Westinghouse Electric & Manufacturing Co.Download PDFNational Labor Relations Board - Board DecisionsMar 29, 194022 N.L.R.B. 147 (N.L.R.B. 1940) Copy Citation In the Matter Of WESTINGHOUSE ELECTRIC & MANUFACTURING COM- PANY AND ITS SUBSIDIARIES, WESTINGHOUSE X-RAY COMPANY, INC. AND THE BRYANT ELECTRIC COMPANY and UNITED ELECTRICAL, RADIO AND MACHINE WORKERS OF,AMERICA,AND ITS LOCALS Nos. 601, 202, 1207, 107, 111, 130, 1105, 1412, AND 209 Case No. C-1 24J.Decided March 29, 1940 Electrical Machinery and Equipment Manufacturing Industry-Interference, Restraint , and Coercion-Units Appropriate for Collective Bargainting: nine units, each limited to employees in certain classifications at one or more of respondents ' plants in one community ; no dispute as to-Representatives: proof of choice : allegations of complaint as to union's majority in each unit admitted in respondents' answer ; no dispute as to-Collective Bargainiing: refusal to enter into oral or written agreements with union, although respond- ents and union reached 'accord on certain subjects ; employer's duty : Act com- pels respondents to embody in binding agreements with union understandings reached; respondents may not bargain with union concerning whether or not understandings reached shall be embodied in contracts ; grounds for refusal of : alleged economic detriment to respondents and their employees is irrelevant in so far as respondents assert it warrants refusal to make binding agreements with union ; circumstances of case, such as economic detriment from alleged boycott of respondents by another labor organization, are not such as to excuse respondents from normal requirement of Act that understandings reached must be incorporated in written agreements with union ; statement of policy under circumstances of case fail to satisfy requirement of Act for : are not contracts between respondents and union ; are at most individual contracts with individual employees, not collective agreement with union as Act re- quires; recognizes union only for purposes of negotiation and not for purposes of contnccting ; contractual nature doubtful and ambiguous ; terminable at pleasure of employer alone ; preclude union assuming responsibilities ; deny union equal status with employer as contracting and contractually bound party ; ordered to bargain with union and, if requested, to embody in written agreement with union any understandings reached-Procedure: petitions by rival labor organization requesting leave to intervene because employees in one unit allegedly changed affiliation and joined it, denied where Board had previously certified other union and where alleged shift occurred after respond- ents' refusal to bargain and after hearing in instant case. Mr. Drexel A. Sprecher, for the Board. Mr. Harold Smith and Mr. Donald C. Swatland, of New York City, for the respondents. Mr. James J. Matles and Mr. Julius Emspak, of New York City, for the United and the Locals. 22 N. L. R B,No.13. 147 148 DECISIONS OF NATIONAL LABOR RELATIONS BOARD Mr. Daniel Car ,ell, of Chicago, Ill., for the Brotherhood, peti- tioner for leave to intervene. Mr. Robert Kramer, of counsel to the Board. DECISION AND ORDER STATEMENT OF THE CASE Upon charges and amended charges duly filed by United Elec- trical, Radio and Machine Workers of America, herein called the United, and its Locals Nos. 601, 202, 1207, 107, 111, 130, 1105, 1412, and 209, herein collectively called the Locals, with the National Labor Relations Board, herein called the Board, pursuant to per- mission duly granted by an Order of the Board, dated March 31, 1939, in accordance with Article II, Section 37, of National Labor Relations Board Rules and Regulations-Series 1, as amended, the Board issued its complaint, dated August 29, 1939, against Westing- house Electric & Manufacturing Company, Pittsburgh, Pennsyl- vania, and its subsidiaries, Westinghouse X-Ray Company, Inc., Long Island City, New York, and The Bryant Electric Company, Bridgeport, Connecticut, herein collectively called the respondents, alleging that the respondents at their plants located in Bridgeport, Connecticut; Long Island City, New York; Chicago, Illinois; Emery- ville, California; Baltimore, Maryland; East Springfield, Massa- chusetts; Philadelphia, Pennsylvania; South Philadelphia, Penn- sylvania; and East Pittsburgh and Trafford, Pennsylvania, had engaged in and were engaging in unfair labor practices affecting commerce, within the meaning of Section 8 (1) and (5) and Sec- tion 2 (6) and (7) of the National Labor Relations Act, 49 Stat. 449, herein called the Act. Copies of the complaint, accompanied by notices of hearing, were duly served upon the respondents, the United, and the Locals. In respect to the unfair labor practices the complaint alleged in substance that although a majority of the respondents' employees in each of nine appropriate units had designated some one of the nine Locals as their representative for the purposes of collective bargaining, the respondents, upon request, refused to bargain col- lectively with any of the Locals so designated as the exclusive representative of such employees, in that the respondents refused to enter into any written contract or any binding agreement with any of the Locals; and that by such refusals the respondents interfered with, restrained, and coerced their employees in the exercise of the rights guaranteed in Section 7 of the Act. WESTINGHOUSE ELECTRIC & MANUFACTURING COMPANY ET AL. 149 The respondents filed an answer, dated September 6, 1939, denying that they had engaged in any unfair labor practices. Pursuant to notice, a hearing was held at New York City on September 9, 1939, before James C. Paradise, the Trial Examiner duly designated by the Board. The Board, the respondents, and the United and the Locals were represented by counsel and partici- pated in the hearing. Full opportunity to be heard, to examine and cross-examine witnesses, and to introduce evidence bearing upon the issues was afforded all parties. On September 9, 1939, counsel for the Board introduced in evidence a stipulation entered into and signed by the respondents, the United, the Locals, and counsel for the Board. This stipulation provided as follows : In order to expedite the preparation and trial of this case, it is hereby stipulated and agreed, for the purpose of this case only, by and between Westinghouse Electric & Manufacturing Company (hereinafter referred to as Westinghouse), Westing- house X-Ray Company, Inc. (hereinafter referred to as West- inghouse X-Ray), the Bryant Electric Company (hereinafter referred to as Bryant Electric), United Electrical, Radio and Machine Workers of America (hereinafter referred to as the United), United's Locals Nos. 601, 202, 1207, 107, 111, 130, 1105, 1412, and 209 (said Locals hereinafter being referred to collec- tively as the Locals), and Drexel A. Sprecher, Attorney for the National Labor Relations Board, as follows: I This stipulation is to be made a part of the record in the above-entitled case and is to be received in evidence with the same force and effect as if the facts herein had been established in open hearing through the sworn testimony of competent wit- nesses, each party reserving the right to object to the admission in evidence of any of the following items, or any part thereof, on the grounds of immateriality or irrelevancy, but not other- wise. The entire agreement among the parties to this stipula- tion is contained within the terms of this stipulation, and there is no verbal agreement of any kind which varies, alters, or adds to this stipulation. II Upon charges filed by the United and amended charges filed by the United and the Locals against Westinghouse, Westing- house X-Ray and Bryant Electric, the National Labor Relations Board, hereinafter referred to as the Board, on August 29, 1939, 2 S 4 033-41-vo1 22--11 150 DECISIONS OF NATIONAL LABOR RELATIONS BOARD issued its complaint , pursuant to Section 10 (b) of the National Labor Relations Act, hereinafter referred to as the Act, which complaint gave notice of hearing for September 9, 1939. III Westinghouse , Westinghouse X-Ray, Bryant Electric, the United and the Locals waive any right or privilege which they may have to ten (10) days' notice of hearing and to the holding of a hearing , and also waive any right or privilege to the issu- ance of an Intermediate Report, provided that (a) the respond- ents and the United and the Locals , respectively , are afforded an opportunity to file briefs with the Board within thirty (30) days after the effective date of this stipulation , ( b) the Board issues proposed findings of fact, proposed conclusions of law, and a proposed order, and (c) said respondents and the United and the Locals, respectively , are afforded an opportunity to file exceptions to said findings, conclusions and order , and to file briefs and to participate in oral argument before the Board prior to the entry of the final decision and order of the Board. IV Westinghouse , Westinghouse X-Ray, and Bryant Electric are engaged in commerce , within the meaning of Section 2 (6) of the Act. V Negotiations with respect to rates of pay, wages, hours of employment and other conditions of employment , between Local 1207 of the United and the management of Westinghouse X-Ray were initiated in May, 1937 , and have continued from time to time since that date . During such period, as the result of such negotiations , various changes have been made by the management of Westinghouse X-Ray in such conditions of employment as indicated in general in the minutes of the June 29, 1939 , confer- ence hereinafter referred to. On February 17, 1939, a confer- ence was held between Local 1207 of the United and Westing- house X-Ray, and a copy of the minutes thereof is attached hereto and incorporated herein, labelled Exhibit A. On Febru- ary 21, 1939 , a conference was held between Local 1207 of the United and Westinghouse X-Ray, and a copy of the minutes thereof is attached hereto and incorporated herein, labelled Ex- hibit B. A copy of the proposed contract submitted by Local 1207 of the United for discussion at these conferences is attached hereto and incorporated herein, labelled Exhibit C. WESTINGHOUSE ELECTRIC & MANUFACTURING COMPANY ET AL. 151 On June 29, 1939, a conference was held between Local 1207 of the United and Westinghouse X-Ray, and a copy of the min- utes thereof is attached hereto and incorporated herein, labelled Exhibit D. A copy of the memorandum presented in this con- ference by the representatives of Local 1207 of the United, as mentioned in that conference, is attached hereto and incorporated herein labelled Exhibit E. On June 30, 1939, a conference was held between Local 1207 of the United and Westinghouse X-Ray, and a copy of the minutes thereof is attached hereto and incor- porated herein, labelled Exhibit F. A copy of the notice men- tioned in the conferences of June 29 and 30, 1939, between Local 1207 of the United and Westinghouse X-Ray, which notice was given by the representatives of Westinghouse X-Ray to the representatives of Local 1207 at the conference of June 30, 1939, is attached hereto and incorporated herein, labelled Exhibit G. Attached hereto and incorporated herein, labelled Exhibit H, is a copy of excerpts from a complaint filed by the United against the International Brotherhood of Electrical Workers and others on June 15, 1939, in the United States District Court for the Southern District of New York which outline the various causes of such complaint relating to certain boycotts against the prod- ucts of employers in the Electrical Manufacturing Industry. Attached hereto and incorporated herein, labelled Exhibit I, is a statement of further facts concerning boycotts instituted by the International Brotherhood of Electrical Workers or its Locals. VI The paragraph next preceding and the exhibits incorporated therein constitute a full and complete statement of all of the facts on the basis of which the Board, or any court reviewing the decision and order of the Board, is to determine whether or not Westinghouse X-Ray has refused to bargain collectively with Local 1207 of the United, as alleged in paragraph 16 of the said complaint. VII The facts with respect to the alleged refusal of Westinghouse and Bryant Electric to bargain collectively, as set forth in para- graph 16 of the complaint, with the respective Locals of the United, as described in paragraph 5 of the complaint, are sub- stantially similar to the facts with respect to the alleged re- fusal of Westinghouse X-Ray to bargain collectively, as set forth in paragraph 16 of the complaint, with Local 1207 of the United, and the issue (as to the alleged refusal to bargain col- 152 DECISIONS OF NATIONAL LABOR RELATIONS BOARD lectively, but not as to the conditions of employment involved) between the management of each of such plants of Westinghouse and Bryant Electric and the respective Locals of the United at such plant .is identical with such issue between the manage- ment of Westinghouse X-Ray plant and Local No. 1207. If the Board or any court reviewing the decision and order of the Board shall find that Westinghouse X-Ray has refused to bargain collectively, as set forth in paragraph 16 of the coin- plaint, with Local 1207 of the United, the Board or such court may enter all order applicable not only to the plant of West- inghouse X-Ray but also to the plants of Westinghouse and Bryant Electric concerned in this proceeding and binding not only upon Westinghouse X-Ray, in so far as the alleged refusal to bargain with Local 1207 of the United at the plant of West- inghouse X-Ray is concerned, but also upon Westinghouse and Bryant Electric, in so far as the alleged refusal to bargain with the respective Locals of the United at their said respective plants is concerned. If the Board or any such reviewing court finds that West- inghouse X-Ray has not refused to bargain collectively, as set forth in paragraph 16 of the complaint, with Local 1207 of the United, the Board or such reviewing court may enter an order dismissing the complaint as to all of the respondents. If the Board finds that Westinghouse, Westinghouse X-Ray and Bryant Electric have refused to bargain collectively, as set forth in paragraph 16 of the complaint, with the respective Locals of the United at their respective plants, as described in paragraph 5 of the complaint, and enters an order thereon, Westinghouse, Westinghouse X-Ray, Bryant Electric, the United and the Locals, or any of them, may apply to an appropriate Circuit Court of Appeals to obtain a review of such order, and the Board may petition an appropriate Circuit, Court of Appeals for an enforcement of such order. Westinghouse, Westinghouse X-Ray, Bryant Electric, the United and the Locals, and each of them, reserves all right to contest, before any such Circuit Court of Appeals, the propriety of the decision and the order of the Board. Any party to any such proceeding before a Circuit Court of Appeals may apply to the Supreme Court of the United States for a review of the decision of such Circuit Court of Appeals. Westinghouse, Westinghouse X-Ray, Bryant Electric, the United and the Locals waive all right or privilege to contest, before the Board or any reviewing court, the propriety of ex- tending any order properly entered in this case as to Westing- house X-Ray and Local 1207 of the United to the other plants WESTINGHOUSE ELECTRIC & MANUFACTURING COMPANY ET AL. 153 concerned in this proceeding and the respective Locals of the United at such plants, as described in paragraph 5 of the complaint. VIII This proceeding shall be heard upon a record consisting only of the complaint filed in this proceeding on August 29, 1939, the respondents' answers thereto, and this stipulation. This stip- ulation has been entered into in connection with the complaint filed in this proceeding on August 29, 1939, and this stipulation shall become null and void in the event that such complaint is amended or modified in any way or is withdrawn. IX This stipulation shall be of no force and effect until it, or a counterpart thereof, shall have been signed by each of the parties hereto listed below and interchanged between the parties hereto, and until approved by the Board, provided that if the Board shall not approve this stipulation, then the parties hereto will join in a request to the Board to continue the hearing in this cause to a date not less than thirty (30) days after notice to the respondents of the refusal of the Board to approve the same. On October 18, 1939, the Board issued an order approving the above stipulation. Thereafter, pursuant to paragraph III of the stipulation, the respondents and the United and the Locals filed briefs which the Board has considered. International Brotherhood of Electrical ,Workers, Local B-713 (A. F. of L.), hereinafter referred to as the Brotherhood, filed a petition to intervene, dated December 4, 1939, and a supplemental petition to intervene, dated December 19, 1939. For reasons here- inafter set forth,' these petitions are hereby denied. The Board issued and duly served on all parties and the Brother- hood Proposed Findings of Fact, Proposed Conclusions of Law, and Proposed Order, dated February 7, 1940. The respondents and the Brotherhood filed exceptions to the Proposed Findings, Conclu- sions of Law, and Order, and briefs in support of their exceptions. On March 14, 1940, pursuant to notice duly served on all parties and the Brotherhood, oral argument, in which counsel for the respond- ents and the United and the Locals participated, was had before the, Board in Washington, D. C. ' See Section V, infra 154 DECISIONS OF NATIONAL LABOR RELATIONS BOARD In their exceptions the respondents included a motion to dismiss the complaint . The motion is hereby denied. The Board has considered the briefs of all the parties and of the Brotherhood and has reviewed all the exceptions filed and finds the exceptions to be without merit, except as they are consistent with the findings of fact, conclusions of law, and order set forth below. Upon the above stipulation and the entire record in the case, the Board makes the following : FINDINGS OF FACT I. THE BUSINESS OF THE RESPONDENTS Westinghouse Electric & Manufacturing Company, herein called Westinghouse when referred to separately, is a Pennsylvania cor- poration with its principal office and place of business at Pittsburgh, Pennsylvania . It is engaged in the manufacture , sale, and distribu- tion of a wide variety of electrical machinery and equipment and has numerous plants in various parts of the United States. The plants involved in this proceeding are located at Chicago, Illinois; Emeryville , California ; Philadelphia , Pennsylvania ; Baltimore, Maryland; East Springfield , Massachusetts ; South Philadelphia, Pennsylvania ; and East Pittsburgh and Trafford , Pennsylvania. The Bryant Electric Company, herein called Bryant when re- ferred to separately , is a Connecticut corporation with its principal office and place of business at Bridgeport , Connecticut . It is engaged in the manufacture and sale of wiring devices for buildings , appli- ances, and industry ; and plastic molded articles and novelties. It operates two plants located in Bridgeport , Connecticut , which are involved in this proceeding. Westinghouse X-Ray Company , Inc., herein called X-Ray when referred to separately , is a Delaware corporation , with its principal office and place of business at Long Island City , New York. It is engaged in the manufacture and sale of x-ray and allied apparatus for physicians , hospitals , and industrial applications . It operates a plant at Long Island City , New York, which is involved in this pro- ceeding. Both Bryant and X-Ray are wholly owned and controlled subsid- iaries of Westinghouse. Westinghouse, Bryant, and X-Ray each purchase and transport across State lines from the State of purchase into the State of man- ufacture for use in each of their plants involved , in this proceeding large quantities of raw materials and supplies , constituting a sub- stantial percentage of the total purchases of raw materials and sup- plies for use in each of these plants. Westinghouse , Bryant, and WESTINGHOUSE ELECTRIC & MANUFACTURING COMPANY ET AL. 155 X-Ray each sell and transport across State lines from each of their plants involved in this proceeding and from the State of manufac- ture wherein each of these plants is located into and through other States than the State of manufacture and into foreign countries large quantities of electrical machinery and equipment. constituting a substantial percentage of the total quantity of such electrical ma- chinery and equipment manufactured at each of these plants.z Westinghouse, Bryant, and X-Ray admit that they are engaged in commerce within the meaning of the Act. II. THE LABOR ORGANIZATIONS INVOLVED The United is a labor organization affiliated with the Congress of Industrial Organizations. The Locals are labor organizations affil- iated, through the United, with the Congress of Industrial Organi- zations. The Locals admit to membership employees of the respond- ents at each of the plants involved in this proceeding, as follows : Local No. 202 admits to membership employees at the East Spring- field, Massachusetts, plant; Local No. 209 admits to membership employees at the two Bridgeport, Connecticut, plants; Local No. 1207 admits to membership employees at the Long Island City, New York, plant, Local No. 111 admits to membership employees at the Philadelphia, Pennsylvania, plant, known as the Philadelphia service shop ; Local No. 107 admits to membership employees at the South Philadelphia, Pennsylvania, plant; Local No. 601 admits to member- ship employees at the East Pittsburgh and Trafford, Pennsylvania, plants; Local No. 130 admits to membership employees at the Balti- more, Maryland, plant; Local No. 1105 admits to membership em- ployees at the Chicago, Illinois, plant, known as the Chicago service shop; and Local No. 1412 admits to membership employees at the Emeryville, California, plant. III. THE UNFAIR LABOR PRACTICES A. The refusals to bargain collectively 1. The appropriate units The answer of the respondents admits the appropriateness for the purposes of collective bargaining of each of the nine units de- scribed in the complaint. These units are normal industrial units. 2 For a detailed description of the business of Westinghouse at its East Pittsburgh, Pennsylvania, and Chicago, Illinois , plants , see, respectively , Matter of Westinghouse Electric & Manufacturing Co and United Electrical & Radio Workers of Amer., Local No. 601, 3 N. L R B. 1 ; Matter of Westinghouse Electric & Manufacturing Co. and United Electrical, Radio & Machine Workers of Amer, 10 N. L. R. B. 794. 156 DECISIONS OF NATIONAL LABOR RELATIONS BOARD We see no reason for departing from the units agreed to by the parties.s We find that each of the following nine groups of employees of the respondents constituted and constitutes a unit appropriate for the purposes of collective bargaining with respect to rates of pay, wages, hours of employment, and other conditions of work, and that such units, set forth below, insure to employees of the respond- ents the full benefit of their rights to self-organization and to collec- tive bargaining and otherwise effectuate the policies of the Act : (1) All hourly paid employees of X-Ray at its Long Island City, New York, plant; (2) All hourly paid employees, except supervisory employees, of Bryant in the production department of its two Bridgeport, Con- necticut, plants ; (3) All hourly paid employees and the shop clerk of Westing- house at its Philadelphia, Pennsylvania, plant, known as the Phil- adelphia service shop ; (4) The production and maintenance employees of Westinghouse at its East Springfield, Massachusetts, plant, including shop clerical workers, shipping and receiving employees, tool and die makers, tool designers, test and inspection employees, repairmen, firemen and operating engineers, and truck drivers, but excluding executives, general foremen, foremen, superintendents, technical engineers, police, and main-office draftsmen and clerical workers; (5) All production and maintenance employees of Westinghouse at its Baltimore, Maryland, plant, except clerical help, and foremen and other employees in a supervisory capacity; (6) All production, maintenance, and service employees of West- inghouse at its Chicago, Illinois, plant, known as the Chicago service shop, except foremen, clerical employees, watchmen, engineers, ware- house employees, and salaried employees; (7) All employees of Westinghouse in the Insulator Department of its Emeryville, California, plant, except the office force and supervisory employees ; (8) All hourly paid employees of Westinghouse at its East Pitts- burgh, Pennsylvania, plants, including the East Pittsburgh Works, the Trafford Works, and the Homewood Service Works (including Linhart and Copper Mill), except clerical employees and supervisory employees; (9) All hourly paid employees (except the police and employees with power to discharge) of Westinghouse in the Manufacturing Department of the South Philadelphia, Pennsylvania, plant, and 3 The Board in prior decisions has found appropriate two of these units ; the one for employees at the East Pittsburgh, Pennsylvania, plants ; and the one for employees at the Chicago, Illinois , plant. See the cases cited in footnote 2, supra. WESTINGHOUSE ELECTRIC & MANUFACTURING COMPANY ET AL. 157 certain salaried employees of Westinghouse (eligible to vote as agreed to by two labor organizations in connection with an election held by the Board's Fourth Regional Office on June 29, 1937) in the Works, Metallurgical, Patent, and Accounting Departments of the South Philadelphia, Pennsylvania, plant. 2. Representation by some one of the nine Locals of a majority in each appropriate unit The answer of the respondents admits the allegations of the com- plaint that each of the nine Locals here involved represents a majority of employees in one and only one of the nine units we have found above to be appropriate for the purposes of collective bar- gaining. Under the circumstances of this case, we are satisfied that each of the Locals represents a majority of the employees in one, and only one, of the appropriate bargaining units., We find that each of the Locals was at all times material for the purposes of this proceeding, and is, the duly designated representa- tive of a majority of the employees in the appropriate unit set forth below after its name, and, pursuant to Section 9 (a) of the Act, was and is the exclusive representative of all the employees in such unit for the purposes of collective bargaining in respect to rates of pay, wages, hours of employment, or other conditions of employment : (1) Local No. 202: The unit hereinbefore found appropriate for employees at the East Springfield, Massachusetts, plant; (2) Local No. 209: The unit hereinbefore found appropriate for employees at the two Bridgeport, Connecticut, plants; (3) Local No. 1207: The unit hereinbefore found appropriate for employees at the Long Island City, New York, plant; (4) Local No. 111: The unit hereinbefore found appropriate for employees at the Philadelphia, Pennsylvania, plant, known as the Philadelphia service shop; (5) Local No. 107: The unit hereinbefore found appropriate for employees at the South Philadelphia, Pennsylvania, plant; (6) Local No. 601: The unit hereinbefore found appropriate for employees at the East Pittsburgh, Pennsylvania, plants; (7) Local No. 130: The unit hereinbefore found appropriate for employees at the Baltimore, Maryland, plant; (8) Local No. 1105: The unit hereinbefore found appropriate for employees at the Chicago, Illinois, plant, known as the Chicago service shop ; 4 On July 9 , 1937 , the Board certified Local No . 601 as the exclusive representative of employees in the unit liereinbefore found appropriate for the East Pittsburgh , Pennsyl- vania, plants ; and on December 23, 1938 , the Board certified Local No 1105 as the exclusive representative of employees in the unit hereinbefore found appropriate for the Chicago , Illinois, plant . See respectively the cases cited in footnote 2, supra. 158 DECISIONS OF NATIONAL LABOR RELATIONS BOARD (9) Local No. 1412: The unit hereinbefore found appropriate for employees at the Emeryville, California, plant. 3. The refusals to bargain collectively Negotiations with respect to conditions of employment were in- itiated in May 1937 between Local No. 1207 and X-Ray. There- after, conferences between Local No. 1207 and X-Ray were held from time to time, including February 17 and 21 and June 29, 1939. The last such conference was held on June 30, 1939. During sub- stantially the same period, conferences were held between the re- spondents and the other Locals with respect to conditions of em- ployment. The position of the respondents during these conferences in re- spect to bargaining collectively with the Locals was as follows : 5 The respondents at all times, upon request, were willing to and did confer with representatives of the Locals. During such con- ferences the respondents stated that they recognized the Locals as exclusive bargaining representatives ; discussed with them grievances, proposed contracts, labor policies, and other subjects brought up by them; stated to them the position of the respondents on any given subject or grievance; and prepared written statements of policy, signed by the respondents, summarizing the position of the respond- ents on the matters discussed. These statements of policy were posted by the respondents in their plants; stated that the respondents recognized the Locals as exclusive bargaining representatives; and stated that the position of the respondents therein set forth had been reached after negotiations and discussions with the Locals' repre- sentatives, and would be in effect until further notice. In fact, these statements of policy did reflect changes in conditions of employment made by the respondents as a result of their negotiations and con- ferences with the Locals. The respondents would not bind them- selves to keep the policies set forth in these statements in effect for any definite period of time ; and, although the respondents asserted that they would always attempt to give the Locals "reasonable no- tice" before changing the policies contained in these statements, the respondents reserved to themselves the right to decide what con- stituted "reasonable notice" under the circumstances. The respond- ents would not permit the Locals, the United, or representatives of either the Locals or the United, to sign these statements of policy. 6 Our findings in regard to the respondents ' position are based upon the negotiations between Local No. 1207 of the United and the respondents at the Long Island City plant of X-Ray . However, in accordance with paragraph VII of the stipulation, we make our findings applicable to all the plants of the respondents here involved , since the facts with respect to tha negotiations at the Long Island City plant aie substantially similar to the facts with respect to the negotiations between the Locals and the respondents at all the other plants here involved. WESTINGHOUSE ELECTRIC & MANUFACTURING COMPANY ET AL. 159 In fact, the respondents would not enter into any sort of a binding agreement or contract, written or oral, with the Locals or the United, althought the respondents and the Locals reached an accord on the terms to be embodied in such an agreement or contract. ° The re- spondents, however, were willing to negotiate with the Locals con- cerning the desirability of, and necessity for, a written or oral agree- ment and asserted that subsequently, because of such negotiations, they might alter their policy of -refusing to enter into any binding agreement with the Locals. ' 6 Subsequent to these negotiations and conferences , the respondents for the first time, in briefs filed with the Board , asserted that their statements of policy are binding written agreements with the Locals Whether such statements of policy constitute contracts with the Locals , and, if not , whether they are enforceable against the respondents by the individual employees and satisfy the requirements of Section 8 (5) of the Act , are herein- after discussed. The statement of policy for the Long Island City plant of X-ray read as follows WESTINGHOUSE X-RAY COMPANY, INC NOTICE JUNE 30, 1939. After negotiations and discussions with the Negotiating Committee of Local #1207 of the United Electrical Radio and Machine Workers of America , consisting of Messrs. Matthews , Abbondi, Kaiser , and Subach, representing the employees , the Management of the Westinghouse X-Ray Company , Inc., states that until further notice its position is as follows on the following points 1. That in accordance with notification received from the National Labor Relations Board of May 11, 1937, the United Electrical Radio & Machine Workers of Ameiica includes in its membership more than a majority of our employees and in compliance with the National Labor Relations Act, the Westinghouse X-Ray Company recognizes Local No. 1207, United Electrical Radio & Machine Workers of America as the sole agency for the purpose of collective bargaining and establishment of the standards and hours of labor, rates of pay, and other conditions under which the check employees shall work for the employer. In order to amplify this , we quote Section 9, Paragraph ( a) of the National Labor Relations Act : "Representatives designated or selected for the purposes of collective bar- gaining by the majority of the employees in a unit appropriate for such pur- poses, shall be the exclusive representative of all the employees in such unit for the purposes of collective bargaining in respect to rates of pay, wages, hours of employment , or other conditions of employment : PROVIDED, that any Individual employee or a group of employees shall have the right at any time to present grievances to their employer." 2. Effective November 1, 1937, a bonus of 10 % above the regular day rate will be paid to all regular nighttime employees 3. Employees who are requested to report for work shall be guaranteed at least four hours pay 4. That, in general , wage rates [ sic] be paid equal to or higher than wages rates paid in the industry for comparable work requiring the same skill and efficiency. That rates in the Industry shall govern where community rates are lower and community rates shall govern where industry rates are lower. 5. The Committee advises that the Shop Stewards are elected by the members of Local No. 1207, United Electrical Radio & Machine Workers of America, to represent the first and second floors , respectively 6 (a) That an employee who Is to be dismissed or laid off for lack of work or inefficiency would be given twenty-four hours' notice (b) That the Union shall reserve the right to question and investigate any dismissal or layoff. 7. That when check employees are requested to work overtime , at least two hours' advance notice will be given and the employees will be allowed the use of the telephone to notify their homes. This does not , however , bar shorter notice if the employee is willing to work. 160 DECISIONS OF NATIONAL LABOR RELATIONS BOARD The respondents argue that on the basis of the facts summarized in the paragraph above they have bargained collectively with the Locals, within the meaning of Section 8 (5) of the Act. In support of this position, the respondents advance several contentions which we now consider. The respondents assert in their briefs that, assuming that the Act requires that the terms and conditions of employment upon which an employer and the exclusive representative of his employees have reached an accord or understanding be embodied in binding written contracts, their statements of policy, signed only by the respondents, are binding written contracts between the respondents and the Locals, enforceable against the respondents. It is plain from the statements of policy themselves and from the negotiations that neither the respondents nor the Locals regarded themselves as in contractual relations with the other. In form these statements of policy are merely announcements to the employees of the respondents' position and do not purport to be contracts. Moreover, in delivering the statements to the Locals, the respondents stated : "This [the state- ment] we consider a statement of the Company's position and it is not an agreement." 8 And in discussing previous oral and written statements of policy, some of which were posted by the respondents and signed by them, the respondents denied that these were agree- ments with either the Locals or the employees, stating : "That [the notice] is not an agreement I . . . this notice gave the position of the 8. All work performed on Saturday and holidays , or work done in excess of our standard week, which is eight hours a day and five days a week , shall be time and one-half, and the work performed on Sundays , double time will be paid. 9. That semi-annual reviews of rates and occupations be conducted by a joint com- mittee of the U. F R. & M . W A. and the Company, on March 1 and Septem- ber 1. A progressive scheme of development to be observed . All check employees 10 to come under the review. Seniority-In all cases of increase or decrease of forces , the following factors shall be considered , and where factors A ., B, and C. are relatively equal, length of time and service shall govern : A B. C. Length of time. Knowledge , training , ability, skill , and efficiency. Family status, number of dependents, etc. 11. A 63¢ minimum hourly rate shall be paid for mechanics-helpers, learners , appren- 12. tices, store -room attendants , and potters to be paid according to classification. Holidays and Vacations- (a) Holidays will be New Year 's Day, Washington ' s Birthday, Decoration Day, Independence Day, Labor Day, Armistice Day, Thanksgiving Day, and Christmas (b) The Company will grant one week's vacation with pay to employees with five years ' service and two weeks ' vacation with pay to employees with ten years ' service. (c) Vacations will be paid on the average hourly earnings of the employee during the preceding three ( 3) months, and will be based upon the number of hours in the standard work week. (Signed ) L. D. CANFIaLD, Vice President and General Manager. B Italics supplied Italics supplied. WESTINGHOUSE ELECTRIC & MANUFACTURING COMPANY ET AL . 161 Management in connection with certain terms and conditions of em- ployment . . . we . . . never regarded it as reaching an agreement verbal or otherwise. It was a statement of our position." In fact, when asked if they regarded a former notice as an agreement with the employees, the respondents answered : "No we do not, but we regard it as a notice stating our position on certain subjects." The respondents also stated : "We never considered this as reaching an agreement, verbal or otherwise . . . The Management does not re- gard this notice as the equivalent of a formal written contract .. . I do not consider it as an agreement . . . I have never considered that we had an agreement. I have always considered that it was a, statement of the position of the Management of the Company." When the Locals' representatives pointed out that the points being discussed had been "agreed upon" by inclusion in a statement of policy, the respondents answered : "We had made no agreement, but have endeavored at all times to state the Company's position in connection with various subjects." That the respondents did not consider their statements of policy as binding agreements is also shown by the fact that the respondents included in these statements several matters which the respondents during the conferences in- sisted were not proper subjects for inclusion in any agreement, although expressing a willingness at all times to include them in a statement of policy. Indeed, the respondents' refusal to permit the Locals to sign the statements of policy and the respondents' in- sistence during the negotiations upon the statements of policy rather than agreements with the Locals are proof that the respondents recognized an important difference in the legal effect of the two types of documents. Finally, during the negotiations, the respondents summarized their attitude as follows: "The policy of the Company is not to make or sign an agreement l° but bargain. collectively and if, after such bar- gaining, it is found within the Company's policy or within the thought of the Company to change the policy, they will do so." The respondents further stated : "We will not enter into any agree- ment." 11 When asked if this prohibition applied to both oral and written agreements, the respondents answered : "It specifies any agreement with any organization." And when a United representa- tive inquired, "Is it the Company's policy not to reach an agreement on any subject which the Negotiating Committee [of the Local] brings in for discussion?," the respondents replied : "Yes. But the Company is always willing to state its position in writing with reference to such subjects." 10 Italics supplied 11 Italics supplied. 162 DECISIONS OF NATIONAL LABOR RELATIONS BOARD In view of the above facts we find that: (1) the respondents' state- ments of policy are not binding contracts between the respondents and the Locals; (2) the respondents, as they repeatedly and unqual- ifiedly told the Locals, during the negotiations and at the time of signing and delivering the statements of policy, did not consider the statements of policy contracts of any kind or binding upon the re- spondents; (3) as shown by the identity of many of the terms in the statements of policy,'which were acceptable to the respondents, with those in the contracts proposed by the Locals, the respondents and the Locals reached an accord on many subjects of collective bar- gaining; and (4) the respondents, professing a willingness possi- bly to modify their attitude at some future date, have adopted a policy of refusing to enter into binding agreements with the Locals, and have at all times, in accordance with this fixed resolve, refused to enter into such agreements. The respondents further contend that by refusing to enter into binding agreements with the Locals, as we have hereinbefore found, they have not refused to bargain collectively, for the reason that the Act does not compel an employer to enter into any binding" agree- ment, written or oral, with the exclusive representatives of his em- ployees, even though the employer has reached an accord or under- standing with such representatives concerning terms and conditions of employment and the representatives have requested him to em- body the understanding in a mutually binding agreement of some sort. This contention was raised in Matter of St. Joseph' Stockyards Company 12 and we rejected it, finding that the employer in that case had engaged in unfair labor practices within the meaning of Section 8 (5) of the Act by refusing to embody understandings in any kind of a binding agreement with the union. In our decision in that case we said : An assertion that collective bargaining connotes no more than discussions designed to clarify employer policy and does not in- clude negotiation looking toward the adoption of a binding agreement between employer and employees is contrary to any realistic view of labor relations. The development of those re- lations had progressed too far when the Act was adopted to permit the conclusion that the Congress intended to safeguard only the barren right of discussion.13 The protection to organi- u Matter of St Joseph Stockyards Co and Amat Meat Cutters and Butcher Workmen of N Amer , Local Union No 159, 2 N L R B 39. ]J Elsewhere in our decision in the St Joseph case, we reviewed the relevant precedents in the decisions of the old National Labor Relations Board , which administered Section 7 (a) of the National Industrial Recovery Act We cited the decisions of the old Board in the I7oude Enptineerinq Corporation (1 N. L R B [old ] 35) and National Aniline Copy with citationCopy as parenthetical citation