Schrementi Bros., Inc.Download PDFNational Labor Relations Board - Board DecisionsDec 3, 1969179 N.L.R.B. 853 (N.L.R.B. 1969) Copy Citation SCHREMENTI BROS ., INC. 853 Schrementi Bros., Inc. and Retail Clerks Union, Local 1504, AFL-CIO Schrementi Bros ., Inc. and Retail Clerks Union, Local 1504, AFL-CIO, Petitioner. Cases 13-CA-8180 and 13-RC- 11354 December 3, 1969 DECISION, ORDER, AND DIRECTION OF SECOND ELECTION BY CHAIRMAN MCCULLOCH AND MEMBERS FANNING AND JENKINS On June 4, 1969, Trial Examiner Sydney S. Asher issued his Decision in the above-entitled proceedings, finding that the Respondent had engaged in certain unfair labor practices alleged in the complaint and recommending that it cease and desist therefrom and take certain affirmative action, as set forth in the attached Trial Examiner's Decision. He further found the Respondent had not engaged in certain other unfair labor practices alleged in the complaint and recommended dismissal as to them. In addition, the Trial Examiner found that the Respondent had engaged in objectionable conduct prior to the election held in Case 13-RC-1 1354 and recommended that the said election be set aside and a new election ordered. Thereafter the Respondent, the Union, and the General Counsel filed exceptions to the Decision and supporting briefs. Pursuant to the provisions of Section 3(b) of the National Labor Relations Act, as amended, the National Labor Relations Board has delegated its powers in connection with this case to a three-member panel. The Board has reviewed the rulings of the Trial Examiner made at the hearing and finds that no prejudicial error was committed. The rulings are hereby affirmed. The Board has considered the Trial Examiner's Decision, the exceptions and briefs, and the entire record in the case, and hereby adopts the findings,' conclusions, and recommendations of the Trial Examiner, as modified herein: 1. We do not agree with the Trial Examiner that the Respondent's general manager Harold Staley, unlawfully interrogated employee Morris Doolittle. According to Doolittle, he and Staley had two conversations in 1967. On one occasion in late November, Staley asked him if he "had heard anything about the Union trying to organize in the store" and then said that "the union wasn't any good because he had his own experiences with them." Doolittle also stated that during a second conversation on December 15, Staley inquired as to ' We concur with the Trial Examiner ' s finding that the threatening conduct toward , and assaults on union agents by Respondent's President Schrementi , violated Section 8(a)(I) of the Act The Trial Examiner, however, inadvertently failed to include a remedy particularly addressed to this illegal activity and the General Counsel excepted to that failure Accordingly, we amend the Order and Notice to provide therefor. how he "felt about the Union?" Staley testified, however, that he had only one conversation with Doolittle and that occurred in November. His words at that time were, "I presume that you have heard word going around the store that the Union is trying to organize. I don't know how you feel about this situation and I would like to try to tell you some of the advantages and disadvantages of a union being in the store." Although finding that Staley's account of his conversation with Doolittle more reliable than Doolittle's version, the Trial Examiner attributed to Staley a remark culled from Doolittle's account of a December conversation. Thus, the Trial Examiner's conclusion that Staley unlawfully interrogated Doolittle in November 1967 contradicts his own credibility findings. Relying only on Staley's credited testimony as quoted above, we find no evidence that in his conversation with Doolittle, Staley violated Section 8(a)(1) of the Act. 2. The Trial Examiner based further unfair labor practice findings on certain statements made by Respondent's President Schrementi, to three employees: Nickie Kloss, Penny Kloss, and Morris Doolittle. During a conversation with Nickie Kloss on February 7, 1968, Schrementi asked, "Why are you against me?" The following day, he said to her sister, Penny, "How come you are not for me?" The Trial Examiner reasoned that Schrementi thereby implied that he knew that the Kloss sisters intended to vote for the Union and thus created the impression that he had engaged in surveillance of their union activities. We find no merit in this conclusion. The record reveals that the Kloss girls made no attempt to conceal their support for the Union. In fact, Penny Kloss acknowledged that word had spread through the store that both she and her sister had signed union authorization cards. Further, she told a supervisor that she generally favored unions. Since the girls' union sympathies were a matter of common knowledge and they were aware that their views were known to others, we cannot infer that they assumed from Schrementi's statement that their union activities were under surveillance. Accordingly, we do not find such statements violative of Section 8(a)(1) of the Act. The incident with Doolittle occurred prior to Christmas 1967, shortly after a supervisor informed Schrementi that Doolittle was copying names of employees from time cards. Schrementi accused Doolittle of obtaining the names for the benefit of the Union. In referring to the union agents, he admittedly said, "I know they are around, I have been told they are." The Trial Examiner's conclusion that Schrementi's remarks indicated "he was engaging in surveillance of the Union agents' conduct of Union affairs" is not justified by the facts. 179 NLRB No. 147 854 DECISIONS OF NATIONAL LABOR RELATIONS BOARD It is clear that the Union's interest in organizing the employees was generally known throughout the store. The union agents themselves made no effort to conceal their activities. Indeed, on three occasions earlier in December, union representatives openly visited the supermarket, and on two of these visits had altercations with Schrementi. Moreover, Doolittle, according to his own testimony, .made it evident to a supervisor that he supported the Union. For the above reasons, we do not adopt the Trial Examiner's finding . that these comments of Schrementi to Doolittle violated Section 8(a)(1). 3. Although finding that the Respondent had engaged in unlawful activity, the Trial Examiner nevertheless was persuaded that the Respondent did not act in bad faith in refusing to recognize and bargain with the Union. While we affirm his dismissal of the 8(a)(5) allegation of the complaint, we do not rely on his good-faith rationale.2 In judging when a bargaining order is appropriate in a case where an employer has refused a request to bargain based on -signed- authorization cards, the Supreme Court in N.L.R.B. v. Gissel Packing Company.' recently stated that an employer's good-faith doubt is largely irrelevant. Rather, the Court instructed the Board to determine whether the gravity of the employer's unfair labor practices has so diminished the possibility of ensuring a fair election that employee free choice is better ascertained by resort to signed authorization cards than by an election.4 With this standard in mind, we conclude that the Respondent's misconduct was not sufficiently flagrant to prevent the conduct of a fair rerun election. The 8(a)(l) violations found here were neither so extensive in number nor pervasive in character that they warrant an 8(a)(5) finding or require a bargaining order to remedy their unlawful effect. 4. The Union timely filed 7 objections to the election conducted on February 9, 1968. Of these, the Trial Examiner sustained Objections 3, 4, 5, and 7. We adopt his recommendations as to Objections 3 and 5, but do not agree with his disposition of Objection 4.1 Objection 4 alleges that the Employer granted wage increases to employees for the purpose of discouraging them from voting for the Union. In support of this charge, an employee, Mrs. Russell, testified that she complained to Schrementi that her wages were less than those of an employee who had 'Having decided that a bargaining order is inappropriate in this case, we do not reach questions relating to the Trial Examiner 's findings as to challenged authorization cards or inclusion in the unit of Schrementi's nephew 3395 U S. 575. '/bid 'In the absence of exceptions thereto, we adopt, pro forma , the Trial Examiner 's recommendations dismissing Objections I, 2, and 6 Since we conclude that the conduct alleged in Objections 3 and 5 warrants setting aside the election , we find it unnecessary to pass on Objection 7 worked in the store for a shorter period of time than she had. Subsequently, 10 days prior to the election, she received an increase from $1.65 to $1.75 an hour. In finding merit in the objection, the Trial Examiner apparently did not take into account testimony clarifying the circumstances under which Mrs. Russell received the pay raise. The record establishes that it was Mrs. Russell who initiated the conversation with Schrementi in which she raised the question of her salary. She testified that Schrementi explained that full-time employees made more money than she did as a part-time employee. She then requested reclassification as a full-time employee. Mrs. Russell further stated that only after she was reclassified and began to work more hours did she receive a pay raise. Given these additional factors, we are persuaded that Mrs. Russell received a wage increase in the normal course of the Employer's business, not as a gratuitous benefit designed to affect her vote in the forthcoming election. We conclude, therefore, that this objection is without merit. ORDER Pursuant to Section 10(c) of the National Labor Relations Act, as amended, the National Labor Relations Board adopts as its Order the Recommended Order of the Trial Examiner, as modified below, and hereby orders that the Respondent, Schrementi Bros., Inc., South Chicago Heights, Illinois, its officers, agents, successors, and assigns, shall take the action set forth in the Trial Examiner's Recommended Order, as herein modified: 1. Add the following as paragraph l (a) and reletter the subsequent paragraphs accordingly: "1. Cease and desist from: (a) Committing physical assaults and batteries upon union representatives." 2. Add as the first indented paragraph in the Appendix: WE WILL NOT commit physical assaults and batteries upon union representatives. IT IS FURTHER ORDERED that the election conducted herein on February 9, 1968, be, and it hereby is, set aside. [Direction of Second Election' omitted from publication.] 'in order to assure that all eligible voters may have the opportunity to be Informed of the issues in the exercise of their statutory right to vote, all parties to the election should have access to a list of voters and their addresses which may be used to communicate with them . Excelsior Underwear Inc, 156 NLRB 1236, N L R B v Wyman -Gordon Company, 394 U S. 759 Accordingly, it is hereby directed that an election eligibility list, containing the names and addresses of all the eligible voters, must be filed by the Employer with the Regional Director for Region 13 within 7 days after the date of issuance of the Notice of Second Election by the Regional Director The Regional Director shall make the list available to all parties to the election No extension of time to file this list shall be SCHREMENTI BROS ., INC. 855 TRIAL EXAMINER'S DECISION Upon the entire record in these cases ,2 and from my observation of the witnesses , I make the following- SYDNEY S. ASHER, Trial Examiner: On December 19, 1967, Retail Clerks Union, Local 1504, AFL-CIO, herein called the Union, filed charges in Case 13-CA-8180 against Schrementi's Food and Liquors, South Chicago Heights, Illinois. On February 2, 1968„ a first amended charge was filed and on April 12, 1968, a second amended charge. These referred to the Respondent as Schrementi Bros., Inc. On October 4, 1968, the General Counsel of the National Labor Relations Board issued a complaint which alleged that the Respondent, since on or about November 1967, has interfered with, restrained, and coerced its employees in the exercise of rights protected by Section 7 of the National Labor Relations Act (29 U.S.C Sec. 151, et seq.), herein called the Act. It further alleged that since on or about December 22, 1967, the Respondent has refused to recognize or bargain with the Union as the bargaining representative of the Respondent's employees in an appropriate unit, although the Union had been designated as such representative by a majority of the employees in the unit, and had requested recognition as such representative. It is alleged that this conduct violated Section 8(a)(1) and (5) of the Act. The Respondent filed an answer admitting that the Union requested recognition as the bargaining agent of the Respondent's employees in an appropriate unit, and that it declined to grant such recognition, but alleging that it did so "because it had a good faith doubt that the Union represented a majority of the Respondent's employees" in the unit, and denying the commission of any unfair labor practice On December 9, 1968, the General Counsel issued an amendment to the complaint. Thereafter, the Respondent filed an answer thereto. Case 13-RC-11354 arises out of an election conducted by the Regional Director among the Respondent's employees on February 9, 1968, which the Union lost. The Union filed timely objections to conduct affecting the results of the election. On October 9, 1968, (after the issuance of the complaint in Case 13-CA-8180) the Regional Director issued a report on objections in Case 13-RC-11354, in which he found that "substantial and material issues have been raised by the objections which can best be resolved on the basis of record testimony. . developed at a hearing." In view of the identity of issues, the Regional Director consolidated Case l3-CA-8180 with Case 13-RC-11354. A consolidated hearing was held before me in Chicago, Illinois, on various dates between December 10, 1968, and January 24, 1969, both dates inclusive. All parties were represented and participated fully in the hearing. During the hearing, on motion of the Respondent, I dismissed one part of the complaint for lack of evidence.' After the close of the hearing each party filed a brief. These have been duly considered. granted by the Regional Director except in extraordinary circumstances Failure to comply with this requirement shall be grounds for setting aside the election whenever proper objections are filed 'The allegation in question was that on or about February 7, 1968, Jalane Schultz , a supervisor , had 'interrogated employees concerning such employees ' union activities , membership and desires " The only witness produced by the General Counsel to testify with regard to this allegation was Penny Kloss, an employee, who described a conversation between herself and Schultz on February 7, 1968 On direct examination, the witness testified: Q Do you specifically recall anything she asked you' A No, she didn't ask me anything In view of this testimony I held that the General Counsel had failed to FINDINGS OF FACT The complaint alleges, the answer admits, and it is found that the Respondent is, and at all material times has been, an employer engaged in commerce as defined in the Act, and its operations meet the Board's jurisdictional standards;' and that the Union is, and at all material times has been, a labor organization within the meaning of the Act A. The Setting The Respondent's store is a supermarket operation, with six checkout lanes. It remains open from 8 a.m. until I1 p.m. daily, 7 days per week. It is one of four stores located in a shopping center These four stores share a common parking lot on which there is a sign reading- "American Plaza." The Respondent's store contains no employee "break room" or lounge. The Respondent's meat department employees are represented for purposes of collective bargaining by a labor organization identified on the record only as "a meat cutter's union " The other employees, so far as the record shows, had never been organized prior to the events described herein. In September or October 1967 the Union commenced a campaign to organize these unrepresented employees. This included visits by agents of the Union to the homes of individual employees, in an effort to obtain their signatures on union authorization cards During the first week in November 1967 Anthony Schrementi, the Respondent's president, mailed a letter to employees advising them that they need not sign union authorization cards, that by doing so the employee "may be giving the union the power to bargain for you with or without an election" and stating: "I do not believe that our employees need the Retail Clerks' Union." Ultimately, the Union filed a petition with the Board seeking to represent these employees. As previously mentioned, an election was held on February 9, 1968 During the two weeks before the election the Respondent's supervisors handed out to the employees a number of pamphlets urging them to vote against the Union, and the Union sought support by having its agents again visit the employees in their homes. It is against this backdrop that we turn to consideration of specific conduct engaged in by the Respondent. B Interference, Restraint , and Coercion 1. THE UNION'S AGENTS' VISITS TO THE STORE a. Facts On or about December I, 1967, about 10 30 to 10:45 p.m. Frances O'Callaghan and Robert Hamilton, agents establish illegal interrogation by Schultz on this occasion, and dismissed the allegation of the complaint from the bench 'The transcript of testimony was corrected by order dated April 22, 1969 'The Respondent is, and at all material times has been, an Illinois corporation engaged in the retail sale of groceries and liquor in South Chicago Heights, Illinois During the year preceding October 4, 1968, the Respondent sold products valued at more than $500,000 During the same period goods valued at more than $50,000 were shipped to the Respondent's store directly from sources outside the State of Illinois. The parties stipulated on January 19, 1968, in Case l3-RC-11354, that essentially the same situation had existed during the year preceding January 19, 1968 856 DECISIONS OF NATIONAL LABOR RELATIONS BOARD of the Union, visited the Respondent's store The purpose of this visit was to determine which employees were working so as to avoid the waste of time involved in visiting their homes while they were at the store. The agents spent about 5 minutes walking in the aisles, then purchased a package of cigarettes. They did not speak to any employee or hand out any literature. On the way out they passed near Schrementi. Hamilton introduced himself and O'Callaghan to Schrementi as agents of the Union Schrementi asked the Union's agents: "You work pretty hard, don't you'?" Hamilton, apparently misunderstanding, replied: "I know you work hard, Mr. Schrementi, but you should be better to your employees." Schrementi remarked that this was a matter of opinion, then added "Don't bother me, pick on somebody else. Leave me alone." The Union's agents then left. According to O'Callaghan, Schrementi's manner on this occasion was not antagonistic, rather "he FSchrementil was very nice "' O'Callaghan returned to the Respondent's store between 2:30 and 4:30 p.m. on December 13, 1967. This time he was accompanied by a different agent for the Union, Leroy R. Ilgen. As before, the purpose was to find out which employees were working at the time. The Union's agents did not speak to any employee or attempt to hand out literature. After they had walked in the aisles of the store for about 5 minutes, an employee reported to Schrementi that two Union representatives were in the store and pointed them out. Schrementi approached them from behind and pushed them both simultaneously Ilgen, thrown off balance, was "knocked into the shelves on the righthand side." O'Callaghan stumbled "forward a couple of steps." Both remained upright. Turning around to face Schrementi, Ilgen warned that if Schrementi "laid a hand on him" the Respondent would be subject to a lawsuit. Schrementi ordered them "to get the fuck out or, the store, warning that he would call the police if they did not do so promptly. Ilgen replied that he thought calling the police might be "a good idea." Angered, Schrementi threatened: "I will kill you if you don't get out of the store. And if I can't kill you I will have you killed." Schrementi accused the Union's agents of harassing his employees, and demanded to know their business in the store. [Igen replied that they wished to purchase a pack of cigarettes. Schrementi responded that cigarettes were "up by the front at the check stand," adding: "Buy a pack of cigarettes and get out of here." All three proceeded toward the checkout lanes, O'Callaghan and Ilgen abreast and Schrementi following them at a distance of 2 or 3 feet. O'Callaghan and Ilgen bought a pack of cigarettes, while Schrementi waited for them on the other (outer) side of the checkout lane. When O'Callaghan and Ilgen had checked out and were moving toward the exit, Schrementi again followed them, repeating his demand that they get out of the store. As all three reached the air door (the innermost of two doors leading to the street) Schrementi again pushed O'Callaghan and Ilgen from behind, and challenged them to fight. They declined, and got into their car which was on the shopping center's parking lot As they departed, Schrementi pretended to write down the license number of their car. At the time of these events, five checkout lanes were manned by cashiers and carryout boys:' 'The findings regarding this incident , introduced only for background purposes , are based upon a synthesis of the testimony of all three participants in the conversation Hamilton, accompanied by another agent of the Union, Robert Carl Hooker, returned to the Respondent's store on either December 18 or December 21, 1967, between 2 and 4 p.m O'Callaghan and Ilgen, in another car, remained outside on the parking lot. Once more, the purpose was to ascertain which employees were working, so that the Union's agents would not make futile home calls on employees who were at work. Hamilton and Hooker did not talk to any employee while in the store, nor distribute any literature After they had walked around inside the store for about 5 minutes, an employee advised Schrementi that representatives of the Union were in the store Schrementi confronted Hamilton and Hooker in one of the aisles and said. "I know who you fellows are You are from the Union Get the f out of my store. I don't want either one of you assholes back in my store again." He added that they had no business being in the store and admonished them not to "bother any of my employees " One of the Union's agents replied that they wanted to buy some cigarettes, Schrementi answered that they should make their purchase and get out. Hamilton and Hooker moved to a checkout lane and stood in line Impatient for them to depart, Schrementi opened another checkout line just for them, and they bought cigarettes and candy. On their way out, as they were about to pass through the air door, Schrementi came up behind them, pushed both of them simultaneously, then struck Hooker with his fist on the back of Hooker's head. Hooker temporarily lost his balance and, reaching out to support himself, grabbed Schrementi's jacket, which ripped Schrementi remarked "I told you son of bitches to get out of my store and don't ever come back again" All three stepped outside the store, where Schrementi caught sight of O'Callaghan and [lgen sitting in their car. Angered, Schrementi went up to the car and opened the door on the driver's side. He dared O'Callaghan, who was sitting in the driver's seat, to come out and fight, referring to O'Callaghan as an "Irishman" and a "son of a bitch," and himself as a "Dago " When O'Callaghan made no move, Schrementi tried to pull O'Callaghan out of the automobile That tactic proving unsuccessful, Schrementi slammed the car door, opened it again and once more tried to pull O'Callaghan out, saying. "Get the hell out of this parking lot, get away from the store, leave my employees alone and quit bothering us " Ilgen got out of the car on the opposite side and hollered: "Mr. Schrementi you know we don't want to cause any trouble," then got back inside the car. Schrementi again slammed the car door, then kicked the side of the car. After that, O'Callaghan and Ilgen drove away. At about the same time, Hamilton and Hooker also left in their car.6 According to Hamilton's credited testimony, while he was inside the store several 'The findings regarding this incident are based upon a synthesis of the credited testimony of O'Callaghan and Ilgen Schrementi denied that on December 13, 1967, he used profanity toward the Union's agents, or that he pushed or otherwise assaulted either of them, or that he threatened to kill them or have them killed His denials were not convincing and are not credited Jolane Schultz, a supervisor employed by the Respondent, testified as a witness for the Respondent She was present that day and related what she saw and heard Her testimony is of little help in resolving the basic conflict between the versions of O'Callaghan and Ilgen on one hand and Schrementi on the other Indeed, her version was consistent with either of the other two conflicting versions 'The findings with respect to this incident are based upon a synthesis of the testimony of Hamilton, Hooker, Ilgen, O'Callaghan, and Geraldine Suttle, an employee who witnessed some of the events, part of them through the front window of the store Schrementi described the conduct of SCHREMENTI BROS ., INC. 857 employees were operating registers and bagging groceries, the scuffle at the doorway was visible from the checkout lanes, and O'Callaghan's car could be seen from inside the store. Indeed, Geraldine Suttle, then an employee, witnessed the scuffle inside as well as outside the store.' Nobody has ever reported either of these incidents to the police authorities. b. Position s of the parties The complaint alleges, and the answer denies, that on or about December 13, 1967, and again on or about December 18, 1967, Schrementi "engaged in violence against union representatives in Respondent's place of business and in the presence of Respondent's employees." The General Counsel admits that "an employer can police his premises and use reasonable means to exclude those he does not wish to remain on his premises." But he points out that Schrementi "without provocation . . pushed Hooker from behind, on his way out the door " He contends -that "considering the fact that at least one employee observed this, and the violence which followed when he tried to grab a representative and kicked a Union representative's car constitutes a violation." At the hearing, the Respondent disclaimed any defense based on the argument that Union organizers were "trespassers." Instead, the Respondent's able counsel contended that "the Board... has made it clear in retail shops that the employer has the right to tell them to leave the premises " In its brief, the Respondent argues. Admittedly, Schrementi was angered by the persistence of the Union men in returning to the store for a third time after he had made it clear to them that they were not to visit the store again . Perhaps Schrementi did "blow his cool" on the occasion of the third visit, as evidenced by his admission that he shoved one of the men through the door and challenged O'Callaghan to "try out a good Dago," but we submit, that even under these circumstances a violation of the Act cannot be supported. The Board and the courts have long held that an employer has a lawful right to prohibit non-employee union organizers access to his property "so long as other available channels of communication are open," [Citations omitted.] even to the point of permitting an employer to use physical force to eject union organizers from the premises. be capable of being turned off like water from a faucet." c Conclusions Certain facts must be stated at the threshold: (1) Ilgen, Hooker, O'Callaghan and Hamilton are nonemployee organizers; (2) the Respondent's store is a retail establishment and the aisles through which the nonemployee Union organizers walked is a selling area; (3) the parking lot is part of a typical shopping center, (4) at no time did any agent of the Union attempt to speak to any employee, hand out literature, or otherwise interfere with the operations of the Respondent's store either inside the store or outside on the parking lot; and (5) so far as the record shows, the Respondent had no published rule limiting or forbidding solicitation. Certain legal precepts must also be borne in mind (1) a physical assault by an employer upon a nonemployee union organizer, in the presence of employees, constitutes interference, restraint, and coercion within the meaning of Section 8(a)(1) of the Act;' (2) the same is true when the assault does not occur in the presence of any employee, if the circumstances are such that the "employees could reasonably be expected to become aware of them";9 (3) an employer may refuse access to his plant by nonemployee union representatives so long as other channels of communication remain open;'° and the access of nonemployee union organizers to publicly used portions of privately owned shopping centers is governed by different considerations than those governing access to the inside of a privately owned store " Let us apply these principles to the facts before us. On December 13 Schrementi threatened to kill O'Callaghan and Ilgen. I find that, so far as the record shows, this threat was not uttered in the presence of any employee, or under circumstances indicating a reasonable expectation that employees would learn of it. The physical assaults, in which Schrementi twice pushed each union organizer from behind, fall into a different category. The second of these two assaults took place not far from the checkout lanes, five of which were manned by employees. I conclude that it may reasonably be inferred that some employees witnessed at least the second assault. Moreover, Schrementi used force where none was needed. He attacked even before ordering O'Callaghan and Ilgen off the premises. At no time did either of the Union's agents disregard or resist Schrementi's order to leave, on the contrary they departed with reasonable promptness. Accordingly, I find that Schrementi's conduct toward Ilgen and O'Callaghan on this occasion was violative of Section 8(a)(I) of the Act.' 2 Certainly. . . Schrementi's actions of December 13 and 18 were clearly within the bounds of permissable employer conduct. . . Schrementi's conduct in the parking lot warrants no less of a conclusion that it was a continuation of actions started in the store "which action was too closely associated with adrenal flow to Hooker and Hamilton as "very cooperative," admitting pushing Hooker on his way out, challenging O'Callaghan to fight, and kicking the car in which O'Callaghan and Ilgen were seated However, he denied that he otherwise touched any of the Union ' s agents, or that he used profanity Based on my observation of his demeanor , I do not credit these denials 'Although the front window was partially covered by advertisements, this did not completely block her view from inside the store of what was happening outside. 'Altamont Shirt Corporation , 131 NLRB 112, 117, and Traveleze Trailer Company Inc, 163 NLRB No 43 'H R McBride d/b/a H R McBride Construction Company. 122 NLRB 1634, 1635 '°Vanderhevden , Employee Solicitation and Distribution - A Second Look, 14 Labor L J 781, 783 J H Rutter-Rex Manufacturing Company. Inc 164 NLRB No 10, cited by the Respondent , involved a plant rather than a retail store The owner of a retail establishment , unlike the owner of a plant, imphedly invites the public to enter It may be that this invitation is revokable and is in fact revoked when the store owner orders the individual in question to leave See Sullivan Surplus Sales, Inc , 152 NLRB 132, 146-147, 148-149, which involved a retail store But this need not be decided here "Amalgamated Food Employees Union Local 590 et al v Logan Valley Plaza, Inc. et al . 391 U S 308 "Marshall Field & Company v N L R B . 200 F 2d 375 (C A 7), and G C Murphy Company, 171 NLRB No 45, cited by the Respondent, are 858 DECISIONS OF NATIONAL LABOR RELATIONS BOARD We come now to the events of December 18 or 21. Here, again , Schrementi used force against Hamilton and Hooker unnecessarily at the very moment when they were complying with his directive to leave the store. Far from resisting Schrementi, they were, according to Schrementi's own description, "very cooperative." This assault was witnessed by at least one employee, Geraldine Suttle. She also saw the later attack by Schrementi upon O'Callaghan and O'Callaghan's car on the shopping center's parking lot, where O'Callaghan had a legal right to remain even after Schrementi ordered him to leave." By attacking Hamilton, Hooker, O'Callaghan and O'Callaghan's property in the presence of an employee on December 18 or 21, Schrementi additionally violated Section 8(a)(1) of the Act." 2. Interrogation a. By Anthony Schrementi (1) In general The complaint alleges, and the answer denies, that Schrementi "interrogated employees employed at Respondent's place of business concerning such employees' union activities, membership and desires" on or about December 15, 1967, and on or about the following dates in 1968: January 7 and 12 and February 5 and 8. In a later document, the General Counsel alleges "that said interrogations occurred in and about and throughout,the Respondent's store." On the first day of the hearing Schrementi testified on cross-examination: Q. (By Mr. Burstein ) Was there any time at which you asked any employee in the store how they felt about the union? A No. On the fifth hearing day, again on cross-examination, Schrementi enlarged on this denial: Q. (By Mr. Maslanka) Did you ever talk to anybody while the Union was organizing, with any employees or with any supervisors, in which the subject of the Union was discussed? A. No. (2) The Kloss sisters On or about December 15, 1967, approximately 8 or 9 p.m., Schrementi ° summoned to his office Penny Kloss, a cashier employed by the Respondent. Nobody else was distinguishable on their facts . In those cases the union agents attempted to solicit employees on the selling floors, thus disrupting the stores' operations . Here , on the contrary, there was no attempt at such activity and no interference with the Respondent 's operations "See Amalgamated Food Employees Union Local 590 et a! v Logan Valley Plaza, Inc., et at.. supra "Citing the majority opinion in Salver Stay Ready Filter Corp, 136 NLRB 1210, the Respondent argues that what happened in the parking lot was a mere continuation of action started inside the store. But one distinguishing factor is that in Salver the earlier action was the legal use of force necessary to oust a resisting trespasser , while here the earlier action consisted of the use of force when the persons excluded were peacefully complying with the owner 's expressed desire that they leave Moreover, in Salver the employer was attempting to enforce a valid no-solicitation rule, while here there was neither solicitation nor any rule against solicitation Contrast Sullivan Surplus Sales , Inc , supra, cited in the General Counsel's brief. To the extent, if any, that Sullivan is inconsistent with the majority decision in Salver, as Sullivan is the more recent case , it must be regarded as controlling. present. According to Penny Kloss' undenied testimony, which I credit: He more or less stated that he had been good to us, my sister and I working at the store, we got the hours we wanted, we got days off when we wanted, and altogether he was just telling us, you know, that he had been a good employer and that we had nice conditions, nice working conditions and everything was okay. . he just stated the reasons, you know, why I should be for him, why I shouldn't go against him. This was the only testimony presented by the General Counsel concerning this conversation. There appears to have been no attempt by Schrementi to elicit from Penny Kloss information concerning her union activities or sympathies. I conclude that, in this conversation, Schrementi did not engage in interrogation violative of Section 8(a)(1) of the Act. On or about February 8, 1968, the day before the election in Case 13-RC-11354, at about 4 30 p.m. Schrementi called Penny Kloss aside while she was near a checkout lane in the store, and asked her: "How come you are not for me?" Penny Kloss replied: "I am for you as a person. I only wanted a union for higher wages, that's all." Schrementi then inquired: "Well, are you for me?" She answered in the affirmative and walked away.15 It is found that, by asking Penny Kloss if she were "for" him, Schrementi illegally interrogated her regarding her union sympathies, in violation of Section 8(a)(1) of the Act. On or about February 7, 1968, the day before the above Schrementi-Kloss conversation, in the evening, Nickie Kloss, another cashier in the Respondent's employ, and sister of Penny Kloss, was near a cash register. Schrementi approached and asked: "Well, why are you against me?" She replied: "I'm not against you personally." Schrementi inquired: "Well, then, why do you want the union I don't come to your house and interrupt your meals " Nickie Kloss admitted this was so. Schrementi also pointed out that he had "always been good" to the Kloss sisters Nickie agreed. At that point a customer came up to them and the subject was dropped.'" Nickie Kloss' reasons for supporting the Union were not a legitimate matter of concern to Schrementi, and he went beyond permissable bounds when he sought to elicit from her information on this subject " Coming at a time when Schrementi was distributing to the employees literature underscoring his dislike of the Union, I conclude that on this occasion his interrogation of Nickie Kloss constituted a violation of Section 8(a)(l) of the Act.' "These findings are based on Penny Kloss' credited testimony Schrementi 's version was somewhat different According to Schrementi "I said 'Penny, I hear rumors that you are for the union, which is your privilege, however, I have been fair with you"'; he then related favors he had extended, ending. "I hope I can count on your support and I hear that you are not going to support me", she replied "Tony, I like working for you Maybe it is the money " and there ensued a discussion of wages I deem Penny Kloss' account of the conversation more reliable than that of Schrementi. "This finding is based on the testimony of Nickie Moss Schrementi's version differed to some extent According to Schrementi , he said . " Nickie, I hear you are going to support the union and I thought maybe perhaps I have been fair with you I have been looking forward to your support and I would appreciate it if I could get it" and that Nickie Kloss gave a non-commital response I deem Nickie Kloss' version of this event more reliable than that of Schrementi "Springfield Garment Manufacturing Company, 152 NLRB 1043, 1046 "In its brief, the Respondent cites a number of decisions of Courts of Appeals concerning interrogation - John S Barnes Corporation v NLRB , 190 F 2d 127 (C A 7), NLRB v. Arthur Winer , Inc. 194 SCHREMENTI BROS., INC. 859 (3) Mary Ellen Russell Late in December 1967 or early in January 1968's Schrementi and Mary Ellen Russell, a cashier employed by the Respondent, had a talk in the store. Schrementt asked Russell whether agents of the Union had visited her at her home. She answered "No," which was an untruth, for in fact the Union's representatives had been at her house a few days before. Schrementi told her: "You can expect some visitors soon.""' There followed a discussion of Russell's wages, which will be described in more detail hereafter. It is found that Schrementi's question, whether union representatives had visited Russell's home, constituted illegal interrogation regarding her union activities and was violative of Section 8(a)(1) of the Act (4) Morris C. Doolittle Sometime "around Christmas" 1967 at about 4:05 p.m. Terry Lee Doyle, a supervisor employed by the Respondent, came upon Morris C. Doolittle, a stockboy, within about 2 feet of the timeclock and the timecard racks Doolittle had a pencil and paper in his hand, and was writing. Doyle reported to Schrementi that Doolittle "was taking names off the time cards."2' Within a day or two, Schrementi accosted Doolittle in the store and accused him of copying company documents for the Union's benefit.22 Doolittle denied this. Schrementt, angered, referred to Doolittle as a spy, or as being engaged in espionage. He told Doolittle: "You are getting names off the rack for the union organizer. I know they are around, I have been told they are." Schrementi then advised Doolittle that the time rack area was "off limits to you unless you have permission" to be there.23 I find nothing in this incident to substantiate the allegation that Schrementi engaged in illegal interrogation. 24 However, this conversation will be referred to below, in connection with another allegation of the complaint F 2d 370 (C A 7), cert denied 344 U S 819, Sax v NLRB , 171 F 2d 769 (C A 7): Burke Golf Equipment Corporation v N L R B . 284 F 2d 943 (C A 6): Bourne v NLRB, 332 F 2d 47 (C A 2), NLRB v Park Edge Sheridan Meats, Inc, 341 F 2d 725 (C A 2); N L R B v Mallory Plastics Company. Division of P R. Mallory & Company, Inc, 355 F 2d 509 (C A 7). and N L R.B v Dorn's Transportation Company. Inc 405 F 2d 706 (C A. 2). In each of these cases, the Board found interrogation violative of Section 8(a)(I) of the Act, but the court refused to enforce As the Respondent correctly points out elsewhere in its brief "the Trial Examiner must follow the established Board precedent Insurance Agents' International Union , AFL-CIO ( The Prudential Insurance Corporation of America). 119 NLRB 768. Novak Logging Company, 119 NLRB 1573" I am therefore , as a Trial Examiner, bound by the Board decisions in the cited interrogation cases, rather than by the decisions of the Courts of Appeals for the Second, Sixth, and Seventh Circuits, which reversed them "Schrementi testified the incident occurred "right after Christmas" 1967 while Russell dated it in January 1968. The record is clear that Schrementi was out of town from January 7 to 14, 1968 1 conclude this conversation took place between December 26, 1967, and January 6, 1968 "These findings are based on Russell 's testimony At first, Schrementi flatly denied that he had asked any employee whether union representatives visited them in their homes, but after Russell testified, Schrementi described a conversation with her in which he admittedly asked her that question "The Respondent takes the position that Doolittle was, in fact, copying the names of employees from the timecards in order to furnish this information to the Union I decline to make a finding on this issue It is enough to find, as I do, that in the light of Doyle's report, Schrementi had reasonable grounds for suspecting that Doolittle had done so "Doolittle set this conversation as occurring January 7, 1968 The record is clear, however, that Schrementi was not in town on that date "These findings are based on Schrementi's testimony Doolittle gave a Late in January, Schrementi contacted Doolittle in the store and said: "I would like to have your vote when the union election comes up." Doolittle replied that he "would like to see the union get in." The conversation then "got more personal" and Schrementi asked what Doolittle's "goals were in life " This led to a discussion of Doolittle's interest in music.25 I find nothing in Schrementi's conduct on this occasion which was violative of the Act. b. By Harold Stalev (1) In general The complaint alleges, and the answer denies, that Harold Staley, the Respondent's grocery manager, interrogated employees concerning their union activities, membership and desires in November 1967, in December 1967 and again on or about January 22, 1968. The Respondent admits that Staley is, and at all material times has been, a supervisor as defined in the Act (2) Morris C. Doolittle Late in November Staley called Doolittle to the office and asked how he was getting along with his job. Doolittle answered that "he was doing fine " Staley inquired whether Doolittle had heard "word going around the store . that the union is trying to organize in the store " Doolittle replied that he had heard this Staley asked how Doolittle "felt about the union," and Doolittle responded that he "would like to see it get in " Staley then related a past incident which had turned him against unions 26 It is found that, by probing into the extent of Doolittle's knowledge of the Union's campaign, and by inducing him to reveal his prounion sympathies, Staley exceeded permissable bounds and violated Section 8(a)(1) of the Act. On about December 22, 1967, on payday, Doolittle's wages were increased from $1 40 to $1 65 per hour. When Doolittle picked up his check, Staley pointed out the raise, and explained: "We thought you were doing a pretty good job so we gave you a raise." I find nothing in Staley's conduct on this occasion which violated the Act. On or about January 22, 1968, Staley passed out an anti-union pamphlet to some stockboys employed by the somewhat different version According to Doolittle , Schrementi said "I have information that you have been soliciting for the union ," and added that Doolittle "was acting like a spy [and] spies should be shot " I do not consider either Schrementi or Doolittle a reliable witness However, Doolittle is a disgruntled former employee who has twice quit the Respondent's employ Based on this fact and my observation of the witnesses , as between the two, I deem Schrementi more credible than Doolittle "For a discussion of the rights of employers and employees regarding furnishing information to unions, see Great Atlantic and Pacific Tea Company, 123 NLRB 747, 756-757, enfd as modified 277 F 2d 759, 761-762 (C A 5) But contrast Steele Apparel Company . Inc , 172 NLRB No 95 "These findings are based on a synthesis of the testimony of Doolittle and Schrementi , whose versions were, to a large extent, mutually corroborative Doolittle testified in addition that Schrementi offered him "the key to the store and $25,000 if I could run it", which Doolittle declined Schrementi denied making this remark I deem it unnecessary to resolve this conflict "These findings are based on the testimony of both participants, which were mutually corroborative to a large degree To the extent , if any, that their versions differ I consider Staley 's version more reliable than that of Doolittle Doolittle testified , and Staley denied, that Staley referred to the Union ' s officials as "a bunch of sneaky rotten sons of bitches" In my opinion I need not , and I therefore do not , resolve this conflict 860 DECISIONS OF NATIONAL LABOR RELATIONS BOARD Respondent and urged them to read it carefully, either at the store or at home, and to think about it. Among the stockboys to whom he handed this literature were Doolittle, John A Denny, Harold Michael Mounts, Clayton E. Chester, Wolfgang Damsch, and Mark Rauner. Doolittle said he would read the pamphlet Several minutes later, when Staley was discussing the Union with some of the stockboys, Doolittle remarked that with the Union in the store there would be better wages, the employees would have better insurance coverage, and "a better caliber of people [would be] employed there." Staley retorted that "we do have a pretty nice caliber of people working here" and that such matters as wages and insurance, should the Union prevail in the election, would "have to be negotiated between the union officials and the employer." Both Staley and Doolittle became, in Staley's words, "hot under the collar." Doolittle stated flatly that he was "a hundred percent" for the Union and nothing Staley could say would change his mind. Staley retorted that Doolittle could think any way he wanted.- I find that the General Counsel has failed to establish by convincing evidence that Staley violated the Act on this occasion. c. By James Vendetti The complaint alleges, and the answer denies, that on or about February 8, 1968, James Vendetti, a supervisor of the Respondent, interrogated employees concerning their union activities, membership, and desires The Respondent admits that Vendetti is, and at all material times has been, assistant manager of the store and a supervisor as defined in the Act. On February 7, 1968, in the late afternoon, Charles Ray Weger of Robinson, Illinois, uncle of Morris C. Doolittle, was killed in an accident. That evening Morris C. Doolittle telephoned to the Respondent's store and spoke to Vendetti. He told Vendetti that his uncle had been killed and that he was going to the funeral the next day and would not be in to work During the same evening Vurlyn Doolittle, brother of Morris C. Doolittle, also telephoned to the store. He informed William Cooper, the Respondent's general manager, of the death, and told him that, because of this, Morris C. Doolittle would not report for work that day or the next day. Cooper replied: "Well, that is very inconvenient," then, after a pause, he added: "or convenient."28 On the following evening, Morris C. Doolittle again telephoned to Vendetti. When he identified himself, Vendetti asked: "I thought you went to the funeral. Back already?" Instead of answering, Doolittle asked a question of his own. "Were you the one that talked to my brother yesterday afternoon?" Vendetti answered: "No." Doolittle continued: "Whoever it was, got smart with my brother and tell him that I am going to come into the store and kick his ass." Vendetti denied any knowledge of the matter, and the conversation ended.29 In my opinion, there is no convincing evidence that Vendetti on this occasion questioned Doolittle about his union sympathies, or how he intended to vote in the coming election.30 "These findings are based on Staley's credited testimony . Denny testified that Staley "asked us [Chester, Rauner and Denny] if we was for the union . I stated I was not " Staley denied asking Denny "if he was for the union ." Although the General Counsel called Rauner and Chester as his witnesses , and the Respondent called Damsch and Mounts as its witnesses, no party asked any of these four employees about this incident Denny is a disgruntled former employee who did not impress me as a reliable witness I do not credit his version of this event d By Michael D Schrementi The complaint as amended alleges, and the answer to the amendment denies, that on or about February 2, 1968, Michael D. Schrementi interrogated employees concerning their union activities, membership and desires The Respondent admits that, at that time, Michael D Schrementi was assistant manager of the Respondent and a supervisor as defined in the Act. Early in February 1968 Michael D Schrementi summoned Doolittle to the storage area and directed him to straighten out the area, which according to Schrementi was a "mess," made by "someone else " Doolittle remarked that such a situation would not have arisen had the store been under a union contract, because better wages would have attracted "a better grade of employee." Schrementi replied that this was not true because "we already had some employees that were being paid above the union wage." At this point Schrementi left the area to attend to other duties." There is no convincing evidence that Michael D. Schrementi on this occasion illegally attempted to elicit information from Doolittle. 3 Creating the impression of surveillance The complaint alleges, and the answer denies, that on or about February 7, 1968, Anthony Schrementi "gave the impression the [Respondent] knew how employees were going to vote." As already mentioned, on or about February 7, 1968, Schrementi commenced his conversation with Nickie Kloss by asking: "Well, why are you against me'" 32 His conversation the next day with Penny Kloss was likewise started by the inquiry: "How come you are not for me?" 13 It is found that on these two occasions Schrementi made statements reasonably tending to create in the-minds of the Kloss sisters the impression that he already knew that they intended to vote for the Union in the forthcoming election By thus fostering the impression that he had engaged in surveillance of their union activities and sentiments, he violated Section 8(a)(1) of the Act 34 "This sarcastic remark referred to the fact that a Board election was scheduled to be held on February 9 and Morris C Doolittle was well known in the store as a strong supporter of the Union "The findings regarding these two telephone conversations are based on Vendetti's testimony Doolittle testified there was only one such conversation and in it Vendetti asked how Doolittle felt about the union, inquiring "You are with us9" and Doolittle replied "No, I am definitely for the union", Vendetti responded "Well, if that's the way you want to vote." At first Doolittle admitted, but later denied, that he referred to a telephone call between his brother and someone at the store Vendetti denied that he mentioned the union or the election in either telephone call I credit Vendetti's version "Evidence was introduced tending to indicate that Doolittle attended the election in the Respondent's store on February 9, as observer for the Union, and that he attended his uncle's funeral in Robinson, Illinois, on February lI I do not consider it necessary to make findings regarding these matters I do, however, find that Doolittle never thereafter returned to work for the Respondent 31This finding is based on Michael D Schrementi's credited testimony, corroborated in part by that of Doolittle To the extent that their versions differ, Schrementi's is credited over that of Doolittle "Schrementi admitted saying "Nickie I hear you are going to support the union " "Schrementi testified that he started the conversation by stating "Penny, I hear rumors that you are for the union, which is your privilege " "There is evidence tending to indicate that on February 8, 1968, Schrementi telephoned to Marge Kloss, mother of the Kloss sisters, and started by stating "I hear rumors that your daughters aren't going to support me" Although Marge Kloss was admittedly not an employee of SCHREMENTI BROS ., INC. 861 It has been found, ^ above, that Russell had a conversation with Schrementi between December 26, 1967, and January 6, 1968. In that conversation, after Russell stated that the Union's agents had not visited her home, Schrementi remarked: "A lot of the employees have told me they haven't talked to the union... I know who talked to them. The union talked to the people, their names were checked out that they had seen them. . . . so l know when they are lying."'33 It is clear, and it is found, that by this conduct Schrementi created the impression in Russell's mind that he was engaging in surveillance of the union activities of the employees by "checking out" the names of those visited by union agents. This impeded the employees' exercise of their Section 7 rights and was therefore violative of Section 8(a)(1) of the Act. The December 1967 conversation in which Schrementi accused 'Doolittle of copying the names from the timecards for the Union's benefit has already been described. In that conversation, referring to the union organizers, Schrementi admittedly said: "I know they are around, I have been told they are." By stating that he was in possession of such information, Schrementi created the impression that he was engaging in surveillance of the Union's agents' conduct of union affairs. This violated Section 8(a)(1) of the Act.36 4. Threats of reprisal a. By Harold Staley The complaint as amended alleges, and the answer to the amendment denies, that Staley on or about January 22, 1968, "threatened employees with loss of jobs and other economic benefits if they supported the Union." It will be recalled that on or about January 22, 1968, Staley passed out antiunion pamphlets to some of the stockboys, including Doolittle. Doolittle stated he was "a hundred percent" for the Union and the atmosphere between Staley and Doolittle became heated. According to Doolittle, Staley "said that right now he would like to fire me but he couldn't because it would be an act against . the national labor law." Staley denied making such a statement. None of the other stockboys present were questioned about this incident, although three (Denny, Rauner, and Chester) were witnesses for the General Counsel and two (Damsch and Mounts) were witnesses for the Respondent. Based on my observation of Doolittle and Staley, I credit Staley's denial. Therefore, there is no convincing proof that Staley threatened Doolittle on this occasion. the Respondent , the General Counsel alleges that this telephone conversation constitutes another instance in which Schrementi violated Section 8(a)(1) of the Act by creating the impression that the union activities of the Moss sisters were under surveillance I decline to make any finding regarding this contention , as such an additional finding would be merely cumulative , and would not affect the Order hereafter recommended Xaloy. Incorporated , 175 NLRB No 117, in 2 "This finding is based on Russell's credited testimony Schrementi denied that he told Russell that a list existed containing the names of employees whose homes had been visited by union representatives His denial was not convincing and is not credited "The complaint alleges -that this type of illegal activity occurred on or about February 7, 1968 . However, the Russell -Schrementi incident took place between December 26, 1967, and January 6, 1968, and the Doolittle-Schrementt talk near Christmas 1967. 1 do not consider this to be a fatal variance Havnes Stellite Company, Division of Union Carbide Corporation , 136 NLRB 95, 98 , enforcement denied , 310 F 2d 844 (C A 6) b. By Michael D. Schrementi The complaint as amended alleges, and the answer to the amendment denies, that on or about February 2, 1968, Michael D. Schrementi "threatened employees with loss of jobs and other benefits if they supported the Union " A conversation between Michael D. Schrementi and Doolittle in the storage area early in February 1968 has already been referred to. According to Doolittle's version, Michael D. Schrementi remarked: "that there would be some people in the store that the company would have to let go because of the higher wages and hours would be cut. he said there wouldn't be any standing around and talking in the aisles. . . if the Union got in." Michael D Schrementi denied telling Doolittle that if the Union came in the Respondent would cut personnel or hours of employment. Based on my observation of Doolittle and Michael D Schrementi, I credit Schrementi's denial " Accordingly, the General Counsel has failed to establish by convincing evidence that Michael D. Schrementi threatened Doolittle on this occasion. 5. Matters not alleged in the complaint The General Counsel, in his brief, states- Schrementi testified that in his first conversation, he told Doolittle that he had no right to take names off the timecards, and that thereafter as long as he was not working, "this is going to be off limits to you unless you have pernission [sic] to do that. . I told him this was a form of espionage" [citation to record omitted]. Prohibiting Doolittle from going near the timecards without permission, although not alleged in the Complaint, is in itself an 8(a)(1) violation, and the Trial Examiner should so find. The Board has held that where an issue relating to the subject matter of the complaint is fully litigated at the hearing, the Trial Examiner and the Board are expected to pass upon it even though it is not specifically alleged to be an unfair labor practice in the complaint.38 Here, Schrementi's banishment of Doolittle from the timeclock area, in Doolittle's nonworking time, is clearly related to the subject matter of the complaint. But was it fully litigated'? I think not. The matter first came up on direct examination by the Respondent of its own witness, Schrementi, after the General Counsel had rested his case-in-chief. Doolittle, who did not mention the ban when he testified, was not thereafter recalled by either party to give his version. While there is some testimony in general terms that the timecard rack was in a working area, there is no evidence concerning the existence or nonexistence of the rules governing the copying of company records There is no mention of the issue in the Respondent's brief. I conclude that Schrementi's alleged banishment of Doolittle from the area of the timecard rack in his nonworking time was not "fully litigated at the hearing" and therefore is not properly before me for decision. "In addition to demeanor, other factors were considered Doolittle is a disgruntled former employee who was a strong supporter of the Union Michael D Schrementt is a former supervisor no longer in the Respondent 's employ There is no evidence that either Michael D Schrementi or his father , Michael D Schrementi, held any proprietary interest in the Respondent, or were related by blood or marriage to Anthony Schrementi , the Respondent' s president "Monroe Feed Store . 112 NLRB 1336, 1337 862 DECISIONS OF NATIONAL LABOR RELATIONS BOARD C. The Refusal to Bargain 1. The appropriate unit The complaint alleges, the answer admits, and it is found that all full-time and regular part-time employees of the Respondent at its South Chicago Heights, Illinois, store, excluding the store manager, the liquor department manager, all meat department employees, guards, professional employees, and supervisors as defined in the Act, constitute a unit appropriate for the purpose of collective bargaining within the meaning of Section 9(b) of the Act " 2. The Union's majority a. Size of the unit The complaint alleges that on or about December 22, 1967, a majority of the employees in the above-described unit designated the Union as their representative for collective-bargaining purposes. The answer asserts lack of "knowledge or information upon which to form a belief" as to the Union's claim of majority on that date. The parties stipulated that, as of December 22, 1967, the above-described unit consisted of a minimum of 45 named individuals. The General Counsel maintains that there were no other individuals in the above-described unit on that date; the Respondent, conversely, contends that three other named individuals should be included in the above-described unit as of that date, making a total of 48. Let us turn, then, to the three individuals in dispute. John C Schrementi is the son of Anthony Schrementi, the Respondent's president. He was, on December 22, 1967, employed by the Respondent as a part-time stockboy. Anthony Schrementi is the owner of 95 shares of the Respondent's capital stock, out of a total issue of 600 shares. He also is solely responsible for the Respondent's day-to-day operations. Section 2(3) of the Act provides. "The term 'employee'. shall not include any individual. . employed by his parent." The question therefore arises whether John C. Schrementi is employed by his father. In Foam Rubber City 2 of Florida, Inc.. 167 NLRB No. 81, the Board looked "beyond the Employer's corporate form to the fundamental of its existence." Applying that approach, the corporate form of the Respondent here is not controlling Considering substance rather than form, the significant facts are that the father owns approximately 16 percent of the Respondent's stock; and although he might ultimately be accountable to the Board of Directors for his conduct of the business, he is solely in charge of the store's daily operations. I conclude that, on December 22, 1967, John C. Schrementi was "an individual employed by his parent," and therefore not an employee within the meaning of Section 2(3) of the Act For that reason he cannot properly be included in the above-described unit.40 Anthony S. 'Scrementi and Michael J Scrementi are the sons of John Scrementi, Sr. They were, on December 22, 1967, employed as part-time stockboys. John "This is the identical unit stipulated as appropriate by the parties on January 19 , 1968, in Case 13-RC-11354 44See Charm Handbags , Inc, 170 NLRB No. 16, in 1, and Lake City Foundry Company, Inc., 173 NLRB No . 159 Compare Buckeye Village Market, Inc., 175 NLRB No. 46, where the Board included the son of the store manager who owned approximately 6 percent of the stock, and someone else was described as the "controlling shareholder " I consider Buckeye Village Market distinguishable on its facts Scrementi, Sr., owns 95 shares of the Respondent's capital stock of a total issue of 600 shares. He is a director of the Respondent, but does not participate in the daily management of the store (As noted above, this is reposed solely in the hands of Anthony Schrementi.) In view of the fact that John Scrementi takes no part in the store's day-to-day operations, it is concluded that, on December 22, 1967, his sons were not individuals employed by their parent and therefore were employees of the Respondent within the meaning of Section 2(3) of the Act 41 Should they nonetheless be excluded from the above-described unit'? This depends, in large measure, on whether they had a mutuality of interest with other employees in the unit In this connection, it should be noted that, in addition to being the sons of John Scrementi, they are also the nephews of Anthony Schrementi, the Respondent's president. The record shows that in September 1967 Anthony S Scrementi entered an out-of-town college, and did not work for the Respondent again until he returned in mid-December for the Christmas holidays, until returning to college in January, 1968. There is no evidence that any other part-time stockboy in the Respondent's employ was permitted to work only during the Christmas holidays, because he lived out of town I am convinced, and find, that Anthony S. Scrementi was accorded special privileges because of his family relationship, and his interests therefore are more closely aligned with management than with other rank-and-file employees Accordingly, he will be excluded from the above-described unit.42 So far as Michael J. Scrementi is concerned, despite his family relationship, there is no evidence that he was the beneficiary of special treatment , at least up to and beyond December 22, 1967. On and before December 22, 1967, he, like some other stockboys in the Respondent's employ, attended high school, and worked at the store only part-time. I conclude that he had a community of interest with the other rank-and-file part-time stockboys and should be included in the above-described unit It follows, and I find, that on December 22, 1967, there were 46 employees in the above-described unit. Authorization to represent at least 24 of them was necessary for majority status b. The authorization cards In support of his contention that on or about December 22, 1967, a majority of the employees in the above-described unit had designated the Union as their bargaining representative, the General Counsel introduced into evidence 26 signed cards which read as follows "The General Counsel contends in his brief that, on December 22, 1967, Anthony S . Scrementi was not a full-time or regular part-time employee However, the record indicates that on this date he was working as a regular part-time employee This contention is therefore rejected "Cherrin Bros Co. Cherrin Products Co, 147 NLRB 527, 529, fn. 2 1 am aware that , as the Respondent points out in its brief, the United States Court of Appeals for the Sixth Circuit disagreed with the Board on this point, Cherrin Corporation v N L R B , 349 F.2d 1001 (C A 6) cert denied 382 U S 981 See also N L R B v Sexton , 203 F 2d 940 (C A 6), and Uyeda v Brooks. 365 F 2d 326 (C A 6) The Board respectfully declined to follow the Uyeda decision in Foam Rubber City, supra As a Trial Examiner , I deem the Board 's decision in Cherrm Bros binding on me, despite the Sixth Circuit' s disagreement See cases cited supra, fn 18 SCHREMENTI,BROS„ INC. RETAIL CLERKS INTERNATIONAL ASSOCIATION (Affiliated with the AFL-CIO) Authorization for Representation Desiring to enjoy the rights and benefits of collective bargaining I, the undersigned , employee of the (Firm Name) Store address Employed as Dept. (Job Title) Home address Phone hereby authorize Retail Clerks International Association, AFL-CIO, or its chartered Local Union to represent me for the purposes of collective bargaining, respecting rates of pay, wages, hours of employment, or other conditions of employment, in accordance with applicable law. (Date ) (Signature of Employee)' These bear dates from October 25 through December 20, 1967. The Respondent does not deny the authenticity of the signatures , nor the dates of signing , nor that the signers were employees within the above -described unit on December 22, 1967, nor that any signer was unable to read or write English . Accordingly , it is found that 26 employees within the above-described unit had, by December - 22, 1967, affixed their signatures to unambiguous designations of the Union as their bargaining agent . At the close of the hearing, the Respondent 's attorney described the Respondent 's position regarding the authorization cards as follows: TRIAL EXAMINER : I would ask the respondent to point out to me specifically which cards , if any, the respondent urges I should not count. MR. RYZA : All of them... in view of their double purpose representation... . TRIAL EXAMINER : What double purpose? MR. RYZA: Mr. O'Callaghan testified that it was the union ' s procedure , and his specifically, to always tell them there were two purposes for a card. The evidence shows that all 26 cards were solicited by nonemployee representatives, working in pairs, at the employees ' homes. According to O'Callaghan 's credited testimony , _ the Union ' s agents, before the cards were signed , explained to the employee the purpose of the card. He stated: We tell the people when a majority of the people have signed the cards, we demand recognition of the employer . If the employer agrees to a card check, this saves a lot of time . If not , we go to an election. . . If the owner-manager refuses a card check , we file a petition with the NLRB and go to a government conducted election, and we go on to explain the election. From this testimony I find that it was made clear to the employees that , in the first instance , an attempt would be made to secure the employer's recognition on the basis of the cards , and if this should succeed there would be no necessity to hold an election . The employees were thus advised that, possibly, there might be recognition without 863 further opportunity to vote. This, plus the cards' wording, removed any ambiguity about the cards' purpose and intended use. Should any lingering doubt survive, this would have been put to rest by Schrementi's letter of early November 1967, already described, which stated clearly that by signing an authorization card an employee "may be giving the union the power to bargain for you with or without an election" (emphasis supplied). It is worth noting that this letter was sent out at a time when only about five signatures had been obtained, the remaining cards were signed after the letter had been received. It is concluded that the employees signed the cards under no misapprehension; on the contrary, the use to which the cards would be, and were, put, was fully and accurately disclosed to them before they executed the designations. Finally, there is no evidence that any employee who signed an authorization card made any attempt to revoke the designation. The Respondent in addition attacks the validity of six particular designations because of the circumstances surrounding their execution. These will be discussed below, seriatim John Armatore was, at all material times, a full-time stockboy employed'by the Respondent. He testified as a witness for the Respondent that on December 18, 1967, the union agents visited him in his home for the third time, and on this occasion he read the authorization card, filled in 1411, therblanks, and signed it. He also testified: they said that if the card was, they had so many cards filled in with the name, that they would turn it in to the union I mean, to the representatives so they could have a union, find out about an election And it had to be turned in so they could have the election by the Labor Board and then the Labor Board would take over and then they would come and have an election at the store. He further testified that the Union's representatives explained the benefits that the Union might be able to provide. The Respondent attacks the validity of Armatore's authorization because he "understood and was led to believe from the representations of the Union organizers that the only purpose of the card was to obtain an election." In the light of the wording of the card itself, the letter sent to employees by Schrementi early in November, and the testimony of Armatore regarding representations made to him by the union agents before he signed the card, I reject the Respondent's contention that he was misled , and hold that his designation of the Union is valid. Wolfgang Damsch was, at all material times, a stockboy employed by the Respondent. As a witness for the Respondent he identified the authorization card which he read and signed on November 16, 1967, at the behest of two union agents . He testified: Q. Will you tell us. . . what your best recollection is of what you were told of the purpose of the card? A. Yes. As I can remember it, they told me that if they got so many people in the store to sign this card that if the union made it - no, then there would be an election to see whether we wanted the union or not. And if the Union made it in, we wouldn't have to pay the first initiation fee. Q. Did they tell you anything else about the card? A. They said if I signed it Mr. Schrementi would never see the card. Q Did they tell you that the card had any other purpose? 864 DECISIONS OF NATIONAL LABOR RELATIONS BOARD A. No. Q. Do you recall what kind of an election, or did they tell you what kind of an election there would be? A. They said it would be a secret ballot election. He further testified that the Union's representatives discussed the benefits of having a union, and that he was 17 years old at the time. O'Callaghan, who was present when Damsch signed the card, testified that every employee visited by the Union's agents -- whether or not he or she signed a card - was given a certificate stating: "The bearer. . . shall not be required to pay initiation fees of any kind." Based on the above, I am convinced and find that no misrepresentations were made to Damsch regarding the purpose of the card, and that, although he was told that the Union waived the initiation fee, he was not led to believe that the waiver depended upon his signing the card. Mere waiver of initiation fee, when not contingent on execution of a designation, does not invalidate a card 43 Accordingly, his card is deemed a valid and timely designation of the Union. Donald Hartman was, at all material times, an employee in the Respondent's produce department. He was a witness for the Respondent. He testified that he signed an authorization card at his home on December 12, 1967, at the behest of two agents of the Union. He was a high school student at the time, 17 years of age. He further testified on direct examination- Q. What did they tell you? A. They told me that if I signed this card there would be no initiation fees if the union would get in the store. And if so many people had signed the card there would be a majority and there could be an election held. On cross-examination, Hartman testified that he read the card, and filled in the blanks before signing, and that the Union's agents discussed the Union's insurance program and welfare plan. Assuming, without deciding, that Hartman was the recipient of a "no initiation fee certificate" (O'Callaghan could not specifically recall his visit to Hartman's home) there is still the question of verbal inducement. Based upon Hartman's undenied testimony, I conclude that he was induced to sign the card upon the verbal promise that if he did so. he would not later have to pay an initiation fee should the Union succeed in obtaining recognition as the employees' bargaining agent. This, therefore, differs materially from 4 general waiver of initation fee, not dependent on favorable action by the employee solicited. Such a substantial inducement vitiates the designation . 14 Nickie Kloss is, as previously stated, a cashier employed by the Respondent. She was a witness for the General Counsel. She testified that she signed an authorization card at her home on October 25, 1967, at the same time her sister, Penny, did so. Her mother and two agents of the Union were present, also. On cross-examination, she testified: Q. When you were asked to sign the card, you didn't understand what it was all about? Is that right? A. Yes. "Consolidated Rendering Company, d/b/a Burlington Rendering Company. 161 NLRB I, 14 enfd. 386 F 2d 699 (C A 2) See also DIT-MCO. Incorporated , 163 NLRB No. 147, which involved objections to conduct affecting an election , quite a different matter from the validity of a designation in a refusal to bargain case "Compare D H. Overmver Co, 170 NLRB No 69 Q. Did the union people say anything about an election would be held? A. Yes. Q What did they say about an election, Nicky [sic]? A Well, I think they said if they got enough people to sign the cards that we would be able to have a vote Nickie Kloss' protestation, more than a year later, that she did not understand the impact of her signature on the designation was not convincing, as her mother and sister were present at the time, and the designation has remained unrevoked. In any event, her subjective understanding is immaterial and "cannot negative the overt action" of signing an unambiguous designation.,' What are material are the statements made to her by the Union's agents before she executed the card. Contrary to the Respondent's argument, I am not convinced that these statements can reasonably be construed as conveying the impression that the only purpose of the card was to obtain an election Her designation, therefore, is valid Joann Morrison is, and at all material times has been, a cashier employed by the Respondent. She was a witness for the Respondent She testified that she signed a union authorization card in her home on November 27, 1967, at the request of two union agents, and in the presence of her husband. She testified on direct examination: Q I ask you, Mrs. Morrison, would you please tell us to the best of your recollection what you were told about the purpose of that card? A. They said they needed a certain percentage of cards to be signed before there could be an election. And if you signed the card now, and if the union won, you would not have to pay the $25 initiation fee. Q. Was anything else said about the card that you recall? A And those that did not sign the card and if the union won they would have to pay the $25 initiation fee. On cross-examination, she admitted that the Union's agents told her of "different benefits that you would receive, like hospitalization and retirement and the pay scale." She continued: Q did the union men tell you that if the union won in the election that they were giving you a certain kind of card where nobody in the store would have to pay a $25 initiation fee? A. No. If you signed the card, then you would not have to pay the initiation fee If you did not sign the card you would have to pay. [Emphasis supplied.] Q. When the union won the election? A. If they won. She further testified: TRIAL EXAMINER: You have described what the union agents told you about an initiation fee. Did they tell you that before or after you signed the card? THE WITNESS: I think it was before. Gibson, called as a witness for the Union on rebuttal, testified that he and Hamilton were present at Morrison's home when she signed the card. He testified that Morrison was given a "no initiation fee certificate." He further testified on direct examination. Q. Was Mrs. Morrison told anything about that card or did you tell her anything about initiation fees? A. Yes. It was explained to her that the purpose of the card was to -- she did not have to take my word -- that she would not have to pay initiation fee. This was 'Joy Silk Mills, Inc v . N L R B , 185 F 2d 732, 743 (C A D C ), cert denied 341 U S 914 SCHREMENTI BROS ., INC. 865 her guarantee" that she- would not have to, and that all employees employed at that time would not have to pay initiation fees, if and when the store went union. Q. Did you tell her about employees that would have to pay initiation fees? A. This was explained that anyone that was employed after the contract had been signed and put into effect would have to pay an initiation fee. On cross-examination he testified: Q. (By Mr. Ryza): Mr. Gibson, how many times had you visited Mrs. Morrison before you were able to get the card signed? A. Myself, one time. Q. Before the day on which she signed? A. Yes. Q. You gave her one of these no initiation fee card the first time you visited her, didn't you? A. No, I don't believe she received' one the first time. Regardless of whether or not Morrison was handed a "no initiation fee certificate" on the day she signed the authorization card, I credit her testimony (which stood up well under cross-examination) as more accurate than Gibson's and find that she was advised orally that the waiver of initiation fees was contingent upon her signing the authorization. 06 Accordingly, as in Hartman's case, and for the same reason , her designation resulted from improper inducement and is invalid. Harold Michael Mounts is, and at all material times has been, a stockboy in the Respondent's employ. He signed an authorization card on November 21, 1967, in his home at the instigation of two union agents. Mounts was then a high school student 17 years old; his parents, sister and brother were present. On direct examination as a witness for the Respondent he testified: Q. Now, before you signed the card, did either of the two men from the union explain to you the purpose of the card? A. Yes. Q. Would you tell us what they said to you? A. Well, they said that if they had enough people to sign these cards, that there can be an election held at Schrementi's either for or against the union. And now they could have a secret ballot. Q. Was anything else said about the purpose of the card? A. Well, he said he was pretty sure the union was going to get in, and he said that if you sign the card then you wouldn't have to pay initiation fees. [Emphasis supplied.]- On cross-examination, Mounts testified that the union agents discussed with him the benefits of union membership. He also testified, in response to questions by the Trial Examiner, that his mother asked the amount of the initiation fee but received a noncommital answer from the Union's representatives. O'Callaghan, who had previously identified Mounts' card, was recalled to the witness stand by the Union after Mounts had stepped down. O'Callaghan testified that he and Gibson had obtained Mounts' signature. He further Mn my opinion , the delivery of such a certificate contemporaneously with a conflicting oral statement should not be given controlling weight, for the recipient might nevertheless rely upon the oral statement Looking at the situation from another angle, delivery of the certificate might be considered as a contingent delivery, subject to execution of the authorization card. testified: Q. Did you have any discussion with Mr Mounts concerning initiation fees? A. Yes * * * * * Q. (By Mr. Rosenfeld) What did you tell Mr. Mounts about initiation fees? A When I told him that there would be no initiation fee --- in all organizing campaigns one of the things that management uses against us is that they're going to pay initiation fees and assessments and dues. There is dues, but there is no initiation fee for anybody working in the store at the time that we are organizing, whether they support us or not. Q Did you tell Mr. Mounts that the initiation fee had anything to do with the signing of a card? A. No. Q. Did you tell Mr. Mounts when initiation fees would be required of employees, or which employees would have to pay initiation fees? A Anybody that would start after the organizing program was over, thirty days after we won the election or after the card check, we'd sit down and negotiate. Anybody that started after this time would have to pay initiation fee. Just like they do in any - * * * * * Q. (By Mr. Rosenfeld) Did you tell Mr. Mounts that if he didn't sign a card at the present time, he would have to pay an initiation fee? A. No Q. Did you pass out any piece of paper or anything in connection with initiation fees? A "No initiation fee" card. Mounts' testimony was at times self-contradictory. On direct examination he testified that "some man" had filled out the blanks on his card, but on cross examination admitted that he himself had done so. He did not impress me as a reliable witness. As between Mounts and O'Callaghan, I credit O'Callaghan's version. Accordingly, I conclude that no improper inducement was held out to Mounts, and that his signature on the authorization card is the result of his own free and uncoerced choice. From the above, it appears that on December 22, 1967, the Union had obtained 24 valid designations (excluding those of Hartman and Morrison) which constitutes a majority of the 46 employees in the above-described unit on that date 3. The Union's demand and the Respondent's response a. Facts On December 21, 1967 (2 days after filing charges in Case l3-CA-8180), the Union wrote to the Respondent, in pertinent part as follows: Please be advised that the Retail Clerks Union Local 1504, AFL-CIO, is the majority representative of the employees in Schrementi Food and Liquor, Inc., 3316 Chicago Road, South Chicago Heights, Illinois, and hereby demands recognition as exclusive Collective Bargaining Agent, in a unit appropriate for bargaining as follows: All full-time employees and regular part-time employees working at Schrementi Food and Liquor 866 DECISIONS OF NATIONAL LABOR RELATIONS BOARD Inc., 3316 Chicago Road, South Chicago Heights, Illinois, but excluding the Store Manager, the Liquor Department Manager, Meat Department Employees and supervisors as defined in the Act. The Union is prepared to meet to prove its majority status by means of a card check to be conducted by a neutral third party. On the next day, December 22, the Union filed with the Board the petition in Case 13-RC-11354, seeking to represent the employees in the above-described unit. On December 26, 1967," the Respondent's attorney replied to the Union by letter as follows: Your letter of December 21 addressed to Mr. Schrementi has been referred to this firm for reply. As you are well aware, the designation of a bargaining representative through means of a card check is at best a questionable procedure. The better method is for the employees to vote by secret ballot in an election conducted by the National Labor Relations Board. Inasmuch as our client has a good faith doubt concerning the Union's alleged majority, we suggest that any question of representation be determined through the orderly procedures of the NLRB. Thereafter, on January 19, 1968, the Respondent and the Union entered into a Stipulation for Certification Upon Consent Election, which the Regional Director approved on January 23. The election was held on February 9, 1968, and the Union lost. The Union promptly filed ob)ections to conduct affecting the result of the election, which will be discussed in detail hereafter. b. Contentions of the Parties The complaint alleges that "commencing on or about December 22, 1967, and continuing to date, the Union has requested, and is requesting, Respondent to bargain collectively with respect to "wages, hours and other working conditions, as the exclusive representative of all the employees" in the above-described unit . The answer admits "that on or about December 22, 1967, the Union requested that Respondent bargain collectively." The complaint further alleges that at all times since on or about December 22, 1967, more particularly on or about December 26, 1967, the Respondent has refused to recognize and/or bargain with the Union. The answer admits that on or about December 22, 1967, the Respondent declined to recognize the Union, but states that it did so "because it had a good faith doubt that the Union represented a majority of Respondent's employees and suggested that any question of representation be resolved" by a Board-conducted election. It further alleges that the Union's defeat in the election held on February 9, 1968, "demonstrated that a majority of the employees had not designated the union as their exclusive bargaining representative, thereby confirming the Respondent's good faith doubt concerning the Union's majority status." employees in the above-described unit. It is equally clear, and is found, that the Respondent's reply letter of December 26, 1967, constituted a refusal by the Respondent to recognize or bargain with the Union. Although the Union had been designated as bargaining representative by a majority of employees in the unit, it does not necessarily follow that the Respondent violated Section 8(a)(5) of the Act by its refusal to bargain. In order to show such a violation, the General Counsel must prove that the refusal was illegally motivated, that is, reflected the Respondent's rejection of the principles of collective bargaining and its desire to gain time in which to undermine the Union's majority status." The General Counsel, in support of his position that the Respondent lacked a good faith doubt of the Union's majority and "exhibited an animus towards the union," relies upon the violations of Section 8(a)(1) found above. It is, of course, true that Schrementi's attacks upon union agents and their property in the presence of employees manifested his deep-seated antagonism toward the Union. And it would not be appropriate to dismiss this matter lightly as "a trivial rough incident or a moment of animal exuberance.' '41 On the other hand, this and other violations of 8(a)(1) such as illegal interrogations and creating the impression of surveillance cannot be viewed in a vacuum. They must be considered in the context of other contemporaneous conduct. More particularly, it is significant that the Respondent was, at this time, recognizing another union as the bargaining representative of its meat department employees. This bespeaks neither hostility to collective bargaining nor a rejection of the principles embodied in the Act. Moreover, the spirit of cooperation shown by the Respondent in entering into a Stipulation for Certification upon Consent Election underscores the sincerity of its assertion that it desired the matter of majority representation to be settled by a secret election conducted by the Board - unquestionably the most satisfactory method of determining that issue . Surely this is not a demonstration of any desire on the Respondent's part to delay matters so that it could, in the meanwhile, undermine the union's majority On the contrary, the signing of this document obviated the necessity of holding a formal pre-election hearing in Case 13-RC-11354 and brought about the election more promptly. There are also some indications that the Respondent did, indeed, harbor a legitimate doubt concerning the Union's assertion of majority status. At the outset, the Respondent notified the Union of its doubt, and has consistently maintained that position during the year and a half which has elapsed since then Moreover, the unit placement of John C. Schrementi, Anthony S. Scrementi, and Michael J. Scrementi has been undetermined until now. Although they constituted only approximately 7 percent of the total unit, majorities often turn upon such a small percentage of eligible voters. Finally, the Union's majority, it now appears, was extemely slim -- a single card." c. Conclusions It is not disputed, and I find, that the Union's letter of December 21, 1967, quoted above, constituted an unambiguous and valid demand by the Union for recognition as the bargaining representative of the "The Respondent claims on this date it was not yet aware that the Union had filed a petition on December 22 1 deem this to be immaterial and a finding thereon unnecessary. "Joy Silk Mills, Inc, 85 NLRB 1263, enfd 185 F 2d 732 (C A D C ), cert denied 341 U S . 914, and Hercules Packing Corporation , 163 NLRB No 35, petition for review denied 386 F.2d 790 (C A 2) "Milk Wagon Drivers Union of Chicago, Local 753, et at v Meadowmoor Dairies, Inc., 312 U.S. 287, 293 "Factors militating in favor of an employer's good faith doubt of a union's majority "have especial weight where, as here, the majority is slender on the union's own claim" Textile Workers Union of America, AFL-CIO v. N L R B, 386 F.2d 790, 793 (C. A. 2) See also Wheeler-Van Label Company v N L R B., 70 LRRM 3055, 3058 (C A 2) SCHREMENTI BROS., INC. 867 For the above reasons, it is concluded that the General Counsel has failed to establish by a preponderance of the evidence that the Respondent's refusal to bargain with the Union since December 22, 1967, was not based upon a good faith doubt of the Union's majority status. There was therefore no violation of Section 8(a)(5) of the Act.s' D. Objections to Conduct Affecting the Election 1. In general On February 15, 1968, the Union filed in Case 13-RC-11354 seven Objections, to Conduct Affecting the Results of the Election. Thereafter, on October 9, 1968, the Regional Director issued his Report on Objections and Order Consolidating Cases, in which he found "that substantial and material issues have been raised by the objections which can best be resolved" by a hearing. Noting the "substantially similar" issues raised in Case 13-CA-8180, he ordered the two cases consolidated "for the purpose of hearing, ruling and preparation of a decision by the Trial Examiner," and that, after issuance of the Trial Examiner's Decision, Case 13-RC-11354 should be transferred- to the Board. It is well settled that, in deciding to set an election aside, the Board will "rely only on Respondent's unlawful conduct after the filing of the Union's representation petition"52 - in this case December 22, 1967. The General Counsel urges in his brief herein: violations of the Act- during the period immediately preceding the commencement of the crucial period, namely, the assaults on the union representatives in the presence of employees- should also be considered as a basis for setting aside the election. Where the Employer's pre-petition conduct was so heinous, as in the instant case, it cannot be said that the effect of that manifest hostility toward the union did not spill over into the critical period and alter the "laboratory conditions" required - by the Board during the pre-election period. The Union apparently does not agree, for in its brief it concedes: "Alleged unlawful Employer conduct preceding 12/22/67 is part of the complaint case only." The Respondent likewise, in its brief, contends that "unlawful conduct occurring prior to the filing of the petition may not be considered as grounds for setting aside the election." As a Trial 'Examiner , I am bound to follow the rule established by the Board I shall therefore, in considering the representation case, disregard Schrementi's attacks on the Union's agents. 2. Objection Number I Objection Number l reads: The Employer unlawfully held captive audience meetings on February 8, 1968 within 24 hours of the election in this proceeding. Small meetings of three or four employees were convened in the back room of the "Morse Chain Company, Eberhardt-Denver Plant . 175 NLRB No 98, Shelby Williams of Tennesseq , Inc., I65- NLRB No 108; Mace Food Stores, Inc. 162 NLRB 1605; Aaron Brothers. Company of California, 158 NLRB 1077, John P. Serpa, Inc, 155 NLRB 99, and Hammond & Irving . Incorporated. 154 NLRB 1071 "Hancock Fabric Outlet . Inc., 175 NLRB No. 42. See also Green Bay Aviation , Inc., 165 NLRB No. 137, fn. 2: Goodyear Tire and Rubber Company, 138 NLRB 453; and The Ideal Electric and Manufacturing Company. 134 NLRB 1275. store at various times between the hours of 3:00 p.m and 11:30 p.m February 8th, presided over by Tony Schrementi, Bill Cooper, Store Manager, and Harold Staley, Grocery Manager. At these meetings employees were promised wage increases if they voted against the Union and threatened with severe and adverse changes in working conditions if Retail Clerks won the election. The record is completely barren of any evidence to support these allegations. In its brief, the Union moves that Objection Number I be withdrawn. In the absence of any opposition, it is recommended that this motion be granted. 3 Objection Number 2 Objection Number 2 reads: The Employer unlawfully threatened employees with the probability of a strike, fewer jobs and termination of its entire operation if the Union won the election. Said threats were made by a letter distributed in the store Thursday, February 8, 1968 from the hour of 1.00 p.m. to 7:00 p.m., thus denying to Retail Clerks an opportunity to reply. The parties stipulated, and I find, that on February 5 and 6, 1968, the Respondent handed out to employees in the store a written statement which reads as follows: I understand the Union organizers have been going around flashing contracts with the big chain stores. I'm sure they point to the highest wage rates in the book and want you to believe, that you will get this kind of money if you just vote for the Union. Of course, the organizers fail to tell you that the higher wage rates are paid only to employees who have been on the job for years. Many of our employees do not expect to make lifelong careers out of their jobs at this store and will probably never qualify for most of the benefits which the Union talks about. But under the union shop contract they would still have to pay Union dues every month. It doesn't require anything but plain common sense to see through the Union's promises. This store needs the best employees it can hire. To get such people we must pay the most that we can afford while still trying to compete with the big chains. Unlike A & P, Kroger, Jewel and other giants, we don't have the money to run a store at a loss for a year or two to drive out competition and to then make up the losses by bigger volume and higher prices The big chains can do this and they would like nothing better than to see this store forced to take a strike because of a union's unreasonable demands. Such a strike would mean that much of our business would probably be lost to the Jewel store across the road or to Krogers down the street. Many of these customers would probably be lost for good. If that happened this would mean fewer jobs and even less money to pay those who would still be working here. Look at it in still another way To stay in business we would have to sell at prices at least as low as those of the big chains. We just can't raise our prices to get the money to pay higher wages. If we tried to do that we would lose our customers and in time there would be no store or jobs Neither can we get cheaper prices from our suppliers The big chains buy in larger lots than we do and they get a price advantage over us as it is. But no supplier is going to charge us less because a union comes in and demands unreasonable wage increases. 868 DECISIONS OF NATIONAL LABOR RELATIONS BOARD In other words, the money for higher wages and benefits can't come from either our customers or from our suppliers. Neither can it come out of profits I am very proud of the progress which this store has made. The profit margin, however, is marginal. To pay out of profits the kind of wages and fringe benefit costs which the Union has been promising would, in my opinion, make the difference between a good and a bad business Well, if the money can't come from higher prices, lower costs, or profits it would have to come from hiring fewer employees and demanding more work from those who are left. Some money might also be saved by insisting on stricter work practices and by keeping the managers on the backs of the employees. Frankly, this is not the way I would want this store to operate. The employees who have been here for some time know that wage increases have been made. Those who do their work keep getting higher earnings and better benefits. I have honestly tried to make this a good place to work and to pay as much as the business can afford. I don't claim that everything has been perfect. I am sure I have made my share of mistakes and with or without a union I will probably make mistakes in the future . But I am not in business to take advantage of the people who work here. With or without a union, I intend to continue doing everything possible so that everyone who works here earns a decent living. In my opinion, you don't have to share your earnings with highly paid union organizers to get improvements. No union can force me to agree to demands which are unreasonable and reasonable improvements should and will come with or without a union. Please vote next Friday, and I sincerely hope you will agree with me that we do not need a union in this store. Tony Schrementi /s/ Tony I do not perceive in this statement any coercion or threat of reprisal by the Respondent should the Union become the employees ' bargaining agent . In my opinion, it constituted permissible campaign propaganda which did not interfere with the employees' freedom of choice. Moreover , the time of its distribution accorded the Union ample opportunity to reply. It is therefore recommended that Objection Number 2 be overruled as lacking in merit 4. Objection Number 3 Objection Number 3 reads: Tony Schrementi and other of the Employer's supervisors unlawfully threatened employees that if the Union got in all part-time help would be laid off and the hours of all full -time personnel would be reduced to 19 hours per week. About a week or 10 days before the election, Russell had a conversation with William Cooper, the Respondent 's general manager , in the store. According to Russell , in that conversation He said that very likely with the union in there that the store wouldn 't be open as many hours as it is open now because they wouldn ' t be able to pay the time and a half and the double time for Sundays. Cooper's version of the conversation was not necessarily in direct conflict with Russell ' s, and contained the following: she says, "on these holidays. If we had a union in here, I would make a lot more money" . And I said "Well, Mary, it's our practice right now on holidays to pay time and a half." I said "If we do lose the election, the union and Mr Schrementi maybe would have to start from scratch on this contract And if when the contract was completed Mr. Schrementi throught it was unreasonable, he could refuse it And then the union would have to do one of two things. They could back off on the contract and disappoint a lot of promises to the people . . or they could go on strike... if a strike is called by the union . . the employees that are involved in this thing would have to possibly walk a picket line . . we could permanently replace any employee that was on a picket line [Emphasis supplied.] It is found, on Cooper's own admission, that on this occasion he mentioned the Respondent's policy of paying time and a half on holidays, and then warned that, if the Union won the election, the Respondent and the Union "would have to start from scratch" to negotiate a contract He thus hinted that a union victory in the election might jeopardize the time and a half holiday pay then enjoyed by the employees. It is concluded that such a veiled threat of reprisal interfered with the employees' freedom of choice in the forthcoming election. I accordingly find merit in this objection. 5. Objection Number 4 (Objection Number 4 reads: "The Employer unlawfully promised to grant, and did grant, wage increases to employees for the purpose of discouraging them from voting for Retail Clerks." As mentioned above, late in December 1967 or early in January 1968 Russell had a conversation with Schrementi about the Union in which Russell's wages were discussed. And she had a talk with Cooper about the Union, previously described, about a week or 10 days before the election In both conversations, Russell complained that, although she was a long time employee, other employees who had been employed for a shorter period of time were being paid better wages Russell testified without contradiction, and it is found, that after her talk with Schrementi but before the election, she was given more hours and classified as full time (before that she had been only part-time) and her hourly rate was raised from $1.65 to $1.75. I conclude that the wage increase awarded Russell following her complaint, in the context of conversations about the Union, interfered with her freedom of choice and destroyed the "laboratory conditions" necessary for a valid election. 6. Objection Number 5 Objection Number 5 alleges that the Employer unlawfully interrogated employees concerning their activities for and on behalf of the Union and how they intended to vote in the election." It has previously been found that Schrementi illegally interrogated Russell late in December 1967 or early in January 1968 concerning her union activities, and that he questioned Nickie Kloss on February 7, 1968, and Penny Kloss on February 8, 1968, concerning their union sympathies. It has been held that, by such conduct, the Respondent violated Section 8(a)(1) of the Act. As all three of these incidents occurred after SCHREMENTI BROS., INC. 869 the filing of the petition but before the election, they support Objection Number 5.63 It is accordingly concluded that this objection is meritorious. 7. Objection Number 6 Objection Number 6 reads: The Employer unlawfully discontinued its prior practice of sponsoring a Christmas party for employees and giving employees cash bonuses at Christmas for the purpose of demonstrating to employees how strict working conditions would be if Retail Clerks won the election, thereby discouraging employees from voting for the Union. There is not a shred of evidence to bolster this objection. On the record before me, I find it to be completely unsupported. 8. Objection Number 7 Objection Number 7 reads: The Employer unlawfully coerced and intimidated employees from exercising the rights guaranteed them by Section 7 of the Act by telephoning the parents of part-time employees seeking to have these employees vote against the Union and by stating to the parents that their children were coming home safely from work without being represented by the Union. On the evening of February 7, 1968, Schrementi made a telephone call to Marge Kloss, mother of Penny and Nickie Kloss. According to Marge Kloss, Schrementi asked: "Why are your girls against me?" and she replied that she "believed in unions" because the Pope had encouraged people to join unions; that Schrementi stated: "We know the girls have been getting home safe"; she asked: "Why shouldn't they? We don't live far from the store"; and he replied: "Well, we hope that they will continue to get home safe." Schrementi testified that his purpose in making the telephone call was to enlist Marge Kloss' aid in prevailing upon her daughters to vote against the Union. He further testified on direct examination that the conversation, in pertinent part, went as follows: I said, "Mrs. Kloss. . . I am having an election tomorrow and I hear rumors that your daughters aren't going to support me. . . I know that the union organizers have been following my employees out of the parking lot and calling up their homes, and every method they can possibly apply to getting these people. I said, "Do they follow your daughters home?" I said, "As far as I am concerned, I worry about these kids, and I feel responsibility that they do get home safe. And when they are home safe, that is good enough for me, I am satisfied...." Later, on cross-examination, Schrementi testified: I mentioned to Mrs. Kloss that there were employees being followed out of that parking lot by these union representatives and then contradicted his testimony on direct examination as follows: Q. While you were talking to Mrs. Kloss, what did she say? "The Board has stated - "Conduct violative of Section 8(a)(l) is, a fortiori, conduct which interferes with the exercise of a free and untrammeled choice in an election" Dal- Tex Optical Company, Inc, 137 NLRB 1782, 1786 A. She listened . She must have misunderstood me about the safety or something like that. My conversation had no bearing on safety Q. You didn ' t get into safety at all? A. No, I did not. [Emphasis supplied.] After this telephone call, Marge Kloss discussed the matter with her daughters . Concerning this, Nickie Kloss testified on direct examination: Q (By Mr. Burstein ). . Can you recall what your mother told you" A. Well, I just remember that she told me that Tony had called and that she just didn't want us to go to the store without a car, she wanted to pick us up because she was just afraid , that's all. * * * * * Q. (By Mr. Burstein ) Did she tell you why'? A. She said she didn't want anything to happen to us . . she said that she almost knew that nothing could happen and that nothing would happen but she just wanted to make sure On cross-examination, Nickie Kloss elaborated- Q. . You said that your mother told you about four or five days before the union election that she wanted to pick you up in her car rather than have you drive? A About two or three days. I don't know. Q. Two or three days before the election because she wanted to be sure nothing would happen to you? A. She wanted to be sure. Q Did she say Tony Schrementi had called her on this? A. Yes. Q. How did you know that this had anything to do with the telephone call from Tony Schrementi? A. Well, I know, you know, that she said "I just want to pick you up to make sure, you know, that nothing goes wrong because of the call , because of the phone call I got." Q I see Did she tell you who she got the phone call from? A Well, she said she wasn't sure if it was him or not but she said that whoever said it was Q. Whoever called said it was Tony? A. Yes. * * * * * Q. Did your mother say anything to you that made you understand from what she said that she was afraid Tony Schrementi was going to hurt you? A. Well, she didn't know. She didn't think it was Tony Schrementi, you know, himself. She thought maybe it was something to do with, you know, that he could, you know, maybe he could have someone or something. Let us examine Marge Kloss' talk with her daughter, as described in the above-quoted undenied and credited testimony of Nickie Kloss. Considering that the Kloss sisters were then impressionable young ladies, the communication from their mother may reasonably be deemed to have had considerable impact. I am convinced, and find, that shortly before the election Marge Kloss, wittingly or unwittingly, evoked the specter of possible physical harm, either from Schrementi's supporters or from the Union's agents. It is quite possible, as the Respondent argues, that Marge Kloss misunderstood 870 DECISIONS OF NATIONAL LABOR RELATIONS BOARD Schrementi, pr that the Respondent is not accountable for what she said . But that is not controlling . In conducting elections, the Board strives for "laboratory conditions" and if such conditions are destroyed, it matters not that the party who opposes setting aside the election was not responsible for the objectionable conduct. I conclude that the aura of fear engendered by Marge Kloss' remarks to her daughters is incompatible with the required "laboratory conditions" and destroyed the employees' unfettered freedom of choice. Therefore I find merit in this objection. 9. Conclusion As merit has been found in Objections 3, 4, 5, and 7, it is clear, and I find, that the election did not take place in an atmosphere free of interference, restraint, or coercion. The objectionable conduct was, in my view, of sufficient gravity and extent to vitiate the entire election. However, I do not believe it can be asserted with confidence that another election would be a futility. I consider it quite possible to hold a new election under more prophylactic circumstances. I shall therefore recommend that the election held qn ,February 9, 1968, be set aside and a new election be directed. Upon the basis of the above findings of fact, and upon the entire record in these cases, I make the following: CONCLUSIONS OF LAW 1. Schrementi Bros., Inc., is, and at all material times has been , an employer within the meaning of Section 2(2) of the Act ,and is engaged in commerce within the meaning of Section 2(6) and (7) of the Act. 2. Retail Clerks Union, Local 1504, AFL-CIO, is, and at all material times has been, a labor organization within the meaning-of Section 2(5) of the Act. 3. By coercively interrogating its employees regarding their union membership , activities, and sympathies, and by giving its employees the impression that it was subjecting their union activities to surveillance, thereby interfering with, restraining, and coercing its employees in the exercise of rights guaranteed in Section 7 of the Act, the Respondent has engaged in and is engaging in unfair labor practices within the meaning of Section 8(a)(l) of the Act. 4. The above-described unfair labor practices tend to lead to labor disputes burdening and obstructing commerce and the free flow of commerce, and constitute unfair labor practices affecting commerce within the meaning of Section 2(6) and (7) of the Act. 5. The General Counsel has failed to establish that the Respondent engaged in or is engaging in any unfair labor practices within the meaning of Section 8(a)(5) of the Act, or that the Respondent has committed any other violation alleged in the complaint but not herein found. 6. The election held on February 9, 1968, in Case was invalid. Upon the basis of the above findings of fact and conclusions of law; and upon the entire record in these cases, I make the following: RECOMMENDED ORDER It is recommended that Schrementi Bros., Inc., South Chicago Heights, Illinois, its officers, agents, successors, and assigns , shall: 1. Cease and desist from: (a) Interrogating its employees concerning their union membership, activities, or sympathies, in a manner constituting a violation of Section 8(a)(1) of the National Labor Relations Act, as amended. (b) Creating the impression in the minds of its employees that it was subjecting their union activities to surveillance (c) In any like or related manner interfering with, restraining, or coercing its employees in the exercise of rights guaranteed in Section 7 of the Act, except to the extent that such rights may be affected by an agreement requiring membership in a labor organization as a condition of employment, as authorized in Section 8(a)(3) of the Act, as amended. 2, Take the following affirmative action designed to effectuate the policies of the Act. (a) Post at its store in South Chicago Heights, Illinois, copies of the notice attached marked "Appendix."50 Copies of this notice, on forms provided by the Regional Director for Region 13, after being duly signed by an authorized representative of the Respondent, shall be posted by it immediately upon receipt thereof and be maintained by it for 60 consecutive days thereafter in conspicuous places, including all places where notices to employees are customarily displayed. Reasonable steps shall be taken by the Respondent to insure that such notices are not altered, defaced, or covered by any other material. (b) Notify the said Regional Director, in writing, within 20 days from the receipt of this Decision, what steps it has taken to comply herewith ss IT IS FURTHER RECOMMENDED that the complaint be dismissed, insofar as it alleges violations of the Act not specifically found herein. IT IS FURTHER RECOMMENDED that the election conducted on February 9, 1968, in Case l3-RC-11354, be set aside and a new election held at an appropriate time to be fixed by the Regional Director. "Should this Recommended Order be adopted by the Board the words the Recommended Order of a Trial Examiner" shall be stricken and the words "a Decision and Order " shall be substituted therefor Should the Board's Order then be enforced by a decree of the United States Court of Appeals, the words "a Decision and" shall be stricken and the words "a decree of the United States Court of Appeals Enforcing an" shall be substituted therefor "Should this Recommended Order be adopted by the Board the words "20 days from the receipt of this Decision" shall be stricken, and the words "l0 days from the date of this order " shall be substituted therefor APPENDIX NOTICE TO ALL EMPLOYEES Pursuant to the Recommended Order of a Trial Examiner of the National Labor Relations Board and in order to effectuate the policies of the National Labor Relations Act, as amended, we hereby notify our employees that: WE WILL NOT question our employees about their union activities, in a manner which violates the Act. WE WILL NOT create in the minds of our employees the impression that we are spying upon their union activities. WE WILL NOT in any like or related manner interfere SCHREMENTI BROS., INC. 871 with , restrain , or coerce our employees in the exercise of their right to self-organization , to join or assist Retail Clerks Union , Local 1504 , AFL-CIO, or any other union , to bargain collectively through representatives of their own choosing , to engage in mutual aid or protection , or to refrain from such activities , except to the extent that such rights may be affected by an agreement requiring union membership as a condition of employment , as authorized in Section 8(a)(3) of the Act, as amended. Our employees are free to become, remain, or refrain from becoming or remaining members of any union, except to the extent that such rights may be affected by an agreement requiring union membership as a condition of employment, as authorized in Section 8(a)(3) of the Act, as amended. Dated By SCHREMENTIBROS,INC. (Employer) (Representative) (Title) 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 may be directed to the Board ' s Regional Office, 881 U.S Courthouse and Federal Office Building, 219 South Dearborn Street, Chicago, Illinois 60604 , Telephone 512-353-7597. Copy with citationCopy as parenthetical citation