290 NLRB 362
Interstate Material Corp.
362
DECISIONS OF THE NATIONAL LABOR RELATIONS BOARD
Interstate
Material
Corporation
and
Local 786,
Building Material, Lumber, Box Shaving, Roof-
ing
and Insulating,
Chauffeurs,
Teamsters,
Warehousemen and Helpers, and Related Indus-
try Employees, Watchmen and Security Guards
Union, affiliated with the International Brother-
hood of Teamsters, Chauffeurs, Warehousemen
and Helpers of America, AFL-CIO' and Allied
Workers Union Local 101, Party to the Con-
tract. Case 13-CA-25946
July 29, 1988 '
DECISION AND ORDER
BY MEMBERS JOHANSEN, BABSON, AND
CRACRAFT
On May 28,
1987,
Administrative Law Judge
Claude R. Wolfe issued the attached decision. The
Respondent
filed
exceptions
and a supporting
brief,2 and the General Counsel filed a response.
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
record in light of the exceptions and briefs and has
decided to affirm the judge's rulings, findings,3 and
conclusions and to adopt the recommended Order.
' On November 1, 1987, the Teamsters International Union was read-
mitted to the AFL-CIO. Accordingly, the caption has been amended to
reflect that change
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 F.2d 362 (3d Cir. 1951)
We have carefully examined the record and find no basis for reversing
the findings
In accordance with our decision in New Horizons for the Retarded, 283
NLRB 1173 (1987), interest on and after January I , 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 1, 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).
We agree with the judge's finding that the Respondent violated Sec.
8(a)(3) by failing and refusing to recall certain employees from layoff. In
so doing we find that the General Counsel established a prima facie case
and the Respondent failed to demonstrate that its refusal to recall would
have occurred absent its desire to rid itself of Local 786 and perfect its
relationship with Local 101
Wright Line, 251 NLRB 1083 (1980), enfd.
662 F.2d 899 ( 1st Cir. 1981), cert denied 455 U S. 989 (1982) (approved
in NLRB
v.
Transportation Management Corp. 462 U.S 393 (1983)).
However, in so finding, we do not rely on comments made by Rufus
Cook, the Respondent's chief executive officer and counsel , during his
cross-examination of one of the Respondent 's employee/drivers.
Also, although we agree with the judge that the Respondent violated
Sec. 8(a)(2) of the Act, we do not rely on the judge's discussion and ra-
tionale concerning the dues authorization cards . It is well established that
the Act is violated where an employer recognizes and contracts with one
union as its employees' exclusive bargaining representative at a time
when the employer and another union are bound by a current contract
that recognizes that union as the exclusive bargaining representative of
the same employees and thereafter fails and refuses to recognize the latter
union and to honor its contract Ana Colon, Inc, 266 NLRB 611 (1983).
ORDER
The National Labor Relations Board adopts the
recommended Order of the
administrative law
judge and orders that the Respondent, Interstate
Material Corporation, Chicago, Illinois, its officers,
agents, successors, and assigns, shall take the action
set forth in the Order.
Here, the Respondent recognized and contracted with Allied Workers
Union Local 101, although bound to a current contract with Local 786
concerning the Respondent's same group of employees. We find, there-
fore, that by these acts the Respondent violated Sec 8(a)(2).
Sheryl A. Sternberg and Steven L. Sokolow, Esqs., for the
General Counsel.
Rufus Cook and Barbara J. Revak, Esqs ., for the Re-
spondent.
Leonard Samuels Sr., president, and Alvester Samuels, sec-
retary-treasurer, for Allied Workers Union Local 101.
DECISION
CLAUDE R. WOLFE, Administrative Law Judge. This
proceeding was litigated before me at Chicago, Illinois,
on 26, 27, 28, and 29 January 1987 pursuant to charges
filed by Local 786,
Building Material, Lumber, Box,
Shaving, Roofing and Insulating, Chauffeurs, Teamsters,
Warehousemen and Helpers and Related Industry Em-
ployees, Watchmen and Security Guards Union, affili-
ated with the International Brotherhood of Teamsters,
Chauffeurs,
Warehousemen
and
Helpers of America
(Local 786) and complaint and amended complaint issued
on 26 June and 30 July 1986, respectively . It is alleged
that Interstate Material Corporation (Respondent) violat-
ed Section 8(a)(1), (2), (3), and (5) of the National Labor
Relations Act (the Act). Respondent denies the commis-
sion of unfair labor practices. On the entire record,' and
the comparative testimonial demeanor of the witnesses
testifying before me, and after considering the arguments
of the parties during trial and in their posttrial briefs, I
make the following
FINDINGS AND CONCLUSIONS
1. JURISDICTION
The complaint as amended alleges, Respondent admits,
and I find that at all times material to this proceeding,
Respondent, a coporation with offices and places of busi-
ness at 1432 West 32d Street and 9050 South Green
Street, Chicago, Illinois, until in or around January 1986,
and thereafter at 4000 South Cicero Street and 2604
West Fulton Street , Chicago, Illinois, has been engaged
in the business of supplying construction materials, in-
cluding ready-mix concrete, to contractors, and during
the past calendar and/or fiscal year, a representative
i On April 27, 1987, my Order to Show Cause why the record should
not be corrected in numerous respects issued The General Counsel filed
a motion to correct the transcript on 21 April 1987 No response to my
Order has been received , nor has any objection to the General Counsel's
motion been received Accordingly, the official record is corrected in the
particulars set forth in the Order and motion
290 NLRB No. 47
INTERSTATE MATERIAL CORP.
period, in the course and conduct of these business oper-
ations, purchased and received at its Chicago, Illinois fa-
cilities products, goods, and materials valued in excess of
$50,000 from other enterprises located within the State
of Illinois, each of which other enterprises had received
the products, goods, and materials directly from points
outside the State of Illinois and sold goods and services
valued in excess of $50,000 to enterprises located in Illi-
nois, which enterprises were themselves engaged in com-
merce and satisfied the Board 's standards for assertion of
jurisdiction other than the indirect inflow and indirect
outflow standards . On these facts, I conclude and find, as
Respondent admits, that Respondent is now , and has
been at all times material, an employer engaged in com-
merce within the meaning of Section 2(2), (6), and (7) of
the Act.
II. LABOR ORGANIZATION
Local 786 and Allied Workers Union, Local 101
(Local 101) are now, and have been at all times material,
labor organizations within the meaning of Section 2(5) of
the Act.
III. SUPERVISORS AND AGENTS
Rufus Cook and Renee Bradford, Respondent's presi-
dent and vice president, are conceded by Respondent to
be its agents. Respondent further agrees that Andre
Duncan was its director of operations and a statutory su-
pervisor from 29 July 1985 until 20 February 1986, and
that Walter Mays was a statutory supervisor until 24
May 1986. Respondent denies responsibility for any state-
ments made by Duncan or Mays relevant to the matters
before me. The statements and conduct of an employer's
supervisors are attributable to the employer,2 and there
is no evidence Respondent advised its employees that it
was disavowing any statements or conduct of Duncan or
Mays. The statements and conduct of Duncan and Mays
referred to in this decision are therefore attributable to
Respondent.
IV. THE ALLEGED UNFAIR LABOR PRACTICES
A. The Complaint Allegations
1. Respondent violated Section 8(a)(3) and (1) of the
Act by laying off or discharging employees represented
by Local 786 at its 32d Street and Green Street facilities;
by ceasing operations at these facilities and transferring
work performed by these employees to its Cicero Street
and Fulton Street facilities; and by failing and refusing to
recall or reinstate the employees, all because the employ-
ees engaged in statutorily protected activities and in
order to discourage such activities.
2. Respondent violated Section 8(a)(5) and (1) of the
Act by denying Local 786 requests to bargain and with-
drawing recognition from Local 786 since on or about 12
February 1986; and, by Andre Duncan, bypassing Local
786 and, on or about 8 April 1986, bargaining directly
2 See, e.g., NLRB v. Elliott- Williams Co, 345 F 2d 460 (7th Cir 1965),
enfg 143 NLRB 811 (1963).
363
with employees concerning recall, transfers, wages, and
other terms and conditions of employment.
3. Respondent violated Section 8(a)(2) and (1) by rec-
ognizing and entering into a contract with Local 101 as
the bargaining representative of Respondent's employees
at a time when Local 101 did not represent a majority of
the employees.
B. Preliminary Findings
Respondent is a minority business enterprise engaged
in supplying ready-mix concrete to various projects con-
ducted by agencies of the State of Illinois or the city of
Chicago. Commencing in 1983, Respondent operated its
business from leased premises at 1432 West 32d Street
and 9050 South Green Street, Chicago, Illinois. The
State of Illinois and the city of Chicago questioned Re-
spondent's minority status because Respondent was leas-
ing its trucks and equipment, as well as the above prem-
ises, from Prairie Material Sales, Inc. (Prairie) and also
obtained its rock, sand, and cement from Prairie. In the
opinion of the governmental authorities concerned, this
demonstrated
Respondent's lack of independence. To
meet these concerns, Respondent commenced a search
for different premises on which to conduct its business
and contracted in August 1985 to purchase 11 trucks
from Prairie. These trucks were subsequently delivered
to Respondent in late September or early October 1985.
Respondent then secured new premises at 2604 West
Fulton Street, effective
1 January 1986, and at 4000
South Cicero, effective 1 February 1986, by leasing both
locations from Cook Development Company,
another
business headed by Rufus Cook with corporate offices at
1331 South Michigan Avenue, Chicago. Cook Develop-
ment leased the Fulton Street realty and purchased the
ready-mix and related equipment there located from Co-
lonial Brick Co. on 20 December 1985, and has purchase
agreements with third parties on both locations. The
move to a new quarters was not inspired by antiunion
considerations, but resulted from lawful economic con-
siderations unrelated to questions of union representation,
and did not violate the Act as the complaint alleges.
On 26 November
1985, Local 786 filed a petitions
with the Board's Region 13 requesting a representation
election in a unit of Respondent's ready-mix truckdrivers.
A hearing thereon opened on 12 December 1985. The
representatives of Respondent and Local 786 present
stipulated, subject to the agreement of Rufus Cook, Re-
spondent's chief executive officer who was not present,
that a representation election in a unit of all full-time and
regular part-time ready-mix truckdrivers employed by
Respondent at 1432 West 32d Street and 950 South
Green Street, Chicago, Illinois, would be held on 10 Jan-
uary 1986. The hearing was recessed to 18 December
1985 for the purpose of either obtaining the signature of
Rufus Cook to a written election agreement or continu-
ing with the hearing in the event no signature was forth-
coming.
Cook met with Board agent Daniel Murphy and Local
786 Business Agent Salvatore Badami at the Board's Chi-
' Case 13-RC-16800.
364
DECISIONS OF THE NATIONAL LABOR RELATIONS BOARD
cago Offices on 18 December
1985. There Cook and
Badami signed a Stipulation for Certification Upon Con-
sent Election that was recommended by Murphy and ap-
proved by the Regional Director. The appropriate col-
lective-bargaining unit set forth in the stipulation reads as
follows:
Included: All full-time and regular part-time redi-
mix truckdrivers employed by the Employer at its
facilities located at 1432 W. 32nd Street and 9050 S.
Green, Chicago, 11.
Excluded: All office clerical employees, profes-
sional employees, guards and supervisors as defined
in the Act.
Cook credibly testified that he was assured by Board
agent Murphy that the bargaining unit description in the
stipulation meant what it said. Salvatore Badami testified
that the bargaining unit for the election was whatever
was in the stipulation . Cook signed the stipulation. On
the advice of Murphy and Badami that there would be
no need for an election if Respondent entered into a col-
lective-bargaining agreement with Local 786, Cook told
Badami he would enter into such an agreement. Cook
and Badami then proceeded , in different cars, to the of-
fices of Local 786 where Badami introduced Cook to
Walter Hoff, the president of Local 786. Cook gives the
following account of what then transpired:
We started talking . Mr. Hoff pulled out an agree-
ment which was a pre-printed version of what is
here as 1-2 and handed it to me and said , "This is
the agreement, I understand that you are ready to
sign it."
And I said, "That's right, but let me look at it."
And then I looked at it. It took me a few minutes to
go over it. I asked him what happens, because I no-
ticed that first paragraph there that says that the
Northern Illinois Ready-Mix and Materials Associa-
tion's Agreement. I asked him what happens if we
are not a member of the association and we don't
join, and thus as the time we sign it we are an inde-
pendent. As he said, "Refer to the back of the
agreement."
[this referred to] Pages 10 and 11 with the provi-
sions that are there under "Agreement for Adoption
for Non-Association Employers." I had a copy of
the stipulation with me, and I then looked at the
stipulation and asked him what is the bargaining
unit under this agreement... .
Mr. Hoff said , "The bargaining unit is the plants
that-and a non-association employer has at the
time the agreement is signed ." I said, "Well, that's
different from the bargaining unit if it's the associa-
tion because it seems to be the entire association if
you are a member of the association." He said,
"Yes, that's right."
I then told him that we were interested in the
training program for bringing minorities into the in-
dustry and so forth, and asked him about that and
he said they were presently willing to do what was
required to sign an agreement to enable us to get
that.
Q. Was there any other communications between
the two of you?
A. Not that I can recall, no.
Q. At that point, you then signed the agreement?
A. Yes.
Q. After signing the agreement, did you leave the
offices of Local 786?
A. I did. I returned to my own office.
Hoff denies any knowledge of the stipulation when he
met with Cook on 18 December 1985. He does not di-
rectly dispute Cook's version of their conversation, but
states there was no discussion of what the bargaining
unit at Interstate would be . Both men are credible. Hoffs
narrow testimony that there was no discussion of what
the bargaining unit at Interstate would be does not con-
tradict Cook's broad testimony that Hoff told him the
bargaining unit for a nonassociation employer was the
plants the employer had at the time the agreement was
signed . Here we have a question of perspective , and I am
persuaded both men were testifyng to that which they
honestly recalled. What probably happened is that Cook
concluded , quite naturally I believe, that Hoff's com-
ments on the bargaining unit were designed to convey
this was Respondent's bargaining unit , but Hoff, also
quite naturally, denies a specific reference to an "Inter-
state" bargaining unit but not a general reference to bar-
gaining units. There is no evidence Cook advised Hoff of
Respondent's intention to move its operations to other
locations, and I conclude he did not.
The contract signed by Cook and Hoff on December
was an agreement for adoption for nonassociation em-
ployers of Local 786's 1 May 1983 through 30 April
1986 agreement with Northern Illinois Ready Mix and
Materials Association with special grievance procedure
and delinquent payments provisions for nonassociation
employers. Although I am persuaded the parties under-
stood their agreement covered Respondent's ready-mix
drivers, which were the only employees it then had, the
agreement lists ready-mix truck chauffeur; quarry or pit
chauffeur; other truck chauffeur; laborer or other em-
ployee operating fork lift or front end loader; chauffeur
or laborer employed in yards, warehouse , or team track
handling block, brick, and building materials; transit mix
or hopper operator; and transit mix or hopper employer
operating gasoline cranes loading or unloading materials
as the classifications covered thereunder. That Respond-
ent did not then employ some of these classifications
does not alter the fact that the signed agreement is appli-
cable to any employee working in those classifications.'
• I refused to permit Respondent to question Hoff regarding the mean-
ing of certain articles in the collective-bargaining agreement On reflec-
tion, I conclude I made a good ruling but gave a bad reason The articles
speak for themselves and Hons conjectures regarding their meaning
would have no probative weight .
I therefore conclude my ruling was
correct
INTERSTATE MATERIAL CORP.
When the contract was signed , Respondent was en-
gaged in supplying ready-mix concrete to A. N. Ebony
Co., which has the same corporate address and regis-
tered agent as Respondent and was then a subcontractor
on a paving project at Chicago's O'Hare Airport. Re-
spondent employed from 11 to 15 drivers , owned the
same number of trucks, and utilized these trucks and
drivers to pick up ready-mix from a supplier in Des
Plaines, Illinois, and deliver it 'to A . N.
Ebony at
O'Hare. This work was suspended in late December
1985 when Andre Duncan,5 Respondent's director of op-
erations and the direct supervisor of the drivers , called
them all together and told them the work was being
stopped because it was too cold to pour concrete. He
further told them they would be called back and the
work would resume in the spring when the weather
warmed up.
As previously noted, Respondent moved its operations
to 2604 West Fulton and 4000 South Cicero effective 1
January and 1 February 1986, respectively. These newly
obtained facilities required reconstruction for Respond-
ent's
purposes.
To that end,
Duncan offered Willie
Hatter, Itiel Ammi (whose name was Donald Bolding at
the time), Dennis Alford, and other drivers employment
at lesser wages doing labor work readying the Cicero fa-
cility for use. Ammi and Alford accepted the offer.
Ammi worked until 24 January 1986 at $4.50 per hour.
Alford worked until 7 March 1986 , apparently at the
same wage. Throughout the winter , until Duncan left the
position of director of operations in February and after
he became the materials engineer , Duncan had several
conversations with Ammi, Hatter , David Morgan, and
David Canada where they inquired when the job would
start up again and they would be recalled . He responded
to these inquires with the assurance that they would be
called back as soon as Renee Bradford, Respondent's
vice president, authorized it. That Respondent consid-
ered the laid-off drivers to be its laid-off employees and
contemplated recalling them as late as 11 March 1986 is
shown by the minutes of a staff meeting held by Repson-
dent on that date and Duncan's credible explanatory tes-
timony relating to that meeting . The minutes reflect that
in discussing the status of Respondent 's drivers, the par-
ticipants noted, "We have a roster of ten experienced
drivers that have not been called in yet." Duncan, who
was present at the meeting, explains that the "ten experi-
enced drivers" referred to the drivers Respondent
planned on returning to work from layoff, including
Ammi, Hatter, David Morgan , David Canada, and Steve
Canada. Moreover, Walter Mays told David Canada on
several occasions in March 1986 that Canada would be
recalled back to work as soon as the reconstruction of
the Cicero plant was completed . Mays obviously consid-
ered Canada to be a laid-off employee to be recalled.
None of the drivers working for Respondent in 1985
were recalled to work as drivers in 1986 . The statements
to employees by supervisors and management's discus-
sion of their status on 11 March 1986 is sufficient to
show the drivers were not permanently laid off in De-
cember 1985, and did have a reasonable expectation of
4 Duncan was a believable witness whom I credit
365
recall when work resumed in 1986. Respondent proffers
no persuasive reason for its failure to recall its "ten expe-
rienced drivers" referred to in the March 1986 meeting.
The statements of Cook6 during his cross-examination of
David Canada, I of the experienced 10 illustrate that Re-
spondent most likely had no legitimate reason not to
recall the men. That Cook, Respondent's chief executive
officer as well as its attorney , was totally unaware of the
reason Canada was not recalled and therefore sought at
hearing to develop Canada's prior employment history
for the purpose of ascertaining the reason Respondent
did not recall Canada strikes me as highly improbable,
and indicates, in my opinion, an effort to construct a co-
lorable reason where none exists . The failure to proffer a
valid reason for not calling the laid -off drivers, combined
with what appears to be an effort to construct a pretex-
tual reason, warrants an inference that Respondent had
no legitimate reason, and I draw that inference.
Shortly after Respondent's acquisition of the new fa-
cilities, Local 786, by letter of 11 February 1986, advised
Respondent the existing agreement was terminated effec-
tive 1 May 1986, and requested negotiation of a new
The statements were-
By Mr. [Cook]
Q. Mr. Canada , you say that you worked for the Material Service
before you went to work for interstate?
A Yes
Q. How long were you at Material Service?
THE WITNESS: Approximatley six to seven years
By Mr. [Cook]
Q. And you left when, sir?
A. 1983
Q. For what reason did you leave?
A. I got fired
By Mr. [Cook]
Q. What were you fired for?
SHERYL STERNBERG Objection.
JUDGE WOLFE: Sustained.
RUFUS CooK • It is certainly possibly. Judge. that the reason that the
man was not rehired was not a union affiliation. but had something to
do with his prior record I have no way of determining that without being
able to question him.
JUDGE Wot FE. Now, are you telling me that from finding out
from him, whether or not he was ever fired, I can conclude from
that that the company did not call him back for that reason?
RUFUS COOK : I am not saying that-
JUDGE WOLFE . I have to have some affirmative evidence in the
company that that is the reason I don't understand here . All I am
saying, I don't know from this, why he wasn't called back [at] this
juncture. I don't know what reason the company will put forth but it
seems to me that the reason that he was fired someplace else doesn't
make any difference unless the company is prepared to show that he
was, in fact, not called back because of that previous discharge. He
could say, "Yes, I was fired." But the mere fact that he says he was
doesn't mean that is the reason that he wasn't called back. I don't
want to imply any recall rights I mean that he wasn't hired. Let me
put it this way.
RUFUS Coon : My point is this. I don't know this gentleman, I have
never met him and I know nothing about his situation . However, if in
fact, upon investigation, it is determined that the reason for which he
was fired originally from Material Service, was also something that
effected him at interstate and we would have a problem of proof es.
tablishing why he was fired from Materials Service in the first place.
In other words, we would have to call him back as our witness to
simply establish why he was fired from Materials Service. [Emphasis
added.]
366
DECISIONS OF THE NATIONAL LABOR RELATIONS BOARD
agreement to be effective 1 May 1986. The letter also
asked Respondent to advise when negotiation meetings
could be had. Cook testified that Respondent did not
reply to the letter because when he read it he noted it
was signed by Richard Lein, the secretary-treasurer of
Local 786, who was not familiar with the facts of the
stipulation or the agreement between the parties. Cook
continues that he assumed Lein would learn from Hoff
what the provisions of the agreement were and that the
letter was inappropriate.
Respondent recognized and entered into a collective-
bargaining agreement with Local 101 on 2 April 1986
that covers "all individuals other than supervisory , cleri-
cal and management employees" of Respondent, and
contains union-security and checkoff provisions . Accord-
ing to Cook, in late March he received a phone call from
Local 101 officials requesting a meeting to discuss orga-
nizing and representation. He agreed to meet with them.
They then met on 2 April 1986. Cook requested evi-
dence of their majority status . The union representatives
said they had such evidence, but not with them, and
asked for a recess to produce the evidence. Cook agreed.
Later that day they met and, says Cook , presented him
with authorizations signed that very day by a majority of
Respondent's employees and designating Local 101 as
their representative, whereupon Cook, on behalf of Re-
spondent, entered into a collective-bargaining agreement
with Local 101. Leonard Samuels, the president of Local
101, was one of those meeting with Respondent on 2
April 1986. He testified the cards were secured by his
business agent, and he did not personally solicit them.
Neither the business agent nor the employees alleged to
have signed the authorizations testified . No other proof
that the cards were signed by those whose names appear
on them was adduced. The authorizations have therefore
not been properly authenticated and are not probative
evidence of representative status. Stop-N-Go Foods, 279
NLRB 777 (1986).
During the hearing on 27 January 1987, Respondent,
by its counsel Rufus Cook, offered the stipulation that
the employees Respondent considered in the bargaining
unit on 2 April 1986 were Mark Agic, John Weaver Jr.,
Robert Weaver, David Hole, John Ciciora, and Kenneth
Rayon and explained that Stephen McIntire and Edward
Cantrell were temporary employees brought to Chicago
by John Weaver Sr., supervising consultant for Inter-
state, and returned to their place of origin as soon as the
work they were hired for was done . The General Coun-
sel agreed with the stipulation and it was received. Re-
spondent had previously tendered photocopies of six
signed cards authorizing Local 101 to represent the
signer. The cards dated 2 April 1986 bore the names of
Cantrell, Rayon, McIntire, John P. Weaver II, and Wil-
liam Thomas. The sixth card was dated 7 April 1986 and
purportedly signed by Donald Brandy. Record summa-
ries prepared by Respondent show that Brandy was not
employed until 14 May 1986 and Thomas was first em-
ployed on 5 May 1986. Thus neither was an employee on
the dates they purportedly signed cards. Respondent
does not contend they were in the bargaining unit on 2
April 1986, and they obviously were not. Excluding the
cards of Brandy and Thomas, as well as those of McIn-
tire and Cantrell, who were represented by Respondent
to be temporary employees, the cards of Rayon and John
P. Weaver II are all that remain as valid designations by
unit employees. Two is clearly not a majority in a unit of
six.
On 28 January, Cook represented that his stipulation
of the prior day was incorrect because McIntire, Can-
trell, and Henry Little were also in the bargaining unit,
thus expanding the unit to nine employees . In addition,
Cook proffered a card purportedly signed by John Ci-
ciora on 2 April 1986, and represented that it had just
been furnished to Respondent by Local 101. Leonard
Samuels, Local 101 's president, testified that he had, on
the first day of the hearing, 26 January, delivered copies
of authorization cards bearing the signatures of Cantrell,
Rayon, McIntire, and John P. Weaver II to the General
Counsel in response to a subpoena duces tecum requiring
delivery of originals or copies of authorization cards or
other evidence of majority support obtained by Local
101 from Respondent's employees. Samuels further testi-
fied that when he arrived at the hearing he noted there
was a card missing, but went ahead and gave the four to
the General Counsel because that was all he had, but
then, after the second day of trial, procured a copy of a
card signed by Ciciora. The General Counsel objected to
Respondent's withdrawal from its earlier stipulation re-
garding unit composition and to any consideration of the
card of Ciciora.
Regarding unit composition, Cook's original position
that Cantrell and McIntire were temporary was accom-
panied by a convincing recitation of the reasons for their
hire and the duration thereof. The United States Court
of Appeals for the Seventh Circuit long ago held:
[T]he rule, in our judgment, is this : In a real and le-
gitimate controversy, a party should be left within
the knot of his averments in pleadings and admis-
sions in testimony, unless the Court can find an ab-
solute demonstration from other evidence in the
case, or from facts within judicial notice, like the
laws of physics, etc., that under no circumstances
could the averments and admissions be true.?
The Board has also dealt with this problem, noting in
Kroger Co., 211 NLRB 363, 364 (1974), "[I]t is generally
accepted that a stipulation is conclusive on the party
making it and prohibits any further dispute of the stipu-
lated fact by that party or use of any evidence to dis-
prove or contradict it." Cook's poststipulation effort to
include Cantrell and McIntire in the unit for no reason
other than asserted mistake , in the absence of any evi-
dence that would convincingly demonstrate the stipula-
tion is not or could not be true, is not persuasive. Ac-
cordingly, I find and conclude the unit was as stipulated
by Cook on 27 January. It necessarily follows that even
if the cards of Rayon, John Weaver II, and Ciciora be
7 L P. Larson Jr. Ca Y. W. Wrigley Jr. Co., 253 F 2d 914, 918 (7th Cir
1918), cert. denied 248 U.S. 580 (1918); and see John McSain. Inc. v.
United States, 375 F 2d 829, 831 (Ct Cl. 1967). where it states, "A stipu-
lation is a judicial admission binding on the parties making it absent spe-
cial considerations." No such "special considerations" are present in the
instant case
INTERSTATE MATERIAL CORP.
counted, these are not a majority in a unit of six employ-
ees. Parenthetically, I note that Respondent's possession
of authorization assignments
purportedly signed by
Brandy and Thomas before they were employed does
not inspire confidence in the validity of any of the au-
thorizations. Moreover, I have concluded and find that
the drivers laid off in December 1985 had been promised
recall, were considered by Respondent to be its employ-
ees on layoff as late as its managerial meeting in March
1986, had a reasonable expectancy of employment when
the work recommenced in the spring of 1986, and were
and are employees of Respondent awaiting recall on and
after 2 April 1986. None of these laid-off employees au-
thorized Local 101 to represent them so far as the record
shows. Respondent's assertion in its 3 June 1986 letter to
the Board, and in an attachment to its answer to the
complaint, to the effect that Local
101 was a union
whose orientation was predominantly black and was
therefore the choice of the Cicero plant employees who
were predominantly black, is not supported by Respond-
ent's records and Respondent's testimony showing that
although all of its drivers, with the possible exception of
David Morgan, in December 1986 were black, of those
employees contended by Respondent to constitute the
bargaining unit on 2 April 1986, seven were white (Agic,
John Weaver Jr., Robert Weaver, Hole, Ciciora, McIn-
tire, and Cantrell), and only two were black (Rayon and
Little).
Respondent's
misrepresentation
of the racial
makeup of the 2 April 1986 employee complement in
order to support its recognition of Local 101 further
erodes confidence in Respondent's bona fides. For all the
reasons set forth above, I conclude Local 101 did not
enjoy majority status on 2 April 1986.
The first time that concrete was mixed and deposited
into trucks at the Cicero plant for delivery was 4 April
1986. None of Respondent's employees who thereafter
performed work covered by either labor agreement had
been employees in 1985 . Respondent's reasons for prefer-
ring the new employees and the new union over the old
may be found in the statements of John P. Weaver Sr., a
supervising consultant to Respondent who was clearly a
supervisor and agent of Respondent when he made the
statements. As related by Andre Duncan, during a staff
meeting in early spring 1986 it was mentioned that an-
other union was on the scene, and John P. Weaver com-
mented that the people in this union could drive, do
labor work, or do whatever else required and were not
paid Teamsters wages . Weaver agrees that he spoke to
Interstate personnel, including Duncan, about "the Allied
Union" in mid-April after the Local 101
contract was
signed, and expressed the view that connection with that
union gave Respondent the flexibility of using employees
for more than one task and benefited Respondent in
other ways so as to give it a competitive edge. Both wit-
nesses are credited, including those items mentioned by
one but not the other.
By telegram of 5 May 1986, Local 786, by President
Hoff, sent Respondent a telegram reading as follows:
Local Union 786 hereby demands that you immedi-
ately recall all employees covered by our collective
367
bargaining agreement and schedule negotiations re-
garding the successor agreement.
By certified letters of 6 and 7 May 1986, Local 786, by
Salvatore Badami, requested Respondent to schedule a
labor management committee hearing on the grievances
of Ammi and Hatter that asked for their recall to work
and to make them whole for losses. On 12 May 1986,
Respondent, by Vice President Renee Bradford , deliv-
ered the following letter to Walter Hoff:
It is the position of Interstate Material Corpora-
tion that,
pursuant
to the collective-bargaining
agreement between Interstate Material Corporation
and Local #786 of the International Brotherhood of
Teamsters, Interstate is under no obligation to bar-
gain with Local #786 regarding facility locations
other than those bargaining units covered by the
agreement.
In December of 1985, as an offshoot of a pro-
posed consent election, both parties to this agree-
ment stipulated that the bargaining units covered
were Interstate's 1400 West 32nd Street and 9050
South Green Street locations.
Unfortunately, as the result of long and complex
litigation, Interstate has terminated all leases for the
Green Street and 32nd Street locations. Due to the
limitation on location which comprise the bargain-
ing unit covered by the agreement with Local
#786, the contract provisions from this agreement
did not survive Interstate's relocation. Therefore,
the seniority and lay-off provisions, as well as the
agreement itself have no applicability to the new lo-
cations.
In reliance on the stipulation and agreement be-
tween the parties, Interstate has, at the request of its
employees, entered into a labor agreement with an-
other union regarding the facilities at 4000 South
Cicero and 2604 West Fulton , under that union's
authority as exclusive bargaining representative for
the employees within this separate and distinct bar-
gaining unit. As you are aware, Interstate is a black-
owned and operated minority enterprise, and its em-
ployees have chosen to be represented by a union
whose membership, leadership and orientation are
predominantly black. Being mindful of the require-
ments of the City of Chicago that the work-force of
minority companies be at least 51% black, the deci-
sion made by our employees to affiliate with a black
union has positive implications in terms of aiding
Interstate's efforts to comply with the City require-
ments. In any case, the choice of a union was solely
up to our employees, and they made their choice.
We appreciate the fine working relationship we
have had with Local #786. Since we and a number
of other minority businessmen are interested in ex-
panding possible sources of financing for minority
businesses, we would appreciate the opportunity to
talk with the leadership of your union regarding
possible pension fund loans. The lack of such loans,
and the failure of predominantly white unions to ad-
dress minority problems of this type, is one of the
368
DECISIONS OF THE NATIONAL LABOR RELATIONS BOARD
reasons why black unions with black orientation are
considered desirable by employees such as ours.
Again, we would welcome the opportunity to dis-
cuss this aspect of the matter with you.
Respondent then, on 20 May 1986, dispatched the fol-
lowing letter to Salvatore Badami regarding the griev-
ances:
Pursuant to your written notice to Interstate,
dated February 11, 1986, Local 786 terminated its
collective bargaining agreement with Interstate, ef-
fective May 1, 1986.
As I explained in my May 12, 1986 letter to your
president, Mr. Hoff, the plant locations covered by
this agreement are no longer operated by Interstate.
The bargaining unit covered by this agreement was,
as stipulated, location-specific. Therefore the agree-
ment, which was terminated at your request, is not
subject to re-negotiation , and its provisions, includ-
ing grievance procedures, are no longer in effect.
Although these two men may have been covered
by the expired contract, at no time did either of
them approach their former supervisors or any
other agent of Interstate prior to the April 30, 1986
contract termination date . The first occasion Inter-
state had to become aware of the grievances was
upon receipt of the written grievance reports,
almost two weeks after expiration of the contract.
As such, their grievances of May 6 and 7 are im-
proper both in substance and procedure since there
was no contract in effect at the time these were first
brought to Interstate's attention.
In sum, Mr. Badami, for the above-cited reasons
it is our position that the Labor Management Com-
mittee has no authority or jurisdiction to issue any
decision binding on Interstate in this matter.
Further, as you are well aware, the same issue re-
garding the appropriate bargaining unit has been
raised by yourself with the NLRB . It would seem
reasonable on both of our parts to suspend action
regarding a Committee hearing pending the deter-
minaton by the NLRB.
Hoff wrote to Respondent on 1 August 1986 as fol-
lows:
Enclosed you will find the current "Ready Mix
Material" contract, in duplicate. On Page 11-
Agreement of Adoption for Non-Association Em-
ployer, please fill in the exact name of your compa-
ny and the addrees , date and sign both contracts, in-
dicating the title of the person signing. Please return
the two signed contracts to us for my signature and
I will sign them and return one for your files.
The record contains no evidence of any further com-
munications between Local 786 and Respondent.
C. Concluding Findings
The collective-bargaining agreement signed by Cook
and Hoff on 18 December 1985 did not expire on its
terms until 30 April 1986. During that period Local 786
enjoyed an irrebuttable presumption of majority status in
the unit of employees covered by that agreement,8 and a
rebuttable
presumption thereafter. 9
The presumption
continues unrebutted by the evidence before me. Cook,
an attorney, examined the agreement before he signed it.
As he notes, "It took me a few minutes to go over it."
How minutely he examined the document is a matter of
speculation, but he raised no question regarding the job
classifications covered . This is perhaps understandable
because it appears that the only employees Respondent
had at the time were drivers inasmuch as it purchased its
cement from other employees who delivered it directly
to the ready-mix trucks owned by Respondent and from
here it was dispensed to A. N. Ebony employees. There
is, however, no indication that Hoff made any effort to
mislead Cook regarding the type of employees to be cov-
ered by the agreement, or that Cook had any objection
to the job classification so covered. Respondent's conten-
tion is quite different . Simply put, Respondent asserts the
unit set forth in the Stipulation for Certification Upon
Consent Election was confined to the 32d Street and
South Green Street locations, and therefore limited the
application of the signed collective-bargaining agreement
to those locations.
Respondent's contention is based on an erroneous con-
clusion that the stipulation and the collective-bargaining
agreement with Local 786 are an integrated agreement.
Contrary to Repsondent's posttrial brief, neither the exe-
cution of nor Regional Director's approval of the stipula-
tion means that "Local 786 is certified by NLRB as the
collective bargaining agent for `all full time and regular
part-time red[i]-mix truck drivers employed by employer
at its facilities located at 1432 West 32nd Street and 9050
South Green, Chicago, Illinois." The stipulation on its
face is simply a stipulated agreement by the parties there-
to to proceed to a secret -ballot election among Respond-
ent's employees in an agreed-on unit at an agreed-on
time and place for the purpose of determining whether a
majority of those employees wanted to be represented by
Local 786 for purposes of collective bargaining. The
Board issues no certification of representation unless the
union party to such a stipulation receives a majority of
the valid votes cast by the unit employees in the election
provided for in the stipulation . In short, without a union
election victory there is no union certification by the
Board. The Board agent truthfully advised Cook of an
option available to him , and Cook, on behalf of Respond-
ent, elected to recognize Local 786 rather than to utilize
the Board's election processes . When he did so, no ques-
tion concerning representation remained to be resolved
by the election, which was the purpose of the stipulation.
The stipulation was therefore rendered a nullity with no
legal force or effect. The correct advice given to Cook
by Board Agent Murphy, with which Badami agreed,
that the bargaining unit in the stipulation meant what it
said cannot be construed as either an agreement by the
parties or Board assurance that the unit stipulated for
purposes of a Board-conducted election would control
8 See, e g , BASF- Wyandotte Corp., 276 NLRB 498, 504 (1985)
9 Burger Pits. Inc, 273 NLRB 1001 (1984)
INTERSTATE MATERIAL CORP.
the composition of an employee unit in a collective-bar-
gaining agreement voluntarily entered into in lieu of uti-
lizing the Board's election processes . Moreover, neither
the comments about the stipulation unit by Murphy and
Badami, nor the discussion between Hoff and Cook re-
garding the coverage of the collective-bargaining agree-
ment are sufficient to vary or contradict the content of
the written and signed contract between Respondent and
Local 786. There is no persuasive evidence that agree-
ment is not complete and accurate on its face, and exami-
nation of the document reveals no ambiguities or other
basis to warrant the use of oral testimony to explain its
clear terms. The well-established rule that all prior oral
understandings on the agreement are presumed to be
merged in the final written agreement of the parties1' is
clearly applicable to the instant case . I therefore find that
the collective-bargaining agreement Respondent execut-
ed with Local 786 on 18 December 1985 accurately and
completely sets forth the agreements of the parties re-
garding all items, including the job classifications of em-
ployees covered, contained therein . I further specifically
find there was no agreement to limit the coverage of the
contract, which contains no limitation of the bargaining
unit to specific locations, to Respondent's employees lo-
cated at 1432 West 32d Street and 9050 South Green
Street. t'
The absence of geographical limitation does not com-
pletely answer the question of the contract's applicablity
to new locations, specifically the Cicero facility where
Respondent's ready-mix operation is now in progress.' a
The applicable rule in relocation cases has been succinct-
ly expressed in Westwood Import Co.,13 as follows:
[A]n existing and effective collective-bargaining
agreement remains in effect following a relocation,
provided operations and equipment remain substan-
tially the same at the new location , and a substantial
percentage of the employees at the old plant trans-
fer to the new location.
The only real change in operations as a result of the re-
location to the Cicero facility is that Respondent's em-
ployees, rather than those of a supplier, now prepare and
load the ready-mix into the trucks for delivery. There is
no substantial change in either operations or equipment.
The preparation and loading of cement at the abandoned
facilities would not have changed the bargaining unit,
and the performance of this work with the accompany-
ing operation of the necessary equipment at the Cicero
plant has no impact on the bargaining relationship. 14
Ready-mix trucks remain ready-mix trucks doing the
same type work, and there simply is no showing of any
substantial change in equipment. A substantial percentage
10 Petersen & Lytle, 60 NLRB 1070, 1071 In. 1 (1945).
11 The designation of these locations in the stipulation would not, even
if relevant, confine recognition to those locations. Molded Acoustical Prod-
ucts, 280 NLRB 1394 (1986 ). and cases cited
is There is no indication in the record that any relevant operations are
being conducted at the Fulton Street facility
is 251 NLRB 1213, 1214 (1980), enfd. 681 F.2d 664 (9th Cir 1982).
i4 Drukker Communications, 258 NLRB 734, 747 (1981); Paper Mfrs.
Co., 274 NLRB 491 (198$), International Paper Co., 150 NLRB 1252,
1259 (1965)
369
of employees at the old facility obviously were not re-
called to the Cicero facility. They did, however, remain
employees of Respondent with a reasonable expectancy
of recall, and have never, as far as the record shows,
been told by Respondent they are no longer its employ-
ees. They continue to be employees on layoff and the re-
fusal to recall them is alleged to be an unfair labor prac-
tice. Direct evidence of unlawful motivation is not to be
found in this case. This is not surprising because such
evidence is rarely available to the finder of fact who
must therefore often rely on circumstantial evidence and
legitimate inference from the record as a whole.15 The
record does, I believe, reveal sufficient evidence to war-
rant a finding the failure to recall was unlawfully moti-
vated.
As late as 11 March 1986 Respondent treated the laid-
off drivers as employees awaiting recall. This is consist-
ent with the repeated assurances by Duncan and Mays
that recall would coincide with the resumption of con-
crete delivery in the spring. Concrete delivery resumed
on 4 April 1986. None of the laid-off drivers were re-
called, instead Respondent initially utilized individuals as
drivers who were hired to rehabilitate the facility, and
then hired two new employees in April, 13 in May, 5 in
June, 6 in July, 5 in August,
1 in September, and 2 in
October 1986, but not one of its "ten experienced driv-
ers" on layoff. Respondent does not begin to convincing-
ly explain why this was so, nor what type of work those
it did hire performed . Cook's comments during his exam-
ination of Canada show a conscious effort by Respond-
ent to find a pretextual reason for failure to recall him,
and, as I have found, provide reason to infer the true
reason was unlawful . The failure to proffer reasons for
the failure to recall others also warrants an inference Re-
spondent had no valid reason to so do. Some of these
new hires were surely drivers, given the fact Respondent
had 11 to 15 trucks and by its own count 9 employees,
including batchman Agic, at most, and the further fact
that the sale and delivery of ready-mix concrete was
what the business was all about. Accordingly, I conclude
there was work available for the laid-off men. Why then
were they not recalled? Consideration of all the evidence
in the light of logical probability and common sense
leads me to the following conclusions. Cook well knew
when he contracted with Local 786 that the Respondent
was about to transfer its operations to other locations.
He did not tell Hoff this because he erroneously believed
a mere change of location would relieve Respondent of
its bargaining obligation. When Local 786, by Lein, its
secretary treasurer, requested negotiations in a letter of
11 February 1986, Respondent simply ignored it. I do
not credit Cook's testimony that he did not reply because
he assumed Hoff would tell Lein that the letter was inap-
propriate. This explanation was not convincing when I
heard it, and I think it more likely Cook had already de-
cided, even though the drivers were still Respondent's
employees, not to bargain further with Local 786. When
Respondent elected to ignore the 11 February 1986 re-
'S See, e.g., Irwin County Electric Membership Cooperative, 247 NLRB
1357, 1363 ( 1980); Shattuck Denn Mining Corp. v. NLRB, 362 F.2d 466,
470 (9th Or 1966).
370
DECISIONS OF THE NATIONAL LABOR RELATIONS BOARD
quest to bargain, it refused to bargain in good faith as re-
quired by the Act and therefore violated Section 8(a)(5)
and (1) of the Act.16 What happened between 11 March
1986 and Respondent's recommencement of ready-mix
delivery to cause "ten experienced drivers" on layoff not
to be recalled or claimed as employees? The answer, I
conclude is that Respondent, on being made aware of
Local 10l's organizing efforts in March 1986 , as Cook
testifies it did, and looking toward restarting its ready-
mix operation in April , decided, for the reasons Weaver
Sr. explained later in April , that Local 101 should be cul-
tivated. To that end, Respondent invited Local 101 to
meet and show their degree of employee support. When
the Local 101 representatives showed up on 2 April,
they had no evidence of support with them . After re-
questing and receiving a recess, they apparently returned
with authorization cards purporting to bear employee
signatures. Strangely, the cards on which Respondent
seeks to rely as a basis for recognition are dated that
very day, which suggests Local 101 had no proof of em-
ployee support prior to 2 April and gives rise to a suspi-
cion that the completed cards came into being during the
recess. Not one card has been shown to be signed by the
person whose name it bears, and they are therefore in-
valid as unauthenticated. Moreover, the purported execu-
tion of authorization cards by Brandy and Thomas
before they were employed is a further reason to suspect
all the cards presented were invalid . The evidence dic-
tates a conclusion that Respondent recognized and en-
tered into a contract with Local 101, which included
union-security and checkoff provisions, at a time Local
101 did not represent a majority of Respondent's em-
ployees in a unit appropriate for collective bargaining,
and at a time when Respondent had a collective -bargain-
ing agreement with Local 786 covering those employees,
and by so doing assisted Local 101 in violation of Sec-
tion 8(a)(2) and (1) of the Act. Ladies Garment Workers
v. NLRB, 366 U.S. 731 (1961 ); Carbonex Coal Co., 262
NLRB 1306 (1982).
Turning to the issue of failure to recall , it must first be
noted that the absence of specific evidence of intent to
discourage union membership does not mean no violation
of Section 8(a)(3) of the Act can be found . As expressed
by the Supreme Court of the United States in Radio Of-
cers v. NLRB, 347 U.S, 17, 45 (1954):
[A]n employer's protestation that did not intend to
encourage or discourage must be unavailing where
a natural consequence of his action was such en-
couragement or discouragement. Concluding that
encouragement or discouragement will result, it is
presumed that he intended such consequence.
The Court further stated (at 51):
Encouragement and discouragement are "subtle
things" requiring "a high degree of introspective
perception." Cf. NLRB v. Donnelly Garment Co.,
330 U.S. 219, 231.
Respondent, by assisting and thereby encouraging mem-
bership in Local 101, discouraged membership in Local
786. This conduct, together with what I perceive to be
an attempt to perfect its relationship with Local 101 and
assure the absence of employment for Local 786 by
hiring new employees and refusing to recall the laid-off
Local 786 employees was, I conclude, designed to dis-
courage membership in Local 786, a predictable result, as
well as encourage membership in Local 101 . The refusal
to recall therefore violated Section 8(a)(3) and (1) of the
Act. The laid-off drivers remain Respondent's employees
who should have been recalled to the Cicero plant. The
Westwood Import requirement that a substantial percent-
age of old plant employees transfer to the new plant
would therefore have been met in the absence of Re-
spondent's unfair labor practices. Accordingly,
Local
786's collective-bargaining agreement was applicable to
the Cicero facility, and Respondent refused to bargain in
violation of Section 8(a)(5) and (1) of the Act when it
refused, by letters of 12 and 20 May 1986 as well as by
its refusal to respond to Local 786's 11 February 1986
letter, to negotiate with Local 786.
As the General Counsel concedes, there is no evidence
Andre Duncan bargained directly with employees on or
about 8 April 1986 as the complaint alleges. The error on
the date is not significant if, as the General Counsel con-
tends, Duncan bargained directly with employees in De-
cember 1986 and February and March 1986.17 Duncan's
responses to employee inquiries regarding the possible
day they would be recalled were innocent, and so far as
the record shows, truthful estimations bereft of any bar-
gaining element . He neither did nor said anything with
regard to transfers or "other terms and conditions of em-
ployment" other than to advise them there was labor
work available at less than the contract rate , but by so
advising them, and by employing two at less than con-
tract rates Duncan did , as Respondent's agent, engage in
direct bargaining with the employees in violation of Sec-
tion 8(a)(5) and (1) of the Act.
CONCLUSIONS OF LAW
1. Respondent is an employer engaged in commerce
within the meaning of Section 2 (2), (6), and (7) of the
Act.
2. Local 786 and Local 101 are labor organizations
within the meaning of Section 2(5) of the Act.
3. The following employees of Respondent constitute a
unit appropriate for the purposes of collective-bargaining
within the meaning of Section 9(b) of the Act:
All full time and regular part time employees em-
ployed by Respondent in the following work classi-
fications: Ready Mix Truck Chauffeur; Quarry or
Pit Chauffeur; Other Truck Chauffeur; Laborer or
other employee operating Fork Lift or Front End
Loader; Chauffeur or Laborer employed in yards,
warehouse or team truck handling Block, Brick and
Building materials; Transit Mix or Hopper Opera-
16 Hassell Maintenance Corp, 260 NLRB 1211, 1217 (1982).
1 7 See, e g, Om,co Plastics, 184 NLRB 767, 770 ( 1970).
INTERSTATE MATERIAL CORP.
tor; and Transit Mix or Hopper Employee operat-
ing gasoline cranes loading or unloading materials.
4. Local 786 is the exclusive representative of the em-
ployees in the unit described in paragraph 3, above, for
the purposes of collective bargaining with respect to
rates of pay, wages, hours of employment, and other
terms and conditions of employment.
5. By refusing to bargain with and withdrawing recog-
nition from Local 786,
Respondent violated Section
8(a)(5) and (1) of the Act.
6. By bypassing Local 786 and bargaining directly
with employees regarding wages, Respondent violated
Section 8(a)(5) and (1) of the Act.
7. By recognizing, bargaining with, and executing a
collective-bargaining agreement covering the unit of em-
ployees above described and containing a union-security
clause with Local
101
notwithstanding the fact that
Local 101 did not represent a majority of the employees
and the employees were covered by a collective-bargain-
ing agreement between Respondent and Local 786, Re-
spondent assisted and supported Local 101 in violation of
Section 8(a)(2) and (1) of the Act, thereby encouraging
membership in Local 101 and discouraging membership
in Local 786.
8. By failing and refusing to recall its laid-off drivers
for the purpose of discouraging membership in Local
786, Respondent violated Section 8(a)(3) and (1) of the
Act.
9. Respondent's layoff of drivers in December 1985
has not been shown by a preponderance of the credible
evidence to be violative of the Act, nor has its transfer
of unit work to different locations.
10. The aforesaid unfair labor practices affect com-
merce within the meaning of Section 2(6) and (7) of the
Act.
THE REMEDY
In addition to the usual cease-and-desist and notice-
posting requirements, Respondent will be required to
withdraw and withhold recognition of Local 101 as the
collective-bargaining representative of its employees, and
reimburse all former and present employees for dues, as-
sessments, and other moneys, if any, paid by or withheld
from them pursuant to the union-security and dues-
checkoff provisions of the aforementioned collective-bar-
gaining agreement, together with interest thereon. Verni-
tron Electrical Components, 221 NLRB 464 (1975), enfd.
548 I=.2d 24 (1st Cit. 1977).
Respondent shall be further ordered to meet and bar-
gain with Local 786 on request, reducing any agreements
reached to a signed document, and to reinstate and make
those ready-mix drivers laid off in December 1985 whole
for any loss of earnings suffered as a result of Respond-
ent's unlawful failure and refusal to recall them, the
backpay interest thereon to be computed in the manner
prescribed in F.
W. Woolworth Co., 90 NLRB 289 (1950),
and Florida Steel Corp., 231 NLRB 651 (1977).18
18 See generally his Plumbing Co., 138 NLRB 716 (1962).
371
The visitatorial clause requested by the General Coun-
sel appears unnecessary in the circumstances of this case.
On these findings of fact and conclusions of law and
on the entire record, I issue the following recommend-
ed1e
ORDER
The Respondent, Interstate Material Corporation, Chi-
cago, Illinois, its officers, agents, successors, and assigns,
shall
1. Cease and desist from
(a) Discouraging membership in Local 786, or any
other labor organization, by failing and refusing to recall
employees from layoff.
(b) Assisting or contributing support to Local 101 by
recognizing or bargaining with such labor organization
as the exclusive representative of its employees for the
purposes of collective bargaining unless and until Local
101 is certified by the Board as the collective-bargaining
representative of the employees pursuant to Section 9(c)
of the Act.
(c) Maintaining or giving any force or effect to the
collective-bargaining agreement between the Respondent
and Local 101 effective 2 April 1986, or any extention or
modification thereof; provided, however, that nothing in
this Order shall authorize or require the withdrawal or
elimination of any wage increase or other benefits , terms,
and conditions of employment that may have been estab-
lished pursuant to the performance of that contract.
(d) Withholding from the pay of any of its employees
union dues or other union fees or assessments that have
been deducted on account of any obligation of member-
ship in Local 101, and paying to Local 101 any dues,
fees, or assessments that have been deducted from the
pay of its employees.
(e) Refusing to bargain in good faith with Local 786 as
the representative of its employees in the appropriate
unit described above for the purpose of dealing with Re-
spondent concering grievances, labor disputes, wages,
rates of pay, hours of employment, or other conditions of
work.
(f) Bypassing Local 786 and bargaining directly with
employee members of the unit represented by Local 786
regarding wages or other working conditions.
(g) In any like or related manner interfering with, re-
straining, or coercing employees in the exercise of the
rights guaranteed them by Section 7 of the Act.
2. Take the following affirmative action necessary to
effectuate the policies of the Act.
(a) Withdraw and withhold all recognition from Local
101 as the representative of its employees for the purpose
of collective bargaining unless and until Local 101 is cer-
tified by the Board as the collective-bargaining repre-
sentative of the employees pursuant to Section 9(c) of
the Act.
19 If no exceptions are filed as provided by Sec . 102.46 of the Board's
Rules and Regulations,
the findings,
conclusions,
and recommended
Order shall, as provided in Sec 102 48 of the Rules , be adopted by the
Board and all objections to them shall be deemed waived for all pur-
poses
372
DECISIONS OF THE NATIONAL LABOR RELATIONS BOARD
(b) Reimburse all former and present employees for all
initiation fees, dues, assessments, and other moneys, if
any, paid by or withheld from them on account of any
obligation of membership in Local 101 in the manner
provided in the remedy section of this decision.
(c) On request, bargain with Local 786 as the exclusive
representative of all employees in the unit described
below with respect to rates of pay, wages, hours of em-
ployment, and other conditions of employment, and, if
an understanding is reached, embody such understanding
in a written, signed agreement:
All full time and regular part time employees em-
ployed by Respondent in the following work classi-
fications: Ready Mix Truck Chauffeur; Quarry or
Pit Chauffeur; Other Truck Chauffeur; Laborer or
other employees operating Fork Lift or Front End
Loader; Chauffeur or Laborer employed in yards,
warehouse or team track handling Block , Brick and
Building materials; Transit Mix or Hopper Opera-
tor; and Transit Mix or Hopper Employee operat-
ing gasoline cranes loading or unloading materials.
(d) Offer in writing immediate employment , without
prejudice to any seniority or other rights and privileges,
to each of the ready-mix drivers of Respondent who
were laid off in December 1985 and whom it could have
employed but declined to employ on or about 4 April
1986 and thereafter, if necessary replacing employees
who had not been employed by Respondent on 18 De-
cember 1985 but who were hired by the Respondent
after that date, such employment to be offered for the
classifications, at the rates, and under the conditions pre-
viously enjoyed by the laid -off drivers, and make the
truckdrivers whole for any loss of pay they may have
suffered by reason of Respondent's unlawful failure to
recall them when ready-mix delivery resumed in April
1986. The backpay and interest thereon shall be comput-
ed in the manner set forth in the remedy section of this
decision.
(e) Preserve and, on request, make available to the
Board or its agents for examination and copying, all pay-
roll records, social security payment records, timecards,
personnel records and reports, and all other records nec-
essary to analyze the amount of moneys due under the
terms of this Order.
(f) Post at is corporate offices at 1331 South Michigan
Street, Chicago, Illinois, and its facilities at 4000 South
Cicero Street and 2604 West Fulton Street, Chicago, Illi-
nois, copies of the attached notice marked
"Appen-
dix."20 Copies of the notice, on forms provided by the
Regional Director for Region 13, after being signed by
the
Respondent's
authorized representative ,
shall
be
posted by the Respondent immediately upon receipt and
maintained for 60 consecutive days in conspicuous places
including all places where notices to employees are cus-
tomarily posted . Reasonable steps shall be taken by the
20 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 Relation-, Board " shall read "Posted Pursuant to a Judgment of
the United States Court of Appeals Enforcing an Order of the National
Labor Relations Board "
Respondent to ensure that the notices are not altered, de-
faced, or covered by any other material.
(g) Notify the Regional Director in writing within 20
days from the date of this Order what steps the Re-
spondent has taken to comply.
APPENDIX
NOTICE To EMPLOYEES
POSTED BY ORDER OF THE
NATIONAL LABOR RELATIONS BOARD
An Agency of the United States Government
WE WILL NOT discourage membership in Local 786,
Building Material, Lumber, Box Shaving, Roofing and
Insulating, Chauffeurs, Teamsters, Warehousemen and
Helpers, and Related Industry Employees, Watchmen
and Security Guards Union, affiliated with the Interna-
tional Brotherhood of Teamsters , Chauffeurs, Warehou-
semen and Helpers of America, AFL-CIO or any other
labor organization by failing and refusing to recall em-
ployees from layoff.
WE WILL NOT assist or contribute support to Allied
Workers Union Local 101 by recognizing or bargaining
with that labor organization as the exclusive representa-
tive of its employees for the purposes of collective bar-
gaining unless and until Allied Workers Union Local 101
is certified by the Board as the collective-bargaining rep-
resentative of the employees pursuant to Section 9(c) of
the Act.
WE WILL NOT give effect to our 2 April 1986 contract
with Allied Workers Union Local 101 or to any renewal,
extension, modification, or supplement thereof, but we
are not authorized or required to withdraw or eliminate
any wage rates or other benefits, terms, and conditions of
employment that we have given to our employees under
the contract.
WE WILL NOT withhold from the pay of any of our
employees union dues or other union fees or assessments
that have been deducted on account of any obligation of
membership in Allied Workers Union Local 101 and we
will not pay to the Union, any dues, fees, or assessments
that have been deducted from the pay of our employees.
WE WILL NOT refuse to bargain in good faith with
Local 786,
Building Material,
Lumber,
Box Shaving,
Roofing and Insulating, Chauffeurs, Teamsters, Ware-
housemen and Helpers, and Related Industry Employees,
Watchmen and Security Guards Union , affiliated with
the International Brotherhood of Teamsters, Chauffeurs,
Warehousemen and Helpers of America, AFL-CIO as
the representative of our employees in an appropriate
unit for the purpose of dealing with us concerning griev-
ances, labor disputes, wages, rates of pay , hours of em-
ployment, or other conditions of work.
WE WILL NOT bargain directly with employees in the
unit
represented
by
Local 786,
Building
Material,
Lumber, Box Shaving, Roofing and Insulating, Chauf-
feurs, Teamsters, Warehousemen and Helpers, and Relat-
ed Industry Employees Watchmen and Security Guards
Union, affiliated with the International Brotherhood of
Teamsters, Chauffeurs, Warehousemen and Helpers of
INTERSTATE MATERIAL CORP.
America, AFL-CIO regarding wages or other working
conditions.
WE WILL NOT in any like or related manner interfere
with, restrain, or coerce you in the exercise of the rights
guaranteed you by Section 7 of the Act.
WE WILL withdraw and withhold all recognition from
Allied Workers Union Local 101 as the representative of
our employees for purposes of collective
bargaining
unless and until the Union is certified by the Board as
the collective-bargaining representative of the employees
pursuant to Section 9 (c) of the Act.
WE WILL reimburse all our employees, former and
present, for dues and other moneys unlawfully exacted
from them under our contract
with Allied Workers
Union Local 101.
WE WILL on request, bargain collectively with Local
786, Building Material, Lumber, Box Shaving, Roofing
and Insulating, Chauffeurs, Teamsters, Warehousemen
and Helpers, and Related Industry Employees, Watch-
men and Security Guards Union, affiliated with the
International
Brotherhood of Teamsters, Chauffeurs,
Warehousemen and Helpers of America, AFL-CIO as
the exclusive bargaining representative of all the employ-
ees in the bargaining unit described below with respect
to rates of pay, wages, hours of employment, and other
conditions of employment , and, if an understanding is
373
reached, embody that understanding in a written, signed
agreement. The bargaining unit is:
All full time and regular part time employees em-
ployed by us in the following work classifications:
Ready Mix Truck Chauffeur; Quarry or Pit Chauf-
feur; Other Truck Chauffeur; Laborer or other em-
ployee operating Fork Lift or Front End Loader;
Chauffeur or Laborer employed in yards, ware-
house or team track handling Block, Brick and
Building materials; Transit Mix or Hopper Opera-
tor; and Transit Mix or Hopper Employee operating
gasoline cranes loading or unloading materials.
WE WILL offer reinstatement to our ready-mix driver
employees who were laid off in December 1985, and
whom we could have employed but declined to employ,
if necessary replacing employees who had not been em-
ployed by us on 18 December 1985, but who were hired
by us after that date, such employment to be offered for
the classifications, at the rates, and under the conditions
pertaining to these ready-mix drivers on 18 December
1985, and WE WILL make them whole for wages lost as a
result of our unlawful failure to recall them , with interest
computed thereon.
INTERSTATE MATERIAL CORPORATION