Boston Mutual Life Insurance Company v. National Labor Relations Board

692 F.2d 169, 111 L.R.R.M. (BNA) 2983, 1982 U.S. App. LEXIS 24867
CourtCourt of Appeals for the First Circuit
DecidedOctober 12, 1982
Docket82-1173
StatusPublished
Cited by14 cases

This text of 692 F.2d 169 (Boston Mutual Life Insurance Company v. National Labor Relations Board) is published on Counsel Stack Legal Research, covering Court of Appeals for the First Circuit primary law. Counsel Stack provides free access to over 12 million legal documents including statutes, case law, regulations, and constitutions.

Bluebook
Boston Mutual Life Insurance Company v. National Labor Relations Board, 692 F.2d 169, 111 L.R.R.M. (BNA) 2983, 1982 U.S. App. LEXIS 24867 (1st Cir. 1982).

Opinion

BREYER, Circuit Judge.

The Boston Mutual Life Insurance Company, the petitioner here, discharged a debit agent named Francis Thone. Boston Mutual claims it did so because Thone made improper use of its system allowing policyholders’ premiums to be paid out of policy dividends and “because of his previous disciplinary record.” The National Labor Relations Board claims that Boston Mutual’s *170 actual motive was Thone’s union activity. An administrative law judge found that Boston Mutual violated National Labor Relations Act § 8(a)(1), 29 U.S.C. § 158(a)(1), in threatening to discharge Thone, and § 8(a)(3), 29 U.S.C. § 158(a)(3), in discharging him. The Board affirmed the ALJ’s finding. We review the Board’s decision to determine whether it is supported by substantial evidence. Universal Camera Corp. v. NLRB, 340 U.S. 474, 71 S.Ct. 456, 95 L.Ed. 456 (1951). We conclude that it is.

Boston Mutual maintains thirteen regional or district offices throughout New England. Its headquarters are in Canton, Massachusetts. Thone worked out of the Methuen office, along with debit agents Leland Greenberg, Karen Greenberg, and others. The management employees directly involved in Thone’s dismissal included Eugene DiPirro, Regional Sales Manager; John Topjian, DiPirro’s immediate superior at the home office; and Roy Daniels, Topjian’s immediate supervisor.

Boston Mutual hired Thone in 1970. He worked there until his discharge in May 1980, with two important exceptions. In 1974 Boston Mutual discharged Thone because it found a money shortage in his books; it reinstated him in early 1975 “for humanitarian reasons.” It also suspended him for one week in 1977 for insubordination.

Thone became office chairman (“steward”) of the Insurance Workers’ International Union in 1975. While he was steward he filed about ten grievances; he filed five of these after June 1979, when DiPirro became regional manager, and some, if not all, of these appear to be based upon his own complaints about DiPirro. Thone testified that, as steward, he would also advise employees of their rights under the collective bargaining agreement, and help them to “better understand their job.”

The parties agree that Thone abused the Company’s “dividend premium payment” policy. That policy allowed an agent to apply the policy’s dividends to payment of premiums; it was designed to prevent a policy from lapsing when its holder did not pay on time, but it was to be used only when necessary to keep the policy from lapsing. Thone, misstating the “missed payment” dates, led the company to apply dividends to premium payments even when it was not necessary; by doing so Thone might have earned a little extra commission (about thirty cents), or he may have tried to save himself the bother of reminding policyholders to pay their premiums when due. In any event, his falsifications violated both company rules and his duty to the policyholders.

The parties also agree that relations between DiPirro and Thone were strained. In late 1979 and early 1980, there were acrimonious conversations involving the two of them. And, DiPirro, along with Topjian and Daniels, secured Thone’s discharge. Within this broad framework, however, the parties strongly dispute what occurred.

The evidence regarding the § 8(a)(1) violation exemplifies the dispute, for there is a direct conflict in the testimony. Thone states that on one occasion DiPirro told him that if he did not withdraw a grievance DiPirro would “get [him] on one thing or another eventually.” Leland Greenberg testified that on another occasion DiPirro told him that he, Greenberg, “should speak to [Thone] and tell [Thone] to knock off the bullshit that had been going on in the office in regard to familiarizing new agents with the procedures.” If Thone did not “knock it off ... he’d be terminated.” DiPirro simply denied making these statements. The ALJ believed Thone and Greenberg; he did not believe DiPirro.

If Thone and Greenberg are telling the truth, DiPirro and, hence, Boston Mutual, violated § 8(a)(1), for they coerced Thone in the exercise of his § 7 right to perform his duties as union steward. NLRB v. East Texas Pulp & Paper Co., 346 F.2d 686, 687 (5th Cir.1965). The issue was solely one of credibility. And, in reviewing an agency’s finding of credibility, we must accept the finding unless it exceeds “the bounds of reason.” P.S.C. Resources, Inc. v. NLRB, 576 F.2d 380, 382 (1st Cir.1978). The company here argues for a stricter *171 standard of review on the ground that the ALJ based his credibility findings on reasons set out in the record rather than upon observation of demeanor. In fact, the ALJ bases his findings in part upon demeanor; he states, for example, that Leland Green-berg’s demeanor was “impressive,” and that DiPirro was confused or evasive. Regardless, we have read the record and conclude that the ALJ’s credibility findings were well within the “bounds of reason.” The issue is not close.

Once the ALJ’s credibility findings are accepted, the Board’s § 8(a)(3) conclusion is more than adequately supported. For one thing, DiPirro’s statements are strong evidence that protected activity underlay the discharge. In addition, the Board found that Topjian said, with respect to Thone, “we have to get that bastard.” Then, they fired him. The company responds that, regardless, it had sufficient legitimate grounds for dismissing Thone. But, the ALJ found that these grounds were a “pretext”: they would not have led to Thone’s dismissal in the absence of his protected conduct. The ALJ based this conclusion upon DiPirro’s statements, upon DiPirro’s behavior in preparing his case against Thone, upon Topjian’s conversations, and upon the fact that, in the ALJ’s view, Thone’s offenses did not rise to the level that would have led the company to dismiss others. The ALJ’s reasoning is set out in his detailed opinion, and that opinion has adequate record support.

We see no need to go further and simply list here the facts and reasoning already set out in the ALJ’s opinion, for what is required in a “substantial evidence” case — at least where the ALJ’s opinion is fairly comprehensive — is a reading by the appellate court of the opinion in light of the record so that there will be an independent determination of whether the ALJ has reached a reasonable conclusion. Detailed reiteration of the facts and reasoning does not seem to be a useful exercise.

We shall, however, mention two points. The company emphasizes that Daniels, who ultimately fired Thone, did not know about Thone’s union activity. This fact, it believes, shows that the dismissal must have been motivated by legitimate considerations. We agree that it shows that the grounds given by the company, under company policy, could have constituted a sufficient basis for dismissal; but it does not show that those grounds did

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692 F.2d 169, 111 L.R.R.M. (BNA) 2983, 1982 U.S. App. LEXIS 24867, Counsel Stack Legal Research, https://law.counselstack.com/opinion/boston-mutual-life-insurance-company-v-national-labor-relations-board-ca1-1982.