Southern Wipers, Inc.Download PDFNational Labor Relations Board - Board DecisionsAug 19, 1971192 N.L.R.B. 816 (N.L.R.B. 1971) Copy Citation 816 DECISIONS OF NATIONAL LABOR RELATIONS BOARD Southern Wipers , Inc. and Local 28, Retail, Wholesale and Department Store Union, AFL-CIO. Cases 11-CA-3983 and 11-CA-4247 August 19, 1971 DECISION AND ORDER By CHAIRMAN MILLER AND MEMBERS JENKINS AND KENNEDY On March 8, 1971, Trial Examiner Thomas F. Maher issued his Decision in the above-entitled proceeding, finding that the Respondent had en- gaged in and was engaging in certain unfair labor practices ' and recommending that it, cease and desist therefrom and take' certain'affirmative action as set forth in the attached Trial Examinees Decision. He also found that Respondent had riot engaged' in certain other; unfair labor practices alleged in the complaint and ,recommended _ dismissal of such allegations. Thereafter, Respondent and General Counsel filed exceptions to the Trial Examiner's 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 these cases 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 these cases, and hereby adopts the findings,' conclusions, and recommendations of the Trial Examiner as modified herein. The complaint alleges that Respondent refused to recognize the Union as the agent of Respondent's employees for the purpose of collective bargaining on and after April 15, 1970, and that it refused to meet with the Union for the purposes of collective bargaining on and after that date. The Trial Examiner concludes that Respondent should have availed itself of Board processes if it wished to challenge the labor organization's representative status and that, under these circumstances, its failure and refusal to meet with the Union on and after April 15, 1970, constituted a refusal to bargain in violation of Section 8(a)(5) and (1) of the Act. We do not agree. The principle applicable in the present situation has long been established. After the certification year has run, an Employer may lawfully withdraw recognition from an incumbent union because of an asserted doubt of the union's continued majority of its assertion of doubt is raised in a context free of unfair labor practices and is supported by a showing of objective considerations providing reasonable grounds for a belief that a majority of the employees no longer desire union representation.? Here the Respondent., engaged in no in dependent.unfair, labor practices and Respondent's refusal to meet with the Union occurred more than a year - after the certification A Consequently, the issue to be resolved is whether or -not 'those "objective considerations" existed justifying, Respondent's doubt concerning- the Union's majority, status. Here the Respondent and Union engagedkin a number of bargaining sessions between December of 1'968 and August 1969. However,, between late September when it sent the Union a letter indicating its willingness , to bargain and approximately April 15, 1970, when Respondent received a letter from the Union, asking, ,for bargaining, Respondent heard nothing from the Union concerning formal negotia- tions. In fact, it appears that during the period the Union was wholly inactive in the plant and several employees indicated to management that they were glad the Union had left. At the same time Respon- dent was undergoing a heavy turnover of 398 people in a work force of approximately 100 employees, including the depature of all but 3 of the members of the Union's negotiating committee. The foregoing factors relied on by the Respondent may not by themselves show that the Union had in fact lost its majority as of April 15, 1970. However, here in a context free of unfair labor practices those factors do provide, in our opinion, an objective basis which would properly furnish reasonable grounds for the Respondent to believe that the Union had lost its majority status .4 Consequently, we find that Respon- dent did not violate Section 8(a)(5) or (1) of the Act when on and after April 15, 1970, Respondent refused to recognize the Union as the agent of its employees. Accordingly, we shall dismiss the com- plaint. ORDER It is hereby ordered that the complaint herein be, and it hereby is, dismissed. 1 The following inadvertent factual errors in the Trial Examiner's Decision are hereby corrected : (1) Mediator Yates Heafner joined in the negotiations of January 13, 1969, not 1970 as stated by the Trial Examiner ; (2) the second negotiating session was held on January 7, 1969, not 1970 as stated by the Trial Examiner. All subsequent negotiating sessions discussed in the Trial Examiner 's Decision were also in 1969. 2 Viking Lithographers, Inc„ 184 NLRB No. 16. 3 The Union won a Board-conducted election on November 21, 1968, and was certified as the collective-bargaining representative for Respon- dent's production and maintenance employees on December 2, 1968. 4 See Viking Lithographers, Inc., .,.y..... 192 NLRB No. 135 SOUTHERN WIPERS, INC. 817 TRIAL. EXAMINER'S DECISION STATEMENT OF THE CASE THOMAS F. MAHER, Trial Examiner: Upon charges filed on August 22, 1969, and May 22, 1970 by Local 28, Retail, Wholesale and } Department Store Union, AFL-CIO, herein called the Union,, against Southern Wipers, Inc., Respondent herein, the Regional Director for Region 1 t of the National "Labor Relations Board, herein called the Board, issued a complaint on behalf of the General Counsel of the Board on July 31, 1970, alleging violations of Sections 8(axl)'and (5) of the NationalLabor Relations Act,,'as amended (29 U.S.C., Sec. 151 et seq. ), herein called the 'Act. In its duly filed answer Respondent,' while admitting certain allegations of the complaint, denied the commission of any unfair labor practice. 'Pursuant to notice a trial was . held before me in Charlotte, North Carolina, where the parties were present, represented by counsel, afforded full' opportunity' to be heard, to present -evidence and oral argument, and to file briefs. A brief was filed on or about January 15, 1971, by counsel for the General Counsel. Upon- consideration of the entire record, including the brief filed_ with me, and specifically upon my observation of each' witness appearing before me,1 I make the following: - FINDINGS OF FACT AND CONCLUSIONS OF LAW I., THE BUSINESS OF THE RESPONDENT Southern Wipers, Inc., Respondent herein, is a North Carolina corporation with a plant located in Charlotte, North Carolina, where it is engaged in the manufacture and sale, of wiping` cloth, cloth, and waste (a textile manufacturing byproduct). During a 12-month period immediately preceding the issuance of the Complaint herein Respondent - manufactured products valued in excess of $50,000 and sold and directly shipped from its Charlotte, North Carolina, plant finished products valued in excess of $50,00 to points and places outside the State of North Carolina.' During the same period Respondent received at its Charlotte plant goods and raw material valued in excess of $50,000' from points and places outside the State of North Carolina. Upon the foregoing facts stipulated by the parties I conclude and find the Respondent to be an employer engaged in commerce within the meaning of Section 2(6) and(7) of-the Act. II. THE LABOR ORGANIZATION INVOLVED It is stipulated and I accordingly conclude and find that Local 28, Retail, Wholesale and Department Store Union, i Bishop and Malco, Inc., 159 NLRB 1159, 1161. ' 2 The findings herein are based upon the credited testimony of General Counsel's principal witness, Union Organizer Martin, unless otherwise noted. - 3 Counsel for Respondent moved to strike all testimony relating to incidents occurring before February 22, 1969, a date six months prior to the filing of the first charge. I denied the motion when made, ruling that Section AFL-CIO, is a labor organization within the meaning of Section 2(5) of the Act. M. THE ISSUE Whether the extensive but fruitless negotiations between the Union and the Respondent nonetheless constituted an unlawful refusal to bargain. IV. THE UNFAIR LABOR PRACTICE A. Sequence of Events Pursuant to an election conducted among Respondent's employees by the Regional Director of the Board on November 21, 1968, - the Union - was selected as the exclusive bargaining representative of the majority -of the employees in a unit found to be appropriate for the purposes of collective bargaining, namely: All production and maintenance employees including training inspectors and truckdrivers at the employer's Charlotte, North Carolina, plant excluding office clerical employees, salesmen, guards and supervisors as defined in the Act. Thereafter, on December 2, 1968, the Regional Director, pursuant to authority vested in him by Section 3(b) of the Act, certified the Union as the exclusive bargaining representative in the foregoing bargaining unit. No request for review of the Director's action having been made of the Board. I accordingly conclude and find the foregoing unit to be appropriate for the purposes of collective bargaining. On December 13, 1968, bargaining -began. The account of this and subsequent bargaining sessions which form the substance of the controversy herein will be detailed at this point. The personnel -representing both parties remains sub- stantially the same throughout negotiations. the Union was represented throughout by its organizer, Elliot Lee Martin, at numerous times.by its regional director, Irving Lebold, and by employees Margaret Currie, Dixie Lewis, Otho Price,,and others. The Company was represented by President G. W. MacKinnon, Chairman of the Board W. F. MacKinnon, and an unidentified secretary. Although the meetings appear to have been held in the offices of the Federal Mediation Service from the beginning, the media- tor himself, Yates Heafner, did snot join the negotiations until the January 13, 1970, meeting.2 At the first meeting, held on December 2, ,1968;3 Martin presented the Union's initial proposal in the form of a one- page outline containing 18 specific subjects. This proposal, mimeographed on green paper, was referred to throughout the negotiations and at the trial before me as the "green sheet proposals." Its format was one of subject title, for the most part, listing such subjects as "Recognition Clause, Check-off, Discrimination Clause, Seniority Clause, Union Pension Plan," et at Other items were set forth in some 10(b) of the Act did not preclude me from taking testimony isla ' to incidents prior to the so-called 10(b) period . Upon reconsideration and in conformity with the holding of the United States Supreme Court in Local Lodge, No. 1425, International Association of Machinists v. N.L -R (Or,yan( Manufacturing Co.), 332 U.S. 4l 1, r real-firm my denial of Respond lit s, motion and will consider such evidence for background purposes herein. 818 DECISIONS OF NATIONAL LABOR RELATIONS BOARD detail . -Thus -the hours of work were spelled out in detail, together with overtime provisions ; 10 paid holidays were enumerated ; a graduated vacation entitlement was spelled out; maternity leave was fixed at 6 months without loss of seniority; the Company was to provide uniforms and a bulletin board and to permit visitation- at , the plant by Union representatives ; and `wages were proposed to be increased by 50 cents per hour, across-the-board, with a fixed minimum rate of 2 dollars per hour. At this first meeting the parties went through this "green sheet" item by item., Martin .elaborated to management their demands as to items that were not set out in detail on the "green sheet .,,"; After, Martin had covered the initial item, the recognition clause,- and was expecting a response from management, G. W. MacKinnon stated that they would, prefer that they-"go through the entire sheet to get understanding as to what was meant by each of the 18 items ." While Respondent had no counterproposal to offer at this meeting it did have comments from time to time. Thus as Martin ,spelled out the .need forthe checkoff W. F. McKinnon stated- that he saw no need for ,it. When the clause , was raised z the Company wanted an explanation as to what was really wanted, and Martin went into further detail . When Martin reached the demand for uniforms W. F. MacKinnon replied that he saw no need for providing uniforms but that the employees were free to wear. the, clothing that the Company had in. its stock. When the visitation of ,,=Union representatives was . explained MacKinnon said "he was not opposed to the visiting of the plant by Union -representatives", but that a limitation would have to be placed on it to avoid work interruptions. And when, the need for a bulletin board was stated MacKinnon said that they- had bulletin boards that could be used for the purpose. Finally, on the subject of raises Martin set forth in detail his proposal for the 50 cent across-the-board increase and, the 2 dollar minimum. In addition, Martin insisted , as he continued to do so at subsequent , meetings , that the production bonus paid to trimmers be eliminated . Except as noted above the Company representatives made no counterproposals at this meeting but they did assure the Union representatives that they would respond in due time. The second negotiating session was held on January 7, 1970, at which the Union introduced for discussion a contract between it and the American Bakery Company and referred to as the "Merita Contract"-Merita being the trade name of that ' company's product. This contract was presented as a guideline for future . negotiations and specific draft contract language . The parties went through it item by item. Language was suggested for a recognition clause and for checkoff provisions by Martin. The recognition clause was held in abeyance, but W. F. MacKinnon would not accept a checkoff provision, stating the position that it-was the Union's obligation to collect its own dues, • as it was the employees' duty if they so chose to pay,their dues . The Company promised a counterproposal to, the clause relating 'to discrimination against, Union members . It would not accept the proposal for a guaran- teed , 5-day, 40-hour workweek, stating there were frequent periods when employees would be working 35 hours per week. G. W. MacKinnon rejected the idea of paid holidays but stated the Company's agreement to unpaid , approved absence on the specified holidays . On vacations a counter- proposal was promised for the future . An extended discussion was held, related to language in the "Merita contract," concerning provisions dealing with " leave of absence, maternity leave,' seniority, pensions ,' health and welfare , programs, rest periods , discipline, discharge and arbitration, and insurance. In each of the foregoing areas . Respondent agreed to submit counterproposals, but in a numberbf specific areas revealing comments by management representatives indi- cated a`poin't of view in opposition to the Union's. Thus in consideration of seniority W.'-F. MacKinnon stated that Respondent would insist upon retaining the best qualified employees , regardless of their length of service. G. W. MacKinnon indicated that the Company had recognized the need for lunchroom facilities and had tried to purchase a building for the employees as a lunchroom but had been unsuccessful . He said "he expected ,to be_ able to, work something out." ,The response to a proposal for a ladies lounge was completely negative, however, W -F. MacKin- non stating that should employees feel ill they could continue to follow past practice of, lying ;,down, on the cotton bales in the back room . *hen the health' and welfare provisions were raised W . F. MacKinnon cited the excessive cost of the present insurance plan and stated his unwillingness to incur more expense in that area. A pension plan proposal also appears to have been prelimi- narily rejected at this time , G.' W. MacKinnon stating that: They didn't have anybody in there he thought was eligible for it, or would beeligible for it in the near furture, and therefore he -didn 't, see ' where it was necessary, for, the Company to contribute to any pension plan. At this same January 7 meeting Respondent brought up for discussion the subject of work rules which it was interested in putting into effect to cope with problems , of lateness, absenteeism, and theft. To this end a document incorporat- ing the rule proposals was submitted following the meeting. On wages at the January 7 meeting . the Union 'repeated its same demand for an, across-the-board increase of 50 cents with the elimination of the trimmer -bonus., In. reply the Company stated they were in-no, position to give such an increase at that time and furthermore it felt that not everyone work ng for 'them was entitled to an' increase. The third meeting was-held on January 13, by which time Federal Mediator Heafner had entered the picture . tittle if anything resulted from this meeting. The fourth meeting, on January ,28, witnessed the submission by the Company of a series of .work rules (supra) dealing with such subjects as lateness and absences, and the penalties to be imposed for excesses , conduct in the plant as related to smoking, drinking on the job, coming to work drunk, visiting, the use of the telephone, frequenting the restroom in groups, and finally the imposition of dismissal of any trimmer who made less than 75 percent of production in a stated period . The Union representatives asked numerous questions and , explana- tions of the Employer representatives and after the document had been covered, item by item, they told the Company that they would not be able to agree to the work SOUTHERN WIPERS, INC. rules, particularly as there was no provision for arbitration, and they would have to present them to the membership. The Union representatives again proposed its original 50- cent across-the-board increase to which the Company demurred. Q. W. MacKinnon did state, however, that there were three employees, the tow motor operators, to whom they would like to give wage increases. MacKinnon said that he had promised these people raises prior to the advent of the'Union. The Union asked for the identity of the three, received it, and after a caucus agreed to the increase. The Union then repeated its demand for the across-the-board increase and the Company refused to accede. - On February 3 the parties met for the fifth time and W. F. MacKinnon opened by complaining to, the Union of what appeared, to him to be a slowdown in the plant with a resulting loss of income. -The Union representatives, Martin- and Lebold, suggested that, they bepermitted to visit the plant to - see if they could help remedy the situation. The Company agreed to this proposed visit and set it for the following day. Meanwhile the discussions continued in Other areas. After' again discussing the proposed work rules the arbitration clause was once more proposed by the Union. The Company's response was that they did not -think it necessary because people who were not able to perform their duties, regardless of the length of service,-would have to be replaced. Pensions were again proposed but G. W. MacKinnon stated that ,they were not interested in pensions , particular- ' 1y as an item of cost, because they did not have enough people who would qualify for pensions in the near future. Once again the Union raised the wage issue, insisting, as usual, upon an across-the-board increase. W. F. MacKin- non replied that not everyone in his employ was entitled to a raise and he stated that he would not agree to a general increase. He did say, however, that he had some employees to whom he would like to give merit increases. In reply the Union asked for - a list of those to whom the Company wanted to give increases . The-meeting lasted between 1-1/2 and 2 hours. On the following day, pursuant to arrangements- between the -parties, Union Representatives Martin and Lebold visited the plant, presumably, to explore the slow-down problem, It is disputed whether the purpose of this was to resit the production areas or simply to inspect the books relative to, the loss of production. Apparently shipping records were first-shown to Martin,-but meanwhile Lebold asked that they immediately be shown into the plant- After private-consultation the MacKinnons decided it would not be safe- for them to visit into - the-plant at that time because of ' the tensions existing among the employees.4 The sixth negotiating meeting was held on March 11. Agreement was reached among the parties on the language of the - recognition, , union discrimination , and jury duty clauses. Nothing was accomplished in the area of 'wages. On March 14, the seventh meeting, the Company submitted a draft contract proposals complete in 'every detail except article XII, wages and rates of pay. Although 4 G. W. MacKinnon testified that Lebold had wanted to look around the plant and do some organizational work while they were there and he would not permit it, due to threats that he had heard of. 819 the draft provided in detail for the payment of a bonus to trimmers, the Company's persistent demand, and it reserved the granting of merit increases- to its, own discretion, it did not, as was specified, contain the attachment detailing the employees' wages, and rates of pay. - The parties went over the Company's draft proposal item by item. At the outset it, was noted that there was agreement on the recognition clause. The Union, however, would not agree to a provision making union, membership optional. There was considerable discussion "on the checkoff, with the Union- explaining why it considered it necessary and reminding the Company that it -was then withholding community chest donations and employee loan repayments. The Union objected to ;the Company's discrimination proposal because it did not include discrim- ination for reasons of religion or sex. The clause providing hours of work was unacceptable to the Union because it failed to guarantee, as the Union's proposal had, a full 40- hour workweek. The Union also objected to the amount of break time proposed and it particularly objected,that the afternoon break would be without pay, The parties likewise disputed the amount of call-in -pay, the Company, offering 2 hours of pay, the Union demanding 5. The holiday offer of the Company, 5 unpaid holidays, was rejected,by,the Union. It was demanding 9 paid holidays. - The vacation and vacation pay proposals of the Company did not meet entirely the Union's approval but they did not offer a counterproposal, being content to, refer to their original "green sheet" proposal which allowed for a scaled increase vacation beyond the Company's- 2-week maximum. . The Union agreed to the Company's leave of absence clause but rejected the Company proposal on seniority which would limit it to an employee's last' tour of employment. The Union restated as its position the more explicit seniority proposal in the previously submitted Merits contract. In this respect W. F. MacKinnon restated his desire to--be able to replace with new employees any old employee who could not perform his duties. Agreement could not be reached on the Company's brief health and safety proposal; the Union raising the issue of a single commode in -a poorly kept ladies restroom, and the Company countering by complaining, of employees loung- ing in the restroom and smoking in violation of insurance regulations. The Union rejected the Company's proposal relating to discipline and discharge for the reason° that settlement of disputed cases was uncertain. The Company had rejected any notion of arbitration and this position had the effect of reducing the effectiveness of settling -grievances without a strike. The Company proposal to continue its present insurance coverage of employees was not acceptable-to the Union and strenuous argument was advanced'in, favor of the Union's own health and welfare plan.-W. F. MacKin- non countered by describing the current insurance pro- gram which was all the Company could afford at that time. The parties discussed the Company's proposal - that b A copy of the Company's draft proposal is attached hereto and incorporated by 'reference in this Decision as Appendix A, infra. 820 DECISIONS OF NATIONAL LABOR RELATIONS BOARD clothing would be made available out of stock for purchase by employees at cost. The Union rejected this, adhering to its demand that uniforms be provided. In addition, discussion was held on the so-called jury duty clause on: which there was eventual agreement, the funeral leave clause which provided for excused absence without pay, a condition unacceptable to the Union, the rights of- visitation of employees in the plant by Union 'representatives over which there resulted a dispute as to the language that could not be resolved, the supplying of bulletin boards on which there was agreement , and the no- strike, no-lockout ^ provision ''which became deadlocked because of a failure to agree on arbitration. As it related to the 'wage demands of the Union the Company's proposal was wholly unacceptable. It is really not significant that the proposal referred to a nonexisting .attachment containing wage schedules . The fact of, the matter is that both parties had their fixed position on wages, had repeatedly expressed them, and were unwilling to recede . Suffice it to say that here again the Union sought the withdrawal of the trimmer bonus, and an across-the- board increase, and the Union rejected the Company's insistence on a continued bonus . At the same time the Company again requested the Union 's approval of the granting of merit increases to certain individuals . In reply to this request the Union "Old Mr .'W. F. MacKinnon if he would give us a list then we would take it to the membership to see if we could get it approved or < sppproved."` In support of his insistence that the trimmer's,bonus be continued MacKinnon cited the current poor production from the trimming department and expressed the feeling that the bonus would be the only means of improving or at least sustaining production. The eighth bargaining session was held on April 3 and wages was , the, first item of discussion . After some discussion of the Union 's-initial 50-cent demand the parties separated and the mediator served as conduit, bringing proposals .and counterproposals from one group to the other. In the course of this the Union offered to break down its demand to provide for two 25 -cent raises at a spaced interval . The Company rejected this but again repeated - its request that approval be given it for granting of merit increases . With wage negotiations foundering on this issue negotiations continued to other areas . Arbitration and vacations were discussed but no agreement or a counterproposals resulted . The Company at one point in the discussion offered - to, trade a "right to strike" provision for the Union demand for arbitration. The Union would not agree to this. This 2-112-hour meeting concluded with air inconclusive discussion of seniority. The ninth session was held on April , 15 under the direction -.of Mediator Heafner and formost of the time the parties were, separated . Wages', was the, only subject of a discussion that , lasted for 2-1/2-3 hours. The Union, through -the mediator, offered to reduce its demands to a 15-cent increase and later reduced it to 10 cents. When these were each rejected the Union then proposed a package deal consisting of a 10-cent across-the-board 0 Employees Dixie Lewis and Margaret Currie credibly tested to the above meeting in corroboration of Martin. They further quoted the increase, a reduction of break times from 15 minutes each to 8' minutes each,' 5 -rather than 9 paid holidays, acceptance of the Company 's vacation proposal ; a sand an arbitration clause . The mediator reported to the Union that upon presentation of this offer to the `Company there was no movement on its part., Martin testified that the' Union made no further proposals to the Company .,And the Company continued to insist upon a bonus system for, the trimmers and the merit increases -for individual-employees. No meetings were held-until a month later , May' 19-the tenth meeting. On this occasion W. F. MacKinnon- again stated, that ' the Company wanted to give ' out -merit increases. When the Union requested the names this time the Company ' provided it with two lists, one with 6 or 7 names on it and the other with 20 names. - The parties ' met again the following day, May 20 ,, for the eleventh time . Martin again ' asked for an across-the-board increase and G. W. MacKinnon refused - hind, stating that he would like Martin's agreement to the payment of merit increases to the individuals named on the lists he had 'given him the day before. Martin had not yet presented these names to the membership and had no present answer for MacKinnon. At the twelfth meeting, on May 26 , the Union opened with its usual request for, an- across-the-board increase' which G. W. MacKinnon again refused, restating his desire for approval of the grantingofrmerit"hnreases. Whereupon Martin informed MacKinnon that he had taken a list to the membership for approval and that it had been rejected. MacKinnon said that "he,would take it into considera- tion." In addition to the 'foregoing discussion of wages and merit increases the parties devoted -a= considerable portion of the 3-hour meeting to , seniority, arbitration , the bonus system, health and welfare payments , vacation pay, and holidays. No definitive results-were reached.,, i Following this meeting the Company wrote the Union, enclosing a list of 20 employees-to whom -it wanted to give 5-cent or 10-cent merit increases . ' The, letter - read as follows: As per your suggestion at today's Negotiating Meeting we would like to give , increases to. This list supersedes and is corrected from the first to show discharges, and also show a few additional increases to some named on the previous list and also some new names have, been added to the previous list, for increases . We would like your approval of this list so that it can become effective May 28. We would like to mention-that as we mentioned at the metting the, increases and additions for further or additional increases is small in number and quantity, but you have not given us sufficient time , to, assess further increases . We, would, like to give additional merit increases if and when the opportunity arises, that is up until our final contract conditions are settled. On, May 27 -MacKinnon wrote the Union adding seven names to the earlier list. The thirteenth meeting was held on June 1 with the usual parties present and under the leadership of the 'mediator, mediator as saying that , he could not even get the Company to give them 3, cents. SOUTHERN WIPERS, INC. Again the Unionropened by asking for an across-the-board increase. G. W. MacKinnon again refused stating that "He wanted" to 'grant merit-increases, and that was it on wages." Martin further' testified that when he reminded-MacKin- non'-'that the. employees had rejected the idea of merit increases MacKinnon replied that-he would put them into effect. Thereafter, on the following day, June 2, MacKin- non wrote to Martin as follows: It'has'become more and more urgent that we make some merit,'inicireases-amongour'employees. Becauseof our failuieto do so, we'not only have lost many of our best employees, we are also about to lose more of them. We have discussed all-phases of the wage subject with " you manytimes,, and neither we nor you seem to have any'-additional' suggestions or anything further to say on the matter. Therefore, for the reasons which we have emphasized in our negotiations, we will now go ahead with the merit - increasing that we have discussed with you. >,This' of course, will be without prejudice to our further bargaining with you onadditional wage increases as on all other matters,- At the fourteenth meeting held on June 5 Martin opened for the Union by asking G. W., MacKinnon=for a counter proposal-to .its, demand for an across-the-board increase. MacKinnon's- reply- was, "No." From this, subject the parties -proceeded to a 'discussion of checkoff, and paid holidays with no definitive results. Following the meeting the-Union wrote to the Company reiterating its rejection of merit increases as being- too low and objecting to the failure to arrive at agreement-,on paid vacations. It concluded by-, requesting financial, statements from the Company to- support its claim of loss - of profits. The fifteenth bargaining session was held on June 30• and -proposal was again the first item ofthe- Union'soriginal discussion.-Upon the Company's refusal, again stating it was in. no position to grant the increase, the discussion moved on to vacations, "arbitrations,, and holidays; and the proposals on the "green 'sheet" were reviewed in some detail. The meeting which lasted nearly three hours produced no - agreement., MacKinnon -did announce, however, that 'there had been layoffs of trimmers who had not produced '5 percent -of their quota, and that more', layoffs were -anticipated if 'production did not improve., Between,„this meeting and the next one an exchange inl correspondence 'resulted in a reply in which the Company rejected the overall increases as demanded, but stated its guess to continue discussing the' matter and all other unse led 'issues. It stated its willingness to show,the Union its_books and in answer to the Union's request for a meeting date suggested July 8. The, next- meeting, the sixteenth, was actually held on July 7, followed by another on July 8, the seventeenth. At each of these ` meetings the Union's wage demands, previously made, were repeated and again rejected by the Company. At the latter meeting the Union asked for a list' of the employees ' who, in addition to those previously listed, ' had ' been given `merit -increases. Martin also requested a list of those hired and fired and a seniority list. Thereafter, on July 9,, the Company. wrote the : Union 821 supplying it with the requested operating information, the names of recent hires, a list, by weekly periods, of trimmers failing to make production, and a -supplemental list of employees to whom merit increases had been granted. The August 6, 1969, session was the eighteenth and, as it developed, the last. The parties present were substantially the same excepting that G. W.- MacKinnon was absent and William MacKinnon, a member of management, was there, as he had been on other occasions. In the course of bargaining at this meeting, while the parties were separat- ed, the Union instructed the mediator to see if he could get a 10-cent or 15-cent increase. This the Company refused. Martin's testimony best describes the demise of bargaining at this point, thus Mr. W. F. MacKinnon said that he was therefor the purpose of discussing merit wages, and I told him that I would like to go into a discussion on, the general contract and wages, and Mr. W." F. MacKinnon told me he wasn't interested in that, that he was there to try to reach an agreement on the merit increases, and that if there was anything else I wanted to discuss other than that, he didn't care to. Q. What, if anything, did you say to that? A. Well I told him I didn't like for him to tell me how to negotiate contracts, and that I did have other things I wanted to, discuss. After all, all of the items or most of the items in the contract were still opened, and he hadn't reached ' an agreement on, and it was my position we would like, to go into those items as well as into the merit increases. 'Q. What if anything, did Mr. MacKinnon say to that? A. Mr. MacKinnon said that he was leaving. Q. What, if anything did he do? ' A. Mr. MacKinnon both of the Mr. MacKin- nons, and the secretary got up and left. Q. Have you had any further negotiating sessions with the Company since that time? A. No sir. Meanwhile, on July 29 the Company supplied the Union with a list of 11 employees to whom it had given 5-cent merit increases, and- on September 3, after the 'final meeting, it provided another 'list of 25 merit increase recipients. In its September 3 letter supplying this list the Company stated We have never yet received from you your written draft on contract proposals, which you told us some months' ago you would submit in response to` the written proposals which we submitted to you. ' Martin replied that they had actually submitted a number of proposals and wished another meeting "to thrash out this matter." At the hearing, on cross-examination, howev- er, Martin, in answer to the question: "The only proposals you ever submitted to the Company in writing'were on this green sheet, and on this Merita contract, isn't that right?" replied, "Yes, sir." In any event the Company, disputing Martin's claim that the Union had submitted- subsequent proposals, again requested them, in line with the Compa- ny's early request and the mediator's suggestion, conclud- ing 822 DECISIONS OF NATIONAL LABOR RELATIONS BOARD When we, have the above, namely, a proposal, as, a, counter-proposal to -ours z in • writing, then, we will be more-than glad to meet with you as we have many times in -the past on short notice and at your- convenience to further discuss your contract proposal. -No, movement , in the bargaining area is apparent between.,September, 223,,1%9, the date of Respondent's letter quoted above, and April 17, 19708 when Martin wrote to G." W. MacKinnon requesting "a meeting to continue our^negotiations." Upon receiving no reply from the Company Martin directed a second letter to MacKin- non dated June 10,° 1970, as follows: , As of this date, we have had no response from you from our letter dated on or about April 15, 1970, requesting a meeting to resume contract negotiations. Once again, we request a meeting between the Company,. myself, and Union Committee, for, the purpose of resuming contract negotiations. May we hear from you, at your earliest convenience, as to the date and time for such a meeting. There has been no response to these two final requests. B. Analysis and Conclusions - It is General Counsel's contention that Respondent has bargained in bad faith in the area of wage negotiations by having attempted to remove the subject of wages from the arena of collective bargaining. Quite apart from my basic disagreement with this proposition as an interpretation of the facts I have found upon the testimony of General Counsel's witnesses I am troubled at the outset by characterization of this conduct as being in, bad faith. The concept of "bad'faith" as applied to the collective- bargaining process finds it genesis in Section 8(d) of the Act. Thus it is stated For the purposes of this section, to bargain collectively is the performance of the mutual obligation of the Employer and the representative of the employees to meet at reasonable times and confer in good faith with respect to wages, hours and other terms and conditions of employment, or the negotiation of an agreement, or any question arising there under and the execution of a written contract incorporating any agreement reached if, requested by either party, but such obligation does not compel either party to agree to a ' proposal } or require the making of a concession. With this as a backdrop it is to be observed from 'the findings'I have made that the Respondent and the Union have met - on 18 'separate occasions over a period of 8 months in meetings that averaged 2 hours duration. At these meetings conducted in orderly fashion by a federal mediator two written proposals ,were submitted by the Union, two written counterproposals by the Respondent, and during the course of a frequent exchange of corre- spondence numerous clarifications, submissions of request- ed information, and supplemental proposals were supplied by the Respondent. 't'he bargaining between these parties was not confined. as General Counsel's, brief to me would suggest, to wages. 9 -Appendix A, supra 8 I do not consider essential to the issues presented in this case the contentions directed to the representative status of the Union and Organizer Martin during this period. On the contrary I rely upon the Regional On the contrarya scrutiny of the record and 1,. findings I have made r ,upon it makes it abundantly clear - that, bargaining , covered the gaumet of. labor relations matters as they affected the -problems, ofRespond ent and his employees,, -some of , which were resolved ,-.many others of which -were still, under discussion to and after -the eighteen sessions. Nowhere does it appear that Respondent's representa- tives were unwilling to pursue-further any subject up for agreement. Each side had its proposals ; the, Union's "green sheet" proposals amplified in, the Merits contract which is submitted for a guide ; the Cotnpany's^ draft -contract proposal which I have incorporated into this Decision as Appendix A. As discussion on these progressed not-,only were views exchanged but, as noted above , agreement-was reached on individual items . What was-not resolved, however, was the subject of wages. It is obvious that , the Union's wage ; position, was intransigent . However willing it was to scale down. the amount of a-general increase it was as obdurate that-this across-the=board.increase be. given as it was that the bonus to trimmers be eliminated . Respondent was equally as obstinate m its insistence that the bonus not be eliminated, that it grant -individual merit increases with the Union's approval, and that- it, not be required to give an across-the- board increase that would reward employees who, in its estimation, were not doing satisfactory work. Thus it is abundantly clear that the Union's complaint was not so much that the Respondent' was 'refusing to bargain over wages as it was that Respondent was refusing to give in. Indeed what Martin said over and over again in his testimony was that Respondent would not capitulate and agree ' to his demand for wages. But by Martin's own testimony it is clear that Respondent had the identical complaint with respect to the Union's wage `position, and the considerable exchange of correspondence bears this out. If any provision of the 'Act is clear it' is -that ' portion quoted above, supra, wherein it is stated' that the obligation to bargain`in good faith "does not compel either -party to agree to a proposal or require the making of a concession." And this, the making of a concession , is precisely what was sought , at each ' of the 18 bargaining sessions, and pit is precisely what the General Counsel urges as it unfair labor practice in this proceeding..' Obviously=' this' is the kind of bargaining situation to which Section 8(d)` was ' referring. What remains to be' considered in this - matter' of ' a demand for the making of'a concession is the determina- tion of the good or bad faith in which'the demand was refused, not to mention'`the good or bad faith of the Union in making the demand, an issue not presently before' me. My review of this record persuades` me that both parties adhered to their respective positions in equally good.'faith throughout the whole stalemate on the issue of wages, _as well as ' on other issues. Indeed - the record is replete, particularly throughout the testimony of General Counsel's principal witness , Martin, with testimony of the amplifica- tions, justifications,, and arguments made by both parties at Director's certification of ' the Union dated December 2, 1968, '- as conclusively establishing' the Union's' status as exclusive bargaining representative of this employer's employees, and I shall make my findings accordingly. SOUTHERN WIPERS, INC. each of the bargaining sessions in support of their wage positions. Thus' Respondent's officials, G. W. and W. F. MacKinnon, repeatedly explained the production necessity for retaining a bonus 'system for trimmers , the relation of the production of trimmers to the overall profit of the Company, the effect of a slow down in the trimming department on profits, the personnel efficiency reasons for not giving across-the-board raises (some were not doing their job), the financial inability to grant the general increase; coupled with a proffer of its financial records to substantiate its'point. Because the refusal here related only to wages I find it unnecessary to elaborate upon the extent of Respondent's participation in other areas of bargaining; nor is it necessary to detail the Union's fulsome arguments and facts presented in support of its proposition on wages at the bargaining sessions, the Union's good faith not being in issue here. It is sufficient to note that in both areas praticipation by both parties was full and extensive. A second- facet of Respondent 's alleged refusal to bargain concerning wages ' centered about the merit increases which it gave to named individuals. This the Complaint characterizes as "unilateral." In the context of this record the term "unilateral" would seem to be a misnomer .9 As fully developed in the findings herein Respondent's representatives repeatedly urged the pay- ment of merit increases, explained their economic necessity as a means of retaining their best employees , repeatedly asked the Union's 'approval to grant them, upon the Union's request provided the names of those to whom they wished , to grant the increases, and documented with numerous letters and requests for approval their willing- ness to share with the Union in granting these increases. 'Finally, after nearly 6 months' discussion and after all efforts had failed, Respondent, on June 2, 1969, still provided the Union with advanced' notice of its' intent to grant the merit increases before it did-so. For the foregoing Considerations, and for the whole record, I am not persuaded that `the merit increases granted by Respondent can properly be characterized as unilateral.10 On the contrary I would conclude and find that they were granted only after the complete and interminable bargaining had resulted in a stalemate which, if not resolved , would' have been detrimental to Respondent's legitimate interests. If ever there was an impasse in bargaining this was it." Here again in the assessment of Respondent 's bargaining contract in the area of merit increases it is implictedly contended that bad-faith bargaining is synonymous with failure to make a concession . Quite apart from the fact that such an argument flies in the face of the statute it also negates the validity of one of the cornerstones of effective labor relations. Hard bargaining, however distastefully the practice may be viewed, it is not a violation of the Act. Nor is the conduct of a strike in support of an econmic position in bargaining in violation of the Act. When, then, one of 'the parties, in this case ' the 'Union , does not chose to exercise the economic strength customarily available to him, it cannot be said that recourse to the processes of the Board is a proper alternative, and the handy weapon for any so- called hard bargaining situation . I would accordingly 823 conclude and find that insofar as the granting of merit increases and the bargaining with respect to wages are concerned Respondent has not - refused to bargain in good faith in violation of Section 8(a)(5) and 8(d) of the Act 12 With respect to the conduct of the Respondent following the Union's request to resume negotiations after April 15, 1970, Respondent has clearly failed and refused to do what the Act requires it to do-bargain collectively with the certified himself as representing the same organization certified by the Regional Director on December 13, 1968. Through the representation processes of the Board the Act provides ample machinery with which to challenge a labor organization's representative status; but there is nothing in the record that would suggest that on and after April 15, 1970, Respondent ever availed itself of such process with respect to the Union here . Under these circumstances it is clear that Respondent , by its failure and refusal to meet further with the Union on and after April 15, 1970, has refused to bargain with the duly certified representative of its employees in, violation of Section 8(aX5) and (1) of the Act, and I so conclude and find. V. THE EFFECT OF THE UNFAIR LABOR PRACTICES UPON COMMERCE The activities of the Respondent set forth in Section IV, above, occurring in connection with the Respondent's operations described in Section I, above, have a close, intimate, and substantial relationship to trade, traffic, and commerce among the several States and tend to lead to labor disputes burdening and obstruction commerce and the free flow of commerce. VI. THE REMEDY I have found that Respondent has refused to bargain with certified representatives of its employees in a bargaining unit found to be appropriate by failing and refusing to meet with it. I shall recommend .that Respon- dent cease and desist from such conduct. Affirmatively I shall recommend that Respondent resume collective bargaining with the Union concerning hours, wages, and other terms and conditions of employment and that if agreement is reached it embody such agreement in writing. I shall also recommend that it post appropriate notice of its compliance with this order. Recommended Order omitted from publication. 9 Webster's New Collegiate Dictionary, G & C Merriam Co., Springfield, Mass., 1970, p. 929, defines "unilateral," thus; "One-sided ; done, made, undertaken or shared by one of two or more persons or parties." 10 On cross-examination Martin was asked if he "could point to one increase given to anybody out there at any time that was not discussed with you in advance." His reply-"I don't have any knowledge _ of any." 11 NLRB.- v. Wooster Division of Borg-Warner Corp., 356 U.S. 342, 349. 12 N.L.RB. v. American National Insurance Co., 343 U.S. 395; United Steelworkers ofAmerkca (Florida Machine and Foundry Co.) Y. N.LRB., 441 F.2d 1005 (C.A.D.C.). APPENDIX AGREEMENT THIS AGREEMENT, made and entered into this day of , 1969, by and between &24 DECISIONS OF, NATIONAL LABOR RELATIONS BOARD ,SOUTHERN WIPERS, INC., of Charlotte , North Caroli- na, hereinafter . referred to as the "Employer" or the "Company", and LOCAL 28, RETAIL, WHOLESALE & DEPARTMENT -STORE UNION , AFL-CIO, hereinafter referred to as the "Union". WITNESSETH: That for the purpose of facilitating the peaceful adjustment of any differences which may arise from time to time between the parties above-named, and' for the purpose of promoting harmony' -and efficiency, to the; end that the parties above-named and the Company's employ- ees and the general public may be benefited thereby, the parties above-named do hereby contract and agree with each other as follows: ARTICLE I-RECOGNITION - The Company recognized the 'Union as the sole and exclusive bargaining 'agency for all employees in the bargaining unit which has heretofore been defined and established among the employees at the Company's Charlotte Plant,'that is, all--production and maintenance employees, including trimming inspector and truck driver, but excluding office clerical employees, salesmen, guards and supervisors as defined in the National Labor Relations Act. ARTICLE II-UNION MEMBERSHIP Employees shall be free to be members of the' Union, or not, as they may see fit. Employees shall be free 'to support the Union financially and otherwise, or not, as they may see fit. ARTICLE III-NO DISCRIMINATION There shall be no discrimination against any employee because of his ` being a member of the Union, and there shall be no discrimination against any employee because of his not being a member of-the Union. , There shall be no discrimination against any employee because of race, creed, color or national' origin. ARTICLE IV-HOURS OF'WORK The normal workweek shall consist of five (5) consecu- tive days, Monday through Friday. The normal work day shall consist of eight (8) consecutive hours. For any work beyond'forty (40) hours in a workweek, an employee shall be paid at= one and a half times his regualr rate of pay. There shall be a fifteen,(15) minute paid morning break, approximately half way between starting time and lunch time. There, shall be a forty-five (45) minute non-paid lunch period at approximately twelve o'clock noon. There shall be a fifteen (15) minute non-paid afternoon break, approximately half way between lunch time and quitting time, If an employee is required to report for work, but through no fault of his own he is not permitted to go to work, he shall receive not less than two (2) hours pay, at his regualr rate, for reporting. If, however, the Company has other work which it desires, the employee to perform, he shall not refuse to perform such otlierzwork. The foregoing, provision for reporting pay shall snot apply in case of power failure,or other-,breakdown, beyond the Company's control. ARTICLE V-HOLIDAYS, New Year's Day, Labor Day, Christmas Day, Fourth of July and Thanksgiving day shall be holidays, and.employ- ees shall be allowed off without pay. If,' however,I.'the Company needs- any employees to work' on, one of, these holidays, and such employees arewilling to work, then, this will be done even though other „operations in the plant are not being carried on. e, , ARTICLE VI VACATIONS AND VACATION PAY As of the week of July 4, each employee who has been in the, continuous employment of the Company,, since-the preceding Christmas -Day, shall be allowed the week, in which July „4_falls, as a vacation week off from work,',and during, such week, though not working, the employee shall receive his regular pay. As of the week of Christmas, each employee who-has been in the continuous employment of the Company,since the, preceding July 4 shall.be allowed the week, in which Christmas Day falls, as a vacation week off from work,, and during, such-week, though not working, the employee shaf t receive his regular pay... If between Christmas Day and July 4 an employee has been absent without excuse for more than forty (40) hours, or more thanforty^(40) additional hours if due to sickness, then he shall not be,eligible to vacation pay for the week in which, July 4 falls. If between July 4 and Christmas an employee has been absent without-,excuse for more thaa_fo' ty_(40) hours,, or more than forty (40) additional hours 'ifdue to ,sickness, then he shall not be eligible to vacation pay for thewveek in which Christmas Day falls. As to absences which the employee claims to have been due to illness, in connection with the two preceding paragraphs, the Company may require a certificate from the hospital, physician or surgeon, asthe case may 'be. Although the plant normally,, closes the' weeks in which July 4' and Christmas Day falls, the Company will11 endeavor to' provide work 'for all employees whonot entitled to a vacation at these times. Likewise, insofar as -business will permit, the Company will endeavor to provide work during these periods for employees who are entitled to a vacation but who prefer to or ARTICLE VII-LEAVES OF ABSENCE An employee may be granted a leave of, absence, for good cause shown, without ` , thereby :losinghis , job. Leaves of absence, without pay, shall be granted in maternity cases to employees who, have one (1) year or more of continuous service withthejCompany. Except by special permission, such leaves shall be'not longer than six (6) months. SOUTHERN WIPERS, INC. 825 - ARTICLE VIII SENIORITY Seniority rights shall prevail as hereinafter set forth. An employee's seniority shall date from the time of his last entering the Company's, employment. _ The Company shall maintain a fist ` showing the relative seniority standings of all employees . Such list shall be revised and brought- up to- date, and a copy therof furnished- to the Union, every six (6) months. In all matter involving,lay-offs andrecalls from lay-offs, transfers, changes from one1'job to another, the filling of job vacancies , ' and iii- all similar matters , the Company shall give full consideration to the seniority standings of the- eomployees "affected or involved, and in all such situations where the Company deems that skill, ability, aptitude and'-other ' similar facts are substantially equal, seniority shall be controlling. ARTICLE IX-HEALTH AND SAFETY Working conditions ,in the plant shall be maintained in a clean and sanitary' condition, and reasonable provisions, shall be made at all times for the health and safety of employees. ARTICLE X-DISCIPLINE AND DISCHARGE Employees shall not be' discharged or otherwise disci- plined except for just cause. If the Union or any employee or employees , who are affected, consider that a discharge or disciplinary action has not beenl6for just cause , then such discharge or disciplinary action may be made the subject of a grievance under the' grievance procedure herein provided for. If through such procedure it is determined that the employee or employees affected should not have been discharged or disciplined , then he or they shall be reinstated , or the disciplinary action shall be rescinded, as the case may be. Any reinstatement or rescission of disciplinary action may be accompanied by back pay or other monetary compensation, according to the terms of agreement reached through the grievance procedure. ARTICLE XI-SETTLEMENT OF DISPUTES Any dispute between the Company and the Union, or between the Company and any employee or employees, concerning the interpretation or application or alleged violation of this Agreement , shall be handled in the following manner: A. The matter shall first be discussed between the employee and his supervisor , and a Union shop steward may be present during the meeting if the employee so desires . If a representative of the Union has not been present at the discussion of the grievance at this stage, the Union shall, if it desires, be entitled to participate in my settlement of the matter . And if at this stage, a settlement is not reached within ten (10) days from the time the grievance arose, then it shall be reduced to writing by the aggrieved party and submit- ted to the other party. B. At this second stage the grievance shall be discussed and dealt with by the employee or employees involved and the members of the Union 's grievance committee and the Superintendent or Manager of the plant. C. If settlement has not been reached at-either of the preceding stages, then the Company shall designate such representatives as it may see fit and the Union shall designate such representatives ` as it may see fit, who shall meet for final consideration and discussion of the matter. ARTICLE XII-WAGES AND RATES OF PAY During the term of this Agreement, employees' wages and rates of pay shall be as set forth on the schedule which is attached =Hereto and by reference made a part hereof. This schedule, witlr ' the following bonus arrangements for the trimming department , shall be effective retroactive to January 1, 1969 . The base pay for the trimmers is to be $1.60 per hour for those trimmers under 1 10% of production average per quarter., To qualify for a bonus, a trimmer must work a minimum of three (3) days a week for ten (10) weeks to get an average 'for the quarter. If the employee ,averages between 110% and 120% of production, he shall receive a bonus of ` five (5) cents per hour on each hour worked during the preceding quarter . If the employee averages between 120% and 130% of -production , he shall receive a bonue of ten (10) cents per hour on each hour worked during the preceding quarter . If the employee averages between 130% and 140% of production, he shall receive a bonus of fifteen (15) cents per hour on each , hour - worked .during , the preceding quarter. If the employee averages between 140% and 150% of ,production, he shall receive a bonus of twenty (20) cents per hour , on each,hour worked during the preceding quarter. Individual merit increases shall be at the discretion of the Company. ARTICLE 1111-INSURANCE COVERAGES AND BENEFITS During the life of this Agreement, the Company shall continue to provide and pay for the insurance coverages and benefits which it now provides and pays for. New employees hired during the period of this contract shall work six (6) months before receiving such coverages and benefits. ARTICLE XIV-UNIFORMS AND SALES TO EMPLOYEES The Company will permit employees to wear garments belonging to the Company while on the premises. No clothing or other Company material shall be removed from the Company premises, unless it has been purchased by the employee for his own personal, or his family's use. The price for such purchases shall be fifteen (15) cents per pound. Such sales to employees will be made only on Tuesdays after quitting time. ARTICLE XV-JURY DUTY PAY An employee who is required to perform jury duty shall be paid the difference between his jury service pay and his regular straight time hourly rate . It is understood that employees will report for work on their regular schedule when not occupied by Court duties. 826 DECISIONS OF NATIONAL LABOR RELATIONS BOARD ARTICLE. XVI-FUNERAL LEAVE In the event of a death in the immediate family (spouse, brother sister, son, daughter, mother -or father) an employee shall be entitled , to a leave of absence without pay from the date of the death to and including the day of funeral, but not to exceed three (3) days. ARTICLE XVII-VISITS BY UNION REPRESENTATIVES Representatives of the Union may come to the plant for the purpose of,, interviewing employees, with regard to grievance matters or otherwise. Such representatives shall not, however, go into the plant, except under such circumstances as will-not in any way interfere with work or' operations. ARTICLE XVIII-BULLETIN BOARDS AND POSTINGS The Company shall provide suitable bulletin board space for postings by the 'Union in the plant. ' Posting" by the Union on such board shall be confined to matters such as Union meetings, Union elections and the like. Such'notices shall be shown to the Company before'they are posted.," ARTICLE XIX-NO STRIKES-NO,LOCKOUTS-DURATION OF AGREEMENT The Company shall not, during the term of this Agreement, engage in any lockout - of employees. This provision shall not be construed, however, as limiting or imparing' the right of-the Company to cease or to reduce' its operations on account of-business necessities. There shall not be, during the term ,of this Agreement, any strike, walkout, slowdown, work stoppage, no picket- ing, nor any other, concerted action,of any-nature-which has as its purpose or, effect the interruption of or interference with the Company's operations. , - If the Company or the Union,, either directly or indrectly, violate any obligation imposed in, this article, then- each shall be subject to such rights and recourse as the law may provide, including liability for any and all injury , or damage which may result from, such violation. It is further agreed that the liability here provided for- shall extend to the full resources of the Company and, the _-Union respectively. This Agreement shall remain in full force and effect for one (1) year from the date -hereof, and- shall continue thereafter for yearly term,-unless written notice of a desire to amend or terminate this Agreement, is given by,either party to the other on or before sixty (60) days prior to the expiration date. IN WITNESS WHEREOF, the parties hereunto have caused this instrument to be duly executed 'by their authorized representatives: - SOUTHERN WIPERS, INC. LOCAL 28, RETAIL, WHOLESALE &,, DEPARTMENT STORE UNION, AFL-CIO BY: BY: Copy with citationCopy as parenthetical citation