Bozzuto's Inc. v. Nat'l Labor Relations Bd.

927 F.3d 672
CourtCourt of Appeals for the Second Circuit
DecidedJune 24, 2019
DocketDocket 18-125(L); 18-331(XAP); August Term, 2018
StatusPublished
Cited by6 cases

This text of 927 F.3d 672 (Bozzuto's Inc. v. Nat'l Labor Relations Bd.) is published on Counsel Stack Legal Research, covering Court of Appeals for the Second Circuit primary law. Counsel Stack provides free access to over 12 million legal documents including statutes, case law, regulations, and constitutions.

Bluebook
Bozzuto's Inc. v. Nat'l Labor Relations Bd., 927 F.3d 672 (2d Cir. 2019).

Opinion

KEARSE, Circuit Judge:

*675 Petitioner-cross-respondent Bozzuto's Inc. ("Bozzuto") petitions for review of so much of an order of respondent-cross-petitioner National Labor Relations Board ("NLRB" or "Board"), see Bozzuto's, Inc. , 365 N.L.R.B. No. 146 (2017), as (A) found Bozzuto committed unfair labor practices in violation of §§ 8(a)(1) and/or (3) of the National Labor Relations Act (the "Act"), 29 U.S.C. §§ 158 (a)(1) and (3), in its treatment of two employees who were union supporters, by asking Todd McCarty "what's going on with this union stuff," later discharging him for allegedly low productivity, and discharging Patrick Greichen for alleged insubordination in refusing to attend a meeting to which he was summoned by management; and (B) orders Bozzuto to reinstate Greichen, to provide Greichen and McCarty with backpay and compensation for other losses, and to read the Board's remedial notice, detailing Bozzuto's violations of the Act, aloud at a meeting of its employees. In support of its petition, Bozzuto contends principally that substantial evidence did not support the Board's findings that the single question to McCarty was coercive or that either McCarty or Greichen was terminated because of antiunion animus or protected activity, and that the Board abused its discretion in ordering Bozzuto to reinstate Greichen with backpay and to read the remedial order aloud to employees.

The Board cross-petitions for enforcement of its order which-in addition to the above aspects challenged by Bozzuto-found that Bozzuto violated the Act by announcing wage increases in conjunction with urging employees to decline to join a union; by maintaining a restrictive speech policy that conditioned continued employment for suspended employees on their written agreement not to discuss with coworkers terms of employment, including discipline; by disciplining Greichen for talking with other Bozzuto employees about conditions of employment; and by suspending McCarty for supposedly low productivity.

For the reasons that follow, we grant Bozzuto's petition for review to the extent that it challenges (1) the Board's rulings and orders with regard to the "interrogation" of McCarty and the discharge of Greichen, and (2) the order that the Board's remedial notice be read aloud at a meeting of employees. In all other respects, the petition for review is denied. The Board's cross-petition for enforcement is granted in all respects except those in which the petition for review is granted.

I. BACKGROUND

The observable events leading to these administrative proceedings, despite some vagueness in the testimony as to their precise timing, are largely undisputed. Bozzuto operates wholesale warehouses in Connecticut for the distribution of food products, employing approximately 450 production workers in capacities such as loaders, forklift operators, and "selectors." A selector's job includes receiving orders for food products, driving a motorized vehicle to the section in which the ordered products are stored, and loading the products onto portable platforms that are ultimately carried by truck to the customers.

In order to evaluate selectors' productivity, Bozzuto attaches machine-readable tags to each warehouse product and uses a computerized system to compare the speed *676 with which selectors complete their tasks against a standard time-which the parties call the "labor standard." The labor standards were established by Bozzuto engineers after months of studies, in accordance with accepted engineering methods, calculating average times needed to complete specific tasks. The resulting standards are posted publicly on Bozzuto bulletin boards for the employees' information.

A Bozzuto selector whose performance exceeded the labor standard on a weekly basis became eligible for added incentive pay; a selector whose performance failed, for a given week, to meet at least 95 percent of the labor standard was subject to potential discipline.

McCarty and Greichen were employed at a Bozzuto warehouse as selectors. McCarty had frequently earned extra incentive pay for exceeding the labor standards. In August 2013, Bozzuto posted a commendation for his "outstanding job selecting ... food products" and his "expertise and dedication to always doing the right job!" (Bozzuto's High Achievers, August 23-25, 2013, "Todd McCarty" ("GREAT JOB, TODD!!!!").)

A. The events of mid-September through October 1, 2013

In September 2013, McCarty contacted the United Food and Commercial Workers Union, Local 919 (the "Union"); shortly thereafter, he, Greichen, and two other Bozzuto employees met with a Union representative. On Monday September 23, McCarty and Greichen began handing out union authorization cards to their fellow production workers, urging them to sign up.

The effort to unionize Bozzuto employees did not long remain covert. On September 26, an employee posted a message to Bozzuto's internal electronic message board stating that union authorization cards were being distributed. McCarty had initially hoped the unionization effort would escape management's notice for at least the first few weeks; but it did not, and within the first week he chose to be open about his participation. By September's end, the Union had obtained 84 signed authorization cards from Bozzuto employees.

Bozzuto's management was generally aware in that first week that a union-organizing effort was under way. On Monday September 30, Bozzuto's Vice President of Human Resources Carl Koch posted a message stating that Bozzuto was "aware of the current activity."

On or about October 1, as McCarty exited a restroom near a Bozzuto work area, he encountered Bozzuto's Senior Vice President Rick Clark, with whom he had a good relationship. Clark asked, "Hey, Todd, what's going on with this Union stuff?" McCarty replied, "I'm not going to talk about it with you, Mr. Clark." (Hearing Transcript ("Tr.") 485.) That was the end of the conversation.

On October 1, Bozzuto issued a written announcement that stated in pertinent part as follows:

We have been advised by a number of our associates that the [Union] is attempting to unionize our associates and asked them to sign a union card. The associates that came to us did so out of concern for themselves and their fellow workers stating that having a union is not in the best interest of Bozzuto[ ] or the associates.
....
We want all of our associates to understand that they are not required to sign a union card. It's absolutely ok to say NO. If anyone harasses you about that, tell them to stop and feel free to seek our assistance.
*677 We do not need a union at Bozzuto[ ]. Unions do not provide jobs, only successful companies can ....

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927 F.3d 672, Counsel Stack Legal Research, https://law.counselstack.com/opinion/bozzutos-inc-v-natl-labor-relations-bd-ca2-2019.