McGraw-Edison Co.Download PDFNational Labor Relations Board - Board DecisionsAug 19, 1968172 N.L.R.B. 1604 (N.L.R.B. 1968) Copy Citation 1604 DECISIONS OF NATIONAL LABOR RELATIONS BOARD McGraw -Edison Company (Bersted Manufacturing Division) and Local 257 , International Brother- hood of Electrical Workers , AFL-CIO, and Teamsters Local 833 , affiliated with International Brotherhood of Teamsters , Chauffeurs, Warehousemen and Helpers of America. Cases 17-CA-2977, 17-CA-3033, and 17-RC-5212 August 19, 1968 DECISION, ORDER , AND CERTIFICATION OF RESULTS OF ELECTION BY CHAIRMAN MCCULLOCH AND MEMBERS BROWN AND JENKINS On September 11, 1967, Trial Examiner Melvin Pollack issued his Decision in the above -entitled proceeding , finding that Respondent had engaged in and was engaging in certain unfair labor prac- tices and recommending that it cease and desist therefrom and take certain affirmative action, as set forth in the attached Trial Examiner 's Decision. He also found that Respondent had not engaged in cer- tain other unfair labor practices alleged in the com- plaint and recommended dismissal of such allega- tions . Finally , he recommended that the objections to the election in Case 17-RC-5212 be overruled and the results thereof certified . Thereafter, Respondent filed exceptions to the Trial Examiner's Decision and a supporting brief , the General Coun- sel filed cross -exceptions to the Decision and a sup- porting brief, and Respondent filed a brief in answer to the cross -exceptions. Pursuant to the provisions of Section 3(b) of the National Labor Relations Act, as amended, the Na- tional Labor Relations Board has delegated its powers in connection with these cases to a three- member panel. The Board has reviewed the rulings of the Trial Examiner made at the hearing and finds that no prejudicial error was committed . The rulings are hereby affirmed . The Board has considered the Trial Examiner 's Decision , the exceptions, the cross -exceptions , the briefs, and the entire record in these cases , and hereby adopts the findings,' con- clusions , and recommendations of the Trial Ex- aminer, with the following additions and modifica- tions: (1) The Trial Examiner round that Respondent had violated Section 8 ( a)(3) and ( 1) of the Act by laying off approximately 120 employees at its ' The Trial Examiner found that Supervisor Kenneth Roods questioned Lawrence Boeckman about a union meeting in violation of Section 8(a)(I) The Trial Examiner also found that Supervisor Racket 's order that Lawrence Boeckman get out of Racker 's department did not violate Sec- Moberly , Missouri , plant , between May 27 and 3 1, 1966. This conclusion was based primarily on ... the Company 's opposition to unionization of its plants , the timing of the May 27 layoff shortly after the Union 's filing of a representa- tion petition , the abrupt manner in which it was put into effect , the Company's failure to make any effort to avoid the layoff as at Kirk- sville or to mitigate its severity , and the Com- pany 's unconvincing explanation for assigning and increasing fan production at Kirksville rather than at Moberly.... We agree with this finding. But in addition to the factors cited by the Trial Examiner to support his finding , we rely on the numerous incidents of 8(a)( I) conduct found by the Trial Examiner, par- ticularly the threats by supervisors that the Moberly plant would be shut down or moved if the Union was successful in its organizing efforts , and that the layoff at Moberly was attributable to the Union's organizing efforts. Thus , prior to the layoff, Super- visor Clyde Burris told employee Russell Taylor that if the Union got in the employees would be out of work and the plant would move . Also prior to the layoff, Supervisor Spicer told employee Bran- ham that the plant might move if the Union got in. Such coercive statements were made not only by low-level supervisors, but also men high in the su- pervisory hierarchy who might be expected to know company policy . Thus , Moberly Plant Superinten- dent McKee implied to employee Preston Buckler that the plant might move if the Union successfully organized the employees , and Moberly Plant Manager Ferguson indicated to employee Diana Robb that management was considering moving the plant if the Union won the election. Moreover , the record discloses that in addition to making these threats to the employees at Moberly, Respondent directed communications to the em- ployees at its other plants in which it used the Moberly plant as an example of possible reprisals for union activity . At Boonville , Supervisors Chrisman and Bates said to employees that the Moberly plant would move if the Union were suc- cessful . At Macon, Supervisor Yount told em- ployees Selby and Ritchie to watch what happened at Moberly . Yount added that the same thing could happen to Macon . These foreboding predictions were made in the context of other threats by super- visors more particularly detailed in the Trial Ex- aminer 's Decision , including comments by Respon- dent 's president , McDermott , himself . Thus , in let- tion 8 ( a)(I) In each of these instances the employee involved was David Boeckman rather than Lawrence Boeckman The error was inadvertent and does not affect the scope of the Order. 172 NLRB 178 MCGRAW-EDISON COMPANY ters to the Moberly employees prior to the July 8 election at Moberly, McDermott stressed the Com- pany's role as the provider of employee benefits. On July 9, after the Union's success in the Moberly election, McDermott sent letters to Respondent's employees at the other plants requesting them to "wait and see" what happened at Moberly. Thereafter, on July 14, Respondent increased hospitalization benefits at its Missouri plants other than Moberly, explaining that these increased benefits were not given to Moberly because that plant had elected a union through which all dealings had to go. We agree with the Trial Ex- aminer, who found this latter comment to be viola- tive of the Act, that it was calculated to impress upon the employees that reprisals would result if union organization were successful. On the basis of all the foregoing and other conduct found by the Trial Examiner to be violative of the Act, we con- clude that Respondent's true motive for the layoff at Moberly was discrimination for the union activity of its employees at that plant, rather than merely an unforeseen fortuitous economic situation.' (2) We agree with the Trial Examiner that by changing incentive rates for some employees without notice of or affording the Union the oppor- tunity of bargaining about such changes, after the Union had been certified as the collective-bargain- ing representative of employees in the appropriate unit, Respondent violated Section 8(a)(5) and (1) of the Act.' (3) We do not adopt the Trial Examiner's finding that Respondent violated Section 8(a)(1) of the Act by Supervisor Bob Johnson's threat to punch employee Ruder in the nose if Ruder made any statements against him. There is no evidence that the threat was related to Ruder 's union activities or his potential testimony at a Board hearing. ORDER Pursuant to Section 10(c) of the National Labor Relations Act, as amended, the National Labor Relations Board adopts as its Order the Recom- mended Order of the Trial Examiner and hereby orders that Respondent McGraw-Edison Company (Bersted Manufacturing Division), Moberly and Columbia, Missouri, its officers, agents , successors, and assigns , shall take the action set forth in the Trial Examiner's Recommended Order. CERTIFICATION OF RESULTS OF ELECTION It is hereby certified that a majority of the valid votes has not been cast for Teamsters Local 833, affiliated with International Brotherhood of Team- 1605 sters, Chauffeurs, Warehousemen and Helpers of America, in Case 17-RC-5212, and that said labor organization is not the exclusive representative of the employees in the unit found appropriate in that case within the meaning of Section 9(a) of the Na- tional Labor Relations Act, as amended. 4 Additionally we note that Respondent 's contentions in this respect are based in substantial part upon an assertion that its 185,337 unit fan inven- tory in May 1966 was grossly excessive We find this to be inconsistent with Respondent 's later action in using greatly increased production at Kirk- sville to build up a yearend inventory of 237,730 fans, the largest inventory in Respondent 's history ' N L R B v Katz, 369 U S 736, Comfort Springs Corporation, 143 NLRB 906, 913, Procter Manufacturing Corporation, 131 NLRB 1166 Cf Tex-Tan, Inc, 134 NLRB 253, enfd in part 318 F 2d 472, where the changes in operations were so numerous ( 1,000 changes annually) and frequent that it would have been impractical to bargain over every change in advance of its implementation In the present case there is no evidence that changes, other than the few caused by mechanical difficulties, could not have been discussed in advance with the Union TRIAL EXAMINER'S DECISION STATEMENT OF THE CASE MELVIN POLLACK, Trial Examiner: These proceedings under Sections 9(c) and 10(b) of the National Labor Relations Act were heard at Moberly, Missouri, on January 10-13, 1967, and at Columbia, Missouri, on January 16 and 17, 1967. In Case 17-CA-2977 a complaint was issued on September 29, 1966, amended on December 20, 1966, and further amended at the hearing. In Case 17-CA-3033 a complaint was issued on November 18, 1966. Some matters alleged in the latter com- plaint as violations of the Act are cited by Team- sters Local 833 as grounds for setting aside an elec- tion conducted by the Board in Case 17-RC-5212 on November 7, 1966. Briefs filed by the General Counsel and the Respondent have been carefully considered. Upon the entire record' and my obser- vation of the witnesses as they testified, I make the following: FINDINGS OF FACT I. THE BUSINESS OF THE RESPONDENT McGraw -Edison Company ( Bersted Manufactur- ing Division ), herein referred to as the Respondent or the Company , is a Delaware corporation which manufactures electric appliances at Moberly, Boon- ville, Kirksville , Jefferson City, Macon, and ' The record and transcript are corrected as stipulated by the parties A stipulation on information furnished to the General Counsel by the Moberly Monitor-Index and Will Ben Sims, a member of the Committee to Retain Moberly Industry , following subpena enforcement proceedings, is received as Resp . Exh. 21. Documents furnished by Respondent after the close of the hearing on appliance and fan statistics for its Moberly and Kirksville plants are received as G. C. Exhs 11-E revised , 12-A revised, and 12-B revised 1606 DECISIONS OF NATIONAL LABOR RELATIONS BOARD Clarence, and maintains a warehouse in Columbia, all in Missouri. Respondent annually sells goods valued in excess of $50,000 to customers outside Missouri. I find, as Respondent admits, that Respondent is engaged in commerce within the meaning of the Act, and that the assertion of ju- risdiction is warranted. II. THE LABOR ORGANIZATIONS INVOLVED Local 257, International Brotherhood of Electri- cal Workers, AFL-CIO, herein referred to as the Union, and Teamsters Local No. 833, affiliated with the International Brotherhood of Teamsters, Chauffeurs, Warehousemen and Helpers of Amer- ica, herein referred to as the Teamsters, are labor organizations within the meaning of Section 2(5) of the Act. III. THE UNFAIR LABOR PRACTICES A. Introduction and Issues The Union initiated a campaign to organize the Company's Missouri factories in March 1966.2 Pur- suant to a representation petition filed by the Union on May 17, the Board conducted an election at the Moberly plant on July 8. The Union won the elec- tion and was certified on July 18 as the exclusive bargaining representative of the Moberly produc- tion and maintenance workers. The complaint in Case 17-CA-2977 alleges that Respondent engaged in coercive antiunion conduct at all its factories. The principal issues presented in that case , however, are whether Respondent laid off 120 Moberly employees on May 27, 1966, in order to discourage support of the Union, and whether Respondent failed to bargain in good faith with the Union after the July 18 certification. In Case 17-CA-3033 the principal question presented is whether Respondent countered a Teamsters cam- paign to organize the employees at its Columbia warehouse by discharging two employees and caus- ing a third employee to quit by demoting him. In Case 17-RC-1512 the question presented is whether Respondent engaged in conduct after the Teamsters filed a representation petition on Oc- tober 3 which would warrant setting aside an elec- tion conducted on November 7 at which the warehouse employees voted 7-2 against representa- tion by the Teamsters. B. The Alleged Unfair Labor Practices at Moberly 1. The May 27 layoff The Moberly plant manufactures 20-inch breezebox fans, mixers , blenders, electric knives, popcorn poppers, and heaters. Although these products are manufactured throughout the year, the plant concentrates on fan production during the first 6 months of the year and on production of the other items after returning from a 2-week vacation at the end of the fan season , which usually occurs in late June or early July. The plant had about 300 production and maintenance employees working two shifts when the Union initiated its organizing campaign in April. The Union's efforts were more successful at Moberly than at the Company's other plants and it filed a representation petition with the Board on May 17. An election was scheduled for July 8. Plant Manager Stanley Ferguson sent 16 letters to the Moberly employees between April 19 and July 6 urging them to reject representation by the Union. In a letter dated May 24 Ferguson said he had "heard that some of the employees are con- cerned about temporary transfers and layoffs." He explained that the Company makes "temporary transfers when work is temporarily short on some job and there is another place that needs help... . That way we can give you a full week's work and keep production going .... As to lay-offs, the Company can't avoid them but we do try to keep them to a minimum by manufacturing to stock where we can." On Friday evening , May 27, Ferguson notified the employees on the second shift that they were being laid off that evening because cool weather had slowed down fan sales and the Company's warehouses were full. The Company laid off 115 employees on May 27 and 5 more employees on May 3 1. Except for a layoff of about 50 employees for a 5-week period after the fan season in 1958, the plant had not had a major layoff in some 14 years of operation.3 In a letter dated June 3 Ferguson said the Com- pany could not guarantee its employees "a full 40 hours of work each week" and could not give them guarantees against layoffs "when the weather turns against us." He explained the May 27 layoff in a letter dated June 23 as follows: Now, I want to talk to you about the recent layoff in this plant, In the hopes of getting hot weather early this year, we tried to stretch our production of fans out as long as we could. However, hot weather did not come, our in- ventory built up to excessive figures. As much as we regretted it, a layoff became a necessity. We still hope that all, or at least part, of the laid-off employees can be called back, and if it = All dates hereafter are in 1966 unless otherwise noted ' Several employees testified that they had worked 4-day workweeks. Joan Powers said she had worked a 4-day workweek in 1962 and Shirley Wolverton recalled working a 4-day workweek in April 1959 William Sumpter said he had worked some 4-day workweeks but he could not recall when they were Irene Harley said the assembly line employees were "off on Friday " on one occasion because a conveyor installed for the stapling of boxes was "slow " and the packing and stapling employees fell behind in their work. MCGRAW-EDISON COMPANY is possible to call them back, it will be done on a seniority basis. About this time, the weather turned hot and the Company received orders for approximately 170,000 20-inch fans between June 27 and July 9, a sufficient number to exhaust its inventory and require additional production of fans. In previous years, the Company ran fans at Moberly until the end of the fan season. This time, however, the Moberly plant went on vacation for 2 weeks im- mediately after the Board election on July 8 and the production of 20-inch fans was shifted to the Kirksville plant, which returned from vacation on July 5.' Fan parts were shipped from Moberly and other plants to Kirksville, which had produced only 1,184 20-inchfans in May and none in June whereas Moberly had produced 66,754 in May and 27,552 in June. Kirksville's production schedule resembles Moberly's in that it concentrates on the manufac- ture of 20-inch and smaller fans during the first 6 calendar months of the year and produces other electrical products-hotplates and heaters-after its summer vacation . In 1966 it discontinued manu- facture of 20-inch fans in April and manufactured hotplates and heaters in May and June before going on vacation. Kirksville manufactured about 160,000 20-inch fans during July-December 1966 compared to about 16,000 fans for the same 6- month period in 1965. It also produced hotplates and heaters during this 6-month period in quantities comparable to 1965. It hired additional employees to handle its increased production load.' Moberly's production of 20-inch fans for the second half of 1966 was about the same as in 1965.6 Its production of other items dropped about 30 percent in August and September.' About 25 laid-off employees were recalled to work in August, 60 in September , and the remainder in October. The May 27 layoff occurred shortly after the Union 's filing of a representation petition and, despite its unprecedented size , was effected without During the second week of the Moberly vacation , employee Tom Jones, while taking inventory , asked Adrian Downing , his supervisor, "Do you think we will run fans as soon as inventory is over" Downing said, "What do you think" Jones replied , " I don't see why we don't, we have got a hundred and some laid off " Downing said, "You can think what you want , but we have given 60,000 to Kirksville to run " Jones asked, "How come" and Downing answered, "What do you think " As this conversa- tion occurred within 2 weeks of the Board election , I find that Downing's remarks implied that the Company had transferred fan production to Kirk- sville in reprisal against the Moberly employees for selecting the Union as their bargaining representative , and hence that they were violative of Sec- tion 8(a)(I) of the Act. Martha Kern was told to start her 1-week vacation on July 1 I and to return on July 18 for inventory work She was informed on July 18 that she was laid off until August 1 . The complaint alleges that the delay in recalling Kern was discriminatory Plant Manager Ferguson explained that women are not ordinarily used on inventory work and that the plant does not or- dinarily start up at full production after the vacation period Kern was only I of 19 employees laid off on July 18 1 find that Kern was not discrimina- torily denied employment between July 18 and August I S Kirksville hired 118 employees and terminated 73 employees during the period July-December 1966 1607 advance notice. The Company in the past had avoided or mitigated layoffs , at least on a few occa- sions , by putting employees on 4-day workweeks 8 and Plant Manager Ferguson pointed out to the em- ployees in his letter of May 24 that the Company tried to keep layoffs " to a minimum by manufactur- ing to stock." As the June production of fans at Moberly was about 40 percent of May production (27,552 to 66,754), a 4-day workweek would have saved an appreciable number of employees from layoff. As the Company was manufacturing knives, mixers, and blenders on May 27, it would seem that it could also have reduced the number of em- ployees to be laid off by increasing production of these items. Indeed, at Kirksville-where the Union had not succeeded in signing up enough employees for an elections-the Company avoided a layoff by starting major production of hotplates and heaters in May and June rather than after the summer va- cation. The Company received heavy 20-inch fan orders in the 2-week period before the July 8 election at Moberly, but contrary to its normal practice of postponing vacation time at Moberly until the close of the fan season, shut the plant down for 2 weeks immediately after the election and shifted 20-inch fan production to Kirksville, which thereafter in- creased its work force while many Moberly em- ployees remained on layoff. The Company's explanation for the May 27 layoff, and the failure to recall the laid-off em- ployees when heavy fan orders came in, may be summarized as follows: High inventory and reduced orders required it to cut back production of 20-inch fans at both Moberly and Kirksville. It assigned 20- inch fan production to Kirksville when heavy orders came in the last week in June and the first week in July "to meet the immediate demand while Moberly was on vacation." It increased 20-inch fan production at Kirksville rather than at Moberly because " once [Kirksville ] had started on the production of fans, it would have been expensive to 6/ The production of 20" fans at Moberly and Kirksville for July- December 1965 and 1966 was as follows Kirksville July August September October November December 1965 13594 0 0 0 0 2173 1966 5902 26702 30513 35070 32579 36541 Moberly 1965 32784 14977 21432 17185 22646 21056 1966 14622 21719 16252 11602 17177 23848 The Company ascribed this drop to material shortages and other production difficulties " The testimony of several employees to this effect is uncontradicted. 9 The Board will not entertain a representation petition if not supported by a showing that at least 30 percent of the employees in the bargaining unit have authorized the petitioner to act as their collective-bargaining representative 1608 DECISIONS OF NATIONAL LABOR RELATIONS BOARD switch it back to some other production, such as heaters." There was no point in "switching Moberly back to fan production when it returned from vaca- tion on July 25" because it "would have supplied no immediate demand for fans ... and would only have delayed appliance production." The delay in recalling the laid-off employees was caused by part shortages and other production difficulties. The Company's explanation ignores its failure to take steps to avoid or reduce the layoff at Moberly by cutting hours or rescheduling production, as it did at Kirksville; it ignores the fact that the com- pany's normal practice was to delay vacation time at Moberly (its principal producer of 20-inch fans) until the end of the fan season;10 and it also ignores the fact that 20-inch fan production was added to, and not substituted for, other production at Kirk- sville . The Company asserts but does not explain why recalling the laid-off employees for fan produc- tion after Moberly returned from vacation would have delayed production of other appliances. I see no reason why the Company could not have re- called them to 20-inch fan production, if necessary on a second shift, and, as production of other items was resumed or increased, assigned them to work on those items. I conclude under all the circumstances- includ- ing the Company's opposition to unionization of its plants, the timing of the May 27 layoff shortly after the Union's filing of a representation petition, the abrupt manner in which it was put into effect, the Company's failure to make any effort to avoid the layoff at Kirksville, or to mitigate its severity, and the Company's unconvincing explanation for assign- ing and increasing fan production at Kirksville rather than at Moberly-that the Company laid off the night-shift employees on May 27 and thereafter delayed their recall in order to discourage its em- ployees from supporting the Union. I conclude that the May 27 layoff was violative of Section 8(a)(3) and (1) of the Act. 2. The refusal to bargain Pursuant to the election held on July 8, the Union was certified on July 18 as the collective- bargaining representative of the production and maintenance employees at the Moberly plant. The parties met nine times between August 3 and November 4 but did not reach agreement on a con- tract. Negotiations were recessed on the latter date pending the outcome of the present unfair labor practice proceedings. The General Counsel con- tends that the Company breached its bargaining obligation under Section 8(a)(5) of the Act by changing incentive wage rates, by increasing the performance of rank-and-file work by supervisors, and by refusing the Union's request for its own 10 It may reasonably be supposed that the laid-off employees would have been glad to forego further "vacation." 11 In Tex-Tan, Inc , 134 NLRB 253, the employer in effect maintained timestudy of incentive wage operations. The General Counsel further contends that the Com- pany failed to bargain in good faith on certain union proposals and that it engaged in other con- duct calculated to frustrate agreement on a meaningful contract. a. Unilateral changes and timestudies (1) Incentive wage rates: Between August 15 and November 7 the Company increased 10, decreased 4, and discontinued 3 incentive rates , pending new timestudies, all without notice to the Union. The Company also discontinued the incentive rate on a cutoff saw operated by Robert James until a production difficulty was eliminated. James received his base rate until the incentive rate was restored. Plant Manager Ferguson testified that base rates are set and changed with the object of having the employees earn about 30 percent above the base rate, and that they are also changed when- ever the material or the method on a job is changed. The changes made in base rates increased or decreased employees' earnings . Where incentive rates were discontinued, the employees lost money because it appears ( as in James' case ) that they were paid the base rate rather than the average of their earnings under the incentive system." As the incentive rate changes made by the Company in- creased or decreased employee earnings, I con- clude that the Company violated Section 8(a)(5) of the Act by failing to advise the Union about proposed changes and to afford it an opportunity to bargain about them. (2) Performance of production work by super- visors: Upon laying off the night shift on May 27 the Company transferred the night-shift foremen and working supervisors to the day shift and as- signed more production work to some of them. They continued to perform such rank-and-file work following the Union's certification on July 18 and, to some extent, after the recall of the laid-off em- ployees. As this evidence does not establish that the Company's assignment of rank-and-file work to su- pervisors after July 18 represented a change in pol- icy which materially reduced the work opportuni- ties of employees in the bargaining unit, I find that the Company did not violate Section 8(a)(5) of the Act by its assignment of production work to super- visors. (3) The request for a union timestudy: At a negotiation session on October 19 the Union requested that its timestudy expert, Tom Hickman, be given access to the plant to study jobs. After the Company had its timestudy man explain its time and incentive rates , the Union again requested per- mission to make its own timestudies "for negotia- wages by basing pay on average earnings pending timestudies on changed jobs. The Company's reliance on this case to justify its unilateral actions on incentive wage rates is therefore misplaced MCGRAW-EDISON COMPANY tions and future purposes ." The Company denied the Union 's request . As the timestudies which the Union wanted to make were relevant to the Union's "intelligent performance of its function ," and as the Company has not shown that the Union's request was improper or would have imposed an un- reasonable burden on it, I find that the Company violated Section 8(a)(5) and (1) of the Act by refusing to permit the Union access to the plant to perform timestudies . Cf. The Fafnir Bearing Com- pany, 146 NLRB 1582, 1585, enfd. 362 F.2d 716 (C.A. 2.) b. Refusal to bargain in good faith (1) Rejection of union proposals: Throughout the bargaining negotiations the Union requested a checkoff of union dues, a union shop, and a limita- tion on production work by supervisors. The Com- pany refused to check off dues on the ground that it was the Union's business and not the Company's to collect dues; it said "no" to a union shop but that it would discuss the subject; and it refused to change its practice of assigning production work to super- visors. Citing Farmers Co-Operative Gin Association, 161 NLRB 887, the General Counsel argues that, as the Company makes voluntary payroll deductions for United States savings bonds, its savings plan, and profit sharing, its refusal to check off union dues was motivated solely by antiunion considerations and demonstrated its intention to frustrate agree- ment on a meaningful contract. Farmers Coopera- tive is distinguishable on its facts for the employer in that case made payroll deductions in payment of employee loans from banks and car dealers. As the Company makes no comparable deductions for private parties, and as the Union failed to pursue its proposal for a dues checkoff beyond a series of identical requests, 12 I see no basis for a finding that the Company's reason for refusing to check off union dues-that collection of dues was the Union's business-was advanced in bad faith. Cf. McLane Company, 166 NLRB 1036. The Company advised employees before the July 8 election to the effect that it would never agree to a union shop, and, on August 26, Plant Manager Ferguson posted a notice, stating in part: "The Company believes that each employee should make his own decision about union membership and, although we have listened to Union arguments against that principle, we have heard nothing that would cause us to change our minds." The General Counsel argues that the Company by such state- ments to the employees "consciously placed itself in a position where it could not give unfettered con- 1R Cf H K Porter Company, Inc , 153 NLRB 1370, enfd 363 F 2d 272 (C A D C ), cert denied 385 U.S 851 13 I find, in agreement with the General Counsel , that this announcement of increased hospitalization benefits at all the Missouri plants except Moberly, considered in light of its timing and the Company 's preelection 1609 sideration" to the Union's proposal for a union shop. The Company made no statements to em- ployees after August 26 indicating that its repeated offers to the Union after that date to discuss union security were not made in good faith. The Union made no effort to test the Company's good faith by initiating such discussions. I find that the Company did not refuse to bargain in good faith over a union shop. The General Counsel contends that the Company showed its bad faith on the Union's request for a clause prohibiting the performance of production work by supervisors, by taking the arbitrary posi- tion that its supervisors would do production work whenever the Company "saw fit." I credit Attorney Kuelthau's testimony that the Company's stated position on this subject was that it was entitled to assign production work to supervisors to keep them busy when they "weren't busy supervising." As the record shows that the Company's supervisors were assigned production work even before the May 27 layoff, I see no indication of bad-faith bargaining in the Company's statements that it intended to con- tinue this practice. (2) Increased benefits at the nonunion plants: In several letters to the Moberly employees before the July 8 election, Plant Manager Ferguson reminded them that the Company voluntarily granted and paid for such employee benefits as hospital and life insurance, vacations, and holidays. By letter dated July 9 President J. R. McDermott urged the em- ployees at the Company's other plants not to be stampeded into joining the Union because of its election victory at Moberly but rather to "wait and see" what happened at Moberly. On July 14 the Company increased hospitalization benefits at Kirk- sville, Macon, Clarence, Columbia, Boonville, and Jefferson City. In a letter announcing the increase in benefits, President McDermott explained that it had not been given to the Moberly employees because they had "elected to have the I.B.E.W. Union represent them [and] we no longer can deal directly with them in matters of this type. 1113 During September, the Company increased life insurance coverage, vacation benefits, and the number of paid holidays at the plants other than Moberly. It ad- vised the Union that it was willing to include these benefits in a final contract. Following the suspen- sion of bargaining negotiations on November 4, the Company increased starting wage rates at its other plants. The Company included these increased wage rates in a proposed contract sent to the Union in December. While the timing and manner in which the Com- pany put increased benefits into effect at its unor- ganized plants served to underline the Company's statements that only it and not the Union could increase hospitalization benefits, was violative of Section 8(a)(1) of the Act in that it was calcu- lated to impress upon the Company's employees that the Moberly plant was not receiving the increased benefits in reprisal for going union 354-126 O-LT - 73 - pt. 2 - 30 1610 DECISIONS OF NATIONAL LABOR RELATIONS BOARD position that its employees did not need a Union to obtain wage increases and other benefits, it does not follow, as the General Counsel contends, that the Company evinced bad faith at the Moberly negotiations by withholding these benefits from the Moberly employees until a contract could be agreed upon. The Company's conduct to be sure had the effect of putting pressure on the Union to accept its contract proposals, but such pressure is not of itself unlawful. I have found that the Com- pany did not refuse to bargain in good faith over union proposals on checkoff, union security, and a supervisory work clause, and it is not contended that the Company's own contract proposals warrant an inference of bad-faith bargaining. I find that the Company did not bargain in bad faith by granting benefits to its unorganized employees during the Moberly negotiations and withholding these benefits from the Moberly employees pending con- summation of a contract. In sum, I find that the Company violated Section 8(a)(5) of the Act by unilaterally changing incen- tive wage rates and by refusing to permit the Union to make its own timestudies of incentive rated jobs. I do not find that the Company engaged in overall bad-faith bargaining calculated to frustrate agree- ment upon a meaningful contract. 3. Interference, restraint, and coercion a. Supervisory conduct (1) Clyde Burris: Russel Taylor, a punch press operator on the night shift before the May 27 layoff, testified that Clyde Burris, his supervisor, came over to his press before the layoff and said, "People don't know enough to leave well enough alone." Burris added that "quite a few" union cards had been sent in and that if the Union got enough cards "to get in . . we will all be out of work, in- cluding me. I think the Company will move out." Although Burris and Taylor were friendly, Burris' remarks conveyed a clear threat that the Company would move the plant if the Union organized it and therefore were violative of Section 8(a)(I) of the Act. (2) Bob Eaton Johnston: During the week before the July 8 election, Joan Powers, an assembler, walked into the repair shop wearing a union pin. Assembly Foreman Johnston said, "Oh, so you have done it now. Get behind me, that thing hurts my eyes." Johnston did not order Powers to remove the pin and his remarks expressed his union an- tipathy but contained no threat of reprisal. I find contrary to the General Counsel's contention that Johnston's conduct on this occasion did not con- stitute unwarranted interference with the em- ployees' right to wear union pins. I find, however, that Johnston unlawfully threatened employees with economic reprisals for their union activity by telling Powers, Martha Kern, and Mona Neal, a day or so before the election, to "think twice about wearing ... union pins" because "things might be a lot different" after the election even though "he wasn't saying the plant would shut down." Although Powers had jokingly asked him where his union pin was, Johnston's reply was not such as to be taken in jest. On the day of the election, Johnston admitted to assembler Shirley Wolverton that he had asked Wolverton's daughter how her mother was going to vote at the election. I find that Johnston's admis- sion to Wolverton that he had inquired into her vot- ing intention was violative of Section 8(a)(1) of the Act. Johnston admitted that he threatened employee Bob Ruder, in the presence of other employees, with a punch in the nose if Ruder made a statement against him. Although not so alleged in the com- plaint, Johnston's threat was clearly violative of Section 8(a)(1) of the Act and I so find. (3) Donald Spicer: About a week before the May 27 layoff of the night shift, Bill Branham , a welder, told his supervisor, Donald Spicer, that he was 100 percent for the Union and would do everything he could to help the Union in. Spicer said he thought the Company might move out if the Union got in and Branham would not have a job.t" Although ex- pressed as his personal opinion, Spicer's remarks constituted a threat of economic reprisal and hence were violative of Section 8(a)(1) of the Act. Mon- roe Auto Equipment Company, 146 NLRB 1267, 1275, fn. 23. (4) Dale Miller: Joan Powers testified that Dale Miller, a timekeeper, told her to be careful how she voted at the election because they needed their jobs and that Plant Manager Ferguson would never sign a contract. Miller's primary relationship with the production employees is to point out errors in their time slips and have them correct the slips. I find that Miller is neither a supervisory nor a managerial employee and that his remarks to Powers are not attributable to the Company. (5) Willard Spotts: The last week in June, Super- visor Willard Spotts asked riveter Mary Jane Buckler what she would be making a year from now if the Union won the election. She said, "Probably about the same as I am now." He then asked what she would "be doing a year from now" if the Union lost the election. She replied, "I will probably be drawing my unemployment." Spotts said she could not draw unemployment compensation for more than 6 months. They argued about this and Spotts said he would find out. Spotts made a telephone call and about 20 minutes later told Buckler she could "only draw unemployment for 6 months." I " Harold Searcy , a welder, testified that he heard Spicer tell Branham that , if the Union won the election , the Company would close the plant "much like they did in Fostoria, Ohio " MCGRAW-EDISON COMPANY 1611 infer from this conversation that Spotts knew Buckler was a union supporter, that Buckler's re- mark about "drawing my unemployment" a year later indicated her belief that she would be discharged for supporting the Union if the Union lost the election, and that Spotts' emphasis on the fact that she could not draw compensation for more than 6 months implied that her fear of discharge after the election was well founded. I therefore find that Spotts' remarks to Buckler violated Section 8(a)(1). (6) Carl McKee: About a week before the July 8 election, plant Superintendent Carl McKee told repairman Preston Buckler that if the Union got in, it would "probably be hard" for Buckler to get a job at this age "if something happened." McKee added that he wished he had waited to build his new house. As McKee's statements to Buckler im- plied that a union victory might result in a company decision to move, I find them violative of Section 8(a)(1) of the Act. "Just before the election," McKee told Carl Swanson, a physically impaired employee, that if the plant "goes union," the Company would want its employees to pass a physical examination and that Swanson might find it hard to get a job at his age. I find that McKee's remarks violated Section 8(a)(1) as they constituted a threat that the Com- pany would increase its physical standards for em- ployment in the event of a union victory. (7) Harley Vasper: Before the election, Super- visor Harley vasper told employee Juanita Attebu- ry, who was wearing a union pin, to be careful how she voted because the vote could hurt herself and others. He added,"Look, at our age it would be hard for us to get a job." Vasper's remarks implied that the Company might close the plant if the Union won the election and hence were violative of Section 8(a)(1) of the Act. (8) Stanley Ferguson: A few days before the election, employee Diana Robb asked Bill Sander- son, manager of the Moberly Chamber of Com- merce , to take her to see Plant Manager Ferguson. Sanderson did so. Robb asked Ferguson about the Union and Ferguson said that it would not do the plant or the Union any good to come in, that he was following orders, that if the plant moved out the Company had a place to move it, but that he would have a lower job.15 As Ferguson's remarks indicated that top management was considering moving the plant if the Union won the election, I find them coercive within the meaning of Section 8(a)(1) of the Act. (9) William Wybert: Supervisor Wybert asked James Hunt, a laid-off employee, how he was going to vote at the election. Hunt said he was going to vote for the Union. Wybert attempted to persuade Hunt "out of it," saying in part, that the Company would either "pull up and run" or "cut production until it would have to close." Wybert's remarks were clearly violative of Section 8(a)(1) of the act. After the election, and the day after a union meeting, Wybert asked Buela Burton if she had paid her "three-sixty last night. 1116 Burton said she was "still free" and "They are just asking for trou- ble." Wybert replied, "They don't know how much trouble." Although Burton and Wybert were per- haps of one mind about the Union, Wybert's com- ment implied that the Company would visit economic reprisals upon union supporters and hence was violative of Section 8(a)(1) of the Act. (10) Alvin Roberts- Just before the election, welder Twana Winkler asked Supervisor Alvin Roberts if he had his suitcase packed. Roberts an- swered "no," the plant would not have to move because "they could starve us out and start up with all new faces." I do not credit Roberts' testimony that he and Winkler were only discussing the economic consequence of a strike and find that his remark implied that the Company would take steps to get rid of union supporters and hence was viola- tive of Section 8(a)(1) of the Act. b. The chamber of commerce letter In June, Manager Sanderson of the Moberly Chamber of Commerce told Plant Manager Fer- guson that he intended to send the employees a letter about the Union and subsequently supplied Ferguson with a copy of the following letter under a chamber of commerce letterhead: TO: ALL McGRAW -EDISON EMPLOYEES MOBERLY , MISSOURI A STATEMENT ABOUT OUR INDUSTRIAL FUTT IRE One of the most important community activi- ties that affects all people in this area is our ability to create new job opportunities via means of industrialization. We cannot continue to progress unless we continue to provide addi- tional job opportunities. The benefits of previous industrial success are here for all to see. Never before has our area known such a real atmosphere of progress in the form of new and improved jobs, rising con- struction, and retail trade. Your employer, McGraw-Edison, by locating in Moberly almost 14 years ago, started our upward trend in industrialization. The constant growth and expansion of the plant have been an indication to others that a favorable labor " I do not credit Robb's testimony that Ferguson expressly stated that the plant would be shut down if the Union came in 1e Union dues are $3 60 a month 1612 DECISIONS OF NATIONAL LABOR RELATIONS BOARD climate is in existence, and has helped pave the way for new industry to come to Moberly. When your Chamber of Commerce was work- ing to sell Moberly's location advantages to DuPont, it became necessary for us to prove that our labor force was of a high quality, sta- ble, and dependable. McGraw-Edison manage- ment made it possible for DuPont officials to tour your plant, and to see you in action. Your production and attitude, combined with other assistance from your management staff, became a primary factor in the DuPont deci- sion to eventually locate a plant here. DuPont was impressed that McGraw-Edison came to Moberly to escape labor disruptions and a pro- longed strike in Fostoria, Ohio. Experience tells us that disruptions in the labor field within a community complicate small town industrial development and sometimes bring it to a halt. There are many instances just like Fostoria, where an unfavorable labor situa- tion has resulted in industrial job opportunity deterioration. It has taken several years for our community history to dilute the factors in- volved in the loss of Brown Shoe, but industrial prospects still question us about that develop- ment. Thus far, we have been able to aggressively represent our town to industry with good suc- cess. We sincerely believe that our greatest period of success is still ahead - providing we can retain a salable community. Our labor force can be highly commended for the impor- tant contribution it has made to community progress. We would urge those involved in the field of labor relations to please weigh the full con- sequences, including the impact on community development, before making future decisions. Let us continue to work together for a better community future! Thanks for your interest! Bill Sanderson, Manager Having heard nothing from Ferguson about the letter, Sanderson sent copies of the letter on June 13 to the Moberly employees. He subsequently took employee Diana Robb, who had complained to him about the letter, to see Ferguson." At San- derson's behest, Ferguson said he "never had a thing to do with the letter" but, as found above, in- dicated to Robb that the Company might move away from Moberly if the Union won the Board election. The principal message conveyed by the letter is that "labor disruptions" at the Company's plant, such as the "prolonged strike" which caused the Company to move from Fostoria to Moberly, would discourage "new employers" from coming to Moberly, and that the employees should "weigh the full consequences ... before making future deci- sions." The General Counsel argues that the references in the letter to the Company's moving from Fostoria and the "unfavorable labor situation" which resulted in "job opportunity deterioration" at Fostoria, considered in the light of the May 27 layoff and supervisory threats that the plant would close if the Union got in, constituted a "trans- parent" threat to the employees that their union ac- tivities might result in the Company's moving out of Moberly. I find that the Fostoria references were calculated to instill fear in the employees that the Company would move from Moberly, as it had from Fostoria, if they voted for the Union at the Board election. The record shows that Ferguson had advance in- formation about the letter and its contents, and that he told employee Robb, during a conversation prompted by the letter and in the presence of San- derson, that he thought the Company might move away if the plant went union. In these circum- stances, and as the letter itself indicated that the Company and the chamber shared the same con- cern over "labor disruptions," I find that the Com- pany had an obligation to disavow the coercive aspects of the letter, and that by failing to do so it adopted the letter as its own and thereby violated Section 8(a)(I) of the Act. Cf. Henry I. Siegel, Inc., 165 NLRB 493. c. The newspaper advertisements of the Committee To Retain Moberly Industry Full-page advertisements reciting that they were paid for by a "Committee to Retain Moberly Indus- try" appeared in the Moberly Monitor -Index on July 5 and 7. Both advertisements implied that the Company might leave Moberly if the employees voted for the Union at the July 8 election . Thus, the July 5 advertisement read in part: Past history has proved that Moberly has been most unfortunate in losing industries following labor problems . Our committee is concerned about keeping our good employers in Moberly, and getting new ones if possible . If we lost Mc- Graw-Edison , what will we have left? We hope that those engaged in the present election of McGraw-Edison , will vote for con- tinued employment, and the best interest of Moberly. The advertisement closed by asking whether his- " Sanderson told Robb, and also employee Irene Harley, that he had spoken to Ferguson and Company President McDermott about the union campaign MCGRAW-EDISON COMPANY 1613 tory would repeat itself and the Moberly citizens again be subjected to the loss of employment and its consequences "as the result of losing a large payroll.... The answer lies in the hands of those involved in the present McGraw-Edison election. Let us hope that their decision is wise , and that in- dustrial peace will continue in Moberly." The July 7 advertisement was headed "Why Make Moberly A Test Case" and stated in part, "The question of basic concern to all people in the Moberly area is whether the McGraw-Edison Com- pany here will be closed or its production curtailed if a majority of the employees vote for the Union this Friday.... We are convinced that the first plant to vote union will not be viewed with favor by the Company. It would be only natural for them to make an example of the plant to keep others from doing the same thing.... Why not adopt a `Wait and See' policy? You can vote `No' and let the other towns, that can better afford to lose industry, take the chance." The July 7 advertisement included the following postscript: P.S. Since writing the above two days ago, the committee has called on a large number of Mc- Graw-Edison employees and frankly and in confidence discussed their feelings with them. The major indication of dissatisfaction was based on personality conflicts between some supervisors and some employees. We have contracted [sic] top management and they have indicated the basis for these conflicts would be checked into at once. We believe a real effort will be made to eliminate these con- flicts. Again we urge a "wait and see" action. With reference to the postscript, Company Pre- sident McDermott testified that he received a call from Will Ben Sims who told him that he had found that one problem at the Moberly plant seemed to be "some conflict" between the employees and their supervisors and foreman, that a "group of people" were going to run an ad and that "they would put a paragraph in the ad stating that they had talked to a company spokesman and that the company spokesman said he would check into the matter and do what he could." Plant Manager Fer- guson testified that he saw the July 5 and 7 adver- tisements on the days they were published. The postscript to the July 7 advertisement in- dicated a close relationship between "top manage- ment" and the persons composing the Committee To Retain Moberly Industry. The theme of "plant removal" in both advertisements echoed similar threats by Moberly officials, foremen, and super- visors. Moberly employees would reasonably be- lieve that the Committee spoke for the Company in its advertisements. As the Company was aware of the advertisements, I find that the Company was under an obligation to disavow the Committee's coercive appeal to the employees and that by its failure to do so it adopted and ratified the appeal and thereby violated Section 8(a)(1) of the Act. Henry I. Siegel, Inc., 165 NLRB 493. d. Eleanor McKee Employee Eleanor McKee, the wife of Plant Su- perintendent Carl McKee, told fellow employees that the Company would close the plant and move from Moberly if the Union won the election. While employees would reasonably infer that Mrs. McKee's remarks were based on information received from her husband, the record evidence does not warrant an inference that Mr. McKee or any other company official was aware of them. I conclude therefore that her remarks are not properly attributable to the Company.1e C. The Alleged Unfair Labor Practices at Kirksville Several Kirksville employees testified to state- ments they allegedly heard Plant Manager Floyd Winter make over the public address system in the plant. Lafayette Hocker testified that Winter said during the summer of 1966 that "the people was dumb at Moberly and couldn't think for them- selves" and that "the people in Kirksville' [should] wait and see what happened in Moberly." Lucille Hocker testified that Winter said the Moberly em- ployees were "dumb and ... needed somebody to think for ... them and ... would be sorry." Dolores Elam testified that Winter said "Moberly had went union and was shut down." Donald Flanagan testified that Winter said "anybody who would join the union was stupid, that the employees should think for themselves, that the Moberly plant had went union after the election and there had been a cutback and those people were stupid for joining the union." Jimmy Hanlin testified that Winter told the employees late in June that "if the plant went union we would have to pay union dues and we would have to pay for our own insurance and we would lose our profit sharing plan." Winter testified that he read prepared statements to the employees on April 22, May 27, June 15, and July 25, but denied telling the employees that they should "wait and see what happened at Moberly," or that they would lose their profit sharing and pay for their own insurance if the Union came in, or that "Moberly had voted union and was closed down."19 I consider it unlikely that Winter would have i9 Hill-Behan Lumber Company, 162 NLRB 745, cited by the General Counsel, is distinguishable on its facts , for the statements in that case were made by an employee who, in addition to being the father of a highly placed company official, had himself been the former manager of the store where the unfair labor practices occurred 19 Winter's secretary , Joan Brandenburg , testified that Winter did not deviate from the prepared texts of his four talks over the public address system 1614 DECISIONS OF. NATIONAL LABOR RELATIONS BOARD said-contrary to fact-that the Moberly plant was "shut down" and therefore do not credit Elam's above-uncorroborated testimony. Flanagan did not impress me as a reliable witness and I therefore do not accept his uncorroborated testimony to the ef- fect that Winter said there had been a cutback at Moberly because it "went union." As Hanlin's testimony that Winter said the employees would lose insurance and profit-sharing benefits if the plant was unionized is also uncorroborated, I con- sider it more likely that his testimony reflects Han- ltn's interpretation of what Winter said rather than what Winter actually said about these matters. As I see no coercion in the other statements attributed to Winter, I find that Winter's talks to the em- ployees over the plant public address system were not violative of Section 8(a)(1) of the Act. I find, however, that Winter violated Section 8(a)(1) of the act by asking Charlotte Ann Orek during a hiring interview in July whether she was for or against the Union. Orek said it did not matter to her. Although Winter denied Orek's testimony in this respect, I believe Orek had the better recollec- tion and credit her version of the hiring interview. D. The Alleged Unfair Labor Practices at Jefferson City 1. The refusal to hire James and Branham Robert James and Bill Branham , who had been laid off at Moberly on May 27, filled out applica- tions for work on July 13 at the Company's Jeffer- son City plant and turned them over to the recep- tionist. She advised them after returning from the office of Personnel Manager Gensky that jobs were not then available for them but that the Company would get in touch with them when it started to hire again . James and Branham heard nothing further about their applications. James' application for employment showed that he lived in Paris, Missouri; that he had worked at the Moberly plant since 1958 and had been laid off; that he had earned about $6,000 annually; that he had experience as a punch press operator and a su- pervisor; and that he would take any job on any shift with salary open. Branham's similar applica- tion showed that he lived in Moberly, that he had earned $3 an hour as a welder at the Moberly plant, that he had experience as a welder, punch press operator, lathe operator, and drill press operator, and that he would accept any job on any shift with salary open. Kenneth Laughlin applied for work at the Jeffer- son City plant on July 13. He was interviewed by Personnel Manager Gensky on July 14, hired on July 15, and began work on July 18 as a die-cast operator at an incentive rate of $1.45 an hour. Ar- "The Company's failure to hire Branham and James at Jefferson City and another laid-off employee, Henry Berrey, at Macon and Clarence (not alleged as a violation ), does not warrant an inference that the Company nold Trowbridge applied for work on July 15 and began work on July 19 as a machine operator in the machine shop at $1.45 an hour. Kenneth Vaughan applied for work on July 18, and began work on July 20 as an assembly line operator at an incentive rate of $1.40 an hour. Virginia Roark, Forrest Gil- more, David Hafley, and Clarence Monroe applied for work at the end of July and started work a few days later at incentive rates of $1.40 or $1.45 an hour. Roark was employed as a packer, Gilmore as a hobbing machine operator, Hafley as a sanding machine operator, and Monroe as a die-cast opera- tor. Trowbridge, Laughlin, and Monroe had no prior experience on the jobs to which they were as- signed. Personnel Manager Henry Gensky testified that Mrs. Smith, the receptionist, brought him James' and Branham's applications on July 13; that he glanced at the applications and noted that the two men earned a "fairly substantial" amount of money and that they lived from 70 to 90 miles away; and that he then instructed Mrs. Smith to tell Branham and James that their applications would be kept on file. He further testified that he did not consider Branham or James for the job in the machine shop assigned to Trowbridge "because they had no previous experience or any related experience" and that he did not consider them qualified to work as die-cast operators. He also testified that the Mis- souri Division of Employment Security has an open order to send him any person who "might be in- terested" in work at the plant. The General Counsel contends that James and Branham were denied employment at Jefferson City because the Company resented the "unioniza- tion of Moberly" and the "prominent roles " played by James and Branham in the Union' s organizing campaign. The record shows that Branham in be- half of the Union "made personal contacts and some telephone calls and gave out the authorization slips ," and that about a week before the May 27 layoft he told his supervisor, Donald Spicer, that he was "100 percent" for the Union and would do everything he could to help it get in . The record in- dicates that Superintendent McKee's wife regarded James and his wife as union leaders but it contains no description of James' union activity. I do not be- lieve it reasonable to infer from these facts that Branham and James were such "prominent" union leaders that the Company would single them out for special attention.20 As Gensky knew they were laid- off Moberly employees, subject to recall at higher pay than the jobs available at Jefferson City, he could reasonably believe that they were not likely candidates for permanent employment. I consider wholly specious, however, his assertions that their job qualifications were inferior to those of several applicants who were hired. Nevertheless, under all had adopted a discriminatory policy against the employment of Moberly employees at its other plants MCGRAW-EDISON COMPANY 1615 the circumstances, I find that the General Counsel has not established by a preponderance of the evidence that Branham and James were discrimina- torily refused employment at Jefferson City. 2. Interference, restraint, and coercion Lawrence Boeckman, a die caster, credibly testified that late in May or early June he asked his supervisor, Kenneth Roods, why the plant was slow- ing down production of fan rotors and Roods replied that the Union was "trying to take over all the plants," but that it was "a lot stronger" at Moberly, and "We are slowing that place down practically to nothing." Sometime in August, Roods asked Boeckman what happened "at that union meeting last night." I find that Roods' remarks to Boeckman to the effect that the Company was reducing production at Moberly because the em- ployees at the plant were responding to the Union's organizing efforts, and his request of Boeckman to report what went on at a union meeting, were viola- tive of Section 8(a)(1) of the Act. Boeckman also testified that one day in August he was in another department looking for a basket to put his work in when Supervisor Arthur Rackers told him to leave because he had "no business in that department talking to his employees" and Ken Roods "gave him them orders." Rackers' remarks indicate that Roods had instructed him not to per- mit Boeckman to talk to employees in his depart- ment during working hours. The record contains no evidence that other employees before or after this incident were permitted to leave their work areas during worktime to talk to other employees. I find no merit to the General Counsel's contention that Respondent either instituted or revived a "rule" that employees were not to leave their work areas "as a safeguard against Boeckman's [known] union sentiments." William Schlupe, a press operator, testified that he had a conversation after the Moberly election with his supervisor, Dean Kimsey. He remarked to Kimsey, "If we had a union here like they got up in Moberly things would go a little bit better for us." Kimsey replied, "Well, I think the boys up there made a bad decision. I think they are worse off than we are." Kimsey's remarks are not coercive on their face and the General Counsel has offered no other basis for their evaluation. I find that his re- marks constituted a protected expression of opinion that the Union was not an answer to the employees' problems. E. The Alleged Unfair Labor Practices at Boonville Linda Schilb testified that Supervisor Lester Chrisman told employees on the clipper assembly line before the July 8 election at Moberly that the Moberly 'plant would close if the Union got in. After the election , Chrisman told these employees that the employees at Moberly had been laid off, that they "weren 't drawing any money " and were "still paying their union dues," and that the em- ployees at Boonville would lose their hospitalization and profit -sharing benefits if the Union got in at Boonville . Joe Wallace Schilb testified that his su- pervisor , Joe Bates , told a group of employees after the Moberly election that " it is just a matter of time until Moberly moves out and closes down," that Mr. Bersted had spent a million dollars to move [from Fostoria ] and he will move again if he has to." I credit the foregoing testimony21 and find that Chrisman 's and Bates' statements concerning the closing down of Moberly and the loss of benefits at Boonville were vioative of Section 8(a)(1) of the Act. F. The Alleged Unfair Labor Practices at Macon Elmer Selby testified that he and Robert Rithcie work together, and that after the Moberly election Rithcie asked Plant Superintendent Yount about union negotiations. Yount told them they "should wait and see if [the Moberly plant] benefited by it." He also said the Macon plant might move if it "went union," that the Company would take the cost of moving out of profit sharing, and that the layoff at Moberly "could happen to us." Yount confirmed that Rithcie asked him about bargaining negotia- tions as he "was going by there," but denied mak- ing statements other than that everything had to be negotiated, including "wages, profit sharing, in- surance and what not." I believe Selby had the better recollection of the incident" and find that Yount made the coercive statements attributed to him, in violation of Section 8(a)(1) of the Act. G. The Alleged Unfair Labor Practices at Columbia; Objections to the Election 1. Interference, restraint, and coercion The Company employed about 12 employees at its Columbia warehouse in 1966. Five employees- John Acton, Gerald Bonen, Roger Snodgrass, Jackie Borts, and Steven Baldwin-signed Team- sters authorization cards between September 22 and 26. The five card signers asked employee Ver- non Dawson to tell Warehouse Manager Lon Vaughn they had signed up with the Teamsters. On September 28, Dawson told Vaughn five guys had signed union cards. Vaughn asked Dawson who they were but stopped Dawson after he named Borts. About this time, Vaughn asked Jackie Borts' s' Linda Schilb impressed me as a reliable witness Joe Schilb's testimony is uncontradicted 22 1 attach no significance to the General Counsel's failure to call Rtthcie to testify as Yount's remarks were made in the immediate presence of Sel- by 1616 DECISIONS OF NATIONAL LABOR RELATIONS BOARD brother, Jacob, whether he had signed a card; Jacob Borts said he had not. On September 29, Pre- sident McDermott, in Vaughn's presence, asked employee Edward O'Bryan what the trouble was and O'Bryan said the boys wanted more money- $2.47 an hour as paid at the Lady Baltimore warehouse in Columbia. O'Bryan then named all five card signers.23 Snodgrass and Baldwin were discharged at the end of the workday. On September 30, the Company advised the seven employees who had not signed Teamsters cards that they would receive wage increases, effec- tive October 3. O'Bryan received an increase of 20 cents an hour, Dawson and Jacob Borts 15 cents an hour, and the other four employees 10 cents an hour. I am convinced from the timing of the wage in- creases, and the granting of increases only to em- ployees who had not signed cards, that the in- creases were granted to discourage support of the Teamsters and hence were violative of Section 8(a)(1) of the Act. In this setting, and the dis- criminatory discharges found below, Vaughn's in- terrogation of Dawson and Jacob Borts about the signing of Teamsters cards must also be deemed coercive. 2. The discharges of Roger Snodgrass and Steven Baldwin The conversation on Thursday, September 29, between O'Bryan, McDermott, and Vaughn took place early in the morning. At 4:30 p.m., Vaughn called Roger Snodgrass to his office and discharged him, saying he had complaints against his work and "wanted to keep peace in the family."24 Vaughn told Snodgrass to send Baldwin to his office. When Baldwin came in, Vaughn told him he "had done good work in the past" but that he "wouldn't need [him] any more and would have to let [him] off." Snodgrass, a 19-year-old, started to work at the warehouse on August 15. He worked as a truck un- loader and checker. Vaughn received complaints about his work from a truckline and from Jackie Borts and O'Bryan. The complaints included sten- ciling errors and riding around on an electric fork- lift cart when Borts needed it. According to Vaughn, two or three trucks had to be unloaded because Snodgrass "had not properly checked the orders." He said he had two conversations with Snodgrass about his work in the 2 weeks before his discharge. In these conversations, Vaughn said, "We just discussed [Snodgrass' work], there was not any warning but I told him his work had to im- prove." Vaughn explained that he discharged Snodgrass on September 29 because "I could see he would never become a desirable employee. He didn't have any interest in the work at all." Baldwin, a boy of 17, was hired on July 6 to load and unload trucks. Several times during July and August, Edward O'Bryan and Gerald Borten com- plained to Vaughn that Baldwin raced through the warehouse on an empty forklift cart, and that he ran into pallets and knocked down merchandise without stopping to pick the merchandise up.25 They also complained that Baldwin got model num- bers mixed up. About a month before his discharge, Baldwin ran into part of the warehouse sprinkler system and Vaughn told him that "we was going to take him off for a while and for him to observe the running of the forklift by the other employees and I would put him back on."26 About 2 weeks later, Vaughn put Baldwin back on the forklift. Although Baldwin raced around "once in a while" after his return to the forklift, such conduct is not uncom- mon among the forklift operators and Vaughn said nothing to him about his operation of the forklift in the final 2-week period before his discharge. Vaughn testified that Baldwin's work picked up for a week after he was put back on the forklift, but "he started back to where he was before. That is when we terminated him." Snodgrass and Baldwin were discharged without notice, before the end of the workweek, and a few hours after O'Bryan gave their names to President McDermott and Warehouse Manager Vaughn as two of the five employees who had signed union cards. I do not credit Vaughn's testimony that his decision to discharge Snodgrass and Baldwin was made "the first part of the week" and that he discharged them on Thursday because Friday was to be spent "checking inventory" and "there wasn't anything to do much" until checkers from Boon- ville had checked the inventory count. Friday was a workday and the seven employees who had not signed cards were informed on that day that they would receive wage increases . Although Vaughn claimed that it was not his practice to give advance notice of discharge, he admitted that he had given one Leslie Harris such notice.27 Although Snodgrass and Baldwin had deficien- cies as employees, I find under all the circum- stances that the Company discharged them a few hours after it learned the names of the employees 23 O'Bryan was not sure whether he volunteered the five names or whether McDermott asked him to name the card signers Vaughn testified that O 'Bryan volunteered the five names 24 Vaughn testified that he told Snodgrass " he just wasn 't able to do the job I thought he should be able to do " 23 Baldwin admitted racing around on the electric cart but said that he picked up what he knocked down Vaughn testified that Baldwin had "a lot of difficulties" with the forklift , and that while everybody knocked merchandise over at one time or another, "Steve wouldn 't go back and pick them up, he would let them set and you would see evidence all over the place " Had Baldwin's conduct been as bad as described by Vaughn, I consider it entirely improbable that Vaughn would not have reprimanded him and instructed him to pick up the merchandise he knocked over. The record , however, shows no such action by Vaughn . For this reason, and as Baldwin impressed me as a candid witness , I find he usually if not always picked up the merchandise he knocked over. Y8 According to Vaughn , he had told Baldwin not to operate a forklift in the sprinkler area 27 Gerald Bonen said Hams had been given a week 's notice Vaughn testified that he gave Harris a day's notice MCGRAW-EDISON COMPANY 1617 who had signed Teamsters cards, not for their work deficiences, but in order to discourage support of the Teamsters, thereby violating Section 8(a)(3) and (1) of the Act. 3. The constructive discharge of Jackie Borts Jackie Borts worked at the Columbia warehouse about 2 years. He unloaded trucks for a year and then became an order filler. About a week or two after the discharge of Snodgrass and Baldwin, Vaughn transferred him back to unloading trucks. Borts expressed his dissatisfaction at the transfer, but Vaughn told him that he had to go back to un- loading trucks because the Company needed an ex- perienced man for that work. Floyd Tempel, who had been unloading trucks for about 6 months, took Borts' place as an order filler. About this time, Borts told some employees that he would quit if the Teamsters lost the Board election scheduled for November 7 at the warehouse.28 The Teamsters lost the election by a vote of 7 to 2 and Borts quit, telling Vaughn that he did not want to unload trucks the rest of his life. Gerald Bonen testified that Borts was put back on truck unloading after he told Vaughn he needed an experienced man to help him out.29 Although Borts preferred order filling to truck unloading, it would seem that his stated intention to quit if the Union lost the election was not related to his reas- signment to truck unloading, for he could not recall whether he informed other employees of his inten- tion before or after the reassignment . Truck un- loading is harder physical work than order filling but both jobs entail moving and lifting merchan- dise. Order fillers and truck unloaders have similar conditions of employment and Borts' pay was not affected by his reassignment to truck unloader. In these circumstances, I find no merit to the General Counsel's contention that Borts was put back on truck unloading in reprisal for his union activity and that he quit the Company because he properly considered the reassignment to be a demotion. 4. Objections to the Election The Teamsters filed objections to the November 7 election, alleging that the Company prevented fair election by changing job classifications and b giving wage increases . The only raises given after the Teamsters filed a representation petition on Oc- tober 3 were automatic 5-cent increases to Oscar and Floyd Tempel on October 17 and 19, and I have found that Borts was not discriminatorily put back on truck unloading. No other evidence was presented in support of the objections. I therefore conclude that the Company did not interfere with the election and shall recommend that the Team- sters objection to the election be overruled and the election results certified. IV. CONCLUSIONS OF LAW 1. The Company interfered with, restrained, and coerced its employees at its Missouri facilities, in violation of Section 8(a)(1) of the Act. 2. The Company violated Section 8(a)(3) and (1) of the Act by discriminatorily laying off 120 night-shift employees at the Moberly plant on May 27 and 31, 1966, and by discriminatorily discharg- ing Roger Snodgrass and Steven Baldwin at the Columbia warehouse on September 29, 1966. 3. The Company violated Section 8(a)(5) and (1) of the Act by unilaterally changing incentive wage rates at the Moberly plant and by refusing permission to the Union to make its own timestu- dies at that plant. 4. The aforesaid unfair labor practices affect commerce within the meaning of Section 2(6) and (7) of the Act. V. THE REMEDY Having found that Respondent engaged in certain unfair labor practices, I shall recommend that it cease and desist therefrom and take certain action designed to effectuate the policies of the Act. It has been found that Respondent laid off night- shift employees at the Moberly plant on May 27 and 31, 1966, and thereafter delayed their recall to work to discourage support of the Union. I shall recommend that Respondent make these em- ployees whole for any loss of pay suffered because of the discrimination against them. It has also been found that Respondent discharged Roger Snodgrass and Steven Baldwin at its Columbia warehouse on September 29, 1966, because of their activity in be- half of the Teamsters. I shall recommend that Respondent offer them immediate and full rein- statement to their former or substantially equivalent positions at the Columbia warehouse, without prejudice to their seniority or other rights and privileges, and make each of them whole for any loss of pay suffered by reason of the discrimina- tion against him . The loss of pay under the order recommended shall be computed in the manner set forth in F. W. Woolworth Company, 90 NLRB 289, with interest added thereto in the manner set forth in Isis Plumbing & Heating Co., 138 NLRB 716. Upon the foregoing findings of fact and conclu- sions of law and the entire record, and pursuant to Section 10(c) of the Act, I hereby issue the follow- ing: 2' Borts could not recall whether he made this statement before or after his transfer back to truck unloading 29 Borts in effect replaced Baldwin as a truck unloader. 1618 DECISIONS OF NATIONAL LABOR RELATIONS BOARD RECOMMENDED ORDER McGraw-Edison Company (Bersted Manufactur- ing Division), its officers, agents, successors, and assigns, shall: 1 Cease and desist from: (a) Unlawfully interrogating employees about their union membership or activity or threatening them with loss of employment or loss of benefits because of such membership or activity. (b) Discouraging membership in the Union, the Teamsters, or any other labor organization by discharging or laying off employees, or in any other manner discriminating against them in regard to hire or tenure of employment or any term or condi- tion of employment. (c) Refusing to bargain with the Union as the ex- clusive bargaining representative of all the em- ployees in the certified unit at its Moberly plant by the unilaterally changing incentive wages rates, and by refusing to permit the Union to perform inde- pendent timestudies through its own experts on in- centive rated jobs. (d) In any other 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 designed to effectuate the policies of the Act: (a) Upon request, permit the Union under reasonable terms and conditions to perform its own timestudies on incentive rated jobs in the certified bargaining unit. (b) Offer Roger Snodgrass and Steven Baldwin immediate reinstatement to their former or substan- tially equivalent positions at the Columbia warehouse, without prejudice to their seniority or other rights and privileges. Make whole Snodgrass and Baldwin, and the Moberly employees laid off on May 27 and 31, 1966, for any loss of earnings suffered by reason of the discrimination against them, as provided in "The Remedy" section of this Decision. (c) Notify Snodgrass and Baldwin if presently serving in the Armed Forces of the United States of their right to full reinstatement upon application in accordance with the Selective Service Act and the Universal Military Training and Service Act, as amended, after discharge from the Armed Forces. (d) Preserve and, upon request, make available to the Board or its agents , for examination and copying, all payroll records, social security payment records, timecards, personnel records and reports, and all other records necessary to analyze the amount of backpay due under the terms of this Recommended Order. (e) Post at its Missouri plants and the Columbia warehouse copies of the attached notice marked "Appendix."" Copies of said notice, on forms pro- vided by the Regional Director for Region 17, after being duly signed by the Respondent's representa- tive, 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 Respon- dent to insure that said notices are not altered, defaced, or covered by any other material. (f) Notify the Regional Director for Region 17, in writing , within 20 days from the receipt of this Decision, what steps have been taken to comply herewith.31 IT IS FURTHER RECOMMENDED that the objections to the election in Case 17-RC-5212 be overruled and that the results of the election be certified. '0 In the event that this Recommended Order is adopted by the Board, the words "a Decision and Order" shall be substituted for the words "the Recommended Order of a Trial Examiner " in the notice . In the further event that the Board 's Order is enforced by a decree of a United States Court of Appeals, the words "a Decree of the United States Court of Ap- peals Enforcing an Order" shall be substituted for the words "a Decision and Order " " In the event that this Recommended Order is adopted by the Board, this provision shall be modified to read " Notify said Regional Director, in writing , within 10 days from the date of this Order , what steps Respondent has taken to comply herewith " APPENDIX NOTICE TO ALL EMPLOYEES Pursuant to the Recommended Order of a Trial Examiner of the National Labor Relations Board and in order to effectuate the policies of the Na- tional Labor Relations Act, as amended, we hereby notify our employees that: WE WILL NOT refuse to bargain collectively with Local 257, International Brotherhood of Electrical Workers, AFL-CIO, as the represen- tative of the production and maintenance em- ployees at our Moberly plant, by unilaterally changing incentive wage rates, or by refusing to permit Local 257 to perform independent timestudies through its own experts on incen- tive rated jobs. We will, upon request, permit Local 257 to conduct its own timestudies. All our employees have the right to join or support a labor union. WE WILL NOT in any manner interfere with their exercise of this right. Specifically, WE WILL NOT question em- ployees about their union membership and ac- tivity or threaten them with loss of employ- ment or loss of benefits because of such mem- bership and activity. WE WILL NOT discourage membership in Local 257, or Teamsters Local No. 833, affiliated with International Brother- hood of Teamsters, Chauffeurs, Ware- housemen and Helpers of America, or any other labor organization, by discharging or laying off employees because of their union ac- tivity or sympathy or by discriminating in any other manner in respect to their hire or tenure of employment. MCGRAW-EDISON COMPANY WE WILL offer immediate and full reinstate- ment to Roger Snodgrass and Steven Baldwin to their former or substantially equivalent jobs at our Columbia warehouse, without prejudice to their seniority or other rights and privileges, and make them whole for any loss of pay suf- fered as a result of the discrimination against them. WE WILL make whole our Moberly em- ployees laid off on May 27 and 31, 1966, for any loss of pay suffered as a result of the dis- crimination against them. MCGRAW-EDISON COMPANY ( BERSTED MANUFACTURING DIVISION) (Employer) Dated By (Representative ) (Title) 1619 Note: We will notify Roger Snodgrass and Steven Baldwin , if presently serving in the Armed Forces of the United States, of their right to full reinstatement upon application in accordance with the Selective Service Act and the Universal Military Training and Service Act, as amended, after discharge from the Armed Forces. This notice must remain posted for 60 consecu- tive days from the date of posting and must not be altered, defaced, or covered by any other material. If employees have any question concerning this notice or compliance with its provisions , they may communicate directly with the Board's Regional Office, 610 Federal Building , 601 East 12th Street, Kansas City, Missouri 64106, Telephone FR 4-5181. Copy with citationCopy as parenthetical citation