Pullman Building Co.Download PDFNational Labor Relations Board - Board DecisionsAug 27, 1980251 N.L.R.B. 1048 (N.L.R.B. 1980) Copy Citation 1048 DECISIONS OF NATIONAL LABOR RELATIONS BOARD Pullman Building Company ad Operating Engi- neers Local Union No. 3, International Union of Operating Engineers, AFL-CIO. Case 20-CA- 14643 August 27, 1980 DECISION AND ORDER BY MEMBERS JENKINS, PENELLO, AND TRUESDAI.E On May 14, 1980, Administrative Law Judge William L. Schmidt issued the attached Decision in this proceeding. Thereafter, Respondent filed ex- ceptions and a supporting brief. The General Coun- sel filed limited exceptions to the Administrative Law Judge's Decision, and Respondent filed an an- swering brief to the General Counsel's 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 au- thority in this proceeding to a three-member panel. The Board has considered the record and the at- tached Decision in light of the exceptions and briefs and has decided to affirm the rulings, find- ings,' and conclusions of the Administrative Law Judge, except as modified herein. 1. The General Counsel has excepted to the Ad- ministrative Law Judge's limitation of the remedy to a date 6 months prior to the filing of the charge. The General Counsel argues that, where the 10(b) period is tolled for purposes of filing of a charge, it is likewise tolled for purposes of the remedy. We agree. In confining the remedy period to a date 6 months before the charge was filed, the Adminis- trative Law Judge relied on Don Burgess Construc- tion Corporation d/b/a Burgess Construction and Donald Burgess and Verlon Hendrix d/b/a V & B Builders, 227 NLRB 765 (1977), enfd. 596 F.2d 378 (9th Cir. 1979). In that case, the Board reversed the Administrative Law Judge's limitation of the reme- dial period to 6 months before the filing of the charge. The Board held that the respondent's con- cealment of its unfair labor practices tolled the i Respondent has implicitly 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 re- spect 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 (3d Cir 1951). We have carefully examined the record and find no basis for re- versing his findings. In fn. 18 of his Decision, the Administrative Law Judge stated that Re- spondent's resignation in May 1979 from the multiemployer association "effectively limits the appropriate unit to the Respondent's own employ- ees." We note that such a withdrassal from a multiemployer bargaining unit. if timely and effective. would limit the appropriate unit to Respond- ent's employees only upon the expiration of the 1977-80 collective-bar- gaining agreement. 251 NLRB No. 145 10(b) period with respect to the filing of the charge, and therefore that the limitation period was tolled in regard to the remedy as well. Although Respondent in this case did not, as did the respond- ent in Burgess, fraudulently conceal its violation of Section 8(a)(5) and (1) of the Act, there is no logi- cal reason to restrict the remedy to 6 months before the charge was filed, where, as in Burgess, the Union did not immediately become aware of the unfair labor practices through no fault of its own. Once the 10(b) period has been tolled for the purpose of filing the charge, the case is before us on the same basis as is any other case, and hence the usual make-whole remedy is the appropriate one. 2 Accordingly, we shall order Respondent to comply with the "Master Agreement" retroactively to the date of the commencement of the unfair labor practices found herein, including making em- ployees whole for the losses they incurred as a result of Respondent's refusal to abide by the terms of the agreement. 2. In his recommended remedy, the Administra- tive Law Judge provided for interest to be comput- ed on the moneys owed by Respondent to the trust funds as specified in Florida Steel Corporation, 231 NLRB 651 (1977). Under Merryweather Optical Company, 240 NLRB 1213 (1979), the Board does not compute interest on trust fund payments in the same manner as it computes interest on backpay. Rather, it leaves the determination of the interest, if any, to the individual provisions of employee benefit fund agreements, which may vary. Accord- ingly, we shall issue an amended remedy to reflect Board policy in this matter, as well as to require full retroactive compliance by Respondent with the terms of the Master Agreement. AMENDED REMEDY Having found that Respondent has engaged in certain unfair labor practices in violation of Section 8(a)(5) and (1) of the Act, we shall order that it cease and desist therefrom and that it take certain affirmative action to effectuate the policies of the Act. We shall order Respondent to comply with the Master Agreement retroactively to the date it com- menced its unfair labor practices and for the bal- ance of its term, including making employees whole for the losses they incurred as the result of Respondent's refusal to abide by the terms of such agreement. Backpay is to be computed in a manner consistent with Board policy as set forth in Ogle I Allied Products Corporation, Richard Brothers Division, 230 NLRB 858. 859 (1977). Accord: AMCAR Division, ACF Industries. Incorporared. 234 NLRB 1063, 1064 (1978), enfd, as modified 596 F 2d 1344 (8th Cir 1979). PULLMAN BUILDING COMPANYL 1049 Protection Service, Inc., and James L. Ogle, an Indi- vidual, 183 NLRB 682 (1970), with interest thereon as set forth in Florida Steel Corporation, 231 NLRB 651 (1977). In addition, we shall require Respond- ent to make the appropriate trust funds whole for losses suffered during the same period as a result of Respondent's failure to adhere to the Master Agreement. 3 We shall order Respondent to pro- vide the Union with the information requested by it, in writing, on or about April 3, 1979. ORDER Pursuant to Section 10(c) of the National Labor Relations Act, as amended, the National Labor Re- lations Board hereby orders that the Respondent, Pullman Building Company, San Carlos, California, its officers, agents, successors, and assigns, shall: I. Cease and desist from: (a) Refusing to bargain collectively concerning rates of pay, wages, hours, and other terms and conditions of employment with Operating Engi- neers Local Union No. 3, International Union of Operating Engineers, AFL-CIO, as the exclusive bargaining representative of its employees in the following appropriate unit: All operating engineers, apprentices and help- ers employed by Pullman Building Company in the geographic area specified in the Master Agreement between the Northern California Home Builders Conference and the Operating Engineers Local Union No. 3, International Union of Operating Engineers, AFL-CIO; ex- cluding all other employees, office clerical em- ployees, timekeepers, messenger boys, inspec- tors, confidential employees, guards, superin- tendents, assistant superintendents, general foremen, foremen and supervisors as defined in the Act. (b) Failing and refusing to abide by the terms of the Master Agreement for Northern California be- tween the Northern California Home Builders Con- ference and Operating Engineers Local Union No. 3, International Union of Operating Engineers, AFL-CIO, effective by its terms from June 16, 1977, through June 15, 1980. a Because the provisions of employee benefit fund agreements are vari- able and complex, the Board does not provide at the adjudicatory stage of a proceeding for the addition of interest at a fixed rate on unlawfully withheld fund payments. We leave to the compliance stage the question whether Respondent must pay any additional amounts into the benefit funds in order to satisfy our "make-whole" remedy These additional amounts may be determined, depending upon the circumstances of each case, by reference to provisions in the documents governing the funds at issue and, where there are no governing provisions, by evidence of any loss directly attributable to the unlawful withholding action. which might include the loss of return on investment of the portion of funds withheld, additional administrative costs, etc., but not collateral losses (c) Failing and refusing to provide Operating Engineers Local Union No. 3, International Union of Operating Engineers, AFL-CIO, with the infor- mation requested by it, in writing, on or about April 3, 1979. (d) In any like or related manner interfering with, restraining, or coercing employees in the ex- ercise of the rights guaranteed them in Section 7 of the Act. 2. Take the following affirmative action which the Board finds necessary to effectuate the policies of the Act: (a) Upon request, bargain with the above-named labor organization as the exclusive representative of all employees in the aforesaid appropriate unit with respect to rates of pay, wages, hours, and other terms and conditions of employment. (b) Comply with the terms and conditions of the above-described Master Agreement retroactively, including making the appropriate trust funds and employees whole in the manner described above in the section of this Decision and Order entitled "Amended Remedy." (c) Furnish the above-named Union with the in- formation requested by it, in writing, on or about April 3, 1979. (d) Preserve and, upon request, make available to the Board or its agents, for examination and copy- ing, all payroll records, social security payment re- cords, timecards, personnel records and reports, and all other records necessary or useful to a deter- mination of the moneys due under the terms of this Order. (e) Post at its Paradise Cay, California, jobsite copies of the attached notice marked "Appendix." 4 Copies of said notice, on forms provided by the Regional Director for Region 20, after being duly signed by Respondent's representative, shall be posted by Respondent 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 Re- spondent to insure that said notices are not altered, defaced, or covered by any other material. (f) Notify the Regional Director for Region 20, in writing, within 20 days from the date of this Order, what steps Respondent has taken to comply herewith. 4 In the event that this Order is enfirced h a Judgment of a. Ulied Slates Court of Appeals. the ords in the notice reading "Posled hb Order of the National ILabor Relations Board" shall read Posted P'lrsu- ant to a Judgment of the United Stales Court of Appeals Enforcing an Order of the National abor Relations Board " PULLMAN BUILDING COMPAN I O 1050 DECISIONS OF NATIONAL LABOR RELATIONS BOARD APPENDIX NOTICE To EMPLOYEES POSTED BY ORDER OF THE NATIONAL LABOR REILATIONS BOARD An Agency of the United States Government WE WILL NOT refuse to bargain collectively with Operating Engineers Local Union No. 3, International Union of Operating Engineers, AFL-CIO, as the exclusive bargaining repre- sentative of our employees in the following ap- propriate unit with regard to rates of pay, wages, hours, and other terms and conditions of employment: All operating engineers, apprentices and helpers employed by us in the geographic area specified in the Master Agreement be- tween the Northern California Home Build- ers Conference and Operating Engineers Local Union No. 3, International Union of Operating Engineers, AFL-CIO; excluding all other employees, office clerical employ- ees, timekeepers, messenger boys, inspectors, confidential employees, guards, superinten- dents, assistant superintendents, general fore- men, foremen and supervisors as defined in the Act. WE WILL NOT fail and refuse to abide by the terms of the Master Agreement for Northern California between the Northern California Home Builders Conference and the above- named labor organization, effective by its terms from June 16, 1977, through June 15, 1980. WE WILL NOT fail and refuse to furnish the above-named Union with the information re- quested by it, in writing, on or about April 3, 1979. WE WILL NOT in any like or related manner, interfere with, restrain, or coerce our employ- ees in the exercise of the rights guaranteed them in Section 7 of the Act. WE WILL, upon request, bargain collectively with the above-named Union as the exclusive bargaining representative of our employees in the above-described unit with regard to rates of pay, wages, hours, and other terms and con- ditions of employment. WE WILL comply with the terms and condi- tions of the Master Agreement to which we are bound. WE WILL make our employees whole, with interest, for any losses they may have suffered as a result of our failure to apply the terms and conditions of the Master Agreement, including the making of the necessary payments to the appropriate fringe benefit trust funds. WE WII . furnish the Union with the infor- mation requested by it, in writing, on or about April 3, 1979. PUl.MAN BUIl.)IN(; COMPANY DECISION SI A ILMI'NI 01 I IF CASE WIlI IAM L. SCIMIIr, Administrative Law Judge: This matter was heard before me on December 5 and 6, 1979, in San Francisco, California.' The proceeding is based on a complaint issued on behalf of the General Counsel by the Regional Director for Region 20 on July 31, pursuant to a charge against Pullman Building Com- pany (hereinafter called the Respondent), filed by Oper- ating Engineers Local Union No. 3, International Union of Operating Engineers, AFL-CIO (hereinafter called the Union), on June 12. In essence, the complaint alleges that the Respondent violated Section 8(a)(l) and (5) of the Act by refusing to abide by the terms of a multiemployer collective-bargain- ing agreement between the Northern California Home Builders Conference (hereinafter called NCHBC) and the Union and by refusing to furnish certain information to the Union which is alleged to be necessary to police compliance with said agreement. The Respondent's answer denies that NCHBC is the collective-bargaining representative of the Respondent or that the NCHBC collective-bargaining agreement with the Union is appli- cable to its employees. The Respondent's answer is silent with respect to the allegation that it refused to furnish the Union with the requested information but it specifi- cally denies that it engaged in any unfair labor practices. Upon the entire record in the case,2 including my ob- servation of the demeanor of the witnesses and upon the consideration of the briefs filed, I make the following: FINDINGS OF FAC 1. BUSINESS OF THE RESPONDINIF The Respondent, a California corporation with an office and place of business in San Carlos, California, has been engaged in the development of real estate in Marin County, California, which development is known as Paradise Cay. At all times material herein, the Respond- ent has been a member of the Building Industry Associ- ation of Northern California (hereinafter called the BIA), an organization of employers which exists, in part, for the purpose of representing its employer-members in col- lective bargaining with various area labor organizations. During the calendar year ending December 31, 1978, the employer members of BIA, collectively, provided serv- i Dates not otherwise specified in this Decision are 1979 The General Counsel's unopposed motion to correct the transcript herein is hereby granted. Those corrections as well as additional correc- tions made sua sponte are set forth herein as Appendix B [omitted from publication]. PULLIMAN UILDING CONWANY~ 1051 ices valued in excess of $50,000 for other enterprises within the State of California. each of which meets the applicable Board standard for the exercise of jurisdiction on a direct basis.3 Based on its membership in the BIA at times material hereto, I find that the Respondent is an employer within the meaning of Section 2(2), (6), and (7) of the Act. I further find that it would effectuate the purposes of the Act to assert jurisdiction in this dispute. II. THE ABOR ORGANIZATION The Union is now, and has been at all times material herein, a labor organization within the meaning of Sec- tion 2(5) of the Act. 111. THE ISSUES In essence, the Respondent denies that it was ever a builder member of the BIA which is the only class of members in the BIA who have vested that organization with authority to bargain with the Union. Accordingly, the Respondent claims that it is not bound to the agree- ment which BIA's alleged agent, NCHBC, negotiated with the Union. In addition, the Respondent asserts that, even if it were bound to the agreement, as alleged, the type of work which it has performed at its Paradise Cay development since June 1978 is not subject to the agree- ment between NCHBC and the Union. For the reasons more fully explained below, I find the Respondent's con- tentions lack merit. IV. THE EVIDENCE A. The Respondent's Operations As noted above the Respondent is a California corpo- ration which maintains an office in San Carlos, Califor- nia. The Respondent was formed in approximately 1950. Presently, it has two subsidiaries-one subsidiary, Tim Industries, manufactures architectural aluminum prod- ucts, and KMC, the other subsidiary, holds real estate for investment purposes. Tim Industries in turn has a subsidi- ary in Hawaii which markets Tim's products there. Ac- cording to the Respondent's vice president, William L. Kerwin, the Respondent is basically a land developer which owns property in Marin County, California-cur- rently being developed-and a small parcel of undevel- oped land in Hillsborough, San Mateo County, Califor- nia. The Marin County property is the Paradise Cay de- velopment located on the leeward side of the Tiburon peninsula. The Paradise Cay development is an 80-acre tract which has been subdivided into 234 lots for the construction of single-family residences. In addition, the development includes a yacht harbor for the berthing of boats. The development of Paradise Cay began in 1956. 4 By 1972 or 1973, the Respondent completed certain of the improvements in the subdivision such as streets, curbs, gutters, and sewer lines and, for reason discussed below, that work ceased until after June 1978. In 1974 and 1975 the Respondent constructed houses on at least A the hearing the Respondent amended its answer to so admit. 4 The actual work at Paradise Cay is being performed by Paradise Cay Company which Kerwin described as a "registered d/b/a" f the Re- spondenl some of the lots which had been improved by the prior work. Further development of Paradise Cay was slowed by a water moratorium which was declared in Marin County in approximately 1973 or 1974 due to a critical water shortage in the area. Although the Respondent was permitted to continue building on those lots for which it had already paid a water connection fee, it was not able to continue with the development of the Para- dise Cay property from sometime in 1975 until after June 1978 when the water moratorium ended. Beginning in mid-1978, the Respondent commenced to seek approval of the appropriate local authorities to improve further lots in the subdivision but this improvement work-the installation of streets, sidewalks, curbs, water lines, sewers, gutters-was done by employees of a subcontrac- tor rather than employees of the Respondent. In addi- tion, the Respondent arranged with the utility and televi- sion cable companies to install their respective lines. At the same time that the Respondent sought to fur- ther expand Paradise Cay, it found it necessary to per- form certain maintenance work on previously installed improvements within the subdivision. As described at the hearing, this maintenance work consisted essentially of raising the level of certain man-made land areas which extend out into the San Francisco Bay in order to pro- tect the harbor area and boat berths from the erosive ef- fects of unnatural wave action caused primarily by a ferry service from the Tiburon peninsula to San Francis- co.5 For this latter work, the Respondent utilized its own employees, some of whom were engaged in the op- eration of a Cat D-80, a Northwest D-80, a pull scraper, a backhoe, and an end-loader. It is undisputed that the operation of the foregoing equipment is the type of work which is normally performed under the Union's agree- ment wih NCHBC. B. The Union s Discovery of Paradise Cay Sometime in March, Harvey Pahel, a representative of the Union in the area, received a complaint from a con- tractor to the effect that the Respondent was being per- mitted to operate on a nonunion basis to perform the same work as the complaining contractor was required to perform under the labor agreement. This allegation led Pahel to visit the Paradise Cay jobsite on March 29 where he observed the pieces of heavy equipment previ- ously noted in operation. Pahel was also able to learn from an employee at the jobsite that the work was indeed being performed on a nonunion basis. s More specifically, Kerwin testified that in the Paradise Cay develop- menl, some homes are built on the water in such a fashion that some homeowners can berth a boat behind their home and have direct acccs to San Francisco Bay. When the Respondent acquired the property, rock from a hill on the property was quarried and distributed to form a perim- eter for man-made fingers which are homesites and which extend out into the Bay. Thereafter, the Bay fingers were dredged and the mud from the dredging operation was put in the dikes created by the rock fingers The wase action alluded to above breaks over the lop of some of the land extending out into the bay, eroding the surface (including the road-to-the- yacht harhbor) and disturbing the boats berthed at indi idual homes as well as at the yacht harbor The maintenance xwork insolsed raising tIh level or the land to protect the area from the wave action This work was performed in the period from mid-1978 to mid-1979 PUll MAN BUILDING COMPANY lost 1052 DECISIONS OF NATIONAL LABOR RELATIONS BOARD Pahel returned to his office and commenced an investi- gation of the Union's records to determine if the Re- spondent was bound to a collective-bargaining agreement and whether or not the Respondent was making fringe benefit payments into the appropriate trust funds. As a result of his investigation, Pahel became convinced that the Respondent was bound to an agreement with the Union and he also learned the Respondent was not paying fringe benefits for the Paradise Cay employees. The result of Pahel's investigation led him to return to the jobsite on April 2. He was accompanied by Jim Bar- rett of the Laborers Union. At this time, Pahel spoke to Tom Mosley, the Respondent's project manager at Para- dise Cay. Pahel asked Mosley why the Respondent was not abiding by the agreement it had with the Union. Mosley informed Pahel that the Respondent was merely moving dirt at the site, that the Respondent was not en- gaged in building, and, therefore, the Respondent did not feel that it was obligated to follow the agreement for the work being performed. Pahel responded that the agree- ment was applicable to any work done for the purpose of establishing a base on which to build a house. Mosley replied to Pahel's assertion by saying that he did not think so and told Pahel further that he could take what- ever steps he felt necessary in order to take care of the problem. Following Pahel's second visit to the jobsite, he traveled to the Union's district office in San Francisco where he requested that his superiors seek an audit of the Respondent's books. In paragraph 10 of the complaint, it is alleged that on or about April 3 the Union demanded in writing, that the Respondent supply the Union with certain payroll re- cords necessary to ascertain whether or not the Re- spondent was complying with the NCHBC agreement with the Union in the payment of wages and fringe bene- fits. The complaint further alleges that in May, Kerwin refused access by the Union to the requested payroll re- cords. Complaint paragraph 10 also alleges that the aforementioned information requested by the Union is necessary in the performance of its function as the col- lective-bargaining representative of the employees of the NCHBC members. The Respondent's answer is silent with respect to all of the allegations in paragraph 10. C. The Multiemployer Association The BIA is a trade association comprised of a variety of businesses involved in the homebuilding industry in Northern California. It performs several different serv- ices on behalf of its members in an effort to promote the interests of the industry, including representing its build- er members in collective bargaining with area trade unions. The Respondent's involvement with an industry trade association predates the birth of the BIA. In approxi- mately 1955, the Respondent became one of the charter members of a predecessor trade association known as the Peninsula Home Builders Association (hereafter called the PHBA). At some unspecified time prior to 1970, a series of consolidations and mergers occurred among the several of the Northern California trade associations in the homebuilding industry, including PHBA. Eventually, the merger and consolidated process resulted in the emergence of a single organization, the BIA, in 1974.6 In the period preceding the formation of the BIA, the NCHBC existed as a federation composed of the various different homebuilding trade associations which, among other things, negotiated collective-bargaining agreements on behalf of its members. Following the formation of the BIA, the NCHBC continued to exist for the purpose of performing labor relations and labor law services for the BIA. 7 As previously noted, the BIA is comprised of a variety of businesses. The bylaws of the BIA provide for seven classes of membership. Pertinent to this decision are the membership classifications entitled builder members and land developer member.8 Under the bylaws of the BIA, a builder member is described as any individual builder or contractor or an officer of a corporation normally li- censed as an A or B-I contractor under the laws of the State of California, who subscribes to the code of ethics of the BIA and who is acceptable to the BIA's board of directors. A land developer member is defined under the BIA's bylaws as an individual or company which devel- ops land for construction and/or subdivision use but who does not actually perform the construction of any struc- ture on such land. Very significant differences exist with respect to the BIA's authority in connection with collec- tive bargaining as a result of the different classes of membership. Thus, article III of the BIA's bylaws pro- vides as follows: 10. All Builder Members by virtue of becoming members of this Association vest all bargaining rights in collective bargaining matters with the Board of Directors and designate the Board of Di- rectors their attorney-in-fact for such purpose. The Board of Directors in executing and carrying out those functions referred to in this section may by resolution authorize any committee to execute and carry on such functions in their behalf, and the res- olution appointing any such committee may specify the plan and method to be used by such committee. Further, the Association on its own behalf and on behalf of its members may, through its duly author- ized officers, when authorized to do so by a major- ity vote of the Board of Directors, enter into collec- tive bargaining agreements with labor unions whose members are employed by Builder Members of the Association. The Board shall have the power to in- s Wesley Sizoo, the BIA's counsel, testified from his own recollection that the mergers and accretions of area trade associations led to the birth of the BIA in approximately 1970 and that the bylaws were adopted in approximately 1971. The BIA's bylaws reflect that they were, in fact, adopted in March 1974. ' Under art. V, sec. 11, of the BIA's bylaws, all builder members are required to be members of NCHBC and that provision further provides that NCHBC, "shall perform all labor relations and labor law services for the [BIA]." In view of this provision, I find the Respondent's assertion at the hearing that there was no evidence NCHBC was authorized to act in labor relations matters on behalf of the BIA lacks merit. Accordingly, my ruling denying the Respondent's attempt to amend its answer in this repect at the conclusion of the hearing is hereby reaffirmed. 8 The other classes of membership are designed to accommodate sup- pliers, decorators, banks and savings and loan institutions, government of- ficials, and so forth Only representatives of the BIA's builder members are permitted to hold office in the BIA. PULLMAN N UILDINGN CMPANY 10()53 terpret and enforce collective bargaining agree- ments entered into with labor unions on behalf of Builder Members of the Association. 11. The Board of Directors may represent non- Builder Members in negotiations with labor organi- zations upon the execution of a power of attorney agreement for this purpose. The fee for such serv- ices shall be determined by the Board of Directors. Membership by non-Builder Members shall not automatically designate or appoint the Association as their labor relations or collective bargaining rep- resentative or agent. There is no evidence that the Respondent ever execut- ed a power of attorney to the BIA pursuant to article 111, section 11.9 The Respondent is licensed in the State of California as a B-I contractor. The holders of such licenses are au- thorized to engage in business for the purposes of con- structing low rise buildings and residential structures. It is undisputed that the Respondent has always been car- ried on the membership lists of the BIA as a builder member. Joseph Melchior, the BIA's current president, also testified that any member of the BIA who holds a B-l contractor's license must be either a building member or a contributing member.' 0 There is no evi- dence that the Respondent ever advised the BIA that the BIA erroneously carried it on the membership lists as a builder member or that it had altered its business oper- ations in such a manner as to warrant reclassification from a builder member to a land developer member. As recently as October 1978, the BIA surveyed its builder members to determine the operational names under which its builder members were operating in order to be able to respond to prospective home buyers who made inquiries of the BIA asking for the names of builder members who were building in specific areas. The Re- spondent advised the BIA that it was building in the Ti- buron-Marin area under the name of Paradise Cay Com- pany. The same questionaire provided space for the re- cipient to respond to the following inquiry: In addition to building, we develop land under the name(s) of: That portion of the form inquiry submitted to the BIA by the Respondent was left blank. Moreover, Kerwin testified that the Respondent had been engaged in build- ing residential structures at the Paradise Cay develop- ment as late as 1975 when it used up all of the improved lots in that subdivision which were not affected by the water moratorium. I After the water moratorium was lifted, the Respondent commenced to improve further lots utilizing the services of a subcontractor. The only evidence submitted in support of the Respondent's con- tention that the BIA had erroneously carried it as a 9 In fact, the BIA represents no enterprise pursuant to an art. 11tt1, sec I I, arrangement. o The Respondent makes no claim that it is a contributing member l More specifically. Kerwlin testified that the Respondent ceased building homes for others in 1970 According to Kerrsin. the Respondent has built homes for ils, oivn account during slo"ii period, after 17(1 builder member was Kcrwin's testimony that the Re- spondent functioned basically as a land developer. According to Kerwin, the Respondent employed one operating engineer and three or four carpenters in the course of its building activities in 1974 and 1975.12 Al- though there is evidence that the Respondent applied the terms of a collective-bargaining agreement to its lone op- erating engineer during that period, no evidence was of- fered to show whether or not the terms and conditions of employment of the carpenter employees were covered by any collective-bargaining agreement. Kerwin testified that in December 1978 the Respond- ent reached the conclusion that the cost of its BIA mem- bership outweighed the benefits, so he instructed his sec- retary to telephone the BIA to advise that the Respond- ent was terminating its membership. The BIA continued to bill the Respondent for dues. By letter dated May 15, 1979, Kerwin wrote the BIA returning a dues bill and advising the BIA that it had not been a member since December 31, 1978.'3 The secretary was not called to testify. D. The Pertinent Collective-Bargaining Activities Wesley Sizoo, the legal counsel or NCHBC, testified that he represents NCHBC in collective-bargaining nego- tiations. According to Sizoo, NCHBC negotiates agree- ments with the carpenters, laborers, cement masons, op- erating engineers, and the construction teamsters. Tradi- tionally, the homebuilders in the BIA employ very few operating engineers. As a consequence, the NCHBC agreement with the Operating Engineers is closely pat- terned after the agreement that that labor organization negotiates with the Associated General Contractors of California (AGC) and the Engineering and Grading Contractors Association (EGCA) and very little actual negotiation takes place between the Union and NCHBC. '4 Nevertheless, the NCHBC agreement with the Union is entirely separate from the agreement the Union has with the ACC and the EGCA. It appears that following the formation of the BIA, the first agreement between the NCHBC and the Union was executed in July 1974 and was effective for the period June 16, 1974, through June 15, 1977. The current agree- ment (entitled Master Agreement for Northern California and hereinafter called Master Agreement) between the Union and the NCHBC was executed in March 1978 and is effective for the period from June 16, 1977, through 12 It is acknowledged that the carpenters were engaged in honmebuild- ing activities The operating engineer was utilized in connection uith building foundations, laying water, sewer, gas, electric, telephione and cable television lines from the street ito the indisidual homes, and per forming maintenance work in the nature of that performed from mid- 1978 to mid-1 9 79 li In view of the cost-benefit explanation, Kerwin was asked w.h, the Respondent had not resigned from the BIA much earher and, in re. sponse, he testified that the Respondent had been in the BIA so long that the bills were paid automatically without anyone looking at them The BIA's records for the Respondent's 1977 and 1978 dues shows that the dues for those years became severely delinquent before payment was made 4 By contrast, the BIA builders empli approximatel 40,t(X) carpen- ters As a consequence. the BIA. through Sioo. negotiates the arpen- ter' agreement that serxes as the pattern for the arca I'U1.1MAN BUIL.t)INC, (.'()NIPANY 053 1054 DI5C)EISIONS OF NATI()NAI. IAIB()R RELATIONS BOARD) June 15, 1980. As previously noted, the parties agree that the equipment utilized at the Paradise Cay jobsite in 1978-79 operations is the type of equipment normally op- erated by employees who work under the Master Agree- ment. Moreover, section 02.01.(X00 of the Master Agree- ment defines its geographic coverage as being that por- tion of Northern California lying above the northerly boundaries of San Louis Obispo and Kern Counties and the westerly boundaries of Inyo and Mono Counties. Geographically, Paradise Cay is in the covered area. Fi- nally, the Master Agreement provides the following which is pertinent to the decision reached herein: 02.01.00 Employer. The term "Employer" as used herein shall mean NORTHERN CALIFORNIA HOME BUILDERS CONFERENCE. 02.02.00 Individual Employer. The term "Individual Employer" shall mean those persons or entities, in- cluding joint ventures, who are listed on Exhibit A, on file with the Union. Exhibit A shall be prepared by Northern California Home Builders Conference and filed with the Union and shall list Individual Employers. Northern California Home Builders Conference shall file with the Union monthly a list of the new members of the Association whose names shall be added to Exhibit A subject to 02.02.01, applicants for membership and those whose membership has terminated since the previ- ous monthly report in the same form as Exhibit A. The Union shall acknowledge receipt of Exhibit A and monthly lists in writing. incorporated into a job or project of an Individual Employer so long as such material is actually bcing produced or delivered to such job or project, pro- vided, however, this Agreement shall not apply to any such work if such work is covered by a sepa- rate labor agreement with the Union. 02.11.01 The Union hereby recognizes and ac- knowledges that Employer is the collective bargain- ing representative of the Individual Employers listed on Exhibit A. 02.11.02 This Agreement shall bind each and every Individual Employer . . . who has authorized the Employer to represent it with the same force and effect as if the Agreement were entered into by each such Individual Employer.... [E]ach such Individual Employer shall be and continue to remain bound to this Agreement for and during the term of this Agreement irrespective of whether such Individual Employer shall withdraw its au- thorization, resign, or be expelled from the Employ- er prior to the expiration date of this Agree- ment. 02.11.03 Each Employer and each Individual Em- ployer covered hereby recognizes and acknowl- edges . . . [the Union] . . . as the exclusive collec- tive bargaining representative of all Employees cov- ered by this Agreement. Exhibit A was never introduced in evidence. Accord- ing to Sizoo a membership list is produced whenever the Union makes a request for one. In addition, Sizoo testi- fied that after the parties executed the Master Agree- ment, the list of the building members of NCHBC was provided to the Union. As it is the Union's responsibility to have the agreement printed in final form, Sizoo was not aware of what was done with the membership list. The Respondent acknowledges that it has been bound to a collective-bargaining agreement with the Union in the past. In this connection, the Respondent produced a "short form agreement executed by Charles Marsak on behalf of the Employer and Wayne Prinkle on behalf of the Union.' 5 This latter agreement recites that it was ex- ecuted on August 1, 1974. Under the terms of this agree- ment, an employer is bound to the master agreement be- tween the Associated General Contractors and the Union. According to Kerwin, officials of the Respondent directed Marsak to execute the agreement. Marsak did not testify. Kerwin testified that this agreement expired in 1977 and was not renewed because the Respondent employed no operating engineers at that time. The fringe benefit programs under all of the Union's agreements are administratively handled by the C. W. Sweeney Company. For purposes of its recordkeeping functions, Sweeney maintains a code number for each of ") Marsak was he Respondent' lone operating engineer at Paradise Cay in 1974. According to the estirnons, Marsak retired alt he end of 1974 * * * * * 02.07.00 Unit Work. The Agreement shall cover and apply to all activities of the Individual Employ- er in the area covered by this Agreement falling within the recognized jurisdiction of the Union, in- cluding, but not limited by inference or otherwise, to building construction, demolition, site clearing, pipelines, oil or gas refineries (excluding the falling and removal of merchantable timber by the pur- chases of the merchantable timber) . . . Steel Fabri- cators and Erectors . . . and . . . Piledriving. It shall also apply to all maintenance, modification and repair work and facilities, on-site or off-site, of an Individual Employer in the area covered by this Agreement, except an off-site repair or maintenance facility with respect to which the Individual Em- ployer is in a bona fide collective bargaining rela- tionship with a labor organization covering such In- dividual Employer's off-site maintenance and repair facility at the time the Individual Employer be- comes a party to, or covered by, this Agreement. This Agreement shall also apply to the operation, modification, maintenance, and repair of equipment covered by this Agreement . . . used in the produc- tion of imported borrow, rip-rap, rock, sand, gravel, aggregates of all kinds, concrete (excluding cement), asphalt or macadam or other road-surfac- ing materials (excluding oil) off the site of a job or project by an Individual Employer which is to be P11,lN,1A~N BIL 1I.)1NN; CONIPANYSY 111s the Union's numerous agreements. Based on the code number appearing on billings received by the Respond- ent for the period from January through July 1974, the Respondent was billed by Sweeney pursuant to a short- form Northern California individual agreement. Howei- er, commencing in August 1974. the Respondent was billed for fringe benefit payments pursuant to the Master Agreement. In the period from August through Decem- ber 1974, the Respondent paid fringe benefits pursuant to Sweeney's billings on behalf of Marsak. Although billed monthly thereafter, the Respondent returned the billing through June 1979 showing that it employed no operat- ing engineers. The returned billings in 1979 were signed by the Respondent's corporate secretary. Contention and Conclusions The General Counsel contends in essence that the BIA is a multiemployer association whose builder members have voluntarily vested it with the authority to bargain and enter into collective-bargaining agreements on their behalf with respect to the wages, hours, and working conditions of their employees in an appropriate unit, a majority of whom have designated the Union as their ex- clusive collective-bargaining representative. I find the foregoing contention, which is essentially undisputed, to be supported by substantial evidence in this record. The General Counsel also contends that as the Re- spondent was, at all times material hereto, a builder member of the BIA, it had vested exclusive authority in the BIA to bargain on its behalf; that the Respondent is bound to the current Master Agreement: and that the Respondent has refused to apply the terms and condi- tions of the Master Agreement to the work performed by the Respondent at Paradise Cay in 1978-79, and to fur- nish the Union with requested information necessary to police compliance with the agreement. both in violation of Section 8(a)(1) and (5) of the Act. The Respondent contends that the General Counsel has failed to prove that the Respondent is bound to the current Master Agreement because it failed to introduce into evidence the contractual document known as Exhibit A, which purports to show the individual employers who are bound thereby. Moreever, the Respondent vigorously contends that it is not a builder member of the BIA and, even if it were, the work performed at Paradise Cay in 1978-79 was not subject to the Master Agreement. The conclusion that the Respondent has failed to apply the Master Agreement to the work performed at Paradise Cay in the 1978-79 time period, when it re- sumed operations there following the water moratorium, is compelled by the evidence concerning Mosley's re- sponse to Pahel in their April 2 conversation, the nega- tive fringe benefit reports filed by the Respondent in that time period, and the lack of any evidence that the Master Agreement was applied to that work.17 Likewise, by '" he parties stipulalted that !he unit covered h) the Master Agree- ment is an approprialle unit DIuring the term (of the Master Agreement the Union's majority siatus I, presumed I7 I find that P'ahel, and thus he Union. was put on notice of possi- hie unfair labor prctice as result f infirmation 'Pahel learned upon hi, jobsite i it nII March 2') I tii t.. fir purp.s.es ,of coniputiig Ihe start f the It(h) liniaitiol, peiod I Find March 2') to be the ippropri;ale daile failing to enter an answ',er with respect to complaint paragraph 10 concerning he refusal to furnish requested and necessary information to the Union, the Respondent has admitted the colnduct alleged. National Labor Rela- tions Board Rules anlld Regulations. Series . as amended. Section 102.2(). The Respondent's principal defense that it functions as a land developer and, hence, that it has been erroneously carried as a builder member on the membership rolls on the BIA rests, in the final analysis, solely on the self- serving testimony of Kerwin. The conclusion that the Respondent was properly classified by the BIA as build- er member is supported by the more persuasive testimo- ny of Melchior that the BIA, which is specifically em- powered by its bylaws to make the final judgment as to admittance to membership, requires all members licensed as B-I contractors in the State of California to be builder members. This fact, when coupled with the acknowledg- ment that the Respondent has in the past actually en- gaged in homebuilding and was undertaking to perform lot improvement work under subcontract in the 1978-79 period, also supports the conclusion that there neser was anl error with respect to the Respondent's membership status in the BIA. Moreover on the basis of the record before me, it is reasonable to infer that the reason the Respondent did not approach the BIA in 1978 when it resumed its Paradise Cay operations for a change in its membership status was because it knew such a claim would be rejected, especially where, as here, the Re- spondent was, and is, in a posture to engage in home- building at anytime. It is also significant that the Re- spondent did not resign from its BIA membership until after it became evident that a dispute was developing over its refusal to apply the Master Agreement to its Paradise Cay %work. Moreover, there is no evidence that the Respondent ever questioned the reason it contin- ued to receive billing for fringe benefits after 1977, when the alleged individual agreement expired. In considering this question, I have rejected as totally incredible Ker- win's testimonial assertion that he was not aware that the Respondent's membership in the BIA would have the effect of binding it to agreements the BIA made with the Union. This assertion is belied by the length or time this Respondent was a member of the BIA and its predeces- sor multiemployer associations and the extent to which the BIA routinely undertakes to keep its members in- formed of developments in labor negotiations. Other e\i- dence in this record strongly suggests that officials of the Respondent were very conscious of the potential applica- bility of the Master Agreement to the work the Re- spondent was performing at Paradise Cay. Thus, by any analysis, Mosley's April 2 jobsite conversation with See. e g Donl Buree (irlstrul/lon (erporuirai. 227 NI.RB 7h (11077) liI this circunllastnce, the harge wu, timel filed t' Il the absence of tie asailable clrrhboratise otitliron\ (if he Re spondentl s ecretar. I recect Kerni' leirstiloni;al .issertlon that the Re- sponldent undertoolk Io resig n )ecemher 1978 Rather., I find the Re- spondent made no aempl ih- resign its It A memhership untlil Kerwin' Mam 15 letter "us sent to the BItA AlthIoulgh the R,pontlenist rcigrna ioell does it reliesc it of ohligaltlons hlJ rnay otherss.le et under the Master greenenl. it tf.ctie.l , lit te appropriate unit t,i the Re- ,ponden l ',t tr i emploees t'L 1.1 MAN Itt. It .DIN( ; UsI I'.-\ NY P55 1(56 I)-'FCISIONS OF NATI()ONAL .A()OR RELATIONS H()OARD Pahel shows that he was sufficiently conversant with the Master Agreement to make the argument that the Re- spondent was not bound to apply its terms on the basis of the work being performed at that time as opposed to its binding effect on the Respondent under any circum- stances. In view of the General Counsel's evidence concerning the Respondent's building member status in the BIA, the burden was shifted to the Respondent to go forward with evidence to support its allegation that it functioned as a land developer as that term is used in the BIA's bylaws. Kerwin's general, self-serving assertions to that effect are, in my view, insufficient to meet the burden upon the Respondent. The critical evidence which is lacking in the Respondent's defense is the BIA's conclu- sion that the Respondent functioned as a land developer as defined in its bylaws. Accordingly, I find that the Re- spondent was a builder member of the BIA at all times until it resigned from the BIA in May 1979. By virtue of its status as a builder member of the BIA and by oper- ation of Section 02.11.02 of the Master Agreement, I find the Respondent is presently bound to the current Master Agreement. Having concluded that the Respondent has been a builder member of the BIA at all material times, at least two subsidiary conclusions follow as a logical result. First, as a builder member, the Respondent became bound to the Master Agreement by virtue of the oper- ation of the bylaws of the BIA and not by virtue of their inclusion on the listing designated as Exhibit A in the contract. Although the introduction of Exhibit A, or at least an explanation as to its absence, would have been helpful if for no other reason than to avoid an issue with respect thereto, I find, contrary to the Respondent's con- tention, that its absence is not fatal to the General Coun- sel's case. This is especially true where, as here, the pur- pose which appears to be intended by the Exhibit A re- quirement is to provide the Union with information as to the identity of the builder members of the BIA on a monthly basis, which information it is unlikely that the Union would otherwise have. Secondly, to the extent that the Respondent argues that it has in the past had a separate agreement with the Union applicable to the work which it performed at Paradise Cay in 1974-75, such agreement would have been a nullity since, by virtue of its membership in the BIA, the Respondent had vested exclusive authority to bargain in the BIA and it was, therefore, not at liberty to enter into a separate indi- vidual agreement. 9 19 Entirely aside from this conclusion, there is considerable basis to be skeptical that the document introduced as Resp. Exh. 2, the so-called in- dividual agreement. was ever placed into effect. Thus, Resp Exh. 3 pur- ports to be a letter, dated 7 days after the Respondent's representative. Marsak, executed the individual agreement wherein an official of the Union requested that the Respondent execute the same form agreement Moreover, the Respondent's evidence relating to the contract number contained on the fringe benefit billing refers only to the period from Jan- uary through July 1974, which precedes the agreement executed by Marsak. Sweeney's representative. Eagen, testified that commencing in August 1974. and continuing thereafter. the contract code number on fringe benefit billings to the Respondent was 37-the code number of the Master Agreement. Marsak who retired at the end of 1974 was not called to explain the circumstances surrounding his execution of the idividual agreement, nor was any conlention made cncerninig his uavailabilit Finally, I find that the Respondent's contention that the work being perf'ormed in the 1978-79 time period was not subject to the agreement to be without merit. It is conceded that the Respondent's employees were en- gaged in the operation of the type of equipment requir- ing the same skills and training as is required of employ- ees who are covered by the Master Agreement. In de- scribing unit work the Master Agreement specifically al- ludes to site clearing and maintenance work. Although it may be true that the Respondent's own employees did not perform the site improvement work in the 1978-79 period, the fact that the Respondent undertook to do such work by any means is relevant in deciding whether or not such work is unit work. The Master Agreement regulates the practice of subcontracting and as the Re- spondent was bound by the Master Agreement, if it was obligated to follow the applicable rules concerning sub- contracting. Moreover, there is a substantial similarity between the some of the work performed by Marsak in 1974 and that which was performed in the 1978-79 period. In these circumstances, the Respondent's mere assertion that the agreement was not applicable to the work being performed is insufficient. The work being performed at Paradise Cay in the 1978-79 period is not analogous to the Sonoma County vineyard alluded to in Respondent's brief. Instead, the work performed is rather typical of work normally performed by homebuilders in this industry. Based on the foregoing and the entire record in this matter, I find that the Respondent violated Section 8(a)(1) and (5) of the Act, as alleged. Authorized Air Con- ditioning Co., 236 NLRB 131 (1978). IV. THE EFFECT 01 THE UNFAIR I ABOR PRACTICES UPON COMMERCE The activities of the Respondent set forth in section D, above, occurring in connection with the operations of the Respondent described in section A, above, have a close, intimate, and substantial relationship to trade, traf- fic, and commerce among the several States and tend to lead to labor disputes burdening and obstructing com- merce and the free flow of commerce. CONCLUSIONS OF LAW 1. The BIA and its employer-members, including the Respondent, are employers engaged in commerce or an industry affecting commerce within the meaning of Sec- tion 2(2), (6), and (7) of the Act. 2. The Union is a labor organization within the mean- ing of Section 2(5) of the Act. 3. At all times material herein the NCHBC has been an agent of the BIA within the meaning of Section 2(13) of the Act, empowered to act as the exclusive repre- sentative of the builder members of the BIA for the pur- poses of engaging in collective bargaining and entering into collective-bargaining agreements on behalf of the employer-members of the BIA. 4. All operating engineers, apprentices, and helpers employed by the Respondent in the geographic area specified in the Master Agreement between the NCHBC and the Union, excluding all other employees, office PULLIMAN UILDING COMPANY 1057 clerical employees, timekeepers, messenger boys, inspec- tors, confidential employees, guards, superintendents, as- sistant superintendents, general foremen, foremen and su- pervisors, as defined in the Act, constitute a unit appro- priate for the purposes of collective bargaining within the meaning of Section 9(b) of the Act. 5. At all times material herein, the Union has been and is now the exclusive representative of all employees in the aforesaid appropriate unit for the purpose of collec- tive bargaining within the meaning of Section 9(a) of the Act. 6. By failing and refusing to give effect to the terms and conditions of the existing Master Agreement be- tween NCHBC and the Union with respect to work per- formed at the Respondent's jobsite, known as Paradise Cay, and by refusing to furnish the Union with the infor- mation requested, in writing, on or about April 3, 1979, which information is necessary in the performance of its duties as the collective-bargaining representative of the employees in the appropriate unit specified above in paragraph 4, the Respondent has engaged in, and is con- tinuing to engage in, unfair labor practices within the meaning of Section 8(a)(1) and (5) of the Act. 7. The aforesaid unfair labor practices affect commerce within the meaning of Section 2(6) and (7) of the Act. THE REMEDY Having found that the Respondent has engaged in cer- tain unfair labor practices in violation of Section 8(a)(1) and (5) of the Act, I shall recommend that the Respond- ent be ordered to cease and desist therefrom and from any like or related unfair labor practices and take certain affirmative action designed to effectuate the policies of the Act. As the Respondent has refused to give effect to the Master Agreement with respect to the work it has per- formed at the Paradise Cay jobsite, I shall recommend that the Respondent be ordered to comply with said agreement retroactively to the date 6 months prior to the filing of the charge herein, and for the balance of its term, including making employees whole for the losses they incurred as the result of the Respondent's refusal to abide by the terms of such agreement. 20 Similarly, the Respondent shall be required to make the appropriate trust funds whole for losses suffered during the same period as a result of the Respondent's failure to adhere to the Master Agreement. 21 Backpay and other moneys due shall be computed in the manner specified in F. WU' Wool- worth Company, 90 NLRB 289 (1950), together with in- terest thereon as specified in Florida Steel Corporation, 231 NLRB 651 (1977). And see, generally, Isis Plumbing & Heating Co., 138 NLRB 716 (1962). Finally, I shall recommend that the Respondent be ordered to post the attached notice marked "Appendix A" in order to fully inform employees concerning this matter. [Recommended Order omitted from publication.] 2n Ellis Tcke. d/b/a Ellis lacke Compan)y. 229 NLRH 129h (91'77) Mosley's open admission on April 2 precludes a finding that the Re- spondent deceitfully sought to hide the fact that it was not applying the Master Agreement Accordingly. a remedy for an', prior period "sould not he appropriate. Cf Burgess Constructrion. supra, fn 17 21 Liberrty C/earners, 227 NLRB 1296 (1977) PULLMAN BUILDING COMPANY 057 Copy with citationCopy as parenthetical citation