Student Transportation of AmericaDownload PDFNational Labor Relations Board - Board DecisionsApr 20, 2018366 NLRB No. 61 (N.L.R.B. 2018) Copy Citation 366 NLRB No. 61 NOTICE: This opinion is subject to formal revision before publication in the bound volumes of NLRB decisions. Readers are requested to notify the Ex- ecutive Secretary, National Labor Relations Board, Washington, D.C. 20570, of any typographical or other formal errors so that corrections can be included in the bound volumes. Student Transportation of America, Inc. and Interna- tional Brotherhood of Teamsters, Local Union No. 512. Case 12–CA–181426 April 20, 2018 DECISION AND ORDER BY MEMBERS PEARCE, KAPLAN, AND EMANUEL The General Counsel seeks a default judgment in this case pursuant to the terms of an informal settlement agreement. Upon the filing of a charge by International Brotherhood of Teamsters, Local Union No. 512 (the Union) on August 3, 2016, the Regional Director for Region 12 issued a complaint on November 30, 2016, against Student Transportation of America, Inc. (the Re- spondent), alleging that the Respondent violated Section 8(a)(5) and (1) of the Act. The Respondent filed an an- swer to the complaint on December 13, 2016. Subsequently, the parties entered into a bilateral in- formal settlement agreement (the Agreement), which was approved by the Acting Regional Director on May 5, 2017. Among other things, the Agreement required the Respondent to post a Notice to Employees in its terminal located in Jacksonville, Florida, and to comply with all provisions in the Notice. The Notice required that the Respondent cease and desist from (1) doing anything to prevent employees from exercising the rights guaranteed them under federal law, including the right to form, join, or assist a union, to choose a representative to bargain with the Respondent on the employees’ behalf, to act together with other employees for the employees’ benefit and protection, and to choose not to engage in any of these protected activities; (2) creating new bargaining- unit positions without the Union’s consent; (3) establish- ing wage rates for new bargaining-unit positions during the term of its collective-bargaining agreement with the Union without the Union’s consent, or during a time when there is no collective-bargaining agreement in ef- fect without first bargaining to a valid impasse in negoti- ations for a new collective-bargaining agreement; and (4) in any like or related manner interfering with employees’ exercise of their rights under Section 7 of the Act. The Notice further required that the Respondent rescind its bus washer position, restore all bus washers to their for- mer positions, and bargain in good faith with the Union with respect to the wages, hours, and other terms and conditions of employment of the employees in the bar- gaining unit. Finally, the Agreement required the Re- spondent to notify the Regional Director in writing of what steps it had taken to comply with the Agreement. The Agreement also contained the following provi- sion: Performance by the Charged Party with the terms and provisions of this Agreement shall commence immedi- ately after the Agreement is approved by the Regional Director, or if the Charging Party does not enter into this Agreement, performance shall commence immedi- ately upon receipt by the Charged Party of notice that no review has been requested or that the General Coun- sel has sustained the Regional Director. The Charged Party agrees that in case of non-compliance with any of the terms of this Settlement Agreement by the Charged Party, and after 14 days notice from the Regional Di- rector of the National Labor Relations Board of such non-compliance without remedy by the Charged Party, the Regional Director will reissue the complaint previ- ously issued on November 30, 2016, in the instant case(s). Thereafter, the General Counsel may file a Mo- tion for Default Judgment with the Board on the allega- tions of the Complaint. The Charged Party understands and agrees that all of the allegations of the Complaint will be deemed admitted and its Answer to such Com- plaint will be considered withdrawn. The only issue that the Charged Party may raise before the Board will be whether it defaulted on the terms of this Settlement Agreement. The General Counsel may seek, and the Board may impose, a full remedy for each unfair labor practice identified in the Notice to Employees. The Board may then, without necessity of trial or any other proceeding, find all allegations of the Complaint to be true and make findings of fact and conclusions of law consistent with those allegations adverse to the Charged Party on all issues raised by the pleadings. The Board may then issue an Order providing a full remedy for the violations found as is appropriate to remedy such violations. The parties further agree that a U.S. Court of Appeals Judgment may be entered enforcing the Board Order ex parte, after service or attempted service upon Charged Party at the last address provided to the General Counsel. On May 17, 2017, Region 12’s compliance assistant sent the Respondent’s counsel a letter enclosing the Agreement, copies of the Notice to Employees to be signed, dated and posted, and Certification of Compli- ance forms. The letter detailed the Respondent’s obliga- tions under the Agreement and stated that the Respond- ent was required to notify Region 12 in writing by no later than May 31, 2017, about the steps it had taken to comply with the terms of the Agreement. DECISIONS OF THE NATIONAL LABOR RELATIONS BOARD2 By email dated June 15, 2017, the compliance assistant notified the Respondent’s counsel that in order to avoid a finding of noncompliance, the Respondent had to submit two completed certification of compliance forms and signed and dated original Notices by no later than June 21, 2017. On July 19, 2017, the compliance assistant sent another email to the Respondent’s counsel, confirm- ing a telephone conversation in which the Respondent’s counsel had represented that the Respondent would pro- vide proof of compliance by the following day. On August 29, 2017, the compliance assistant sent an- other email stating that the Region might take further action if the requested documents were not received by the Region by September 5, 2017. On August 30, 2017, the Respondent’s counsel replied to the August 29 email, stating he was in the process of ensuring that the docu- ments would be sent to the Region “this week.” On Oc- tober 12, 2017, the compliance assistant sent another email to the Respondent’s counsel, advising that the Re- gion still had not received the requested documents, and giving the Respondent a new deadline of October 17, 2017. On October 19, 2017, the Region emailed a letter to the Respondent’s counsel, notifying the Respondent that it was in noncompliance with the Agreement because it had failed to send the signed and dated Notices or the completed certification of compliance forms. The letter further stated that if the Respondent did not fully comply with the Agreement by November 3, 2017, the Regional Director intended to reissue the November 30, 2016 complaint. The Respondent did not reply to the email. Accordingly, on November 14, 2017, the Regional Di- rector, on behalf of the General Counsel, reissued the complaint, titled Complaint Based on Breach of Affirma- tive Provisions of Settlement Agreement. On November 28, 2017, the General Counsel filed a Motion for Default Judgment and Issuance of Decision and Order on the ground that the Respondent had failed to comply with the terms of the Agreement. On November 30, 2017, the Board issued an Order Transferring Proceeding to the Board and a Notice to Show Cause why the General Counsel’s motion should not be granted, with a required response date of on or before December 14, 2017. The Respondent failed to file a timely response. The allega- tions in the motion are therefore undisputed. Ruling on Motion for Default Judgment According to the uncontroverted allegations in the mo- tion for default judgment, the Respondent has failed to comply with the terms of the Agreement because it has not provided the Region with proof of compliance, in- cluding that it posted the Notice to Employees at its Jacksonville, Florida terminal and complied with all pro- visions in the Notice. Consequently, pursuant to the noncompliance provi- sions of the Agreement set forth above, we find that all the allegations in the Complaint Based on Breach of Af- firmative Provisions of Settlement Agreement are true.1 Accordingly, we grant the General Counsel’s Motion for Default Judgment. On the entire record, the Board makes the following FINDINGS OF FACT I. JURISDICTION At all material times, the Respondent, a Delaware cor- poration, with an office and place of business in Wall, New Jersey, and with other offices and places of business including in Jacksonville, Florida, has been engaged in the business of providing school bus transportation ser- vices. During the 12-month period preceding issuance of the complaint, the Respondent, in conducting its business operations described above, derived gross revenues in excess of $250,000, and purchased and received at its facility in Jacksonville, Florida, goods valued in excess of $50,000 directly from points outside the State of Flor- ida. We find that the Respondent is an employer engaged in commerce within the meaning of Section 2(2), (6), and (7) of the Act, and that the Union is a labor organization within the meaning of Section 2(5) of the Act. II. ALLEGED UNFAIR LABOR PRACTICES At all material times, the following individuals held the positions set forth opposite their respective names and have been supervisors of the Respondent within the meaning of Section 2(11) of the Act and agents of the Respondent within the meaning of Section 2(13) of the Act: Michael Kennedy Senior Vice President Daniel Middleton Regional Maintenance Manager John Miller Human Resources Director Debby Murphy Terminal Manager The following employees of the Respondent constitute a unit appropriate for the purposes of collective bargain- ing within the meaning of Section 9(b) of the Act (the Unit): All full time and regular part time drivers, mechanics (also referred to as "technicians" herein), aides, attend- ants, and lot workers employed by the Employer in Duval County Florida; excluding all office clerical em- ployees, lead technicians, technicians in charge, profes- 1 See U-Bee, Ltd., 315 NLRB 667 (1994). STUDENT TRANSPORTATION OF AMERICA, INC. 3 sional employees, managerial employees, guards and supervisors as defined in the National Labor Relations Act. Since about July 1, 2014, and at all material times, the Respondent has recognized the Union as the exclusive collective-bargaining representative of the Unit. This recognition has been embodied in a collective-bargaining agreement, which is effective by its terms from July 1, 2014, through June 30, 2019. At all times since or on about July 1, 2014, based on Section 9(a) of the Act, the Union has been the exclusive collective-bargaining rep- resentative of the Unit. About February 18, 2016, during the term of its collec- tive-bargaining agreement with the Union, the Respond- ent created a bus washer position covering work that was already being performed by unit employees and estab- lished a wage rate for the bus washer position. The Re- spondent engaged in this conduct without the Union’s consent. CONCLUSION OF LAW By the conduct described above, the Respondent has been failing and refusing to bargain collectively and in good faith with the exclusive collective-bargaining repre- sentative of its unit employees in violation of Section 8(a)(5) and (1) of the Act. The Respondent’s unfair la- bor practices affect commerce within the meaning of Section 2(6) and (7) of the Act. REMEDY Having found that the Respondent has engaged in cer- tain unfair labor practices, we shall order it to cease and desist and to take certain affirmative action designed to effectuate the policies of the Act. Specifically, having found that the Respondent violated Section 8(a)(5) and (1) of the Act by creating a bus washer position covering work that was already being performed by unit employ- ees, we shall order the Respondent to cease and desist from creating new bargaining-unit positions without the Union’s consent, to rescind the bus washer position, and to restore all bus washers to their former positions. Hav- ing found that the Respondent violated Section 8(a)(5) and (1) of the Act by establishing a wage rate for the bus washer position, we shall order the Respondent to cease and desist from establishing new wage rates during the term of its collective-bargaining agreement with the Un- ion without the Union’s consent, or during a time when there is no collective-bargaining agreement in effect without first bargaining to a valid impasse in negotiations for a new collective-bargaining agreement. ORDER The National Labor Relations Board orders that the Respondent, Student Transportation of America, Inc., Jacksonville, Florida, its officers, agents, successors, and assigns, shall 1. Cease and desist from (a) Creating new bargaining-unit positions without the Union’s consent. The unit is: All full time and regular part time drivers, mechanics (also referred to as "technicians" herein), aides, attend- ants, and lot workers employed by the Employer in Duval County Florida; excluding all office clerical em- ployees, lead technicians, technicians in charge, profes- sional employees, managerial employees, guards and supervisors as defined in the National Labor Relations Act. (b) Establishing new wage rates during the term of its collective-bargaining agreement with the Union without the Union’s consent, or during a time when there is no collective-bargaining agreement in effect without first bargaining to a valid impasse in negotiations for a new collective-bargaining agreement. (c) In any like or related manner interfering with, re- straining, or coercing employees in the exercise of the rights guaranteed them by Section 7 of the Act. 2. Take the following affirmative action necessary to effectuate the policies of the Act. (a) Rescind the bus washer position and restore all bus washers to their former positions. (b) Within 14 days after service by the Region, post at its facility in Jacksonville, Florida, copies of the attached notice marked “Appendix.”2 Copies of the notice, on forms provided by the Regional Director for Region 12, after being signed by the Respondent’s authorized repre- sentative, shall be posted by the Respondent and main- tained for 60 consecutive days in conspicuous places including all places where notices to employees are cus- tomarily posted. In addition to physical posting of paper notices, notices shall be distributed electronically, such as by email, posting on an intranet or an internet site, and/or other electronic means, if the Respondent custom- arily communicates with its employees by such means. Reasonable steps shall be taken by the Respondent to ensure that the notices are not altered, defaced, or cov- ered by any other material. In the event that, during the pendency of these proceedings, the Respondent has gone 2 If this Order is enforced by a judgment of a United States court of appeals, the words in the notice reading “Posted by Order of the Na- tional Labor Relations Board” shall read “Posted Pursuant to a Judg- ment of the United States Court of Appeals Enforcing an Order of the National Labor Relations Board.” DECISIONS OF THE NATIONAL LABOR RELATIONS BOARD4 out of business or closed the facility involved in these proceedings, the Respondent shall duplicate and mail, at its own expense, a copy of the notice to all current em- ployees and former employees employed by the Re- spondent at any time since February 18, 2016. (c) Within 21 days after service by the Region, file with the Regional Director for Region 12 a sworn certifi- cation of a responsible official on a form provided by the Region attesting to the steps that the Respondent has taken to comply. Dated, Washington, D.C. April 20, 2018 ______________________________________ Mark Gaston Pearce, Member ______________________________________ Marvin E. Kaplan, Member ______________________________________ William J. Emanuel, Member (SEAL) NATIONAL LABOR RELATIONS BOARD APPENDIX NOTICE TO EMPLOYEES POSTED BY ORDER OF THE NATIONAL LABOR RELATIONS BOARD An Agency of the United States Government The National Labor Relations Board has found that we violated Federal labor law and has ordered us to post and obey this notice. FEDERAL LAW GIVES YOU THE RIGHT TO Form, join, or assist a union Choose representatives to bargain with us on your behalf Act together with other employees for your bene- fit and protection Choose not to engage in any of these protected activities. WE WILL NOT create new bargaining-unit positions without the consent of International Brotherhood of Teamsters, Local Union No. 512 (the Union). The unit is: All full time and regular part time drivers, mechanics (also referred to as "technicians" herein), aides, attend- ants, and lot workers employed by the Employer in Duval County Florida; excluding all office clerical em- ployees, lead technicians, technicians in charge, profes- sional employees, managerial employees, guards and supervisors as defined in the National Labor Relations Act. WE WILL NOT establish new wage rates during the term of our collective-bargaining agreement with the Union without the Union’s consent, or during a time when there is no collective-bargaining agreement in effect without first bargaining to a valid impasse in negotiations for a new collective-bargaining agreement. WE WILL NOT in any like or related manner interfere with, restrain, or coerce you in the exercise of the rights listed above. WE WILL rescind the bus washer position and restore all bus washers to their former positions. STUDENT TRANSPORTATION OF AMERICA, INC. The Board’s decision can be found at www.nlrb.gov/case/12-CA-181426 or by using the QR code below. Alternatively, you can obtain a copy of the decision from the Executive Secretary, National Labor Relations Board, 1015 Half Street, S.E., Washington, D.C. 20570, or by calling (202) 273-1940. Copy with citationCopy as parenthetical citation