290 NLRB 152
Facet Enterprises, Inc.
152
DECISIONS OF THE NATIONAL LABOR RELATIONS BOARD
Facet
Enterprises,
Inc.
and
International
Union,
United Automobile, Aerospace and Agricultural
Implement Workers of America (UAW). Cases
7-CA-22929, 7-CA-23154, and 7-CA-23817
July 29, 1988
DECISION AND ORDER
By CHAIRMAN STEPHENS AND MEMBERS
BABSON AND CRACRAFT
On February 27, 1987, Administrative Law
Judge Harold Bernard Jr. issued the attached deci-
sion . The Respondent filed exceptions and a sup-
porting brief,' and the General Counsel and Charg-
ing Party filed answering briefs.
The National Labor Relations Board has delegat-
ed its authority in this proceeding to a three-
member panel.
The Board has considered the decision and the
record2 in light of the exceptions and briefs and
has decided to affirm the judge's rulings, findings,3
and conclusions as
modified,
to
modify the
remedy,4 and to adopt the recommended Order as
modified.
' The Charging Party filed a motion to strike the Respondent's excep-
tions and supporting brief, and the General Counsel filed a request for an
order directing the Respondent to resubmit its supporting brief The Re-
spondent filed an opposition We deny both the Charging Party's motion
and the General Counsel's request
2 The Respondent has requested oral argument The request is denied
as the record, exceptions, and briefs adequately present the issues and the
positions of the parties
a 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 judge'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 F2d 362 (3d Cir 1951)
We have carefully examined the record and find no basis for reversing
the findings
4 As discussed in sec 5 below, we find the unfair labor practice strike
conversion date at Madison Heights to be November 6, 1983
We also
find the unfair labor practice strike conversion dates at Elmira and De-
troit to be the third week of December 1983 and December 24, 1983, re-
spectively Accordingly, we modify the remedy to reflect those dates in-
stead of the November 3 and December 2 dates found therein
In making his multiplant unit determination , the judge relied in part on
the Union's method of submitting master agreement proposals to a pool-
ing of votes by employees at all three plants Although we agree with the
judge that the parties intended to bargain on the basis of a single multi-
plant unit, we note that this pooling process indicates only the Union's
belief that the three plants constitute one unit and has no bearing on the
Respondent's view of the appropriate unit
We agree with the judge's finding that an impasse had not been
reached in local Detroit plant negotiations regarding the Respondent's
proposal to reduce the number of shop stewards from six to three The
judge also found that, despite the absence of impasse, the Respondent ad-
vised the Union at the strike's conclusion that the number of shop stew-
ards it would recognize in the Detroit plant would be reduced to three
Because the Respondent implemented its proposal before bargaining to
impasse and refused to recognize three of the six shop stewards as union
representatives, we agree with the judge that the Respondent violated
Sec 8(a)(5)
We find it unnecessary to address the issue of whether the Respondent
would have been privileged to implement its proposal had the parties
reached a valid impasse See Lehigh Portland Cement Co, 287 NLRB 978
(1987)
1. We agree with the judge that the Respond-
ent's proposal to remove all the electron beam
welder work from the bargaining unit constituted
an attempt to alter the unit's composition. Like the
judge, we do not find that the evidence establishes
that the Respondent, through its offer concerning
the electron beam welder, was merely attempting
to promote the employee in that classification out
of the unit into a supervisory position after bargain-
ing in good faith over the transfer of the individual
and his work into supervisory status. See, e.g.,
Tesoro Petroleum Corp., 192 NLRB 354 (1971); Fry
Foods, 241 NLRB 76 (1979), enfd. 609 F.2d 267
(6th Cir. 1979). Rather, we find, as he did, that the
Respondent's bargaining over this matter represent-
ed an attempt to remove the electron beam welder
classification from the unit under the guise of pro-
moting the incumbent welder to a supervisory posi-
tion. That it was not a genuine promotion to super-
visory status is shown by the evidence that the
welder simply continued to perform his same duties
after being removed from the unit. Consequently, it
is evident that the Respondent was not insisting
simply on transferring unit work to supervisors
through the device of promoting unit employees to
supervisory positions-a mandatory subject of bar-
gaining . Tesoro Petroleum Corp., supra. It was actu-
ally trying to alter unit composition by placing an
employee classification outside the unit-a permis-
sive subject of bargaining. See Newport News Ship-
building v. NLRB, 602 F.2d 73, 77-78 (4th Cir.
1979) (employer may not insist on altering compo-
sition of a unit under guise of a work transfer),
cited in Idaho Statesman,
281
NLRB 272, 277
(1986), enfd. in relevant part 836 F.2d 1396, 1403-
1406 (D.C. Cir. 1988). Accordingly, we agree with
the judge's finding that the Respondent unlawfully
insisted to impasse on a permissive subject of bar-
gaining.
2. Although we agree with the judge's rejection
of the Respondent's defense under Trident Seafoods
Corp., 244 NLRB 566 (1979), affd. 642 F.2d 1148
(9th Cir. 1981), and his finding that the notice sent
to employees during the first week of February
1984 did not adequately cure the electron beam
In his discussion of the Respondent's unlawful refusal to provide the
Union with information concerning the removal of jobs and machinery
from the Detroit plant, the judge stated that the strike at the three plants
concluded in February 1985 The judge also stated in the remedy section
of his decision that the strike concluded in February 1964
We correct
these inadvertent errors as the strike actually ended in February 1984
In accordance with our decision in New Horizons for the Retarded, 283
NLRB 1173 (1987), interest on and after January 1, 1987, shall be com-
puted at the "short-term Federal rate" for the underpayment of taxes as
set out in the 1986 amendment to 26 U S C § 6621
Interest on amounts
accrued prior to January I, 1987 (the effective date of the 1986 amend-
ment to 26 U S C § 6621), shall be computed in accordance with Florida
Steel Corp, 231 NLRB 651 (1977)
290 NLRB No. 25
FACET ENTERPRISES
welder and direct dealing violations, we find it un-
necessary to pass on the judge's finding that the
notice was untimely sent to the Respondent's em-
ployees. Rather, we rely on the judge's finding that
the notice was ineffective because shortly thereaf-
ter the Respondent engaged in further unlawful
conduct.
3. We also find no merit in the Respondent's ar-
gument that it did not unlawfully refuse to provide
the Union with financial information because it
merely claimed competitive disadvantage at the
Elmira and Madison Heights facilities. By linking
plant survivals to economic recoveries from the
Union and announcing the closing of Madison
Heights, the Respondent by its words and conduct
clearly pleaded an inability to pay existing wages
and benefits and was therefore legally obligated to
turn over books and records so that the Union
could verify that poverty claim.5
4. We clarify the judge's finding that the Re-
spondent violated Section 8(a)(5) of the Act by en-
gaging in conduct calculated to split off the Detroit
plant from the established multiplant bargaining
unit. We observe that the Respondent's proposal
for a separate contract covering the Detroit plant
was not per se unlawful. Rather, our finding of an
8(a)(5) violation here is based on the Respondent's
coercive verbal and written communications to the
Detroit employees, which went beyond the bound-
aries of protected speech as provided in Section
8(c) of the Act. Thus, we agree with the judge that
the Respondent sought to create a division between
the Detroit employees and the Union by pitting
one part of the bargaining unit (the Detroit em-
ployees) against another part (the Elmira and
Madison Heights employees), thereby undermining
the Union's representative status.
We note that our decisions in United Technologies
Corp., 274 NLRB 609 (1985), affd. 789 F.2d 121
(2d Cir. 1986) (United Technologies 1); United Tech-
nologies Corp., 274 NLRB 1069 (1985), affd. 789
F.2d 121 (2d Cir. 1986) (United Technologies II);
and Putnam Buick, 280 NLRB 868 (1986), affd. sub
nom. Machinists District 190 v. NLRB, 827 F.2d 557
(9th Cir. 1987), do not dictate a different result. In
United Technologies I and II, the Board found no
8(a)(5) violations because the employer's public
communications to its employees did not urge the
employees to abandon their representative in favor
5 We note that Harvstone Mfg Corp, 272 NLRB 939 (1984), on which
the judge relied, was denied enforcement in part by the court of appeals,
NLRB v Harvsrone Mfg Corp, 785 F 2d 570 (7th Cir 1986),' on the
ground that a claim of competitive disadvantage, without more, does not
amount to a claim of inability to pay Because, as noted above, the Re-
spondent here indicated that its plants might not survive without conces-
sions from the Union, we need not rely on Harvsrone in order to find a
violation here
153
of receiving benefits from the employer. Further-
more, the employer genuinely acknowledged the
union's rightful role as the employees' bargaining
representative. In Putnam Buick, the employer's
conduct was also found to be protected by Section
8(c) of the Act. The Board, there, however, relied
on a union officer's admission that one employer-
employee
meeting was merely informational in
nature and found that at another meeting the em-
ployer impliedly suggested that the employees
present an offer (already presented to the union) to
the union leadership for further consideration. We
note that none of these cases involved an employ-
er's attempt to achieve its bargaining objectives by
pitting one group of employees against another,
which is evident here. We also find that the instant
case is distinguishable because the Respondent's
communications to the Detroit employees denigrat-
ed the Union's concern for its representative duties
and, in a coercive manner, suggested that the De-
troit employees return to work without involving
the Union in the decisional process.
We further note that although the complaint did
not specifically allege a direct dealing violation, the
complaint does challenge the legality of the Re-
spondent's communications to the Detroit employ-
ees on the ground that they constitute conduct de-
signed to split apart the historic multiplant unit in
violation of Section 8(a)(5). At the hearing, the Re-
spondent had the opportunity to fully litigate the
nature and extent of its communications to the De-
troit employees. It is well established that the
Board may find a violation, although not specifical-
ly alleged in the complaint, if it is related to the al-
legations in the complaint, the matter was fully and
fairly litigated, and the respondent has not been
prejudiced. Baytown Sun,
255 NLRB 154 fn. 1
(1981). That is the situation here. Accordingly, we
conclude that a finding of an 8(a)(5) direct dealing
violation is fully warranted. We shall modify para-
graph 1(b) of the judge's recommended Order to
conform to the violation found.
5. The judge found that the Madison Heights
strike was an unfair labor practice strike from its
inception on November 3, 1983. We modify the
judge's finding to reflect that the Madison Heights
strike was an economic strike at its inception which
converted to an unfair labor practice strike com-
mencing on November 6, 1983.
On October 11, Madison Heights Local 771
President Thomas Butler handed out a list of unre-
solved issues between the Respondent and the
Union to the Madison Heights membership during
the strike vote meeting. The list contained several
economic items but did not mention the electron
beam welder issue. The Madison Heights member-
154
DECISIONS OF THE NATIONAL LABOR RELATIONS BOARD
ship voted to strike. The union leadership, howev-
er, chose not to proceed with the strike authoriza-
tion process at that point but continued to negoti-
ate with the Respondent.
On the afternoon of November 2, International
Servicing Representative Smith sought final strike
approval from the Union's office of the regional di-
rector, as it had final discretion on whether to im-
plement the strike. Smith discussed with Assistant
Regional Director Preston Harris the Respondent's
position on the electron beam welder issue and
orally amended the statement of strike issues to in-
clude that dispute. There is no evidence that the
membership was either apprised of or consented to
the oral amendment at that time. Following the dis-
cussion, Harris gave Smith final approval to imple-
ment the strike.
The strike at the Madison Heights plant began
on November 3. On November 6, the Madison
Heights membership confirmed by vote their repre-
sentatives' rejection of the Respondent's final pro-
posal. Prior to voting, and for the first time, the
employees were informed of the electron beam
welder issue.
We find that the Madison Heights strike was not
an unfair labor practice strike at its inception, but
was converted to that status on November 6, when
the membership was informed of the Respondent's
position on the electron beam welder position and
voted to confirm their representatives' rejection of
the Respondent's final offer and remain on strike.
We do not dispute the notion that unit employees
may give standing authorization to their bargaining
agents to commence a strike in response to what
those agents believe is an employer's unfair labor
practice. But we find no evidence that such gener-
alized authority was ever given by the rank-and-file
employees to the Local's officers, either at the Oc-
tober 11 meeting, when the employees approved
the strike authorization, or at any time before. In
requesting that strike vote, the only grounds of-
fered by the Local's officials dealt with economic
issues. 6
6. The judge also determined that the Elmira and
Detroit plant strikes were converted to unfair labor
practice strikes on December 2 when the Respond-
" Member Cracraft would find that the Madison Heights strike was an
unfair labor practice strike from its inception In voting to strike on Octo-
ber 11, the Madison Heights membership gave its union representatives
the authority to respond to the progress of negotiations in the manner
they saw fit On November 3, Representative Smith decided to call the
strike in protest of the Respondent's position on the electron beam
welder issue Thus, in Member Cracraft's view, Smith's decision was well
within the broad authority a collective-bargaining agent possesses to act
on behalf of employees in a strike situation
See Woodlawn Hospital, 274
NLRB 796 (1985), and Michigan Ladder Co, 286 NLRB 21 (1987) (con-
tinued and vigorous objections of union negotiators to the unlawful com-
pany decision to subcontract unit work warrant the conclusion that the
strike was an unfair labor practice strike)
ent sent a letter solely to the Detroit employees
urging their return to work. Although we agree
with the judge that the strikes were converted to
unfair labor practice strikes, we disagree with the
judge's selection of the December 2 date.
At the Elmira union membership meeting held in
the third week of December, District Representa-
tive
tive Jack Manione read to the membership a list of
unfair labor practice charges filed December 15.
These charges included the Respondent's unlawful
attempt to bypass the Union and deal directly with
the Detroit employees.
After Manione read the
charges, approximately 50 to 60 members voiced
their
opposition to the Respondent's conduct.
Elmira Local Vice President Fred McElligott cre-
dibly testified that these members expressed the po-
sition that "there is no way one plant will go back
to work without the other two units."7 McElligott
also testified that on December 21 or 22 the Elmira
picketers began carrying signs which read, "Facet
Charged with Unfair Labor Charges." These signs
were carried until the strike's conclusion on Febru-
ary 17, 1984.
At the Detroit union membership meeting held
on December 24, Union Vice President Jim Ellis
credibly testified that he informed the membership
that the Union had filed unfair labor practice
charges in December and Respondent President
James Malone had told Ellis over the phone that
"he [Malone] had been down on the picket lines
talking to the people, asking them were they satis-
fied . . . would they come back." Staff Representa-
tive Wally Waller also credibly testified that Ellis
told the Detroit employees the Respondent was
"badgering" some picketers into coming back to
work and that Ellis asked whether other employees
had been approached by the Respondent. Detroit
Local President Tony Rahall similarly testified that
he was informed by either Ellis or International
Representative John Mando that the Detroit meet-
ing was called because "people . . . were com-
plaining about management coming out talking to
the people, going in without a contract, and no
union."
Two picketers, Ilah Drake and Jack
Muhaw, both credibly testified that Malone had ad-
mitted to them that "he thought he could get into
trouble for talking to the people on the picket line,
[b]ecause he thought that the [U]nion would think
that he was trying to bargain and talk us back to
work." Finally, Mando credibly testified that in
mid-December he issued instructions to each Local
to change some of the picket signs to read "Unfair
Labor Practice Charges."
' As stated in sec
4, supra, the Respondent's direct dealing violation
includes coercive solicitation of the Detroit employees to return to work
FACET ENTERPRISES
Based on the record as a whole, we find that the
Respondent's unlawful attempt to bypass the Union
and deal directly with the Detroit employees in
part caused the Elmira and Detroit memberships to
resolve to stay out on strike and actually prolonged
the strike. Blu-Fountain Manor, 270 NLRB 199, 206
fn. 14 (1984), enfd. sub nom. NLRB v. Jarm Enter-
prises, 785 F.2d 195 (7th Cir. 1986). Accordingly,
we modify the judge's conversion findings and find
that the Elmira and Detroit plant strikes converted
to unfair labor practice strikes as of the dates of the
membership meetings when the memberships were
informed of and objected to the Respondent's un-
lawful direct dealing . Because the record is unclear
concerning the date of the Elmira membership
meeting, we leave its determination to the compli-
ance stage of this proceeding.
In light of our modification of the judge's find-
ings, we shall issue Amended Conclusions of Law,
a modified Order, and a new notice to employees.
AMENDED CONCLUSIONS OF LAW
1. Substitute the following for Conclusion of
Law 7.
"7. Due to the Respondent's conduct described
above in paragraph 6, the economic strike at the
Madison Heights plant underway since November
3, 1983, was prolonged and thereby converted to
an unfair labor practice strike commencing on No-
vember 6, 1983."
2. Substitute the following for Conclusion of
Law 9.
"9. By dealing directly with employees about
terms and conditions of employment, the Respond-
ent refused to bargain in good faith with the Union
in violation of Section 8(a)(5) of the Act."
3. Substitute the following for Conclusions of
Law 11 and 12.
"11. By unilaterally changing employment condi-
tions such as established grievance procedures, paid
time for representative
matters, seniority recall
rights, plant access for employee representatives,
and number of shop stewards , and refusing to rec-
ognize three of the six shop stewards as union rep-
resentatives without notifying, consulting, or bar-
gaining with the Union as the exclusive representa-
tive of its employees in the appropriate bargaining
unit, the Respondent violated Section 8(a)(5) of the
Act.
"12. Notwithstanding unconditional request for
reinstatements made by the Union on behalf of its
striking employees on February 18, 1984, the Re-
spondent has refused to reinstate them to their
former or substantially equivalent positions , there-
by engaging in unfair labor practices in violation of
Section 8(a)(3) and (1) of the Act."
155
ORDER
The National Labor Relations Board adopts the
recommended Order of the administrative law
judge as modified below and orders that the Re-
spondent, Facet Enterprises, Inc., Detroit,
Michi-
gan, its officers, agents, successors, and assigns,
shall take the action set forth in the Order as modi-
fied.
1. Substitute the following for paragraphs 1(b),
(c), and (d).
"(b) Refusing to bargain in good faith with the
Union by dealing directly with employees about
terms and conditions of employment. The bargain-
ing unit is:
All production
and
maintenance employees
employed by Respondent at its Detroit, Michi-
gan plant (Fuel Devices Division), its Madison
Heights, Michigan plant (Filter Products Divi-
sion) and its Elmira, New York plant (Motor
Components Division); but excluding office
clerical
employees,
professional
employees,
guards and supervisors as defined in the Act.
"(c) Refusing to bargain in good faith with the
Union by unilaterally changing employment condi-
tions such as established grievance procedures, paid
time for representative
matters, seniority recall
rights, plant access for employee representatives,
and number of shop stewards, and refusing to rec-
ognize three of the six shop stewards as union rep-
resentatives without notifying, consulting, or bar-
gaining with the Union as the exclusive representa-
tive of its employees in the appropriate bargaining
unit.
"(d) Refusing on request to reinstate employees
engaged in an unfair labor practice strike."
2. Substitute the following for paragraphs 2(a)
and (b) and reletter subsequent paragraphs.
"(a) Offer the unfair labor practice strikers imme-
diate and full reinstatement to their former posi-
tions or, if those positions no longer exist , to sub-
stantially equivalent positions, without prejudice to
their seniority or other rights and privileges, and
make them whole for any loss of earnings and
other benefits suffered as a result of the discrimina-
tion against them, in the manner set forth in the
remedy section of the judge's decision as modified
by the Board's decision regarding the dates the
Madison
Heights,
Detroit,
and
Elmira strikes
became unfair labor practice strikes."
3. Substitute the attached notice for that of the
administrative law judge.
156
DECISIONS OF THE NATIONAL LABOR RELATIONS BOARD
APPENDIX
tive of our employees in the following appropriate
unit:
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 violated the National Labor Relations Act
and has ordered us to post and abide by this notice.
Section 7 of the Act gives employees these rights.
To organize
To form, join, or assist any union
To bargain collectively through representa-
tives of their own choice
To act together for other mutual aid or pro-
tection
To choose not to engage in any of these
protected concerted activities.
WE WILL NOT do anything to interfere with
these rights.
WE WILL NOT refuse to bargain in good faith
with
International
Union,
United
Automobile,
Aerospace and Agricultural Implement Workers of
America (UAW) by insisting to impasse and there-
by preventing an agreement from being reached
concerning your terms of employment on our pro-
posal to exclude the electron beam welder position
from the bargaining unit.
WE WILL NOT refuse to bargain in good faith
with the Union by refusing to furnish the Union
with information relevant and necessary to its duty
to represent you, such as information on our finan-
cial status, on movement of plants and machinery,
and picket line misconduct.
WE WILL NOT refuse to bargain in good faith
with the Union by dealing directly with employees
about terms and conditions of employment.
WE WILL NOT unilaterally alter the employment
conditions of employees concerning the established
grievance procedures, paid time for representative
matters, seniority recall rights, plant access to our
premises
by
your
union
representatives,
and
number of shop stewards, and refusing to recognize
three of the six shop stewards as union representa-
tives.
WE WILL NOT, in certain circumstances ex-
plained in the Board's decision, refuse reinstate-
ment to former Madison Heights, Detroit, and
Elmira unfair labor practice strikers.
WE WILL NOT in any like or related manner
interfere with, restrain, or coerce you in the exer-
cise of the rights guaranteed you by Section 7 of
the Act.
WE WILL, on request, bargain in good faith with
the aforenamed Union as the exclusive representa-
All production and maintenance employees
employed by us at our Detroit, Michigan plant
(Fuel Devices Division), our Madison Heights,
Michigan plant (Filter Products Division) and
our Elmira, New York plant (Motor Compo-
nents Division); but excluding office clerical
employees, professional employees, guards and
supervisors as defined in the Act,
and if an understanding is reached, embody any
such understanding in a signed agreement.
WE WILL restore and place in effect retroactive
to February 18, 1984, all conditions of employment
which we were found herein to have unlawfully
changed, including the established grievance proce-
dures, paid time for representative matters, seniori-
ty recall rights, and plant access; and WE WILL
make whole employees for any losses they may
have incurred as a result of our unlawful action in
changing such employment conditions. These con-
ditions will remain unchanged until such time as
the parties execute a new agreement, or bargain to
good-faith impasse.
WE WILL offer the unfair labor practice strikers,
except those discharged for cause by us, immediate
and full reinstatement to their former positions or,
if those positions no longer exist, to substantially
equivalent positions, without prejudice to their se-
niority or other rights and privileges, and WE WILL
make each of them whole for any loss of wages
suffered by reason of our unlawful conduct against
them as provided in the Board's decision.
WE WILL furnish the Union with information rel-
evant and necessary to its collective-bargaining re-
sponsibilities.
FACET ENTERPRISES, INC.
Mark D.
Rubin and A. Bradley Howell, Esqs., for the
General Counsel.
Steven J. Fishman and Frank T. Mamat, Esqs., for the
Respondent.
Betsy A. Engel and Leonard R. Page, Esqs., for the Charg-
ing Party.
DECISION
STATEMENT OF THE CASE
HAROLD BERNARD JR., Administrative Law Judge.
Pursuant to second amended consolidated complaint
issued on 31 October 1984, I heard this matter on numer-
ous days in 1985 in Detroit, Michigan. The case involves
alleged violations of Section 8(a)(1), (3), and (5) of the
Act occurring in the context of negotiations for a new
collective-bargaining
agreement, and including issues
FACET ENTERPRISES
over refusals to provide information, unlawful impasse
bargaining about a nonmandatory subject, efforts to split
an established
multiplant
bargaining
unit,
whether a
strike was economic or an unfair labor practice strike,
picket line misconduct, refusals to reinstate former strik-
ers, and asserted unilateral action by Respondent.
On the entire record, including credibility determina-
tions based on witnesses' deportment on the witness
stand, and briefs filed by the parties, I make the follow-
ing
FINDINGS OF FACT
I. JURISDICTION
Respondent, as alleged in the complaint and admitted
in its answer, is an employer engaged in commerce
within the meaning of the Act. The Union (UAW) and
its Locals 104, 771, and 604 are labor organizations as
defined in the Act.
II. APPROPRIATE UNIT
The complaint alleges that the appropriate unit is:
All production and maintenance employees em-
ployed by Respondent at its Detroit, Michigan plant
(Fuel
Devices
Division), its
Madison
Heights,
Michigan plant (Filter Products Division) and its
Elmira, New York plant (Motor Components Divi-
sion), but excluding office clerical employees, pro-
fessional employees, guards and supervisors as de-
fined in the Act.
The record shows that the Union has represented Facet's
employees at the three named plants under contracts in
force from April 1976 to 30 April 1977, 1977 through
1980, and 1980 through early November 1983 As the
long-established
and recognized collective-bargaining
representative for these employees, the Union has negoti-
ated major terms and conditions of employment covering
all the unit employees at the three plants in master agree-
ments over the years. Under the long-established practice
negotiated master agreements are submitted to all the
employees in the three plants for ratification, the out-
come being determined by pooling the votes. Although
the parties left some subjects to be resolved in local sup-
plementary agreements tailored to each plant's circum-
stances, as early as 1976 it was specifically provided in
the parties' agreement that such agreements would have
to be referred to the National Facet Department of the
Union for approval before becoming effective. (G.C.
Exh. 42, par. XXIII.)
In all the years the parties lived with multiplant bar-
gaining , Respondent never denied the appropriateness of
the master agreement unit, in fact, even during the failed
negotiations for a new contract to replace the 1980-1983
agreement, Respondent had occasion in various commu-
nications to refer to the "recognized three-plant bargain-
ing unit," declaring that, "At no time did Facet every
[sic] try to split up the three-plant bargaining unit."
(G.C. Exh. 38 at 1,2.) In addition, by a "Notice" to all
employees dated 1 February 1984 Respondent stated that
"Facet disavows and repudiates any intention at any time
157
to split the Detroit plant from the historic multiplant bar-
gaining
unit
(which includes the •Detroit,
Madison
Heights and Elmira [New York] plants)." This communi-
cation refers to the "historic multiplant unit" throughout
its contents. (G.C. Exh. 25.)
Nevertheless, the
Respondent, for the first time,
sought to question the appropriateness of the established
unit in its answer and on brief in these proceedings,
pointing to dissimilar characteristics at the three plants,
such as geographical separation and lack of interchange,
among other factors, to support its unprecedented con-
tention. Respondent's tardy contention after 7 years of
bargaining successive contracts in such unit is not enti-
tled to much weight.
Williams Enterprises, 212 NLRB
880, 884 (1974); Harding Glass Industries, 216 NLRB 331
(1975); Maphis Chapman Corp., 151 NLRB 73, 86 at fn.
34 (1965); and NLRB Y. Midvalley Steel Fabricators, 621
F.2d 49, 53 at fn. 3 (2d Cir. 1980). In any event, Re-
spondent also referred to the fact that original Board cer-
tifications, from 1935 to 1940, fail to support the view
that the Board ever certified a multiplant unit as opposed
to separate plant units, suggesting the unit was never
really an appropriate one from its inception so that the
complaint should be dismissed. In effect, Respondent on
brief proposes for unit determination purposes, "the
Board enter a time capsule and return to when employ-
ees were first assigned" at the three plants and reappraise
the unit as it would have deemed it appropriate had the
matter been before the Board in an initial unit determina-
tion many years ago, a superficial proposal indifferent to
the parties' admitted collective-bargaining history since
then and their current state of affairs, and therefore
wholly unwarranted. Gibbs & Cox, Inc., 280 NLRB 953
(1986). The factors extant at the three plants here ad-
dressed by Respondent to support its view, as the Board
noted in Gibbs & Cox, Inc are
of lesser cogency where a history of meaningful
bargaining
has
developed.
See,
e.g.,
Standard
Brands, 75 NLRB 394 (1947); West Virginia Pulp &
Paper Co., 53 NLRB 814 (1943) In such circum-
stances, greater latitude should be accorded the col-
lective rights of employees to pursue and preserve
the
pattern of representation of their choosing.
Thus, to characterize the unit from the vantage of
any period of time but the one presently under con-
sideration is to disturb the reasonable balance the
Board seeks to achieve between the aims of assuring
freedom of employees' choice and fostering estab-
lished bargaining relationships [280 NLRB at 954-
955.]
Viewing the unit presently, it is clear that the parties'
multiplant unit is appropriate. Thus, it is well established
"that parties to a collective-bargaining relationship may
by contract, bargaining history, and course of conduct
. . form a multiplant bargaining unit." Anheuser-Busch,
Inc., 246 NLRB 29, 31 (1979); Miles & Sons Trucking,
269 NLRB 7, 14 (1984); and
White-Westinghouse Corp.,
229 NLRB 667 (1977), see also General Electric Co., 180
NLRB 1094, 1095 (1970);
Canterbury
Gardens,
238
NLRB 864 (1978); and General Motors Corp., 120 NLRB
a
158
DECISIONS OF THE NATIONAL LABOR RELATIONS BOARD
1215, 1218 (1958). That they have done so here is readily
apparent from the contracts between the parties from
1976 through 1983, the bargaining for major terms and
conditions of employment covering employees at the
three plants at master agreement negotiations preceding
those contracts and the multiplant contract ratification
procedures requiring a majority of yes votes among all
three-plant bargaining unit members combined I find
that, based on all the foregoing, that the above-described
unit of employees for which the Union and its locals
have been, and remain, the exclusive bargaining repre-
sentative, is a unit appropriate for collective bargaining
as defined in the Act
iii. AGENCY STATUS OF FACET OFFICIALS
On the basis of admissions in the pleadings and the
entire record, I find that James Malone, Paul Dick,
Robert Schaeffer, Thomas Robertazzi, Bob White, T J.
Westfall,
Frank
Vaughn,
William
Popadynec,
Ron
Goral, E. J. Mullane, Donald Houser, John Evans, and
Robert Childress occupied the positions as described in
paragraphs 7(a) and (b) in the complaint and at all times
material were supervisors and/or representatives and
agents of Respondent within the meaning of the Act.
iv THE UNFAIR LABOR PRACTICES
A. The 10(b) Issue
Respondent moved at hearing and on brief to dismiss
complaint paragraph 13 which alleges an unlawful refus-
al by Respondent to furnish the Union with financial in-
formation, contending that this matter was covered by a
dismissed charge in Case 7-CA-22929 from which no
appeal was ever taken thereby rendering the subject
matter time-barred from these proceedings, citing both
Ducane Heating Corp
and ITT Lighting Fixtures.'
Re-
spondent makes further reference to the view that a sep-
arate later charge in Case 7-CA-23154 cannot support
the issuance of complaint paragraph 13 either because
nowhere on the face of that later charge or in the appeal
from a partial dismissal does the matter contained in
paragraph 13 appear.
At the outset, it is clear that the cited precedent, deal-
ing with reinstatement or revivals of abandoned charges
time-barred by Section 10(b) in the Act, is inapplicable
to the instant case, where complaint was authorized on
the basis of a then active, timely charge in the later Case
7-CA-23154, rather than the earlier dismissed case, Case
7-CA-23159 (R. Exh 7). This being true, paragraph 13
is not a reinstated or revived abandoned charge whose
subject matter is barred by the cited cases. In this con-
nection, it should be noted further that the dismissed
charge, Case 7-CA-22929, was a sharply limited allega-
tion of bad-faith bargaining by, inter alia, Respondent's
refusal of the Union's request for financial information
early in the parties' handling of this matter without fur-
ther reference to any factual circumstances, while com-
plaint paragraph 13 based on the later charge identifies
numerous dates and places when the allegedly unlawful
' 273 NLRB 1389 (1985), and 267 NLRB 709 (1983)
refusals to provide the requested financial information
had continued to occur and the problem had matured.
On the face of things, therefore, the dismissed charge
and paragraph 13 are clearly not one and the same and
there is no evidence to support such view, or the Re-
spondent's "revival" theory based thereon.
Finally, while it is true that the allegations in the
timely charge do not specifically address a refusal to pro-
vide financial information, this fact is not controlling.
The parties continued negotiations after the dismissal in
Case 7-CA-22929 and, more significantly, the matter of
financial information requests as well as other informa-
tion requests arose in the dynamics of those ongoing ne-
gotiations during which numerous allegations of unlawful
conduct by Respondent arose. In fact, specific allegations
of unlawful refusals to provide other information con-
cerning sinker misconduct and equipment removal had
been found meritorious during the continuing investiga-
tion.
It should be further noted that this kind of alleged mis-
conduct by Respondent was addressed to the General
Counsel's attention in an appeal from the Regional Di-
rector's partial dismissal in Case 7-CA-23154 (R. Exh.
7). All the above being true it was well within the rea-
sonable exercise of sound discretion by the General
Counsel to evaluate the parties' entire situation at the
current stage in their collective-bargaining relationship,
rather than being foreclosed from viewing a total picture
by a contention based merely on an earlier dismissal of
an undeveloped issue or the facial allegations in Case 7-
CA-23154 just so long as the General Counsel did not
get, "so completely outside of the situation which gave
rise to the charge that it may be said to be initiating the
proceeding on [her] motion [for] then the complaint
[would] fall as not supported by the charge." NLRB v.
Kohler Co., 220 F.2d 3, 7 (7th Cir. 1955). For these rea-
sons, including the fact that the allegations in complaint
paragraph 13 concerning refusal of requests for financial
information, I find, are clearly associated with other al-
leged unlawful refusals of information requests set forth
in the complaint, I conclude that the timely 8(a)(5)
charge in Case 7-CA-23154 is sufficient to support the
additional incidents of financial information request deni-
als covered by the complaint. Based on the foregoing,
Respondent's motion is denied. Flex Products, 278 NLRB
417, 418 (1986); NLRB v. Fant Milling Co., 360 U.S. 201
(1959); NLRB v. Complas Industries, 714 F.2d 733 (7th
Cir. 1983), and Flex Plastics, 262 NLRB 651, 652 (1982).
B. Respondent's Proposal on the Electron Beam
Welder Classification
The complaint alleges that Respondent insisted to im-
passe on its contract proposal regarding the electron
beam welder (EBW), a job classification included in the
unit at Respondent's Madison Heights plant, thereby vio-
lating Section 8(a)(5) in the Act because the proposal
concerned a permissive subject of bargaining, a reduction
in the composition and scope of the bargaining unit, as to
which, unlike a mandatory subject of bargaining, neither
party could condition their agreement for a new con-
tract
FACET ENTERPRISES
159
1. Background
The position has been included in the collective-bar-
gaining unit at the Madison Heights plant since that
plant's inception, and has been covered by the collective-
bargaining agreements mentioned above . At negotiations
beginning on 20 September 1983 for a new agreement at
Madison Heights, Respondent proposed to "transfer elec-
tron beam welder classification to salaried status" this
term being considered by the Union and Respondent to
denote outside the bargaining unit . Respondent, at con-
tract negotiations in prior years, had made similar pro-
posals to no avail, meeting consistent union resistance,
and little discussion occurred on 20 September. At the
next session on 22 September Respondent's minutes show
that it sought to place the job classification among those
excluded from the bargaining unit as described in the
parties'
local
collective-bargaining
agreement,
again
without success. After the two efforts plainly designed to
exclude the job classification en haec verba from the unit
failed, Respondent next proposed in later September and
October meetings to exclude the incumbent unit employ-
ee in that position , Don Doctor, by transferring him to a
salaried status-out of the bargaining unit where he
could perform other duties , as well as training an up-
grader to do the EBW work as a unit employee, and be
available for EBW work himself. Respondent's minutes
reflect the Union's refusal to "put the EBW on salary"-
which is to say exclude the classification from the unit.
The continued negotiations on this subject, as well as
Respondent's representative's comments concerning the
proposal, evidence the importance attached to it in these
negotiations. Thus, in explaining the value to the compa-
ny in being able to continue EBW operations during a
strike because they were profitable, Industrial Relations
Director Donald Houser during 13 October negotiations
stated the proposal to have EBW incumbent Doctor on
salary and out of the unit was a very important strikeable
issue for the Company . The Union's opposition to such
proposal was equally adamant.
2. Respondent's final offer
On 2 and 3 November the parties continued negotia-
tions but deadlocked on Respondent's "final" offer to the
Union, which Industrial Relations Director Houser told
the Union contained five "hang tough" issues. Among
these five issues covered by Respondent 's package, "indi-
visible"
offer was the following proposal concerning
EBW:
Article IX
Add new paragraph as follows:
the regular work formerly performed by the
Electron Beam Welder Operator Set Up and Op-
erate Leader Classification shall, at the discretion
of the Company, be performed outside the bar-
gaining unit . The person formerly holding that
classification shall be transferred out of the unit.
Larry Smith, an International representative for the
Union assigned to service the Madison plant bargaining
unit and a member of the negotiating committee , testified
without contradiction that he informed Houser the
Union could not agree with the EBW proposal-or the
other four proposals-and since Houser had informed the
Union the five-item proposal was a final (and) package
one, the committee could not recommend it to the union
membership and, "We were prepared to strike at mid-
night." Thomas Butler, president of the Madison plant
local union, testified that Smith told Houser, "there was
no way we could accept the beam welder job going to
salary."
Respondent's written final proposal excluded all the
EBW work from the unit , at Respondent's discretion, and
the only incumbent unit employee holding that position,
Don Doctor, thus effectively eliminating the EBW job
classification, curtailing the established bargaining unit
composition, and depriving the affected employees of
union representation . One can say the proposal , if imple-
mented, was tantamount to Respondent 's withdrawing
recognition
of the EBW job classification from the
Union, subject to Respondent's sole unilateral right or
discretion, for there would be nothing of substance or
value left to the job classification stripped of an EBW
employee or EBW work to be performed . Cf. San Anto-
nio Portland Cement Co ., 277 NLRB 309, 313-315 (1985).
This being the case , I find that Respondent's offer con-
cerned a permissive subject of bargaining , the elimination
from the bargaining unit of the EBW job classification,
and consequent reduction in the composition and scope
of the established collective-bargaining unit . Newspaper
Production Co., 503 F.2d 821 , 828 (5th Cir. 1974).
The notion posed by Respondent on brief that an earli-
er agreed-on "upgrader EBW" position to be in the unit
is contrary to any Respondent intention to remove the
EBW job classification from the unit via the Respond-
ent's 2 and 3 November EBW proposal is without merit.
Respondent's own director of industrial relations , Donald
Houser, testified that he posted an upgrader letter-not
previously agreed on by the Union as to content-for
employee bids "so we'd be ready if Doctor (the sole in-
cumbent of the EBW job classification) was promoted
and allowed to perform the work," the latter reference to
the need for agreement by the Union to the two-part ear-
lier proposal by Respondent involving Doctor 's transfer
out of the unit and an upgrader classification being cre-
ated, described above . Because the Union never agreed
to such proposal, viz, removing Doctor from the unit,
and the posting , as admitted by Houser, was conditional
on such agreement by the Union to the entire proposal,
there simply never was an established upgrader classifi-
cation position . Further confirming this view is the testi-
mony by Union Representative Butler, the Madison plant
local union president. He testified ' that he recalled as of
the date of Respondent 's final EBW proposal, set forth
above on 2 and 3 November , that the Company had
dropped the "upgrader aspect " and was just going to
make Doctor salaried ,
that this was the hang-tough
issue-the salaried status (outside the unit) of the EBW
classification-and further that the Union had never
agreed to the posting of an upgrader letter . In this con-
text, references to an alleged assignment-never complet-
160
DECISIONS OF THE NATIONAL LABOR RELATIONS BOARD
ed or carried out at any time relevant-of a future up-
grader position and an employee grievance over such se-
lected future candidate has no persuasive force for the
simple reason that Respondent's final offer regarding its
EBW proposal made no reference whatsoever to the up-
grader classification, a matter reasonably viewed as both
integral to the EBW classification problem and one
which would reasonably have been discussed or offered
for formalization in the article 9 proposed addition had
Respondent intended to make it a part of the proposal.
In fact, as noted, the plain language in the proffered new
addition to article 9 puts the performance of all regular
EBW work outside the unit at the Company's discretion,
as well as the unit employee holding the EBW position.
The proposal simply renders the upgrader matter a non-
issue.
On brief Respondent further urges that case law in-
volving proposals to allow the assignment to work out-
side the unit by former unit personnel promoted to su-
pervisory positions holds that such proposals are manda-
tory subjects of bargaining concerning the assignment of
work rather than changes in the scope of the unit The
cases cited by Respondent, one involving a subcontract-
ing issue, Fry Foods, Inc, 241 NLRB 76 (1976), and the
others involving the employer's right to appoint supervi-
sory personnel are readily distinguishable from the in-
stant case, where the issue from the start in negotiations
was the elimination of the EBW job classification from
the unit to a "salaried" or excluded status just to protect
the Respondent from loss of profits from the EBW oper-
ation during a strike. Unlike other cases cited by Re-
spondent, Tesoro Petroleum, 192 NLRB 354 (1971), being
representative, the Respondent proposal here did not in-
volve an employer's right to make nondiscriminatory su-
pervisory promotions of personnel who continued to per-
form bargaining unit work There was, here, no proba-
tive evidence to support Respondent's alleged "intent" to
promote Doctor to supervisor or any evidence he ever
became a supervisor at times relevant to appraising the
nature of Respondent's final EBW proposal on 2 and 3
November which nowhere makes reference to such pro-
motion, stating only in this respect that "the person for-
merly holding that classification shall be transferred out
of the unit." Moreover, Respondent's proposal specifical-
ly called for all the EBW classification work being per-
formed outside the bargaining
unit,
so that the result
would not be analogous to a situation where the classifi-
cation continued to exist but some of the work was being
performed by supervisors excluded from the unit. Here,
both the work and its performance would be outside the
unit, so Respondent's proposal, rather than relating to
the amount of EBW work which the bargaining unit
would perform, sought to remove it entirely from the
unit and thereby constituted bargaining over a type of
work which historically had defined the bargaining unit
with the forseeable result: altering the composition of the
bargaining unit.
Analysis
As recently observed with Board affirmance (citing
Newport News Shipbuilding v. 1VLRB, 602 F.2d 73, 77-78
(4th Cir. 1979)):
The Board agrees that, unless transfers are specifi-
cally prohibited by the relevant collective bargain-
ing agreement, an employer may transfer work out
of the bargaining unit, as long as the employer first
bargains in good faith and is not motivated by anti-
union animus.
[End of Respondent's quote.] See
University of Chicago v. NLRB, 514 F.2d 942, 949
(7th Cir. 1975); accord, Boeing Co. v. NLRB,
581
F.2d 793, 797 (9th Cir 1978). It does not follow, how-
ever, that an employer, under the guise of the transfer
of unit work, may alter the composition of the bargain-
ing unit. To do so would not only modify the job
functions of the various unit members but also
affect their right to representation. Thus, implicit in
the requirement that the employer bargain in good
faith before changing unit work is the assumption
that the affected member of the unit be represented.
[Emphasis added.]
Idaho Statesman, 281 NLRB 272, 275-277 (1986). For
these further reasons, I conclude Respondent's proposal
concerned a nonmandatory subject of bargaining. Idaho
Statesman, ibid.; Newspaper Printing Corp., 232 NLRB
291, 292 (1977); Kobler Co., 273 NLRB 1508 (1985); and
Farlas Meat Co. I, 239 NLRB 1396 (1979)
It also is clear, and I conclude, that Respondent insist-
ed on the EBW proposal as part of an indivisible "must
item" in a package containing five hang-tough items
under circumstances reasonably leading to the perception
that its agreement to a contract was conditioned on the
Union's acceptance, and thus that Respondent had insist-
ed in the face of continued, detailed union opposition on
such proposals to the point of impasse over, inter alia,
the nonmandatory EBW proposal. Indeed, by letter
dated 9 November 1983 to the chairman of the Union's
bargaining
committee
Industrial
Relations
Director
Houser, long experienced in the field of labor relations,
referred to the parties' "current impasse," and there was
no doubt that, as clearly described by Houser, the Re-
spondent's EBW proposal was a stnkeable issue for the
Company, a characterization unwithdrawn-indeed fur-
ther confirmed-on the very eve of the strike. Accord-
ingly, it is concluded that Respondent insisted to impasse
on a nonmandatory subject as a condition or prerequisite
to an agreement on mandatory subjects-the EBW pro-
posal being "indivisible" from them thereby violating its
collective-bargaining obligations under Section 8(a)(5) of
the Act
The conclusion that these parties were at impasse on 3
November takes into account more than just the gut-
wrenching slowness and lack of any progress on Re-
spondent's final offer that evening and in the early morn-
ing hours. Also considered is the Respondent's recog-
nized right to engage in hard bargaining-oftentimes ac-
companied by the use of so-called final proposals How-
ever, in this instance, Respondent's own description of its
proposals as "final," consisting of "must" proposals
which the Company viewed as "strikeable" are more
than window dressing dramatics given the bone-chilling
prelude to negotiations in September when Respondent
announced it had to have economic recoveries, at which
time the parties' effort
at bargaining bogged down in
FACET ENTERPRISES
what developed into a long-lasting, vexatious dispute,
discussed further below, over Respondent's alleged refus-
al to provide information concerning the need for such
recoveries. Also preceding the 2 and 3 November final
negotiations before the violence-characterized strike, the
Respondent removed equipment and machinery from the
Madison Heights plant it proposed to relocate. This job-
destroying action infused still greater tension and obsti-
nacy in the parties' attitudes against an agreement, except
on terms deemed more favorable by each Indeed, it was
just such action which propelled Madison plant employ-
ees to strike authorization procedures preceding the 2
and 3 November negotiations, followed by still further
strike authorization efforts in the course of those negotia-
tions including, as noted, the EBW dispute It is not, in
the sense of present analysis, relevant whether Respond-
ent had the right to do these things, but it is instructive
as to the likely effect-a bad one I believe-such circum-
stances had on the parties' efforts to negotiate an agree-
ment and the question, whether there were any reasona-
ble prospects for such to occur This is because it has
long been established that "the contemporaneous under-
standing of the parties as to the state of the negotiations
[are all] relevant to be considered in deciding whether an
impasse in bargaining existed." Taft Broadcasting Co., 163
NLRB 475, 478 (1967), petition for review denied 395
F.2d 622 (D.C. Cir. 1968) Further supporting this pessi-
mistic view is the fact that the parties were confronting
still again their age-old dispute over putting the EBW
out of the unit and the view of the Union's representa-
tive on the striker's eve that the Union was being asked
to make all the movement in the negotiations without
concessions being advanced by the Company-again the
truth behind such a statement not being wholly control-
ling but nevertheless revealing the cause and fact of
hardened positions of the parties on that date. In addition
the Union must have been further hardened against ex-
pecting any agreement by Respondent's efforts to reduce
paid union representation time for unit employees, as by
the Union's described perception that the Respondent
raised subjects on 2 and 3 November which the Union
believed had already been agreed on by the parties in
earlier negotiations. Frankly, those very bleak and dis-
couraging circumstances leave no room to conclude that
there was even a glimmer of hope the parties could
reach an agreement, and as characterized by the Re-
spondent's own
Industrial
Relations
Director
Houser
later, amply support the conclusion they were at im-
passe. Newport News Shipbuilding Co., 236 NLRB 1637,
1643 (1978), Taft Broadcasting Co., 274 NLRB 260, 261
(1985); Idaho Statesman, supra; Newspaper Printing Corp.
supra, and Bozzuto's Inc., 277 NLRB 977 (1985).
The importance of the EBW issue to the parties in this
case has already been highlighted It was a bone of con-
tention in every contract negotiation since the Madison
plant started
operations. So important was it to the
Madison plant unit members that, according to incum-
bent EBW operator Donald Doctor, when the upgrader
letter was posted seeking candidates for a "future trans-
fer" (conditioned on the Union agreeing to transfer
Doctor out of the unit as a "working supervisor" who
would on occasion perform the work-which the Union
161
never agreed to) "about half the plant bid on it" because
it was a good job involving a lot of overtime work.
Union Representative Larry Smith, as corroborated by
the testimony of Madison plant Local President Butler,
told Respondent's representatives on the eve of the strike
there was no way the Union would agree to the loss of
the EBW position from the unit and, while Industrial Re-
lations Director Houser denied this intention at the hear-
ing, where he described the Union's representatives as
being "confused" over the Company's position-which
he described as merely seeking Doctor's placement out-
side the unit where he could perform EBW work as
"necessary," the cold reality in Respondent's written
final, must, hang-tough, strikeable indivisible proposal
stated otherwise, according sole discretion to Respond-
ent on the subject and effectively removing the EBW
from the unit
C Contributing Cause of the Madison Plant Strike
Smith kept higher union levels aware of the Respond-
ent's position on EBW on the evening of 2 November as
part of impending strike authorization developments; in
addition, it is clear that the EBW proposal-along with
the other four items in the Respondent's final offer,
which Houser informed Smith "could not be picked
apart"-constituted a linchpin to an agreement being
reached for. When the Union informed Houser it could
not agree to any one of the proposals, let alone all five of
them, in a kind of mutual understanding it was under-
stood that negotiations could go no further in the face of
the Respondent's final offer, with the parties being in a
strike mode, with Smith hoping it would be a clean
strike, and with Houser asking if there would be any
problem with salaried employees crossing the line. At
that moment there can be no reasonable dispute that the
strike was caused, in significant part, by the Respond-
ent's unlawful conduct in
insisting to impasse on its
EBW proposal. The union bargaining team consisted of
Madison plant employee representatives, the full plant
shop committee, as well as International Representative
Smith, reacting on the very heels of the impasse involv-
ing, inter alia, the EBW matter with the announcement
of a strike, which took place the morning of 3 November
at the Madison plant Consistent with the bargaining
committee's actions, the Madison plant employees voted
87 to 3 in confirming rejection of Respondent's contract
proposals on 6 November at a local union meeting where
they were informed beforehand in writing and by speak-
ers concerning the EBW issue, including a specific com-
munication by Local Union President Butler that the
Company's proposal insisted on EBW going salaried [out
of the unit] (G.C. Exh. 207.) Butler also testified in this
connection to, "the EBW, the classifications, were the
thorns in the side," and recalls one employee exclaiming
"there'd be no way they'd accept a salary job on the
beam welder " It is true that an earlier strike authoriza-
tion at the Madison plant on 11 October 1983 made no
mention of the EBW issue-but this would not militate
against the causal connection finding because it was not
until 2 November that Respondent proposed and unlaw-
fully insisted on, the EBW proposal discussed above
162
DECISIONS OF THE NATIONAL LABOR RELATIONS BOARD
about which the parties had a long and continuing dis-
pute, described as "stnkeable." Furthermore, while it is
also true that other issues were present and in a block
prevented the parties from reaching agreement thereby
triggering a strike, it is readily apparent that the EBW
issue contributed significantly to the employees' decision
and action to strike on 3 November 1983, and I so find.
Accordingly, it is concluded that the strike at the Madi-
son plant was an unfair labor practice strike from its in-
ception.
Newport News Shipbuilding,
236 NLRB 1637
(1978), enfd. 602 F.2d 73 (4th Cir. 1979);
Tarlas Meat
Co., supra; C & E Stores, 221 NLRB 1321 (1976), enfd.
611 F.2d 654 (6th Cir. 1979).
Respondent urges further on brief that, even assuming
its proposal was a permissive subject of bargaining, it
was privileged to insist on the Union's concurrence as a
condition of Respondent's agreement to a contract be-
cause the Union had not refused to negotiate over the
proposal and had even discussed it with Respondent,
citing the Board's adoption of the administrative law
judge's decision in Inner City Broadcasting Corp., 270
NLRB 1230 (1984). This contention is without merit.
The record shows that the Union rejected out of hand
Respondent's written proposal to eliminate the EBW
classification from the bargaining unit as found during
discussion of Respondent's final offer package on 2 and 3
November. There was never any "bargaining" over that
proposal in its final form by the Union Even putting
aside the factual mischaractenzation, Respondent's cited
authority also fails to support its assertion. In the Inner
City Broadcasting
Corp.,
case, supra, the respondent
there, unlike here, did not demand that its proposal be
adopted by the union once the latter refused unequivo-
cally to discuss the subject, hence no insistence to im-
passe was found to have occurred. Here, the record is
clear that the Union rejected any proposal to put EBW
outside the unit, to have EBW "go salaried" from the
first time such proposal was advanced, and yet Respond-
ent persisted in seeking such change in three proposals,
including its final one. (G.C. Exh. 44-B; G.C. Exh. 47;
G. Exh. 55, art. 9.) Thus factually the cited case is inap-
posite to the present case. Finally, there is grave doubt
the Respondent's asserted legal principle has any life to it
given the Board's rejection of such theory in both Ameri-
can Stores Packing Co.,
277 NLRB 1656, 1658 fn. 7
(1986); and its later affirmance of the decision of the ad-
ministrative law judge in Idaho Statesmen, supra at 275.
In American Stores Packing Co., supra at fn. 7, the Board
notes:
Although we find it unnecessary to pass on
whether an employer has any duty to furnish infor-
mation about a permissive subject once it has volun-
tarily bargained about it, the Supreme Court has
held that a permissive subject does not become a
mandatory subject merely because the parties have
bargained about it. Chemical Workers v. Pittsburgh
Glass Co., 404 U.S. 157, 187 (1971). Further, the Su-
preme Court has stated that "each party is free to
bargain or not to bargain and to agree or not to
agree" about permissive subjects of bargaining.
NLRB v. Borg-Warner Corp.,
356 U.S. 342, 349
(1958).
Given the foregoing, Respondent's contention is rejected.
D. Respondent's Refusal to Provide Financial
Information
At the outset in negotiations during a meeting on 23
August 1983 called by Respondent and attended by the
parties'
representatives for collective bargaining,
Re-
spondent told the Union that it was suffering at the three
plants from a competitive disadvantage based on wages
and benefits paid by its competitors, and that it was suf-
fering at the Madison Heights and Elmira plants from a
greater competitive disadvantage in terms of wages and
benefits than was the case at the Detroit plant. Union
Representative Jim Ellis, assistant to UAW's vice presi-
dent, testified without contradiction that the purpose of
the meeting was for the Company to review and update
its status and to tell the Union that they were in "bad
shape." Ellis testified that Robert Childress, then vice
president of industrial relations, informed the union rep-
resentatives the three operations needed some relief, spe-
cifically wage reliefs to become competitive. Childress
did not deny Ellis' testimony and stated the Company
was "extremely concerned" about insurance costs and its
need for competitive wage rates, notifying the Union on
15 September 1983 that the local (the Union) was to dis-
cuss recoveries and the wage rates needed by the Com-
pany including ending the 8-cent bonus at Elmira and
the recovery (reduction) of other wages.
Just how serious that concern was is shown by negoti-
ations on 28 September, 31 October, and 2 November,
during which the Company linked continuation of oper-
ations at the Madison Heights plant to obtaining com-
petitive costs via economic concessions from the Union.
(G.C. Exhs. 32, 47, and 54.) In fact, the Company an-
nounced the contemplated closing of the Madison
Heights plant in a letter to employees dated 13 Decem-
ber 1983 where the Company advised employees that de-
spite a record net income of $4.2 million the past years,
inter alia.
For the past few years the Elmira plant has lost
money or been only marginally profitable. The
Madison Heights plant has been marginally profita-
ble for the past two years. Your plant, (Detroit)
made a contribution to our record net income this
past year.
We are planning to close the Madison Heights
plant in the near future. [G.C. Exh. 9.]
1. The Union's request for information
On 14 December UAW International Representative
John Mando wrote to Facet's president and chief operat-
ing officer, James R. Malone, recounting the Company's
repeated contention in negotiations that it needed take-
aways (reductions in current wages and benefits) because
of an alleged need to become competitive, and requesting
information concerning the three plants in the bargaining
unit to verify and assess the truth of the Company's
FACET ENTERPRISES
163
'
claim so that the Union, in turn could "evaluate [its] cur-
rent position and to be able to respond to the Company's
proposals." The letter requested access to books, records,
accounts, and supporting schedules, as well as income
statements for the last 3 full years (Respondent's letter
dated 13 December 1983, it should be recalled, told em-
ployees the Elmira plant had lost money and had been
only marginally profitable the past 4 years), Federal
income tax returns for the same period, interim income
statements and supporting schedules, cost and price in-
formation for any intercompany transfers of products,
and consolidate income statements where applicable.
(G.C. Exh. 10.)
Respondent sent the Union a reply on 19 December
promising to consider the request and outline its position
in future correspondence. (G.C. Exh. 11.) On 22 Decem-
ber Facet Attorney Fishman, deeply involved in hands-
on bargaining responsibilities on Respondent's behalf,
wrote the Union two letters, one announcing another
contemplated plant closing this time, the Detroit plant,
and the other replying to the Union's request for finan-
cial information, discussed more fully below. (The plant-
closing letter is referred to in Union Counsel Page's
letter to Fishman (G.C. Exh. 13 ), also dated 22 Decem-
ber and not disputed in this proceeding. The second
letter, again dated 22 December, is in the record as G.C.
Exh. 12.) In the Respondent's reply letter (G.C. Exh. 12)
regarding the financial information request, Respondent
does not deny the stated reasons which prompted the
Union's request, namely, Respondent's stated need to
become competitive by achieving economic concessions
from the Union lowering employees' wages and benefits
in any new contract.
2. Respondent's obligation to provide the
information
Given the foregoing, including the Company 's oft-re-
peated need to become competitive in its business, but
also its reference to "losing money," "marginal profitabil-
ity," its self-described "suffering" from competitive dis-
advantages, and the "need" for wage reliefs and other
economic recoveries, and its being again , as self-de-
scribed, "extremely concerned" about those needs, to the
point where plant survivals were linked to economic re-
coveries (reductions in employees' wages and other bene-
fits) followed by actual announcements of contemplated
closing, I find that the Respondent was expressing an in-
ability to afford to pay its employees the existing wages
and benefits in support of its proposals seeking economic
recoveries, thereby under law, assuming the obligation to
disclose on the Union's request supporting information,
rather than merely expressing an "unwillingness " to con-
tinue current wage and benefit levels which would not
impose any such duty . Nielson Lithographing Co., 279
NLRB 877, 880 (1986), citing Advertisers Mfg. Co., 275
NLRB 100 ( 1985); Harvstone Mfg. Corp., 272 NLRB 939
(1984), and cases cited therein; and Atlanta Hilton
&
Tower, 271 NLRB 1600 (1984). As stated by the judge in
Harvstone, supra at 944:
Against the background instruction of the Su-
preme Court, presumably enunciated to be heeded,
that "if ... an argument is important enough to
present in the give and take of bargaining, it is im-
portant enough to require some sort of proof of its
accuracy" (NLRB v. Truitt Mfg. Co., 351 U.S 149,
152-153 (1956)), the Board has held that it is unnec-
essary to use the
talismanic word "poverty" in
order to trigger the requirement of fair substantia-
tion of a plea of economic necessity during collec-
tive bargaining. Thus, in Cincinnati Cordage Co.,
141 NLRB 72 (1963), the Board held that an em-
ployer's resistance to a wage increase demand on
the stated ground that it could not remain "com-
petitive" with other employers in the industry, con-
stituted a "poverty" plea since in effect the employ-
er was contending that granting of the demands
would "lead to impoverishment" (id. at 77), requir-
ing the furnishing of supporting data. To the same
effect, see Teleprompter Corp. Y. NLRB, 570 F.2d 4
(1st Cir. 1977); Stockton District Kidney Bean Grow-
ers, 165 NLRB 223 (1967); Wheeling Pacific Co., 151
NLRB 1192, 1224-1225 (1965); NLRB v. Western
Wirebound Box Co., 356 F.2d 88, 90-92 (9th Cir.
1966), enfg. 145 NLRB 1539, 1543-1545 (1964);
Peerless Distributing
Co.,
144 NLRB 1510, 1514
(1963), enfd. 338 F.2d 1003 (5th Cir. 1964); Tennes-
see Coal & Iron Div., 122 NLRB 1519 (1959).
Respondents were thus under obligation to open
their financial records to the Union to support their
economic contentions and their failure to do so was
inconsistent with their statutory duty to bargain in
good faith.
3. Respondent's reply to the Union's request
Fishman wrote the Union on 22 December in reply,
offering to make available only a current financial state-
ment or one showing profit and loss, with the opportuni-
ty for verification by independent audit. Fishman de-
scribed at length five conditions under which the "op-
portunity" for such an audit to verify the current finan-
cial statement would be governed. (1) restricting the ex-
amination to the Company's office or its accountant's
office; (2) the examination to be conducted by a CPA se-
lected by the Union's accountant but approved by Re-
spondent's accountant; (3) costs to be paid by the Union;
(4) the accountant so designated to work directly with
the Company's accountant the latter making available the
"necessary" company records and other information per-
tinent to such records and permitting the designated ac-
countant to examine such records "to the extent neces-
sary"; and finally (5) providing what the parties herein
refer to as a "gag order."
4. The gag order in Respondent's proposal
The gag order in Respondent's proposal stated that:
5. The designated accountant is to be subject to a
gag order forbidding the disclosure of details and
permitting him only to advise the Union as to the
accuracy of the facts, to explain only factors that
would make the Employer's reports misleading and
164
DECISIONS OF THE NATIONAL LABOR RELATIONS BOARD
to explain or substantiate his conclusions . [Emphasis
added. G C. Exh. 12.]
In the ensuing communications between the parties, a
22 December letter to Fishman from Union Counsel
Page explained that more than a single current financial
statement was needed and pointed out that the Union
had requested access to financial information for the past
3 years, a request left unaddressed by Fishman's reply on
22 December to its 14 December request amounting to
the reasonable inference on this record that he denied
the request. Further, Page explained that the 3-year span
in information was necessary in order to discover any
unusual financial occurrences arbitrarily allocated to one
fiscal year, but stated a willingness to go forward with a
review of current financial statements rather than delay-
ing the audit of past years' statements. Page accepted
conditions one, two, and four and with a reservation on
interpretation, paragraph 3, concerning division of ex-
penses. He told Fishman that the Union was unable to
agree to the gag order as it constituted in effect a prior
restraint on its access to relevant information unknown
to it until after a fully disclosed audit and further pre-
vented the Union from ensuring that a thorough exami-
nation would be made. (G.C. Exh.
13.) Page assured
Fishman that no information given to the Union by the
designated accountant would become public or be made
available to any Facet compel itor. Fishman, without re-
ferring to Page's asserted reasons in opposition refused
an audit without the gag order (G C. Exh 15.)
The Union pressed its request for access to the re-
quested information without the gag order restriction in
a letter from Page to Fishman on 4 January 1984, point-
ing to the still greater urgency behind its request because
of an impending decision under which it understood Re-
spondent intended to close the Detroit plant by mid-Jan-
uary and urging Respondent to consider using union ac-
countant Bruce DeCastro to make the audit. Page in-
formed Fishman that DeCastro had made an earlier audit
in 1980 of the three plants in connection with a company
effort to reduce pension costs. Thus not only could he
"update" the records he had examined, but also, due to
his familiarity with the recordkeepmg system, do the task
with dispatch. In addition, Respondent would have the
assurance of past confidentially honored by the Union on
the occasion of that audit, as well as the Union's present
assurances in that regard. The Union so proposed, while
agreeing to consider an independent accountant if Re-
spondent explained the need for one under the circum-
stances described. Page further supported the Union's
view of the unworkability of the gag order by stating, as
another example, that the Union needed to know how
pension plan costs, in the time since the agreement was
reached, had been allocated among the three plants
before it could evaluate the accuracy of the Respond-
ent's assertions and claims that the Madison Heights and
Elmira operations were marginally profitable (G.C. Exh.
160) On 5 January Fishman wrote Page confirming a
telephone conversation-the latter described as occur-
ring 4 January-during which Page assertedly declined
the proposed audit (G.C. Exh. 18); no reply to Page's
letter of 4 January, its concerns, or its offer , was submit-
ted into the record, and, on 24 January 1984 Engel
wrote Fishman noting that Fishman had ignored the
UAW's position on the Respondent's limited, conditional
offer of an audit on 22 December. In her letter (G.C
Exh. 20), Engel stated she would expand further on why
the limited disclosure procedure was defective and pre-
vented the disclosure of information sufficient to allow
meaningful bargaining. She included the fact that a "cur-
rent statement" does not indicate whether it would be
for a month or the most recently completed fiscal year;
that a report over the last contract period was in order,
especially since in that period, the effects of a settlement
permitting the termination of the hourly person plan
would have surfaced giving the Union information on
the impact and sayings on the plants' performance; she
pointed to the uncertainty over the gag order limitations
placed on the designated accountant, who was unable, it
appeared, to disclose any details on the operations to the
Union's negotiators, and specified that a report from the
accountant was necessary in order for the Union to bar-
gain effectively-the report spelling out the performance
of the three plants over the last 3 years analyzing the
causes of any "red ink" and what part, if any, bargaining
unit labor costs played in any losses. Further underscor-
ing the need for such specifics Engel listed other numer-
ous factors bearing on the need for details connected to
how the Respondent assigned (economic) "burden fac-
tors" among plants, and contrasting grim/rosy economic
predictions by company representatives concerning the
future financial strength of the Company. (G.C. Exh. 20.)
Fishman called Engel 's letter both specious in content
and tone, "as well as ridiculous" and offered a "compro-
mise" in a letter on 3 February under which if, after the
audit the designated accountant is desirous (note it is he or
she who must harbor the desire) of further explaining his
conclusions then the company accountant, the designated
accountant, and DeCastro (the Union's accountant) will
seek a mutually agreed-on resolution or, failing that, the
parties will discuss it further. (G.C. Exh 23.) The "com-
promise" was rejected by Engel on 13 February as not
remedying the Union's concerns with the gag order as
identified to Respondent on prior occasions over the pro-
vision of information necessary for intelligent and mean-
ingful bargaining. (G C Exh 29.)
According to the undenied testimony of UAW Official
Jim Ellis, the record shows that on numerous occasions
in January 1984, in addition to those outlined above, the
Union requested clarification or
modification of the
terms used in the gag order, only to be told by Fishman
that the Union had his letter of 22 December (the letter
setting forth Respondent's proposal on a limited audit
procedure) Aside from a caustic and obviously sarcastic
24 January 1984 letter (G.C. Exh. 19) defining the literal
definition of the terms-dictionary-like-in Fishman's
gag order proposal, no elucidating helpful reply was
ever given to the Union, nor did the compromise offer
anything productive in the situation confronting the par-
ties (G C Exh. 23.)
FACET ENTERPRISES
5. Analysis of Respondent's offer
Not unexpectedly in my view-given the tortoise-like
movement in the parties' fact-starved negotiations and
the Respondent's attention-grabbing announcements of
impending fatalities of plant operations at Detroit and
Madison Heights which resulted on the hardening of atti-
tudes and positions-events simply overtook the parties
in this case and the information requests receded from
the forefront of bargaining as the strike wound down,
ending in mid-February 1984.
Whether or not Respondent's providing the requested
information would have made any difference to the out-
come here, where eventually both plant forces of em-
ployees lost their employment when the plants reported-
ly closed by August 1984, will never be known, because
the offer of very limited information in a restricted pro-
cedure burdened by Respondent with layers of expected-
ly partisan interfacing-and thus time-consuming-delays
led to rejection of the offer For that rejection, I find Re-
spondent fully responsible.
An employer, under an obligation to provide informa-
tion, of course need not provide such information in the
precise format or on the exact terms requested by the
union, so long as it furnishes the sought-after data in a
manner not so burdensome or time-consuming as to
impede the process of bargaining. United Aircraft Corp,
192 NLRB 382, 389 (1971), citing Lasko Metal Product,
Inc., 148 NLRB 976, 979 (1964). Moreover, an employer
is free to limit its production, depending on access-gov-
erning relevancy to the issues before the negotiating par-
ties, in order to withhold or restrict disclosure to third
parties of, for example, information as to the identifica-
tion of its buyers and sellers, and officer's
salaries.
Yakima Frozen Food, 130 NLRB 1269 (1961); and Man-
itowoc Co., 186 NLRB 994 (1970). As stated in American
Stores Packing Co., supra, 277 NLRB at 1675, citing Tele-
prompter Corp. v. NLRB, 570 F.2d 4 (1st Cir 1977).
Moreover the court in Teleprompter stated that an
employer's plea of a poverty or financial inability
did not "trigger carte blanche discovering rights,"
but rather the union is entitled to what is "reason-
ably necessary to permit a union to make a mean-
ingful evaluation, from its members' perspective, of
the claim of financial inability."
Relying on Yakima, supra, and a claim of "confiden-
tiality," however, Respondent asserts its proffered condi-
tions on access and insistence thereon met its good-faith
bargaining duties. The latter defense, "confidentially" for
which Respondent offered no support is rejected on its
face as specious, a conclusion even further warranted by
the uncontroverted fact that Respondent in 1980 gave
the Union free access to the same books and records the
Union was willing to accept and examine-on 'an updat-
ed basis for its purposes in 1983 and 1984, the present ne-
gotiations without reference from any source in this
record that the early confidences were betrayed-or that
written assurances of confidentiality by the union attor-
neys regarding their use of the information would be
unkept. Absent any "valid overriding reason for non-dis-
closure of this information" the defense is found merit-
165
less. Boise Cascade Corp, 279 NLRB 422, 431 fn. 26
(1986).
The Respondent set numerous preconditions on the
Union's access to any information which had to be met
by Respondent's satisfaction before intelligent bargaining
could proceed. Those conditions created by their very
complexity a serious question whether such negotiations
would ever ensue on the problems requiring enlighten-
ment, let alone permit progress on the serious, rapidly
developing plant closing and contract-type related issues
requiring the parties' prompt attention. Respondent's re-
quirement that the examination be conducted by a CPA
selected by the Union but "approved" by Respondent is
simply a thinly disguised play on words suggesting defer-
ence to the Union's rights in such matter, but in actuality
according Respondent a virtual power to veto such
union selection until an accountant meeting the Respond-
ent's approval, for unspecified reasons it should be noted,
was nominated. The requirement by an employer that it
retain the authority to select the designated accountant-
which I find Respondent as a practical matter insisted on
here-is inconsistent with good-faith bargaining under
Board law, St. Joseph's Hospital, 269 NLRB 862 (1984),
the theory being that someone other than the employees'
selected
collective-bargaining
representative is
being
forced to represent the employees' interest without the
latter's consent. It is axiomatic, and far from speculative
given their demonstrated distrust on this record, that the
ratification procedure also posed an obvious time-con-
suming snare to the parties' efforts to negotiate
The second defect, more serious, is Respondent's in-
sistence on supplying the Union only with a "current" fi-
nancial statement when it was Respondent who put into
issue the contention in its
13 December 1983 letter to
employees while negotiating with the Union that it had
been losing money for the past 4 years at Elmira or had
been only marginally profitable there, and
Madison
Heights had been only marginally profitable the past 2
years. Respondent's limitations in access to only a "cur-
rent" statement therefore fell short of being an adequate
disclosure of information reasonably necessary to the
Union for intelligent bargaining regarding an issue Re-
spondent itself raised in support of its proposal to reduce
employee wages It follows from this, that the never-de-
fined
"opportunity"
which Respondent's proposal al-
lowed the Union for verification by an independent
audit, being also restricted to the also not-defined "cur-
rent
statement"-whether a
monthly,
quarterly,
or
annual statement not being indicated by Respondent and
thereby posing another time-consuming
ambiguity-is
likewise inadequate to bargaining needs. These deficien-
cies regarding definitions noted above and further below,
were real concerns raising questions as to how the audit
would proceed, rather than speculative deficiencies as
Union Counsel Page reminded Fishman, that more than
a current statement on finances was needed and UAW
Counsel Engel questioned Respondent counsel regarding
such concerns only to be referred to the letter originally
proposing the audit, without clarification. Fishman never
responded to the Union's contentions that a statement
limited to a 1-year period did not suffice.
166
DECISIONS OF THE NATIONAL LABOR RELATIONS BOARD
The Respondent's proposal contained an internal re-
striction as well, permitting only a review by the desig-
nated accountant as noted into a severely limited area,
regarding accuracy of the fact, factors that would make
the reports misleading, and to substantiate his conclu-
sions. This limited inquiry, as noted by Respondent's
own witness accountant, Peter H. Burgher, would not
show inventory adjustments, or allocation charges, or as
UAW accountant Larry Mishel testified, the statement
might show-and the audit verify-the fact of losses, but
not the why and how the Union might respond with
proposals based on the operative facts. For example,
there could be nonrecurring losses on the current state-
ments not fairly calling for Respondent's economic re-
coveries, the allocation of debt interest charges among
all of Respondent's plants would be germane to the ques-
tion of whether the "loss" at a single plant warranted
employee concessions, the allocation of bargaining unit
type costs would also be germane to proposed bargaining
unit benefit reductions, and the tax returns requested by
the Union would be necessary to determine depreciation
allocation, whether unusual tar losses had occurred, and
the consistency in recordkeeping systems.
It is readily apparent that the gag on the designated
accountant, while under the Respondent's proposal al-
lowing an explanation or substantiation of his conclusions
regarding the accuracy of the figures shown, or plainly
"misleading" in nature, would not permit the Union to
discuss the details behind his conclusions and analyze for
itself the economic inability of the plants to determine
whether a concession on wages would be worthwhile as
helpful to shoring up the Respondent's financial condi-
tion or futile if the facts showed otherwise, or indeed
whether any concession at all was warranted. Labor
costs, for example, have been held germane and there-
fore discloseable. NLRB v. Western Wirebound Box Co.,
356 F.2d 88 (9th Cir. 1966). In short much other relevant
information tied to the issues raised by Respondent lay
outside the scope of inquiry allowed by Respondent's
proposal, which did not permit, under the gag as further
example, the Union to bargain intelligently about the rel-
ative survivability and economic condition or competi-
tiveness of the three plants. In her letter of 24 January
1984 to Fishman (G.C. Exh. 20) Union Counsel Engel
explained why the inhibited accountant would be of no
use to the Union, which needed a report on his findings
spelling out the performance of the facility over the last
3 years and analyzing the cause of any red ink reported
by the plants, including what part if any labor costs
played in any losses. In short, there was a tightly limited
restriction on what the accountant could discuss with the
Union which was, as noted, limited to a narrow scope of
inquiry to begin with.
Respondent also rejected the Union's substantially re-
duced request for information limited only to a look at
the same books Respondent allowed the Union to exam-
ine in 1980, updated to 1983, without advancing any
reason for such refusal, then or at this hearing, which in
my view left the Union to feel its way in the dark as best
it could to represent employees in contract negotiations,
and placed a blind man's bluff-like burden on the Union
without the light from the requested information. I find
its entire course of conduct regarding the Union's re-
quest for financial information, which Respondent con-
tinued to withhold, sharply inconsistent with its good-
faith bargaining obligations under the Act and therefore
a violation of Section 8(a)(5) of the Act. Metlox Mfg. Co.
v. NLRB, 378 F.2d 728 (9th Cir. 1967), cert. denied 389
U S. 1037 (1968);
Washington Star Co., 273 NLRB 391
(1984); Mashkin Freight Line, 272 NLRB 427 (1984). Re-
spondent's reliance on the Board's decision in
Yakima
Frozen Foods, supra, is without persuasive force as there
the respondent employer offered to submit its books and
records to a full audit by a CPA chosen by the union,
the only restrictions being (1) that the CPA not be in the
Union's regular employ; (2) information on the identity
of seller and purchaser not be taken from the office; and
(3) that any questions be directed to the employer's ac-
countant. There were no limits imposed on the scope of
the union's audit in that case, nor, the major distinguish-
ing characteristic, was there any burdensome restriction
on what the designated accountant could communicate
to the union, unlike in the present case where not only
was such a burden imposed but also a host of real bar-
riers preventing the Union from access to the res gestae-
like facts behind Respondent's inability to pay conten-
tion, unfairly preventing the Union from bargaining intel-
ligently.
6. The Union's request for information concerning
the transfer of jobs and machinery from the Detroit
plant
An overview is helpful here. The parties began negotia-
tions in late August and early September 1983 for a new
master contract covering the three plants at Madison
Heights, Detroit, and Elmira, New York. The strike
ensued in early November and ended in February 1985
at which time striking employees offered to return to
work. There is some brief reference in testimony, but no
finding that by August 1984, the Detroit plant was
closed and, by 30 September 1984, the Madison Heights
plant, shut down in July, had also ceased operations.
7. Respondent's announcement on 13 December
1983
During the parties' negotiations over a host of unre-
solved matters in the above period, including the issue of
sinkers discharged for picket line misconduct, where I
find Respondent unlawfully failed and refused to provide
the Union with requested information, the Employer in-
formed its employees on 13 December 1983 in a written
memorandum that, inter alia, it must begin considering
alternatives regarding the Detroit plant, and that due to
a customer's request the "flame arrestor manufacturing
line" had been moved out of the Detroit plant. Respond-
ent also stated it might be forced to move out other lines
of Detroit plant machinery as well. (G.C. Exh. 9) By
letter dated 22 December Respondent's counsel also in-
formed the Union of the contemplated closing and relo-
cation of the fuel devices of the Detroit plant operation.
According to the undenied testimony of witness Sally
Dorman, whose account in this respect is credited, E J.
Mullane, Detroit plant director of industrial relations in-
FACET ENTERPRISES
formed Dorman, Vernette Ward, and Jerome McKenny
on 24 November 1983, while the three were picketing,
that the Detroit plant was moving out. Respondent does
not deny either the communications or the fact that De-
troit plant machinery was being shipped out in this
period, and subsequent communications further confirm
the fact.
8. Union's request for information
By letter dated 22 December 1983, Union Counsel
Page wrote Respondent Counsel Fishman requesting in-
formation as follows: "What work has been moved out
of the Detroit plant within the last year and where has it
moved to?" (G.C. Exh. 13, par. 10.) During master con-
tract negotiations in early January 1984 UAW Assistant
Vice President Jim Ellis testified that during the discus-
sions of the Detroit plant that the Union again requested,
information on what work had been moved out from the
Detroit plant, Fishman once replying that the matter
would be discussed in Detroit.
Fishman wrote Union Counsel Engel on 25 January
1984 referring to a request by Engel during 19 January
negotiations for information regarding the type of work
permanently or temporarily removed and the identifica-
tion of the location to which the work was recovered,
from the Detroit plant. The response was without nour-
ishing facts, stating only that "no work has been perma-
nently removed," "Facet has temporarily removed
work," and that Fishman saw no right in the UAW to
information regarding the temporarily removed work.
(G.C. Exh. 21.) It is instructive to note that in this very
period as will be discussed further, Respondent was
making separate Detroit plant contract proposals and
that the Detroit plant operations were highly significant
in the parties' ongoing negotiations toward a master
agreement. In fact the parties here stipulated that one of
the actual bargaining proposals on the table, placed there
by the Union, was that, inter alia, the Detroit plant work
not be relocated during the term of any new agreement
(Tr. 735). In a 28 January 1984 letter to Fishman, Union
Counsel Page referred to still another Detroit plant in-
formation request in an earlier letter on 13 January and
(in the 28 January letter) reminded Fishman about some
of the Union's "outstanding requests for information
which you have not yet answered," the number one item
being:
(1) As to the machinery and equipment that have
been removed from the Detroit plant-where is it
now and is it being used for production purposes
and where is it going to be eventually relocated?
[G.C. Exh. 22.]
The information request arose again at master agree-
ment level negotiations on 6 and 7 February 1984 ac-
cording to Ellis when Engel asked Fishman for a re-
sponse to the union request, Fishman replying he did not
know. Engel asked that the work be identified , and for
information regarding where it had been sent, Fishman
also replying repeatedly that the Company had a right to
move some work out from Detroit and had done so, but
providing no details.
167
As late as 27 February 1984 Respondent was still on
notice that the Union was pursuing its request for the in-
formation via service of a charge filed by the Union with
the Board's Reqional Office that date alleging that since
on or about 1 March 1983 Respondent had violated the
Act by, inter alia, failing and refusing to furnish informa-
tion regarding, "(a) temporary removal or subcontracting
of work from the Detroit plant." (G.C. Exh. 1(i) )
The record evidence shows that the Respondent re-
fused to provide the requested information at any time,
although in effect admitting to its possession as shown
above.
9. Analysis
The law is clear and well established that an employer
has the duty to provide the union with information rele-
vant and reasonably necessary. to the union's representa-
tional or bargaining responsibilities, including contract
negotiations, on request. Probable or even potential rel-
evancy is all that is required. NLRB v. Truitt Mfg. Co.,
351 U.S. 149 (1956); Acme Industrial Co., 385 U.S. 432
(1967); Curtiss-Wright Corp., 145 NLRB 152 (1963), enfd.
347 F.2d 61 (3d Cir. 1965); J. I. Case Co., v. NLRB, 253
F.2d 149 (7th Cir. 1958); and Western Massachusetts Elec-
tric Co., 228 NLRB 607 (1977). The Board has also held
that where the requested information is about terms and
conditions of employment of bargaining unit personnel,
and is therefore presumptively relevant to the union's
representational obligations, the union need not demon-
strate its exact relevance where the company has not re-
butted that presumption.
Chicago Metallic
Corp.,
275
NLRB 871 (1985);
Pfizer,
Inc.,
268 NLRB 916, 918
(1984); and Postal Service, 276 NLRB 1282, 1285 (1985).
Although matters not lying directly within the core of
bargaining unit employees' working conditions require a
demonstration that there is the required relevance, the
standard is the same liberal discovery-type standard in all
cases. United Graphics, 281 NLRB 463, 465 (1986), citing
Loral Electronic Systems, 253 NLRB 851, 853 (1980); and
Curtiss-Wright Corp., supra.
The information requested here by the Union, as ex-
plained to Respondent numerous times, was to enable the
Union to carry out its representational duty to "bargain-
ing intelligently" on behalf of the bargaining unit em-
ployees during the course of bargaining on a wide range
of topics including the status of the Detroit plant, where
bargaining
unit
employees'
work-employee-assigned
plant machinery and jobs were leaving the plant under
uncertain circumstances and conflicting reports from Re-
spondent, whose representatives first informed employees
the plant was closing and some machinery had already
been sent out in December 1983, then later informed the
Union no work had been sent out permanently, only
"temporarily," in January 1984 followed subsequently by
a complete cessation in Detroit plant operations in
August after employees had returned to work in Febru-
ary, much of such communication and uncertainty aris-
ing in the course of contract negotiations as noted above
and bringing the question even more to the forefront in
negotiations.
168
DECISIONS OF THE NATIONAL LABOR RELATIONS BOARD
Even without the perplexing confusion handicapping
intelligent bargaining sought by the Union on this subject
at negotiations, a needless impediment to any fair chance
for bargaining which would be removed by the informa-
tion's submission clarifying the matter, the further clear
relevancy of the information regarding machinery, and
thus work, removal from Detroit to the Union's perform-
ance of its statutory duties is readily apparent.
Section 9(a) of the Act provides in pertinent part,
"Representatives designated or selected for the purposes
of collective bargaining by the majority of the employees
in a unit appropriate for such purposes , shall be the ex-
clusive representatives of all the employees in such unit
for the purposes of collective bargaining in respect to
rates of pay, wages, hours of employment, or other condi-
tions of employment " (Emphasis added.) Bargaining unit
work is at the heart of the employee representative em-
ployer collective-bargaining relationship ,
and
without
machinery, and the connected jobs there is no "condition
of employment" for employees whatsoever. It is self-evi-
dent that the matters about which the Union sought in-
formation fell well within the above statutory definitions.
The need to take intelligent steps to preserve the work
of unit employees, an area of union representational obli-
gations about which the requested information clearly re-
lates, has deeply imbedded roots in the labor relations
history of collective bargaining in this Nation. As has
been noted:
In seeking this information , the Union was com-
plying with its statutory obligation to represent its
employees, so as to preserve the work that they re-
garded as their own. This concept of preserving
work that employees regard as their own, has been
exhibited in our industrial society since the origin of
the industrial revolution,
when cottage workers
broke up factory machines in protest of losing
work, down to the complex contractual and juris-
dictional disputes of today. Board cases involving a
union's effort to preserve work for its represented
employees are legion.
[International Harvester Co.,
241 NLRB 600, 604 (1979), where the Respondent
was ordered to produce the requested information.]
The Board has in many cases held that where, as here,
the employees' bargaining agent has received information
that the employer is removing unit work, or transferring
it elsewhere, by subcontracting or otherwise, that the
Union is entitled on request to information bearing on
that issue, "so that the Union may properly represent the
unit employees." Washington Star Co., 273 NLRB at 396
citing Westwood Import Co., 251 NLRB 1213 (1980), and
Air Express International Corp., 245 NLRB 478 (1979).
Respondent's view that it lawfully transferred or subcon-
tracted out the work temporarily during the strike, and
thus under Board law had no duty to disclose informa-
tion concerning such action is a defense not factually es-
tablished in the record and assumes not only that such
information would be relevant to bargaining on that sub-
ject alone but also assumes facts to which it alone was
privy, argues from the point of a self-made conclusion,
and unilaterally precludes the Union from performing its
duty to assess the facts and their effects on unit employ-
ees so as to engage in intelligent bargaining regarding the
Detroit plant employees' then current and future condi-
tions of employment. Furthermore, such a view puts the
burden on the Union to establish that Respondent's ac-
tions were unlawful before it can be entitled to the infor-
mation , a requirement at odds with the law . For, as
stated by the Board, it is not necessary to find here that
"the information sought is certainly relevant or clearly
dispositive of the basic . . . issues between the parties
[t]he fact that the information is of probable or potential
relevance is sufficient." Westinghouse Electric Corp., 239
NLRB 106, 107 (1978). Respondent's view is therefore
rejected. See Dane County Dairy, 273 NLRB 1711, 1712
(1985) (facts in defense not established);
Sonat Marine,
279 NLRB 100, 106 (1986) (respondent reasoning in its
defense from its own conclusion , and "Nowhere does the
Act require that the Union must accept without any veri-
fication an employer claim
[emphasis added] that bar-
gaining unit employees are now out of the bargaining
unit," citing Cherokee Culvert Co., 262 NLRB 917 (1982);
Ground Breakers, 280 NLRB 146, 148 (1985), that the
employer's view on the merits of an underlying dispute,
even if probably correct would not be material on the
question of whether the requested information should be
furnished so "the Union can perform its function of rep-
resenting employees" and
Indiana
Cabinet
Co.,
275
NLRB 1209, 1213 (1985), in which employer merely re-
sponded to Union's request that "there have been no in-
tervening changes."
It is clear from the foregoing that the requested infor-
mation is presumptively relevant to the performance of
the Union's representational duties and I so find. Even
assuming for the sake of argument that the subject matter
lies further removed from the core in employment condi-
tions under a stricter review of the meaning and defini-
tion of actual wages, hours, and other conditions of em-
ployment as adopted so that a demonstration of potential
relevancy is required, such is established here. Thus the
information is relevant to contract negotiations regarding
the Detroit plant highlighted above, the question of
work loss incurred by unit employees while on strike and
on return to work at the strike's conclusion, the effects
of the loss of work on the Detroit employees, whether
the Union would seek to retain article 19 in the parties'
collective-bargaining agreement for many years , cover-
ing movement of department or plants and according
transfer rights to employees affected by movement of a
department
"or
portion thereof,"2
related
grievance
2 Art XIX provides in pertinent part as follows
Article XIX Movement of Department or Plants (108) In the
event the Company elects to move a department , or major portion
thereof, or plant covered by this Agreement to another plant of the
Company also covered by this Agreement , employees who worked
in such departments or plant who are out of work as a result of the
transfer, may it so desire, within thirty (30) days elect to be trans-
ferred to the new plant and carry their ranking seniority to the new
plant
(109) Employees who so elect to be transferred to the new plant
will receive the corresponding wage rate of the job classification to
which they are assigned at the new plant for fifteen ( 15) days after
which they will receive the top rate of such classification If such
Continued
FACET ENTERPRISES
filing, overall negotiating goals given the interconnected
bargaining over the three-plant unit, and filing proceed-
ings with the Board, a decision requiring knowledge
whether the machinery was, in fact, permanently moved
out as part of what then was a partial closing in the
three-plant unit or rather was merely temporarily re-
moved. For all these reasons, the information sought by
the Union "was important in the performance of its rep-
resentation duties" for it would be in a position, with the
facts, to negotiate or take other action on behalf of unit
employees it was charged to represent. Sonat Marine,
supra at 106. Far from being of speculative value, or
based on surmise, there is shown a real, urgent necessity
in the Union's need for the information concerning the
actual admitted movement of machinery and loss of
work from the -Detroit plant impacting on unit employ-
ees there if the Union was to be able to intelligently
assess the situation- and bargain with Respondent during
the concurrent ongoing negotiations. Compare Southern
Nevada Builders Assn., 274 NLRB 350 (1985). Accord-
ingly, on the basis of the foregoing analysis and authori-
ties cited, I conclude that Respondent unlawfully failed
and refused to furnish the requested information thereby
violating Section 8(a)(5) of the Act
During negotiations on 9 or 10 January 1984 in Horse-
heads, New York, Respondent expressed to union repre-
sentatives its intentions to discipline employees for vio-
lence on the picket line during the strike begun in early
November 1983. Union counsel requested information on
the number of employees involved, their identification
and plant location, but was told by Respondent's vice
president of industrial relations, Robert Childress-clear-
ly an agent for Respondent-that it could not provide
such information because the Company had no idea of
the number or names. Respondent counsel, also present
and active at, negotiations on Facet's behalf, informed the
Union that the matter was "still under investigation." By
letter dated 28 January 1984, union counsel again re-
quested the information but was told in a reply letter of
3 February-by Attorney Fishman merely that the Com-
pany would not tolerate misconduct. (G.C. Exh. 24.)
There is further undenied testimony by administrative as-
sistant to Union Vice President Odessa Komar, Jim Ellis,
that during negotiations on 8 February 1984 in New
York, Union Counsel Betsy Engel specifically requested
information from Respondent about how many employ-
ees were involved in the misconduct, what the charges
were, and possible penalties under consideration. Fish-
employees receive the top rate for the same job classification to
which they are assigned at the new plant without a breaking-in
period, they shall receive the top rate of pay for such classification
at the new location
(110) An employee whose seniority is transferred between plants
pursuant to Paragraph (108) of this Agreement will be paid a
Moving Allowance provided that
a The plant to which the employee is to be relocated is at least
fifty (50) miles from the plant for which his seniority was trans-
ferred, and
b As a result of such relocation , he changes his permanent resi-
dence, and
c
He makes application within six (6) months after assuming his
new permanent residence in the area of this plant to which he was
relocated in accordance with the procedures established by the
Company
169
man responded "he had no way of knowing." Arriving
later in the evening Union Counsel Leonard Page also
requested similar information from Respondent's negotia-
tors but was merely told "they were still studying the
tapes and investigating "
Union Staff Representative Walter Waller testified to a
Detroit plant meeting attended by Waller, the industrial
relations director at the Detroit plant E. J. Mullane-
clearly an agent for Respondent-William Popadynec
production manager-also on this record clearly a Re-
spondent representative and agent-and Local Union
President Tony Rahill in February, about the t n>,g_ strik-
ing employees were returning to work. Waller recalled
asking the company representatives, in the course of sev-
eral discussions over how the unconditional return of
former strikers would be handled and who the employ-
ees were he had heard were accused of picket line mis-
conduct. He says Mullane responded that the Company
did have some employees under investigation but that
when Waller asked how many Mullane said, "I'm not
going to tell you how many, that's our business." When
Waller asked whether Mullane could give him their
names, Mullane told him he would not give him the
names until after the Company notified them. Although a
dispute arose at this hearing over the question whether
Waller had made another request for the same informa-
tion in February, Employer Representative Popadynec
was not called on to deny Waller's testimony regarding
the above, and Mullane was not brought forth to testify
at all. Waller's account is credited.
Larry Smith, then an International union representa-
tive, testified that during a meeting with company repre-
sentatives on 1 March 1984 he asked Facet's chief spoke-
man at local negotiations for the Madison Heights plant,
Donald Houser, for the names of employees involved in
the Company's picket line misconduct investigation but
was told by Houser only that it was under investigation.
Company co-counsel Frank Mamat told Smith the names
of three employees under "serious investigation," indicat-
ing there were others as well: Harry Miller, Joe Sciam-
manico, and Harold Hall. When Smith asked about the
circumstances, he testified he was told "they" did not
want to talk about it any further, and when Smith asked
when they would have the information he was told, "as
soon as they could." On 15 or 19 March 1984 at another
such meeting, Smith pressed the Union's request for in-
formation, asking if there was anything else he could
learn . Houser merely told him the' names of two employ-
ees already sent telegrams of recall, and three sent tele-
grams of discharge "for misconduct on the picket line
and elsewhere." Smith again asked for "some particulars
on it" and was told by Houser he hoped to have infor-
mation within the next week or so. The General Counsel
also established by Smith's undenied testimony concern-
ing this meeting that Houser, referring to the strikers,
some of whom were still under investigation who would
be discharged (and had been discharged), said that he
would waive time limits (in the parties' contract-estab-
lished grievance procedures) on the Union's filing griev-
ances over the firings, thereby establishing such griev-
ances were fairly contemplated by the parties and further
170
DECISIONS OF THE NATIONAL LABOR RELATIONS BOARD
that the relevancy of the requested information was self-
evident under Board law since related to possible griev-
ance and arbitration proceedings. E.
W. Buschman Co.,
277 NLRB 189, 191 (1985).
Finally, on 2 April 1984 when Local Union President
Butler asked Houser if there was any further information
on employees discharged for picket line misconduct
beyond telegrams discharging them without prior knowl-
edge of the Union, Houser replied, "we would see what
we wanted at the NLRB hearing."
Counsel for the General Counsel having established
the Union's repeated requests, beginning in early January
1984 and continuing into April 1984 for Respondent's in-
formation on picket line misconduct, Respondent indicat-
ed it intended to act by disciplining employees, informa-
tion clearly necessary and relevant to the Union's repre-
sentational duties on behalf of employees, including filing
grievances over these discharges under established griev-
ance procedures noted above the burden fell on Re-
spondent to justify its failure and refusal to provide the
information as established above. NLRB v. Acme Indus-
trial Co., 385 U.S. 432 (1967); Pfizer, Inc., 268 NLRB 916
( 1984); Boeing Co., 182 NLRB 421 (1970).
Yet Respondent called none of its own representatives
or officials to explain under oath its position in this
matter, relying instead on purported "admissions" by
union witnesses that in some of the numerous instances
of refusals to provide the information, company officials
had "explained" that the matter was still "under investi-
gation," or "being reviewed," or that "no final decision"
had been made, none of which reasons, on their face, jus-
tify the withholding of information Respondent may
have had at the time the Union made its numerous re-
quests. In this connection, the suggestion comes through
Respondent's contention on brief that it provided the
Union with "the information" once Respondent had "it,"
that Respondent simply did not possess the information
at the times it was requested by the Union. Also implicit
in this argument on brief is that Respondent did produce
the requested information once it was available. The
record fails to support either assertion.
Several witnesses, including Plant Manager Sheehan,
Director of Manufacturing Popadynec, Supervisor Dur-
lock, Customer Service Manager Phillippi, and Director
of Quality Control John L. Smith, Respondent's officials,
testified that they reported eyewitness accounts of picket
line misconduct in writing and orally to Respondent's
Director of Industrial Relations E. J. Mullane as early as
mid-January 1984. Indeed, there is additional testimony
that even as early as 5 December 1983, the assault on
guard Buchanan's supervisor, and other picket line inci-
dents on 3, 5, 12, 15, and 16 January had been observed,
recorded, and reported. In addition, there are reports
concerning picket line occurrences recorded by guard
Oblinger dated 5 and 6 December 1983, and employee
Zelda Greer testified she reported a 14 January 1984 in-
cident to Mullane. Yet as late as 2 April, Respondent
was informing union representatives it would still not
furnish the particulars, on any details concerning this
matter, advising the Union it would get what it wanted
at an NLRB hearing where, as it turned out and is noted
above, only the facts concerning two misconduct cases
were described in the course of witness examination in
the fall of 1985 , over 10 months since the Union 's first
request of numerous inquiries seeking the information.
Such limited disclosure as did occur was pursuant to this
litigation, rather than the Union 's fruitless requests. I find
that Respondent failed and refused to provide the Union
with the requested information concerning the picket line
misconduct at all times material including from 9 Janu-
ary 1984 through April and May and onward thereby
violating Section 8 (a(5) of the Act. NLRB v. Acme In-
dustrial Co., supra; Pfizer, supra; Boeing Co., supra. More-
over, whatever little it did get was untimely communi-
cated . Postal Service, 276 NLRB at 1288 (1985).
Respondent on brief points to the testimony of union
witnesses Tony Rahill and Tom Butler, presidents re-
spectively of the Detroit and Madison Heights locals,
purportedly supporting the defense that Respondent did
provide the requested information , yet their testimony
reveals only, in Butler's testimony, that Company Repre-
sentative Houser gave Butler notification concerning the
discharge of three employees on 2 April and that Butler
had already seen the telegrams discharging them as of 17
March . Further Butler testified he had no prior knowl-
edge concerning those employees being discharged, and
that when he asked for further details underlying the
action such as "films,
written
documentation, etc."
Houser refused to make any available, telling him to
await the NLRB hearings. Yet it was undenied that as
early as 8 February 1984 Respondent had informed
Union Counsel Page it was still studying the tapes (films)
taken of the picket line conduct, which Respondent,
under Board law was required to produce on request.
Square D Electric Co., 266 NLRB 795, 797 ( 1983). Under
cross-examination by Respondent later , Butler testified
further that they (Respondent) advised him they would
be responding to his inquiry independently of an NLRB
hearing but testified without contradiction that Respond-
ent never did so. Regarding Rahill, his testimony under
cross-examination revealed that once the Union had
learned of the letters identifying those persons who were
receiving discipline for strike misconduct , Local 104 did
not ask for further information. It was not the Union's
duty to repeat the often repeated specific request for the
names, locations, and underlying circumstances including
the tapes reasonably necessary to evaluate the options
open to it to represent employees in these matters still
again simply because some small part of the request,
after months of delay , was provided in the form of tele-
grams and later letters concerning Respondent's dis-
charging the employees on 2 April Rather, it was for
Respondent to prove in this hearing that the numerous
specific requests for information made by union counsel
and union representatives in writing and orally , identify-
ing there requested information specifically-which I
find the Respondent had in its possession-was in fact
provided to the Union by Respondent, and this cited lim-
ited testimony barren or elucidating details is insufficient
to establish that fact . Nor did any Respondent witness
take the stand to deny that the Respondent had refused
to furnish the information as alleged in the complaint. In
the same vein I note further that Union Representative
FACET ENTERPRISES
Waller testified he received at some date unspecified in
the record information concerning the identity of about
10 employees the Respondent had decided to discipline,
and while Respondent was in a position to elucidate the
record as to the date and details, it did not do so. Waller
also recalled that he made a second request on 29 Febru-
ary 1984 for Respondent to tell him the names and
number of employees accused of picket line misconduct
but was told by Mullane-who did not testify-he would
be told after the employees were notified. In short, the
references on brief by Respondent simply do not estab-
lish through union ' witness cross-examination that Re-
spondent supplied the requested information at times rel-
evant or substantially to the extent requested or required
by law calling for timely production of all the requested
information deemed relevant. Washington Hospital Center,
270 NLRB 396 (1984). Nor is the baldly stated assertion
on brief by Respondent's counsel that Respondent pro-
vided the Union "and the GC" misconduct information
sufficient enough to pare down the alleged discriminatees
from 15 to only the 2 "tried before this Court" anywhere
supported by the record evidence. Nor would such re-
sponse, even if proven, by way of resolving alleged vio-
lations of Section 8(a)(3) of the Act being litigated in the
formal
NLRB hearing, control the determination of
whether Respondent had violated its collective-bargain-
ing duty to comply with Union's requests for information
earlier under Section 8(a)(5) of the Act, the present issue
being addressed.
By way of further justifying its conduct refusing the
Union's request for, inter alia, the identification of those
under investigation or to be charged with picket line
misconduct, the number of them involved, their plant lo-
cation, the penalities being contemplated, the tapes of
picket line conduct, and nature of the charges, Respond-
ent on brief cites Board cases holding that the produc-
tion of employee witness statements in the context of im-
minent arbitration proceedings is not required due to
possible intimidation of witnesses in such proceedings,
and further that the production of whatever "undis-
closed" relevant evidence in the hands of the possessor is
too broad a discovery standard hence request for such
are not within the scope of information production re-
sponsibilities under the Act as such requests are insuffi-
cient to oppose a respondent of the information sought.
See Anheuser Busch, Inc., 237 NLRB 982 (1978); and Ma-
chinists Lodge 78, 224 NLRB 111 (1976). Neither princi-
ple has any application here where the Union requested
specifically identified information relevant to its function
and responsibility to represent employees in a situation
fraught with grave consequences for their employment
free of any request or reference going to employee wit-
ness statements and seeking only germane information
which the record discloses as described above, was in
the Respondent's possession and for the most part was
derived from its own representatives, supervisors, and
agents (rather than employees) in December 1983 and
January 1984. NLRB v. Acme Industrial Co., 'supra, and
Square D Electric Co., supra at 797.
E. Complaint Paragraph 12
171
The General Counsel here contends that Respondent
refused to bargain in good faith with the Union because
Respondent engaged in a course of conduct during the
parties' negotiations aimed at splitting apart the estab-
lished appropriate bargaining unit by unlawfully inducing
Detroit employees and the Union to negotiate and accept
a separate contract for Detroit plant employees only, ex-
cluding unit employees at Madison Heights and Elmira,
New York plants, without the Union's consent.
Background
The background evidence shows that the parties nego-
tiate numerous employment matters, such as wages, pen-
sions, insurance, vacations, SUB, paid absences, COLA,
and grievance procedure details for all three plants in un-
itwide bargaining called "master-agreement" negotia-
tions, the settled understanding being that the three
plants are, in general, treated as one unit, though no gen-
eral wage schedule is published and there can be minor
variances, such as an incentive bonus at one plant alone.
The parties also engage in "local" plant or supplementa-
ry bargaining over such subjects as starting and quitting
times, work rules, job classification structures, wages for
a particular position, job bidding, and the like. The over-
riding characteristic in all the bargaining that goes on, it
is clear, is the unified three plant structured bargaining
unit on which the parties contract negotiations have long
been based over several years, a structure fortified by the
requirement that votes of all plants be pooled to ratify a
new contract.
F. Respondent's 1983 Contract Proposals
In their entire history of bargaining over successive
master contracts the record shows no suggestion that the
multiplant unit approach had ever been disturbed. How-
ever, on 15 November 1983 in an unprecedented action,
Respondent for the first time presented a separately
drafted contract proposal covering numerous master
level contract subjects for the Detroit plant alone. (G.C.
Exh. 6.) The proposal covered wages, COLA, insurance,
SUB, pensions, holidays, paid absences, vacations , tuition
assistance, contract duration, production rates, and letters
of agreement. Respondent also presented a wide-ranging
set of separate proposals for Madison Heights and Elmira
combined, excluding any mention of Detroit in another
draft.
(G C. Exh 7.) This Elmira-Madison proposal,
unlike Detroit's, called for different general wage in-
creases,
elimination of COLA, new insurance benefits
unlike the Detroit proposal, differences in holiday bene-
fits, scheduled the discontinuance of paid absences while
Detroit's was merely reduced, and called for elimination
of SUB entirely.
1. Union rejection
After consideration of the separate documents the
Union accused the company negotiators of trying to split
apart the bargaining unit and rejected such approach, in-
sisting that a single agreement covering the three plants
be negotiated. Respondent witness Robert Childress testi-
172
DECISIONS OF THE NATIONAL LABOR RELATIONS BOARD
fled the Union never "complained" of any " splitting"
effort yet later in the same day general counsel witness
Ellis, UAW vice president , testified he informed Chil-
dress and Company Director of Human Resources Paul
Dick that the Union would not split up the master con-
tract
(unit), and accused the Company of putting the
Union in a "trick bag" by giving the Union two separate
proposals all the while knowing the Union would not
split off the "national agreement ." Ellis testified further
that Childress said he realized that would be the Union's
position and so informed Respondent President Malone
prior to negotiations-and that Dick confirmed the fore-
going
Neither Childress nor Dick denied the foregoing
and Malone did not testify . I further credit Ellis over
Childress that the Union objected to the splitting effect
inherent in Respondent 's offer-both as to its separately
documented format and its substantially contrasting
terms vis-a-vis master level bargaining subjects between
the Detroit offer and the offer at the other at the other
plants-at the bargaining table, for I believe it would be
unnecessary for the Union to take the position it was for
a master agreement without the Company's level of de-
manded recoveries and then the parties could look at
some local recoveries "instead"-as described by Chil-
dress himself-unless it was responding with an objection
to the separate master level proposals put on the table by
Respondent . Furthermore, as shall be noted , the Union
repeated its objections on later occasions
described
below.
2. Respondent's direct contact with Detroit
employees
Unheeding the Union's objections to divided-unit bar-
gaining, Respondent tried to induce employees directly
to accept a separate Detroit contract on 24 November
1983, when Detroit Plant Director of Industrial Rela-
tions Eugene J. Mullane approached picketing employees
outside the plant inquiring why they had not returned to
work in view of the good contract which had been of-
fered
Detroit
employees .
Employee Sally
Dorman,
whose testimony in this respect was not contradicted,
stated that she told Mullane the employees could not
accept the separate contract as it had not been offered to
"our sister companies" (plants) and "before we had a
master contract and there was three plants that always
had that master contract and the company, Facet, only
offered the contract to the Detroit plant ." Mullane told
the employees the Madison plant was moving out and
that Elmira made different products than the Detroit
plant and that the employees should return to work;
whereon fellow picket Jerome Mckenny told Mullane he
should be negotiating with the Union and, "that he know
[sic] that we would not accept the contract that did not
include the other two
[plants]."
Mullane then left
Dorman , Mckenny, and a third picket Vernette Ward,
whom he had been addressing as a group , and headed
toward another two pickets . Mullane did not testify
On 2 December 1983, Respondent mailed letters con-
taining copies of the Detroit plant only contract proposal
to about 140 employees, of that plant alone, not commu-
nicating with the other two plant forces in the unit com-
prising better than 500 employees overall
Without tell-
ing employees why the Union would not submit the
offer to the Detroit force , viz that the offer was unad-
dressed to Madison and Elmira plant employees, Re-
spondent urged employees to give the union-rejected
proposal serious consideration, adverted to general job
losses for all, the need to continue product and services
[a hint striking Detroit employees would be replaced?]
and "invited" employees only at the Detroit plant to
return to work "now under the terms of the 15 Novem-
ber offer."
(Emphasis added )
Respondent's
urgently
worded and toned entreatment plainly envisaged and
contemplated a dismemberment of the Detroit plant from
the multiplant unit because the Respondent 's appeal, if
accepted by Detroit plant employees returning to work
"now" under the separate Detroit plant contract, would
break the appropriate bargaining unit apart ,
leaving
Madison and Elmira employees to fend for themselves in
a fragmented unit reduced by one-third its size for all
practical purposes , substantially weakened or diluted in
bargaining strength . There was simply no provision in
Respondent's 2 December letter regarding the status of
other unit employees at Madison and Elmira and the
impact on them were Respondent 's limited invitation to
Detroit employees accepted
(G.C. Exh. 8.)
3. Respondent's further contacts with picketing
employees
Mullane again urged Detroit employees to accept Re-
spondent's Detroit-only offer on 4 December, advising
Mary Lewis with another striking employee present, Do-
lores Carter, that she should come back to work since
"you have a good contract ," Lewis testifying she under-
stood Mullane was referring to the Detroit only proposal
dated 15 November.
Not as yet successful in the efforts to isolate Detroit
employees from the unit , Respondent adopted new tech-
niques and displayed a sharper strategy on 5 December
when high company official Facet President and Chief
Executive Officer James R. Malone, together with De-
troit Plant Manager T. J. Westfall, spoke further with
striking Detroit employees asembly line worker Ilah
Drake, job setter Jack Muhaw , and machine shop job
setter Loyd Bastuba present at the picket line outside the
Detroit plant , urging them to accept Respondent's De-
troit plant contract offer and return to work.
4. Facet President Malone 's appeal
Employee Ilah Drake testified that Malone drew em-
ployees' attention to Respondent 's earlier letter and con-
tract offer, advising employees not to get too upset or
concerned over the excluded Elmira plant employees
offer because, "they (Elmira employees) were not going
to be thinking of us
[the Detroit employees]." Drake
stated Malone said he wanted "us" to come back to
work-that Elmira employees could start drawing com-
pensation after so many weeks asking pointedly whether
Detroit employees thought the Elmira employees were
going to offer to share any of their compensation with
Detroit employees . Malone then advised employees, "So
think about yourselves . . . not about the Union," con-
cluding remarks at this point with the assertion, "the
FACET ENTERPRISES
Union wasn't going to be too worried about [it] because
the union officials were going to be getting paid regard-
less of whether Detroit employees got any money or
not."
Loyd Bastuba testified that Malone urged the Detroit
employees to return to work, picturing the 15 November
Detroit plant contract as a fair one. Bastuba told him it
was not fair, "as it didn't give the other plants the same
opportunity and we were all together." Malone respond-
ed that that should not matter as the Madison plant was
moving-would be there no longer-and he was in the
process of replacing workers in Elmira and, in the long
run, Detroit employees would be alone anyway so "we
might as well accept [the contract] now and return to
work." Explaining under cross-examination by Respond-
ent counsel that he remembered the conversation because
it was important when he talked to someone that high up
in the Company, Bastuba recalled that Company Presi-
dent Malone told employees if they "didn't return to
work they'd be replaced and if that didn't work he'd
move the plant or close." Employee Jack Muhaw testi-
fied that Malone told employees they should "get to
members and our local to get us to go back to work, he
said we were getting . . . it was going to be separate
contracts; but he wasn't breaking up the master" adding
that Madison would be gone in 6 months and Elmira's
future was uncertain.
In further remarks to the employees later the same
day, Malone told him to persuade union representatives
at the Detroit local union to agree on having a vote to
return to work. Drake further recalls that Plant Manager
Westfall joined Malone in urging employees to get to-
gether and talk Detroit employees into returning to
work, at one point asking employees if they had seen a
movie about a plant closing, telling them the same thing
could happen to them. Neither Malone nor Westfall testi-
fied and the employee accounts are credited.
5. Respondent's further requests on 6 and 12
December for a separate ratification at Detroit
A composite of testimony after careful evaluation
based on minor variances, internal consistency, credibil-
ity, and the import or flow in other evidence reveals that
during 6 December negotiations Respondent continued
to press for separation of the Detroit plant from the unit,
this time, according to Union Assistant Vice President
Ellis,
corroborated
by
Union
Representative
John
Mando, openly pressing the Union to allow a separate
Detroit employee vote, in effect a separate contract rati-
fication. Ellis rejected the request as tantamount to the
Union agreeing to split the unit Union Representative
Mando, mistaken by 1 day about the date of the 6 De-
cember meeting, testified that the union representative
informed company officials Malone, Dick, and Childress
that the Union was willing to discuss "2-tier" level of
benefits but such had to be under a master agreement.
Company spokesman Childress denied asking for a "rati-
fication" vote, but did not deny asking the Union to
afford Detroit an opportunity to vote on the proposal.
Further, I credit Ellis over Childress on this point be-
cause I found Childress walked a very thin line of dis-
tinction-too careful to commend his testimony on this
173
point as reliable, fully accurate, or unaffected by self-in-
terest. Thus Childress denied the Union ever made accu-
sations that the Company was trying to split the master
agreement but testified indeed that Ellis had raised that
very subject by asking Childress at an earlier meeting
point blank, "Are you trying to break the master?" And,
of course, Mando's testimony reflects pointed union con-
cern over preserving the master agreement communicat-
ed to Respondent at this meeting
As Respondent, concurrent with above efforts, sought
differing benefits at the three plants, the Union respond-
ed fulsomely in such respect, agreeing to different levels
at the three plants in a phone call between Ellis and
company official Dick on 7 December, so long as the
benefits and employees at the three plants
remained
under the master agreement. In fact, the Union was will-
ing to "sell" Respondent's 15 November economic offer
to Detroit if Union Representative Ellis could "work
out" the Elmira plant issues, as indicated in a report by
Ellis to Union Vice President Odesso Komar (G.C. Exh
39), and by Ellis' testimony regarding a statement he was
questioned about on examination so long as the master
agreement unit remained intact.
Nonetheless, in a conference call on 12 December,
Company President Malone again urged on the Union
that a separate Detroit plant vote be taken on Respond-
ent's contract offer, Union Representative Mando reject-
ing the idea again . Mando replied, "I said we'd not agree
to break up the master concept, that that was what he
was proposing and we couldn't permit separate votes."
Mando suggested the parties get back to the bargaining
table, that they were not that far apart and could work
out a settlement-Malone responding he would think
about it and call back. Malone did not testify and
Mando's testimony is credible
6 Respondent's 13 December letter to Detroit
employees
Instead of returning to the bargaining table and devot-
ing itself to the economic issues, Respondent, the very
day following the Malone conference call, mailed an-
other letter to some 140 or so Detroit employees only
(G C Exh 9), accusing the Union of unfairly punishing
the Detroit employees "for the sake of other operations,"
claiming its offer to the Detroit employees was a fair one
and urging Detroit employees to return to work. The
letter contains the information that Respondent may
have to move other manufacturing lines out of the plant
in addition to one already transferred, in order to service
customers. There can be no reasonable question but that
in the context fairly established to this point this letter
was yet another reinforcement in Respondent's efforts to
break apart the Detroit plant from the three- plant unit
discussed further below, by inducing the Detroit employ-
ees to return to work thereby creating a de facto accept-
ance of the separate Detroit contract.
Still hammering away at Detroit employees in efforts
that would divide the unit, Respondent's Detroit Plant
Director of Industrial
Relations E. J. Mullane talked
with picketing Detroit plant employee Susan Hagedorn
on 15 December on the picket line at 8 a.m. asking her
174
DECISIONS OF THE NATIONAL LABOR RELATIONS BOARD
why she did not bring her people back to work, warning
her that the Company had hired 50 people to work at
the Elmira plant and "we didn't want to see that happen
here," and advising Hagedorn that employees had gotten
the Company's best contract offer in the mail (the 15
November offer). She then protested that the employees
could not return to work without a contract. Moreover,
as late as the 9 and 10 January 1984 negotiations, Re-
spondent, according to undenied testimony by Union
Representatives Mando and Ellis that Respondent pre-
sented separate draft agreements, was still giving the ap-
pearance of seeking separate plant contracts though the
negotiations were on the master level. In fact, in a tele-
phone call Ellis recalled as occurring either 17 or 18 Jan-
uary 1984, which Facet President Malone had placed to
Ellis, Malone again sought the Union to allow Detroit
employees a separate vote, even alleging to Ellis that the
International had once allowed such a procedure else-
where, Ellis responding that the Union would not allow
a Detroit vote on an agreement covering them only as
"we'd [then] not be able to put together a master con-
tract."
Analysis
There is no question on this record that the Respond-
ent sought a fundamental alteration in the parties' long-
established and appropriate bargaining unit consisting of
the
Detroit,
Madison, and Elmira plants by seeking
through coercive methods a separate contract resolution
covering the Detroit plant employees alone.
It is well-established that the subject matter of redefin-
ing the composition of a bargaining unit established by
either Board certification or the parties' longstanding
practice and agreement touches a bedrock-like source for
stability in the parties' collective-bargaining relationship
and is therefore held to be a merely permissive subject of
bargaining about which neither side can insist to the
point of impasse-in short neither side can force the
other to consent to such alteration, though a mutual
agreement is permitted
Newpaper Printing Corp., 232
NLRB 291, 292 (1977); Tarlas Meat Co. I, 239 NLRB
1396, 1397 (1979), Newport News Shipbuilding, 236 NLRB
1637 (1978); Electrical
Workers (White-Westinghouse) v.
NLRB, 604 F.2d 689 (D.C. Cir. 1979); Canterbury Gar-
dens, 238 NLRB 864 (1978); and General Motors Corp.,
120 NLRB 1215 (1958). It follows that if a mutual agree-
ment on the matter is lawful, a party can raise the sub-
ject at negotiations in an exploratory manner or even
with a specific proposal-even take a strong position in
the matter so long as such efforts fall short of causing an
impasse to further negotiations between the parties.
But it is also true as a necessary, logical corollary that
if neither side can attempt to force the other to agree to
a change in the bargaining unit structure by insisting to
impasse in the negotiations on such change, neither can
either party attempt to force the other's consent by any
other means and still fulfill the duty to bargain in good
faith. If, in addition, such party were to select "other"
means that were unlawful, such additional transgression
would serve to compound the violation of law by seri-
ously disrupting the collective-bargaining process still
further.
Respondent's entreaties to the Detroit employees on
the picket line, and its direct mailings to about 140 in the
Detroit plant sought a separate contract resolution for
them and were strongly laced with thinly veiled threats
of further reductions in operations and even plant clos-
ing
Respondent's communications directly attacked the
integrity of the Union by questioning the good faith of
union representatives, insinuating they did not care about
Detroit employees' interests since the representatives
would still get their own pay even if Detroit employees
did not. Respondent's communications further disparaged
the Union by accusing it of punishing employees unfairly
for the sake of other operations-a nonambiguous refer-
ence in this context I find-to the Union's allegiance to
the three-plant unit and its objection to splitting Detroit
employees away from that unit. President Malone's in-
junction-like advice to employees to "so think about
yourselves . . . not about the Union" could only be an
effort to drive a wedge between employees and their
bargaining representative still further, the wedge already
having been sharpened by the earlier allusions to reduc-
tions and plant closing.
This coercive action aimed at creating "division be-
tween the employees and their bargaining representa-
tive" in a similar context has been held violative of the
8(a)(5) mandated good-faith bargaining obligations. Gen-
eral Athletic Products Co., 227 NLRB 1565 (1977), and
Safeway Trails, 233 NLRB 1078, 1081 (1977). Moreover,
Respondent's references both specifically and reasonably
interpreted claims that Respondent is the true source for
protecting the employees' interests rather than the em-
ployees' representative with such claims as the Compa-
ny's offer being a fair one while the Union is presented
as unfairly punishing employees. This provides a basis to
conclude the Respondent unlawfully sought to under-
mine the Union's status as the employees' representative
in order, plainly, to further its divided unit goal instead
of sticking to collective-bargaining matters to the detri-
ment of the latter and in derogation of its duty to bar-
gain in good faith. Adolph Coors Co., 235 NLRB 271, 277
(1978), citing Texas Electric Coop, 197 NLRB 10, 12, 14
(1972), and, in pertinent part, NLRB P. General Electric
Co., 418 F.2d 736 (2d Cir. 1969), as to an employer un-
lawfully
dealing
with the union through employees
rather than dealing with the union as the employees' rep-
resentative. See also the dissenting opinion by Member
Johansen in Putnam Buick, 280 NLRB 868, 870 (1986),
that an employer effort supposedly to merely "communi-
cate" with employees "was an explicit attempt to con-
vince employees that the Respondent was more interest-
ed than the Union in their welfare" and this was an indi-
cator of bad-faith bargaining since it "undermined the
Union's status as the collective-bargaining
representa-
tive."
It is likewise true that in its campaign-like efforts to
divide the unit, Respondent sowed the seeds of dissen-
sion among the Detroit employees and employees at
Elmira, pitting the Detroit employees against their fellow
union members by asserting the Elmira striking employ-
ees would soon be receiving unemployment compensa-
tion that they would not likely share with Detroit em-
FACET ENTERPRISES
ployees Respondent was then unlawfully importuning to
return to work as a separate unit. This effort was in
common with Respondent's other efforts to divide the
unit by dividing the unity among employees.
All these efforts are the exact opposite of good-faith
bargaining for "if there is one thing that frustrates collec-
tive bargaining with the majority representative, and
causes nothing but continuing and extended conflict, it is
disruption of the unified action by separating one seg-
ment of the whole from others." Tarlas Meat Co. II, 239
NLRB 1400, 1404-1405 (1979).
It is well-established that a party is held responsible as
intending the foreseeable consequences of his acts which
were either desired by the person or which, reasonably
viewing matters, were almost virtually certain to occur
as a result of the conduct engaged in. By the nature of
things, Respondent's pressures and exhortations to em-
ployees and the Union could only lead to a fragmenta-
tion of the long-established master agreement unit. This
is no mere speculation because once voting to ratify a
separate contract and returning to work pursuant to the
terms applicable to them only, as intended by Respond-
ent, there would be no viable collective-bargaining asso-
ciated reasons for the Detroit plant employees to be any
longer a part of the bargaining unit from which they
would be withdrawn by the force of the described events
severely weakening the employees' bargaining represent-
ative. At the same time the Respondent would be in a
better, stronger posture to prevail in negotiations con-
cerning the remaining employees in the weakened unit
looking in from the outside at Detroit plant employees
back at work. Given the Respondent's ample motive and
continuing effort to secure this goal as described above,
its alleged denials of any such intention, and that it was
only making proposals "within a master agreement con-
tract" have a hollow ring and are not worthy of belief.
In this instance, I find a preponderance of evidence sup-
ports the view that Respondent intentionally sought to
force a division in the appropriate bargaining unit by
clearly unlawfully coercive means, thereby violating the
duty to bargain in good faith most seriously and, by the
exercise of such coercion, losing the protection other-
wise accorded employer communication to employees
under the Act in these matters described above. United
Technologies Corp., 274 NLRB 609 (1985), and Proctor &
Gamble Mfg. Co., 160,NLRB 334 (1966).
G. The Trident Defense3
Respondent's defense, inter alia, that it cured such vio-
lation, if any, in a notice to employees repudiating such
conduct mailed to them no later than 4 February 1984 is
found meritless as such repudiation was clearly not a
timely one, coming over 2-1/2 months after it had em-
barked on the unlawful conduct on 15 November 1983,
and for the further reason that not long after the notice,
as described above, Respondent engaged in further un-
lawful conduct described below. Such repudiation was
therefore clearly ineffective.
Kroger
Co.,
275• NLRB
3 Trident Seafoods Corp., 244 NLRB 566 (1979), affd 642 F 2d 1148
(9th Car 1981)
175
1478, 1480 (1985), citing Passavant Memorial Area Hospi-
tal, 237 NLRB 138 (1978).
.Respondent's further assertion that the Union precon-
ditioned settlement of the strike and a contract resolution
on amnesty and dismissal of strike replacements-permis-
sive topics of bargaining-on and after 9 January 1984,
thereby engaging in unlawful conduct serving as a de-
fense to Respondent's unfair labor practice described
above is patently without merit. In the first place, the
bulk of Respondent's unlawful conduct toward splitting
the unit occurred between 15 November 1983 and 9 Jan-
uary 1984 as described above so that any alleged conduct
by the Union on and after 9 January would not serve to
justify
Respondent's unlawful action beforehand de-
scribed above, either with regard to the amnesty matter
or the replacement of strike replacements. In the second
place, regarding the amnesty question, it is clear that Re-
spondent from 9 January 1984 through April and May
1984 and beyond, unlawfully refused to furnish informa-
tion regarding picket line misconduct as detailed above
which was at the heart of the amnesty problem, and left
the Union without the facts required to intelligently ne-
gotiate a resolution, so that the Respondent can not be
heard to "defend" here on the basis of matters fairly aris-
ing from alleged union misconduct due to its own unfair
labor practices and responsibility and well after its un-
lawful conduct in attempting to split the unit earlier.
Grede Plastics, 235 NLRB 363, 364 (1978). Third, the
strikers involved in this matter were unfair labor practice
strikers on whose behalf, therefore, the Union was enti-
tled to seek immediate replacement by, inter alia, de-
manding the dismissal of all strike replacements. Kansas
Van & Storage Co., 273 NLRB 855 (1984); Coca-Cola Co.
of Memphis, 269 NLRB 1101 (1984); and Charles D. Bon-
anno Linen Service, 268 NLRB 552, 553 (1984). Finally,
Respondent's reliance on SCA Services of Georgia, 275
NLRB 830 (1985), and other cases on brief, upholding
the general right of an employer to seek the return of
striking employees to work-including addressing only
some segments of employees in the unit to do so, is mis-
placed _ as in those cases the employer's conduct in
making such efforts was not coercive or intended to
divide the established bargaining unit,
as was the case
here, which renders Respondent's citations inapposite.
H. Respondent's Refusal to Reinstate Lemuel
Harrison and Sally Dorman
During the course of picketing at Respondent's
Elmira, New York, and Detroit and Madison Heights,
Michigan facilities employing 550 employees several inci-
dents involving violence, threats, and property damage
occurred, and were attributed to the striking employees
by eyewitness accounts and security guard written re-
ports identifying those responsible. Acting on this infor-
mation, Respondent, at the conclusion of the strike, re-
fused reinstatement to numerous employees resulting in
the Union filing charges alleging discriminatory dis-
charge under Section 8(a)(3) of the Act regarding 15 em-
ployees
This number fell to only two, Harrison and
Dorman, at the hearing, the allegations covering the
others
having
been
dropped.
Harrison,
a
Madison
176
DECISIONS OF THE NATIONAL LABOR RELATIONS BOARD
Heights plant employee, was admittedly present on the
picket line at both his plant and Respondent's Detroit fa-
cility frequently during the strike and is placed at the
scene of many disruptive confrontations between striking
employees and company personnel, guard forces, and
local police.
Thus, guard Alton Buchanan, employed by an outside
security force company testified to several encounters he
had with Harrison, who was according to Buchanan,
identified to him by Industrial Relations Director Don
Houser as a suspected source of danger to employees
and property at the onset of the strike. Buchanan, in re-
sponse to my questioning, testified that Houser pointed
to Harrison, then several feet away, and identified him
by name as a company employee on the occasion noted.
Buchanan testified that during the strike, on 5 December
1983 at the Madison Heights plant, he saw Harrison push
a vice president in the security force company, Roger
Schmedlin, from behind, the force propelling Schmedlin
to the ground in front of oncoming traffic, injuring his
hand and knee, and tearing his pants. On 3 January 1984,
he testified, also at Madison Heights, Harrison waved a
knife 2 or 3 feet away from Buchanan and other security
force members as they approached the picket line,
threatening to cut them and at one point further exclaim-
ing to a firm official, "I'll cut your white ass " Again at
the Madison plant, on 5 January, Buchanan testified that
during a large massing of pickets, he saw police strug-
gling to restrain Harrison, who was also seen by Buchan-
an kicking the sides of cars and hitting automobiles with
his picket sign.
Buchanan further observed Harrison
throwing firewood and sticks, nearly hitting Schmedlin
but for Buchanan's pushing the latter aside, on 12 or 15
January, at the Detroit plant when, he also testified, Har-
rison threw bottles, rocks, and stones at Buchanan and
fellow security quards. On 15 or 16 January, back at the
Madison plant, Buchanan again identified Harrison as
threatening, in their general direction, about 1 foot away,
to cut them, describing Harrison's approximate age,
height, and weight for the record
Milton J. Sheehan, then a Detroit plant employee, tes-
tified that during the Company's effort to remove ma-
chinery on 16 January 1984, while trucks were attempt-
ing to enter the plant's premises, he saw Harrison (mis-
takenly named by him as "Harris") jump on the cab of
one of the trucks, beating on the truck with a 4-foot-long
wooden picket sign, and screaming at the driver Shee-
han reported the incident to Gene Mullane, director of
industrial relations at the Detroit plant. He testified that
Harrison (and Sally Dorman) were the most "visible,"
the most "violent," and that he knew Harrison, who had
been identified to him as an employee from the Madison
plant by another person during prior occasions involving
picket line occurrences when Sheehan had asked about
Harrison.
I found no basis in the testimony offered by Buchanan
and Sheehan to doubt their credibility while, on the
other hand, I found Harrison's explanations concerning
the knife and assault incidents unconvincing . It is clear
on this record that the Respondent acted pursuant to the
reports concerning Harrison's conduct on the picket line
when it refused to reinstate him, as there is not a scintilla
of evidence tending to show such reports were mistaken
or fabricated, or that Respondent based its action on any
other reasons. In sum, I find that Respondent had a rea-
sonable, honest basis for its belief that Harrison had en-
gaged in improper activities while on the picket line ren-
dering his conduct as a striking employee unprotected by
the Act. Accordingly, the burden fell on counsel for the
General Counsel to prove by a preponderance of the evi-
dence that Harrison had not been engaged in any unpro-
tected activities forming the basis for his not being rein-
stated. Harvey Engineering Corp., 270 NLRB 1290, 1301
(1984). This he was unable to do.
In this connection, I have considered the contention
that Buchanan's testimony that Houser identified Hai ri-
son to Buchanan was hearsay on the issue of whether the
person pointed out to Buchanan by Houser was in fact
Harrison and agree that such would be hearsay regard-
ing that issue, as well as Sheehan's testimony that'some-
one had identified a picket as Harrison to him. However,
the central or overriding issue is whether Respondent
had a reasonable basis to believe Harrison had engaged
in the cited conduct On that issue, of course, the identi-
fication of Harrison plays an important part, but the
record is devoid of any reason why Respondent could
not reasonably rely on the reports of Buchanan and
Sheehan as described. Harvey Engineering Corp.,
ibid;
citing General Telephone Co. of Michigan, 251 NLRB 737
(1980), affil. 672 F.2d 894 (D.C. Cir. 1981). It was Re-
spondent's own Director of Industrial Relations Don
Houser, who had reportedly made the identification for
Buchanan, and there was no reason for Respondent to
question or reject the account given by Sheehan, whose
wife worked at the Madison plant, like Harrison, who
was placed at the scene of violence by Sheehan on sever-
al occasions so that it would be natural or reasonable for
Respondent to accept his identification as reliable. Thus,
it is clear that the testimony by both witnesses concern-
ing their being told the striker was Harrison is not unreli-
able hearsay on the limited question of what they were
told; consequently, this finding of fact, to that limited
extent, is based on uncontradicted, probative evidence on
which both Respondent and the above conclusion is enti-
tled to rely. Nor is counsel for the General Counsel prej-
udiced by such finding for he had the opportunity, and
exercised it, to cross-examine both witnesses as to what
they were told and, further, to recall Houser and test the
accuracy and reliability of his reported identification of
Harrison to Buchanan under cross-examination, but
chose not to do so.
Sally Dorman, a striking Detroit plant employee, was
likewise denied reinstatement by Respondent at the con-
clusion of the strike. At this hearing six witnesses credi-
bly testified that they saw Dorman, during the picketing
at the Detroit plant in January and February, engage in
screaming , threatening conduct against company person-
nel, attacks on company and employee vehicles by beat-
ing on cars and trucks with picket signs, her fists and
feet, and brandishing a 6-foot-long wooden picket sign
menacingly toward employees, calling them scabs while
waving it in such fashion that one witness testified he felt
she was about to attack the employees. Each of the wit-
FACET ENTERPRISES
nesses, including Sheehan for whom Dorman once
worked, was able to identify Dorman based on their per-
sonal knowledge of who she was, either because of being
a long-term coemployee or supervisor or personnel ad-
ministrator
who had prior direct contact with her.
Dorman herself, though down-playing or denying some
of the reports, admitted the police had to twice order
her to stop "touching" vehicles entering the plant, but
refused to testify under oath . Director of Manufacturing
William Popadynec, himself a witness to Dorman 's beat-
ing on car windshields with her picket sign of 14 Janu-
ary, and hitting the side window of an incoming plant
truck three or four times on 16 January with her picket
sign, testified Dorman was discharged for her conduct
that he and others had reported as summarized above.
Based on the foregoing , I find that Respondent lawfully
denied reinstatement to strikers Dorman and Harrison
because they engaged in picket line misconduct clearly
exceeding the bounds of peaceful and reasoned conduct
required by law so as to coerce or intimidate employees
in the exercise of rights protected under the Act as well
as other persons who do not enjoy the protection of Sec-
tion 7 of the Act. Clear Pine Mouldings, 268 NLRB 1044
(1984); Southwest Forest Industries , 273 NLRB 765 (1984);
New Galex Mirror Corp., 273 NLRB 1232 (1984); and
Harvey .Engineering Corp., supra. Counsel for the General
Counsel's reliance on case authority to the contrary is
unavailing because in the authorities cited by him there
was a preponderance in evidence showing either that the
employers' belief regarding the employees ' misconduct
was mistaken, or that there was no basis at all to con-
clude the employees had engaged in the misconduct, the
opposite of this situation.
I. Respondent 's Unilateral Changes
The complaint alleges that Respondent made numer-
ous changes in preexisting employment conditions at the
strike's end on 17 February 1984 without bargaining with
the Union : by dispensing with the parties' contract -estab-
lished grievance procedure; reducing the number of rec-
ognized shop stewards at the Detroit plant from six to
three; denying the Elmira local union president, a shop
committeeman, access to the plant and his right to recall
before other employees thereby denying him supersenior-
ity under the parties' agreement; and further, by reduc-
ing the amount of company-paid time accorded employ-
ee union committeemen and officers engaged in represen-
tational matters in the Detroit plant.
The sworn testimony of witnesses McElligott, Waller,
Bastuba, and Rahill establishes without contradiction that
while the parties' agreement covering the three plants
was in effect, including concurrent supplementary agree-
ments, the parties were bound by contract provisions and
practices establishing a step-by-step grievance procedure
which could be initiated by written complaints on pre-
pared forms. Six shop stewards were recognized by the
Company at the Detroit plant, plant access for union of-
ficers to represent employees , superseniority in recall for
local union officers and shop committee members, paid
time for conducting union -management-employee related
matters viz : to the local's president, vice president, and
financial secretary 3-1/2 hours a day, grievance commit-
177
tee chairman 10 hours a week , and union stewards and
chief stewards were granted a reasonable amount of time
to handle grievances . The parties are not in dispute over
the particulars established and in force by contract prior
to the strike's conclusion, and Respondent made no
effort at the hearing or on brief to deny same . I find
these employment conditions to have been in existence at
all relevant times herein. See (G .C. Exh. 3), Local 104
Supplemental Agreement article I, paragraph 4; id. at 6;
and Local 604 Supplemental Agreement at 6 and 12, para-
graph 28.
On the strike's conclusion Respondent instituted wide-
ranging changes in the employment conditions of its em-
ployees. Detroit Grievance Committee Chairman Loyd
Bastuba testified without contradiction that Detroit Per-
sonnel Director Mullane told him after Bastuba had re-
turned to work and had occasion to ask Mullane for a
grievance form that, "there was no longer any contract
between us and the company and there was no longer a
grievance procedure ," so Mullane refused to give him
any grievance forms . Bastuba further testified that the
"whole format of filing a grievance was gone-all you
could do was talk with Mullane-[though] normally
there were steps with foreman involved ." On cross-ex-
amination Bastuba said , "We had no procedure-had to
accept
what
Mullane decided after we returned to
work."
Detroit Local Union President Tony Rahill also testi-
fied that after his return to work he had a discussion
with Mullane on 27 or 28 February, the latter informing
Rahill of reductions in the amount of paid time for union
plant representatives to 2 hours a week , only for the
three top officials, elimination of three area stewards and
that the three remaining chief stewards would have no
time in the plant . When Rahill asked for the reason
behind Respondent's action, Mullane told him, "you're
back on unconditional offer . No contract, no representa-
tion and no grievance procedure ." Rahill further testified
that there was no grievance procedure after employees
returned to work.
In a phone call from Mullane to Union Staff Repre-
sentative Walter Waller on 29 February in response to a
question Waller had raised earlier regarding representa-
tion in the plant, Waller testified Mullane said, "they did
not have to recognize anyone as far as representation
purpose but because of the relationship we had we'd rec-
ognize three stewards in the plant but they 'd not have
any privileges as far as writing grievances is concerned."
When Waller asked, "What was the sense in recognizing
these people if they can't use the grievance procedure,"
Mullane replied, "Well, you came back unconditionally
and as far as the grievance procedure is concerned, we
don't have to do it and that's our decision ... and we
don't have to bargain on it." Waller testified that there
was no formal grievance procedure in place after the
strike concluded.
In the same timeframe Fred McElligott , who served
variously as president, vice president, and a member on
the shop committee at the Elmira plant at all relevant
times, testified he arrived at the plant on 24 February at
1 p.m. and asked for access to the plant bcause he was a
178
DECISIONS OF THE NATIONAL LABOR RELATIONS BOARD
union official and there were union members in the plant,
but was informed by the secretary to John Evans, direc-
tor of industrial relations at the Elmira plant, that
"there'd be no union officials let into the plant." McElh-
gott, who testified without contradiction that about 40
employees had been recalled to work since the uncondi-
tional offer on 17 February while he had still not been
recalled on the 24 February occasion described despite
his nght to preferential recall before the others under the
parties agreement, asked the secretary-a long-time ac-
quaintance at the plant-to have Evans call him. Evans
called McElligott later at the union hall, confirming that
there would be no union officials allowed in the plant.
On cross-examination , McElligott stated that the secre-
tary was referring to union stewards being barred as
well, and that when he asked Evans during the phone
call whether there would be representation for the union
people in the plant, Evans said there would be no union
representation allowed in the plant , and refused McElli-
gott's request for a written statement explaining the
reason. Evans did not testify.
As was recently noted with Board approval in PRC
Recording Co., 280 NLRB 615, 634-635 (1986).
It is the Board 's obligation to protect the process
by which employers and unions may reach agree-
ments with respect to terms and conditions of em-
ployment. Sea Bay Manor Home, 253 NLRB 739,
740 (1980); NLRB v. C & C Plywood Corp., 385 U.S.
421, 428 (1967). Old Man's Home of Philadelphia,
265 NLRB [1632 (1982)], the Board, quoting from
the basic authority in this area, NLRB v. Benne
Katz, 369 U.S. 736, 743 (1962), notes that the Su-
preme Court held:
A refusal to negotiate in fact as to any subject
which is within § 8(d) and about which the
union seeks to negotiate ,
violates
§ 8(a)(5)
though the employer has every desire to reach
agreement with the union on an over-all collec-
tive agreement and earnestly and in all good faith
bargains to that end. We hold that an employer's
unilateral
change in conditions
of employment
under negotiations is similarly
a
violation
of
§ 8(a)(5) for it is a circumvention of the duty to ne-
gotiate which frustrates the objective of § 8(a)(5)
much as does a flat refusal [emphasis added].
An employer has a statutory obligation to contin-
ue to follow the terms and conditions of employ-
ment governing the employer-employee, as opposed
to the employer-union, relationship in an expired
contract until it has bargained to impasse with the
collective-bargaining representative of its employees
unless the union fails to timely request bargaining
following the employer's notice of an intention to
modify NLRB
v. Haberman Construction
Co., 618
F.2d 288, 302-303 (5th Cir. 1980); NLRB v. Anton-
ino's Restaurant,
648
F.2d 1206, 1214 (9th Cir.
1981); Bay Area Sealers, 251 NLRB 89 (1980), enf.
denied 665
F.2d 970 (9th Cir.
1982);
Henhouse
Market, 175 NLRB 596 ( 1969), enfd . 428 F 2d 133
(8th Cir. 1970). Even if an impasse is reached, a uni-
lateral change cannot be made unless it is reason-
ably encompassed within the employer 's preimpasse
proposal Taft Broadcasting Co., 163 NLRB 475, 478
(1967), enfd. sub nom .
Television Artists v. NLRB,
395 F.2d 622 (D.C. Cir. 1968).
See also PRC Recording Co., 280 NLRB 615 (1986). The
question of whether the unilateral change is encompassed
or within the ambit of the proposals already made and
rejected is not so much governed by timing or specific
aspects of a change but such change cannot, it is clear,
exceed the positions and offer previously extended to the
union, cf. Stone Boatyard, 264 NLRB 981 (1982); and
NLRB Y. Crompton Highland Mills, 337 U.S. 217 (1949).
Turning to the Respondent's conduct I first note that
it impacted on deeply imbedded terms and conditions of
employment governing the "employer -employee, as op-
posed to the employer-union relationship"
the latter
being illustrated by, for example union secunty, arbitra-
tion, and check-off provisions. PRC Recording Co., supra
at 667, quoting Freedman Electric, 256 NLRB 432, 443
(1981)
Thus, Respondent's undeniable rejection of the parties'
entire, carefully crafted , and long-established formal pro-
cedure for the imitation and step-by-step handling and
resolution of employee grievance struck at the heart of
the employer-employee relationship dispensing with writ-
ten grievances and procedural steps designed to resolve
problems in an orderly, understood-in-advance process in
which the rights of employees and the employer were
understood and agreed on . Such a rejection is calculated
to leave the parties' earlier system for resolving employ-
ee-employer related grievances in a shambles. There
were no pnor negotations, union consent , waiver, or
offers by Respondent concerning the elimination of the
parties'
formal grievance procedures , and I therefore
conclude Respondent's announced repudiation and uni-
lateral cancellation thereof as found above to violate
Section 8(a)(5) of the Act on the cited authorities above.
See also
Granite City Steel Co.,
167 NLRB 310, 316
(1967).
Concerning as it did the availability of their union
stewards to receive and adjust grievances from employ-
ees against their employer, I further find the subject of
paid representational time for plant union representatives
and the number of union stewards which Respondent re-
duced at the Detroit plant to also be within the above-
descnbed relationship of employment conditions that sur-
vived the expiration of the parties' contract. The record
establishes that Respondent 's last offer to reduce such
paid time was limited to a reduction of only one-half
hour a week from 17-1/2, no time outside the plant for
the grievance committee chairman , no reasonable time in
the plant, but the area stewards and chief stewards
would have reasonable time for grievances. In action re-
ducing those benefits in sharp contrast to both their
former level under the parties' agreement as well as its
last offer, Respondent eliminated paid time for all union
representatives except the three top union officials at De-
troit and, regarding them, wiped out all but only 2 hours
from the former
17-1/2 hours,
eliminated three area
stewards, and disclosed there would be no paid time for
FACET ENTERPRISES
the remaining chief stewards in the plant. Even under
Respondent's theory of defense on brief of impasse but
for the elimination of the positions of three area stew-
ards, which is in accord with the Respondent's prior
offer on this subject, Respondent's action was substantial-
ly beyond the ambit of earlier proposals and also as to
which, further, I find there was no union consent or
waiver. Moreover even though the reduction in the
number of stewards to three was in accord with the Re-
spondent's prior offer, Respondent failed to establish any
justifying prior impasse in local Detroit plant negotia-
tions in this area, union consent, or waiver, hence the re-
duction, like the elimination in paid representation time,
was violative of the Act. See cases cited in Bay Area
Sealers, 251 NLRB 89, 90 (1980).
As further noted in PRC Recording Co., supra at 636,
"As noted in Caravelle Boat Co., 227 NLRB at 1357, it is
`axiomatic that unilaterally changing the method of re-
calling employees is violative of the Act' (unilateral
change in recalling employees according to seniority)."
Respondent's failure to recall McElligott until 28 Febru-
ary 1984, having recalled about 40 employees before him
despite his admitted contract superseniority in recall
worked a unilateral change in the existing methods of re-
calling employees thereby violating the Act. Respondent,
herein found to have unlawfully refused to reinstate the
unfair labor practice strikers including
McElligott on
their tender of unconditional offers to return to work in
violation of Section 8(a)(3) of the Act, and to have, in
McElligott's case, additionally refused to reinstate him
according to his seniority in violation of Section 8(a)(5)
cannot now defend its action denying McElligott access
to the plant for the purpose of representing employees as
union president and shop committeeman on the basis that
he was not an "active employee" under the parties'
former agreement for such result would reward Re-
spondent on the basis of its own violations of employee
rights and continuing status as employees under the Act.
Rebuffed at the plant office and in the phone call from
Evans from entering the plant, McElligott and other
Elmira plant employees serving as stewards were unlaw-
fully deprived of their rights under the Act. R. C. Cobb,
Inc., 231 NLRB 99, 104 (1977). For the right of access
denied here was a long-established practice contractually
required in the past, and survived the expiration of the
contract. Such denial removed a "real and substantial
benefit,"
Granite City Steel Co.,
167 NLRB 310, 315
(1967); J & H Rainwear, 273 NLRB 497 (1984); Houston
Coca-Cola Bottling Co., 265 NLRB 766, 778 (1982); and
Kinard Trucking Co.,
152 NLRB 449, 450 (1965). In
Granite City, supra, it was noted:
This is not to say that the statute freezes Re-
spondent to the existing practices on plant access. It
is to say that prior to effecting changes therein it is
under a duty to give its employees' statutory repre-
sentative an opportunity to bargain concerning pro-
posed changes. The bargaining representative is en-
titled to "an opportunity to present arguments to
the employer to dissuade him from effecting the
change, and also an opportunity to propose alterna-
tives or compromises which might moderate the
179
change so as to accommodate the interests of the
employees as well as of the employer.
[Kinard
Trucking Co., 152 NLRB 449, 450 (1965).]
Respondent never afforded the Union an opportunity
to bargain about this action depriving union access at the
Elmira plant, and offered no valid reasons for imposing
the change, which was material, substantial, and signifi-
cant, hence a further refusal to bargain in violation of
Section 8(a)(5) and (1) of the Act, as were the earlier re-
lated unilateral changes in employment conditions de-
scribed above.
J. The Prolongation and Conversion of the Strike
Respondent's unlawful insistence to impasse on the
EBW proposal, as discussed and established above, sub-
stantially contributed to causing from its outset the unfair
labor practice strike at the Madison Heights plant begin-
ning on 3 November 1983. The record is clear that be-
ginning on 2 December 1983 Respondent's unlawful ef-
forts to divide the three-plant unit service to prolong the
strike, begun earlier at all the plants and as a result, from
that date forward to its conclusion on 17 February 1984,
the strike for such additional reasons was an unfair labor
practice unitwide strike.
Thus, the Union filed unfair labor practices concern-
ing, inter alia, Respondent's unlawful conduct seeking to
divide the bargaining unit on 15 December 1983 (G.C.
Exh. 1). The charges were read and explained to striking
employees at local union meetings, along with, at Madi-
son, transmittal letters to Company President Malone
from Union Vice President Komar and Union Attorney
Page to the NLRB Regional Office, employees being ad-
vised the strike was an unfair labor practice strike Smith
advised unit members Barbra Terrace and Randy Berner
to print new picket signs stating the picketing was over
unfair labor practices. Smith and Madison plant former
operator Guisippi Scianimanico testified to such signs
being carried thereafter, the latter supplying a photo-
graph of same. (G.C. Exh. 209.)
Similarly, at the meeting for Detroit plant striking em-
ployees on 24 December 1983, Detroit employee Local
104
President Tony Rahill testified that assistant to
UAW Vice President Jim Ellis was present to give em-
ployees an update on negotiatons and said (Ellis) that the
Union was filing unfair labor practices against the com-
pany-"that people on the [picket] line were being ap-
proached by management asking them to come back to
work with no contract and no union " Rahill further tes-
tified on cross-examination that Ellis explained "about
the [letters] the company had written and the Union had
written to the company," the Company using unfair
labor practices "as far as talking to people on the picket
line, trying to get them to come back to work without a
contract." Rahill described a request by Ellis that if
anyone other than those who had given statements was
approached on the line they should make themselves
known. Further direct evidence that Respondent's un-
lawful efforts to break apart the Detroit plant employees
from the unit fueled Detroit employees' resolve to con-
tinue the strike is found in employee accounts described
180
DECISIONS OF THE NATIONAL LABOR RELATIONS BOARD
above when Respondent officials approached picketing
Detroit employees seeking their separate return to work
on 24 November and 5 December 1983. Such appeals
were rejected, employees voicing quickly and strongly
the views that Respondent's proposals were aimed at
separation of the unit consisting of "sister locals" were
all together (employees Sally Dorman, Jerom McKenny,
and Loyd Bastuba).
Witness Fred McElligott served as an employee for 21
years at the Elmira plant and held the position of vice
president and acting Local 604 president, as such being a
member on the shop bargaining committee throughout
1983 and 1984 negotiations for a new contract. He testi-
fied credibly that he knew the Union had filed the unfair
labor practice charge noted above on 15 December 1983,
as
Union
District
Representative Jack
Manione and
UAW Counsel Leonard Page so informed him.
He testified that during a local union meeting attended
by some 175 local union members during the third week
in December 1983 Manione described company letters
sent to one plant seeking a return to work by them with-
out the other two plants, and a meeting between the
Company and the Union where company negotiator
Childress sought only the return of the Detroit plant to
work. He then read the unfair labor practice charges in-
volving Respondent's unlawful efforts to split the unit to
the assembled striking employees and that numerous
members expressed the view that "that they all went out
on strike together and they will stick together. There is
no way one plant will go back to work without the
other two
units." McElligott, an employee at Elmira
himself for 21 years and personally involved in the nego-
tiations was asked, based on his discussions, inter alia,
with fellow striking employees and members under his
leadership in the local union what effect the Respond-
ent's separate (unit) proposals had on the strike, if any
He replied, " It made the membership more stronger than
what they were. They were all more determined to stick
together," and "to continue to strike and to continue to
hold together the three units..
.114
Thereafter, until the conclusion in the strike, picketing
employees carried newly painted signs, made by McEll ►-
gott, stating that Facet was charged with unfair labor
practices from around 21 or 22 December until 17 Feb-
ruary. There were some 360 employees at the Elmira
plant and only 300 combined at Madison and Detroit so
that
an agreement
opposed by Elmira unanimously
would not pass, and McElligott testified that Respond-
ent's "separation " proposals were opposed at Elmira.
Respondent's conduct
was calculated by unlawful
threats and coercion to strike at the core of the employ-
ers'
bargaining
representative's source of bargaining
power, the combination in a single bargaining unit of em-
ployees at all three plants, and such conduct foreseeably
therefore would strengthen strikers' resolve to continue
protecting the survival of such unit-since such survival
was linked to the Union's chances of securing a better
" During his testimony, McElligott at first mistakenly placed the occa-
sion when Respondent's efforts to divide the bargaining unit were dis-
cussed with employees as mid-October, but corrected himself shortly
afterward by placing it in December, his correction being rendered in a
spontaneous and candid manner
contract and thus the employees' own best interests in
terms of improved employment conditions; and the way
to protect that interest was to continue the strike, such
reasons for doing so being repeatedly communicated to
Respondent by employees and their representatives. As
has been stated before, "More concrete evidence of
causal connection between a violation and the reason for
a continuation of a strike can hardly be imagined." Gen-
eral Athletic Products Co., 227 NLRB at 1576
The employees were aware of this conduct from 2 De-
cember 1983 through the end of the strike, as detailed
here and as it has been noted with Board approval, and
as the complaint here alleges such conduct "prolonged
the strike" because it frustrated collective bargaining
with the majority representative and caused nothing but
continued and extended conflict disrupting unified action
"by separating one segment of the whole from others."
Tarlas Meat Co., supra at 1405 Further, a careful assess-
ment of the parties' bargaining efforts reveals that at
every turn when a glimmer for possible negotiations
headway arose, the specter of Respondent's unlawful ef-
forts to seek a separate contract resolution for the De-
troit plant dashed the prospects for agreement and I
view the record in the connection, as a whole, further
supports the finding of a causal connection between such
and a prolongation in the strike. Blue Fountain Manor,
270 NLRB 199, 206 and case cited at fn. 14 (1984), in
which it is stated, "the Board has held in numerous cases
that such a connection may be inferred from the record
as a whole." Moreover, the fact that union-granted news
media interviews omit mention of all the causes for a
strike is immaterial, since not shown to have been intend-
ed as a complete explanation for such activity being un-
dertaken. Berbiglia, Inc., 233 NLRB 1476, 1497 (1977).
I find that the strike at all three plants 2 December
1983 until its conclusion became an unfair labor practice
strike-the strike at Madison being an unfair labor prac-
tice strike from its inception on 3 November 1983 and in
the alternative like the situation unitwide, becoming an
unfair labor practice strike on 2 December 1983
Tarlas
Meat Co., supra; Buffalo Concrete, 276 NLRB 839 (1985);
Charles D. Bonanno Linen Service, 268 NLRB 552 (1984);
and Blu-Fountain Manor, supra
Accordingly, by refusing immediate reinstatement to
the striking employees on and after their unconditional
offer to return to work on 17 February 1984 as the
record clearly established, Respondent also violated Sec-
tion 8(a)(1) and (3) of the Act. Kansas Van & Storage Co.,
273 NLRB 855 (1984), Coca-Cola Co. of Memphis, 269
NLRB 1101 (1984); and Charles D. Bonanno Linen Serv-
ice, supra at 552-553
CONCLUSIONS OF LAW
1. Facet Enterpnses, Inc. is an employer engaged in
commerce within the meaning of Section 2(2), (6), and
(7) of the Act.
2. The Union and its Locals 104, 771, and 604 are
labor organizations within the meaning of Section 2(5) of
the Act.
3 Respondent officials as identified hereinabove in the
paragraph on
Agency Status
are supervisors and/or
FACET ENTERPRISES
agents and representatives of Respondent within the
meaning of the Act.
4 The employees described above under the heading
related to this finding constitute a unit appropriate for
the purposes of collective bargaining within the meaning
of Section 9(b) of the Act.
5. At all times material the Union and its locals have
been the designated exclusive representatives of the em-
ployees in the appropriate unit for the purpose of collec-
tive bargaining within the meaning of Section 9(a) of the
Act.
6. By insisting to impasse on the adoption of its pro-
posal concerning the exclusion from the unit of the elec-
tron beam welder classification, a permissive subject of
collective
bargaining,
during
negotiations
with the
Union, Respondent violated Section 8(a)(5) of the Act.
7 Respondent's conduct described above in paragraph
6 was a contributing cause in the strike commencing on
3 November 1983 at the Madison Heights plant, which
thereby was an unfair labor practices strike from its in-
ception.
8. By refusing to furnish the Union with information
concerning (a) the Company's financial status, (b) move-
ment of jobs and machinery from the Detroit plant, and
(c) picket line misconduct, all the foregoing being rele-
vant and necessary to the Union's collective-bargaining
responsibilities, Respondent violated Section 8(a)(5) of
the Act.
9. By engaging in conduct, commencing on 2 Decem-
ber 1983, particularly described above as being calculat-
ed to split off the Detroit plant from the established ap-
propriate bargaining unit Respondent refused to bargain
in good faith with the Union thereby violating Section
8(a)(5) of the Act.
10. Due to Respondent's conduct described above in
paragraph 9, the economic strike at the Detroit and
Elmira plants underway since 7 November, was pro-
longed and thereby converted to an unfair labor practice
strike while the strike at Madison described in paragraph
7 above, for such additional reason, in the alternative
was an unfair labor practices strike due to such conduct
commencing on 2 December 1983
11. By unilaterally changing the employment condi-
tions of its employees as to the established grievance pro-
cedures, number of shop stewards, paid time for repre-
sentational
matters, seniority recall rights, and plant
access, as described in detail above, Respondent further
violated Section 8(a)(5) of the Act
12. By refusing, commencing on 18 February 1984, the
day following their unconditional offer to return to
work, to immediately reinstate unfair labor practice strik-
ers to their old jobs, discharging, if necessary any re-
placements with respect to Madison Heights hired from
the strike's inception, and regarding Detroit and Elmira,
hired after the strikes there were converted to unfair
labor practice strikes (discussed further below in the
remedy section of this decision) Respondent violated
Section 8(a)(1) and (3) of the Act.
13. The aforesaid unfair labor practices affect com-
merce within the meaning of the Act.
14. There is no preponderance in the evidence to es-
tablish that Respondent unlawfully discharged Lemuel
181
Harrison and Sally Dorman or has otherwise violated
the Act.
THE REMEDY
The record contains passing references to relocations
of the Detroit plant to Detroit environs several months
after the strike concluded and the Madison Heights plant
outside Michigan, but these matters were not directly in-
volved in the issues litigated before me, and the full cir-
cumstances were not disclosed. Accordingly, the normal
remedies for Respondent's unfair labor practices are war-
ranted leaving any matter of mitigating circumstances
remedy-wise, to supplementary compliance proceedings
if such is demonstrated to be warranted. It will therefore
be recommended that Respondent cease and desist from
engaging in the aforementioned unfair labor practices,
and to take certain affirmative action including, on re-
quest to bargain in good faith with the Union designed
to effectuate the polices of the Act
Respondent having set in motion unlawful new terms
and conditions of employment,
it
is necessary under
Board law to order restoration of the contractual status
quo ante in the respects noted hereinabove in which Re-
spondent acted unlawfully, to the extent feasible, and
without imposing an unwarranted burden on Respond-
ent
T.M.L. Supply, 258 NLRB 604 (1981); S. Freedman
Electric,
256 NLRB at 432; and Hood Industries,
248
NLRB 597 fn. 3. Included in such remedy it will be rec-
ommended that Respondent make whole its employees
for any loss of pay or other employment benefits that
they may have suffered commencing on 18 February
1984 by reason of Respondent's unilateral changes of its
employees' terms and conditions of employment, as pre-
scribed in Ogle Protection Service, 183 NLRB 682 (1970),
enfd. 444 F.2d 502 (6th Cir. 1971), with interest as com-
puted in Florida Steel Corp., 231 NLRB 651 (1977). E.G.
& G Florida, Inc., 279 NLRB 444 (1986)
Respondent having violated Section 8(a)(1) and (3) of
the Act, when on 18 February 1984, and thereafter, it
unlawfully refused to reinstate unfair labor practice strik-
ers on their unconditional offer to return to work, offer-
ing only to reemploy them when positions became avail-
able by normal attrition among poststrike permanent re-
placements and even then only pursuant to terms and
conditions of employment unlawfully imposed, I shall
recommend Respondent be ordered to offer immediate
reinstatement to all Madison Heights plant strikers to
their former or equivalent positions, discharging any re-
placements hired on or after 3 November 1983 under
terms and conditions of employment of the expired con-
tracts, and to make them whole for wages and other ben-
efits measured under status quo ante conditions, lost by
virtue of Respondent's unlawful conduct. Backpay to the
Madison Heights unfair labor practice strikers refused
lawful reinstatement shall be computed from 17 February
1984, the day of their unconditional offer to return to
work, Exchange Bank, 264 NLRB 823 (1982), with ulti-
mate net loss of earnings being computed as prescribed
in F.
W. Woolworth Co., 90 NLRB 289 (1950), plus inter-
est as set forth in Isis Plumbing Co.,
138 NLRB 716
(1962), and
Florida Steel Corp.,
supra.
Backpay shall
182
DECISIONS OF THE NATIONAL LABOR RELATIONS BOARD
cease on offering such employees reinstatement to their
former or substantially equivalent jobs
PRC Recording
Co., 280 NLRB at 99.
Regarding the Detroit and Elmira plant strikers-and
on the alternative additional theory should such be found
on appeal that they did not become unfair labor practice
strikers until the strike was converted to an unfair labor
practice strike beginning on 2 December 1983 as a result
of Respondent's unlawful efforts to split the bargaining
unit as described above, the Madison Heights plant em-
ployees-the following remedy shall be recommended.
On 17 February 1984, the Union requested uncondi-
tional reinstatement on behalf of all employees who par-
ticipated in the strike begun on 3 November 1983 at
Madison Heights, and 7 November elsewhere. The strike
was converted to an unfair labor practice strike by the
Respondent's violation of Section 8(a)(5) beginning on 2
December 1983. Accordingly, I recommend the Board
require the Respondent to reinstate to their former or
substantially equivalent positions all strikers who were
not permanently replaced before 2 December 1983 with-
out impairment of their seniority and other rights and
privileges. In order to make room for them, the Re-
spondent shall dismiss, if necessary, all persons hired
after 2 December 1983. If, after such dismissal, there are
insufficient positions available for the remaining former
strikers, those positions which are available shall be dis-
tributed among them without discrimination because of
their union membership or activities or participation in
the strike, in accordance with seniority or other nondis-
criminatory practice utilized by the Respondent. Back-
pay for such strikers will be computed from 17 February
1984 until the date of their reinstatement according to
the Isis, Woolworth, and Florida Steel formulas designated
above. Those former strikers who were permanently re-
placed prior to conversion and for whom no employ-
ment is immediately available shall be placed on a prefer-
ential hiring list in accordance with their seniority or
other nondiscriminatory practice utilized by the Re-
spondent, and they shall be reinstated before any other
persons are hired or on the departure of their preconver-
sion replacements See Gulf Envelope Co., 256 NLRB 320
(1981), and Windham Community Memorial Hospital, 230
NLRB 1070 (1977). Ashe Brick Co., 280 NLRB 1383
(1986).
No striking employee, found discharged for
cause, need be reinstated provided that backpay and
other benefits shall be paid to any such employee dis-
charged after 17 February 1984, from that day until date
of lawful discharge. O. R. Cooper & Son, 220 NLRB 287
fn. 1 (1975).
On these findings of fact and conclusions of law and
on the entire record, I issue the following recommend-
ed5
6 If no exceptions are filed as provided by Sec 102 46 of the Board's
Rules 2nd 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
ORDER
The Respondent, Facet Enterprises, Inc.,
Detroit,
Michigan, its officers, agents, successors, and assigns,
shall
1. Cease and desist from
(a) Refusing to bargain in good faith with the Union
by insisting to impasse in negotiations on the adoption of
its proposal to exclude the electron beam welder job
classification from the bargaining unit; refusing to pro-
vide the Union with information relevant and necessary
to the Union's collective-bargaining responsibilities such
as finanical data described herein, information concern-
ing employees disciplined for picket line misconduct, and
information concerning the movement of jobs and ma-
chinery from the Detroit plant.
(b) Refusing to bargain in good faith with the Union
by engaging in conduct designed to split off the Detroit
plant employees from the established bargaining unit,
which is:
All production and maintenance employees em-
ployed by Respondent at its Detroit, Michigan plant
(Fuel
Devices
Division), its
Madison
Heights,
Michigan plant (Filter Products Division) and its
Elmira, New York plant (Motor Components Divi-
sion); but excluding office clerical employees, pro-
fessional employees, guards and supervisors as de-
fined in the Act.
(c) Refusing to bargain in good faith with the Union
by unilaterally changing employment conditions such as
established grievance procedures, the number of shop
stewards, paid time for representative matters, seniority
recall rights, and plant access for employee representa-
tives without notifying, consulting, or bargaining with
the Union as the exclusive representative of its employ-
ees in the appropriate bargaining unit.
(d) Refusing to immediately reinstate Madison Heights
unfair labor practice strikers to their former or substan-
tially equivalent positions of employment discharging, if
necessary, any replacements, and in the circumstances
pertaining to them separately and noted hereinabove De-
troit and Elmira unfair labor practice strikers to their
former or substantially equivalent positions of employ-
ment.
(e) In any like or related manner interfering with, re-
straining, or coercing employees in the exercise of their
rights under Section 7 of the Act
2. Take the following affirmative action necessary to
effectuate the policies of the Act.
(a) Offer immediate and full reinstatement to the Madi-
son Heights unfair labor practice strikers to their former
jobs or, if those jobs no longer exist, to substantially
equivalent positions, without prejudice to their seniority
and other rights and privileges, dismissing if necessary
persons hired on or after 3 November 1983, and make
them whole for any loss of earnings they may have suf-
fered as a result of Respondent's unlawful refusal to rein-
state them, in the manner described in the remedy sec-
tion of the decision.
FACET ENTERPRISES
183
(b) Reinstate and similarly make whole the Detroit and
Elmira unfair labor strikers in the manner described
above in the remedy section of this decision.
(c) On request rescind the above unilateral changes
until such time as the Respondent negotiates in good
faith with the Union to agreement or impasse.
(d) On request, restore the employment benefits herein
found to have been unilaterally changed and make whole
the employees in the above unit for all losses they may
have suffered as a result of Respondent 's changes, with
interest thereon, to be computed as described in the
remedy section of this decision.
(e) On request, recognize and bargain in good faith
with the Union as the exclusive representative of all em-
ployees in the aforesaid appropriate unit and , if an under-
standing is reached , embody such understanding in a
written, signed agreement.
(f) Furnish the Union with information relevant and
necessary to its collective-bargaining responsibilities as
described above.
(g) Preserve and, on request, make available to the
Board or its agents, for examination and copying, all
payroll records, timecards, personnel records and re-
ports, and all other records relevant or necessary to ana-
lyze the amounts due under the terms of this Order.
(h) Post at its Detroit, Madison Heights, and Elmira
plants copies of the attached notice marked "Appen-
dix."s Copies of the notice, on forms provided by the
Regional Director for Region 7, after being signed by
Respondent's authorized representative, shall be posted
immediately on receipt and maintained for 60 consecu-
tive days in conspicuous places, including all places
where notices to employees are customarily posted. Rea-
sonable steps shall be taken by Respondent to ensure that
the notices are not altered , defaced, or covered by any
other material.
(i) In the event that it cannot reasonably be anticipated
that posting alone will suffice to effectuate the purposes
of this Order due to dispersal of employees involved aris-
ing from plant closing,
relocations, or other circum-
stances arising from the passage of time, then Respond-
ent is further ordered to promptly mail copies of the
signed attached notices to the employees involved herein
to their home addresses.
(j) Notify the Regional Director in writing within 20
days from the date of this Order what steps Respondent
has taken to comply.
IT IS FURTHER ORDERED that the complaint be dis-
missed insofar as it alleges violations of the Act other
than those found here.
a 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 Nation-
al Labor Relations Board" shall read "Posted Pursuant to a Judgment of
the United States Court of Appeals Enforcing an Order of the National
Labor Relations Board "