Independent Guard Ass'n, Local No. 1 v. Wackenhut Services, Inc.

522 P.2d 1010, 90 Nev. 198, 1974 Nev. LEXIS 358, 86 L.R.R.M. (BNA) 2818
CourtNevada Supreme Court
DecidedMay 29, 1974
Docket6966
StatusPublished
Cited by6 cases

This text of 522 P.2d 1010 (Independent Guard Ass'n, Local No. 1 v. Wackenhut Services, Inc.) is published on Counsel Stack Legal Research, covering Nevada Supreme Court primary law. Counsel Stack provides free access to over 12 million legal documents including statutes, case law, regulations, and constitutions.

Bluebook
Independent Guard Ass'n, Local No. 1 v. Wackenhut Services, Inc., 522 P.2d 1010, 90 Nev. 198, 1974 Nev. LEXIS 358, 86 L.R.R.M. (BNA) 2818 (Neb. 1974).

Opinion

OPINION

By the Court,

Bat jer, J.:

Appellant sought a declaratory judgment to determine whether its union-security “agency shop,” agreement entered into on October 1, 1968 with the respondent, Wackenhut Services, Inc., was legal and binding, and whether it was enforceable or unenforceable. The district court found certain sections of the union-security agreement invalid and violative of Nevada’s “right to work” law, NRS 613.230 through 613.-300, and denied appellant’s request for relief. This appeal followed.

Prior to August 8, 1966, the respondent, Morris T. Rags-dale, was a member of the appellant union. During his union membership he signed the necessary documents authorizing as a periodic deduction from his wages a sum equal to the amount of his union dues.

*200 Although Ragsdale resigned from the union on August 8, 1966, an amount equal to his union dues continued to be extracted from his wages pursuant to the agreement between appellant and the respondent, Wackenhut Services, Inc.

On October 1, 1968, the appellant union and respondent employer, Wackenhut, entered into a collective bargaining agreement. The pertinent clauses of that agreement provide: “3.4 The parties recognize that while the benefits of this Agreement will be extended to both members and nonmembers of the Association, the expense of negotiating this Agreement, as well as the continuing expense of enforcing its provisions and of processing claims and grievánces hereunder, has been and will continue to be borne by the Association. For these reasons, the Company agrees that each employee covered by this Agreement who is not a member of the Association on or after the 30th day of his employment, shall be required to contribute to the Association a sum equal to current dues, excluding initiation fees and/or assessments.” “3.5 It is agreed that the Company will provide opportunity to the Association to explain this obligation to each new employee during the initial training period and to request dues deduction from wages in the appropriate amounts. However, no employee shall be discriminated against for refusal to sign such an authorization, but shall, in the event of refusal, be obligated personally to make such payment to the Association.”

In February of 1971, Ragsdale refused to sign a renewal authorization for the salary deduction, and since that date no further sums have been subtracted from his earnings. Because Ragsdale refused to pay the equivalent of union dues, the appellant has requested that the respondent employer either terminate Ragsdale’s employment, or forfeit his seniority rights.

NRS 613.250 provides: “No person shall be denied the opportunity to obtain or retain employment because of non-membership in a labor organization, or shall the state, or any subdivision thereof or any corporation, individual or association of any kind enter into any agreement, written or oral, which excludes any person from employment or continuation of employment because of nonmembership in a labor organization.”

The National Labor Relations Act, § 8(a)(1) and (3), 29 U.S.C. § 158(a)(1) and (3), makes illegal an agreement under which an employer can neither hire nor keep in his employ, persons not members of the union, although it expressly permits an agreement requiring employees, after *201 the thirtieth day following their employment to become members of the union. However, the employer is forbidden to discharge an employee for nonmembership in the union if the union refused to admit him as a member for any reason other than a failure to tender the regular initiation fee and dues. In other words § 8(a) (3) forbids the closed shop but permits the “union shop.”

The sanction of the union shop is qualified by § 14(b) of the Act, 29 U.S.C. 164(b), which says: “Nothing in this subchapter shall be construed as authorizing the execution or application of agreements requiring membership in a labor organization as a condition of employment in any State or Territory in which such execution or application is prohibited by State or Territorial Law.”

The agreement involved here is within the scope of § 14(b). From its language, § 14(b) was designed to prevent other sections of the Act from completely extinguishing state power over certain union-security arrangements. By federal law, such arrangements are subject to their prohibition by the laws of a state.

An agency shop arrangement is the equivalent of a membership agreement permitted under § 8(a)(3), of the National Labor Relations Act, and § 14(b) subjects to state law the membership agreements or their equivalent, which are permitted by § 8(a)(3). Labor Board v. General Motors, 373 U.S. 734 (1963); Retail Clerks v. Schermerhorn, 373 U.S. 746 (1963).

In Labor Board v. General Motors, supra, the High Court held that the “agency shop” arrangement which imposes on employees the only membership obligation enforceable under § 8(a)(3) by discharge, namely the obligation to pay initiation fees and regular dues is the “practical equivalent” of “agreement requiring membership in a labor organization as a condition of employment.” 373 U.S. at 743.

In Retail Clerks v. Schermerhorn, 375 U.S. 96 (1963), the union and the employer negotiated a collective bargaining agreement that contained an “agency shop” clause providing that the employees covered by the agreement who chose not to join the union were required to pay as a condition of employment an initial service fee and a monthly service fee to the union. Non-union employees brought suit in a Florida court to have the agency shop clause declared illegal, for an injunction against enforcement of it, and for an accounting. The Florida Supreme Court held that the negotiated and executed *202 union-security agreement violated the “right to work” provision of the Florida Constitution 1 and that the state courts have jurisdiction to afford a remedy. (See Schermerhorn v. Local 1625 of Retail Clerks Int. Ass’n., 141 So.2d 269 (1962).) The United States Supreme Court agreed with that view.

Before the General Motors case or the Schermerhorn cases were decided by the High Court, Judge John Ross in Amalgamated Ass’n. v. Las Vegas-Tonopah-Reno Stage Lines, 202 F.Supp. 726 (D.C.Nev.

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522 P.2d 1010, 90 Nev. 198, 1974 Nev. LEXIS 358, 86 L.R.R.M. (BNA) 2818, Counsel Stack Legal Research, https://law.counselstack.com/opinion/independent-guard-assn-local-no-1-v-wackenhut-services-inc-nev-1974.