General Electric Co.

. 788 DECISIONS OF NATIONAL LABOR RELATIONS BOARD Case No. National Transportation Co., Inc. ------------------ 2-RC-9986 Progress Service Corporation, et al. ---------------- 2-RC-9987 Super Operating Corp. et al. ---------------------- 2-RC-9988 Tedmar Service Co., Inc. et al. _______________________ 2-RC-9989 Vernon Operating Co., Inc. et al. ___________________ -2-RC-9991 Andrea Service Corp. et al. ----------------------- 2-RC-9992 Willow Maintenance Corp. et al. _____________________ 2-RC-99.93 Celbert Garage Corp. et al. __________________________ 2-RC-9995 Butler Maintenance Corp. et al. -------------------- 2-RC-9996 Dynamic Operating Corp. et al. -------------------- 2-RC-9997 55th Street Taxi Garage, Inc. et al. __________________ 2-RC-9998 Eden Maintenance Corp. et al. ---------------------- 2-RC-10000 Forest Maintenance Corp. et al. ______________________ 2-RC-10001 FEM Corp. et al. --------------------------------- 2-RC-10002 Trans Maintenance, Inc. et al. ---------------------- 2-RC-10003 LEN Service Corp. et al. ------------------------ ___ 2-RC-10005 Transportation Maintenance, Inc. at al. -------------- 2-RC-10007 Haso Maintenance Corp. et al. ---------------------- 2-RC-10008 Cab Operating Co., Inc. et al. _______________________ 2-RC-10013 Phoenix Taxi Corp. et al. -------------------------- 2-RC-10015 Cornell Maintenance Corp. et al. -------------------- 2-RC-10016 Frenat Service Corp. et al. ------------------------- 2-RC-10017 C & J Garage Corp. et al. ___________________________ 2-RC-10018 Gaar Service Corp. et al. ____________________________ 2-RC-10019 Yankee Service Corp. et al. ------------------------- 2-RC-10021 Yale Service Corp. et al. ____________________________ 2-RC-10022 River Service Corp. at al. Finmore Cab Corp. et al. 2-RC-10023 Tyrone Service Co., Inc. et al. EN Operating Corp. et al. ___ _______________________ 2-RC-10024 Helen Maintenance Corp. et al. --------------------- 2-RC-10025 Bebe Operating Corp. et al. ------------------------ 2-RC-10027 Jayson Operating Corp. et al. _______________________ 2-RC-10028 57th Street Management Corp. et al. _________________ 2-RC-10029 Hotpoint Division, General Electric Company and Peter J. Kornewich. Case No. 13-CA-3251. August 24,1960 DECISION AND ORDER On April 11, 1960, Trial Examiner Max M. Goldman 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 128 NLRB No. 96. HOTPOINT DIVISION, GENERAL ELECTRIC COMPANY 789 take certain affirmative action, as set forth in the copy of the Inter- mediate Report attached hereto. Thereafter, the Respondent filed exceptions to the Intermediate Report and a supporting brief. Pursuant to the provisions of Section 3(b) of the National Labor Relations Act, as amended, the Board has delegated its powers in connection with this case to a three-member panel [Chairman Leedom and Members Bean and Jenkins]. The Board has reviewed the rulings of the Trial Examiner made at the hearing and finds that no prejudicial error was committed. The rulings are hereby affirmed.' The Board has considered the Intermediate Report, Respondent's exceptions and brief, and the en- tire record in the case, and hereby adopts the findings, conclusions, and recommendations of the Trial Examiner, for the reasons more fully stated herein. The principal issue posed in this case is whether, as the Trial Examiner found, Respondent has dominated, assisted, and supported an organization of its employees, which has been variously referred to in the record, in the Intermediate Report, and in its bylaws as Joint Shop Council, Shop Council, and Council. As the bylaws under which this body functions are entitled, "Bylaws-Joint Shop Coun- cil," we regard this as its official title. However, for purposes of further discussion herein we shall refer to this labor organization 2 as the Council. We agree with the Trial Examiner that Respondent has violated Section 8 (a) (2) and (1) of the Act. The record facts together with the exhibits, some of which were alluded to by him, amply demon- strate Respondent's dominating role in the Council. Under the by- laws, a copy of which is attached hereto marked "Appendix A," the I Respondent requested the Trial Examiner to take official notice of certain previous representation proceedings involving the Respondent's employees for the purpose of re- flecting the desire of employees with respect to repiesentation by the Joint,Shop Council. The General Counsel objected because the Council did not appear on the ballot in those proceedings. The Trial Examiner iefused to take judicial notice of the representation pioceedings for the purposes stated by Respondent As rejection of another union could not establish that the employees theieby indicated a majority preference for the Council, which was not a party to those proceedings, the Trial Examiner properly refused to take judicial notice of those proceedings for the purpose proposed by Respondent. Respondent also excepted to the Trial Examiner's ruling withholding from Respondent a pretrial document prepared during the investigation of this case for the signature of Prank Kucera, a witness called by the General Counsel. Respondent's exception to this ruling is based upon the contention that this document was adopted by a covering letter returning it to the field examiner of the Board together with another unsigned statement prepared by the iiitness himself. The General Counsel contended that the letter from the witness constituted a rejection of the document in question particularly in view of the preparation and submission simultaneously of the witness' own substitute statement The witness testified that he prepared his own statement because lie was not satisfied with the one prepared for his signature by the field examiner In these circumstances, we hold that the witness did not subscribe to the statement in dispute and therefore that statement is not subject to production by the Geneial Counsel under Section 102.118 of the Board's Rules and Regulations, Seises 8, requiring production of written statements "adopted by the witness." 2 See N L R B v. Cabot Car bon Company, etc. 360 U S 203. 577684-61vol. 128-51 790 DECISIONS OF NATIONAL LABOR RELATIONS BOARD Council's representatives are elected from each voting division of approximately 100 employees. The approximately 40 employee- elected representatives then elect from their number the chairman, secretary, and sergeant-at-arms of the Council. When the Council's meetings include management representatives, designated for that purpose, the meetings are called joint meetings. When the Council's members, i.e., the employee-elected representatives, meet without man- agement representatives present, the meetings are called solo meetings. Joint meetings are held the fourth Wednesday of each month in accordance with the bylaws. Under the bylaws these meetings are to be presided over by the manager-relations and utility department or another designated by management and the chairman of the council or his substitute. In practice these meetings are chaired by the specialist-labor relations, who is Respondent's official, responsible for recommending, interpreting, and applying policies and practices re- lating to labor-management matters and for dealing with employee representatives who are members of the Council.3 Minutes of these meetings are taken by a management representative, reproduced in the office of the specialist-labor relations, and distributed by that office to Council's representatives and appropriate management and supervisory personnel and posted on the bulletin boards. The Council is empowered by the bylaws to "consider and make recommendations" on such subjects or questions as working condi- tions, wages, hours of labor, seniority, etc. However, an employee may not submit such matters to his representative unless and until he has first presented them to his foreman or superintendent. There- after, his representative may accompany him at the various steps of the grievance procedure. However, only when an issue is not satis- factorily settled at a level up to and including the plant superin- tendent, can it be established as a council item. As such it is con- sidered at the next joint meeting where a majority vote of the members present is required to establish it as a council item. When accepted as an item, the Council decides upon recommendations to management and presents such recommendations ",for final decision and disposition by the management." When the Company's policy on such matters has been determined, execution of the policy remains with management. Solo meetings of the Council are held both on the second Wednes- day of each month and immediately preceding the joint meetings. Employee representatives discuss problems which have arisen in their respective divisions and establish an agendum of matters to be pre- 3 The manager--relations and utilities department, referred to in the bylaws, apparently has designated the specialist-labor relations to participate in joint meetings of the Council as the management representative in his place as it is the specialist -labor rela- tions who is regularly involved in the Council's matters. HOTPOINT DIVISION, GENERAL ELECTRIC COMPANY 791 sented at the joint meetings, but keep no minutes as such of the dis- cussions. The solo meeting agenda prepared by the secretary of the Council are submitted to the specialist-labor relations and included in the published minutes of the joint meetings. On occasion the specialist-labor relations has attended a solo meeting to present a particular matter, but as a rule the solo meetings are confined to council members. On a more localized level "little joint meetings" are held twice monthly on a departmental level. Although the bylaws provide for these meetings between the foreman and the council representative and such employees of the department as they may invite, in practice, these are departmental meetings conducted by the foreman who is required to keep minutes and submit them to the specialist-labor re- lations. The latter has them duplicated and distributed. These are the only meetings in which employees directly participate, as there is no provision for, and the Council does not hold, rank-and-file em- ployee meetings. As indicated by the Trial Examiner, at all times material herein, Respondent has dealt with the Council as representative of its em- ployees concerning grievances, wages, hours, and working conditions of its employees. Although no written contract has been executed reflecting the agreements reached by management with the Council, the minutes of the joint meetings, published by Respondent, are regarded as reflecting in writing the agreements reached. A supply of the bylaws of the Council, which were duplicated by management, is stored in the labor relations department and distrib- uted by that office to council members when needed. The bylaws provide for their amendment by a two-thirds vote of all employee representatives. Respondent denies that amendment of the bylaws is subject to its approval. However, testimony, and a notation in the solo meeting agendum of the period, indicates that such amendment in some minor respects was undertaken in 1957 and that at least in practice it was subject to approval by management. The bylaws them- selves establish certain duties and procedures for management and supervisory peronnel.4 Of necessity, therefore, either the Council has power by amendment of the bylaws to establish or change certain management procedures, a power which council members deny they possess, or amendment of the bylaws is subject to the control of man- agement, at least insofar as they impose certain duties upon manage- 4 An example of this is the duty imposed upon the foreman to hold departmental level meetings. Respondent's specialist-labor relations testified that the foreman makes up the agenda In two parts : the first consisting of matters he wishes to discuss with em- ployees in the department and the second half containing matters which the council representative wishes to raise. He admitted that the "little joint meetings" are pursuant to the bylaws and are not established by any separate policy statement of Respondent. 792 DECISIONS OF NATIONAL LABOR RELATIONS BOARD ment personnel. Moreover, management has unilaterally issued a statement of complaint procedures which in application had the effect of an amendment to the bylaws. Admittedly these complaint pro- cedures were presented by management to the council representatives at a council meeting allegedly because of the degree to which it affected their duties. As indicated by the Trial Examiner, the Council has no funds, treasury, or income and Respondent furnishes printing, duplicating and typing service, office space, office furniture, and telephone service, and pays employees their regular rate while engaged in council busi- ness even to the extent that the two principal officials of the Council receive their regular pay while devoting practically full time to council affairs. The objective of Section 8(a) (2) is to vouchsafe to the employees that in the bargaining relationship those purporting to act for them not be rendered so subject to employer control or dependent upon em- ployer favor as to tend to deprive their of the will and the capacity to give their devotion to the interest of the group they represent.5 Testimony in this record indicates the considerable degree to which council members in fact submit to management domination of council affairs although preferring to label it as matters of courtesy and co- operation. However, such evidence merely serves as background and particularizes the existing situation, as the attached bylaws amply demonstrate that company domination is written into the bylaws under which the Council presently operates to such a degree that the Council as constituted is not capable of standing on an independent footing and performing the function of a bargaining representative in fact. For example, the very form and structure of the Council, with its specific provisions, among others, for the foreman's advance knowledge before an employee can take a matter up with a council representative; management representatives' participation in the vote before a matter can be established as a council item, and their partici- pation in discussing and determining the merit of such item; the limitation of the Council's authority to merely making recommenda- tions to management with final determination and execution vested in management, together with the Company's power to cause council- men to lose their elected status by reorganization or transfer, supply convincing internal evidence of Respondent's dominating role in the Council. Accordingly, we adopt the Trial Examiner's findings as to assistance and domination, and shall issue the appropriate order consistent with the Board's normal practice.e 5 Ben Corson Manufacturing Co., et at., 112 NLRB 323, 343. e See Murfreesboro Pure Milk Co., 127 NLRB 1101. HOTPOINT DIVISION, GENERAL ELECTRIC COMPANY ORDER 793 Upon the entire record in this case, and pursuant to Section 10(c) of the National Labor Relations Act, as amended, the National Labor Relations Board hereby orders that the Respondent, Hotpoint Di- vision, General Electric Company, Chicago, Illinois, its officers, agents, successors, and assigns, shall : 1. Cease and desist from : (a) Assisting, dominating, and contributing financial or other sup- port to the Joint Shop Council, or any other labor organization. (b) In any like or related manner interfering with the represen- tation of its employees. (c) Recognizing the Joint Shop Council, or any successor thereto, as the representative of any of its employees for the purpose of dealing with the Respondent concerning grievances, labor disputes, wages, rates of pay, hours of employment, or other terms or conditions of employment. 2. Take the following affirmative action which the Board finds will effectuate the policies of the Act : (a) Withdraw and withhold all recognition from, and completely disestablish, the Joint Shop Council, or any successor thereto, as the representative of any of its employees for the purpose of dealing with the Respondent concerning grievances, labor disputes, wages, rates of pay, hours of employment, or other terms or conditions of employment. (b) Post at its plants in the Chicago-Cicero, Illinois, area, copies of the notice attached hereto marked "Appendix B."' Copies of said notice, to be furnished by the Regional Director of the Thirteenth Region, shall, after being duly signed by a representative of the Re- spondent, be posted by the Respondent immediately upon receipt thereof, and be maintained by it for a period of GO consecutive days thereafter, in conspicuous places, including all places where notices to employees are customarily posted. Reasonable steps shall be taken to insure that said notices are not altered, defaced, or covered by any other material. (c) Notify the Regional Director for the Thirteenth Region, in writing, within 10 days from the date of this Order, what steps Respondent has taken to comply herewith. ' 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 A BYLAWS-JOINT SHOP COUNCIL 1. Object To furnish a medium through which employees and management may exchange suggestions and ideas for the welfare of the Company 794 DECISIONS OF NATIONAL LABOR RELATIONS BOARD and those employed by it. To take up and discuss frankly in a Coun- cil, composed of employee representatives, all questions which have an effect upon the employees of the Company, and, by this means, to reach harmonious understanding and settlement of all such questions and problems as may arise from time to time. To give every employee, through representatives in the Council, access to an impartial hearing of his or her suggestions, requests, or complaints, at any time. 2. Representation The plant shall be divided into voting divisions and one employee representative elected to the Council from each such voting division in such a manner that there shall be one representative for each ap- proximately one hundred employees. The Buildings and Utilities Section shall have their own representative from each plant due to the nature of their work. 3. Qualifications All employees employed by the Company shall be entitled to vote in elections of Council representatives or hold office, except any repre- sentative of management such as section leader and foreman. Employees who are classified and performing the duties of a group leader shall have representation but will not be eligible to hold office as a Council representative. Shop Council representatives shall be American citizens, or shall have taken out first papers, shall be at least twenty-one years of age, and must have been employed by the Company for at least one year before the time of election, and must not be excluded by Paragraph 1 of this Section. If all employees of a voting division happen to be ineligible for election, owing to the lack of one or more of the qualifications out- lined in the previous paragraph, then all qualification requirements shall be set aside temporarily in that division and any of the voters in that division shall be considered eligible for election as representa- tive. 4. Nominations and elections The Chairman of the Shop Council shall appoint a Nomination and Election Committee at the start of the Council term for the duration of the term. This Committee shall include at least one Council rep- resentative from each plant having a member on the Council. The duties of this Committee shall be generally to conduct the nomination and election of the Shop Council representatives and shall specifically include the determination of the number of voting members, the num- ber of representatives necessary to represent same, the respective dates of the nominations and elections, and the details of all balloting and counting with respect to nominations and elections. HOTPOINT DIVISION, GENERAL ELECTRIC COMPANY 795 No Council member shall perform any nomination or election duties in his or her own division. In voting divisions where one representa- tive is to be elected, the two names receiving the greatest number of votes shall be considered the nominees. In voting divisions where two representatives are to be elected, the four names receiving the greatest number of votes shall be considered the nominees. Nominations shall be made by secret ballot during the second week of December and notice of the results of such nominations posted in the voting division as quickly as possible. Annual elections shall be held by secret ballot not later than ten con- secutive, regularly scheduled working days after nominations have been made. 5. Term of office The term of office shall be one year and representatives shall assume office January 1 of each year, except as provided below. There shall be no limit to the number of terms a representative may serve in the Council. Whenever it is found advisable by the management of the Com- pany to move or rearrange any department or departments in such a manner that the Council feels that a representative is no longer able to maintain satisfactory contact with a portion of his con- stituents, the Council shall be authorized to permit the election of a temporary representative for the department in question. Repre- sentatives so elected shall serve only until the next general election at which time the voting divisions shall be so arranged that there shall again be one representative for each approximately one hundred employees. In the event that a Council representative elects to resign his office, he will tender his resignation in writing to the officers of the Council. A special election to name a successor shall be held immediately in any voting division where a vacancy occurs and representatives shall assume office as soon as elected. 6. Recall If the employees of a voting division find the services of their representative in the Council unsatisfactory, the representative may be recalled in the following manner : A petition, asking the recall of the representative and bearing the signature of at least one-third of the total voters in the division, shall be filed with the Chairman of the Council. A special vote by secret ballot shall then be held in that voting division to determine the continuance in office or recall of the repre- sentative in question. A majority vote, either way, shall be taken as the final decision of the entire voting division. 796 DECISIONS OF NATIONAL LABOR RELATIONS BOARD In case the representative is voted out of office, an election shall be held to name a successor immediately. 7. Meetings On the second Wednesday of each month there shall be a Council meeting to be attended by employee representatives only. On the fourth Wednesday of each month there shall be a Council meeting to be presided over by the Manager-Relations and Utilities Department (or a person designated for the purpose by the manage- ment) and the Council Chairman or person, in his absence, desig- nated by the Shop Council, at which meeting there shall be management representatives to answer questions, discuss matters before the Council and present management's viewpoint. Meetings of Council representatives alone will begin at 12:30 p.m. and Joint Meetings with the management at 2:30 p.m., except when notice to the contrary is given Council members. Representatives in the Council shall elect, by secret ballot a Chair- man, a Secretary and a Sergeant-at-Arms at the first meeting of the now term. The two names receiving the greatest number of votes shall be considered the nominees. In the event of a tie in the election of these nominees, a second ballot will be taken. Should a tie still exist, the nomination will then be considered void, and the Council will nominate three persons for the position, and a ballot taken. In such case the person receiving the greatest number of votes shall be declared elected to the office. Council meetings will be conducted in accordance with Robert Rules of Order. 8. Duties and powers The Council shall consider and make recommendations on such subjects or questions as : a. Working conditions b. Protection of health c. Safety d. Wages e. Hours of labor f. Recreation g. Education and training h. Increasing productivity and quality i. Beneficiary activities j. Seniority k. Other problems on which the recommendations of the Council may be of benefit to all concerned. When the policy of the Company as to any of these matters has been determined, execution of the policy shall remain with the management. HOTPOINT DIVISION, GENERAL ELECTRIC COMPANY 797 It shall be the duty of the Chairman to follow up all Council items upon which a decision has been reached or which are under con- sideration and see that proper action is taken. Any results affecting the general employee group shall be reported to all Council repre- sentatives within a reasonable time. 9. Procedure Whenever any employee desires to present matters to the Council, he may submit them to his representative, or, in his absence, to the Secretary of the Council. The representative or Secretary shall first make sure the matter has been presented to the employee's foreman or superintendent, and if not, shall see that it is done promptly. It is desirable that the employee will submit his problem to the foreman individually; however, in those cases where the employee does not feel that the matter has been disposed of satisfactorily, or where the problem is not appropriate individually the following procedure is provided : a. The foreman will arrange with the Shop Council repre- sentative or representatives in his department, regularly scheduled meetings twice each month. b. The Shop Council representative and the foreman may at their discretion invite various members of the department con- cerned to participate in the business of the meeting. c. All matters that are not satisfactorily settled through these meetings will be brought jointly to the attention of the Plant Superintendent, and if not disposed of will subsequently be pre- sented to the Secretary and Chairman of the Shop Council, with a statement of the case to be established as a Shop Council item. d. Bi-monthly reports of the progress made in these meetings will be made by the foreman to the Plant Superintendent, who will further discuss the matters with those concerned and the department heads concerned. If the matter cannot be disposed of satisfactorily in that manner, a statement of the case shall be presented to the Council at its next meeting to determine the merits of the subject for establishment as a Council item. In order that an item may be established as such, it must be supported by a majority vote of the Council members present. When the case has thus been discussed in the Joint Meeting by em- ployee and management representatives, the Council may decide what its recommendations to the management shall be. Such recommenda- tions shall then be presented by the Secretary of the Council to the Manager-Relations and Utilities Department for final decision and disposition by the management. 798 DECISIONS OF NATIONAL LABOR RELATIONS BOARD 10. Appeals Whenever occasion for appeals arises, the Chairman of the Council shall appoint a Committee which shall meet with the Manager-Rela- tions and Utilities Department of the Company who shall have present two other representatives of the management. Matters may be referred to this joint committee for reconsideration only. 11. No discrimination There shall be no discrimination under this plan for or against any employee because of race, sex, political or religious affiliations or belief, or because of membership or non-membership in any lawful organization. 12. Amendments These Bylaws may be amended only by a vote of two-thirds of all employee representatives and provided that notice of all such proposed amendments has been posted for a period of two weeks immediately prior to such voting. 13. Discontinuance This plan may be terminated at any time by a vote of the majority of employees. APPENDIX B 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 assist, dominate, and contribute financial or other support to 'the Joint Shop Council, or any other labor organization. WE WILL NOT in any like or related manner interfere with the representation of our employees. WE HEREBY disestablish the Joint Shop Council as the repre- sentative of any of our employees for the purpose of dealing with us concerning grievances, labor disputes, wages, or rates of pay, hours of employment, or other terms or conditions of employment. WE WILL NOT recognize the Joint Shop Council or any successor thereto for any of the foregoing purposes. HOTPOINT DIVISION, GENERAL ELECTRIC COMPANY, 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. HOTPOINT DIVISION, GENERAL ELECTRIC COMPANY INTERMEDIATE REPORT AND RECOMMENDED ORDER 799 STATEMENT OF THE CASE This proceeding against Hotpoint Division, General Electric Company, herein called the Respondent or the Company, involves 8(a)(1) and (2) allegations, and was initiated by Peter J. Kornewich, herein called the Charging Party.' The hearing was conducted on January 12, 13, 14, and 15, 1960. The General Counsel and the Respondent filed briefs. Upon the entire record in the case, and upon his observations of the witnesses, the Trial Examiner makes the following: FINDINGS OF FACT 1. THE BUSINESS OF THE RESPONDENT The Respondent, a New York corporation, is engaged in the manufacture of various electrical appliances, and maintains a principal office and manufacturing plants in and around Chicago, Illinois, the only facilities involved in this proceeding. During the calendar year 1958, a representative period, the Respondent purchased raw materials, supplies, and equipment for its Chicago operations valued in excess of $500,000 from points outside the State of Illinois, and shipped finished products valued in excess of $1,000,000 to points outside the State of Illinois. II. THE LABOR ORGANIZATION INVOLVED The Shop Council is a labor organization within the meaning of the Act .2 III. THE UNFAIR LABOR PRACTICES A. The issues The issues presented are whether the Shop Council, hereinafter referred to as the Council, is a labor organization within the meaning of Section 2(5) of the Act, and, if the Council is a labor organization, whether the Company controlled, dominated, assisted, or interfered with the administration of, and contributed finan- cial or other support to, the Council in violation of Section 8(a)(1) and (2) of the Act. B. The findings and conclusions It is found 3 that the General Counsel has established that: 1. The Company has, since October 17, 1958, dealt with the Council which has been in existence for more than 25 years and functions in all its plants in the Chicago-Cicero area under certain bylaws entitled "Bylaws-Joint Shop Council" concerning grievances, wages, hours, and working conditions of its employees, excluding office clerical employees, plant guards, tool- and die-makers, machinists, and supervisors. 2. At no time during the past 25 years and at no time since October 17, 1958, did the Company's employees by vote accept the Council as their representative nor did the Company question the representative status of the Council. 3. Two of the Council's principal officials, the chairman and the secretary, spend practically their entire working time on council business without loss of compensation. 4. Since October 17, 1958, some council representatives of a group of about 40 employees have conducted meetings on company property about two times a month, and have met with management representatives in what are known as Joint Shop Council meetings about once a month for a monthly total of about 1 day's working time without loss of compensation. 5. Since October 17, 1958, Joint Shop Council meetings attended by council representatives and management representatives have been held on company prop- erty regarding wages, hours, and working conditions. Under the bylaws, in effect since October 17, 1958, these meetings are to be presided over by a representative of management. When the Company's policy as to the above matters is determined, I The caption as appears above is in a corrected form to conform to the proof as developed at the hearing. The original caption read, "Hotpoint Co., a Division of General Electric Company, and Peter Kornewich." 7 N.L R.B. v. Cabot Carbon Company, et al„ 360 U.S. 203. 3 As the Charging Party did not impress the Trial Examiner favorably as a witness, his testimony is not relied upon in making these findings. 800 DECISIONS OF NATIONAL LABOR RELATIONS BOARD under these bylaws, execution of the policy shall remain with management. These bylaws also provide that the chairman of the Council, who as has been noted is paid by and performs practically no other work for the Company, has the duty to follow iup all matters on which a decision has been reached or matters which are under consideration to see to it that proper action is taken. 6. The bylaws in effect since October 17, 1958, provide for the reporting to all council representatives of any results of dealings with the Company which affect the general employee group. There are no provisions in these bylaws for employee participation in the organization except for voting in the election of representatives; -to act as a representative of a voting division if he has more than 1 year's service with the Company and meets certain other qualifications and is elected; and to present matters to the Council through his representative providing the employee's foreman or superintendent has been informed of these matters 7. The Council has no funds, treasury, or income of its own and since October 17, 1958, the Company has provided printing, duplicating, and typing services for such matters as council meetings' notification cards, meeting minutes, ballots, and election notices, and the Company has also permitted the Council to use portions of certain of its bulletin boards. 8. Since October 17, 1958, the Company has provided the Council with space for an office at the plant, certain office furnishings, and telephone services. 9. Since October 17, 1958, council elections of representatives have been con- ducted on company property during working hours without loss of compensation to the employees who voted or to the council representatives or officials who con- ducted the elections and which representatives or officials spent about a day engaging in these activities. 10. In December 1958, the Company provided dinner and refreshments at an evening meeting with the Council. 11. Since October 17, 1958, the Company has had the power to bring about the removal from office of a councilman, as under the bylaws council representatives could lose their status when a company reorganization of a department is accom- plished in such a manner that the councilman is no longer able to maintain satis- factory contact with a portion of his constituents. It would follow, although there is no express provision therefore, that the Company has the power to bring about the removal of a representative by discharging him from its employment. It is accordingly concluded under the circumstances given above, particularly as the two principal officials of the Council are for all practical purposes the paid employees of the Company, that since October 17, 1958, the Company has assisted, supported, and dominated the Council and thereby violated Section 8(a) (2) and (1) of the Act? In all other respects it is recommended that the complaint be dismissed as not being supported by the record. 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 the operations of the Respondent described in section I, above, have a close, intimate, and substantial relation to trade and commerce among the several States, and tend to lead to labor disputes burdening and obstructing com- merce and the free flow of commerce. V. THE REMEDY Having found that the Respondent has engaged in unfair labor practices in viola- tion of Section 8(a)(1) and (2) of the Act, it will be recommended that the Re- spondent cease and desist therefrom and take certain affirmative action designed to effectuate the policies of the Act. Thus, having found that the Respondent assisted, supported, and dominated the Council, it will be recommended that the Respondent cease and desist from such conduct and that it withdraw recognition from and completely disestablish the Council as the representative of its employees for the purpose of dealing with it concerning grievances, labor disputes, wages, rates of pay, hours of employment, or other terms or conditions of employment, and that the Respondent refrain from recognizing the Council or any successor thereto, for any of the foregoing purposes. It is not intended by this remedy to prevent the employee, after the unfair labor 4 See, e g, Cabot Carbon Company, supra; Ben Corson Manafactureng Company, 112 NLRB 323; and The Carpenter Steel Company, 76 NLRB 670. DES MOINES ELECTROTYPERS' UNION NO. 84, ETC. 801 practices have been remedied and conditions for a free choice established, from adopting representation from their own ranks or any other kind of representation, if such is their genuine desire, unfettered by the Company's domination, assistance, or support. As the fiindings of interference, restraint, and coercion are derived from the Section 8(a) (2) violation, it will be recommended only that the Respondent cease and desist from engaging in like or related conduct interfering with the rep- resentation of its employees. Upon the basis of the foregoing findings of fact, and upon the entire record in the case, the Trial Examiner makes the following: CONCLUSIONS OF LAW 1. The Shop Council is a labor organization within the meaning of Section 2(5) of the Act. 2. By assisting, supporting, and dominating the Shop Council as heretofore described, the Respondent has engaged in and is engaging in unfair labor practices within the meaning of Section 8(a) (2) of the Act. 3. By such conduct the Respondent has interfered with, restrained, and coerced its employees in the exercise of rights guaranteed in Section 7 of the Act and thereby has 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 com- merce within the meaning of Section 2(6) and (7) of the Act. [Recommendations omitted from publication.] Des Moines Electrotypers' Union No. 84 and the International Stereotypers' and Electrotypers' Union of North America, AFL-CIO, Respondent Unions and Meredith Publishing Com- pany. Case No. 18-CD-20. August 24,1960 DECISION AND ORDER On June 22, 1960, Trial Examiner George L. Powell issued his Inter- mediate Report in the above-entitled proceeding, finding that the Respondents had engaged in and were engaging in unfair labor prac- tices and recommending that they cease and desist therefrom and take certain affirmative action, as set forth in the copy of the Inter- mediate Report attached hereto. Thereafter, the Respondents filed exceptions to the Intermediate Report and a brief in support thereof.' The Board 2 has reviewed the rulings of the Trial Examiner made at the hearing and finds that no prejudicial error was committed. The rulings are hereby affirmed. The Board has considered the Inter- mediate Report, the exceptions, the brief, and the entire record in the case, and hereby adopts the findings, conclusions, and recommenda- tions of the Trial Examiner. I The Respondents have requested oral argument. The request is denied as the record, including the exceptions and the brief, adequately presents the issues and the positions of the parties. '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 (Members Rodgers, Bean, and Fanning]. 128 NLRB No. 97.