William MosesDownload PDFNational Labor Relations Board - Board DecisionsJan 7, 1980247 N.L.R.B. 144 (N.L.R.B. 1980) Copy Citation DECISIONS OF NATIONAL LABOR RELATIONS BOARD William Moses, Robert Moses and Eugene Moses, Individually and as Trustees for the Estate of Bella Moses and Local 32B-32J, Service Employees International Union, AFL-CIO, Petitioner. Case 2-RC-18388 January 7, 1980 DECISION ON REVIEW AND ORDER BY MEMBERS JENKINS, PENELLO, AND TRUESDALE On July 25, 1979, the Regional Director for Region 2 issued a Decision and Direction of Election in the above-entitled proceeding in which she found, inter alia, that the Intervenor' had effectively disclaimed interest in continuing to represent the employees in the bargaining unit, and that a unit limited to the employees of this single Employer was appropriate. Thereafter, pursuant to Section 102.67 of the National Labor Relations Board Rules and Regulations, Series 8, as amended, the Employer filed a timely request for review of the Regional Director's decision, partly on the ground that in giving effect to the disclaimer the Regional Director departed from established Board policy. The Petitioner filed an opposition. By tele- graphic order dated August 21, 1979, the National Labor Relations Board granted the request for review with respect to the Intervenor's disclaimer, and stayed the election pending decision on review. Pursuant to the provisions of Section 3(b) of the National Labor Relations Act, as amended, the National Labor Relations Board has delegated its authority in this proceeding to a three-member panel. The Employer owns and operates a residential apartment building in New York City called the Meurice, which was operated as a permanent hotel prior to 1973 and then converted, during the period from 1973 to 1976, into an apartment house. For more than 30 years, the Employer has been a member of Associated Hotels & Motels, Inc., a multiemployer bargaining association which has had successive col- lective-bargaining agreements with the Intervenor throughout this period. The unit of the Meurice employees sought by the Petitioner has been covered by those contracts, the most recent of which expired on May 31, 1979. In January 1977, with the conversion of the building from hotel to apartment completed, the Intervenor suggested to the Employer that their relationship be severed since the Intervenor traditionally has not represented apartment house employees. This change did not occur, however, and the Intervenor continued ' Local 144. Hotel, Hospital. Nursing Home & Allied Health Services Union, SEIU, AFL-CIO. intervened in the proceeding. 247 NLRB No. 20 to represent the Meurice employees, including taking active part in the most recent contract negotiations, from January 1979 until the first day of the hearing in the instant case, June 21. At that time, the contract negotiations between the Intervenor and the associa- tion had resulted in agreement on 37 of the Interve- nor's 39 contract demands. On June 7, the instant petition was filed by Local 32B-32J, Service Employees International Union, AFL-CIO. When the hearing was convened the Intervenor announced that it wished to disclaim any interest in representing the employees in the unit petitioned for by Local 32B-32J. The Employer contested the validity of the disclaimer on the grounds, inter alia, that it was not timely. As the Regional Director noted in her decision, there is no question that the Intervenor in the instant case could not have withdrawn from the multiemploy- er bargaining unit and sought to bargain on an individual basis at the time that it made its disclaimer. A withdrawal at that point would have been untimely. Nevertheless, the Regional Director gave effect to the disclaimer and directed an election. The Employer has urged in its request for review that to allow the Intervenor to disclaim in these circumstances would be tantamount to allowing an untimely withdrawal from a multiemployer bargaining relationship. We find merit in the Employer's contentions. The Board has consistently sought, in its decisions, to ensure the stability of multiemployer bargaining arrangements. As the Board stated in Retail Asso- ciates, Inc., 120 NLRB 388, 393 (1958): The right of withdrawal by either a union or employer from a multiemployer unit has never been held, for Board purposes, to be free and uninhibited, or exercisable at will or whim. For the Board to tolerate such inconstancy and uncertainty in the scope of collective-bargaining units would be to neglect its function in delineat- ing appropriate units under Section 9, and to ignore the fundamental purpose of the Act of fostering and maintaining stability in bargaining relationships. The Intervenor has been the bargaining representa- tive for the employees in question for many years. It has continued to represent those employees for ap- proximately 3 years since the conversion of the building to an apartment house. Indeed, it participated in the recent contract negotiations for about 6 months before announcing its disclaimer at a time when agreement had been reached on virtually all issues. The incumbent is not defunct, and its history clearly demonstrates its ability to administer a contract on 144 ESTATE OF BELLA MOSES behalf of these employees. In these circumstances, to give effect to the disclaimer would in essence allow the Intervenor to withdraw untimely from the multiem- ployer bargaining unit, a result which we decline to sanction. We are mindful of the distinction, urged by the Intervenor, between a union's withdrawing from a multiemployer bargaining relationship while remain- ing the bargaining representative of each individual employer's employees, and a union's disclaiming interest in representing those employees. The former action raises the possibility of a "whipsawing" strategy by the union. Whipsawing, however, is not the only peril to be avoided. As the basic rationale of Retail Associates makes clear, it is the need for stability in multiemployer bargaining relationships which is of concern to the Board.' That concern is not diminished here merely because the attempted disclaimer would remove the Intervenor from further bargaining with this Employer.' The multiemployer association recent- : The Board has recently made clear its continuing adherence to that rationale; see Charles D. Bonanno Linen Service. Inc., 243 NLRB 1093 (1979). The Board has recently considered the propriety of disclaimers in other factual settings. See East Manufacturing Corporation. 242 NLRB 5 (1979); and American Sunroof Corporation-West Coast. Inc.. d/b/a American Sun- roof/Customcraft. Inc. 243 NLRB 1128 (1979). After the close of the hearing the Employer requested that the record be ly engaged in extensive negotiations with the Interve- nor, and had reason to believe those negotiations would reach fruition and the existing bargaining relationship would endure. If the disclaimer were allowed, the Intervenor would be reshaping the composition of the bargaining unit at a time when it otherwise could not do so. We view such action as disruptive of a stable bargaining relationship and therefore unwarranted at this time. Accordingly, we find the Intervenor's disclaimer untimely and there- fore ineffective. The Regional Director's Decision and Direction of Election is hereby vacated and we shall order that the petition be dismissed,' as no question concerning representation can be raised at this time. ORDER It is hereby ordered that the petition be, and it hereby is, dismissed. reopened to allow it to submit canceled checks as evidence in support of its contention that the Intervenor was acting inconsistently with its disclaimer. The Board granted this request. The Intervenor subsequently requested that the hearing be reopened to allow it to present evidence on this issue. Inasmuch as the Board does not rely on any alleged inconsistent action by the Intervenor in deciding the case, the Intervenor's request is hereby denied. 145 Copy with citationCopy as parenthetical citation