J. J. Hagerty, Inc.

National Labor Relations Board - Board DecisionsJul 9, 1965

153 N.L.R.B. 1375 (N.L.R.B. 1965)

J. J. HAGERTY, INC. 1375 WE WILL NOT by refusing to bargain collectively with the duly designated rep- resentative of our employees, or in any like or related manner, interfere with, restrain, or coerce our employees in the exercise of their right to self-organiza- tion, to form labor organizations, to join or assist Steelworkers or any other labor organization of our employees, to bargain collectively through representa- tives of their own choosing, or to engage in other concerted activities for the purposes of mutual aid or to refrain from any or all such activities. All our employees are free to become or remain, or refrain from becoming or remaining, members of the above named or any other labor organization. H. K. PORTER COMPANY, INC., Employer. Dated------------------- By------------------------------------------- (Representative) (Title) 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, Sixth Floor, 707 North Calvert Street, Baltimore, Maryland, Telephone No. 752-8460, Extension 2100, if they have any question concerning this notice or compliance with its provision. J. J. Hagerty, Inc. and Peter Batalias Nassau and Suffolk Contractors' Association, Inc. and Garrett Nagle and Employer-Members of Nassau and Suffolk Contrac- tors' Association , Inc., listed in Appendix A, Parties in Interest J. J. Hagerty, Inc. and Thomas Eichacker John C. Peterson Construction Co. and William Herbert Wilkens Nassau and Suffolk Contractors ' Association , Inc. and Its Employer-Members Listed in Appendix "A"; Welfare Fund of Local 138 , International Union of Operating Engineers, AFL- CIO, and Trustees William C. DeKoning, Girard Douglas, John Gunning, Verner Sofield , John Buchanan , Edwin Regnell, Jr., Paul Roche and Herman Switzer and Robert Christensen and Local 138 , International Union of Operating Engineers, AFL- CIO; Building Trades Employers Association of Long Island, Inc., and Its Employer-Members Listed in Appendix "B," Parties in Interest Local 138 , International Union of Operating Engineers, AFL- CIO and Peter Batalias and Garrett Nagle and Thomas Eichacker and William Herbert Wilkens and Nassau and Suf- folk Contractors' Association, Inc. and Its Employer-Members Listed in Appendix A, and Building Trades Employers Associa- tion of Long Island , Inc., and Its Employer-Members Listed in Appendix B, Parties in Interest Local 138, International Union of Operating Engineers, AFL- CIO and Robert Christensen and Nassau and Suffolk Contrac- tors' Association, Inc., and Its Employer-Members Listed in 153 NLRB No. 116. 1376 DECISIONS OF NATIONAL LABOR RELATIONS BOARD Appendix "A"; and Building Trades Employers Association of Long Island , Inc., and Its Employer-Members Listed in Appen- dix "B," Parties in Interest Local 138, International Union of Operating Engineers, AFL- CIO; and Welfare Fund of Local 138, International Union of operating Engineers, AFL-CIO and Its Trustees William C. DeKoning, Girard Douglas , John Gunning, Verner Sofield, John Buchanan , Edwin Regnell , Jr., Paul Roche and Herman Switzer and Robert Christensen and Nassau and Suffolk Con- tractors' Association, Inc., and Its Employer-Members Listed in Appendix "A" and Building Trades Employers Association of Long Island , Inc., and Its Employer -Members Listed in Ap- pendix "B ," Parties in Interest . Cases Nos. 3-CA-6301, 2-CA- 6302, 2-CA-6323, 2-CA-6376, ?-CA-7474, 2-CB-2423, - CB-2424, 2-CB-2440, 2-CB-2472, 2-CB-2931, and 2-CB-2948. July 9, 1965 SUPPLEMENTAL DECISION AND ORDER On October 31, 1962, the National Labor Relations Board issued its Decision in the above-entitled proceeding,' finding that the Respondent Employers and the Respondent Union had violated various sections of the National Labor Relations Act, as amended, and issued a remedial order based on such findings. In its original Decision, the Board found, inter alia, that the Union's hiring hall was discriminatorily operated in that regular union members were given preference in job referrals over permit men and ordered the Respondent Union to refund all permit fees paid by permit men during the pertinent periods. On appeal to the Second Circuit Court of Appeals,2 the court rejected the Board's finding of "blanket" discrimination against non- members in the operation of the hiring hall, but did find "some dis- crimination" against nonmembers. The court also found that the amount of the permit fees charged nonmembers for use of the hiring hall was excessive and remanded the case to the Board for the purposes of determining, ... what proportion of the fees which were paid were reasonably related to the value of the services provided by the union, having 1139 NLRB 633. 2 N.L.R.B. v. Local 138, International Union of Operatting Engineers , AFL-CIO (J. J. Hagerty, Inc .), 321 F 2d 130 (C.A 2), affirming in part, reversing in part, and remand- ing in part. J. J. HAGERTY, INC. 1377 in mind also the cost to the union of performing such services. Any excess over that amount could properly be ordered returned to the men who paid it.2a '-The Board will, of course , have in mind our rejection of the finding of blanket discrimination in determining whether such an order is warranted On September 13, 1963, this case was remanded for hearing to deter- mine the proportion of permit fees which should be returned to the men who had paid them. On August 19, 1964, Trial Examiner Frederick U. Reel issued his Supplemental Decision recommending that the Respondent Union refund $3.50 of every $10 monthly permit fee received during the pertinent period, as set forth in the attached Trial Examiner 's Supplemental Decision. Thereafter, the Respondent Union filed exceptions to the Trial Examiner's Supplemental Decision and a supporting brief. The Gen- eral Counsel filed a brief in support of the Trial Examiner's Supple- mental Decision. Pursuant to the provisions of Section 3 (b) of the Act, the Board has delegated its powers in connection with these cases to a three-member panel [Chairman McCulloch and Members Fanning and Jenkins]. The Board has reviewed the rulings made by the Trial Examiner at the supplemental hearing and finds that no prejudicial error was com- mitted. The rulings are hereby affirmed. The Board has considered its original Decision, the decision of the Second Circuit Court of Appeals, the Trial Examiner's Supplemental Decision, the exceptions and briefs, and the entire record in these cases, and hereby adopts the findings, conclusions, and recommendations of the Trial Examiner with the following additional comments. In light of the supplemental hearing and findings of the Trial Examiner, we conclude, in agreement with the court, that the permit fee charged here was excessive. We have considered the various items found by the Trial Examiner to be properly chargeable to the opera- tion of the hiring hall and the policing of existing contracts, and, with- out necessarily endorsing the classification of each and every item, we find that the formula urged by the General Counsel and adopted by the Trial Examiner is an acceptable method of determining the costs chargeable to the permit men for the use of the hiring hall. We also concur in the Trial Examiner's view that for purposes of administra- tive convenience , the $3.50 ordered refunded is proper because it is unnecessary and to a certain extent, impracticable, to determine with greater precision the exact amounts due or to vary the amount of 796-027-66-v of 153-88 1378 DECISIONS OF NATIONAL LABOR RELATIONS BOARD refunds during each of the years here involved. Accordingly, we agree that the Respondent Union should refund $3.50 of every $10 permit fee received during the pertinent periods .3 ORDER Pursuant to Section 10(c) of the National Labor Relations Act, as amended, the National Labor Relations Board hereby adopts as its 'Order the Supplemental Order of the Trial Examiner, and orders that the Respondent Union, Local 138, International Union of Operating Engineers, AFL-CIO, its officers, agents, and representatives, shall take the action set forth in the Trial Examiner's Supplemental Order. 3In making the determination herein, we have been mindful of the court's rejection- -which we have accepted-of our earlier finding that there was blanket discrimination against permit men. TRIAL EXAMINER'S SUPPLEMENTAL DECISION STATEMENT OF THE CASE This proceeding came before Trial Examiner Frederick U. Reel by direction of -the Board pursuant to a remand ordered by the United States Court of Appeals for the Second Circuit. Prior events in this matter are summarized at 139 NLRB 633 and 321 F. 2d 130. The Board in the prior stages of this proceeding had ordered -the Respondent Union to reimburse nonmembers of the entire amount they had paid as permit fees for the use of the Union's hiring hall. The court of appeals modified -this order, and remanded the matter to the Board, stating. The Board should -consider on remand what proportion of the fees which were paid were reasonably related to the value of the services provided by the union, having in mind also the cost to the union of performing such services. Any excess over that amount could properly be ordered returned to the men who paid it. The matter thus remanded was heard in New York City on November 26 and 29, 1963, and-following an adjournment occasioned by the Union's expressed desire to apply to the court of appeals for a clarification of the remand and by subpena ,enforcement proceedings instituted by General Counsel-on April 28, 1964. After the hearing briefs were received from General Counsel and the Union. Upon the entire record, and after due consideration of the briefs, I make the following: FINDINGS AND CONCLUSIONS 1. THE CONFLICTING VIEWS AS TO THE INTENTION OF THE COURT OF APPEALS General Counsel and the Union differ sharply as to the meaning of the court of appeals' remand in this case. According to General Counsel, the Board is directed to ascertain the fair value of the hiring hall services, and to refund to the permit men any excess they paid over that sum. According to the Union, the permit men are to be charged the fair value of all the services they received from the Union. The Union urges that the hiring hall costs cannot reasonably be separated from its other expenses, and emphasizes that permit men received all the benefits given union members, except for the right to attend union meetings, a privilege they did not desire. The short answer to this issue is that I am bound by the Board's interpretation of -the remand, which accords with that of the General Counsel. The Union's conten- iion that all its expenses redound to the benefit of the permit men as well as to the J. J. HAGERTY, INC. 1379 benefit of the members may well be accurate in a long-range view (although it takes a rather doctrinaire view of labor solidarity to find benefit to nonmembers in such matters as convention expenses, members' death benefits, goodwill contributions to other unions, and litigating this and related cases before the Board), but the only expense for which the Union may lawfully charge the permit men is for "its services as an employment agency" (321 F. 2d at 135). The other services the Union ren- ders permit men are services it renders as their statutory bargaining representative, and as to this permit men are "free riders" (The Radio Officeis' Union of the Com- mercial Telegraphers Union, AFL (A. H. Bull Steamship Company) v. N.L.R B., 347 U.S. 17, 41), as the Union had no union-security clause in its contract which would have required nonmembers to pay the equivalent of dues in return for the Union's services. However, as appears below, General Counsel has urged a more lenient view of the Union's liability here, and is permitting the Union to claim as allocable to the hiring hall all union expenses except those which are "institutional" in char- acter; i.e , expenses incurred by the Union as an organization rather than in the course of making or policing collective-bargaining agreements. See Local 825, International Union of Operating Engineeis, AFL-CIO (H. John Homan Company), 137 NLRB 1043, 1044, 1046-1047; Galveston Maritime Association, Inc, et al., 139 NLRB 352, 354-355. II. GENERAL COUNSEL'S CALCULATIONS AS TO THE AMOUNT TO BE REFUNDED General Counsel in his brief submitted detailed calculations showing the Union's expenses, and explaining which amounts, in General Counsel's view, might be fairly allocated to the costs of the hiring hall. The Union, although invited, and indeed urged, to submit a reply brief setting forth any contrary views as to the accounting issues involved, failed to do so, but rested on its opening brief, which set forth the theory, rejected above, that all the Union's expenses redounded to the equal benefit of members and permit men I am attaching hereto as Appendixes A through H the several computations submitted by General Counsel. Briefly stated, General Counsel analyzed the Union's annual financial statements to ascertain which expenses were, in his judgment, allocable to the hiring hall He divided these expenses in each year by the number eligible to use the hiring hall (union members plus permit men), and the quotient represented the cost per man of the hiring hall in that year. General Counsel therefore urges that the permit men be refunded for each year the difference between the permit fees (normally $10 per month or $120 per year) and the cost of the hiring hall per man as thus computed The critical factor in these calculations is the determination of what expenses are fairly allocable to the hiring hall. General Counsel has permitted the Union to claim all its office expenses (rent, salaries, telephone, publication, stationery, pay- roll taxes, etc.), as allocable to the hiring hall, but has deducted the per capita taxes which the Union paid to its International, other assessments imposed by the Inter- national, expenses connected with litigating this case and other related cases before the Board, and other expenses incurred by the Union as an institution rather than as a bargaining agent; e.g., expenses of meetings, dinners, and conventions, contribu- tions to other organizations, and the like. Although the period embraced by the appendixes attached hereto covers 6 fiscal years (the Union's fiscal years ending June 30, 1958, through June 30, 1963, inclu- sive), only the last 4 of those are involved to any appreciable extent. The fiscal year ending June 30, 1958, includes only 3 weeks (June 9-30) within the 6-month limtations period, as the charge was not filed until December 9, 1958. Also, the Union collected no permit fees between August 1, 1958, and April 30, 1959. Hence, refunds are due only for permit fees paid after June 9, 1958, until August 1, 1958, and also for permit fees paid from May 1, 1959, to June 30, 1963; no permit fees were collected after July 1, 1963. In the fiscal year ending June 30, 1960, General Counsel would disallow as unre- lated to the hiring hall approximately $54,000 of the Union's total expenses of $206,000 The total disallowed includes some $36,000 paid to, or assessed by, the International; the balance is for conventions, conferences, expenses of union meet- ings, and other "institutional" expenses (such as tickets to dinners of other organi- zations) not relevant to job opportunities for nonmembers, or even to their contin- 1380 DECISIONS OF NATIONAL LABOR RELATIONS BOARD ued employment or subsequent job opportunities . In the fiscal year ending June 30, 1961 , General Counsel would disallow approximately $75,000 of the $225,000 expenses , including approximately $46,000 paid to the International , $ 10,000 for conventions , nearly $4 ,000 for "tickets and ads," over $2,000 for entertainment, and over $3 ,500 for the National Labor Relations Board litigation . In the next fiscal year General Counsel would disallow $75 ,000 of the $238,000 expenses , including $43,500 paid to the International , $ 10,000 for conventions , $ 6,000 for "tickets and ads," and $6,600 for members ' death benefits and members ' pins, to name two items which also figure, in smaller amounts , in the other years. In the last fiscal year in question the disallowed expenses ($ 85,000 out of $250 ,000) include over $ 37,000 paid to the International , nearly $15,000 for conventions , approximately $7,500 for "tickets and ads," and nearly $8,500 for "NLRB expenses ," to name the leading items. In my judgment , General Counsel has been more than fair to the Union in per- mitting it to allocate to the hiring hall many of the expenses reflected in the attached appendixes . For example , the annual salaries in each of these years exceeded $70,000, and it might well be argued that not all the salaries , and not all the miscellaneous office expenses , should be charged to the hiring hall services . In adopting , as I here- with do, the annual allocations recommended by the General Counsel , I do so with full awareness that a result far harsher to the Union would be fully justified under the terms of the remand. I do not, however, fully adopt General Counsel's final computations as reflected in Appendixes G and H. In my judgment , General Counsel draws the line too precisely in computing the refund per permittee at $42 in 1 year and $44 in another . Admin- istrative difficulties are also involved in determining the amounts for the first 2 "partial" years. It should be remembered in proceedings of this nature that "Cer- tainty in the fact of damages is essential . Certainty as to the amount goes no further than to require a basis for a reasoned conclusion " Palmer v. Connecticut Ry. & Lighting Co., 311 U .S. 544, 561 . The record in this case shows that the permittees obtained their permits by paying $ 10 each month or $120 per year. The record further shows that, although there is some minor variation from year to year, approximately $6.50 of this $ 10 was fairly allocable to the cost of the hiring hall. It seems to me preferable as an administrative matter, and essentially more equitable, to award a flat sum per man rather than to vary the amount by a few cents from year to year, depending on the refinements of the financial statement for that year. I shall therefore recommend that the Union reimburse each permit man who paid for permits after June 9, 1958 , at the rate of $3.50 for each $10 paid . As provided in the Board 's original Order in this case , 139 NLRB at 639-640, 641-642, I shall recommend that interest be paid on the amount due in accordance with the formula there prescribed. SUPPLEMENTAL ORDER Upon the basis of the foregoing findings and conclusions and upon the entire record in the case, I recommend , pursuant to Section 10(c) of the National Labor Relations Act, as amended , that the Respondent Union, Local 138, International Union of Operating Engineers , AFL-CIO , its officers , agents, and representatives, shall: ( 1) Reimburse all individual nonmembers for permit or service fees collected or exacted from them as a condition of referral or employment between June 9, 1958, and July 1, 1963, at the rate of $3.50 for each $ 10 collected or exacted , with interest computed at the rate of 6 per cent per annum on the basis of separate calendar quar- ters, with the interest to begin running as of the last day of the calendar quarter for moneys due in that calendar quarter until compliance with the Order is achieved. (2) Notify the Regional Director for Region 2, in writing , within 20 days from the date of the receipt of this Decision , what steps the Respondent has taken to com- ply herewith.' 'In the event this Recommended Order is adopted by the Board , this provision shall be modified to read, "Notify the Regional Director for Region 2, in writing , within 10 days from the date of this Order , what steps the Respondent has taken to comply herewith " J. J. HAGERTY, INC. APPENDIX A FISCAL YEAR ENDED JUNE 30, 1958 1381 Expense Total amount Amount apportionable Per Capita Tax--------------------------------------------------------- Salaries and Expense Allowances $27,784 50 W C. DeKonmg---------------------------------------------------- 17,300 00 $17,300 00 V Sofield----------------------------------------------------------- 12,100 00 12,100 00 C. Britton---------------------------------------------------------- 12,100.00 12,100 00 F Mahedy---------------------------------------------------------- 1,820 00 1,820.00 J. Gunning---------------------------------------------------------- 13,100.00 13,100.00 G. Douglas---------------------------------------------------------- 13,100 00 13,100.00 E Revere ----------------------------------------------------------- 3,950.00 3,950.00 Auto Expenses------------------------------------------------------ Good and Welfare Expenses 3,028 53 3,028.53 Travel and Hotels-NLRB Meetings________________________________ 8,520 32 ---------------- Stenographic Services-NLRB Hearings---------------------------- 3,811 95 ---------------- Tape Recordings ---------------------------------------------------- 92 60 ---------------- Honest Ballot Election Fee__________________________________________ 801 98 ---------------- New York State IUOE_____________________________________________ 912 00 ---------------- Central Trades and Labor Council---------------------------------- 48 00 ---------------- Building Construction Trades Council______________________________ 288 00 ---------------- Meeting Expense---------------------------------------------------- 728 40 ---------------- Job Reports --------------------------------------------------------- 534 00 534 00 Union Publication -------------------------------------------------- 2,314 21 2,314 21 Dinners 1,105.00 ---------------- Conventions -------------------------------------------------------- 1,000.00 ---------------- Strike Expense------------------------------------------------------ 476 25 476.25 Subscriptions, Tickets, etc------------------------------------------ 1, 425 00 ---------------- Flowers ------------------------------------------------------------- 400 00 ---------------- Claim paid to G Nagle--------------------------------------------- 231 54 ---------------- Sundry-------------------------------------------------------------- General Expenses. 314 54 314 54 Rent ---------------------------------------------------------------- 2,400 00 2,400 00 Stationery, printing, postage---------------------------------------- 2,308 73 2,308.73 Telephone ----------------------------------------------------------- Legal NLRB Hearing_______ ---------------- $3,750 00 1,669 49 1, 669.49 General------------------------------------------ 5,000 00 8,750 00 5,000.00 Accounting---------------------------------------------------------- 2, 725 00 2,725 00 Welfare Fund 138 Contrib. for Employees___________________________ 2,626 00 2,626 00 Payroll Taxes ------------------------------------------------------- 1,574 25 1,574 25 Christmas Bonuses -------------------------------------------------- 1,585 00 1, 585 00 Compensation Insurance___________________________________________ 157.58 157.58 Bonding Charges--------------------------------------------------- 97.50 97.50 Office Suppl ies------------------------------------------------------ 141.90 141 90 Safe Deposit Box---------------------------------------------------- 6 60 6 60 Depreciation of Sofield's Auto (TR 68, 16-10) -------------------------- 500 00 500 00 Depreciation of Office Furn. and Equip (TR. 66, 1. 3-9, 68 1.12-13)------_---_ 6,500 00 6,500.00 Total --------------------------------------------------------------Total-------------------------------------------------------------- 158,328 87 107, 429.58 a As per General Counsel' s Exhibit No. 2A, unless otherwise indicated. 1382 DECISIONS OF NATIONAL LABOR RELATIONS BOARD APPENDIX B FISCAL YEAR ENDED JUNE 30, 1959 Expense e Total amount Amount apportionable Per Capita Tax---------------------------------------------------------- Salaries, Expense Allowances, etc $25, 058.07 W C DeKonmg---------------------------------------------------- 17, 300.00 $17,300 00 V. Sofleld----------------------------------------------------------- 13, 075.00 13, 075 00 J Gunning---------------------------------------------------------- 13,100.00 13,100 00 G Douglas---------------------------------------------------------- 13,100 00 13,100 00 F. Mahedy---------------------------------------------------------- 1,820 00 1,820.00 E. Revere----------------------------------------------------------- 4, 925 00 4,925 00 T O'Donnell ------------------------------------------------------- 8,350 00 8,350 00 C. Britton----------------------------------------------------------- Good and Welfare Expenses 100 00 100 00 Honest Ballot Assn-------------------------------------------------- 168 00 ---------------- Stenographic Services _______________________________________________ 1,600 50 ---------------- Building Dedication Exp-- ---------- -------------------------------- 18, 152 97 ---------------- Travel --------------------------------------------------------------- 1,020.00 ---------------- Affairs, Dinners, etc------------------------------------------------- 2,535.00 ---------------- Dues-Bldg and Const Trades Coun------------------------------- 1,198 00 ---------------- Union Publications-------------------------------------------------- 3,392 95 3, 392 25 Job Reports--------------------------------------------------------- 377 25 377 25 N Y State IUOE Conference--------------------------------------- 2, 000 00 ---------------- Negotiating Expense---- -------------------------------------------- 1,716 19 1,716.19 Conventions--------------------------------------------------------- 1,930 00 ---------------- N.Y State IUOE Dues_____________________________________________ 858 00 ---------------- Flowers--- ---------------------------------------------------------- 302.50 ---------------- Picketing------------------------------------------------------------ 4, 225 34 4,225 34 Sundry-------------------------------------------------------------- General Expenses- 131 72 131.72 Legal---------------------------------------------------------------- 7, 014 37 7,014 37 Accounting---------------------------------------------------------- 3,000 00 3, 000 00 Rent---------------------------------------------------------------- 4,500 00 4,500 00 Payroll Taxes ------------------------------------------------------- 1, 743 34 1,743 34 Employees' Welfare-------------------------------------------------- 3,111 00 3,111 00 Stationery and Supplies_____________________________________________ 2,359 00 2,359 00 Telephone----------------------------------------------------------- 2, 473 04 2,473 04 Insurance ----------------------------------------------------------- 428, 98 428 98 Sundry------------------------------------------------------------- Business Agent Expense 469 03 469 03 Conferences --------------------------------------------------------- 7,009 11 ---------------- Transportation ------------------------------------------------------ 1,828.73 ---------------- Auto---------------------------------------------------------------- 3, 814 25 3,814 25 Christmas Expense -_--_-_--_ ---------------------------------- 1,485 00 1,485 00 Moving Expense--------------------------------------------------------- 272.75 ---------------- Office Maintenance----------------------------------------------------- 450 51 450.51 Loss on Redemption U S Bonds---------------------------------------- 78 13 ---------------- Death Benefits---------------------------------------------------------- 1, 200 00 ---------------- Depreciation of Sofield's Auto (TR 69, 1. 6-10)-------------------------- 500 00 500 00 Depreciation of Office Furn. & Equip (TR. 66, 1 3-9, 68 , L. 12-13)-____- 6,500 00 6,500 00 Total--------------------- ------------------------------- 184, 673.73 119,734 72 a As per General Counsel's Exhibit No 2B, unless otherwise indicated J. J. HAGERTY, INC. 1383. APPENDIX C FISCAL YEAR ENDED JUNE 30, 1960 Expense Total amount Amount apportionable Per Capita Tax--------------------------------------------------------- Salaries W C De%onmg---------------------------------------------------- V. Sofield----------------------------------------------------------- J Gunning---------------------------------------------------------- G Douglas---------------------------------------------------------- T O'Donnell-------------------------------------------------------- E. Revere------------ ------------------------------------ F. Mabedy ---------------------------------------------------------- Business Agents' Expenses: Gas and Oil--------------------------------------------------------- Auto Repairs and Maintenance------------------------------------- Telephone ----------------------------------------------------------- Meetings and Negotiations__________________________________________ Conventions--------------------------------------------------------- Transportation----------------------------------------------------- Tolls General and Administrative Expenses Strike Expense------------------------------------------------------ Assessment-IUOE Monitor________________________________________ Legislative Conference_______________________________________________ Union Publication--------------------------------------------------- Dues-Affiliated Organizations______________________________________ Stenographic Services ----------------------------------------------- Apprentice School--------------------------------------------------- Tickets and Affairs-------------------------------------------------- Job Reports --------------------------------------------------------- Flowers Identification Stickers_______________________________________________ Legal---------------------------------------------------------------- Accounting---------------------------------------------------------- Rent Payroll Taxes ------------------------------------------------------- Stationery and Postage______________________________________________ Telephone----------------------------------------------------------- Insurance --- ------------------------------------------------------- Office Supplies ------------------------------------------------------ Employees' Welfare------------------------------------------------- Christmas Expense-------------------------------------------------- Auto Registrations-------------------------------------------------- Bond Delivery Charge---------------------------------------------- Sundry -------------------------------------------------------------- Loss on Sale of Autos and Bonds________________________________________ Death Benefits Deprec. of Sofleld's Auto (supra)________________________________________ Deprec. of Office Furn. and Equip (supra)______________________________ Total $31, 510 01 17, 300 00 13, 400 00 13,100.00 13,100 00 13,100 00 5, 250 00 1, 820 00 $17.300 00, 13,400 00 13,100 00 13,100 00 13,100 00 5,250 00 1.820 00 3,176 07 3, 076 01 708 25 10,533.29 4,536 46 1, 238 67 184.20 3. 176 07 3 076 01 708 25 10,533 29- ---------------- ---------------- 184 20, 9,338 77 9,338 77- 4,618 65 ________________ 2,800.00 ---------------- 2,501.12 2,501 12. 1,529 00 -- -------------- 1,446 35 ---------------- 500.74 ---------------- 2, 925 00 ______________- 457 00 457 00' 405 00 ---------------- 256 62 ---------------- 8,000 00 8,000 00' I'M 00 1, 925 00- 6,000 00 6,000 00 3,182 46 3 , 182 46' 1,345 79 1,345 79' 2,399 49 2,399 49 , 2,027 01 2,027 01 1, 261 78 1, 261 78 3,730 50 3,730.50- 1,485 00 1,485 00 - 125 75' 125 75, 6 00 6 00' 88 07 88 07 6,356 64 6,356 64 2,150 00 ---------------- 500 00 500 00, 6,500 00 6,500 00' 205,894 70 151,978 20, G As per General Counsel's Exhibit No. 2C, unless otherwise indicated. 1384 DECISIONS OF NATIONAL LABOR RELATIONS BOARD APPENDIX D FISCAL YEAR ENDED JUNE 30, 1961 Expense s Total amount Amount apportionable Per Capita Taxes---- ---------------------------------------------------- Business Agents Salaries and Expenses $46,167.56 W. C. Degoning ---------------------------------------------------- 17,600 00 $17,600 00 John Gunning------------------------------------------------------- 13,350 00 13, 350.00 Girard Douglas------------------------------------------------------ 13,350 00 13, 350.00 Thomas O'Donnell ------------------------------------------------- 13,350 00 13,350 00 Auto-- -------------------------------------------------------------- 7,252 52 7,252.52 Conventions and Conferences --------------------------------------- 9, 643 94 ---------------- Telephone----------------------------------------------------------- 1,085 31 1,085 31 Salanes (TR. 64,1.13-66,1.2): V. Sofield---------- -------------------------------------------------- 13,900 00 13,900 00 E. Revere- ---------------------------------------------------------- 5,300 00 5,300 00 Mahedy----------- -------------------------------------------------- 1,655 00 1,655 00 Payroll 'l;axes---- ------------------------------------------------------ 2, 516.29 2, 516.29 Rent------------------ -------------------------------------------------- 7,200.00 7,200.00 Telephone and Telegraph ----------------------------------------------- 2,683 59 2,683.59 Accounting-------------------------------------------------------------- 1,925 00 1,925.00 Legal-------------------------------------------------------------------- 11, 741.00 11, 741.00 Steno Service------------------------------------------------------------ 1,375 00 ---------------- Employees' Welfare Contributions --------------------------------------- 3,734 25 3,734 25 N.L.R B. Minutes ----------------------------------------------------- 3,674.13 Fidelity Bond and Insurance-------------------------------------------- 1,242 41 1,242.41 Printing Postage and Office Exp------- --------------------------------- 6,694.63 6,694 63 Executive Board Expenses ---------------------------------------------- 1,592 78 1,592 78 Negotiating and Strike Assistance--------------------------------------- 1,079 80 1,079.80 Publications------------------------------------------------------------- 2,723.04 2,723 04 Tickets and Ads--------------------------------------------------------- 3,882.50 ---------------- Dues-affihates ---------------------------------------------------------- 1, 632 00 ---------------- Donations--------------------------------------------------------------- 1, 646 50 ---------------- Members' Death Benefit Paymts ---------------------------------------- 1,950 00 ---------------- Entertainment ---------------------------------------------------------- 2,398 05 ---------------- Labor Day Expenses ---------------------------------------------------- 936 95 ---------------- Conventions and Conferences ------------------------------------------- 600.00 ---------------- Apprentice Welding School ---------------------------------------------- 500.00 ---------------- Election Expenses ------------------------------------------------------- 360.04 ---------------- Florist----- -------------------------------------------------------------- 320 00 ---------------- Decals------------------------------------------------------------------ 254.80 ---------------- Members Gold Cards-------- -------------------------------------------- 200.60 ---------------- Loss on Autos traded-in ------------------------------------------------- 4,435.92 4,435.92 Depreciat ion-Autos---- ------------------------------------------------ 8,115 11 8,115 11 Depreciation-Office Furniture------------------------------------------ 6,870 40 6,870 40 Total-------------------------------------------------------------- 224,929 12 149, 397.05 n As per General Counsel ' s Exhibit No. 2D , unless otherwise indicated. J. J. HAGERTY, INC. APPENDIX E FISCAL YEAR ENDED JUNE 30, 1962 1385 Expense Total amount Amount apportionable Per Capita Taxes-------------------------------------------------------- Business Agents' Salaries and Expenses. $43,553 81 W C DeKonmg---------------------------------------------------- 18,450 00 $18,450 00 J. Gunning----------------------------------------- 14, 250 00 14, 250 00 T O'Donnell-------------------------------------------------------- 14, 250 00 14, 250 00 G. Douglas---------------------------------------------------------- 14, 250 00 14,250 00 I Duffy------------------------------------------------------------- 3, 300 00 3,300 00 Auto---------------------------------------------------------------- 8,539 44 8.539 44 Conventions and Conferences --------------------------------------- 9,997 37 ---------------- Telephone ----------------------------------------------------------- 2, 717 24 2,717 24 Travel,etc --------------------------------------------------------- Operating Expenses Salaries (Tr 64, 1 13-66, 12) 429 42 ---------------- V. Sofleld----------------------------------------------------------- 14,800 00 14,800 00 E Revere ----------------------------------------------------------- 6, 700 00 6, 700 00 Mahedy------------------------------------------------------------ 1.870 00 1, 870 00 Payroll Taxes--------------------------------------------------------- 2,888 69 2, 888 69 Steno Service------------------------------------------------------------ 747 50 ---------------- Rent-------------------------------------------------------------------- 8, 400 00 8,400.00 Telephone--------------------------------------------------------------- 2, 743 56 2,743 56 Accounting-------------------------------------------------------------- 2, 075 00 2.075 00 Legal-------------------------------------------------------------------- 15,329 72 15,329 72 Printing, Postage and Office Supplies ------------------------------------ 3, 505 33 3, 505 33 Fidelity Bond and Insurance-------------------------------------------- 1, 763 53 1,763 53 Executive Board Expenses ---------------------------------------------- 850 00 850 00 Christmas--------------------------------------------------------------- 465 40 465 40 Publications------------------------------------------------------------- 3, 313 18 3,313 18 Dues-AfShates-------------------------------------------------------- 1,033 00 ---------------- Conventions and Conferences------------------------------------------- 1, 200 00 ---------------- Ads and Tickets --------------------------------------------------------- 5, 944 00 ---------------- Employees' Welfare and Pens Contnb---------------------------------- 5, 219 10 5, 219 10 Members' Death Benefit Payments------------------------------------- 4,100 00 ---------------- Florist------------------------------------------------------------------- 776 75 ---------------- Labor Day Parade------------------------------------------------------ 170.00 ---------------- Decals------------------------------------------------------------------- 255 69 ---------------- Donations-------------------------------------------------------------- 1,165 00 ---------------- Plaque------------------------------------------------------------------ 500 00 ---------------- Soft Ball Team---------------------------------------------------------- 1,482 10 ---------------- Strike Assistance -------------------------------------------------------- 413 90 413.90 Members' Pins ---------------------------------------------------------- 2,500 00 ---------------- Adjustment of1959'Bldg Corp. profit----------------------------------- Depreciation 1,725 60 ---------------- Office Furn. and Equip. (Tr. 67, 1 17)------------------------------- 6,500 00 6,500 00 Autos--------------------------------------------------------------- 10, 190 22 10,190.22 Sundry--------------------------------------------------------------- 333 03 333 03 Total-------------------------------------------------------------- 238,697 58 163,117 34 As per General Counsel's Exhibit No. 2E, unless otherwise indicated. 1386 DECISIONS OF NATIONAL LABOR RELATIONS BOARD APPENDIX F FISCAL YEAR ENDED JUNE 30, 1963 Expense Total amount Amount apportionable Per Capita Taxes ------------------------------------------------------- Business Agents Salaries and Expenses $37, 360.08 W C. DeKoning ---------------------------------------------------- 18,700 00 $18,700 00 J. Gunning-- -------------------------------------------------------- 14, 500 00 14, 500 00 T. O'Donnell----------- -------------------------------------------- 14,500 00 14,500 00 G. Douglas--------------------------------------------------------- 14,500 00 14, 500 00 J. Duffy----------------- -------------------------------------------- 14, 500 00 14,500 00 Auto---------------------------------------------------------------- 7, 781 24 7,781 24 Conventions and Conferences ------------------------------------------- 14, 808 55 ---------------- 'Telephone--------------------------------------------------------------- 3,01974 3,019.74 Travel, etc -------------------------------------------------------------- Operating Expenses Salaries (Tr. 64 , 1.13-66, 1.2): 190 87 V Sofield------ ------------------------------------------------------ 7,400 00 7, 400 00 E Revere --- -------------------------------------------------------- 10,700 00 10, 700 00 Office Clerks -------------------------------------------------------- 1,610 00 1,610 00 Payroll Taxes ----------------------------------------------------------- 3, 401 38 3,401 38 Publications ------------------------------------------------------------ 4,170 07 4,170 07 Dues-Affiliates --------------------------------------------------------- 2,446 00 ---------------- Tickets and Ads-------------------------------------------------------- 7,430 00 ---------------- Employees' Fringe Contrib---- ------------------------------------------ 7,862.30 7,862 30 Florist and Funeral Cards----------------------------------------------- 649 55 ---------------- Photos--- --------------------------------------------------------------- 140.00 ---------------- Members' Death Benefit Payments ------------------------------------- 3, 350 00 ---------------- Steno Service----------------------------------------------------------- 1,250 00 ---------------- Rent-- ------------------------------------------------------------------ 8,400 00 8, 400 00 Telephone and Telegraph ----------------------------------------------- 3,510 23 3,510 23 Accounting-------------------------------------------------------------- 2, 525.00 2, 525 00 Legal-- ------------------------------------------------------------------ 7,347.15 7,347.15 Printing, Postage and Office Exp---------------------------------------- 3,591 36 3,591.36 Soft Ball Team ---------------------------------------------------------- 3,319 00 ---------------- Insurance--------------------------------------------------------------- 1,707 91 1,707 91 Strike Assistance -------------------------------------------------------- 624 00 624.00 Labor Day Parade ------------------------------------------------------ 525 18 ---------------- Election Expense-------------------------------------------------------- 123.00 ---------------- Donations--------------------------------------------------------------- 2,871.10 ---------------- Entertainment ---------------------------------------------------------- 1,825 15 ---------------- NLRB Expenses-------------------------------------------------------- 8,405 21 ---------------- Executive and Examining Board Expenses ------------------------------ 1,800 00 1, 800 00 Members' Wallets and Decals-------------------------------------------- Depreciation 802.20 ---------------- Office Furn . and Equip. (Tr. 67, 1.17) ------------------------------- 6,500 00 6,500 00 Autos-------------- ------------------------------------------------- 8, 736 38 8,736 38 Total-------------------------------------------------------------- 252,882.65 167, 386.76 • As per General Counsel ' s Exhibit No . 2F, unless otherwise indicated. J. J. HAGERTY, INC. APPENDIX G AVERAGE NUMBER OF MEMBERS' AND PERMITTEES 1387 Members Fiscal 1958 Fiscal 1959 Fiscal 1960 Fiscal 1961 Fiscal 1962 Fiscal 1963 Beginning of Year------------------------------------ End of Year------------------------------------------ 1,209 1,232 1,232 1,378 1,378 1,455 1,455 1,601 1,601 1,697 1,697 1,837 Total------------------------------------------- 2,441 2,610 2,833 3,056 3,298 3,534 Average Members for Year--------------------------- Average Permittees 2---------------------------------- 1,221 450 1,305 450 1,417 450 1,528 450 1,649 450 1,767 450 Total Members and Permittees----------------- 1,671 1,755 1,867 1,978 2,099 2,217 ' See General Counsel's Exhibits Nos. 2A-2F. 2 Stipulation Tr. 74, 1.21-75, 1.23 APPENDIX H GENERAL COUNSEL'S COMPUTATION OF COST PER USER AND AMOUNT OF REFUND Fiscal Year Total Members and permittees Total apportionable costs Cost per user of referral system 1 Annual permit fee Refund per permittee 1958 S____________________________ 1,671 $107,429 58 $65 $120 $55 1959_____________________________ 1,755 119,734 72 69 120 251 1960-- --------------------------- 1,867 151,978.20 82 120 38 1961----------------------------- 1,978 149,397.05 76 120 44 1962----------------------------- 2,099 163,117.34 78 120 42 1963--- -------------------------- 2,217 167,386 76 76 120 2 44 1 Costs are rounded off to the next highest dollar. Actual computations are: 1958--------------------------------------------------------- $64.29 1959--------------------------------------------------------- 68.23 1960--------------------------------------------------------- 81.40 1961 --------------------------------------------------------- 75.53 1962--------------------------------------------------------- 77.71 1963--------------------------------------------------------- 75.50 2 No permit fees or service dues were collected from August 1, 1958, to April 30, 1959 (Tr. 76-77, 1.20). 3 No permit fees were collected after July 1, 1963. Virtually all permit men were admitted to membership on July 1, 1963 (Tr. 147-148). 4 The earliest charge herein was filed December 9, 1958. Since refunds of permit fees date from 6 months prior thereto, only 3 weeks of fees are refundable for fiscal year ended June 30, 1958.