279 NLRB 474
O. K. Machine & Tool Corp. And Gyrotronics, Inc.
474
DECISIONS OF NATIONAL LABOR RELATIONS BOARD
O.K. Machine & Tool Corp. and Gyrotronics, Inc.
and Julio Garcia, Jose Allen, Keith Zukaitis,
Luis Tirado and Hildo M. Melendez. Cases 2-
CA-16004, 2-CA-16071, 2-CA-16088, and 2-
CA-16093
25 April 1986
SUPPLEMENTAL DECISION AND
ORDER
By CHAIRMAN DOTSON AND MEMBERS
DENNIS AND BABSON
On 24 July 1984 Administrative Law Judge D.
Barry Morris issued the attached supplemental de-
cision. The Respondent filed exceptions and a sup-
porting brief, and the General Counsel filed limited
exceptions.
The National Labor Relations Board has delegat-
ed its authority in this proceeding to a three-
member panel.
The Board has considered the supplemental deci-
sion and the record in light of the exceptions and
brief and has decided to affirm the judge' s rulings,
findings,' and conclusions and to adopt the recom-
mended Order.
1. The judge recommended that the backpay
award owed to discriminatee William Robinson be
placed in escrow for 1 year and that the Regional
Director shall make suitable arrangements for Rob-
inson's appearance. The General Counsel does not
except to these findings, but excepts to the judge's
failure to find that if at the end of the year the
money is returned to the Respondent that it contin-
ues to be liable for any backpay owed Robinson.
The General Counsel necessarily assumes that the
Robinson backpay issues may be unresolved at the
end of 1 year. When, as here, the parties know the
location of the discriminatee, we see no reason for
any direction concerning the Respondent's liability
after 1 year as we expect the issue to be resolved
within a year. To this end, the Regional Director is
instructed, in accordance with the judge's decision,
to arrange for the expeditious resolution of this
backpay issue. After the issues have been resolved,
the backpay due Robinson shall be paid to him and
the remaining funds in the escrow account returned
to the Respondent.
2. Because the discriminatees no longer work for
the Respondent, having rejected reinstatement, the
judge ordered that the Respondent pay the pension
i The Respondent has excepted to some of the judge's credibility find-
ings The Board's established policy is not to overrule an administrative
law ,fudge's credibility resolutions unless the clear preponderance of all
the relevant evidence convinces us that they are incorrect Standard Dry
Wall Products, 91 NLRB 544 (1950), enfd 188 F 2d 362 (3d Cir 1951)
We have carefully examined the record and find no basis for reversing
the findings
fund contributions due on behalf of the discrimina-
tees directly to the discriminatees rather than to
the pension fund. We disagree.
The Respondent is a participant in a multiem-
ployer pension plan called the National Industrial
Group Pension Plan (NIGPP) and, as such, is
obliged to make contributions on behalf of its em-
ployees. Had the discriminatees been in the Re-
spondent's employ during the backpay period, as
they should have been, the Respondent would have
contributed into the fund the appropriate amounts
owed on behalf of the discriminatees. Restoration
of the status quo ante regarding the employees'
pension rights usually requires that contributions
made on behalf of the discriminatees be directed to
the pension fund.2 Here, the discriminatees volun-
tarily chose not to be in the Respondent's employ
by refusing the Respondent's valid offers of rein-
statement. Had they accepted reinstatement, their
rights in the plan would be identical to those they
would have acquired had they worked for the Re-
spondent without interruption. The proper alloca-
tion of the owed contributions should not rest on
whether or not the discriminatees chose to accept
valid offers of reinstatement. There are no other
circumstances in this case that warrant departure
from the Board's customary procedure of ordering
that the contributions be paid to the pension fund.3
In addition, the discriminatees might benefit from
contributions directed to the fund in future employ-
ment with the Respondent or other employer-mem-
bers of the NIGPP multiemployer plan.
Accordingly, we shall order that the pension
fund contributions owed by the Respondent be
paid to the fund.
3. We find merit in the General Counsel's excep-
tion that in determining the formula for the over-
time hours worked by discriminatee Jose Allen
prior to his discharge, the appropriate divisor is 8
rather than 47. In his supplemental decision, the
judge concluded that where the record contained
the accurate number of hours worked by the discri-
minatees for the 47-week period prior to their ter-
mination, that 47 should be the divisor used to de-
termine the weekly overtime hours worked by
each discriminatee. However, although the other
discriminatees
had
been in the Respondent's
2 Merryweather Optical Co, 240 NLRB 1213 (1979), see generally Atlas
Glass & Mirror Co, 273 NLRB 179 (1984), E G Sprinkler Corp, 268
NLRB 1241 (1984), Advance Installations, 257 NLRB 845 (1981)
9 The Board has ordered that contributions, which would ordinarily be
paid to the fund, be paid to the employees when it appears that the em-
ployees' rights in the plan might not be adequately restored Cf South-
land Dodge, 232 NLRB 878 (1977) (fund unwilling to accept contribu-
tions), and Rice Lake Creamery Co, 151 NLRB 113 (1965), enfd as modi-
fied 365 F 2d 888 (D C Cir 1966) (employees had individual annuity in-
surance policies and restoration of pension policies was conditioned on
reemployment)
279 NLRB No. 69
O.K. MACHINE & TOOL CORP.
475
employ for the 47-week period prior to their termi-
nation, Allen had been employed with the Re-
spondent for only 16 weeks prior to his discharge.
During 8 of those 16 weeks, overtime had been un-
lawfully suspended and, as a result, Allen was not
assigned
any
overtime.
Consequently,
because
Allen worked overtime for only 8 weeks prior to
his discharge, the divisor which appropriately re-
flects the average overtime hours worked by Allen
is 8 rather than 47. Accordingly, we shall order
that in determining the average hours of overtime
worked by Allen, the divisor to be used is 8 rather
than 47.
4. The parties stipulated at the hearing that the
Respondent
owed the discriminatees certain
amounts of money for Christmas bonuses. In set-
ting forth the backpay awards, the judge inadvert-
ently failed to include these amounts. We shall
order that the stipulated Christmas bonus amounts
be added to the backpay awards of the discrimina-
tees.
5. We find merit in the General Counsel's excep-
tion urging the Board to find that the Respondent
is under a continuing obligation to reinstate Hildo
Melendez inasmuch as Melendez never received
the Respondent's valid offer of reinstatement.4
As the judge found, the backpay period for
Hildo Melendez ended on 8 November 1982, the
date on which the Respondent mailed Melendez a
good-faith offer of reinstatement. Melendez, how-
ever, did not receive the offer as he had ^ moved
leaving no forwarding address. Although the Re-
spondent's good-faith offer tolls the Respondent's
backpay liability, it does not relieve the Respond-
ent of its obligation to reinstate Melendez under
the terms of the Board's 15 August 1980 Order en-
forced by the Second Circuit. Burnup & Sims Inc.,
256 NLRB 965, 966 (1981); Jay Co.,
103 NLRB
1645, 1647 (1953), enfd. 227 F.2d 416 (9th Cir.
1954).
ORDER
The National Labor Relations Board adopts the
recommended Order of the administrative law
judge with the modifications listed below and
orders that the Respondent, O.K. Machine & Tool
Corp. and Gyrotronics, Inc., Bronx, New York, its
officers, agents, successors, and assigns, shall take
the action set forth in the Order as modified.
1. Recompute the backpay for employees Gonza-
lez, Melendez, Fahie, Allen, and Tirado in the fol-
lowing manner:
(a) The amounts included in the backpay awards
of the discriminatees in the form of pension contri-
butions shall be deducted from the discriminatees'
backpay awards and, shall be paid directly to the
pension fund.
(b) In revising the overtime hours worked by the
discriminatees as directed by the judge's Supple-
mental Decision and Order, the divisor to be used
in determining the average overtime hours worked
by Jose Allen shall be 8 rather than 47.
(c) The appropriate amounts owed to the discri-
minatees in the form of Christmas bonuses shall be
included in the backpay awards of the discrimina-
tees.
2. Transmit to the Regional Director for Region
2 to be held in escrow the following amount repre-'
senting the backpay due William Robinson: $7119,
plus the Christmas bonus, minus the pension fund
contributions, minus any deletions resulting from
overtime recalculation, plus interest, and less tax
withholding required by Federal and state law.
Darrell S. Gay, Esq., for the General Counsel.
Sanford E. Pollack, Esq., and Stuart M. Kirshenbaum,
Esq. (Marshall M. Miller Associates), of Hewlett, New
York, for the Respondent.
SUPPLEMENTAL DECISION
STATEMENT OF THE CASE
D.' BARRY MORRIS, Administrative Law Judge. On
August 15, 1980, the National Labor Relations Board
issued an Order' directing O.K. Machine & Tool Corp.
and Gyrotronics, Inc. (Respondent) to make whole Al-
berto
Gonzalez,
Hildo
Melendez,
Alton Fahie, Jose
Allen, William Robinson, and Luis Tirado (the discrimin-
atees) for their losses resulting from Respondent's unfair
labor practices. On February 8, 1982, the United States
Court of Appeals for the Second Circuit entered its judg-
ment enforcing the Board's Order. A controversy having
arisen over the amount of backpay due each discrimina-
tee, on October 28, 1982, the Regional Director for
Region 2 issued a backpay specification and notice of
hearing. Respondent filed its answer to the specification
on November 11, 1982. The specification was amended
on April 25, 1983, and further amended on July 8, 1983.
A hearing was held before me in New York City on
February 3 and 4, April 25, June 1, 2, and 3, July 8, and
September 26, 1983. All parties were given full opportu-
nity to participate, to produce evidence, to examine and
cross-examine witnesses, to argue orally, and to file
briefs. Briefs were filed by Respondent on October 15,
1983, and by the General Counsel on January 16, 1984.
A reply brief was filed by Respondent on February 23,
1984.
On the entire record of the case, including my obser-
vation of the demeanor of the witnesses, I make the fol-
lowing
4 The judge makes no findings with respect to the Respondent's con-
tinuing obligation to reinstate Melendez after the 8 November 1982 offer
' 251 NLRB 208 (1980).
476
DECISIONS OF NATIONAL LABOR RELATIONS BOARD
FINDINGS OF FACT
I. HILDO MELENDEZ
A. Offer of Reinstatement
Prior to June 1979 Melendez' address was 855 Faile
Street, Bronx, New York. In June Melendez moved to
Puerto Rico, where his address was P.O . Box 743, Va-
hardo. He did not return to New York until April 1,
1980, at which time he moved to 721 White Plains Road.
On December 4, 1979, Sanford E. Pollack, counsel for
Respondent, sent Melendez a letter requesting informa-
tion about Melendez' efforts to find employment. The
letter was addressed to P.O . Box 743, Vahardo, Puerto
Rico, and was received by Melendez. On March 20,
1980, Respondent sent a letter to Melendez offering him
immediate reinstatement. That letter was addressed to
855 Faile Street, Bronx, New York, and was returned by
the post office with the notation, "moved, left no ad-
dress." The letter indicated that a blind copy was fur-
nished to "Marshall Miller Assoc. file." David Weltman,
vice president of Respondent, testified that he took no
steps to try to contact Melendez on the return of the en-
velope. He further testified that he did not inform his
counsel that he had failed to contact Melendez.
Melendez testified that he never advised Respondent
of an address other than the one on Faile Street in the
Bronx. He further testified that when he moved to
Puerto Rico in 1979 he did not advise the Bronx post
office of the move. He testified , however, that before
moving to Puerto Rico he advised the Regional Office of
the National Labor Relations Board of the anticipated
move.
B. Efforts to Obtain Employment
Melendez' employment with Respondent ended on
November 27, 1978. The record shows that Melendez
visited a number of business establishments starting De-
cember 4, 1978. At each of the companies he applied for
work he was told that no work was available. Melendez
also testified that he read newspaper advertisements, but
was unsuccessful in finding any work.
Melendez was employed by Metropolis Metal Spin-
ning and Stamping Company from April 19 to June 1,
1979. He testified that he left Metropolis because he was
told by the foreman, David Wilson, that he would "not
be accepted into the Union ." Melendez also testified that
Wilson told him that he "didn't pass the trial period,"
and that there was "no work" for him . Although Re-
spondent's Exhibit 28 has a notation that Melendez
"quit" his employment, Arthur Puhn, the vice president
of Metropolis, testified that other than what appeared on
the exhibit he did not independently know whether or
not Melendez quit. Puhn further testified that he did not
know whether Melendez was a member of the Union
and did not know the "exact circumstances" of Melen-
dez' failure to return to work.
As previously mentioned , Melendez moved to Puerto
Rico in June 1979. The record shows that beginning on
July 9 he contacted various business establishments in
Puerto Rico. In April 1980 Melendez returned to New
York and obtained employment with the Concord Hotel.
He worked at the Concord from April until December 9,
1980. Melendez credibly testified that at that time he was
told by Ismael Rodriguez , the kitchen supervisor, that
"there was no more work." Rodriguez confirmed this
testimony indicating that for several weeks before Christ-
mas most of the kitchen staff is laid off. Rodriguez testi-
fied, however, that he told Melendez , along with the
other employees, to return to work on December 23.
Melendez testified that he returned to work at the Con-
cord on December 21 and worked there until January 18
or 20, 1981, at which time the employment ended be-
cause Rodriguez said that "it was very slow" and that
there was no more work.
Melendez returned to the Concord on May 30 and
worked there until December 7,
1981, when he was
again told that there was no more work . Rodriguez cre-
dibly testified that he told Melendez that the "hotel was
going to be closed in December and to come back when
they reopen again," on December 23. However, Melen-
dez did not return to work on December 23. He next
worked for the Concord beginning May 21, 1982, which
employment continued through November 8, 1982, the
end of the backpay period.
II. LUIS TIRADO
A. Efforts to Obtain Employment
Tirado credibly testified that beginning November 27,
1978, he looked at newspaper advertisements and the
record shows that he contacted various business estab-
lishments and employment agencies. On January 5, 1979,
he began employment with Eagle Machine and Tool
Company, which employment lasted through the end of
the backpay period.
B. Medical Claim
In July 1979 Tirado 's stepdaughter, Madeline Torres,
required hospitalization. The hospital bill totaled $1352.
Although at the time of the hospital visit Tirado was em-
ployed by Eagle Machine, the claim was denied insur-
ance coverage because the 11-month waiting period had
not yet expired . The Blue Cross representative testified
that had Tirado been employed by Respondent at the
time of the hospitalization, the claim would have been
covered under the contract.
III. ALBERTO GONZALEZ
Gonzalez credibly testified that after November 27,
1978, he read newspaper ads and visited a number of
business establishments in search of work. In mid-De-
cember he filled out an application with Eagle Machine
and Tool Company and started working there on Janu-
ary 5, 1979. His employment with Eagle Machine contin-
ued through the end of the backpay period.
IV. JOSE ALLEN
Allen testified that after he left the employment of Re-
spondent in November 1978 he worked part time at Car-
tones Supermarket. He also sought employment at ap-
proximately six business establishments . During the early
O.K. MACHINE & TOOL CORP.
477
part of 1979 he worked for approximately 1 month at
Superior Steel Door & Trim Co. He testified that he left
Superior Steel because "the welding sickened my eyes
and I couldn't see." The Superior Steel representative
testified that he did not know the reason why Allen left
the company's employment.
V. EMPLOYMENT OPPORTUNITIES
Michael Fiedler, placement manager of Marvalen Per-
sonnel Agency, testified that during the backpay period
jobs were available in the New York City area. He also
testified that there were many advertisements in several
local newspapers. He further testified that Tirado and
Gonzalez were registered with his agency but that he did
not place either of them in positions. Similarly, Joel
Buckstein,
vice
president
of
Geneva
Employment
Agency, testified that during the backpay period there
were many newspaper advertisements for jobs in the
New York City area.
VI. OVERTIME
Melendez testified that in 1978 he worked approxi-
mately 1-hour-per-day overtime. Tirado and Gonzalez
testified that they worked 9 hours of overtime each
week. David Weltman, vice president of Respondent,
testified that during the 47-week period prior to Novem-
ber 27, the discriminatees worked the following hours of
overtime: Allen, 48.75; Gonzalez, 189; Melendez, 134.5;
Tirado, 119; and Robinson, 186.5. Allen, Gonzalez, and
Tirado did not dispute Weltman's figures. Melendez testi-
fied that he did not know the total number of hours he
worked in 1978. I credit Weltman's testimony and find
that during the 47-week period prior to November 27 the
discriminatees worked the hours of overtime as testified
to by Weltman.
VIi. DISCUSSION AND CONCLUSIONS
A. Efforts to Obtain Employment
An employer may mitigate his backpay liability by
showing that a discriminatee "wilfully incurred" loss by
a "clearly unjustifiable refusal to take desirable new em-
ployment." Phelps Dodge Corp.
v. NLRB, 313 U.S. 177,
199-200 (1941). This, however, is an affirmative defense
and the burden is on the employer to prove the neces-
sary facts . NLRB v. Mooney Aircraft, 366 F.2d 809, 813
(5th Cir. 1966); Sioux Falls Stock Yards Co., 236 NLRB
543, 551 ( 1978). The record contains evidence demon-
strating the efforts made by the discriminatees in at-
tempting to seek employment . I find that Respondent has
not sustained its burden of showing that the discrimina-
tees did not "make reasonable efforts to find interim
work." NLRB v. Miami Coca-Cola Bottling Co., 360 F.2d
569, 575-576 (5th Cir. 1966).
lendez' testimony that he was told by the foreman either
that he would "not be accepted into the Union ," or that
he "didn't pass the trial period" and that there was "no
more work" for him. Puhn did not dispute this testimo-
ny. He testified that he did not know the "exact circum-
stances" of Melendez' failure to return to work . Accord-
ingly, I find that Melendez did not quit his employment
at Metropolis but instead was told by the foreman not to
return to work.
On December 9, 1980 , Melendez was laid off from
work at the Concord but was told to return on Decem-
ber 23 . He returned on December 21 and worked until
January 18 or 20, 1981, at which time the employment
ended because Rodriguez said, "it was very slow" and
there was no more work . I find, therefore, that in De-
cember 1980 and January 1981 Melendez did not quit his
employment at the Concord.
I have credited Melendez' testimony that he was laid
off from the Concord on December 7, 1981. However, I
have credited Rodriguez' testimony that he told Melen-
dez to return to work on December 23. Melendez did
not return to work on December 23, but instead returned
on May 21 , 1982. I believe that for the period December
23, 1981 , until January 20,
1982, Melendez failed to
appear for work at the Concord without giving a justifi-
able reason for so doing. Accordingly, for this period of
time Melendez wilfully incurred a loss which bars him
from recovery of backpay.
For the period January 20 until May 21 , 1982, Re-
spondent has not shown that Melendez would have been
employed at the Concord . During the previous year Me-
lendez was laid off on January 18 or 20 . Rodriguez testi-
fied that in the "winter time it is slow." He further testi-
fied that on January 21, 1981, a list was posted contain-
ing the names of the employees who would be kept
working. He could not remember whether Melendez'
name was included on that list. Rodriguez testified that if
an employee's name was not on the list, he was effective-
ly told that there was no work for him.
Accordingly, for the period December 23, 1981, until
January 20, 1982, I find that Melendez is not entitled to
backpay. See Gary Aircraft Corp., 211 NLRB 554, 557
(1974); Knickerbocker Plastic Co., 132 NLRB 1209, 1215
(1961). With respect to the period after January 20, it is
well established that any uncertainty in the evidence is to
be resolved against the Respondent as the wrongdoer.
Sioux Falls Stock Yards, supra, 236 NLRB at 551; Flite
Chief Inc., 258 NLRB 1124, 1128 (1981).
C. Respondent's Alleged Offer of Reinstatement to
Melendez on March 20, 1980
On March 20, 1980, Respondent sent a letter to Melen-
dez offering him immediate reinstatement . Although the
letter was sent to the address given Respondent by Me-
lendez, in fact 3 months earlier Respondent's counsel2
B. Respondent's Contention that Melendez Quit His
Interim Employment
Respondent contends that Melendez quit his employ-
ment at Metropolis in June 1979 and quit his employ-
ment several times while working for the Concord
Hotel . With respect to Metropolis, I have credited Me-
2 In its reply brief Respondent contends that Pollack is not Respond-
ent's "attorney" and that Marshall Miller Associates is not a law firm It
should be noted, however, that both Pollack and Kirshenbaum represent-
ed Respondent at the hearing In addition , the record contains a letter in
connection with this proceeding from the law firm of Milman , Naness &
Pollack (R Exh 18) Both Pollack and Kirshenbaum are listed as attor-
neys with that law firm.
478
DECISIONS OF NATIONAL LABOR RELATIONS BOARD
sent Melendez a letter in connection with the backpay
proceeding using Melendez' Puerto Rico address. That
letter was received by Melendez. The letter sent on
March 20, 1980, by Respondent was returned by the post
office with the notation, "moved, left no address."
In Link v.
Wabash Railroad Co., 370 U.S. 626, 634
(1962), the Supreme Court, citing Smith v. Ayer, 101 U.S.
320 stated:
each party is deemed bound by the acts of his
lawyer-agent and is considered to have "notice of
all facts, notice of which can be charged upon the
attorney."
The knowledge of Melendez' correct address was ob-
tained while counsel was actively engaged in handling
the instant matter. Indeed, counsel's letter was written to
ascertain whether Melendez was engaged in a job search
"in an effort to evaluate properly" backpay liability.
Counsel's knowledge of the correct address clearly came
to him within the "duration and scope of the attorney-
client relationship." Bell v. Brown, 557 F.2d 849, 856 fn.
61 (D.C. Cir. 1977).
Under certain circumstances a reinstatement offer may
be considered valid for purposes of tolling the backpay
period even if the offer is not received by the employee.
Marlene Industries Corp., 234 NLRB 285, 288 (1978);
Burnup & Sims, 256 NLRB 965, 966 (1981). It must be
remembered, however, that it is the employer's unlawful
conduct which gave rise to the discharge. Therefore, it is
the employer, rather than the employee, which must
bear the consequences of its unlawful act. The employer
should be required to exercise due deligence in contact-
ing employees at their proper current addresses. Carruth-
ers Ready Mix, 262 NLRB 739, 757 (1982).
When other sources are available, the employer should
go beyond its own records, once it has received notice of
their incorrectness, to ascertain the employee's correct
address. This holds true even in a situation as here, when
the incorrect address was initially supplied by the em-
ployee himself and when the employee had failed to
notify the employer of a change of address. Monroe Feed
Store, 122 NLRB 1479, 1480-1481 (1959); Gladwin Indus-
tries, 183 NLRB 280, 281 (1970).
Inasmuch as Respondent 's counsel was aware of Me-
lendez' correct address, in accordance with the above-
cited cases, I find that Respondent's communication of
March 20, 1980, was not a valid offer of reinstatement.
Accordingly, the backpay was not tolled at that time.
D. Medical Claim
In July 1979 Tirado's stepdaughter required hospitali-
zation . Although at the time of the hospital visit Tirado
was employed by an interim employer, the claim was
denied insurance coverage because the requisite waiting
period had not yet expired. The Blue Cross representa-
tive testified that had Tirado been employed by Re-
spondent at the time of the hospitalization, the claim
would have been covered under Respondent's contract. I
find that the medical claim is properly chargeable to Re-
spondent. See Matlock Truck Body Corp., 248 NLRB 461,
474 (1980).
E. Jose Allen
Respondent alleges that Allen unjustifiably quit his em-
ployment with Superior Steel in 1979. I credit Allen's
testimony that he left Superior Steel because "welding
sickened my eyes and I couldn't see." The Superior Steel
representative testified that he did not know the reason
Allen left the company's employment. I find that Allen
left his employment with Superior Steel because of
health reasons. This does not constitute a "willfully in-
curred" loss. See Big Three Industrial Gas Co.,
263
NLRB 1189, 1216 (1982).
F. Employment Opportunities
The record contains copies of newspaper advertise-
ments and listings of employment agencies in the New
York City area. In addition, several personnel agency
representatives testified that during the backpay period
jobs were advertised and were available in the area. Re-
spondent argues that under such circumstances, failure to
find employment indicates a lack of a "good faith job
search" on the part of the discriminatees.
In Laidlaw Corp., 207 NLRB 591, 594 (1973), enfd. 507
F.2d 1381 (7th Cir. 1974), cert. denied 422 U.S. 1042
(1975), the Board agreed with the following definition of
the employer's burden as stated by the administrative
law judge:
With the exception of a bundle of unassimilated
newspaper advertisement[s] and a letter from the
state authorities concerning the relative levels of un-
employment in [the area], Respondent produced no
evidence of any employment available to any discri-
minatee, nor of the willful failure of any to accept
such employment . . . . It is not enough that the
Respondent thinks that employees should have been
able to secure jobs. Suspicion and surmise are no
more valid bases for decision in a backpay hearing
than in an unfair labor practice hearing.
Similarly, in Airport Service Lines, 231 NLRB 1272,
1273 (1977), the Board held that the existence of newspa-
per advertisements did not establish that the jobs would
have been available had the discriminatees applied or
that they would have been selected for any available po-
sitions. See also Sioux Falls Stock Yards Co., 236 NLRB
at 550-551; S.E. Nichols Inc., 258 NLRB 1, 13-14 (1981),
enfd. 704 F.2d 921 (6th Cir. 1983).
Accordingly, I find that Respondent has not sustained
its burden of showing that the discriminatees "wilfully
incurred" loss by a "clearly unjustifiable refusal to take
desirable
new employment."
Phelps
Dodge
Corp.
v.
NLRB, supra, 313 U.S. at 199-200.
G. Pension Payments
The parties stipulated that pension fund contributions
were made by Respondent on behalf of both male and
female production employees. Therefore, had the discn-
minatees been employed by Respondent during the back-
pay period, pension fund contributions would have been
made on their behalf. Accordingly, the only question to
be decided is whether an award of pension payments
O.K. MACHINE & TOOL CORP.
should be made directly to the fund or to the discrimina-
tees. The General Counsel has recommended that the
payments be made directly to the discriminatees because
they are no longer employed by Respondent and would
therefore be unlikely to benefit from Respondent's pen-
sion plan. The Board has held that when the restoration
of pension benefits to the discriminatees is highly unlike-
ly, it is a more appropriate and reasonable method of ef-
fectuating compliance with the Board's order that the
discriminatees be made whole to require Respondent to
pay the contributions directly to the discriminatees.
Southland Dodge, Inc., 232 NLRB 878, 880 (1977); Rice
Lake Creamery Co., 151 NLRB 1113, 1128-1129 (1965),
enfd. as modified 365 F.2d 888 (D.C. Cir. 1966). Accord-
ingly, I shall order the pension fund payments to be paid
directly to the discriminatees.
H. Overtime
I have found that for the 47-week period to November
27, 1978, the discriminatees worked the following hours
of overtime: Allen, 48.75;
Gonzalez, 189;
Melendez,
134.5; Tirado, 119; and Robinson, 186.5. Average hours
of overtime per week were: Allen, 1.04; Gonzalez, 4.02;
Melendez, 2.86; Tirado, 2.53; and Robinson, 3.97.
The actual earnings of employees in a representative
period prior to their discharge is a formula traditionally
used by the Board in determining the amount of backpay
due discriminatees. See Chef Nathan Says Eat Here, 201
NLRB 343, 345 (1973). In DeLorean Cadillac, 231 NLRB
329, 332 (1977), enf. granted in part and denied in part
on other grounds 614 F.2d 554 (6th Cir. 1980), the Board
adopted as the proper formula the average monthly earn-
ings of the discriminatees during the year prior to their
termination. The record in this proceeding contains accu-
rate figures of overtime for the 47-week period prior to
the termination of the discriminatees. Accordingly, I be-
lieve that it is the proper measure to be used.
I. William Robinson
On January 24, 1983, Robinson, who at the time re-
sided in Compton, California, was served with a subpoe-
na issued on behalf of counsel for Respondent. On Janu-
ary 26 Robinson responded to Respondent's counsel, "I
am willing to appear but lack the funds to make the trip.
If you desire my appearance, you will have to send the
money and make the necessary travel and hotel accom-
modations." At the hearing Respondent moved to dis-
miss the complaint with respect to Robinson. The Gener-
al Counsel argued that the subpoena was invalid because
there was no tender of fees.
Section 11 (4) of the Act provides that witnesses sum-
moned before the Board shall be paid the same fees and
mileage that are paid witnesses in the courts of the
United States. Section 102.32 of the Board's Rules and
Regulations provides that these fees are to be paid by the
party at whose instance the witness appears Rule 45(c)
of the Federal Rules of Civil Procedure provides that
the tendering of such fees shall accompany the service of
the subpoena.
At the hearing I denied Respondent's motion to dis-
miss. I reaffirm that decision. No reason has been ad-
479
vanced why witness fees and mileage should not have
been required with respect to the instant subpoena. See
Brennan v. Heard, 491 F.2d 1, 4 (5th Cir. 1974). In Saper
v. Hague, 186 F.2d 592, 593 (2d Cir. 1951), the court held
that nonpayment of witness fees and mileage was a valid
excuse for not obeying a subpoena unless this defect in
service was waived. I believe that the nonpayment of
fees was at no time waived by Robinson. To the con-
trary, Robinson immediately advised Respondent's coun-
sel that he was willing to appear but that he would re-
quire the funds to do so. I conclude that service of the
subpoena was invalid inasmuch as there was no tender of
the appropriate fees.3
CONCLUSIONS OF LAW
I have found that for the period December 23, 1981,
until January 20, 1982, Melendez is not entitled to back-
pay. In addition, I have found that the discriminatees'
average weekly hours of overtime during 1978 were, as
follows:
Allen, 1.04;
Gonzalez, 4.02;
Melendez, 2.86;
Tirado, 2.53; and Robinson, 3.97. Otherwise, I find that
the backpay computation set forth in the specification, as
amended, is appropriate.
With respect to Robinson, consistent with Board
policy,' I shall award him the amount of backpay set out
in the specification and shall order Respondent to pay it
to the Regional Director for Region 2 to be held in
escrow for a period of 1 year. The Regional Director
shall make suitable arrangements to afford Respondent,
together with the General Counsel, an opportunity to ex-
amine Robinson, and any other witnesses with relevant
testimony, and to introduce any relevant and material
evidence bearing on the amount of backpay due. The
Regional
Director shall
make a final determination
whether any interim earnings or other amounts, in excess
of those shown in the specification, or any other factors
are revealed which may reduce the amount of backpay
due under existing Board precedent. In the event the Re-
gional Director determines that reductions are warrant-
ed, the amount so deducted shall be returned to Re-
spondent.
On these findings of fact and conclusions of law and
on the entire record, I issue the following recommend-
ed5
ORDER
The Respondent, O.K. Machine & Tool Corp. and
Gyrotronics,
Inc.,
Bronx, New York, their officers,
agents, successors, and assigns, shall
3 Respondent further contends that even if service of the subpoena was
defective, the General Counsel was under the obligation to have pro-
duced Robinson as a witness The Board has held , however, that the
General Counsel "does not have the obligation to produce the discrimin-
atees at the hearing to testify in this regard " Woonsocket Health Centre,
263 NLRB 1367 (1982) See also Steve Alm Ford, 190 NLRB 661 (1971)
4 See Woonsocket Health Centre, supra, 263 NLRB at 1368.
5 If no exceptions are filed as provided by Sec. 102 46 of the Board's
Rules and Regulations,
the findings,
conclusions, and recommended
Order shall, as provided in Sec 102 48 of the Rules, be adopted by the
Board and all objections to them shall be deemed waived for all pur-
poses
480
DECISIONS OF NATIONAL LABOR RELATIONS BOARD
1. Pay to each of the following employees as net back-
pay the amount set forth opposite each name,e plus inter-
est computed in the manner prescribed in Florida Steel
Corp., 231 NLRB 651 (1977),7 less tax withholdings re-
quired by Federal and state laws:
Alberto Gonzalez
$ 2,2008
Hildo Melendez
33,559
6 An appropriate amount shall be deducted for each discriminatee to
reflect the revised average overtime hours as stated above in Conclusions
of Law section In addition , an appropriate amount shall be deducted
from Melendez' backpay for the period December 23, 1981, until January
20, 1982 , during which time I have found that Melendez is not entitled to
backpay
7 See generally Isis Plumbing Co, 138 NLRB 716, 717-721 (1962)
s Includes $ 152 pension benefit payment
Alton Fahie
8559
Jose Allen
5,066
Luis Tirado
7,28110
2. Transmit to the Regional Director for Region 2, to
be held in escrow as provided in this Supplemental Deci-
sion, the sum of $7,11911 representing the gross backpay
due William Robinson , plus interest, 12 and less tax with-
holdings required by Federal and state laws.
9 The parties stipulated that Fahie is entitled to a total payment of
$855, representing $550 as backpay, $275 as interest , and $30 as a Christ-
mas bonus
10 Includes $ 161 pension benefit payment
" Includes $145 pension benefit payment
12 As specified in par I of this Order