National Labor Relations Board v. Stevenson Brick & Block Co.

393 F.2d 234, 68 L.R.R.M. (BNA) 2086, 1968 U.S. App. LEXIS 7507
CourtCourt of Appeals for the Fourth Circuit
DecidedMarch 29, 1968
DocketNo. 11362
StatusPublished
Cited by1 cases

This text of 393 F.2d 234 (National Labor Relations Board v. Stevenson Brick & Block Co.) is published on Counsel Stack Legal Research, covering Court of Appeals for the Fourth 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. Stevenson Brick & Block Co., 393 F.2d 234, 68 L.R.R.M. (BNA) 2086, 1968 U.S. App. LEXIS 7507 (4th Cir. 1968).

Opinion

SOBELOFF, Circuit Judge:

The controlling question here is whether substantial evidence supports the Labor Board’s finding that the em[236]*236ployer1 has refused to bargain in good faith in violation of section 8(a) (5), 29 U.S.C. § 158(a) (5). If, as the Board found, the employer was guilty of this unfair labor practice, and if the strike that occurred while the parties were engaged in collective bargaining was caused by this conduct of the employer, it was an unfair labor practice strike and the strikers, upon request, should have been reinstated. NLRB v. Southland Cork Co., 342 F.2d 702 (4th Cir. 1965). On the other hand, if the court finds the evidence insufficient to support the Board’s finding, the strike must be deemed an economic one, entitling the strikers to reinstatement only if their jobs had not been filled by permanent replacements hired during the strike. NLRB v. Mackay Radio & Telegraph Co., 304 U.S. 333, 58 S.Ct. 904, 82 L.Ed. 1381 (1938).

On November 20, 1964, in an election preceded by threats, coercive interrogation, a discriminatory credit policy and a unilateral reduction of working hours, the union2 was selected as the exclusive bargaining agent of an appropriate unit of employees. Collective bargaining was initiated by the union’s submission of a proposed contract early in January, 1965. Fourteen meetings were held by the parties over a six-month period. On February 16, the employer offered its counter-proposals. After about four months of bargaining without reaching final agreement, forty-three of the unit’s seventy-five employees went on strike. Ten days later the workers terminated the strike and unconditionally offered to return to their jobs. They were told that no work was available and were refused reinstatement.

Shortly after the final bargaining session, a Labor Board complaint was issued upon charges filed by the union, accusing the employer of unfair labor practices in refusing (a) to bargain in good faith and (b) to reinstate the strikers. The Board, adopting in its entirety the Trial Examiner’s findings, reasoning, conclusions and proposed order, agreed that the strike was an unfair labor practice strike. It accordingly directed that the strikers be reinstated to their former or substantially similar positions. In the same proceeding, the Board approved the Examiner’s findings that the employer had violated section 8(a) (1), (3) and (5), 29 U.S.C. § 158(a) (1), (3) and (5), by its pre-election conduct at least seven months prior to the strike.3 We enforce the Board’s order predicated upon findings of pre-election unfair labor practices, since they find support in the record as a whole, Universal Camera Corp. v. NLRB, 340 U.S. 474, 71 S.Ct. 456, 95 L.Ed. 456 (1951), but cannot accord similar treatment to the unsupported reinstatement order.

In concluding that the employer had not bargained in good faith, the Trial Examiner found that while the employer conceded on a number of minor issues, its

“adamant opposition to any concession with respect to seniority, the checkoff, a Christmas bonus or a wage adjustment, made impossible the finalization of any complete agreement. Earlier herein, it was found that the bar[237]*237gaining sessions were preceded by extensive violations of Section 8(a) (1), (3) and (5) of the Act from September to December 1964 on the part of the Respondent’s supervisory hierarchy. It is the conclusion of the Trial Examiner that, in the light of this background, the Respondent’s position on the foregoing subjects at the bargaining sessions held during the winter and spring of 1965 was motivated by a desire to defeat, rather than promote, an agreement.”

While the Board, failing to exercise its independent reviewing power, was content to accept this conclusion of the Trial Examiner, we are unable to do so because it was derived in part from a palpable misinterpretation of certain testimony and a disregard of other evidence directly bearing thereon.

The duty to bargain, as embodied in section 8(d) of the Act, requires both parties to “meet at reasonable times and confer in good faith with respect to wages, hours, and other terms and conditions- of employment, or [negotiate] an agreement or any question arising thereunder, and [execute] a written contract incorporating any agreement reached if requested by either party * * While the section specifically provides that this “obligation does not compel either party to agree to a proposal or require the making of a concession,” the courts have insisted that the negotiations be entered “with an open mind and purpose to reach an agreement consistent with the respective rights of the parties.” Majure v. NLRB, 198 F.2d 735, 739 (5th Cir. 1952); NLRB v. American National Insurance Co., 343 U.S. 395, 72 S.Ct. 824, 96 L.Ed. 1027 (1952); Radiator Specialty Co. v. NLRB, 336 F.2d 495 (4th Cir. 1964). Whether the particular negotiations were in fact conducted in “good faith” involves subjective factors which must be considered in the factual context of the particular case. Solo Cup Co. v. NLRB, 332 F.2d 447, 448 (4th Cir. 1964).

The finding of bad faith on the part of the employer in the instant case was based in part on the Trial Examiner’s view that as the union was obligated to protect the interests of all of its members, a majority of whom were Negroes, it therefore “could not [have been] expected to acquiesce in the pay scale and bonus arrangement which, on the surface at least, appeared to place the Negro employees in a less favorable position than the white employees of the unit.” From this the Examiner reasoned that the employer purposefully refused to make any concessions on either the wage or bonus issues knowing full well that without such concessions no agreement could ever be reached. Without getting into the question of whether in fact the wage and bonus structures were discriminatory, the record furnishes no foundation for this line of reasoning. The union, for its part, failed to offer a single proposal aimed at rectifying the alleged inequity, but merely requested a 35 cent across-the-board wage increase and the continuation of the employer’s “policy of giving all employees a Christmas bonus.” These requests, if granted, would only have continued any disparity that may have existed.

Further evidence of the employer’s lack of good faith was, according to the Examiner, demonstrated by its refusal to concede on any important issue.

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393 F.2d 234, 68 L.R.R.M. (BNA) 2086, 1968 U.S. App. LEXIS 7507, Counsel Stack Legal Research, https://law.counselstack.com/opinion/national-labor-relations-board-v-stevenson-brick-block-co-ca4-1968.