Texas, New Mexico & Oklahoma Coaches, Inc.Download PDFNational Labor Relations Board - Board DecisionsDec 26, 194246 N.L.R.B. 343 (N.L.R.B. 1942) Copy Citation In the Matter of ,1. EXAS, NEW' MEXICO & OKLAHOMA COACHES; ING, and BROTHERHOOD OF RAILROAD TRAINMEN Case, No.- C-,0,231.-Decided December 26, :1942- . Jurisdiction : motor transportation industry., Unfair Labor Practices: In General: responsibility.of employer for acts of former officer and stockholder and person doing business with employer. Interference,' Restraant,'and Coercion: anti-union statements ; interrogation con- cerning union membership; urging and persuading employees to refrain from joining.union;.offering wage increases on'condition employees withdraw from union; , offering and, soliciting signatures to individual contracts, of employ- ment to prevent collective bargaining;' sponsoring and soliciting letters of withdrawal from union. - Coll'ective' Bargaiini? g:' majority established' -by, authorizations-refusal to, bar- gain by : refusing to recognize and bargain, with majority representative because of unlawful individual contracts, and embarking upon a campaign designed to destroy union's majority, status by granting bonus and, soliciting- letters of, withdrawal. - - -Remedial Orders: cease and desist unfair labor practices. refrain from enforc' ing,'individual contracts and give notice thereof to contracting employees; upon request, to bargain collectively; loss of, majority-induced by employer's unfair labor practices held not to affect issuance of order requiring employer to bargain collectively. Unit Appropriate for Collective Bargaining : motor bus drivers. Mr. V. Lee McMahon, and Mr. Bliss Daffan, for the Board. Messrs. Callaway cC Reed, by Mr. Carl B. Callaway, of Dallas, Tex., and Levees d Benson, by Mr. Jess,C.,Levees and Mr. W. B. Benson, of Lubbock, Tex., for the respondent. Mr. C. H.,Smith, of Fort Worth, Tex., for the B. R. T. Mr. Charles F. MCEt lean, of counsel'to the Board. DECISION " . ' AND ' ORDER - , _ STATEMENT OF THE CASE Upon a first amended charge duly filed February` 11,-1942, by the- Brotherhood'of 'Railroad Trainmen', herein called B:= R.' T.; the Na- 46 N. L. R B:, No. 42- 343 344 DECISIONS OF NATIONAL LABOR RELATIONS BOARD tional Labor Relations Board, by its Regional Director for the Six- teenth Region (Fort Worth, Texas), issued its complaint dated Feb- ruary 25, 1942, against Texas, New Mexico & Oklahoma Coaches,' Inc., herein called the respondent, alleging that the respondent had engaged in and was engaging in unfair labor practices affecting commerce, .within the meaning of Section 8 (1) and (5) . and Section 2 (6) and -(7) of the National Labor Relations Act, 49 Stat. 449, herein called the Act. , Copies of the complaint, accompanied by notice of hearing thereon, were duly served upon the respondent and upon B. R. T. With respect to the unfair labor practices, the complaint alleged in substance that the respondent (1) on or about August 27, 1941, and at all times thereafter refused to bargain with B. R. T. as the exclusive collective bargaining representative of all its, bus drivers although such employees constituted a unit appropriate for the purposes of col- lective bargaining and B. R. T. at all- times -since about August 26, 1941, has been their exclusive representative for such purposes; and (2) from on or about February 19, 1941, (a) urged, persuaded, and warned' its employees to refrain from aiding;,becoming, or remaining members of, B. R. T. and by such means secured their' signatures to -letters withdrawing from B. R. T.; (b) threatened said employees with discharge or other reprisals if they aided B. R. T. or became members thereof; (c) granted said employees increases in pay if they did not become or remain members of B. R. T.,and warned them that no such benefits- would be derived, by reason of union membership; (d) secured the signatures of employees to individual contracts of em- ployment granting them increases in pay and other, benefits so as to prevent collective bargaining with B. R. T. and thus to interfere with the rights of the employees to bargain through representatives of their on choice. , The complaint was amended-by motion made at the hearing, with- out objection, to charge further that the respondent, through a speech made by its attorney before a meeting of drivers called by the re- spondent, stated, that'"no, benefits could be expected to be obtained by them by reason of membership in B. R. T.- for a period of from 18 months to 2 years from the date of the hearing'and thereby dis- 'couraged and interfered with the participation of said employees in the hearing herein." On March 6, 1942, the respondent filed its answer, admitting certain facts as to its corporate organization and its business but denying that it had engaged iii any of the unfair labor practices alleged. It further entered a denial during the hearing to the amendment to the complaint. Pursuant to notice, a hearing was held from March 9 through March 1 The respondent was, named in the complaint as'Texas-New Mexico -Oklahoma Coaches. The name was corrected by motion made at the hearing. TEXAS, NEW MEXICO & OKLAHOMA COACHES, INC. 345 20, 1942, at Lubbock, Texas, before Charles E. Persons, the Trial Ex- aminer duly designated by the Chief Trial Examiner. The Board and the respondent were represented'by counsel and B. R. T. by a repre- sentative. All parties participated in the hearing and were afforded full opportunity to be heard, to examine and cross-examine witnesses, and to introduce evidence bearing on the issues.2 At the conclusion of the hearing oral argument, participated in by the respondent and the Board, was held before the Trial Examiner. During the course of the- hearing the Trial Examiner made rulings on motions and on objections- to the admission of evidence. The Board has reviewed all rulings' of the Trial, Examiner and finds that no prejudicial errors were coliimit- ted. The rulings are hereby affirmed. Thereafter the Trial Examiner filed his Intermediate Report, dated June 17, 1942, copies of which were duly served upon the respondent and B. R. T., finding that the respondent had engaged in and was engaging in unfair labor practices affecting commerce, within the meaning of Section 8 (1) and (5) and Section 2 (6) and (7) of the Act, and recommending that it cease and desist from such practices and take certain affirmative action designed to effectuate the policies of the Act. Thereafter the respondent and •B. R. T. filed exceptions to the Intermediate Report. Pursuant to notice; a hearing for the pur- pose of oral argument was held before the Board in Washington, D. C.,. on October 20, 1942. The respondent did not appear; B. R. T. appeared but did not participate. On October 19, 1942, a motion was filed by 37 bus drivers of the re- spondent requesting that they be allowed to intervene;' that a commit- tee-of 3 of them be designated as bargaining agent for the respondent's bus drivers; and that the respondent be ordered to bargain with such committee. The Board has considered the. motion and it is hereby denied for reasons hereinafter stated.' The Board has considered the exceptions to the Intermediate Report and, insofar as they are inconsistent with the findings of fact, conclu- sions of law, and order set out below, finds them to be without merit. Upon the entire record in the case, the Board makes the following FINDINGS OF FACT 1. THE BUSINESS OF THE RESPONDENT Texas, New Mexico & Oklahoma Coaches, Inc., is and has been since June 1939 a corporation organized under the laws of the State of , At the opening of the hearing the"Trial Examiner granted the respondent 's request to "invoke the rule," which disqualified persons (with certain specific exceptions ) from testify- ing as witnesses if they were previously present as observers at the hearing. 3 See Section V, infra. .346 DECISIONS OF NATIONAL LABOR RELATIONS BOARD Texas, with its principal , office and place of business at Lubbock, Texas. The respondent operates approximately 20 busses on regular schedules over routes between northwestern Texas and eastern, New Mexico, transporting passengers and, carrying mail under contract with the United States Government . - Through agreements with Bowen Motor Coaches , Inc.,,and ; with Southwestern Greyhound Lines, the respond- ent sells connecting line tickets , thereby arranging. and contracting for the transportation of passengers to and through many other States, of the United States . Also by reason of, this affiliation Southwestern Greyhound -Lines sells tickets in, many other • States of the United States , for the transportation of passengers through and over the bus lines operated by the respondent., , • , , , , , , II. THE ORGANIZATION INVOLVED Brotherhood of Railroad Trainmen is a labor organization admit- ting to membership eiuployees of the respondent. ITI. THE UNFAIR LABOR PRACTICES' A. Interference, -restraint, and coercion: In ,January and' February 1941 ,,B. -R. T., at the request of , certain of the respondent 's bus drivers , undertook to organize the bus drivers. By the middle of February ,' about 12 bus drivers - had- authorized B. R. T. to represent them for the purpose of collective bargaining. J. W. Bowman , the respondent 's president , admitted that he heard about a union among the drivers ,,-prior to February 19, 1941, but denied that he had -heard of B. R. T., The ,respondent 's -counsel, Jess C.• Levenss,, testified that - he first heard that the drivers were joining B. R. T. about a week prior to February 19, 1941. .All important prob- lems which arise in the : operation of the respondent 's business are dis- cussed - by Bowman with Levens, who has been in. close touch with the respondent 's labor relations ', and notling ; has been -, done.in . tllis,con- nection without Levens' knowledge.. Two of three -days after February 12, 1941 , Carpenter , the respondent 's superintendent of drivers, sum- moned Clay Knox, one of the drivers , -to his office . According to Knox's undenied and credible testimony , Carpenter inquired if Knox had joined B. R. T. " Knox advised ' Carpenter' `that he would prefer not to answer the inquiry , whereupon Carpenter told Knox that it was his privilege to join, but th it' he would like him to know what lie was getting into-before he signed up, and that only seven of'the drivers had joined . We•find accordingly that Bowman knew of the B. R. T. activities of the , drivers about •tlie middle , of'Feljruary 1941. -- TEXAS; NEW MEXICO OKLAHOMA COACHES, INC. 347 About the middle of February 1941, driver R. S. Nabors met Levees in a cafe near the bus terminal. According to the testimony of Nabors, which ,we credit, Levens called Nabors over to where he was and in- quired if Nabors knew what the drivers wanted. Nabors answered that, they wanted more money. Levens then told Nabors that "we ,didn't need'any union." On another occasion, Levens told Nabors that it would be'better if they could settle their affairs among themselves. B. R. T. was' not mentioned on'this occasion, but Nabors testified that he assumed that Levens -meant "we didn't need any union." Levens did not deny the above testimony of Nabors and testified-that whatever Nabors said was "about right." About the middle' of February, L. L. (Bill) Watson. interested himself in the activities of the respondent's bus drivers. Prior to January 1941, Watson had been connected with the respondent and its predecessor for over 15 years, having previously owned and op-. orated a bus line which, by a series of consolidations, emerged as part of the respondent. Watson regularly operated a bus as a driver ,until late in -1938'. Thereafter, he was superintendent ofrdrivers for about a year. Subsequently he worked in the ticket office and baggage room at the respondent's-Lubbock, Texas; terminal. During this period, Watson owned slightly less than 10 percent of the. respondent's, stock and was a vice president and director. On January 15, 19.41, Watson resigned' as vice president and director of the respondent. He ceased working for the respondent in any capacity at about that time and shortly thereafter sold his stock to Bowman. Transfer of the stock was entered on the respondent's stock book as of February 5, 1941. The stock transaction was largely on credit; Bowman paid. Watson $6,000 and executed three notes, one in the amount of $5,000, due in June 1941, one in the amount of $10,000, due January 1, 1942, and' one in the amount of $22,600,, which was still outstanding at the time of the hearing. In addition, Watson retained the right to re- ,ceive :the dividends upon 100 shares of stock for. the year 1941. The ,dividend,, totaling $2,000, was paid to Watson on January 1, 1942. Watson approached Burt Whitefield on February 16, 1941. White-, field had been a bus driver for the respondent's predecessor and at the time was engaged in business in Lubbock. He had been assisting the drivers.to organize into B. R. T. to the extent of signing a letter in their behalf and allowing the drivers to use-his office in- connection with their organizational activities. According to Whitefield's testi- mony, Watson attempted in the following manner to halt the em- ployees', organizational activities; He told Whitefield that, he heard that the bus drivers were organizing; that Bowman had called him in to find out about it and had suggested that he talk to Whitefield, whom Bowman considered one of the leaders. Watson inquired if 348 DECISIONS OF NATIONAL LABOR RELATIONS BOARD it would be satisfactory if he, Watson, could get the drivers what they wanted from the respondent, saying that Bowman would not tolerate- a, union but would give the drivers "a little company union." White- field suggested that Watson ask the drivers. Watson and Whitefield then went to see driver Mullins. Watson told Mullins that he be- lieved they could have a better organization without B. R. •T. and that the respondent would give them a contract. Watson admitted speak- ing to Whitefield but denied the testimony of Whitefield and denied going to the home of Mullins with Whitefield. The respondent ealled Mullins as a witness but- he was not questioned about the testimony of Whitefield. For reasons hereinafter set forth, we credit the testi- inony, of Whitefield and find that the conversation took place sub- stantially as testified to by him., Subsequent to the talk with Whitefield, Watson telephoned Clax- ton Stewart and then went to Stewart's home. Stewart had been active in, assisting the drivers to organize and had been one of the respondent's drivers until February 2, 1941. According to Stewart's- testimony, Watson ,said that ' he heard that the drivers, were, trying to join a union; that he would like'to help them as a friend; and that,, if he was unsuccessful, he would assist them in joining B. R. T_ 'Stewart further testified that Watson advised him that Bowman had called Watson and told him that the drivers were joining a union and that Stewart was one of the leaders, and suggested that Watson talk to Stewart. Further according to Stewart's testimony, Watson told - him that he.desired to speak to the" drivers and asked Stewart to ar- range for a meeting, but Stewart refused, saying that he had no objection to having Watson talk to the drivers and, offering -to allow Watson to hold such a meeting at Stewart's home if Watson arranged for it. Watson admitted the truth of most of Stewart's testimony but denied telling Stewart or anyone else that Bowman had sent him to Stewart or that-he had spoken to Bowman prior to his conversa- tion with Stewart. -For reasons- hereinafter set forth, we'credit' the testimony of Stewart and find that the conversation took place sub- stantially as testified to by Stewart. Watson returned to Stewart's home about an hour after the above conversation and was accompanied by drivers Albert Owens, J. G. Mullins, and Kirby Stroud. Mullins; a witness called by the respond- ent,'testified that Watson came to his home andtook him to,a)meeting at the home of Stewart. Before going to the meeting, Watson, ac- cording'to the uncontradicted and credible testimony of Mullins, in- quired if Mullins had signed an application for B. R. T. When Mul- lins answered affirmatively, Watson asked if Mullins thought a union could do more for him than 'Watson or the respondent. Watson also inquired whether Mullins would be satisfied if Watson could get as TEXAS, NEW MEXICO & OKLAHOMA COACHES, INC. 349 much for him as B. R . T. Kirby Stroud and Albert Owens both tes- tified that they attended the meeting at Stewart's house and that they were invited by Watson. 'Watson, Stewart, Stroud, Owens, and Mul- lins were the only persons at the meeting where, according to Mullins, Watson spoke for the respondent., • According to the testimony of Stewart , which we credit, Watson made the same statements to those present at the meeting that he had previously made to Stewart. It was decided to have, a further meeting that afternoon with a larger number of drivers in attendance. A meeting attended by a, large number of the drivers 'vas held that afternoon at the home of Stewart. ' Watson was not present at the early part of the meeting, but the drivers discussed Watson's proposal and the demands they desired to make of the respondent. They finally decided to request a mileage pay base with rates from 2 to 21/ -cents per mile, depending upon the run involved. Stewart then called Wat- son, who came to the meeting accompanied by Carpenter, and C. M. Owens, the respondent's traffic manager and one of its stockholders. Watson; Carpenter, and C. M. Owens were advised'of the drivers' sal- ary and seniority demands. Watson and C. M. Owens immediately advised the drivers that the demands were excessive. • Watson sug- gested that they discuss lower rates of pay, and with the assistance of Watson, Owens, and Carpenter, this, was done. All of the respond- ent's regularly scheduled runs were discussed and either Watson, Car- penter, or C. M. Owens advised what,the respondent could pay on each run . When the reduced rates were determined, Watson agreed to present the matter to Bowman, having previously refused to present the higher demands as worked out by the drivers when they met by themselves. Watson admitted asking Bowman if he would be agreeable to arranging to pay the drivers on a mileage basis. Watson also spoke to Levens, the respondent's counsel , to determine if Levens would oppose such a proposal. On direct examination , Watson testified that he spoke to both Bowman and Levens after the meeting at Stewart's house. On cross-examination he could not remember whether it was before or after the meeting at Stewart's house. About the same time the meetings were held at Stewart's house, Watson called at the home of driver Clay Knox. According to the undenied testimony' of Knox, which we credit, Watson told Knox to get out of B.,R. T. if he had already signed up, as it would cause trouble and Watson would get them what they wanted without B. R. T. Wat- son further said that he knew Bowman better than the drivers and would be able to get more than the drivers. Watson concluded by, telling Knox that Bowman would keep the matter in the courts for 2 or 3 years before he would submit to a union. 350 DECISIONS ; OF NATIONAL LABOR RELATIONS BOARD, Albert Owens testified that about the time of the meeting at Stewart's ,home or shortly thereafter , Watson advised , him that Bowman had called Watson to come and talk to the drivers and determine what they wanted in the way of wages. Watson denied that he had made any such statement to anybody . On February 17, 1941, which is about the time Watson spoke to Owens, the latter advised B. R. T. by letter that the drivers ' efforts to organize had failed because Bowman had learned about it and had gone "all to pieces and called , Mr. Bill Watson, one of the principal stockholders of the Company"; that Watson had agreed that something should be done and offered to assist the, drivers ; and that , as a result of Watson 's talk with the drivers , it was decided to make their demands on the respondent "without outside affiliation." We credit the testimony of Owens for reasons hereinafter stated, and find that Watson made the statements as testified to by Owens. After the meeting at Stewart's home, driver Albert Owens spoke to Stewart and expressed dissatisfaction with Watson's , proposal. _ That evening, several of the drivers discussed the proposal ; among them- selves and concluded that they would prefer to continue with B. R. T., as they felt that they were not receiving sufficient benefits from Wat- son's proposal . Nevertheless , Watson, Stewart , and some of the drivers met with Bowman the following morning in the latter 's ' office. The proposal of the meeting of the previous day was discussed with Bow- man and was finally accepted by him . Levens was then siunmoried to the meeting and instructed to draft a contract incorporating the terms agreed upon, which included wages on a mileage basis ranging from 11/2 cents per mile to 2 cents per-mile, seniority with the privilege of bidding for runs in accordance with seniority , and certain other supplemental provisions,, including a provision for the publication of rules and regulations by the respondent. Shortly after the meeting in Bowman 's office, Stewart received word that B. R. T. Organizer Johnson had arrived in Lubbock and went to meet him . After advising Johnson about the Watson contract, Stewart and Johnson went to the bus terminal to talk with some of the drivers . As none of the bus drivers was available , they departed from the vicinity of the bus terminal . Bowman admitted seeing Johnson in front of the bus terminal on one occasion in company with Stewart, but was unable to fix the time . Bowman testified that he ]earned Johnson's identity after an investigation , which he undertook to determine whether or not Johnson was a representative of some travel bureau , who might be attempting to divert the respondent's passengers to other modes ,of transportation. ' After leaving Johnson , Stewart returned to the bus -terminal and met Watson . According to Stewart 's undenied testimony, which we credit , Watson inquired as to what the drivers had decided upon. TEXAS, NEW MEXICO &--OKLAHOMA COACHES, INC. 351 Stewart advised Watson that the drivers would rather go ahead with B. `R. T. Watson stated that he did not know that they, were dis- satisfied and asked why the drivers did not talk to him about it. Stewart- told Watson that he did not 'know but assumed that -the -drivers did not feel free _ to talk to him and desired that Stewart speak for them. That evening,' Levens called Stewart and invited him to go to Levens' home. A few minutes later Watson went to Stewart's home and, upon being informed that Levens had called, drove Stewart to Levens'- home.'. Levens had the contract which he had drafted,, and a discussion took place concerning it. Stewart testified that he understood the purpose of the meeting was that Levens wanted -him "to talk to the boys and sell them on the idea of that contract." Levens, testified that the discussion was concerned chiefly with Stew- art's position on the seniority list and whether Levens had drafted the contract in accordance with the instructions which had been given him., Levens denied that he tried to influence Stewart to get the driver's to accept the contract. The Trial Examiner did not resolve this conflict. As hereinafter found, Stewart was a reliable witness. We' have examined and considered the testimony of Levens. A reading of the testimony of Levens indicates that he had many lapses of memory, was at times evasive, and made in- consistent statements. We are consequently unable to rely on his testimony. On the basis of all the testimony and circumstances, we credit the. testimony of Stewart and reject the denial of Levens. - The following morning, copies of the contract 4 as drafted by Levens were made available in the "back office" of the bus terminal. This office was used by Carpenter and Owens in connection with their duties as superintendent of drivers and traffic manager, respec- tively. Watson remained at the terminal and took an active part in soliciting drivers to read and sign the contract. There is un- contradicted evidence that a large number of the drivers were solicited by Watson, to read and sign the contract. ' Carpenter and Owens were ' also present in the "back office" while some of the drivers read and sighed the contract. Driver. Dave Neal testified as follows con- cerning the circumstances under which he signed: Upon his return from a* run at 5:20 a. in., he was summoned by Watson to the "back office" to read and sign the contract. After examining the con- tract, Neal called Watson's attention to the fact that it did not provide for special runs and charter trips. Watson told Neal that he "would guarantee" that arrangements "satisfactory to the boys" would ke -made at a later date. Neal testified that he concluded 4 One document was prepared which was to be signed by each dri ` or ^ An -original and one copy were provided for the purpose of signature - + ,352 DECISIONS OF NATIONAL LABOR RELATIONS BOARD that Watson "had authority from the company" to make such a guarantee. The above testimony of Dave Neal is, undenied, and we credit it. Watson, Superintendent, Carpenter, and Traffic Manager Owens were present when Clay Knox examined and signed the contract. 'One ,of the three, according to the undenied and credible testimony of Knox, stated on this occasion, "This is getting you what you want without joining the union." J. T. (Tom) Armstrong who, at the time in question was working in the ticket office, signed the contract, when he 'was, according to his own testimony, advised by Ruth Zimmerman, a stockholder and con- fidential office employee as well as pay-roll clerk of the respondent, that it would be necessary to sign the contract if he wanted to drive. Armstrong returned to driving on March 1, 1941. Zimmerman did not testify. We credit Armstrong's testimony and find, as did the ,Trial Examiner, that the respondent is responsible for the activities' of Zimmerman. 'We base the latter finding not only on the fact that Zimmerman is one of the respondent's stockholders, but also on the, 'testimony of Bowman that she serves as treasurer of the respondent, signs checks, takes care of all mail, and is the person to whom the, respondent's employees come - "for about everything they want," and on the fact that she participated with other officials of the respondent in the campaign to secure withdrawals from B. R. T.5 Watson personally checked the-contract to determine if'all drivers had signed, and took a trip to Spur, Texas, and Hobbs, New Mexico, to secure the,signatures of three drivers who were not available in Lub- bock. The record does not disclose who paid Watson's expenses in obtaining these signatures. Finally, when Watson' had secured the signatures of all drivers, the contracts were executed 'for the respond- ent by Bowman., The contracts, which are dated February 19, 1941, became effective March 1, 1941, and terminate March 1, 1943. Sub- sequent to the signing of the contracts, the drivers agreed upon a seniority list which was thereafter posted at the respondent's ter- minal. The drivers also elected a committee composed of Dave Neal, chairman, N. J. Lowery, and Nabors to represent them., This com- mittee discussed rates for charter trips with Bowman, and on March 25, 1941, as guaranteed by Watson, they obtained a supplemental contract on behalf of all drivers. The supplemental contract was drafted by Levens; who advised the committee that it had authority to enter into the contract on behalf of all the drivers, when the question arose as to whether or not all drivers should sign it. As set forth above, Whitefield, Claxton Stewart, and Albert Owens testified that Watson told them that he had been summoned by 6 See Section III B , infra. TEXAS, NEW MEXICO & OKLAHOMA ' COACHES , INC: 353 Bowman, who told him that the drivers were organizing and re- quested him to find out about it and determine what the drivers wanted in the way of wages. Watson denied , the testimony of Whitefield , Stewart , and Owens , and testified that he intervened as a friend of the drivers to assist them. Bowman denied requesting Watson to intervene in the organizational affairs of the drivers and testified that he did not know of the activities of Watson until Watson advised him of the drivers ' demands. The respondent also contends that Watson had always aligned himself with the drivers in any disputes they had with the respondent ; that his activities in February 1941 were merely a continuation of his past assistance and help to the drivers; and that the respondent is consequently not responsible for his conduct . The record indicates that the disputes referred to were generally individual matters concerning accidents, road failures, and other minor disputes which arose between various drivers and the respondent . There is no evidence that Watson at any time prior to February 19, 1941 , and during the 'entire time he was officially connected With the respondent , represented all em- ployees in negotiating with the respondent on matters of wages', seniority , or working conditions . Watson testified that he had always been friendly with the drivers ; that they brought their finan- cial and personal troubles to him as a friend and , official of the respondent ; that while he was superintendent of drivers he discussed working conditions with them; and that he used his influence 'as an officer of the respondent to help them . Watson further testified that the drivers knew that he was vice president of the respondent and second in charge. - The Trial Examiner did not rely on the testimony of Albert Owens, allegedly because Owens was a reluctant witness and his testimony contained contradictions and lapses of memory. On the other testimony the Trial Examiner credited Watson and . Bowman over Whitefield and' Stewart . We hesitate to disturb the Trial Examiner 's findings on credibility , but, after examining all the evidence , we are unable to agree with him. - The testimony of Whitefield and Stewart was forthright and con- vincing and was not shaken on -cross-examination . Neither ' White- field nor Stewart had any interest in the proceeding , as both had-left the employ of the respondent prior to the events concerning which they testified . Whitefield was, and had been for some time, engaged in business in Lubbock and had -no connection with either the re- spondent, the drivers, or B. R.' T. Whitefield was merely assisting the drivers , at their request, and persuasively testified that he had no interest - in the matter and was only trying to accommodate the drivers by allowing them the use of his office in connection with their r l 504036-4 3--vol. 46-23 354 D'ECISIONS . OF. NATION!AL.,LABO,R- RELATIONS BOARD organizational efforts. -At the time of the. hearing,, Stewart_ had moved, from. Lubbock and resided. ,at Dallas, Texas,- where he- was employed in an industry which, was unrelated to, the respondent's business. ,.The Trial Examiner credited,, other testimony, of Stewart' which was denied by Watson 6 Albert_ Owens was a Board,witness who was - not only reluctant, as found by the Trial Examiner, but, was adverse and hostile. Even a cursory reading of his testimony indicates that,he was hesitant to testify although he was acquainted with the events, that, occurred: It was under these circumstances and while being treated as an ad- verse witness that he' reluctantly testified that Watson -told him that Bowman had asked Watson to talk to the drivers and determine what they wanted in the way of. wages., An additional reason for giving weight to Owens' testimony is the letter, referred. to above which he wrote to B. R. T. at the time the events therein referred to occurred. - Watson was not a frank and forthright witness, and an -exa_mina- tion of. his,testimony discloses that he had many lapses -of memory and was evasive on numerous occasions, particularly on cross-exam- ination. Although, Watson denied knowing whether, any drivers had authorized B. R. T. to represent -them, Mullins, another witness called by the respondent, testified without contradiction that, in re sponse to an inquiry from Watson, he told Watson' that he had authorized B. R. T. to represent him: Watson also had a financial interest at stake at the time the events occurred and therefore can- not be considered as a disinterested witness. Bowman's testimony also discloses lapses of memory, evasiveness, and some contradiction. Thus he denied hearing of B. R. T. prior to August 27, 1941. Yet on or about March 15; 1941, he signed a notice to employees which was posted in the respondent's bus terminals. In another part of his testimony he admitted that he knew that the charges, which were the basis of the notice which was posted, had been filed by B. R. T. The Trial Examiner refused to credit B_ow- man's testimony in connection with another phase of the case. On the basis of all the testimony and all material circumstances, including the respondent's subsequent conduct in refusing to bargain with B. R. T. and its campaign to secure withdrawals from B. R. T., we find that Bowman and Watson are not, reliable witnesses and that Bowman, upon learning that the drivers were joining B. R. T., sum- moned Watson to intervene and offer the drivers wage increases and individual contracts'in lieu of bargaining through B. R. T. Having selected Watson as its agent, the respondent is therefore responsible ° Stewart testified that Watson arranged for and brought drivers to his home for i meetin Watson denied this testimony ; yet the Tiial Examiner found that _ Watson did bring the drivers to the meeting. TEXAS, NEW-'MEXICO' & OKLAHOMA- COACHES,--MC. 355 for his activities. Additional indication of Watson's - authority to represent the respondent is found in the undenied and credible testi- mony of Dave Neal that Watson would "guarantee" that satisfactory provisions would be made covering special trips and charter runs. During the following month, Watson's "guarantee" was fulfilled by. the respondent . In addition , Carpenter and C. M. Owens , two of the respondent's officials, attended the meeting at Stewart's house with Watson and participated in Watson's efforts to have the contract conform to provisions acceptable to 'the respondent. ' That the indi- vidual contracts were the product of the respondent and part of its plan to frustrate B. R. T. activities of the drivers , is apparent from Levens' request 'that Claxton Stewart influence the drivers to accept the contract. The record is clear that the respondent had knowledge of the B. R. T. activities of the drivers both from Carpenter's question- ing of Knox and Bo tinan's and Levens' admission of knowledge. All three are responsible officials and agents of the respondent. Even if we accepted the Trial Examiner's findings on credibility, we should nevertheless find from the, evidence that Watson was acting for the respondent and that the respondent is therefore responsible for his activities . While it is true that, at the time the events occurred, Watson had resigned his official position with the respondent and trans- ferred his stock to Bowman, he nevertheless retained a financial interest in'its business . There was still due Watson the sum of $37,600 for his stock, and Watson had a vital interest in the respondent 's earnings for the year 1941', as he had the right to receive dividends on 100 shares of stock for the year 1941 and did subsequently receive in dividends $2;000. Moreover , the record is clear that his resignation as an official of the respondent was not made known to the respondent 's employees. Although most of the drivers testified at the hearing , not one stated that he knew Watson had resigned . On the contrary , many of the, drivers and those active in assisting drivers to join B. R. T. testified that they believed that Watson was still a director or officer of the respondent , although some of them testified that they knew that Wat- son was no longer actively working for the respondent . Thus, Claxton Stewart testified that he understood , that Watson was vice president and a stockholder and was representing the respondent when he ap proaclied Stewart in the latter half , of February 1941 . Whitefield testified that he understood that Watson was connected with -the respondent when Watson approached him in February 1941. Dr'vp'r Knox testified that he understood that -Watson was a stockholder of the respondent . -Dave Neal testified that he understood that Watson was a stockholder and vice president,' but had quit working . D. L., King, a driver , testified that he understood that Watson was connected with the, respondent in,some way._, Albert Owens testified that Watson % 356 DECISIONS- OF NATrONAL°-LABOR RELATIONS -BOARD- represented the 'respondent at the meeting of drivers which was held just prior to February 19, 1941, and on February 17, 1941, Owens wrote a letter to B. R. T., in which he identified Watson as one of the respond- ent's principal stockholders although "inactive of late." Driver Green testified that Watson was vice president and described him as one of the respondent's officials although he knew that Watson was not work- ing in February 1941. L. Z. Lowry and J. D. Mullins, drivers called as witnesses by the respondent, testified that Watson spoke for the respondent at the meeting of drivers which was held at Stewart's home in February 1941. Although the respondent was fully aware of Watson's activities, it did nothing to disturb the understanding of the' employees that Watson was still officially connected with the respondent and that he spoke and acted for it. That impression was further strengthened by the fact that Watson's approach to the drivers completely con- formed to the respondent's policy, as announced by Levens to Nabors, that the drivers did not need a union and that it would be better to settle the matter without any union. Furthermore, Levens summoned Stewart, the drivers' ,spokesman, and requested him to influence the drivers to accept Watson's proposals; Watson advised Knox that the respondent would not accept B. R. T. without protracted litigation, suggested that Knox resign from B. R. T. and accept Watson's pro- posal; Carpenter and C. M. Owens, officials of the respondent, partic- ipated in the meeting at' Stewart's house and together with Watson- objected to the drivers' demands and assisted in dictating terms which would be acceptable to the respondent; and Watson guaranteed that changes satisfactory to the drivers would be-made in the contract, which guarantee was completely fulfilled by the respondent. We find that the conformance of Watson's approach to the respondent's policy clearly indicated to the drivers that Watson was representing the respondent.? Upon all the evidence, and in light of the respondent's subsequent conduct in refusing to bargain with B. R. T., its campaign to secure withdrawals from B. R. T., and its' entire course of conduct, we find, contrary to the Trial Examiner, that the respondent, through Watson, offered and influenced the 'drivers to accept the individual contracts as a substitute for collective bargaining through representatives of their,own choosing. We further find that the respondent's pu'r'pose in ,procuring _and presenting_ the contracts was, through the guise of'spiiriotis iridividual'bargaining, to foreclose its employees from exercising the right to self-organization and collective bargaining, guaranteed to them tinder the Act.- The presentation' of the contracts ' Cf. Matter of Sun Tent-Luebbert Company, et al, 37 N L R. B. 50; ef. Matter of Henry McCleary Timber Company and International Woodworkers of America, Local No. 38; affili- ated with the Congress of Industrial Organizations, 37 N. L R. B. 725. TEXAS, NEW MEXICO -& OKLAHOMA COACHES, INC. 357, was intended to, and in fact did, halt the organizational efforts of the drivers until,the summer of 1941. Because of this and the other facts surrounding the presentation and execution of the contracts, we con- clude that the contracts as executed did not represent the real or free choice of the employees who signed them.8 We find further that by these activities and by the activities of Levens, Carpenter, C. M. Owens, and Bowman in frustrating the or- ganizational efforts of the drivers, the respondent has interfered with, restrained, and coerced its employees in the exercise of the rights guar- anteed by Section 7 of the Act .9 B. The refusal to bargain 1. The appropriate unit The complaint alleges that all bus drivers in the employ of the respondent constitute, a unit appropriate for the purposes of collective bargaining. The respondent contended in its answer and at the hear- ing that such a unit was not appropriate, claiming that drivers were closely related to other employees, particularly mechanics and shop employees. The only employees of the respondent who are eligible for membership in B. R. T. are bus drivers. So far as the record shows, no attempt has been made by B. R. T. or any other labor organization to 'organize -other' employees of the respondent. In authorizing B. R. T. to represent them, the drivers stated that they desired that the bus drivers be considered an appropriate unit. The duties, func- tions, responsibilities, problems, and working conditions of the bus drivers differ substantially from those of the respondent's other em- ployees and set them off as a distinct group. It is to be noted also that the respondent executed the February 19; 1941, contracts with bus ,drivers only. We find the respondent's contention to be without merit. We find that all bus drivers of the respondent at all times material herein constituted and now constitute a unit- appropriate for the pur- poses of collective bargaining with respect to rates of pay, wages, hours of employment, and other conditions of 'employment, and that said 8 N L. R B. v. Superior Tanning Company , 117 F. ( 2d) 881 (C. C. A. 7), cert . den. 313 U. S 559; N L. If. B. v. Stone, et al, 125 F. (2d) 752 (C. C. A. 7), cert. den. Oct 12, 1042; N. L. If. B. v Jahn and Oilier Engraving Co., 123 F ( 2d) 5S9; Matter of Williams Manufacturing Company, Portsmouth, Ohio and United Shoe Workers o f America, Ports- mouth, Ohio , 6 N. L.,R . B. 135. 8 The complaint , as amended at the hearing , alleged that the respondent violated Section 8 (1) of the Act by a speech made by its attorney at a meeting of drivers during the course of the hearing The Trial Examiner considered this evidence as well as the reasons assigned by the respondent for calling the meeting . He concluded that the meeting was called be- cause of the prevalence of certain disturbing rumors as to the employment security of the drivers and that'the attorney attempted to put at rest these rumors. The Trial Examiner concluded that there was no evidence to indicate violation of Section 8 (1) in connection i with this speech . No exceptions were filed to this finding. We have examined the record in this respect and agree with the Trial Examiner that Section 8 (1) wa's not violated by the speech. 358 DECISIONS OF, NATIONAL LABOR RELATIONS BOARD unit insures to the employees the full benefit of their right to self- ,organization and to collective bargaining and otherwise effectuates the policies of the Act. 2. Representation by B. R. T. of a majority in the" appropriate unit The respondent submitted a list of its bus drivers as of August'27, 1941, containing 29 names. There are in evidence 30 authorizations signed by the respondent's bus-drivers, designating B. R. T. as their representative for the purposes of collective bargaining. Three of the 30 authorizations are duplicates; 10 3 had been signed by bus drivers whose employment was terminated prior to August 27; 11 1 authorization was dated August 27 and 1 was dated August 28, 194112 The remaining 22 authorizations are those of bus drivers in the employ of the respondent on August 2713and were signed-in the year'1941 and prior to August 27. Thus, on August 27, 1941, B. R. T. repre- ^ented a majority of the, respondent's employees in the unit herein found appropriate 14 We find that on August.27,1941, and at' all times thereafter, B. R. T. wins the duly designated bargaining representative of a'majority of the employees in the aforesaid "appropriate unit, and that, by virtue of Section 9 (a) of the Act, B. R. T. was at all times material herein and is the exclusive representative ,of all employees in such unit for the purposes of collective bargaining in respect to rates of pay,,wages, 'hours of employment, and other conditions of employment. . 3. The conferences of August 27, 1941, with B. R. T. Late in July 1941, several months after the individual contracts had been signed, the respondent's bus drivers started discussing^arnong themselves possible demands for-an additional increase in pay. They n Duplicate cards were signed by Buford Watts , L Z Lowry, and Dave Neal. 11 The employment of Chester Harris terminated June 2, 1941; of Buford Watts, June 5, 1941; and of Clay Knox , Maich 23 , 1941. , , 13 The authorizations of Tom Hodges and Tommie Aaron were dated August 27, and 28, 1941, respectively. 19 The 22 include the authorizations signed by Curtis Odum and J . H Pace, who by August 27 , 1941 , had been inducted into the armed forces of the United States ; and their names were not included among the 29 on , the respondent ' s pay roll as of that date How- ever, because they have a reasonable expectation of returning to the employ of the respond- ent upon their discharge fiom the armed forces , they have an interest in the rates of pay, wages , hours of employment , and other conditions of employment of employees in the unit found appropriate . We shall therefore include them in the unit. Irrespective of their in- clusion in the unit, B R T. represented a majority of the respondent 's bus drivers on August 27, 1941. 14 The respondent contends that B. R. T. lost its majority subsequent to August 27, 1941. We find no merit in this contention because, as found infra, the dissipation of B R T.'s majority was caused not only by the respondent's refusal to bargain , but also by its fur-' Cher unfair labor practices in soliciting employees to withdraw the authorizations they had given B R B N L R B. v. P. Lorillard Co, 314 U. S 512; N L R B v Bradford Dyeing 4 ss'n,1 310 U. S. 318. , TEXAS, NEW MEXICO & OKLAHOMA COACHES, nVC. 359 decided that -the most effective vay to secure such an increase as through B.R. T., and additional employees signed'B. R.T. authoriza= tions late in July and early in August. On August 11, 1941; B. R.T. was notified of the drivers' desires and was requested to send a-repre-m sentative to Lubbock., C. H. Smith, a vice president of B. R. T., was' authorized to proceed to Lubbock to represent the drivers. Smith arrived in.Lubbock on August 26 and, after a consultation with some of the drivers, determined that a majority of the bus drivers had authorized B. R. T. to represent them for the purpose of collective bargaining. The following day he ' had two conferences with the respondent. In the first, which was held early in the after= noon, the `respondeit was represented by Bowman ; at: the later con- ference-, it was represented by Bowman and Levens. , There is conflict in the testimony as to what took place at these meetings. Smith testified' as follows concerning the two conferences : At the' first he presented to Bowman a letter dated August 27, 1941, in 'which B. R. T. claimed to" represent a majority of the bus drivers and, re- quested recognition as exclusive bargaining agent. Attached to the letter was a short proposed agreement, providing, in 'substance, for recognition of B. R.' T. as the exclusive bargaining agent by the re- spondent. Smith- told Bowman that B. R. T. represented a majority of.the bus drivers and requested the respondent to recognize B. R. T. Bowman inquired whether B. R. T. would demand a closed shop, and Smith advised him that most of the contracts negotiated by B. R. T. did not include a closed-shop provision and that if that was all that stood between them they would have no trouble in reaching an agree- ment. Bowman then stated that he had individual and binding contracts with the drivers, that the drivers were satisfied, and that the respondent would not recognize B. R. T. Bowman finally requested time to consult with his attorney and suggested a meeting an hour later. ' At the second conference, Smith again claimed to represent a majority of the bus drivers and requested that the re- spondent recognize B. R. T. as their bargaining agent: Bowman reiterated the fact that the respondent had individual contracts with the drivers, that the drivers were satisfied, and that the,respond- ent would not recognize B. R. T. When Levens made similar state- ments, Smith stated that the contracts were not lawful and characterized them as-"yell ow-dog" contracts. - Smith then suggested that the parties agree to have B. R. T.'s authorizations checked against the respondent's pay roll by an agent of the Board, but Bow- man and Levens refused to agree. When Smith inquired whether it would make any difference in the respondent's position if he produced his authorizations for examination by Bowman and Levens, both stated that it would not change their position, that the contracts I 360 DECISIONS, OF NATIONAL LABOR RELATIONS BOARD with the drivers were binding, and that they would not recognize B. R. T. Neither Bowman nor Levens, questioned B. R. T.'s major- ity claim.' On cross-examination by the respondent, Smith's testi- mony was not shaken in any material respect. Bowman testified on direct examination that Smith called on him on August 27, claiming to represent a majority of the bus drivers and requesting Bowman to sign a contract. He further testified that he did not remember what he told Smith, but thought he asked for time to discuss the matter with Levens. At the second conference, accord- ing to Bowman's testimony, he related what Smith had stated at the previous meeting and thereafter Levens spoke, for the respondent. Bowman testified that Smith thereupon repeated his claim of majority representation among the bus drivers; that Levens requested proof that Smith represented both B. R. T. and a majority of the drivers; and that Smith refused to produce any authorizations, stating that B. R. T. always refused to do so in fairness to the drivers. According to Bowman, Smith then stated that he would take the matter before the Board and said, as he was leaving, that he would write the re- spondent a letter; whereupon Levens replied that the letter would be unnecessary unless it was accompanied by proof of majority. Bow- man testified further that, during the course of the conference, Lev- ens mentioned the fact that the respondent had contracts with the drivers and that it would be required to live up to them ; whereupon Smith claimed that the contracts were not valid. On cross-examina- tion, Bowman testified that he did not recall that Smith presented any letter to him, and that he did not remember whether Levens told Smith that he would bargain if proof was submitted. He testified also that, although Levens stated that the respondent was bound by the con- tracts, the respondent had not come to any conclusion as to whether it would bargain, notwithstanding the contracts, because proof of ma- jority was not submitted. Bowman testified, in addition, that he did not think that the contracts would have prevented the respondent from bargaining with B. R. T., as they did not cover all terms a union would want incorporated in a contract. Levens' testimony concerning the second conference is substantially as follows : When he arrived at the meeting, he was advised of Smith's claim to represent a majority of the bus drivers, whereupon he told Smith that under the law B. R. T. would have to furnish some kind of proof that Smith represented B. R. T. and that B. R. T. repre- sented a majority,-before the respondent could bargain with B. R. T. Smith replied that the authorizations were private matters between B. R. T. and the drivers and that B. R. T. would not submit proof in that manner. Levens then asked that proof be'furnished in some other form, and- Smith stated that he would have the Board check his TEXAS, NEW MEXICO & OKLAHOMA COACHES, INC. 361 authorizations against the-respondent's pay roll; Levens replied that such a method would be acceptable to him. Levins testified that he did not remember the entire conversation but did recall that Smith stated that he would write a letter regarding the conversation and that Lev- ens replied that such action would be unnecessary unless the letter was accompanied by proof of majority. Levens admitted that the con- tracts with the drivers were discussed and that Smith characterized them as "yellow-dog" contracts having no force or effect. According to Levens, he stated the respondent's position with respect to the con- tracts as follows : We have signed the contract in good faith with the men before we heard of you,,or even knew anything about B. R. T. or any- thing about it, and we are not in a position to violate the contract because of the fact that we may be in a lawsuit here with our own employees about making us live up to it, so we will have to have something definite and know where we are before we can talk to you. We just can't do it ' We are just not in a lawful or legal position to do it 15 , Levens denied that Smith offered to submit B. R. T.'s authorizations for a check by the respondent but admitted receipt of the letter Smith testified he presented to Bowman. On cross-examination Levens stated that it was his opinion that the contracts were binding until their expiration unless changed by the "parties signing the contract"; that if B. R. T. had represented a majority, the respondent would have bargained; and that if B. R. T."could have shown that the con- tracts ,were unfair to the drivers, "it is possible we might have agreed to a revision or something." Immediately after the conference with Bowman and Levees on August 27, Smith sent a telegram to the president of B. R. T. stating that the respondent had individual contracts with the bus drivers and refused to recognize B.'R. T., and that he would present the matter to the Board. On August 28, 1941,, Smith filed a petition for investigation and certification of representatives at the Board's Regional Office at Fort Worth, Texas'16 alleging that "the employer refuses to recognize B. R. T. or to agree to a cross-check because of outstanding individual contracts now existing pertaining' to working conditions and rates 11 Levens ' testimony that the contracts were signed before the respondent had any knowl- edge of B. R T. Is directly contrary to his testimony to the effect that he first beard talk about the drivers joining B. R T. about a week prior to February 19, the date of the con- tracts. See p 3, supra 10 Smith explained at the hearing that he filed the petition on the theory that the Regional Office might be able to settle the matter and establish B' R T as bargaining agent more expeditiously than through ' an unfair labor practice proceeding . When the respondent refused to consent to an election and continued its unfair labor practices as hereinafter set forth , a charge was filed and the petition was subsequently withdrawn. 362 DECISIONS OF NATIONAL LABOR RELATIONS BOARD of pay." On the same day, Smith testified, he addressed a letter to Bowman at Lubbock, Texas, in which he stated that his understanding of the respondent's position at the August 27-conferences was that it would not recognize B. R. T. as bargaining agent for the bus drivers because of the contracts, with the individual drivers covering- rates of pay, hours of employment, and working conditions. Smith testified that he posted this letter by regular mail, with his return address on the envelope; that he never received a reply; and that the letter was not returned to him. Levens denied seeing the letter prior to the hearing. Bowman testified that he could not remember receiving the letter and could not say whether he had or had not received it. A copy of the letter was furnished the Board's Regional Office at Fort, Worth, Texas, on August 28, when the petition for investigation was filed. We find that the letter was received by Bowman. The Trial Examiner credited the testimony of Bowman and Leveris and found that the respondent properly refused to bargain with B. R. T. on August 27, 1941, because Smith declined to submit proof that B. R. T.• represented a majority of the drivers. We are unable to agree with the Trial Examiner's finding. We have already found that Bowman and Levens were not reliable witnesses; that their testimony was evasive, contradictory, and contained numerous lapses of memory. On the other hand, Smith's testimony was forthright and was not shaken by the respondent's long cross-examination. We therefore credit the testimony of Smith and find that the respondent did not question B. R. T.'s claim of majority representation, but refused to negotiate and bargain with B. R. T. because of the Feb- ruary 19, 1941, contracts. Immediately after the conference, and while the discussion was still fresh in his mind, Smith sent a telegram to B. R. T.'s president and the following day he wrote to the respondent and filed a petition for investigation and certification of representa- tives. His statements in all these documents support his testimony that the respondent refused to recognize and bargain with B. R. T. because of the contracts. In addition, Bowman and Levens both ad- mitted that the contracts were discussed with Smith on August 27, and Levers testified that the respondent thought the contracts were binding until their expiration unless modified by the "parties signing the contract," which did not include B. R. T. This testimony of Levens corroborates Smith's testimony that the respondent, acting through Bowman and Levens, took the position that the contracts were binding and that the respondent would not therefore recognize B.R.T. Additional support for the above finding is found in the respond- ent's subsequent action in refusing to agree to a consent election; advising employees that the respondent would give them a mileage TEXAS, NEW. MEXICO & OKLAHOMA COACHES, H C. 363 bonus if they' withdrew from B. R. T., actively soliciting drivers to withdraw. B. R. T. ' authorizations for -the purpose of destroying B. R. T.'s majority,'and in the respondent's unwavering position, at all times that the contracts were binding and that nothing should or would be done which might nullify them. There are no such sur rounding circumstances to support the testimony of Levens and Bow- mnan. On'the contrary, the evidence is clear that Levens and Bowman consistently took the position that the contracts were binding and should not be changed for their duration except by the parties signing them. 4. The bonus and the withdrawal campaign On September 9, 1941, Bowman and Levens went to Fort Worth for a conference at the Board's Regional Office on the petition for in- vestigation and certification of representatives filed by B. R. T. One W. B. '(Bill) Price, wholesale agent for the Texas Company, who sells the respondent all its oil, grease, and gasoline under verbal contract, approached Nabors in Bowman's absence. According to Nabors' un- •denied and credible testimony, Price told Nabors that "he would hate to see the boys organize, that it would hurt his business" and that "he was afraid that Mr. Bowman would sell out if they did." Price sug- gested that Nabors 'arrange a meeting of the drivers., With the permission of Carpenter, Nabors accordingly scheduled a meeting to be held in one of the respondent's offices. About 15 drivers attended the meeting. According to the testimony of Dave Neal, Price told the drivers that he wanted them to "get quieted down" and that he thought he could get them an increase in wages if they agreed on what they wanted. Price advised the drivers that from his conversation with Bowman he thought he could get them 1/4 cent more per mile if they, "would be satisfied with that and drop the union." Price explained to the meeting that he feared that Bowman would sell out if the drivers "kept in an uproar" and that in such event he would lose his business. The drivers voted to request an increase of 1 cent per mile, after which the meeting broke, up. The following evening a second meeting was held which was likewise attended by Price and a- large number of drivers. Neal testified that substantially the same discussion took place at the second meeting as had occurred the preceding evening except that the drivers voted to reduce their demand to '1/z cent per mile. .After the second meeting had ended and most of the drivers and Price had left, Bowman returned from Fort Worth and stopped at the bus terminal. Upon seeing a few of the bus drivers in the room where the meeting had been held, he entered and had a discussion with them. 'Percy Q. (Dick) Neal, a driver, testified that Bowman' 364 DECISIONS OF NATIONAL LABOR RELATIONS BOARD told the drivers that the Labor Board had "raised a little hell with him," that he wanted to give the drivers an ;increase but that the drivers were trying to tear up the contracts, and that he would not give them an increase if they intended to abrogate the, contracts as he was going.to hold them to the contracts for their term. Accord- ing to Neal, Bowman" also said, "if we went on with the union, he would not give us a raise; he wasn't going to give us a raise, but as the meeting broke up Bowman said that he would give us a raise "if we dropped everything and did not try to break the contracts." Driver Nabors, who was also present, testified that Bowman. said, "If the union did not go through and was dropped; he would give us 1/2 cent.", Bowman admitted attending, the latter part' of the meeting but denied prior knowledge of Price's activities or requesting Price to hold such a ' meeting. Bowman testified that he had told Price- at one time that he would like to get out of the bus business and buy a ranch because there were too many worries connected with the bus business. Bowman further testified that he told the drivers that he would, like to give' them an increase, but that he did not want to. do so if it would void the contracts. Bowman denied telling the drivers that an increase would be contingent on -withdrawing from the Union. Price admitted attending the meeting and-testified that he told the drivers that Bowman had shown him the respondent's books and said that he would like to give,the drivers an increase if such action were possible under the contracts. Price testified that he told the drivers at the meeting that Bowman would grant a 1/4 cent per mile increase and advised the drivers that his interest was purely selfish as he feared that Bowman might sell his business if there was continued unrest and turmoil among 'the drivers. Price denied saying that an increase would be contingent on withdrawing from RR T. and testified that he reached the conclusion that-Bow- - man might sell his business .because on one occasion Bowman stated that he would like to sell and buy a ranch. Price testified that he thought that if this,happene'd one of the larger bus companies would purchase Bowman's interest and he would lose his business. Dave Neal, a driver, testified that, a day or two lathr,.Bowman summoned him to "his office and asked what the drivers wanted; Neal told him that the drivers wanted an increase of 1/2 cent per mile., Bowman advised Neal that such action might cause trouble for him with the Labor Board but, that he would consult his attorney. A few days later, Bowman 'again summoned Neal to his office and stated, according to Neal's testimony, that he could not grant a raise in salary, but that he could give the drivers a bonus of 1/2 cent per mile "if he could.get the drivers That had signed these [B. R. T.]. authori- TEXAS, NEW MEXICO & OKLAHOMA COACHES, INC. 365, zations to send a telegram down to Fort Worth and withdraw that." Dave Neal agreed to talk to the drivers about it. Driver King testi- fied that Dave Neal spoke to him at the time-and said, "The boss said he would give us a l/2 cent raise if we would recall our applications from the union." Dave Neal testified that he also, spoke to other drivers who told him that they did not want to withdraw their B. R. T. authorizations because they feared that B. R. T. would "black ball" them for running out, and that they preferred an elec- tion. Neal testified further that he reported to Bowman that the drivers did not want to send a telegram as suggested by Bowman, but would rather have an election, and, if he agreed to an election, Neal thought that most of the drivers would take the 1/2-cent bonus and vote the union out. According to Neal, Bowman said that he would pay the bonus if the drivers voted the union out. Subse- quently, Bowman told Neal that he would agree to an election and pay the bonus. The bonus was paid September 16 for the period starting September 1, 1941. Bowman admitted having had discussions with Dave Neal at about this time, but denied saying that' the bonus would be contingent upon withdrawing from B. R. T. or referring in any way to withdrawing from B. R. T. He did not deny Neal's testimony that he had said that the bonus would be paid if the drivers voted the union out or that he was going to pay the bonus and agree to an election. As pointed out above, Price also denied saying that the increase would be con- tingent on withdrawing from B. R. T. The Trial Examiner did not credit these,denials and found that the statements were made. We have already found that Bowman was not a reliable witness, and on the basis of the testimony and other material circumstances, we find that the drivers were told by Bowman and Price that the increase or bonus was contingent on the drivers' withdrawing from B. R. T. The respondent'had knowledge of Price's activities, as Carpenter gave his permission to hold the meeting on the respondent's property. In addi- tion, Bowman was present and spoke to some of the employees at the end of the second meeting and made statements similar to Price's as to the respondent's desire to give the drivers an increase provided it did not interfere with the contracts and B. R. T. was dropped. In the light of these facts, and Bowman's previous discussion with Price concerning granting the drivers an increase, as well as Price's business connections with the respondent, we find that Price represented Bow- man in discussing an increase with the drivers, and that the respondent is therefore responsible for Price's activities. The Trial Examiner found that the bonus resulted from collective bargaining between the respondent and the drivers acting as a group- 'We think this finding is contrary to,the evidence. The evidence here- 366 DECISIONS OF NATIONAL LABOR RELATIONS BOARD' tofore set forth clearly indicates that the respondent unilaterally initi- ated the bonus. Levens testified that while he asked three or four employees' whether they desired a bonus each pay day or one at Christmas, he did not talk to the drivers' committee because he could not see where the bargaining agent was concerned when the respondent was making a present to its employees, and that it was no concern of the committee because nothing was being taken away froin the drivers. The only other discussion between the respondent and any of the drivers concerning the bonus were Bowman's offers to grant such an increase in pay provided the drivers withdrew their B. R. T. authorizations or voted against B. R. T. in an election. This conduct of the respondent is directly opposed to collective bargaining and by it the respondent attempted to coerce employees to withdraw from B. R. T. We find that the bonus was offered and paid by the respond- ent as part of a plan to secure the employees' repudiation of B. R. T. When the drivers did not take immediate steps to withdraw their B. R. T. authorizations, the respondent entered into a campaign to solicit withdrawals from the drivers. Sixteen letters of withdrawal from B. R. T. are in evidence., Nabors wrote 2 letters of withdrawal dated October 8, 1941, and October 14, 1941, respectively. Two of the letters are undated and one, signed by Pace, is dated October 25, 1941. Pace had been inducted into the armed forces of the United States in the spring of 1941, and he signed the letter of withdrawal thereafter. The remaining 11 letters are dated between October 12 and 16, 1941. All'the letters-with the exception of the letter of Pace and the letter of Nabors, dated October 8, 1941, cane into the possession of Zimmer- man, who had herself solicited some drivers-to sign and who had received the remaining letters from Carpenter and from the individuals who signed. Levins testified that Zimmerman sought his advice as to what disposition should be made of the letters and that he instructed her to send them to Smith by registered mail. Levens testified further that at the same time and on his instruction, copies of the letters were certified to be true and- correct by one Jean Partain, a notary public and secretary to Levens. The certified copies were then sent with a covering letter by Levees to the Board's Regional Director at Fort Worth. The earliest of the 14 letters is dated October 8, 1941, and was written by Nabors, who testified that no one suggested that he with- draw his authorization. When asked why he had taken this action, he testified, "Well, we went through all this other and I thought we were through with it as well as I remember. That is all. I didn't think there was any more to it. 'I thought it was all over with." N. M. Lowery wrote a withdrawal letter on October 12. He tes- tified that the letter was the result of the following conversation he had with Bowman: A copy of a letter addressed to the Board's T'EXAS5 NEW MEXICO & OKLAHOMA COACHES, 'INC. 367 Regional Director at Fort Worth, transmitting Lowery's B. R. T. authorization, 'found its way to Bowman, and Lowery went to see Bowman about it. After Bowman stated that he thought the letter had-been sent to create trouble between Bowman and Lowery, the latter said that he would have his B. R. T. authorization returned. Bowman suggested that he might send -a telegram or a letter and have it returned. Lowery testified that he determined to withdraw his authorization while talking to Bowman and that Bowman told him that one of the other drivers wanted to withdraw his authoriza- tion, but that Bowman did not mention any names.' Bowman gave Lowery a piece, of paper and assisted in the composition of the withdrawal letter to the extent of suggesting a few words. Bowman admitted having a conversation with Lowery and on cross-examina- tion admitted that, Lowery wrote the withdrawal letter in his presence. The withdrawal letter of Al Owens is undated. Owens testified that he wrote it in October without knowledge at the time that anyone else had withdrawn. In view of Bowman's reference when talking to N. M. Lowery, on October 12, 1941, it was probably written shortly prior thereto. He testified further that he wrote the withdrawal under these circumstances : Owens had gone to Bowman to inquire about a rumor that-Owens 'was considered the leader and organizer of B. R. T. Bowman stated that information had come to him that Owens was the instigator of B. R. T. and had been offered $200 to. organize the bus drivers. When Owens denied this, Bowman asked him if he had a mail box at Odessa, Texas, for the purpose of receiv- ing B. R. T. mail. Bowman also stated, "I can get all the men I want after this rearmament program is over for about $50 a month . . ." and that "The ones that was the most loyal was the ones he could do the most" for." Shortly after this conversation, Owens told Bowman that he was going to' withdraw from B. It. T. to prove to Bowman that he was not the leader. Bowman handed him a piece of paper on which to write his withdrawal. At this point, Levens came into the office and was told by Owens that he desired to withdraw from B. It. T. Levens testified that he told Owens "I don't mind writing the letter if you tell' me what you want to say" and that he typed the letter which was worded jointly by himself and Owens. Bowman did not deny the above testimony of Owens, saying that he did not remember,exactly what was said.' We credit the testimony of Owens and find • that' the conversation took place substantially as testified to by Owens. ' " Since ',Bowman had no knowledge 'of Nabors ' letter , it seems clear that the reference was to Al Owens. - 368 ' DECISIONS OF NATIONAL LABOR RELATIONS BOARD 'A letter "signed by Mullins, dated October 13, was, according to Mullins' uncontradicted testimony, prepared at Mullins' request by Carpenter and put in an envelope and sealed, by Mullins, who pur- ' 'chased a stamp and left the letter with Carpenter for mailing, Ti was included; among' the 14letters,sent to, Smith from the respondent's office. - Nabors, according to his undenied and credible` testimony, signed a second letter on October 14, when a typed form previously prepared was brought to his home by Zimmerman. She assured him that "There were quite 'a few sending' in after' them." Zimmerman also aided Tom Hodges on October ' 14 in withdrawing from B. R. T., Hodges' undenied testimony was as follows : _ , Well, I just heard that some of the boys was withdrawing their applications, and I was in favor of it all the time, anyway and I asked Miss Zimmerman if she would write me a letter. ' Hodges' further undenied and credible testimony is. that Zimmerman prepared the letter and a carbon copy which, at her suggestion, Hodges also signed. Carpenter, superintendent of drivers, was directly connected with the preparation of the eight remaining letters. The letters differ in phraseology but agree in announcing that the signer desires to with- draw his authorization from B. R. T. Most of these letters, according to Carpenter's own admission, were solicited and typed by Carpenter; after having been signed by-the individuals, they were left with Car- penter and later turned over to Zimmerman.'' The evidence is clear that, in most instances Carpenter took the initiative in calling. the drivers,in and suggesting that they write withdrawal letters. Car- penter admitted that in many instances he advised individual drivers that other drivers had sent in letters of withdrawal. Although some drivers testified that they signed the withdrawal of their own free will, others testified that they would not have signed had Carpenter not brought up the subject. - The procedure in the case of two relatively new drivers, -Terral and King, is highly, significant and will be set forth in some detail. Terral's service as a driver dates from August 1, 1941. Ile'testified that Carpenter, "his boss," called him in and told him, that some of the older drivers were sending in withdrawals and that, as Terral was one of the new drivers, Carpenter wanted him to know about it.. Terral had no prior knowledge of such action by the drivers. Terral further testified' regarding Carpenter's suggestion as follows: 3a The ,ndi^ic uals concerned were Jack Bennett , John S. ( Johnny ) Green, Earl L. (Buddy) Hatton , L Z Lowry , Terral , King , Kirby Stroud and Andrew T. (Andy ) Moore. Terral signed "L H Terrell" as his name was carried on the pay roll. ' TEXAS, NEW MEXICO & OKLAHOMA COACHES, INC. 369' He said he didn't know whether I had made application for it or not, but that was a,privilege. He didn't want some of us new drivers holding the sack and the older ones all.asking for a withdrawal.19 Terral's testimony as to the effect of Carpenter's suggestion was as follows : "Well, I figured I was a new driver and if the old ones who, knowed more about it, if they was withdrawing I was willing to with- draw too." Driver King had been hired on January 22, 1941. Under cross- examination by the respondent, he testified as follows concerning his conversation with Carpenter : Well it was possible that I wouldn't remember the exact words . . . And all of them. However,' he asked me to come in his office, he wanted to see me, and told me that a number of the drivers had recalled their applications to the Brotherhood. of Railroad Trainmen, and asked me if I had made applica- tion to the B. R. T., and I told him I had and he told me that I had made progress with the company, and I believe, they were satisfied with my way of handling, or operating the coach, and that he would not want to see me left holding the bag. Those are the words he said and asked if I would want to recall, that' application, and I told him that I didn't know how to, word a letter exactly to recall the application, and he said he would help me if I wanted him to and I asked him to type the letter and I signed it. According to King's further testimony, Carpenter also told King that four or five drivers had withdrawn; Carpenter thereupon secured King's signature to a letter, dated October 15, 1941, withdrawing his authorization from B. R. T. Stroud, a driver of 6 years' service, testified as follows concerning his withdrawal : On October 14, C. M. Owens," the respondent's traffic manager, rode with him to the bus terminal from the shop. Owens advised Stroud that some of the drivers had signed letters withdraw- ing their B. R. T. authorizations and told Stroud he would like to. see him sign a withdrawal letter so that he would be "100 percent with the Company." Stroud was busy at the time and did not give Owens a direct answer. The next day, Owens sent Stroud to Carpenter, who told Stroud that some of the drivers had sent letters withdrawing 30 Carpenter denied making any statement similar to this. Since King, who was also a, new driver, testified, as set forth below, that Carpenter made a similar statement to him, and after considering all the testimony , we reject the denial and credit the testimony of Terral and Bing. 20 Owens did not appear as a witness . Stroud's testimony in this respect is uncontradicted and we find it to be true. 504086-43-vol. 46-24 370, DECISIONS OF NATIONAL LABOR RELATIONS BOARD their B. R. T. authorizations. Carpenter further said that he did not know whether Stroud had signed an authorization, but if he did, he would suggest that Stroud send a letter to withdraw it. Stroud further testified that Carpenter's statements created in his mind "the impression that practically all of the other boys had signed one, and I didn't want to be left by myself." Stroud yielded to this pressure. Carpenter typed a letter dated October 15, which was signed, together with a copy, by Stroud.21 - The withdrawals resulted from the activities of officials of the re- spondent. Carpenter, superintendent of drivers, and the person the drivers considered their immediate boss, as well as Bowman, Levens, C. M. Owens, and Zimmerman, participated in this campaign. All are agents of the respondent, for whose actions respondent is answer- able. Bowman is the respondent's president, Levens is' chief counsel and according to his-own testimony, is at the respondent's office almost daily advising Bowman on the respondent's business and labor rela- tions. C. M. Owens is the respondent's traffic manager and is.one of the respondent's stockholders. Zimmerman is a confidential office em- ployee who functions as the respondent's treasurer, paymaster, and is the person to whom the respondent's employees go "for about every- thing, they want." She is also one of the respondent's stockholders. The activity of these persons in the withdrawal campaign is consistent with Bowman's statements to the drivers that the payment of the bonus was contingent on withdrawing from B. R. T. We therefore find that the respondent is responsible for their activities in soliciting with- drawals from the drivers. 5. Conclusions as to the refusal to bargain and subsequent events The respondent's entire course of conduct establishes a fixed de- termination against recognizing and bargaining with B. R. T. as the representative of the bus drivers. When B. R. T. first attempted to organize the drivers the respondent intervened and compelled them to abandon representation by B. R. T. and accept, instead, individual contracts of employment. We have already found that the February 19 contracts were not the result of collective bargaining but resulted from the respondent's unfair labor practices and they are therefore! clearly unlawful. When, despite the existence of these contracts, a' majority of the drivers by August 27, 1941, designated B. R. T. to' represent them, the respondent resorted to the contracts as a ground 21 At the conference at the Board' s Regional Office on September 9 concerning the petition for certification of representatives which had been filed by B R. T , the respondent re- quested time to consider the matter, and on September 13 advised the Regional Office that it would not consent to an election In November 1941, after the instant charges had been filed and the respondent had successfully completed its campaign to secure withdrawals , from B . R T., the respondent offered to consent to an election , but refused to'take any steps' to dissipate the unfair labor practices in which it had engaged. TEXAS, NEW MEXICO & OKLAHOMA- COACHES, INC. 371 for refusing to recognize and bargain with B. R. T., although the lat- ter represented a majority in the appropriate unit., The respondent was under a duty to bargain with B. R. T. and by its failure to do so on August 27, 1941, it violated Section 8 (5) of the Act. Even if the individual contracts were not the result of the respondent's unfair labor practices, the respondent would nevertheless be obligated to bar- gain collectively with B. R. T. as to all terms and conditions of em- ployment, whether or not such terms and conditions were covered by the contracts.22 But the respondent did not rely solely on the unlawful contracts . 'as a means of evading its duty to recognize and bargain with B. R. T. After the refusal to bargain on August 27, 1941, it embarked upon a campaign to divest B. R. T. of its majority status. To accomplish - this end the respondent followed tactics similar to those followed when B. R. T. first attempted to organize in February 1941. With the assistance of Price, the respondent offered and gave a bonus con- ditioned upon the drivers' withdrawing from B. R. T. The respond- ent climaxed its campaign to destroy B. R. T.'s majority by its con- certed campaign to secure withdrawals from B. R. T. and thus the respondent itself brought about a fulfillment of the condition it im- posed at the time the bonus was granted. We find that the respondent, by its refusal to recognize and bargain with B. R. T. on August 27, 1941, by paying the bonus in the manner set forth above and by its solicitation of withdrawals from B. R. T. refused to bargain with B. R. T. in violation of Section 8 (5) of the Act. We find that the respondent by these acts interfered with, re- strained, and coerced its employees in the exercise of the rights guar- anteed by Section 7 of the Act. IV. THE EFFECT OF THE UNFAIR LABOR PRACTICES UPON COMMERCE The activities of the respondent, set forth in Section 11.1 above, oc- curring in connection with the operations of the respondent described in Section I above, have a close, intimate, and substantial relation to trade, traffic, and commerce among the several States, and tend to , lead to - labor disputes burdening and obstructing commerce and the free flow of commerce. V. THE REMEDY Having found that the respondent has engaged in unfair labor practices, we shall order it to cease and desist therefrom and to take certain affirmative action which we deem necessary to effectuate the policies of the Act. 13 See Matter of J I Case and International Union, United Automobile , Aircraft and Agricultural Implement Workers of Amersca, C . I. 0., 42 N. L. R B. 85 , and cases cited therein. 372 ' D'E'CISIONS OF NATIONAL LABOR RELATIONS BOARD We have found that on August. 27, 1941, and at all times there- after, the respondent refused to bargain collectively with B. R. T. as the exclusive representative of its employees in an appropriate unit. We also have considered the withdrawals as inoperative in determin- ing whether B. R. T. represented a majority in the appropriate unit subsequent to August 27, 1941. We have also considered the motion to intervene filed by 37 drivers on October 19, 1942, in which the drivers stated that they did not desire to be represented by B. R. T. At the hearing, certain drivers testified that, after they executed with- drawals, they did not desire to be represented by B. R. T. We do not consider the withdrawals, or the subsequent testimony, or the matter recited in the motion as material. As we have found, the drivers did not exercise `a free and unhampered choice in withdrawing from B. R. T., as they were coerced by the respondent into taking that action. Since the withdrawals were, executed as a result of the re- spondent's unfair labor practices, they cannot operate to change the c bargaining representative previously chosen by a majority of the bus drivers.23 For the same reasons, the motion to intervene, which was signed by the drivers subsequent'to the respondent's refusal to bargain and to the other related unfair labor, practices and the testimony that certain drivers did not desire to be represented by B. R. T. after they had signed withdrawals, cannot be regarded as operative. More-' over, we find that, regardless of subsequent events and the reasons which brought them about, it is necessary, in order to effectuate the policies of the Act, that the respondent remedy the effect of its un- lawful refusal to bargain by bargaining now with B. R. T., which was the duly designated representative of the bus drivers on August 27, 1941.24 We shall therefore order the ' respondent to bargain col- lectively with B. R. T. upon request as the exclusive representative of the, employees in the appropriate unit. We have found that the contracts of February 19, 1941, were initiated and relied upon by the respondent as an impediment to the exercise by the employees .of their right to form, join, or assist labor organiza- tions and to engage in concerted activities for their mutual aid and protection and were used as 'a device to prevent collective bargaining. To restore the status quo and, to free the drivers from the restraint and interference resulting from the imposition upon them of these illegal contracts, we shall order the respondent to cease giving effect to the contracts and the supplement, or to any modification, continuation; extension, or renewal thereof, or any similar form of contracts for any period subsequent to the date of this Decision, and to give to each employee who signed the contracts of February 19, 1941, notice in 23 N. L R B . v. Bradford Dyeing Assn, 310 U . S 318 ; N. L. R. B. v. Dixie Motor Coach Corp, , 128 F. ( 2d) 201 (C C A 5) modifying and enforcing 25 N. L . R. B. 869. 24 N. L R B. v. P. Lorillard Co., 314 U. S. 512. TEXAS, NEW MEXICO & OKLAHOMA COACHES, INC. 373 writing that such contracts will not in any manner be enforced or attempted to be enforced, and that such discontinuance of the con-, tracts is without prejudice to the assertion of any legal rights the employees may, have acquired under such contracts.25 We shall further order that the respondent post notices to the same effect 'at appro- priate places in its- offices and terminals. Upon the basis of the foregoing findings of fact and upon the entire record in the case, the Board makes the following : CONCLUSIONS OF LAW 1: Brotherhood of Railroad Trainmen is a labor organization, within the meaning of Section 2 (5) of the Act. 2. The respondent's bus drivers at all times material herein consti- tuted and now constitute a unit appropriate for the purposes of collec- tive bargaining, within the meaning of Section 9 (b) of the Act. ' 3. Brotherhood of Railroad Trainmen was at all times material herein and now is the exclusive representative of all employees in such -unit for the purposes of collective bargaining, within the meaning of Section 9 (a) of the Act. 4. By refusing to bargain collectively with Brotherhood of Railroad Trainmen as the exclusive representative of all its employees in such unit the respondent has engaged in and is engaging in unfair labor practices, within the meaning of Section 8 (5) of the Act. r -5. By interfering with, restraining, and coercing its employees in the exercise of the rights guaranteed in Section 7 of the Act the respondent has engaged in and is engaging in unfair labor practices, within the meaning of Section 8 (1) of the Act. 6., The aforesaid - unfair labor practices are unfair labor practices affecting commerce, within the meaning of Section 2 (6) ' and (7) of the Act. ORDER Upon the basis of the above findings of fact and conclusions of law, and pursuant to Section 10 (c) of the National Labor Relations Act, .the National Labor Relations Board hereby orders that the respondent, Texas, New-Mexico & Oklahoma Coaches, Inc., Lubbock, Texas, and its officers, agents, successors, and assigns shall : 1. Cease and desist from : (a) Refusing to bargain collectively with Brotherhood of Railroad Trainmen as the exclusive representative of all its bus drivers; ,(b) Giving effect to the - contracts of February 19, 1941, and the supplement to the contracts dated March 25, 1941, or any modification, continuation, extension, or renewal thereof, or entering into any sim- 21 See National Licorice Company v . N. L. R. B., 309 U. S. 350; N.- L R' B v. Superior Tanning Company, 117 F. (2d) 881 ( C: C. A. 7 ), cert. den. 313 ,U. S. 559; N. L. R. B. V. Stone et al ., 125 F. (2d) 752 (C. C. A. 7) cert. den. Oct. 12, 1942. 374 DECISIONS OF, NATIONAL LABOR RELATIONS BOARD ilar form of contract with its employees for any, period ,subsequent to the date of this Decision, without, prejudice, however,, to' the,asser- tion by its employees of any legal rights they may have acquired' under such contracts; (c) In any other manner interfering with, restraining, or coercing its employees in the exercise of the right to self-organization, to form, join, or assist labor organizations, to bargain collectively through representatives of their own choosing, and to engage in concerted activities for the purposes-of collective bargaining or other mutual aid or protection, as guaranteed in Section 7 of the National Labor Rela- tions Act. 2. Take the following affirmative action, which the Board,finds will effectuate the policies of the Act: (a) Upon request, bargain collectively with Brotherhood of Rail- road Trainmen as the exclusive representative of the respondent's bus drivers, with respect to rates of pay, wages, hours of employment, and other terms and conditions` of employment ; - (b) Notify in writing each employee who signed the contracts, of_ February 19, 1941, and the supplement to such contracts, or any modi- fication, continuation, extension, or renewal thereof, or any similar form of contract for any period subsequent to the date of this Decision; that such contracts will not in any manner be enforced or attempted to be enforced, and that such discontinuanceof the contracts is without prejudice to the assertion of any legal rights the employees may have acquired thereunder; (c) Post immediately in conspicuous places at its terminal at Lubbock, Texas, and at such other places as may be necessary to insure access to them by all drivers and maintain-for a period of at least sixty (60) consecutive days from the date of posting, notices to its employees stating (1) that the respondent will not engage in- the conduct from which it is ordered to cease and desist in paragraphs 1 (a), (b), and (c) of this Order; (2) that the respondent will take the affirmative action set forth in paragraphs 2-(a) and (b) of this Order; and (3) that the contracts of February 19, 1941, and the sup- plement to such contracts or any modification, continuation, extension,, or renewal thereof, or any similar form of contract for any period subsequent to the date of this Decision will not in any-manner be enforced or attempted to be enforced and that-such discontinuance of the contracts is- without prejudice to the assertion of any legal rights the employees may have acquired thereunder; (d) Notify the Regional Director for the Sixteenth Region in writ- ing within ten (10) days from the date of this Order what steps the respondent has taken to comply herewith. - , CHAIRMAN MILLis took no part in the consideration of the above Decision and Order. 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