Universal Cigar Corp.Download PDFNational Labor Relations Board - Board DecisionsNov 19, 1968173 N.L.R.B. 865 (N.L.R.B. 1968) Copy Citation UNIVERSAL CIGAR CORP. Universal Cigar Corporation and The Cigar Makers International Union, AFL-CIO. Case 12-CA- 3985(1-2) November 19, 1968 DECISION AND ORDER BY MEMBERS BROWN , JENKINS, AND ZAGORIA On June 20, 1968, Trial Examiner W. Edwin Youngblood issued his Decision in the above-entitled proceeding, finding that the Respondent had engaged in and was engaging 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. He also found that the Respondent had not engaged in certain other unfair labor practices alleged in the complaint and recommended that such allegations be dismissed. Thereafter, the General Counsel and the Respondent filed exceptions to the Trial Examiner's Decision together with supporting briefs. 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. 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 briefs, and the entire record in this case, and hereby adopts the findings,' conclusions,' and recommendations of the Trial Examiner, as modified herein. The Trial Examiner found that the Respondent did not violate Section 8(a)(3) and (1) of the Act by discharging James E. Townsend, Jr., for passing out a union card in violation of a valid no-solicitation rule. Although it is undisputed that Townsend violated the rule, it is our opinion that the Respondent discrim- inatorily applied the rule when Townsend was dis- charged on October 20, 1967. The Respondent promulgated the no-solicitation rule in October 1966, after an unsuccessful union organizing campaign. Since that time, many violations of the rule have occurred. Vegetables were sold in July 1967, during working time and with the approval of supervisor Nolin. Stockings were modeled in the wrapper loosening department sometime in 1967. 1 Footnote 8 is amended as follows: Although Todd was listed as a member of the 1967 organizing committee , he was not actually on the committee. 2 These findings and conclusions are based , in part , upon credibility determinations of the Trial Examiner , to which the Respondent has excepted . Having carefully reviewed the record , we conclude that the 865 That same year cookies were sold in the packing departments. In November 1967, a memorandum was circulated in the packing department asking for money for Christmas presents. There was a passing of a "flower-pot" fund on company time. Supervisor Nolin had engaged in selling Avon cosmetics and admitted that some employees paid her on Company time by means of putting money in her pocket as she walked by. None of the employees involved in these incidents was discharged or reprimanded although it is apparent that supervisors with the authority to hire and fire knew of them. It was not until the Townsend incident occurred in the midst of the renewed union compaign which began in July 1967, that the Employer saw fit to invoke the no-solicitation rule. The Employer dis- charged Townsend without warning and without discussing the incident with him prior to making the decision to fire him.3 We are therefore convinced that the record as a whole established disparate treatment against Town- send, and that his dismissal for violating the no- solicitation rule was merely a pretext. THE REMEDY Having found that the Respondent, Universal Cigar Corporation, has engaged in violations of Section 8(a)(3) and (1) of the Act, it will be ordered to cease and desist from the unfair labor practices found and from in any other manner infringing upon the statutory rights of its employees, offer Tellis Smith and James E. Townsend, Jr., immediate, full, and unconditional employment in their former jobs or substantially equivalent positions of employment without prejudice to their seniority or other rights and privileges, and reimburse them for any loss of pay suffered as a result of the discrimination against them in the manner set forth in F. W. Woolworth Com- pany, 90 NLRB 289, 291-293, and Isis Plumbing & Heating Co., 138 NLRB 716; and post appropriate notices. CONCLUSIONS OF LAW We hereby adopt the Trial Examiner's Conclusion of Law except for paragraph 4, for which we make the following substitution: 4. By discharging James Townsend on October 20, 1967, the Respondent violated Section 8(a)(3) and (1) of the Act. Trial Examiner's credibility findings are not contrary to the clear preponderance of all the relevant evidence . Accordingly , we find no basis for disturbing those findings. Standard Dry Wall Products, Inc., 91 NLRB 544, enfd . 188 F.2d 362 (C.A. 2). 3 See Talon, Inc., 170 NLRB No. 42. 173 NLRB No. 129 866 DECISIONS OF NATIONAL LABOR RELATIONS BOARD ORDER Pursuant to Section 10(c) of the National Labor Relations Act, as amended, the National Labor Relations Board adopts as its Order the Recom- mended Order of the Trial Examiner, and orders that the Respondent, Universal Cigar Corporation, Clear- water, Florida, its officers, agents, successors, and assigns, shall take the action set forth in the Trial Examiner's Recommended Order, as herein modified: 1. Amend paragraph 2(a) to read: Offer to Tellis Smith and James Townsend ... and make them whole for any loss of pay suffered by them in the manner set forth in the above section entitled "The Remedy." 2. Amend paragraph 2(b) to read: " ... above- named employees ... of their right ...." 3. Delete the recommendation of the dismissal of the amended complaint insofar as it alleges Respond- ent violated the Act by the discharge of James Townsend. 4. Modify the notice attached to the Trial Exam- iner's Decision by: (a) Substituting the following for the third in- dented paragraph: WE WILL offer to Tellis Smith and James E. Townsend, Jr., employment in their former jobs or substantially equivalent positions of employment without loss of any seniority or other rights and we will make them whole for any loss of pay they may have suffered by reason of the discrimination against them. (b) Substitute the following for the Note Note: We will notify the above-named employees, if presently serving in the Armed Forces of the United States, of their right to full reinstatement upon application in accordance with the Selective Service Act and the Universal Military Training and Service Act, as amended, after discharge from the Armed Forces. (c) Correct the telephone number to read 228-7711. MEMBER ZAGORIA , dissenting in part: For essentially the reasons relied on by the Trial Examiner, I would not find that the Respondent's discharge of Townsend was unlawful. As the Trial Examiner points out, the instances of solicitation in violation of the rule known to the Respondent's supervisors were minimal. In addition, as I have indicated in other cases,4 I do not believe that an employer who permits limited work-time solicitation which is unrelated to union or concerted activity thereby forfeits his right to main- tain and enforce in a nondiscriminatory manner a rule barring solicitation which is related to union or concerted activities. The solicitation on which my colleagues rely to support their conclusion of dis- parate treatment was limited in nature and clearly unrelated to union or concerted activities. In all the circumstances, I am not persuaded that there is a preponderance of the evidence to establish that Townsend was discharged for any reason other than his violation of a lawfully maintained and lawfully enforced no-solicitation rule. I would there- fore adopt the Trial Examiner's Decision without modification. 4 E.g. Saco-Lowell Shops, a Division ofMaremont Corporation, 169 NLRB No. 151 , Marlene Industries Corporation , 166 NLRB No . 58, and Gooch Packing Company, 162 NLRB No. 2. TRIAL EXAMINER'S DECISION W. EDWIN YOUNGBLOOD , Trial Examiner. The complaint', as amended on January 8, 1968, alleges that Universal Cigar Corporation, herein called Respondent or the Company, violated Section 8(a)(1) of the Act by the conduct of Foreman Charles Pursser in interrogating an employee about union activities and violated Section 8(a)(3) of the Act by (a) refusing to recall Tellis Smith since about July 10, 1967 and (b) discharging James E. Townsend, Jr., on October 20, 1967. I conducted a hearing in Tampa, Florida on March 25, 26, and 27, 1968. At the conclusion of the hearing, the General Counsel and Respondent made oral statements of position and since the hearing I have received briefs from the General Counsel and the Respondent. Respondent's motion to dismiss the complaint upon which I reserved the ruling at the conclusion of the hearing is disposed of in accordance with the findings and conclusions set forth herein. Upon the entire record,2 including my evaluation of the witnesses based on the evidence and my observation of their demeanor, I make the following. FINDINGS OF FACT 1. THE BUSINESS OF RESPONDENT Respondent, a New York corporation, is engaged at Clearwater, Florida, in the manufacture, sale, and distribution of cigars, and during the 12 months preceding issuance of the complaint, shipped cigars valued in excess of $50,000 from Clearwater to points directly outside the State of Florida. Upon these admitted facts, I find that Respondent is engaged in commerce within the meaning of Section 2(6) and (7) of the Act. 1 Issued December 19, 1967, upon charges filed October 11, 1967, and October 27, 1967, by the Cigar Makers International Union, AFL-CIO, herein called the Union. 2 I am in receipt of a motion to correct the record filed by the General Counsel . Respondent objects to certain portions of the motion on the ground that they make material alterations in the substance of the record . The proposed changes conform to their context in the record or to my recollection of the testimony . Accordingly, the motion is granted with the following qualification: I note regarding the proposed change on page 110, line 9 that the motion is obviously erroneous . There is no word "she" to change to "he" but there is the word "he" to change to "she." Therefore the word "he" is corrected to read "she." In addition, I noted and corrected errors in the record. UNIVERSAL CIGAR CORP. 867 II THE LABOR ORGANIZATION INVOLVED John P. McGivern (staff organizer for the Union) credibly testified that the Union admits employees to membership and bargains collectively with employers for employees regarding wages and working conditions. Accordingly, I find that the Union is a labor organization within the meaning of Section 2(5) of the Act. III. THE UNFAIR LABOR PRACTICES ALLEGED A. The Interrogation of Todd Frank Todd testified that he worked under the immediate supervision of Foreman Charles Pursser as a wrapper wetter. Todd had many conversations with Pursser about the Union, most of which occurred in the last part of 1967. In these conversations Pursser asked Todd if he thought the unions were very strong and if he thought "it might come in sometime ..." Pursser also asked Todd if he knew which way some employees were going. For example, Pursser asked Todd regarding a newly hired employee named Sherrel Cutts if he thought Cutts was with the Union. Pursser also asked Todd if he thought an employee named Melvin Banks was for the Union.3 I find in context with the other unfair labor practices found herein that Pursser coercively interrogated Todd in violation of Section 8(a)(1) of the Act. B. The Failure To Recall Smith Tellis Smith worked for Respondent about 12 years in all departments. Smith was well-known to Respondent as a strong union adherent having been named in a wire to Respondent dated May 19, 1966, as one of the seven employees who were active members of the Union in its campaign to organize Respondent's workers. Smith served as an observer for the Union in the Board conducted election in August 1966 which the Union lost. Shortly before entering the hospital on April 18, 1967, for tests, Smith talked to Floorlady Zenotia Nolin, an admitted supervisor within the meaning of the Act, about her expected entry into the hospital. Smith was "scared to take the operation" and Nolin told her to "trust God" and she would be all right and further Nolin told Smith that she did not have anything to worry about and that her job would be waiting for her when she came out and was able to go back to work 4 After the tests were completed, Smith returned to work for a few days and then reentered the hospital on May 1, 1967, for an operation-a hysterectomy. She had her final check-up on June 3 and her physician advised that she could return to work on June 5, that she was "okay." On Sunday night, Smith telephoned Nohn to tell her that she was ready to go back to work. Nolin at first told Smith to come in on Monday, then Nohn asked if Smith had a release. Smith replied that she did not and Nolin told her that the Company had new rules and Smith would have to have a release. Smith said that she would go get one on Monday and come in Tuesday and Nolin said "all right." On Tuesday Smith went to the factory and told Nolin that she had the release. Nohn then told Smith that there was not anything to do-"there wasn't very much work" and asked Smith if she would stay off till after vacation. Nolin told Smith that she would be called back to work after the vacation.5 Nolin suggested that Smith try to get her unemployment pay but Smith told Nolin that she would rather have her vacation and then try to draw unemployment. On the same day, Smith talked to Pursser who told her that he would like to have her work for him, that she was a good worker. Smith gave the medical release to Sandra Bergman, an office employee who does payroll and insurance work for Respond- ent. Bergman told Smith that she could not draw unemploy- ment because she was still on the payroll. Bergman also advised that they would call Smith and tell her whether or not she would draw her vacation pay but they never called Smith On September 21, 1967, Smith went to the factory seeking work and was permitted to fill out an application. Smith returned to the factory on September 28, and talked to Morton Goldstein, Respondent's vice president and manager of shipping and receiving department, about going to work. Goldstein told her that they did not have anything to do, that he had her application on file and as soon as they had some empty stripping machines he would call her. Smith was never returned to work by Respondent.6 The Union reactivated its organizational campaign in earnest at Respondent's factory in July 1967 and held fairly regular meetings with employees and handbilled the factory. Smith signed a union card in July. About November 1, 1967, Respondent was notified the names of the 1967 organizing committee-only one person was listed on this committee who had been on the 1966 organizational committee-Frank Todd.7 Todd testified regarding this matter that for 2-3 days "everybody" seemed very unfriendly. About this time Todd had a conversation with Melvin Banks who advised him that his name was listed on the Union committee Todd stated that it was not supposed to be and asked Pursser about it because he wanted to know what was the matter with everybody.' Pursser said that he did not know but would find out. A short time later, Pursser returned and confirmed to Todd that his name was on the letter to Respondent. Todd then stated that he wanted to see John Cueva, Respondent's factory superintend- ent. Cueva and Todd had a conversation about the matter and Cueva, too, confirmed that Todd's name was on the letter. Later Eloy Vega, Respondent's vice president and general manager, came to see Todd and told Todd that he had heard from Cueva that Todd did not want to be on the committee. Todd said that he wanted to know how to get off the committee and Vega advised him to write the Union and ask them to withdraw his name. Todd never did write the letter. Several times after this Pursser asked Todd if he had written the letter and Todd replied in the negative and asked Pursser if he would write it. Pursser left and returned shortly and stated that he could not write it and suggested to Todd that he get his 3The foregoing is based on the credited testimony of Todd. To the extent that Pursser's testimony is at variance with the foregoing it is not credited. 4Tellis Smith 's daughter-in-law was present during this conversation and corroborates Smith 's testimony . Nolin admitted telling Smith when Smith told her of the impending operation that Smith would be back to work. 5Respondent usually experiences a slack period in the summer and was shut down for two weeks for vacation in the summer of 1967. Thirty-five employees were laid off on June 23 and the factory reopened July 10, 1967. 6The foregoing is based on the credited testimony of Smith except as otherwise indicated. 7The foregoing is based on the credited testimony of McGivern. 8 Todd was not on the 1967 organizing committee. 868 DECISIONS OF NATIONAL LABOR RELATIONS BOARD wife to write it. Pursser told Todd that if he did not write the letter Vega would be "very, very unhappy," and would think that Todd worked for the Union. Some time after Labor Day, Smith's husband, Burie Smith, who was also an employee of Respondent and worked under Pursser, asked Pursser when his wife was coming back to work. Pursser replied that he would like to have Mrs. Smith back at work and said that he had talked it over with John Cueva (Respondent's factory superintendent). Cueva told Pursser that they were not going to hire any more girls right then and Pursser would have to make out with what he had.' o During the fall of 1967 about 6 or 7 weeks after the vacation ended on July 10, Frank Todd heard some of the girls asking Pursser when Smith was coming back to work and if she was coming back and Pursser replied that he did not know but that he would be glad to have her back.' 1 As noted above, the General Counsel alleged in his complaint that Respondent has since July 10, 1967, failed and refused to recall Smith because of her union acitivites. It is conceded by Respondent that Smith sought employment with Respondent approximately July 20-25, 1967. We turn now to Respondent's defense to this allegation. A pretrial conference was held at which the attorneys stated their positions regarding the issues in this case. Early in the hearing, Morton Goldstein testified that as far as he knew Smith's physical condition had nothing to do with Respond- ent's failure to recall her to work. At that point, I stated to Respondent's attorney, Mr. Rock, that I had understood from our pretrial conference that the reason Smith was not recalled as far as Respondent was concerned was her physical con- dition. I inquired if that was correct and Rock stated that it was. Rock added that unsatisfactory work resulted from inability to peform work and Smith's physical condition was such that she could not perform the work in the position she had held. When it later appeared during the hearing that an issue might be developing as to lack of work being the reason for Respondent's failure to recall Smith, I stated that I had understood that the reason she was not recalled was due to a physical condition. Respondent's attorney then stated that was "essentially Respondent's position" but that issues might come out during the hearing that neither side was aware of prior to going into a hearing, and he would not want to "preclude" himself. I then inquired if it was Respondent's position that Smith was not recalled not only because of health but also because of lack of work. Mr. Rock stated that tied in with the overall situation and further replied that lack of work would have a bearing on Respondent's defense. Rock also stating that even assuming a normal work load, Smith would not have been hired because she could not do the work she formerly did. Rock then stated that she would not have been recalled because of lack of work at least up to the start of the Christmas rush. Rock agreed that Respondent did hire employees in September or October 1967 to perform work which was of the same type that Smith had performed. 9The foregoing is based on the credited testimony of Todd. Pursser confirmed that he talked with Todd in the fall of 1967 about a letter to the Union to get Todd's name off the committee list. To the extent that Pursser's testimony is at variance with that of Todd it is not credited. The General Counsel does not contend that the foregoing constitutes independent evidence of unfair labor practices ; it is offered insofar as it has bearing on the motivation for the discrimination with respect to Smith. Goldstein testified in support of Respondent's defense that both Pursser and Nolin had complained to him about the quality of Smith's work. Several employees testified that Smith had a nervous difficulty, that Nolin had trouble with her work, and also that Smith was wasteful. In fact, Nolin testified that Smith was transferred from her department (stripping) to Pursser's department (processing) in January 1967 because of waste in connection with her work. Nolin testified that she talked with Smith "time and time again" about her waste in removing the stems from leaves. Nolin further testified that although Smith was able to meet her quota on the P. L. filler which was based on an hourly rate and could meet the production quota on Pennsylvania tobacco, she could not meet the quota on wrapper tobacco. Pursser testified that Smith was nervous and broke leaves of tobacco and that he corrected her "several" times about that. When queried about how many times he talked with Smith, Pursser testified "3 or 4 times a day, sometimes." Later when recalled as a witness , Pursser testified that he talked with Smith about her nervousness "about 3 times" between January and March 1967. Pursser also testified that Smith was an unsatisfactory worker in his department and that he told Smith she was not an average worker "3 or 4 times a day, sometimes" in 1967. Further, Pursser testified that Smith worked in his department some in 1966 and he talked to her then about her work, and also talked to her in 1965 about her work. On the other hand, Smith denied that Nolin had ever talked to her about waste and further denied that Pursser had ever said anything to her individually about leaves, or talked to her about nervousness. Also, Smith denied that Nolin had ever criticized her work. Smith impressed me as an honest, forthright witness. On the other hand, Pursser made a singularly unimpressive witness both as to demeanor and his vague and contradictory testimony. Nor did I find Nolin to be an impressive witness. I note also that Pursser admitted on cross-examination that the reason he did not consider Smith for hire when Helen Chasen was employed on October 9, 1967,, was because he thought Smith was still under the doctor's care. I note further Pursser's statements to Bune Smith and other employees that he would like to have Tellis Smith come back to work. Then too, it is clear from the testimony that Nolm told Smith before her operation that her job would be waiting for her when she was able to come back to work. All the foregoing statements by Pursser and Nolin are clearly inconsistent with their other testimony that Smith was an unsatisfactory employee unworthy of rehire. Accordingly, I, credit Smith's testimony and reject the contrary testimony of Pursser and Nolin. It is apparent from the foregoing credited testimony that Smith was a satisfactory employee to both her supervisors with some 12 years experience at Respondent's factory; never- theless Respondent did not recall her after the operation. Obviously it was not because of her work or physical condition 10The foregoing is based upon the credited testimony of Burie Smith. Pursser , when asked about this conversation , at first firmly denied that it had occurred. When shown his Board affidavit , he finally did recall the conversation and further affirmed that he did consider Smith for employment and did not recall her only because he thought she was still under a doctor's care. "The foregoing is based on Todd's credited and undenied testimony. UNIVERSAL CIGAR CORP. and I must reject Respondent's defense based on the quality of her work or her physical condition as pretextual. In con- nection with the defense related to lack of work, I note that Respondent employed a person in the classification of stripper in July 1967 (G.C. Exh 4) which was work that Smith had satisfactorily performed. Subsequently, in August and September and later Respondent employed a number of strippers including stripper-learners without offering employ- ment to Smith. In addition, other employees were hired in classifications where Smith had worked. It is apparent that lack of work was not the reason Respondent failed to recall Smith. Why then was Smith not recalled? It is clear from the record that Respondent was strongly opposed to attempted organization of its employees by the Union. Thus, I note Pursser's interrogation of Todd about employees' union activities in an effort to determine the strength of the Union and the union sympathies of certain employees, Pursser's statement to Todd that Vega would be unhappy if Todd did not write the Union to withdraw his name as a union organizer, and Respondent's letter to its employees (G.C. Exh 3) which is highly critical of the Union. Smith's strong adherence to the Union and leading activities on behalf of the Union renewed its efforts to organize Respond- ent's employees and cards were signed, meetings were held and Respondent's plant was handbilled Commencing in July and continuing thereafter openings for which Smith was qualified occurred but Respondent did not recall her. It is clear that Respondent's asserted reasons for failure to recall Smith were mere pretexts and not the real reason for its action. Under all the foregoing circumstances, including the shifting nature of Respondent's defenses, I believe and find that the real reason for Respondent's failure to recall Smith was her known strong allegiance to the Union. I therefore find that Respondent discriminatorily refused to recall Smith on July 21, 1967, and thereafter because of her union activities and did thereby violate Section 8(a)(3) and (1) of the Act. C. The Discharge of Townsend The complaint alleges that Respondent violated the Act by discharging James E. Townsend, Jr. It is conceded by the General Counsel that Townsend violated Respondent's valid no solicitation rule which was instituted in October 1966. The rule reads as follows. OUTSIDE BUSINESS EMPLOYEES SHALL NOT SOLICIT MEM- BERSHIPS, OR SUBSCRIPTIONS FOR ANY PUBLIC OR PRIVATE ENTERPRISE NOR SHALL MONEY BE COLLECTED OR ACCEPTED FOR PLEDGES, MEMBERSHIPS , SUBSCRIP- TIONS, OR ADMISSIONS TO ANY PUBLIC OR PRIVATE ENTERPRISE OR FOR GIFTS OF ANY NATURE ON COMPANY TIME WITHOUT THE CONSENT OF THE MANAGEMENT. CIRCULATION OR PASSING OF ANY PETITIONS OR NOTICES AMONG EMPLOYEES (ONE TO ANOTHER) IS PROHIBITED. EMPLOYEES ARE NOT ALLOWED TO LOAN OR COLLECT MONEY OR TO SELL OR BUY ITEMS OF PERSONAL PROP- ERTY ON COMPANY TIME Townsend was discharged on October 20, 1967. The General Counsel contends, however, that Respondent treated Townsend's violation of the rule differently than it did other employees who violated the rule or put another way that Townsend received disparate treatment and his violation of the rule was a mere pretext and the real reason for his discharge was umon activities. The issue then is whether General Counsel has established disparate treatment. General Counsel in his 869 brief details the other instances of solicitation upon which he relies. We turn to the testimony in support of this contention. Frank Todd testified that he has seen collard green and tomatoes sold on Company time. Todd stated that some time after the vacation of July 1967 Supervisor Nolin came by and told him that Mae Norton was selling tomatoes and asked him if wanted any. This was about 11 a.m. and not on a lunch break. Todd then went out and bought some tomatoes. Todd testified that he and other employees would pick up the tomatoes the next day on the back porch after they clocked in in the morning. Todd stated that Pursser knew of this activity and testified about a time when he and Pursser went out on the porch one morning and moved some collard greens in order to get to some tobacco. Another instance of solicitation relied upon by the General Counsel occurred when an employee identified only as "Granny" asked Todd on Company time to buy some collard greens. This happened in October or November of 1967. Another instance occurred when Todd and others were loosening wrapper and a female employee named Thomas came in wearing some stockings and said that Nolin had sent her in to show them the stockings This was in 1967 sometime. Frank James was an employee from August to late November or early December 1967 and testified that he saw a lady selling cookies (he could not identify her) but it is unclear whether this was on Company time or not. James placed the incident in the packing department in 1967 while he was employed but without further specificity as to time and date. James also testified that he saw a memo sent around on Company time by two ladies in the packing department-one named Maisel Tarr and the other unidentified-asking for money for Christmas presents for his supervisor-Serefino and another employee named Albert. Alma Reynolds testified that her immediate supervisor was Mrs. Nolin. Reynolds testified that she saw a flower pot passed around on Company time on more than one occasion to collect money for employees who were sick or employees who had died. This was placed as occurring in 1967. Reynolds also testified that Nolin sold Avon products on Company time in 1967 on more than one occasion but could not recall what month in 1967 this occurred. On cross-examination Reynolds admitted that any products she bought from Nolin were already placed on her machine when she reported to work. Reynolds also admitted that she paid Nohn for products before she began her work. Further, Reynolds testified that Nohn announced to employees in the stripping department that collections for flower funds on Company time would have to be stopped. This was sometime after October 26, 1967. Reynolds also admitted that she had heard that Nolin had said that she would not be able to take orders and deliver and collect for Avon products on Company time. Nolin testified that she advised her employees that the flower pot fund was canceled at a time which was some 8-10 months before the hearing of this case. Nolen testified that she herself did not sell Avon products but had accepted orders for a friend. Nolin further testified that she told her employees in November 1966 that if they wanted Avon products they would have to tell her on their time or call her at home. Nohn stated that she has accepted orders for Avon products recently from employees when they start to leave work or at lunch time. She has delivered Avon products to employees' houses and placed them at employees ' machines at noon time or early in the morning before she goes to work. Nolin stated that she 870 DECISIONS OF NATIONAL LABOR RELATIONS BOARD had accepted money from employees for Avon products at lunch time or in the evening or at her home. Further, Nohn stated that she asked Vega's permission to sell Avon products but that Vega inposed the condition in November 1966 that she would have to restrict it to non-worktime. She then cautioned the employees to that effect. Nolen also testified that she had not seen any collections for flower funds recently on Company time. Nolin testified that a memo directed to supervisors was posted in her department this past Christmas of 1967 where employees could see it. This memo (Resp. Exh. 6) relates to the exchange of Christmas gifts by employees and states also there should be no collections of money on working time or exchange of gifts on work time. Nolin denied ever receiving money for Avon products on Company time but did admit after being shown her Board affidavit that once in a while employees hand money to her as they are working and as she walks by. This has occurred since Vega spoke to her. Juan Cueva testified that employees asked him in the fall of 1967 if gifts would be exchanged at Christmas time. He told them he would have to take it up with Vega which he did. Two or three days after he talked to Vega the memo referred to above was posted. Vega testified that the 1966 rules did not prohibit employees from exchanging gifts. Respondent had approximately 352 employees in its factory at the time of the hearing. Vega testified that when he found out about 2 years ago that Nolin was selling Avon products he stopped it. The General Counsel has adduced some vague and indefinite evidence of scattered instances of solicitation on Company time since the rule went into effect in October 1966. But there were only a few instances established by the evidence that were shown to be known to supervisors. Of course, the Board has often held that knowledge of supervisors may be imputed to respondents. But here the only instances of solicitation or collecting money on Company time shown to be known to supervisors were those involving Nolin. These instances violated the rule but there is no evidence that Vega or Goldstein were aware of it. I do not believe that the fact that a supervisor personally interested in solicitation violates a Company rule against solicitation a few times in a factory of 352 employees is sufficient to show condonation by the Company of breach of the rules or disparate treatment. Nor do I believe the few instances of the circulation of the flower pot on Company time or the single instance of the circulation of the memo relating to Christmas presents are evidence of such widespread violations of the rule as to require a different result.' 2 I am also unable to attach the significance General Counsel seeks to Vega's memo to supervisors. I am satisfied that the memo was wrtiten because of the concern expressed to Cueva by employees over the exchange of Christmas gifts which was reported to Vega. I am persuaded from the record that Vega was interested in enforcing the Company's rule against solicitation on Company time whether the solicitation involved Avon products, Christmas gifts or union activities. In short, I cannot find on this record that Respondent discrunina- torily applied its no solicitation rule to Townsend.13 Accordingly, I shall recommend the dismissal of this allegation. THE EFFECT OF THE UNFAIR LABOR PRACTICES UPON COMMERCE The activities of the Respondent set forth in section III, above, occurring in connection with the operations of Respondent described in section I, above, have a close, intimate, and substantial relation to trade, traffic and commerce among the several States and tend to lead to labor disputes burdening and obstructing commerce and the free flow of commerce. THE REMEDY The Recommended Order will contain the conventional provisions entered in cases of this kind involving discrim- ination in violation of Section 8(a)(3) and (1) of the Act: Cease and desist from the unfair labor practices found and from in any other manner infringing upon the statutory rights of its employees, offer Tellis Smith immediate, full, and unconditional employment in her former job or substantially equivalent position or employment without prejudice to her seniority or other rights and privileges, and reimburse her for any loss of pay suffered as a result of the discrimination against her in the manner set forth in F. W. Woolworth, 90 NLRB 289, 291-293 and Isis Plumbing & Heating Co., 138 NLRB 716; and post appropriate notices. CONCLUSIONS OF LAW 1. Respondent is engaged in commerce within the meaning of the Act. 2. The Union is a labor organization within the meaning of Section 2(5) of the Act. 3. By discouraging membership in a labor organization through discrimination in employment and by interfering with, restraining and coercing employees in the exercise of their rights under the Act, Respondent has engaged in and is engaging in unfair labor practices affecting commerce within the meaning of Section 8(a)(3) and (1) and Section 2(6) and (7) of the Act. 4. Respondent has not, as alleged in the complaint, violated the Act by the discharge of James E. Townsend, Jr. RECOMMENDED ORDER Upon the basis of the foregoing findings of fact and conclusions of law and pursuant to Section 10(c) of the National Labor Relations Act as amended , it is recommended that Respondent , Universal Cigar Corporation, its officers, agents, successors , and assigns , shall: 1. Cease and desist from: (a) Discouraging membership in the Cigar Makers Inter- national Union , AFL-CIO, or in any other labor organization of their employees by refusing to recall any employee or in any other manner discriminating in regard to hire or tenure of employment or any term or condition of employment. i2Cf. Taylor Instrument Company, 165 NLRB No. 83. General Counsel was more than minimal involving conversations 13 In view of this finding , I cannot attach the significance General between Townsend and the employee solicitated (Martin) on two Counsel desires to his argument that Townsend 's interference with different occasions , and also the solicitation herein unlike that in Taylor Respondent 's work processes was minimal . In any event , I note that the was admittedly violative of Respondent 's rule. interference herein unlike that in the Taylor case, supra, relied on by the UNIVERSAL CIGAR CORP (b) Interrogating employees with respect to their union activities (c) In any other manner interfering with, restraining or coercing employees in the exercise of their rights under Section 7 of the Act 2 Take the following affirmative action which is necessary to effectuate the policies of the Act (a) Offer to Tellis Smith immediate, full and unconditional employment in her former job or substantially equivalent position of employment without prejudice to her seniority or other rights and privileges and make her whole for any loss of pay suffered by her in the manner set forth in the section entitled "The Remedy " (b) Notify the above-named employee if presently serving in the Armed Forces of the United States of her right to full employment upon application in accordance with the Selective Service Act and the Universal Military Training and Service Act, as amended, after discharge from the Armed Forces (c) Upon request make available to the Board and its agents for examination and copying all payroll and other records containing information concerning Respondent's backpay obligation under this Recommended Order (d) Post at its factory at Clearwater, Florida, copies of the notice attached hereto marked "Appendix "14 Copies of said notice on forms furnished by the Regional Director of Region 12 after being duly signed by an authorized representative of Respondent, shall be posted by Respondent immediately upon receipt thereof and maintained by it for a period of 60 consecutive 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 (e) Notify the Regional Director for Region 12, in writing, within 20 days of the receipt of this Decision, what steps Respondent has taken to comply herewith 15 I FURTHER RECOMMEND the dismissal of the amended complaint insofar as it alleges Respondent violated the Act by the discharge of James E Townsend, Jr 14 In the event that this Recommended Order is adopted by the Board , the words a Decision and Order" shall be substituted for the words a Recommended Order of a Trial Examiner" in the notice In the further event that the Board s Order is enforced by a decree of the United States Court of Appeals the words a Decree of the United States Court of Appeals Enforcing an Order " shall be substituted for the words "a Decision and Order " 15 In the event that the Recommended Order is adopted by the Board , this provision shall be modified to read "Notify said Regional 871 Director , in writing , within 10 days from the date of this Order what steps the Respondent has taken to comply herewith " APPENDIX NOTICE TO ALL EMPLOYEES Pursuant to the Recommended Order of a Trial Examiner of the National Labor Relations Board and in order to effectuate the policies of the National Labor Relations Act, as amended, we hereby notify our employees that WE WILL NOT refuse to recall or take any other dis- criminatory action against any employee because he is a member of or supports the Cigar Makers International Union, AFL-CIO, or any other labor organization WE WILL NOT ask you questions about your union activities WE WILL offer to Tellis Smith employment in her former job or substantially equivalent position of employ ment without loss of any seniority or other rights and we will make Smith whole for any loss of pay she may have suffered by reason of the discrimination against her WE WILL NOT interfere with, restrain, or coerce our employees in the exercise of these rights All our employees have the right to form, join, or assist any labor organization or not to do so UNIVERSAL CIGAR CORPO RATION (Employer) Dated By (Representative ) (Title) Note We will notify the above named employee if presently serving in the Armed Forces of the United States of her right to full reinstatement upon application in accordance with the Selective Service Act and the Universal Military Training and Service Act, as amended, after discharge from the Armed Forces This notice must remain posted for 60 consecutive days from the date of posting , and must not be altered , defaced, or covered by any other material If employees have any question concerning this notice or compliance with its provisions , they may communicate directly with the Board 's Regional Office, Room 706, Federal Office Building, 500 Zack Street , Tampa, Florida 33602, Telephone 228-7227 Copy with citationCopy as parenthetical citation