169 NLRB 683
Local Joint Executive Board of Las Vegas
LOCAL JOINT EXECUTIVE BOARD OF LAS VEGAS
683
Local Joint Executive Board, Bartenders and Culina-
ry Workers of Las Vegas and Vicinity, Subordinate
to the Hotel, Restaurant Employees and Barten-
ders International Union, AFL-CIO;
Culinary
Workers Union, Local No. 226; and Bartenders
Local No. 165 and Holiday Inns of America, Inc.,
d/b/a Holiday Inn of Las Vegas. Case 31-CP-19
February 5, 1968
DECISION AND ORDER
By CHAIRMAN MCCULLOCH AND MEMBERS
FANNING AND BROWN
On February 1, 1967, Trial Examiner Maurice
Alexandre issued his Decision in the above-entitled
proceeding, finding that the Respondents had not
engaged in the unfair labor practices alleged in the
complaint and recommending that the complaint be
dismissed in its entirety, as set forth in the attached
Trail Examiner's Decision. Thereafter, the Charg-
ing Party and the General Counsel filed exceptions
to the Trial Examiner's Decision and briefs in sup-
port thereof, and Respondents filed an answering
brief.
Pursuant to the provisions of Section 3(b) of the
National Labor Relations Act, as amended, the Na-
tional Labor Relations Board has delegated its
powers in connection with this case to a three-
member panel.
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
Trial Examiner's Decision, the exceptions and
briefs, and the entire record in the case, and hereby
adopts the findings, conclusions, and recommenda-
tions of the Trial Examiner, only to the extent con-
sistent herewith.
Shortly after opening its_ motel in the Las Vegas
area, the Employer received a letter from Respond-
ents, dated September 1, 1965, in which Respond-
ents notified the Employer that. Respondents had
a collective-bargaining contract with all hotels in
the Las Vegas area and requested that Employer
become a signatory to -this agreement. On or about
September 22, 1965, Respondents' representatives
met with the Employer, and requested recognition
and a collective-bargaining agreement. The Em-
ployer refused. No picketing took place at this time.
On March 2, 1966,E Respondents sent the Em-
ployer a letter in which they stated that they had in-
formation that the Employer was not adhering to
the area wage standards, thereby threatening the
benefits of Respondents' members. Enclosed in this
letter were copies of the collective-bargaining con-
tract
Respondents had with other local hotel
owners and the health and welfare programs con-
tained in that contract. The letters stated that
Respondents would be glad to answer all questions
involving existing area standards but warned the
Employer that if these standards were not adhered
to, the Employer would be picketed. The Employer
called Respondents on_ March 10, and a meeting
was arranged between Respondents and the Em-
ployer for March 14. At this meeting the Employer
claimed it did not understand Respondents' letter;
Respondents replied that the letter was self-ex-
planatory. Picketing began on March 19; Respond-
ents' pickets carried a sign that stated, "Em-
ployees of Holiday Inn do not receive wages and
conditions standard to our area Culinary Workers
Union Local 226, and Bartenders Union Local
165."
On April 13, the Employer filed an 8(b)(7)(C)
charge and a petition for an election. On May 2, the
Respondents notified the Regional Director that
they had no interest in representing the hotel's em-
ployees. In a letter, dated May 17, the Regional
Director notified the parties that pursuant to Sec-
tions 8(b)(7)(C) and 9(c) an expedited election
would be held. On May 24, the Respondents again
notified the Regional Director of their lack of in-
terest in representing the employees. The election
took place on May 24; and Respondents lost.
Respondents objected to the election, alleging it to
be a nullity. The Regional Director overruled the
objection. On June 16, Respondents requested the
Board to review the Regional Director's Decision.
On- June 28, the Board denied the request for
review. On September 2, the district court enjoined
the picketing which had continued since March 19.
The Trial Examiner concluded that a preponder-
ance of the credible evidence failed to show that
Respondents' postelection picketing was to obtain
recognition or had any other forbidden object under
Section 8(b)(7), and hence failed to establish a
violation of Section 8(b)(7)(B). Essential to this
conclusion is the Trial Examiner's subsidiary find-
ing that the purpose of Respondents' picketing was
solely to enforce the Employer's adherence to
prevailing area standards. We do not agree.
In their March 2 letter to the Employer, Respond-
ents enclosed copies of their collective-bargaining
agreement with other local employers and of the
health and welfare program established thereunder.
The letter asserted that the Employer's failure to
observe the fair standards posed a threat to the
"wages and conditions" enjoyed by members of the
Union, and then went on to say:
Accordingly, we have decided to advise you of
the nature of these prevailing standards and de-
' All dates hereinafter mentioned relate to 1966 unless otherwise in-
dicated.
169 NLRB No. 102
684
DECISIONS OF NATIONAL LABOR RELATIONS BOARD
mand thay you meet them promptly for your
employees; and that you thereafter maintain
such standards in effect at all times. For this
purpose you will find enclosed herewith a copy
of the health and welfare program established
under said agreement.
In presenting this evidence of prevailing stan-
dards it should be clearly understood that while
we expect you to observe the wages, hours, and
other benefits set forth in these documents, we
do not expect or seek any collective bargaining
relationship with your firm. [Emphasis suppli-
ed.
Further, on March 14, at a meeting between the
Employer and Respondents, in response to the Em-
ployer's statement that he did not understand the
letter of March 2, Respondents replied, "The letter
is self-explanatory"; and nothing more was said.
From the foregoing, and considering also Respond-
ents' lack of interest in ascertaining from the Em-
ployer whether the latter's employment conditions
and benefits did, or did not, meet the area stand-
ards, we conclude that the Respondents' true ob-
ject was to require and maintain the identical em-
ployment terms and benefits as defined in the
Respondents' contracts with other hotel owners in
the area. Such a requirement clearly reflects a pur-
pose to impose a bargaining relationship on the Em-
loyer, contrary to the provisions of Section 8(b)(7)
of the Act.2 It therefore follows that the picketing
which occurred in furtherance of that objective was
violative of Section 8(b)(7)(B) of the Act. We so
find.
THE REMEDY
Having found that Respondents have engaged in
unfair labor practices in violation of Section
8(b)(7)(B) of the Act, we shall order them to cease
and desist therefrom and take certain affirmative
action designed to effectuate the policies of the Act.
CONCLUSIONS OF LAW
1. Holiday Inns of America, Inc., d/b/a Holiday
Inn of Las Vegas, is an employer engaged in com-
merce within the meaning of Section 2(6) and (7) of
the Act.
2. Respondents, Local Joint Executive Board,
Bartenders and Culinary Workers of Las Vegas and
Vicinity, subordinate to the Hotel, Restaurant Em-
ployees
and
Bartenders International
Union,
AFL-CIO; Culinary Workers Union, Local No.
226; and Bartenders Local No. 165, are each labor
organizations within the meaning of Section 2(5) of
the Act.
2See State-Mart, Inc., dlbla Giant Food, 166 NLRB 818; see also
Centralia Building and Construction Trades Council, 155 NLRB 803,
enfd. 363 F.2d 699 (C.A.D.C.).
S In the event that this Order is enforced by a decree of a United States
3. Respondents, by picketing Holiday Inns of
America, d/b/a Holiday Inn of Las Vegas, at Las
Vegas, Nevada, with the object of forcing or requir-
ing Holiday Inn to recognize or bargain collectively
with Respondents as representatives of its em-
ployees, or forcing or requiring said employees to
accept or select Respondents as their collective-
bargaining representatives,
when valid election
under Section 9(c) of the Act had been held within
the preceding 12 months which the Respondents
did not win, have engaged in an unfair labor practice
within the meaning of Section 8(b)(7)(B) of the Act.
4. The aforesaid unfair labor practices affect
commerce within the meaning of Section 2(6) and
(7) of the Act.
ORDER
Pursuant to Section 10(c) of the National Labor
Relations Act, as amended, the National Labor
Relations Board hereby orders that the Respond-
ent, Local Joint Executive Board, Bartenders and
Culinary Workers of Las Vegas and Vicinity, sub-
ordinate to the Hotel, Restaurant Employees and
Bartenders International Union, AFL-CIO; Culi-
nary Workers Union, Local No. 226; and Barten-
ders Local No. 165, their officers, agents, and
representatives, shall:
1.
Cease and desist from picketing, or causing to
be picketed, or threatening to picket, Holiday Inns
of America, Ic., d/b/a Holiday Inn of Las Vegas,
where an object thereof is to force or require
Holiday Inns of America, Inc., d/b/a Holiday Inn
of Las Vegas, to recognize or bargain collectively
with Respondents or to force or require the em-
ployees of Holiday Inns of America, Inc., d/b/a
Holiday Inn of Las Vegas, to accept or select
Respondents
as
their
collective-bargaining
representatives
where within the preceding 12
months a valid election under Section 9(c) of the
Act has been conducted which Respondents did not
win.
2. Take the following affirmative action which
we find will effectuate the policies of the Act:
(a) Post at Respondents' business offices and
meeting halls copies of the attached notice marked
"Appendix."3 Copies of said notice, on forms pro-
vided by the Regional Director for Region 31, after
being duly signed by an official representative of
Respondents, shall be posted by Respondents im-
mediately upon receipt thereof, and be maintained
by them for 60 consecutive days thereafter, in con-
spicuous places, including all places where notices
to members are customarily posted. Reasonable
steps shall be taken by Respondents to insure that
Court of Appeals, there shall be substituted for the words "a Decision and
Order" the words "a Decree of the United States Court of Appeals En-
forcing an Order."
LOCAL JOINT EXECUTIVE BOARD OF LAS VEGAS
said notices are not altered, defaced, or covered by
any other material.
(b) Mail to the Regional Director for Region 31
signed copies of the aforementioned notice for post-
ing by Holiday Inns of America, Inc., d/b/a Holiday
Inn of Law Vegas , if it is willing, in places where
notices to employees are customarily posted. Co-
pies of said notice , to be provided by the Regional
Director,
after being signed by Respondents'
representative
as indicated,
shall
be returned
forthwith to the Regional Director for disposition
by him.
(c) Notify the Regional Director for Region 31,
in writing,..within 10 days from the date of this
Order, what steps have been taken to comply
herewith.
APPENDIX
NOTICE TO ALL MEMBERS OF LOCAL JOINT EX-
ECUTIVE BOARD , BARTENDERS AND CULINARY
WORKERS OF LAS VEGAS AND VICINITY, SUBOR-
DINATE TO THE HOTEL, RESTAURANT EM-
PLOYEES AND
BARTENDERS
INTERNATIONAL
UNION,
AFL-CIO;
CULINARY
WORKERS
UNION, LOCAL No. 226;
AND BARTENDERS
LOCAL No. 165, AND TO ALL EMPLOYEES OF
HOLIDAY INNS OF AMERICA, INC. D/B/A
HOLIDAY INN OF LAS VEGAS
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 give notice that:
WE WILL NOT picket, or cause to be
picketed, or threaten to picket, Holiday Inns of
America, d/b/a Holiday Inn of Las Vegas,
where an object is to force or require Holiday
Inns of America, Inc., d/b/a Holiday Inn of
Las Vegas, to recognize or bargain with us, or
to force or require the employees of the
aforesaid Company to accept or select us as
their
collective-bargaining
representative,
where a valid election, which we did not win,
has been conducted by the National Labor
Relations Board among the employees of
Holiday Inns of America, Inc., d/b/a Holiday
Inn of Las Vegas, within the preceding 12
months.
LOCAL JOINT EXECUTIVE
BOARD, BARTENDERS
AND CULINARY
WORKERS OF LAS VEGAS
AND VICINITY,
SUBORDINATE TO THE
HOTEL, RESTAURANT
EMPLOYEES AND
Dated
By
Dated
By
Dated
By
685
BARTENDERS
INTERNATIONAL UNION,
AFL-CIO
(Labor Organization)
(Representative)
(Title)
CULINARY WORKERS
UNION, LOCAL No. 226
(Labor Organization)
(Representative)
(Title)
BARTENDERS LOCAL No.
165
(Labor Organization)
(Representative)
(Title)
This notice must remain posted for 60 consecu-
tive days from the date of posting and must not be
altered, defaced, or covered by any other material.
If members have any question concerning this
notice or compliance with its provisions, they may
communicate directly with the Board's Regional
Office, 10th Floor, Bartlett Building, 215 West
Seventh Street, Los Angeles, California 90014,
Telephone 688-5851.
TRIAL EXAMINER' S DECISION
STATEMENT OF THE CASE
MAURICE ALEXANDRE, Trial Examiner: This matter
was heard before me at Las Vegas, Nevada, on
November 17, 1966, upon the complaint of the General
Counsel of the National Labor Relations Board, issued
on August 30, 1966,1 alleging that the Respondents had
violated Section 8(b)(7)(B) of the National Labor Rela-
tions Act, as amended. In their answer, Respondents de-
nied the commission of any unfair labor practices. The
issue presented is whether or not picketing engaged in by
Respondents was unlawful because it had recognition as
one of its objects.
By agreement of the parties, there was received in
evidence certain portions of the transcript of the
testimony taken at a hearing in the United States District
Court for the District of Nevada,2 and certain exhibits ad-
mitted in evidence in that proceeding. The said proceed-
ing was brought by the General Counsel to obtain a tem-
porary injunction against the Respondents pursuant to
Section 10(1) of the Act.
Upon the entire record, my observation of the wit-
nesses, and consideration of the briefs filed by the
' Based upon a charge filed on July 1, 1966, by Holiday Inns of Amer-
ica, Inc., d/b/a Holiday Inn of Las Vegas.
2 The parties stipulated that if called to testify in the mstant proceeding,
the witnesses who furnished such testimony "would testify the same" as
in such testimony.
686
DECISIONS OF NATIONAL LABOR RELATIONS BOARD
General Counsel and the Respondents following an ex-
tension of time, I make the following:
FINDINGS AND CONCLUSIONS3
A.
The Evidence
Holiday Inns of America, Inc. (hereinafter called the
Company), a Delaware corporation with its principal of-
fice located in Memphis, Tennessee, operates a chain of
approximately 100 motels in various States. At the end of
September 1965, the Company opened a motel and
restaurant in Las Vegas, Nevada, known as Holiday Inn
of Las Vegas (hereinafter called the Inn). Phillip L.
Boudrot was the innkeeper of the Inn from the time it
opened until October 21, 1965, on which date Thomas A.
Coleman was appointed innkeeper.
Respondent Local Joint Executive Board is composed
of Respondent Culinary Workers Union, Local No. 226
and Respondent Bartenders Local 165. At all times
material herein, Al Bramlet was president of the Local
Joint Executive Board and secretary-treasurer of Local
226, Warren Wilson was secretary of the Local Joint Ex-
ecutive Board and secretary-treasurer of Local 165, and
Ben Schmoutey was president of Local 226.
1. The establishment of wage rates for the Inn
In June 1965, the Company informed Boudrot that he
was being transferred to Las Vegas, where he would be
the innkeeper of the Inn, which was then being con-
structed in that city. Pursuant to instructions, he reported
to Amarillo, Texas, to confer with his superior, Company
Regional Director Prentice Moore, regarding his new as-
signment. At the latter's request, he prepared a schedule
of wages for various categories of employees for the Inn.
It is the Company's nationwide policy to pay its em-
ployees at least the wage scale prevailing in each area in
which it operates; and when it opens an inn, it makes a
survey of prevailing wage scales in the area. Where such
wage scales are largely covered by collective-bargaining
agreements, the Company uses the agreements as its
standard; in other areas, it uses the wages paid by similar
establishments as its guide. In establishing the wage scale
for the Inn, Boudrot used the then effective collective-
bargaining agreement entered into between Respondents
and the resort hotels, downtown hotels, and casinos in
Las Vegas.
2. The Company rejects Respondents' request for a
contract
By letter dated September 1, 1965, Bramlet trans-
mitted to the Company's industrial relations department
in Tennessee a copy of the Respondents' collective-bar-
gaining agreement, stated that all establishments in the
area similar to the Inn were covered by the agreement,
and requested that the Company sign an agreement
covering employees of the Inn. On or about September
22, 1965, i.e., a day before the Inn opened for business,
Wilson and Schmoutey met with Jack Barksdale, a com-
pany vice president, and requested recognition and a con-
tract. Barksdale refused. So far as the record shows,
nothing else occurred at that meeting.
Wilson testified that from that time until January 1966
Respondents desired a contract covering employees of
the Inn; but that in that month, they concluded that since
the Company was "operating nonunion" throughout the
United States, it would be too expensive to attempt to ob-
tain a contract, and they would cease trying to negotiate
with the Company.
3. Respondents receive complaints regarding the Inn's
standards and seek legal advice
At the hearing in the district court proceeding, Bramlet
testified that he received a call from Luigi's, a competing
establishment located across the street from the Inn,
inquiring how it could operate under union standards in
view of the standards under which the Inn was operating;
that approximately a half dozen former cooks employed
by the Inn, whom he could not name, came to see him;
that one of them complained that he had been paid $19 a
day, the union wage rate for a fry cook, but had per-
formed many additional duties which required a higher
rate under the standard established in Respondents' col-
lective-bargaining agreements ; and that the others led him
to believe that unlike employees covered by such agree-
ments, they had been required to make contributions to
the Inn's employee health and welfare fund.
4. Respondents disavow a desire for recognition and
threaten to picket the Inn unless it evidences an intent
and ability to observe area standards
Solely on the basis of the complaints from Luigi's and
the former employees of the Inn, Bramlet in early January
1966 consulted Roland C. Davis, an attorney, who in-
formed him that Respondents could lawfully picket the
Inn in order to inform the public that area standards were
not being adhered to, but that it would be necessary for
Respondents to give up their attempts to organize the em-
ployees of the Inn. In explaining why picketing was
necessary, Bramlet testified that if the Inn were permitted
to operate with wage scales and fringe benefits below
those provided in the contracts which Respondents had
with all the competing establishments in the area, the
latter would seek to lower their standards.
By letter dated January 4, 1966,4 Davis forwarded to
Bramlet drafts of two letters to be sent to the Inn. and to
certain other unions , and suggested that picketing com-
mence in a week or 10 days if no reply, or an unsatisfacto-
ry reply, were received from the Inn. At a board meeting
held by Respondents on January 10, the drafts were ap-
proved, and the letters, signed by Bramlet and Wilson,
were mailed on March 2. The letter to the Inn, which en-
closed • copies of Respondents'. collective-bargaining
agreement
and the health and 'welfare program
established thereunder, stated that the Inn was one of the
few employers in the area whose operations were un-
dermining the standard wages, hours, and other terms and
conditions of employment achieved through areawide
bargaining with practically all hotels and restaurants in
the area, and that the Inn's failure to observe the stand-
8 No issue of commerce is presented. The complaint alleges facts which
Act. I find such facts to be as pleaded.
establish that Holiday Inns of America, Inc., is an employer engaged in
4 All dates hereafter mentioned relate to 1966 unless otherwise in-
commerce and in business affecting commerce within the meaning of the
dicated
LOCAL JOINT EXECUTIVE BOARD OF LAS VEGAS
ards was a serious threat to the benefits enjoyed by
Respondents'
members.
Accordingly ,
the letter de-
manded that the Inn promptly meet and maintain the
prevailing area standards. The letter further stated that
Respondents would be happy to assist the Inn if it had
any questions relating to the manner in which to observe
the prevailing standards; but that if the Inn failed to
furnish satisfactory evidence of its acceptance of, and its
determination and ability to maintain , the standards,
Respondents would take appropriate action , including
picketing the Inn to advise the public and other unions
that it was not observing the prevailing standards.
Finally, the letter stated:
In presenting this evidence of prevailing standards it
should be clearly understood that while we expect
you to observe the wages , hours and other benefits
set forth in these [enclosed] documents , we do not
expect or seek any collective bargaining relationship
with your firm. Any prior statements or indications
which are inconsistent with this sole present purpose
of requiring your observance of prevailing standards
are therefore withdrawn and repudiated.
On the same day, March 2, Bramlet and Wilson signed
and mailed letters to three labor organizations in Las
Vegas transmitting copies of their letter to the Inn, and
requesting them to respect Respondents ' picket line.
5. The telephone conversation of March 10
Coleman, who, as already noted, had become inn-
keeper of the Inn on October 21, 1965 , testified that
about 2 days after receiving Respondents' letter, he in-
formed his regional director, Conrad Moss, by telephone
regarding the letter ; and that after a discussion as to what
they should do, they decided that Coleman would "call
the union and find out just what it was that we were not
up to the standards with." On March 10, Coleman held
a telephone conversation with Wilson.
In an affidavit furnished to the General Counsel a
month after the conversation , Coleman had stated that
the conversation was with Bramlet . He admitted at the
hearing, however, that he had been mistaken and that he
had in fact talked to Wilson. He testified at one point that
he had dialed 384-9200 but could not now remember
whether a male or female voice answered ; that he asked
for Bramlet, was told that he was not in and was asked
whether he would talk to Wilson ; and that he agreed and
then spoke to Wilson. On further interrogation, he testi-
fied that he could not remember what number he dialed,
and he referred to the individual who first answered
'the telephone as "She." Coleman's version of the conver-
sation was as follows . He asked Wilson to explain in what
areas the Inn was not meeting prevailing standards. Wil-
son stated :
"Well, wages, for one thing." Coleman
replied : "Well, I think that our wages are as good as the
union's scale, or better." When Wilson then referred to
insurance, Coleman stated that he thought the Inn had
"as good a policy or better than anyone else," and asked
if there was anything else. Wilson replied : "To tell you
the truth, there hasn't been a contract signed." At Wil-
son's request, a meeting was arranged for March 14.
Wilson testified that 384-9200 is Bramlet 's office
telephone number; that the conversation with Coleman
took place on Wilson's office telephone , which carries the
number 382-5680; and that although his office is one
floor above Bramlet's, calls cannot be transferred from
one number to the other. According to Wilson's version
687
of the telephone conversation, Coleman stated that he
had received a letter which he did not understand. Wilson
asked whether he would like to meet with representatives
of Respondents , Coleman replied affirmatively, and a
meeting was arranged. Wilson testified that during the
telephone conversation , there was no reference to area
standards , wages, insurance benefits, or a union contract.
6. The meeting of March 14
Coleman met with Wilson , Bramlet , and Schmoutey on
March 14. Coleman testified that one of the three asked
what they could do for him; that he stated that he thought
they had come over to tell him what they could do for
him; that they made no reply; that he then stated that he
was expecting his regional director, Moss, in a few days,
and would talk to Moss about a meeting with them if they
wanted one ; and that nothing more was said . Bramlet
testified that in response to Coleman's inquiry as to what
he could do for them , he replied that Coleman had
telephoned Wilson and asked for the meeting; that Brain-
let then asked Coleman what they could do for him; that
when Coleman replied , "nothing," he again pointed out
that the latter had called the meeting ; that Coleman
stated, "Well, I don't understand this letter"; that Brain-
let replied, "The letter is self-explanatory"; and that
nothing more was said.
Wilson testified that one of Respondents' representa-
tives asked Coleman what they could do for him;- that
Coleman replied that he did not understand the letter;
that Bramlet stated that his letter was self-explanatory;
and that nothing more was said . According to Schmoutey,
Bramlet stated that Coleman had asked for the meeting
and that Bramlet inquired what they could do for him;
Coleman replied that he did not understand the letter;
Bramlet replied that it was self-explanatory ; and that
nothing else was said. All four witnesses agreed that no
reference was made at the meeting to signing a union con-
tract or to area standards.
7. Picketing begins
At a board meeting held by Respondents on March 17,
Bramlet and Wilson reported that the Inn "was still not
meeting the standards of the industry in the area"; and
those present unanimously passed Wilson's motion that
a picket line be placed at the Inn to inform the public that
the Inn was not conforming to prevailing wages and
benefits. On March 19 , Respondents began picketing the
Inn with signs which read as follows:
EMPLOYEES OF
HOLIDAY INN
DO NOT RECEIVE
WAGES CONDITIONS
STANDARD TO
OUR AREA
CULINARY WORKERS UNION
LOCAL 226
AND
BARTENDERS UNION
LOCAL 165
On April 1 or 2, union wage rates increased in the area.
Coleman testified that the Inn thereupon raised the wages
of its employees in order to remain comparable with
union rates, but did not advise Respondents of its action.
688
DECISIONS OF NATIONAL LABOR RELATIONS BOARD
It is undisputed that Respondents never attempted to
obtain verification of the complaints which it received
concerning the Inn's standards by asking the Inn or any-
one else what wages and employee benefits the Inn's em-
ployees were receiving. It is also undisputed that apart
from the telephone conversation of March 10, no
representative of the Company or the Inn either informed
Respondents that area standards were being observed, or
furnished any information which could have led to such
a conclusion. Finally, it is undisputed that apart from
their initial attempts in September 1965 and during the
disputed telephone conversation of March 10, Respond -
ents did not request the Company or the Inn for recogni-
tion or a contract.
8. The expedited election
On April 13, the Company filed a charge alleging that
Respondents were violating Section 8 (b)(7)(C) of the Act
in that they had continuously picketed the Inn since
March 19 without having filed a petition for representa-
tion. On the same day, the Company filed a petition for
representation in a unit consisting of all employees of the
Inn except office clerical employees, guards, professional
employees, and supervisors.
By letter dated May 2, counsel for Respondents in-
formed the Board's Regional Office that they had "no in-
terest whatsoever in representing the employees" of the
Inn and did "not expect or seek any collective bargaining
relationship" with the Inn. Accordingly, Respondents
requested dismissal of the representation petition. By
letter dated May 17, the Board's Regional Director in-
formed Respondents that based on an investigation, it ap-
peared appropriate to conduct an election to determine
whether the employees in the unit described above
wished to be represented by the Respondents or by no
union, and scheduled an election for May 24 pursuant to
Sections 8(b)(7)(C) and 9(c) of the Act. By letter dated
May 20, the Regional Director informed the Company
that further proceedings on its charge were not warranted
and a complaint would not be issued, since a timely
representation petition had been filed, and an expedited
election under Sections 8(b)(7)(C) and 9(c) would be held.
By telegram dated 'May 24 to the Regional Director,
counsel for Respondents confirmed their telephone con-
versation of the preceding week, in which he again dis-
claimed any interest by the Respondents in representing
the employees of the Inn, and reiterated the fact that
Respondents would "not participate in any way in the
pseudo election" scheduled for that day.
The election was nevertheless held, Respondents were
the only unions named on the ballot, and the official tally
of ballots shows that 9 votes were cast for Respondents
and 32 votes were cast against them. The certification of
conduct of election issued by the Regional Office shows
that no observer for Respondents was present at the elec-
tion.
9. Respondents' objections to the election are overruled
On June 7, Respondents filed their objections to elec-
tion in which they requested that the election be declared
a nullity on the ground that no question concerning
representation existed, because Respondents had dis-
claimed all interest in representing the employees of the
Inn, and because the object of the picketing was to inform
the public regarding the Inn's failure to maintain area
standards, and not to organize the employees or obtain
recognition. On June 14, the Regional Director issued his
decision and certification of results of election in which
he overruled Respondents' objections. The basis for the
decision was that since Respondents had raised no objec-
tion to the conduct of the election or to conduct affecting
its results, but had objected only to the holding of the
election, there was no basis for setting it aside.
On June 16, Respondents requested the Board to
review the Regional Director's Decision, and either to
declare the election a nullity or to require a hearing to ob-
tain evidence on relevant factual questions. On June 28,
the Board denied the request for review.
On September 2, the district court issued an order en-
joining Respondents from picketing the Inn until the ex-
piration of 12 months of the disposition of the instant
proceeding, whichever occurred first.
B.
The Issue
Section 8(b)(7)(B) of the Act prohibits a union which is
not currently certified as the representative of an em-
ployer's employees from picketing that employer within
12 months after a valid election under Section 9(c), where
"an object" of the picketing is to compel him "to recog-
nize or bargain with" the union. 5 As the parties recognize,
picketing solely to compel the employer to conform his
wage rates and other employee benefits to the scale
prevailing in the area where he does business need not be
equated to picketing for recognition or organization. A
union may legitimately be concerned that an employer is
undermining area standards of employment by maintain-
ing lower standards, and the union may be willing to
forego recognition to eliminate such substandard condi-
tions. Houston Building and Construction Trades Coun-
cil (Claude Everett Construction Co.), 136 NLRB 321.
Accordingly, picketing by an uncertified union to main-
tain
area standards is not unlawful under Section
8(b)(7)(B) unless it also has recognition or organization as
an object.
It is undisputed that Respondents were not certified as
the representative of the employees of the Inn. It is also
undisputed that the picketing by Respondents, which
Sec. 8(b)(7)(B) and (C) provides:
It shall be an unfair labor practice for a labor organization or its
agents-
(7) to picket or cause to be picketed , or threaten to picket or cause
to be picketed, any employer where an object thereof is forcing or
requiring an employer to recognize or bargain with a labor organiza-
tion as the representative of his employees ... unless such labor or-
ganization is currently certified as the representative of such em-
ployees:
(B) where within the preceding twelve months a valid election
under section 9(c) of this Act has been conducted, or
... Provided, That when such a petition has been filed the
Board shall forthwith, without regard to the provisions of Section
9(c)(1) or the absence of a showing of a substantial interest on the
part of the labor organization , direct an election in such unit as
the Board finds to be appropriate and shall certify the results
thereof:... .
LOCAL JOINT EXECUTIVE BOARD OF LAS VEGAS
689
began on March 19, continued beyond June 14, the is-
suance date of the certification of the results of the elec-
tion among the Inn's employees, and thus occurred dur-
ing the proscribed 12-month period.6 Accordingly, the
only remaining question for determination is the object or
objects of such continued picketing.7
C. The Contentions
The General Counsel contends that the following fac-
tors demonstrate that recognition was an object of the
picketing: Respondents' request for recognition in Sep-
tember 1965; Respondents' admission that such object
continued until January 1966; Wilson's statement, during
his telephone conversation with Coleman on March 10,
that a contract had not yet been signed; the fact that the
Inn was meeting area standards; and Respondents' disin-
terest in the fact, manifested by their failure to seek easily
available information regarding such matters as the wage
rates, vacations, and holidays received by employees of
the Inn, and by their lack of inclination to discuss these
matters at the March 14 meeting with Coleman. These
considerations, the General Counsel argues, show that
Respondents' several attempts, from and after March 2,
to disclaim any desire to represent the employees of the
Inn were nothing more than pretexts disguising their true
recognitional object.
Respondents insist that the following factors show that
the sole object of the picketing was to maintain area stand-
ards: the picketing did not begin until about 6 months
after Respondents' single request for recognition; prior to
the commencement of picketing, they had received re-
ports that the Inn's standards were below area standards
and they were legitimately concerned; they subsequently
disclaimed all desire to represent the Inn's employees and
refused to participate in the election; Wilson denied that
he referred to a contract during his telephone conversa-
tion with Coleman on March 10; Respondents never
requested recognition after September 1965; the Inn's
standards were below area standards in some respects;
and in any event, the Inn failed to make any attempt to
show that it was meeting area standards.
D. Analysis and Conclusions
In my opinion, the General Counsel has failed to
sustain his burden of establishing, by a preponderance of
the credible evidence, that recognition was one of the ob-
jects of Respondents' picketing. At the outset, it is neces-
sary to resolve the conflict as to what was said during the
March 10 telephone conversation. For if, as Coleman
testified, Wilson referred to the Inn's failure to sign a con-
tract, the unlawful object of the picketing becomes ap-
parent.
After careful consideration of all the evidence, I reject
Coleman's version of the conversation and credit Wil-
son's testimony that there was no reference to area stand-
ards, wages , insurance benefits, or a union contract, and
that Wilson merely expressed a willingness to meet in
response to Coleman's professed lack of understanding
of the March 2 letter. For one thing, Coleman was not a
reliable witness. He incorrectly stated in his prehearing
affidavit, furnished to the General Counsel a month after
the telephone conversation, that the conversation was
with Bramlet. He gave conflicting testimony regarding
the number which he dialed to reach a representative of
Respondents, stating at one point that he dialed
384-9200, and at another point that he could not recall
what number he dialed. The record shows that he could
not have reached Wilson's office by dialing that number.
He also gave conflicting testimony as to the gender of the
individual who first answered the telephone when he
called, stating at one point that he could not recall
whether the individual was male or female, but another
point referring to the individual as "She."
In addition, Coleman's version is inconsistent with his
testimony that nothing at all was discussed at the meeting
of March 14. If Wilson, during his telephone conversa-
tion with Coleman, had in fact stated that the Inn had not
executed a contract, Coleman's natural reaction at the
subsequent meeting would have been to point out the dis-
crepancy between that statement and the disclaimer of
recognition in Respondents' letter of March 2. Moreover,
if Wilson had referred on the telephone to the Inn's failure
to meet area wages and insurance standards, Coleman
may reasonably be expected to have sought, in order to
avoid a picket line, to show that the Inn was attempting to
meet area standards. Certainly he would at least have
brought up the subject. On the other hand, Wilson's
testimony regarding the telephone conversation is con-
sistent with, and given credence by, the version of the
March 14 meeting given by Wilson, Bramlet, and
Schmoutey, i.e., that Coleman repeated his lack of un-
derstanding of the March 2 letter, and that Bremlet
replied that it was self-explanatory. I credit that version.
Accordingly, I find that no reference to a contract was
made during the conversation of March 10.
I further find that the presence of a proscribed object is
not established by the remaining considerations relied on
by the General Counsel. In the circumstances of this
case, it is unnecessary, if indeed possible on the record
here presented, to determine whether or not the Inn's
standards were equal to those prevailing in the area.8 In
6 Where, as here, no union is certified following an election, the 12-
month period begins to run from the date of the certification of the results
of the election. Retail Store Employees' Union, Local 692, Retail Clerks
International Association, AFL-CIO (Irvins, Inc.), 134 NLRB 686.
7 As noted, to establish a violation of Section 8(b)(7)(B), it must also be
shown that the picketing occurred within 12 months of a "valid" election.
Section 8(b)(7)(C) prohibits recognitional or organizational picketing by
an uncertified union for more than a reasonable period, not to exceed 30
days, unless a petition for an election is filed during that period. It further
provides that upon the filing of such a petition, the Board shall conduct a
special, expedited election. Respondents did not file a petition at any time
after they began picketing the Inn on March 19. The Company filed a
petition on April 13, and the Board conducted the expedited election pur-
suant to Section 8(b)(7)(C).
The General Counsel asserts that the election was appropriate and valid
because the picketing had a recognitional object from its inception. In
their brief, Respondents do not attack the validity of the election If one of
the objects of the postelection picketing was recognition or organization,
the validity of the expedited election must , of course, be determined If,
however, the picketing was solely for the purpose of maintaining area
standards, the validity of the election is immaterial.
8 Although the General Counsel's brief states at one point "that [the]
Inn did meet area standards," it states elsewhere that wages and benefits
at the Inn "are so nearly comparable that without a thorough and detailed
survey by an economist , it might well be impossible to conclude that [the]
Inn failed to meet the prevailing standards. Certainly, a casual inquiry
would be sufficient." Respondents' brief states that "no serious attempt
was made by Respondents to controvert the improper evidence proffered
by the General Counsel in an attempt to show that the Company approxi-
mated the area standards," but that even a superficial comparison
revealed at least some variation between the Inn's and prevailing stan-
dards
690
DECISIONS OF NATIONAL LABOR RELATIONS BOARD
some cases , such a determination may be essential. Thus,
where a union commences picketing an employer without
any attempt to ascertain his employment standards, or
despite his attempts to demonstrate that his employment
conditions are not substandard , a showing that the em-
ployer did in fact meet area standards might , absent other
evidence , constitute strong evidence that maintenance of
area standards was not the object of the picketing.9 The
record in this case, however, contains evidence support-
ing Respondents ' assertion that they could and did be-
lieve that the Inn was not adhering to area standards.
Bramlet testified that he received complaints regarding
the Inn's standards prior to the commencement of the
picketing , and I have no basis for rejecting that testimony.
Although he failed to name complaining employees, he
did name a complaining competitor of the Inn, Luigi's, in
his testimony at the district court hearing on the petition
for an injunction . The General Counsel thus had an ample
notice of such complaint ; and since no explanation ap-
pears for his failure to call a representative of Luigi's as
a witness , it is reasonable to infer that the testimony of
such a representative would have been adverse to the
General Counsel. Franklin Brass Products, 151 NLRB
800, 806 , and cases cited therein ; accord : N.L.R.B. v.
Kalof Pulp & Paper Corp., 290 F.2d 447, 451 (C.A. 9).
In addition , Respondents informed the Inn on March 2
that they would commence picketing unless it met the
prevailing area standards contained in Respondents' area-
wide collective-bargaining agreement , and offered to
furnish any assistance which the Inn might require in
achieving that objective . Nevertheless , the Inn never at-
tempted to persuade Respondents that it was adhering to
area standards , or furnished information from which such
a conclusion could be drawn , or even asserted to Respond-
ents that is was meeting area standards . Respondents
could reasonably infer from such silence by the Inn re-
garding its standards that the complaints regarding sub-
standard conditions at the Inn were justified.
The General Counsel argues that the obligation rests
upon a picketing union to ascertain whether or not the
employer's employment conditions are in fact substand-
ard, that the employer is not required to prove that he
meets area standards , and that it requires more than
ignorance on the union 's part to establish good faith; i.e.,
a lawful objective. Implicit in this argument is the errone-
ous assumption that Respondents have the burden of
showing that the picketing was not for a proscribed ob-
ject. The burden is upon the General Counsel to show a
proscribed object.
Local
Union No. 741, Plumbers
(Keith Riggs Plumbing & Heating Contractor),
137
NLRB 1125. Also implicit in the argument is the equally
erroneous assumption that a union's failure to seek inde-
pendent verification of complaints regarding an em-
ployer's failure to meet area standards establishes a
proscribed object as a matter of law. The General Coun-
sel cites several cases in support of his view,10 but a read-
9 Respondents concede in their brief that "Any determination as to
whether or not the Company is meeting the area standards will only be
relevant when and if the Unions decide to resume picketing."
10 International Brotherhood of Electrical Workers, Local Union No.
903 (Pass Developments , Inc.), 154 NLRB 169; Centralia Building &
Construction Trades Council,
155 NLRB 803, enfd . 363 F.2d 699
ing of these decisions discloses that they stand for the
proposition that a union's failure to inquire about the em-
ployer's standards prior to picketing is only one of the
factors to be considered. And, unlike the instant case, it
does not appear that the unions involved in the cited
cases had, prior to picketing, received any complaints or
communicated with the employer regarding the latter's
standards.
What the situation thus boils down to is this. Respond-
ents unsuccessfully requested recognition in September
1965, but decided in January 1966 to stop trying to
negotiate with the Inn. After receiving complaints that
the Inn was not maintaining area standards, they in-
formed the Inn on March 2 that they were no longer seek-
ing recognition but would begin to picket if the Inn did not
furnish evidence that it would and could adhere to area
standards. Pursuant to arrangements made in a telephone
conversation between Coleman and Wilson on March 10,
Respondents '
representatives
met with Coleman on
March 14, at which time the latter stated that he did not
understand Respondents ' letter and Bramlet stated that
the letter was self-explanatory . On March 19, Respond-
ents began picketing using a sign which referred only to
area standards. At no time did the Inn ever furnish
evidence or even assert to Respondents that it was adher-
ing to area standards. And so far as this record shows,
after their initial request for a contract in September
1965, Respondents' conduct was wholly consistent with
their disclaimers of any desire for recognition. I therefore
conclude and find that a preponderance of the credible
evidence fails to show that Respondents' postelection
picketing was to obtain recognition or for any other for-
bidden object, and hence fails to establish a violation of
Section 8(b)(7)(B).II
On the basis of the foregoing findings of fact and upon
the entire record in this case , I make the following:
CONCLUSIONS OF LAW
1.
Holiday Inns of America, Inc., d/b/a Holiday Inn
of Las Vegas, is an employer engaged in commerce and
in business affecting commerce within the meaning of
Section 2(6) and (7) of the Act.
2. Respondents are labor organizations within the
meaning of Section 2(5) of the Act.
3. The allegations of the complaint that Respondents
have engaged in and are engaging in unfair labor practices
within the meaning of Section 8(b)(7)(B) of the Act have
not been sustained.
RECOMMENDED ORDER
It is recommended that the complaint be dismissed in
its entirety.
(C.A.D.C.); Big Star Food Center (Cases 14-CP-72 and 14-CP-76),
TXD-718-66 and cases cited therein. [Not published in NLRB
volumes.]
" It is thus unnecessary to determine the validity of the expedited elec-
tion.