Grace Manufacturing Co.

GRACE MANUFACTURING COMPANY, DANNY-VINE CORPORATION 127 failure to take steps to clarify the actual status of the raise approval resulted in the election not being conducted in an atmosphere of free choice by the employees. Whatever the right to rebut election propa- ganda may be, it does not include the right to create a false impression that concrete benefits to employees have been secured, when, in fact, no such assurance can be given before the election takes place.5 Be- tween this situation and the unilateral announcement of benefits by an Employer pending representation proceedings, which the Board consistently recognizes as a ground for setting aside an election, we see no distinction in effect upon employee free choice.6 We think the conduct of the Employer and the Intervenor was calculated to and did affect the results of the election. Accordingly, we adopt the Regional Director's recommendations and shall set aside the election.? We will direct a new election at such time as the Regional Director advises the Board that the circumstances permit a free choice among the employees herein concerned. Order IT IS HEREBY ORDERED that the election held on July 10, 1952, among the employees of the Employer at Indianapolis, Indiana, be, and it hereby is, set aside. 6 The very existence of the Wage Stabilization Board regulation concerning nonaction by it on wage raise petitions pending representation proceedings before this Board also refutes the assertion that the Petitioner waived its right to object by consenting to the election with knowledge that a wage raise petition was pending . For discussion concerning waiver of objections see The Great Atlantic and Pacific Tea Company , 101 NLRB 1118. 6 See Direct Laboratories, Inc., 94 NLRB 380 ; see also F. B. Rogers Salver Company, 94 NLRB 305. " In view of our decision herein we find it unnecessary at this time to pass upon the objections relating to the execution of the contract between the Employer and the Intervenor, which are the subject of a charge and as to which the Regional Director made no recommendation ; nor do we see the need of a hearing in this matter; as suggested by the Employer. GRACE SCHULTZ D/B/A GRACE MANUFACTURING COMPANY, DANNY- VINE CORPORATION and Los ANGELES JOINT BOARD, AMALGAMATED CLOTHING WORKERS OF AMERICA, CIO, PETITIONER. Case No. 21- RC-$717. January 12, 1953 Supplemental Decision and Order On October 29, 1952, the Board issued a Decision, Order, and Di- rection of Election 1 in the above-entitled proceeding, directing that an election be held among the production and maintenance employees r Not reported in printed volumes of Board Decisions. 102 NLRB No. 22. 128 DECISIONS OF NATIONAL LABOR RELATIONS BOARD of the Employer, Grace Schultz, d/b/a Grace Manufacturing Com- pany, and dismissing the petition as to Danny-Vine Corporation. Thereafter, on November 12, 1952, the Board was administratively advised that the Danny-Vine Corporation had assumed ownership and operation of the Grace Schultz business, but that it was the in- tention of Danny-Vine Corporation to discontinue the said business on December 31, 1952. The Board then issued a notice to show cause why its former decision should not be reconsidered and the petition dismissed. Thereafter the Board was advised by the Union that neither it nor the employees in the unit had been informed of the intention of Danny-Vine Corporation to discontinue the operation on December 31, 1952, and the Union requested that the Board rein- state Danny-Vine Corporation as Employer and direct an immediate election. Neither Danny-Vine Corporation nor Grace Schultz filed any re- sponse to the notice to show cause or the Union's answer thereto. The Board was thereafter administratively advised that Danny-Vine Corporation acknowledges that it has assumed ownership and opera- tion of the business. The Board,2 having duly considered the matter, finds that Danny-Vine is now the Employer of the employees in the unit found appropriate in the Board's Decision, Order, and Direction of Election herein. We therefore reinstate the petition as to Danny- Vine and dismiss it as to Grace Schultz. As the discontinuance of operations is at present necessarily speculative, we will order that the Regional Director proceed with the election heretofore directed, unless before the actual conduct of such election such operations are in fact discontinued. Order IT IS HEREBY ORDERED that the Order dismissing the petition in the above-entitled matter as to Danny-Vine Corporation be, and it hereby is, vacated, and that the petition in this matter be, and it hereby is, dismissed as to Grace Schultz d/b/a Grace Manufacturing Company. IT IS FURTHER ORDERED that the Regional Director conduct an elec- tion among the employees in the unit found appropriate in the Board's Decision in the above-entitled matter within 30 days from the date of this Supplemental Order, unless the Employer's operations have previously been discontinued, and in that event that the petition in this matter be dismissed. 2 Pursuant to the provisions of Section 3 (h) of the Act the Board has delegated its powers in connection with this case to a three -member panel [ Chairman Herzog and Members Styles and Peterson].