177 NLRB 161
Beglinger-Massie Oldsmobile-Cadillac, Inc.
BEGLINGER-MASSIE OLDSMOBILE-CADILLAC, INC.
Beglinger-Massie
Oldsmobile-Cadillac,
Inc.
and
Automotive
Salesmen's
Association
(A.S.A.),
Affiliated
with
SIUNA,
AFL-CIO.
Case
7-CA-6971
June 30, 1969
DECISION AND ORDER
BY MEMBERS FANNING, BROWN, AND JENKINS
On April 11, 1969, Trial Examiner Samuel M.
Singer issued his Decision in the above-entitled
proceeding,
finding
that
the
Respondent
had
engaged in and was engaging in certain unfair labor
practices in
violation
of the National Labor
Relations Act, as amended, 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.
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.
The Board has reviewed the rulings made by the
Trial Examiner 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 brief, and
the entire record in this case, and hereby adopts the
findings, conclusions,' and recommendations of the
Trial Examiner.
ORDER
Pursuant to Section 10(c) of the National Labor
Relations Act, as amended, the National Labor
Relations
Board hereby adopts as its Order the
Recommended Order of the Trial Examiner, and
orders
that
the
Respondent,
Beglinger-Massie
Oldsmobile-Cadillac, Inc., Plymouth, Michigan, its
officers, agents, successors, and assigns, shall take
the
action
set
forth
in
the
Trial
Examiner's
Recommended Order.
'Although we agree with the Trial Examiner that employee turnover in
this case would not be a factor reflecting good-faith doubt of majority, we
further note that, contrary to Respondent's contention there was such
turnover, Respondent's Manager Massie testified that at least five of the
seven employees in the unit at the beginning of the certified period were
still employed I year later.
TRIAL EXAMINER'S DECISION
SAMUEL M. SINGER, Trial Examiner: This case was tried
before me at Detroit, Michigan , on February 3 and 4,
1969, pursuant to a charge filed on September 24 and
complaint issued on November 15, 1968. The complaint
alleged that Respondent violated Section 8(a)(5) and (1) of
the
National
Labor
Relations
Act,
as amended, by
161
refusing
to
meet and bargain collectively with the
Charging Party as representative of its employees. All
parties appeared and were afforded full opportunity to be
heard and to examine and cross-examine witnesses. Briefs
were filed by General Counsel and Respondent.
Upon the entire record' and my observation of the
witnesses, I make the following:
FINDINGS AND CONCLUSIONS
1. BUSINESS OF RESPONDENT; LABOR ORGANIZATION
INVOLVED
Respondent, a Michigan corporation with its office and
place of business in Plymouth, Michigan, is engaged in
selling and servicing automobiles and trucks.' During the
year ending October 31, 1968, a representative period,
Respondent' s gross volume of business from sales and
services of new and used automobiles exceeded $500,000;
during the same period it received goods and materials
valued in excess of $10,000 directly from points outside of
Michigan. I find that at all material times Respondent has
been and is engaged in commerce within the meaning of
the Act, and that assertion of jurisdiction here is proper.
The Charging Party (ASA) is, and has been at all
times, a labor organization within the meaning of Section
2(5) of the Act.
H. THE UNFAIR LABOR PRACTICES
A. Certification of Union
Based on a Board-conducted election won by ASA 5 to
2 on April 25, 1967, the Regional Director on October 3,
1967, certified it as the exclusive bargaining representative
of Respondent's new and used car and truck salesmen.
(Case 7-RC-7565.) On November 20, 1967, ASA filed a
petition
with the
Regional
Director
to
amend its
certification
to
reflect its recent affiliation
with the
Seafarers
International
Union
of
North
America
(SIUNA), AFL-CIO. (Case 7-AC-67.) After a hearing on
this petition, the Regional Director on February 9, 1968,
issued a decision amending the certification . On April 26,
1968, the Board dismissed Respondent's appeal from the
Regional Director's action.'
'Transcript corrected by my order on notice dated March 21, 1969.
'At the hearing, Respondent admitted the complaint allegation that
"Beglinger-Massie Oldsmobile-Cadillac, Inc. [named in the caption] is the
selfsame corporation" as was "Beglinger Oldsmobile-Cadillac, Inc.," which
until September
1,
1967, operated under the latter name at the same
location as did the first-named corporation.
'Mr. Colombo, attorney of record in this case, represented Respondent
and 21 of the 55 other employers objecting to amendment of the
certification
in
the consolidated
"AC" proceeding
See also
Barnett
Pontiac, Inc, 174 NLRB No 57; Woody Pontiac Sales, Inc, 174 NLRB
No. 81. (ASA had filed separate "AC" petitions-one for each auto dealer
where it had been certified .) In his February 9,
1968, decision, the
Regional Director held that the affiliation in no way affected the identity
of the certified ASA, the affiliated ASA constituting but "a continuation
of the certified ASA." The Regional Director found no change in ASA's
structure, constitution, bylaws, officers, or collective-bargaining procedures
or control. It was also noted that the ASA membership had by vote
approved the affiliation. Although Respondent did not litigate or question
the validity of the amendment of the certification at the instant hearing, it
nevertheless reserved the right to raise the matter in a future court
proceeding. Respondent stated at the hearing that its only defense here is
that it "had a good faith doubt" as to the Union' s majority status
177 NLRB No. 28
162
DECISIONS OF NATIONAL LABOR RELATIONS BOARD
B. Respondent's Refusal To Bargain'
1. September 18-January 24
The Union's "first contact" with Respondent regarding
negotiations was on September 18, 1967,' when ASA
Business
Agents
Shekell
and
White
visited
it
and
requested a bargaining meeting . Company Manager (and
Secretary-Treasurer) Massie agreed to meet and said he
would call his attorney, Mr. Colombo. Hearing nothing
from
Massie
or
Colombo, the Union representatives
revisited Respondent on October 7 at which time Massie
said he had been unable to reach his attorney, but again
indicated that he was willing to negotiate a contract,
explaining that he "thought the union was a real good
thing for the automobile business." On October 9, Union
Attorney Ashley followed up the business agents' verbal
bargaining requests with a written request to bargain. On
October 12,
Business
Agent Shekell again
telephoned
Massie for a meeting, but the latter stated he was still
"unsuccessful in getting in touch with Mr. Colombo,"
requesting Shekell to call him back a few days later.
When Shekell did so, on October 16, Massie told him that
"he couldn't do anything now" because Colombo was
"appealing the election."'
On November 1, Shekell telephoned Colombo, who
agreed to meet with the Union on November 12, this date
later
deferred to
December 12. On November 29,
however, Colombo canceled the December 12 meeting by
letter to Union Attorney Ashley stating:
Up to November 24, 1967, our
client,
Beglinger
Oldsmobile,
had
agreed
to
meet
with
A.S.A.
representatives for the purpose of entering into labor
contract negotiations for its employees represented by
the
A.S.A.
However,
in
light
of the ["AC" or
certification
amendment]
hearing
scheduled
for
December 5, we are of the opinion that all bargaining
sessions between our client and your union should be
suspended and held in abeyance until such time as the
NLRB reaches a decision in this matter. Certainly it
would serve no useful purpose for the parties to spend
time negotiating a contract if there is a serious defect in
the order of certification.
If and when the NLRB rules that the A.S.A.'s
affiliation with the Seafarer's International Union is in
full
compliance
with
the
provisions
of the Labor
Management Act, then our client will again be willing
to meet with the A.S.A.
Ashley answered this letter (and similar ones sent by
Colombo on behalf of other Detroit area dealers): -
As I understand the position as expressed in your
letter and subsequent contacts between the Union and
your various clients, you have indicated that you are
refusing to bargain until the resolution of the AC
Petitions. It would appear that by your taking this
position that you are also indicating that you intend to
'Findings concerning the negotiations and attempted negotiations are
based largely on documentary evidence and essentially uncontradicted
testimony
of
Union
Representatives
Shekcll
and
White,
in
part
corroborated
by
Company Official
Massie.
Shekell's
testimony is
supported by contemporaneous notes. Massie, who kept no such notes,
displayed poor recollection of the events.
'Unless otherwise noted,
all
dates refer to the period September
1967-August 1968.
'Respondent had appealed for review the Regional Director 's October 3
Supplemental Decision and Certification of Representation. The Board
denied the request for review on November 14.
take no legal steps or initiate or encourage such steps
until after the resolution of the AC Petitions.
It is apparent that these various dealers have elected
through you to take a parallel stand on this matter and,
therefore, upon the resolution of the AC Petitions, we
would naturally expect that these same dealers will take
a
parallel
and
simultaneous
stand
on
future
negotiations.
Should
you
have
any
wish
to
clarify
my
understanding, please respond.
Colombo did not respond . However, notwithstanding
Colombo' s November 29 letter suspending negotiations
until
disposition
of the AC
proceeding,
Company
Manager Massie met and negotiated with the Union on
three occasions (December 6 and 21 and January 8.) At
the December 21 session, the Union submitted proposals
and Massie presented counterproposals . At the January 8
meeting, the parties reached agreement on a substantial
number of subjects
(including
"quite
a
few
of the
economic portions") and a further meeting was scheduled
for January 15. On January 10, Union Representatives
Shekell and White visited Respondent and set January 15
as the "contract deadline." Notwithstanding the foregoing,
however,
on
January 12,
Colombo
wrote
Ashley.
reiterating his previous position that the Company would
not bargain with the Union until the Board resolved the
pending certification amendment proceeding .
Colombo
requested Ashley to "instruct the representatives of the
Union not to interfere with the normal operations of our
client's business by calling them at their offices for the
purpose of seeking to continue negotiations." Responding
to this, on January 16 Ashley wrote Colombo:
.
.
. In light of our prior exchange of letters and
previous
discussions,
I
believe
that
your
letter
concerning Beglinger-Massie Oldsmobile is inconsistent
with your prior representations. However, the following
comment shall also apply to Beglinger.
I take the position and have so advised the Union that
the filing of an AC Petition for the purposes that the
Petition in the present case was filed does not constitute
a defense or bar to the Employer's duty to bargain
collectively. Therefore, I am this day commencing to
file
8(a)(5)
Charges
covering
the
above
entitled
dealerships
and have advised the Union to take
appropriate action on an individual dealership basis.
In the meantime (January 15), Union Representatives
Shekell and White presented themselves at Respondent's
premises to resume negotiations in accordance with the
agreement at the January 8 meeting . No negotiations were
conducted, the Union acceeding to Massie's request to
postpone the
meeting until January 18 in view of
Company President Beglinger's
illness.
When Union
Representatives
Shekell
and
Gough
appeared
at
Respondent's premises on January 18, they were informed
by Massie that he "would not negotiate" unless Union
Attorney Ashley would first send him a letter requesting
negotiations. The union representatives answered that they
had been authorized to negotiate and no such letter was
needed. Thereafter, the Union again on January 22 and 24
requested Massie to resume the interrupted negotiations.
On January 24 Massie agreed to resume negotiations on
January 26.
2. January 26
The January 26 meeting, held at the dealership, was
attended by Union Representatives Shekell and Burke,
BEGLINGER-MASSIE OLDSMOBILE-CADILLAC, INC.
163
and by Respondent's General Manager Massie and its 10
or 12 salesmen.' Massie stated that he "had been advised
by counsel" not to sign a contract because of the pending
certification modification (AC) proceeding. According to
Massie, he wanted the salesmen "to understand [his]
position," expressing the "hope" that "they could see fit
to go ahead and work" rather than go on strike.' One
salesman then said that he "was in favor of going to
work" and another suggested taking a vote. Protesting
that the "AC" proceeding might take a long time the
Union representatives urged Respondent to consummate
the negotiations, pointing out that "we have reached an
agreement on a contract, all except a couple of items,
which we were to finish today." Nevertheless, despite the
Union's admonition to Massie that it was "against the
law" to do so, an open hand vote of the salesmen was
taken in the presence of Massie and the Union officials,
the men raising their hands to indicate that they were
willing to return to work without requiring Massie to sign
a contract at that time.'
3. February 12-August 27
On February 12, Union
Representative
Shekell
telephoned Massie "to tell him about the AC win,"
meaning the Regional Director's February 9 decision
amending the certification to reflect ASA's affiliation with
the Seafarers. Massie informed Shekell that he would
contact
Attorney
Colombo.
On February 23, Union
Attorney Ashley wrote Respondent reminding him of the
Regional
Director' s
action
and requesting "immediate
good faith bargaining" to complete a collective-bargaining
contract. On April 29, Shekell telephoned Massie and
informed him that the Board denied his appeal from the
Regional Director's decision amending the certification.
When Shekell asked
Massie
"if we could set up
negotiations," the latter said "he would call Mr. Colombo
about it."
On June 29, the Union (through Business Agent White)
wrote
to
Respondent
complaining that "[r]epeated
attempts by the Union to bargain collectively . . . have
met with no success,"
and asked it to arrange a
bargaining
meeting.
On July 2, Company Attorney
Colombo answered that he had not yet had "an
opportunity to speak to Mr. Massie" and that he would
advise the
Union of the Company's position after
discussing the matter with him. On July 10, Colombo
informed the Union that Respondent would be "willing to
meet" with it, but not until August 15 because of his own
commitments and Massie's vacation plans.
On August 15, the Union wrote Respondent reminding
it of Colombo's promise to meet and requesting a specific
bargaining session. Receiving no response, the Union on
'While admitting that it was he who had notified the salesmen of the
meeting, Massie claimed that the men "more or less invited themselves
prior to this time."
'Massie admitted that the Company and Union "were reasonably close
to a deal" by January 26, with "a few things that had not been covered."
He further testified, "I understood I either had to sign a contract now or
the place would be under strike," explaining that the Union gave him "a
deadline to sign."
'The findings in this section are based primarily on credited portions of
Massie's testimony and partly on credited portions of Shekell's testimony.
I do not credit that portion of Massie's testimony in which he sought to
convey the impression that the Union 's representatives agreed to suspend
negotiations "until the certification had been made clear , or the affiliation
had been completed." Nor do I credit his testimony that the Union agreed
to take a vote of the salesmen . Massie's testimony on these two subjects
was vague, evasive, and unconvincing.
August 23 again requested a negotiation date. On August
27, the Union received a letter from Colombo's secretary
indicating
that
Colombo would be unavailable until
September 4. Protesting that it had still not heard from
Respondent, the Union on September 6 wrote Respondent
still
another letter referring to its three previous
bargaining
requests and complaining that it had still
"received no indication as to when, where or whether you
intend to honor your lawful obligations as defined in the
National Labor Relations Act."
4. September 11-24
On September 11, 1968, Company Attorney Colombo
for the first time advised the Union that Respondent was
questioning the Union's majority status and that for this
reason it refused to arrange any bargaining meeting.
Colombo wrote:
we wish to advise you that our client has been
informed by a majority of its sales employees that they
are
no longer
desirous
of representation
by the
Automotive
Salesmen's
Association,
S. I. U.N.A.,
AFL-CIO.
As a result of these conversations and discussions,
the employer has a good faith doubt as to whether or
not your union represents a majority of its employees
as of this date.
Accordingly, our client sees no useful purpose in
attempting to negotiate a contract when its employees
do not wish to be represented by the Automotive
Salesmen's Association, S.I.U.N.A., AFL-CIO.
On September 13, Union Attorney Ashley wrote Colombo
that
"despite"
Respondent's
"history
of refusing to
respond to"
bargaining requests, "the Union was still
interested
in"
meeting
with
Respondent and asked
Colombo to "reconsider his position" regarding the
Company's previously announced refusal to bargain.
On September 24, 1968, the Union filed its
refusal-to-bargain charges in this proceeding.
5. The September 25 employee letter repudiating the
Union; Respondent's alleged good-faith doubt of the
Union's majority status
In October 1968, employee Corbeau handed Massie a
letter dated September 25, 1968, purportedly signed by
eight salesmen, stating:
We the undersigned no longer want the Automobile
Salesmens Association to represent us for collective
bargaining."
Although at the hearing Massie had difficulty
recalling
precisely when he received this letter, it is clear that it was
at least a week or 10 days after September 25." It is also
clear that Massie did not show or mention this letter to
his attorney until October 29, 1968.'=
"The record does not show how many salesmen Respondent employed at
this time. Massie testified that the number employed ranged from 7 to 12
between October 1967 and September 1968. None of the signatories of the
September 25 Corbeau letter was called to identify his signature
"Thus,
Massie at one point testified that when
Corbeau "first
approached me . .
when he first gave me this letter, as I recall , it was old,
a week or ten days or so old." In his preheanng affidavit (dated October
29, 1968) Massie fixed this time as "[a]bout two weeks ago, sometime in
October 1968." Corbeau, now Respondent's sales manager, did not testify.
"Massie testified that upon receipt of Corbeau 's September 25 letter in
October, he "[r]ushed down the bank and put it in [his] safety deposit
box" and that "it might have been a couple of weeks" later that he first
showed it to Colombo. In his preheanng affidavit, Massie averred that he
164
DECISIONS OF NATIONAL LABOR RELATIONS BOARD
Massie testified that Corbeau, the Union's steward
(dealer representative) during the period here involved,
first informed him that he was "no longer interested in
having ASA represent him" in late summer or early fall
of 1968, indicating in his preheating affidavit, however,
that "the subject . . . came up in rather a joking manner."
Massie further testified that other employees also had
discussed the
Union with him, but had difficulty in
recalling the time when and the circumstances under
which he spoke to them. He then indicated that the
salesmen raised the Union question "numerous" times -
ever since the middle or end of 1967 - asserting that
"practically every salesman" asked him "to keep the
union out of our dealership."" However, Massie named
five of these as "new employees," hired since the April
1967 election, recalling that several of them told him that
they would not work in a unionized dealership. However,
he also testified that he informed all new employees that
the dealership "was a union shop," the Union having won
a
Board election, and that all nevertheless thereupon
accepted employment. Nor, according to Massie, did any
"old" employee quit the dealership because of the Union's
advent although (still according to Massie) several spoke
of a change of heart concerning the Union. In any event,
Massie admitted that no employee ever informed him that
he had withdrawn or intended to withdraw from the
Union before receiving (in October 1968) Corbeau's letter
to the effect that eight men no longer wanted the Union;
that he "never questioned" the claim that the Union failed
to represent a majority of his employees, at least until
receiving that letter; and that it was "about the time [he]
presented [Attorney
Colombo]
with this letter" on
October 29, 1968, that he (Massie) first advised Colombo
that a majority of his men did not want the Union."
C. Conclusions
1. As noted, on October 3, 1967, the Union (ASA) was
certified
as
bargaining
representative
of Respondent's
automobile salesmen. After several requests to bargain,
Respondent agreed to meet with it on December 12.
However, on November 29, Company Attorney Colombo
canceled this meeting upon the ground that Respondent
would not negotiate further until the Board disposed of a
first showed it to him on the day he executed the affidavit , October 29,
1968. Explaining that Colombo was in Florida during this period, Massie
testified, "I don't believe I discussed it with anyone in his office until that
date [October 29, 1968] "
"Respondent's
witness
Sutton
(an antiunion employee)
sought to
corroborate Massie . He named employees and former employees who had
expressed dissatisfaction with a Union strike at another dealership and
some who expressed general opposition to the Union Sutton admitted,
however,
that
"no one ever told" him that
"they
withdrew their
membership" or that "they did not want [the Union] to represent them."
Although Sutton testified that it was his "custom " to report to Massie all
antiunion remarks and "the specific ones" that made them, explaining that
he was "interested in the organization and kin folks too" (he was a relative
of Massie by marriage), Massie himself could not "recall anything of any
importance" reported by Sutton other than "reports of rumors of strikes";
nor could he "recall anyone specifically that [Sutton ] mentioned" other
than one employee (Reed) who no longer works for Respondent.
"At another point, however, Massie indicated that he had conveyed such
information to Colombo in "[m]id summer of '68," presumably on the
basis of conversations with individual salesmen before receiving the
Corbeau letter. Asked by his attorney on redirect whether he recalled
talking to Colombo in "August of 1968 " (time supplied by Colombo),
Massie testified, "I remember calling Mr. Colombo and telling him that it
seemed I didn't know which way to go, that they were demanding me [sic]
to bargain for people that didn't want to be bargained for, about that time,
in the latter part of the summer."
pending union petition to amend its certification so as to
reflect its affiliation with an International (Seafarers).
Respondent's
officer
and general
manager
(Massie)
nonetheless met with union representatives three times
thereafter (December 6 and 21 and January 8 ) until (in
Massie's words) the parties "were reasonably close to a
deal" so that on January 10 the Union set January 15 as
the
"contract
deadline."
However, in the interim
Company Attorney Colombo blocked further negotiations
by requesting the Union representatives "not to interfere
with the normal operations of [his] client's business by
calling them at their offices for the purpose of seeking to
continue
negotiations."
Responding to this,
Union
Attorney Ashley wrote Colombo that "the filing of an AC
Petition . . . in the present case . . . does not constitute a
defense
or
bar to the Employer's duty to bargain
collectively." At an ensuing meeting on January 26, called
by the Union to consummate the negotiations,
Massie
declined to deal further with the Union because of the
pendency of the AC petition, in accordance with Attorney
Colombo's "advice" while simultaneously pressing the
"hope" to his 10 to 12 salesmen present at this meeting
that they "could see fit" to work without a contract.
Thereupon the salesmen - over the union representatives'
objection - there and then, by hand vote,
in
Massie's
presence,
expressed
willingness
to
continue
working
without a contract."
After the Regional Director's February 9 decision
amending
the
certification
so
as
to
reflect
ASA's
affiliation
with
Seafarers,
Respondent ignored two
(February 12 and 23) union requests to resume bargaining.
Following two more (April 29 and June 29) bargaining
requests subsequent to the April 26 Board affirmance of
the
Regional
Director's
decision,
Company Attorney
Colombo on July 10 finally advised the Union that he
would
meet with it around August 15, delaying the
meeting until then for personal reasons. Notwithstanding
this, however, Respondent again failed to heed three more
ensuing pleas by the Union to bargain (August 15 and 23
and September 6). The finale occurred on September 11,
when Colombo wrote the Union that as "a result of .. .
conversations
and
discussions"
with
employees,
Respondent entertained "a good faith doubt as to whether
or not your union represents a majority of its employees
as of this date." In early October, Respondent received a
letter, signed by eight of its salesmen , stating that they
"no longer want the Automobile Salesmen's Association
to represent us in collective bargaining." Massie passed
this on to Attorney Colombo on October 29, 1968.
2. The statute imposes on employers the obligation "to
meet at reasonable times" and confer with a view of
reaching collective-bargaining agreements. (Section 8(d) of
the
Act.) Absent "unusual circumstances," there is a
virtually conclusive presumption that a union's majority
status continues for 1 year following certification. See Ray
Brooks v. N.L.R.B., 348 U.S. 96;
McLean, d/b/a Ken's
Building Supplies v. N.L.R.B., 333 F.2d 84, 88 (C.A. 6).
After the 1-year period, the presumption of majority
continues, but becomes rebuttable so that the employer
may refuse to bargain if he can show a good-faith doubt
of
the
union' s
continuing
majority
by
"objective
considerations."
Laystrom
Manufacturing
Co.,
151
"Based upon the above conduct, General Counsel at the hearing moved
to amend the complaint to allege that Respondent violated Sec. 8(a)(1) of
the Act "by conducting a poll of its employees " However, the motion was
withdrawn upon Respondent's application "to adjourn this hearing until [it
was] allowed to question all of the men that were present at this meeting."
BEGLINGER-MASSIE OLDSMOBILE-CADILLAC, INC.
NLRB 1482, 1484, See also N.L.R.B. v. Gulfmont Hotel
Company, 362 F.2d 588, 589 (C.A. 5). Furthermore, the
duty to bargain during the certification year exists "even
if the union loses its majority status through no fault of
the employer." N.L.R.B. v. Universal Gear Service Corp.,
394 F.2d 396, 398 (C.A. 6);
N.L.R.B. v. U.S. Sonics
Corp.,
312 F.2d 610, 616 (C.A.
1);
Rish Equipment
Company, 407
F.2d 1098 (C.A. 4). The underlying
rationale for this rule rests on strong Federal policy to
encourage negotiation of collective agreements. As the
Supreme Court has stated, "a bargaining relationship
once rightfully established must be permitted to exist and
function for a reasonable period in which it can be given a
fair
chance to succeed."
Franks
Bros.
Company v.
N.L.R.B.,
321
U.S. 702, 705. The 1-year mandatory
bargaining period is required to afford a newly certified
union "ample time for carrying out its mandate on behalf
of its
members," and removes from a recalcitrant
employer the temptation of "know[ing] that, if he
dillydallies or subtly undermines,
union
strength
may
erode . . . [so as to] thereby relieve him of his statutory
duties at any time." Ray Brooks, supra, 348 U.S. at 100;
N.L.R.B. v. Universal Gear Service Corp., 394 F.2d 396,
398 (C.A. 6); Mar-Jac Poultry Company, Inc., 136 NLRB
785, 786-787.
Here,
Respondent openly expressed its refusal to
bargain on September 11, 1968 (3 weeks before the end of
the certification year), telling the Union that as a result of
"conversations and discussions" with its salesmen, it
entertained "a good faith doubt" of the Union's majority
"as of this date." Respondent argues in its brief (pp. 8,
10, 16) that for all practical purposes the certification year
had run by September 11 and that the Union's majority
status became rebuttable. It then cites (at p.11) seven
"objective
considerations"
which allegedly afforded it
grounds "for believing that the union has lost its majority
status since certification." These are: (a) the "close vote"
in the April 25, 1967, election; (b) employee turnover
during the certification year; (c) fluctuation in size of the
bargaining unit; (d) failure of ASA representatives to
appear at Respondent's premises; (e) the Union's "refusal
to submit to an [other] election and its adamant demand
to
go through `AC' hearing"; (f) the salesmen's
nonattendance of meetings during the certification year;
and (g)
"numerous discussions"
between
Massie and
salesmen "after the certification year expired" in which
"they related to him their desire not to be represented by
A.S.A." Assuming, arguendo, the validity of Respondent's
premise that the September 11 refusal to bargain must be
tested under the rule governing certifications over a year
old, I find that Respondent did not meet "the burden"
incumbent upon it to show that "it had a good faith
doubt"" of the Union's majority on that date.
3. To begin with, the Union won the April 1967
election by a 5 to 2 vote, by no means a "close vote" as
claimed by Respondent. As to employee turnover, it is
clear
that
this
factor
"is
not such a change in
circumstances
as
would relieve [Respondent] of its
obligation
to
bargain
with
the
Union."
Superior
Engraving Company v. N.L.R.B.,
183
F.2d 783, 792
(C.A. 7)." Nor is the circumstance significant that the size
of the unit in the certification year fluctuated from 7 to
"N L R B
v
Gulfmont Hotel Company. 362 F 2d 588, 592 (C.A. 5);
N L R B
v
Rish
Equipment Co., 407 F 2d 1098 (C A. 4) Accord:
N.L.R B v. John S. Swift Company, Inc, 302 F 2d 342, 345 Cf Stoner
Rubber Company, Inc., 123 NLRB 1440, 1445; Universal Life Insurance
Co, 169 NLRB No. 165
165
12.
See McLean, d/b/a Ken's Building Supplies, 142
NLRB 235, enfd. 333 F.2d 84 (C.A. 6);
N.L.R.B., v.
Albert Armato and Wire & Sheet Metal Specialty Co.,
199 F.2d 800, 802, 803 (C.A. 7); N.L.R.B. v. J. W. Rex
Co.,
243
F.2d
356,
360 (C.A. 3). Contrary to
Respondent's claim, the circumstances (a) that ASA
representatives failed to appear at Respondent's premises
after January 26 and (b) that unit employees failed to
attend bargaining
sessions,
do not establish that the
employees "did not want the ASA to represent them."
(Resp. Br. p.11.) In view of Respondent's express refusal
to negotiate until the Board resolved the AC question1e
and its dilatory tactics in avoiding and putting off
negotiations even subsequent to Board resolution, the
Union representatives'
appearance
at
the
dealership
premises would have served no useful purpose. And as far
as employee alleged nonattendance at bargaining sessions
is concerned, even if true it is not the employer's concern
how employees choose to conduct their affairs; nor is it
unusual to confine such meetings to union agents acting as
spokesmen for employees; moreover, one of the purposes
of union designation is for employees' representatives,
rather than employees themselves, to attend negotiation
meetings.
Respondent additionally urges (br. p. 11) that "[a]fter
the certification year expired the salesmen had numerous
discussions with Mr. Massie when they related to him
their
desire
not to be represented by the A.S.A."
However, Massie's testimony on this point is too vague
and confusing to justify my crediting it. Furthermore, the
alleged conversations to which Massie alluded in any
event hardly "furnish[ed] a `reasonable basis' for the
asserted
doubt"
(Laystrom
Manufacturing
Co.,
151
NLRB 1482, 1484) concerning the Union's majority
status.
Massie (and employee Sutton who allegedly
reported to him on employee antiunion attitude) admitted
that no employee-much less a majority of employees-
stated that he no longer wished to be represented by the
Union. Massie's testimony indicates only that employees
expressed general displeasure with the Union and its strike
activities. Insofar as appears, Respondent was not advised
of any unequivocal renunciation of the Union until it
received
the
Corbeau letter in October
1968-after
Respondent's September 11 letter to the Union asserting
"good faith doubt" concerning the Union's majority.
However, the validity of Respondent's doubt as to the
Union's
majority must be assessed in light of what
Respondent actually knew at the time it withdrew
recognition, rather than what it subsequently learned.
N.L.R.B. v. Kellogg's Inc., d/b/a Kellogg Mills, 347 F.2d
219, 220 (C.A. 9). See also N.L.R.B. v. Gulfmont Hotel
Company, 362 F.2d 588, 589 (C.A. 5)."
Finally, I reject Respondent's contention (br. p. 14) that
"the Union's refusal to submit to an [other] election
"See also Reliance Clay Products Company,
115 NLRB 1736, 1747,
enfd 245 F 2d 599 (C A. 5); Woody Pontiac Sales, Inc, 174 NLRB No.
81.
"Respondent's Attorney Colombo specifically
requested the Union's
representatives "not to interfere with the normal operations of our client's
business by calling them at their offices for the purpose of seeking to
conduct negotiations."
"Although in its brief, Respondent claims that it had questioned the
Union's majority as far back as the AC proceeding, it made no such claim
in any communication to the Union until September 11, 1968 , when it
withdrew Union recognition, expressing doubt that the Union "represents a
majority of its employees as of this date " Cf. Woody Pontiac Sales, Inc,
174 NLRB No 81, where counsel in the instant case unsuccessfully made
a similar claim
166
DECISIONS OF NATIONAL LABOR RELATIONS BOARD
rather than go through the `AC' hearing create[d] a strong
presumption that even the Union knew that they did not
represent a majority of the men in November of 1967,"
when the AC petition was filed . Since, as we have seen,
the law accords as irrebuttable presumption of union
majority during the certification year and a rebuttable
presumption thereafter, no sound reason would appear
why the Union should have had to reaffirm its majority in
another Board election . To say that because ASA sought
a technical correcting amendment of its certification so as
to reflect its affiliation with an International through an
AC proceeding (the customary way to do this) somehow
supplies a "presumption" that the Union "knew" it had
lost its majority is indeed farfetched , even if the Union
could
have
accomplished
that
objective
by
the
representation election route.
In
addition
to
these
"objective
considerations"
advanced
to
justify
its
claimed
good-faith
doubt
concerning union majority , Respondent contends (br. p.
15) that the Union is "estopped to argue that the
employer has refused to bargain because of its own
dilatory tactics," asserting that between January 26 and
July 2, 1968, the Union contacted Respondent only once
(on April 29). In so arguing Respondent overlooks the
uncontradicted evidence that it was the Company which
insisted
that the Union keep away from it between
January 26
and
April
29
(the date of the Board's
disposition of the AC proceeding); and that despite such
insistence the Union contacted it at least twice (February
12 and 23) prior to April 29, the second time by Union
Attorney
Ashley who expressly demanded "immediate
good faith bargaining." Nor did Respondent honor the
Union's
April
29 request to bargain ,
Massie
merely
stating that he "would call Mr . Colombo about it." Under
the circumstances, including Respondent's dilatory tactics
before and after April 29, it ill behooves Respondent to
raise the question of the Union' s delinquency in pressing
for
negotiations.
Cf.
McLean,
d/b/a Ken's
Building
Supplies v. N.L.R.B., 333 F.2d 84, 88 (C.A. 6).
4. As noted , the "objective considerations" previously
discussed were advanced by Respondent in support of its
claim that it had a good-faith belief that the Union lost its
majority
after
conclusion
of the 1 -year
certification
period.
Respondent
advances
the
"alternative"
"argument" (br. p. 12) that three of these "objective
considerations" (the AC proceeding, employee turnover,
and
unit
size
fluctuation)
constituted
"unusual
circumstances even during the certification period which
would have dictated that Respondent should not have
bargained
with the A.S.A.
during said certification
period." I find no merit in this contention.
As to employee turnover and fluctuation of size of unit,
the cases already cited (supra, secs. 2 and 3) establish that
these factors do not constitute "unusual circumstances"
justifying a refusal to bargain during the certification year.
Indeed, in McLean, d/b/a Ken's Building Supplies, supra,
142 NLRB 235, enfd . 333 F.2d 84 (C.A. 6), the Board
held that the employer was not relieved of the duty to
bargain with the union even though the number of
employees in the unit increased from three to six during
the
certification
year. 3'
Westinghouse
Electric
&
Manufacturing Company,
38 NLRB 404, 409 (cited in
Ray Brooks v. N.L.R.B., 348 U.S. 96, and relied on by
Respondent) is distinguishable. There the Board stated
that it would not "adhere" to the "usual 1 -year" rule and
would entertain a new representation petition before the
end of the certification year in view of a definitively
"planned expansion of the . . . plant [which] will almost
quadruple the number of production and maintenance
employees
at that plant [from 454 to 2000] in a
camparatively short time."
As to the AC proceeding, Respondent properly points
out that in Ray Brooks the Supreme Court cited with
approval Board cases holding that a certified union which
"dissolved or became defunct" or was involved in a
"schism"
(factional
fight)
presented
"unusual
circumstances." 348 U.S. at 98. However, there is no
sound analogy
between these situations and the AC
proceeding in this case. There is a real distinction between
a
defunct
union or a union
involved
in
a schism
transferring
its
certification
"to
a
new local or
international" (Ray Brooks, at 98), and an existing and
functioning union (ASA) retaining its certification but
merely affiliating with an International. "A change [or
act] of affiliation is little more than a change in name."
Cochran Co., Inc.,
112 NLRB 1400, 1408. See also
Continental Oil Company v. N.L.R.B., 113 F.2d 473, 478
(C.A. 10). In any event,
it is unnecessary
to decide
whether
an
AC proceeding to establish or change
affiliation constitutes a defense to a refusal to bargain as a
matter of law. (Cf. Barnett Pontiac, Inc., 174 NLRB No.
57.) It is sufficient to point out that here Respondent at
no time claimed that its refusal was predictated on the
Union's resort to the AC proceeding. Cf. Woody Pontiac
Sales, Inc.,
174 NLRB No. 81. On the contrary, in
suspending
negotiations
because
of that proceeding,
Respondent indicated
that
it
was
merely
postponing
negotiations pending amendment of the certificate.
I
find
and conclude
that
Respondent's refusal to
bargain collectively with the Union on and after January
26,
1968, 21
was
based
on
a
rejection
of
the
collective-bargaining principle and in order to gain time in
which to undermine the Union' s representative status; that
its openly announced refusal to bargain on September 11,
1968, was not based on a good-faith doubt of the Union's
majority status; and that any loss in the Union's majority
is attributable to Respondent's dilatory tactics and refusal
to
bargain .
Accordingly,
Respondent's conduct
was
violative of Section 8(a)(5) and (1) of the Act. Cf. Woody
Pontiac Sales, Inc., 174 NLRB No. 81; Barnett Pontiac,
Inc., 174 NLRB No. 57.22
CONCLUSIONS OF LAW
1. Respondent is an employer engaged in commerce
and the Union is a labor organization within the meaning
of the Act.
'See also N L.R.B. Y. Armato, supra, 199 F.2d 80 (C.A. 7).
"As noted, General Manager Massie met with the Union three times
(and was "reasonably close to a deal") before January 26, despite his
attorney' s
November 29, 1%7, communication to the Union that
Respondent was suspending negotiations until the Board resolved the AC
question. I find that Massie bargained in good faith dung these meetings.
Massie suspended further bargaining at the January 26 meeting on advice
of counsel.
"In view of Sec. 10(b) of the Act, Respondent may not be held
responsible for conduct prior to March 24, 1968 , the date fixed by the
filing of the Union's charge in this case
Accordingly,
Respondent's
unlawful refusal to bargain is found to have commenced on that date.
However, Sec. 10(b) of the Act does not preclude consideration of
Respondent's prior conduct for the purpose of assessing "the true character
of later events within the limitations period . [citing cases] The collective
impact of long delay [in complying with the duty to bargain ], found in part
from evidence outside the six-month period , would be a proper basis for a
finding by the N .L.R.B. that bargaining was not conducted in good faith."
N.L R.B. v. Fitzgerald Mills Corp., 313 F.2d 260, 264 (C.A. 2) See also
N.L.R.B. v. General Shoe Corporation, 192 F.2d 504, 507 (C.A. 6).
BEGLINGER-MASSIE OLDSMOBILE-CADILLAC, INC.
2.
All
new and used car and truck salesmen at
Respondent's
Plymouth,
Michigan place of business,
excluding office clerical employees , guards and supervisors
as defined in the Act, and all other employees, constitute
a unit appropriate for purposes of collective bargaining
within the meaning of Section 9(b) of the Act.
3. At all times since October 3 , 1967, the Union has
been the exclusive representative of all employees within
said appropriate unit for purposes of collective bargaining
in respect to wages, rates of pay, hours of employment,
and other terms and conditions of employment within the
meaning of Section 9(a) of the Act.
4. By refusing since March 24, 1968, to meet and
bargain with the Union as exclusive representative of the
employees in the above-described
appropriate
unit,
Respondent has engaged and is engaging in unfair labor
practices within the meaning of Section 8(a)(5) and (1) of
the Act.
5. The aforesaid unfair labor practices affect commerce
within the meaning of Section 2(6) and (7) of the Act.
THE REMEDY
Having found that Respondent has engaged in unfair
labor practices in violation of Section 8(a)(5) and (1) of
the Act by refusing to meet and bargain with the Union
as the exclusive representative of its employees in an
appropriate unit, I will recommend that Respondent be
required to cease and desist from engaging in such unfair
labor practices and, upon request, bargain collectively
with the Union concerning wages, rates of pay, hours, and
other terms and conditions of employment, and to
embody in a signed agreement any understanding reached.
Since Respondent's failure to bargain has deprived the
Union of that "full year of good-faith bargaining" to
which it was "entitled"
( Thompson Machine & Tool
Corporation,
172 NLRB No. 193, fn.1) and since it is
desirable and no more than fair to place Respondent and
the Union in as nearly the same situation as possible to
that which existed before Respondent unlawfully ceased
bargaining, I will recommend that the certification year be
extended for a period of 9 months32 from the date when
Respondent in compliance with the order herein begins to
bargain in good faith with the Union as the recognized
representative of the employees in the appropriate unit.
See Barnett Pontiac, Inc., 174 NLRB No. 57, and cases
in footnote 1 cited therein. See also N.L.R.B. v. Miami
Coca-Cola Bottling Company, 382 F.2d 921 (C.A. 5);
N.L.R.B. v. Rish Equipment Company, 407 F.2d 1098
(C.A. 4).
RECOMMENDED ORDER
Upon the basis of the foregoing findings of fact and
conclusions of law and the entire record in the case, and
pursuant to Section 10(c) of the Act, I recommend that
Respondent, Beglinger-Massie Oldsmobile-Cadillac, Inc.,
of Plymouth, Michigan, its officers, agents, successors,
and assigns, shall:
1. Cease and desist from:
(a) Refusing to meet and bargain collectively in good
faith with Automotive Salesmen's Association (A.S.A.),
"The extended period is based on the fact that Respondent met and
bargained with the Union until January 8, 1968 (about the end of the third
month of the certification year), suspending further bargaining on January
26, 1968. Cf. Thompson case, supra; Mar-Jac Poultry Company, Inc.. 136
NLRB 785, fn. 6.
167
affiliated
with
SIUNA, AFL-CIO,
as the exclusive
bargaining
representative
of its employees in the
appropriate bargaining unit , with respect to wages, rates
of pay,
hours of employment,
and other terms and
conditions of employment, and embodying in a signed
agreement any understanding reached.
(b) In any like or related manner interfering with the
effort of the above-named labor organization to bargain
collectively on behalf of the employees in the bargaining
unit.
2. Take the following affirmative action which will
effectuate the policies of the Act:
(a)
Upon request,
meet
and
bargain
with
the
above-named labor organization,
as
the
exclusive
representative of all of its employees in the appropriate
bargaining unit with respect to wages , rates of pay, hours
of employment,
and other terms and conditions of
employment, and embody in a signed agreement any
understanding reached . The certification period is hereby
extended to a date 9 months from the date Respondent
commenced or commences to bargain in good faith in
compliance with this
Order, with the Union as the
recognized bargaining representative in the appropriate
unit.
(b) Post at its place of business in Plymouth , Michigan,
a copy of the attached notice marked
"Appendix.""
Copies of said notice, to be furnished by the Regional
Director for Region 7, after being signed by Respondent's
representative, shall be posted by Respondent immediately
upon receipt thereof and be maintained by it for 60
consecutive days thereafter, in conspicuous places, where
notices to employees are customarily posted . Reasonable
steps shall be taken by Respondent to insure that said
notices are not altered, defaced, or covered by any other
material.
(c) Notify said Regional Director, in writing, within 20
days from the receipt of this Decision , what steps have
been taken to comply herewith."
"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 is 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."
"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 Respondent
has taken to comply herewith."
APPENDIX
NOTICE
TO
ALL EMPLOYEES OF BEGLINGER-MASSIE
OLDSMOBILE-CADILLAC, INC.
Posted pursuant to a Recommended Order of a Trial
Examiner of The National Labor Relations Board, an
Agency of The United States Government
168
DECISIONS OF NATIONAL LABOR RELATIONS BOARD
After a trial at which all sides had the chance to give
evidence, it has been decided that we, Beglinger-Massie
Oldsmobile-Cadillac, Inc., violated the National Labor
Relations Act, as amended, and we have been ordered to
post this notice.
Among the rights which the National Labor
Relations Act gives you, as an employee, is the right to
bargain collectively through a representative of your
own choosing . Accordingly, we hereby assure you that:
WE WILL, upon request, meet and bargain collectively
with
Automotive
Salesmen's
Association
(A.S.A),
affiliated with SIUNA, AFL-CIO, as your exclusive
representative in the appropriate
bargaining
unit,
regarding wages, rates of pay, hours of employment,
and sign our name to an agreement containing any
understanding reached. The bargaining unit is:
All new and used car and truck salesmen at our
Plymouth,
Michigan place of business, excluding
office clerical employees, guards and supervisors as
defined in the Act.
Dated
By
BEGLINGER-MASSIE
OLDSMOBILE -CADILLAC,
INC.
(Employer)
(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 provisions, they may communicate
directly with the Board's Regional Office, 500 Book
Building, 1249 Washington Boulevard, Detroit, Michigan
48226, Telephone 313-226-3200.