Litton Industrial Products, Inc.Download PDFNational Labor Relations Board - Board DecisionsNov 14, 1975221 N.L.R.B. 700 (N.L.R.B. 1975) Copy Citation 700 DECISIONS OF NATIONAL LABOR RELATIONS BOARD Litton Dental Products Division of Litton Industrial Products, Inc. and Warehouse, Industrial & Serv- ice, Employees Union, Local 752. Cases 8-CA- 8830 and 8-RC-9732 November 14, 1975 DECISION, ORDER, AND DIRECTION OF SECOND ELECTION By MEMBERS FANNING, JENKINS, AND PENELLO On June 16, 1975, Administrative Law Judge Nancy M. Sherman issued the attached Decision in this proceeding. Thereafter, Respondent filed excep- tions and a supporting brief. 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 Board has considered the record and the attached Decision in light of the exceptions and brief and has decided to affirm the rulings, findings,' and conclusions2 of the Administrative Law Judge and to adopt her recommended Order, as modified herein.3 Contrary to, our , dissenting colleague, we find that Respondent ` violated Section 8(a)(1) by soliciting and remedying employee grievances and promising and granting employees - coffeebreaks and telephone privileges 5 days after the Union demanded recogni- tion. Briefly, the facts show that, in late September 1974, Respondent moved its facilities involved herein from Cleveland, Ohio, to suburban Brookpark, Ohio. Between September 8 and October 8 about half of the employees quit. Sherry, Respondent's manager of retail distribution, noting the turnover, determined that it was excessive and was the reason the Brookpark operation never met company standards. He attributed these problems to Supervisor Frick and determined to replace him with Havas. Byram, Respondent's vice president of employee relations, who had become aware of the Brookpark turnover, and Sherry spoke on October 10 about the "problem" at Brookpark. Sherry told Byram that he was aware of the problem and planned to hire Havas subject` to Byram's interviewing him. Sherry asked Byram to visit Brookpark as soon as possible and to interview Havas. 1 Respondent has excepted to certain credibility findings made by the Administrative Law Judge. It-is the Board's established policy not to overrule an Administrative Law Judge's resolutions with respect to credibility unless the clear preponderance of all of the relevant evidence convinces us that the resolutions are incorrect. Standard Dry Wall Products, Inc., 91 NLRB 544 (1950), enfd. 188 F.2d 362 (C.A. 3, 1951). We have carefully examined the record and find no basis for reversing her findings. 2 In adopting the Administrative Law Judge's conclusion that the Respondent violated Sec . 8(a)(1) by granting privileges and benefits and 221 NLRB No. 98 Byram visited Brookpark on October 14. At this time, he interviewed Havas and spoke to employees to check morale and the supervisory situation. Employee Reaves told him that the reasons for the high turnover were poor supervision, wages, and the absence of coffeebreaks and phone privileges. He told her that if she would "sit tight. Things will be better . . . the problems would be taken care of .... Obviously, I can't do it today or overnight .. . give me some time ." He did not tell her it was company policy that employees could take coffee- breaks or that they could use the phone for personal calls, nor did he tell her when, if ever, such changes would take place. On October 17, upon Sherry's return to Toledo, Byram told Sherry that he agreed there was a supervisory problem at Brookpark, and gave a favorable report about Havas. Byram also said that a wage survey showed the Company was "out of line in that area" at Brookpark and related the employees' comments about telephone use and breaks. There- after, on October 18, Sherry made a firm offer to Havas, and, on October 30, Havas underwent orientation in Toledo. That afternoon, Sherry went to Brookpark and informed Frick he was being replaced. The next day, October 31, Havas joined Sherry in Brookpark and was introduced by Sherry to the employees. Havas told them a little about his background, said he would be spending time with them to learn their jobs, and asked their help in learning the functions of the Brookpark operation. Meanwhile, about mid-October, several, of the employees were planning to walk out because of working conditions, the absence of breaks and telephone privileges, and wages which they regarded as too low. The employees had previously com- plained to Frick about these matters, but had failed to receive a satisfactory response. When employee Wells got in touch with a representative of the Union, the representative said that "there was nothing that would protect [the employees] if [they] walked out on the job," and proposed a union organizing meeting . This union campaign began after Byram's October 14 visit to the Brookpark facility. On November 1, while Sherry was in Brookpark, Union Business Agent Freeman and Union Organiz- er Thomas came to Brookpark and made oral and written demands for recognition and negotiations to soliciting grievances , we do not adopt her Decision insofar as she indicates that Respondent 's motive is a critical element of an 8 (a)(1) violation. The test is whether Respondent engaged in conduct which , it may reasonably be said, tends to interfere with the free exercise of employee rights under the Act. The Cooper Thermometer Company, 154 NLRB 502, 503, fn. 2 (1965); American Freightways Co, Inc., 124 NLRB 146, 147 (1959) 3 The recommended Order and notice are clanfied to indicate that benefits granted to employees are not to be rescinded . Accordingly , we shall modify the Order and notice in this respect. LITTON DENTAL PRODUCTS Havas. Havas told them they would have to go through company headquarters in Toledo. That same day,- Sherry reported the incident to Byram in Toledo. The Union had also on November 1 sent registered letters- to Respondent's Toledo headquar- ters, demanding recognition, and had filed two representation petitions with the Board.4 On November 4, employee Adkins told Havas the employees were complaining about-the lack of breaks and phone privileges. Thereafter, Havas and Sherry held a meeting on November 6 and told the employees that they had two breaks a day, one in the morning at 10 and one in-the afternoon at 2; but that someone must cover the phones. The employees also were told that they could have phone privileges and any abuse would be dealt with on`an individual basis. In addition,-,Havas stated that- if any-employee had any questions or problems his door was always open. Havas, also told the employees what he expected of them workwise. Be ^ did not discuss the Union. However, between November 6 and the December 19 election, Respondent conducted several meetings urging employees to vote "No." In this regard, it is noted that -the Administrative Law Judge credited employee Adkins' ,testimony that after November 7 Havas said , "they didn't think that we needed a union, that we could get our -things done, without a union and specified, the fact that they didn't want one. . . . That we had had some problems, that they had been taken care of, that anyone that had any problems that they were free to come in'and talk over at any time and that anything that could be, done about them would be done." ' Our dissenting colleague concludes that Respon- dent 's conduct was not violative of the Act because it is clear to him that Respondent's conduct in granting benefits and 'inviting employee complaints was unrelated to the advent of the Union and would have occurred in any event : We disagree. Although we agree that the general-decision to grant coffeebreaks and phone privileges was made before the advent of the union campaign and was not in response to the Union's efforts, in view of- the evidence , and, for the reasons stated hereafter, we find that, the timing and nature of the privileges granted were in response to the union campaign and therefore were violative of Section 8(a)(1) of the Act. In determining whether solicitation of grievances and 'granting of benefits is a violation of Section 8(a)(1) of the Act, the Board has traditionally looked to the tuning of knowledge of the union ' campaign and the granting of benefits .5 When the timing of the 4 An election was subsequently conducted which the Union lost 8-4-withI challenged ballot. The Union filed objections which involve the same conduct alleged to be 8(axl) violations herein.'The representation case was consolidated with this case , and the Administrative Law Judge,'fin ding the 70,1' granting of benefits coincides with the origination of employee union activity, -then, absent an affirmative showing of some legitimate business reason for the timing, it is not unreasonable to draw the inference of improper motivation and improper interference with employee freedom of choice.6 There is no question that the timing of the granting of the coffeebreaks and telephone privileges immediately -followed knowledge of,the.union organizational campaign. In addition, nothing in the record indicates that prior to the Union's activities Respondent had contemplated that these changes were to be made at this particular time. In fact, when Vice President Byram told employee Reaves on October 14 that the employees' complaints would eventually be corrected, he did not say just when this would be done- or the time of day when breaks would be allowed. Havas' credited testimony clearly demonstrates that, although he was made aware by Byram of the fact that there was a problem with breaks and telephone privileges at the Brookpark facility, he did not consider making changes until after, the union demand on November 1. Thus, Havas stated that Byram, when discussing Litton's break policy, told Havas "he,might look into `it' when he got to Brookpark." Havas further testified that, when he began at, Brookpark, -he did not realize there was a problem and if there was a problem it was not one of major proportions. 'In addition, he said that during the first week following his October 31 take over at, Brookpark, he paid little attention to whether employees were taking breaks or not. Yet, just 5 days after the Union made its demand and 2 days after Adkins informed Havas of the employee complaints about breaks and telephone privileges, Havas changed both situations, invited employees to present their problems to him, and implicitly promised to correct them. Both Havas and his immediate supervisors were aware that there was- a problem with breaks and telephone privileges, but only when Respondent -learned that employees were unhappy enough to go to a union was the situation rectified. For these reasons and in these circumstances, we conclude that Respondent's announcement of and putting into effect workbreaks arid'telephone privi- leges, and inviting employees to present their grievance's with an express or implied company promise that they would be remedied, interfered-with the, employees' freedom of choice in violation. 'of Section 8(a)(1) of the ` Act. In view- of the above findings, we agree with' the Administrative Law Judge that the election held -on December 19 should violations, recommended a second election 5 ,The May Department Stores Company, 191 NLRB 928 (1971); Rotek, Inca porater4 194 NLRB 453 (1971). 6 'Ibid 702 DECISIONS OF NATIONAL LABOR RELATIONS BOARD be set aside and that a, second election should be directed. ORDER Pursuant ' to Section 10(c) of the National Labor Relations Act, as amended , the National Labor Relations Board adopts as its Order the recommend- ed Order of the Administrative Law Judge as modified below and, hereby orders that Litton Dental Products Division of Litton Industrial Products, Inc., Brookpark , Ohio, its officers , agents, successors, and assigns, shall take the action set forth in the said recommended Order, as so modified: 1. Add the following sentence at the end of paragraph 1(a):` "Provided, however , that nothing herein 'shall be construed as requiring Respondent to vary or abandon any economic benefit or any term or condition of employment which it has heretofore established." 2. 'Substitute the attached notice for that of the Administrative Law Judge. IT IS FURTHER ORDERED that the election held in Case 8-RC-9732 on December 19, 1974, be, and it hereby is, set aside, and that the case be remanded to the Regional Director- for Region 8 for the purpose of conducting a new election in the appropriate unit at` such time as he deems - the circumstances permit the free choice of a bargaining representative. [Direction of Second Election and Excelsior foot- note omitted from publication.] MEMBER JENKINS , dissenting: I am unable to agree with my colleagues that Respondent violated Section 8(a)(1) by granting employees coffeebreaks and telephone privileges and- soliciting , discussion of employee problems with management after learning of union organizing efforts at its Brookpark , Ohio, facility. Accordingly, I would reverse the Administrative Law Judge's finding,of the violation and certify , the results of the election. It is clear to me that Respondent's action in granting benefits and inviting employee complaints was unrelated to the advent of the Union and would have occurred in any event . For this reason, under well-established principles of Board law , Respon- dent's conduct was not violative of Section 8(a)(l)_ It is undisputed that Respondent became aware of a serious supervisory problem at Brookpark before it had any knowledge of union activity . The Brookpark facility was opened in September 1974 . Between September 8 and October 8 about half of its employees quit . Sherry, Respondent 's manager of retail distribution , concluded that this turnover was excessive, resulted from a supervisory problem, and early in October decided to replace its manager with Havas, subject to the approval of Byram,, Respon- dent's vice president in charge of employee relations. Both Sherry and Bryam were located in . Toledo, about 100 miles from Brookpark. Byram was - made aware of the problem in Brookpark by the receipt by mail of three personnel notices dated October 8 stating that three Brookpark employees had quit and by Sherry's advice of his plans to change supervisors . Byram visited Brook- park on October 14 to interview Havas and discuss the morale problem with employees. In his discus-' sions with employees Byram learned that among their complaints were , prohibitions against coffee- breaks and personal telephone' calls. Byram advised that it was company policy to have coffeebreaks and permit telephone privileges, promised ,that the prob- lems were being worked on and-would be corrected, and urged patience. After his return to Toledo , Byram on October 17 confirmed to Sherry the 'supervisory problem at Brookpark, advised him of employee complaints about telephone use and coffeebreaks , and gave a favorable report about Havas . Havas was hired on October 19, started to work on October ; 29, and underwent orientation at the Toledo headquarters on October 30 . At this briefing By-ram informed Havas that the Company's policy was to allow employees two coffeebreaks a day and to , permit reasonable personal use of company telephones. He also told Havas to look into this problem at Brookpark. On October 31 Havas replaced the manager at Brook- park , and was expected by Byram to correct the problems arising from the denial of work breaks and telephone privileges. On November 1 union representatives advised Havas by letter that the Union represented a majority of Respondent's employees and orally demanded recognition . There is no evidence that Respondent had any knowledge of union activity before November 1. Havas replied that he had no authority to recognize the Union and would contact company headquarters in Toledo. On, November 4 an employee, Adkins, spoke to Havas concerning complaints about lack of breaks and use of tele- phones , the two matters upon which Havas had been briefed at Toledo. There is no, evidence that the Union , was mentioned in this conversation. On November -6, 1 week after he was installed as manager at Brookpark, Havas called a meeting of Brookpark employees, discussed such matters as starting worktime and housekeeping, and advised employees that they would have two breaks a day and the privilege of using the telephone for personal calls. He also stated that if the employees had any questions or problems, his door was always open. There was no mention of the Union at this meeting. LITTON DENTAL PRODUCTS There is no evidence linking the announcement of the coffeebreak,, telephone, and open-door policies to the advent of the Union. The fact that the announce- ment came 5 days after the Union's demand for recognition does not support an inference that it was prompted by that demand, in the face of the Employer's manifest prior concern over these matters and its plain intent to remedy them at an early moment. Thus the announcement was made in implementation of a prior determination by manage- ment to correct employee morale problems which had resulted in excessive employee turnover . Before having any knowledge of union activities , manage- ment had learned of the employee - morale problems at Brookpark and their causes, promised to remedy them, replaced the manager, `advised the new manager of the company policies involved in the morale problems which were not being followed at Brookpark, and expected him to correct the prob- lems. The new manager 's correction of the coffee- break and telephone problems within a week after his arrival appears to .be an expected conclusion to these prior events rather than a response to union activity. His invitation to employees to discuss any' problems they might have is' a normal concomitant to the redress of employee morale problems. Accordingly, I would find no 8(a)(l) violation and would not set aside the election. APPENDIX NOTICE To EMPLOYEES POSTED BY ORDER OF THE NATIONAL LABOR RELATIONS BOARD An Agency of the United States Government After a hearing in which all parties had the opportunity to present their evidence, it has been decided that we broke the law in certain ways. We have been ordered to post this notice. We intend to carry out the order of the Board and abide by the following: WE WILL NOT announce or put into effect work breaks, telephone privileges, or other benefits, or invite employees to present their grievances with an express or implied promise by us that they will be remedied, for the purpose of influencing employees to reject representation by Warehouse, Industrial & Service Employees Union, Local 752, or any other union. Provided, however, that nothing herein requires us -to vary or abandon any economic benefit or any' term or condition of employment ' which we have heretofore estab- lished. WE WILL NOT in any like or, related manner interfere with , restrain, or coerce employees in the 703 exercise of their rights as guaranteed by Section 7 of the National Labor Relations Act. Our employees are free to join or assist the above- named Union , or any other union , and to:.engage in other concerted activity for the purposes of collective bargaining or t other mutual aid or -protection. Our employees are also free to refrain from any or all such activities , except to the extent that such rights may be affected by an agreement requiring union membership as a condition of continued employment in accordance with the proviso to Section 8(a)(3) of the Act. LITTON DENTAL PRODUCTS DIVISION OF LITTON INDUSTRIAL PRODUCTS, INC. DECISION STATEMENT OF THE CASE NANCY M . SHERMAN, Administrative Law Judge: The instant unfair labor practice case (Case 8-CA-8830) was initiated 'byIa charge filed on December 23, 1974, against Litton Dental Products Division of Litton Industrial Products, Inc. (the Company) by Warehouse , Industrial & Service Employees' Union, Local 752 (the Union). On the basis of that charge and an amended charge filed on January 27, 1975, a complaint was issued on January 30, 1975, alleging that during the week of November 4, 1974, the Company violated Section 8(a)(1) of the National Labor Relations Act, as amended (the Act) by soliciting and remedying employee grievances and by promising and granting benefits in conditions of employment, in ' each case to induce employees to refrain from union activity. Pursuant to a Stipulation for Certification Upon Consent Election executed in the instant representation case (Case 8-RC-9732) by the Company and the Union, and approved by the Regional Director for Region 8 on November 22, 1974, an election was conducted among the Company's employees on December 19, 1974. The tally of ballots showed that four votes were cast for the Union, eight were cast ' against it, and one ballot was challenged. On December 23, 1974, the Union filed five timely objections , four of which it later withdrew. On February 6, 1975, on the basis of an administrative investigation, the Regional Director for Region 8 issued his Report on Objections . The report overruled the specific union objection which had not, been withdrawn, but-stated that the postelection investigation had revealed evidence of objectionable conduct consisting of the conduct attacked in the unfair labor practice complaint issued on January 30, 1975. The Regional Director recommended' that, because of this identity of evidence, and because the issues of fact ,and law raised by the "unnumbered objection" could not be "resolved ex parte, such issues be set' for hearing, and that said hearing be consolidated with the 704 DECISIONS OF NATIONAL LABOR RELATIONS BOARD unfair labor practice hearing. About February 21, 1975, the Company filed exceptions to the Regional Director's report, alleging, inter alia, that the Director, erred in proceeding on, the "unnumbered objection"' and that the allegation involved matters too trivial to interfere with employee rights in an organizing campaign. About March 25, 1975, the day before the unfair labor practice hearing, the Regional Office was advised by telephone that the Board had adopted the Regional Director's- recommendations in the representation case. At the outset of the unfair labor practice hearing, counseffor the General Counsel (the General Counsel) moved to consolidate the two cases for hearing. I granted the motion over the Company's objection, and denied the Company's motion to sever the proceedings.2 Shortly after the opening of the hearing, which was held in a hearing room attached to the Regional Office, the General Counsel obtained a copy of the Board's Decision and Order in the representa- tion case. That document stated, in part, "IT IS HEREBY ORDERED that a hearing be held for the purpose of receiving evidence to resolve the issues raised by the unnumbered objection based on conduct discovered during the investigation, and that such hearing be consolidated with any hearing held in [the unfair labor practice case] by an Administrative Law Judge." At the consolidated hearing, the General Counsel was represented by a single attorney, the Company was represented by counsel, and the Union was represented by its business agent. Upon the entire record in the, case, 3 including my observation of the witnesses, and the briefs filed by the Company and the General Counsel; L hereby make the following: FINDINGS OF FACT I. JURISDICTION Litton Dental Products is, a, division of Litton Industrial Products, Inc., a Delaware corporation. Litton Dental Products operates a business facility at Brookpark, Ohio, the only, facility involved in this proceeding, where it sells and distributes dental supplies and, related items. The Company has a gross volume, of business from its Ohio operations in excess of $500,000, and ships goods and products from its various Ohio facilities valued in excess of $50,000 directly to points outside Ohio. 1 find that, as the Company admits, it is engaged in commerce within the meaning of the Act, and that assertion of jurisdiction over its operations, will effectuate the policies of the Act. The Union is a ,labor organization within'the meaning of the Act. i See NLRB v. Fashion Fair, Inc, 399 F.2d 764, 767 (C A _ 6, 1968); N L.RB v. Tennessee Packers, Inc., 379 F.2d 172, 179 (C A. 6, 1967) cert denied 389 U.S . 958 (1967); N.L.R B. v Decoto Aircraft, Inc., 512 F.2d 758 (C.A. 6, 1975), 2 Fashion Fair, supra 766-768, Barrus Construction Company v. N.L R.B., 483 F.2d 191 , 194-195 (C.A. 4, 1973). 3 Errors in the transcript have been noted and corrected. 4 All dates hereafter are 1974 unless otherwise stated 5 This finding is based on Sherry's testimony , which I accept in view of the mutually consistent,testimony of all three management witnesses about the dates regarding the interviewing of Frick's successor. Sherry testified that his October 8 "final decision" to replace Frick was based on II. THE ALLEGED UNFAIR LABOR PRACTICES AND THE ALLEGED OBJECTIONABLE ' CONDUCT A. The Company's Hiring of a New Regional Center Manager The company facility involved in this case moved from Cleveland, Ohio, to Brookpark, Ohio (a Cleveland suburb), in late September 1974.4 At that time, 'and until October 31, the regional center manager of this facility was Bill Frick. Between September 8 and October 8, about half of the employees at the facility quit. William Sherry, who is the Company' s manager of retail distribution and whose office is in Toledo, Ohio, about 100 miles from Brookpark, concluded that Bro9kpark's turnover was excessive, result- ed from a supervisory problem, and was the reason why the operation had never "met standards." On October 8, Sherry decided to replace Frick.S On October 9, Sherry approached William Havas in Cleveland and asked whether he would be interested 'in Frick'sjob.'Havas, who had previously worked for Sherry, replied that he might be, and Sherry interviewed him for that job. Sherry then told Havas that before being offered the job he would have to meet with Robert Byram, the Company's vice president in charge of employee relations, whose office is in Toledo. On October 9 or 10, , Bryam received in the mall three personnel notices,- made out on October 8, stating that three Brookpark employees had quit on October 4 (supra, fn. 5). Byram then approached Sherry and said that "it looked like we had a problem in Brookpark." Sherry replied that he was "also awar' that they were having problems in other areas, the supervisor failing to make his work schedules and so forth." Sherry said that he was making arrangements to change supervisors and, subject to Byram's interviewing Havas, would hire him. Sherry asked Byram to visit Brookpark as soon as possible to interview Havas. Byram visited the Brookpark facility on October 14. He interviewed Havas and then 'talked to an undisclosed number of employees at the 'Brookpark facility in order to check into the morale problem and "confirm" the existence of what Byram's testimony described as a supervisory problem which he "suspected." 6 Among the employees he interviewed, was office clerk Nellie Reaves. She told him that she was "under a tremendous amount of nervous pressure that causes me some lost time. I am almost half afraid to'come to work." When asked the reasons for the high turnover, she said that "the biggest problem was management," and Byram replied, "we had the feeling that it was." Reaves said that the, employees were quitting because their wages were too low, Frick was harassing and "information that I had picked up that we had three people leave us the preceding Friday," October 4. The written personnel reports of such quits were not made out until October 8, and Robert Byram, who is the Company's vice president in charge of 'employee relations, did not learn about the quits until he received these personnel reports in the mad. The record fails to explain the source of Sherry's information as of October 8 that two order fillers and a communications clerk had quit on October 4 in Brookpark. See also infra, fn. 6. 6 Both Byram and Sherry used the word "confirm" in their testimony, notwithstanding their testimony that Sherry had already decided to replace Frick. Cf. supra, fn. 5. LITTON DENTAL PRODUCTS abusing them, and they were not allowed to take coffeebreaks or 'to use company telephones for personal calls. Byram replied, "Just sit tight. Things will be better because I am here to find out why we have such a high turnover . . . I'm here for a job and salary review and we realize that the cost of living is -different in different parts of the country and we are trying to upgrade things but we have to have a survey and we are in the process of doing that right now, so just sit tight and things will get better." Byram said it was not company policy that employees not have breaks or use the telephone. He told her, "Sit tight and things will change, to "be patient," that "the problems would be taken care of" and "they were working on it," but "Obviously, I can't do it today or overnight. You will, have to give me some time." He did not tell her when the Brookpark employees would _ be given phone privileges or breaks, or the time of day when breaks would be allowed.7 On October 17, upon' Sherry's return to Toledo from' a West Coast trip, Byram told Sherry that he agreed there was a supervisory problem at Brookpark, gave a favorable report about Havas, said, that Byram's wage survey had shown that the Company was "out of line in that area" at Brookpark, described employee comments about telephone use and breaks , and said that one employee was "terribly nervous." On October 18; ,Sherry made a firm offer of employment to Havas, who, accepted it on the following day. Havas started to work for the Company on October 29. He accompanied Sherry on visits to various company facilities and, on October 30, underwent "orientation" at the Company's Toledo headquarters. Also on October 30, Sherry went out to, Brookpark and informed Frick that, effective the morning of October 31, he would be replaced by Havas. On October 31, about 10 a.m., Sherry called a short employee meeting at Brookpark to introduce Havas as the employees' new manager. Havas told-them a little bit about-his background, said he would be spending time with each of them to learn their jobs, and asked their help in learning the functions of the Brookpark operation. B. The Union's Campaign and its Bargaining Demand Meanwhile, about mid-October, several of the employees were planning to walk rout because of working conditions, absence of breaks and telephone privileges, and wages which they regarded as too low. The employees had previously complained to Frick about these matters, but had 'failed to receive a satisfactory response. When employee Sharon Wells got in touch with a representative of the Union, to which the, Teamsters Union had referred her, he said that "there was nothing that would protect [the 7 My findings as to the Reaves-Byram conversation are based on a composite of their mutually consistent testimony. 8 This finding is based on the testimony of employee Elaine Ingle and Reaves; the evidence is otherwise vague about the sequence Reaves further testified that when employee Wells and others told her that they were thinking of taking action about their grievances, she suggested a letter to the Company's Toledo office and (when they rejected this suggestion) a call to the Teamsters. Reaves further testified that she told them that Frick was preventing the employees from having breaks and privileges to which company policy entitled them. She tacitly admitted that she did not advise 705 employees] if [they] walked out on the job," and proposed a union organizing meeting. This union campaign began after Byram's October 14 visit to the Brookpark facility.8 On November 1, 1974, Union Business Agent Terrance Freeman and union organizer Lonnie Thomas came to the Brookpark facility with two letters, each of which asserted that the Union represented a majority of the Company's employees in a described unit, and demanded a meeting to begin negotiating a contract. The letters were substantially the same, except that one, set forth a unit of office employees and the other a unit of production, mainte- nance, and warehouse employees. The union representa- tives gave the letters to Havas, and also made an oral demand for recognition. Havas replied that he had no authority to recognize the Union and would have to go through company headquarters in Toledo. On the same day, the Union sent a registered letter to the Company asking for recognition, and filed two representation petitions with the Board seeking an election in each of the units set forth in the November 1 letter given to Havas. The election stipulation eventually agreed to called for a single unit embracing the entire Brookpark-facility. C. Events after the Union Sought Recognition Sherry was in Havas' office when the union representa- tives asked Havas for recognition, and Havas came in to report the visit to him. Sherry testified that this was the first time he found out about the Union's campaign, and there is no testimony to the contrary. That same day, Sherry reported' the union visit to Byram by telephone. -Byram testified that this was the first time he found out about the Union's campaign, and there is no testimony to the contrary. - On November 4, employee Clifford Adkins told Havas that some of the problems that the people were complain- ing about were lack of breaks and of telephone privileges. Havas replied that one of the things he had been "briefed" on in Toledo was that there were two set breaks during the day and, since he himself made personal phone calls, he could not forbid others to make them too.9 On November 6, before Sherry had received the Union's petitions but after they had been filed and mailed, Havas and Sherry called the Brookpark employees together for a meeting. Havas told the employees that they had two breaks a day, one at 10 a.m. and one at 2 p.m.; but that to permit continuous coverage of the door and-the phones, not everyone should take a break at one time?° He further stated that sometime or other anybody might have to use the telephone, anyone who got a call would be called down to the telephone, anyone who had to make a local call was the employees of Byram's allegedly prior promises to remedy many of their grievances. 9 This finding is based on Adkins' testimony, to a large extent corroborated by Havas. On the basis of the witnesses demeanor, I regard Adkins as a more reliable witness than Havas. - 10 this, finding is based on the testimony of employees Wells, Adkins, Ingle , Dan Lucas, and Reaves. My finding regarding deviations from the timing for breaks is based on the testimony of Havas, whom I credit to this extent, and Wells. 706 DECISIONS OF NATIONAL LABOR RELATIONS BOARD free to use the telephone, and any abuses of telephone privileges would be dealt with on-an individual basis." Havas also I said that if the employees had anyquestions or problems, his door was always open.12 In addition, Havas said he expected each employee to be at his work station ready to work at 8 a.m. and to maintain the housekeeping in this general work area, and that a schedule would be worked out to keep the rest of the warehouse clean.13 Havas did not discuss the Union: 14 ` ' Havas testified that he told the employees that there was a company policy of permitting two 10-minute breaks (one in the morning and one in the afternoon) and that evidently there'was confusion as to the Company's break policy. He further testified that he preceded his summary of the telephone policy by telling the employees -"that my personal policy on telephones, as well as the Company's policy was" as he described it, and that he "would like to clarify some points." I credit Byram's testimony that the Litton Dental Products Division has a policy of permitting two 10-minute workbreaks a day, and of permitting employees reasonable personal use of company telephones. Further, I believe Havas' testimony that Byram so informed him before he took over the,Brookpark facility. However, I do not credit Havas' testimony that he so advised the employees on November 6. No other witness so testified, and Havas himself testified that he told the employees that, the announced telephone policy was "my personal policy . . . as well as the Company's policy." Because of the foregoing considerations and Havas' demeanor, I discredit his testimony that on November 6 he, ascribed breaks and telephone privileges to company policy, and his related testimony (likewise uncorroborated) regarding remarks made at the meeting by employees Georgia Shade (who did not testify) and Reaves.15 Between November 6 and the December 19 election, the Company conducted several employee meetings at which employees were encouraged to vote no. The contents of these speeches are discussed infra D. Conclusions as to the Company's Motives for Announcing Telephone and Break Privileges and Inviting Employees To Approach Management With Questions and Problems Havas testified that, during the first week following his October 31 takeover at Brookpark, he paid little attention to whether employees were taking breaks or not; and, in effect, that his November 4 conversation with employee Adkins was the incident which led Havas to announce the 11 My findings in this sentence are based rpnmanly on the testimony of Havas (whom I credit to this extent) and employees Reaves and Lucas. Their testimony was corroborated by employees Wells, Adkins, and Ingle. 12 My finding in this sentence is based on a composite, of the testimony of employees Adkins ("I don't know if it was questions or problems or what", it could have been either problems or questions, "but I don't know which"), Ingle (who used the term "problems" on direct examination, but acceded on cross-examination to company counsel's tendering of the term "questions"), and Lucas ("if there was any questions or anything"). On the basis'of demeanor, I do not credit Havas' denial that he used the term "problems" or his testimony (contrary to the testimony of all the employee witnesses who testified about the matter) that he did not'say that his door was always open, but, rather, said, "If my door should be closed, feel free to "knock on it and come in 13 This finding is based on Havas' testimony, which I credit to this policy on breaks and telephone privileges as early as November 6. He further testified that thcse,matters were not "so major that. I had to get clarificationfrom anybody in my mind"; and did-not testify about any conversations about the matter with Sherry, either before or after Havas' conversation with Adkins. However, Sherry, initially testified that before November, 6 he and Havas had a conversation about the breaks and telephones during which Havas mentioned a conversation with Byram regarding breaks,16 and "the determination [in the, Sherry- Havas conversation] was that we should follow through with the breaks and the company policy," Moreover, Sherry's testimony in this respect is, difficult to reconcile with his own subsequent testimony that he,could not recall any conversation with Havas (before the November 6 employee meeting), during which, Havas, told Sherry he was going to announce a break policy at the Brookpark facility, and that Sherry never reviewed the telephone, or break policy with Havas. Furthermore, Sherry explained this last alleged omission by testifying:, "I considered telephones and breaks as part of my total problem in, Brookpark . ._ . [Our?] conclusion was to change supervisors' and in knowing Bill Havas, I knew that, specific individual problems, if there were any, would be resolved." Both this alleged omission and Sherry's explanation therefor seem somewhat unlikely, particularly in view of, Havas' uncon- tradicted testimony that Byram regarded such specific problems as important enough to tell Havas about. These inconsistencies and improbabilities in manage- ment's testimony about intramanagement discussions of breaks and telephones before Havas',November 6 speech about the matter, together with Sherry's and Havas' demeanor when testifying, lead me to conclude that they were trying to conceal, the contents of such conversations. Moreover, it is undenied that Sherry and,Havas later urged the employees to vote against the Union, 1_7 and that both of them are intelligent executives who were well aware of what the opposing parties were trying to prove-namely, that Havas' announcement of breaks and telephone privileges was motivated by a desire to cause employee disaffection from the Union and (as to the Union) invalidated the Union's election defeat. Accordingly, I infer that they were trying to conceal intramanagement statements showing that such was indeed their motive.is For these reasons, I conclude that Havas', November 6 announcement of breaks, telephone privileges, and an open door policy was motivated by a , desire -,to cause the employees to lose interest in the Union; and I discredit his testimony to the' contrary. Moreover, Havas admittedly extent, and to some extent on Reaves' testimony. 14 This finding is based on the testimony of Havas, whom I credit to this extent, and employee Wells There is no evidence otherwise. 15 The result herein would be the same if I believed his testimony in this respect. See infra, fn 21. is Havas credibly testified that, during his October 29-30 orientation in Toledo, Byram said that Havas should look into the matter of breaks and telephones 14 In the absence of any evidence otherwise, I infer that the antipathy to the Union which they displayed during these, meetings about early December was in existence by early November 15 N.L R B. v Walton Manufacturing Company,, 369 U.S. 404,408 (1962), Shattuck Denn Mining Corporation [Iron King Branch] v. N LR B, 362 F 2d 466, 470 (C.A. 9, 1966). LITTON DENTAL PRODUCTS made his November 6 announcement about breaks and telephones in consequence of Adkins' statement that-the employees had been complaining about the absence of these privileges, and the evidence shows that other employees had been fruitlessly complaining to manage- ment about them. Accordingly, I find that Havas' statement that if employees had any problems his door was always open was intended by Havas, and would reason- ably be interpreted by employees, as a promise to try to correct any such problems, just as in the same speech he had announced action to correct employees' previous complaints about telephones and breaks. I have reached the foregoing conclusions without regard to Adkins' testimony that after November 6 Havas said, "they didn't think that we needed a union, that' we could get our things done without a union and specified the fact that they didn't want one. . . . That we had had some problems, that they had been taken care of, that anyone that had any problems that they were free to come in and talk over at any time and that anything that could be done about them would be done." I credit Adkins' testimony in this respect. Adkins' demeanor impressed me favorably. The demeanor of Havas and Sherry, both of whom denied that Havas made such statements, impressed me unfavor- ably. Moreover, neither of 'them made' any effort to relate what Havas did say on this occasion, although it is undenied that he in fact talked to employees about the Union and the forthcoming election. Accordingly, and although Adkins' testimony in this respect is not directly corroborated, I believe such testimony.19 This testimony corroborates my finding as to the motives of Havas' November 6 announcement regarding breaks and tele- phone privileges, as to the intended meaning of Havas' November 6 statement about 'his open door policy regarding employees', problems, and as to how employees might reasonably be expected to interpret that statement.20 is The Company's brief contends that Adkins' testimony about the Company's taking care of "problems" was contradicted by employee Reaves, whose demeanor impressed me less favorably than did Adkins'. The Company reties on a response interposed by Reaves after I had sustained company counsel 's objection, on the ground that the question was leading, to the General Counsel's-question eliciting Reaves' testimony in this respect. It is clear from the evidence that the Company held at least two meetings at which management urged employees to vote against the Union. The substantial difference between Adkins' version of the other remarks at the meeting he testified about and Reaves' version of what was said at the meeting she testified about leads me to conclude that they were testifying about two different meetings Indeed; accepting the company briefs somewhat unlikely hypothesis that Adkins' testimony about these remarks did not refer to a general employee meeting at all, Peaves' testimony would be plainly irrelevant and the absence of direct corroboration for Adkins' testimony would be less significant Moreover, on this company hypothesis, the inference of purpose from his credited testimony would be more persuasive in view of the fact that Adkins himself had told Havas on November 4 of the very complaints which Havas remedied on November 6 20 'However, I accept the denials of Sherry and Havas, corroborated by employees Adkins and Reaves, of employee Wells' uncorroborated testimony that Sherry said in Havas' presence that the Company had no intention of recognizing the`Uniori. In addition, I accept Sherry's and Havas' denials , corroborated by employee Reaves, of employee Lucas' uncorroborated testimony that Sherry and Havas said if the Union came into the shop and the employees struck the shop would probably close down because customers would be 'permanently lost. I also discredit Lucas' uncorroborated and improbable testimony that the employees repeatedly 707 E. Analysis and Ultimate' Conclusions I agree with counsel for the General Counsel that the Company violated Section 8(a)(1) of the Act by announc- ing breaks and telephone privileges for the purpose of causing employees to abandon their interest in the Union. N.L.R.B. v. Exchange Parts Company, 375 U.S. 405(1964); Fashion Fair, Inc., 157 NLRB 1645, 1646, 1651-52, 1655- 56 (1968), enfd. in relevant part 399 F.2d 764, 767-768 (C.A. 6, 1968).21 The evidence that such changes brought the Brookpark operation in conformity with the practices of the Litton Dental Products Division does not 'render them lawful, in view of the uncontradicted evidence that division policy as to these matters had not previously been respected by Brookpark management 22 While it is true that Vice President Byram had told employee Reaves that the employees' complaints about breaks and telephones would eventually be corrected, he did not tell her just when this would be done, and there is no evidence that Havas' action was motivated by Byram's assurances to Reaves or that Havas even knew about them.23 In addition, I agree with the General Counsel that the Company further violated Section 8(a)(1) of the Act when Havas invited employees to present their problems to him and implicitly promised to correct them, for the purpose of causing employee disaffection from the Union 24 In view of this implicit promise and its purpose, Havas' action cannot be viewed as merely a continuation of the Company's prior practice of periodic visits to various company facilities by Vice President Byram for the purpose of, inter alia, talking to the employees to evaluate employee morale.25 In any event, whatever Toledo-based Byram's prior practice may have ' been with respect to the 40 locations in the entire Division, Havas' predecessor as the local -Brookpark regional center manager had regarded employee com- plaints as unwelcome, and had failed to remedy them even with respect to deviations from division policy. asked management whether the breaks and telephone privileges had anything to do with the Union, to which management replied no. 21 Cf. Kimmel's Shop Rite, 213 NLRB 440 (1974), and Montgomery Ward & Co, 198 NLRB 52_(1972), relied on by the Company, where the changes were not motivated by a desire to discourage employees from union membership. Moreover, the Montgomery Ward change in practice did not occur until after the election 22 See Fashion Farr, supra at 1646; Montgomery Ward and Co, Incorporated, 187 NLRB 956,956,962-%3 (1971); Montgomery Ward shows that such company action was unlawful accepting Havas' testimony, as I do not, that he attributed the changes in Brookpark 's break and telephone practice to Division policy. I see no reason to suppose that the Brookpark employees would, be pleased by newly enjoyed benefits not attributed to prior division policy, but would not be pleased,by the same benefits where they were so attributed. Further, because both division and local management urged the employees to vote no, employee knowledge that the new Brookpark practice conformed with division policy would not assure them that management would never resume the prior Brookpark practice regardless of whether the employees opted for union representation. 23 See The May Department Stores Company, 191 NLRB 928 (1971); cf. R. B & W Industrial Plastic Products, Inc., 184 NLRB 966,970 (1970). 24 Reliance Electric Company, Madison Plant Mechanical Drives Division, 191 NLRB-44 (1971), enfd. 457 F.2d 503 (C.A. 6, 1972); Teledyne Dental Products Corp, 210 NLRB 435, 440 (1974 25 So far as the record shows, Byram paid only' one visit to the Brookpark facility between its late September move to Brookpark and the December 19 election. 708 DECISIONS OF NATIONAL -LABOR RELATIONS BOARD In addition, ,I agree with the Union,that the Company's conduct in violation of Section 8(a)(1) calls for an order setting aside the election.26 Because, occurring after the Union filed its petitions, such conduct invalidates the election , even though occurring before the Company received them.27 At the hearing, the Company, made certain offers of proof regarding five employees' subjective reactions to the company conduct (directed at a 14-employee unit) here at issue?s I, rejected such offers. So far as the unfair labor practice aspect of this case is concerned, "The test is whether the employer engaged in conduct which, it may reasonably be said, tends to-interfere with the free exercise of employee rights under the Act. N.L.R.B. v. Illinois Tool Works, 7"Cir.,,153 F.2d 811, 8'14 ..." N.L.R.B. v. Wilbur H., Ford d/b/a Ford Brothers, 170 F.2d 735, 738 (C.A. 6, 1948)Moreover, apart from other considerations pres- ented in the representation case, the Company's offer is mathematically inadequate. The 'Company sought "to show at best 'that five'-voters were unaffected; but because the tally was eight'agamst the Union, and in favor (plus one unresolved challenged ballot), a different vote by three of the eight who voted against the Union would have changed the result. In any event, the Board makes its determination whether to set aside an election on an objective- basis - i.e., on whether ' the. alleged misconduct would reasonably tend to prevent the holding of a fair and free election - 'rather than on the subjective statements of the employees as to whether they were "coerced" or "misled" into voting as they did,,Pinkertan's-National Detective Agency, Inc., 124 NLRB 1076, 1077, footnote 3 (1959); G H.R. Foundry Division, The Dayton Malleable Iron Company, 123 NLRB 1797, 1709, ' and cases there cited at footnote 3 (1959); Orleans, Manufacturing Company, 120 NLRB 630, 631, footnote 4 (1958).. This approach was approved by the Sixth Circuit in Harlan #4 Coal Company v. N.L.R.B., 490 F.2d 117, 122-123 (C.A., 6, 1973), cert. denied 416 U.S. 986, which pointed out, inter alia, the peculiar pressures which postelection proceedings impose on employees' testimony regarding how they voted and why.30 Moreover, even assuming ,that the employees are trying to tell the truth and are unaffected 'by the fact that they are revealing the contents of their secret ballot to representatives of their employer and of the Union which may become their exclusive' bargaining representative, the recognition of 26 Reliance Electric, supra, May Department Stores, supra 27 See West 'Tezas Equipment Company, 142 NLRB 1358 (1963), where the Board entertained on the ments objections based on conduct occurring before (although on, the same day) the petition was filed and, therefore, necessarily before the employer received the petition 28 Company counsel stated that employee Wells would testify that Havas' statements about the breaks and the telephone did not affect her vote; neither Wells' testimony nor counsel's offer of proof refers to the open door policy ' Counsel further stated that employee Reaves would testify, and that employee Adkins would testify if he testified truthfully, that none of Havas' allegedly improper statements influenced their respective votes Counsel also stated that employee Ingle would testify, and employee Lucas would` testify if, he testified truthfully, that none -of Havas' allegedly improper statementsi influenced their respective votes or coerced or bribed them Also, counsel stated that employee Adkins "would testify that MT Havas' clarification of the breaks and telephone privileges, in his opinion .. was not,done to affect the employees' attitude toward the Union", this offer by counsel did not refer to the open door policy constraint remains a subtle thing which may call for a high degree of introspective perception. Cf. N.L.R.B. v. Donnelly Garment Company, 330 U.S.-219, 231 (1947); The Radio Officers' Union of the Commercial Telegraphers' Union, A.FL. v. N.L.R.B., 347 U.S. 17,51(1954); Darlington Mfg. Co. v. N.L.R.B., 397 F.2d 760, 772-773 (C.A. 4, 1968), cert. denied 393 U.S. 1023 (1969). CONCLUSIONS' OF LAW 1. The Company is-engaged in commerce within the meaning of Section 2(6) and (7) of the Act. 2. The Union is a, labor organization within - the meaning of Section 2 (5) of the Act. 3. The Company has interfered with , restrained, and coerced employees in the exercise of their rights under Section 7 of the Act, in violation of Section 8(a)(1) of the Act. 4. Such unfair labor practices affect commerce within the meaning of Section 2(6) and (7) of the Act. 5. By engaging in 'the aforesaid unlawful conduct, the Company interfered with the free choice of employees in the election. Tim REMEDY Having found that the Company engaged in certain unfair labor, practices, I shall - recommend that it be required to cease and desist therefrom, and from like or related conduct, and to post appropriate notices, It will be further recommended that the election held on December 19, 1974, be set aside and that Case 8-RC-9732 be remanded to the Regional Director for Region 8 for the purpose' of conducting a new election at such time as he deems that circumstances permit a free choice of bargain- ing representative. Upon the foregoing' findings of fact and conclusions of law and the entire record, and pursuant to Section 10(c) of the Act and, the Board's March 24, 1975, "Decision and Order Directing Hearing" in Case 8-RC-9732, I hereby issue the following recommended: ORDER 31 , Respondent, Litton Dental Products Division of Litton Industrial Products, Inc., 'Brookpark, Ohio, its officers, agents, successors, and assigns, shall: 29 Accord N L.R B v. Brown-Dunkin Company, Inc, 287 F 2d 17, 18 (C A. 10, 1961), Local 542, International Umon,ofOperating Engineers, AFL- CIO (Giles & Ransom), v N LR.B 328 F 2d 850, 852-853 (C A, 3, 1964), cert. denied 379 U.S 826 (1964) 30 Of the five employees as to whom Company counsel made his offer of proof, the Company's brief asks me to discredit part-of the testimony of three (Wells, Adkins, and Lucas) 'Indeed, as to the latter two, counsel's offer includes the caution "if'he testified truthfully" Further, at the hearing company counsel objected to my action in forbidding him to ask Reaves leading questions in connection with matters not'covered by the General Counsel on direct examination. 31 In the event no exceptions are filed as provided by Sec 102.46 of the Rules and Regulations of the National Labor Relations Board, the findings, conclusions and recommended Order herein shall, as provided in Sec 102.48 of the Rules and Regulations, be adopted by the Board and become its findings, conclusions, and Order, and all objections thereto shall be deemed waived for all purposes LITTON DENTAL PRODUCTS 1. Cease and desist from: (a) Announcing and putting into effect work breaks, telephone privileges, or other benefits, and inviting employees to present their grievances with an express or implied company promise that they will be remedied, for the purpose of influencing employees to reject representa- tion by Warehouse, Industrial & Service Employees' Union, Local 752, or any other labor organization. (b) In any like or related manner interfering with, restraining, or coercing employees in the exercise of their rights under Section 7 of the Act. 2. Take the following affirmative action which is necessary to effectuate the policies of the Act: (a) Post at its Brookpark, Ohio, facility copies of the attached notice marked "Appendix."32 Copies of said notice, on forms provided by the Regional Director for 32 In the event the Board's Order is enforced by a Judgment of a United States Court of Appeals, the words in the notice reading "Posted by Order of the National Labor Relations Board" shall read "Posted Pursuant to a 709 Region 8, after being duly signed by the Company's representative, shall be posted by it immediately upon receipt thereof, and be maintained by it for 60 consecutive days thereafter, in conspicuous places, including all places where notices to employees are customarily posted. Reasonable steps shall be taken by the Company to insure that said notices are not altered, defaced, or covered by any other material. (b) Notify the Regional Director for Region 8, in writing, within 20 days from the date of this Order, what steps the Company has taken to comply herewith. IT is FURTHER ORDERED that the election in Case 8-RC- 9732 be set aside, and that such case be remanded to the Regional Director for Region 8 for the purpose of conducting a new election at such time as he deems appropriate. Judgment of the United States Court of Appeals Enforcing an Order of the National Labor Relations Board." Copy with citationCopy as parenthetical citation