373 NLRB No. 82

Intertape Polymer Group

Last amended: 2024Year: 2024Length: 8,336 wordsOfficial source
373 NLRB No. 82 NOTICE: This opinion is subject to formal revision before publication in the bound volumes of NLRB decisions. Readers are requested to notify the Ex- ecutive Secretary, National Labor Relations Board, Washington, D.C. 20570, of any typographical or other formal errors so that corrections can be included in the bound volumes. Intertape Polymer Corp. and Matthew Rose. Case 07–CA–291784 August 23, 2024 DECISION, ORDER, AND ORDER REMANDING IN PART BY CHAIRMAN MCFERRAN AND MEMBERS PROUTY AND WILCOX On February 17, 2023, Administrative Law Judge Ar- thur J. Amchan issued the attached decision. The Gen- eral Counsel and the Respondent filed exceptions, sup- porting briefs, and answering briefs, and the General Counsel filed a reply brief. The National Labor Relations Board has delegated its authority in this proceeding to a three-member panel. The Board has considered the decision and record in light of the exceptions and briefs and has decided to af- firm the judge’s rulings, findings, and conclusions only to the extent consistent with this Decision, Order, and Order Remanding in Part.1 The Respondent manufactures adhesive tapes at multi- ple facilities, including in Maryville, Michigan. Local 1149 of the United Autoworkers (the Union) represents a unit of employees at this facility including shipping clerk Matthew Rose, who is the union president. At issue in this proceeding are complaint allegations that, since at least September 7, 2021, the Respondent has maintained, as part of its “Company Work Rules” document, nine work rules that violate Section 8(a)(1) of the National Labor Relations Act because they interfere with, restrain, and coerce employees in the exercise of the rights guar- anteed them by Section 7 of the Act. The complaint fur- ther alleges that the Respondent violated Section 8(a)(3) and (1) in several respects by its conduct related to Rose. With regard to most of the work rules (Rules 5, 12, 13, 19, and 21), the judge applied the framework set forth in Boeing Co., 365 NLRB No. 154 (2017), finding some of the rules lawful and others unlawful. Recently, in Steri- cycle, Inc., 372 NLRB No. 113 (2023), the Board over- ruled Boeing and adopted a modified version of the framework set forth in Lutheran Heritage Village– Livonia, 343 NLRB 646 (2004). In light of our decision in Stericycle, which implicates the complaint allegations in this case related to Rules 5, 12, 13, 19, and 21, we shall sever those allegations and remand them to the 1 We shall amend the judge’s conclusions of law consistent with our findings herein, and we shall modify the judge’s recommended Order to conform to our findings, the Board’s standard remedial language, and in accordance with our decision in Excel Container, Inc., 325 NLRB 17 (1997). We shall substitute a new notice to conform to the Order as modified. judge for further consideration consistent with the framework adopted in Stericycle. With regard to the remaining challenged rules, includ- ing rules concerning distribution/posting and loiter- ing/off-duty access (Rules 7, 9, and 20), the judge found that the Respondent’s maintenance of these rules violated Section 8(a)(1) by relying on older precedent that was not disturbed by Boeing or Stericycle. We adopt the judge’s findings regarding Rules 9 and 20 in light of the Respondent’s failure to provide any argument in support of its exceptions to the judge’s conclusion that these rule were unlawfully maintained.2 In addition, for the reasons discussed below, we adopt the judge’s conclusion that Rule 7 is unlawfully overbroad and we find, contrary to the judge, that the Respondent’s rule prohibiting unau- thorized use of the company telephone (Rule 11) is law- ful based on precedent predating and unaffected by Boe- ing. We thus dismiss the complaint allegation related to Rule 11. Regarding the allegations related to Rose, the com- plaint alleges that the Respondent unlawfully disciplined and discharged him in violation of Section 8(a)(3) and (1) of the Act for his postings on a company-provided bulletin board and that the Respondent unlawfully re- moved one of Rose’s postings in violation of Section 8(a)(1). At the hearing, over the General Counsel’s ob- jection, the judge granted the Respondent’s motion to defer these allegations. However, in his decision, the judge provided a remedy for the Section 8(a)(1) posting removal allegation, albeit without any analysis of the issue. For the reasons set forth below, we find that these allegations are not appropriate for deferral to arbitration. Having done so, we remand these allegations to the judge for further consideration consistent with this decision. I. COMPANY WORK RULES 7 AND 11 Since 2008, the Respondent has maintained Company Work Rules including Rule 7, which prohibits employees from “distributing literature or printed matter of any kind on Company premises, or the posting or removal of no- tices, signs or writing of any form anywhere on Compa- ny premises unless specifically authorized to do so by the Company.” The judge found that Rule 7 was unlawfully overbroad in prohibiting both distribution and posting anywhere on company premises without authorization. In so finding, the judge explained that both the distribu- tion and posting aspects of the rule essentially require employees to seek supervisory approval in order to en- gage in Section 7 activity. See Brunswick Corp., 282 NLRB 794, 795, 797–798 (1987) (rule prohibiting 2 See Sec. 102.46(a)(1)(ii) of the Board’s Rules and Regulations; see also Community Counseling & Mentoring Services, Inc., 371 NLRB No. 39, slip op. at 1 fn. 1 (2021) (disregarding exception in the absence of supporting argument); Holsum de Puerto Rico, Inc., 344 NLRB 694, 694 fn. 1 (2005), enfd. 456 F.3d 265 (1st Cir. 2006). We note that even assuming the Respondent had properly excepted, we would affirm the judge’s findings for the reasons stated in his decision. DECISIONS OF THE NATIONAL LABOR RELATIONS BOARD 2 “[d]istribution of literature” and “post[ing] on any Com- pany property without the express written consent of the Company” unlawful on the grounds that “any rule that requires employees to secure permission from their em- ployer as a precondition to engaging in protected con- certed activity on an employee’s free time and in non- work areas is unlawful”). The Respondent does not deny that the rule is facially overbroad as to distribution,3 but contends that the judge improperly conflated distribution with posting and erred by extending his rationale regarding the rule’s distribu- tion prohibitions to the posting aspect of the rule. We disagree. The Board has long recognized both posting and distribution as fundamental elements of employees’ ability to communicate in the workplace for the purposes of self-organization. See, e.g., Norris/O’Bannon, 307 NLRB 1236, 1236 & 1245 (1992) (relying on Brunswick in finding facially unlawful a rule prohibiting, inter alia, “distribution of literature . . . anywhere on the Company premises” and “posting . . . anywhere on the Company premises unless specifically authorized”); see also Frost- burg Village of Allegany County Nursing Home, 263 NLRB 651, 651 & 664 (1982) (ordering employer to cease giving effect to and rescind rule “prohibiting solici- tation, distribution, or posting of material or notices without prior written authorization” in nonpatient care areas because “it is clear that Respondent may not condi- tion the exercise of Section 7 rights upon its own author- ization”). Because Rule 7 clearly prohibits postings “of any form anywhere on Company premises[,]” we find, in agreement with the judge and consistent with precedent, that Rule 7 is unlawfully overbroad as to both distribu- tion and posting in violation of Section 8(a)(1).4 3 For this reason, we find it unnecessary to independently address the distribution prohibition aspect of the rule in this decision. We note, however, that the holdings in Boeing and Stericycle did not disturb longstanding Board precedent governing employer restrictions on dis- tribution. Stericycle, 372 NLRB No. 113, slip op. at 3 (“Our decision today does not disturb the Board’s long-established doctrines covering work rules that address union (or other protected) solicitation, distribu- tion, or insignia.”); UPMC, UPMC Presbyterian Shadyside, d/b/a UPMC Presbyterian Hospital and d/b/a UPMC Shadyside Hospital, 366 NLRB No. 142, slip op. at 1 fn. 5 (2018) (“[W]e note that the Board in Boeing did not disturb longstanding precedent governing employer restrictions on solicitation and distribution . . . . ”); see also Stoddard-Quirk Mfg. Co., 138 NLRB 615, 616–617 (1962) (no- distribution rule that extends to nonworking areas of company premis- es, such as a parking lot, facially unlawful). 4 We further find that General Motors Corp., 212 NLRB 133 (1974), enfd. as modified 512 F.2d 447 (6th Cir. 1975), cited by the Respondent, is not to the contrary. The rule found lawful by the Board there prohibited “posting . . . on bulletin boards or Company property . . . without specific authority of Management.” Id. at 134 (emphasis added). By contrast, Rule 7 prohibits posting “anywhere on Company premises.” As the Board found in Norris/O’Bannon, such a rule is unlawful because “from its face, it appears to encompass notices or signs—such as stickers—affixed to an employee’s own personal prop- erty—such as a lunch pail—that is located ‘on the Company premis- es.’” 307 NLRB at 1245 (emphasis added). Turning to the Respondent’s Rule 11, that rule prohib- its employees from “[u]sing company telephones for personal calls without the permission of supervision[.]” The judge found the rule unlawful because, as with Rule 7, he viewed Rule 11’s requirement of supervisory per- mission for personal use of the Respondent’s phones to be overbroad. Based on longstanding precedent predat- ing Boeing, we disagree. The Board has explained that “an employer ha[s] every right to restrict the use of com- pany telephones to business-related conversations . . . . ” Churchill’s Supermarkets, 285 NLRB 138, 155 (1987), enfd. 857 F.2d 1474 (6th Cir. 1988); see also Union Carbide Corp., 259 NLRB 974, 980 (1981) (employer “could unquestionably bar its tele- phones to any personal use by employees”), enfd. in rel- evant part 714 F.2d 657 (6th Cir. 1983); Caesars Enter- tainment d/b/a Rio All-Suites Hotel and Casino, 368 NLRB No. 143, slip op. at 6 fn. 39 (2019) (citing Churchill’s Supermarket and other equipment cases in support of the pronouncement that there is no Section 7 right to use employer communication systems).5 Here, the complaint alleges only a facial challenge to Rule 11 and, as Board precedent permits the use restrictions stat- ed on the face of the rule, we find, contrary to the judge, that Rule 11 is not unlawful. II. ALLEGATIONS RELATED TO MATTHEW ROSE In November 2021, the Respondent hired a Director of Labor Relations, Richard Harter. On December 16, 2021, Rose filed a grievance against Harter asserting that he had implemented a midnight shift schedule without providing proper notice under the collective-bargaining agreement. Rose posted the grievance on a union bulle- tin board. On January 11, 2022, the Respondent issued Rose a verbal warning in part for violating Rule 7 by posting the grievance without authorization. (GC Exh. 7.) Rose continued to post letters to union members updat- ing them on an on-going disagreement between the Un- ion and the Respondent regarding employees’ entitle- ment to holiday pay. On February 11, 2022, at the end of Rose’s work shift, Director of Labor Relations Harter gave him a memo quoting Section 18.46 of the collective- In addition, in adopting the judge’s findings that Rule 7 is unlawful as to both distribution and posting, we do not rely on Flamingo Hilton- Laughlin, 330 NLRB 287 (1999), cited by the judge. We note that, in finding a no-posting rule similar to the one at issue here lawful, that case did not reference or address our earlier contrary precedent. 5 Then-Member McFerran dissented in Caesars. Id., slip op. at 14– 23. Members Wilcox and Prouty did not participate in Caesars and express no opinion about whether it was correctly decided. We decline the General Counsel’s invitation to revisit the decision here but would be open to reconsidering it in a future appropriate case. We further decline the General Counsel’s request that we overturn the discrimina- tion standard set forth in Register Guard, 351 NLRB 1110 (2007), in the absence of any evidence or allegation that Rule 11 was unlawfully enforced. 6 Sec. 18.4 states as follows: INTERTAPE POLYMER CORP. 3 bargaining agreement regarding use of bulletin boards and stating that “[a]ppropriate use of the Company sup- plied bulletin board would be for administrative purposes only as described in the CBA” and that “[g]rievance or opinion letters would not be authorized and be [sic] sub- ject to IPG Company Work Rules or relevant policies.”7 (R. Exh. 7.) On February 25, 2022, Rose posted a letter to employ- ees regarding Harter’s behavior during a Labor Manage- ment meeting. The Respondent removed the letter, and Rose reposted it. On March 1, 2022, the Respondent issued Rose a written warning for his continued postings without authorization, in violation of Rule 7. (GC Exh. 14.) On March 3, 2022, Rose was terminated for his repeated violations of Rule 7, direct insubordination (based on his refusal to remove a posting and reposting it after Respondent had removed it), and dishonesty (spe- cifically, lying when the Respondent questioned him about whether he had reposted the letter). (GC Exh. 15.) Neither the termination notice nor the disciplinary warn- ings reference Section 18.4 of the collective-bargaining agreement. Having found Rule 7 unlawful, we reverse the judge’s deferral of the Respondent’s alleged unlawful disciplines and the alleged unlawful discharge of Rose for repeated violations of the rule.8 In this regard, we note that the Board has found discipline of an employee pursuant to an unlawfully overbroad rule for conduct short of pro- tected concerted activity but that “touches the concerns animating Section 7” is unlawful absent a showing that The Company will provide a bulletin board at a convenient place within the plant for the exclusive use of the Union. The Union may use such bulletin board for notices relating to Union business meetings, elections and similar activities, but shall not be used [sic] for political purposes. 7 There is no allegation that the memo constituted unlawful disci- pline. 8 In so doing, we note, contrary to the judge, that it is not clear that the parties’ collective-bargaining agreement, in particular Sec. 18.4, is implicated given that neither the alleged unlawful disciplines nor the alleged unlawful discharge relied upon it. We reject the Respondent’s contention that the Union’s right to use the company bulletin boards derives solely from Sec. 18.4. See Eaton Technologies, 322 NLRB 848, 853 (1997) (quoting Container Corp. of America, 244 NLRB 318 fn. 2 (1979), enfd. 649 F.2d 1213 (6th Cir. 1981)), for the proposition that “[w]hen an employer permits, by formal rule or otherwise, em- ployees and a union to post personal and official union notices on its bulletin boards, the employees’ and union’s right to use the bulle- tin boards receives the protection of the Act to the extent that the em- ployer may not remove notices which the employer finds distasteful.” In any case, the Board has authority to construe provisions of collec- tive-bargaining agreements where necessary to address unfair labor practice allegations before it. See NLRB v. C & C Plywood Corp., 385 U.S. 421, 430 (1967). Here, whatever the language of Sec. 18.4 may mean, there is uncontroverted evidence that the Union has routinely— and without seeking authorization—posted on its bulletin boards notic- es related to a range of issues, including pending grievances, shared concerns regarding working conditions, and various philanthropic collections (e.g., supporting the troops, animal cruelty, etc.). (GC Exh. 3; Tr. 34:20–-24 & 38:11–39:3 (Rose); 150:13–24 & 151:8–14 (Grieg).) the employee’s conduct actually interfered with the em- ployer’s operations and that such interference was the basis for the discipline. Continental Group, Inc., 357 NLRB 409, 412 (2011). We agree with the General Counsel that deferral is improper because Rose’s alleged unlawful disciplines and discharge are inextricably inter- twined with the alleged unlawful rule. See, e.g., Burndy, LLC, 364 NLRB 946, 973 (2016) (finding unlawfully promulgated rule allegation “inextricably related” to al- leged unlawful discipline issued pursuant to the rule, precluding remand of one allegation without the other).9 We further find that the alleged unlawful removal of a posting is not suitable for deferral, as the Respondent contends. This allegation is inextricably intertwined with the alleged unlawful disciplines and discharge pursuant to the Respondent’s Rule 7 prohibiting unauthorized posting and thus should not be deferred to arbitration. See, e.g., Pioneer Press, 297 NLRB 972, 972 fn. 2 & 987 (1990) (alleged unlawful reprimand of unit employees pursuant to no-distribution rule and alleged unlawful removal of postings pursuant to the rule involved the “same factual and legal issues,” such that deferral of the former was improper where latter allegation was not de- ferrable). Having found that deferral of the allegations related to Rose is not appropriate, we shall remand the allegations that the Respondent disciplined and discharged Rose in violation of Section 8(a)(3) and (1) to the judge for con- sideration under applicable law, including reopening the record, if appropriate, and, at a minimum in order to al- low the Respondent to make out its rebuttal case under Continental Group, Inc., 357 NLRB at 412. We shall also remand the posting removal allegation to the judge to allow him to address it in the first instance. AMENDED CONCLUSIONS OF LAW Substitute the following for the judge’s Conclusions of Law: “Respondent is violating Section 8(a)(1) by maintain- ing its Company Work Rules 7, 9 and 20.” 9 Having found deferral inappropriate on this basis, we decline the General Counsel’s request to overrule United Parcel Service, 369 NLRB No. 1 (2019), and return to the deferral standards set forth in Babcock & Wilcox Construction Co., 361 NLRB 1127 (2014), rev. denied sub nom. Beneli v. NLRB, 873 F.3d 1094 (9th Cir. 2017), at this time. In so doing, we express no opinion on whether United Parcel Service was correctly decided. We also decline the General Counsel’s request to overrule AT&T Mobility, LLC, 370 NLRB No. 121 (2021), at this time. Under AT&T Mobility, the remedy for unlawfully applying a facially neutral rule to restrict Sec. 7 activity is an order to cease and desist. Here, we have found Rule 7 facially unlawful based on longstanding precedent. Chairman McFerran dissented in AT&T Mobility and adheres to the views stated there. Members Prouty and Wilcox did not participate in AT&T Mobility and express no view as to whether it was correctly decided. DECISIONS OF THE NATIONAL LABOR RELATIONS BOARD 4 ORDER The Respondent, Intertape Polymer Corp., Marysville, Michigan, its officers, agents, successors, and assigns, shall 1. Cease and desist from (a) Maintaining an overly broad work rule prohibiting distribution or posting of literature or printed matter of any kind on Company premises unless specifically au- thorized by the Company. (b) Maintaining overly broad work rules prohibiting loitering and unauthorized presence of employees on company property or in the plant on shifts other than their shift. (c) In any like or related manner interfering with, re- straining, or coercing employees in the exercise of the rights guaranteed them by Section 7 of the Act. 2. Take the following affirmative action necessary to effectuate the policies of the Act. (a) Rescind the rules indicated in 1(a) and (b) above. (b) Furnish employees with an insert for the current Company Work Rules document that (1) advises that the unlawful provisions have been rescinded, or (2) provide lawfully worded provisions on adhesive backing that will cover the unlawful provisions; or publish and distribute to employees revised Company Work Rules documents that (1) do not contain the unlawful provisions, or (2) provide lawfully worded provisions. (c) Post at its Marysville, Michigan facility copies of the attached notice marked “Appendix.”10 Copies of the notice, on forms provided by the Regional Director for Region 7, after being signed by the Respondent’s author- ized representative, shall be posted by the Respondent and maintained for 60 consecutive days in conspicuous places, including all places where notices to employees are customarily posted. In addition to physical posting of paper notices, notices shall be distributed electronically, such as by email, posting on an intranet or an internet site, and/or other electronic means, if the Respondent 10 If the facility involved in these proceedings is open and staffed by a substantial complement of employees, the notice must be posted within 14 days after service by the Region. If the facility involved in these proceedings is closed or not staffed by a substantial complement of employees due to the Coronavirus Disease 2019 (COVID–19) pan- demic, the notice must be posted within 14 days after the facility reo- pens and a substantial complement of employees have returned to work. If, while closed or not staffed by a substantial complement of employees due to the pandemic, the Respondent is communicating with its employees by electronic means, the notice must also be posted by such electronic means within 14 days after service by the Region. If the notice to be physically posted was posted electronically more than 60 days before physical posting of the notice, the notice shall state at the bottom that “This notice is the same notice previously [sent or posted] electronically on [date].” If this Order is enforced by a judg- ment of a United States court of appeals, the words in the notice reading “Posted by Order of the National Labor Relations Board” shall read “Posted Pursuant to a Judgment of the United States Court of Appeals Enforcing an Order of the National Labor Relations Board.” customarily communicates with its employees by such means. Respondent shall take reasonable steps to en- sure that the notices are not altered, defaced, or covered by any other material. If the Respondent has gone out of business or closed the facility involved in these pro- ceedings, the Respondent shall duplicate and mail, at its own expense, a copy of the notice to all current employ- ees and former employees employed by the Respondent at any time since December 15, 2022. (d) Within 21 days after service by the Region, file with the Regional Director for Region 7 a sworn certifi- cation of a responsible official on a form provided by the Region attesting to the steps that the Respondent has taken to comply. It is FURTHER ORDERED that the allegations that the Respondent violated Section 8(a)(1) by maintaining its Company Work Rules 5, 12, 13, 19, and 21 and by re- moving a Union posting from a company-provided union bulletin board, and violated 8(a)(3) and (1) by disciplin- ing and discharging Union President Matthew Rose for his postings on the union bulletin boards, are remanded to Administrative Law Judge Arthur J. Amchan for fur- ther appropriate action as discussed above. The judge shall afford the parties an opportunity to present evidence on the remanded issues and shall pre- pare a supplemental decision setting forth credibility res- olutions, findings of fact, conclusions of law, and a rec- ommended Order. Copies of the supplemental decision shall be served on all parties, after which the provisions of Section 102.46 of the Board’s Rules and Regulations shall be applicable. IT IS FURTHER ORDERED that the complaint is dismissed insofar as it alleges violations of the Act not specifically found or remanded. Dated, Washington, D.C. August 23, 2024 ______________________________________ Lauren McFerran, Chairman ________________________________________ David M. Prouty, Member ________________________________________ Gwynne A. Wilcox, Member (SEAL) NATIONAL LABOR RELATIONS BOARD APPENDIX NOTICE TO EMPLOYEES POSTED BY ORDER OF THE NATIONAL LABOR RELATIONS BOARD An Agency of the United States Government INTERTAPE POLYMER CORP. 5 The National Labor Relations Board has found that we violated Federal labor law and has ordered us to post and obey this notice. FEDERAL LAW GIVES YOU THE RIGHT TO Form, join, or assist a union Choose representatives to bargain with us on your behalf Act together with other employees for your bene- fit and protection Choose not to engage in any of these protected activities. WE WILL NOT maintain an overly broad work rule pro- hibiting distributing or posting of literature or printed matter of any kind on Company premises unless specifi- cally authorized by the Company. WE WILL NOT maintain overly broad work rules pro- hibiting loitering and unauthorized presence of employ- ees on company property or in the plant on shifts other than their shift. WE WILL NOT in any like or related manner interfere with, restrain, or coerce you in the exercise of the rights listed above. WE WILL rescind the overly broad rules in the Compa- ny Work Rules document that prohibit distribution or posting of literature or printed matter of any kind on Company premises unless specifically authorized by the Company and that prohibit loitering and unauthorized presence of employees on company property or in the plant on shifts other than their shift. WE WILL furnish you with an insert for the current Company Work Rules document that (1) advises that the unlawful provisions have been rescinded, or (2) provide lawfully worded provisions on adhesive backing that will cover the unlawful provisions; or WE WILL publish and distribute revised Company Work Rules documents that (1) do not contain the unlawful provisions, or (2) provide lawfully worded provisions INTERTAPE POLYMER CORP. The Board’s decision can be found at www.nlrb.gov/case/07-CA-291784 or by using the QR code below. Alternatively, you can obtain a copy of the decision from the Executive Secretary, National Labor Relations Board, 1015 Half Street, S.E., Washington, D.C. 20570, or by calling (202) 273-1940 Dynn Nick, Esq., for the General Counsel. Alan I. Model, Esq., for the Respondent. DECISION STATEMENT OF THE CASE FINDINGS OF FACT ARTHUR J. AMCHAN, Administrative Law Judge. This case was tried in Detroit, Michigan on December 6–7, 2022. Jurisdiction Respondent manufactures adhesive tapes at its Maryville, Michigan facility, as well as at other facilities. It purchases and receives goods at this facility which are valued in excess of $50,000 annually directly from points outside of Michigan. Respondent admits and I find that it is an employer within the meaning of the Act and that Local 1149 of the United Auto- workers, the Union which represents about 150 employees at Respondent’s Marysville facility, including the Charging Party, is a labor organization within the meaning of the Act. Matthew Rose, a shipping clerk at Respondent’s Maryville, Michigan facility, filed the initial charge giving rise to this matter on March 8, 2022. Respondent terminated Rose, who at the time was president of Local 1149, on March 3, 2022 The basis of the charge as amended on June 15, 2022, was Respondent’s alleged retaliation against Mr. Rose by issuing him a disciplinary warning on January 12, 2022, and discharg- ing him on March 3, 2022. The amended charge also alleges that Respondent is maintaining overly broad work rules The General Counsel issued a complaint on September 14, 2022. The complaint alleges that Respondent violated Section 8(a)(3) and (1) in disciplining and terminating Matthew Rose and Section 8(a)(1) in maintaining overly broad work rules. It also alleges that Respondent violated Section 8(a)(1) by order- ing employees to remove information from a union bulletin board and by a supervisor removing information posted on a union bulletin board. On the second day of trial in this matter, I granted Respond- ent’s motion to defer the allegations relating to Mr. Rose’s discipline and discharge to arbitration. The General Counsel has filed a special appeal challenging that ruling. In order to hopefully obviate the need for a remand if the Board overrules my ruling on deferral, I herein set out the facts relevant to Mr. Rose’s discipline and discharge. The facts may also be relevant in assessing the legality of company rules 7 and 13 which were cited in the discipline and discharge of Mr. Rose. Respondent’s 37 work rules are contained in (GC Exh. 8). They have been in effect since 2008. The rules which the General Counsel alleges are overbroad and thus illegal as to the conduct they prohibit are the following1: Work Rule 5: Unauthorized visiting in the plant, leaving the job or work station during working hours without securing permission from your supervisor, or leaving the plant during working hours without first obtaining permission from your supervisor. Work Rule 7: Distributing literature or printed matter of any kind on Company premises, or the posting or removal of no- tices, signs or writing of any form anywhere on Company premises unless specifically authorized to do so by the Com- pany.” 1 All of Respondent’s work rules appear in G.C. Exh. 8. DECISIONS OF THE NATIONAL LABOR RELATIONS BOARD 6 Work Rule 9: Loitering on Company property. Work Rule 11: Using company telephones for personal calls without the permission of supervision. Work Rule 12: Engaging in inappropriate behavior while on company premises Work Rule 13: While on the premises engaging in or encour- aging the following: “horseplay,” scuffling, wrestling. Throwing things, practical jokes, distracting or startling others causing confusion, unnecessary noise, demonstrations of any kind or acting in a disorderly manner. Work Rule 19: Bringing cameras or photographic equipment (including cell phones) without the company’s authorization. Work Rule 20: Employees will not be allowed on company property or in the plant on shifts other than their shift unless authorized. Work Rule 21: Indirect Insubordination: challenge and abuse of directions given by supervision or management. Discipline and Discharge of Matthew Rose Matthew Rose worked for Respondent for 26 years prior to his termination. He was president of UAW Local 1149 in 2014–15 and then became president of the Local again in mid- 2021. In the fall of 2021, Respondent hired Richard Harter to be its Director of Labor Relations. Harter is responsible for labor relations at Marysville and other company facilities. In December 2021, Rose had a disagreement with Harter about the schedule for the midnight shift and holiday pay. Rose challenged Harter’s authority to countermand a prior statement from a Marysville production manager. Rose filed a grievance about this and taped the grievance form to 1 of 5 union bulletin boards at the plant. On January 11, 2022, Respondent issued Rose a disciplinary warning for violating company work rules 7 and 13 in this regard. Work Rule 7, which has been in effect for years, prohibits “Distributing literature or printed matter of any kind on Com- pany premises, or the posting or removal of notices, signs or writing of any form anywhere on Company premises unless specifically authorized to do so by the Company.” Work Rule 13 prohibits “While on the premises engaging in or encouraging the following: “horseplay,” scuffling, wrestling, throwing things, practical jokes, distracting or startling others, causing confusion, unnecessary noise, demonstrations of any kind or acting in a disorderly manner. Violations of these rules are subject to progressive discipline. On February 11, 2022, Respondent informed Rose that his posting of grievances on the union bulletin boards violated Section 18.4 of the collective bargaining agreement between Respondent and Local 1149. That sections states: 18.4. The Company will provide a bulletin board at a conven- ient place within the plant for the exclusive use of the Union. The Union may use such bulletin board for notices relating to Union business meetings, elections and similar activities, but shall not be used for political purposes. On February 15 , 2022, Rose posted a letter taking issue with the company on the union bulletin board. Then on February 25, he posted additional material on the outside glass of a union bulletin board, objecting to Respondent’s refusal to conduct a labor-management meeting. Respondent refused to conduct the meeting with a union official present that it believed was not entitled to be present. Respondent removed the posted material from the outside glass of the bulletin board. Rose than posted the material inside the glass under lock and key. When management asked Rose if he had put the material be- hind the glass, Rose denied doing so. When asked for the key to the interior bulletin board, Rose initially stated he did not have access to such a key, which was also not true. On March 1, 2022, Respondent issued Rose a written warn- ing for violating company work rule 7, specifically posting notices without Respondent’s authorization on February 15 . On March 3, 2022 Respondent terminated Rose for posting and reposting materials in violation of work rule 7 on February 25, after being told not to do so. The termination notice also stated the Rose was insubordinate and that he lied about posting mate- rial inside the union display cabinet on February 25, and about having a key to that cabinet. On the second day of hearing, I granted Respondent’s mo- tion to defer consideration of the allegations relating to Rose’s discharge and discipline to arbitration. I severed those allega- tions from complaint paragraph 7 which concerns only the faci- al legality of some of Respondent’s work rules. I granted this motion, over the objection of the General Counsel because I believe a determination as to whether Re- spondent violated the Act in disciplining and discharging Rose necessarily involves an interpretation of Section 18.4 of the collective bargaining agreement. Respondent represented that an arbitration hearing was scheduled for February 1, 2023. At a minimum, I believe if the arbitrator determines that Rose did not violate Section 18.4, the General Counsel will most likely prevail regarding its allegations regarding his discipline and discharge. The legality of the work rules at issue The General Counsel contends that Respondent’s work rules are invalid under current Board law but also contends that the Board should overturn a number of cases decided since 2017. I am bound by current Board law and will only address the legal- ity of Respondent’s rules under current Board precedent, Boe- ing Co., 365 NLRB 154 (2017); LA Specialty Produce Co., 368 NLRB No. 93 (2019), The Board held that when evaluating a facially neutral poli- cy, rule or handbook provision that when reasonably interpreted would potentially interfere with the exercise of NLRA rights, the Board will evaluate the nature and extent of the potential impact on NLRA rights, and legitimate justifications associated with the rule. The Board will balance the potential interference with Section 7 rights and legitimate justifications associated with the rule. The Board in Boeing distinguished three categories of work rules: Category 1 rules that are lawful because when reasonably in- terpreted, they do not prohibit or interfere with the exercise of NLRA rights or the potential adverse impact is outweighed by justifications associated with the rule.2 Category 2: rules that warrant individualized scrutiny as to whether the rule would prohibit or interfere with NLRA rights, 2 The Board has further classified these cases as Category 1(a) those that when reasonably interpreted do not impact Sec. 7 activity and Category 1(b), those that do so but are legal because the impact on protected rights is outweighed by the justifications associated with the rule. INTERTAPE POLYMER CORP. 7 and if so , whether any adverse impact on NLRA protected conduct is outweighed by legitimate justifications. Category 3: rules that prohibit or limit NLRA protected con- duct and the adverse impact on NLRA rights is not outweighed by justifications associated with the rule. In LA Specialty Produce Co., 368 NLRB No. 93 (2019), the Board placed upon the General Counsel the initial burden of proving that a facially neutral rule would in context be inter- preted by a reasonable employee to potentially interfere with the exercise of Section 7 rights. There is no evidence in this record on which to determine what a reasonable employee would glean about the rules in question from the facial terms. The General Counsel argues that all potentially interfere with Section 7 and that Respondent did not provide a business justification for any of them. Thus, the General Counsel argues, I must find that all these rules violate the Act. With the exception of rule 7 and 13 I have not been provided any context in which to make this determination, apart from the fact these rules have been in place for 15 years in a unionized facility Analysis Work Rule 5: Unauthorized visiting in the plant, leaving the job or work station during working hours without securing permission from your supervisor, or leaving the plant during working hours without first obtaining permission from your supervisor. In Our Way, Inc., 268 NLRB 394 (1983), relied upon by the General Counsel, the Board drew a distinction between rules that prohibited employees from distributing literature and solic- iting during “working time” which are presumptively valid and those prohibiting such activity during “working hours” which are presumptively invalid because that would include periods when employees are not on the clock, such as during breaks. I conclude that Rule 5 does not violate the Act. A reasonable employee would not construe this rule as prohibiting him or her from leaving their work station at the end of their shift. Neither would a reasonable employee construe the rule as prohibiting the employee from going on a break, including restroom breaks, which assumedly have been previously approved by a supervisor. I do not conclude that an employee in a unionized workplace would reasonably interpret this rule as meaning Respondent could or would fire them if they participated in a legal strike.3 Work Rule 7: Distributing literature or printed matter of any kind on Company premises, or the posting or removal of notic- es, signs or writing of any form anywhere on Company premis- es unless specifically authorized to do so by the Company. I find this rule invalid in that it is discriminatory in that it al- lows the distribution or posting of material of which Respond- ent approves and prohibits the distribution or posting of mate- rial for which Respondent disapproves, regardless of whether 3 Labor Ready, Inc., 331 NLRB 1656 (2000), relied upon by the General Counsel is distinguishable in that there 2 unsophisticated em- ployees of a temporary employment agency were terminated pursuant to that employer’s rule for protected activity which was essentially a strike. The instant case involves a unionized workplace with a collec- tive bargaining agreement in place that contains a no-strike, no lockout provision and other provisions protecting the rights of employees and the employer. The record establishes that the Union at Marysville is not passive. that material impacts employees’ Section 7 rights, Chromalloy Gas Turbine Corp., 331 NLRB 858 (2000); Brunswick Corp., 287 NLRB 794 (1987) [any rule that requires employees to secure permission from their employer as a precondition to engaging in protected concerted activity on an employee’s free time and in non-work areas is unlawful]. Respondent could prohibit the posting of materials anywhere on its property, Flamingo Hilton-Laughlin, 330 NLRB 287, 293 (1992).4 It could also allow distribution or posting of some materials and not others if it made a distinction based on legitimate reasons, e.g., those not relating to wages, hours and working conditions. An example might be political campaign materials. It could also limit the areas which either distribution or posting occurs but cannot retain the unfettered discretion to determine what can be distributed or posted and where such activity can take place. In accommodating the respective right of employers and em- ployees, the Board must act with as little destruction to one as is consistent with the other, NLRB v. Babcock & Wilcox, 351 U.S. 105, 112 (1956). Rules inhibiting Section 7 rights must be narrowly tailored to address the employer’s concerns. Although Matthew Rose’s discharge and discipline was de- ferred to arbitration, a finding that Rule 7 was illegal may man- date a finding that his discharge and discipline was also illegal, EYM King of Michigan, 366 NLRB No. 156, slip op. at 2 (2018). Work Rule 9: (loitering on company property): This rule is illegal in that inhibits the right of employees to remain in non- work areas on non-work time, EYM King of Michigan, 366 NLRB No. 156 (2018); Tri County Medical Center, 222 NLRB 1089 (1976). Work Rule 11: Using company telephones for personal calls without the permission of supervision. I find this rule illegal for the same reason that I find Rule 7 illegal, the unfet- tered discretion it gives to management. Under current Board law, Respondent has the right to prohibit the use of company telephones completely. Caesars Entertainment d/b/a Rio All- Suites Hotel and Casino, 368 NLRB No. 143 (2019). An em- ployee would reasonably conclude that this rule applies to per- sonal calls relating to protected activity, e.g., a call to his busi- ness agent about a potential grievance relating only to that em- ployee (i.e., a shift assignment). Work Rule 12: Engaging in inappropriate behavior while on company premises I find this rule to be valid. The General Counsel has not es- tablished the criteria for finding it unlawful: 1) employees would reasonably construe the language to prohibit Section 7 activity, or 2) it was promulgated in response to union activity or 3) the rule has been applied to restrict Section 7 rights, Hita- chi Capital America Corp., 361 NLRB 123, 124 (2014). Work Rule 13: While on the premises engaging in or en- couraging the following: “horseplay,” scuffling, wrestling. Throwing things, practical jokes, distracting or startling others causing confusion, unnecessary noise, demonstrations of any kind or acting in a disorderly manner. I find this rule to be valid for the reasons I have found Rule 12 valid. Work Rule 19: Bringing cameras or photographic equip- 4 This decision rests at least in part on the absence of any evidence of discriminatory enforcement. In the instant case, some of the material posted by Rose was at least arguably protected. Thus, since Respond- ent allows posting of materials of which it approves, there is at least arguable evidence of discriminatory enforcement. DECISIONS OF THE NATIONAL LABOR RELATIONS BOARD 8 ment (including cell phones) without the company’s authoriza- tion. I find this rule invalid for the same reason I find rule 7 ille- gal: the unfettered discretion it gives to Respondent to decide the conditions under which an employee may bring his cell phone, etc. to work. Unlike the situation in the cases cited by Respondent, Argos USA, d/b/a. Argos Ready Mix, LLC, 369 NLRB No. 26 (2019), and Cott Beverages, Inc., 369 NLRB No. 82 (2019), there is no limiting language to Respondent’s rule. It applies to all areas of Respondent’s facility at all times. Thus, an employee would reasonably conclude that he or she cannot use a cell phone to engage in protected activity, such as calling his or her business representative, from any place or any time while on Respondent’s property. Also, unlike the cases cited by Respondent, it has not offered any legitimate justifica- tion for the breath of the rule. Work Rule 20: Employees will not be allowed on company property or in the plant on shifts other than their shift unless authorized. Respondent’s brief concedes that this rule is “problematic” pursuant to Board law, including Tri-County Medical Center, 222 NLRB 1089 (1976). It argues, however, that since it is entitled to prevent off-duty employees from coming into the facility, the entire rule is valid. On the contrary, I find the rule as written is illegal in that it prohibits off duty employees from being anywhere on company property when not on the clock, including parking lots, which would be the most opportune time for employees to engage in protected concerted activity with employees who work a different shift. The solution to the rule’s illegality as written is to rewrite it.. Work Rule 21: Indirect Insubordination: challenge and abuse of directions given by supervision or management. The General Counsel relies on the Board’s decision in Lytton Rancheria of California, 361 NLRB 1350, 1352–1353 (2014), for the proposition that any rule that prohibits conduct less than actual insubordination would be reasonably construed as pro- hibiting activities protected by Section 7. I agree. The Board in that case opined that a prohibition limited to insubordination would have been valid. The patent ambiguity of the rule would reasonably lead employees to believe the rule to prohibit protected conduct. Moreover, balancing the interests of em- ployees and management overwhelmingly supports a finding that this rule is illegal. Respondent’s Rule 29, “Direct insubor- dination: includes direct refusal of work and willful failure to perform duties,” is not deemed invalid by the General Counsel. Given the ambiguity of Rule 21 and the adequacy of Rule 29 to protect Respondent’s legitimate interests, I find Rule 21 to be invalid. Conclusions of Law Respondent is violating Section 8(a)(1) by maintaining its work rules 7, 9, 11, 19, 20, and 21. Remedy Having found Respondent Intertape Polymer Corp. has been engaging in certain unfair labor practices, I shall order it to cease and desist and to take affirmative action designed to ef- fectuate the policies of the Act. Having found that Respondent has violated Section 8(a)(1) in maintaining unlawful work rules, I shall order Respondent to either rescind or revise these rules. Respondent shall distribute the revised rules or a statement that they have been rescinded electronically if it customarily communicates with its employees in this manner. On these findings of fact and conclusions of law and on the entire record, I issue the following recommended ORDER5 Intertape Polymer Corp., Marysville, Michigan, its officers, agents, successors, and assigns, shall 1. Cease and desist from a. Maintaining overly broad work rules b. Removing material posted in non-work areas by employ- ees pursuant to these rules that pertain to wages, hours, and other terms and conditions of employment. c. In any like or related manner, interfering with, restraining or coercing its employees in the exercise of the rights guaran- teed to them by Section 7 of the Act. 2. Take the following affirmative action necessary to effec- tuate the policies of the Act. a. Rescind or modify the overbroad language in its work rules 7, 9, 11, 19, 20 and 21. b. Within 14 days after service by the Region, post at its fa- cility in Marysville, Michigan, copies of the attached notice marked “Appendix.”6 Copies of the notice, on forms provided by the Regional Director for Region 7, after being signed by the Respondent’s authorized representative, shall be posted by the Respondent and maintained for 60 consecutive days in con- spicuous places including all places where notices to employees are customarily posted. In addition to physical posting of paper notices, the notices shall be distributed electronically, such as by email, posting on an intranet or an internet site, and/or other electronic means, if the Respondent customarily communicates with its employees by such means. Reasonable steps shall be taken by the Respondent to ensure that the notices are not al- tered, defaced, or covered by any other material. In the event that, during the pendency of these proceedings, the Respondent has gone out of business or closed the facility involved in these proceedings, the Respondent shall duplicate and mail, at its own expense, a copy of the notice to all current employees and former employees employed by the Respondent at any time since June 15, 2022. c. Within 21 days after service by the Region, file with the Regional Director a sworn certification of a responsible official on a form provided by the Region attesting to the steps that the Respondent has taken to comply. Dated, Washington, D.C. February 17, 2023 APPENDIX NOTICE TO EMPLOYEES POSTED BY ORDER OF THE NATIONAL LABOR RELATIONS BOARD An Agency of the United States Government 5 If no exceptions are filed as provided by Sec. 102.46 of the Board’s Rules and Regulations, the findings conclusions, and recom- mended Order shall, as provided in Sec. 102.48 of the Rules, be adopt- ed by the Board and all objections to them shall be deemed waived for all purposes. 6 If this Order is enforced by a judgment of a United States court of appeals, the words in the notice reading “Posted by Order of the Na- tional Labor Relations Board” shall read “Posted Pursuant to a Judg- ment of the United States Court of Appeals Enforcing an Order of the National Labor Relations Board.” INTERTAPE POLYMER CORP. 9 The National Labor Relations Board has found that we violated Federal labor law and has ordered us to post and obey this no- tice. FEDERAL LAW GIVES YOU THE RIGHT TO Form, join, or assist a union Choose representatives to bargain with us on your be- half Act together with other employees for your benefit and protection Choose not to engage in any of these protected activi- ties. WE WILL NOT maintain overly broad work rules that could reasonably be construed to interfere with employees’ rights protected by Section 7 of the National Labor Relations Act.. WE WILL NOT remove any material posted by employees in non-work areas of our facility pursuant to any such rules. WE WILL NOT in any like or related manner interfere with, re- strain, or coerce you in the exercise of the rights guaranteed you by Section 7 of the Act. WE WILL rescind or modify the following of our work rules: Work rule 7: Distributing literature or printed matter of any kind on Company premises, or the posting or removal of no- tices, signs or writing of any form anywhere on Company premises unless specifically authorized to do so by the Com- pany. Work Rule 9: Loitering on Company property. Work Rule 11: Using company telephones for personal calls without the permission of supervision. Work rule 19: Bringing cameras or photographic equipment (including cell phones) without the company’s authorization. Work rule 20: Employees will not be allowed on company property or in the plant on shifts other than their shift unless authorized. Work rule 21: Indirect Insubordination: challenge and abuse of directions given by supervision or management. INTERTAPE POLYMER CORP. The Administrative Law Judge’s decision can be found at www.nlrb.gov/case/07-CA-291784 or by using the QR code below. Alternatively, you can obtain a copy of the decision from the Executive Secretary, National Labor Relations Board, 1015 Half Street, S.E., Washington, D.C. 20570, or by calling (202) 273-1940.
373 NLRB No. 82: Intertape Polymer Group | Justis AI