Southwestern Colorado Contractors AssociationDownload PDFNational Labor Relations Board - Board DecisionsJul 1, 1965153 N.L.R.B. 1141 (N.L.R.B. 1965) Copy Citation SOUTHWESTERN COLORADO CONTRACTORS ASSN., ETC. 1141 (c) Notify the said Regional Director, in writing, within 30 days from the receipt of this Decision,24 what steps it has taken to comply herewith. It is further recommended that the complaint herein be dismissed, insofar as it alleges that the Respondent discriminated against either Charles Horsey or Jerry Ward in violation of Section 8(a) (3) of the Act. 24 If this Recommended Order should be adopted by the Board, the words "20 days from the receipt of this Decision" shall be striken, and the words "10 days from the date of this Order" shall be substituted therefor APPENDIX NOTICE TO ALL EMPLOYEES AND APPLICANTS FOR EMPLOYMENT Pursuant to the Recommended Order of a Trial Examiner of the National Labor Relations Board, and in order to carry out the policies of the National Labor Rela- tions Act, as amended , you are notified that: WE WILL NOT ask job applicants , either orally or on job application forms, to disclose their union affiliations, activities , or sympathies. WE WILL NOT harass our employees , or otherwise discriminate against them in regard to their hire or tenure of employment or any of their working condi- tions, because they give testimony under the National Labor Relations Act, as amended. WE WILL NOT threaten reprisal against our employees because they refuse to make a statement to our attorney or otherwise cooperate in investigating or pieparing a defense to unfair labor practice charges against us. WE WILL NOT in any other manner interfere with, restrain , or coerce our employees or applicants for employment in the exercise of their right to self- organization , to form unions, to join or assist Amalgamated Clothing Workers of America , AFL-CIO, or any other union, to bargain collectively through rep- resentatives of their own choosing , to engage in concerted activities for the pur- poses of collective bargaining or other mutual aid or protection , or to refrain from doing so, except to the extent that such right may be affected by an agree- ment requiring union membership as a condition of employment , as authorized in Section 8(a)(3) of the National Labor Relations Act, as amended. Our employees are free to become or remain, or refrain from becoming or remain- ing, members of any union, except to the extent that such right may be affected by an agreement requiring union membership as a condition of employment as per- mitted by Section 8(a)(3) of the National Labor Relations Act, as amended. SPRINGFIELD GARMENT MANUFACTURING COMPANY, Employer. Dated ------------------- By------------------------------------------- (Representative ) (Title) This notice must remain posted for 60 consecutive days from the date of posting, and must not be altered , defaced , or covered by any other material. Questions concerning this notice or compliance with its provisions may be directed to the Board's Regional Office, 1200 Rialto Building, 906 Grand Avenue , Kansas City, Missouri , Telephone No Baltimore 1-7000 , Extension 2733. Southwestern Colorado Contractors Association , and its Mem- bers and Colorado State Council of Carpenters and Carpenters District Council of Southern Colorado, AFL-CIO . Case No. 27-CA-1513. July 1,1965 DECISION AND ORDER On October 2,1964, Trial Examiner James T. Barker issued his Deci- sion in the above-entitled proceeding, finding that the Respondents had 153 NLRB No. 75. 1142 DECISIONS OF NATIONAL LABOR RELATIONS BOARD engaged in and were engaging in certain unfair labor practices and recommending that they cease and desist therefrom and take certain affirmative action, as set forth in the attached Trial Examiner's Deci- sion. Thereafter, the Respondent Members filed exceptions to the Trial Examiner's Decision and a supporting brief. Pursuant to the provisions of Section 3(b) of the National Labor Relations Act, as amended, the National Labor Relations Board has delegated its powers in connection with this case to a three-member panel [Chairman McCulloch and Members Fanning and Brown]. 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 and brief, and the entire record in this case, and hereby adopts the Trial Examiner's findings, conclusions, and recommendations to the extent consistent herewith. The Trial Examiner found that the Respondent Members of the respondent multiemployer association were unlawfully motivated in dissolving the Association in order to avoid joint bargaining with the Charging Parties. Accordingly, he concluded that the Association and its members thereby collectively violated Section 8(a) (5) of the Act. We agree with the Trial Examiner that the Association and its mem- bers collectively violated Section 8(a) (5) of the Act by refusing to bargain with the certified representative. We rely, however, not only upon the rationale of the Trial Examiner, but upon the following rea- sons as well: Although multiemployer bargaining is not specifically provided for in the Act, the Board has recognized multiemployer bargaining units stemming from consensual arrangements. In recognizing such units, the Board has established guidelines and principles or rules governing multiemployer units. These rules attempt to accommodate both the fundamental purpose of the Act of maintaining stability in multi- employer bargaining relationships, once lawfully established, and of allowing the parties their requisite freedom to withdraw their consent at suitable periods.' In the instant case, the Association, acting within the implied scope of its agency, executed the consent-election agreement on behalf of its members with their apparent knowledge and acquiescence. Through that agreement, which was binding upon them, the employer-members accepted the multiemployer unit as the appropriate unit for collective bargaining and, in effect, consented and agreed, should the Union win the election, to honor the statutory obligations normally flowing from a certification for a period of at least a year.2 The Union having been 1 Retail Associates , Inc , 120 NLRB 38S 2 Ray Brooks v NLRB , 348 U.S 96 SOUTHWESTERN COLORADO CONTRACTORS ASSN., ETC. 1143 certified as statutory representative in these circumstances, we find withdrawal from the agreed-upon form of bargaining within the period of a year was untimely and ineffective.3 The principle on which we rest decision here that an employer may not withdraw from a multiemployer association during the certifica- tion year is analogous to other established principles of the Board lim- iting the actions of employers and unions alike during either the term of a certification or of a contract. Thus, the principle is firmly rooted that collective-bargaining contracts between an employer and the certi- fied bargaining representative will constitute a bar to a petition by either of the contracting parties during the entire term of the contract .1 Similarly, it is well settled that a certification must be honored for a reasonable period, ordinarily 1 year, absent unusual circumstances.5 Accordingly, we conclude that the dissolution of the Association within the certification year, which is in effect an attempted with- drawal from the multiemployer unit at an inappropriate time, did not release the individual employer-members in that unit of their obliga- tion arising out of the consent-election agreement and the ensuing cer- tification to bargain jointly for a period of a year. In remedying the violation found, we deem it unnecessary to direct the reconstitution of the Association since the existence of a formal association is not a prerequisite to the establishment or continuance of a multiemployer bargaining unit. We will, however, order the Respondent employer-members who are parties to this proceeding to bargain jointly with the certified bargaining representative. ORDER Pursuant to Section 10(c) of the National Labor Relations Act, as amended, the National Labor Relations Board hereby orders that Respondent member firms, as set forth in footnote 1 of the Trial Examiner's Decision, of Southwestern Colorado Contractors Associa- tion, their officers, agents, successors, and assigns, shall: 1. Cease and desist from : (a) Refusing to bargain collectively and jointly with Colorado State Council of Carpenters and Carpenters District Council of South- ern Colorado, AFL-CIO, as the exclusive representative of all car- penter employees and apprentices in the appropriate unit, as certified. (b) In any like or related manner interfering with, restraining, or coercing their employees in the exercise of the rights guaranteed by Section 7 of the Act. 3 Jas. H. Matthews Go, Industrial Marking Products , 145 NLRB 1680. 4 Montgomery Ward t Co., Incorporated, 137 NLRB 346. a Ray Brooks, supra 1144 DECISIONS OF NATIONAL LABOR RELATIONS BOARD 2. Take the following affirmative action which the Board finds will effectuate the policies of the Act : (a) Recognize and, upon request, bargain collectively and jointly with Colorado State Council of Carpenters and Carpenters District Council of Southern Colorado, AFL-CIO, with respect to rates of pay, wages, hours of employment, and other conditions of employment, and, if an understanding is reached, embody such understanding in a signed collective-bargaining agreement. (b) Post at the offices of each of the Respondent member firms, as set forth in footnote 1 of the Trial Examiner's Decision, copies of the attached notice marked "Appendix." 6 Copies of said notice, to be furnished by the Regional Director for Region 27, shall, after being duly signed by Respondent Members' authorized representatives, be posted by them immediately upon receipt thereof, and be maintained by them for 60 consecutive days thereafter, in conspicuous places, including all places where notices to employees are customarily posted. Reasonable steps shall be taken by each respondent firm to insure that said notices are not altered, defaced, or covered by any other material. (c) Notify the Regional Director for Region 27, in writing, within 10 days from the date of this Order, what steps Respondents have taken to comply herewith. 0In the event that this Order is enforced by a decree of a United States Court of Appeals , there shall be substituted for the words "a Decision and Order" the words "a Decree of the United States Court of Appeals , Enforcing an Order " APPENDIX NOTICE TO ALL EMPLOYEES Pursuant to a Decision and Order of the National Labor Relations Board, and in order to effectuate the policies of the National Labor Relations Act, as amended, we hereby notify our employees that: WE WILL recognize and, upon request, bargain collectively and jointly with Colorado State Council of Carpenters and Carpenters District Council of Southern Colorado, AFL-CIO, as the exclu- sive joint bargaining representative of all carpenter employees and apprentices in the certified appropriate unit. The certified unit is: All carpenters and apprentices employed by members of the Southwestern Colorado Contractors Association, excluding all other hourly employees and also office employees, guards, and supervisors as defined in the Act. WE WILL NOT, by refusing to bargain collectively and jointly or in any like or related manner, interfere with, restrain, or coerce our employees in the exercise of their right to self-organization, to form, join, or assist the above-named or any other labor organiza- SOUTHWESTERN COLORADO CONTRACTORS ASSN., ETC. 1145 tions, to bargain collectively through representatives of their own choosing, and to engage in other concerted activities for the pur- pose of collective bargaining or other mutual aid or protection, or to refrain from any or all such activities, except to the extent that such right may be affected by the provisions of Section 8 (a) (3) of the Act, as amended. All our employees are free to become, or remain, or to refrain from becoming or remaining, members of any labor organization. J. J. BODINE, H. C. FLAUGH CONSTRUCTION COM- PANY, CORN ELIUS PAINT COMPANY, SQUARE DEAL BUILDERS, PATTERSON PLASTERING COMPANY, ROYCE TILE COMPANY , M. F. MCGECI_IIi: CON- STRUCTION, ATHEY-BAUMAN ROOFERS, HOLT SIIEET METAL, JACK HIGGINS CONSTRUCTION, LUZAR PLUMBIN G S, HEA'T'ING, ROOT & MA LARSIE PLUMBING & HEATING, GOODMAN PAINT, BUR- NETT CONSTRUCTION COIrI'AN F, ROBERT EATON, Employers. Dated---------------- By------------------------------------- (Representative) (Title) This notice must remain posted for 60 consecutive days from the date of posting, and must not be altered, defaced, or covered by any other material. Employees may communicate directly with the Board's Regional Office, 609 Railway Exchange Building, 17th and Champa Streets, Denver, Colorado, Telephone No. 297-3551, if they have any quest ion concerning this notice or compliance with its provisions. TRIAL EXAMINER'S DECISION STATEMENT OF THE CASE Upon a charge filed on December 26, 1963, by Colorado State Council of Carpen- ters and Carpenters District Council of Southern Colorado, AFL-CIO, hereinafter called the State Council and District Council, respectively, and sometimes herein- after referred to jointly as the Charging Parties, the Regional Director of the National Labor Relations Board for Region 27, on February 28, 1964, issued a complaint and notice of hearing designating the Southwestern Colorado Contractors Association,' hereinafter called the Association, and its members, as Respondents, and alleging vio- lations of Section 8(a)(1) and 8(a)(5) of the National Labor Relations Act, as amended, hereinafter called the Act. Pursuant to notice a hearing was held before Trial Examiner James T. Barker at Durango, Colorado, on April 28, 1964. Repre- sentatives of the General Counsel, Charging Parties, and the respective firms desig- nated in the complaint as employer-members of the Association were represented at the hearing and were afforded full opportunity to be heard, to introduce relevant 'Attached to the complaint as "Appendix A" was a list of employer-members The following named firms were designated in the appendix: J J. Bodine, H. C Flaugh Con- ,tnu•tion Company, Coineiins Paint Company, Squaie Deal Builders, Patterson Plaster- ing Company, Royce Tile Company, M F McGechie Construction, Athey-Bauman Roofers, Holt Sheet Metal, Jack Higgins Construction, Luzar Plumbing & Heating, Root & Malarsie Plumbing & Heating, Goodman Paint, Burnett Construction Company, Robert Eaton. 1146 DECISIONS OF NATIONAL LABOR RELATIONS BOARD evidence, to present oral argument, and to file briefs with me. Each representative waived oral argument, and on June 1, 1964, briefs were filed on behalf of the General Council and Root & Malarsie and by Harold B. Wagner, on behalf of his 13 clients.2 No appearance was entered at the hearing on behalf of Southwestern Colorado Contractors Association, as an entity separate and distinct from the 15 firms which the General Counsel alleged comprised its membership. At the hearing the General Counsel moved for judgment on the pleadings with respect to the Association. In light of the determination made herein, I find it unnecessary to rule specifically on the General Counsel's motion. 1. THE BUSINESS OF RESPONDENTS At material times prior to July 1963, the Southwestern Colorado Contractors Association was an association of business enterprises whose membership included, inter alra, J. J. Bodine; H. C. Flaugh Construction Company; Cornelius Paint Co.; Square Deal Builders Co.; G. A. Patterson Lath & Plaster; Royce Tile Co ; McGechie Construction Company, Inc.; Holt Sheet Metal Works; Jack Higgins Construction; Luzar Plumbing & Heating, Inc ; W. G. Goodman Paint and Glass Store; Burnett Construction Company; and Robert Eaton.3 During the calendar year 1963 Burnett Construction Company purchased cement and/or other goods and materials from Ideal Cement Company having a gross value of $53,673.10 The cement and/or other goods and materials were shipped directly to Burnett Construction Company in the State of Colorado from the State of New Mexico. The gross value of the cement and/or other goods and materials aforesaid included freight and delivery charges of $14,818.33 and a sales discount granted Burnett Construction Company by Ideal Cement Company of $2,173. Additionally, during the calendar year of 1963 McGechie Construction Company, Inc , did a gross volume of business in the amount of $572,689.43. During the calen- dar year 1963 McGechie Construction Company, Inc., purchased materials from suppliers located in States other than the State of Colorado having a gross value of $13,048.41. Upon the foregoing stipulated facts, considered in conjunction with the further findings hereinafter made that each of the 15 firms named as respondents paid mem- bership dues to the Association during 1963 and that at least 9 of the member firms, including Burnett Construction Company and McGechie Construction Company, Inc , engaged in group negotiations with other Association members during the calendar year 1963, I find that the Association and the firms designated in appendix A of the complaint constitute a single employer for jurisdictional purposes, and that the Respondent Association is engaged in commerce within the meaning of Section 2(6) and (7) of the Act .4 II. THE LABOR ORGANIZATIONS INVOLVED The Colorado State Council of Carpenters and Carpenters District Council of Southern Colorado, AFL-CIO, are labor organizations within the meaning of Section 2(5) of the Acts III. THE UNFAIR LABOR PRACTICES The complaint alleges that on or about August 7, 1963, a majority of the employ- ees of respondent members of the Respondent Association in an election conducted 'At the hearing Mr. Wagner stated that he was appearing on behalf of: Athey Beaman Company; J. J. Bodine ; Burnett Construction Company; \lyrle L. Cornelius ; Robert Eaton; Lawrence C. Gass; Walter G Goodman; Jack Higgins ; William D Holt ; Luzar Plumbing & Heating, Inc. , McGechie Construction Company, Inc.; G. A. Patterson, and Gordon H. Royce. The foregoing in based upon the admissions contained in the answers filed by these respective Respondents. Siemons Mailing Service, 122 NLRB, 81, 84 Local 69, United Association of Journey- men, etc. ( Plumbing and Heating Employers Association, etc.), 136 NLRB 1556; Pearl Beer Distributing Company of Jefferson County, Incorporated, 143 NLRB 596, 597 s All respondent firms save H C. Flaugh Construction Company and Root & Malarsie Plumbing & Heating admit the status of the State Council and the District Council as labor organizations. The foregoing finding is predicated upon these admissions and in- dependent evidence of record revealing that both the State Council and the District Council exist, in part, for the purpose of dealing with employers concerning grievances, labor disputes, wages, rates of pay, hours of employment, and/or conditions of work SOUTHWESTERN COLORADO CONTRACTORS ASSN., ETC. 1147 under the supervision of the Regional Director for Region 27 designated and selected the Charging Parties as their representative for the purpose of collective bargaining with the Association and that on or about August 15, 1963, the Charging Parties were certified by the Regional Director as the exclusive bargaining representative of employees in an appropriate multiemployer bargaining unit. The complaint further alleges that at all times since August 15, 1963, the Charging Parties have jointly been the representative for the purpose of collective bargaining of the employees in the said unit; and that commencing on or about September 5, 1963, and at times material there- after the Charging Parties jointly have requested and are requesting the Respondent Association to bargain collectively with them with respect to rates of pay, wages, hours of employment, and other terms and conditions of employment, but that since on or about said date and at all times thereafter the Association has refused to do so. The respondent firms deny the allegations of the complaint and state, affirmatively, that by an act of its membership the Association was dissolved in July 1963; and they contend, further with respect to the merits, in substance, that as a consequence there existed no organization or entity authorized to enter into collective-bargaining nego- tiations with the Charging Parties on behalf of the individual respondent firms; that after the dissolution of the Association only single-employer bargaining units were appropriate and that the Charging Parties did not at any time request the respondent firms individually to negotiate on a single-employer basis. It is thus the contention of the respondent firms that as a further consequence of the foregoing the essential statutory requisites to a finding of a refusal to bargain are not present. In response to these contentions, the General Counsel asserts that the dissolution of the Association was undertaken for the purpose of evading the legal obligation which had devolved upon it to bargain collectively with the Charging Parties, and, citing Darlington Manufacturing Company, 139 NLRB 241, the General Counsel asserts that, in legal effect, dissolution, in the circumstances of this case, is the "logi- cal extension of a situation where an employer goes out of business to avoid bargain- ing with a union." A. The motion to dismiss At the commencement of the hearing the respondent firms raised a jurisdictional issue seeking dismissal of the complaint for lack of timely service of the December 26, 1963, charge upon them. The charge named the Southwestern Colorado Contractors Association as the employer against which the charge was being filed. As the basis of the charge, the following was set out therein: Since August 15, 1963, the Employer has refused to bargain with the under- signed labor organizations which were jointly certified as representatives of employees of the Employer in an appropriate unit for collective bargaining. (See Appendix A attached for list of employer members.) A list of the 15 firms which were later in the complaint named party respondents, together with their addresses, was attached to the charge as appendix A. The charge and appendix were served upon the Southwestern Colorado Contractors, Association on December 27, 1963. Thereafter, on February 26, 1964, copies of the charge and appendix were mailed to each firm named a party respondent herein, and these were received by each on or before February 28, when the complaint issued. I find the motion to dismiss to be without merit The provisions of Section 102.12 of the Board's Rules and Regulations, Series 8, as amended, requires the name and address of the person against whom the charge is made to be specified in the charge, and the terms of the limitation proviso of Section 10(b) outlaws those unfair labor practices which occurred more than 6 months prior to the filing of the charge and service of a copy upon the person against whom such charge is made 6 The complaint alleges, and I find herein, that the Association and the 15 firms named party respondents constitute a single employer both for jurisdictional and unit purposes under the Act. There is no contention made that timely service was not accomplished with respect to the Association; indeed, the record reveals that the charge was served on December 26 and received on December 27. In light of the timely service of the charge upon the Association, the single-employer relationship between the Association and the 15 films designated as respondents, the specific reference in the body of the charge to the appendix attached thereto, and the identifying affects of the appendix, I find that Sections 102.12 and 102 14 of the Board's Rules and Regulations were complied with and that the limitation provision See General Molds and Plastics Corporation, 122 NLFB 182, 18G, and cases cited therein at footnote 7. 1148 DECISIONS OF NATIONAL LABOR RELATIONS BOARD of Section 10(b) did not operate so as to preclude the Regional Director from naming the 15 firms designated in appendix A of the charge as respondents in this proceeding.7 B. The history of bargaining 1. The prior certification On December 8, 1958, a representation petition was filed in Case No. 30-RC-1563 by Carpenters' Local Union 2243, United Brotherhood of Carpenters and Joiners of America, AFL-CIO, seeking representation of employees of Southwestern Colorado Contractors Association in the following described unit- All carpenters, millwrights, and apprentices employed by employer members of the association excluding office workers, guards, professional and supervisory employ- ees as defined in the Act Thereafter, pursuant to an agreement for consent election approved by the Regional Director for Region 27 on January 20, 1959, an election was conducted under the supervision of the said Regional Director on February 3, 1959. On February 11, 1959, the Regional Director certified the United Brotherhood of Carpenters and Joiners of America, Local Union No. 2243, AFL-CIO, as the exclusive bargaining representative for the unit of employees aforesaid. Following its inception in 1958 or 1959, the Association became signatory to two collective-bargaining agreements with Local 2243. The first was effective from September 1, 1960, to July 1, 1962, and the second from July 1, 1962, to July 1, 1963. In this regard, Gordon Royce in his capacity as secretary of the Association executed the two above-referred to separate and successive collective-bargaining agreements which by their terms were shown to be between Local Union 2243 and Southwestern Contractors Association of Colorado, an association which Royce credibly testified was one and the same organization as the Southwestern Colorado Contractors Asso- ciation, a party respondent herein. Further, the 1960 agreement was executed by George W. Teats in the capacity of president of the Association and the 1962 agree- ment by H C Flaugh, in an identical capacity.8 2. The 1962 effort to amend the certification On June 14, 1962, officers of Local 2243 filed a motion with the Regional Director requesting that the February 11, 1959, certification of the Regional Director designat- ing the Local as the exclusive bargaining representative of a unit of employees of the Association be amended by deleting the name of the Local and by inserting the name of "Carpenters' District Council of Southern Colorado " In support of the request the Local asserted it was a subordinate body of the District Council. On July 20, 1962, the Acting Regional Director of Region 27 of the National Labor Relations Board denied the motion. During June or July 1962, L. A. Ader, president of the Southern District Council; Matt Weaver, representative of Local 2243 of the Southern District Council; William Gray, then recording secretary of Local 2243; and two other representatives of the Local met with Messrs McGechie, Flaugh, Royce, and Patterson and discussed with them questions relating to the transfer of certification from the Local to the South- western District Council. The employers on this occasion asserted that they would not negotiate with the District Council but that they desired to negotiate with the "Durango local, only." 9 See Frank Arquillo, d/b/a Deluxe Motor Stages, etc., 93 NLRB 1425. Esgto Inc and Esgro Valley Inc, 135 NLRB 285. Cf International Union, United Mine Workers of America, at at (Blue Ridge Coal Co ) v. N L R B , 299 F. 2d 441. The cases cited in sup- port of the motion to dismiss, both at hearing and in the memorandum brief are, in light of the findings made herein with respect to the identity of the parties, inapposite and distinguishable, both as they pertain to the basic jurisdiction of the Board, and as they relate to the authority of the Board to issue a remedial order against the 15 party respondents 8 The foregoing is predicated upon the credited testimony of Gordon Royce and sup- porting documents which the General Counsel introduced into evidence and which bore the signatures of Royce as well as the purported signature of Teats and Flaugh respec- tively. The respective respondent firms objected to the receipt in evidence of the two agreements. In view of the testimony of Gordon Royce as discussed above, and his fur- ther testimony that the two agreements were taken by him from the files of the Associa- tion, I affirm my ruling receiving the two documents in evidence. 9 The foregoing is predicated upon the credited testimony of William Gray. SOUTHWESTERN COLORADO CONTRACTORS ASSN., ETC. 1149 C. The 1963 bargaining demand Subsequently, in the spring of 1963, on April 17, a letter was sent by L. A. Ader to H C Flaugh, president of Southwestern Colorado Contractors Association which contained the following paragraph: The Carpenters District Council of Southern Colorado and the Carpenters Local Union No. 2243 of the United Brotherhood of Carpenters and Joiners of Amer- ica desires to open negotiations in accordance with Article 7 of the present Agreement. No collective-bargaining meetings between representatives of the Respondents or representatives of either the Local or the District Council appears to have been held thereafter. D 1963 collective bargaining between Association and Laborers During the summer of 1963 several collective-bargaining meetings were held between representatives of the Association and representatives of the Laborers. In the negotiations leading to the consummation of the 1960 and 1962 agreements, the Association had designated a bargaining committee to represent the Association in collective bargaining with Carpenters Local 2243 and with the Laborers. Similarly, in 1963 during its negotiations with the Laborers, the Association was also repre- sented by a committee whose composition fluctuated from meeting to meeting. Gor- don Royce attended the "majority" of the bargaining sessions and George Patterson of Patterson Plastering Company, Harold Luzar of Luzar Plumbing & Heating, Law- rence Gass of Square Deal Builders, and John Shoser of Burnett Construction Com- pany served as members of the negotiating Committee. Additionally, at a bargain- ing session held with the Laborers on June 27, Messrs. Luzar, Malarsie, Bodine, McGechie, Burnett, Holt, and Royce were in attendance. Further, Messrs. Luzar, Mallarsie, and Royce attended a bargaining meeting with the Laborers held on August 12.10 E. The 1963 certification In the interim, on June 4, 1963, the Colorado State Council of Carpenters and Carpenters District Council of Southern Colorado, AFL-CIO, the Charging Par- ties, filed a petition with the Regional Director in Case No. 27-RC-2456, seeking to represent employees of the Southwestern Contractors Association of Colorado in the following described unit: All carpenters and apprentices employed by members of the above-named associa- tion [Southwestern Contractors Association of Colorado] including millwrights, office clericals, and supervisors as defined in the Act. On July 17, 1963, Gordon H. Royce executed an agreement for consent election in Case No. 27-RC-2456. Present when Royce executed the agreement was Irving Mason, a Durango, Colorado, attorney. Previously at a meeting of some of the members of the Association, shortly before July 17, attended by Royce, it was decided to seek advise of counsel. As a consequence of the meeting, Royce, in his capacity as secretary of the Association, sought legal advice from Mason and further sought his presence at the conference at which the agreement for consent election was to be executed. Association Vice President McGechie appeared briefly at the July 17 conference and was shown the consent agreement by Royce prior to time Royce executed it i1 Pursuant to the agreement an election was subsequently conducted by mail ballot. Thereafter, the Regional Director on August 15, 1963, certified Colorado State Coun- cil of Carpenters and Carpenters District Council of Southern Colorado as the exclu- sive bargaining representative of employees in the following described unit. All carpenters and apprentices employed by members of the Southwestern Colorado Contractors Association; excluding all other hourly employees and also office employ- ees, guards, and supervisors as defined in the Act. 10 The foregoing is predicated upon the credited testimony of Gordon Royce His testi- monv with respect to employer representation at the June 27 and August 12 meetings, respectively , was offered after Royce consulted minutes which he had in his possession at the hearing and which had been extracted from the files of the Association n The foregoing is based upon the credited testimony of Gordon Royce 1150 DECISIONS OF NATIONAL LABOR RELATIONS BOARD F. The Association dissolves On August 12, 1963, a collective-bargaining meeting was held between the Asso- ciation and the Laborers. At this meeting the Laborers presented its "last proposal" and was informed by Royce during the meeting that there weren't "enough members present to negotiate the contract." At the meeting representatives of the Association informed the Laborers that they would respond telephonically to the Laborers' pro- posal by 9:30 a in. the following morning. Representatives of the Laborers received no call the following morning. However, on August 16, William Smart, business representative of the Laborers, received a telephone call from Royce in which Royce informed him that the Association had "disbanded as a bargaining unit," and "that it would function as a social unit only." 12 In the meantime, on August 15, at a meeting attended by Messrs. McGechie, Gass, Luzar, Malarsie, Higgins, and Royce, it was voted unanimously by those present to dissolve the Association.13 Thereafter , on September 5, L. A. Ader sent the following letter addressed to Gordon Royce as secretary of the Southwestern Contractors Association of Colorado: April 17 , 1963 a certified letter was sent to Mr. H. C. Flaugh president of the Southwestern Colorado Contractors Assn. stating our desire to open nego- tiations with the above mentioned Assn. To this date no meetion [sic] has been set. The State Council of Carpenters and The Carpenters District Council of Southern Colorado respectfully request that a meeting be set not later than September 18, 1963 for the purpose of negotiating a new contract. Subsequently, on September 7, 1963, on stationery of the Southern Colorado Con- tractors Association , in a letter addressed to Carpenters District Council, to the attention of Ader , Gordon Royce stated the following: 14 As you know Southwestern Colo. Contractors Assn. no longer exists as a bar- gaining unit. G. The Association membership and bargaining authority Gordon Royce credibly testified at the hearing that on the occasion of the July 17 meeting above referred to at which the consent -election agreement was executed in Case No. 27-RC-2456, he considered to be members of the Association of the Association each of the firms named as individual parties respondent herein and designated in appendix A of the complaint . In explication of his testimony he credibly testified that Association dues were $5 per annum and that the books and ledgers of the Association reflected that during the period January through April 1963, each of the firms designated in appendix A of the complaint made pay- ments of their annual dues. Sometime prior to January 29, 1963, a form letter, on stationery of the South- western Colorado Contractors Association and bearing signature lines of the South- western Colorado Contractors Association and for H. C. Flaugh, president; G. A Patterson, vice president; Gordon Royce, secretary; and Merle Cornelius, special committee, was prepared for distribution to prospective members of the Association. The letter contained the following paragraph: As you know our association was organized a few years ago for the primary purpose of conducting labor negotiations with the various crafts of the build- ing and construction trades and to assist members with various problems. Dur- ing the ensuing period we have conducted several negotiations with most satis- factory results. To continue to do so successfully we must have the support and cooperation of the contractors and subcontractors engaged in building and construction in Southwestern Colorado. Since several contracts are due to be opened for negotiations this year we are endeavoring , at this time , to increase our strength and support so that we can sit at the negotiating table secure in 12 The foregoing is predicated upon the credited testimony of William Smart. zs The credited testimony of Gordon Royce. la This and the foregoing is predicated upon the credited testimony of L A. Ader as supported by an exhibit of record. SOUTHWESTERN COLORADO CONTRACTORS ASSN., ETC. 1151 the knowledge that the men we are facing across the table realize that we represent a strong, united and responsible organization with whom they must bargain and work.'5 James Bell, a carpenter and financial secretary for the Carpenters' Local 2243, ciedibly testified that during May 1963, on a job at Mesa Verde National Park, he and three other employees engaged in a discussion with Jack Higgins, a party respondent herein, concerning the payment of travel allowance under article II, section 2, of the 1962 agreement. The four employees contended that they were due travel pay under the terms of the agreement, but Higgins asserted that he did not want to be the first "one to pay it." Higgins, however, upon being shown the agreement asserted that he would pay travel allowance. H. The Association membership status of H. C. Flaugh Gordon Royce credibly testified that during the summmer of 1963 H. C. Flaugh was ill, having suffered a heart attack. He further testified credibly that Flaugh did not attend any of the negotiations conducted during 1963 with the Laborers and he was not consulted concerning the consent-election agreement. Additionally, Royce credibly testified he received from Flaugh a letter dated June 19, 1963, which stated the following: It is with regret that I must ask you to accept my resignation as President of the Southwestern Colorado Contractors Association due to my recent illness. My Doctor advises me that near complete abstinence from business and related activities for a while will be necessary to effect a complete and timely recovery of my health. My sincere best wishes to all the fellows and I pledge my strong moral sup- port to the continued success of our very worthwhile organization. Conclusions This proceeding involves employers engaged in the construction industry who at times prior to the certification of the Charging Parties had been members of an association whose organizational structure was informally drawn and whose mem- bership over the 5- or 6-year period following its organization had fluctuated. That each of the 15 firms named party respondents herein had been a member of the Association during material periods of 1963 is established by admissions of 13 of the respondents, as supplemented by the further testimony of Gordon Royce, the Asso- ciation's secretary-treasurer, specifically his testimony concerning the payment of 1963 annual membership dues by each of them, including the two respondents who in their answers denied membership, namely, Athey Beaman Company and Root & Malarsie Plumbing and Heating. The General Counsel's proof further reveals, and I find, that the Association had as one of its purposes joint collective bargaining on behalf of its members. Thus, the 1960 and 1962 agreements were negotiated by a committee selected from the Association's membership and were executed in the name of the Association by officers of the Association. The 1963 negotiations between the Association and the Laborers in which representatives of at least nine member firms participated is further proof of the joint bargaining purpose of the Association.16 In light of the foregoing background proof in support of controverted allegations of the complaint and in explication of the precise nature of and relationship between the Association and the firms named respondents herein, the General Counsel's threshold burden in support of the allegations of the complaint was met by intro- 15 The foregoing is predicated upon the credited testimony of Gordon Royce and upon a document received in evidence as General Counsel's Exhibit No 22 Royce credibly testified that the letter was one which he had received in due course and had extracted from his files prior to the hearing herein I affirm my ruling receiving the document in evidence. 161 have also considered as evidentiary facts bearing upon the purposes of the Asso- ciation prior to its dissolution, the January 29, 1963, letter and attached questionnaire, entered in evidence as General Counsel's Exhibit No 22, and Royce's August 16 telephone statement to William Smart that the Association had "disbanded as a bargaining unit" 1152 DECISIONS OF NATIONAL LABOR RELATIONS BOARD ducing proof of the August 15 certification of the Charging Parties in an associa- tionwide bargaining unit embracing the Association and its members. The certifica- tion followed a Board-conducted election which resulted from a joint representation petition filed by the Charging Parties, and a consent-election agreement executed by Gordon Royce, as secretary-treasurer of the Association In the circumstances of this case, this certification is binding upon them and is conclusive as to the appro- priateness of the unit and the majority status of the Charging Parties.17 That the Regional Director's August 15 certification has the finality of a Board certification is not here open to question for no contention or showing was made at the hearing that irregularities had occurred in the conduct of the election as would show gross mistake of a variety to imply fraud or that the certification was tainted by arbitrary or capricious action on the part of the Regional Director, nor was evidence newly discovered bearing upon the representation proceeding offered at the instant hearing. In context of the findings aforesaid regarding the composition of the Association, its purpose, inter alia, and the effect of the certification, I find without merit the contention of each of the respondent firms that the complaint must be dismissed because the General Counsel failed to establish that they or any of them had author- ized the Association to engage in collective bargaining on their behalf. I find that in the circumstances above delineated the General Counsel was not required to specifically establish this authorization. In point of fact the Respondents' contention is tantamount to an attack upon the appropriateness of the unit, as specified in the consent-election agreement to which they, through the Association, were parties, and as certified by the Regional Director. In light of Secretary-Treasurer Royce's testimony relating to the circumstances surrounding the execution of the consent agreement, and the Association membership of each respondent firm, and absent evidence that prior to July 17 when the consent-election agreement was executed any of the members had resigned from the Association, I find that Royce was acting within the scope of his authority as an agent and representative of each of the party respondents herein including the Association in executing the consent agreement; that, as members of the Association, each respondent firm had been put on notice of the pendency of the representation proceeding, and thereby had ample oppor- tunity to raise any issue relevant to that proceeding, including any and all issues relating to the appropriateness of the unit and their inclusion in the unit. I further find that by failing to do so they became bound by the terms of the consent agree- ment including the resulting unit determination and certification. In connection with the foregoing, I additionally find that the evidence pertaining to the 1963 heart attack of H. C. Flaugh and his June 19, 1963, letter does not establish his timely withdrawal from Association membership relieving him of the legal effects of the certification. Rather, the evidence establishes merely his entorced inactivity in the affairs of the Association resulting from illness and his proffered resignation trom the office of Association president because of ill health. It is in the context of the foregoing findings that the issues central to a proper disposition of this case must be viewed. The complaint alleges a request and refusal on and after September 5. The respondent members, however, as noted above, assert that the Association had dissolved on August 15, some 3 weeks prior to the Charging Parties' request. Against the contention must be weighed the General Counsel's assertion that the dissolution was accomplished for the purpose of evading the statutory duty to bargain collectively with the Charging Parties, and that the disbandment of the Association, in the circumstances here present, is but a corollary of an employer going out of business to avoid bargaining. Contrary to the contention of the respondent firms, this proceeding does not turn on the question of timely withdrawal from group bargaining. That employers may individually or collectively withdraw or discontinue joint bargaining by appropriate notice given at an appropriate time is not in dispute.18 That employer-members of the Association, individually or collectively, could have availed themselves of this opportunity by giving timely notice to Local 2243, the then certified and recognized bargaining representative, is not here challenged. However, the Respondents not only remained mute until August 15, concerning any intentions to disband the Association, but, on the contrary, on July 17 joined in a consent-election agreement 17 The Baker and Taylor Co., 109 NLRB 245 See also Parkhurst Manufacturing Com- pany, Inc, 136 NLRB 872, 878-879 18 Seattle Automotive Wholesalers Association, etc , 140 NLRB 1393 . McAnary A Welter, Inc., 115 NLRB 1029; The Milk and Ice Cream Dealers of the Greater Cincinnati, Ohio, Area, etc., 94 NLRB 23, 25; International Brotherhood of Electrical Workers, and Local 59, etc (Terlite, Inc ), AFL-CIO, 119 NLRB 1792, 1793 SOUTHWESTERN COLORADO CONTRACTORS ASSN., ETC. 1103 consenting to a Board-conducted election designed to determine the question con- cerning representation raised by the filing of the Charging Parties' June 4 joint peti- tion, and thereafter remained passive while balloting was being conducted and the choice of a bargaining representative ascertained. Not until the very day that the certification issued did the Respondents take action to disband the Association as a collective-bargaining entity. Well established is the principle that an employer violates Section 8(a) (5) of the Act by refusing during the period between the election and the issuance of the certification to bargain collectively with the labor organization designated in the election as the majority bargaining representative of its employees.19 Under the terms of the consent agreement ballots were to be opened and counted on August 7. While the record contains no direct evidence establishing that the counting occurred on the date specified, no evidence to the contrary was introduced. Moreover, pur- suant to Board procedures and the terms of the consent agreement each pal ty was entitled to have present at the counting a representative and was to be furnished a tally of ballots. In this circumstance, and presuming the regularity of the admin- istrative process, I conclude and find that the ballots were counted on August 7 and that the Charging Parties' majority status was established on that date Further, I find that the representatives of the Respondents had knowledge of the results of the election in advance of the August 15 dissolution meeting and that the vote for dissolution was taken with knowledge on the part of the Association's mem- bers that the Charging Parties had been selected as the joint-bargaining representative of the carpenter employees and apprentices of firms comprising the membership of the Association. Neither the Association, nor its members, had filed objections to the election, no other labor organization had been on the ballot or a party to the proceeding; the certification had, accordingly, at the time the members took their dissolution action, become essentially a ministerial act, to follow in due course. In the circumstances I find that when the Association was dissolved by the act of its membership, the Association and its members were under a legal obligation to recognize the Charging Parties as the collective-bargaining representatives of their carpenters and apprentices for the term of the certification. 20 The Board has held that an employer violates Section 8(a)(5) of the Act when it shuts down or liquidates its operation to avoid dealing with a labor organization 21 That employers acting in concert would similarly violate Section 8(a)(5) of the Act by terminating the bargaining function of their joint-bargaining representative solely as a device for avoiding their statutory bargaining obligation would appeal to follow axiomatically from this principle.22 But the analogy to Darlington is not a complete one, for the members' individual enterprises continued to exist and operate unaffected by the dissolution of the Association, and here, unlike Dai lington, no economic justification is offered in support of the dissolution. Thus, a reliance by the Respondents upon a right anal- ogous to that claimed in Darlington would be strained and misplaced Cf Dee] ing- Milliken, Inc. (Darlington Manufacturing Company) v. N.L.R.B., 325 F. 2d 682 Rather, I am of the opinion that, in the ultimate, the decision here turns on the question of motivation. If, as I do here find, the dissolution of the Association as a bargaining entity was unlawfully motivated, no barrier, practical or constitutional, 10 Ray Brooks v N.L.R B , 348 US. 96; George Sexton, an individual, d/b/a Sexton Welding Company, 100 NLRB 344, 345, 350 at footnote 2 ; see also Reliance Fuel Oil Col p , 129 NLRB 1166. 20 See Ray Brooks v. N L R B , supra "Darlington Manufacturing Company, 139 NLRB 241, enforcement denied sub nom Deering-Milliken, Inc, 325 F. 2d 682 (CA 4) , New England Web, Inc, et at, 135 NLRB 1019, 1026, enforcement denied 309 F. 2d 696 (CA 1) See also Sam Wallick, et al, d/b/a Wallick and Schwalm Company, 95 NLRB 1262, 1265, enfd 198 F 2d 477 (C A 3) 22 While in Darlington and in New England Web, and the cases cited therein, contem- poraneous violations of Section 8(a) (1) and Section 8(a) (3) of the Act were found by the Board to have been committed, it would, in my opinion, be inconsistent with the underly- ing logic and purport of those decisions to hold that in the absence of accompanying Sec- tion 8(a) (1) and Section 8(a) (3; violations, no violation of Section 8(a) (5) of the Act would flow from evasive action of the precise nature taken herein which had the purpo,e and effect of frustrating the expressed will of employees to bargain collectively with their cniployeia thiough th"ii duly chosen joint-bargaining repicaentatives in an appropriate bai- gaining unit. No warrant in logic, precedent, or statute suggests itself in support of such a conclusion 796-0 27-66-v of 153-74 1154 DECISIONS OF NATIONAL LABOR RELATIONS BOARD exists precluding a remedial order which recognizes the pragmatic artificiality of the dissolution and requires the restoration of the status quo ante, i e., joint bargaining in a multiemployer bargaining unit through authorized representatives with the certified bargaining representative. The proof of record demonstates that the Respondents were well aware of the desire of the Charging Parties to continue the bargaining relationship that the Asso- ciation had established with the Local, and it further shows that the Association was disbanded as a bargaining entity precipitously at a time when the bargaining agents for the carpenter employees of member firms had been selected and their certifica- tion was imminent. Accordingly, in these circumstances, viewed in context of the Respondents' course of conduct as above found, I conclude and find that the General Counsel established a prima facie case in support of his contention that the dissolu- tion of the Association was unlawfully motivated. Therefore, as the individual Respondents offered no defense in explanation of their actions and of the events which transpired, and as the Association, as a separate respondent, offered none, having made no appearance at the hearing, I find on this record that the Respondents dissolved the Association in order to avoid joint bargaining with the Charging Parties. Thus by this action they sought to relegate to themselves the determination of the appropriate bargaining unit and to checkmate their employees' choice made pursuant to established statutory authority and processes. This they may not lawfully do. In the circumstances I find that the Association and respondent firms collectively thereby violated Section 8 (a) (5) of the Act. IV. THE EFFECT OF THE UNFAIR LABOR PRACTICES UPON COMMERCE The conduct of the Respondents set forth in section III, above, occurring in con- nection with the operations described in section I, above, have a close, intimate, and substantial relation to trade, traffic, and commerce among the several States and tends to lead to labor disputes burdening and obstructing commerce and the free flow of commerce. V. THE REMEDY Having found that the Respondents have engaged in certain unfair labor practices, it will be recommended that they cease and desist therefrom and take certain affirma- tive action designed to effectuate the policies of the Act. Thus, as I have found that the Association was dissolved as a bargaining entity on August 15, 1963, by an act of its membership , for the purpose of avoiding the legal obligation that had devolved upon the members of the Association as a result of the August 7, 1963, Board-conducted election to recognize and bargain collectively with the Colorado State Council of Carpenters and Carpenters District Council of Southern Colorado, AFL-CIO, as the exclusive collective -bargaining representative of their carpenter employees and apprentices in an associationwide appropriate bar- gaining unit, and as the carpenter employees and apprentices of said Association's members have been deprived of their statutory rights to be represented in collective bargaining by said labor organizations as a result of the unfair labor practices of the Respondents , I shall recommend , in order to effectuate the purposes of the Act, that the Colorado State Council of Carpenters and Carpenters District Council of South- ern Colorado , AFL-CIO, be recognized as the exclusive bargaining representative of carpenter employees and apprentices of the fifteen firms named respondents herein which have been found to have been members of the Association on August 7, 1963, and that, upon request, the said firms through the Association bargain collectively with the Colorado State Council of Carpenters and Carpenters District Council of Southern Colorado, AFL-CIO, with respect to wages, hours , and terms and condi- tions of employment of carpenter employees and apprentices and, if an agreement is reached , embody such understanding in a signed agreement binding upon the Association and each of the 15 individual Respondents. CONCLUSIONS OF LAW 1. The Southwestern Colorado Contractors Association is, and at all times mate- rial herein has been, an association of employers that prior to August 15, 1963, existed for the purpose, inter alia, of representing employer-members in multiemployer collective bargaining with labor organizations and is an employer engaged in com- merce within the meaning of Section 2(6) and (7) of the Act. 2. Colorado State Council of Carpenters and Carpenters District Council of Southern Colorado, AFL-CIO, are labor organizations within the meaning of Sec- tion 2(5) of the Act. LOCAL 30, INT'L ASSN. OF HEAT, ETC. 1155 3. All carpenters and apprentices employed by members of the Southwestern Colorado Contractors Association , excluding all other hourly employees, and also office employees , guards, and supervisors, as defined in the Act, constitute a unit appropriate for the purposes of collective bargaining within the meaning of Section 9(b) of the Act. 4. Colorado State Council of Carpenters and Carpenters District Council of Southern Colorado , AFL-CIO, have been , at all times since August 7, 1963, and now are the exclusive representatives of all carpenter employees and -apprentices in the aforesaid appropriate unit for the purpose of collective bargaining , within the mean- ing of Section 9(b) of the Act. 5. By refusing to bargain collectively with the Colorado State Council of Carpen- ters and Carpenters District Council of Southern Colorado, AFL-CIO, as the exclu- sive bargaining representative of employees in the appropriate unit, the Respondents have engaged in and are engaging in unfair labor practices within the meaning of Section 8 (a) (5) and (1) of the Act. [Recommended Order omitted from publication.] Local 30, International Association of Heat and Frost Insulators and Asbestos Workers, AFL-CIO (Armstrong Contracting & Supply Corporation ) and Paul H . Galka. Case No. 3-CB-791. July 1, 1965 DECISION AND ORDER On April 28, 1965, Trial Examiner Alba B. Martin issued his Deci- sion in the above-entitled proceeding, finding that the Respondent had engaged in certain unfair labor practices and recommending that it cease and desist therefrom and take certain affirmative action, as set forth in the attached Trial Examiner's Decision. Thereafter, Respondent , Local 30, International Association of Heat and Frost Insulators and Asbestos Workers, AFL-CIO, filed exceptions to the Decision and a supporting brief. Pursuant to the provisions of Section 3(b) of the National Labor Relations Act, as amended, the National Labor Relations Board has delegated its powers in connection with this case to a three-member panel [Chairman McCulloch and Members Fanning and Brown]. The Board has reviewed the rulings made by the Trial Examiner 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 foregoing exceptions and brief, and the entire record in this case, and hereby adopts the findings, conclusions, and recommendations of the Trial Examiner.' ' To prevent any possibility of misunderstanding, we amend the sentence in the fourth paragraph of the section entitled "The Remedy" after the words "on August 17", by adding at the end thereof : "less the amount he earned during that period , to which shall be added interest at the rate of 6 percent per annum, as prescribed in Isis Plumbing & Heating Co ., 138 NLRB 716." This amendment assures the consistency of this sentence with Section 2(b) of the Recommended Order, hereinafter adopted by the Board. 153 NLRB No. 98. Copy with citationCopy as parenthetical citation