Puerto Rico Labor Relations Board v. New York & Porto Rico Steamship Co.

69 P.R. 730
CourtSupreme Court of Puerto Rico
DecidedMarch 31, 1949
DocketNo. 11
StatusPublished

This text of 69 P.R. 730 (Puerto Rico Labor Relations Board v. New York & Porto Rico Steamship Co.) is published on Counsel Stack Legal Research, covering Supreme Court of Puerto Rico primary law. Counsel Stack provides free access to over 12 million legal documents including statutes, case law, regulations, and constitutions.

Bluebook
Puerto Rico Labor Relations Board v. New York & Porto Rico Steamship Co., 69 P.R. 730 (prsupreme 1949).

Opinions

Mr. Justice Snyder

delivered the opinion of the Court.

This is a petition of the Labor Relations Board of Puerto Rico in the name of the Unión de Empleados de Muelles de Puerto Rico against The New York & Porto Rico Steamship Company to enforce an arbitration award. The' petition [734]*734originated in this Court by virtue of § 9 (2) (c) of the Insular Labor Relations Act.1

Miguel A. Torres and Armando Farrulla are members of the union and were employed by the company as checkers. On May 9, 1947 the company wrote the union: “As you surely know by now, checkers A. Farrulla and M. A. Torres were arrested by the F.B.I. Wednesday afternoon. Until this matter is cleared up, these two employees have been suspended from work, of which we inform you for your guidance.”

On July 18, 1947 Farrulla and Torres were indicted by the grand jury of the United States District Court, for Puerto Rico. The indictment charged that they violated' § 409 of Title 18 of the United States Code by stealing from a pier of the company two boxes of goods which were part of an interstate shipment of freight.

The defendants were tried by the court without a jury, and were acquitted on December 29, 1947. Neither the union nor the defendants requested their employment while the latter were under indictment. But the day after they were acquitted, the union wrote the company asking for reinstatement of Farrulla and Torres and for payment of “all the wages the employees involved in this case failed to receive, from the date of suspension until the date they return to work”. On January 9, 1948 the company replied that “after an investigation by the company of the facts that resulted in the suspension from employment and salary of [735]*735the employees in question, we have concluded that Messrs. Torres and Farrulla were negligent in the performance of their duties and consequently they cannot be employed again by this company.”

The causes for which the company is entitled to discharge employees, including incompetency, are set forth in the collective bargaining agreement between the Company and the union. The agreement provides for arbitration of disputes under the agreement, including discharges which the employees consider wrongful. And the agreement specifically provides that all arbitration awards shall be final and binding.

On March 8, 1948 the company and the union signed a stipulation submitting to arbitration pursuant to the collective bargaining agreement the following issue:

“The union requests reinstatement of employees Miguel Angel Torres, Armando Farrulla [two others not involved herein], and also payment of their respective salaries for all the time they remain discharged.”

The submission agreement provided for retroactive pay despite the silence of the collective bargaining agreement on that point. ' The stipulation followed the collective agreement in providing that the decision of the Arbitration Committee would be final and binding on the parties.

Hearings were held by the Committee, at which the parties submitted, evidence. On June 21, 1948 a majority of the Committee ordered the reinstatement of Torres and Farrulla. It concluded that they had been negligent in the performance of their duties, but that under the company’s own rules their negligence warranted only one week’s suspension and not discharge. It therefore ordered the company to pay Torres and Farrulla their wages from the date of suspension on May 9, 1947 until the date of reinstatement, after deducting one week’s pay for the suspension.

The company did not comply with the arbitration award. The Board thereupon filed this petition to enforce the award. In 'opposing the petition, the company makes five contentions.

[736]*736I

The company argues that the National Labor Relations Board has exclusive jurisdiction in this case by virtue of § 10(a) of the Labor Management Relations Act, 61 Stat. 136, 29 U.S.C. Supp. I, § 141 et seq., colloquially known as the Taft-Hartley Act.

We reject this contention on two grounds. In the first place, assuming arguendo that this is a petition to correct an unfair labor practice, the National Board does not have exclusive jurisdiction in this particular case.

The company is subject to the Taft-Hartley Act. Consequently, § 10(a) gives the National Board exclusive jurisdiction if the company commits any of the fair labor practices listed in § 8 of that Act. Amazon Cotton Mill Co. v. Textile Workers Union, 167 F. 2d 183 (C.C.A. 4, 1948); National Labor Relations Board v. González Padín Co., 161 F. 2d 353 (C.C.A. 1, 1947). But “the enumeration by the Wagner Act and the Taft-Hartley Act of unfair labor practices over which the National Board has exclusive jurisdiction does not prevent the States from enforcing their own policies in matters not 'governed by the federal law . . . ”. Algoma Plywood and Veneer Company v. Wisconsin Employment Relations Board, 336 U. S. 301, 303-315.

The instant case is a proceeding to enforce an arbitration award. Violation of a collective bargaining agreement, including an agreement to accept an arbitration award, is an unfair labor practice under § 8(1) (/) of the Insular Act. But that is not true under the Federal Act. Neither the National Labor Relations Act, 49 Stat. 449, 29 U.S.C. §§ 151 et seq., familiarly known as the Wagner Act, nor the Taft-Hartley Act, makes it an unfair labor practice for an employer to fail to comply with an arbitration award. 59 Harv.L.Rev. 976, 977. Both those Acts are concerned principally with creating conditions which will enable the parties to reach an agreement. They do not deal with the enforcement of agreements as such. For the most part, [737]*737they leave the law on this matter where it stood prior to passage of those Acts. Magruder, Development of Collective Bargaining, 50 Harv.L.Rev.' 1071, 1112.2 Since the Taft-Hartley Act does not make refusal to comply with an arbitration award an unfair labor practice, there is no conflict', between it and § 8(1) if) and consequently the latter maybe enforced even against an employer subject to the Federal1 Act despite § 10 (a) of the latter Act. Algoma Plywood and Veneer Company v. Wisconsin Employment Relations Board, supra; International Union, U.A.W., A.F. of L., Local 232 et al. v. Wisconsin Employment Relations Board, et al., 336 U.S. 245; Allen-Bradley Local v. Wisconsin Employment Relations Board, 315 U. S. 740. See also, 61 Harv.L.Rev. 840; 60 Harv.L.Rev. 262; Chabrán v. Bull Insular Line, 69. P.R.R. 250, 270, and cases cited. For the reasons stated & the Algoma case, Bethlehem Steel Co. et al. v. New York S.L.R.B., 330 U. S. 767, and La Crosse Telepohne Corp. v.

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69 P.R. 730, Counsel Stack Legal Research, https://law.counselstack.com/opinion/puerto-rico-labor-relations-board-v-new-york-porto-rico-steamship-co-prsupreme-1949.