National Labor Relations Board v. Insurance Agents' International Union

361 U.S. 477, 80 S. Ct. 419, 4 L. Ed. 2d 454, 1960 U.S. LEXIS 1952, 45 L.R.R.M. (BNA) 2704
CourtSupreme Court of the United States
DecidedFebruary 23, 1960
Docket15
StatusPublished
Cited by516 cases

This text of 361 U.S. 477 (National Labor Relations Board v. Insurance Agents' International Union) is published on Counsel Stack Legal Research, covering Supreme Court of the United States 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. Insurance Agents' International Union, 361 U.S. 477, 80 S. Ct. 419, 4 L. Ed. 2d 454, 1960 U.S. LEXIS 1952, 45 L.R.R.M. (BNA) 2704 (1960).

Opinion

Me. Justice Brennan

delivered the opinion of the Court.

This case presents an important issue of the scope of the National Labor Relations Board’s authority under § 8 (b) (3) of the National Labor Relations Act, 1 which *479 provides that “it shall be an unfair labor practice for a labor organization or its agents ... to refuse to bargain collectively with an employer, provided it is the representative of his employees . . . .” The precise question is whether the Board may find that a union, which confers with an employer with the desire of reaching agreement on contract terms, has nevertheless refused to bargain collectively, thus violating that provision, solely and simply because during the negotiations it seeks to put economic pressure on the employer to yield to its bargaining demands by sponsoring on-the-job conduct designed to interfere with the carrying on of the employer’s business.

Since 1949 the respondent Insurance Agents’ International Union and the Prudential Insurance Company of America have negotiated collective bargaining agreements cdvering district agents employed by Prudential in 35 States and the District of Columbia. The principal duties of a Prudential district agent are to, collect premiums and to solicit -new business in an assigned locality known in the trade as his “debit.” He has no fixed or regular working hours except that he must report at his district office two mornings a week and remain for two or three hours to deposit his collections, prepare and submit reports, and attend meetings to receive sales and other instructions. He is paid commissions on-collections made and on new policies written;.his only fixed compensation is a weekly payment of $4.50 intended primarily to cover his expenses.

In January 1956 Prudential and the union began the negotiation of a new contract to replace an agreement expiring in the following March. Bargaining was carried on continuously for six months before the terms of the new contract wére agreed upon on July 17, 1956. 2 It is *480 not questioned that, if it stood alone, the record of negotiations would establish that the union conferred in good faith for the purpose and with the desire of reaching agreement with Prudential on a contract.

However, in April 1956, Prudential filed a § 8 (b) (3) charge of refusal to bargain collectively against the union. The charge was based upon actions of the union and its members outside the conference room, occurring after the old contract expired in March. The union had announced in February that if agreement on the terms of the new contract was not reached when the old contract expired, the union members would then participate in a “Work Without a Contract” program — which meant that they would engage in certain planned, concerted on-the-job activities designed to harass the company.

A complaint of violation of §8 (b)(3) issued on the charge and hearings began before the bargaining was concluded. 3 It was developed in the evidence that the union’s harassing tactics involved activities by the member agents such as these: refusal for a time tó solicit new business, and refusal (after the writing of new business was resumed) to comply with the company’s reporting procedures; refusal to participate in the company’s “May Policyholders’ Month Campaign”; reporting late at district offices the days the agents were scheduled to attend them, and refusing to perform customary duties at the offices, instead engaging there in “sit-in-mornings,” “doing what comes naturally” and leaving at noon as a group; absenting themselves from special business conferences arranged by the company; picketing and distributing leaflets outside the various offices of the company on specified days and hours as *481 directed by the union; distributing leaflets each day to policyholders and others and soliciting policyholders’ signatures on petitions directed to the company; and presenting the signed policyholders’ petitions to the company at its home office while simultaneously engaging in mass demonstrations there.

The hearing examiner filed a report recommending that the complaint be dismissed. The examiner noted that the Board in the so-called Personal Products case, Textile Workers Union, 108 N. L. R. B. 743, had declared similar union activities to constitute a prohibited refusal to bargain; but since the Board’s order in that case was set aside by the Court of Appeals for the District of Columbia Circuit, 97 U. S. App. D. C. 35, 227 F. 2d 409, he did not consider that he was bound to follow it.

However, the Board on review adhered to its ruling in the Personal Products case, rejected the trial examiner’s recommendation, and entered a cease-and-desist order, 119 N. L. R. B. 768. The Court of Appeals for the District of Columbia Circuit also adhered to its decision in the Personal Products case, and, as in that case, set aside the Board’s order. 104 U. S. App. D. C. 218, 260 F. 2d 736. We granted the Board’s petition for certiorari to review the important question presented. 358 U. S. 944.

The hearing examiner found that there was nothing in the record, apart from the mentioned activities of the union during the negotiations, that could be relied upon to support an inference that the union'had not fulfilled its statutory duty; in fact nothing else was relied upon by the Board’s General Counsel in prosecuting the complaint. 4 The.hearing examiner’s analysis of the congres *482 sional design in enacting the statutory duty to bargain led him to. conclude that the Board was not authorized to find that such economically* harassing activities constituted a § 8 (b) (3) violation. The Board’s opinion answers flatly “We do not agree” and proceeds to say “. . . the Respondent’s reliance upon harassing tactics during the course of negotiations for the avowed purpose of compelling the Company to capitulate to its terms is the antithesis of reasoned discussion it was duty-bound to follow. Indeed, it clearly revealed an unwillingness to submit its demands to the consideration of the bargaining table where argument, persuasion, and the free interchange of views could take place. In such circumstances, the fact that the Respondent continued to confer with the Company and was desirous of concluding an agreement does not alone establish that it fulfilled its obligation to bargain in good faith . . . .” 119 N. L. R. B., at 769, 770-771. Thus the Board’s view is that irrespective of the union’s good faith in conferring with the employer at the bargaining table for the purpose and with the desire of reaching agreement on contract terms, its tactics during the course of the negotiations constituted per se a violation of § 8 (b) (3) . 5 Accordingly, as is said in the Board’s brief, *483 “The issue here . . .

Free access — add to your briefcase to read the full text and ask questions with AI

Related

Glacier Northwest, Inc. v. Teamsters
598 U.S. 771 (Supreme Court, 2023)
Iatse Local 15 v. NLRB
Ninth Circuit, 2020
Bruce Beckington v. American Airlines, Inc.
926 F.3d 595 (Ninth Circuit, 2019)
Glendale City Employees Assoc. v. PERB CA2/5
California Court of Appeal, 2014
Carey Salt Co. v. National Labor Relations Board
736 F.3d 405 (Fifth Circuit, 2013)
Concerned Home Care Providers, Inc. v. Cuomo
979 F. Supp. 2d 288 (N.D. New York, 2013)
Grain Processing Corp. v. Culver
708 F. Supp. 2d 859 (S.D. Iowa, 2010)
FORT INDEPENDENCE INDIAN COMMUNITY v. California
679 F. Supp. 2d 1159 (E.D. California, 2009)
Lancaster Nissan, Inc. v. National Labor Relations Board
233 F. App'x 100 (Third Circuit, 2007)
Chamber of Commerce of the United States v. Lockyer
463 F.3d 1076 (Ninth Circuit, 2006)
Thunderbird Mining Co. v. Ventura
138 F. Supp. 2d 1193 (D. Minnesota, 2001)
Kapiolani Medical Center for Women & Children v. Hawaii
82 F. Supp. 2d 1151 (D. Hawaii, 2000)
Rivera-Vega v. ConAgra, Inc.
876 F. Supp. 1350 (D. Puerto Rico, 1995)

Cite This Page — Counsel Stack

Bluebook (online)
361 U.S. 477, 80 S. Ct. 419, 4 L. Ed. 2d 454, 1960 U.S. LEXIS 1952, 45 L.R.R.M. (BNA) 2704, Counsel Stack Legal Research, https://law.counselstack.com/opinion/national-labor-relations-board-v-insurance-agents-international-union-scotus-1960.