348 NLRB 565
E.C. Waste, Inc. d/b/a Waste Management de Puerto Ric
WASTE MANAGEMENT DE PUERTO RICO
348 NLRB No. 26
565
E.C. Waste, Inc. d/b/a Waste Management de Puerto
Rico and Union de Tronquistas de Puerto Rico,
Local 901, International Brotherhood of Team-
sters. Cases 24–CA–9997 and 24–CA–10064
September 29, 2006
DECISION AND ORDER
BY CHAIRMAN BATTISTA AND MEMBERS SCHAUMBER
AND WALSH
On July 19, 2006, Administrative Law Judge Paul
Bogas issued the attached decision. The Respondent
filed exceptions and a supporting brief, and the General
Counsel filed an answering brief.
The National Labor Relations Board has delegated its
authority in this proceeding to a three-member panel.
The Board has considered the decision and the record
in light of the exceptions1 and briefs and has decided to
affirm the judge’s rulings, findings,2 and conclusions,3
and to adopt the recommended Order as modified and set
forth in full below.4
1 There were no exceptions to the judge’s finding that the Respon-
dent, by Supervisor Pablo de Jesus, violated Sec. 8(a)(1) by threatening
employees with unspecified reprisals at a December 2004 meeting with
employees at the Respondent’s San Juan Transfer facility. There were
also no exceptions to the judge’s dismissal of the remaining 8(a)(1)
allegations in the complaint.
2 In adopting the judge’s finding that the Respondent violated Sec.
8(a)(5) by unilaterally eliminating a supplemental bonus for employees
at its Coqui San Juan facility, Chairman Battista and Member Schaum-
ber distinguish North American Pipe Corp., 347 NLRB 188 (2006), in
which the Board recently found that an employer’s substantial one-time
grant of stock to its employees was not subject to bargaining because it
was a gift rather than wages or remuneration for work. The bonus here,
unlike the grant of stock in North American Pipe, was given to employ-
ees annually for a number of years and was explicitly characterized by
the Respondent as a part of employees’ “salaries and benefits.” In
these circumstances, employees would reasonably expect to receive the
bonus as part of their remuneration for work, making the statutory
bargaining obligation applicable. See North American Pipe Corp., id.
at 200.
Member Walsh finds it unnecessary to distinguish North American
Pipe, as he dissented from the majority decision in that case.
3 Chairman Battista and Member Schaumber find it unnecessary to
pass on the judge’s conclusion that the Respondent’s elimination of the
supplemental bonus above violated Sec. 8(a)(3) in addition to Sec.
8(a)(5), because the additional finding of the 8(a)(3) violation would
not materially affect the remedy. See 675 West End Owners Corp., 345
NLRB 345, 345 fn. 3 (2005); Bryant & Stratton Business Institute, 321
NLRB 1007, 1007 fn. 4 (1996), enfd. 140 F.3d 169 (2d Cir. 1998).
Member Walsh would adopt the judge’s finding that the Respon-
dent’s conduct with regard to the supplemental bonus violated both
Sec. 8(a)(3) and Sec. 8(a)(5).
4 We amend the remedy section of the judge’s decision to specify
that any backpay provided under our Order here shall be calculated in
accordance with Ogle Protection Service, 183 NLRB 682 (1970), enfd.
444 F.2d 502 (6th Cir. 1971). We have modified the judge’s recom-
mended Order to conform to our standard remedial language and to
reflect the violations found. With respect to the requisite notice post-
ing, the judge observed that there was testimony that the Respondent
ORDER
The National Labor Relations Board orders that the
Respondent, E.C. Waste, Inc. d/b/a Waste Management
de Puerto Rico, San Juan and Caguas, Puerto Rico, its
officers, agents, successors, and assigns, shall
1. Cease and desist from
(a) Threatening employees with unspecified reprisals
for engaging in union or other protected activities.
(b) Refusing to bargain with Union de Tronquistas de
Puerto Rico, Local 901, International Brotherhood of
Teamsters (the Union) as the exclusive bargaining repre-
sentative of the Respondent’s employees in the bargain-
ing unit set forth below by unilaterally changing its sup-
plemental bonus program and/or reducing the annual
bonus for bargaining unit employees, without first giving
the Union notice and an opportunity to bargain.
(c) In any like or related manner interfering with, re-
straining, or coercing employees in the exercise of the
rights guaranteed them by Section 7 of the Act.
2. Take the following affirmative action necessary to
effectuate the policies of the Act.
(a) Rescind the unlawful unilateral change imple-
mented in December 2004 to the annual supplemental
bonus program for employees in the bargaining unit set
forth below, and notify all of those employees in writing
that this has been done.
(b) Before implementing any changes in wages, hours,
or other terms and conditions of employment of unit em-
ployees, notify and, on request, bargain with the Union
as the exclusive collective-bargaining representative of
employees in the following bargaining unit:
All chauffeurs, helpers, mechanics, utility/employees,
tire repairmen and welders employed by the Respon-
dent at its Sector La Muda, Caguas [Coqui] facility; but
excluding all other employees, guards and supervisors
as defined by the Act.
(c) Make employees who were part of the above-
bargaining unit and eligible for a supplemental bonus in
December 2004 whole, with interest, for the loss in earn-
ings they suffered as a result of the unlawful change to
the supplemental bonus program and the reduction in the
amounts of their bonuses.
had closed the Coqui San Juan facility. However, the record references
a Caguas facility as well. To avoid any confusion, we have modified
the judge’s recommended Order to require posting of the notice at both
of the facilities (Coqui San Juan and San Juan Transfer) where we have
found that unfair labor practices took place. In the event that the Coqui
San Juan facility in fact has closed, the modified Order provides for
mailing of the notice in accordance with Indian Hills Care Center, 321
NLRB 144 (1996), and Excel Container, Inc., 325 NLRB 17 (1997).
DECISIONS OF THE NATIONAL LABOR RELATIONS BOARD
566
(d) Preserve and, within 14 days of a request or such
additional time as the Regional Director may allow for
good cause shown, provide at a reasonable place desig-
nated by the Board or its agents, all payroll records, so-
cial security payment records, timecards, personnel re-
cords and reports, and all other records, including an
electronic copy of such records if stored in electronic
form, necessary to analyze the amount of backpay due
under the terms of this Order.
(e) Within 14 days after service by the Region, post at
its San Juan Transfer and Coqui San Juan facilities in
San Juan, Puerto Rico, copies of the attached notice
marked “Appendix.”5
Copies of the notice, on forms
provided by the Regional Director for Region 24, after
being signed by the Respondent’s authorized representa-
tive, shall be posted by the Respondent and maintained
for 60 consecutive days in conspicuous places including
all places where notices to employees are customarily
posted. Reasonable steps shall be taken by the Respon-
dent to ensure that the notices are not altered, defaced, or
covered by any other material. In the event that, during
the pendency of these proceedings, the Respondent has
gone out of business or closed any of the facilities in-
volved in these proceedings, the Respondent shall dupli-
cate and mail, at its own expense, a copy of the notice to
all current employees and former employees employed
by the Respondent at that facility at any time since De-
cember 3, 2004.
(f) Within 21 days after service by the Region, file
with the Regional Director a sworn certification of a re-
sponsible official on a form provided by the Region at-
testing to the steps that the Respondent has taken to
comply.
APPENDIX
NOTICE TO EMPLOYEES
POSTED BY ORDER OF THE
NATIONAL LABOR RELATIONS BOARD
An Agency of the United States Government
The National Labor Relations Board has found that we vio-
lated Federal labor law and has ordered us to post and obey
this notice.
FEDERAL LAW GIVES YOU THE RIGHT TO
Form, join, or assist a union
5 If this Order is enforced by a judgment of a United States court of
appeals, the words in the notice reading “Posted by Order of the Na-
tional Labor Relations Board” shall read “Posted Pursuant to a Judg-
ment of the United States Court of Appeals Enforcing an Order of the
National Labor Relations Board.”
Choose representatives to bargain with us on
your behalf
Act together with other employees for your bene-
fit and protection
Choose not to engage in any of these protected
activities.
WE WILL NOT threaten employees with unspecified re-
prisals for engaging in union or other protected activities.
WE WILL NOT refuse to bargain with Union de Tron-
quistas de Puerto Rico, Local 901, International Brother-
hood of Teamsters (the Union) as the exclusive bargain-
ing representative of our employees in the bargaining
unit set forth below by unilaterally changing our supple-
mental bonus program and/or reducing the annual bonus
for bargaining unit employees, without first giving the
Union notice and an opportunity to bargain.
WE WILL NOT in any like or related manner interfere
with, restrain, or coerce you in the exercise of the rights
set forth above.
WE WILL rescind the unlawful unilateral change im-
plemented in December 2004 to the annual supplemental
bonus program for employees in the bargaining unit set
forth below, and notify all of those employees in writing
that this has been done.
WE WILL, before implementing any changes in wages,
hours, or other terms and conditions of employment of
unit employees, notify and, on request, bargain with the
Union as the exclusive collective-bargaining representa-
tive of employees in the following bargaining unit:
All chauffeurs, helpers, mechanics, utility/employees,
tire repairmen and welders employed by us at our Sec-
tor La Muda, Caguas [Coqui] facility; but excluding all
other employees, guards and supervisors as defined by
the Act.
WE WILL make employees who were part of the above-
bargaining unit and eligible for a supplemental bonus in
December 2004 whole, with interest, for the loss in earn-
ings they suffered as a result of the unlawful change to
the supplemental bonus program and the reduction in the
amounts of their bonuses.
E.C. WASTE, INC. D/B/A WASTE MANAGEMENT
DE PUERTO RICO
Ana Ramos, Esq., for the General Counsel.
Luis R. Perez Giusti, Esq., of Hato Rey, Puerto Rico, for the
Respondent.
DECISION
STATEMENT OF THE CASE
PAUL BOGAS, Administrative Law Judge. This case was
tried in San Juan, Puerto Rico, on March 2, 2006. The Union de
WASTE MANAGEMENT DE PUERTO RICO
567
Tronquistas de Puerto Rico, Local 901, IBT (the Union) filed
the initial charge on December 3, 2004, and amended that
charge on February 7 and 23, 2005. The Union filed a second
charge on March 30 and amended it on June 27 and July 28,
2005. The Regional Director for Region 24 of the National
Labor Relations Board (the Board) issued the consolidated
complaint on October 31, 2005. The complaint alleges that E.C.
Waste Inc. d/b/a Waste Management de Puerto Rico (the Re-
spondent) committed violations of the National Labor Relations
Act (the Act) during the approximately 1-month period be-
tween when employees at one of its facilities voted to be repre-
sented by the Union and when employees at another of its fa-
cilities voted in a subsequent representation election. According
to the complaint, the Respondent violated Section 8(a)(1) by
threatening employees with reprisals for protected activity and
by telling employees that it would be futile to bring people
from outside the Company to resolve their problems. The com-
plaint further alleges that the Respondent violated Section
8(a)(5) and (1) by failing to bargain with the newly certified
union before reducing the annual bonuses paid to employees at
one facility, and violated Section 8(a)(3) and (1) by discrimina-
torily reducing those bonuses because the employees engaged
in activities protected by the Act. The Respondent filed a timely
answer in which it denied the substantive allegations of the
complaint.
On the entire record, including my observation of the de-
meanor of the witnesses, and after considering the briefs filed
by the General Counsel and the Respondent, I make the follow-
ing
FINDINGS OF FACT
I. JURISDICTION
The Respondent, a corporation, with offices and places of
business in San Juan and Caguas, Puerto Rico, is engaged in the
residential removal and disposal of solid waste in various mu-
nicipalities in the Commonwealth of Puerto Rico. In conducting
these business operations, the Respondent annually purchases
and receives goods and materials valued in excess of $50,000 at
its places of business in Puerto Rico directly from enterprises
located outside Puerto Rico. The Respondent admits and I find
that it is an employer engaged in commerce within the meaning
of Section 2(2), (6), and (7) of the Act and that the Union is a
labor organization within the meaning of Section 2(5) of the
Act.
II. ALLEGED UNFAIR LABOR PRACTICES
A. Background Facts
The Respondent is in the business of collecting and dispos-
ing of solid waste. It has a total of nine facilities in Puerto Rico,
and, at the time of trial, the Union was the collective-bargaining
representative for employees at seven of those locations. This
case involves two of the Respondent’s facilities—Coqui San
Juan1 (Coqui) and San Juan Transfer. On November 19, 2004,
1 In some instances, including in the complaint, the Coqui San Juan
facility is referred to as the Caguas facility. There was uncontradicted
testimony that the Respondent closed this facility for business reasons
shortly before trial.
employees at Coqui voted to be represented by the Union, and
on November 30, 2004, the Board certified the Union as the
representative of a unit of approximately 100 employees there.
The Coqui bargaining unit includes all the chauffeurs, helpers,
mechanics, utility employees, tire repairmen, and welders at
that location. On December 14, 2004, employees at the San
Juan Transfer facility also voted to be represented by the Un-
ion. The Board certified the Union as the representative of the
unit at San Juan Transfer on December 23, 2004. The San Juan
Transfer bargaining unit includes all drivers, utility employees,
and transfer station operators at that location.
At the time of the alleged violations, Jose Cardona was the
Respondent’s general manager, Rosario Pabon was the man-
ager of the district that includes the Coqui and San Juan Trans-
fer facilities, and Pablo de Jesus was the site manager for three
of the Respondent’s locations—including Coqui and San Juan
Transfer.
B. November Meeting at Coqui Facility
In November, a few days after the Union prevailed in the
election at Coqui, de Jesus held a meeting with a group of em-
ployees at that facility. De Jesus testified that his purpose was
to inform employees that “there was an election and there was
the results, but we needed to continue working as usual, giving
services to our customers.” Carlos Perez, an employee who
attended the meeting, testified that de Jesus’ presentation in-
cluded statements that Perez found threatening. According to
Perez’ testimony on direct examination, de Jesus told the em-
ployees that “things were going to change after the Union was
there,” and that the employees would “cry crocodile tears for
what [they had] done.” Later, on cross-examination, Perez re-
counted different wording, stating that de Jesus had said that
employees would “cry blood tears” rather than “crocodile”
tears. Perez also testified that de Jesus said he did not want any
union delegates to come to his office until the collective-
bargaining agreement was negotiated.
De Jesus admitted that he “didn’t want to have anybody . . .
from outside dealing with the company’s issues” and that it was
“possible” he was disappointed that the Union had prevailed in
the election, but he denied making the statement that employees
would “cry blood tears” and the statement regarding union
delegates. I conclude that the record does not establish that de
Jesus more likely than not made the statements recounted by
Perez. De Jesus testified in a confident manner about the No-
vember meeting and his testimony on that subject was free of
significant inconsistencies. In addition, de Jesus’ testimony that
the purpose of the meeting was to remind the employees that
they had to continue providing the usual level of service to their
customers after the election was facially plausible, especially
given that de Jesus is not accused of attempting to influence the
Coqui employees prior to the election there. The General Coun-
sel tried to use de Jesus’ affidavit to impeach him, pointing out
that in the affidavit de Jesus said that he did not “believe” he
had made the disputed statements. Although de Jesus’ denial in
the affidavit may have been somewhat less emphatic than his
denial at trial, those denials are essentially consistent, and I find
that the affidavit language relied on by the General Counsel
does not significantly diminish de Jesus’ credibility on the sub-
DECISIONS OF THE NATIONAL LABOR RELATIONS BOARD
568
ject. I did note that de Jesus had a tendency to hedge some of
his answers on sensitive subjects, and this tendency detracted
somewhat from my confidence in his truthfulness.2
Although I believe that Perez was a somewhat credible wit-
ness, I cannot conclude that his testimony regarding the alleged
threats outweighs de Jesus’ denials. I note, first, that Perez’
account was vague. He testified that the November meeting
lasted approximately 15 minutes, but he was able to recount
nothing about what de Jesus said beyond the few, very brief,
statements discussed above. Even with respect to those state-
ments, Perez’ account was inconsistent. As noted above, during
direct examination he testified that de Jesus had said employees
would cry “crocodile” tears, but on cross-examination he testi-
fied that the phrase was “blood” tears. Perez’ demeanor also
detracted somewhat from my confidence in his reliability.
When I administered the oath to him, Perez shifted uncom-
fortably and averted his eyes. I recognize that Perez was a cur-
rent employee at the time he gave testimony adverse to the
Respondent, and that his testimony was therefore “given at
considerable risk of economic reprisal, including loss of em-
ployment.” Shop-Rite Supermarket, 231 NLRB 500, 505 fn. 22
(1977); see also Flexsteel Industries, 316 NLRB 745 (1995),
enfd. mem. 83 F.3d 419 (5th Cir. 1996). However, the added
credence that attaches to his testimony for that reason is insuf-
ficient to overcome the other factors, discussed above, which
lead me to conclude that his account does not outweigh the
account of de Jesus.3
C. Bonuses Paid on December 3, 2004
Under the laws of Puerto Rico, the Respondent must pay an
annual bonus to each employee who has worked the requisite
number of hours during the period from October 1 of the prior
year to September 30 of the current year. (See 29 L.P.R.A. Sec.
501, et seq.) The law requires payment of a minimum bonus
amount, which the record indicates did not exceed $200 in the
case of each of the Respondent’s employees, and which the
employer is required to disburse between December 1 and 15 of
each year. Prior to 2004, the Respondent has paid bonus
2 See, e.g., Tr. 91–92 (When asked whether he was the one who ini-
tiated the November meeting, de Jesus first states that “It is possible,
yes,” but later indicates that he did, in fact, call the meeting.); Tr. 92
(When asked whether he was disappointed about the employees’ vote
in favor of the Union at Coqui, de Jesus responds, “It is possible, yes.”).
3 De Jesus and Perez were the only witnesses who were called to tes-
tify about the November meeting. Perez testified that a group supervi-
sor was also present at the meeting. The record does not show whether
that individual was a supervisor for purposes of the Act, or even
whether he was still working for the Respondent at the time of trial.
Under the circumstances, I cannot reasonably assume that the individ-
ual identified as a group supervisor was favorably disposed to the Re-
spondent and I draw no adverse inference from the Respondent’s fail-
ure to call him or her. See Electrical Workers Local (Teknion, Inc.),
329 NLRB 337, 337 fn. 1 (1999) (adverse inference may be drawn
when party fails to call a witness who may reasonably be assumed to be
favorably disposed to the party); International Automated Machines,
285 NLRB 1122, 1122–1123 (1987), enfd. mem. 861 F.2d 720 (6th Cir.
1988). I note, moreover, that although the November meeting was
attended by a number of other employees, none were called to corrobo-
rate either de Jesus’ or Perez’ account.
amounts in addition to the legally required minimum to em-
ployees at the Coqui and San Juan Transfer facilities. Cardona,
the Respondent’s general manager, testified that he determined
the size of these supplemental bonuses on the basis of the “eco-
nomic situation” and “financial status of the moment.” In 2002
and 2003 the Respondent disbursed to each employee a single
bonus payment that included both the minimum bonus required
by Puerto Rican law, and the supplemental bonus. Pursuant to
this practice, the Respondent paid each qualifying employee at
Coqui a bonus of $1050 in December 2002, and $1075 in De-
cember 2003. Qualifying employees at the San Juan Transfer
facility received bonuses of between $1000 and $1100 in De-
cember 2002 and 2003, but the record does not reveal whether
the San Juan Transfer employees received exactly the same
bonus amounts as the Coqui San Juan employees.
In 2004, the Respondent paid the bonuses to the Coqui em-
ployees on December 3—during the approximately 1-month
period between the election at Coqui and the election at San
Juan Transfer. On this occasion, the Respondent’s general
manager, Cardona, reduced the bonuses paid to employees at
the Coqui facility, where the Union had recently prevailed,
paying each employee a bonus of only $200. The testimony
indicated that this amount was equivalent to the minimum bo-
nus required by the laws of Puerto Rico, and that the supple-
mental bonus had been eliminated for the Coqui employees.
Cardona and Wilma Figueroa, the Respondent’s human re-
sources manager, discussed this reduction in the Coqui bonuses
before the reduction was implemented. At the same time,
Cardona decided to pay the employees who were about to vote
in the representation election at San Juan Transfer a bonus of
$1100 each—an amount comparable to what was paid at both
Coqui and San Juan Transfer in prior years and which included
a supplemental bonus based, as in the past, on financial and
economic factors.
At trial, Cardona admitted that the reason he treated the two
groups of employees differently with respect to the bonus was
that employees at Coqui had already voted to be represented by
the Union (Tr. 67–68), but “the San Juan Transfer Station em-
ployees had not done any type of elections or whatsoever, so
they were still basically a non-organized site.” (Tr. 69.) He
testified that productivity and profitability played no part in the
decision to reduce the benefit at Coqui. Cardona testified, how-
ever, that his decision to reduce the bonus paid to the employ-
ees at Coqui was not “in retaliation” for those employees voting
in favor of union representation, and that the Respondent had a
“very good relationship with the Union.” (Tr. 68.) But see
Waste Management de Puerto Rico, 339 NLRB 262 (2003),
enfd. 359 F.3d 36 (1st Cir. 2004) (Waste Management I) (The
Respondent commits multiple violations of the Act during a
prior organizing campaign by the same Union.).4 In what
seemed to be an effort to further explain precisely how Union
representation factored into the disparate treatment, Cardona
stated that when the bonus was paid at Coqui, the Union had
not presented the Respondent with a proposed collective-
4 See also Stark Electric, 327 NLRB 518, 518 fn. 1 (1999) (Board
relies on the findings and evidence in recent cases against an employer
as background in a subsequent case against the same employer.).
WASTE MANAGEMENT DE PUERTO RICO
569
bargaining agreement or otherwise initiated negotiations about
the amount of the bonus. The Union made its first bargaining
proposal regarding that unit on December 10, 2004.
Cardona’s testimony that the bonuses were reduced for the
Coqui employees because they had chosen to be represented by
the Union was corroborated by the affidavit of Figueroa, the
Respondent’s human resources manager, who the Respondent
admits is a supervisor and agent for purposes of the Act. Figue-
roa stated that the employees at Coqui received smaller bonuses
than the employees at San Juan Transfer “because the Union
had already been certified as the exclusive representative of the
employees prior” to payment of the bonus and “we understood
that the bonus should have been negotiated with the Union.”
She stated further that these were “the only reasons” why the
employees of Coqui “received less bonus money,” and that
“economic losses” played no part in the decision.5
The Respondent did not provide the Union with notice or an
opportunity to bargain before changing its practice with respect
to bonuses for the Coqui employees, and paying those employ-
ees the reduced bonuses. In a letter to the Respondent dated
December 7, Jose Budet, a representative with the Union, com-
plained about the change, stating: “The present is to express our
disagreement with the unilateral change regarding the Christ-
mas Bonus, since we understand that the reason for this was
because the workers chose us as their exclusive representative.
Please contact the undersigned to discuss said situation.” The
Respondent received, but did not answer, Budet’s letter. The
Respondent did not subsequently communicate with the Union
regarding the 2004 Coqui bonus payments.
D. December Meeting at San Juan Transfer Facility
In September 2004, the Respondent assigned Pabon to man-
age the district that included Coqui and San Juan Transfer. At
the time he took this assignment, the organizational campaign
had been underway at Coqui since June or July 2004 and the
organizing campaign at San Juan Transfer was about to begin.
In approximately early November 2004, Pabon reassigned
many drivers at San Juan Transfer from the day shift to the
night shift. Pabon testified that he ordered this change so that
the drivers’ work would not be hampered by daytime traffic.
The drivers were unhappy about the change, and asked to meet
with Pabon to discuss returning to the day shift, and also to
express their concerns about truck maintenance. In early De-
cember—1 week before the representation election at San Juan
Transfer—Pabon met with San Juan Transfer employees in the
lot where those employees parked their private vehicles. Pabon
was accompanied at this meeting by de Jesus, and the Respon-
dent’s, but that the amount had been reduced for reasons un-
known to de Jesus. De Jesus denied making those statements. It
is unnecessary for me to determine whether de Jesus made the
disputed statements given Cardona’s admission, corroborated
by Figueroa, that the bonuses were reduced because the Union
5 The General Counsel presented the testimony of two union offi-
cials—Luz Delia Perez and Jose Lopez—who reported that de Jesus
told them that a larger bonus had been budgeted for the employees at
Coqui.
had become the collective-bargaining representative of em-
ployees at Coqui. maintenance manager, Abel Grievas.6
At the meeting, the parties discussed the shift change and the
condition of the trucks. The drivers expressed the view that, if
Pabon returned them to the day shift, they would actually be-
come more productive because they would be happier. Pabon
informed the employees that he was granting their request to
return to the day shift and he also attempted to reassure them
that he was addressing their concerns about truck maintenance.
The witnesses for the two sides differ about what else was said
at the meeting. The General Counsel called as witnesses two of
the employees who attended the meeting—Roger Crespo and
Elisamuel Delgado. One of those witnesses, Crespo, is also a
union delegate. According to Crespo, Pabon asked the employ-
ees for a “vote of confidence,” and said that they should not
“bring in any outsiders” so that they “could solve things be-
tween us.” At trial, Pabon was asked whether he had requested
a vote of confidence in himself, and he responded, “I wouldn’t
say a vote confidence.” According to Pabon, he had, however,
said that he was putting himself “on the line” by granting the
drivers’ request regarding shifts. Pabon did not confirm or deny
that he had used the language, recounted by Crespo, about
“outsiders” and solving problems “between us.” Although de
Jesus and Delgado were called as witnesses, neither of them
testified about this aspect of the meeting or corroborated either
Pabon’s or Crespo’s account regarding it.
I credit Crespo’s testimony that Pabon asked the drivers not
to bring “outsiders” to the Company so that they “could solve
things between us.” Crespo testified about this comment in a
clear and certain manner and Pabon never specifically denied
making it. Although I am given some pause by the fact that the
General Counsel’s witness, Delgado, did not testify regarding
this statement, in the absence of a denial from Pabon or de Je-
sus I find that Crespo’s unrebutted testimony is sufficient to
establish that Pabon more likely than not made the statement.
On the other hand, I cannot conclude that Pabon more likely
than not asked the employees for a “vote of confidence.” Nei-
ther Crespo’s testimony that this was said, nor Pabon’s denial,
was corroborated or contradicted by evidence from documents
or other witnesses. I observed no basis in either Pabon’s or
Crespo’s demeanor to credit one over the other regarding the
matter. Both testified in only rather general terms about the
December meeting, but appeared reasonably confident in their
accounts regarding the “vote of confidence” statement. Pabon
and Crespo each had some interest in the outcome of this pro-
ceeding—Pabon because he was a manager alleged to have
made the unlawful remark and Crespo because he was a dele-
gate for the Union that filed the charge. On this record, I cannot
conclude that Pabon made the “vote of confidence” comment.7
6 This is how the maintenance manager’s name is spelled in the offi-
cial transcript. In its brief, the General Counsel states that the correct
spelling of this individual’s name is Able Rivas.
7 The General Counsel has requested that I draw an adverse infer-
ence from the Respondent’s failure to call Grievas who also attended
the meeting. However, such an inference is only appropriate if the
record provides a reasonable basis upon which to assume that Grievas
was favorably disposed to the Respondent. See fn. 3, above. The evi-
dence here is too incomplete to justify such an assumption. Grievas was
DECISIONS OF THE NATIONAL LABOR RELATIONS BOARD
570
De Jesus also spoke at the December meeting. Crespo testi-
fied that, in the context of discussions about bringing “outsid-
ers” to the facility, de Jesus commented: “[L]ook at the guys at
Coqui. You’re going to cry tears of blood.” According to Cre-
spo, de Jesus also referred to the new cars in the employee
parking lot and said, “[S]oon it’ll be none.” Delgado corrobo-
rated a portion of this testimony. Delgado stated that, during the
meeting, de Jesus looked at the cars in the parking lot and said,
“[A]ll those cars . . . wouldn’t be there anymore, wouldn’t be
seen there anymore.” Delgado did not, however, testify about
whether de Jesus had made the “tears of blood” remark. The
Respondent’s witness, Pabon, testified that he did not hear de
Jesus “say or make reference to the cars parked in the parking
lot,” but Pabon did not testify about whether de Jesus had made
the “tears of blood” comment. De Jesus himself testified that he
did not “recall” making a comment to employees about the cars
parked in the lot at the December meeting, but he was not asked
whether he had made a comment regarding “tears of blood” at
that meeting.8
On the basis of the record, I find that, during the December
meeting at San Juan Transfer, de Jesus warned employees,
“[L]ook at the guys at Coqui. You’re going to cry tears of
blood.” Crespo testified about this in a confident and clear
manner, and that testimony was unrebutted.9 De Jesus himself
never denied making the statement at the December meeting,
and the record does not include testimony from Pabon that the
statement was not made. I considered that Delgado, the General
Counsel’s other witness regarding the meeting, did not testify
that the “tears of blood” statement was made, but he was never
specifically asked about it, and certainly never testified that the
statement was not made.
I also find that, at the same meeting, de Jesus looked out
over the cars in the employee parking lot and made a statement
indicating that those cars would soon be gone. Delgado testified
to that statement in a clear manner. He was not shown to be a
union supporter or to have any personal stake in the outcome of
this litigation. Moreover, his testimony regarding the comment
was corroborated by Crespo. Although de Jesus and Pabon
offered contrary testimony, their accounts were less clear and
certain than those of Delgado and Crespo regarding the matter.
De Jesus only denied that he “recalled” making such a state-
referred to in the record as the Respondent’s “maintenance manager” at
the time of the December 2004 meeting, but the evidence does not
show that he had duties or responsibilities that would qualify him as a
supervisor or manager for purposes of the Act, or even that he was still
employed by the Respondent in any capacity at the time of the trial. For
these reasons, I decline the General Counsel’s invitation to draw an
adverse inference from the Respondent’s failure to call Grievas.
8 De Jesus testified that he had not made a comment concerning
“tears of blood,” but that testimony related to the November meeting at
Coqui, not to the December meeting at San Juan Transfer.
9 I have not accepted certain other portions of Crespo’s testimony.
As the Board has recognized, nothing is more common in all kinds of
judicial proceedings than to believe some, and not all, of a witnesses’
testimony. Excel Containers, Inc., 325 NLRB 17, 17 fn. 1 (1997); see
also Americare Pine Lodge Nursing, 325 NLRB 98, 98 fn. 1 (1997),
enf. granted in part, denied in part 164 F.3d 867 (4th Cir. 1999). (“A
trier of fact is not required to accept the entirety of a witness’ testi-
mony, but may believe some and not all of what a witness says.”)
ment. He never testified that he affirmatively recalled that he
had not made such a statement during the December meeting.
Moreover, de Jesus’ recollection about the meeting was shown
to be incomplete. For example, he did not recall truck mainte-
nance being discussed, but that was a major topic at the meet-
ing and witnesses for both sides remembered it being discussed.
Pabon stated that he did not “hear” de Jesus “say or make refer-
ence to the cars parked in the parking lot,” but he did not claim
to have heard everything that de Jesus said. Moreover, Pabon
and de Jesus—unlike Delgado—each have a demonstrated
personal stake in whether statements at the December meeting
are found to be unlawful since both are alleged to have violated
the Act during that meeting. On this record, I conclude that de
Jesus more likely than not made a statement indicating that the
cars parked in the lot would soon be gone.
E. The Complaint Allegations
The complaint alleges that the Respondent violated Section
8(a)(1) of the Act: in or about late November 2004 at the
Caguas (Coqui) facility when de Jesus threatened employees
with unspecified reprisals if they supported the Union; in or
about early December 2004 at the San Juan Transfer facility
when de Jesus threatened employees with plant closure and
unspecified reprisals if they supported the Union; and in or
about early December at the San Juan Transfer facility when
Pabon told employees that it would be futile to bring people
from the outside to resolve their problems. The complaint fur-
ther alleges that the Respondent violated Section 8(a)(5) and (1)
of the Act in December 2004 by reducing the annual bonuses
paid to employees at Coqui without affording the Union notice
or an opportunity bargain, and violated Section 8(a)(3) and (1)
of the Act by discriminatorily reducing those bonuses because
the employees joined, supported, and assisted the Union, and
engaged in concerted activities for the purpose of collective
bargaining or other mutual aid or protection, and in order to
discourage such activities.10
III. ANALYSIS AND DISCUSSION
A. Alleged Unlawful Statements
The General Counsel alleges that de Jesus and Pabon made a
number of unlawful statements to employees. The Respondent
admits that both of these individuals were supervisors and
agents of the Company for purposes of the Act at the time they
are alleged to have made the statements. The test to determine
if a statement violates Section 8(a)(1) is whether “under all the
circumstances” the remark “reasonably tends to restrain, co-
erce, or interfere with the employee’s rights guaranteed under
the Act.” GM Electrics, 323 NLRB 125, 127 (1997). The test
“does not depend on the motive or the successful effect of the
coercion.” Id.
The first allegation of an unlawful threat is based on state-
ments that Perez testified de Jesus made to employees at Coqui
during the meeting in November 2004. According to Perez, de
10 At the start of the trial, I granted the General Counsel’s unopposed
motion to amend the complaint by deleting pars. 10(b) and (c). The
parties had reached a partial settlement agreement that resolved the
allegations contained in those paragraphs.
WASTE MANAGEMENT DE PUERTO RICO
571
Jesus told a group of employees that they were “going to cry
tears of blood” because they had brought the Union in. For the
reasons discussed above, I have found that the record does not
establish that de Jesus more likely than not made this statement.
Therefore, I will recommend dismissal of the allegation regarding
statements by de Jesus to employees at Coqui in November 2004.
Next, the General Counsel alleges that, during the December
2004 meeting at San Juan Transfer, de Jesus threatened em-
ployees with adverse repercussions if they voted to make the
Union their collective-bargaining representative. The meeting
took place a week prior to the scheduled representation election
at that facility. In the context of discussions about that election,
de Jesus told the employees “[L]ook at the guys at Coqui,
you’re going to cry tears of blood.” I conclude that de Jesus’
statement constitutes an unlawful threat in violation of the Act.
The record shows that the Respondent had recently reduced the
annual bonuses of employees at Coqui because those employ-
ees voted to be represented by the Union. Reasonable employ-
ees would conclude that de Jesus was threatening that employ-
ees at San Juan Transfer, like the employees at Coqui, would
suffer adverse consequences if they made the Union their col-
lective-bargaining representative in the upcoming election.
Such a threat would tend to cause employees to fear that voting
for the Union would lead to unspecified reprisals and unlaw-
fully coerced those employees in the exercise of their Section 7
rights. See Southeastern Motor Truck Lines, Inc., 112 NLRB
601, 603–604 (1955) (Company official unlawfully coerced
employees by, inter alia, threatening a few days before election
that employee would “be sorry” if the union were successful.);
see also Ebenezer Rail Car Services, Inc., 333 NLRB 167, 167
fn. 2 (2001) (A manager ‘s statement after union election vic-
tory that employee was “going to regret this all year” is a viola-
tion.), and Azalea Gardens Nursing Center, 292 NLRB 683,
686 (1989). (Statement that employees “would ‘regret this day’
clearly conveyed to them they could expect unspecified reprisal
actions . . . for their having supported the Union.”)
For the reasons discussed above, I find that the Respondent
violated Section 8(a)(1) during the December 2004 meeting at
San Juan Transfer, when de Jesus threatened employees with
unspecified reprisals if they voted to make the Union their col-
lective-bargaining representative.11
The General Counsel also alleges that, during the December
2004 meeting, Pabon violated Section 8(a)(1) by making cer-
tain statements about “outsiders.” As discussed above, Pabon
asked the employees not to bring in “outsiders,” so that the
Company and employees “could solve things between us.” The
General Counsel cites no specific authority for the proposition
that such a statement is coercive or otherwise unlawful and,
indeed, the remark may well be protected under Section 8(c) of
11 Given my finding that de Jesus’ comment regarding “tears of
blood” at the December 2004 meeting constituted an unlawful threat of
unspecified reprisals, I need not reach the issue of whether de Jesus’
statement about the cars in the parking lot during the same meeting
constituted an independent threat of unspecified reprisal since such a
finding would be cumulative and would not affect the remedy. I do find
that de Jesus’ remark regarding the cars in the parking lot, although
ominous sounding, was too vague and ambiguous to constitute a spe-
cific threat of plant closure.
the Act. I am given some pause by the fact that Pabon’s state-
ment was made 1 week before the representation election, and
at the same meeting during which Pabon granted the employ-
ees’ request for a change in shifts and also addressed com-
plaints about truck maintenance. However, the record shows
that the Respondent did not solicit the employee grievances
about shifts and truck maintenance, nor did it control the timing
of when employees raised them. Rather it was the employees
themselves who requested the meeting with Pabon in order to
discuss shifts and truck maintenance. Since the employees
knew that the subject matter, and to a large degree the timing,
of the meeting were their own doing, I would not expect them
to find those circumstances intimidating or otherwise coercive.
See Lenkei Bros. Cabinet Co., 290 NLRB 1017, 1021 (1988)
(employer’s encouraging response to grievance at meeting prior
to election was not a violation where employer did not initiate
the meeting or ask for the grievance, but rather employee had
vigorously pressed the grievance). Although Pabon made a
reference to the election during the meeting, he was not shown
to have said anything to suggest that the grant of the shift
change, or any other benefit, was dependant upon, or in ex-
change for, an understanding that employees would vote
against the Union in the upcoming election. Nor is he alleged to
have promised that future employee requests would meet with
favorable responses from the Respondent if the employees
voted against union representation. The record does not show
that Pabon had previously taken the position that he would not
make the requested changes. I find that the record in this case
provides insufficient grounds for concluding that employees
would reasonably view Pabon’s action as something other than
a sensible response to their unsolicited expression of discontent
and the appeal of their arguments.
The complaint does not include an allegation that Pabon re-
sponded favorably to the employees’ requests regarding shifts
and truck maintenance for the unlawful purpose of inducing
employees to vote against the Union in the upcoming election.
See NLRB v. Exchange Parts Co., 375 U.S. 405, 409 (1964)
(An employer violates the Act when it grants benefits “while a
representation election is pending, for the purpose of inducing
employees to vote against the union.”). Nor did the General
Counsel raise such an allegation at trial. Nevertheless, in its
brief, the General Counsel argues that I should infer that
Pabon’s action had an improper motive because “when an em-
ployer institutes a new practice of soliciting ‘employees[’]
grievances during a union campaign,” a “compelling inference”
arises that this was done in order to influence the election. Brief
of the General Counsel at 17–18. The Board considers multiple
factors relevant to a determination about whether an employer
granted a benefit for the purpose of influencing employees to
vote against the union in an upcoming election.
See Holly
Farms Corp., 311 NLRB 273, 274 (1993), enfd. 48 F.3d 1360
(4th Cir. 1995), affd. 517 U.S. 392 (1996).12 Given that this
12 Those factors include: the size of the benefit conferred in relation
to the stated purpose for granting it; the number of employees receiving
it; how employees reasonably would view the purpose of the benefit;
the timing of the benefit, Perdue Farms, 323 NLRB 345, 352–353
(1997), enf. denied in relevant part on other grounds 144 F.3d 830
DECISIONS OF THE NATIONAL LABOR RELATIONS BOARD
572
issue was not raised prior to the General Counsel’s posttrial
brief, it is not surprising that little or no evidence was presented
at trial regarding most of those factors. Moreover, contrary to
the General Counsel’s argument, the record does not show that
the Respondent solicited grievances, or that it diverged from
any prior practice regarding its treatment of employee com-
plaints. As discussed above, the employees themselves had
voluntarily raised the issues regarding shifts and truck mainte-
nance, and had also requested the meeting with Pabon to dis-
cuss those issues. I conclude that the possibility of a connection
between Pabon granting the employee requests and the upcom-
ing representation election was not fully litigated, or even
meaningfully explored, in this proceeding and I reach no de-
termination about whether such a connection existed.
For the reasons discussed above, I conclude that the General
Counsel has failed to show that the Respondent violated Sec-
tion 8(a)(1) during the meeting at San Juan Transfer in Decem-
ber 2004, when Pabon asked employees not to bring “outsid-
ers” into the company so that they could solve problems “be-
tween us.” I will therefore recommend that this allegation be
dismissed.
B. Reduction of Annual Bonus at Coqui San Juan Transfer
The General Counsel alleges that the Respondent violated
Section 8(a)(5) and (1) of the Act when it reduced the annual
bonus paid to employees at Coqui in 2004 without notifying the
Union or affording the Union an opportunity to bargain over
the change. An employer violates Section 8(a)(5) and (1) of the
Act when it makes a unilateral change to an existing term or
condition of employment where a union is newly certified and
the parties have not yet reached an initial agreement or impasse.
NLRB v. Katz, 369 U.S. 736 (1962); Daily News of Los Ange-
les, 315 NLRB 1236 (1994), enfd. 73 F.3d 406 (D.C. Cir.
1996), cert. denied 519 U.S. 1090 (1997); see also Central
Maine Morning Sentinel, 295 NLRB 376, 379 (1989) (Board
gives particular scrutiny to situations where an employer pro-
poses to change terms of employment during initial contract
negotiations). The bargaining obligation extends to changes an
employer makes with respect to bonuses. Philadelphia Coca-
Cola Bottling Co., 340 NLRB 349 (2003), enfd. 112 Fed.Appx.
65 (D. C. Cir. 2004); Sykel Enterprises, 324 NLRB 1123
(1997); TCI of New York, 301 NLRB 822, 824 (1991); Spe-
cialty Steel Treating, Inc., 279 NLRB 670 (1986); Harowe
Servo Controls, Inc. 250 NLRB 958, 959 (1980); Laredo Coca
Cola Bottling Co., 241 NLRB 167, 173–174 (1979), enfd. 613
F.2d 1338 (5th Cir. 1980), cert. denied 449 U.S. 889 (1980).
The record shows that, prior to the Union’s certification at
Coqui, the Respondent had an established practice of granting
employees at Coqui and San Juan Transfer bonus payments in
(D.C. Cir. 1998); the employer’s explanation for the timing of the bene-
fit; prior statements by the employer indicating that the benefit would
not be granted, Lampi, L.L.C., 322 NLRB 502, 502–503, and 506
(1996); Holly Farms Corp., above at 274; whether the grant of benefit
was consistent with the employer’s prior practice, Lampi, L.L.C., above
at 502–503, Marine World USA, 236 NLRB 89, 90 (1978); and the
employer’s knowledge that the benefit involved was an important issue
in the union organizing effort, Huck Store Fixture Co., 334 NLRB 119,
123 (2001), enfd. 327 F.3d 528 (7th Cir. 2003).
addition to the amounts required under Puerto Rican Law, with
the amounts of such supplemental bonus payments based on the
“economic situation,” and “financial status of the moment.”
Cardona himself testified to that effect and his testimony was
consistent with statements by others and with documentation
regarding bonuses paid in the past.13 On December 3, 2004—3
days after the Union was certified at Coqui, but before the par-
ties had reached an initial agreement or even begun negotia-
tions—Cardona eliminated the supplemental bonus for employ-
ees at Coqui. Cardona admitted, and Figueroa confirmed, that
Cardona made the decision to do this without regard to the
economic and financial factors that he usually considered when
determining the amounts of supplemental bonuses in the past.
Rather, Cardona’s decision was based solely on the fact that the
Union had recently become the collective-bargaining represen-
tative of Coqui employees and had not yet made a proposal
regarding the bonuses. Cardona took this action without giving
the Union any prior notice or opportunity to bargain. Unlike at
Coqui, Cardona followed its established practice at San Juan
Transfer and granted the employees there substantial supple-
mental bonus amounts in December 2004. Prior to 2004, em-
ployees at Coqui and San Juan Transfer had received the same,
or nearly the same, bonus amounts, but in 2004 employees at
Coqui received bonuses of only $200 while the soon-to-vote
employees at San Juan Transfer received bonuses of $1100.
The Respondent’s obligation during the period after certifi-
cation and prior to an initial agreement or impasse was to con-
tinue its established practice of paying supplemental bonus
amounts to Coqui employees based on economic and financial
circumstances, and to consult with the Union about the amounts
and timing of those benefits. See Hoffman Security, Ltd., 315
NLRB 275, 277 (1994).14 Based on the record here, I conclude
that the Respondent violated its bargaining obligations under
the Act by discontinuing its supplemental bonus practices with-
out first reaching an initial agreement or impasse with the
newly certified union, and by failing to consult with the Union
about the amount and timing of the supplemental bonus pay-
ments. The Respondent argues that it was entitled to unilater-
ally change its practice regarding supplemental bonuses and
reduce the bonus for essentially three reasons. First, the Re-
spondent argues that a bonus is a “gift” rather than a term or
condition of employment, under the Board’s decision in Stone
Container Corp., 313 NLRB 336 (1993), as long as the bonus
is not related to performance or production standards, condi-
tions in the industry, or similar matters. Respondent’s brief at
13 Annual bonuses are sufficiently regular or consistent to become an
established term and condition of employment if paid in two consecu-
tive years. Sykel Enterprises, above at 1125; Laredo Coca Cola, above
at 174. In the instant case, documentary evidence regarding the Re-
spondent’s practice with respect to bonuses was introduced for 2002
and 2003. The testimony indicated that the practice extended beyond
those years.
14 “What is required is a maintenance of preexisting practices, i.e.,
the general outline of the program; however, the implementation of that
program (to the extent that discretion has existed in determining the
amounts or timing of the [benefit]) becomes a matter as to which the
bargaining agent is entitled to be consulted.” Hoffman Security, above
at 277, quoting Oneita Knitting Mills, 205 NLRB 500, 500 fn. 1 (1973).
WASTE MANAGEMENT DE PUERTO RICO
573
10–11. Even assuming that the Respondent states the proper
standard, the Respondent has failed to show that the bonuses at-
issue were not related to such matters. To the contrary, Cardona
admitted that the Respondent’s past practice was to determine
the supplemental bonus based on the “economic situation” and
“financial status”—factors that, on the face it of it, are encom-
passed by “conditions in the industry” and similar matters. The
Board has found that an employee bonus is a term or condition
of employment where it was based on factors such as the em-
ployer’s success in meetings its goals for obtaining new sub-
scribers, see TCI of New York, 301 NLRB at 822 and 824, and a
review of the employer’s financial books, see Sykel Enter-
prises, 324 NLRB at 1124. Moreover, the bonus program in
Stone Container was far less substantial than the Respondent’s,
and, therefore, it was more plausible in that case than in the
instant one to describe the bonuses as “gifts rather than terms
and conditions of employment.” Stone Container, 313 NLRB at
337. The Christmas bonus in Stone Container was a $20 certifi-
cate. Such a token program is not comparable to the supple-
mental bonus payments of approximately $900 per employee
that the Respondent eliminated here. The Respondent’s em-
ployees would reasonably view their supplemental bonuses as a
significant element of compensation, and the Board has repeat-
edly found that such bonuses are terms and conditions of em-
ployment that cannot be adopted, changed, or eliminated with-
out bargaining. See, e.g., Philadelphia Coca-Cola Bottling Co.,
supra; Sykel Enterprises, supra; TCI of New York, supra; Spe-
cialty Steel Treating, Inc., supra; Harowe Servo Controls, Inc.,
supra; Laredo Coca Cola, supra.
Second, the Respondent argues that it did not have to bargain
with the Union over the change in its bonus practices because,
under the laws of Puerto Rico, employees qualified for the
mandatory bonus in December 2004 based on service from
October 2003 to September 2004—a period when the Union
did not yet represent employees. This argument is frivolous.
First of all, what is at-issue in this case is the supplemental
bonus that the Respondent had a practice of paying over and
above the bonuses required by Puerto Rican law. The record
and the provisions of local law cited by the Respondent do not
show that such supplemental bonus payments were tied to the
Coqui employees’ service during the precertification period of
time. More importantly, the Respondent cites no authority for
the notion that when an employer wishes to make a change to a
mandatory subject of bargaining after a union is certified, the
employer need not bargain over the change if the post-
certification application of the existing practice is dependant in
some way on the employees’ precertification tenure. It is not
surprising that the Respondent cites no authority for this curi-
ous proposition since such authority would be inimical to the
numerous cases requiring an employer to bargain with a newly
certified union before making changes to a variety of practices
—e.g., merit pay and seniority policies—even though the bene-
fits that employees receive under such practices are affected by
their precertification periods of service.
See, e.g., Hoffman
Security, Ltd., 315 NLRB at 277 (change in practice regarding
merit increases is a mandatory subject of bargaining in negotia-
tions for initial contract) and Harowe Servo Controls, Inc., 250
NLRB at 1051 (change in seniority policy is mandatory subject
of bargaining in negotiations for an initial contract).
Third, the Respondent argues that it was free to change its
practice regarding the employees’ supplemental bonuses be-
cause at the time the change was made the Union had not yet
initiated bargaining regarding that subject. It is hard to under-
stand what the Respondent is getting at with this argument, and
the Respondent identifies no supporting authority or labor law
doctrine to help clarify the matter. If the Respondent’s conten-
tion is that the Union waived bargaining over the subject, that
contention is without merit. The party claiming that a waiver
has occurred bears the burden of showing that the union clearly
and unmistakably relinquished its right to bargain over the sub-
ject matter. Bath Iron Works Corp., 345 NLRB 499, 501
(2005); TCI of New York, 301 NLRB at 824; Twin City Garage
Door Co., 297 NLRB 119, 128 (1989). Under Board law, such
a showing cannot be made here because the Union did not have
clear notice of the Respondent’s intent to change the past prac-
tice regarding supplemental bonuses and reduce the size of the
bonuses paid. Sykel Enterprises, Inc., 324 NLRB at 1123. (In
the absence of a clear notice of an intended change to a past
practice, there is no basis to find that a union waived its right to
bargain over the change.) Moreover, the Respondent does not
claim that the Union expressly waived bargaining over the bo-
nus program, nor does it point to behavior by the Union or
other circumstances from which a waiver could “clearly and
unmistakably” be implied. Indeed, the facts preclude any such
implication. Within a few days of when the Respondent imple-
mented the previously unannounced change to its past practice
regarding supplemental bonuses, the Union sent a letter to the
Respondent complaining about the unilateral change and asking
to discuss it. The Respondent never responded to that letter,
never indicated that the 2004 supplemental bonuses were “on
hold” pending negotiations, and never communicated further
regarding those bonuses. The Respondent protests that the Un-
ion had not yet provided a proposal regarding bonuses when the
Company made the change, but the Respondent implemented
that change only 3 days after the Union was certified as the
collective-bargaining representative of employees at Coqui.
Obviously, one cannot conclude that the Union had waived
bargaining over the employees’ terms and conditions of em-
ployment, including the bonus program, simply because it did
not initiate bargaining within that brief period of time.
The Respondent may also be suggesting that it had no choice
but to eliminate the supplemental bonus because it was required
under the Act to negotiate the amount of any such bonus with
the Union before paying it and such negotiations had not begun,
or could not be completed, prior to the deadline established by
the laws of Puerto Rico for the payment of the annual manda-
tory bonus. If this is what the Respondent is arguing, such an
argument has multiple flaws. First, the local law provisions
cited by the Respondent make no mention of the supplemental
bonus program at issue here. Those provisions require the Re-
spondent to pay the mandatory minimum bonus during the
period from December 1 to 15, but do not require that any addi-
tional bonus amounts the Respondent has a practice of paying
must be disbursed during the same period. The Respondent has
not shown that local law prohibited it from responding to the
DECISIONS OF THE NATIONAL LABOR RELATIONS BOARD
574
Union’s December 7 letter by meeting its obligation under fed-
eral law to consult with the Union regarding the timing and
amount of the supplemental bonus, even if such negotiations
might not conclude by December 15. Thus, the Respondent is
not backed into the corner it appears to be trying to paint itself.
Even assuming that the Respondent was compelled to act
with respect to the supplemental bonus at the same time as the
mandatory bonus, the Respondent was still required to give the
Union notice and an opportunity to bargain regarding the
change. The Board has stated that when a change involves “a
discrete event that occurs every year at a given time, and nego-
tiations for a first contract will be ongoing at that time,” the
Respondent need not wait till an overall impasse is reached, but
still has an obligation to give the Union “notice and an oppor-
tunity to bargain” regarding the change. TXU Electric Co., 343
NLRB 1404, 1407 (2004).15 The Respondent violated that duty
when it unilaterally discontinued its established method for
determining the amount of the supplemental bonus at Coqui,
and reduced the amount of the bonus, without giving the Union
any notice or opportunity to bargain.
For the reasons discussed above, I conclude that the Respon-
dent violated Section 8(a)(5) and (1) in December 2004 by
changing its practice regarding the annual supplemental bo-
nuses paid to employees at Coqui, and reducing the amounts of
those bonuses, without notifying the Union or affording a rea-
sonable opportunity to bargain over the change.
The General Counsel also alleges that the Respondent dis-
criminated in violation of Section 8(a)(3) and (1) by reducing
the bonuses of the employees at Coqui because those employ-
ees had selected the Union as their bargaining representative.
The Coqui employees engaged in activity protected by Section
7 of the Act when they elected the Union as their collective-
bargaining representative.16 In this case, the record establishes
that, because the employees at Coqui engaged in that protected
activity, the Respondent changed its practice regarding annual
supplemental bonuses, dramatically reducing the bonus pay-
ments the Coqui employees received. Cardona himself admitted
under oath that the reason he made the change at Coqui was
that the Union had become the collective-bargaining represen-
tative of employees there. He stated, moreover, that the reason
he had taken this action at Coqui, but spared the San Juan
Transfer employees a similar reduction, was that the latter
group had not voted to be represented by the Union. The Re-
spondent has not claimed that any nondiscriminatory reason
would have caused it to reduce the bonus payments at Coqui
even absent the employees’ protected activities. Nor has it
shown that the employees at Coqui did anything that removed
15 The slip opinion number originally appearing on the TXU Electric
Co. decision was 343 NLRB No. 137. Subsequently, this was corrected
to read 343 NLRB 1404.
16 Sec. 7 expressly provides that “[e]mployees shall have the right
. . . to bargain collectively through representatives of their own choos-
ing.” See also Waste Management I, supra (employee’s decision to vote
for union representation was protected activity and employer’s dis-
charge of the employee in response violated Sec. 8(a)(3)).
their activities from the protections of the Act. See NLRB v.
Burnup & Sims, 379 U.S. 21 (1964).17
To argue that its action was not discriminatory, the Respon-
dent relies on Phelps Dodge Mining Co. v. NLRB, 22 F.3d
1493, 1498 (10th Cir. 1994), in which the U.S. Court of Ap-
peals for the Tenth Circuit held that, absent an unlawful motive,
the granting of benefits to organized employees, but not to rep-
resented employees, does not, standing alone, violate the Act.
See also Sun Transport, Inc., 340 NLRB 70, 72 (2003). That
principal is inapposite here because the evidence did show an
unlawful motive. As stated above, the Respondent admitted that
its motivation for abandoning the Company’s practice with
respect to bonuses for the Coqui employees was that those em-
ployees had made the Union their representative. Moreover,
Figueroa, the human resources official who Cardona consulted
before making the change, has a history of unlawfully threaten-
ing to “bargain from zero” with “no paid benefits,” if employ-
ees elect to be represented by the Union. See Waste Manage-
ment I, 339 NLRB at 263 (Figueroa and another official of the
Respondent violate Section 8(a)(1) by threatening that if em-
ployees select the Union they would be bargaining from zero
with no paid benefits.); see also Stark Electric, 327 NLRB at
518 fn. 1 (Board relies on the findings and evidence in recent
cases against an employer as background in a subsequent case
against the same employer.). The evidence indicates that, in the
instant case, the Respondent was demonstrating its intention to
make good on such threats, and to do so without bargaining.
Indeed, shortly after reducing the amount of the supplemental
bonus for Coqui employees to zero, de Jesus alluded to the
Respondent’s treatment of the Coqui employees in an effort to
coerce employees at San Juan Transfer to vote against union
representation. I conclude that unlawful motive is amply dem-
onstrated in this instance.
For the reasons discussed above, I find that the Respondent
discriminated in violation of Section 8(a)(3) and (1) when, in
December 2004, it changed its practice regarding the bonuses
of employees at Coqui and reduced the bonus payments the
17 Since the employer admits that it reduced the bonuses of the Coqui
employees based on protected activity, the burden shifting analysis set
forth in Wright Line, 251 NLRB 1083 (1980), enfd. 662 F.2d 899 (1st
Cir. 1981), cert. denied 455 U.S. 989 (1982), approved in NLRB v.
Transportation Corp., 462 U.S. 393 (1983), is inapplicable here. See
Allied Aviation Fueling of Dallas, LP, 347 NLRB 248 fn. 2 (2006). At
any rate, even under the Wright Line analysis a violation is established
since the record clearly shows that the Coqui employees engaged in
protected activity, that the Respondent was aware of those activities,
and that the Respondent harbored antiunion animus. Antiunion animus
is shown both by Cardona’s admission that he took the action he did
because of the employees’ protected activity and by de Jesus’ unlawful
statements at the December 2004 meeting. I also note that the Respon-
dent was found to have committed violations of Sec. 8(a)(1) and (3) of
the Act in a prior case involving organizing efforts by the same Union.
Waste Management I, supra; see also Stark Electric, supra (Board con-
siders violations found against employer in prior case as background in
subsequent proceeding against the same employer). The Respondent
has not proffered any nondiscriminatory reason that it claims would
have led it to take the same action with respect to the bonuses of em-
ployees at Coqui even if those employees had not engaged in the pro-
tected activity.
WASTE MANAGEMENT DE PUERTO RICO
575
Coqui employees received because those employees had en-
gaged in protected activity by voting to make the Union their
collective-bargaining representative.
CONCLUSIONS OF LAW
1. The Respondent is an employer engaged in commerce
within the meaning of Section 2(2), (6), and (7) of the Act.
2. The Union is labor organization within the meaning of
Section 2(5) of the Act.
3. The Respondent interfered with employees’ exercise of
Section 7 rights in violation of Section 8(a)(1) of the Act during
the December 2004 meeting with employees at its San Juan
Transfer facility, by threatening employees with unspecified
reprisals if they voted to make the Union their collective-
bargaining representative.
4. The Respondent violated Section 8(a)(5) and (1) of the
Act in December 2004 by changing its practice regarding the
annual supplemental bonuses paid to employees at its Coqui
facility, and reducing the bonuses received by employees,
without notifying the Union or affording a reasonable opportu-
nity to bargain over the change.
5. The Respondent discriminated in violation of Section
8(a)(3) and (1) when, in December 2004, it changed its practice
regarding the bonuses of employees at Coqui and reduced the
bonus payments the Coqui employees received because those
employees had engaged in protected activity by voting to make
the Union their collective-bargaining representative.
6. The Respondent was not shown to have committed the
other violations alleged in the complaint.
REMEDY
Having found that the Respondent has engaged in certain un-
fair labor practices, I find that it must be ordered to cease and
desist and to take certain affirmative action designed to effectu-
ate the policies of the Act. In addition to the usual cease-and-
desist order and other affirmative relief, I recommend that the
Respondent be ordered to make the unit employees at its Coqui
facility whole for the loss of earnings they suffered as a result
of the Respondent’s unlawful, unilateral, and discriminatory
change to its established practice regarding annual supplemen-
tal bonuses. The backpay is to be augmented by interest com-
puted in accordance with New Horizons for the Retarded, 283
NLRB 1173 (1987).
There was uncontradicted testimony at trial that the Respon-
dent had closed its Coqui San Juan facility. I will therefore
recommend that the Respondent be required to mail a copy of
the attached notice marked “Appendix” to all employees who it
employed at the Coqui San Juan facility at any time since the
onset of the unfair labor practices found in this case.
[Recommended Order omitted from publication.]