Snokist Growers, Inc.Download PDFNational Labor Relations Board - Board DecisionsSep 19, 1974213 N.L.R.B. 368 (N.L.R.B. 1974) Copy Citation 368 DECISIONS OF NATIONAL LABOR RELATIONS BOARD Snokist Growers , Inc. and Fruit and Vegetable Packers and Warehousemen 's Union Local 760, affiliated with the International Brotherhood of Teamsters, Chauffeurs, Warehousemen and Helpers of Ameri- ca, Independent. Case 19-CA-6554 September 19, 1974 DECISION AND ORDER BY CHAIRMAN MILLER AND MEMBERS FANNING AND JENKINS On June 28, 1974, Administrative Law Judge Jer- rold H. Shapiro issued the attached Decision in this proceeding. Thereafter, Respondent filed exceptions and a supporting brief. 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 brief and has decided to affirm the rulings, findings, and conclusions of the Administrative Law Judge and to adopt his recommended Order. ORDER Pursuant to Section 10(c) of the National Labor Relations Act, as amended, the National Labor Rela- tions Board adopts as its Order the recommended Order of the Administrative Law Judge and hereby orders that Respondent, Snokist Growers, Inc., Yaki- ma, Washington, its officers, agents , successors, and assigns, shall take the action set forth in the said rec- ommended Order. DECISION STATEMENT OF THE CASE JERROLD H. SHAPIRO, Administrative Law Judge: Upon a charge filed on July 27, 1973, by Fruit and Vegetable Pack- ers and Warehousemen's Union Local 760, affiliated with the International Brotherhood of Teamsters, Chauffeurs, Warehousemen and Helpers of America, Independent, herein called Union, and duly served on Snokist Growers, Inc., herein called Respondent, the General Counsel of the National Labor Relations Board, herein called the Board, by the Regional Director for Region 19, issued a complaint on August 10, 1973, against Respondent, alleging that Re- spondent had engaged in and was engaging in unfair labor practices affecting commerce within the meaning of Section 8(a)(5) and (1) of the National Labor Relations Act, as amended. The gravamen of the complaint is the refusal of the Respondent to bargain with the Union. The basic issues, however, go to the validity of the representation election which resulted in the certification of the Union as the exclu- sive bargaining representative of Respondent's employees. In its answer to the complaint Respondent admits the refus- al to bargain but challenges the validity of the Union's certification and, in this regard, affirmatively alleges that prior to the representation election the Union, by offering to waive initiation fees and by misrepresenting the Union's pension plan with respect to seasonal employees, engaged in conduct which invalidates the election. This matter was heard in Yakima, Washington, on May 28, 1974. Upon the entire record, from my observation of the de- meanor of the witnesses, and having considered the post- hearing briefs, I make the following: FINDINGS OF FACT 1. THE BUSINESS OF THE RESPONDENT Respondent, Snokist Growers, Inc., is a Washington cor- poration with its plant located in Yakima, Washington, where it is engaged in the processing and canning of fruits. Annually, the Respondent makes sales in excess of $50,000 directly to business enterprises located outside the State of Washington. I find, on the basis of the foregoing, that Respondent is, and has been at all times material, an employer engaged in commerce within the meaning of Section 2(6) and (7) of the Act, and that it will effectuate the policies of the Act to assert jurisdiction herein. II. THE LABOR ORGANIZATION INVOLVED Fruit and Vegetable Packers and Warehousemen's Union Local 760 affiliated with the International Brotherhood of Teamsters, Chauffeurs, Warehousemen and Helpers of America, Independent, the Union, is a labor organization within the meaning of Section 2(5) of the Act. III. THE UNFAIR LABOR PRACTICES A. The Representation Proceeding Review of the record, including Case 19-RC-632 1, re- veals an election conducted on September 28, 1972, pur- suant to a Stipulation for Certification Upon Consent Election, resulting in 313 votes cast in favor of the Union, 306 votes against the Union, with 9 challenged ballots. Re- spondent filed timely objections to the Union's conduct affecting the results of the election which, in substance, alleged that the Union had offered to waive initiation fees and had misrepresented material facts regarding Respondent's wages and the Union's pension plan. The Acting Regional Director, following an investigation on November 17, 1972, issued a Report on Objections to Elec- tion and Challenged Ballots in which he recommended that ' Official notice is taken of the record in the representation proceeding, Case 19-RC-6321, as the term "record" is defined in Sec . 102.68 and 102 .69(f) of the Board 's Rules and Regulations , Series 8, as amended . See Sec. 9(d) of the Act. SNOKIST GROWERS, INC. the objections be overruled in their entirety and the Union certified. Respondent then filed with the Board timely ex- ceptions to the Regional Director's report. The Board con- sidered these exceptions and found they raised no material or substantial issues of fact or law warranting the reversal of the Regional Director's recommendations or requiring a hearing. Accordingly, the Board adopted the findings, con- clusions, and recommendations of the Regional Director and certified the Union in its Decision and Certification of Representative issued on June 20, 1973. B. The Unfair Labor Practice Case On June 26, 1973, the Union requested the Respondent to recognize and bargain with it as the certified representa- tive of the Respondent's employees. The Respondent on July 13, 1973, refused to comply with this request. On July 27, 1973, the Union filed a charge initiating the instant proceeding, and the complaint followed on August 10, 1973. The Respondent filed its answer on August 20, admitting the refusal to bargain but contending that it was under no duty to bargain because of the alleged invalidity of the representation election. Specifically, the Respondent al- leged that prior to the representation election the Union offered to waive initiation fees and, with respect to seasonal employees, had misrepresented the Union's pension plan. These allegations had been raised previously by Respon- dent in the representation case as Objections 1 and 2, re- spectively, and were considered and overruled by the Board.2 On August 23, 1973, counsel for the General Counsel filed directly with the Board a Motion for Summary Judg- ment . Respondent thereafter filed an opposition thereto and a "Motion for Summary Judgment in its favor." Subse- quently, on October 2 the Board issued an Order Transfer- ring the Proceeding to the Board and Notice to Show Cause why the General Counsel's Motion for Summary Judgment should not be granted. On October 12, the Respondent filed a response to the Notice to Show Cause which in substance opposed the Motion for Summary Judgment. Respondent in its opposition to the General Counsel's Motion for Sum- mary Judgment and in its Motion for Summary Judgment relied on the matters contained in Objections I and 2 which Respondent has raised in the representation case . Regard- ing Objection 1-the Union's waiver of initiation fees-the Board in the representation case had sustained the Acting Regional Director's conclusion that this objection was not meritorious, based on the Board's decision in DIT-MCO, Inc., 163 NLRB 1019 (1967). When the Board issued its certification in the representation case and when the instant proceeding commenced, the United States Supreme Court had not expressed its views on the issue of the permissibility of a union's offer to waive initiation fees during an election campaign. Thereafter, on December 17, 1973, subsequent to the Board's Notice to Show Cause issued in this proceeding, the Supreme Court issued its opinion in N.L.R.B v. Savair Manufacturing Company, 414 U.S. 270 (1973). 2 Respondent 's Objection 3-the alleged misrepresentation regarding em- ployees' wages-raised in the representation case , was not raised by the Respondent as a defense in the instant proceeding. 369 On April 26, 1974, the Board entered an order in the instant unfair labor practice proceeding which, after briefly describing the various motions filed by the parties and the Board's Notice to Show Case, went on to say: The Board, having duly considered the matter, is of the opinion that in light of the Supreme Court's deci- sion in N.L.R.B. v. Savair Manufacturing Co., 94 S. Ct. 495, the issue raised by the Respondent, with respect thereto, could best be resolved by a hearing. Accord- ingly, IT IS HEREBY ORDERED that the General Counsel's and Respondent's Motions for Summary Judgment be, and they hereby are, denied. IT IS FURTHER ORDERED that a hearing be held before a duly designated Administrative Law Judge to be des- ignated by the Chief, Division of Judges, for the pur- pose of taking evidence to resolve said issue and that the Regional Director for Region 19 be, and he hereby is, authorized to issue notice thereof. IT IS FURTHER ORDERED that, upon conclusion of the hearing, the Administrative Law Judge shall prepare and serve upon the parties a decision containing find- ings of fact, conclusions of law, and recommendations based upon the evidence received pursuant to the pro- visions of this order.. . . Thereafter, the Regional Director for Region 19 duly noted the case for hearing and the hearing convened on May 28, 1974. C. The Question to be Decided Respondent in its answer to the complaint and in its opposition to the General Counsel's Motion for Summary Judgment has preserved Objections 1 and 2 raised during the representation case going to the validity of the certifica- tion. Respondent, therefore, is entitled to raise these issues during subsequent steps in the unfair labor practice pro- ceeding. That is to say, Respondent may ask the Board to reverse its earlier rulings relating to these objections and it may ask a reviewing court to reverse them. So far as this stage of the proceeding is concerned, however, an Adminis- trative Law Judge is not free except under extraordinary circumstances, not present here, to reverse determinations already made at earlier stages by the Board. In the instant case the Board, after considering the Motions for Summary Judgment and the Respondent's opposition, remanded for hearing the issue raised by Respondent's Objection 1 involv- ing the Union's offer to waive initiation fees. I understand this to mean that the issues raised by Objections 2 and 3 are not before me for ruling and that I am to accept previous rulings by the Board on these matters .3 Accordingly, at the hearing I precluded Respondent from adducing evidence relating to its allegations contained in Objection 2 insofar as such evidence was not newly discovered or previously unavailable. In this regard, the evidence which Respondent 3 See Pittsburgh Plate Glass Co. v. N.L. R. B., 313 U.S. 146, 162; Board Rules and Regulations , Series 8, as amended, Secs. 102.67(1) and 102.69(c). 370 DECISIONS OF NATIONAL LABOR RELATIONS BOARD offered to adduce in this proceeding was not newly discov- ered nor was it the type of evidence previously unavailable nor did the Respondent advance any special circumstances which, in my opinion, would require the Board to re-exam- ine its decision on this matter made in the representation proceeding. In short, the sole question which is left for me to decide is whether the waiver of initiation fees made by the Union prior to the representation election was permissi- ble under the Savair, supra, opinion of the Supreme Court. If such conduct was permissible, then-so far as the ques- tions before me are concerned-the election and certifica- tion were valid. D. The Union's Waiver of Initiation Fees 1. The evidence During the period of time material to this case, the Union charged a $30 membership initiation fee. However, the constitution and bylaws of the Union and its International Union provide for the waiver of initiation fees during an organizational campaign. The Union's bylaws, in pertinent part, in substance provide that, when employees are being organized, initiation fees may be waived at the discretion of the Union's executive board. The constitution of the Union's International in substance, in pertinent part, pro- vides that, in situations involving "new organization," the International's executive board is authorized to prospective- ly waive initiation fees owing to a local union by any mem- ber or person. On March 23, 1971, the Union's principal official, Secre- tary-Treasurer William Wallace wrote to the International Union as follows: This Local Union is presently engaged in organizing activities among the employees of the following con- cerns [listing several employers , including Respondent] and hereby request that you grant our Local Union the authority to waive initiation fees and re-initiation fees to persons employed in these newly organized con- cerns, for the period beginning with the commence- ment of organizing activities for a particular group and ending on the 31st day following the execution of our initial Labor Agreement covering that particular group. Our experience over the years in this geographical area has proved that it is impossible to organize the type of industry we are involved with if the Initiation Fees and Re-Initiation Fees are not waived by the Local Union in every case. In response, on April 9, 1971, the secretary-treasurer of the International Union, by letter, notified the Union that "the General Executive Board [of the International Union] has voted to grant your request for waiver of the International portion of initiation fees" and further explained that the waiver "will be in effect for the period beginning with the commencement of the initial Labor Agreement . . . with the understanding that initiation fees will not be paid to the Local by the members." Respondent called four witnesses in support of its claim that the Union impermissibly waived initiation fees: em- ployees Velma Wirt, Adam Zerr, Judy McKelheer, and Cora Rosseau, and the Union's secretary-treasurer, William Wallace. Employee Wirt was unable to shed any light on the state- ments made by agents of the Union on the subject of the initiation fee. She testified that no one had spoken directly to her about an initiation fee or whether there would be an initiation fee to join the Union. Employee Zeer, one of the most active of the Union's adherents, testified that prior to the election he told employ- ees "there would be no initiation fee for anybody on the payroll but the dues would start after the contract was signed." Employee McKelheer testified that prior to the election at a union organizational meeting Secretary-Treasurer Wal- lace told the employees "that as long as [employees] were employed at the time of the election [they] would pay no initiation fee." Employee Rosseau testified that prior to the election at a union organizational meeting Secretary-Treasurer Wal- lace told the employees that anyone employed at the time of the election would pay no initiation fee and would not have to pay membership dues until after the contract was signed. The Union's Secretary Treasurer Wallace testified that at one pre-election organizational meeting he read the Interna- tional Union's letter of April 9, and that prior to the election he told employees at union meetings and whenever the sub- ject was brought up that all of the employees employed by the Company at the time of the election would not have to pay an initiation fee and that they would not have to pay membership dues until the 31st day after a collective-bar- gaining agreement was signed." An organizational pamphlet apparently drafted by a group of employees who were union adherents which was given wide distribution among the employees prior to the election, among other things, stated that there would be "no union initiation fee for present employees [working or laid off and] no union dues have to be paid until contract is negotiated, signed and put into effect." 2. Concluding findings On consideration of all the testimony, I am led to the conclusion that during the election campaign, the Union advised the employees that all employees employed by the Respondent at the time of the paying an initiation fee and that membership dues would not begin until the Respon- dent and Union had entered into a collective- bargaining agreement . In other words, the waiver of initiation fees in the instant case was available to all eligible voters in the election, was obtainable before or after the election, and was clearly not conditioned upon the expression of support for the Union in any form during the electoral process .5 In Employee McKelheer admitted that Wallace did mention a 31-day peri- od and that she understood from what was said "that [employees) had 31 dais before they would have to join the Union." The fact that the Union appears to have limited the availability of the SNOKIST GROWERS, INC. such circumstances, I am of the view that the Savair issue as presented in this case is governed by the holding in End- less Mold, Inc., 210 NLRB No. 34, and, for the reasons stated therein, I find that the Union's waiver of initiation fees did not interfere with employees' free choice in the election and, consequently, recommend that Respondent's Objection 1 be overruled. Accordingly, since the Board has overruled Respondent's other objections to the election, I find that the representation election conducted in Case 19- RC-6321 is a valid election and that, as alleged in the com- plaint in this proceeding, Respondent's refusal to bargain with the Union constitutes a violation of Section 8(a)(5) and (1) of the Act. Upon the basis of the foregoing findings of fact and the entire record, I make the following: CONCLUSIONS OF LAW 1. Snokist Growers, Inc., the Respondent, is an employer engaged in commerce within the meaning of Section 2(6) and (7) of the Act. 2. Fruit and Vegetable Packers and Warehousemen's Union Local 760 affiliated with the International Brother- hood of Teamsters, Chauffeurs, Warehousemen and Help- ers of America, Independent, the Union, is a labor organization within the meaning of Section 2(5) of the Act. 3. All employees employed by the Respondent at its Yak- ima, Washington, canning operation, excluding office cleri- cal employees, professional employees, guards and supervisors as defined in the Act, constitute a unit appropri- ate for the purposes of collective bargaining within the meaning of Section 9(b) of the Act. 4. Since June 20, 1973, the above-named labor organiza- tion has been and now is the certified and exclusive repre- sentative of all employees in the aforesaid appropriate unit for the purposes of collective bargaining within the meaning of Section 9(a) of the Act. 5. By refusing on or about July 13, 1973, and at all times thereafter, to bargain collectively with the above-named labor organization as the exclusive bargaining representa- tive of all the employees of Respondent in the appropriate unit, Respondent has engaged in and is engaging in unfair labor practices within the meaning of Section 8(a)(5) of the Act. 6. By the aforesaid refusal to bargain, Respondent has interfered with, restrained, and coerced, and is interfering with, restraining, and coercing employees in the exercise of the rights guaranteed to them in Section 7 of the Act, and thereby has engaged in and is engaging in unfair labor practices within the meaning of Section 8(a)(1) of the Act. 7. The aforesaid unfair labor practices are unfair labor practices affecting commerce within the meaning of Section 2(6) and (7) of the Act. waiver to only those individuals who were employed at the time of the election would not, in my view , be deemed to have affected the election. Whatever the impact of such limitation , it is clear that it could only affect those individuals hired after the election who, in any event, could not have participated in the election and could not have had any affect on its outcome. THE REMEDY 371 Having found that Respondent has engaged in and is engaging in unfair labor practices within the meaning of Section 8(a)(5) and (1) of the Act, I shall recommend that it cease and desist therefrom and, upon request, bargain collectively with the Union as the exclusive representative of all employees in the appropriate unit and, if an under- standing is reached, embody such understanding in a signed agreement. In order to insure that the employees in the appropriate unit will be accorded the services of their selected bargain- ing agent for the period provided by law, I shall recommend that the initial period of certification be construed as begin- ning on the date Respondent commences to bargain in good faith with the Union as the recognized bargaining represen- tative in the appropriate unit. See Mar-Jac Poultry Compa- ny, Inc., 136 NLRB 785; Commerce Company d/b/a Lamar Hotel, 140 NLRB 226, 229, enfd. 328 F.2d 600 (C.A. 5, 1964), cert denied 379 U.S. 817 (1964). Upon the foregoing findings of fact, conclusions of law, and the entire record, and pursuant to Section 10(c) of the Act, I hereby issue the following recommended: ORDER6 Respondent, Snokist Growers, Inc., Yakima, Washing- ton, its officers, agents, successors, and assigns, shall: 1. Cease and desist from: (a) Refusing to bargain collectively concerning rates of pay, wages, hours, and other terms and conditions of em- ployment with Fruit and Vegetable Packers and Warehousemen's Union Local 760, affiliated with the Inter- national Brotherhood of Teamsters, Chauffeurs, Ware- housemen and Helpers of America, Independent, as the exclusive bargaining representative of its employees in the following appropriate unit: All employees employed by the Respondent at its Yaki- ma, Washington, canning operation, excluding office clerical employees, professional employees, guards and supervisors as defined in the Act. (b) In any like or related manner interfering with, re- straining, or coercing employees in the exercise of the rights guaranteed them in Section 7 of the Act. 2. Take the following affirmative action which is neces- sary 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 employ- ment and, if an understanding is reached, embody such understanding in a signed agreement. 6 In the event no exceptions are filed as provided by Sec. 102.46 of the Rules and Regulations of the National Labor Relations Board, the findings, conclusions , and recommended Order herein shall, as provided in Sec. 102.48 of the Rules and Regulations , be adopted by the Board and become its findings , conclusions , and order, and all objections thereto shall be deemed waived for all purposes. 372 DECISIONS OF NATIONAL LABOR RELATIONS BOARD (b) Post at its place of business in Yakima, Washington, copies of the attached notice marked "Appendix." 7 Copies of said notice, on forms provided by the Regional Director for Region 19, after being duly signed by Respondent's representative, shall be posted by Respondent immediately upon receipt thereof, and be maintained by it for 60 consec- utive days thereafter, in conspicuous places, including all places where notices to employees are customarily posted. Reasonable steps shall be taken by Respondent to insure that said notices are not altered, defaced or covered by any other material. (c) Notify the Regional Director for Region 19, in writ- ing, within 20 days from the date of this Order, what steps have been taken to comply herewith. r In the event that the Board 's Order is enforced by a Judgment of a United States Court of Appeals, the words in the notice reading "Posted by Order of the National Labor Relations Board" shall be changed to read "Posted Pursuant to a Judgment of the United States Court of Appeals Enforcing an Order of the National Labor Relations Board." feurs, Warehousemen and Helpers of America, Inde- pendent, as the exclusive representative of the employ- ees in the bargaining unit described, below. WE WILL NOT in any like or related manner interfere with, restrain, or coerce our employees in the exercise of the rights guaranteed them by Section 7 of the Act. WE WILL, upon request, bargain with the above- named Union as the exclusive representative of all em- ployees in the bargaining unit described below, with respect to rates of pay, wages, hours, and other terms and conditions of employment and, if an under- standing is reached, embody such understanding in a signed agreement. The bargaining unit is: All employees employed by us at our Yakima, Wash- ington, canning operation, excluding office clerical employees, professional employees, guards and su- pervisors as defined in the Act. APPENDIX NOTICE TO EMPLOYEES POSTED BY ORDER OF THE NATIONAL LABOR RELATIONS BOARD An Agency of the United States Government WE WILL NOT refuse to bargain collectively concerning rates of pay, wages, hours, and other terms and condi- tions of employment with Fruit and Vegetable Packers and Warehousemen's Union, Local 760, affiliated with the International Brotherhood of Teamsters, Chauf- Dated By SNOKIST GROWERS, INC. (Employer) (Representative) (Title) This is an official notice and must not be defaced by anyone. This notice must remain posted for 60 consecutive days from the date of posting and must not be altered, defaced, or covered by any other material. Any questions concerning this notice or compliance with its provisions may be direct- ed to the Board's Office, 10th Floor, Republic Building, 1511 Third Avenue, Seattle, Washington 98101, Telephone 206-442-4532. Copy with citationCopy as parenthetical citation