Better Business Bureau of Siouxland

National Labor Relations Board - Board Decisions

Sep 12, 2003

340 N.L.R.B. 176 (N.L.R.B. 2003)

DECISIONS OF THE NATIONAL LABOR RELATIONS BOARD 176
Better Business Bureau of Siouxland and Workers
Have Rights Too. Case 18–CA–16665
September 12, 2003
DECISION AND ORDER
BY CHAIRMAN BATTISTA AND MEMBERS
LIEBMAN AND WALSH
The General Counsel seeks a default judgment in this
case on the ground that the Respondent has withdrawn its
answer to the complaint. On a charge filed by Workers
Have Rights Too on November 19, 2002, the General
Counsel issued the complaint on February 28, 2003,
against Better Business Bureau of Siouxland, the Re-
spondent, alleging that it has violated Section 8(a)(1) of
the Act. The Respondent filed an answer to the com-
plaint. On May 6, 2003, however, the Respondent with-
drew its answer.
On May 19, 2003, the General Counsel filed with the
Board a Motion for Default Judgment and brief in sup-
port. On May 22, 2003, the Board issued an order trans-
ferring the proceeding to the Board and a Notice to Show
Cause why the motion should not be granted. The Re-
spondent filed no response. The allegations in the mo-
tion are therefore undisputed.
The National Labor Relations Board has delegated its
authority in this proceeding to a three-member panel.
Ruling on Motion for Default Judgment
Section 102.20 of the Board’s Rules and Regulations
provides that the allegations in the complaint shall be
deemed admitted if an answer is not filed within 14 days
from service of the complaint, unless good cause is
shown. In addition, the complaint affirmatively stated
that unless an answer was filed by March 14, 2003, all
the allegations in the complaint would be considered
admitted.
Although the Respondent filed an answer to the com-
plaint, the Respondent withdrew its answer on May 6,
2003. The withdrawal of an answer has the same effect
as a failure to file an answer, i.e., the allegations in the
complaint must be considered to be true.1
Accordingly, we grant the General Counsel’s motion
for default judgment.
On the entire record, the Board makes the following
FINDINGS OF FACT
I. JURISDICTION
At all material times, the Respondent, an Iowa corpo-
ration with an office and place of business in Sioux City,
Iowa, (the Respondent’s Sioux City, Iowa facility), has
operated a service providing information and dispute

1 See Maislin Transport, 274 NLRB 529 (1985).
resolution services for commercial businesses located in
the States of Iowa, Nebraska, and South Dakota.
During the calendar year ending December 31, 2002,
the Respondent, in conducting its business operations
described above, performed services valued in excess of
$50,000 in states other than the State of Iowa.
At all material times, the Council of Better Business
Bureaus, Dept. 23, Washington, D.C. (Arlington), has
regulated the conduct of the Respondent by requiring the
Respondent to abide by its bylaws and standards; by im-
plementing policies regarding the operation of the Re-
spondent, including its hours of operation and the opera-
tion of its board of directors; by evaluating the Respon-
dent’s operations every 3 years; by retaining the author-
ity to expel the Respondent from the Council of Better
Business Bureaus; and by otherwise regulating the opera-
tion of the Respondent.
In view of the factors described above, at all material
times, the Respondent has been a member and integral
part of the Council of Better Business Bureaus, Dept. 23,
Washington, D.C. (Arlington), a multistate and nonretail
enterprise, which provides services similar to those de-
scribed above to commercial businesses located through-
out the United States.
During the time period described above, the Respon-
dent and the Council of Better Business Bureaus collec-
tively derived gross revenues in excess of $250,000.
We find that the Respondent is an Employer engaged
in commerce within the meaning of Section 2(2), (6), and
(7) of the Act.
II. ALLEGED UNFAIR LABOR PRACTICES
At all material times, Stephanie Hageman held the po-
sition of the Respondent’s chief executive officer, and
has been a supervisor of the Respondent within the
meaning of Section 2(11) of the Act and an agent of the
Respondent within the meaning of Section 2(13) of the
Act.
On about October 31, 2002, the Respondent’s employ-
ees Linda Ross and Teresa Bokemper (nee Meyers) con-
certedly sent the Respondent’s board of directors and
CEO Hageman a letter protesting that the Respondent, by
its CEO Hageman, had retaliated against them by chang-
ing certain wages, hours, and working conditions.
On about November 6, 2002, the Respondent, by its
CEO Hageman, at the Respondent’s Sioux City, Iowa
facility, engaged in surveillance of employees because of
their protected concerted activities, including the conduct
described above.
On about November 6, 2002, the Respondent sus-
pended employees Ross and Bokemper, and, on about
November 11, 2002, the Respondent discharged them.
340 NLRB No. 23
BETTER BUSINESS BUREAU OF SIOUXLAND 177
The Respondent suspended and discharged Ross and
Bokemper because they engaged in protected concerted
activities, including concertedly sending the letter de-
scribed above, and to discourage employees from engag-
ing in these or other concerted activities.
CONCLUSION OF LAW
By the acts and conduct described above, the Respon-
dent has interfered with, restrained, and coerced employ-
ees in the exercise of the rights guaranteed in Section 7
of the Act, and has thereby violated Section 8(a)(1) of
the Act. The Respondent’s unfair labor practices affect
commerce within the meaning of Section 2(6) and (7) of
the Act.
REMEDY
Having found that the Respondent has engaged in cer-
tain unfair labor practices, we shall order it to cease and
desist and to take certain affirmative action designed to
effectuate the policies of the Act. Specifically, having
found that the Respondent has violated Section 8(a)(1)
by suspending and discharging employees Linda Ross
and Teresa Bokemper (nee Myers), we shall order the
Respondent to make them whole for any loss of earnings
and other benefits suffered as a result of their unlawful
suspensions and discharges. Backpay shall be computed
in accordance with F. W. Woolworth Co., 90 NLRB 289
(1950), with interest as prescribed in New Horizons for
the Retarded, 283 NLRB 1173 (1987). We also shall
require the Respondent to expunge from its files all ref-
erences to the unlawful suspensions and discharges, and
to notify Ross and Bokemper in writing that this has been
done and that the unlawful actions will not be used
against them in any way.
The General Counsel’s supporting brief states that the
Respondent ended its business operations as of April 30,
2003, for economic reasons. Accordingly, we also shall
order the Respondent, in the event it resumes the same or
similar business operations, to offer Ross and Bokemper
full reinstatement to their former positions or, if those
positions no longer exist, to substantially equivalent posi-
tions, without prejudice to their seniority or any other
rights or privileges previously enjoyed. Further, because
the Respondent ceased operations on April 30, 2003, we
shall order it to mail, rather than post, copies of the at-
tached notice to employees.
ORDER
The National Labor Relations Board orders that the
Respondent, Better Business Bureau of Siouxland, Sioux
City, Iowa, its officers, agents, successors, and assigns,
shall
1. Cease and desist from
(a) Engaging in surveillance of employees because of
their protected concerted activities.
(b) Suspending or discharging employees because they
engaged in protected concerted activities, or to discour-
age employees from engaging in these activities.
(c) In any like or related manner interfering with, re-
straining, or coercing employees in the exercise of the
rights guaranteed them by Section 7 of the Act.
2. Take the following affirmative action necessary to
effectuate the policies of the Act.
(a) In the event the Respondent resumes the same or
similar business operations, within 14 days thereafter,
offer Linda Ross and Teresa Bokemper (nee Myers) full
reinstatement to their former positions, or, if those posi-
tions no longer exist, to substantially equivalent posi-
tions, without prejudice to their seniority or other rights
and privileges previously enjoyed.
(b) Make Linda Ross and Teresa Bokemper (nee
Myers) whole for any loss of earnings and other benefits
suffered as a result of their unlawful suspension and dis-
charge, with interest, in the manner set forth in the rem-
edy section of this Decision.
(c) Within 14 days from the date of this Order, remove
from its files any reference to the unlawful suspension
and discharge of Linda Ross and Teresa Bokemper (nee
Myers), and within 3 days thereafter, notify them in writ-
ing that this has been done and that the unlawful conduct
will not be used against them in any way.
(d) Preserve and, within 14 days of a request, or such
additional time as the Regional Director may allow for
good cause shown, provide at a reasonable place desig-
nated by the Board or its agents, all payroll records, so-
cial security payment records, timecards, personnel re-
cords and reports, and all other records including an elec-
tronic copy of such records if stored in electronic form,
necessary to analyze the amount of backpay due under
the terms of this Order.
(e) Within 14 days after service by the Region, dupli-
cate and mail, at its own expense and after being signed
by the Respondent’s authorized representative, a copy of
the attached notice marked “Appendix”2 to all employees
who have been employed by the Respondent at any time
since November 6, 2002.
(f) Within 21 days after service by the Region, file
with the Regional Director a sworn certification of a re-
sponsible official on a form provided by the Region at-

2 If this Order is enforced by a judgment of a United States court of
appeals, the words in the notice reading “Posted by Order of the Na-
tional Labor Relations Board” shall read “Posted Pursuant to a Judg-
ment of the United States Court of Appeals Enforcing an Order of the
National Labor Relations Board.”
DECISIONS OF THE NATIONAL LABOR RELATIONS BOARD 178
testing to the steps that the Respondent has taken to
comply.
APPENDIX
NOTICE TO EMPLOYEES
POSTED BY ORDER OF THE
NATIONAL LABOR RELATIONS BOARD
An Agency of the United States Government

The National Labor Relations Board has found that we
violated Federal labor law and has ordered us to post and
obey this notice.

FEDERAL LAW GIVES YOU THE RIGHT TO

Form, join, or assist a union
Choose representatives to bargain with us on your
behalf
Act together with other employees for your benefit
and protection
Choose not to engage in any of these protected ac-
tivities.

WE WILL NOT engage in surveillance of our em-
ployees because of their protected concerted activities.
WE WILL NOT suspend or discharge you because
you engaged in protected concerted activities, or to dis-
courage you from engaging in these activities.
WE WILL NOT in any like or related manner interfere
with, restrain, or coerce you in the exercise of the rights
guaranteed you by Section 7 of the Act.
WE WILL, in the event we resume the same or similar
business operations, within 14 days thereafter, offer
Linda Ross and Teresa Bokemper (nee Myers) full rein-
statement to their former positions or, if those positions
no longer exist, to substantially equivalent positions,
without prejudice to their seniority or any other rights
and privileges previously enjoyed.
WE WILL make Linda Ross and Teresa Bokemper
(nee Myers) whole for any loss of earnings and other
benefits suffered as a result of their suspension and dis-
charge, plus interest.
WE WILL, within 14 days from the date of the
Board’s Order, remove from our files any reference to
the unlawful suspension and discharge of Linda Ross and
Teresa Bokemper (nee Myers) and, WE WILL, within 3
days thereafter, notify them in writing that this has been
done and that the unlawful conduct will not be used
against them in any way.
BETTER BUSINESS BUREAU OF
SIOUXLAND