 DECISION period, Respondent makes interstate purchases exceeding a value of $50 ,000. I find that CCI is an Employer engaged in commerce within Section 2(6) and (7) of the Act. II. RESPONDENT LABOR ORGANIZATION Paper Products and Miscellaneous Chauffeurs, Ware- housemen and Helpers, Local 27, affiliated with Interna- tional Brotherhood of Teamsters , Chauffeurs , Warehouse- men and Helpers of America (herein called Local 27 or Union), is a labor organization within Section 2 (5) of the Act. III. THE UNFAIR LABOR PRACTICES The complaint alleges that CCI orally recognized Local 27 as exclusive bargaining representative on or about March 24, 1972; that CCI and Local 27 executed a collective-bargaining agreement on or about June 1, 1972, the contract containing union-shop and checkoff provi- sions ; and that the contracting parties thereafter main- tained and implemented this contract . Contending that CCI had solicited and obtained the union authorization of a majority of CCI's employees by the time of oral recognition and contract execution, the General Counsel alleges that Local 27 violated Section 8(b)(1)(A) and (2) of the Act by executing the union-shop agreement at a time it did not represent an uncoerced majority of CCI's employ- ees. Respondent and CCI admit that CCI solicited a majority of Respondent's authorization cards before March 24, 1972, and thus before the execution of their June 1972 contract. They claim, however, that CCI's employees were an accretion to a unit covered by a preexisting contract between Respondent and another employer (Skyway Container) and, therefore , that CCI and Respondent were entitled to apply the union-shop provisions of that other contract to CCI's employees. They further claim that, even if there be no accretion , the proviso to Section 10(b) precludes a determination that Respondent did not, enjoy an uncoerced majority at material times respecting the execution of the June 1 contract. STATEMENT OF THE CASE RALPH WINKLER, Administrative Law Judge: Upon a charge filed by the above-named individual, a complaint issued by the General Counsel, and an answer filed by Respondent Local 27, a hearing was held on March 12, 13, and 29, 1973. All parties were represented at the hearing, including Combined Container Industries (herein called CCI), which was named in and served a copy of the complaint as Party to the Contract. Upon the entire record in this case, including my observation of the demeanor of witnesses and upon consideration of briefs, I make the following: FINDINGS OF FACT I. THE BUSINESS OF CCI CCI is ajomt venture located in Wyandanch, New York, where it is engaged in the manufacture of corrugated paper sheets and related products. In a representative yearly Formation of CCI Insofar as is relevant here, the corrugated box business involves two principal operations-combining (corrugat- ing) and finishing . The combiner (corrugation) operation produces the corrugated sheets which are processed into the finished product at so-called sheet plants . As many as 50 concerns in the New York City area are engaged in both operations , each of these single-employer concerns being unionized on a comprehensive basis , i.e., having both corrugating and finishing employees in a single bargaining unit. So-called sheet concerns perform only finishing operations and thus must obtain corrugated sheets from corrugator suppliers, and among these sheet concerns in 1970 were Skyway Container, Arma Container, Comet Container, and Island Container. In early 1971, following year-long negotiations, the principals of the four above -named sheet concerns agreed to set up a combiner or corrugator operation to manufac- ture corrugated sheets for their own respective sheet plant 886 DECISIONS OF NATIONAL LABOR RELATIONS BOARD (finishing) operations. CCI thus came into being as a joint venture of the four sets of principals who bear the four corporate names appearing in the caption of this case. For example, Irwin S. Lizan is a principal of Skyway; he and his Skyway partners organized another corporation which is one of the four corporate joint venturers doing business as CCI. CCI was thus established to corrugate sheets exclusively for the four mentioned sheet concerns and for no other finishing plants. Skyway owns its plant building and is the largest of the four sheet concerns involved here, and the joint venturers accordingly decided to install their combiner operation at the Skyway premises. The corrugator or combiner is a fairly large piece of equipment, and the Skyway building was enlarged to accommodate it. Modification of the Skyway facilities began in April 1971, and the container is now housed adjacent to Skyway's finishing operations. CCI had three or four employees for preproduction purposes the week ending March 2, 1972 and it then began filling out its production roster to begin operations. It had 15 employees the week ending March 22, 1972, and 13 employees the week ending June 1, 1972, and it has ranged between 13 and 16 employees since March 22, 1972. Skyway at all material times has had a complement of approximately 40 production employees. CCI and Skyway each maintain separate records and office facilities at the Skyway premises; each has its own manager or superintendent and each hires and handles its own personnel. The CCI superintendent reports to Sky- way's principals respecting day-to-day operations and these principals are subject to overall policy decisions of a committee representing the four corporate joint venturers of CCI. Skyway and CCI employees use common sanitary and refreshment (vending machine) facilities; each has its own mechanic (neither being in the production contract unit), these mechanics occasionally assisting each other; employees of either Skyway or CCI, depending on availability, push a handtruck bearing corrugated sheets from the CCI combiner operation to the Skyway finishing operation; and Skyway production personnel occasionally fill in for absent CCI personnel, on a reimburseable basis to Skyway. Both companies maintain different types of equipment, and the skills vary in operating their respective machinery. Labor Relations Skyway (sheet concern) has two contracts with Local 27, one covering production employees and another covering I Although the parties generally conceded, as the General Counsel states in his brief, the date of oral recognition to be March 24, it is interesting to note that at the close of the hearing CCI offered a letter dated November 19, 1971, in which one of its officers extended recognition to Respondent drivers, and this bargaining history has existed since 1957. Anna (sheet concern) has the same standard-form con- tracts with Respondent Local. Comet and Island, the other two sheet concerns involved here, are also unionized; their respective driving units are represented by Respondent Union, but another, unidentified, union represents each of their production units. Patrick Crapanzano, Jr., is Respondent Local 27's business representative; his brother, Robert Crapanzano, is president of the Local; and his father, Patrick Crapanzano, Sr., is the secretary-treasurer. Respondent Union admits and Crapanzano, Jr., testified that CCI recognized Local 27 as bargaining representative of CCI's production employees on or about March 24, 1972,' and that Respondent Union and CCI executed a collective-bargaining agreement on or about June 1, 1972, and that these parties maintained and implemented the union-security and dues-checkoff provisions of such agreement. Respondent and CCI did stipulate, in effect, that as of March 24, CCI-through its manager, Richard Zimmerman, or through another statutory supervisor-had secured union authorization cards from a substantial majonty of CCI's employees and furnished them to Respondent Union; and that these same supervisors have continued to solicit the union cards of newly hired employees. Frederick Levitt is one of the Comet principals, or perhaps its only one, and his Comet Industries is one of the four joint venturers involved here. Levitt and Arma principal Sid Hausman handled CCI's contract negotia- tions with Respondent Local. CCI and Local 27 engaged in contract negotiations in March 1972, according to Levitt, and he further testified that they had resolved all contract terms by the end of April 1972 except as to the method by which the employees would be covered for agreed-upon insurance welfare benefits . Pending final determination as to method of coverage, the CCI employees were temporari- ly added, effective May 1, to Anna's group policy. The June 1 contract, when executed, contained a provision for coverage under the Respondent Local's welfare trust fund, and the parties, in or about September 1972, agreed on coverage under the Skyway group policy. CCI and Local 27 meanwhile had executed Respondent's standard-form contract on or about June 1, 1972. The current Skyway production contract runs from September 1972 until September 1974, the predecessor contract having expired in August 1972; CCI's contract runs from June 1, 1972, until May 31, 1975. The Skyway and CCI contracts differ respecting vacations, holidays, and cost-of-living incre- Local for CCI's production employees . CCI had no production employees at that time This recognition , even if it did occur as early as that date, does not in any respect affect the subsequent finding as to the invalidity of the June 1972 contract PAPER PRODUCTS AND MISCELLANEOUS LOCAL 27 ments, and the respective job and wage classifications of these current contracts are set forth below.2 At no time during the CCI-Respondent contract negotia- tions did either party claim that Respondent Local represented CCI employees as part of the Skyway unit and that such employees were accordingly covered by the Skyway contract. 2 The wage classifications are as follows- Skyway Classifications 9/l/72 9/l/73 Press oper (2-3-4 colors) $4.22 $4.47 Rotary slotter oper 3.55 3.80 Partition/small box oper 3.55 3.80 Slitter oper (4 bar) 3.55 3.80 Semi auto taper oper 3.29 3.54 Semiauto stitcher oper 3.29 3.54 Cylinder diecutter oper 3.95 4.20 Cylinder die asst oper 3.59 3.84 Auto folder gluer oper 3.78 4.03 Auto folder gluer asst 3.59 3.84 Up-stroke baler oper 3.28 3.63 Bandsaw oper 3.25 3.50 Receiving man 3.46 3.71 Receiving asst 3.18 3.43 Loader 3.20 3.45 Ileadsetter 3.54 3.79 Apprentice 3.06 3.31 Bundler(auto folder-gluey) 3.38 3.63 Bundler(semi auto taper 3.29 3.54 & stitcher) Diecutter stripper bundler 3.29 3.54 General-helper 3.00 3.25 CCI Classifications 6/1/72 6/1/73 6/ 1 74 Tripex $5.60 $5.75 $5.90 Double backer 4.95 5.10 5.25 Knife man 3.90 4.05 4.20 Maintenance 3.70 3.85 4.00 Oper 3.70 3.85 4.00 Roll handler 3.70 3.85 4.00 Shipping 2.95 3.10 3.25 Sheet catcher 2.80 2.95 3.10 Corr. stock oper 2.80 2.95 3.10 Bailer 2.70 2.85 3.00 Strapper 2.70 2.85 3. 00 The Accretion Contention 887 The parties agree on applicable criteria in resolving accretion situations, and CCI and the General Counsel both refer in this connection to the following statement in The Great Atlantic and Pacific Tea Company, 140 NLRB 1011, 1021: In determining that a newly established facility or operation is an accretion to an existing unit, the Board has given weight to a variety of factors, such as integration of the operations; centralization of manage- nal and administrative control; geographic proximity; similarity of working conditions; skills and functions; common control over labor relations; collective bar- gaining history; and interchangeability of employees ... the normal situation presents a variety of elements, some militating toward and some against accretion, so that a balancing of factors is necessary. In contending that CCI is an accretion to the Skyway unit within the A&P criteria, CCI accordingly asserts that the present record establishes "complete integration of operations ; centralization of managerial and administra- tive control ; geographic proximity ; similarity of working conditions , skills and functions; common control over labor relations ; and interchangeability of employees." Skyway is but one of four joint venturers comprising CCI. So far as the four interested sheet concerns are concerned , they are separately owned and operated, each having its separate bargaining relationship , and only two of them-Skyway and Arma-have contracts with Respon- dent . Each of the four sheet firms is thus wholly independent , in terms of ownership and operation and bargaining history and relationships, and Skyway is thus a wholly separate enterprise from CCI and from each of the other sheet concerns. CCI and Respondent, while claiming an accretion situation , have themselves not treated it as such , as appears above . Thus, CCI has its own contract with Respondent, such contract having a different terminal date from the Skyway contract, and their job and wage classifications are also substantially different, as are other above-stated provisions. CCI claims a similarity in functions and skills between CCI and Skyway employees, but the wage and job schedules refute this contention without further need to discuss the record which otherwise does not support CCI's claim in this connection. Nor does the record, apart from geographical proximity, establish any substantial integra- tion of operations between Skyway and CCI or any meaningful interchangeability of employees between them. Balancing the factors in this case within the A&P criteria, I conclude that CCI employees were not and are not an accretion to the Skyway unit, and I accordingly reject Respondent's and CCI's contention in this regard .3 1 Needless to say, this does not mean that combiner and finishing employees in other circumstances may not compose a common bargaining unit; each case requires consideration of its own entrepreneurial, operation- Starting rate for general hl prs , $2.50 al. labor relations , and other relevant factors. 888 DECISIONS OF NATIONAL LABOR RELATIONS BOARD Section 10(b) Contention The complaint alleges that the charge herein was filed on November 22, 1972, and served on Respondent Union on or about November 23, 1972, and Respondent Union's answer admits these allegations . The record shows, however , that the charge was actually filed and mailed to Respondent on November 24. At CCI's request, the General Counsel made a search for, but was unable to locate , the registered return receipt signed by Respondent upon delivery of the charge to Respondent Local . CCI did not examine Respondent Local respecting its above admission of service charge . On the basis of the foregoing, I find that the charge was served on or about November 27, 1972, and that the 6-month cutoff date under the proviso to Section 10(b)4 of the Act is May 27, 1972. Without waiving their objection under Section 10(b) to the admissibility of evidence respecting CCI's conduct in soliciting and obtaining a majority of Respondent Local's union designation cards before May 27, 1972, they concede , as stated above , that CCI did so solicit and obtain these cards and turn the cards over to Respondent Local. CCI and Respondent Local thus contend that Section 10(b) precludes the Board from probing into and making findings based upon the pre - 10(b) circumstances under which Respondent Local acquired its majority and they urge that the complaint be dismissed as a matter of law because, as all parties agree , the June l contract is on its face a valid union -security agreement . Respondent and CCI rely on the Bryan Mfg. case (Local Lodge No. 1424, I.A.M. [Bryan Mfg. Co.] v. N.L.R.B., 362 U.S. 411 (1960)), in which the Supreme Court stated (at 416-417): It is doubtless true that § 10(b) does not prevent all use of evidence relating to events transpiring more than six months before the filing and service of an unfair labor practice charge. However, in applying rules of evidence as to the admissibility of past events, due regard for the purposes of § 10(b) requires that two different kinds of situations be distinguished. The first is one where occurences within the six-month limitations period in and of themselves may constitute, as a substantive matter, unfair labor practices. There, earlier events may be utilized to shed light on the true character of matters occurring within the limitations period; and for that purpose § 10(b) ordinarily does not bar such evidenti- ary use of anterior events. The second situation is that where conduct occurring within the limitations period can be charged to be an unfair labor practice only through reliance on an earlier unfair labor practice. There the use of the earlier unfair labor practice is not merely "evidentiary," since it does not simply lay bare a putative current unfair labor practice. Rather, it serves to cloak with illegality that which was otherwise lawful. And where a complaint based upon that earlier event is time-barred, to permit the event itself to be so used in effect results in reviving a legally defunct unfair labor practice. The effective issue in Bryan Mfg was whether the continued enforcement of a union-security contract execu- ted by a minority union was unlawful where the charge in that case was filed more than 6 months after execution of an initial contract. The Court held that the situation was of the latter variety described in the quotation above, "for the entire foundation of unfair labor practice charged was the Union's time-barred lack of majority status when the original collective bargaining agreement was signed. In the absence of that fact, enforcement of this otherwise valid union-security clause was wholly benign" (ibid. ). The Court concluded that the complaint was based in a "real sense" upon the execution, rather than the enforcement, of the contract (362 U.S. at 423) and that the "findings of violation which is inescapably grounded on events predat- ing the limitations period is directly at odds with the purposes of the Section 10(b) proviso" (362 U.S. at 422). The Court discussed the legislative history of Section 10(b) in terms of "the problem of agreements with minority unions" (362 U.S. at 426), and the Court was satisfied that Section 10(b) was intended "to bar attacks on collective agreements with unions lacking majority status unless brought within six months of their execution" (362 U.S. at 425). It is hornbook law under the Act that minority unions may not execute union-security contracts and that a "coerced" majority does not satisfy the majority status required of an exclusive bargaining representative at the time of contract execution. International Ladies' Garment Workers' Union [Bernhard-Altmann Texas Corp.] v. N.L.R.B., 366 U.S. 731 (1961). This, then, leads to some consideration of how an employee designates or authorizes a labor organization as his bargaining representative. The conventional methods of authorizing a union to represent employees under this Act are by elections and union membership or authorization cards. Presumably, a written authorization is not necessarily required, but, in any event, there is always the question of proof in establishing the employee's authorization in the matter. The Supreme Court dealt extensively with this subject in N L.R.B. v. Gissel Packing Co., 395 U.S. 575 (1969), when it held that union authorization cards were a sufficient indicator of employee desires but that even such manner of proof of employee authorization was subject to attack on grounds of fraud, certain misrepresentations, or coercion. In other words, cards tainted in these respects may not and do not truly establish the employee's authorization to a union either at the time he signs such card or at any later material time, and this is so whether or not any unfair labor practice was involved in the securing of his card. The proviso reads, in part Provided , That no complaint shall issue based upon any unfair labor practice occurring more than six months prior to the filing of the charge with the Board and the service of a copy thereof upon the person against whom such charge is made , unless the person aggrieved thereby was prevented from filing such charge by reason of service in the armed forces, in which event the six -month period shall be computed from the day of his discharge. PAPER PRODUCTS AND MISCELLANEOUS LOCAL 27 The evidentiary matter of establishing the critical fact of majority union representation at the time a union-security contract is executed is somewhat akin to establishing the critical fact of employer motive at the time of an alleged unlawful discharge. If, before the 10(b) period, an employer threatens his employees with discharge should they join a union, evidence of such threat is clearly relevant and properly admissible should he discharge his employees when they join a union 7 months later. And in an appropriate case, one might properly sustain a finding of unlawful discharge even absent any additional showing of unlawful motive and even though the threat itself consti- tutes an unfair labor practice and was made more than 6 months before the discharge. So, too, do I view the critical factor of union majority status when a union executes a union-shop contract. In the present case I accordingly deem it appropriate under the 10(b) proviso to consider the circumstances under which the employees signed their authorization cards in order to "shed light" on the character of the cards in determining whether the cards on June 1 truly reflected the employees' authorization for union representation. As in Bryan Mfg., the gravamen of the complaint is the execution of the contract; unlike Bryan Mfg., however, the execution in this case fell within the 10(b) period. The Court in Bryan Mfg. was impressed with a legislative purpose of Section 10(b) "to stabilize existing bargaining relationships," albeit entered into outside the 10(b) period (362 U.S. at 419). However, no such purpose would be accomplished by applying Section 10(b) in determining the validity of a contract entered into within the limitations period therein stated. Upon all of the foregoing I find that Section 10(b) does not bar either consideration of or findings on evidence respecting COI's conduct in soliciting and obtaining Respondent Local's majority, and I accordingly conclude that Respondent Local Union did not represent an uncoerced majority of CCI's employees when they execut- ed their contract on June 1, 1972.5 CONCLUSIONS OF LAW 1. Combined Container Industries, Joint Venture, is an employer engaged in commerce within Section 2(6) and (7) of the Act. 2. Responden, Local 27 is a labor organization within Section 2(5) of the Act. 3. Respondent Local 27 has violated Section 8(b)(1)(A) and (2) of the Act by acting as exclusive bargaining representative of CCI's employees and by executing, maintaining, and otherwise implementing its union-securi- ty contract of June 1972 with CCI. 5 Dayton Motet, Inc, 192 NLRB 674, cited by CCI, involves, in effect, a Bryan Mfg situation in that Respondent sought to question the affected union's majority respecting a contract executed before the 10(b) period. The Court of Appeals for the Sixth Circuit disagreed with the Board on that point. N.L.R.B v. Dayton Motels. Inc, 474 F 2d 328 (1973). CCI also cites Barrington Plaza & Tragniew, Inc., 185 NLRB 962. That case also involved a majority representation question respecting a contract executed before the 10(b) period. There, too, the reviewing court did not fully agree with the Board N LR.B. v. Tragniew, Inc., 470 F.2d 669 (C.A. 9, 1972) CCI also cites N LR B v Frick Co., 423 F.2d 1327 (C.A. 3, 1970), to support a claim that . in view of its pre- 10(b) oral recognition of Respondent 889 4. The aforesaid unfair labor practices affect commerce within Section 2(6) and (7) of the Act. Ti1E REMEDY Having found the unfair labor practices above, I shall recommend remedial action necessary and appropriate to effectuate the policies of the Act. Such action will include cease-and-desist provisions from acting as statutory repre- sentative of CCI's employees until and unless its status as such is established in a Board-conducted election and from maintaining and implementing or otherwise giving effect to its June 1972 contract with CCI. The recommendations will also include, among other things, provisions for making whole CCI's employees for monies lost as a consequence of the union-security provisions of the 1972 contract having been foisted upon them as a condition of their employment as well as all other monies paid over by CCI to Respondent Union pursuant to said contract in behalf of or to the account of such employees. Upon the foregoing findings of fact, conclusions of law, and the entire record, and pursuant to Section 10(c) of the Act, I hereby issue the following recommended: ORDERS Respondent Paper Products and Miscellaneous Chauf- feurs, Warehousemen and Helpers, Local 27, affiliated with International Brotherhood of Teamsters, Chauffeurs, Warehousemen and Helpers of America, New York, New York, its officers, agents, and representatives, shall: 1. Cease and desist from: (a) Acting as the exclusive bargaining representative of any of the employees of Combined Container Industries, Joint Venture , unless and until said Union shall have demonstrated its majority representative status in a Board- conducted election. (b) Maintaining, enforcing, or giving any effect to union- security and any other provisions of its June 1, 1972, contract with CCI, or to any extension, renewal, or modification thereof. (c) In any like or related manner restraining or coercing CCI's or any other employer's employees in the exercise of their rights under Section 7 of the Act. 2. Take the following affirmative action: _ (a) Make whole all CCI employees, present or past since June 1, 1972, by reimbursing to each of them the amounts paid by them or withheld from their wages for dues and initiation fees and any other monies collected or received by Respondent pursuant to the aforesaid June 1, 1972, contract in behalf of or to the account of all such employees. Local in March 1972, it would have violated Sec 8(a)(5) had it withdrawn recognition from Respondent Local and not executed the June 1 agreement That case did not involve 10(b) considerations and is otherwise inapposite to the present proceeding 6 In the event no exceptions are filed as provided by Section 102.46 of the Rules and Regulations of the National Labor Relations Board, the findings, conclusions , recommendations , and Recommended Order herein shall, as provided in Section 102.48 of the 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. 890 DECISIONS OF NATIONAL LABOR RELATIONS BOARD (b) Post at its business office and meeting hall copies of the attached notice marked "Appendix." 7 Copies of said notice, on forms provided by the Regional Director for Region 29, after being duly signed by the Respondent Union's representative, shall be posted by the Respondent Union immediately upon receipt thereof, and be main- tained by it for 60 consecutive days thereafter, in conspicuous places , including all places where notices to members are customarily posted. Reasonable steps shall be taken by Respondent Union to insure that said notices are not altered, defaced, or covered by any other material. (c) Mail copies of said notice to each production employee of CCI. (d) Mail to the Regional Director for Region 29 signed copies of said notices for posting by CCI in places where notices to CCI employees are customarily posted. Copies of said notices, to be furnished by the Regional Director for Region 29, shall, after being duly signed by the Respondent Union's official representative, be forthwith returned to the Regional Director. (e) Notify the Regional Director for Region 29, in writing, within 20 days from the date of this Order, what steps the Respondent has taken to comply herewith. 7 In the event that the Board 's Order is enforced by a judgment of a United States Court of Appeals, the words in the notice reading "Posted by Order of the National Labor Relations Board " shall be changed to read "Posted Pursuant to a Judgment of the United States Court of Appeals Enforcing an Order of the National Labor Relations Board " APPENDIX WE WILL NOT perform or give effect to our agreement with Combined Container Industries dated June 1, 1972, covering the in-plant employees , or to any extension , renewal , or modification thereof , or to any superceding contract with Combined Container Indus- tries , nor will we otherwise act as exclusive bargaining representative of these employees, unless or until we have been duly certified by the National Labor Relations Boardas the exclusive representative of these employees. WE WILL reimburse Combined Container Industries employees for dues, initiation fees, and all other monies which were deducted or received by us pursuant to the agreement between us and Combined Container Industries dated June 1, 1972. Dated By NOTICE To EMPLOYEES POSTED BY ORDER OF THE NATIONAL LABOR RELATIONS BOARD An Agency of the United States Government WE WILL NOT restrain or coerce employees of Combined Container Industries , or any other employ- er, in the exercise of the rights guaranteed in Section 7 of the National Labor Relations Act, as amended. WE WILL NOT cause or attempt to cause Combined Container Industries , or any other employer, to discriminate against any employees in regard to their hire or tenure of employment, or any term or condition of employment, in violation of Section 8(a)(3) of the Act as amended. PAPER PRODUCTS AND MISCELLANEOUS CHAUFFEURS, WAREHOUSEMEN AND HELPERS, LOCAL 27, AFFILIATED WITH INTERNATIONAL BROTHERHOOD OF TEAMSTERS, CHAUFFEURS, WAREHOUSEMEN AND HELPERS OF AMERICA (Labor Organization) (Representative) (Title) This is an official notice and must not be defaced by anyone. 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. Any questions concerning this notice or compliance with its provisions may be directed to the Board's Office, 16 Court Street-4th Floor, Brooklyn, New York 11241, Telephone 212-596-3535. Copy with citationCopy as parenthetical citation