National Steel & Shipbuilding Corp.

900 DECISIONS OF NATIONAL LABOR RELATIONS BOARD National Steel & Shipbuilding Corporation and James Jackson. Case No. 21-CA-3673. March 2, 1960 DECISION AND ORDER Upon charges duly filed by James Jackson, an individual, the Gen- eral Counsel of the National Labor Relations Board, by the Regional Director for the Twenty-first Region, issued a complaint dated Sep- tember 22, 1959, against National Steel & Shipbuilding Corporation, herein called the Respondent, alleging that the Respondent had en- gaged in and was engaging in unfair labor practices within the mean- ing of Section 8(a) (1) and (3) and Section 2(6) and (7) of the National Labor Relations Act, as amended. Copies of the charge,, complaint, and notice of hearing before a Trial Examiner were duly served upon the Respondent and the Charging Party. With respect to the unfair labor practices, the complaint alleges, in substance, that Respondent, at some time prior to January 24, 1959, and thereafter, promulgated a rule prohibiting solicitation, in- cluding union solicitation, on company property during both working and nonworking time. The complaint alleges further that, on or about July 24, 1959, Respondent discharged, and thereafter refused to reinstate, employee James Jackson for violating the aforesaid rule. Respondent's answer, filed on October 9, 1959, and amended on October 16, 1959, admits the jurisdictional allegations of the com- plaint, but denies the commission of unfair labor practices. On October 16, 1959, all parties to this proceeding entered into a stipulation of facts, and thereafter, on October 21, 1959, jointly moved to transfer this proceeding directly to the Board. The motion states that the parties have waived their rights to a hearing before a Trial Examiner, and to the issuance of an Intermediate Report. The mo- tion provides further that the charge, complaint, answer, amended answer, and stipulation of facts constitute the entire record in the case, to be submitted directly to the Board for findings of fact, con- clusions of law, and decision and order. On October 28,1959, the Board granted the parties' motion, ordered that the stipulation of facts be made part of the record in the case, and transferred the case to the Board. Briefs were thereafter filed by the General Counsel and the Respondent. Upon the basis of the aforesaid stipulation of facts, the briefs, and the entire record in the case, the Board 1 makes the following : 'Pursuant to the provisions of Section 3(b) of the National Labor Relations Act, the Board has delegated its powers in connection with this case to a three-member panel [Members Rodgers, Jenkins, and Fanning]. 126 NLRB No. 109. NATIONAL STEEL & SHIPBUILDING CORPORATION 901 FINDINGS OF FACT 1. THE BUSINESS OF THE RESPONDENT The Respondent is a California corporation with headquarters in San Diego, California. It is engaged in the manufacture and sale of structural steel, the construction and repair of oceangoing vessels, ,and the manufacture of related products. Respondent has, during the 12-month period immediately preceding October 16, 1959, shipped products valued in excess of $50,000 directly to points outside the .State of California. Respondent admits, and we find, that it is engaged in commerce within the meaning of the Act. H. THE LABOR ORGANIZATIONS INVOLVED Local 92, International Brotherhood of Boilermakers, Iron Ship- builders, Blacksmiths, Forgers and Helpers, AFL-CIO (herein called Boilermakers), and Local 627, International Association of Bridge, Structural and Ornamental Iron Workers, AFL-CIO (herein called Iron Workers), are labor organizations as defined in Section 2 (5) of the Act. III. THE UNFAIR LABOR PRACTICES For an undisclosed period of time prior to January 24, 1959, and thereafter, Respondent published in its employee's handbook the following rule : Soliciting of gifts or funds, vending, circulating or signing pe- titions, distributing or circulating pamphlets on company prop- erty without permission are all against company policy. On approximately July 22, 1959, Kinsey Roos, Respondent's assist- ant personnel manager, received a report of undetermined origin that employee James Jackson, the Charging Party, and George M. Valdez, another employee, had been circulating petitions seeking to decertify the incumbent Iron Workers as bargaining representative of Respond- ent's employees? Roos informed the personnel manager, Edward Boughton, of this report, and thereafter Roos inquired of Jackson's foreman, McKinney, concerning the truth of the report. However, Roos did not attempt to determine the time of Jackson's alleged ac- tivities. McKinney told Roos he had seen Jackson circulating 'a petition on Respondent's premises, but did not specify the time. Upon independently ascertaining these facts from McKinney, Boughton dis- charged Jackson on July 24, 1959. IIt appears that Jackson and Valdez had previously solicited signatures authorizing another union, Boilermakers, to act as bargaining representative for employees in the appropriate unit. However, there is no evidence that these prior solicitations occurred on Respondent's premises. 902 DECISIONS OF NATIONAL LABOR RELATIONS BOARD The parties stipulated that Respondent terminated Jackson for violation of the rule forbidding solicitation on company premises, irrespective of whether Jackson was circulating the petition on com- pany time or on employee nonworking time.' As Respondent's in- vestigation failed to reveal that Valdez had solicited on company premises, he was not discharged. In Republic Aviation Corporation 4 the Board held that, in the absence of special circumstances, a broad rule prohibiting union activity on company property during nonworking time constituted an unreasonable impediment to employee self-organization, and there- fore interfered with the rights of employees guaranteed by Section 7. This decision has been followed by the Board and the courts on nu- merous occasions.5 As Respondent's rule involved herein broadly encompassed and prohibited employee solicitation and other union activities on its premises during nonworking time, and as no showing of special circumstances appears in the stipulation of facts to justify this rule, we find that its promulgation by the Respondent constituted a violation of Section 8 (a) (1). The record indicates that Jackson was discharged by Respondent on July 24, 1959, for circulating a union decertification petition on company premises. Respondent did not inquire as to whether Jack- son's activities occurred during working or nonworking hours, and apparently Respondent, in view of its broad rule, was not concerned with this distinction. In fact, as already noted, Respondent did not learn that Jackson had circulated the petition on working time until after it had effected his discharge. Under the circumstances, we find that the operative reason for Jackson's discharge was his breach of Respondent's unlawful rule against solicitation on company property, and not his solicitation on company time. We conclude, therefore, that the discharge was discriminatory and in violation of Section 8 (a) (3) of the Act, as alleged.' IV. THE EFFECT OF THE UNFAIR LABOR PRACTICES UPON COMMERCE The activities of the Respondent set forth in section III, above, occurring in connection with its operations as described in section I, above, have a close, intimate, and substantial relation to trade, traffic, and commerce among the several States, and tend to lead to labor disputes burdening and obstructing commerce and the free flow of commerce. s Respondent later discovered that Jackson had in fact circulated the petition several minutes before the end of the working day , but it is not contended that this later infor- mation entered into the decision to discharge Jackson. ' 51 NLRB 116, enfd. 142 F. 2d 193 (C A. 2), affd. 324 U.S 793 See e g, Walton Manufacturing Company, 126 NLRB 697; Limestone Manufactur- ing Company, 117 NLRB 1689, 1701 ; Olin Industries, Inc, Winchester Repeating Arms Company Dsvision, 86 NLRB 203 , enfd. 191 F. 2d 613 ( C A. 5), cert. denied 343 U.S. 919. 6 Williamson-Dickee Manufacturing Company, 115 NLRB 356, 362. NATIONAL STEEL & SHIPBUILDING CORPORATION 903 V. THE REMEDY Having found that the Respondent has engaged in certain unfair labor practices, we shall order that it cease and desist therefrom and that it take certain affirmative action designed to effectuate the poli- cies of the Act. As we have found that the Respondent discriminatorily discharged James Jackson on July 24, 1959, we shall order that Jackson be offered immediate reinstatement to his former or substantially equivalent employment, without prejudice to his seniority or other rights and privileges previously enjoyed, and be made whole for any loss of earnings suffered as a result of the discrimination by payment to him of a sum-of money he would have earned as wages after July 24, 1959, to the date of offer of reinstatement, less his net earnings during this period. Backpay shall be computed in accordance with the formula set forth in F. W. Woolworth Company, 90 NLRB 289. CONCLUSIONS OF LAW 1. Local 92, International Brotherhood of Boilermakers, Iron Ship- builders, Blacksmiths, Forgers and Helpers, AFL-CIO, and Local 627, International Association of Bridge, Structural and Ornamental Iron Workers, AFL-CIO, are labor organizations as defined in Sec- tion 2 (5) of the Act. 2. By discriminatorily discharging James Jackson on July 24, 1959, the Respondent has engaged in an unfair labor practice within the meaning of Section 8 (a) (3) of the Act. 3. By the aforesaid discharge, and by promulgating and enforcing a rule broadly prohibiting employees from engaging in solicitation and other union activities on company premises during nonworking time, Respondent has interfered with, restrained, and coerced em- ployees in the exercise of rights guaranteed by Section 7 of the Act, and has thereby engaged in and is engaging in unfair labor practices within the meaning of Section 8 (a) (1) of the Act. 4. The aforesaid unfair labor practices are unfair labor practices affecting commerce within the meaning of Section 2(6) and (7) of the Act. ORDER Upon the entire record in this case, and pursuant to Section 10 (c) of the National Labor Relations Act, the National Labor Relations Board hereby orders that the Respondent, National Steel & Ship- building Corporation, San Diego, California, and its officers, agents, successors, and assigns, shall: 904 DECISIONS OF NATIONAL LABOR RELATIONS BOARD 1. Cease and desist from : (a) Maintaining, and enforcing a rule broadly forbidding its em- ployees from engaging in solicitation and other union activities on company premises during their nonworking time. (b) Discriminatorily discharging its employees pursuant to such unlawful rule. (c) In any like or related manner interfering with, restraining, or coercing its employees in the exercise of the rights guaranteed by ,Section 7 of the Act. 2. Take the following affirmative action which the Board finds will effectuate the policies of the Act : (a) Revoke and rescind the rule forbidding solicitation and other union activities on company premises insofar as that rule prohibits employees from engaging in solicitation and other union activities on company premises during their nonworking time. (b) Offer James Jackson immediate reinstatement to his former or substantially equivalent employment, without prejudice to his senior- ity or other rights and privileges previously enjoyed, and make him whole for any loss of earnings suffered by reason of the discrimination against him, in the manner set forth in the section of this Decision and Order entitled "The Remedy." (c) Post at its plant in San Diego, California, copies of the notice attached hereto marked "Appendix."' Copies of said notice, to be furnished by the Regional Director for the Twenty-first Region, shall, after being duly signed by the Respondent's representative, be posted by the Respondent immediately upon receipt thereof, and be main- tained by it for 60 consecutive days thereafter, in conspicuous places, including all places where notices to its employees are customarily posted. Reasonable steps shall be taken by the Respondent to insure that said notices are not altered, defaced, or covered by any other material. (d) Notify the Regional Director for the Twenty-first Region, in writing, within 10 days from the date of this Order, what steps have been taken to comply herewith. I In the event that this Order is enforced by a decree of a United States Court of Appeals, there shall be substituted for the words "Pursuant to a Decision and Order" the words "Pursuant to a Decree of the United States Court of Appeals , Enforcing an Order." APPENDIX NOTICE To ALL EMPLOYEES Pursuant to a Decision and Order of the National Labor Relations Board, and in order to effectuate the policies of the National Labor Relations Act, as amended, we hereby notify our employees that : WE WILL NOT maintain and enforce any rule forbidding employ- ees from engaging in solicitation and other union activities on company premises during their nonworking time. LOCAL 36, INVL CHEMICAL WORKERS UNION , AFL-CIO 905 WE WILL NOT discriminatorily discharge any employee pur- suant to such unlawful rule. WE WILL NOT, in any like or related manner, interfere with, restrain, or coerce our employees in the exercise of rights guar- anteed by Section 7 of the Act. WE WILL revoke and rescind the rule forbidding solicitation and other union activities on company premises insofar as it prohibits employees from engaging in solicitation and other union activities on company premises during their nonworking time. WE' WILL offer James Jackson immediate reinstatement to his former or substantially equivalent employment, without preju- dice to his seniority or other rights and privileges previously enjoyed, and will make him whole for any loss of earnings suf- fered by reason of the discrimination against him. NATIONAL STEEL & SHIPBUILDING CORPORATION, Employer. Dated---------------- By------------------------------------- (Representative ) (Title) This notice must remain posted for 60 days from the date hereof, and must not be altered, defaced, or covered by any other material. Local No. 36, International Chemical Workers Union, AFL-CIO and Virginia-Carolina Chemical Corporation. Case No. 12-CC- 54. March 2, 1960 DECISION AND ORDER On November 10, 1959, Trial Examiner Ralph Winkler issued his Intermediate Report in the above-entitled proceeding, finding that the Respondent had engaged in and was engaging in certain unfair labor practices and recommending that it cease and desist therefrom. and take certain affirmative action, as set forth in the copy of the Intermediate Report attached hereto. Thereafter, the Respondent filed exceptions to the Intermediate Report and a supporting brief. The Charging Company filed a brief in support of the Intermediate Report. Pursuant to the provisions of Section 3(b) of the Act, the Board has delegated its powers in connection with this case to a three-member panel [Chairman Leedom and Members Rodgers and Jenkins]. The Board has reviewed the rulings made by the Trial Examiner at the hearing and finds that no prejudicial error was committed .1 The I The Trial Examiner inadvertently stated that the Respondent received its Copies of the Company's rules pertaining to the use of gate 8 on July 15. The correct date was June 15. The error does not, however, affect the Trial Examiner's ultimate conclusions. 126 NLRB No. 117.