160 NLRB 635
Wausau Steel Corp.
WAUSAU STEEL CORPORATION
635
5. The Board has considered the entire record in this case, includ-
ing the Hearing Officer's report and the Employer's exceptions
thereto and finds that the Employer's exceptions raise no substantial
or material issues of fact or law warranting reversal of the Hearing
Officer's findings and recommendation.2
Accordingly, we shall overrule the challange and direct that the
Regional Director open and count the challenged ballot of Elmer
Chesson, Jr., and prepare and serve on the parties a revised tally of
ballots and the appropriate certificate.
[The Board directed that the Regional Director for Region 5 shall,
within 10 days from the date of this Direction, open and count the
ballot of Elmer Chesson, Jr., and serve on the parties a revised tally
of ballots and an appropriate certificate.]
2 We adopt the Ffearing Officer's finding that Elmer Chesson, Jr , was tempor.ti fly laid
off with a reasonable expectation of recall in the foreseeable future as of 1lie eligibility
date and the date of the election, and his recommendation that the challenge to his ballot
therefore be overruled Although we do not adopt the neanng Officer's statement of opinion
that "such recall aould hate occurred within the fore<ceable future were it not for the
tact that the challenge to his ballot becamte determinative of the election results" this
does not affect the Hearing Officer's ultimate findings and recommendation not our adoption
thereof No unfair labor practice charges have been filed
Wausau Steel Corporation and Shopmen's Local Union #811, In-
ternational Association of Bridge, Structural and Ornamental
Iron Workers (AFL-CIO).
Cases 30-RC-358 and 30-CA-314.
August 19,1966
DECISION AND ORDER
On May 18, 1966, Trial Examiner Frederick U. Reel issued his
Decision in the above-entitled proceeding, finding that the Respond-
ent had engaged in and was engaging in certain unfair labor prac-
tices and recommending that it cease and desist therefrom and take
certain affirmative action, as set forth in the attached Trial Exam-
iner's Decision. Thereafter, the Respondent filed exceptions and a
supporting brief, and the General Counsel filed a brief in support
of the Trial Examiner's Decision.
Pursuant to the provisions of Section 3(b) of the National Labor
Relations Act, as amended, the National Labor Relations Board has
delegated its powers in connection with this case to a three-member
panel [Members Fanning, Brown, and Zagoria].
The Board has reviewed the rulings of the Trial Examiner made
at the hearing and finds that no prejudicial error was committed.
160 NLRB No. 47.
636
DECISIONS OF NATIONAL LABOR RELATIONS BOARD
The rulings are hereby affirmed. The Board has considered the Trial
Examiner's Decision, the exceptions and briefs, and the entire record
in this case and hereby adopts the findings," conclusions, and recom-
mendations of the Trial Examiner.
[The Board adopted the Trial Examiner's Recommended Order.]
'In view of the fact that the Union represented a majority of the employees in the
appropriate unit even if, as urged by the Respondent, tuo part-time janitorial employees
are included in the unit, we find it unnecessary to pass upon the correctness of the Trial
Examiner's finding excluding such employees. For similar reasons, we need not pass upon
the issues raised by Respondent's exceptions to the Trial Examiner's findings with respect
to certain of the authorization cards discussed In footnote 9 of his Decision.
TRIAL EXAMINER'S DECISION
STATEMENT OF THE CASE
This consolidated proceeding heard before Trial Examiner Frederick U. Reel, at
Wausau, Wisconsin,' on April 5 and 6, 1966, arises out of the efforts of the
Charging Party, herein called the Union, to organize the employees of the Respond-
ent, herein called the Company, in late October and November 1965.2 In Case
30-RC-358, the Union filed a petition for certification on November 4, lost a con-
sent election held November 22, and filed objections to conduct affecting the elec-
tion on November 24. On November 23 the Union filed an unfair labor practice
charge in Case 30-CA-314, and on January 4, 1966, a complaint issued in that
proceeding. The cases were consolidated pursuant to an order of the Board on
January 14, 1966. At issue, in addition to whether the election should be set aside,
are whether the Company, by interrogation, threats of reprisal for union activity,
and promises of benefit to employees to induce abandonment of the Union,
engaged in unlawful interference, restraint, and coercion violative of Section 8(a)
(1), and whether the Company's refusal to bargain with the Union violated Sec-
tion 8(a)(5) and (1) of the Act.
Upon the entice record, including my observation of the witnesses, and upon due
consideration of the briefs filed by General Counsel and the Company, I make
the following:
FINDINGS OF FACT
1. THE BUSINESS OF THE COMPANY AND THE LABOR ORGANIZATION INVOLVED
The Company, a Wisconsin corporation, engaged at Wausau in processing and
selling scrap metal and other products, receives annually in excess of $50,000 worth
of products directly from outside the State, and is engaged in commerce and in
operations affecting commerce within the meaning of Section 2(6) and (7) of the
Act. The Union is a labor organization within the meaning of Section 2(5) of the Act.
II.
THE UNFAIR LABOR PRACTICES INVOLVED
A. The Union obtains a "card mato, ity" and requests
recognition which the Company refuses
The Union started organizing at the end of October, led by employees Thatcher,
Hill, and Franson. By November 1, the Union had received authorization cards
from 29 of the 38 employees then in the bargaining unit authorizing the Union to
-"The record is hereby corrected at pages 1 and 185 to show the place of hearing as
Marathon County Courthouse, Wausau, Wisconsin
2 Except where otherwise indicated all dates herein refer to the year 1965
WAUSAU STEEL CORPORATION
637
act as their bargaining representative.3 The cards, captioned "AUTHORIZATION
FOR REPRESENTATION," stated that the employee did "hereby authorize and
designate [the Union] to act as [his] sole and exclusive agent and representative
for all purposes of collective bargaining, whether under the operation of the
National Labor Relations Act or otherwise." The card also recited that it was not
an application for membership.
On November 2, the Union wrote the Company, claiming majority status and
requesting recognition. The Company replied on November 4, stating that as the
Union had offered no evidence or proof of majority status and as the Company had
reason to doubt the Union's claim, the Company declined to extend recognition.
Shortly thereafter the Union and the Company agreed to a consent election, which
was held November 22, and which the Union lost, 21 to 17.
B. The speeches and letters of November 3 and 18
The Company learned of the Union's organizing drive on November 1 or 2.
Peter Wallach, vice president of the Company and son of the president, Theodore
Wallach, upon learning of the drive, promptly examined the Company's payroll
and discovered a number of what he and his father regarded as "inequities," i.e.,
instances in which employees were underpaid compared with other employees of
less seniority or inferior jobs. On November 3, Theodore Wallach addressed the
assembled employees, telling them that these inequities had been discovered and
would "be corrected very quickly," after the union matter was settled. He also told
them that the Company had been looking into the possibility of an employee insur-
ance plan; this was indeed a fact although the employees had not been apprised.
He told them that he could not divulge the plan at that time for fear of violating
the Act. Wallach stated that if the Union came in and labor costs went up, the
Company would cut overtime by hiring additional straight-time help and would
eliminate certain marginal operations. "I kid you not," Wallach told the employees,
adding that "Some of the men do not realize how good we have it and a change
is by no means necessarily to the better." Wallach also stated that he did not see
the need for a "third party" to come between the Company and the employees, as
his door was always open. The meeting concluded with Wallach' s reading a letter
which he thereafter mailed to each employee. The letter advised the employees of
their right to be for or against a union, and of their right, if they had already signed
a union card, to have it destroyed or returned to them. Referring to the "great
deal of overtime" which the employees worked, the letter continues : "We would
hate to have to reduce or eliminate such overtime pay. We think our employees
and the company are getting along together very well, and we hope a third party
such as a union is not placed between us and our employees and the fine relation-
ship we have enjoyed in the past."
On November 18 Theodore Wallach again assembled the employees and spoke
to them about the Union. His remarks were similar to those he delivered on Novem-
ber 3, in that he again mentioned that if advent of the Union meant higher wages,
the Company would have to reduce overtime and eliminate marginal operations.
On this occasion he mentioned that increased expenses might make it necessary to
sell the trucks and to close the new steel department. Wallach told the employees
that if the Union came in and obtained a 22- or 221/2-cent wage increase, he would
be forced out of business altogether. That figure was based on Wallach's own com-
putation of his profit and labor costs; it did not represent any demand of the
3 The parties agree that a production and maintenance unit, excluding office cleiicals,
technical and professional employees. guards, and supervisors, is appropriate The Company
contends that the unit should embrace two employees whose sole task is to perform jani-
torial services one-half day a week when the plant is closed. I believe they should be ex-
cluded from the unit (see Gafner Automotive & Machine, Inc., 156 NLRB 577, footnote 1 ;
J. Heber Lewis Oil Co., 123 NLRB 1115, 1116 ; Helms Motor Dmpres8, Inc., 107 NLRB 132,
135), and the fact that they voted without challenge in the election'does not preclude
the present inquiry into their unit placement. N.L.1t B. V. Montgomery Ward & Co., 242
F 2d 497, 501 (C A. 2). I note, however, that their inclusion in the unit would not affect
the Union's majority status. Another employee, Bronowitz, returned from military service
on November 5, after the Union's bargaining demand.,
. .
638
DECISIONS OF NATIONAL LABOR RELATIONS BOARD
Union, which had not been in contact with Wallach after its unsuccessful request
for recognition except to agree to a consent election.
As in the case of the earlier meeting, Wallach followed his speech with a letter
to each employee that same day. In the letter, after advising the employees of their
right to vote, Wallach stated:
No union can supply you with overtime or force the company to provide
overtime. Our margin of profit is so small that any substantial increase in our
costs would mean that we would operate at a loss and be forced to drop
major parts of our operations. We don't want this-and you don't either.
We intend, when this union matter is settled, to make proper adjustments
in wages and to establish a reasonable insurance program.
C. Interviews with individual employees
On Saturday, November 6, Theodore Wallach sent for employee Larry Hill to
come to the office. Wallach, telling Hill that he knew Hill was one of the three
most active employees in the union movement, inquired what complaints Hill and
the other employees had and why they wanted a union to represent them. To quote
the testimony of Peter Wallach, who was also present, "basically we were interested
to know why he was unhappy as he apparently was. What seemed to be bothering
him in our organization, what he thought should be or possibly would be changed
by having the Union, or just what should be changed, what he didn't like." Theo-
dore Wallach also told Hill that in the event of a raise in wages of 22 or 221/2
cents, the Company would have to lease the steel warehouse and lease its trucks.
Hill told Wallach that Hill's primary interest lay in retirement benefits. Wallach
replied that he had looked into insurance plans but that he "couldn't make any
promises or couldn't go into it any further at this time."
On Saturday, November 20, the last working day before the election, Theodore
Wallach went to where employee Kenneth Thomas was at work in the steel ware-
house, asked Thomas to accompany him to the office, and finding the janitor in the
office when they arrived, asked the janitor to leave. According to Thomas, Wallach
told Thomas, who had been employed only a few months,4 that, he "might have
been here long enough to have received your raise with the rest of the men."
According to Thomas, Wallach also stated that if the Union won the election, he
would have to cut the weekly hours to 40 and hire more men. Wallach testified
that Thomas had mentioned he was not in favor of the Union because lack of
seniority had caused him to lose his job with another employer whose employees
became unionized. Wallach recalled "having said in possibly different words that
this is a habit which unions do employ. They look for seniority." Wallach further
testified as to the Thomas interview:
Q. Did you tell him that if the Union got in you would have to cut the
hours down to 40 and eliminate the overtime?
A. Very conceivable. I do not recall.
Q. You discussed this with employees, this probability?
A. Yes, surely. Now, not when the Union came in, but when the expenses
caused by unionization would become too over-riding.
That same Saturday, employee Ronald Martin was in Wallach's office receiving
a telephone call. When the call was completed, Wallach asked Martin to sit down
as Wallach wanted to talk to him. According to Martin, Wallach said that if the
Union came in, Martin "would be one of the first ones to go." Wallach also stated
that if the Union came in and expenses were too high, the Company would shut
down certain
operations. On cross-examination, Martin testified that Wallach's
comment about letting Martin go followed a discussion
of Martin's lack of
seniority. Wallach denied having said Martin would be one of the first to go if
the Union came in, but thought it conceivable that he and Martin had discussed
seniority.
* Thomas testified he had been employed 7 or 8 months at the time of the hearing, and
2% months or a little longer at the time of the election.
WAUSAU STEEL CORPORATION
639
D. The election and its aftermath
The Union lost the election, 21 to 17.5 Promptly after the election, Theodore
Wallach assembled the employees, told them the Company harbored no ill-feeling
against the union supporters, and announced that the wage inequities would be
corrected, that a small pay raise would be provided for all employees, and that the
Company hoped soon to have various insurance proposals to discuss. The follow-
ing payday each employee received at least a 5-cent per hour increase, retroactive
for 1 week, and 20 employees in the unit (plus the two janitors) received larger
increases. The larger increases, according to the testimony of Peter Wallach, were
to correct the inequities he had discovered. The Union filed its objections and
charge shortly thereafter, and on December 9 the Company wrote the employees
that it could not disclose its insurance plan or put it into effect while the charges
growing out of the election were pending.
E. Concluding findings
1. Interference
The Act proscribes interference by an employer with his employees' right to
select a union to represent them. As Judge (later Mr. Justice) Minton stated for
the Seventh Circuit in N.L.R.B. v. W. A. Jones Foundry & Machine Co., 123 F.2d
552, 555 (C.A. 7), "Employee organization was a matter of concern of the employ-
ees. The employer has no more right to intrude himself into the employees' efforts
to organize and select their representatives to represent them in collective bargain-
ing than the employee would have to intrude himself into a stockholder' s meeting
to interfere with the election of the Company's directors ...:. But Congress in
the 1947 amendment expressly recognized that an employer's statements of views,
argument, and opinion would not constitute or be evidence of unlawful interference
if such statements contained no threat of reprisal or force or promise of benefit.
Even if, as the Seventh Circuit has twice stated, this amounted to "no more than a
restatement of the principles embodied in the First Amendment,"
(N.L.R.B. v.
La Salle Steel Co.,
178 F.2d 829, 835 (C.A. 7), cert. denied 339 U.S. 963;
N.L.R.B. v. Kropp Forge Co, 178 F.2d 822, 828 (C.A. 7), cert. denied 340 U.S.
810), it seems clear that if Theodore Wallach stayed within the realm of "views,
argument or opinion" and if he uttered no threats or promises, his conduct did not
violate Section 8 (a) (1) . It should also be noted that from the outset Wallach had
the benefit of, and was guided by, able counsel. There can be no doubt that Wal-
lach, with counsel's guidance, wanted to do all he could to defeat the Union and yet
stay within legal limits. Of course, there is nothing unlawful in such an attitude;
Congress has laid down the rules, and an employer who keeps within them may go
to the very brink and yet not fall into the pit of violation. One who engages in
"brinkmanship" runs a risk, of course, but the burden of proving the violation rests
on General Counsel. The question here is whether he met that burden, or whether
Wallach's statements stayed within the limits of views, arguments, and opinion,
unsullied by threats or promises.
Certainly the repeated promise to the employees that wage inequities would be
promptly corrected constituted a promise of benefit, not protected by Section 8(c),
and condemned as interference by Section 8 (a)( 1 ). These inequities were only dis-
covered because the Company heard of the union drive. Wallach immediately prom-
ised to correct them in his speech of November 3, and repeated the promise in his
leter of November 18. The mere fact that the Company characterized them as
"inequities" does not alter the simple fact that Wallach was promising wage
increases to a number of employees. Even if the statement be viewed as a promise
to rectify grievances rather than to grant a wage increase, it violated the Act.
N.L.R.B. v. Larry Faul Oldsmobile Co., Inc., 316 F.2d 595, 597 (C.A. 7).
Although I am not altogether free from doubt, I reach an opposite conclusion
with respect to Wallach's mention -of the insurance program in his letters and
5 The two janitors described in footnote 3,
supra,
both voted in the election, a^ did
the employee just returned from military service. They were not included in the group of
29 card signers described above, and the Company urged their inclusion in the bargaining
unit
640
DECISIONS OF NATIONAL LABOR RELATIONS BOARD
speeches. To be sure, the insurance program would not have been mentioned at
that time but for the union campaign . Unlike the wage corrections, however, the
insurance program was not directly spawned by the campaign, as the Company had
been consulting with a local insurance agent on the subject. Under these circum-
stances, when a union appeals to the employees on the basis that they have no such
protection an employer should be free to reply, truthfully, that he has been pre-
paring an insurance program.
In his speeches and letters Wallach repeatedly referred to the possibility that
advent of the Union would result in elimination of overtime and closing down parts
of the business with resultant loss of employment. Had this been badly stated, it
would unquestionably have violated the Act as a threat of reprisal for union activ-
ity. The Company contends, however, that Wallach was careful to state that such
unpleasant prospects were in store if the Union came in and wages rose appre-
ciably as a result thereof. He also stated that if the increase'was as much as 22 or
221/2 cents per hour he would be forced out of business. I find as a fact that Wal-
lach did condition his oral threats to retrench or to abandon the business not on
the advent of the Union alone, but on a resultant wage increase . Even thus condi-
tioned, however, I find on the record of this case that Wallach's remarks exceeded
permissible limits.
In the first place it is nothing but a truism to state that if labor costs or any
other costs go up too much, an operation becomes unprofitable. The sole purpose
of reciting this self-evident fact in the context of an antiunion speech is to instill in
employees the fear that this will be the consequence of a union victory. Yet for all
Wallach knew, the union demands might not have exceeded the basic 5-cent raise
and correction of "inequities" he granted later that month. In any event advent of
the Union would have meant only that Wallach had to bargain over wage demands,
not that he had to grant increases which would have caused elimination of overtime
or abandonment of all or part of his business.
The speeches were plainly calculated to convey to the listeners that advent of
the Union was linked in some way with loss of income. A careful, trained auditor
might have detected the conditions which Wallach interposed in an effort to keep
his remarks within the law. But even such an auditor would have as his permanent
record of the the Company's views not the text of the speech but that of the letter
sent all employees on November 3. And this letter, while it deals with the Union
and with overtime pay, is devoid of any suggestion that the threatened loss of
overtime is geared to the grant of an exorbitant wage increase . On the contrary,
after discussing the Union and the election, the letter adverts to the "great deal of
overtime pay" the employees receive and then states, without any further reference
to union demands or wage rates: "We would hate to have to reduce or eliminate
such overtime pay." I find, therefore, that Wallach 's
letters and speeches were
intended to, and did, interfere with employees in the exercise of their Section 7
rights, and that in the context of the entire record, they exceeded the limits per-
mitted an employer by Section 8(c). The promises of wage adjustments and threats
of loss of overtime distinguish this case from the Seventh Circuit decision in
N.L.R.B. v. Mallory Plastics Co., 355 F.2d 509 (C.A. 7), and Indiana Rayon Corp.
v. N.LR.B, 355 F.2d 535 (C.A. 7), cited by the Company. See also Iowa Beef
Packers, Inc., 144 NLRB 615, 616-617.
Likewise violative of Section 8(a)(1) were Wallach's interviews with Hill and
Thomas. Hill was summoned to the office, where he was told that the Company
knew he was one of the union leaders, and where he was subjected to interrogation
as to the causes of employee dissatisfaction leading to the union movement. An
employee has a right to engage in union activity without being summoned to his
employer's office for interrogation apparently designed to give the employer infor-
mation for use in combating the Union.6 Thomas was summoned to the office the
last working day before the election and was told that notwithstanding his brief
tenure with the Company he might be in line for a raise with the rest of the men.
0 General Counsel urges that the interview with Hill also was unlawful in that Wallach
created an impression of surveillance in identifying Hill as a union leader. But Hill s
activity, like that of Franson and Thatcher, was open and notorious. Besides the complaint
alleges no such violation. Cf. Poray, Inc., 143 NLRB 617.
WAUSAU STEEL CORPORATION
641
Wallach then told him that advent of the Union would result in loss of overtime;
Thomas' version of the conversation does not contain the qualification that this
would happen if wages went up, but Wallach testified that he always inserted this
qualification. According to Wallach, Thomas volunteered that he was opposed to
the Union because of his low seniority. Even accepting Wallach's version where it
contradicts that of Thomas, we have at the very least an employer summoning an
employee to the office on the eve of an election to tell him that he may soon get a
wage increase. The interference is patent.
I find that in his interview with Martin, Wallach's reference to Martin's job
being vulnerable if the Union came in occurred in the course of a permissible refer-
ence to Martin's low seniority. Insofar as Wallach repeated to Martin what Wal-
lach had said in his speeches concerning cutbacks if the Union came in and
expenses increased, I find the statement violative of the Act for the reasons set
forth above with respect to the speeches.?
2. Refusal to bargain
As noted above, the Union obtained authorization cards from 29 employees in a
bargaining unit of 39 (as I find) or of 41 (as the Company contends). The Com-
pany introduced testimony designed to establish that six cards (those of Pflieger,
Whipper, Pergolski, Bousley, Boruch, and Kolubako) should not be counted. Even
if those six cards are disregarded, the Union's majority status is unaffected.8 The
Company contends that the testimony of five of these employees shows that the
Union's method of obtaining signatures casts doubt on the validity of all the cards.
However, I do not think it appropriate to indulge in the presumption for which
the Company contends. Possibly such an argument would carry weight if the num-
bers were such that the employer could not reasonably be expected to call as wit-
nesses a sufficient number to destroy the majority, and if a wider sampling were
presented showing more pervasive misrepresentation by the Union. But here, where
the Union's majority as of November 2 could have been dissipated by knocking out
10 cards, it is not too much to require the Company to put on detailed proof rebut-
ting the presumption arising from the ambiguous language on the cards. (The
examination of the five employees covered less than 30 pages of the transcript and
7 General Counsel alleges that the Company s grant of wage uicreace^ and the promise
of insurance benefits at the postelection meeting on No%ember 22 violated Section 8(a) (1)
and that the announcement on December 9 that the Union's objections were delaying the
insurance program likewise violated that section It the matters heretofoie discussed were
not violative of the Act, the election would have been valid, and I would find no viola-
tion (or at the least none warranting remedial relief) in the grant of benefits on Novem-
ber 22 Since I have found violations prior to this date, and as discussed,
tmajra, would
remedy them with a bargaining order, I see no need to discuss whether the grant of bene-
fits after the election was a further violation of Section 8(a) (1). (As unilatral action at
a time when bargaining was required, it was a technical violation of Section 8(a) (5)
stemming from the Company's overall position that it was under no duty to bargain )
As to the December announcement, I again find no violation calling for remedial relief.
The Company was in a difficult position, for if it continued with its insurance plan atter
being notified of the objection to the election, it could be reasonably certain that charges
would be filed alleging that it was improperly trying to
influence the employees in the
event of a second election As the bargaining order hereinafter recommended will cover
the situation by requiring the Company to bargain at the Union 's request on an in suiance
program and by preventing unilateral imposition of a program without bargaining, I see
no need to go into the question whether the Company' s announcement of December 9 was
violative of the Act. General Counsel also alleges a violation of Section 8(a) (1) in Theodore
Wallach's inquiry on November 1 of employee Lloyd Kees as to whether Bees had "heard
any rumors about a union starting." Kees replied that he had, and Wallach remarked only
that he was against it but there was nothing he could do about it Kees was in the office
on other business at the time. I regard the episode as too trivial to warrant a finding of
unlawful interrogation.
8 The challenge to Kolubako's card is particularly weak ; it rests only on the testimony of
other employees that Kolubako' s understanding of English is limited. This gives rise to
no more reason to challenge his card than to challenge his vote in the election
257-551-67-vol. 16 0-4 2
642
DECISIONS OF NATIONAL LABOR RELATIONS BOARD
consumed less than an hour.) Cf. Atco-Surgical Supports, Inc, 157 NLRB 551,
553, footnote 2.9
Under well-settled authority, where a union has obtained authorization cards
from a majority of the employees and the employer thereafter engages in unfair
labor practices which prevent the holding of a fair election, he cannot be heard to
say that he doubted the Union's majority in good faith, and a bargaining order
will issue. In the instant case the Company contends that the Union never proffered
the authorization cards as proof of its majority, and that this circumstance, partic-
ularly when coupled with the Union's tender of similar cards on an earlier occa-
sion, led the Company to doubt the Union's claim. This defense might well have
been available had the Company refrained from unfair labor practices, but on this
record the Company's illegal conduct precludes its assertion of a good-faith doubt.
Cf. N.L.R.B. v. Frank C. Varney Co., 359 F.2d 774 (C.A. 3). Moreover, the Com-
pany having foreclosed by illegal conduct the customary means of resolving majority,
the proof of majority status may be made by cards, and in the light of such proof a
bargaining order is appropriate to restore the status existing prior to the violation
of Section 8 (a) (1), even assuming arguendo that the record did not warrant a finding
of unlawful refusal to bargain. See, e.g, N.L.R.B. v. Delight Bakery, Inc., 353 F 2d
344, 347 (C.A. 6), and cases there cited; Local 152 v. N.L.R.B., 343 F 2d 307, 309
(C.A.D.C.), and cases there cited. This is not to say that any minor infringement of
Section 8(a)(1) would warrant such relief But here the promises of benefit, the
threats, and the coercive interviews can scarcely be termed minor; indeed their
obvious purpose was to thwart the employees' effort to organize.
9 Although elimination of all five cards would not affect the Union's majority, I sum-
marize here all the evidence and my conclusions with respect to the five employees in
question :
1. Pflieger testified that Thatcher got him to sign card by representing that over 90 per-
cent of the yard had signed. Admitted it was "possible" (as Thatcher had testified) that
Thatcher had said over 90 percent of the people Thatcher had spoken to had signed Told
Thatched that same day (October 30, before any unfair labor practices) in the course of
a vigorous argument that he was against the Union, and hence in effect promptly repudiated
his designation. For that reason, I would not count Pflieger's card.
2
Whippler testified that Thatcher told him, before he signed the card, that the pur-
pose of the card was "just to get a vote to see if there was enough to have a vote for a
union." Thatcher did not recall saying that to Whippler and denied that in soliciting
generally he said the purpose of the card was to have an election. Whippler, like Pflieger,
claimed "misrepresentation" as to 90 percent having signed, and also testified that Thatcher
said Wallach knew of, and approved of, the union campaign. Whippler sought return of
his card a week later (after the unfair labor practices and after the demand for recogni-
tion). The question whether to count Whippler's card turns on resolution of the credibility
issue between Thatcher and Whippler. I find it unnecessary to resolve that issue at this
time, but note for the record that both men are still employed by the Company, that
Whippler first mentioned the "just for a vote" statement in connection with his effort
to recover his card, and that Pflieger, who was present at the soliciting of Whippler, testi-
fied that Thatcher had not stated what the purpose was of getting the cards signed.
3. Pergolski testified that Hill, soliciting his signature, told him to sign if he wanted
to hear what the Union had to offer, "so I signed the card." Also testified that Hill said
he had "90 percent of the west end" signed. Hill testified that he might have said we
have quite a few signed up, but denied using any such percentage. I would count Pergolski's
card, as, by his testimony, Hill's "puffing" statement of percentages, assuming it was made,
was not a factor in the card signing. See Harry Epstein, et al. d/b/a Top Mode Manufac-
turing Co., 97 NLRB 1273, 1296, enfd. 203 F.2d 482 (C.A. 3), cert. denied 347 U S. 912.
4. Bousley testified that Franson, soliciting his signature, said that Wallach knew about
it, that "It didn't mean a thing," and that "It was just to see how many men they could
get to join the Union and it didn't mean nothing if we signed it " Bousley unsuccessfully
sought the return of his card a week later (after the commission of unfair labor practices,
and after the demand for recognition), testifying that he had learned on a visit to another
scrap yard that the Union would not benefit him. I would count Bousley's card.
5. Boruch testified that Hill, soliciting his card, said the Union needed 52 percent of the
employees to sign cards in order to get an election, and that the card meant nothing
"unless we got enough to get an election." Hill did not recall talking to Boruch, but testi-
fied that he told the employees he solicited that the card was self-explanatory and "there
would probably be an election." I would be inclined to count Boruch's card
WAUSAU STEEL CORPORATION
643
CONCLUSIONS OF LAW
Respondent by promising benefits to its employees to induce them to oppose
unionization, by threatening reprisals if the Union became the bargaining repre-
sentative, and by coercive interrogation into the reasons for employee support of
the Union engaged in unfair labor practices affecting commerce within the meaning
of Sections 8(a)(1) and 2(6) and (7) of the Act.
2. By refusing to bargain with the Union as representative of the employees in
the agreed appropriate bargaining unit, the Company engaged in an unfair labor
practice affecting commerce within the meaning of Sections 8(a)(5) and (1) and
2(6) and (7) of the Act.
THE REMEDY
I shall recommend an order directing the Company to cease and desist from its
unfair labor practices, to bargain with the Union upon request (a provision I would
include to remedy the violation of Section 8(a) (1) even had there been no viola-
tion of Section 8(a) (5) ), and to post appropriate notices.
I further recommend that the election conducted in Case 30-RC-358 be set
aside, that the petition therein be dismissed, and that all proceedings pursuant
thereto be vacated.
Accordingly, on the basis of the foregoing findings and conclusions, and on the
entire record, I recommend, pursuant to Section 10(c) of the Act, issuance of the
following:
ORDER
A. Respondent, Wausau Steel Corporation, its officers,
agents, successors, and
assigns, shall:
1. Cease and desist from:
(a) Refusing to bargain with Shopmen's Local Union #811, International Asso-
ciation of Bridge, Structural and Ornamental Iron Workers (AFL-CIO), as the
exclusive representative of the employees in the following appropriate unit:
All production and maintenance employees of the Respondent at its Wausau,
Wisconsin, plant, excluding office clerical employees, technical employees, and
professional employees, guards and supervisors as defined in the Act.
(b) Expressly or impliedly threatening its employees with loss of employment,
loss of benefits, or closing of the plant because of their choice of a collective-
bargaining representative.
(c) Promising employees benefits in an effort to persuade them to reject the
Union as their bargaining representative.
(d) In any like or related manner interfering with, restraining, or coercing its
employees in the exercise of their rights under Section 7 of the Act.
2. Take the following affirmative action necessary to effectuate the policies of the
Act:
(a) Upon request, bargain collectively with the above-named Union as the exclu-
sive representative of all employees in the above-described appropriate unit, and
embody in a signed agreement any understanding reached.
(b) Post at its plant at Wausau, Wisconsin, the attached notice marked "Appen-
dix." 10 Copies of such notice to be furnished by the Regional Director for Region
13, after being signed by an authorized representative of the Respondent, shall be
posted immediately upon the receipt thereof, and be mainained by it for a period of
60 consecutive days thereafter, in conspicuous places, including all places where
notices to employees are customarily posted. Reasonable steps shall be taken by the
Respondent to insure that such notices are not altered, defaced, or covered by any
other material.
10 In the event that this Recommended Order is- adopted by the Board, the words "a
Decision and Order" shall be substituted for the words "the Recommended Order of a Trial
Examiner" in the notice. In the further event that the Board's Order be enforced by a
decree of a United States Court of Appeals, the words "a Decree of the United States
Court of Appeals Enforcing an Order" shall be substituted for the words "a Decision
and Order."
644
DECISIONS OF NATIONAL LABOR RELATIONS BOARD
(c) Notify the said Regional Director, in writing, within 20 days from the date
of its receipt of this Decision, what steps the Respondent has taken to comply
herewith."
B. The election in Case 30-RC-358 is set aside, and that proceeding is hereby
vacated.
"In the event that this Recommended Order is adopted by the Board• this provision
shall be modified to read "Notify said Regional Director, in writing, within 10 days from
the date of this Order, what steps the Respondent has taken to comply herewith."
APPENDIX
NOTICE TO ALL EMPLOYEES
Pursuant to the Recommended Order of a Trial Examiner of the National Labor
Relations Board, and in order to effectuate the policies of the Naional Labor Rela-
tions Act, as amended, we hereby notify our employees that:
WE WILL bargain upon request with Shopmen's Local Union #811, Interna-
tional Association of Bridge, Structural and Ornamental Iron Workers (AFL-
CIO), as the exclusive representative of our production and maintenance
employees.
WE WILL NOT threaten to close all or part of the plant or to reduce over-
time because of our employees' choice of a collective-bargaining representative.
WE WILL NOT promise benefits to our employees in an effort to cause them
to reject the Union as their bargaining representative.
WE WILL NOT in any like or related manner interfere with our employees in
the exercise of their right to join or assist a labor organization, to bargain col-
lectively, or to engage in concerted activities for mutual aid or protection.
WAUSAU STEEL CORPORATION,
Employer.
Dated-------------------
By-------------------------------------------
(Representative)
(Title)
This notice must remain posted for 60 consecutive days from the date of posting,
and must not be altered, defaced, or covered by any other material.
If employees have any question concerning this notice or compliance with its pro-
visions, they may communicate directly with the Board's Regional Office, Room
230, Commerce Building, 744 North Fourth Street, Milwaukee, Wisconsin 53203,
Telephone 272-8600, Extension 3866.
Signal Oil and Gas Company and Teamsters, Chauffeurs, Ware-
housemen & Helpers Local 87, International Brotherhood of
Teamsters, Chauffeurs, Warehousemen & Helpers of America.
Case 31-CA-2O7.
August 24,1966
DECISION AND ORDER
On May 18,'1966, Trial Examiner Louis S. Penfield issued his
Decision in the above-entitled proceeding, finding that the Respond-
ent had engaged in certain unfair labor practices and recommending
that it cease and desist therefrom and take certain affirmative action,
as set forth in the attached Trial Examiner's Decision. Thereafter,
the Respondent filed exceptions to the Trial Examiner's Decision
and a supporting brief.
160 NLRB No. 51.