The Welch Scientific Co.Download PDFNational Labor Relations Board - Board DecisionsMay 7, 1964146 N.L.R.B. 1451 (N.L.R.B. 1964) Copy Citation THE WELCH SCIENTIFIC COMPANY 1451 aspect of the Institute's overall educational function. We conclude, therefore, that the activities of the institute, including its research program, are primarily educational rather than commercial in char- acter, and we decline to assert jurisdiction herein. Accordingly, we shall dismiss the petition .8 [The Board dismissed the petition.] 8 Trustees of Columbia University , supra; Lutheran Church, Missouri Synod, 109 NLRB 859; Sheltered Workshops of San Diego , Inc., supra ; Young Men's Christian Association of Portland, Oregon, 146 NLRB 20; cf . Massachusetts Institute of Technology ( Lincoln Laboratory ), 110 NLRB 1611; and California Institute of Technology, 102 NLRB 1402. The Welch Scientific Company and Display Fixture, Smoking Pipe, Plastics & Production Workers Union , Local 2682, United Brotherhood of Carpenters & Joiners of America , AFL-CIO. Case No. 2-CA-9476. May 7, 1964 DECISION AND ORDER On January 27, 1964, Trial Examiner Thomas S. Wilson issued his Decision in the above-entitled proceeding, finding that the Respond- ent had engaged in and is engaging in certain unfair labor practices and recommending that it cease and desist therefrom and take certain affirmative action, as set forth in the attached Decision. Thereafter, the Respondent filed exceptions with a supporting brief, and the Gen- eral Counsel filed exceptions to the Recommended Order. The Re- spondent also filed a brief in answer to the General Counsel's statement of exceptions. Pursuant to the provisions of Section 3(b) of the National Labor Relations Act, the Board has delegated its powers in connection with this case to a three-member panel 1 [Chairman McCulloch and Mem- bers Fanning and Jenkins]. The Board has reviewed the rulings of the Trial Examiner made at the hearing and finds that no prejudicial error was committed. The rulings are hereby affirmed. The Board has considered the Trial Examiner's Decision and the entire record in this case, including the exceptions and briefs, and hereby adopts the findings, conclusions,' and recommendations of the Trial Examiner with the following modifications : 'The Respondent 's request for oral argument is denied as, In our opinion, the record, including the exceptions and briefs , adequately presents the issues and the positions of the parties. 2 We disavow , as unnecessary for the determination of the Issues herein, the Trial Ex- aminer 's adverse characterizations of the Respondent 's contracts with Local 325. 146 NLRB No. 122. 1452 DECISIONS OF NATIONAL LABOR RELATICNS BOARD ORDER Upon the entire record in this case, and pursuant to Section 10(c) of the National Labor Relations Act, as amended, the National Labor Relations Board •hereby orders that the Respondent, The Welch Scientific Company, New York, New York, its officers, agents, succes- sors, and assigns, shall : 1. Cease and desist from : (a) Discouraging membership in Display Fixture, S"nioking; Pipe, Plastics & Production Workers Union, Local 2682, United Brother- hood of Carpenters & Joiners of America, AFL-CIO, or in. any other labor organization, by discriminatorily discharging any of its em- ployees or by discriminating in any other manner in regard to their hire or tenure of employment or any term or condition of employment. (b) Interrogating employees at the New York plant concerning the employees' membership in the said labor organization in a manner constituting interference, restraint, or coercion within the meaning of Section 8 (a) (1) of the Act. (c) Applying its collective-bargaining agreement with Local 325 of the Paper Makers Union to the New York plant. (d) In any other manner interfering with, restraining, or coercing its employees in the exercise of. their right to self-organization, to form labor organizations, to join_or assist Display Fixture, Smoking Pipe, Plastics & • Production Workers Union, Local 2682, United .Brotherhood,of•Carpenters & Joiners of America, AFL-CIO, or any .other. labor organization, to bargain collectively through representa- tives of their own choosing, and to engage in other concerted activities. for the purposes of collective bargaining or other mutual aid or pro tection, or to refrain from any or all such activities, except to the extent that such right may be affected by an agreement requiring member- ship in a labor organization as a condition of employment, as author- ized by Section 8 (a) (3) of the Act, as amended. 2. Take the following affirmative action which the Board finds will. effectuate the policies of the Act : (a) Offer to Abraham Axelrod immediate and full reinstatement to his former or substantially equivalent position, without prejudice to his seniority or other rights and privileges, and make him whole for any loss of pay he may have suffered by reason of the discrimination against him in the manner set forth in the section of the Trial Examin- er's Decision entitled "The Remedy." (b) Preserve and, upon request, make available to the Board and its agents, for examination and copying, all payroll records, social security payment records, timecards, personnel records and reports,.. and all other records necessary to determine the amount of backpay- due under the terms of this Order. THE WELCH SCIENTIFIC COMPANY 1453 (c) Post at its plant in New York, New York, copies of the attached notice marked "Appendix." 3 Copies of said notice, to be furnished by the Regional Director for the Second Region, shall, after being duly signed by the Respondent's authorized representative, be posted by the Respondent immediately upon receipt thereof, and be maintained by it for 60 consecutive days thereafter, in conspicuous places, includ- ing all places where notices to its employees are customarily posted. Reasonable steps shall be taken by the Respondent to insure that said notices are not altered, defaced, or covered by any other material. (d) Notify the said Regional Director, in writing, within 10 days from the date of this Order, what steps the Respondent has taken to comply herewith. ' In the event that this Order is enforced by a decree of a United States Court of Appeals, there sliall be substituted for the words "a Decision and Order," the words "a Decree of the United States Court of Appeals , Enforcing an Order." APPENDIX NOTICE TO ALL EMPLOYEES Pursuant to a Decision and Order of the National Labor Relations Board, and in order to effectuate the policies of the National Labor -Relations Act, as amended, we hereby notify you that: , WE WILL NOT discourage. membership in Display Fixture, Smoking Pipe, Plastics & Production Workers Union, Local 2682, United Brotherhood of Carpenters & Joiners of America, AFL-CIO, or in any other labor organization, by discrimina- torily discharging or refusing to reinstate any of our employees or by discriminating in any manner in regard to the hire and tenure of employment or. any term or condition of employment of any of our employees. . WE WILL offer Abraham Axelrod immediate and full reinstate- ment to his former or substantially equivalent position, without prejudice to his seniority or other rights and privileges, and will make him whole for any loss of pay he may have suffered by rea- son of the discrimination practiced against him. WE WILL NOT apply our contract with Local 325 of the Paper Makers Union to the employees of our New York plant. WE WILL NOT interrogate. employees of our New York plant concerning their membership in Display Fixture, Smoking Pipe, Plastics & Production Workers Union, Local 2682, United Brotherhood of Carpenters & Joiners of America, AFL-CIO. WE WILL NOT in any other- manner interfere with, restrain, or coerce our employees in the exercise of their rights to self -organi- zation, to form labor organizations, to join or assist Display Fix- 1454 DECISIONS OF NATIONAL LABOR RELATIONS BOARD ture, Smoking Pipe, Plastics & Production Workers Union, Local 2682, United Brotherhood of Carpenters & Joiners of America, AFL-CIO, or any other labor organization, to bargain collectively through representatives of their own choosing, and to engage in any other concerted activities for the purposes of collective bar- gaining or other mutual aid or protection, or to refrain from any or all such activities, except to the extent that such rights may be affected by an agreement requiring membership in a labor organi- zation as a condition of employment, as authorized in Section 8 (a) (3) of the Act, as amended. THE WELCH SCIENTIFIC COMPANY, Employer. Dated---------------- By------------------------------------- (Representative ) ( Title) NoTE.-We will notify Abraham Axelrod if presently serving in the Armed Forces of the United States of his right to full reinstatement upon application in accordance with the Selective Service Act and the Universal Military Training and Service Act of 1948, as amended, after discharge from the Armed Forces. This notice must remain posted for 60 consecutive days from the date of posting, and must not be altered, defaced, or covered by any other material. Employees may communicate directly with the Board's Regional Office, Fifth Floor, Squibb Building, 745 Fifth Avenue, New York, New York, Telephone No. 751-5500, if they have any question con- cerning this notice or compliance with its provisions. TRIAL EXAMINER 'S DECISION STATEMENT OF THE CASE Upon a charge duly filed on July 15 , and amended on August 29, 1963 , by Dis- play Fixture , Smoking Pipe; Plastics & Production Workers Union , Local 2682, United Brotherhood of Carpenters & Joiners of America , AFL-CIO, hereinafter called the Union , the General Counsel of the National Labor Relations Board, hereinafter called the General Counsel i and the Board , respectively , by the Regional Director for the Second Region (New York , New York ), issued its complaint dated August 30 , 1963, against The Welch Scientific Company, hereinafter called the Respondent or Welch . The complaint alleged that Respondent had engaged in and was engaging in unfair labor practices affecting commerce within the meaning of Section 8 ( a) (1) and ( 3) and Section 2(6) and (7) of the Labor Management Rela- tions Act, 1947, as amended, herein called the Act . Copies of the charges , complaint, and notice of hearing thereon were duly served upon the Union and Respondent. Respondent duly filed its answer admitting certain allegations of the complaint but denying the commission of any unfair labor practices. Pursuant to notice , a hearing was held at New York, New York , on October 16, 17, 21, 22 , and 23, 1963 , inclusive , before Trial Examiner Thomas S. Wilson. All parties appeared at the hearing , were represented by counsel or representative, and were afforded full opportunity to be heard , to produce , examine , and cross-examine 2 This term specifically includes the attorney appearing for the General Counsel at the- hearing. THE WELCH SCIENTIFIC COMPANY 1455 witness, and to introduce evidence material and pertinent to the issue. All argument at the close of the hearing was waived. Briefs were received from General Counsel and Respondent on November 26, 1963. Upon the entire record in the case, and from my observation of the witnesses, I .make the following: FINDINGS OF FACT I. BUSINESS OF RESPONDENT At all times material herein, The Welch Scientific Company has maintained its principal office and place of business at 1515 Sedgwick Street, in the city of Chicago, and the State of Illinois, a branch in the State of California, and a branch at 331 East 38th Street, in the city and State of New York, herein called the New York plant;' where it is, and has been at all times material herein, engaged in the manufacture, sale, and distribution of educational and scientific apparatus, supplies, and related products. During the year 1962, which period is representative of its annual operations generally, Respondent, in the course and conduct of its business, purchased and caused to be transported and delivered to its various places of business, goods and materials valued in excess of $50,000, of which goods and materials valued ' in excess of $50,000 were transported and delivered to its places of business in interstate commerce directly from States of the United States other than the State in which said places of business are located. During the year 1962, which period is representative of its annual operations gen- erally, Respondent, in the course and conduct of its business operations , manufac- tured, sold, and distributed at its places of business, products valued in excess of $50,000 of which products valued in excess of $50,000 were shipped from places of business in interstate commerce directly to the States of the United States other than the State in which said places of business were located. The complaint alleged, the answer admitted, and I find that Respondent is engaged in commerce within the meaning of the Act. IT. THE UNION INVOLVED Display Fixture, Smoking Pipe, Plastics & Production Workers Union, Local 2682, United Brotherhood of Carpenters & Joiners of America, AFL-CIO, and Local 325 of the Paper Makers Union, are labor organizations admitting to membership employees of the Respondent. III. THE UNFAIR LABOR PRACTICES A. The facts The Welch Scientific Company came into existence in Chicago, Illinois, during the 1880's. In 1937, the very early days of the Wagner Act, Respondent and Local 325 of the Paper Makers Union, hereinafter referred to as Local 325, entered into an "open shop" collective-bargaining agreement covering all of Respondent's production and maintenance employees. At this time Respondent had its only plant in Chicago. This relationship has since been both continuous and harmonious. In fact, Richard E. Welch, Jr., a nephew of the founder of Respondent and presently vice president and treasurer thereof, could recall only one grievance having been filed by Local 325 in those 27 years and the present case is the only time Respondent has been •before the Board on an unfair labor practice charge. In 1941, Respondent negotiated a change in the preamble of its collective-bargain- ing agreement with Local 325 which then, and since, has read: "This agreement . by and between The Welch Scientific Company, of Chicago, Illinois, and its sub- divisions and subsidiaries, hereinafter referred to as the Company, and [Local 325]. .." [Emphasis supplied.] At the same time article I, section 1, was also changed to provide: "The Company hereby agrees to recognize and to bargain collectively with [Local 325] . . . as a sole collective-bargaining agent for all employees of the Company, except those who are employed as office workers, supervisors, and lithographers... .:' 2 In. 1941, also, Respondent purchased World News Corporation and thereafter operated it as a "subsidiary." - ? The lithographers were covered by a contract with another union. 744-670-65-vol. 14 G-9 3 1456 DECISIONS OF NATIONAL LABOR RELATIONS BOARD In 1961, Respondent and Local 325 in Chicago negotiated some minor changes in the 2-year renewal collective-bargaining contract which they signed that year. That same year Respondent opened a new plant and warehouse in California em- ploying some five men. Although Welch, Junior, testified that the provisions of this 1961-63 contract have been applied to the California plant, he also testified that Respondent had made no mention of the opening of the California plant until after the negotiations. In April 1962, Respondent purchased a company known as the New York Scien- tific Company in New York which was owned and operated by Joseph Rubinger and his partner, Cohn. New York Scientific employed approximately 25 employees. It had never had any union relationship in its 40 years of existence although dur- ing that period Rubinger testified that he had heard on "many occasions" that a union had been attempting to organize its employees. Until larger quarters could be found Respondent continued the operation of the New York Scientific Company under its old name with its former owners as its managers. At the time of the purchase, Respondent supplied Rubinger with information and booklets describing Respondent' s pension , hospitalization , profit-sharing , etc., plans which were in turn distributed to the employees. Rubinger was also informed of the contract with Local 325 but was given no copies of the collective-bargaining agreement for distribution to the employees. The pension, hospitalization, and other plans were all completely independent of the collective-bargaining agree- ment with Local 325. Respondent made no official announcement of the existence of Local 325 contract nor of its alleged coverage of the New York employees. In fact , Welch, Junior, testified that Local 325 in Chicago was told that, although Respondent had purchased New York Scientific, it was not going to be a typical Welch operation. Respondent maintained throughout the hearing and in its brief that "since 1962 the New York employees have consistently received wages and benefits, including all fringe benefits , holidays and vacations , provided in the 1961-63 and the 1963- 65 agreements" it had with Local 325. The evidence shows that on one of his early trips to New York after the purchase , Welch, Junior, was asked by a female employee whether the Welch Company had a union contract. Welch, Junior, informed her that Respondent did have a contract with Local 325 in Chicago but that it was an "open shop contract" so that the New York employees would not have to join that union . This was satisfactory to the female employees who were opposed to joining any union. The New York employees did not receive the 5-cent-per-hour increase provided in the 1961-63 contract of Local 325 because that agreement specified that only employees of Respondent as of April 1, 1962, were eligible for such increase . As Respondent purchased New York Scientific after April 1 of that year, technically the New York employees did not qualify thereunder, according to Welch, Junior . One employee in New York testified that she learned of the Local 325 contract when the New York plant unexpectedly worked on Washington' s Birth- day in 1963, which formerly had been a holiday in New York. She was told that the same conditions applied in New York as were applied by Respondent in Chicago and, hence, as the Chicago plant worked that day, Washington's Birthday was lost as a holiday in New York. Another employee learned of the 5-cent-per-hour increase when on July 1, 1963, her vacation paycheck indicated a 5-cent-per-hour increase. The record is definite. however, that neither Respondent nor Local 325, the alleged representative of the New York employees, distributed copies of the collective- bargaining agreement to any of the New York employees until July 8, 1963, when Welch, Junior, distributed copies thereof to the New York employees. The first appearance of a Local 325 representative in the New York plant occurred on July 16, 1963. Whatever knowledge the few New York employees ever learned about Local 325 and its collective-bargaining contract prior to July 1963, was both accidental and vicarious.3. In January 1963, Respondent sought a caster from U.S.E.S. at a suggested salary of $100 per week. Abraham Axelrod applied. Manager Rubinger agreed that Axelrod would be hired at $90 and that, if his work proved satisfactory at the end of his first month , he would thereafter be paid $100 per week.4 s The above referred to collective- bargaining agreements between Respondent and Local 325 contained little, if anything, over and beyond the requirements of the minimum wage act and the generalities of this act. Respondent's pension plan, profit-sharing plan, and hospitalization are all independent of those collective-bargaining agreements. These agree- ments can best be described as being "pre-Model T" agreements in collective bargaining. 4 The two previous casters, Negron and Febus, had been paid $74 or $75 per week for the same work. a THE WELCH SCIENTIFIC COMPANY 1457 Axelrod became the only full-time caster at this time, although Febus who gen- erally worked as a finisher did casting on occasions.5 Foreman Andrew Maggi who checked the work of the employees in his departments every night informed Axelrod that his work was "slow but good" and that he, Maggi, preferred it that way. At the end of his first month's employment Axelrod received his $10 per week increase to the $100 salary as agreed. Rubinger and Maggi both testified that Maggi had objected to giving Axelrod his $10 agreed-upon increase on the ground that Axelrod was a slow caster. How- ever, Maggi also admitted that he had, during that month, informed Axelrod that he, Maggi, was going to need an assistant when the plant moved to larger quarters and that, "if [Axelrod] could pick up everything that I was showing to him, he could at one time become my assistant." 6 It is also admitted that during the early part of his employment Axelrod also informed Maggi that he, Axelrod, had been a member of the Union. On March 8, 1963, Maggi wrote former employee Negron in part as follows: We are moving to a much larger place on 38th Street and First Avenue and we will be needing many more people in the model department. I heard that you and your brother were in business in Puerto Rico. If you will consider coming to work for us, I am sure we could find places for both of you. In April 1963, Respondent's plant was moved to its new location. About May Respondent hired a new caster by the name of Schwartz. Schwartz suggested the possibility of organizing a union to Axelrod and secured union author- ization cards which Axelrod and a number of the other employees signed. Although some of the employees attended a union meeting at the union hall and a couple of informal meetings at a nearby bar and grill, the organizing work was done secre- tively. So far as any of the employees who testified knew, Respondent was unaware of this activity. On June 10, Schwartz was discharged by Respondent. Rubinger testified that he discharged Schwartz for low production. and because Schwartz was allergic to the chemicals used in casting. At or about this time Maggi had been told "in confidence" by an employee that the Union was attempting to organize the employees. Maggi reported this confidential information together with the fact that he.suspected employees Passos and McCoy, at least, to Rubinger as the possible "instigators" of the union movement because he had found them outside of their work area talking to employees. On June 21, Maggi allegedly made another critical report on Axelrod's production to Rubinger.7 Rubinger instructed Maggi to have Axelrod to report to him at the close of work on Monday, June 24. On the morning of June 24 Negron returned to work from Puerto Rico. He was engaged as a caster at $75 per week. About 5:30 p.m. that evening Axelrod was sent by Maggi to Rubinger's office where Rubinger told, him that his work was not "up to par" and that Axelrod would have to improve. Axelrod suggested that, in order to prove that he was not a slow production worker, he would be willing to exchange molds with another caster and see who did the better work. Maggi who was present at the interview said that they would have such a test on Wednesday, June 26.8 That evening as he left work Maggi made no preparation for the proposed ex- change of molds nor did he inform either Febus or Negron of the proposed test. On the evening of June 24 the Union held a meeting during which President Silvio Prezioso informed the employees of Respondent present that about 11 o'clock the following morning, June 25, he was going to telephone Rubinger and request rec- ognition of the Union on the ground that the majority of Respondent's employees had signed up with the Union. e Negron had returned to Puerto Rico. 81n his testimony Maggi sought to explain the obvious inconsistencies between his compliment to Axelrod and his criticisms of Axelrod to Ruhinger on the ground that he was doing "everything possible" to encourage Axelrod at this time to increase his pro- ductivity. Maggi 's words belied his actions in this, and in other , incidents related hereto. The testimony of 1lfaggi at the hearing, however , would seem to indicate that most, if not all , of his troubles with Axelrod 's slow production occurred during the first month of Axelrod ' s employment . What caused this present criticism of Axelrod by 1%laggi is not shown on the record. 8 The conflict as to the date of this proposed test between Maggi and Axelrod is dis- cussed infra. 1458 DECISIONS OF NATIONAL LABOR RELATIONS BOARD About 11:30 the next morning, June 25, as planned, Prezioso telephoned Rubinger, told him that the Union represented a majority of the Respondent's employees and requested a meeting. Rubinger agreed that the men would meet at Respondent's office on Friday morning, June 28. Immediately following this telephone conversation Rubinger called Kellogg, a Respondent official, and Foreman Maggi to his office 6 and told them of Prezioso's call. These officials then began discussing which employees could have instigated the union organizational movement. • The names of Schwartz and Axelrod were prominently mentioned in this connection. Subsequently it was decided that Rubinger should telephone Respondent's headquarters in Chicago, which he thereupon did, and was told that President Welch of Respondent would be in town to handle the matter.'° On June 25 and June 26, Rubinger approached each of Respondent's employees and inquired of each if he or she had joined the Union. As each employee answered the question, Rubinger checked the answer on a list of employees he carried with him.11 About 5:30 p.m. Rubinger had Axelrod called to his office and informed Axel- rod that he was discharged "on orders from Chicago." Rubinger, on the other hand, testified that when Maggi informed him about "10:30 a.m.," and therefore prior to the Prezioso telephone call, that Axelrod had "reneged" on his suggested test of production, he decided that the only thing he could do would be to discharge Axelrod. Following his telephone call to Rubinger , Prezioso filed a representation petition with the Board covering Respondent's employees.12 Prior to July 5 Rubinger inquired of Aulisi if he had signed a card for the Union and warned him not to do so.13 - Comanager Cohn was then on vacation: 10 The above findings are made on the basis of the credited testimony of Joseph Aultsi who was at the time a college student and an employee of Respondent . Respondent 's brief refers to Aulisl as an "eavesdropper ." In fact Aultsi was more than that : he was an In- tentional eavesdropper . Aultsi was interested in the union organizational effort. He knew that Prezioso planned to call Rubinger about 10 :30 a.m. Aulisl had a desk in Respond- ent's main office approximately 25 feet from the three cubicles where officials Cohn, Rubinger , and Kellogg officed . These three cubicles were separated from the main office by glass partitions which reached only partway to the ceiling of the room. At the time of the receipt of the call from Prezioso , Aultsi had made it a point to be at his desk. Both Rubinger and Maggi denied the testimony of Aulisl . Maggi to the extent that he was not present at any such conference . Significantly Respondent did not call Kellogg as a witness nor explain his absence. Furthermore both Rubinger and Maggi were caught in various omissions and incon- sistencies in their testimony. Whereas Aulisi proved himself to be an impressive witness, particularly on cross-examination. Consequently the Trial Examiner credits the testimony of Aullsi. n In an affidavit given to a Board field examiner, Rubinger specifically denied having asked any employee if he had signed up for the Union. Subsequently on August 28, 1963, Rubinger executed another affidavit prepared by Respondent in which he "corrected" the denial contained in the affidavit given previously to the Board and, in addition , changed the date of the inquiry he then admitted from "June 26" to "June 25." He specifically stated in the August 28 affidavit that Axelrod was not interrogated because "I had already made up my mind to discharge him that night . . . . 11 However, if the inquiry was made on June 26 in accordance with his first affidavit , Axelrod would not have been interrogated but for a completely different reason. 12 Subsequently a hearing on this petition was held at which Local 325 was permitted to intervene without objection on the basis of cards which It secured In Respondent 's plant on or about July 16. Local 325 and Respondent maintained at said hearing that under the terms of the contract between Local 325 and Respondent in Chicago, Respondent's New'York employees "automatically accreted" to the companywide unit of which Local 325 was the recognized representative under the phraseology of the Chicago contract. The Regional Director, however, ordered an election with the Union and Local 325 both on the ballot along with a box for a "no" vote. Respondent appealed this decision to the Board which on December 6, 1963, affirmed the ruling of the Regional Director. 13 Although Rubinger denied having asked Aulisl whether he joined "Local 2682" [the Union], he did not deny the interrogation of Aullsi. In this connection it is Interesting to note that Rubinger attempted to explain his omission of the polling Incident in his affidavit to the Board on the same ground : that he was concentrating on the number of the Local. THE WELCH SCIENTIFIC COMPANY 1459 On July 8 Welch , Junior, appeared at the New York plant and for the first time speaking to small groups of employees , informed them that they were covered by Respondent 's contract with Local 325 and entitled to all the " terms and benefits" thereunder including the 5 -cent-per-hour raise which had been negotiated and executed between those parties on May 6, 1963, in Chicago. Except for the one employee who discovered her 5-cent-per-hour increase in the vacation paycheck given to her on July 1, according to her testimony , this is the first any of the employees knew of any 5-cent pay increase or of the Chicago negotiations, which had been carried on by Local 325 in Chicago without notice to, or the presence of, any •representative of the New York employees. Promptly after the Union had filed its representation petition for the New York plant, Respondent 's Chicago officials telephoned the Chicago area director of the Paper Makers Union and Local 325 and told him of the New York petition. The area director said that he would get in touch with the Paper Makers area director in New York about the matter. On July 16 Organizer Bryan Renick of the Paper Makers Union appeared at Respondent 's New York plant and requested permission from Rubinger to go through the plant seeking memberships on behalf of Local 325. This was the first interest Local 325 had ever shown in the New York employees . Rubinger granted such per- mission and had Foreman Maggi take Renick and introduce him to the employees. Maggi introduced Renick to employee Gertrude Ludders and then left Renick. Renick was seeking signed authorization cards on behalf of Local 325 from the employees obviously in order to make a showing of interest in the pending R case proceedings commenced by the Union. At the hearing Rubinger justified his grant of permission to Renick on the basis that the contract of Local 325 covered the New York employees and, therefore, representatives of Local 325 were by that agreement permitted to solicit memberships in the New York plant. B. Conclusions 1. Interference , restraint , and coercion General Counsel 's complaint alleges the following acts by Respondent to be viola- tions of Section 8(a) (1) in that they interfered with , restrained , and coerced Re- spondent 's New York employees in their freedom to choose between the Union, Local 325, or no union: (1) Rubinger's interrogation of the New York employees as to whether they had joined the Union. (2) Welch, Junior's promise of wage increases , etc. on July 8, 1963 , if Respond- ent's New York employees became and remained members of Local 325. (3) Respondent 's application of the "terms and benefits" of the contract with Local 325 in Chicago to the New York employees at a time when Local 325 had no majority representation among the New York employees. (4) Respondent 's permission to Renick as an agent of Local 325 to solicit member- ships in Respondent 's New York plant during working hours. Essentially Respondent justifies all of the above -alleged unfair labor practices on the ground that upon the purchase of The New York Scientific Company by Respond- ent in April 1962 , the New York production and maintenance employees were "auto- matically accreted" to the companywide unit in which Respondent recognized Local 325. This accretion occurred by reason of the addition of the words "subdivisions and subsidiaries" as being included within the term "The Welch Scientific Company, of Chicago , Illinois" in the preamble of Respondent 's 1941 contract with Local 325 and the retention of such legal phraseology in all subsequent contracts between these parties. Having been thus accreted , the New York employees , according to Re- spondent 's theory, were also automatically included within the coverage of the con- tract Respondent had with Local 325. In its brief Respondent states unequivocally : "The Company has applied its collective-bargaining agreement with Local 325 to the New York employees since 1962." The terms of Respondent 's contract with Local 325 are so innocuous that Respond- ent could have "applied" the terms thereof to its New York operation from the very time of its purchase without anyone having been the wiser , Local 325, the New York employees , or Respondent . The agreements complied with the minimum wage law and the generalities of this Act. A reading of the contracts , which are all but identical, is sufficient to explain the fact that Welch, Junior, could recall only one grievance thereunder in 27 years. It is, moreover , the first union agreement this Trial Examiner has ever seen containing a no-strike clause without providing for the concomitant provision against lockouts . Respondent had good reason to be satisfied with its relationship with Local. 325. 1460 DECISIONS OP NATIONAL LABOR - RELATIONS BOARD Despite Respondent 's unequivocal statement above , the testimony indicates that the first recognizable application of the terms of the contract with Local 325 to New York occurred on February 22, 1963, when the New York employees actually lost George Washington 's Birthday as a holiday on the grounds that "it was the practice in Chicago" to work that day and, therefore, New York would have to work. The witness who described the loss of this holiday was even doubtful that the explana- tion included any reference to the contract with Local 325 which , incidentally , failed to list Washington 's Birthday as a holiday. The next identifiable occasion on which the contract of Local 325 was applied to the New York employees occurred only after the filing of the Union 's representa- tion petition when the vacation check of this same employee unexpectedly con- tained a 5-cent -per-hour increase which Local 325 had negotiated in its 1963-65 agreement without notice to, nor representation from, the New York employees. On this occasion Respondent 's explanation for the 5-cent-per-hour increase gave credit to Local 325. Otherwise the evidence indicates a reluctance , at least , on Respondent 's part to have its New York plant accreted to the "companywide unit" of Local 325. Upon the acquisition of the New York plant Respondent carefully explained to the New York employees Respondent 's profit-sharing , pension, insurance , and medical plans and distributed to the New York employees explanatory booklets on each. None of these fringe benefits stemmed from the collective-bargaining agreement Respond- ent had with Local 325. In these discussions with the New York employees Re- spondent made no mention of the Chicago contract with Local 325 nor distributed copies of that collective-bargaining agreement. The evidence indicates, however, that one or two female employees , who were violently opposed to any union, did inquire if Respondent had a union contract but they were satisfied with the explana- tion that there was a contract in Chicago which was an "open shop contract" so that these employees would not have to join. Nor, until July 16, 1963, did Local 325 approach the New York employees, per- haps because Respondent had informed it after the acquisition of the New York plant that the New York operation was not to be a typical Welch operation. On this record , therefore , I must agree with the finding of the Regional Director in the representation case to the effect that Respondent's New York employees were given no official indication that the New York plant accreted, automatically or other- wise, to the Chicago unit or that the New York employees were covered by the terms of the collective-bargaining agreement with Local 325 in Chicago until July 8, 1963, and, therefore , after the filing of the Union 's representation petition covering the New York employees. Whatever information about Local 325 the one or two New York employees managed to acquire prior to that time was both inadvertent and slight. It is significant that Rubinger made no such claim during his first tele- phone conversation with the Union on June 25 when Prezioso claimed majority represenatition for the Union. Respondent 's reluctance about accretion evaporated promptly after the Union demand for recognition on June 25. By June 28 Respondent was telling the Union's representative that the New York employees were already covered by the contract with Local 325. By July 8 Welch, Junior, was in New York telling the employees that they were entitled to all the "terms and benefits" of the contract with Local 325 and this time distributed copies of that contract along with brochures of Respondent 's other fringe benefits such as pensions , medical care, and profit sharing which were independent of the contract with Local 325. Also Welch, Junior, alerted the Paper Makers Chicago area director to the situation in New York with the result that on July 16, with Respondent's permission, Local 325 had an agent in the plant soliciting memberships for Local 325 on company time. By these acts Respondent obviously sought to, and did, interfere with and restrain the New York employees in their statutory right to select their own representative for collective bargaining in violation of Section 8 (a) (1) of the Act. At the time of, and subsequent to, the acquisition of The New York Scientific Company by Respondent, Respondent's New York employees cons:ituted an ap- propriate unit with, of course, the right to select Local 325 as their representative if they, the employees , so decided . The right to make . such a decision belonged to the New York employees and to the New York employees alone. Nor may the employees be deprived of that statutory right by any legal phraseology placed in a contract executed some 700 miles away some 20-odd years previously. Accordingly , I must find that by the acts above enumerated , the Respondent in- terfered with , restrained , and coerced its employees in the exercise of the rights guaranteed to them in Section 7 of the Act in violation of Section 8(a) (1) of the Act. THE WELCH SCIENTIFIC COMPANY 2. The discharge of Abraham Axelrod 1461 On June 25, 1963, about 11:30 a.m. Rubinger received his first official word that the Union had been organizing the employees in the New York plant. A hastily called conference of three top Respondent officials immediately was con- vened, discussed what should be done, and speculated as to which employees could have instigated the organizational effort of the Union. Opinion on the latter seemed to center on ex-employee Schwartz and employee Axelrod as the instigators of the movement. Schwartz had already been discharged on June 10 for, according to Rubinger, low production and being allergic to the materials used by Respondent. At 5:30 p.m. on June 25, Rubinger precipitously discharged Axelrod "on orders from Chicago" and, according to his own testimony, for low production and for "reneging" on a test of productivity allegedly set for earlier that day. Respondent set up two defenses: (1) it had no knowledge that Axelrod was engaging in activities on behalf of the Union; and (2) Axelrod was dismissed be- cause of deficiencies in his quantity and quality of work. The speculation among Rubinger, Kellogg, and Maggi immediately following the telephone call from the Union on June 25 as to which employees might have instigated the Union with its resultant consensus of opinion centering on Schwartz and Axelrod would seem to disprove Respondent's first contention. This is par- ticularly so in view of the affidavits of Rubinger wherein he claimed to have had no information that the Union was organizing until the telephone call of June 25 from the Union, whereas, at the hearing, it was acknowledged that Maggi had re- ceived, and conveyed to Rubinger, about the time of the discharge of Schwartz, a "confidential" report from an employee that the Union was organizing the plant along with his own suspicion that employees McCoy and Passos, at least, were active in the organizational effort because he, Maggi, had observed McCoy and Passos talking to employees in other departments. Maggi, of course, at the hearing contended. that he knew nothing of any activities on behalf of Axelrod despite his reluctant admission that Axelrod had told him that he was a former member of the Union, and despite his conversation with Axelrod on June 28 concerning the Union and its president. In view of all the evidence I must find that the Respondent knew, or strongly suspected, that Axelrod was active in the Union. In its brief Respondent points to the fact that all of the employee witnesses testi- fied that the organizational work had been carried on secretly and that, so far as they knew, Respondent had no knowledge thereof. These witnesses, of course, knew nothing of the "confidential" report which had been made to Maggi and conveyed to Rubinger. With that defense disposed of we turn now to Respondent's contention of poor workmanship. To prove this defense Respondent produced at the hearing 13 casts of a large botanical model known to Respondent as "The Ideal Flower" which Respondent had taken out of inventory for the purposes of the hearing. - Each of these 13 casts was imperfect, even to the naked eye, to some degree. None of these 13 casts contained any mark identifying the employee who cast the same. Respondent maintained that these casts had been made by Axelrod on the basis of testimony by Maggi that no Ideal Flowers had been cast since the discharge of Axelrod. Neither the casters nor Maggi could otherwise identify the work as having been done by Axelrod. Nor did Axelrod disclaim the possibility that these casts might have been his, admitting that some of his work contained similar defects. There was also no showing that ex-caster Schwartz might not have made the casts. Nor was there any showing as to how long these 13 casts had been in inventory prior to their removal for the purposes of the present hearing. For the purposes of the following discussion, it will be here assumed that the work was that of Axelrod, which is more than I can say Respondent actually proved. I pretend to no expertise on molds or casts therefrom but it is obvious to even a nonexpert that, if all casts were perfect, Respondent would be able to dispense with the necessity for the employment of finishers whom Respondent still employs. The question then arises as to how bad these 13 casts actually were. One witness for Respondent testified that the 13 were fit only for the garbage heap. Another testified that the casts could be finished, albeit with more effort than finishers generally like to use. As the evidence proved that Maggi inspected all work every evening and, after inspection, had had these 13 casts placed in inventory for future orders, I must conclude, in accordance with Maggi's expert judgment, that these 13 casts were usable and finishable. 1462 DECISIONS OF NATIONAL LABOR RELATIONS BOARD Actually, up to the date of the hearing, Respondent had been objecting only to the lack of quantity in Axelrod's work. There had been no objection up to that time as to the quality of his work. In fact it is admitted that Maggi had told Axelrod that Axelrod's work "was slow but good" but that Maggi preferred it that way. As a matter of fact, despite the lack of quantity, Maggi had suggested to Axelrod the possibility of Axelrod's becoming his assistant when the plant increased in size. Neither of these acknowledged statements seem to contain any criticism as to the quality of Axelrod's work. The record, on the other hand, proves that Respondent had records as to the quantity of work produced by its employees but; significantly, none such as to Axelrod's work was ever produced at the hearing to prove any quantitative deficiencies in his work. Instead Rubinger testified that in his affidavits (even those prepared by Respondent) when he referred to a lack of "quantity" in Axelrod's production, he meant both "quantity and quality." It is also all too apparent from Axelrod's 5 months of employment at the extraor- dinary figure of $90 and $100 per week that his work over that period had been satisfactory to Respondent-at least until he became suspect as an instigator of the union movement which came into the open the very same day that he was discharged. The evidence discloses that there was no hurry to get rid of Axelrod because of his production until the activity of the Union became public property. As to the timing of the discharge Respondent again has the answer: Maggi reported to Rubinger that Axelrod bad "reneged" in the suggested test of productivity at 10:30 a .m. on June 25 , approximately 1 hour before Prezioso telephoned Rubinger claiming majority representation for the Union. Rubinger contended at the hearing that he determined that Axelrod "had to go" at the time of Maggi 's report and, therefore, the union activity could have nothing to do with the discharge. The short answer to this claim is that Rubinger did not so inform Maggi at that time and actually Axelrod was not discharged until 5:30 p.m. that day and, therefore, hours after the receipt of the Union 's claim and long after the expression of the consensus of opinion of Respondent 's three officials that Schwartz and Axelrod were the instigators of the union movement. Furthermore I am convinced from all the facts that Maggi had set the proposed productivity test for Wednesday, June 26, rather than for Tuesday, June 25, because admittedly Maggi had made none of the necessary preparations for the proposed test on the evening of June 24 nor, in fact , informed either of the other contestants anything about the test. In addition , as this was purely a case of quantitative produc- tion, there was no earthly reason for the holding of any such test because Respondent had records available to prove or disprove this charge against Axelrod. From the nonproduction of these quantitative records at the hearing, it is a fair assumption that these existent records would not have proved Respondent 's contention if produced. Accordingly I am convinced and, therefore , find that Respondent made use of this proposed test and Axelrod 's alleged "reneging " therefrom as a pretext on which to discharge Axelrod on June 25 whereas the real reason that Respondent discharged Axelrod that day was the fact that Respondent knew or suspected that he was one of the instigators of the union organizational campaign which came out into the open earlier that same day. Therefore I must find that Respondent discharged Axelrod on June 25 because it knew or suspected that he was an instigator of the union activities in the plant in violation of Section 8(a) (1) and (3) of ,the Act. IV. THE EFFECT OF THE UNFAIR LABOR PRACTICES UPON COMMERCE The activities of the Respondent set forth in section III, above, occurring in con- nection 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 It having been found that Respondent has engaged in certain unfair labor prac- tices, it will be recommended that it cease and desist therefrom and that it take certain affirmative action designed to effectuate the policies of the Act. It having further been found that Respondent discriminated in regard to the hire and tenure of employment of Abraham Axelrod by discharging him on June 25, 1963, because of his known or suspected membership, sympathy, and activities on behalf of the Union, I will recommend that Respondent offer him immediate and full reinstatement to his former or substantially equivalent employment and make him whole for any loss of pay he may have suffered by reason of said discrimination against him by payment to him of a sum of money equal to that which he would AMERICAN COMPRESSED STEEL CORPORATION 1463 have earned as wages from the date of the discrimination against him to the date of his reinstatement less his net earnings during such period in accordance with the formula set forth in F. W. Woolworth Company , 90 NLRB 289 , with interest thereon at the rate of 6 percent per annum computed in the manner set forth in Isis Plumbing & Heating Co., 138 NLRB 716. Because of the variety and the extent of the unfair labor practices engaged in by Respondent, I sense an attitude of opposition to the purposes of the Act in general, and hence , deem it necessary to order that Respondent cease and desist from in any manner infringing upon the rights guaranteed to employees in Section 7 of the Act. Upon the basis of the above findings of fact and upon the entire record in the case , I make the following: CONCLUSIONS OF LAW 1. Display Fixture, Smoking Pipe , Plastics & Production Workers Union, Local 2682, United Brotherhood of Carpenters & Joiners of America , AFL-CIO, and Local 325 of the Paper Makers Union are labor organizations within the meaning of Section 2(5) of the Act. 2. Respondent is engaged in commerce within the meaning of Section 2(6) and (7) of the Act. 3. By discharging Abraham Axelrod on June 25 , 1963, thereby discriminating in regard to his hire and tenure of employment and thereby discouraging concerted and union activities among its employees , Respondent has engaged in and is engaging in unfair labor practices within the meaning of Section 8 (a) (3) and ( 1) of the Act. 4. By interfering with , restraining , and coercing its employees in the exercise of their rights guaranteed them in Section 7 of the Act, Respondent has engaged in and is engaging in unfair labor practices within the meaning of Section 8 ( a) (1) of the Act. . 5. The aforesaid unfair labor practices are unfair labor practices affecting com- merce within meaning of Section 2 (6) and (7) of the Act. [Recommended Order omitted from publication.] American Compressed Steel Corporation and International Brotherhood of Teamsters , Chauffeurs, Warehousemen and Helpers of America and Local 152, International Brotherhood of Teamsters, Chauffeurs , Warehousemen and Helpers of America. Cases Nos. 9-CA-2932 and 9-CA-2968. May 8, 1964 DECISION AND ORDER On January 6, 1964, Trial Examiner Frederick. U. Reel issued his Decision in the above-entitled proceeding, finding that the Respondent had engaged in and was engaging in certain unfair labor practices, and recommending that it cease and desist therefrom and take certain affirmative action, as set forth in the attached Trial Examiner's Decision. The Trial Examiner also found that the Respondent had not engaged in certain other unfair labor practices, and recommended that the allegations of the complaint pertaining thereto be dismissed. Thereafter, the General Counsel and the Respondent filed exceptions to the Trial Examiner's Decision and supporting briefs. Pursuant to the provisions of Section 3(b) of the National Labor Relations Act, the Board has delegated its powers in connection with these cases to a three-member panel [Chairman McCulloch and Mem- bers Fanning and Jenkins]. 146 NLRB No. 172. Copy with citationCopy as parenthetical citation