King Curb v. National Labor Relations Board

291 F.3d 847, 351 U.S. App. D.C. 439, 170 L.R.R.M. (BNA) 2170, 2002 U.S. App. LEXIS 10826, 2002 WL 1232949
CourtCourt of Appeals for the D.C. Circuit
DecidedJune 7, 2002
Docket01-1247
StatusPublished

This text of 291 F.3d 847 (King Curb v. National Labor Relations Board) is published on Counsel Stack Legal Research, covering Court of Appeals for the D.C. Circuit primary law. Counsel Stack provides free access to over 12 million legal documents including statutes, case law, regulations, and constitutions.

Bluebook
King Curb v. National Labor Relations Board, 291 F.3d 847, 351 U.S. App. D.C. 439, 170 L.R.R.M. (BNA) 2170, 2002 U.S. App. LEXIS 10826, 2002 WL 1232949 (D.C. Cir. 2002).

Opinion

Opinion for the Court filed by Circuit Judge RANDOLPH.

RANDOLPH, Circuit Judge:

King Curb petitions for review, and the National Labor Relations Board cross-petitions for enforcement, of a "Board order finding the company in violation of § 8(a)(1) and (5) of the National Labor Relations Act, 29 U.S.C. § 158(a)(1) & (5). The questions in the case center on whether the Board, through its Regional Director, properly determined that former employees of the company were eligible to vote in a representation election, in which the Sheet Metal Workers International, Local Union 162, AFL-CIO, prevailed.

King Curb is in the metal fabrication, business. Located in Madera, California, the company fabricates fittings — “curbs”— used for skylights, building ventilation and roof access systems. Its parent company — Span Construction and Engineering, Inc. — erects shells of large commercial buildings. Ninety-eight percent of King Curb’s products are used in Span’s buildings. Span’s main customer, Costco, accounts for 60 percent of Span’s business.

King Curb operates year round, but it experiences seasonal fluctuations because its business is tied to Span’s construction projects. Typically, the fall, winter and early spring are King Curb’s slow times, with production rising in the summer. As production levels ebb and flow, so do the company’s staffing levels. In 1996, for example, King Curb employed between 10 and 12 employees for seven months of the year, with a high of 14 employees in June and July and a low of 7 in November and December. In 1997, the staffing level remained constant at 11 employees throughout the year except for June and July, when it decreased to 10 employees. In 1998, King Curb employed between 9 and 13 workers for eight months of the year, with a low of 7 in May and a peak of 21 in August. In 1999, the staffing level ranged from a low of 13 in January to a high of 22 in June.

In 2000 — the year at issue — -King Curb employed 15 workers in January, 17 from *849 February through April, 19 in May, 24 in June and July, and 26 in August. When the company then received a request for curbs for ten Costeos, three of which were large regional distribution centers, it added new employees to its roster in September and October 2000, causing staffing levels to swell to 31 in September and 46 in October. On November 3, 2000, the union filed a representation petition with the Board, seeking to represent all of King Curb’s regular and part-time employees engaged in the fabrication of sheet metal. Shortly thereafter, Costco delayed taking delivery of some of the curbs it had ordered. This caused King Curb to lay off many of its workers. By November 21, 2000 — the day the Board held a representation hearing — the company’s employee roster had dropped to 13. The Board’s Regional Director issued a decision on December 20, 2000, directing an election. He determined that, in addition to the workers employed at the time of the election, all laid-off employees who had worked a minimum of 15 days in either of the two 3-month periods preceding his decision and direction of election had a reasonable expectation of recall and were therefore eligible to vote in the election. This eligibility formula, according to the Regional Director, indicated that there were approximately 30 employees in the unit. (The formula ultimately yielded 40 employees eligible to vote.)

The Board denied the company’s request for review, and the election took place on January 18, 2001. In all, there were 22 votes for the union, 9 votes against, and 5 challenged ballots. The Board therefore certified the union as the employees’ exclusive bargaining representative. The company refused to bargain, precipitating the unfair labor practice charges. The company argues here, as it did unsuccessfully in defense to the charges, that the Board’s eligibility formula was arbitrary and contrary to precedent.

The Board has “a wide degree of discretion in establishing the procedure and safeguards necessary to insure the fair and free choice of bargaining representatives by employees.” See NLRB v. A.J. Tower Co., 329 U.S. 324, 330, 67 S.Ct. 324, 328, 91 L.Ed. 322 (1946). Board eligibility decisions therefore stand unless they are irrational, contrary to precedent, or “without justification in law or reason.” See id. at 332, 67 S.Ct. at 329; see also Sitka Sound Seafoods, Inc. v. NLRB, 206 F.3d 1175, 1178 (D.C.Cir.2000); DIC Entertainment v. NLRB, 238 F.3d 434, 436 (D.C.Cir. 2001).

Eligibility formulas are used to ascertain which individuals work for an employer with sufficient continuity and regularity so as to establish their community of interest with other unit employees. See generally Sitka, 206 F.3d at 1178. “Ordinarily the Board uses a simple formula to determine who is eligible to vote in a representation election: Employees in the bargaining unit are eligible to vote if they were employed on the date of the election and ‘during the payroll period ending immediately prior to the Decision and Direction of Election.’ ” Id. (quoting Saltwater, Inc., 324 N.L.R.B. 343, 343 n. 1, 1997 WL 568727 (1997)). But employment situations may differ, and “the Board has an ‘obligation to tailor [its] general eligibility formulas to the particular facts of the case.’ ” Sitka, 206 F.3d at 1178-79 (quoting BB&L, Inc. v. NLRB, 52 F.3d 366, 369 (D.C.Cir.1995)); see also American Zoetrope Prods., Inc., 207 N.L.R.B. 621, 623, 1973 WL 4656 (1973). When employees are temporary or seasonal, the Board has attempted to devise alternative formulas designed “‘to permit optimum employee enfranchisement and free choice, without *850 enfranchising individuals with no real continuing interest in the terms and conditions of employment offered by the employer.’ ” DIC Entertainment, 238 F.3d at 436 (quoting Trump Taj Mahal Casino Resort, 306 N.L.R.B. 294, 296, 1992 WL 27705 (1992)).

Here the Board adopted an eligibility formula that looked to: (1) whether the employees had worked a minimum of fifteen days in either of the two 3-month periods immediately preceding the date of the issuance of the direction of election; and (2) the employees’ eligibility for future employment with King Curb. The Board borrowed from Daniel Ornamental Iron Co., 195 N.L.R.B. 334, 1972 WL 7301 (1972), which utilized the same eligibility formula.

Daniel Ornamental was engaged in the fabrication of ornamental iron. It operated year-round, employing regular fulltime welders as well as extra part-time welders that it called upon during peak production periods. Id. The part-time welders came from a pool of 27 “on-call” welders, and many of them had- substantial histories of employment with the company. Id.

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291 F.3d 847, 351 U.S. App. D.C. 439, 170 L.R.R.M. (BNA) 2170, 2002 U.S. App. LEXIS 10826, 2002 WL 1232949, Counsel Stack Legal Research, https://law.counselstack.com/opinion/king-curb-v-national-labor-relations-board-cadc-2002.