292 NLRB 121
Retail Delivery Systems, Inc
RETAIL DELIVERY SYSTEMS
Retail Delivery Systems, Inc and Teamsters, Chauf
feurs,
Warehousemen,
Industrial
and
Allied
Workers of America, Local 166, AFL-CIO i
Case 31-CA-15059
December 30, 1988
SUPPLEMENTAL DECISION AND
ORDER
BY CHAIRMAN STEPHENS AND MEMBERS
JOHANSEN AND CRACRAFT
On March 31, 1987, Administrative Law Judge
Earldean V S Robbins issued the attached supple
mental decision
The Respondent filed exceptions
and a supporting brief, and the General Counsel
filed an answering brief
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,2 findings,3
and conclusions and to adopt the recommended
Order
ORDER
The National Labor Relations Board adopts the
recommended Order of the administrative law
judge and orders that the Respondent, Retail De-
livery Systems, Inc, San Bernardino, California, its
i 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 judge advised the Respondents counsel that he could request a
continuance in response to the Respondents objection to the extension of
the backpay specification to include the disputed period in which the Re
spondent alleged the employee was legitimately suspended The Respond
ent s counsel did not make such a request and we adopt the judges
ruling
a The Respondent has excepted to some of the judge s credibility find
rags 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
The Respondent s reliance on NLRB P Flite Chief Inc
640 F 2d 989
991 (9th Cir 1981 ) is misplaced In that case the court refused to enforce
the Board s Order and found that the discriminatee had intentionally con
cealed interim earnings
However in that case the administrative law
judge totally discredited the discnminatee s testimony and found that the
discrimmatee s failure to report $8000 of interim earnings earned in four
different jobs
which involved steady work for periods ranging from I
month to as long as 7 months amounted to a willful concealment of inter
im earnings To the contrary in this case the judge credited Mayer s tes
timony that it simply had not occurred to him to list on the compliance
forms sporadic odd jobs he had held for short periods of time for which
he had never even been on an employers payroll and for which his total
earnings were $900
When it came to Mayer s attention that he should
have listed this income he informed counsel for the General Counsel and
the backpay specification was adjusted
121
officers, agents, successors, and assigns, shall take
the action set forth in the Order 4
4 In accordance with our decision in New Horizons for the Retarded
283 NLRB 1173 (1987) interest on and after January 1 1987 shall be
computed at the short term Federal rate for the underpayment of taxes
as set out in the 1986 amendment to 26 US C § 6621 Interest on
amounts accrued prior to January 1 1987 (the effective date of the 1986
amendment to 26 U S C § 6621) shall be computed in accordance with
Florida Steel Corp
231 NLRB 651 (1977)
Ann Reid Cronin Esq
for the General Counsel
John H Stephens Esq (Cox Castle & Nicholson), of Los
Angeles California, for the Respondent
SUPPLEMENTAL DECISION
EARLDEAN V S ROBBINS, Administrative Law Judge
On 6 May 1986 the National Labor Relations Board (the
Board) issued its Order (unpublished) in this matter in
which it directed Retail Delivery Systems, Inc (Re
spondent) to offer to Tim Mayer immediate and full rein
statement to Respondents casual list of employees and
offer him jobs as a casual employee on a nondiscrimina
tory basis and make him whole for any loss of earnings
and other benefits as a result of the discrimination against
him with interest on lost earnings
On 29 July 1986 the Regional Director approved a
stipulation entered into by the parties in which Respond
ent waived its rights under Section 10(e) and (1) of the
Act to contest either the propriety of the Board s Order
issued 6 May 1986 or the findings of fact and conclu
lions of law underlying that Order Respondent, having
failed and refused to make whole Mayer, and a contro
versy having arisen over the reinstatement of Mayer and
the amount of backpay due under the terms of the
Order the Regional Director for Region 31 of the Board
issued a backpay specification and notice of hearing al
leging the backpay due under the Board s Order for the
period from 22 March 1985 through 30 June 1986 (re
serving for further determination Respondents backpay
obligation to the discriminatee for all periods after 30
June 1986) to which Respondent filed a timely answer
The matter was heard before me in Los Angeles Califor
nia on 7 8 and 9 October 1986 Posttrial briefs were
filed by the General Counsel and the Respondent
The principal issues are
1
Whether the backpay formula set forth in the back
pay specification is the correct one i
2 Whether Respondent properly reinstated Mayer
3
Whether Mayer incurred a willful loss of interim
earnings
4 Whether Mayer intentionally concealed interim em
ployment thereby warranting denial, or reduction of
backpay
On the entire record, including my observation of the
demeanor of the witnesses, and after due consideration of
the briefs filed by the parties, I make the following
i The parties stipulated that if the formula set forth in the backpay
specification is found to be appropriate the formula has been correctly
applied in the computation of backpay set forth in the backpay specifics
Lion
292 NLRB No 24
122
DECISIONS OF THE NATIONAL LABOR RELATIONS BOARD
FINDINGS OF FACT
A The Backpay Formula Issue
In the operation of its delivery service out of its San
Bernardino facility Respondent employs, in addition to
its regular complement of employees, a number of casual
drivers and helpers who work on an on call" basis 2
Mayer is a college student who, prior to his termination,
was on Respondents list of casual employees During the
school year, he worked almost every Saturday and on
weekdays as his school schedule permitted and as Re
spondent s needs required
During the summer months
he worked 3 or 4 days a week as needed by Respond
ent 3 He worked primarily as a helper and sometimes as
a driver Because he only drove bobtail trucks, he did
not have a class 1 driver s license
The formula for computing Mayer s gross backpay is
alleged in the backpay specification as follows
2 An appropriate measure of the amount the discri
minatee would have earned during each calendar
quarter of the backpay period is the percentage of
available casual hours worked, in the job classifica
tions of helper and driver, by the discriminatee in
each calendar quarter from April 1 1984, to March
22 1985 which is the period immediately preceding
the backpay period times the discriminatee s rates
of pay for each of those job classifications in effect
on the date of his termination, times the hours
worked in each corresponding calendar quarter
during the backpay period by casual employees in
those two job classifications on days on which the
discrimmatee was available for work during the
backpay period
Respondent contends that the appropriate measure of
the amount Mayer would have earned during the back
pay period is his earnings during the year and one quar
ter immediately preceding his reinstatement since (1) in
1985 Respondent began a practice of requiring all casu
als to have a class 1 drivers license which Mayer did
not have and therefore he would either not have been
employed by Respondent or would only have been em
ployed as a helper and (2) Mayer was unavailable for
work at numerous times during the backpay period
The evidence on which Respondent relies in support
of its unavailability argument shows merely that Mayer
was incapacitated or out of town on several 1 or 2 day
occasions
Although in the proper circumstances this
may be sufficient to support a reduction in the gross
backpay for the particular day it is not sufficient to
refute
an
otherwise appropriate formula
Regarding
Mayer s lack of a class 1 driver s license, he was not told
until 22 August that a class 1 license was needed If he
had been there is no reason to assume that he could not
have obtained one Any uncertainty in this regard must
be resolved against the wrongdoer-Respondent Fur
ther throughout the backpay period Respondent contin
8 In August 1986 Respondent employed 10 to 15 casuals
9 See Judge Holmes original decision in this matter
ued to use bobtail trucks and there is no evidence that
all casual drivers during this period had class 1 licenses
I find Respondents arguments unpersuasive Field Ex
ammer James Middleton testified, without contradiction,
that an examination of the timecards of all Respondent s
casual employees during the backpay period and during
the period preceding Mayer s termination which is pro
posed by Respondent shows an increase in the number
of hours worked by casuals during the backpay period
over the period proposed by Respondent I, therefore,
find that the formula set forth in the backpay specifica
tion, which reflects the increased amount of work by
casuals, is a more accurate approximation of what
Mayer s earnings would have been had he not been un
lawfully terminated Accordingly I further find that Re
spondent has failed to establish that the formula set forth
in the backpay specification is inappropriate
B The Reinstatement Issue
Prior to his termination on 22 March 1985
Mayer
worked most Saturdays and some weekdays4 during the
school year and 3 or 4 days a week during the summer
In early
March 19865 after the issuance of Judge
Holmes original decision
Arnold Oatsval, office super
visor and dispatcher in Respondents San Bernardino fa
cility telephoned Mayer and asked if Mayer wanted his
job back
Mayer said he did and further stated that he
was available on Tuesdays, Thursdays and Saturdays
Mayer was called to work the following Saturday, 8
March He worked only on Saturdays from then until
mid June according to the allegations of the backpay
specification which Respondent stipulated was correct in
this regard
Middleton testified, without contradiction
that his examination of the timecards up to 13 June re
vealed that Mayer worked only 1 weekday
Commencing 13 June, Mayer was available to work
full time and so informed Oatsval Nevertheless accord
ing to Mayer he continued to be called to work primari
ly on Saturdays until sometime in July when Respondent
ceased calling him to work According to Mayer on one
occasion when he asked Oatsval if he was to work the
next day Oatsval said there was no work Thereafter on
a Friday about 1 August Mayer telephoned Oatsval and
asked why he had not been called to work Oatsval said
he was not suppose to call Mayer Mayer inquired why
and Oatsval said he did not know When Mayer asked
who did, Oatsval replied that Respondents vice presi
dent, Greg Keyes knew Mayer requested Keyes' tele
phone number and asked Oatsval to try to find out why
he was not being called
On the following Monday, Oatsval informed Mayer
that Keyes wanted to meet with him Mayer did meet
with Keyes Oatsval and Bob Hagbom 6 Mayer testified
the meeting was on Tuesday and Keyes testified it was
on Friday 15 August Oatsval and Hagbom did not testi
fy According to Mayer Keyes gave three reasons why
4 From September 1984 Mayer was available to work on Wednesdays
and did so whenever Respondent dispatched five trucks
S All dates will be in 1986 unless otherwise indicated
6 Hagbom is employed in a customer service capacity to work as a liar
son with Sears Respondents principal customer
RETAIL DELIVERY SYSTEMS
Respondent had ceased employing him-(1) an incident
involving a broken handtruck (dolly) (2) an occasion
when Mayer could not come to work, and without in
forming Respondent, sent another employee to work in
his place and (3) his failure at times to have tools or a
map book when he worked as a driver
Mayer testified that Keyes asked for his side of the
dolly incident Mayer explained that he was working as a
helper when the truck got stuck in the mountains The
driver, Fred Grossenbach told him to use the dolly to
try to free the truck He did so, but the dolly was dam
aged when it accidentally became caught under the
wheel of the truck Keyes then
said something came
across his desk regarding Mayer having sent another em
ployee to work in his place Mayer said he was ill and
concerned that he would fail to wake up in time to call
in the following morning, so he arranged for another em
ployee to substitute for him
Mayer further testified that Keyes also said he had
heard that Mayer sometimes reported for work without
tools or a map book Mayer admitted this occurred at
times He said sometimes he would be called to work as
a helper, but when he reported for work he would be as
signed to drive and would not have his channel locks
(adjustable pliers) On these occasions, he would borrow
them from other employees or from Oatsval On other
occasions when his map book did not have a page he
needed, he has borrowed a map book from Oatsval
Keyes then said according to Mayer, that Mayer must
have noticed that Respondent was changing over to an
all tractor/trailer fleet
which would require Mayer to
have a class 1 license ' if he intended to continue work
ing for Respondent Mayer asked if he would be permit
ted to practice on Respondents tractor/trailers
Keyes
said he would Keyes then said, now that he had gotten
everything straightened out
Respondent would resume
calling Mayer to work Keyes said Respondent had a
new telephone number-an 800 number and reminded
Mayer that there was another 800 number to call for
Sears if there was any trouble Oatsval then gave Mayer
both 800 numbers At this point Hagbom briefly went
over some customer relations points with Mayer As
Mayer and Oatsval were walking out of the office, Oats
val said
I thought Fred was your friend, he told me the
dolly was your fault
Keyes version of Mayer s explanation about the hand
truck and substitute incidents was not substantially differ
ent from Mayers However he also testified that after
Mayer related what had occurred with the handtruck he
instructed Mayer that in the future if a driver or anyone
told him to do anything that would damage company
equipment, he should refuse and call the dispatcher Re
garding the substitute incident
Keyes said that sending
in a substitute was absolutely not company procedure
and if Mayer could not come to work he was to call the
office According to Keyes he then asked Oatsval if he
had anything to add Oatsval said he had a complaint
that sometimes Mayer reported for work without tools
7 A class I driver s license is required to drive a tractor /trailer Only a
regular drivers license is required to drive a bobtail or to work as a
helper
123
or a map book He said he had spoken to Mayer regard
ing this several times
but Mayer said he did not recall
any such conversations
Keyes said Mayer needed to
have proper tools to work
Keyes testified that he then concluded the meeting by
saying,
We are going to a tractor/trailer operation as
you can see
Were having less and less of a need for
bobtails and I need you to get your class I license To be
more available-to be more of a need for me
Mayer
asked if he could use Respondents equipment to prac
tice Keyes said yes but he should call first to be sure a
piece of equipment was available Keyes then said,
Here
is an 800 number I want you to call for work
Keyes
asked about Mayer s availability for work Mayer said he
was available every day
Later that day, by telephone, Oatsval offered Mayer
work for the following day However, Mayer had lost a
contact lens and expected to go to the doctor on that
next day so he was not available On 22 August Re
spondent attempted to offer Mayer work for the follow
ing day Joan Smith Respondents office manager in the
Vernon office, testified that she called Mayer s home at 4
or 4 30 p in and spoke to a man who identified himself
as Mayers father Smith said she was calling to see if
Mayer could work the next day The man said, I
thought you had fired him
Smith said he had not been
fired and left a message for Mayer to call About 5 30
that same day according to Smith, when she telephoned
again just before she left work the man told her Mayer
was not in but should be there around 6 30 p in Smith
related this information to the new dispatcher Jerry
Norman Thompson 8 Thompson said he would call
Mayer According to Smith, she has never called Mayer
again
Thompson testified that he called around 5 30 p in and
spoke to Mayer s father He called again at 6 30 p in and
spoke he believes to Mayer s mother who said Mayer
was out He told her he needed Mayer to work the fol
]owing day and left his home number However, he re
ceived no return call that evening, so the following
morning he called another employee Thompson further
testified that he believes he also called Mayer the follow
ing Friday and was told he was at the beach or the
mountains or something
He never called Mayer for
work again
Mayer s father
Howard Mayer testified that about
4 30 or 5 p in , just as he and his wife returned home, he
answered a telephone call from a man who identified
himself as being from Retail Delivery and asked if Tim
was there When he said no, the man said they wanted
Mayer to work and he would call again A man called
again just before 6 p in and asked if Tim had gotten in
Howard Mayer said no The caller asked if he knew
where Tim was Howard Mayer said no, and asked how
Tim could get in touch with him The caller said he was
leaving Respondents facility and gave his home tele
phone number Later that evening, Howard Mayer s wife
told him Tim was at the beach The following morning
at 7 or 8 am, a man called, said `this is Retail Delivery,
8 Oatsval transferred to the shuttle on about 15 August
124
DECISIONS OF THE NATIONAL LABOR RELATIONS BOARD
is Tim there9
Howard Mayer replied,
No he s at the
beach
Howard Mayer denies that he ever told the
person when Tim was expected He also denies saying he
thought Tim had been fired or that he had any other
conversation with anyone from Retail Delivery
The General Counsel argues that Mayer was not prop
erly reinstated because he was given only Saturday work
whereas, prior to his termination he also worked on cer
tarn weekdays Further in July, Respondent ceased call
ing him at all Respondent contends that he was properly
reinstated on 8 March In support thereof, Respondent
argues that Mayer did not have a class 1 drivers license
and, therefore could not drive tractor/trailer equipment
Keyes testified that at the time of the hearing, Respond
ent had three bobtail trucks which are used once a week
on Saturday and very rarely during the week He further
testified that, from 1 July to the date of the hearing, no
casual employee drove a bobtail truck during the week
because it would not be needed
However he admits
that during this period he only visited the San Bernar
dino facility five or six times for periods of half a day or
two thirds of a day No further evidence was adduced
by Respondent on this issue
Thompson was not ques
tioned in this regard and Oatsval did not testify, even
though they were the dispatchers during this period and
presumably more knowledgeable concerning what equip
ment and employees were dispatched No evidence was
adduced to establish that Keyes in the normal course of
his duties, would have such direct knowledge of what
equipment and employees were dispatched on a daily
basis He admits that he does not know what casual em
ployees if any possess class 1 licenses Further
Mayer
was not told prior to 22 August that such a license was
required Nor were any logs or other records introduced
to corroborate Keyes assertion
Also no evidence was
adduced whether casuals worked as helpers on week
days In the circumstances I find that Keyes is not a reli
able witness in this regard Further no evidence was ad
duced as to the practice in March through June Accord
ingly I find that Respondent has failed to establish that
no weekday or driver work was available for Mayer at
the time he returned to work or thereafter
Regarding Mayer s removal from the casual list in
July Respondent argues that this action was justified by
the dolly and substitute incidents and by Mayer s failure
to come to work prepared with tools or a map book I
find no merit in this contention
Mayer testified credibly
that it was common for employees to borrow map books
among themselves and from Respondent and that he
never heard any Respondent representative tell employ
ees they should not borrow pliers or map books Fur
ther, from Keyes account of the 22 August discussion it
is apparent that the tools and map books were not a con
sideration in the decision to stop calling Mayer for work
Mayer also testified
without contradiction that prior
to 22 August he was never questioned or counseled re
garding the dolly incident nor told why he was not
being called Further on the day of the incident, when
Mayer and Grossenbach returned to Respondents facili
ty Oatsval noticed the dolly was bent and told Grossen
bach,
Fred you ruined another dolly This is your
second in two weeks
Grossenbach said yes he got
stuck and had to use the dolly to get unstuck Thus it is
apparent that at least initially Oatsval considered the
driver to be responsible for the incident Yet Grossen
bach was returned to the casual list before Mayer was
Further, according to Mayer s undenied testimony he
had secured a substitute on at least one occasion before
the incident involved but was never criticized or repri
manded for doing so nor was he counseled or repri
manded prior to 22 August for the incident involved
In these circumstances, I conclude that the reasons as
serted by Respondent for removing Mayer from the
casual list in July were pretextual and further evidence
of Respondents refusal to assign Mayer work on the
same basis as it has prior to his termination 9 Based on
the foregoing I find that Mayer was not properly rein
stated prior to 15 August
However it is undisputed that during his 15 August
meeting with Mayer, Keyes informed Mayer that Re
spondent would resume calling him for work and gave
him an 800 telephone number to call about his availabil
ity It is also undisputed that later that same day Mayer
was offered work for the following day which he re
fused because he planned to go to the doctor the next
day Thompson tried to contact Mayer for work again
the following week but Mayer was not at home Ac
cording to Mayer s father, Respondent made two calls to
Mayer s home one day and, despite the fact that Mayer
was not at home and failed to return the call, a third at
tempt was made to contact him the following morning
Again he was not at home Thereafter Respondent
made no further attempt to call Mayer to work On the
other hand despite having been unavailable two consec
utive weeks on a day when he was always supposed to
be available, Mayer never called Respondent regarding
his availability Thompson testified that when Mayer did
not return his call and never called in later he assumed
Mayer was not interested in working In the absence of
evidence of disparate treatment I find this was not an
unreasonable assumption
The record is clear that Re
spondent had a practice, predating Mayer s termination
whereby sometimes employees called in for work and
sometimes Respondent called the employees i 0
Here, Respondent made what appeared to be a valid
offer of reinstatement and actually called Mayer for
work on two consecutive Saturdays In the absence of
evidence of disparate treatment or availability of week
day work during that intervening week and in the cir
cumstance when after 2 consecutive weeks of being un
available on a day when he normally should have been
available, Mayer never called to reaffirm his availability,
I find that Mayer was properly reinstated on 15 August
Accordingly, I find that the backpay period ended on 15
August 1986
9 This conclusion is not changed by Oatsval s indication on 15 August
that Grossenbach claimed the damage was Mayer s fault inasmuch as Re
spondent made no effort prior to 15 August to ascertain Mayer s version
of what occurred
10 The record does not support Respondents position that this obliga
tion fell solely on the employees
RETAIL DELIVERY SYSTEMS
C The Mitigation of Damages Issue
It is well established that an employer may mitigate his
backpay liability by establishing that a discriminatee
willfully incurred loss by a clearly unjustifiable refus
al to take desirable new employment
Phelps Dodge
Corp v NLRB 313 U S 177, 199-200 (1941) However
this is an affirmative defense and the employer has the
burden of proving facts that would mitigate its liability
NLRB v Mooney Aircraft
366 F 2d 809, 813 (5th Cir
1966), NLRB v Miami Coca Cola Bottling Co
360 F 2d
569 575 (5th Cir 1966) NLRB v Brown & Root Inc,
311 F 2d 447 (8th Cir 1968) That burden is not met by
evidence of lack of employees success in obtaining inter
im employment or of low interim earnings Rather, the
Respondent must affirmatively establish that the employ
ee neglected to make reasonable efforts to find interim
work NLRB v Miami Coca Cola Bottling Co, supra at
575-576 Further, a discriminatee is held only to reason
able exertions in this regard not the highest standard of
diligence
NLRB
v
Arduini Mfg Co, 394 F 2d 420
422-423 (1st Cir 1968) Also a discriminatee s obligation
to mitigate damages does not require success in a search
for interim employment it only requires an honest, good
faith effort NLRB v Cashman Auto Co, 223 F 2d 832,E
836 (1st Cir 1955) The employees skills and qualifica ^
tions age and the labor conditions in the area are factors
to be considered in determining the reasonableness of
this effort Mastro Plastics Corp, 136 NLRB 1342, 1359
(1962)
Respondent makes two principal arguments in support
of its position that Mayer did not engage in a minimum,
good faith and diligent search for interim employment
(1) he eschewed nearly all normal job seeking methods
in favor of securing job leads through his father, rela
tives and friends and (2) he did not file an application
form with any employer However the record evidence
is insufficient to meet Respondents burden of proof in
this regard Although Mayer admits he did not seek em
ployment through the college student placement service
the State of California Employment Development De
partment or private employment agencies he credibly
testified that he had never heard of the casual labor
office of the California Employment Development De
partment or the student placement offices The evidence
obtained from the center and introduced into evidence
indicates that only a very small percentage of the student
body utilizes the service of the center 11 Mayers previ
ous job search was made through family contacts Thus
he obtained his job with Respondent through his godfa
ther and never filled out an application form prior to his
employment
13 Respondent adduced evidence of available
jobs at Polytechnic
where Mayer was enrolled during the 1985-1986 school year which is
alleged as typical of the type of jobs available from the center However
most of the more than 400 jobs listed required specific skills and/or expe
pence Roughly 3 percent were for driver and/or helper type jobs Of
these more than one half required working hours that Mayer could not
meet Most paid less than $5 an hour and about one half required employ
ees to use their own cars
At Chaffey College
monthly student traffic
ranged from less than 2 percent to slightly more than 8 percent of the
full time enrollment
The percentage would be substantially less if one
considers the part time enrollment
125
Following this same pattern, he sought interim em
ployment through contacts made or suggested, by his
father, other relatives and friends The parties stipulated
that he called approximately 24 prospective employers as
a result of such contacts, telephoned about 4 other em
ployers selected at random from the telephone directory
or from general reputation in the community and actual
ly visited 10 prospective employers I credit his testimo
ny that he made limited personal visits to prospective
employers because of his school schedule and assign
ments It is not unusual for individuals to rely on assist
ance from family, friends, and acquaintances in seeking
employment
Sioux Falls Stock Yards Co, 236 NLRB
543, 556 (1978), Vanguard Oil & Service, 246 NLRB 130,
133 (1979), December 12 Inc, 282 NLRB 475 (1986)
Further, Respondent produced no evidence to show that
Mayer would have been permitted to file any application
forms or would have received employment if he had
done so Nor did Respondent produce evidence that he
rejected any job offers or that there were jobs available
which would have been offered to him
This is insufficient to meet Respondents burden of
proof that Mayer did not diligently seek work during the
backpay period An employee who has been discrimina
torily discharged need not instantly seek new employ
ment
Saginaw Aggregates,
198 NLRB 598 (1972) Nor
will a backpay claimant be found to have incurred a
willful loss of earnings merely because the search for in
terim employment was not made in each and every quar
ter of the backpay period Rather as the Board stated in
Cornwell Co,
171 NLRB 342 343 (1968)
The entire
backpay period must be scrutinized to determine whether
throughout that period there was in the light of all sur
rounding circumstances, a reasonably continuing search
such as to foreclose a finding of willful loss
See also
Firestone Synthetic Fibers Co
207 NLRB 810 812 (1973)
Southern Household Products Co, 203 NLRB 881 (1973)
Employees are not automatically disqualified from back
pay because of their poor recordkeeping uncertainty as
to memory or even exaggeration
Pat Izzi Trucking Co
162 NLRB 242 245 (1966)
Kansas Helium Co 252
NLRB 1156 (1980) Further a good faith search for em
ployment does not necessitate that the employee spend
all
of everyday searching for employment
Laidlaw
Corp, 207 NLRB 591, 603 (1973), enfd 507 F 2d 1381
(7th Cir 1974), cert denied 422 US 1042
American
Medical Insurance 235 NLRB 1417 1419-1422 (1978) I
therefore find that Respondent has failed to establish that
Mayer did not make a diligent search for employment
during the backpay period
D The Alleged Fraudulent Concealment of Interim
Earnings
It is undisputed that Mayer failed to include on the
compliance forms submitted to the Board's Region 31 his
earnings from casual labor he performed for three em
ployers on several occasions
(1) Second quarter 1985-$250 from Rancho Pacific
Electric for painting the office exterior over a 2 day
period
126
DECISIONS OF THE NATIONAL LABOR RELATIONS BOARD
(2) Third quarter 1985-$50 from Rancho Pacific
Electric (Mayer s brother in law is president) for 1 day s
work moving material in a warehouse and doing yard
work
(3) First quarter 1986-$40 from Rancho Pacific Elec
tric for a day or a portion of a day making deliveries
(4) Third quarter 1986-$480 from Rancho Pacific
Electric for painting the interior of the office intermit
tently over a 2 week period
(5) Third quarter 1986-$100 from Lyman Scheel
Pools (a neighbor) for painting a wall on 1 day 12
(6) Third quarter 1986-$65 from Eddie Haber for 1
day's work as a helper on a truck
Essentially Respondent contends that fraudulent con
cealment of interim earnings can be inferred from the
total amount involved, the fact that the compliance
forms were generally filled out by Mayer only 5 to 8
weeks after the employment and the fact that the em
ployment was not on a regular payroll but rather was in
the
underground economy
The Board s general rule
as to the effect of fraudulent concealment on a backpay
remedy is set forth in American
Navigation
Co,
268
NLRB 426 (1983) In that case, the Board held that it
will deny backpay only for those calendar quarters in
which a discriminatee intentionally concealed interim
employment from the Board, reasoning that such a
remedy
will
discourage claimants from abusing the
Board's processes for their personal gain and also deter
respondents from engaging in future unfair labor prac
tices However, the Board noted that this remedy is ap
plied only when the discriminatee has willfully deceived
the Board, and not when the failure to report earnings is
inadvertent
Here, the earnings in question were from odd jobs, and
Mayer was never on the payroll of these employers Ini
tially
when he was questioned on cross examination,
why he had not included specific earnings on his compli
ance report he testified that he had not recalled doing
the work On further questioning regarding other earn
ings, he clarified that it was not that he had forgotten, it
was just that he had never even thought about it I
credit Mayer that it never occurred to him that he
should list these odd jobs
The compliance form instructs the claimant to list the
name and address of your employers during this
period
It is inaccurate but not particularly unusual for
individuals to equate the term employer only with one
on whose payroll the individual appears and not to con
sider the giver of odd jobs' as one s employer Further
he reported these earnings prior to the hearing and did
not lie under oath Thus, once he was informed by his
brother in law and by Scheel that they had been subpoe
naed by Respondent he verified with them the amount
of his earnings and immediately informed counsel for the
General Counsel After giving further thought as to any
other earnings of that type he may have had, he recalled
the Haber employment and also reported that to counsel
for the General Counsel
Moreover, the bulk of these
earnings were in July and August, months during which
Mayer was in Respondents employ for at least a portion
of the time Respondent adduced no evidence to show
that the employment occurred during the time that
Mayer was excluded from the casual list or that the
work was
not supplemental
work performed during
times when, on a nondiscriminatory basis
Respondent
had no work available for him
Accordingly in the circumstances I find that Mayer
did not attempt to fraudulently conceal interim earnings
Based on the foregoing, and the entire record it is
found
(a) Mayer s backpay period commenced on 22 March
1985 and ended 15 August 1986, the date Respondent
for the second time reinstated Mayer to the casual list
(b) During the backpay period, until 13 June 1986,
Mayer had interim earnings as set forth in the backpay
specification, as amended during the hearing
(c) Mayer is entitled to backpay in the amounts set
forth below for that portion of the backpay period up to
and including the first quarter of 1986 plus an amount
to be determined for the second and third quarters of
1986 plus interest 13
Calendar Qtr
Net Backpay
1st 1985
$18249
2d 1985
1 648 06
3d 1985
4,510 09
4th 1985
2 210 46
1st 1986
1,112 60
On these findings of fact and conclusions of law and
on the entire record I issue the following recommend
ed14
ORDER
The Respondent Retail Delivery Systems, Inc San
Bernadino, California its officers agents, successors, and
assigns
shall jointly and severally
make Tim Mayer
whole by payment to him of the amounts set forth above
and in the appendix, and the amount, to be determined
by the Regional Director, for the second and third quar
ters of 1986 plus interest accrued to the date of payment
pursuant to Florida Steel Corp
231 NLRB 651 (1977)
12 Scheel paid $200 for the job Mayer paid $100 of that to Scheel s
son who helped him
13 Because the record does not contain information sufficient to deter
mine the amount of Respondents backpay liability from 14 June to 15
August 1986 inclusive the amount of backpay due Mayer for the second
and third quarters of 1986 is left for determination by the Regional Di
rector
Backpay is computed as alleged in the backpay specification as
amended with modifications for the second and third quarters of 1986 to
reflect my finding that the backpay period ended on 15 August 1986
Backpay computations through the 1st quarter of 1986 are set forth in the
appendix
14 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
RETAIL DELIVERY SYSTEMS
127
APPENDIX
Yr /Qtr
Total Hrs
Job Class &
% of Hrs
Per Job
Class
Hrs Per Job
Class
Hourly Pay
Rate Per Job
Class
Gross
Backpay Per
Job Class
Gross
Backpay
Interim
Earnings &
Employer
Net Backpay'
1985/1
$ 1900
Helper-66
$1254
$ 9 095
$ 114 05
$ 182 49
0
$ 182 49
Dnver-34
6 46
10 595
68 44
1985/2
216 50
Helper-100
216 50
9 095
1 969 06
1 969 09
2250
1 648 06
Dnver-0
0
10 595
0
371
1985/3
493 25
Helper-90
443 93
9095
4 037 54
4 560 09
250
4 510 09
Dnver-10
49 32
10 595
522 55
1985/4
22800
Helper-60
136 80
9 095
1 244 20
221046
221046
Driver-40
91 20
10 595
966 26
1986/1
12000
Helper-66
7920
9 095
720 32
1 15260
240
1 112 60
Dnver-34
40 80
10 595
432 28
1986/2
'
1
1
1
1
1
1986/3
Total Net
Backpay'
1
1
1
1
1
1
1 To be determined by the Regional Director
2 Rancho Pacific Electric
3 Brunner s Rents