Teamsters Local Union No. 435, Affiliated With the International Brotherhood of Teamsters, Afl-Cio v. National Labor Relations Board

92 F.3d 1063, 153 L.R.R.M. (BNA) 2023, 1996 U.S. App. LEXIS 20517
CourtCourt of Appeals for the Tenth Circuit
DecidedAugust 14, 1996
Docket95-9528
StatusPublished
Cited by2 cases

This text of 92 F.3d 1063 (Teamsters Local Union No. 435, Affiliated With the International Brotherhood of Teamsters, Afl-Cio v. National Labor Relations Board) 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
Teamsters Local Union No. 435, Affiliated With the International Brotherhood of Teamsters, Afl-Cio v. National Labor Relations Board, 92 F.3d 1063, 153 L.R.R.M. (BNA) 2023, 1996 U.S. App. LEXIS 20517 (10th Cir. 1996).

Opinion

LIVELY, Circuit Judge.

A union petitions for review of a decision of the National Labor Relations Board (the Board) finding that the union violated the duty of fair representation in “negotiating, performing and giving effect to” a collective bargaining agreement. The Board has filed a cross-application for enforcement.

After a union member filed a complaint, an administrative law judge (ALJ) held a hearing and subsequently filed her decision. Upon considering the union’s exceptions and the General Counsel’s response, the Board entered a decision and order affirming the 'ALJ’s rulings, findings, and conclusions and adopting her recommended order, including remedial provisions. Teamsters Local Union No. 435 (Super Valu, Inc.), 317 N.L.R.B. 617, 1995 WL 328105 (1995). This court has jurisdiction under section 10(f) of the National Labor Relations Act (NLRA), 29 U.S.C. § 160(f) (1988).

I.

The ALJ’s decision, which is appended to the Board’s decision and order, contains detailed findings. A summary of those findings follows. The facts were largely undisputed, but where there was conflicting testimony, the ALJ credited the employees’ testimony over the testimony of witnesses who represented the employer or the union.

A.

Super Valu, Inc. is a wholesaler of grocery items and “general merchandise” items, such as over-the-counter drugs, housewares and health and beauty aids, to independent retailers. In 1982, it purchased a warehouse located in Aurora, Colorado that had been owned by Western Grocers, Inc. This warehouse principally stocked grocery items. *1066 The employees of the Western Grocers warehouse had been represented by Teamsters Local Union No. 435 (the union) since 1940, and following the acquisition, Super Valu recognized the union as the collective bargaining representative for those employees. In 1987, Super Valu relocated this grocery operation to a new location on Tower Road in Aurora.

Meanwhile, Super Valu’s general merchandise business increased substantially, causing it to create an entity called Preferred Merchandisers (Preferred) and to lease another warehouse in Aurora. Preferred conducted a general merchandise operation in the new warehouse and staffed it with non-union employees.

A dispute arose between the union and the company over whether Preferred employees were covered by the grocery operation’s collective bargaining agreement, and Super Valu filed a unit clarification petition with the Board pursuant to section 9(c) of the NLRA, 29 U.S.C. § 159(c). The Board held that the Preferred employees did not form an accretion to the grocery bargaining unit, but rather, constituted a separate unit. Super Valu Stores, Inc., 283 N.L.R.B. 134, 1987 WL 89522 (1987). After one unsuccessful effort, the union won a representative election in 1990, resulting in certification of the union as the bargaining representative of the employees at Preferred.

B.

In its 1992 negotiations with the union concerning the renewal of the collective bargaining agreement covering the 200 or so Tower Road employees (the Tower Road Agreement), Super Valu raised the possibility of consolidating the Preferred and Tower Road operations. The much smaller group of about 30 Preferred employees expressed concern over how such a move would affect their contractual rights, but the union allowed only Super Valu representatives and members of the Tower Road bargaining unit (the Tower Road unit) to attend the Tower Road negotiations.

, During the Tower Road negotiations, Super Valu proposed that a new general merchandise department be established at the Tower Road location; that the Preferred employees’ company seniority would be dovetailed with the Tower Road employees’ company seniority; and that all employees would be covered by the Tower Road Agreement. Super Valü also proposed that the Preferred employees would retain their rate of pay at 70 percent of the Tower Road warehouse rate, which reflected in part the fact that general merchandise work was less rigorous thaii grocery work. In its counterproposal, the union specifically suggested that the new general merchandise department should have only two job classifications, order selector and stoeker 1 ; that former Preferred employees after the move should retain only “union seniority,” or seniority measured as of the effective date of the collective bargaining agreement covering the Preferred employees (the Preferred Agreement) in June 1991; that both Tower Road and Preferred employees should be allowed to bid on the mew general merchandise positions (open bidding); and that the employees in the new general merchandise department should be paid 85 percent of the warehouse rate.

The company rejected the union’s proposal for open bidding because it would eliminate existing departmental’ preferences in bidding and thus thwart its desire to keep those employees most familiar with general merchandise work in the general merchandise department after the move. The company agreed, on the other hand, to the union’s proposal for limiting the number of general merchandise job classifications, since the proposal would help eliminate any duplication of functions when the two warehouses were consolidated. The company also accepted dovetailing based on union seniority, and compromised' on a wage rate for general merchandise employees at 75 percent of the existing Tower Road warehouse rate. The *1067 company would not agree to pay general merchandise employees 85 percent of the warehouse rate because of competitive considerations.

Having reached an agreement, the company and the union drafted a letter of understanding, referred to as Addendum F, which would incorporate the agreed-upon proposals into the Tower Road Agreement. Addendum F also specifically provided that in the event of a move, Preferred employees would be placed in the order of their seniority into any job openings in the new general merchandise department, and that job openings created after the move would be filled by ordinary bidding procedures.

Addendum F’s limitation on job classifications in the new general merchandise department, which was proposed by the union, would effectively eliminate what had been the more desirable jobs at Preferred, since the remaining selector and stocker positions were considered the most physically strenuous and therefore the least desirable jobs in the warehouse. The more desirable positions held by Preferred employees — such as the receiver, forklift, salvage, inventory control and sanitation jobs — were to be assigned to Tower Road employees in existing departments. Furthermore, only-four Tower Road employees had been hired after June 11, 1991, the date from which the Preferred employees’ union seniority would accrue. Thus, as a result of the proposed dovetailing based on union seniority, the 25 Preferred employees who had been-hired before June 11,1991, would become junior to all but those four Tower Road employees, regardless of their actual accumulated company time.

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92 F.3d 1063, 153 L.R.R.M. (BNA) 2023, 1996 U.S. App. LEXIS 20517, Counsel Stack Legal Research, https://law.counselstack.com/opinion/teamsters-local-union-no-435-affiliated-with-the-international-ca10-1996.