National Labor Relations Board v. Groendyke Transport, Inc.

372 F.2d 137
CourtCourt of Appeals for the Tenth Circuit
DecidedJanuary 20, 1967
DocketNo. 8571
StatusPublished
Cited by3 cases

This text of 372 F.2d 137 (National Labor Relations Board v. Groendyke Transport, Inc.) is published on Counsel Stack Legal Research, covering Court of Appeals for the Tenth Circuit primary law. Counsel Stack provides free access to over 12 million legal documents including statutes, case law, regulations, and constitutions.

Bluebook
National Labor Relations Board v. Groendyke Transport, Inc., 372 F.2d 137 (10th Cir. 1967).

Opinion

MURRAH, Chief Judge.

In this petition to enforce an N. L. R. B. § 8(a) (5) and (1) unfair labor practice order to bargain with the duly elected and certified representative of the employees the respondent employer challenges (1) the appropriateness of the bargaining unit and (2) the validity of the balloting in the representation election pursuant to which the charging and intervening union was certified as the bargaining agent.

In the 9(c) representation proceedings the issue was whether the truck drivers at respondent’s Denver, Colorado, terminal were an appropriate bargaining unit, the respondent contending that a single terminal unit was inappropriate and the only appropriate unit would be a system-wide unit of all the employer’s truck drivers. The trial examiner’s findings and rulings were to the effect that the employer was a motor common carrier of petroleum products with its principal office in Enid, Oklahoma, and twenty-nine terminals located in five states, two of which were located at La Junta and Denver, Colorado. It employed 471 truck drivers and 88 shop employees in the system. Approximately 17 truck drivers and 3 mechanics were working at the Denver Terminal. All of the terminals were controlled and directed from the employer’s principal office at Enid where all bookkeeping and administrative records were kept and all policy decisions made. The trial examiner properly observed that although there were several factors tending to show that a system-wide unit as proposed by the employer could be appropriate, the question was whether these factors were so compelling as to require a finding that such unit was the only appropriate one. He noted that the Denver terminal was geographically separated from the main terminal and from all other terminals by substantial distance, the closest being the La Junta terminal approximately 180 miles away; that there is at most only an occasional exchange of drivers to and from the Denver terminal; that “to a certain degree there was local supervision of the drivers and indeed local autonomy in the conduct of its day to day operations.” Specifically, he found that “the Denver terminal manager possesses the authority to make work assignments, discipline, reprimand and to effectively recommend discharge of Denver terminal drivers.” The examiner also took into consideration as an “additional” factor the absence of any bargaining history for any of the employer's employees and the fact that no labor organization seeks a broader unit. From this it was concluded that the truck drivers at the employer’s Denver terminal were an appropriate bargaining unit. On the basis of this decision the Regional Director directed an election by secret ballot among the employees of the unit found to be appropriate “subject to the Board’s rules and regulations”. The election conducted by mail ballot resulted in a majority for the intervening union.

[140]*140The respondent objected to the conduct of the election by mail ballot and unsuccessfully sought to enjoin it in the District Court of Colorado. After the votes were tallied, the respondent filed specific objections to the mail ballot procedure as being contrary to the statutory mandate and the Board’s applicable regulations and requested a Board hearing. The Board denied a hearing; the Regional Director considered and overruled the specific objections and certified the union as the bargaining agent.

The employer refused to bargain with the certified union for the sole purpose of raising in this unfair labor practice proceedings the appropriateness of the unit and the validity of the mail ballot as not in conformity with the rules and regulations of the Board. General Counsel introduced the entire record of the 9(e) representation and election proceedings as the Board’s case on the intervening union’s unfair labor practice charge. On the basis of this record the examiner found that the employer had refused to bargain with the certified representative of its employees in violation of § 8 (a) (5) and (1) and recommended the conventional cease and desist and affirmative order. The Board adopted the findings and recommendations of the examiner and entered an order accordingly.

We first consider the appropriateness of the unit with full realization that the decision is statutorily committed to the Board with power to determine whether the appropriate unit shall be “the employer unit, craft unit, plant unit, or subdivision thereof”. § 9(b). The judicial function on petition to enforce is confined to a review of the record to determine whether the Board’s decision can be said to be without foundation in fact and law. See N. L. R. B. v. Dewey Portland Cement Co., 10 Cir., 336 F.2d 117 and cases cited. But, in order to determine on review whether the Board has exercised the wide discretion committed to it within the purview of the authorizing statute, it must “disclose the basis of its order” and “give clear indication that it has exercised the discretion with which Congress has empowered it.” See Phelps Dodge Corp. v. Labor Board, 313 U.S. 177, 61 S.Ct. 845, 85 L.Ed. 1271, quoted in N. L. R. B. v. Metropolitan Life Ins. Co., 380 U.S. 438, 443, 85 S.Ct. 1061, 13 L.Ed.2d 951.

It is the respondent’s contention that the evidence is wholly insufficient to support the conclusion that the Denver terminal is an appropriate bargaining unit; that the proof conclusively shows that the company is a highly centralized, integrated transportation company without requisite autonomy at the terminal level; that in any event the Board has not sufficiently articulated the basis for the exercise of its statutory discretion. Attention is called to the Board’s decision in Groendyke Transport, Inc., 92 N.L.R.B. 1332, wherein the Board found in 1951 that a unit comprised of three of respondent’s terminals was net an appropriate bargaining unit based upon a finding that “Although each of its terminals is supervised by a local manager, each of these managers is directly responsible to the employer’s traffic manager who is stationed at its principal offices in Enid, Oklahoma. The employee skills, working conditions, and pay rates in all the employer’s terminals are identical, and there is frequent interchange of employees between its various terminals as required by the shifts of its business and as directed by its traffic manager * * * They are widely separated geographically and do not correspond to any functional or administrative division of the employer’s operations.”

It is suggested that the Board’s findings in the 1951 case are materially inconsistent with the Board's findings on which the present order of appropriateness rests; that there is nothing in the record to show a change in the respondent’s operations since the Board’s decision except an expansion of his territorial operations and personnel. The present finding and conclusion is said to be inconsistent not only with the prior decision involving this employer, but with a long [141]*141line of prior decisions involving the transportation industry; and that the Board has not given any clear indication of a change in policy or disclosed the basis for its present order.

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Bluebook (online)
372 F.2d 137, Counsel Stack Legal Research, https://law.counselstack.com/opinion/national-labor-relations-board-v-groendyke-transport-inc-ca10-1967.