266 NLRB 37
Sun Electric Corporation
SUN ELECTRIC CORPORATION
Sun Electric Corporation and International Union,
United Automobile, Aerospace and Agricultural
Implement Workers of America (UAW) and its
Local No. 1712. Case 33-CA-5185
January 19, 1983
DECISION AND ORDER
BY CHAIRMAN MILLER AND MEMBERS
ZIMMERMAN AND HUNTER
On April 28, 1982, Administrative Law Judge
Stanley N. Ohlbaum issued the attached Decision
in this proceeding. Thereafter, counsel for the Gen-
eral Counsel and the Charging Party filed excep-
tions and supporting briefs. Subsequently, Respond-
ent 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 au-
thority in this proceeding to a three-member panel.
The Board has considered the record and the at-
tached Decision in light of the exceptions and
briefs and has decided to affirm the rulings, find-
ings,' and conclusions of the Administrative Law
Judge and to adopt his recommended Order.
ORDER
Pursuant to Section 10(c) of the National Labor
Relations Act, as amended, the National Labor Re-
lations Board adopts as its Order the recommended
Order
of the Administrative
Law Judge
and
hereby orders that the complaint be, and it hereby
is, dismissed in its entirety.
I The Charging Party has excepted to certain credibility findings made
by the Administrative Law Judge. It is the Board's established policy not
to overrule an administrative law judge's resolutions with respect to
credibility unless the clear preponderance of all of the relevant evidence
convinces us that the resolutions are incorrect. Standard Dry Wall Prod-
ucts. Inc., 91 NLRB 544 (1950), enfd. 188 F.2d 362 (3d Cir. 1951). We
have carefully examined the record and find no basis for reversing his
findings.
The Charging Party contends that the Administrative Law Judge's in-
terpretation of the evidence and his credibility findings showed bias and
prejudice. Upon careful examination of the Administrative Law Judge's
Decision and the entire record, we are satisfied that the contentions of
the Charging Party in this regard are without merit.
In adopting the Administrative Law Judge's Decision we disavow any
reliance on his comments contained in fn. 36.
DECISION
1. PRELIMINARY STATEMENT; ISSUES
STANLEY N. OHLBAUM, Administrative Law Judge:
This proceeding' under the National Labor Relations
I Based upon complaint issued on July 23, 1981, by the Board's Acting
Regional Director for its Region 33, growing out of a charge dated De-
cember 11 and filed December 15, 1980, by the Charging Party Union
following withdrawal on December 4 of a previous charge (C.P. Exh. 6)
filed by the same Charging Party on November 20, 1980.
266 NLRB No. 8
Act, as amended, 29 U.S.C. § 151, et seq. (hereinafter
called the Act), was heard before me in Chicago, Illinois,
on various dates from September 2 through November
14, 1981, with all parties participating throughout by
counsel and given full opportunity to present evidence
and arguments. After I days of hearing, 1,058 transcript
pages, and some 1,125 pages of exhibits and numerous
motions requiring detailed interlocutory orders, at the
conclusion of the General Counsel's/Charging Party
Union's case Respondent moved to dismiss the com-
plaint. In view of the importance of the issues tendered,
all parties requested time for submission of briefs, an ad-
ditional 254 pages received by December 23, 19812 -for
a total record of around 2,500 pages.
The issues presented are whether, in violation of Sec-
tion 8(a)(5) and (1) of the Act, Respondent Employer has
since on or about September 30, 1981, failed and refused
to engage in good-faith bargaining with Charging Party
Union on the subject of pension plans; and whether, in
that event, a strike by a collective-bargaining unit of Re-
spondent's employees represented by Charging Party,
commencing on November 17, 1980, was an unfair labor
practice strike. A further issue, raised by amendment to
the complaint, is whether Respondent also violated Sec-
tion 8(a)(3) of the Act by refusing to accept Charging
Party Union's alleged unconditional offer to return the
striking unit employees to work.
Upon the entire record and my observationi of the tes-
timonial demeanor of the witnesses, 3 I make the follow-
ing:
FINDINGS AND CONCLUSIONS
II. JURISDICTION
At all materials times, Respondent has been and is an
Illinois corporation, with office and place of business in
Crystal Lake, Illinois, the facility here involved, engaged
in manufacture and sale of automotive diagnostic equip-
ment. During the representative year immediately pre-
ceding issuance of the complaint, Respondent sold and
shipped from that facility, to places outside Illinois, fin-
ished products valued at over $50,000; and also, during
the same period in the course and conduct of its business
at that facility, purchased and took delivery there, direct-
ly in interstate commerce from outside Illinois, of prod-
ucts valued at over $50,000.
I find that at all material times Respondent has been
and is an employer within the meaning of Section 2(2),
(6), and (7) of the Act; and that at all of those times the
Charging Party Union (hereinafter called the UAW) has
been and is a labor organization as defined by Section
2(5) of the Act.
2 On January 4, 1982, there was received from counsel for Charging
Party a letter dated December 28, 1981, in the nature of reply to Re-
spondent's brief By motion dated December 31, 1981, received on Janu-
ary 5, 1982, Respondent moved to strike the foregoing letter from the
record as unauthorized, and renewed its motion to dismiss the complaint.
In the exercise of discretion, Respondent's motion to strike out Charging
Party counsel's letter is denied. The foregoing documents have been in-
corporated into the record as Judge's Exhs. I and 2.
3 For practical purposes, including Respondent's motion to dismiss, no
determinative credibility issues are presented
37
DECISIONS OF NATIONAL LABOR RELATIONS BOARD
111. ALLEGED UNFAIR LABOR PRACTICES
Facts as Found; Pleadings
The complaint (par. 7) alleges and the answer denies
that Respondent Employer violated Section 8(a)(5) and
(1) of the Act in that since on or about September 30,
1981, it has failed and refused "in a timely fashion, thor-
oughly to consider and specifically to respond to propos-
als made by the Union regarding pension plans" and
that, in consequence thereof, a strike incepting on No-
vember 17, 1980, was an unfair labor practice strike.
September 3, 1981, amendments to the complaint
allege additionally that, notwithstanding the Union's July
27, 1981, notification that the strike was ended and offer-
ing unconditionally to return to work, Respondent re-
fused to reinstate striking employees upon the alleged
ground that they were economic and not unfair labor
practice strikers, thereby violating Section 8(a)(3) of the
Act. Respondent's supplemental answer of September 4,
1981, admits receipt of the Union's offer but denies it
was unconditional as required, and admits that it refused
to reemploy the strikers on the ground that they were
economic and not unfair labor practice strikers.
IV. ALLEGED UNFAIR LABOR PRACTICES
A. Facts as Found
1. Chief persons involved
The following are the major names figuring in events
to be described:
Aetna Life & Casualty (Aetna): Respondent Employ-
er's insurance carrier/fiduciary of its employees'
pension plan.
A. S. Hansen, Inc. (Hansen): Respondent Employer's
adviser/actuary for its employees' pension plan.
Roy Dahlke: Charging Party Union's International
representative
for 32 years, serving Respondent
Employer's bargaining unit employees (involving
labor agreement negotiation and grievance adminis-
tration) from 1976 to January 1981-including the
1980 labor agreement negotiations here concerned. 4
Keith Engelhardt: Respondent Employer's bargain-
ing unit employee and, since 1979, union bargaining
committee member.
Paul Korman: Charging Party Union's International
representative for 14 years (involving labor agree-
ment negotiation and grievance administration); has
represented Respondent's unit employees at various
times, including
1971
(when he negotiated the
Union's first labor agreement with Respondent) and
1974, and since January 1981.
Peter Tom Shukas: Respondent Employer's director
of personnel.
4 As senior negotiator of 28 or 29 International representatives of the
Union's "Region 4" (covering Illinois, Iowa, and Nebraska), Dahlke has
negotiated around 100 labor agreements, chiefly for Illinois bargaining
units, in various industries covering some 40 employers.
Henry A. Stark: Respondent Employer's vice presi-
dent for Legal and Human Resources since about
1979, and its chief negotiator in the 1980 labor
agreement negotiations here involved.
Linda Tobin Trieb: Respondent's bargaining unit em-
ployee and Charging Party Union member; as of
the date of her testimony here, not at work for Re-
spondent since the unit employees' strike incepting
in November 1980.
Bruce Watson: Charging Party Union member and
official (job developer) since October 1, 1978; on
leave of absence from employment in bargaining
unit here.
2. General background
Respondent, a manufacturer of automotive diagnostic
equipment with some 65 operating facilities and 2,500
employees nationwide, maintains a plant in Crystal Lake,
Illinois, the facility here involved, where a production
and maintenance collective-bargaining unit of about 300-
350 of its employees has been represented by Charging
Party Union, since its certification on May 17, 1971,
under successive 3-year labor agreements, the latest from
November 17, 1977, to November 17, 1980. One feature
of those labor contracts is a company-sponsored retire-
ment pension plan.5 It is Respondent's retirement pension
plan around which the controversy here swirls.
3. Chronology
Credited proof, largely uncontroverted in essential
substance, establishes as follows:
(a) 1977
The parties' 1977-80 labor agreement contained the
provision (Resp. Exh. 12, p. 34):
Section 12.2-Pension Benefits-Company shall at
its expense continue in force its policy of insurance
to provide eligible employees the present retirement
benefits available to them in conformity with state
and federal laws.
In connection with their 1977-80 labor agreement (Resp.
Exh. 12), the parties on November 18, 1977, executed,
and the union unit membership subsequently ratified, a
"Memorandum of Understanding" which provided, in
relevant part (G.C. Exh. 2a):
The parties agree to consider changes to the Pen-
sion Plan at the termination of the Agreement in
November 1980. The Union agrees to notify the
Company of desired changes twelve (12) months
prior to the expiration of the 1980 Contract and
Company agrees that any changes negotiated at that
time will retroactively effect [sic] any employee
In fact, Respondent has maintained a retirement pension plan for its
employees since 1958. According to uncontroverted testimony of Re-
spondent's director of personnel, Shukas, Respondent made annual distri-
bution of copies of the plan to its participants.
38
SUN ELECTRIC CORPORATION
who retires or first receives benefit payments during
the term of this new Agreement. 6
(b) 1979
On July 23, 1979, union negotiator Dahlke wrote Re-
spondent, referring to the parties' aforequoted November
18, 1977, "Memorandum of Understanding" (Resp. Exh.
12):
In the last Contract Negotiations between your
Company and UAW Local 1712, the Company
gave to the Union a letter on the matter of the Pen-
sion Plan.
The intent of the letter was while not precluding
any Pension Proposals the Union might make in the
1980 negotiations, the Company would meet with
the Union in 1979 to hear from the Union proposals
for changes in the Pension Plan which the Compa-
ny would study and review.
May I hear from you as to your intentions in this
matter. [G.C. Exh. 3.]
Respondent's July 25, 1979, answer to the foregoing
was (G.C. Exh. 4):
In reference to your letter of July 23, 1979 regard-
ing Pension Proposals, please be advised that any
such requests should be directed to my attention.
Upon receipt of your written proposal, I will for-
ward said proposal on to the Sun li.e., Respond-
ent's] Pension Committee for study and review.
Respondent has meanwhile since 1978-79 been review-
ing, and has entered into discussion concerning, the
Company's employees' retirement pension system, look-
ing at possible modification, 7
with its pension plan
adviser/actuary Hansen. 8
Responding to the Company's July 25, 1979, letter
(G.C. Exh. 4) soliciting the Union's specific proposals
concerning pensions, the Union on August 6, 1979, sup-
plied the Company with a list of 16 "proposals" (G.C.
Exh. 6), stating, inter alia, by preamble:
As you know, Pension Plans by their very nature
are most complex. We will set forth several propos-
als which reflect the thinking of the Union Mem-
bership and the Union Committee.
The final decision as to what our proposals might
ultimately be rests with the Membership of UAW
Local 1712.
The following proposals are intended to allow your
Company a great deal of time for study of our posi-
6 According to union negotiator Dahlke, the Company indicated at
these 1977 negotiations that the subject of retirement pensions was not
ripe for negotiation since it was then under study by the pension
insurer/administrator Aetna.
I Credited testimony of Respondent's vice president, Stark. See also
C.P. Exhs. 10 and II
a Also in 1979-80, Respondent was constrained to conform its pension
plan to statutory/regulatory requirements mandated by January 1, 1979-
effective amendments to the Age Discrimination in Employment Act
("ADEA"/"ERISA"). This is discussed in section B, infra.
tion, but the Union, of course, reserves the final
right to determine what our Pension Proposals
might be in the 1980 negotiations between your
Company and our Union.
With the very clear understanding that this does not
preclude the Union from any Pension Proposal it
might make in 1980, the following are some of the
major points that need correction as soon as possi-
ble: [There follows the 16 tentative "major points."]
As to the 16 tentative "major points" which follow, it is
noted that some of them are no more definite than "the
exact details can be discussed in negotiations," "rewrite
. . . so that it is more easily understood," "Discuss," and
"Negotiate."
On the heels of this proposal, on September 20, 1979,
the Union wrote Respondent on a number of subjects, in-
cluding what appears to be a substantial and potentially
actuarially costly "amend[ment]" to its foregoing April 6
pension proposals (G.C. Exh. 6).
On cross-examination, Charging Party Union's repre-
sentative and chief negotiator Dahlke conceded that the
foregoing pension proposals to the Company were in-
tended, for the Union as well as the Company, only as
bargaining points or topics for the 1980 negotiations-
with the Union itself at liberty to alter, withdraw, or add
to its own earlier proposals.9
Dahlke further conceded
that at no time following his submission to Respondent
of his August 6, 1979, pension proposals (G.C. Exh. 6)
did he, prior to the inception of the September 30, 1980,
negotiations, seek to meet with Respondent to discuss
those proposals. '
The Union's pension proposals" were referred by the
Company to its pension plan adviser/actuary Hansen for
study, with no discussion thereon prior to inception of
the 1980-83 labor contract negotiations in September
1980.
(c) 1980
Unit employees' suggestions, solicited by their negoti-
ating committee for their hoped-for 1980-83 labor con-
tract, cover a wide spectrum of subjects (e.g.,
Resp.
Exhs. 30-1 through 30-81), including retirement pension
improvements. ' 2
* That this is true is fortified by the format of the Union's proposals
themselves, which, as shown above, expressly contemplated discussion,
clarification, and negotiation.
'O Nor, in my estimation, was Respondent under obligation to do so,
under its November 18, 1977., "Memorandum of Understanding" (G.C.
Exh. 2a). See section B, infra. Indeed, the General Counsel and Charging
Party Union expressly conceded at the hearing that Respondent was
under no obligation to bargain concerning pensions prior to the Septem-
ber 30, 1980, contract reopener negotiations.
II With the exception of union proposal "16" (G.C. Exh. 6), calling for
"Cost-of-living raises for people who retire under the Pension Plan,"
which the Company regarded as purely economic for its decision.
12 According to testimony of the General Counsel's witness, Keith En-
gelhardt, a unit bargaining committeeman, union chief negotiator Dahlke
was endeavoring, among other things, to improve the pension plan for
employees who had already retired. In this regard, however, see Allied
Chemical & Alkali Workers of America, Local Union No. I v Pittsburgh
Plate Glass Co., 404 U.S. 157 (1971). It is unclear whether concern over
pensions of retired employees, as distinguished from unretired unit em-
Continued
39
DECISIONS OF NATIONAL LABOR RELATIONS BOARD
At the first negotiating session on a 1980-83 labor con-
tract, which took place on September 30, 1980, the
Union presented its proposals (G.C. Exh. 7), covering a
full range of subjects. The only reference to pensions
therein is "Section 12.2-Letter to Company of 8-6-79"
(supra, G.C. Exh. 6), which union chief negotiator
Dahlke indicated at that meeting (September 30, 1980) he
wished to discuss.
The following is a chronology of the formal bargain-
ing sessions, with related written proposals, between the
parties, in their attempts to negotiate a 1980-83 labor
contract:
Document Distributed and Nature
1
9-30-80
GC Exh. 7:
2
10-15-80
Resp. Exh. 1:
3
10-23-80
Resp. Exh. 3:
Resp. Exh. 2:
4
10-29-80
Resp. Exh. 4.
Resp. Exh. 5:
5
11-5-80
Resp. Exh. 8B:
Resp. Exh. 6:
6
11-7-80 Resp. Exh. 7:
7
11-12-80
Resp. Exh. 8:
Resp. Exh. 9:
8
11-14-80
Resp. Exh. 1OB:
Resp. Exh. 19:
9
12-10-80
Resp. Exh. 33:
10
12-12-80
Resp. Exh. 34:
11
1-23-81
Resp. Exh. 35:
12
2-16-81
Resp. Exh. 35A:
13
3-10-81
Resp. Exh. 36:
14
3-20-81
Resp. Exh. 37:
15
6-25-81
GC Exh. 14A:
16
6-26-81
GC Exh. 15:
17
7-31-81
Resp. Exh. 38:
Union proposals
Company proposals
Union proposals
Company proposals
Company proposals
Company proposals
Company proposal
Company proposals (re
layoffs only)
Company proposals
Company proposals
Company proposals (re
job classifications and
educational assistance
program)
Company proposals
Company proposals
Company proposals
Company proposals
Company proposals
Union proposals
Company proposals
Company proposals
Company proposals
Union proposals
Company proposals
Negotiations continued thereafter also; indeed, to and
during the hearing, with no assertion that either party
has refused to meet for further bargaining. The bargain-
ing sessions generally followed the usual pattern of dis-
cussion, explanation, proposed changes, and acquiescence
in or modification of items or topics seriatim, with sub-
jects bargained off or modified, against each other or
against counterproposals; with new or modified propos-
als injected in subsequent negotiating sessions. The testi-
mony, as well as the written proposals exchanged, reflect
the typical, albeit perhaps slow, peristalsis of collective
bargaining looking toward a labor contract. Included
ployees, formed part of the basis for the unit employees' strike here. If it
did, since that subject is not mandatorily bargainable, an ensuing strike
for failure to bargain thereon would be unprotected and not an unfair
labor practice strike. Id. In view of the disposition here made, it is unnec-
essary to reach this issue.
was the subject of pensions, with, for example, the Com-
pany making a written proposal to the Union on that
subject at the session of November 5, 1980 (G.C. Exh.
8B), continuing the pension plan, subject to company
modification, with Company's chief negotiator, Stark, in-
dicating during the contract discussions that the Compa-
ny was "in the process of reviewing the pension plan to
determine
what
adjustments or changes
might
be
made"-eliciting union chief negotiator Dahlke's dis-
pleasure and reminder that the Company had had the
Union's proposals (such as they were) for 15 months.
Nevertheless, there is no evidence that the Union made
any counterproposals on this subject. The subject of pen-
sions next came up at the negotiating session of Novem-
ber
12,
1980, when Stark indicated there remained
"much actuarial work . . . to be done . . . and consider-
able review and consideration ....
" Dahlke, without
further ado, took the position that this constituted "an
unfair labor practice" which he would charge before the
National Labor Relations Board. When Stark reminded
Dahlke
that
the
Company's
pension
plan
was
countrywide, affecting employees throughout the coun-
try (as stated above, Respondent maintains some 65 loca-
tions with around 2,500 employees), Dahlke stated that
his interest was limited to the Company's Crystal Lake
unit employees.
It was not until the negotiating session of November
12 that the Company was apprised that-notwithstanding
the carefully precautionary and open-ended language of
the Union's earlier pension proposals (including its own
explicit indication therein that further discussion and ne-
gotiation were required-see G.C. Exh. 6)-the Union's
earlier "16 points" were firm, at least for discussion pur-
poses. Thereupon, at the afternoon negotiating session on
that day (November 12), the Union's "16 point" pension
proposal (G.C. Exh. 6) was discussed, with the Company
agreeing to various portions thereof in whole (e.g., "6")
or in part (e.g., "7"), with various other portions left
open ("13") or unresolved pending further necessary
study ("14" and "15").13 But, to allay Dahlke's ex-
pressed fear (according to his testimony) that under the
Company's pension proposal of November 5 (G.C. Exh.
8A, sec. 12.2) employees' pension benefits might be re-
duced, Stark assured him orally that this would not
occur, explicitly confirming that assurance in writing on
November 14 (G.C. Exhs. 10A and 10B, p. 14, sec. 12.2).
It is emphasized that the parties' November 12 negotiat-
ing sessions encompassed a wide spectrum of economic
subjects, of which pensions was only one and on none of
which was further discussion foreclosed.Z4
Dahlke con-
13 One basis therefor was, as indicated by the Company, the necessity
for "costing-out" these aspects in their ultimately bargained form vis-a-vis
, other economic issues on the bargaining table for consideration-the
wholly normal basic pattern of collective bargaining (see, e.g., G.C. Exh.
37, passim). Thus, for example, Union Chief Negotiator Dahlke testified
that the Company never took the position that its initial proposed wage
schedule (Resp. Exh. 9) was final. Nor could or did the Union insist that
its pension proposals-indefinite as some of them expressly were (G.C.
Exh. 6)-were final and inflexible. As everybody who has engaged in
collective bargaining knows, items and proposals on different subjects are
continuously traded off against each other before final agreement, that
being the very essence of the collective-bargaining process.
14 See fn. 13, supra.
Date
Meet-
ing
Num-
ber
40
SUN ELECTRIC CORPORATION
cedes that with regard to at least one important subject,
training, the Company's proposal of November 12 (G.C.
Exh. 8, sec. 14.14) met the Union's previous objections.
Union chief negotiator Dahlke conceded on cross-ex-
amination that during the 1980 negotiations the Union's
response to the Company's proposals were all oral, with
the sole exception of the Union's proposals of October
23, 1980 (Resp. Exh. 3), which constituted the only writ-
ten counterproposals put forward by the Union in 1980.
At no time between the Company's concessions on No-
vember 12 concerning items of the Union's pension pro-
posals and the end of December 1980 did the Union
make any counterproposals concerning pensions.
Within the context of the above negotiating sessions
and during their progression, it is stipulated that on No-
vember 2 a strike vote meeting was held' 5 and on that
date as well as on November 16 a strike was authorized
by the unit members. Notwithstanding the fact that the
parties had not arrived at agreement when their 1977-80
agreement expired on November 17, 1980, the further
fact that the parties were still in the process of actively
ongoing negotiation at that time, and the additional fact
that chief company negotiator Stark assured chief union
negotiator Dahlke on November 12 that there would be
no lockout (Dahlke's testimony) if agreement were not
reached, Dahlke (according to his own testimony) on the
same occasion informed Stark that only if the parties
were "close" to agreement would the Union consider ex-
tending the agreement beyond its term.
The next negotiating session took place 2 days later,
on November 14, 1980, with, again, the Company taking
the initiative through yet another written proposal (G.C.
Exh. 10B), containing still further proposed betterments
of its training program, as to which union chief negotia-
tor Dahlke, according to his own testimony, took the po-
sition-without modifying his original objectives or de-
mands-that further negotiation was required. Also as to
overtime, Dahlke suggested that "additional negotiations
and exploration of proposals" were essential. According
to Dahlke, there was give and take on both sides of this
session (November 14), the Company increasing its pro-
posed betterments as the negotiations progressed. Gener-
ally with regard to the Company's concededly improved
written proposals of November 14, Dahlke took the posi-
tion that the proposals were so complex and "mammoth"
that they required further study, discussion, and negotia-
tions-in Dahlke's words, "a great deal of time and fur-
ther discussion . . . it could have been days or weeks."
On the subject of pensions, according to Stark, whose
testimony I credit, Dahlke indicated at the same (No-
vember 14) meeting that the pension pian indeed re-
quired actuarial studies and further discussion over a
period of 6 months.
According to Dahlke, on November 14, 1980, Stark
rejected the Union's offer for a 3-1/2 year or a 6-month
extension of the existing contract;' according to Stark,
I' It is to be observed that the strike authorization of November 2 oc-
curred prior to the negotiating session of November 12 when pensions
were first explored, with Dahlke then for the first time indicating that he
regarded Respondent's position (November 12) as an unfair labor practice
'6 This would, of course, have involved no change in the existing
(1977-80 collective agreement) retirement pension provision; and, under
he (Stark) proposed an extension from meeting to meet-
ing provided progress was being made. At this time, ac-
cording to Dahlke, the parties had not arrived at agree-
ment on a seemingly large number of important subjects
in addition to pensions-viz, grievance procedure, over-
time, holidays, vacation pay computation, seniority (espe-
cially on layoff), insurance, leave of absence, jury duty,
and meal periods; according to unit bargaining commit-
teeman Engelhardt, there were some 13 items under ne-
gotiation at the end of the November 14 session, with
contract duration proposed for the first time by the
Union on that date. 1'7
In this posture of the ongoing bargaining negotiations,
without further discussion and without indication that
the Company would not negotiate further, the unit em-
ployees, following a meeting of November 16,18 went
out on strike on November 17, 1980, with, thereafter,
only two (G.C. Exh. 23 and Resp. Exh. 32m) of many
picket signs claiming an "unfair labor practice" and only
one (G.C. Exh. 23) of those alleging refusal to bargain
concerning pensions.
Nothwithstanding the strike (and Respondent's hiring
of replacements for the striking employees-whom it re-
garded as economic strikers-to keep its plant in oper-
ation'9), the parties nevertheless continued their negotia-
tions, as indicated by the above chronology, to and
through the instant hearing, with written proposals and
counterproposals being traded, without counterproposal
or renewal of bargaining by the Union on the subject of
pensions other than that, according to Dahlke, he told
the Company at a November 24 session that, in a context
of many subjects remaining open for discussion, the
Union was flexible on the impact of these on "fringes"
including pensions. On June 25, 1981, the Company noti-
fied the Union that it was placing into effect for its non-
bargaining unit personnel throughout the country a com-
prehensive new pension plan, which it offered to institute
also for its bargaining unit personnel retroactively to
July 1, 1981 (G.C. Exh. 14A).20 It is of interest to ob-
serve that the Union's response of June 26, 1981 (G.C.
Exh. 15), acknowledging receipt of the Company's new
proposal on pensions, states in part:2'
art. XVI of the then subsisting collective agreement (Resp. Exh. 12, p.
42), the terms and conditions thereof would have been (and were) pro-
jected forward beyond its November 17, 1980, termination date.
17 Although Stark's November 14, 1980, bargaining session notes state
that the parties arrived at "a bargaining impasse" (G.C. Exh. 38, p. 6) at
7:25 p.m. on that day, that seems hardly likely (unless he meant a tempo-
rary impasse at that juncture) in view of what actually took place then
and the resumed bargaining which took place soon thereafter.
i' General Counsel witness Linda Trieb testified and reiterated that,
after the unit membership strike vote of November 16, Dahlke informed
the membership that he intended to return to the Company to resume
bargaining in order to "get something more for [the employees]."
i' Apparently there was a plentitude of readily available local man-
power to replace the striking employees.
20 This, of course, did not preclude the Union from counterproposing
that the plan, if otherwise acceptable or as modified by agreement, be ret-
roactive to some other stipulated date (cf., e.g, parties' November 17,
1977, "Memorandum of Agreement," handwritten addendum page "W").
21 Dahlke had meanwhile been replaced by Union International Repre-
sentative Korman. who wrote the letter containing the language which
follows.
41
DECISIONS OF NATIONAL LABOR RELATIONS BOARD
The plan will be sent to [Union headquarters in]
Detroit for review and analysis by our Actuaries.
I believe that you are aware of the consistent po-
sition of the Union regarding pensions being subject
to the collective bargaining process. The Union re-
serves the right to bargain collectively over the sub-
ject of pensions and it would, therefore, be incor-
rect to assume that we have no objections to bar-
gaining unit personnel participating in the pension
plan retroactive to July 1, 1981.
Please be advised that as soon as our Actuaries
review the amended version of the Pension Plan we
will be available to negotiate with the Company the
subject of pensions at the bargaining table.
We will also be comparing the Union's letter of
August, 1979 [i.e., G.C. Exh. 6] sent by Mr. Dahlke
to see which items have been addressed.
There is no indication that as of the time of the instant
hearing-through November 1981-the Union had re-
sponded substantially or made any counterproposal to
the Company's foregoing revised pension plan proposal.
According to General Counsel witness Keith Engel-
hardt, a bargaining unit committeeman who attended all
of the 1980-81 negotiating sessions, even as late as No-
vember 14, 1980-the last negotiating session before the
strike commencing on November 17, 1980-before it had
even received the Company's comprehensive pension
plan revision, the Union indicated to the Company that it
considered the subject of pensions so complicated that it
wished to negotiate that subject further over a suggested
period of 3-1/2 more months, and at no time did the
Company decline to do so.
(d) 1981
As has been pointed out, notwithstanding the strike
which started on November 17, 1980, the parties contin-
ued their formal negotiations, including the subject of
pensions, throughout 1981, with numerous formal con-
tract proposals. 22 Since there is no indication that, as of
the date of the instant hearing, the Union had responded
by acceptance, refusal, or counterproposal, to Respond-
ent's comprehensive new pension plan proposal of June
25, 1981 (G.C. Exh. 14A), the "old" pension plan contin-
ues to remain in effect for the unit employees.
As a feature or incident of the continuing economic
struggle between the Union and Respondent commenc-
ing around February 21, 1981, the Union has been urging
its members, as well as other union adherents, to engage
in a nationwide consumer boycott of Respondent and its
products. On July 27, 1981, the Union wrote to Re-
spondent that the strike was over and that the striking
unit employees offered "unconditional[ly]" to return to
"2 Respondent's version of the history of the parties' dealings to the
time of the Regional Director's acceptance of a settlement agreement of
the instant proceeding, on February 18, 1981, between Respondent and
the General Counsel, over Charging Party's opposition, is reflected in
Respondent's counsel's May 8, 1981, letter to the General Counsel's
Office of Appeals (G.C. Exh. 39B).
work on July 28, 1981.23 Respondent contends that, in
view of the Union-led continuing boycott of its products,
that offer to return to work was not a valid uncondition-
al work-return offer.2 4
B. Discussion and Resolution
It is not alleged (nor would the proof support a find-
ing) that Respondent has engaged in a general course of
failure or refusal to bargain, or in a general pattern of
bad-faith bargaining, violative of the Act, but only that it
has failed and refused "in a timely fashion, thoroughly to
consider and specifically to respond to proposals made
by the Union regarding pension plans" (complaint par.
"7[a]"). Since this is the threshold as well as the basic
issue to be resolved, our discussion is initially confined
thereto.
The proof does not support a finding that Respondent
has failed or refused to bargain with the Union concern-
ing unit employees' pensions, or that its negotiations on
that subject have been conducted in bad faith.
Although the Union furnished Respondent with a list
of 16 pension "proposals" which it hoped to achieve,
those proposals were preceded by a carefully worded
prologue characterizing them as tentative, incomplete,
and subject to withdrawal, change, or supplementation
by the Union itself. Some of the proposals were express-
ly listed as mere topics or listings requiring elucidation,
discussion, or negotiation. Furthermore, the General
Counsel and Charging Party Union concede that Re-
spondent was under no obligation to negotiate concern-
ing any of them, or on the subject of pensions, until the
1980 contract reopener negotiations commencing on Sep-
tember 30, 1980. The critical period during which Re-
spondent's bargaining conduct must be assessed is thus
limited to the relatively brief time from the outset of ne-
gotiations on September 30, 1980, until the Union com-
menced its strike on November 17, 1980, characterized in
the complaint as an unfair labor practice strike caused by
Respondent's failure and refusal to bargain as required
by the Act on the subject of pensions.
Although pensions are a mandatory subject of collec-
tive bargaining under the Act, 25
the Act does not re-
quire that parties who bargain must agree-it explicitly
states that they need not;2 6 its command is only that
they bargain without mind set against agreement or the
notion of compromise. 2 7 Nor does the Act require that
a2 Union International Representative Korman testified that around
250 of them tendered themselves for work on the morning of July 28,
1981.
24 This question is dealt with in sec. B, infra.
2s Inland Steel Company, 77 NLRB 1, enfd. 170 F.2d 247 (7th Cir.
1948), cert. denied 336 U.S. 960 (1949); Note, Pension and Retirement
Matters-a Subject of Compulsory Collective Bargaining, 43 111. L. Rev. 713
(1948).
26 NLRA, Sec. 8(d).
27 Cf N.L.R.B. v. Truitt Manufacturing Co., 351 U.S. 149, 152-153
(1956); N.L.R.B. v. American National Insurance Co., 343 U.S. 395, 404
(1952); General Electric Company, 150 NLRB 192, 193 (1964), enfd. 418
F.2d 736 (2d Cir. 1969), cert. denied 397 U.S. 965 (1970). But the right
not to agree or concede, or to refuse a particular proposal or make a con-
cession, may not be utilized "as a cloak .. . to conceal a purposeful strat-
egy to make bargaining futile or fail." N.L.R.B. v. Herman Sausage Co.,
Inc., 275 F.2d 229, 232 (5th Cir. 1960).
42
SUN ELECTRIC CORPORATION
bargaining be conducted at a specified rate of speed, so
long as the pattern does not bespeak bad faith. 2 8 The
fact is that the parties did bargain concerning pensions,
within the context of full-spectrum negotiation, between
the onset of their negotiations (September 20, 1980) and
the commencement of the strike (November 17, 1980), as
well as thereafter.2 9 While the Union may have been dis-
appointed at its failure speedily to accomplish its objec-
tives concerning pensions (as well as other subjects)
during the negotiations which it elected to punctuate (as
was its right) with a strike commencing on November
17, 1980, the proof does not establish that Respondent's
failure to acquiesce wholly in the Union's pension de-
mands, or that Respondent's rate of bargaining speed on
that subject (considered, as it must be, in context with
other economically potentially costly subjects)-particu-
larly in view of the Union's failure to advance counter-
proposals or any modification of its original proposals on
that subject30 -were such as to amount to bad-faith bar-
gaining in violation of the Act.
It is the scheme of the Act that the Board may intrude
into private sector collective bargaining only to assure
that it occurs. The Board may not even unlock bona fide
impasse. However, administration of this basic principle
involves a wavy or even spike line, one aspect of which
is that-to paraphrase a familiar cliche-bargaining de-
layed may be bargaining denied. But the facts here
hardly meld to display such a pattern.
The fact of the matter is that the parties have been
bargaining, in conventional fashion, since as well as
before the strike which started on November 17, 1980,
with the strike a mere (and lawful) economic-pressure in-
cident in the course of that bargaining. While the fact
that bargaining takes place after a strike does not neces-
sarily operate to erase, avoid, or waive any bad-faith bar-
gaining antedating the strike, it being in the public inter-
est to encourage resumption of bargaining even during a
strike,"
nevertheless at the same time it is certain that
the mere fact that a strike has been called does not itself
establish bad faith by the employer in the bargaining
which preceded the strike. Strikes are traditionally (and
legitimately) called to exert economic pressure on em-
ployers to meet unions' demands on behalf of their con-
stituent employees associated in collective endeavor.
Such strikes, known as "economic strikes," are to be
sharply differentiated from "unfair labor strikes" which
are the consequence of an employer's unfair labor prac-
tices in violation of the Act. The consequences of the
differentiation between these two different
types of
28 Cf., e.g., King Radio Corporation, Inc., 172 NLRB 1051 (1968), enfd.
416 F.2d 569 (lOth Cir. 1969), cert. denied 397 U.S. 1007 (1970).
29 It is of course clear that a strike does not toll the statutory bargain-
ing obligation. N.L.R.B. v. J. H. Rutter-Rex Manufacturing Company. 245
F.2d 594, 596 (5th Cir. 1957).
30 In connection with the Union's seeming dissatisfaction with the rate
of Respondent's negotiating speed on the subject of pensions, it will be
recalled that when Respondent submitted its comprehensive proposed
new pension to the Union (June 25, 1981-G.C. Exhs. 14A and B), the
Union's response to Respondent was that it needed to submit the propos-
al to its own actuaries, in turn, for study: and that, as of the time of the
instant hearing, some 5 months later, Respondent's pension proposal was
still under study by the Union's actuaries or under consideration by the
Union. Thus, this is hardly a hare versus a tortoise situation
31 See fn. 29, supra.
strikes have been pointed out so many times that they
should be crystal clear to union representatives as well as
to employers. Significantly and centrally, economic strik-
ers may, while striking or withholding their labor, be re-
placed by the employer-since the employer has the
right to attempt to continue to carry on his business
without the strikers, if he can, during a strike, by hiring
replacement employees-subject to the employer's obli-
gation to reemploy economic strikers who have not im-
permissibly misconducted themselves during the strike,
as their replacements leave, are discharged, or as suitable
jobs otherwise open up; whereas unfair labor practice
strikers may not lawfully be replaced in their jobs, so
that their replacements are required to surrender or be
ousted from their jobs in order to return the unfair labor
practice strikers to those jobs.3 2
But, as already stated,
here no bad-faith or other unfair labor practice bargain-
ing on the Employer's part has been established. The
Employer has bargained in good faith with the Union
before, during, and after the strike until the time of the
hearing herein. The fact that the Union has not succeed-
ed in attaining its avowed bargaining objectives does not,
of course, mean the Employer has been bargaining in
bad faith (nor that, for that reason, the ensuing strike was
an unfair labor practice strike), since the Employer (no
more than the Union) is not required to agree, but only
to bargain in good faith.
Nor, specifically with regard to the subject of pen-
sions, does the proof establish bad-faith bargaining by
Respondent. It is conceded that Respondent was under
no obligation to bargain with the Union on that subject
prior to the inception (at the Union's behest, which was
acceded to by Respondent without delay) of negotiations
on September 30, 1980; and thereafter the parties did in
fact bargain thereon in good faith. Respondent was not
under obligation to acquiesce in the Union's proposals or
to conclude agreement on that important economic sub-
ject prior to or other than as part of overall agreement
upon an entire economic package, since, as is well
known, in the normal peristalsis of collective bargaining
each component of an economic package is like a weight
placed on or withdrawn from one side or the other of
the scale, either weighing it down or lightening it. Thus,
an employer (just as a union) may legitimately make,
modify by reduction or improvement, or even withdraw
a wage offer depending upon how costly (or gainful) are
the features of an improved pension plan-or, vice versa.
This, as is a matter of common knowledge, is of the very
essence of the collective-bargaining process.
In short, no failure or refusal to bargain has been es-
tablished as alleged; nor has any "bad faith" or "surface"
bargaining on Respondent's part been demonstrated.3 3
Although, to be sure, Respondent's executive and chief
negotiator, Stark, indicated at the close of the November
14, 1980, bargaining session that the parties had arrived
at "impasse," even if he was right this would, of course,
32 See, e.g., Mastro Plastics Corp. v. N. R. B. 350 U S. 270, 278 (1956);
The Laidlaw Corporation, 171 NLRB 1366 (1968), enfd. 414 F.2d 99 (7th
Cir 1969), cert. denied 397 U.S. 920 (1970).
33 Indeed, Respondent in its answer accuses the Union -not
implausi-
bly-of bad-faith bargaining.
43
DECISIONS OF NATIONAL LABOR RELATIONS BOARD
not establish violation of the Act, and any ensuing strike
(as here) not caused by an unfair labor practice would
have to be regarded as a mere economic strike.
Since no unfair labor practice on Respondent's part
has been established, the unit employees' strike which
they elected to commence on November 17, 1980, was
not an unfair labor practice strike and they were not
unfair labor practice strikers. When that strike started,
not only had Respondent not committed any unfair labor
practice under the Act, but the parties were for practical
purposes
in the throes of bargaining-according to
Dahlke, the Union itself was still in the midst of consid-
eration of the Employer's proposed new wage-classifica-
tion structure and position revision, when it elected to
strike; and full-spectrum bargaining continued apace not-
withstanding the strike. Upon the Union's own evidence,
I find that the strike was purely economic in nature.3 4
The ADEA/ERISA-Mandated Amendments to
Respondent's Pension Plan
The further contention was raised at the hearing-but
unmentioned in the complaint as amended-that Re-
spondent committed a further unfair labor practice, and
that for that additional reason the Union's strike was an
unfair labor practice strike, through instituting certain
unilateral changes in the pension plan without bargaining
with the Union.
This contention centers around changes in Respond-
ent's pension plan mandated by law under 1979 amend-
ments to the Federal Age Discrimination in Employment
Act (ADEA) with implementing U.S. Internal Revenue
Service and Department of Labor Regulations affecting
employer pension plans under the Employees Retirement
Security Act, 29 U.S.C. § 1001, et seq. (ERISA). The
proof establishes that Respondent did indeed make these
statutorily required changes (Contract Amendment No.
6) so as to conform its plan to those requirements added
in the interest of employee beneficiaries of pension plans
(G.C. Exhs. 25-32 incl., finalized on or about October 7,
1980). It is undisputed that these changes were thereafter
called to the Union's attention by Respondent on June
30, 1981.
With regard to the foregoing, credited testimony of
Company's executive and chief negotiator, Stark, estab-
lishes that these "changes" in its pension plan were man-
dated by Federal statute applicable nationwide to all pen-
34 The fact that Dahlke used the expression "unfair labor practice" in
characterizing Respondent's actions obviously does not establish that the
strike was
a
n'
"unfair labor practice strike." In this connection, it is fur-
ther to be noted that the strike was authorized by the membership sub
stantially prior to November 17-on November 2, when it could only
have had ain economic basis without more. And it did not change thereaf-
ter. since at no time did Respondent fail or refuse to bargain on any sub-
ject
T hat causal connection must be demonstrated to establish an unfair
labor practice strike, see Latrobe Steel Company v. N.L.R.B., 630 F.2d
171, 180--181 (3d Cir. 1980); Deister Concentrator Company, Inc., 253
NL.RB 358, 392-394 (1980); Certified Corporation, 241 NLRB 369, 373
(1979);
Tufts Brothers Incorporated, 235 NLRB 808, 810-811 (1978);
Pennco, Inc., 212 NLRB 677, 678-679 (1974); Coca Cola Bottling Works.
Inc., 186 NLRB 1050, 1053-54 (1970), modified at 466 F.2d 380 (D.C.
Cir
1972); Peyton Packing Company, Inc., 129 NLRB
1275, 1293-94
(1961); Anchor Rome Mills, Inc., 86 NLRB 1120, 1122 (1949). See also
cases cited infra, fn. 35.
sion plans; that they were perfunctory in nature; and that
at no time did the Union in any way take exception or
objection to them (nor could it have, vis-a-vis Respond-
ent, who was legally required to comply therewith), nor
to any of the earlier similarly mandated amendments 1-5.
It is further observed that the parties' subsisting 1977-80
collective agreement explicitly provides that the pension
plan is to be conformed to "state and federal laws."
Moreover, since this entire matter-innocuous and legal-
ly required as it was-was concededly unknown to the
Union before June 30, 1981, it can hardly be contended
that it played any role in triggering its strike of Novem-
ber 17, 1980; nor is there any showing whatsoever that
the preceding strike (since November 17, 1980) was in
any way converted into an unfair labor practice strike
thereby, retroactively or prospectively. There is simply
no causal connection35 between this statutorily required
"Amendment No. 6" and the strike.3 6
s5 Cf. Latrobe Steel Co. v. NL.R.B., 630 F.2d 171, 180-181 (3d Cir.
1980); NL.R.B. v. Tomco Communications; Inc, 567 F.2d 871 (9th Cir.
1978); N.L.R.B. v. Colonial lHaven Nursing Home, Inc., 542 F.2d 691, 704-
705 (7th Cir. 1976); Winn-Dixie Stores, Inc. v. N.L.R.B., 448 F.2d 8, 11-12
(5th Cir. 1971); Winter Garden Citrus Products Cooperative v. N.L.R.B.,
238 F.2d 128, 129 (5th Cir. 1956); Tufts Brothers Incorporated, 235 NLRB
808, 810-811 (1978); Arkay Packaging Corporation, 221 NLRB 99, 105-106
(1975); Pennco, Inc., 212 NLRB 677, 678-679 (1974); Romo Paper Products
Corp., 208 NLRB 644 (1974); Typoservice Corporation, 203 NLRB 1180
(1973); Capital Rubber & Specialty Co., Inc., 198 NLRB 260 (1972); Peyton
Packing Company, Inc., 129 NLRB 1275, 1293-94 (1961); Anchor Rome
Mills, Inc., 86 NLRB 1120, 1122 (1949). See also cases cited supra, fn. 34.
3a Charging Party urges on brief that "Amendment No. 6" contained
or may have contained some changes in the pension plan not mandated
by the latest ERISA statutory requirements. But it is to be observed that
(1) the precise identification, content, nature, or alleged significance (if
any) of any of these was not shown by Charging Party prior to or even
at the instant hearing; (2) neither the charge nor the complaint, even as
amended, includes any such allegation, nor was it comprehensibly pin-
pointed or litigated; and (3) in any event, since concededly totally un-
known to Charging Party at the time the strike here was called, they
could not have been the cause of the strike (supra, fns. 34 and 35).
Charging Party's umbrage at not having received immediate technical
notification of those changes even before finalized by the plan's
insurer/administrator ignores the further fact that the ERISA changes
were not in any sense "unilateral" changes made by the employer but
were mandated by Congress and therefore hardly subject to the give-and-
take of employer-union bargaining. It is finally observed that at the same
time Charging Party dabbles suggestively in these murky waters in its
brief, it at the same time carefully eschews any "intent here to become
involved in an esoteric or exhaustive discussion on ERISA, the Internal
Revenue Code, or the Age Discrimination in Employment Act (ADEA)"
(CP. br., p. 41); and later therein (id. p. 44), a further argument is predi-
cated on the "assum[ption] arguendo that it [i.e.. Amendment No. 6 was
in its entirety] required by federal law " This type of argument appears to
smack of a somewhat slippery approach to the contention of alleged or
supposed "substantiality"
of nonstatutorily mandated
"changes" in
"Amendment No. 6," now attempted to he suggested or injected by
Charging Party, thrusting it for adjudication without adequate pretrial or
in-trial identification as a real issue to be litigated, or factual development
at the hearing itself so as to suffice as an adequate predicate for factfind-
ing one way or the other. It is the responsibility of the party who wishes
to raise issues in adversary litigation such as this to do so in timely and
proper fashion in pleadings (or amended pleadings) and then to litigate
them adequately at the hearing by establishing a proper record, as distin-
guished from "esoteric" (actual or eschewed) suggestions, speculations,
and implications on brief, which cannot then properly be dealt with by
the trier of fact or a reviewing body. In this posture of the record, it is
the Charging Party who, having rested its proof, must assume the respon-
sibility or consequences, if any.
44
SUN ELECTRIC CORPORATION
Respondent's Motion To Dismiss
At the conclusion of the General Counsel/Charging
Party's case, upon the facts detailed above, Respondent
moved to dismiss the complaint.
Since, as has been shown, the proof does not establish
that Respondent has failed or refused to bargain with the
Charging Party Union in good faith, it follows, as ex-
plained above, that the strike commenced by the Charg-
ing Party Union on November 17, 1980, was not, and did
not thereafter become, an unfair labor practice strike, but
was, rather, in its inception and thereafter remained an
economic strike. Thus, the allegations of the complaint
have not been sustained in any aspect.3 7
The contention that the Adminstrative Law Judge
here lacks power to dismiss a complaint at the conclu-
sion of the General Counsel/Charging Party's case is
without merit. Nowhere in the Act or in the Anglo-
American system of jurisprudence, including administra-
tive law, is there any requirement that a respondent or
defendant must "defend" against a "violation" of law
that has not been established. Such a requirement would
be subject to the gravest constitutional questions. Nor is
the contention supported by the Board's practice, which
recognizes the propriety of the exercise of such power,38
a7 It is clear that the September 3, 1981, "Admendments to Com-
plaint" add nothing requiring a different result, since in essence they
merely allege that Respondent committed a further unfair labor practice
by refusing to reinstate the striking employees to their former jobs when
they applied for reinstatement on July 28, 1981, on the termination of
their strike. Since, however, the striking employees were not unfair labor
practice strikers, but only economic strikers, Respondent, as explained
above, was not obligated to displace their replacements in order to rein-
state the strikers. The allegations of the "Amendments to Complaint" ac-
cordingly fall with the complaint.
It was in no way demonstrated at the hearing-nor is it alleged in the
"Amendments to Complaint" or otherwise claimed here-that Respond-
ent has refused reinstatement to any striking employee whose job (or oth-
erwise appropriate job) has become available.
a3 See, e.g., NLRB Rules and Regulations, Series 8, as amended, Sec.
102.25 and 102 35(h); Federal Rules of Civil Procedure, 41(b); Dravo Cor-
poration, 248 NLRB 620 (1980); United Automobile Workers, Local 122
(Chrysler Corporation), 239 NLRB 1108, 1114 (1978); Ryder Truck Lines,.
Inc., 234 NLRB 218, 222 (1978); A.B.C. Florida State Theatres, Inc., 221
NLRB 782 (1975); Bethlehem Steel Corp., 197 NLRB 837, 838, fn. I
(1972); General Box Company, 189 NLRB 269, 272 (1971); Emerson Elec-
tric Co.,
187 NLRB 294 (1970); Shell Oil Company, 166 NLRB 1064,
1067, 1079 (1967); General Maintenance Engineers. Inc., 142 NLRB 295
(1963); United Steelworkers of America, AFL-CIO. and Local Union 2140,
etc., 129 NLRB 357, 358, 361 (1960), enfd. sub nom. United States Pipe
and Foundry Company v. NL.R.B., 298 F.2d 873 (5th Cir. 1962), cert.
denied 370 U.S. 919 (1962); Cherry Rivet Company, 97 NLRB 1303, 1304,
fn. 1 (1952):
At the close of the General Counsel's presentation of evidence, the
Trial Examiner, upon motion of the Respondent, dismissed certain
allegations of the complaint on the ground that no prima facie case
had been established as to those allegations. The General Counsel
and the Union excepted to this ruling on the grounds that a prima
facie case had been made out, and that the Trial Examiner had no
power to dismiss any portion of the complaint before both sides had
presented their evidence. We disagree with these contentions. The
evidence introduced by the General Counsel to support the allega-
tions in question was speculative and inconclusive, and would not
have supported a finding that the Act had been violated. Further-
more, we find nothing in either the Administrative Procedure Act or our
own Rules and Regulations which prevents the Trial Examinerfrom dis-
missing a complaint under such circumstances. Such dismissals are well
established judicial and administrative practice. and are in the interest of
speedy administration of the law. [Cherry Rivet, supra, 1304, fn. 1; em-
phasis supplied ]
After lengthy hearing and some 2,500 pages of tran-
script, exhibits,
and briefs, under the circumstances
shown there is in my opinion no need for economic or
other justification for litigating this case further. Since
the Act requires no more than that parties bargain in
good faith, and not that they arrive at agreement, prima
facie violation of the Act has not been established, and
for that reason the complaint as amended should be dis-
missed.3 9
CONCLUSIONS OF LAW
I. Jurisdiction is properly asserted here.
2. The General Counsel and Charging Party having
rested their proofs, it has not been prima facie established
That the power of the Administrative Law Judge under Federal prac-
tice to dismiss at the end of the plaintiffs/prosecutor's case heard with-
out a jury may even involve determination of issues of credibility where
appropriate, see NLRB Rules and Regulations, Series 8, as amended. Sec.
102.39; Bunker Ramo Corporation, JD-572-80, p. 8, fn. 8 (Sept 12, 1980);
United Automobile Workers, Local 122 (Chrysler Corp.), 239 NLRB 1108,
1112 (1978); Cherry Rivet Company, 97 NLRB 1303, 1304, fn. 1 (1952);
Sime v. Trustees of the California State University and Colleges, 526 F 2d
1112 (9th Cir. 1975); Island Service, Company, Inc. v. Perez, 309 F.2d 799
(9th Cir. 1962); Poverman v. Walnut Hill Plaza. Inc.. 261 F.Supp. 176, 180
(D.R.I. 1966);
United States
v. Huck Manufacturing Company,
227
F.Supp. 791, 805 (E.D. Mich. 1964), affd. 382 U.S. 197 (1965); Notes, Ad-
visory Committee on Rules, to 1946 Amendments to Federal Rules of
Civil Procedure 41(b); 5 Moore's Federal Practice, par. 41-133 at 41 188.
The foregoing is in contrast to the standard applicable on a motion for
summary judgment, where the facts are to be viewed in the light most
favorable to the opposing party; see Southwest Louisiana Hospital Associ-
ation d/b/a Lake Charles Hospital, 240 NLRB 1330, 1330-31, fn. 4 (1979)
But cf. Pennypower Shopping News. Inc.,
244 NLRB 536 (1979).
39 In its September 4, 1981, "Answer to [September 3, 19811 Amend-
ments to Complaint," Respondent raises the "Additional Affirmative De-
fense" that contrary to the allegations of those "Amendments to Com-
plaint," "no unconditional offer to return to work" has been made on
behalf of the striking employees since July 27, 1981 Inasmuch as I have
recommended dismissal of the complaint as amended, it would appear
that it is unnecessary to deal with this affirmative defense herein. It ap-
pears from colloquy at the hearing that the affirmative defense centers
around the consumers' boycott (referred to above) promoted by the
Union, which has apparently been maintained notwithstanding the al-
leged "unconditional" offer to return to work-Respondent contending
that the offer was not unconditional since it involved continued promo-
tion, maintenance, and advocacy by the unit employees of the consumers'
boycott against Respondent, their own employer, such a boycott being
inconsistent with, at any rate, the characteristics of their previous em-
ployment relationship as sought to be resumed, if not with the normal
incidents of an employer-employee relationship. Cf., e.g., Sunbeam Corpo-
ration, 184 NLRB 950 (1970), affd. sub nom. Moore v. Sunbeam Corp. 79
LRRM
2803 (7th Cir. 1972). The General Counsel/Charging Party
argue, on the other hand, that conditioning reinstatement upon the aban-
donment of the consumers' boycott would be invasive of first admend-
ment rights as well as violative of the Act. Cf., e.g., M Restaurants, Incor-
porated d/b/a The Mandarin, 223 NLRB 725 (1976); Sears. Roebuck &
Co., 168 NLRB 955 (1967); Edir. Inc d/b/a Wolfie's, 159 NLRB 686
(1966).
In the existing posture and in view of the outcome here, I do not think
this issue need or should be resolved at this time, not only because the
complaint as amended is being dismissed, but also because the "Amend-
ments to Complaint" do not allege that any economic striker entitled to
reinstatement (if his job or other suitable employment opens up) has been
unlawfully denied reinstatement, and, finally, because no such proof was
here presented. For these reasons, it would appear that the contention in-
volved in Respondent's said affirmative defense is moot here This leaves
open the possibility that it may have to be dealt with if interposed in any
other or future Board case alleging that an economic striker properly
seeking reinstatement has been refused because of participation in or
maintenance of the consumers' boycott or on other allegedly invalid
basis.
45
DECISIONS OF NATIONAL LABOR RELATIONS BOARD
that Respondent has violated Section 8(a)(5), (1), or (3)
of the Act, as alleged in the complaint dated July 23, as
amended on September 3, 1981, or in any other respect.
3. Credited proof fails to establish that Respondent has
violated the Act in any respect alleged or otherwise.
4. Upon the facts and the law the General Counsel and
the Charging Party have shown no right to relief herein.
5. Respondent's motion, at the conclusion of the Gen-
eral Counsel/Charging Party's case, to dismiss said com-
plaint as amended should be granted.
Upon the foregoing findings of fact, conclusions of
law, and the entire record, and pursuant to Section 10(c)
of the Act, I hereby issue the following:
ORDER4 0
It is hereby ordered that the complaint herein, dated
July 23 as amended September 3, 1981, be and it is
hereby dismissed.
40 In the event no exceptions are filed as provided by Sec. 102.46 of
the Rules and Regulations of the National Labor Relations Board, the
findings, conclusions, and recommended Order herein shall, as provided
in Sec. 102.48 of the Rules and Regulations, be adopted by the Board and
become its findings, conclusions, and Order, and all objections thereto
shall be deemed waived for all purposes.
46