Pittsburgh Plate Glass Co.Download PDFNational Labor Relations Board - Board DecisionsMar 25, 194666 N.L.R.B. 1083 (N.L.R.B. 1946) Copy Citation In the Matter of PITTSBURGH PLATE GLASS COMPANY (COLUMBIA CHEMICAL DIVISION) and INTERNATIONAL BROTHERHOOD OF BOILER- MAKERS, IRON SHIP BUILDERS, WELDERS AND HELPERS OF AMERICA (AFL) Case No. 8-C-1720.-Decided March 25, 1946 Mr. Thomas E. Shroyer, for the Board. Messrs. Leland Hazard and H. W. Hawes, of Pittsburgh , Pa., for the respondent. Mr. Edward Piech, of Cleveland , Ohio, for the A. F. L. Mr. Stanley Denlinger, of Akron, Ohio, for the U. M. W. Mr. W. T. Lewis, of Columbus, Ohio, for the C. I. O. Miss Frances Lopinsky, of counsel to the Board. DECISION AND ORDER STATEMENT OF THE CASE Upon a charge filed by International Brotherhood of Boilermakers, Iron Ship Builders, Welders and Helpers of America (AFL), herein called the A. F. L., the National Labor Relations Board, herein called the Board, by the Regional Director of the Eighth Region (Cleveland, Ohio), issued its complaint, dated January 2, 1945, against Pittsburgh Plate Glass Company (Columbia Chemical Division), Barberton, Ohio, herein called the respondent, alleging that the respondent had engaged in and was engaging in unfair labor practices affecting com- merce, within the meaning of Section 8 (1) and (3) and Section 2 (fi) and (7) of the National Labor Relations Act, 49 Stat. 449, herein called the Act. Copies of the complaint accompanied by notice of hearing thereon were duly served upon the respondent and the A. F. L.1 With respect to the unfair labor practices, the complaint alleged in substance that the respondent : (1) on or about November 11, 1944, discharged or laid off George Matuch, Joseph Konich, William Deans, 1 Also upon the U. M. W, but "not as a formal party." 66 N. L. R. B., No. 134. 1083 1084 DECISIONS OF NATIONAL LABOR RELATIONS BOARD and Joseph Scanlon because they were members of and active on be- half of the A. F. L. and non-members of Local Union #13013 of the Gas, By-Product Coke and Chemical Workers, District 50, United Mine Workers of America, herein called the U. M. IV.; (2) since about October 1, 1944, urged, persuaded, and warned its employees to join the U. M. W. and threatened to discharge them for non-membership therein; and (3) thereby interfered with, restrained, and coerced its employees in the exercise of the rights guaranteed in Section 7 of the Act.2 On January 18, 1945, counsel for the U. M. W. having theretofore filed a written motion to intervene, the Regional Director issued an order allowing the U. M. W. to intervene in the proceeding "as its interests may appear or the Trial Examiner may grant." On Janu- ary 26, counsel for the respondent filed a written motion with the Board to transfer the case to the Board and to dismiss the complaint on the ground that the proceeding contravened provisions of the National Labor Relations Board Appropriation Act, 1945. On Janu- ary 29, the Board issued an order denying the motion. On February 2, counsel for the respondent having theretofore filed a written motion for certain subpenas, the Regional Director issued an order allowing the motion in part. Pursuant to notice, a hearing was held at Akron, Ohio, on February 6, 7, and 8, and at Pittsburgh, Pennsylvania, on February 23 and 24, 1945, before Josef L. Hektoen, the Trial Examiner duly designated by the Chief Trial Examiner. The Board, the respondent, the U. M. W., and Federation of Glass, Ceramic and Silica Sand Workers of America, CIO, herein called the C. I. 0.,3 were represented by counsel and the A. F. L. by a representative; all participated in the hearing. Full opportunity to be heard, to examine and cross-examine witnesses, and to introduce evidence bearing upon the issues was afforded all parties. At the opening of the hearing, counsel for the respondent filed a written motion to dismiss the complaint "by virtue of National Labor Relations Board Appropriation Act, 1945" and an offer of proof in support thereof; the motion was denied by the Trial Exam- iner on the basis of the Board's order of January 29. At the close of the Board's case on February 6, counsel for the U. M. W. moved to dismiss the complaint for failure of proof ; the motion was denied. On February 7, counsel for the U. M. W. reiterated his motion to dismiss the complaint and counsel for the respondent moved to dis- miss for failure or proof and because of contravention of the Appro- t The respondent filed no written answer but denied upon the record the commission of any unfair labor practices ' On the first day of the hearing , counsel for the C. I. O. Sled a written motion to intervene. It was allowed by the Trial Examiner on that day. PITTSBURGH PLATE GLASS COMPANY 108S priation Act of 1945 4 Ruling on the motion was reserved and was denied by the Trial Examiner in his Intermediate Report .-' At the close of the hearing, the motion of counsel for the Board to conform the complaint to the proof in formal matters was allowed without objection. On July 30, 1945, the Trial Examiner issued his Intermediate Re- port, copies of which were duly served upon the respondent and the participating unions . He found that the respondent had engaged in and was engaging in certain unfair labor practices affecting com- merce, within the meaning of Section 8 ( 1) and ( 3) of the Act, and recommended that it cease and desist therefrom and take certain affirmative action designed to effectuate the policies of the Act. There- after, the respondent filed exceptions to the Intermediate Report and a supporting brief. The charging union , herein called the A. F. L., filed a brief in support of the Intermediate Report. On November 26, 1945, the respondent filed a motion to supplement the record by the incorporation therein of two documents ; each dated November 6, 1945, entitled "Supplemental Agreement Concerning the Cooperation Clause," and "Joint Interpretation of the Supplemental ' The pertinent language of the Appropriation Act follows. No part of the funds appropriated in this title shall be used in any way in connec- tion with a complaint case arising over an agreement , or a renewal thereof , between management and labor which has been in existence for three months or longer with- out complaint being filed by an employee or employees of such plant ; Provided, That , hereafter , notice of such agreement , or renewal thereof, shall have been posted in the plant affected for said period of three months, said notice containing informa- tion as to the location at an accessible place of such agreement where said agree- ment shall be open for inspection by any interested person. * * * & The employees alleged to have been discriminated against were laid off pursuant to a practice followed by the respondent and the U. M. W. allegedly based upon the provisions of a contract between them executed May 11, 1944 , and dated April 9, 1944. A charge was filed more than 3 months after the date of the execution of the contract, not by an employee of the respondent No notice respecting the contract was ever posted in the plant . Plant Manager Robert L. Hutchison testified that on June 29 or 30, 1944, he distributed copies of the contract to all employees in the plant with their pay checks. The respondent thereafter maintained a replenished supply of such copies on a shelf near the time clocks in the plant which was "reserved for material of importance to all hourly employees" and where new employees were told " they receive all material of that type." Inasmuch as we hereinafter find that the respondent did not at any time prior to No- vember 1945 , enter into an agreement requiring membership in the U. M. W. as a condi- tion of employment and hence that the respondent 's 1944 contract did not justify the conduct alleged in the complaint as unfair labor practices , we find that this case did not arise over an agreement within the meaning of the Appropriation Act, and that the limi- tation contained in that Act is, therefore , not applicable to this case. The Trial Examiner erroneously assumed that the proceeding did arise over a contract, and that , although no notice respecting the contract was ever posted in the plant, the statutory requirement of notice was met in that the employees received actual notice of the contract through distribution thereof. He concluded , nevertheless , and we agree, that inasmuch as the respondent did not begin publicizing the contract until more than a month after it was executed , the posting requirement of the Appropriation Act had not been satisfied because it requires that notice shall be posted for the 3-month period next succeeding the execution of the contract. See the opinion of the Comptroller General of the United States, dated March 14, 1945, No. b-47778. 1086 DECISIONS OF NATIONAL LABOR RELATIONS BOARD Agreement Concerning the Cooperation Clause," respectively s The A. F. L. objected to the Board's consideration of these documents in its decision, on the ground that they were not executed until after the events alleged in the complaint as unfair labor practices had taken place. The A. F. L. agreed, however, that the documents offered are what they purport on their faces to be, and did not object to the Board's admitting them into the record to be considered by the Board in determining the remedy herein. While we agree with the conten- tion of the A. F. L. that these documents have no bearing on the issue of whether the respondent violated the Act, we nevertheless believe that it is desirable that the record contain an accurate picture of the clause which appears in the contract today. For this limited purpose, we hereby grant the respondent's motion and incorporate the documents into the record. On January 29, 1946, the Board at Washington, D. C., heard oral argument , in which the respondent, the A. F. L., and the C. I. O. par- ticipated. 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 Inter- mediate Report, the exceptions and briefs, the contentions advanced by the parties at the oral argument, and the entire record in the case and finds that the exceptions are without merit insofar as they are inconsistent with the findings of fact, conclusions of law, and order set forth below. Upon the entire record in the case, the Board makes the following : FINDINGS OF FACT 1. THE BUSINESS OF THE RESPONDENT The respondent, Pittsburgh Plate Glass Company, is a Pennsyl- vania corporation having its principal office at Pittsburgh, Pennsyl- vania. It owns and operates some 20 plants located in 15 States. Its principal products are flat, plate, window, and safety glass , paints, brushes, heavy chemicals, and cement. The plant at Barberton, Ohio, the only one involved in this proceeding, known as the Colum- bia Chemical Division, is engaged in the production and sale of heavy chemicals. It annually buys materials from points outside the State of Ohio valued at approximately 1 million dollars and annually The "Supplemental Agreement Concerning the Cooperation Clause," herein called the Supplemental Agreement , purports to be a supplement to the contract between the re- spondent and the U. M. W., dated April 9, 1944, more fully referred to hereinafter. In the Supplemental Agreement the respondent undertakes , in substance, to require em- ployees to join the U. M. W. and maintain membership in the U. M. W. by payment of dues upon pain of dismissal at the expiration of certain grace periods. PITTSBURGH PLATE GLASS COMPANY 1087 sells finished products to points outside the State of Ohio valued at at least 1 million dollars. The respondent admits that it is engaged in commerce , within the meaning of the Act. II. THE ORGANIZATIONS INVOLVED International Brotherhood of Boilermakers, Iron Ship Builders, Welders and Helpers of America (AFL) ; Local Union #13013 of the Gas, By-Product Coke and Chemical Workers, District 50, United Mine Workers of America; and Federation of Glass, Ceramic and Silica Sand Workers of America, CIO, are labor organizations admit- ting to membership employees of the respondent.7 III. THE UNFAIR LABOR PRACTICES A. Background; the respondent's recent labor relations history In 1936, the C. I. O. which was and is the bargaining agent of the production employees of the respondent's glass plants," conducted a strike for a closed shop, check-off of dues, a seniority policy, and increased wages. The strike terminated in 1937, the respondent granting the workers of the glass plants an increase in wages and "straight" seniority. Prior to 1940, the respondent, by urging its employees to become and remain members of the C. 1. 0., began a "practice of cooperation" with the C. I. O. to the end that it might maintain a substantially 100 percent dues-paying membership. In 1940, the C. 1. 0. picketed two of the respondent's plants in Ford City, Pennsylvania; the action resulted in substantially 100 percent membership of their employees in the C. I. O. In the same year the "practice of cooperation" was extended by the respondent to the U. M. W., representative of its employees of Barberton. In 1941, the C. I. O. demanded that the respondent agree to a union shop and check-off of dues. A compromise was arrived at whereby the respondent agreed to insert in the written contract between the parties the following clause: The Company agrees to continue the present practice of cooper- ating with the Union to the best interests of all parties. This clause was also included in the respondent's 1941 contracts with the U. M. W. at Barberton and with the A. F. L. at other plants. It 7 So far as is revealed by the record , the C . I O. has no members at the Columbia Chemical Division plant of the respondent . It has extensive membership among the em- plovees of the respondent 's plants elsewhere , however. 8 The A. F. L represents the cutters in the glass plants. 1088 DECISIONS OF NATIONAL LABOR RELATIONS BOARD has since appeared in the contracts annually entered into by the respondent with the three labor organizations .9 In 1942, as the result of the decision by the Supreme Court 10 that a company-wide unit of glass workers was appropriate for purposes of collective bargaining, the respondent's Crystal City, Missouri, plant came under the terms of the agreement with the C. I. 0. Some 10,000 employees of the respondent, including about 1,300 at the Barberton plant, are affected by the contracts at the time of the hearing. B. The cooperation clause in practice 1. At other plants The respondent was and is opposed to the closed shop and auto- matic collection of dues but believes that substantially 100 percent membership in any labor organization representing its employees is beneficial to efficiency of operation and that in order to maintain such membership, the representative should first be required to use its own best efforts to attain that end and that by being caused to do so, the representative is kept supple, dynamic, and in close and salutary touch with its members. The respondent's belief applies to dues col- lections as well. When the respondent is satisfied that the employee representative has used its best efforts to attain the desired goal, it will undertake to lend its assistance in the matter of convincing recalcitrant employ- ees that they should comply with its policy that their representative maintain substantially 100 percent membership among them. The extent and method of cooperation by the respondent varies from plant to plant. At the Creighton, Pennsylvania, plant, the management requests new employees to join the C. I. 0. within 60 days. Upon being fur- nished lists of non-members or dues delinquents by the Union, the respondent, assuming that it has exerted the required effort, delegates its foremen to speak to the individuals involved. Threats of discipli- nary action have been sufficient to achieve employee conformity to the respondent's policy. At Ford City, Pennsylvania, new employees are asked to "go along with the employees" and join the C. I. 0. When notified of recalci- trants by the union, supervisors successively ask them over a 3 pay-clay period to join the union or pay up their dues. Three employees have been discharged for non-membership, and one for failure to pay his dues. 6 The same provision also appears in the contract between the C. I. 0. and the Libbey- Owens-Ford Glass Company, covering some 7,200 hourly paid workers 10 Pittsburgh Plate Glass Co. v. N. L. R. B., 313 U. S. 146. PITTSBURGH PLATE GLASS COMPANY 1089 At Crystal City, Missouri, new employees are told that the C. I. O. represents the workers. The Union thereafter monthly notifies the respondent of delinquencies and management speaks to such employ- ees asking them to conform. If they are reported again the following month, the respondent sets a deadline for payment of back dues after the next pay day." At plenryetta, Oklahoma, only one employee has been reported to the respondent for delinquency. He was laid off but returned to work after 36 hours, having paid up his dues. New employees are not in- formed of the agreement with the C. I. O. At Mount Vernon, Ohio, when the respondent is "satisfied that sufficient effort has been made" by the C. I. 0.,12 recalcitrant employ- ees are told to make their "peace with the union" within 48 hours. Six cases of dues delinquency and one of non-nlenibership have been re- ported. One such employee quit rather than conform. New employees are not informed of "conditions" obtaining at the plant unless they request explanation thereof. At Clarksburg, West Virginia, the management speaks to non-con- formists upon notice from the C. I. O. No lay-offs have been necessary to bring them into line. The respondent occasionally advances slues of money to delinquents in order to enable them to return to good standing in the Union so far as dues are concerned. New employees are told that the respondent expects them to join the C. I. O. and if they object to doing so, it is suggested that they seek employment elsewhere. - At the cement plant in Zanesville, Ohio, the respondent is under contract with the A. F. L. Upon notification by that union, non- members and dues delinquents are asked by the management to join it and pay up. Six employees, five of whom complied and one of whom quit, have been so approached. New employees are told that the A. F. L. represents the employees and are requested by the re- spondent to join it. 2. At Barberton Finally, at Barberton , applicants for employment are told that they will be expected to join the F. M. W. and will not be hired if they state that they will not join. New employees are given copies of the contract and the U. M. W. is thereafter expected to use its best efforts to cause them to become and remain dues-paying members. After i In 1942 about 79 employees were laid off for failure to join the C 1 0 About 50 have since returned to work and become members thereof. Charges (Case No. 14-C-723) were thereafter filed against the respondent alleging the lay-offs to have been discrimina- tory The Regional Director at St. Louis refused to issue a complaint, however 12 John A. Watt, superintendent, testified that the adequac v of such effort "Is something, that I would have to judge for myself I don't think you set up any standards," 686572--4f3-7l, 1090 DECISIONS OF NATIONAL LABOR RELATIONS BOARD having done so,13 it reports recalcitrants to the respondent by means of monthly written lists.14 The respondent thereupon embarks upon a series of interviews with such employees, points out that their fail- ure to conform may result in disharmony, consequent inefficiency in the plant, and diminished production, and finally delivers an ulti- matum to the effect that failure to conform will' result in disciplinary lay-offs of indefinite duration beginning on definite dates.' From April 12 to December 27, 1944, the U. M. W. reported names of dues delinquents requiring 45 typewritten pages to list and from April 1944 through January 1945, names of non-members covering 25 pages. From April 9, 1944, the date of the current contract, to the time of the hearing, 6 employees, including the 4 alleged in this case to have been discriminated against, were laid off for non-membership 15 and 64 for dues delinquency.16 The length of lay-off is discretionary with the respondent. The penalty of discharge has not hitherto been in- voked at Barberton. Plant Manager Hutchison testified that he is prepared to invoke it should the occasion arise. Probationary em- ployees are exempt from the operation of the agreement for the 50- day period of their probation and part-time employees are not affected. The practice covers only membership and dues payments; the collection of union fines and the like does not concern the respond- ent. From time to time "exceptions" may occur. Examples thereof are the cases of those here alleged to have been discriminated against and respecting whom the facts are set forth infra. Neither the U. M. W. nor the respondent objects to dual unionism. C. The lay offs at Barberton Deans, Konich , Matuch, and Scanlon were laid off by the respond- ent on November 11, 1944, for failure to become members of the U. M. W. The first three returned to work on December 6. Scanlon, so far as is disclosed by the record, either retired or quit in the interim and was in California "for his health" at the time of the hearing. Deans was 63 years old , had worked for the respondent as a boiler- maker for 23 years , and had been a member of the A. F. L. for 44 years. Konich was 57, had worked for the respondent 27 years. and had been an A. F. L. member for 10. Matuch had been an A. F. L. member since 1906 and had worked for the respondent for 13 years. Scanlon, although the record does not disclose the details of his status, was also a long-time employee and A. F. L. member. 13 No criterion of what such effort entails appears in the record. 14 This practice began in April 1944. Before that time, oral reports were from time to time made by the Union $ Only one, Joseph Scanlon. was not working In the plant at the time of the hearing 16 All eventually paid up their dues and had returned to work at the time of the hearing. PITTSBURGH PLATE GLASS COMPANY 1091 The four employees were periodically reported to the respondent by the U. M. W. for non-membership beginning in 1941. In 1942, at the U. M. W.'s invitation, they had attended a meeting of its execu- tive board. They there stated that they declined to join that union on account of their apprehension that by doing so they might lose their A. F. L. insurance benefits. In 1943, the National War Labor Board had occasion to consider the contract between the respondent and the U. M. W. The latter requested a union shop and check-off of dues but "traded" such demand for the respondent's undertaking to render it greater aid in achieving 100 percent dues-paying member- ship among the employees. On November 2 and 9, 1944, Alvin Sherrill, personnel director of the Barberton plant, called the four to his office. On both occasions lie asked them to join the U. M. IV. and on the second, informed them that if they did not, he would "pull" their time cards. They (lid not join and ceased work on November 11. On November 18, the respondent replaced their cards in the rack and Matucli worked on that day but was advised by the A. F. L. to stay out of the plant until the matter was "settled." The others did not report and there is no evidence that the respondent directly informed any of them that they could return on November 18. On November 30, Sherrill invited Konich to return to work and on December 1, Deans and Matuch. Sherrill testified, and we find, that but for Scanlon's deci- sion to go to California, he would also have been invited to return. The three returned on December 6,17 and were working in the plant at the time of the hearing. They had not joined the U. Al. W. and were again being periodically reported to the respondent for non- membership by that organization. The record reveals that while the A. F. L. formerly represented a substantial number of the employees at the plant, it had not sought to bargain for its members there for some years. There is no evidence that the employees laid off would have lost their insurance benefits in the A. F. L. had they joined the U. M. W. They testified that while they were satisfied with their representation as employees through the U. M. IV., they did not want to join it because of the additional dues burden incident to membership in two labor organiza- tions. The respondent, the A. F. L., and counsel for the Board stipu- lated, and counsel for the U. Al. W. agreed, that the facts with respect to the employees' ages, their long-time service, Deans' parlous health and eligibility for early retirement, as well as the fact that they were needed at the plant in the face of the prevailing manpower shortage, were taken into consideration by the respondent and the 17 Their delay was occasioned by orders from the A. F. L. 1092 DECISIONS OF NATIONAL LABOR RELATIONS BOARD U. M. W. and created a special situation constituting an "exception" to the normal practice under the contract. D. Concluding findings The respondent argues that in the absence of a contest respecting representation it may insist that employees join a labor organization. The Act forbids discrimination to "encourage or discourage" member- ship in a union. The meaning of the words is plain . There is nothing in the Act to indicate that the prohibition applies only in the event that a union contest is in existence. The Board has held that dis- charges to favor a union when there is no contest , are illegal.i$ The findings made above do not require further discussion; it is plain that the respondent has encouraged membership in the U. M. W. We therefore reject the respondent's contention. The respondent further contends that it is nevertheless protected because the contract falls within the terms of the proviso to Section 8 (3) of the Act.1' The proviso excepts specifically from the pro- hibition against "discrimination in regard to hire or tenure of em- ployment or any term or condition of employment to encourage or discourage membership in any labor organization" such encourage- ment or discouragement under a contract with a legally recognized labor organization which requires as a condition of employment membership in such labor organization. We do not regard as controlling, testimony of management and U. M. W. representatives to the effect that in their opinion the re- spondent was bound to require membership in the U. M. W. as a condition of employment or that the respondent would accede to such a demand if the U. M. W. insisted on it. The record does not establish that the respondent agreed to bind itself to require member- ship in the U. M. W. as a condition of employment.20 Moreover. during the administration of the contract at the Barberton plant, no instance occurred in which the contracting parties were in dispute as to the extent of the respondent's obligation in this regard, and 1s Matter of Borg-Warner Corporation (Warner Gear Division), 44 N. L. R. B 105; see also N . L R B. v. Electric Vacuum Cleaner Company, Inc, 315 U. S. 685. 19 "Provided, That nothing in this Act * * ' shall preclude an employer from mak- ing an agreement with a labor organization ( not established, maintained , or assisted by any action defined in this Act as an unfair labor practice ) to require as a condition of employment membership therein, if such labor organization is the representative of the employees as provided in Section 9 (a), in the appropriate collective bargaining unit covered by such agreement when made " 20 Robert L Hutchison , the respondent 's plant manager at Barberton , testified : The agreement we reached was to see that all members of the union stayed in good standing and paid their dues. Further , we agreed that as long as the union main- tained a majority of the employees, voluntary members of the union, that we would talk to the small minority and assist the union in maintaining a 100 percent mem- bership. PITTSBURGH PLATE GLASS COMPANY 1093 consequently the respondent's conduct in urging, persuading, and warning employees to join the U. M. W. or in threatening them with discharge for non-membership therein, indicates no more than that the respondent thus desired to "cooperate" with the U. M. W. Indeed, according to testimony of U. M. W. officials, which we credit, the U. M. W. had since 1941 repeatedly reported to the respondent that Matuch, Scanlon, Deans, and Konich refused to join the U. M. IV. and had requested the respondent to take action to require their membership in the U. M. W. The respondent, nevertheless, allowed the four non-member employees to work for it for more than 3 years after it had agreed to "cooperate" with the U. M. W., before it took any step to force them to join the U. M. IV. After a short disci- plinary lay-off in 1944, the respondent reinstated three of the four employees, although they persisted in their refusal to join the U. M. W. Thereafter, the U. M. W. continued unsuccessfully to insist that the respondent force the three reinstated employees to become members of the U. Al. «'. We do not believe that the re- spondent's treatment of Deans, Konich, Matuch, and Scanlon is con- sonant with an obligation on its part to require of its employees membership in the U. M. W. Under the circumstances we find, as did the Trial Examiner, that the respondent retained unto itself under the contract virtually unlimited discretion as to whether to require dues-paying membership in the U. M. W. in any specific instance. Counsel for the respondent stated at the hearing before the Trial Examiner that the respondent believes "in unionism so long as there is complete democracy involved in the unionism * * we don't believe in a union which becomes divorced from its membership * * (nor] in a union leadership that has no contact with its membership" and explained with respect to the cooperation plan, "We think there is value in that initial contact between the Union representatives and the new employee * * * and the old employee who has been hold- ing out for one reason or another for years. We think that that sort of grass roots relationship * * * is the best guarantee of a well managed, responsible union." He further enunciated the re- spondent's belief that "the union leadership should be constantly on trial; that it should have to have contact with its membership; that it should have to justify itself from year to year. And any time that leadership can't gain and hold the voluntary adherence of the big majority of the employees in the unit, then, we should not be obligated to carry out our part of this form of union security," and he characterized the plan as "this broad, treaty-like understanding which gives us the leeway, the flexibility and the latitude to have thiq kind of unionism in the plant." 1094 DECISIONS OF NATIONAL LABOR RELATIONS BOARD Without regard to any merits the plan may have, it is plain, and we find that it is uncertain in operation, subject to the caprice of the respondent, and quite apparently not the type of arrangement con- templated by the Congress and specified in the proviso.21 Although the proviso to Section 8 (3) may be satisfied by a contract, written or oral, which exempts certain classes of employees from the require- ment of union membership, the proviso affords no protection to an arrangement in which an employer may at will discriminate in favor of or against any employee with respect to the requirement of union membership. An employer, however excellent its motives, may not refuse to execute the sort of agreement contemplated by the proviso and later invoke the proviso as a defense to a discharge made under a different agreement. It would appear, however, that the respondent's conduct in this case would have been justified if it had taken such action pursuant to the Supplemental Agreement dated November 6, 1945, inasmuch as in that agreement the respondent apparently bound itself to require membership in the U. M. W. as a condition of employment. That agreement considerably cuts down the area of the respondent's dis- cretion by defining specific steps of action to be taken by the respond- ent at specified time intervals, the steps graduating from a "firm request" by a representative of the respondent that the recalcitrant employee put himself in good standing with the union, to final dis- charge of the employee for having failed to do so. Although the written joint interpretation of the Supplemental Agreement recog- nizes unusual circumstances which give rise to "exceptions" to the strict application of the procedures outlined in the Supplemental Agreement, the policy of making exceptions to alleviate unusual circumstances is made subordinate to "the agreed objective of the cooperation clause; namely, 100% regular dues-paying Union mem- bership in the established collective bargaining unit." However, inasmuch as the cooperation plan lacked certainty of obligation, and therefore did not come within the protection of the proviso at the time disciplinary lay-off was applied thereunder to the four employees herein involved, it follows and we find that the re- spondent has discriminated against them regarding the hire and tenure of their employment, thus encouraging membership in the U. M. W. in contravention of Section 8 (3) of the Act and has there- 21 We perceive no merit in the argument of our colleague , Mr Houston, dissenting here- in, that the cooperation plan should be protected because it has resulted in stable and harmonious relationship between the respondent and the U . M. W. We have never recognized stability and harmony of relationship between respondent and union as a defense to a violation of the Act ; the factor is ever present in cases concerning domi- nated or assisted unions. Moreover , the fact that this case reached the Board is an indication that the relationship is not so harmonious as the parties contend, that perhaps more harmony would be attained if the contract under which stable harmonious relation- ship was attempted met the requirements of the proviso as interpreted in this decision PITTSBURGH PLATE GLASS COMPANY 1 095 by, and by urging, persuading, and warning its employees to join the U. M. W. and threatening them with and applying discipline for non-membership therein and for failure to pay dues thereto, interfered with, restrained, and coerced its employees in the exercise of the rights guaranteed in Section 7 of the Act .22 IV. THE EFFECT OF THE UNFAIR LABOR PRACTICES UPON COMMERCE The activities of the respondent found to be unfair labor practices and set forth in Section III, above, occurring in connection with the operations of the respondent set forth in Section I, 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 has been found that the respondent has engaged in and is engag- ing in certain unfair labor practices . We shall order that it cease and desist therefrom and take certain affirmative action designed to effectuate the policies of the Act. Having found that the respondent has discriminated in regard to the hire and tenure of employment of William Deans, Joseph Konich, George Matuch , and Joseph Scanlon , we shall order that the respond- ent offer to Joseph Scanlon immediate and full reinstatement to his former or substantially equivalent position without prejudice to his seniority and other rights and privileges .23 The others have already been reinstated. In view of the action of the Regional Director at St. Louis in refusing to issue a complaint respecting the lay-offs of the respond- ent's employees at its Crystal City plant, and on the entire record, we do not consider that it would effectuate the policies of the Act to order the respondent to reimburse the employees involved in the instant proceeding for any pay they may have lost by reason of its action with respect to them.24 Normally, in cases in which an employer has unlawfully encouraged membership in a union and has unlawfully discriminated against n The respondent contends that its action with reference to the employees involved does not constitute a violation of Section 8 (1) of the Act . We find this contention to be without merit. " There is no showing in the record that Scanlon decided to remove to California prior to his lay-off. Had he not been laid off, it is possible that he would not have gone and instead would be at work for the respondent . Because of these circumstances, and in order to effectuate the purposes of the Act, we deem it appropriate that the respondent offer him reinstatement. 26 See Matter of M. and M. Wood Working Company, 6 N. L. R. B. 372; Matter of Smith Wood Products, Inc, 7 N. L. R. B 950; Matter of McKesson & Robbins. Inc., 19 N. L. It. B . 778 ; Matter of Golden Turkey Mining Co , 34 N L. R B. 760. 1096 DECISIONS OF NATIONAL LABOIL RELATIONS BOARD employees by lay-off, in addition to affirmative relief, we order the employer to cease and desist from in any manner infringing upon the rights guaranteed in Section 7 of the Act. However, in the instant case, the respondent acted as it did because it believed in good faith, though mistakenly, that the,contract, under which it acted, afforded it protection under the proviso to Section 8 (3) of the Act. Under the circumstances and, in view of the absence of any evidence that danger of other unfair labor practices is to be antici- pated from the respondent's conduct in the past, or that the respond- ent is opposed to the self-organization of its employees, generally, we shall merely enjoin the respondent from engaging in the conduct found to be violative of the Act.25 Nothing in our order hereinafter set forth shall be taken to pro- scribe conduct of the respondent protected by the proviso to Section 8 (3) of the Act. Upon the basis of the foregoing findings of fact and upon the entire record in the case, the Board makes the following: CONCLUSIONS or L_4w 1. International Brotherhood of Boilermakers, Iron Ship Builders, Welders and Helpers of America (AFL) ; Local Union .#13013 of the Gas, By-Product Coke and Chemical Workers, District 50, United Mine Workers of America; and Federation of Glass, Ceramic and Silica Sand Workers of America, CIO, are labor organizations, within the meaning of Section 2 (5) of the Act. 2. By discriminating in regard to the hire and tenure of employ- ment of Williams Deans, Joseph Konich, George Matuch, and Joseph Scanlon, the respondent has engaged in and is engaging in unfair labor practices, within the meaning of Section 8 (3) of the Act. 3. By interfering with, restraining, and coercing its employees in the exercise of the rights guaranteed in Section 7 of the Act, the respondent has engaged in and is engaging in unfair labor practices, within the meaning of Section 8 (1) of the Act. 4. The aforesaid unfair labor practices are unfair labor practices affecting commerce, within the meaning of Section 2 (6) and (7) of the Act. ORDER Upon the entire record in the case, and pursuant to Section 10 (c) of the National Labor Relations Act, the National Labor Rela- tions Board hereby orders that the respondent, Pittsburgh Plate z See N. L It B. v Express Publashtnu Company, 312 U. S 426; May Department Stores N. L R. B, 326 I 8 376. PITTSBURGH PLATE GLASS COMPANY 1097 Glass Company (Columbia Chemical Division). Barberton, Ohio,, :uxl its officers, agents, successors, and assigns, shall: 1. Cease and desist from : (a) Encouraging membership in Local Union #13013, of the Gas, By-Product Coke and Chemical Workers, District 50, United Mine Workers of America or any other labor organization of its employees, or discouraging membership in International Brotherhood of Boiler- makers, Iron Ship Builders, Welders, and Helpers of America (AFL), or any other labor organization of its employees, by warnings and threats of economic reprisals, by laying off any of its employees. or by discriminating in any other manner in regard to their hire or tenure of employment, or any term or condition thereof. 2. Take the following affirmative action which the Board finds will effectuate the policies of the Act : (a) Offer to Joseph Scanlon immediate and full reinstatement to his former or a substantially equivalent position, without prejudice to his seniority or other rights and privileges; (b) Post at its Barberton, Ohio, plant, copies of the notice attached hereto, marked "Appendix A." Copies of said notice, to be furnished by the Regional Director for the Eighth Region, shall, after being duly signed by the respondent's representative, be posted by the respondent immediately upon receipt thereof, and maintained by it for sixty (60) consecutive days thereafter, in conspicuous places, including all places where notices to employees are customarily posted. Reasonable steps shall be taken by the respondent to insure that said notices are not altered, defaced, or covered by any other material : (c) Notify the Regional Director for the Eighth Region in writing, within ten (10) days from the date of this Order, what steps the respondent has taken to comply herewith. MR. JOHN M. HOUSTON, dissenting: I would dismiss the complaint in this case because I consider that the union security agreement between the Company and the Union falls within the meaning and intent of Congress as expressed in the proviso to Section 8 (3) of the Act.26 The pertinent portion of that agreement is found in a clause in the contract between the Company and the Union which was in effect at the time when the lay-offs occurred. That clause is as follows: The Company agrees to continue the present practice of coopera- tion with the Union to the best interests of all parties. w The proviso is as follows - Provided , That nothing in this Act * * * shall pre- clude an employer from making an agreement with a labor organization ( not established, maintained , or assisted by any action defined )n this Act as an unfair labor practice) to 098 DECISIONS OF NATIONAL LABOR'RELATIONS BOARD At the hearing before the Trial Examiner evidence was adduced to show that this clause was written to express a verbal agreement between the parties whereby the Company undertook to assist the Union to maintain 100 percent dues-paying membership among the employees in the unit for which the Company recognized the Union. Although no issue was raised that the Union was not the majority representative of the Company's employees in an appropriate unit, the majority of the Board have, found that this clause, as interpreted by explicit evidence as to its meaning and as to the practice of the parties, is not protected by the proviso, and hence is not a defense to allegations of violation of, Section 8 (3) arising out of the disciplinary lay-offs in question. The rationale of the majority concedes that this Board has hitherto given effect to agreements providing for union security although such agreements were oral in form,, Moreover, the majority recognize that such decisions of this Board have been approved in the courts. The basis of my colleagues' decision, then, lies in their narrow finding that the clause in question reserves to the Company an unlimited discretion as to whether the Company shall or shall not be bound to require membership in the Union as a condition of employment. Such discretionary latitude is found incompatible with the require- ments of the proviso. The majority, however, have found that if the "Supplemental Agreement Concerning the Cooperation Clause" which the Company sought to introduce, had been in effect at the time of the lay-offs, the respondent would have been justified in laying off the four individuals concerned, "inasmuch as in that agree- ment the respondent apparently bound itself to require membership in the UMW as a condition of employment." The alleged lack of certainty, therefore, in the mutual rights and obligations of the parties under the cooperation clause, more specifically those of the Company, constitutes the substance of my colleagues' position. The undisputed testimony as to the history of labor relations at this and other plants of the Company which operate under the cooperation clause, in my judgment, emphatically refutes the notion that there is such a lack of certainty and definite- ness in the obligation of the Company as to render its agreement invalid under the proviso. It was contended by the Company at the hearing that it considered itself bound to discipline a non-dues-paying employee if the Union insisted upon such action. Similar contentions were made by both the U. M. W. and the C. I. 0. Xis true that the Company reserved a measure of discretion to itself with respect to the enforcement of require, as a condition of employment , membership therein, if such labor organization is the representative of the employees as provided in Section 9 (a) In the appropriate col- lective bargaining unit provided by such agreement when made, PITTSBURGH PLATE GLASS COMPANY 1099 disciplinary action against delinquent employees. This reservation, however, was an integral part of the verbal agreement expressed in the cooperation clause. This measure of discretion, moreover, was limited to exceptional cases--cases where old age, illness or other special circumstances created special equities in a delinquent's favor against the ordinary and usual application of the Company's duty to the Union. Indeed, the cases of the four individuals in question here may properly be classified as coming within the exceptional category 27 However, although the Company, in the exercise of this limited measure of discretion may postpone action in a hardship case, the record is clear that in no case in which the Union has insisted upon discipline has the Company refused to acknowledge its obliga- tion. It therefore appears that the Company and the contracting unions recognize the cooperation clause as creating a binding com- mitment upon all, and the record in no instance affords a basis for a contrary conclusion. In such circumstances the alleged defect which constitutes the basic factor in the majority decision appears without support in the record before us. The "Supplemental Agree- ment Concerning the Cooperation Clause," and the "Joint Interpreta- tion" which accompanied it, which the majority have described as now creating an apparent binding obligation on the Company, is no more in substance than a codification of existing practice under the cooperation clause. As such it does not create a new obligation but merely reaffirms an old one. The legislative history of the proviso to Section 8 (3) indicates that it is permissive in character. Its enactment was premised upon the desire of Congress to leave unaffected the many and diversified forms of union security agreements extant in the various States and throughout American industry. The use of the term "agree- ment" in the proviso indicates the elasticity of the Congressional intent in this respect. The requirements that the agreement be with a bona fide union which was the representative of a majority of employees in an appropriate unit when the agreement was made, appear to be safeguards which the legislature erected to counteract abuse of the permission granted in the proviso. In the instant case it is conceded that these other requirements have been met. It seems to me therefore that the agreement in question was of a type and form sanctioned by the proviso. Even a casual examination of the record in this case will disclose a highly gratifying instance of successful labor-management relations. Since 1941 in the Barberton plant, and since various previous dates in the other plants of the Company, the relationship between the unions and the Company under the cooperation clause has been 77 This explains the delay adverted to in the majority decision in regard to the treat- ment of these individuals. 1100 DECISIONS OF NATIONAL LABOR RELATIONS BOARD such as to indicate that the collective bargaining process has been working. That the parties have achieved an amicable and thoroughly workable modus operandi under something less than it "classic" closed shop, originally demanded by the Union and rejected by the Company, shows a rare allegiance to the principle and spirit of col- lective bargaining. Moreover, the instances of disciplinary action taken by the Company have been few.211 Doubtless the good faith of the Company in undertaking its program of cooperation, with its consequent education of the employees involved in the necessities of the relationship, has borne fruit in a history of peaceful and stable labor relations. There is no instance in this record of work stoppage due to misunderstanding of the mutual rights and obligations of the parties under the cooperation clause or to irritations arising from lack of cooperation in that regard. This indicates, in my judgment, it complete understanding of the respective positions under the agreement of the employees on one hand and the management on the other. The effect of the majority decision inevitably will be to disrupt that understanding and to open tip and make uncertain a relationship which has been stabilized for approximately 5 years.28 APPENDIX A NOTICE TO ALL Ejn'LOYEEs PLitSUANT TO .1 DECISION AND ORDER of the National Labor Relations Board , and in order to effectuate the policies of the National Labor Relations Act, we hereby notify our employees that : WE WILL NoT encourage membership in Local Union # 13013, of the Gas, By-Product Coke and Chemical Workers, District 50, United Mine Workers of America or any other labor organiza- tion of our employees , or discourage membership in Inter- national Brotherhood of Boilermakers , Iron Ship Builders, Welders and Helpers of America (AFL), or any other labor organization of our employees , by warnings and threats of eco- nomic reprisals, by laying off any of our employees, or by dis- criminating in any other manner in regard to their hire or tenure of employment , or any term or condition thereof, except insofar as such conduct is protected by the proviso to Section 8 (3) of the Act. WE WILL OFFER to the employee named below immediate and full reinstatement to his former or substantially equivalent position 28 Some 40 disciplinary lay-offs have occurred in all plants of the Company employing upwards of 20,000 employees. With respect to the Rider to the Appropriations Act, I would find no bar to this proceeding in that the Company at no time complied with the posting provisions therein. PITTSBURGH PLATE GLASS COMPANY 1101 without prejudice to any seniority or other rights and privileges previously enjoyed. JOSEPH SCANLON All our employees are free to become or remain members of the above-named unions or any other labor organization. We will not discriminate in regard to hire or tenure of employment or any term or condition of employment against any employee because of member- ship in or activity on behalf of any such labor organization, except insofar as such conduct is protected by the proviso to Section 8 (3) of the Act. PITTSBURGH PLATE GLASS COMPANY, (Columbia Chemical Division) Employer. Dated .................. By.................................... (Representative ) ( Title) NOTE.-Any of the above-named employees presently serving in the armed forces of the United States will be offered full reinstate- ment upon application in accordance with the Selective Service Act after discharge from the armed forces. This notice must remain posted for GO days from the date hereof, and must not be altered, defaced, or covered by any other material. Copy with citationCopy as parenthetical citation